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Thursday 18 October 2018
Fourteenth and Final Member of the “Felony Lane Gang” Pleads Guilty in $1 Million Bank Fraud ConspiracyRead the Press Release
Baltimore, Maryland – The final defendant in the federal indictments charging 14 Florida residents with a bank fraud conspiracy involving over $1 million in losses pleaded guilty today. Kevin Williams, age 43, of Fort Lauderdale, Florida, pleaded guilty to federal charges of bank fraud conspiracy and aggravated identity theft. Williams was a member of the nationwide group of fraudsters known to law enforcement as the “Felony Lane Gang,” whose members traveled from Florida to Maryland and other states, broke into vehicles parked at recreation areas, sports fields, gyms, fitness centers, and other locations, and stole wallets, purses and other items left in the vehicles. Williams and his co-defendants used the victims’ stolen checks, credit cards and identifications to conduct fraudulent financial transactions.
The guilty plea was announced by United States Attorney for the District of Maryland Robert K. Hur; Assistant Special Agent in Charge Daniel Kurz of the United States Secret Service - Baltimore Field Office; Chief Darryl McSwain of the Maryland National Capital Park Police, Montgomery County Division; Chief Stanley Johnson of the Maryland National Capital Park Police, Prince George’s County Division; Chief Gary Gardner of the Howard County Police Department; Chief Terrence B. Sheridan of the Baltimore County Police Department; and Anne Arundel County Police Chief Tim Altomare.
According to his guilty plea and other court documents, from September 2012 through July 2015, Williams is part of an organized group out of Florida who travel around the United States committing check fraud. Traveling groups generally consisted of two to four managers and one to six “strikers” (sometimes called “faces”) or persons who passed the fraudulent and stolen checks. Williams and his co-conspirators recruited prostitutes, drug addicts and other vulnerable individuals as faces to travel with them to conduct financial transactions using the stolen checks, driver’s licenses and other materials, and paid them with drugs, food, and small amounts of cash amounting to a fraction of the total value of the checks they cashed. They traveled in rental cars and stayed in hotels, sometimes paying for the rental cars and hotel rooms using victims’ identities and credit cards.
The managers, including Williams, went to locations where individuals often leave their belongings in their car—such as gyms, parks, and athletic fields—and broke into vehicles and stole wallets and purses for the identifications, credit cards, and check books—collectively called “paper.” Other items were usually discarded. The “paper” was provided to the strikers, along with glasses and wigs to allow them to resemble the individuals pictured in the stolen forms of identification. These co-conspirators, generally in teams of a driver and a passenger posing as the victim, traveled to banks to cash the checks stolen from victims. The managers were either in another car parked nearby so they could watch the transaction and look out for police, or they were crouched down behind the front seat.
As detailed in his plea agreement, Williams managed a crew and often coordinated crews who were in the same area at the same time. He both obtained the “paper” that was later distributed to strikers so that fraudulent checks could be cashed, and traded “paper” between crews as they came and went in a particular area. Williams assisted co-conspirators in cashing checks using the names and identifying information of the victims at banks in Maryland, including in Columbia, Millersville, and Edgewater.
According to their indictments and other court documents, the conspirators traveled throughout Maryland and other states conducting these thefts and financial transactions in one location for several days or weeks until the banks or law enforcement began thwarting their activities. Then they returned to Florida or moved on to another location, burying or hiding for future use the checks, credit cards, identification cards and other items they had stolen from vehicles, but had not yet used. A few weeks or months later, after scrutiny of their activities had faded, the defendants would return to Maryland, retrieve the hidden items, and use them to continue their financial fraud scheme.
As part of his plea agreement, Williams will be required to pay restitution in the full amount of the loss, which the government contends is no greater than $550,000. The full amount of the loss will be determined at sentencing.
Williams faces a maximum penalty of 30 years in prison for bank fraud conspiracy and a mandatory two years in prison, consecutive to any other sentence imposed, for aggravated identity theft. U.S. District Judge Ellen L. Hollander has scheduled sentencing for January15, 2019, at 10:00 a.m.
The following 13 defendants have all pleaded guilty in a related case and nine were sentenced to between time served and 54 months in federal prison:
Theodore L. Pittman, a/k/a Teddy, Tony, and Bear, age 32, of Lauderhill, Florida;
Courtney B. Walker, a/k/a Wayne Leo Walker, age 28, of Ft. Lauderdale, Florida;
James J. Blakey, a/k/a Jamal, age 29, of Ft. Lauderdale;
Vincent Lee Sands, a/k/a Young SP, and Chad, age 26, of Lauderhill;
Tara Kathleen Whyte, age 29, of Hollywood, Florida, and Gambrills, Maryland;
Tracy Lee Whyte, a/k/a Nikki, age 34, also of Hollywood and Gambrills;
Heather Brooke Roberts, age 45, of Perry, Ohio;
Michael J. Walker, age 44, of Pompano Beach, Florida, and Perry, Ohio;
Shannon Elise Isley, age 29, of Sunrise, Florida;
Lauren Anne Bole, age 28, of Miramar, Florida;
Felicia Kaye Waybright, a/k/a Felicia Kaye Phillips, age 25, of Daytona Beach, Florida;
Ronald Jason Rhoda, a/k/a Jason Rhoda, age 43, of Hollywood, Florida; and
Amie Nicole Carter, age 32, of Casselberry, Florida.Heather Roberts and Michael Walker are scheduled to be sentence on November 2, 2018 at 2:00 and 3:00 p.m., respectively. Sentencing has not yet been scheduled for Pittman and Rhoda.
The Maryland Identity Theft Working Group has been working since 2006 to foster cooperation among local, state, federal, and institutional fraud investigators and to promote effective prosecution of identity theft schemes by both state and federal prosecutors. This case, as well as other cases brought by members of the Working Group, demonstrates the commitment of law enforcement agencies to work with financial institutions and businesses to address identity fraud, identify those who compromise personal identity information, and protect citizens from identity theft.
United States Attorney Robert K. Hur commended the U.S. Secret Service, Maryland National Capital Park Police - Montgomery and Prince George’s County Divisions, and the Howard County, Baltimore County and Anne Arundel County Police Departments for their work in the Maryland portion of this multi-state, multi-agency investigation. Mr. Hur thanked Assistant U.S. Attorneys Tamera L. Fine and Ayn B. Ducao, who are prosecuting the case.
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Four Plead Guilty in Multi-Million Dollar TRICARE SchemeRead the Press Release
LITTLE ROCK—Cody Hiland, United States Attorney for the Eastern District of Arkansas, Diane Upchurch, Special Agent in Charge of the Little Rock Field Office of the FBI, and Artie DeLaneuville, Acting Special Agent in Charge of the Dallas Regional Office of the U.S. Department of Health and Human Services, Office of the Inspector General (HHS-OIG), announced today the guilty pleas of Brad Duke, 43, of Little Rock, Charlotte Leija, 38, of Conway, Michael "Chance" Beeman, 48, of Maumelle, and Michael Sean Brady, 50, of Little Rock, to conspiring to violate the Anti-Kickback Statute. Duke pleaded guilty on October 3, while Leija, Beeman, and Brady all pleaded guilty on Wednesday before Chief United States District Judge Brian S. Miller, who will sentence the group at a later date.
As has been widely reported, TRICARE (our military’s health insurer) paid nearly $2 billion for compound prescription drugs in 2015—an eighteen-fold increase over previous years—prompting investigations around the country.
Duke, who worked as a medical sales representative in Little Rock, promoted prescription pain cream, scar cream, and supplements for a Mississippi-based compounding pharmacy, earning a share of whatever the pharmacy was paid on prescriptions issued by affiliated doctors. After learning TRICARE would pay tens of thousands of dollars per month per patient for compounded drugs, Duke focused upon generating prescriptions for those with TRICARE insurance.
Duke paid patient recruiters, including Beeman and Brady, to find TRICARE beneficiaries to receive prescriptions, telling them a doctor would sign the prescriptions without consulting patients. Patient recruiters forwarded beneficiary insurance information to Duke, which he then routed to local medical assistant Charlotte Leija, whom Duke paid to file the prescriptions under the name of the doctor for whom she worked.
In less than one year, the scheme generated over $10 million in compound prescriptions for over 100 TRICARE beneficiaries hailing from as far west as Chula Vista, Calif., to as far east as Foxborough, Mass. Duke paid patient recruiters more than $2 million to find the beneficiaries and over $250,000 to Leija to issue the prescriptions.
“Duke’s scheme resulted in millions of dollars of fraud and waste to our taxpaying citizens,” U.S. Attorney Hiland said. “This office is determined to root out the criminal fraud in our nation’s health care programs.”
Under the terms of their plea agreements, Duke, Leija, Beeman, and Brady each face up to five years in federal prison and together will forfeit nearly $1.9 million in illicit proceeds. More charges involving additional defendants are expected.
“These pleas are a reflection of Duke’s greed to promote prescriptions for compounded drugs in a kickback scheme for his own profit,” stated SAC Upchurch. “The United States Attorney’s Office, HHS-OIG, and the FBI will aggressively pursue providers who violate the law for personal gain.”
“Any time fraudulent claims are submitted for payment, the nation’s health insurance programs suffer,” said Acting SAC DeLaneuville. “Along with our law enforcement partners, this office will continue the important mission of protecting the financial integrity of our nation’s health care systems, and bringing to justice those individuals who deliberately manipulate those systems to obtain federal dollars to which they are not entitled, especially funds designated for providing vital health care services to our military veterans.”
If you or someone you know was approached about getting compounded prescription drugs, please contact [email protected].
The crime of conspiring to violate the Anti-Kickback Statute, 42 U.S.C. § 1320a- 7b(b), is punishable by up to five years in prison, a fine of not more than $250,000, and up to three years of supervised release. This case was investigated by the FBI and HHS- OIG, and prosecuted by Assistant United States Attorney Alexander D. Morgan.
This news release, as well as additional information about the office of the United States Attorney for the Eastern District of Arkansas, is available on-line at
http://www.justice.gov/edar
Twitter: @EDARNEWS
Former Webb County Commissioner ConvictedRead the Press Release
HOUSTON - A former Webb County Commissioner and a former city councilman have entered guilty pleas to conspiracy to commit federal program bribery, First Assistant U.S. Attorney Tim Braley announced today along with FBI Special Agent in Charge Christopher Combs.
Former Webb County Commissioner Jaime Alberto Canales, 51, and John “Johnny” Amaya, 70, owner of JAUC Services Inc. and a former Laredo City Councilman, pleaded guilty in Houston federal court today. Both reside in Laredo.
Canales admitted at least in or about January 2015 through in or about January 2017, an individual gave and agreed to give things of value in order to influence and reward him for his official acts as a Webb County commissioner and Laredo Metropolitan Planning Organization (MPO) representative. Canales accepted these things of value, intending to be influenced and rewarded for his official assistance. These things of value, which included checks disguised as campaign contributions and personal loans, use of a co-conspirator Padre Island condominium and meals and entertainment, were provided in connection with business and transactions of Webb County and the Laredo MPO well in excess of $5,000.
Amaya owned and controlled JAUC Service Inc. A co-conspirator employed Amaya as a consultant for Corporation A, as listed in the indictment, from in or about January 2011 through in or about April 2017. In this role, Amaya met and spoke with various Webb County and City of Laredo officials to direct them to take actions that benefitted the co-conspirator and corporation. Amaya maintained close contact with officials who could help the conspirator and corporation by setting up meetings and passing messages to and from the conspirator. Amaya admitted he acted as a middleman between the conspirator and public officials. At the conspirator direction, Amaya provided cash payments, personal checks disguised as campaign contributions and meals and entertainment to these officials, including Canales.
All of the payments were reimbursed with the corporation’s corporate funds, either directly or indirectly. At the conspirator direction, Amaya also supported specific candidates in the November 2016 election cycle by providing rental cars, drivers and gas cards for those rental vehicles to transport voters to the polls, all for which the corporation paid.
U.S. District Judge Sim Lake accepted the pleas today and has set sentencing for Feb. 14, 2019. At that time, Canales and Amaya face up to five years in federal prison. They were permitted to remain on bond pending that hearing.
The FBI conducted the investigation. Assistant U.S. Attorneys Carolyn Ferko and John Pearson are prosecuting the case.
Former FBI Agent Sentenced for Leaking Classified InformationRead the Press Release
Terry J. Albury, 39, a former Special Agent of the FBI, was sentenced today to 48 months in the District of Minnesota in connection with his unauthorized disclosure and retention of classified national defense information.
The announcement was made by Attorney General Jeff Sessions, FBI Director Chris Wray, Assistant Director in Charge of the Washington Field Office Nancy McNamara, and U.S. Attorney G. Zachary Terwilliger for the Eastern District of Virginia, after sentencing by U.S. District Judge Wilhelmina M. Wright.
"We are conducting perhaps the most aggressive campaign against leaks in Department history," said Attorney General Sessions. "Crimes like the one committed by the defendant in this case will not be tolerated—they will be prosecuted to the fullest extent of the law and punished. I want to thank Assistant Attorney General Demers, U.S. Attorney Terwilliger, and their attorneys for their hard work in prosecuting this important case. Today's sentence should be a warning to every would-be leaker in the federal government that if they disclose classified information, they will pay a high price."
"Every FBI agent has a solemn obligation to protect classified information from unauthorized disclosure to safeguard our national security. Terry Albury betrayed that responsibility, and he betrayed the trust bestowed on him by the American people," said FBI Director Christopher Wray. "His sentencing today demonstrates those who violate the law by disclosing classified information will be held responsible for their reckless and illegal actions."
“Leaking classified national defense information to the media is a crime that damages our national security,” said U.S. Attorney Terwilliger. “Albury transmitted classified information not just to one hostile foreign power, but to every hostile foreign power with the ability to pick up a newspaper or access the Internet. To be clear, this was not whistleblower activity. Albury made no attempts to engage in any of the legitimate whistleblower processes available to him, and instead chose to betray his oath and his colleagues by leaking classified national defense information to the press. This case should send a message to anyone considering violating the public’s trust and compromising our national security by disclosing classified information. We will remain steadfast and dogged in pursuit of these challenging but critical national security cases.”
"Terry Albury willingly disclosed classified information that he had taken an oath to protect, for his own purposes," said Assistant Director in Charge Nancy McNamara. "He violated the trust that was placed in him by willfully providing information that could endanger national security to individuals not authorized to receive it and lied to the FBI about his actions. Albury violated the trust that was placed in him and his attempt to leverage national security information for his own reasons brought him to this sentence today. The FBI will continue to take all necessary and appropriate steps to thoroughly investigate individuals, no matter their position, who undermine the integrity of our justice system by lying to federal investigators."
According to court documents, Albury worked as an FBI Special Agent in the Minneapolis field office at the time of the disclosures, held a Top Secret//Sensitive Compartmented Information security clearance, and his daily duties provided him access to sensitive and classified FBI and other U.S. government information.
According to court documents, beginning in 2016 and continuing through August 2017, Albury knowingly and willfully disclosed national defense information, classified at the Secret level, to a reporter. Albury employed methods to avoid detection, including printing documents that he created by cutting and pasting portions of an original document into a new document so as to avoid leaving a record of having printed the original, classified document. Albury also accessed documents on a classified computer and took pictures of the computer screen in order to photograph certain classified documents. Those additional classified documents were recovered on an electronic storage device found during a search of his home.
Assistant U.S. Attorney Danya E. Atiyeh of the Eastern District of Virginia, and Trial Attorneys Patrick T. Murphy and David C. Recker of the National Security Division’s Counterintelligence and Export Control Section prosecuted the case.Former Bridgeport Resident Admits Participation in Medicaid Fraud SchemeRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, announced that JULIET JACOB, 49, of Wake Forest, North Carolina, formerly of Bridgeport, waived her right to be indicted and pleaded guilty today before U.S. District Judge Victor A. Bolden in Bridgeport to one count of health care fraud stemming from a Medicaid fraud scheme.
According to court documents and statements made in court, beginning in January 2012, Jacob and another individual operated two businesses, Transitional Development And Training (TDAT), and It Takes A Promise (ITAP), both located at 360 Fairfield Avenue in Bridgeport. The businesses were to provide social and psychotherapy services to the Bridgeport area. Jacob and the other individual used ITAP and TDAT to bill Medicaid for psychotherapy services that were never provided. As part of their scheme, Jacob and the other individual used the Medicaid provider numbers of two licensed health care providers who had neither rendered nor supervised any of the psychotherapy services that Jacob and the other individual billed to Medicaid.
Through this scheme, Jacob and the other individual defrauded Medicaid of approximately $2.5 million.
As part of her guilty plea, Jacob also admitted that, in a separate scheme in 2010 and 2011, she conspired with Ronnette Brown and Beverly Coker to defraud Medicaid of more than $214,000 by fraudulently billing for psychotherapy services that were not provided.
When she is sentenced, Jacob faces a maximum term of imprisonment of 10 years. She also has agreed to a restitution order of $2,711,173. A sentencing date has not been scheduled.
Jacob is released on a $25,000 bond pending sentencing.
On May 26, 2017, a jury found Ronnette Brown guilty of 23 counts of health care fraud and one count of conspiracy to commit health care fraud, stemming from these schemes. On April 19, 2018, Judge Bolden sentenced Brown to 48 months of imprisonment and ordered her to pay restitution in the amount of $2,033,962.
Beverly Coker pleaded guilty to one count of health care fraud and, on May 8, 2018, was sentenced to five years of probation and restitution of $214,555.
Three other individuals have been charged and convicted of health care fraud offenses stemming from this ongoing investigation.
This matter is being prosecuted by Assistant U.S. Attorney David J. Sheldon and Auditor Susan Spiegel.
This case is being jointly investigated by the Office of the Inspector General of the U.S. Department of Health and Human Services and the Medicaid Fraud Control Unit of the Chief State’s Attorney’s Office, with assistance from the Connecticut Attorney General’s Office. U.S. Attorney Durham thanked the Connecticut Department of Social Services for their role in identifying the fraudulent scheme and supporting the investigation and prosecution of the case.
The U.S. Attorney’s Office, Chief State’s Attorney’s Office and Attorney General’s Office meet regularly as part of The Medicaid Fraud Working Group. The Working Group also includes representatives from the Connecticut Department of Social Services; the Connecticut Department of Public Health; the Drug Control Division of the Connecticut Department of Consumer Protection; the Office of the Inspector General of the U.S. Department of Health and Human Services, and the FBI. The Working Group reviews pending issues and cases, identifies trends that might indicate fraudulent activity, and coordinates efforts for maximum results.
People who suspect health care fraud are encouraged to report it by calling 1-800-HHS-TIPS.
Foreign National Sentenced to 15 Years on Drug Trafficking and Firearm ChargesRead the Press Release
PROVIDENCE –A Dominican national in the United States illegally, who admitted to using several alias and who was previously convicted and incarcerated in federal and state prisons on drug trafficking charges, was sentenced today to 15 years in federal prison for trafficking fentanyl, heroin, cocaine and methamphetamine, and being an alien and a felon in possession of a firearm.
Marcio Alexandro Martinez-Lara, 45, a native of Bani, Dominican Republic, has been detained in federal custody since July 19, 2017, when members of the Rhode Island DEA Drug Task Force concluded an investigation into his drug trafficking activities, which included seizures of significant quantities of fentanyl, heroin, cocaine, and methamphetamine.
Between October 27, 2016 and June 14, 2017, numerous controlled purchases totaling more than 80 grams of fentanyl and nearly 21 grams of fentanyl-laced cocaine were made from Martinez-Lara.
On July 19, 2017, law enforcement simultaneously executed court-authorized search warrants at Martinez-Lara’s Providence residence, his Cranston business, a drug stash house under his control in Cranston, and two vehicles.
Martinez-Lara was arrested as he left the Cranston stash house prior to the execution of the search warrant. He was found to be carrying 100 grams of fentanyl stashed inside his clothing. From inside the stash house, law enforcement seized 1,281grams of fentanyl, 1,148 grams of fentanyl-laced heroin, 106 grams of methamphetamine, and nearly 29 grams of cocaine. Also seized was a loaded semi-automatic 40-caliber firearm.
Martinez-Lara’s sentence of 15 years (180 months) imprisonment followed by 5 years supervised release, imposed by United States District Court Chief Judge William E. Smith, is announced by United States Attorney Stephen G. Dambruch and Special Agent in Charge of the Drug Enforcement Administration’s New England Field Division Brian D. Boyle.
The U.S. Sentencing Guidelines range of imprisonment in this matter is 235 months to 293 months. As stipulated in a plea agreement filed with the Court, the government and the defense recommended the Court impose a sentence of 15 years incarceration.
According to court records, in October 1997, Martinez-Lara was convicted in federal court on cocaine trafficking charges and subsequently sentenced to 121 months in federal prison; in April 1998 Martinez-Lara was convicted in Rhode Island state court on delivery of schedule I/II controlled substances and conspiracy charges and sentenced to 10 years in state prison – 18 months to serve with 102 months suspended with probation; and on June 9, 2016, Martinez-Lara was arrested by Providence Police and released on bail on a charge of delivery of heroin. He was awaiting trial at the time of his most recent arrest by members of the DEA Drug Task Force.
The case was prosecuted by Assistant U.S. Attorney Gerard B. Sullivan.
The Rhode Island DEA Drug Task Force is comprised of agents and law enforcement officers from the DEA, ATF, Rhode Island State Police, and Providence, Cranston, East Providence, Central Falls, Newport, North Kingstown, Pawtucket, South Kingstown, Warwick, West Warwick, and Woonsocket Police Departments.
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Florida Man Convicted of Armed Robbery of 7–11 StoreRead the Press Release
Tampa, Florida – A federal jury has found Joseph Deleon (29, Mount Dora) guilty of robbery and brandishing a firearm during a crime of violence. Deleon faces a maximum penalty of life in federal prison. His sentencing hearing has not yet been scheduled. He was indicted on July 11, 2018.
According to testimony and evidence presented at trial, shortly after midnight on March 15, 2018, in St. Petersburg, Deleon pointed a gun at a cashier at a 7–11 store and demanded the contents from his register. After obtaining approximately $100 and several packages of stamps, Deleon fled the scene.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives and the St. Petersburg Police Department. It was prosecuted by Assistant U.S. Attorney Gregory T. Nolan.
This case was brought as part of Project Safe Neighborhoods (PSN), a program that has been successful in bringing together all levels of law enforcement to reduce violent crime and make our neighborhoods safer for everyone. In October 2017, Attorney General Jeff Sessions announced the reinvigoration of PSN and directed all U.S. Attorneys’ Offices to develop districtwide crime reduction strategies, incorporating the lessons learned since the program’s inception in 2001. In the Middle District of Florida, U.S. Attorney Maria Chapa Lopez coordinates PSN efforts in cooperation with various federal, state, and local law enforcement officials.
Federal Jury Convicts Chilton County Man for Transporting Two Minors and Producing, Transporting, and Possessing Child PornographyRead the Press Release
BIRMINGHAM – A federal jury today convicted a Chilton County man on multiple counts of transporting two minor girls for illegal sexual activity and producing, transporting, and possessing child pornography, announced U.S. Attorney Jay E, Town and FBI Special Agent in Charge Johnnie Sharp Jr.
The jury returned a guilty verdict against BRUCE NICHOLSON, 56, after three days of testimony before U.S. District Court Judge Madeline Haikala. A sentencing date has not been set.
BRUCE NICHOLSON was convicted of multiple charges for production, transportation, and possession of child pornography and transporting two minors with the intent to engage in unlawful sexual activity with them. The evidence at trial demonstrated that, for years, NICHOLSON had sexually abused his minor daughter and minor stepdaughter. In mid-2012, after impregnating his stepdaughter with twins, NICHOLSON fled the state of Alabama with both girls. He was apprehended in another state more than a month later.
NICHOLSON was indicted in 2016 on Mann Act and child pornography charges. Forensic examination of NICHOLSON’s devices revealed images of child pornography, including one image he had directed his stepdaughter to produce and send him.
“This man stole the innocence of two girls and a large part of their childhoods, and he had every intention of stealing the rest,” Town said. “This guilty verdict cannot take away the pain those girls have experienced, but it sends a message loud and clear to this defendant and every other sexual abuser. It also is another example of the courage that survivors of this abuse continue to show so that not another second of their lives is taken by these disgusting criminals.”
“Taking away the innocence of a child is deplorable and inexcusable,” Sharp said. “I am proud of the work done by my agents and our partners to hold Nicholson accountable for these crimes.”
FBI investigated the case, which Assistant U.S. Attorneys J.B. Ward and Don Long are prosecuting.
Federal Jury Convicts Anchorage Man for Making Threatening Statements against Police Officer, OthersRead the Press Release
Anchorage, Alaska – U.S. Attorney Bryan Schroder announced that, yesterday, a federal jury in Anchorage convicted Tyler Chance Bateman, 28, of Anchorage, of eight counts of threatening interstate communications, for using the internet to threaten people in Anchorage. The victims included Bateman’s parents, two Anchorage Police Department officers and their families, and shoppers at a local business.
Within one hour of deliberation, the jury found Bateman guilty on all eight counts after a three-day trial before Chief U.S. District Judge Timothy M. Burgess. As a result of his convictions, Bateman faces a maximum penalty of up to five years in prison, and a fine of up to $250,000. The sentencing hearing has been set for Feb. 4, 2019.
According to evidence presented at trial, on Feb. 4, 2018, Bateman left his home in Anchorage on a one-way airline ticket to New York City. On Feb. 26, 2018, while in New York, Bateman created a text message thread to three people – two family members and a former employer, writing about why he left Alaska, his plans for making a living in New York, how those plans failed, and asked that someone buy him a ticket back to Alaska. After none of the text message recipients offered to buy him a ticket, Bateman responded with a series of messages threatening to shoot, poison, and cut the victims. One of the threats suggested that Bateman would commit a mass shooting.
Later that same day, Bateman threatened, via social media, to shoot and poison an Anchorage Police Officer and “several other people.” Bateman also sent threats to the Police Officer’s personal social media account. Further, Bateman sent threats to APD’s public Facebook page saying, among other things, “I am going to walk into a building with an AR15. I am going to hurt a lot of people.” Approximately seven minutes later, Bateman sent a message to the same APD account alleging that a specific address is where the Chief of Police lived.
On the morning of March 2, 2018, FBI Special Agents in New York City arrested Bateman on charges alleging that he made threatening statements against an Anchorage business and an Anchorage Police Officer. Shortly after his arrest, Bateman was transported back to Anchorage to face the charges.
“Even in the modern digital world, all Alaskans deserve to live their lives safely and securely, without being the victims of frightening — and seemingly anonymous — threats,” said U.S. Attorney Bryan Schroder. “What this case clearly illustrates is that those threats do not remain anonymous. Our law enforcement partners will find the perpetrators, and we will prosecute them.”
“It may have taken Mr. Bateman just a few minutes to write his threats, but now he’s facing a lifetime of consequences,” said Special Agent in Charge of the FBI’s Anchorage Field Office, Jeffery Peterson. “This case is a stark example of how the FBI and our partners respond to threats seriously. It also illustrates the anonymity of the keyboard will not prevent law enforcement from finding a perpetrator and bringing that person to justice.”
The Federal Bureau of Investigation (FBI), with assistance from the Anchorage Police Department (APD), conducted the investigation leading to the successful prosecution of this case. This case was prosecuted by Assistant U.S. Attorney Jonas M. Walker.
Everett Man Pleads Guilty to Scheme to Defraud the Massachusetts Department of Unemployment AssistanceRead the Press Release
BOSTON – An Everett man pleaded guilty yesterday in federal court in Boston in connection with a scheme to defraud the Massachusetts Department of Unemployment Assistance of more than $1.8 million.
Edison Delarosa, 53, pleaded guilty to one count of mail fraud and one count of wire fraud. U.S. Senior District Court Judge George A. O’Toole Jr. scheduled sentencing for Jan. 24, 2019. In February 2017, Delarosa was arrested and charged and subsequently released on conditions.
From approximately January 5 through November 24, 2016, Delarosa engaged in a scheme to defraud the Commonwealth of Massachusetts by exploiting the Department of Unemployment Assistance’s (DUA) online system, which allows claimants to manage their unemployment insurance accounts over the internet. On multiple occasions, Delarosa, who did not actually owe DUA any money, submitted bogus “repayments” online, which triggered the release of “refund” checks payable to him in varying amounts. During the course of the scheme, Delarosa submitted a total of 136 fraudulent “repayments,” amounting to $1,813,170, for which DUA issued him 15 paper “refund” checks, totaling $1,251,283. DUA uncovered the scheme after six of those checks, totaling $27,227, were mailed to Delarosa and deposited into his account.
The charges of wire fraud and mail fraud provide for a sentence of no greater than 20 years in prison, three years of supervised release, and a fine of $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Andrew E. Lelling; Michael Mikulka, Special Agent in Charge of the U.S. Department of Labor, Office of Inspector General, Office of Investigations, New York Region; Peter C. Fitzhugh, Special Agent in Charge of Homeland Security Investigations in Boston; and Joseph W. Cronin, Inspector in Charge of the U.S. Postal Inspection Service, made the announcement today. The Commonwealth of Massachusetts’ Department of Unemployment Assistance cooperated with the investigation. Assistant U.S. Attorney Anne Paruti of Lelling’s Major Crimes Unit is prosecuting the case.
District Man Pleads Guilty to Firearms Offenses Involving Purchase of Fully Automatic Assault RifleRead the Press Release
WASHINGTON – Clark Calloway, 39, of Washington, D.C., pled guilty today to possession of a firearm and to acquiring that firearm with the intent to commit assault, announced U.S. Attorney Jessie K. Liu and Nancy McNamara, Assistant Director in Charge of the FBI’s Washington Field Office.
Calloway pled guilty in the U.S. District Court for the District of Columbia to charges of interstate transportation of a firearm and ammunition, unlawful possession of a firearm and ammunition, and illegal possession of a machine gun. Each of the charges carries a statutory maximum of 10 years in prison and potential financial penalties. The Honorable Emmet G. Sullivan scheduled sentencing for Jan. 31, 2019.
During the plea colloquy, Calloway admitted that while a subject of an undercover investigation, he agreed to purchase a fully automatic AK-47 for $250. At the time, Calloway stated that he wanted to use the AK-47 on white people. He acknowledged making numerous statements expressing support against non-Muslims, police officers, and white people. He also acknowledged that he was a former Marine and a felon previously convicted of a felony.
Calloway was arrested by the FBI on May 4, 2017 when he took delivery of the AK-47. He has been in custody ever since.
This case was investigated by the FBI’s Washington Field Office. Assistance was provided by Paralegal Specialist Donna Galindo and former Paralegal Specialist Jorge Casillas of the U.S. Attorney’s Office for the District of Columbia. The case is being prosecuted by Assistant U.S. Attorneys Tejpal S. Chawla and Jeffrey Pearlman of the U.S. Attorney’s Office for the District of Columbia, with assistance from Trial Attorneys Justin Sher and Benita Corlett of the Justice Department’s National Security Division.
Department of Justice, EPA Reach Clean Air Act Settlement with Ohio Based Hazardous Waste CompanyRead the Press Release
The Department of Justice and U.S. Environmental Protection Agency (EPA) entered into a settlement with Heritage Thermal Services Inc., a subsidiary of Heritage Environmental Services LLC, resolving allegations that the company violated the Clean Air Act at its hazardous waste incinerator located in East Liverpool, Ohio.
Some of the alleged violations arose from an explosion at the incinerator on July 13, 2013, which ruptured incinerator ducting, releasing untreated flue gas, steam, and boiler ash beyond the incinerator’s fence line.
“The July 2013 explosion at the Heritage incinerator was a consequence of systemic failures to comply with the Clean Air Act, which protects communities and American workers from harmful releases of air pollutants,” said Acting Assistant Attorney General Jeffrey H. Wood. “This settlement requires the company to comply with Clean Air Act requirements and to perform important lead abatement work to make the East Liverpool community a safer and healthier place for workers and residents.”
“Today’s settlement will bring the Heritage plant into compliance with Clean Air Act regulations, preventing incidents like the July 2013 explosion,” said EPA Office of Enforcement and Compliance Assurance Associate Administrator Susan Bodine. “In addition, Heritage will perform a project that will help to protect people, especially children, from the harmful health effects of lead exposure.”
The U.S. alleges that Heritage violated the Clean Air Act on hundreds of days beginning in November 2010 and continuing thereafter, including violations emanating from the July 13, 2013 explosion. The violations include failures to comply with applicable emissions limits, operating parameter limits, and other Clean Air Act regulatory requirements.
The settlement, which was lodged in federal court for the Northern District of Ohio, requires that Heritage undertake extensive measures designed to bring its operations into compliance with the Clean Air Act. For instance, Heritage will not accept certain wastes that cause the kind of excess emissions that contributed to the July 2013 incident. Heritage is also required to investigate and implement corrective measures to reduce future emissions and will study whether other changes in its production process would also prevent Clean Air Act violations. Heritage is also required to pay a penalty of $288,000, and to spend at least $302,500 performing lead hazard abatement work at properties within 25 miles of East Liverpool, Ohio where the owners cannot afford to undertake lead abatement or replacement of lead water service lines.
The Department of Justice and EPA will hold a public meeting at the East Liverpool City Council Chambers on November 7, 2018, from 6:30 pm to 8:30 pm EDT to provide the public with information about the settlement and to answer questions by the public.
The proposed settlement is subject to a 30-day public comment period and final court approval. To view the consent decree or to submit a comment, visit the department’s website at: www.justice.gov/enrd/Consent_Decrees.html.
Information about EPA Region 5's air enforcement program is at http://www.epa.gov/region5/air/enforce/index.html.
Potential environmental violations may be reported at http://www.epa.gov/compliance/complaints.
Darien Man Pleads Guilty to Defrauding Service MemberRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, and Leigh-Alistair Barzey, Special Agent in Charge of the DCIS Northeast Field Office, today announced that CHRISTOPHER TEIXEIRA, 34, of Darien, waived his right to be indicted and pleaded guilty yesterday in Hartford federal court to one count of wire fraud relating to his theft of more than $57,000 from a former U.S. Navy service member.
According to court documents and statements made in court, the Defense Finance and Accounting Service (“DFAS”) is the agency of the U.S. Department of Defense that administers all payments to U.S. service members. DFAS operates the “MyPay” online portal, through which service members may provide and obtain information related to payments from DFAS.
A U.S. Navy service member (“the victim”) was scheduled to receive a medical severance payment from the Navy in January 2017. The victim provided his MyPay login and password information to Teixeira, who he trusted with certain financial responsibilities. On January 10, 2017, before the victim was to receive the medical severance payment, Teixeira changed the victim’s direct deposit information to a bank account controlled by Teixeira. DFAS then sent the victim’s $57,255.66 medical severance payment to Teixeira’s account. In order to avoid detection, Teixeira logged back into the victim’s MyPay account and reverted the direct deposit instructions back to the victim’s bank account.
Teixeira and the victim communicated after Teixeira stole the medical severance payment. Instead of admitting to the theft, Teixeira told the victim that he would assist in finding the money. When the victim indicated he was in need of funds, Teixeira transferred approximately $6,500 to the victim without telling him that Teixeira had stolen the money.
Teixeira used the stolen funds to pay his own personal expenses, and transferred $25,000 to another individual’s account.
The charge of wire fraud carries a maximum term of imprisonment of 20 years. Teixeira is scheduled to be sentenced by U.S. District Judge Vanessa L. Bryant on February 20, 2019.
Teixeira is released pending sentencing.
This matter is being investigated by the Defense Criminal Investigative Service and the Defense Finance and Accounting Service. This case is being prosecuted by Assistant U.S. Attorney Jennifer R. Laraia.
Crowley man pleads guilty to possessing child pornography on electronic devicesRead the Press Release
LAFAYETTE, La. – United States Attorney David C. Joseph announced that a Crowley man pleaded guilty Wednesday to possessing sexually explicit images of juveniles.
Kenneth Poullard, 43, of Crowley, Louisiana, pleaded guilty before U.S. District Judge S. Maurice Hicks Jr. to one count of possessing child pornography. According to the guilty plea, law enforcement agents learned that Poullard was downloading child pornography to electronic devices in his home. Agents searched his home on March 13, 2014 and found a desktop computer containing 50 images of child pornography. Poullard, who was present at the time of the search, admitted to intentionally searching for and downloading images and video of child pornography.
Poullard faces up to 20 years in prison, five years to life of supervised release, registration as a sex offender and a $250,000 fine. The court set the sentencing date for February 12 2019.
This case is part of Project Safe Childhood, a U.S. Department of Justice nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood combines federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
The U.S. Department of Homeland Security and U.S. Immigration & Customs Enforcement (ICE) also encourage the public to report suspected child predators and any suspicious activity through its toll-free hotline at (866) 347-2423. Investigators are available at all hours to answer hotline calls. Tips or other information can also be submitted to ICE online by visiting their website at www.ice.gov/exec/forms/hsi-tips/tips.asp or through the Operation Predator smartphone application www.ice.gov/predator/smartphone-app. Tips may be submitted anonymously.
Homeland Security Investigations and Louisiana Attorney General’s Office High Technology Crime Unit conducted the investigation. Assistant U.S. Attorney Jamilla A. Bynog is prosecuting the case.
Covington Man Pleads Guilty for His Role in Operation of Covington Business Running Medical Reimbursement Account ProgramRead the Press Release
NEW ORLEANS – U.S. Attorney Peter G. Strasser announced that BRENT ANTHONY SILVA, age 52, a resident of Covington, Louisiana, pleaded guilty as charged today before United States District Court Chief Judge Nannette Jolivette Brown to a one-count bill of information charging him with conspiracy to make false statements and representations in connection with a multiple employer welfare arrangement, in violation of 18 U.S.C. ' 371, for his role in the operation of the Total Financial Group (“TTFG”). “TTFG” is a Covington-area business that created and marketed what purported to be a Medical Reimbursement Program.
According to court documents, TTFG was a Louisiana business incorporated with the Louisiana Secretary of State on about January 6, 2005, that was most recently located at 406 N. Florida Street, Covington, Louisiana. TTFG and its owners, “De.J.” and “Do.J.,”created and marketed a Medical Reimbursement Account program called “Classic 105.” Classic 105 claimed to be a multiple employer welfare arrangement that was marketed to employers as a supplemental benefits plan for their employees to reimburse for medical expenses such as co-pays and deductibles; participants in Classic 105 were required to have a primary health insurance plan unrelated to and in addition to Classic 105. Classic 105 claimed to be comprised of several components: a tax-exempt contribution of between $1,000 and $1,600 per month made by an employee (which reduced the employee’s taxable income), a loan from a lender back to the employee to make up for the contribution, an insurance policy payable to the lender at the employee’s death to repay the loan, and fees paid by the employee and the employer directly to TTFG. TTFG told prospective employer-customers that participants would never have to make out-of-pocket payments to repay the loan and that as a result of the tax savings, most participants would receive an increase in their net take home pay. TTFG also told prospective employer-customers that the contributions would be stored in a unique account for each employee and that any money not used by the end of each calendar year would revert to TTFG. TTFG also charged employees a fee of between $150 and $250 per month and the employer a fee of five (5) percent of each employee’s contribution amount. At its peak, in late 2016, over 350 employers and 4,400 employees (“participants”) nationwide were enrolled in TTFG’s Classic 105 program.
According to the Bill of Information, TTFG never obtained a single loan or insurance policy for the Classic 105 program, and participants never made any actual contributions. Rather, TTFG arranged for the contribution, loan, and insurance policy to appear as a series of “paper transactions” that, in effect, did nothing more than reduce participants’ taxable wages and employers’ FICA payments improperly, without their knowledge of the impropriety. In truth, the only money actually paid to TTFG were the fees.
SILVA was hired by the owners of TTFG in about 2013. SILVA performed numerous functions at TTFG, including preparing the federal and state income tax returns for TTFG and its owners, as well as serving as the primary point of contact for all accounting-related issues that arose. In his role with TTFG, SILVA knowingly caused false statements to be made to employer-clients and employee-participants about the financial condition, solvency, and benefits provided by Classic 105 during the marketing and sale of the program, including statements on December 17, 2014 and January 15, 2015.
SILVA faces a maximum term of five (5) years imprisonment, a fine of up to $250,000.00, three (3) years of supervised release after any term or imprisonment, and a mandatory $100 special assessment. Sentencing before Chief Judge Brown has been scheduled for January 24, 2019.
U.S. Attorney Strasser praised the work of the Internal Revenue Service – Criminal Investigations; Federal Bureau of Investigation; and United States Department of Labor – Office of Inspector General and Employment Benefits Security Administration and expressed appreciation for the support provided by Senior Trial Attorney Rebecca Pyne, Department of Justice, Organized Crime and Gang Section, Labor-Management Racketeering Unit. Assistant United States Attorney Jordan Ginsberg is in charge of the prosecution.
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Convicted Felon Sentenced to More Than 5 Years for Illegally Possessing a Loaded Handgun in Western SuburbRead the Press Release
CHICAGO — A convicted felon has been sentenced to more than five years in federal prison for illegally possessing a loaded semi-automatic handgun in a west suburb of Chicago.
MARK HILL possessed the gun on June 17, 2016, in Broadview. Hill had previously been convicted of a felony and was not legally allowed to possess a firearm. After his arrest, Hill attempted to obstruct justice by urging his girlfriend to lie on his behalf.
Hill, 41, of Broadview and Chicago, pleaded guilty earlier this year to one count of illegal possession of a firearm by a felon. U.S. District Judge Gary Feinerman on Tuesday sentenced Hill to five years and ten months in federal prison.
The sentencing was announced by John R. Lausch, Jr., United States Attorney for the Northern District of Illinois; and Celinez Nunez, Special Agent-in-Charge of the Chicago Field Division of the U.S. Bureau of Alcohol, Tobacco, Firearms and Explosives. Valuable assistance was provided by the Broadview Police Department, Bellwood Police Department, and Hillside Police Department.
“Possessing a firearm as a convicted felon is a serious offense and creates wholly unnecessary risks to public safety,” Assistant U.S. Attorney Erin E. Kelly argued in the government’s sentencing memorandum.
Evidence in the case revealed that Hill stored the loaded handgun and additional ammunition under a mattress in the bedroom of his girlfriend’s apartment. After his arrest, Hill telephoned his girlfriend from jail on numerous occasions. Hill urged his girlfriend to lie under oath concerning the location of evidence that police found in the apartment. Hill also told his girlfriend that he would coach her testimony, requesting that she “come see me so you tell ‘em everything I tell you to say.”
Columbia Man Pleads Guilty to Illegal FirearmsRead the Press Release
JEFFERSON CITY, Mo. – A Columbia, Mo., man pleaded guilty in federal court today to illegally possessing firearms and ammunition that had been stolen in a recent burglary.
Deangelo Wayne Joe, Jr., 24, pleaded guilty before U.S. Magistrate Judge Willie J. Epps, Jr., to being a felon in possession of firearms and ammunition.
Columbia police officers responded to a report of shots fired in the parking lot of The Links apartment complex in the 1500 block of Clark Lane at approximately 11:42 p.m. on July 11, 2018. When they arrived, the officers located Joe and told him to put his hands up. Joe looked at the officers and took off running into an apartment in the complex.
Police officers surrounded the building. For approximately 30 minutes, officers gave commands over the PA for the residents to exit the apartment into which Joe had run. When Joe exited the apartment he was arrested on outstanding warrants. Officers who searched him found .22-caliber ammunition, including a fired shell casing, in his pants pocket.
Officers searched the apartment and found a Browning .22-caliber handgun and an FMK .22-caliber rifle. In a bedroom closet they also found a range bag, which contained multiple rounds of .22-caliber ammunition. Both firearms and the range bag full of ammunition were reported stolen in a burglary that occurred a few days earlier.
Under federal law, it is illegal for anyone who has been convicted of a felony to be in possession of any firearm or ammunition. Joe has two prior felony convictions for burglary.
Under federal statutes, Joe is subject to a sentence of up to 10 years in federal prison without parole. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes, as the sentencing of the defendant will be determined by the court based on the advisory sentencing guidelines and other statutory factors. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
This case is being prosecuted by Assistant U.S. Attorney Aaron Maness. It was investigated by the Columbia, Mo., Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives.
Clinton Man Pleads Guilty Under Project EJECT to CarjackingRead the Press Release
Jackson, Miss. – Cedric Winfield, 23, of Clinton, pled guilty yesterday before Senior U.S. District Judge William H. Barbour, Jr. to carjacking, announced U.S. Attorney Mike Hurst and Christopher Freeze, Special Agent in Charge of the Federal Bureau of Investigation in Mississippi.
A federal grand jury indicted Alexus Guster, Darrell Moore, and Cedric Winfield for carjacking a victim at gunpoint on November 7, 2017. Winfield pleaded guilty yesterday to participating in the carjacking.
Winfield faces a maximum penalty of fifteen years in prison and a $250,000 fine for his role in the carjacking. Guster pled guilty to carjacking in January and is set to be sentenced on November 29, 2018. Moore’s trial is scheduled for November 14, 2018, at 9:00 a.m. before Judge Barbour.
This case was investigated by the Federal Bureau of Investigation and the Jackson Police Department. It is being prosecuted by Assistant United States Attorneys Mary Helen Wall and Kimberly Taft Purdie.
This case is part of Project EJECT, an initiative by the U.S. Attorney’s Office for the Southern District of Mississippi under the U.S. Department of Justice’s Project Safe Neighborhoods (PSN). EJECT is a holistic, multi-disciplinary approach to fighting and reducing violent crime in Jackson through prosecution, prevention, re-entry and awareness. EJECT stands for "Empower Jackson Expel Crime Together." PSN is a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. Attorney General Jeff Sessions reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.
California Resident Pleads Guilty in Scheme to Defraud the United States of over $9 MillionRead the Press Release
Jacqueline Ramos, aka Jackie Acosta, of Salinas, California, pleaded guilty yesterday to one count of conspiring to submit false claims for income tax refunds and two counts of bank fraud, announced Principal Deputy Assistant Attorney General Richard E. Zuckerman of the Justice Department’s Tax Division and United States Attorney Alex G. Tse of the Northern District of California.
According to documents and information provided to the court, Ramos conspired with others to defraud the Internal Revenue Service (IRS) by filing false tax returns to obtain fraudulent refund checks, and then depositing the checks into bank accounts under their control. The false returns included fake income, bogus dependents, and sham education expenses. By filing these fraudulent returns, Ramos and her co-conspirators are alleged to have stolen more than $9 million in tax refunds. Two of those co-conspirators, Ana Bajo, aka Ana Covarrubias, and Norma Morfin, aka Norma Mandujano, pleaded guilty earlier this year to related tax charges.
U.S. District Court Judge Lucy H. Koh scheduled sentencing for March 20, 2019. Ramos faces a maximum sentence of ten years in prison for the conspiracy count and thirty years for each of the bank fraud counts, in addition to a period of supervised release, restitution, and monetary penalties.
Principal Deputy Assistant Attorney General Zuckerman and United States Attorney Tse commended the IRS special agents who investigated this case, as well as the Department of Justice attorneys who are handling it, Assistant United States Attorney Michael G. Pitman and Trial Attorney Christopher Magnani.
Additional information about the Tax Division and its enforcement efforts may be found on the division’s website.
Buffalo Man Sentenced to 17 Years in Federal Prison on Gun and Drug ChargesRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that Jay Neal, 40, of Buffalo, NY, who was convicted of eight counts including conspiracy to possess with intent to distribute 100 grams or more heroin, possession with intent to distribute, and distribution of, heroin, maintaining a drug involved premises, possession of a firearm in furtherance of drug trafficking activity, being a felon in possession of a firearm, and possession of a defaced firearm, was sentenced to serve 210 months in prison by Chief U.S. District Judge Frank P. Geraci, Jr.
Assistant U.S. Attorney Michael J. Adler, who handled the case, stated that on October 20, 2015, Neal sold a quantity of heroin to an individual working with the Drug Enforcement Administration. The following day, on October 21, 2015, Neal once again agreed to sell a quantity of heroin. Neal drove to a residence at 87 Mariner Street in Buffalo. About an hour later, Neal and co-defendant Quashawn Lawrence were arrested by police. At the time of his arrest, Neal was armed with a 9mm handgun and had $10,000 in cash. A search warrant executed inside 87 Mariner recovered two guns, ammunition, 10 grams of heroin inside a dresser drawer, and multiple scales.
In 1997, Neal was convicted in state court of Attempted Murder and Robbery in the 1st Degree. As a result of those convictions, Neal was legally prohibited from possessing a firearm.
Today’s sentencing is the result of an investigation by the Drug Enforcement Administration, under the direction of Special Agent-in-Charge James J. Hunt, New York Field Division, and the Erie County Sheriff’s Department, under the direction of Sheriff Timothy Howard.
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Broussard woman sentenced to 2 years for stealing nearly $275,000 from bank customer accountsRead the Press Release
LAFAYETTE, La. – United States Attorney David C. Joseph announced that a Broussard woman was sentenced Wednesday to 24 months in prison for embezzling almost $275,000 from bank customers.
Derlena Carrier, 59, of Broussard, Louisiana, was sentenced by U.S. District Judge S. Maurice Hicks Jr. on one count of theft, embezzlement or misapplication by a bank officer or employee. She was also sentenced to five years of supervised released and was ordered to pay $274,980. According to the May 11, 2018 guilty plea, Carrier worked as an account clearing house (ACH) specialist for a bank where she had access to bank customer accounts and handled ACH wire transfers. From March of 2010 to December of 2016, Carrier initiated 74 fraudulent wire transfers from customers’ accounts to personal accounts. Carrier embezzled a total of $274,980 during the course of the scheme.
The U.S. Secret Service and the Lafayette Police Department conducted the investigation. Assistant U.S. Attorney David J. Ayo is prosecuting the case.
Broken Arrow Man Sentenced to 10 Years for Enticing a MinorRead the Press Release
United States Attorney Trent Shores announced today that Skylor Ramazani Norman, 24, of Broken Arrow, was sentenced to serve more than 10 years in federal prison after being found guilty of Enticement of a Minor.
United States District Judge Claire V. Eagan ordered Norman to pay restitution in the amount of $3,925 and a special monetary assessment totaling $100. After release from prison, Norman must serve seven years of supervised release.
On February 19, 2018, Norman provided the 12-year-old victim with his telephone number while she was at a local restaurant. She did not have a cell phone, so she downloaded an app on her iPad and later began communicating with the perpetrator. Norman groomed the victim, asking to be in a relationship with her and referring to her as his girlfriend. After multiple text exchanges, they agreed to meet. The victim sneaked out of her mother’s house and spent two nights at Norman’s residence. The mother, fearing her daughter had been kidnapped, contacted police.
“Children’s frequent use of technology has made them especially vulnerable to perpetrators who gain their trust and exploit them,” stated U.S. Attorney Trent Shores. “This prosecution serves as a stern warning to those predators who would initiate contact and use texting apps and social networking to prey upon children in northeastern Oklahoma. Your criminal actions will be exposed. Law enforcement agents will find you, and federal prosecutors will give voice to the child victims who suffered at your hand.”
This case was prosecuted as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorneys’ Offices and CEOS, Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Investigating officials were the Federal Bureau of Investigation and the Broken Arrow Police Department. This case was prosecuted by Assistant U.S. Attorneys Jeffrey A. Gallant and Victor A.S. Régal.
Bristol Man Sentenced for Receipt of Child PornographyRead the Press Release
The Office of the United States Attorney for the District of Vermont stated that Cody Clark, 27, of Bristol, Vermont, was sentenced on October 18, 2018, in United States District Court in Burlington, Vermont, to serve 120 months in prison after his guilty plea to one count of receipt of child pornography. U.S. District Judge Christina Reiss also ordered Clark to serve a thirty (30) year term of supervised release, and to pay a $100 special assessment.
According to court records and proceedings, in the summer of 2017, Google transmitted a “Cybertip” to the National Center for Missing and Exploited Children (NCMEC) that a user, later identified as Clark, had uploaded images of child pornography to Clark’s Google account. NCMEC forwarded the tip to the Vermont Internet Crimes Against Children Task Force (the ICAC). The ICAC investigated the tip and obtained a warrant to search Clark’s residence in Bristol, Vermont. On September 2, 2017, law enforcement executed the search warrant and seized several computers and other devices from Clark. Officers also discovered a minor child in his bed. During a statement made to law enforcement, Clark admitted that he produced and possessed images of child pornography, that he knew he had a problem and needed help, and that he had inappropriately touched young boys in his care, though he claimed that such touches were non-sexual. A forensic examination of his devices confirmed that Clark had produced images of child pornography, and possessed images that he had downloaded from the Internet.
United States Attorney Christina E. Nolan commended the efforts of the Vermont Internet Crimes Against Children Task Force and Homeland Security Investigations in the investigation and prosecution of Clark. She added:
“Let this case serve as a reminder that those who sexually exploit children will be targets for federal prosecution, and a top priority for federal investigators. Society should be measured by how it protects its most innocent and vulnerable members, and the Vermont law enforcement community will bear this in mind as we relentlessly pursue those who harm children and advocate for serious sentences. As Judge Reiss said in imposing sentence, this defendant’s conduct was ‘unforgiveable and a violation of trust.’”
Assistant U.S. Attorney Barbara A. Masterson handled the prosecution of Clark. Clark was represented by Assistant Federal Public Defender Elizabeth Quinn.
U.S. Attorney Nolan noted that this prosecution is part of the U.S. Department of Justice's Project Safe Childhood, a nationwide initiative designed to protect children from online exploitation and abuse. Led by the U.S. Attorney's Offices, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend, and prosecute individuals who exploit children via the Internet, as well as identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
Belton Man Sentenced to 17 Years for Meth Conspiracy in Northern MissouriRead the Press Release
KANSAS CITY, Mo. – A Belton, Mo., man was sentenced in federal court today for his role in a conspiracy to distribute methamphetamine in north central Missouri and for illegally possessing firearms.
Robert Ryan Hicks, 36, was sentenced by U.S. District Judge Gary A. Fenner to 17 years and seven months in federal prison without parole.
On Dec. 4, 2017, Hicks pleaded guilty to participating in a conspiracy to distribute methamphetamine and to possessing firearms in relation to drug trafficking. Hicks admitted that he was responsible for the distribution of at least 1.5 kilograms of methamphetamine during the conspiracy.
NITRO (the Northwest Inter-agency Team Response Operation) initiated an investigation in Grundy County, Mo., in December 2014 that focused on methamphetamine distribution in the north central region of Missouri, with sources of supply in the Kansas City, Mo., metropolitan area.
Hicks was stopped by Grandview, Mo., police officers on two occasions in 2015. On Jan. 20, 2015, he was in possession of 39.46 grams of pure methamphetamine, as well as pills and marijuana. On Feb. 3, 2015, he was in possession of a Hi-Point 9mm pistol and a Cobra .380-caliber pistol. On May 22, 2015, Hicks supplied a co-defendant with 27.6 grams of pure methamphetamine to sell to an undercover law enforcement officer.
Hicks is among six defendants who have pleaded guilty and been sentenced in this case. Ryan Peter Trombley, 33, of Trenton, Mo., was sentenced to 11 years and six months in federal prison without parole. Alicia Marie Grimes,50, of Trenton, was sentenced to a year and a day in federal prison without parole. Christopher John Vaccaro, 42, of Kansas City, Mo., was sentenced to 17 years in federal prison without parole. Crystal Renee Breshears, 27, of Belton, was sentenced to five years and 10 months in federal prison without parole. Allen Ray Watson, 45, of Blue Springs, Mo., was sentenced to five years in federal prison without parole.
Co-defendant Faron Wayne Lawrence, 51, of Trenton, also has pleaded guilty and awaits sentencing.
This case is being prosecuted by Assistant U.S. Attorney Bruce Rhoades. It was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and NITRO (the Northwest Missouri Interagency Team Response Operation).
Alorton Man Pleads Guilty, Faces Possible Life Sentence for Shooting A Federal WitnessRead the Press Release
Tereze L. Fenderson, age 39, pleaded guilty in federal court to charges that he attempted to retaliate against a witness or informant, unlawfully possessed a firearm as a convicted felon, and discharged a firearm in connection with a crime of violence, Steven D. Weinhoeft, United States Attorney for the Southern District of Illinois, announced today.
In early 2015, agents with the Bureau of Alcohol, Tobacco, Firearms & Explosives executed a warrant searching for guns and drugs at Fenderson’s Alorton, Illinois home. Fenderson immediately ran into the house and locked the door. The agents ultimately made forced entry into the home and discovered more than four pounds of marijuana, along with a 9 mm semi-automatic pistol. Another 68 pounds of Fenderson’s marijuana was separately recovered from his girlfriend’s house. Officers later seized approximately $13,000 in cash from Fenderson upon his arrest on a federal indictment for unlawful possession of a firearm.
Evidence presented at Fenderson’s plea hearing established that, while out on bond pending trial, Fenderson became convinced that a former drug associate had cooperated against him in the federal investigation. On October 22, 2017, at nearly 1:00 AM, Fenderson located and confronted his former associate on the sidewalk outside a bar on Piggott Avenue, in East St. Louis, Illinois. When a mutual friend interceded and tried to deescalate the situation, the former associate walked around the building and out of sight. Fenderson got back into his car with two other men and drove slowly around the block looking for his former associate. Minutes later, Fenderson found the man hiding near the intersection of 15th and Piggott Streets.
Fenderson stopped the car in the middle of 15th Street, where he and another man in the car opened fire, shooting the victim in the hip and lower leg. The victim sought cover behind a nearby parked car and returned fire from his own handgun. After Fenderson sped away, the victim was rushed to a nearby hospital. The gunshot to his lower leg broke both bones and has required multiple surgeries to repair.
Because of the shooting, Fenderson’s bond was revoked and he was re-arrested on November 2, 2017. He remains in custody. He was later charged in a superseding indictment that added additional charges for witness retaliation and using a firearm during a crime of violence.
Causing bodily injury to a prospective witness is a federal crime that carries up to 20 years imprisonment. Fenderson is also facing up to 10 years imprisonment for unlawful possession of a firearm by a felon, and a mandatory minimum of not less than 10 years and as much as life imprisonment for discharging a firearm in connection with a crime of violence.
Fenderson previously served a six-year prison term in the Illinois Department of Corrections on a 2005 conviction out of St. Clair County for involuntary manslaughter.
Sentencing is scheduled for January 25, 2019, in East St. Louis, Illinois.
United States Attorney Steven D. Weinhoeft said, "This case should serve as a warning that federal law enforcement will relentlessly pursue those who embrace the ‘code of the street’ by threatening or retaliating against witnesses. This so-called ‘street code’ is contrary to the most basic tenets of society and is calculated to undermine the rule of law so that violent actors can prey upon the vulnerable in darkness without the fear of getting caught. The public can be assured that law enforcement will do everything in its power to protect witnesses while forcefully prosecuting those who would do harm."
Earlier today, the Attorney General announced that in fiscal year 2018, the Justice Department charged more defendants with violent crimes than in any other year since the Department began tracking the statistic more than 25 years ago – surpassing by nearly 15% the previous record set just last year.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. Attorney General Jeff Sessions reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms & Explosives. The case is being prosecuted by United States Attorney Steven D. Weinhoeft and Assistant U.S. Attorney James G. Piper, Jr.
Allen Charged in Seven-Count Federal Indictment with Threat to Use A Biological Toxin as A WeaponRead the Press Release
SALT LAKE CITY – A federal grand jury in Salt Lake City returned a seven-count indictment Thursday morning charging William Clyde Allen, III, age 39, of Logan, Utah, in connection with ricin-related threats. The indictment alleges he knowingly threatened to use a biological agent and toxin, specifically ricin, as a weapon.
Assistant Attorney General John C. Demers of the Department of Justice’s National Security Division, U.S. Attorney John W. Huber of Utah, Special Agent in Charge Eric K. Barnhart of the FBI’s Salt Lake City Field Office, Special Agent in Charge John Gullickson of the U.S. Secret Service’s Denver Field Office, and U.S. Postal Inspector Jared D. Bingham, Team Leader in Salt Lake City, announced the indictment.
The indictment also charges Allen with one count of mailing a threat against the President and five counts of mailing threatening communications to an officer or an employee of the United States in the indictment returned Thursday morning.
Allen was arrested on a federal complaint filed Oct. 5, 2018. He was ordered detained pending resolution of the case at a detention hearing Monday. U.S. Magistrate Judge Dustin B. Pead found him to be a danger to the community. Allen entered a plea of not guilty to the charges Thursday morning in U.S. District Court. U.S. District Judge David Sam will preside over a four-day trial starting Dec. 26, 2018, in Salt Lake City.
The indictment alleges the defendant sent a letter to the President of the United States with the language “Jack and the Missile Bean Stock Powder” and containing castor bean material.
Five counts of the indictment charge Allen with mailing threatening communications to an officer or an employee of the United States, including Secretary of Defense James N. Mattis; Admiral John M. Richardson, Chief of Naval Operations; FBI Director Christopher A. Wray; CIA Director Gina Haspel; and Secretary of the Air Force Heather Wilson.
Ricin naturally exists in, and may be extracted from, the seeds of the castor bean. The extraction of ricin from these seeds does not require technical expertise. Small doses of ricin are lethal to human beings if ingested, inhaled, or injected. According to Center for Disease Control information, there are no known antidotes for poisoning from ricin. Allen purchased 380 castor beans in December 2017 in quantities of 100 (two purchases) and 30 (six purchases).
The potential maximum penalty for threatening to use a biological toxin as a weapon is life in prison. Mailing a threat against The President has a potential maximum penalty of five years in prison and mailing a threatening communications to an officer or an employee of the United States has a potential 10-year sentence.
Indictments are not a finding of guilt. Individuals charged in indictments are presumed innocent unless or until proven guilty in court.
The U.S. Attorney’s Office in Salt Lake City, with the assistance of the Department of Justice’s National Security Division’s Counterterrorism Section, is prosecuting the case. U.S. Postal Inspectors and special agents of the FBI and U.S. Secret Service are investigating the case.
Alien Indicted on Illegal Reentry ChargeRead the Press Release
RALEIGH – Robert J. Higdon, Jr., United States Attorney for the Eastern District of North Carolina, announces that a federal grand jury in Raleigh has returned an indictment charging ELIMAS MENDEZ-ROBLERO, age 33, of Mexico, with illegal reentry of a deported alien.
If convicted of illegal reentry subsequent to an aggravated felony conviction (conspiracy to commit possession with intent to sell or deliver a Schedule II controlled substance), MENDEZ-ROBLERO, previously deported and found in Wake County, would face maximum penalties of 20 years imprisonment, a $250,000 fine, and a term of supervised release following any term of imprisonment.
The charges and allegations contained in the indictment are merely accusations. The defendant is presumed innocent unless and until proven guilty in a court of law.
The case is being investigated by ICE’s Enforcement and Removal Operations.
AUSA Heather L. Carlton Named Federal Prosecutor of the Year by Virginia Gang Investigators AssociationRead the Press Release
VIRGINA BEACH, VIRGINIA –Assistant United States Attorney Heather L. Carlton was honored Tuesday at the Virginia Gang Investigators Association’s 20th Annual Gang Conference in being named the Federal Prosecutor of the Year.
AUSA Carlton was presented the award during a ceremony in Virginia Beach featuring law-enforcement leaders from across Virginia, including more than 500 gang investigators.
For more than 25 years, the Virginia Gang Investigators Association has been the premier law-enforcement association for training and up-to-date information on the latest trends and prevention techniques.
“I am thrilled that the VGIA has honored Heather Carlton with this award,” U.S. Attorney Cullen stated. “Thanks in large part to her initiative and leadership—as well as the hard work of our federal, state, and local law-enforcement partners—we are making significant strides towards reducing violence in Danville. Nearly 20 alleged gang members are no longer operating on the streets of this community, and Heather and her task force partners are continuing their efforts to achieve a meaningful and lasting reduction in violent crime there.”
The Virginia Gang Association recognized AUSA Carlton for her work on the Rollin 60s and Milla Bloods racketeering indictments out of Danville, Virginia. The two indictments, returned in June 2018, charged 18 alleged gang members and associates from the City of Danville with crimes ranging from murder to drug distribution to obstruction of justice. At the time, U.S. Attorney Cullen called it “the largest and most significant federal prosecution of organized gang activity in the Western District of Virginia in at least a decade.”
AUSA Carlton also serves as the Deputy Criminal Chief for the Western District of Virginia and is responsible for the district’s Project Safe Neighborhoods [PSN] and violent-crime reduction strategies. Project Safe Neighborhoods fosters coordination and cooperation between federal, state, and local law-enforcement agencies with the goal of reducing violent crime.
“Over the past year, Heather has been instrumental in establishing critical PSN infrastructure and directing PSN strategy in Danville and Roanoke,” U.S. Attorney Cullen stated. “In addition, she recently helped secure a significant PSN grant for the Western District, which will be used to promote additional gang and violent-crime reduction strategies in other parts of our large district.”
Wednesday 17 October 2018
Woman Sentenced for Embezzling Money from a Labor UnionRead the Press Release
She stole over 140,000 dollars between 2010 and 2014 from Charleston Building and Construction Trades Council
CHARLESTON, W.Va. – A South Charleston woman was sentenced to a year and a day in prison, announced United States Attorney Mike Stuart. Joan Matthews, 70, pled guilty on June 12, 2018 to the felony offense of embezzlement and theft from a labor union. The Court also ordered her to pay $141,325.78 in restitution to the Charleston Building and Construction Trades Council (CBCTC). Stuart commended the investigative efforts of the United States Department of Labor, Office of Labor-Management Standards.
“When you are 70 years old, a sentence of a year and a day is a lifetime,” said United States Attorney Mike Stuart. “Matthews used her position as a bookkeeper for the CBCTC to steal money over several years. She earned her sentence.”
Matthews previously admitted that she was employed as a bookkeeper by the CBCTC. Matthews told the Court that she began embezzling CBCTC union monies in 2010. To accomplish the theft, she would prepare and cash unauthorized union checks, use union funds to pay credit card bills, and make personal charges to the CBCTC credit cards. Her embezzlement continued until September 2014 when her crimes were discovered by other union employees. Matthews is no longer employed by the CBCTC. The CBCTC is chartered by the Building and Construction Trades Department of the AFL-CIO and has jurisdiction over local construction unions, and unions in the building and trades industries throughout West Virginia.
Assistant United States Attorney Erik S. Goes is in charge of the prosecution. United States District Judge John T. Copenhaver, Jr. presided over the hearing.
Follow us on Twitter: @SDWVNews and @USAttyStuart
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Wilmington Man Sentenced to More Than 10 Years for Heroin DistributionRead the Press Release
RALEIGH – The United States Attorney for the Eastern District of North Carolina, Robert J. Higdon, Jr., announced that Chief United States District Judge Terrence W. Boyle sentenced DAVID ANDREW KIRTON, JR. 25, of Wilmington, North Carolina to 100 months of imprisonment followed by 3 years of supervised release and a consecutive sentence of 24 months for a supervised release violation. The total active sentence imposed was 124 months, followed by 3 years of supervised release.
On May 1, 2018, KIRTON entered a plea of guilty to distribution and possession with intent to distribute a quantity of heroin. KIRTON admitted a supervised release violation for a prior federal conviction for Conspiracy to possess with the intent to distribute and distribute more than five grams of cocaine base and a quantity of heroin at the time of his sentencing.
A joint investigation between the Wilmington Police Department Gang Unit and the Federal Bureau of Investigation’s Safe Streets Task Force revealed that between October 2016 and April 2017, KIRTON, and others were responsible for the distribution of significant amounts of heroin in the Wilmington area. During this period of time, several undercover purchases of heroin were made from KIRTON at the direction of law enforcement. These occurred while KIRTON was on federal supervised release for a previous conviction for conspiracy to possess with the intent to distribute and distribute cocaine base (crack) and heroin.
This case is part of the Take Back North Carolina Initiative of United States Attorney’s Office for the Eastern District of North Carolina. This initiative emphasizes the regional assignment of federal prosecutors to work with law enforcement and District Attorney’s Offices on a sustained basis in those communities to reduce the violent crime rate, drug trafficking, and crimes against law enforcement.
This investigation was conducted by the Wilmington Police Department Gang Unit and the Federal Bureau of Investigation’s Safe Streets Task Force, and the New Hanover County Sheriff’s Office. Assistant United States Attorney Timothy M. Severo handled the prosecution of this case for the government.
Wilmington Man Sentenced to 10 Years for Cocaine DistributionRead the Press Release
RALEIGH – The United States Attorney for the Eastern District of North Carolina, Robert J. Higdon, Jr., announced that Chief United States District Judge Terrence W. Boyle sentenced WILLIAM POLLOCK 31, of Wilmington, North Carolina to 120 months of imprisonment followed by 3 years of supervised release.
On June 26, 2018, POLLOCK entered a plea of guilty to Possession with Intent to Distribute 28 Grams or More of Cocaine Base (Crack) and 500 Grams or More of Cocaine.
On January 18, 2018, the New Hanover County Sheriff’s Office (NHCSO) Narcotics Detectives conducted a traffic stop of a car leaving a drug stash house in which Pollock was a passenger. Law enforcement discovered items in the car that led to a search warrant of POLLOCK’S residence. NHCSO officers found more than 350 grams of cocaine and 50 grams of crack cocaine in the residence.
During the course of the investigation it was discovered that POLLOCK had been purchasing cocaine since July 2017. This included the several ounces of cocaine purchased just two days prior to his arrest.
POLLOCK’S self-described philosophy is summed by a tattoo on his body which reads, “Port City Menace” said investigators.
This case is part of the Take Back North Carolina Initiative of the United States Attorney’s Office for the Eastern District of North Carolina. This initiative emphasizes the regional assignment of federal prosecutors to work with law enforcement and District Attorney’s Offices on a sustained basis in those communities to reduce the violent crime rate, drug trafficking, and crimes against law enforcement.
This investigation was conducted by the New Hanover County Sheriff’s Vice Unit and the Federal Bureau of Investigation’s Costal Career Criminal Enterprise Unit. Assistant United States Attorney Timothy M. Severo handled the prosecution of this case for the government.
Wilmington Gang Members Sentenced for Heroin DistributionRead the Press Release
RALEIGH – The United States Attorney for the Eastern District of North Carolina, Robert J. Higdon, Jr., announced that yesterday, United States District Judge James C. Dever III sentenced DEANDRE SWEET, 27, of Wilmington to 105 months of imprisonment followed by 3 years of supervised release. Additionally, yesterday, KYERIC SWEET, 25, of Wilmington was sentenced to 90 months of imprisonment followed by 3 years of supervised release.
On September 19, 2016, in a joint investigation, the FBI Safe Streets Task Force Gang Unit and the New Hanover County Sheriff’s Office Vice Division arranged an undercover purchase of heroin from DEANDRE SWEET. When DEANDRE SWEET arrived in a parking lot in Wilmington to complete the sale, law enforcement stopped his rental car and found 500 bags of heroin during a search of the vehicle. DEANDRE SWEET was then arrested.
According to the investigation, DEANDRE SWEET imported more than 500 grams of heroin from New York and New Jersey for distribution. A portion of this heroin was provided to gang members in the Wilmington area.
In the same joint investigation, law enforcement conducted several undercover purchases from KYERIC SWEET between June and October 2017. On October 12, 2017, law enforcement arrested KYERIC SWEET in possession of a quantity of heroin and more than $2,500. According to law enforcement, KYERIC SWEET is a validated gang member.
These cases are part of the Organized Crime Drug Enforcement Task Force Investigation entitled Tooth Fairy targeting gangs and heroin distribution in southeast North Carolina. This investigation was conducted by the Federal Bureau of Investigation’s Safe Streets Task Force, Wilmington Police Department Gang Unit and the New Hanover County Sheriff’s Office. Assistant United States Attorney Timothy M. Severo handled the prosecution of this case for the government.
Williamsport Man Indicted for Marijuana TraffickingRead the Press Release
WILLIAMSPORT - The United States Attorney’s Office for the Middle District of Pennsylvania announced today that Jason Webb, age 45, of Williamsport, Pennsylvania, was indicted on October 16, 2018, by a federal grand jury for conspiracy to distribute marijuana and possession with intent to distribute marijuana.
According to United States Attorney David J. Freed, Webb conspired with others to distribute marijuana from December 2017 to October 5, 2018, in Lycoming County.
The case was investigated by the Williamsport Bureau of Police, Pennsylvania State Police and the Federal Bureau of Investigation. Assistant United States Attorney Alisan V. Martin is prosecuting the case.
Indictments are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
The penalty under federal law for the offenses is a maximum sentence of up to 30 years in prison and a $2,000,000 fine. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant's educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
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Victoria Man Gets Significant Sentence for Hate Crime in Burning of Local MosqueRead the Press Release
HOUSTON - The 26-year-old man convicted of burning the Victoria Islamic Center in January 2017 has been ordered to federal prison for more than 24 years.
U.S. Attorney Ryan Patrick for the Southern District of Texas, Acting Assistant Attorney General John Gore of the Justice Department’s Civil Rights Division, Special Agent in Charge Fred Milanowski of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) and Special Agent in Charge Perrye K. Turner of the FBI made the announcement.
A federal jury in Victoria returned guilty verdicts July 16, 2018, on all counts as charged against Marq Vincent Perez. They found him responsible for a hate crime in the burning of the Jan. 28, 2017, and for use of a fire to commit a felony. In addition, they found he possessed an unregistered destructive device for an incident that occurred on Jan. 15, 2017.
Today, Senior U.S. District Judge John Rainey noted the seriousness of the offense before imposing a 294-month-term of imprisonment. In handing down the sentence, the court noted that the most important factor in determining punishment was adequate deterrence, stating that “this conduct would not be tolerated in our society.”
Judge Rainey also commented on hate crimes and how they are “a cancer to our society” and that “this must stop.” The Judge also noted that Perez wanted to send a message to the Muslim community, but the court was also sending a message to Perez and others like him.
At the hearing, three members of the mosque also provided testimony detailing the impact the crime has had on them, their families and the community. They noted that people are still frightened to this day, noting that some of the female members do not even wear the traditional head coverings in public. Some members cannot even bring themselves to return because of their fears.
“The Attorney General has said that the Freedom of religion is indeed our ‘first freedom’—being the first listed right of our First Amendment,” said Patrick. “The Department of Justice prosecutes violent and dangerous crime, but also, and particularly when that crime interferes with someone’s ability to practice their religious faith. Not only was this a dangerous and potentially deadly act, but also one spurred from hate. I am glad justice was served in this case.”
“Everyone in this country has the right to worship freely without fear of violence,” said Gore. “This defendant terrorized the Muslim community in Victoria, and the Department partnered with federal, state and local agencies to ensure that the person responsible for this heinous hate crime would be found and prosecuted.”
“ATF is the primary federal law enforcement agency tasked with investigating House of Worship Fires and views an arson against a house of worship as not just an attack on a building, but as an attack against an entire community,” said Milanowski. “ATF is pleased the defendant has been held accountable for this crime and will continue to respond to these violent crimes using all available resources.”
“Mr. Perez sought to provoke terror within the tranquil space of the Victoria Islamic Center," said FBI Assistant Special Agent-in-Charge Edward Michel. "By deliberately burning down this mosque, Mr. Perez attacked a specific religious congregation in the hope of spreading fear, conflict and depriving Victoria’s Islamic community of their peaceful and safe place to worship. Today's sentencing illustrates that hate crimes will not be tolerated. No one in this country should feel afraid to openly practice their religion or express their beliefs. The FBI will continue to aggressively investigate civil rights violations wherever and whenever they occur."
At the time of the trial, the jury heard that the case was “a simple, straightforward case of hate.”
Testimony at trial detailed how Perez conducted what he described as “recon” by breaking into the mosque a week before he set it on fire. Evidence presented at trial showed Perez communicated with someone through Facebook about breaking into the mosque a second time, the same night of the fire. A witness who was with Perez on the night of the fire described how Perez used a lighter to set papers on fire inside the mosque and how excited Perez was upon seeing the mosque in flames just minutes later.
The witness testified that Perez said that he burned down the mosque, because he wanted to “send a message.”
During the execution of a search warrant, federal agents recovered stolen property taken from the mosque the night of the fire in Perez’s home. Several witnesses at trial also testified about Perez’s animus towards Muslims and that he often used anti-Muslim slurs.
Members of the mosque testified at the trial that they watched from afar as federal, state and local law enforcement officers tried to extinguish the fire, but observed that the fire could not be put out until it had engulfed the entire mosque. Those witnesses also testified that, after the destruction of the mosque, the Victoria Islamic Center raised money online from over 20,000 individuals from all over the United States and more than 90 countries to rebuild the mosque.
When Perez learned that the Victoria Muslim community had raised money to rebuild the mosque, he told a witness that he would burn the mosque down again if it was rebuilt.
ATF and FBI conducted the investigation along with the City of Victoria Fire Marshal’s Office, Victoria Fire Department, Victoria Police Department, Texas Department of Public Safety - Criminal Investigations Division and Texas Rangers with assistance of Texas State Fire Marshal’s Office and Sheriff’s Offices in Victoria and Nueces Counties and the Victoria County District Attorney’s Office.
The City of Victoria has also acknowledged the efforts in this case, noting “The Victoria Fire Department and the City of Victoria would like to extend our gratitude and appreciation to all of our local state and federal partners. We also want to thank all of the local businesses and organizations that have supported the investigation team. This has been a long process, 21 months. We want to thank the community for their patience and support.”
Assistant U.S. Attorneys Sharad S. Khandelwal and Kate Suh prosecuted the case along with Trial Attorney Saeed Mody of the Department of Justice’s Civil Rights Division
Vancouver, Washington Man Indicted for Scheme to Claim Disability Benefits while Working under a False IdentityRead the Press Release
An engineer employed with technology manufacturing companies in the Vancouver, Washington area was indicted today by a federal grand jury for a scheme to collect disability benefits under his own identity while working under a false identity, announced U.S. Attorney Annette L. Hayes. STEVEN LYNN ROSS, 67, is accused of stealing more than $360,000 in government benefits. ROSS possessed identity documents he had fraudulently obtained in the names of children who died in the 1950s and 1960s. ROSS was arrested earlier this month and will be arraigned on the indictment in U.S. District Court in Tacoma on October 29, 2018.
According to records filed in the case, in 1987 ROSS assumed the identities of at least two deceased children in order to open Social Security accounts in their names. One of the children had died in a car accident as a toddler, the other died in a plane crash in 1968 at age thirteen. ROSS used these identities in various ways, obtaining drivers licenses, bank accounts and passports in various names. In 2001, ROSS began collecting Social Security Disability payments in his true name, saying he was unable to work due to physical ailments. In fact, at the same time that he was collecting disability payments, ROSS continued to work under one of the identities he had stolen. In this way, ROSS collected more than $360,000 in disability payments even though he was not disabled under program rules.
The Washington State Department of Licensing began investigating when facial recognition software flagged that ROSS’s image appeared in more than one driver’s license photo. The case was turned over to the Social Security Office of Inspector General (SSA-OIG) and U.S. State Department Diplomatic Security Service (DSS). The DSS determined that ROSS had obtained passports in his own name as well as the names of the two deceased children, and that all three passports contain ROSS’ picture. Between 1998 and 2011, ROSS traveled out of the country 22 times with one of the stolen identities, even as he also traveled internationally using his own name and passport as well.
ROSS is charged with two counts of wire fraud, five counts of theft of public funds, one count of access device fraud and one count of aggravated identity theft.
Wire fraud is punishable by up to 20 years in prison. The other federal felonies are punishable by up to ten years in prison. Aggravated identity theft is punishable by a mandatory two-year term to run consecutive to any sentence imposed on the other counts of conviction.
The charges contained in the indictment are only allegations. A person is presumed innocent unless and until he or she is proven guilty beyond a reasonable doubt in a court of law.
The case was investigated by the Social Security Office of Inspector General (SSA-OIG), the U.S. Department of State Diplomatic Security Service (DSS), and the Washington State Department of Licensing License Integrity Unit (DOL/LIU).
The case is being prosecuted by Special Assistant United States Attorney Benjamin Diggs. Mr. Diggs is an attorney with the Social Security Administration specially designated to prosecute benefit fraud cases in federal court.
U.S. Attorney welcomes new Assistant U.S. AttorneysRead the Press Release
MARTINSBURG, WEST VIRGINIA – United States Attorney Bill Powell is excited to announce the addition of three new attorneys to the Martinsburg office in the Northern District of West Virginia.
Kimberley D. Crockett, Jeffrey Finucane, and Timothy D. Helman were sworn in today by Chief District Judge Gina M. Groh in the Martinsburg Federal Courthouse. Each will be assisting in the criminal division.
“I appreciate the Attorney General’s allocation of additional resources for our district.
Pictured L-R: Jeffrey Finucane, Timothy Helman, Kimberley CrockettIt is the first time in years that we have been able to hire additional prosecutors, and I am confident that they have made our already great group of prosecutors that much better. They are each experienced lawyers who will need little or no time to immediately assist in prosecuting our growing case load,” said Powell.
Kimberley D. Crocket comes to the U.S. Attorney’s Office with both private practice and public service experience. She most recently practiced law from her law firm Crockett Law, located in Martinsburg. Kim earned her Bachelor of Science Degree in Journalism from West Virginia University (WVU). She obtained her Master’s Degree in English literature and Women’s Studies from WVU, and then worked as an English professor at Delaware State University. Kim then decided to return to school and attended the WVU College of Law, where she was a DuBois Fellow. She previously served as an assistant prosecutor for both the Berkeley County Prosecuting Attorney’s Office and the Jefferson County Prosecuting Attorney’s Office, prosecuting felony crimes of violence with an emphasis on crimes against children. While Kim worked for the Jefferson County Prosecutor’s Office she served a year-long position as a Special Assistant United States Attorney (SAUSA) working in Martinsburg.
Jeffrey Finucane comes to the Northern District of West Virginia from the Office of General Counsel at the National Security Agency at Fort Meade, Maryland. Prior to that, Jeff was a prosecutor in Baltimore City. He has also been a member of the United States Army JAG Corps since 2008, serving in the Reserves since 2012. Jeff is a native of Washington, D.C. He attended law school at the University of California at Davis and undergraduate at Washington University, St. Louis.
Timothy D. Helman was hired as two-year term Assistant United States Attorney as a part of the opioid surge in the Northern District specifically to focus on prosecuting fentanyl and heroin cases. Tim is a 30-year resident of Martinsburg, WV, and a 2004 graduate of WVU College of Law. He has spent the past 11 years working in the Berkeley County and Jefferson County prosecuting attorneys’ offices where he prosecuted murder, robbery, public corruption, and other felony cases.
U.S. Army Sergeant at Ft. Bliss Sentenced to 60 Years in Federal PrisonRead the Press Release
In El Paso today, a federal judge sentenced 34–year-old U.S. Army Sergeant Ron Mitchell Dunbar to 60 years in federal prison followed by lifetime of supervised release for aggravated sexual abuse of a child and receipt and possession of child pornography, announced U.S. Attorney John F. Bash and Special Agent in Charge Emmerson Buie, Jr., of the Federal Bureau of Investigation (FBI), El Paso Division.
On April 19, 2018, Dunbar pleaded guilty to one count of aggravated sexual abuse of a child, one count of sexual abuse of a child, one count of aiding and abetting sexual abuse of a child and one count of receipt and possession of child pornography. By pleading guilty, Dunbar admitted that between 2007 and 2009, he sexually assaulted two minor females while on Ft. Bliss. Furthermore, Dunbar admitted that on September 15, 2017, he obtained from 29-year-old Ft. Bliss resident Faith Mitchell Chavez multiple photos he requested of her two minor daughters engaged in sexually explicit conduct.
“A single incident of sexual abuse can permanently alter the course of a child’s life. Today’s 60-year sentence reflects the utter inhumanity of these types of offenses,” stated U.S. Attorney Bash.
“Crimes against children violate the most innocent and helpless members of our community. The FBI will continue to work tirelessly to investigate allegations and crimes such as the ones in this investigation,” stated FBI Special Agent in Charge Buie.
Chavez, who remains in federal custody, is scheduled for sentencing at 8:00am on November 1, 2018, before U.S. District Judge Philip R. Martinez. On July 24, 2018, Chavez pleaded guilty to one count of conspiracy to produce child pornography. She faces between 15 and 30 years in federal prison.
The FBI, together with the U.S. Army Criminal Investigations Command, investigated this case. Assistant U.S. Attorney Ian Hanna prosecuted this case on behalf of the Government.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse, launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and CEOS, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit http://www.justice.gov/psc.
Two South Denver Pharmacists Plead Guilty to Felony Charges of Illegally Distributing OpioidsRead the Press Release
DENVER – Stanley (Stan) G. Callas, age 66, of Parker, and Scott Alan Eskanos, age 63, of Highlands Ranch, pled guilty today before Senior U.S. District Court Judge Robert E. Blackburn to charges related to the illegal dispensing and distribution of controlled substances, U.S. Attorney Bob Troyer and DEA Denver Division Special Agent in Charge Tim McDermott announced. Both defendants are scheduled to be sentenced by Judge Blackburn on March 14, 2019.
According to the stipulated facts contained in both defendants’ plea agreements, Stanley Callas and Scott Eskanos were co-owners of Crown Point Pharmacy, located in Parker, Colorado, and Sky Ridge Pharmacy, located at in Lone Tree, Colorado. Callas typically dispensed controlled substances from Crown Point Pharmacy and Eskanos typically dispensed controlled substances from Sky Ridge Pharmacy.
Callas pled guilty to illegal distribution of controlled substances on September 13, 2012, when he dispensed morphine, meperidine, and lorazepam to co-defendant Dianna Smithling outside the usual course of professional practice and for a purpose other than a legitimate medical purpose. Specifically, on September 13, 2012, Callas filled prescriptions for 1,500 morphine sulfate IR 30mg tablets; 450 morphine sulfate ER 60mg tablets; 30 morphine sulfate 100mg tablets; 180 injectable meperidine 100mg/ml vials; and 270 lorazepam 2mg tablets. Each prescription was written by co-defendant Dr. John Alan Littleford and purported to be for a 90-day supply. Smithling was Dr. Littleford’s office manager at the Pain & Injury Clinic in Parker, Colorado, when Callas distributed the controlled substances to her.
Based on the numbers of dosage units, the morphine equivalencies, plus the synergistic effects of taking these controlled substances together, Callas knew or should have known these prescriptions were not for a legitimate medical purpose. Callas also filled additional prescriptions well before the prescriptions he filled on September 13, 2012, were scheduled to run out. On October 9, 2012—approximately 26 days into the 90-day supply filled on September 13—Callas filled another prescription for 180 injectable meperidine 100mg/ml vials which was supposed to last for another 90 days. On November 5, 2012—approximately 53 days into the 90-day supply filled on September 13—Callas filled a prescription for 400 more morphine sulfate 30mg tablets and a prescription for 180 morphine sulfate 200mg tablets. Crown Point Pharmacy maintained real-time computer data which was accessible to Callas at every dispensing and made him aware of Crown Point Pharmacy’s dispensing history for each individual to whom he dispensed controlled substances. Callas did not exercise the degree of independent judgment which was required of him by law.
As part of his plea agreement, Callas agrees the Court can consider his distribution of controlled substances on five other occasions—involving more than 3,600 pills of various opioids, amphetamines, and benzodiazepines as well as fentanyl patches and vials of injectable meperidine—as relevant for sentencing in his case.
Eskanos pled guilty to illegal distribution of controlled substances on September 12, 2012, when he dispensed 840 oxycodone 30mg tablets to an individual who presented a prescription written by co-defendant Dr. Littleford outside the usual course of professional practice and for a purpose other than a legitimate medical purpose. Based on the numbers of dosage units and the morphine equivalencies, Eskanos knew or should have known this prescription was not for a legitimate medical purpose. Eskanos deliberately ignored obvious red flags in order to fill illegitimate prescriptions which were presented and which bore Dr. Littleford’s signature. For example, a review of historical data through the Colorado Prescription Drug Monitoring Program (PDMP) or additional investigation with Dr. Littleford’s office would have revealed Dr. Littleford was also writing monthly prescriptions for the same individual for 360 oxycodone/acetaminophen 10mg/325mg tablets; 120 oxycodone 80mg tablets; 240 morphine sulfate ER 100mg tablets; 240 clonazepam 2 mg tablets; and 60 temazepam 15mg tablets, which the individual was filling at a pharmacy called Dale’s Pharmacy. In total, the individual was receiving 1,320 pills of oxycodone per month in addition to morphine and benzodiazepines. Sky Ridge Pharmacy maintained real-time computer data which was accessible to Eskanos at every dispensing and made him aware of Sky Ridge Pharmacy’s dispensing history for each individual to whom he dispensed controlled substances. Eskanos did not exercise the degree of independent judgment which was required of him by law.
As part of his plea agreement, Eskanos agrees the Court can consider his distribution of controlled substances on three other occasions—involving 1,500 pills of oxycodone and diazepam—as relevant for sentencing in his case.
As a term of their pretrial release in April 2016, Callas and Eskanos both agreed they would not be employed in any pharmaceutical capacity. Through their plea agreements, both defendants now agree they will not seek new pharmacy licenses or the return of the pharmacy licenses they previously surrendered pursuant to Non-disciplinary Cessation of Practice Agreements they reached with the Colorado Board of Pharmacy on April 22, 2016.
This case was investigated by the DEA Denver Division.
The defendants are being prosecuted by Assistant U.S. Attorneys Peter McNeilly and Jaime Pena.
Two Former Deutsche Bank Traders Convicted for Role in Scheme to Manipulate a Critical Global Benchmark Interest RateRead the Press Release
A former supervisor of Deutsche Bank’s Pool Trading Desk and a former derivatives trader were convicted today in New York for their participation in a scheme to manipulate the London Interbank Offered Rate (LIBOR), a critical global benchmark tied to trillions of dollars in derivatives, loans, mortgages, and other financial products.
Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division; Assistant Attorney General Makan Delrahim of the Justice Department’s Antitrust Division; and Special Agent in Charge Matthew J. DeSarno of the FBI’s Washington Field Office’s Criminal Division made the announcement.
Following a month long jury trial before the Hon. Chief Judge Colleen McMahon of the U.S. District Court for the Southern District of New York, a jury convicted former Deutsche Bank supervisor Matthew Connolly, 53, of Basking Ridge, New Jersey, of one count of conspiracy and two counts of wire fraud and former derivatives trader Gavin Campbell Black, 48, of London, of one count of conspiracy and one count of wire fraud. A sentencing date has not been set.
“Matthew Connolly and Gavin Black undermined the integrity of our financial markets by manipulating LIBOR, which is widely considered to be the most important number in the financial world because of its impact on trillions of dollars in financial products,” said Assistant Attorney General Benczkowski. “The Justice Department and its law enforcement partners will aggressively investigate and prosecute individuals and financial institutions who engage in this sort of misconduct.”
“Today’s convictions demonstrate our continuing commitment to prosecute those who fraudulently manipulated the financial markets for their own personal benefit and, in doing so, undermined free market competition,” said Assistant Attorney General Delrahim. “Such conduct will not be tolerated by this administration, especially when it threatens to destabilize global markets and financial stability worldwide. This case is a compelling example of effective coordination among law enforcement agencies — both at home and abroad. The Antitrust Division will continue to work with its many partners to aggressively pursue other individuals involved in this or other illegal schemes that undermine free financial markets.”
“Today’s conviction should serve as a reminder of our commitment to hold individuals and institutions accountable for their involvement in complex fraud schemes,” said Special Agent in Charge DeSarno. “The FBI will continue to work with our global partners in bringing those who undermine our financial markets to justice.”
According to evidence presented at trial, LIBOR is an averaged interest rate, calculated based on submissions from lending banks around the world, reflecting the honest and unbiased rates those banks believed they would be charged if borrowing from other banks. LIBOR was published by the British Bankers’ Association, a trade association based in London. The published LIBOR “fix” for USD currency was the result of a calculation based upon submissions from a panel of 16 banks, including Deutsche Bank.
Connolly was Deutsche Bank’s director of the Pool Trading Desk in New York, where he supervised traders who traded USD LIBOR-based derivative products. Black was a director on Deutsche Bank’s Money Market and Derivatives Desk in London, who also traded USD LIBOR-based derivative products. In order to increase Deutsche Bank’s profits on derivatives contracts tied to the USD LIBOR, Connolly directed his subordinates to reach out to Deutsche Bank’s LIBOR submitters to ask them to submit false and fraudulent LIBOR contributions consistent with his traders’ or the banks’ financial interests, rather than the honest and unbiased costs of borrowing, the evidence showed. The jury also heard evidence that Black asked Deutsche Bank’s cash traders who were responsible for submitting the bank’s LIBOR rates to ask that they adjust their submissions to favor his derivative trading positions. According to evidence at trial, several Deutsche Bank LIBOR submitters accommodated the defendants’ LIBOR manipulation requests.
In April 2015, Deutsche Bank entered into a deferred prosecution agreement to resolve wire fraud and antitrust charges and Deutsche Bank Group Services (UK) Limited pleaded guilty to one count of wire fraud, collectively agreeing to pay a $775 million fine, for the bank’s role in the scheme. Two Deutsche Bank traders pleaded guilty to fraud charges related to the LIBOR manipulation scheme.
Special agents, forensic accountants and intelligence analysts of the FBI’s Washington Field Office are conducting the investigation. Senior Litigation Counsel Carol L. Sipperly and Trial Attorney Alison L. Anderson of the Criminal Division’s Fraud Section and Trial Attorneys Michael Koenig and Christina Brown of the Justice Department’s Antitrust Division are prosecuting the case. The department acknowledges the contributions of Clair Dobbin, of Three Raymond Buildings Barristers, and Alan Ward, of Stephenson Harwood LLP, for their advocacy on behalf of the United States in the British courts.
The investigation leading to this case has required, and has greatly benefitted from, a diligent and wide-ranging assistance among various enforcement agencies both in the United States and abroad. In particular, the Department acknowledges and expresses its appreciation for this assistance from the Commodity Futures Trading Commission’s Division of Enforcement, the U.K. Financial Conduct Authority, and the U.K. Serious Fraud Office. Valuable assistance was provided by the Justice Department’s Office of International Affairs and the Civil Division’s Office of Foreign Litigation.
Tonawanda Man Pleads Guilty to Cocaine ChargeRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y. -- U.S. Attorney James P. Kennedy, Jr. announced today that Osvaldo Rivera-Amaro, 45, of Tonawanda, NY, pleaded guilty before U.S. District Judge Elizabeth A. Wolford to attempted possession with intent to distribute cocaine. The charge carries a maximum penalty of 20 years in prison and a $1,000,000 fine.
Assistant U.S. Attorney Michael J. Adler, who is handling the case, stated that cocaine was shipped to the defendant from Puerto Rico through the U.S. Postal Service. On December 15, 2017, U.S. Postal inspectors seized a package containing just over two kilograms of cocaine that was addressed to Iramarie Velez on Crane Place in Tonawanda, NY. The cocaine was replaced with sham cocaine, and then the package was delivered on December 28, 2017. After Velez accepted the package, she left the residence but returned a few minutes later with Rivera-Amaro. Velez went back into 62 Crane Place, came back out with the package, and placed it in the back of the defendant’s vehicle. The defendant was subsequently detained, his vehicle was searched, and the package, containing the sham cocaine, was located in the trunk.
Charges are pending against Iramarie Velez. The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
The plea is the result of an investigation by the U.S. Postal Inspection Service, under the direction of Boston Division Inspector-in-Charge Joseph W. Cronin, and the Drug Enforcement Administration, under the direction of Special Agent-in-Charge James J. Hunt, New York Field Division.
Sentencing is scheduled for January 15, 2019, at 12:00 p.m. before Judge Wolford.
# # # #Three Nigerian nationals living in Grambling and Texas plead guilty to roles in marriage fraud schemeRead the Press Release
MONROE, La. – United States Attorney David C. Joseph announced that three Nigerian nationals living in Grambling and Texas have pleaded guilty Monday to roles in a scheme aimed at obtaining permanent residency illegally.
Adebisi Philip Bode Adejumo, 34, a Grambling, Louisiana, resident and Nigerian citizen; Godspower Raphael Sobaeh, 31, a Fort Worth, Texas, resident and Nigerian citizen; and Olabode Ebenezer Olubodun, 37, a Houston, Texas, resident and Nigerian citizen, pleaded guilty before U.S. District Judge Terry Doughty to one count of conspiracy to make false statements in connection with immigration documents. Adejumo also pleaded guilty to one count of making false statements in connection with immigration documents, Sobaeh to one count of marriage fraud, and Olubodun to one count of making false statements in connection with immigration documents and mail fraud. In May, a federal grand jury returned a 42-count indictment charging 17 Nigerian and Cameroon nationals living in Louisiana, Texas, New York and Maryland with the marriage fraud scheme. Sobaeh, Adejumo and Olubodun are the first to plead guilty. The court set sentencing for February 6, 2019.
According to the indictment, from as late as June 2013 and continuing to 2018, the defendants, who were from Nigeria and Cameroon, used F-1 student and B-2 visitor visas to enter the United States. While here, they entered into fraudulent marriages to stay in the United States. They recruited and paid United States citizens to enter into sham marriages in order to evade immigration laws and procure immigration benefits to which they were not entitled. The defendants filled out immigration forms and supplemental documents using false information, and they forged immigration forms and supplemental documents that they mailed to U.S. Citizenship and Immigrations Services (USCIS). They also attended USCIS interviews where they made false statements under oath in an effort to evade immigration laws.
All the defendants were charged with one count of conspiracy to make false statements in connection with immigration documents, to commit mail fraud, to commit marriage fraud, and to commit aggravated identity theft. For the remaining defendants, charges and a list of the defendants, see the information below:
John Femi Egunjobi, 34, a Grambling resident and Nigerian citizen, was charged with 12 counts of making false statements in connection with immigration documents, nine counts of mail fraud and 15 counts of aggravated identity theft.
Talatu Helen Dada, 38, a Ruston, Louisiana, resident and Nigerian citizen, was charged with one count of making false statements in connection with immigration documents, one count of mail fraud and one count of aggravated identity theft.
Oludayo Folarin Olayinka, 38, a Midland, Texas, resident and Nigerian citizen, was charged with one count of making false statements in connection with immigration documents, one count of mail fraud and one count of aggravated identity theft.
James Ojo Ayodele, 49, a Ruston resident and Nigerian citizen, was charged with one count of making false statements in connection with immigration documents and one count of aggravated identity theft.
Precillia Asabe Dada, 53, a Ruston resident and Nigerian citizen, was charged with one count of making false statements in connection with immigration documents, one count of mail fraud and one count of aggravated identity theft.
Landry Djeiya Tchokogue, 29, a Houston resident and Cameroon citizen, was charged with one count of making false statements in connection with immigration documents, one count of mail fraud and one count of aggravated identity theft.
Cedric Gaetan Simou Meughu, 32, a Hyattsville, Maryland, resident and Cameroon citizen, was charged with one count of marriage fraud.
Martin Boris Takam Sagoua, 33, a Vineyard Haven, Maryland, resident and Cameroon citizen, was charged with one count of marriage fraud.
Cecilia Joseph Akpan, 55, a Huntington Station, New York, resident and Nigerian citizen, was charged with one count of making false statements in connection with immigration documents, one count of mail fraud, one count of marriage fraud and one count of aggravated identity theft.
Tiimaro Smart Ekanem, 26, a Ruston resident and Nigerian citizen, was only charged with the conspiracy count.
Abiola Esther Olaniyi, 26, a Dallas, Texas, resident and Nigerian citizen, was charged with one count of making false statements in connection with immigration documents, one count of mail fraud and one count of aggravated identity theft.
Paul Allele Edeki, 40, a Houston resident and Nigerian citizen, was charged with one count of making false statements in connection with immigration documents, one count of mail fraud and one count of aggravated identity theft.
Funmilade I. Oyetunji, 26, a Katy, Texas, resident and Nigerian citizen, was charged with one count of making false statements in connection with immigration documents, one count of mail fraud and one count of aggravated identity theft.
And Olorunwa James Akinseloyin, 41, a Ruston resident and Nigerian citizen, was charged with one count of making false statements in connection with immigration documents and one count of aggravated identity theft.
The defendants face up to five years in prison for the conspiracy count, 10 years in prison for the false statements count, 20 years in prison for the mail fraud count, five years in prison for the marriage fraud count and two years in prison for the identity theft count. They also face restitution, forfeiture, three to five years of supervised release and a $250,000 fine for each count. The remaining defendants are scheduled to face trial February 11, 2019.
Homeland Security Investigations Shreveport, U.S. Citizenship and Immigration Services, U.S. Customs and Border Protection, U.S. Marshals Service, Louisiana State Police-CIU, Louisiana State Police Narcotics, Lincoln Parish Sheriff’s Office, Shreveport Police Department and Bossier City Marshals Office investigated the case. Assistant U.S. Attorneys Tiffany E. Fields and Earl M. Campbell are prosecuting the case.
Texas man sentenced to 10 years in prison for role in Shreveport/Bossier City methamphetamine distribution conspiracyRead the Press Release
SHREVEPORT, La. – United States Attorney David C. Joseph announced that a Texas man was sentenced Tuesday to 120 months in prison for conspiracy to distribute methamphetamine and possessing a firearm.
Donnie Vance Grabener, 64, of Waskom, Texas, was sentenced by U.S. District Judge Elizabeth E. Foote on one count of conspiracy to distribute methamphetamine and one count of felon in possession of a firearm. He was also sentenced to five years of supervised release. According to the May 3, 2018 guilty plea, Grabener and codefendants Thomas Taylor, 65, of Dallas, Texas; Tina Louise Taylor, 43, of Dallas, Texas; and Michael Shane Rushton, 33, of Bossier City, Louisiana, conspired to sell methamphetamine in the Shreveport/Bossier City area from March 2017 to May 2017. A Caddo Parish sheriff’s officer stopped a vehicle Rushton was driving on May 5, 2017 in Bethany, Louisiana. Riding in the vehicle were husband and wife Thomas and Tina Taylor. The officer searched the vehicle and found a box behind the driver’s side seat on the floor filled with paper rags. In the bottom of the box was a grocery sack with seven clear plastic bags that were later tested to contain approximately 983 grams of methamphetamine. Upon further investigation, law enforcement agents learned that Grabener sold methamphetamine with his suppliers being Thomas and Tina Taylor.
Thomas Taylor, Tina Taylor and Rushton pleaded guilty March 5, 2018 to one count of conspiracy to distribute methamphetamine. Rushton was sentenced September 17, 2018 to 60 months in prison with three years of supervised release. Thomas and Tina Taylor were sentenced on August 3, 2018 to 140 months and 120 months in prison respectively. They were also sentenced to five years of supervised release.
The DEA and the Caddo Parish Sheriff’s Office investigated the case. Assistant U.S. Attorneys Tiffany E. Fields and Mary J. Mudrick prosecuted the case.
Texas Man Sentenced to Almost 25 Years for Hate Crime in Burning Down Mosque in Victoria, TexasRead the Press Release
The Justice Department today announced that Marq Perez, 26, was sentenced to more than 24 years in prison for burning down the Victoria Islamic Center on Jan. 28, 2017. Acting Assistant Attorney General John Gore of the Justice Department’s Civil Rights Division, U.S. Attorney Ryan Patrick for the Southern District of Texas, Special Agent in Charge Fred Milanowski of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), and Special Agent in Charge Perrye K. Turner of the FBI made the announcement.
A jury found Perez guilty on July 16, for a hate crime in the burning of the Victoria Islamic Center (the mosque) on Jan. 28, 2017, and for the use of fire to commit a federal felony. In addition, the jury found that Perez possessed an unregistered destructive device for a separate but related incident that occurred on Jan. 15, 2017.
“Everyone in this country has the right to worship freely without fear of violence,” said Acting Assistant Attorney General John Gore. “This defendant terrorized the Muslim community in Victoria, and the Department partnered with federal, state, and local agencies to ensure that the person responsible for this heinous hate crime would be found and prosecuted.”
“The Attorney General has said that the Freedom of religion is indeed our ‘first freedom’—being the first listed right of our First Amendment,” said Patrick. “The Department of Justice prosecutes violent and dangerous crime, but also, and particularly when that crime interferes with someone’s ability to practice their religious faith. Not only was this a dangerous and potentially deadly act, but also one spurred from hate. I am glad justice was served in this case.”
“ATF is the primary federal law enforcement agency tasked with investigating House of Worship Fires and views an arson against a house of worship as not just an attack on a building, but as an attack against an entire community,” said Milanowski. “ATF is pleased the defendant has been held accountable for this crime and will continue to respond to these violent crimes using all available resources.”
“Mr. Perez sought to provoke terror within the tranquil space of the Victoria Islamic Center," said FBI Assistant Special Agent-in-Charge Edward Michel. "By deliberately burning down this mosque, Mr. Perez attacked a specific religious congregation in the hope of spreading fear, conflict and depriving Victoria’s Islamic community of their peaceful and safe place to worship. Today's sentencing illustrates that hate crimes will not be tolerated. No one in this country should feel afraid to openly practice their religion or express their beliefs. The FBI will continue to aggressively investigate civil rights violations wherever and whenever they occur."
Testimony at trial detailed how Perez conducted what he described as “recon” by breaking into the mosque a week before he set it on fire. Evidence presented at trial showed that Perez communicated with someone through Facebook about breaking into the mosque a second time, the same night of the fire. A witness who was with Perez on the night of the fire described how Perez used a lighter to set papers on fire inside the mosque and how excited Perez was upon seeing the mosque in flames just minutes later. The witness testified that Perez said that he burned down the mosque, because he wanted to “send a message.” During the execution of a search warrant, federal agents recovered stolen property taken from the mosque the night of the fire in Perez’s home. Several witnesses at trial also testified about Perez’s animus towards Muslims and that he often used anti-Muslim slurs.
When Perez learned that the Victoria Muslim community had raised money to rebuild the mosque, he told a witness that he would burn the mosque down again if it was rebuilt.
Members of the mosque testified at the trial that they watched from afar as federal, state, and local law enforcement officers tried to extinguish the fire, but observed that the fire could not be put out until it had engulfed the entire mosque. Those witnesses also testified that, after the destruction of the mosque, the Victoria Islamic Center raised money online from over 20,000 individuals from all over the United States and over 90 countries to rebuild the mosque.
ATF and FBI conducted the investigation along with the City of Victoria Fire Marshal’s Office, Victoria Fire Department, Victoria Police Department, Texas Department of Public Safety - Criminal Investigations Division and Texas Rangers with assistance of Texas State Fire Marshal’s Office and Sheriff’s Offices in Victoria and Nueces Counties and the Victoria County District Attorney’s Office.
Assistant U.S. Attorneys Sharad S. Khandelwal and Kate Suh prosecuted the case along with Trial Attorney Saeed Mody of the Department of Justice’s Civil Rights Division.
Texas Man Facing Federal Charges Arising Out of In-Flight Incident Resulting in Emergency Landing in New MexicoRead the Press Release
ALBUQUERQUE – Justin Riley Brafford, 29, of Denton, Texas, made his initial appearance this morning in federal court in Albuquerque, N.M., on a criminal complaint charging him with interfering with and intimidating members of a flight crew and flight attendants while on an aircraft, a felony charge, and simple assault, a misdemeanor charge. The charges against Brafford arose out of an in-flight incident requiring an emergency landing at the Albuquerque Sunport on Oct. 16, 2018. Brafford remains in federal custody pending a preliminary hearing and a detention hearing, both of which are scheduled for tomorrow.
The FBI arrested Brafford on Oct. 16, 2018, on a criminal complaint setting forth the charges against Brafford. According to the criminal complaint, on Oct. 16, 2018, while on a flight from Los Angeles, Calif., to Dallas, Tex., Brafford’s criminal behavior caused the flight crew to divert the flight to the Albuquerque Sunport.
The criminal complaint alleges that, while the aircraft was en route to Dallas from Los Angeles, Brafford allegedly assaulted a female victim, leading the victim to request that flight attendants move her to a different seat. It alleges that Brafford approached the victim in her new seat, causing her to seek assistance from a flight attendant. When the flight attendant approached Brafford, he allegedly responded in a belligerent manner, which the flight attendant, other flight crewmembers, and passengers found intimidating. The pilot determined it appropriate to divert the aircraft to the Albuquerque Sunport, where the FBI took Brafford into federal custody.
A conviction on the interference and intimidation charge carries a maximum penalty of 20 years of imprisonment and a $250,000 fine, and a conviction on the simple assault charge carries a maximum penalty of a year of imprisonment and a $100,000 fine. Charges in criminal complaints are merely accusations and defendants are presumed innocent unless found guilty in a court of law.
This case was investigated by the Albuquerque office of the FBI and is being prosecuted by Assistant U.S. Attorney Presiliano Torrez.
Brafford ComplaintTazewell County Man Indicted on Charges of Receiving Child PornographyRead the Press Release
PEORIA, Ill. – A Tazewell county man, Eric Ingram, 30, of Washington, Ill., is scheduled to be arraigned in federal court on Oct. 31, 2018, on charges that he received child pornography on two occasions in July 2018. The grand jury returned the indictment charging Ingram on Oct. 16.
Ingram was previously arrested and charged in a federal criminal complaint on Oct. 4, 2018. During a court appearance on Oct. 10, before U.S. Magistrate Judge Jonathan E. Hawley, Ingram was ordered detained in the custody of the U.S. Marshals Service.
According to the affidavit filed in support of the complaint, Facebook, Inc. notified Washington Police Department officials in September of messages between Ingram and a 15-year-old minor that contained sexually explicit conduct. Facebook advised that it appeared Ingram was soliciting the content from the minor victim. Further, the affidavit alleges Ingram lived in close proximity to the minor victim and had discussed meeting in person in the Facebook messages.
If convicted, for receipt of child pornography, the statutory penalty for each count is five to 20 years in prison and up to lifetime supervised release upon release from prison.
The case is being prosecuted by Assistant U.S. Attorneys Katherine Legge and Ronald Hanna. The charges are the result of a joint investigation by U.S. Immigration and Customs Enforcement, Homeland Security Investigations and the Washington Police Department.
Members of the public are reminded that an indictment is merely an accusation; the defendant is presumed innocent unless proven guilty.
The case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
St. Thomas Man Arrested for Possession of Marijuana with the Intent to Distribute and Possession of a FirearmRead the Press Release
St. Thomas, USVI – Le’Quan Registe, 24, of St. Thomas was arrested on an indictment charging him with possession with the intent to distribute marijuana and possession of a firearm during a drug trafficking offense, United States Attorney Gretchen C.F. Shappert announced. Registe made his initial appearance before Superior Court Judge Denise Francois today and was detained pending further proceedings.
According to the indictment, on May 18, 2018, Registe was found in possession of marijuana for distribution and he was also in possession of an unlicensed firearm.
If convicted of possession with the intent to distribute marijuana, Registe faces a statutory term of imprisonment up to five years and a $250,000 fine. If convicted on the possession of a firearm during a drug trafficking offense, Registe faces a consecutive seven-year term of imprisonment.
The U.S. Drug Enforcement Administration (DEA) investigated this case and it is being prosecuted by Assistant United States Attorney Sigrid M. Tejo-Sprotte.
United States Attorney Shappert reminds the public that an indictment is merely a formal charging document and is not evidence of guilt. Every defendant is presumed innocent until and unless proven guilty.
St. Thomas Man Arrested for Possession of Crack Cocaine with the Intent to Distribute and RobberyRead the Press Release
St. Thomas, USVI – Ricardo Belgara, 49, of St. Thomas was arrested on an indictment charging him with two counts of possession with the intent to distribute crack cocaine and territorial charges of robbery and possession of an unlicensed firearm during the commission of a robbery, United States Attorney Gretchen C.F. Shappert announced. Belgara made his initial appearance before Magistrate Judge Ruth Miller on Tuesday and was detained pending further proceedings.
According to the indictment, between January and February 2014, Belgara sold crack cocaine to an individual on two separate occasions. The rock-like substances purchased from Belgara field-tested positive for crack cocaine on each occasion. Additionally, Belgara aided and abetted the robbery of the individual using a firearm.
If convicted of possession with the intent to distribute crack cocaine, Belgara faces a statutory term of imprisonment up to twenty years and a $250,000 fine. If convicted on the territorial charge of robbery, Belgara faces up to twenty years in prison and if convicted of using a firearm during the commission of the robbery, he faces a mandatory sentence of twenty years but not more than twenty-five years.
The U.S. Drug Enforcement Administration (DEA) investigated this case and it is being prosecuted by Assistant United States Attorney Sigrid M. Tejo-Sprotte.
United States Attorney Shappert reminds the public that an indictment is merely a formal charging document and is not evidence of guilt. Every defendant is presumed innocent until and unless proven guilty.
St. Thomas Man Arrested for Possession of Crack Cocaine with the Intent to DistributeRead the Press Release
St. Thomas, USVI – Delroy Tatum, Jr., 53, of St. Thomas was arrested on an indictment charging him with four counts of possession with the intent to distribute crack cocaine, United States Attorney Gretchen C.F. Shappert announced. Tatum made his initial appearance before Magistrate Judge Ruth Miller on Tuesday and was detained pending further proceedings.
According to the indictment, between May and September of 2014, Tatum sold crack cocaine to an individual on four separate occasions. The rock-like substances purchased from Tatum field-tested positive for crack cocaine on each occasion.
If convicted of possession with the intent to distribute crack cocaine, Tatum faces a statutory term of imprisonment up to twenty years and a $250,000 fine.
The U.S. Drug Enforcement Administration (DEA) investigated this case and it is being prosecuted by Assistant United States Attorney Sigrid M. Tejo-Sprotte.
United States Attorney Shappert reminds the public that an indictment is merely a formal charging document and is not evidence of guilt. Every defendant is presumed innocent until and unless proven guilty.
Sex Offender Indicted on Federal Charges of Child Sexual ExploitationRead the Press Release
PEORIA, Ill. – A federal grand jury has charged Charles A. Hewitt, 47, of Creve Coeur, Ill., with enticement and exploitation of minor girls to engage in sexual acts. The indictment, returned on Oct. 16, alleges that Hewitt engaged in the sexual exploitation of three minor victims. At the time of the alleged offenses, Hewitt was required to register as a sex offender. Arraignment is scheduled on Oct. 31, 2018.
Hewitt was previously arrested and charged in a federal criminal complaint on Sept. 18, 2018. During a court appearance on Sept. 20, before U.S. Magistrate Judge Jonathan E. Hawley, Hewitt was ordered detained in the custody of the U.S. Marshals Service.
According to the affidavit filed in support of the complaint, at the time of the alleged offenses, from March 2017 through Sept. 18, 2018, Hewitt was required to register as a sex offender as a result of a 2014 conviction in Woodford county, Ill. Hewitt allegedly used the online social media application Skout.com to meet minors and solicit sexually explicit images from those minors. Hewitt allegedly used a false name, age, and profile pictures, appearing to others as a 15 year old male named “John.” According to the affidavit, Hewitt posed as John’s father, known as “Charlie” to message a minor victim and to discuss his plan to have sexual intercourse with her. It is further alleged in the complaint that Hewitt knew the minor victim was under the age of 18 years old and that he traveled from Peoria to a nearby town to meet a minor victim.
If convicted, as charged, the statutory maximum penalties for enticement (one count) and child sexual exploitation (two counts), as a repeat offender, is up to life in prison. The statutory penalty for committing the alleged offenses as a sex offender is 10 years in prison to be served consecutive to any term of imprisonment imposed for the underlying crime.
The case is being prosecuted by Assistant U.S. Attorney Katherine Legge. The charges are the result of a joint investigation by the U.S. Secret Service and the Peoria County Sheriff’s Office.
Members of the public are reminded that an indictment is merely an accusation; the defendant is presumed innocent unless proven guilty.
The case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
Senior FinCen Employee Arrested and Charged with Unlawfully Disclosing SARsRead the Press Release
Geoffrey S. Berman, the United States Attorney for the Southern District of New York, William F. Sweeney Jr., Assistant Director-in-Charge of the New York Division of the Federal Bureau of Investigation (“FBI”), and Eric M. Thorson, Inspector General for the Department of Treasury, announced today the filing of a criminal complaint charging NATALIE MAYFLOWER SOURS EDWARDS, a/k/a “Natalie Sours,” a/k/a “Natalie May Edwards,” a/k/a “May Edwards,” who is a Senior Advisor at the Treasury Department’s Financial Crimes Enforcement Network (“FinCEN”), with unlawfully disclosing Suspicious Activity Reports (“SARs”) and conspiracy to do the same. EDWARDS was arrested yesterday and will be presented this afternoon in the United States District Court for the Eastern District of Virginia.
U.S. Attorney Geoffrey S. Berman said: “Natalie Mayflower Sours Edwards, a senior-level FinCEN employee, allegedly betrayed her position of trust by repeatedly disclosing highly sensitive information contained in Suspicious Activity Reports (SARs) to an individual not authorized to receive them. SARs, which are filed confidentially by banks and other financial institutions to alert law enforcement to potentially illegal transactions, are not public documents, and it is an independent federal crime to disclose them outside of one’s official duties. We hope today’s charges remind those in positions of trust within government agencies that the unlawful sharing of sensitive documents will not be tolerated and will be met with swift justice by this Office.”
FBI Assistant Director-in-Charge William F. Sweeney Jr. said: “In her position, Edwards was entrusted with sensitive government information. As we allege here today, Edwards violated that trust when she made several unauthorized disclosures to the media. Today's action demonstrates that those who fail to protect the integrity of government information will be rightfully held accountable for their behavior.”
Treasury Department Inspector General Eric Thorson said: “Our criminal investigators have been at the center of this investigation as a core part of our responsibility to detect and prevent threats to the integrity and efficiency of Treasury programs and operations. We are committed to working with our law enforcement partners and with FinCEN and other Treasury officials, and appreciate their cooperation and support.”
Treasury Under Secretary for Terrorism and Financial Intelligence Sigal Mandelker said: “Protecting sensitive information is one of our most critical responsibilities, and it is a role that we take very seriously. We have fully and proactively supported Treasury’s Office of Inspector General’s investigation of leaks of protected information, and thank them for their hard work with the U.S. Attorney’s Office to hold accountable those responsible.”
According to the Complaint[1] filed today in Manhattan federal court:
The mission of FinCEN is to “safeguard the financial system from illicit use and combat money laundering and promote national security through the collection, analysis, and dissemination of financial intelligence and strategic use of financial authorities.”[2] Among other things, FinCEN manages the collection and maintenance of SARs regarding potentially suspicious financial transactions, which, under the Bank Secrecy Act, U.S. financial institutions and other parties are required by law to generate and deliver to FinCEN. Under the BSA and its implementing regulations, willful disclosure of a SAR or its contents by government employees or agents except as necessary to fulfill official duties is a felony.
Beginning in approximately October 2017, and lasting until the present, EDWARDS unlawfully disclosed numerous SARs to a reporter (“Reporter-1”), the substance of which were published over the course of approximately 12 articles by a news organization for which Reporter-1 wrote (“News Organization-1”). The illegally disclosed SARs pertained to, among other things, Paul Manafort, Richard Gates, the Russian Embassy, Mariia Butina, and Prevezon Alexander. EDWARDS had access to each of the pertinent SARs and saved them – along with thousands of other files containing sensitive government information – to a flash drive provided to her by FinCEN. She transmitted the SARs to Reporter-1 by means that included taking photographs of them and texting the photographs to Reporter-1 over an encrypted application. In addition to disseminating SARs to Reporter-1, EDWARDS sent Reporter-1 internal FinCEN emails appearing to relate to SARs or other information protected by the BSA, and FinCEN non-public memoranda, including Investigative Memos and Intelligence Assessments published by the FinCEN Intelligence Division, which contained confidential personal, business, and/or security threat assessments.
At the time of EDWARDS’s arrest, she was in possession of a flash drive appearing to be the flash drive on which she saved the unlawfully disclosed SARs, and a cellphone containing numerous communications over an encrypted application in which she transmitted SARs and other sensitive government information to Reporter-1.
* * *
EDWARDS, 40, of Quinton, Virginia, is charged with one count of unauthorized disclosures of suspicious activity reports and one count of conspiracy to make unauthorized disclosures of suspicious activity reports, both of which carry a maximum sentence of five years in prison. The statutory maximum penalties are prescribed by Congress and are provided here for informational purposes only, as any sentencings of the defendants would be determined by the judge.
Mr. Berman praised the investigative work of the Federal Bureau of Investigation, the Treasury Department, and the Treasury Department’s Office of Inspector General. He also thanked the United States Attorney’s Office for the Eastern District of Virginia for its assistance with the investigation.
This case is being handled by the Office’s Public Corruption Unit. Assistant U.S. Attorneys Kimberly J. Ravener and Daniel C. Richenthal are in charge of the prosecution.
[1] The charges contained in the Complaint are merely accusations, and EDWARDS is presumed innocent unless and until proven guilty.
[2] www.fincen.gov/about/mission