Latest Records
Newest first across public DOJ and U.S. Attorney press releases.
Wednesday 3 October 2018
Randolph Man Sentenced for Federal Firearms ChargeRead the Press Release
BOSTON – A Randolph man was sentenced today in federal court in Boston for being a previously convicted felon in possession of a firearm.
Dararong James Heang, 28, was sentenced by U.S. District Court Chief Judge Patti B. Saris to 21 months in prison and two years of supervised release. In June 2018, Heang pleaded guilty to being a convicted felon in possession of a firearm and ammunition.
Shortly after midnight on June 16, 2017, law enforcement officers stopped Heang and two other individuals in the area of Shirley Avenue in Revere, which had been the scene of recent gang violence. During a subsequent search, Heang was found to be in possession of a semi-automatic firearm and seven rounds of ammunition. At the time, Heang was on state probation and had previously been convicted of multiple felonies in state court, including assault and battery and a drug offense.
United States Attorney Andrew E. Lelling; Harold H. Shaw, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; Suffolk County District Attorney John P. Pappas; and Revere Police Chief James R. Guido made the announcement today.
Providence Man Sentenced for Valentine’s Day 2017 Bank RobberyRead the Press Release
PROVIDENCE, RI – A Providence man who admitted to robbing a Providence bank as it was closing for the business day on Valentine’s Day in February 2017 was sentenced today to 46 months in federal prison.
Efrain Delacruz, 35, previously admitted to the Court that on February 14, 2017, he entered a Santander Bank branch office on Elmgrove Avenue, approached a teller, and gave her a note that said, “give me all the money. No dye packs, no fifties and no hundreds.”
When Delacruz fled the bank he dropped nearly half of the money in the vestibule. Delacruz came back to the bank looking for the dropped money. Delacruz attempted to reenter the bank but was unsuccessful, because the doors were locked. He then fled in his vehicle, leading police on a chase that exceeded 6 miles, often at high speed. Delacruz struck as many as seven vehicles prior to getting cornered by Providence Police and stopping.
$3,569 of stolen funds was found in the center console of the car. The balance of the money handed to the defendant by the teller and dropped inside the bank was recovered.
Appearing before U.S. District Court Judge William E. Smith on June 19, 2018, Delacruz pleaded guilty to one count of bank robbery. At sentencing today, U.S. District Court Chief Judge William E. Smith also ordered Delacruz to serve 3 years supervised release upon completion of his term of incarceration.
The U.S. Sentencing Guidelines range of imprisonment in this matter is 46-57 months. The government recommended the court impose a sentence of 57 months in prison.
Delacruz’s sentence is announced by United States Attorney Stephen G. Dambruch, Providence Police Chief Hugh T. Clements, Jr, and Harold H. Shaw, Special Agent in Charge of the FBI Boston Division.
The case, investigated by the Providence Police Department and the FBI, was prosecuted by Assistant U.S. Attorney Terrence P. Donnelly.
###
Providence Man Sentenced for Selling Silencer Equipped Machine GunRead the Press Release
PROVIDENCE, RI – A Providence man arrested in April 2017 during a year-long Project Safe Neighborhoods investigation to identify individuals possessing or trafficking firearms in and around the Chad Brown neighborhood of Providence was sentenced today to 60 months in federal prison for possessing and selling an unregistered machine gun equipped with a silencer and for selling 240 grams of fentanyl laced heroin to an undercover federal law enforcement agent.
Edward Trinidad, 30, pleaded guilty in February as charged in an indictment returned on April 6, 2017, to one count each of possession of an unregistered machine gun, possession of an unregistered silencer, and transfer of a machine gun; two counts of distribution of heroin and fentanyl; and one count of distribution of 100 grams or more of heroin.
At sentencing, U.S. District Court Chief Judge William E. Smith also ordered Trinidad to serve 4 years supervised release upon completion of his term of incarceration.
The U.S. Sentencing Guidelines range of imprisonment in this matter is 60-63 months. The government recommended the court impose a sentence of 60 months in prison.
Trinidad’s sentence is announced by United States Attorney Stephen G. Dambruch; Mickey Leadingham, Special Agent in Charge of the Boston Field Division of ATF; and Providence Police Chief Colonel Hugh T. Clements, Jr.
Appearing before U.S. District Court Chief Judge William E. Smith on February 14, 2017, Trinidad admitted to the Court that on June 3, 2016, he sold an undercover ATF agent an unregistered machine gun equipped with a silencer. Trinidad also admitted that on June 24, 2016, he sold the undercover agent 29.61 grams of fentanyl laced heroin; on November 9, 2016, he sold the agent 109.42 grams of fentanyl laced heroin; and that on March 31, 2017, he sold the agent 101.15 grams of a material containing fentanyl.
In spring 2016, the ATF, the Rhode Island ATF Task Force and the Providence Police Department launched a joint Safe Streets Neighborhoods investigation to analyze shell casings retrieved from crime scenes in and around the Chad Brown neighborhood and elsewhere, utilizing ATF’s National Integrated Ballistic Information Network (NIBN). The investigation was expanded to attempt to determine who possessed various firearms used to commit crimes and the origin of those firearms.
NIBN identifies marks left on shell casings unique to a particular firearm. NIBN then assists in linking crime scenes to a firearm.
The investigation, publicly disclosed in April 2017, resulted in the seizure of the machine gun equipped with a silencer, a .45 caliber semi-automatic pistol, a .40 caliber semi-automatic pistol, a .25 caliber semi-automatic pistol, a .22 caliber revolver; a .380 caliber semi-automatic pistol, various types and quantities of ammunition, substantial quantities of heroin, fentanyl, cocaine and crack cocaine, and approximately $21,000 in suspected drug proceeds.
Project Safe Neighborhoods is a federal, state and local law enforcement collaboration to identify, investigate and prosecute individuals responsible for violent crimes in our neighborhoods. Project Safe Neighborhoods has been historically successful in bringing together all levels of law enforcement to reduce violent crime and make our neighborhoods safer for everyone.
The case is being prosecuted by Assistant U.S. Attorney Milind M. Shah.
The ATF Task Force is comprised of agents and officers from ATF, Providence Police Department, Pawtucket Police Department, Rhode Island State Police, and the Rhode Island Department of Corrections Special Investigations Unit.
###
Previously Convicted Felon from Essex County, New Jersey, Sentenced to 94 Months in Prison for Illegally Possessing FirearmRead the Press Release
NEWARK, N.J. – A Newark man who was arrested following a domestic disturbance in which he discharged his weapon was sentenced today to 94 months in prison for possessing a firearm as a previously convicted felon, U.S. Attorney Craig Carpenito announced.
Dequan Farlow, 38, previously pleaded guilty before U.S. District Judge Stanley R. Chesler to an indictment charging him with one count of possession of a firearm as a previously convicted felon. Judge Chesler imposed the sentence today in Newark federal court.
According to documents filed in this case and statements made in court:
Farlow was arrested by Newark police officers on June 30, 2017 after he allegedly shot a speaker next to his ex-girlfriend’s mother and struck the mother with the gun at her residence in Newark.
Farlow admitted that he knowingly possessed a loaded Hi-Point JCP semi-automatic handgun, despite having at least one prior felony conviction in Essex County Superior Court. As part of his plea agreement, Farlow also acknowledged that he knowingly fired the gun on June 30, 2017.
In addition to the prison term, Judge Chesler sentenced Farlow to three years of supervised release.
U.S. Attorney Carpenito credited special agents of the FBI, under the direction of Special Agent in Charge Gregory W. Ehrie in Newark, with the investigation leading to today’s sentencing. He also thanked officers of the Newark Police Division, under the direction of Department of Public Safety Director Anthony F. Ambrose, for their assistance.The government is represented by Assistant U.S. Attorney Jason S. Gould of the U.S. Attorney’s Office Criminal Division in Newark.
Defense counsel: Patrick McMahon Esq., Assistant Federal Public Defender, Newark
Plant manager indicted for violating the Clean Water ActRead the Press Release
ATLANTA - Carlos Conde, 37, of Smyrna, Georgia was arraigned on federal charges on October 2, 2018, for allegedly violating the Clean Water Act and for making false statements to a federal agent. Conde was indicted by a federal grand jury on September 25, 2018.
“Conde allegedly instructed workers to intentionally wash toxic and hazardous chemicals into the Chattahoochee River watershed,” said U.S. Attorney Byung J. “BJay” Pak. “The Chattahoochee is one of Georgia’s jewels that must be protected from those who recklessly damage the wildlife and environment.”
“It is important that we continue to remain vigilant to protect our precious waters throughout the southeast,” said Trey Glenn, Regional Administrator for the U.S. Environmental Protection Agency (EPA) Southeast Region (Region 4). “EPA takes seriously any allegations of improper disposal of toxic and hazardous chemicals, which pose serious threats to public health and the environment.”
According to U.S. Attorney Pak, the charges, and other information presented in court: On August 12, 2016, a batching tank at the Apollo Industries chemical mixing facility in Smyrna, Georgia, began leaking a carburetor cleaner containing naphthalene, a toxic and hazardous chemical. The following morning, two workers discovered the spill and called Conde, the plant manager. Conde arrived at the plant and allegedly instructed the employees to wash the chemical away with water from multiple hoses. The chemical was washed into a tributary of Nickajack Creek and the Chattahoochee River. Conde allegedly twice denied his role in the spill cleanup during interviews with a federal agent with the U.S. Environmental Protection Agency.
Members of the public are reminded that the indictment only contains charges. The defendant is presumed innocent of the charges and it will be the government’s burden to prove the defendant’s guilt beyond a reasonable doubt at trial.
This case is being investigated by the U.S. Environmental Protection Agency, Criminal Investigation Division.
Assistant U.S. Attorney Christopher J. Huber, Deputy Chief of the Complex Fraud Section is prosecuting the case.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Pittsburgh Man Charged with Distributing and Possessing Heroin and FentanylRead the Press Release
PITTSBURGH, PA – A resident of Pittsburgh, Pennsylvania, has been indicted by a federal grand jury in Pittsburgh on a charge of violating the federal narcotics laws, United States Attorney Scott W. Brady announced today.
The one-count indictment named William Jamar Saunders, age 39, as the sole defendant.
According to the indictment presented to the court, Saunders distributed and possessed with intent to distribute a quantity of heroin and fentanyl, on or about August 21, 2018.
The law provides for a maximum total sentence of not more than 20 years in prison, a fine not to exceed $1,000,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offense and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Jerome A. Moschetta is prosecuting this case on behalf of the government.
The Drug Enforcement Administration and Federal Bureau of Investigation conducted the investigation leading to the Indictment in this case.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Peoria Woman Sentenced for Distribution of Fentanyl Resulting in DeathRead the Press Release
PHOENIX – This week, Fany Madrigal-Lopez, 46, of Peoria, Ariz., was sentenced by the Honorable Douglas L. Rayes, United States District Judge for the District of Arizona, to concurrent 12-year terms of imprisonment. Madrigal-Lopez had previously pleaded guilty to distributing fentanyl that resulted in death, and conspiracy to distribute and to possess with the intent to distribute controlled substances. As part of her sentence, Madrigal-Lopez’s residence in Peoria, Ariz., was forfeited to the United States.
Madrigal-Lopez’s sentencing followed other hearings in which Judge Rayes imposed sentences of probation and supervised release for three of Madrigal-Lopez’s adult children who participated in some of her crimes. Previously, Paulina Madrigal-Macias, 26, of Hawaii, pleaded guilty to conspiracy to distribute and to possess with the intent to distribute controlled substances. Adolfo Macias-Madrigal, 27, of Peoria, Ariz., and Luis Angel Macias, 21, of Phoenix, Ariz., both pleaded guilty to unlawful use of a communications facility as part of a drug conspiracy.
According to publicly-filed court documents, between the fall of 2015 and August 2017, Madrigal-Lopez obtained quantities of oxycodone and blue “M-30” pills that looked like oxycodone but contained fentanyl, cocaine, and alprazolam from others in Arizona. The four defendants then sold these substances to customers. On Nov. 16, 2016, Fany Madrigal-Lopez sold blue “M-30” pills to a customer who later died after consuming them. Despite learning of this death, Madrigal-Lopez continued to distribute various controlled substances to customers in the Phoenix area
Despite learning of this death, Madrigal-Lopez continued to distribute various controlled substances to customers in the Phoenix area. On Aug. 18, 2017, the Drug Enforcement Administration executed a search warrant at her residence in Peoria, Ariz., and recovered quantities of oxycodone; cocaine; blue “M-30” pills that contained fentanyl; and alprazolam.
The investigation in this case was conducted by the Drug Enforcement Administration and the Internal Revenue Service-Criminal Investigation, who were assisted by the Peoria Police Department and the Arizona National Guard. The prosecution was handled by Carolina Escalante Konti, D.J. Pashayan, and Jeffrey Borup, Assistant U.S. Attorneys, District of Arizona, Phoenix.
CASE NUMBER: CR-2:17-1110-PHX-DLR
RELEASE NUMBER: 2018-128_Madrigal-Lopez
# # #
For more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Follow the U.S. Attorney’s Office, District of Arizona, on Twitter @USAO_AZ for the latest news.
Owner of Vancouver, WA Precious Metals Firm Indicted for Multiple Counts of Wire and Mail FraudRead the Press Release
The owner of Blue Moon Coins in Vancouver, Washington was indicted by the grand jury on 11 counts of wire fraud and five counts of mail fraud for his scheme to defraud customers of more than $1.3 million, announced U.S. Attorney Annette L. Hayes. AARON MICHAEL SCOTT, 40, a resident of Portland, Oregon, is scheduled to be arraigned on the indictment in U.S. District Court in Tacoma at 10:30 on Thursday October 4, 2018.
According to the indictment, between October 2013 and April 2014, SCOTT repeatedly accepted customer money for the purchase of precious metals and coins, and then used the money for his personal and company expenses. SCOTT represented to customers that the money would be used to immediately purchase the coins and metals but instead it was used for expenses or to fulfill earlier customer orders in the form of a Ponzi scheme. When customers complained about the delay in receiving their items, SCOTT used a plethora of excuses such as: weather delays; a supplier had gone bankrupt; a corporate buyout; ice and snow; delayed armored truck delivery; and a bad flu season.
In all more than 139 customers were defrauded of more than $1.3 million. Losses to individual investors range from just over $2,000 to more than $154,000.
Wire fraud and mail fraud are punishable by up to 20 years in prison.
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 is being investigated by the FBI, Vancouver Police Department and the U.S. Commodities Futures Trading Commission (CFTC). The CFTC has filed a civil enforcement action against SCOTT and Blue Moon Coins seeking restitution for the victims and a permanent registration and trading ban.
The case is being prosecuted by Assistant United States Attorney David Reese Jennings.
Operators of Sushi House Restaurant at Jacksonville Town Center Plead Guilty to Harboring Illegal AliensRead the Press Release
Jacksonville, Florida – Min Lin (35) and He Ying Qiu (46), both of Jacksonville, have pleaded guilty to harboring illegal aliens for the purpose of commercial advantage and private financial gain. Each faces a maximum penalty of 10 years in federal prison. A sentencing date has not yet been set.
According to their plea agreements, Lin and Qiu are married and own and operate the Sushi House restaurant located at the Town Center shopping complex in Jacksonville. After receiving a tip from a concerned citizen, federal agents conducted an investigation and discovered that employees were being transported in a van, driven by Qiu, between the Sushi House and two residences owned by Lin. On January 29, 2018, officers from the Jacksonville Sheriff’s Office (JSO) stopped the van as it was coming from Sushi House, after it had closed for business that day. Qiu was driving the van and Lin was in the front seat passenger. Four passengers in the van appeared to be aliens who were illegally present in the United States.
On June 5, 2018, law enforcement agents executed search warrants at the Sushi House and the two residences owned by Lin. Before the warrants were executed, a JSO officer stopped the van Qiu was driving near the Sushi House. Two of the passengers, who were also in the van when it was stopped on January 29, 2018, were found to be illegally present in the United States. During the execution of the warrant at one of the residences, agents encountered two more aliens who were also found to be illegally present in the United States. They had also been passengers in the van during the previous strop.
Upon questioning, each of the four aliens admitted to being illegally present in the United States. They stated that they worked at the Sushi House and were paid in cash with no taxes withheld from their pay. They also stated that they lived at the residence rent-free, that Qiu took them to and from work, and that neither Lin nor Qiu had asked them to provide documents to establish that they were legally authorized to work in the United States. Employers are required by law to obtain such documents before hiring any employee. During the search of the residence, agents found identification, mail, photographs, and other documents belonging to the aliens and others.
As part of their plea agreements, Lin and Qiu agreed to forfeit the residence and the van they had used to transport the aliens.
This case was investigated by U.S. Immigration and Customs Enforcement’s Homeland Security Investigations. It is being prosecuted by Assistant United States Attorney Arnold B. Corsmeier.
Olympia Man Sentenced to 10 Years in Federal Prison for Attempted Child Sex TraffickingRead the Press Release
https://www.justice.gov/pscSpokane – Joseph H. Harrington, United States Attorney for the Eastern District of Washington, announced that Paul Rosier, age 76, of Olympia, Washington, was sentenced after having pleaded guilty on June 26, 2018, to Attempted Child Sex Trafficking. Senior United States District Court Judge Edward F. Shea sentenced Rosier to a 10-year term of imprisonment, to be followed by a life term of court supervision after he is released from federal prison. Judge Shea also ordered Rosier to pay $105,000 in fines, $5,000 of which was ordered pursuant to the Justice for Victims of Trafficking Act. Rosier will be required to register as sex offender upon his release from confinement.
According to information disclosed during court proceedings, as part of an undercover sting operation, a Kennewick Police Department detective with the Southeast Regional Internet Crimes Against Children Task Force, posing as a 16-year old minor and pimp, signed on to the “Pinger” social media application and received a message from Rosier stating Rosier planned to be in the Kennewick area and was looking for a “hook up” and a “rub and more.” As part of the sting operation, the undercover detective replied that he had a 13-year old friend who might be available. Rosier text-messaged the undercover detective asking if the 13-year old was available for an “outcall,” a commercial sex trade term that means the person performing the service comes to the customer’s location. Rosier also sent a message to the undercover detective asking for “Daty” and “bbbj”, commercial sex industry terms for oral sex on a female and oral sex performed on a male without a condom. Rosier specifically requested the 13-year old girl perform these acts. When the undercover detective asked Rosier what the 13-year old was worth to him, Rosier text-messaged $160, and indicated he wanted “FS,” an abbreviation for “full service” and meaning intercourse. The undercover detective, posing as a pimp, replied that his fee was an additional $40. Rosier messaged the undercover detective that he was at a hotel in Kennewick, Washington, and provided his room number. After the undercover detective notified Rosier the under-age girl was at the hotel, members of the Southeast Regional Internet Crimes Against Children task force arrested Rosier when he went to meet her. A search incident to arrest revealed Rosier possessed $200.
Joseph H. Harrington said, “I commend the outstanding work of the Southeast Regional Internet Crimes Against Children Task Force, Homeland Security Investigations, and the Kennewick Police Department. Sexual predators routinely target the young and most vulnerable in our communities. The sentence imposed removes a sexual predator from the streets and sends a strong message that the federal government will use all of the tools at its disposal to investigate and prosecute these crimes.”
“Adults who prey on children deserve the consequences of their actions. In this case, Rosier was looking for a child to engage in sexual acts with him. Thanks to the efforts of the Southeast Regional Internet Crimes Against Children Task Force, we prevented him from doing so,” said Brad Bench, Special Agent in Charge of HSI Seattle. “Combatting child predators is truly a team effort that requires the cooperation of local, state and federal law enforcement entities, and this case is testament that the work we do truly does make our community safer.”
This case was pursued as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the United States Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals, who sexually exploit children, and to identify and rescue victims. The Project Safe Childhood Initiative (“PSC”) has five major components:
· Integrated federal, state, and local efforts to investigate and prosecute child exploitation cases, and to identify and rescue children;
· Participation of PSC partners in coordinated national initiatives;
· Increased federal enforcement in child pornography and enticement cases;
· Training of federal, state, and local law enforcement agents; and
· Community awareness and educational programs.
For more information about Project Safe Childhood, please visit www.usdoj.gov/psc. For information about internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
This case was investigated by the United States Department of Homeland Security, Homeland Security Investigations, the Kennewick Police Department, and the Southeast Regional Internet Crimes Against Children Task Force. This case was prosecuted by Laurel Holland and Scott T. Jones, Assistant United States Attorneys for the Eastern District of Washington.
Olathe Man Pleads Guilty to Unlawfully Importing Asian Leopard CatsRead the Press Release
KANSAS CITY, KAN. - A Kansas man pleaded guilty Wednesday to unlawfully importing endangered leopard cats, U.S. Attorney Stephen McAllister said.
The leopard cat is a small wild cat native to Asia. It is considered as an endangered species under federal law.
Lawrence E. Payne, 34, Olathe, Kan., pleaded guilty to one count of violating the Endangered Species Act. The investigation began when Payne applied to the U.S. Department of Agriculture for a breeding license for Asian leopard cats. When investigators served a search warrant at Payne’s home, they found three Asian leopard cats. Payne admitted importing the animals.
Sentencing will be set for a later date. He faces a penalty of up to a year in jail and a fine up to $50,000. McAllister commended the U.S. Fish and Wildlife Service, the U.S. Department of Agriculture and Assistant U.S. Attorney Chris Oakley for their work on the case.
Nurse Practitioner and Technician Plead Guilty to Unlawful Distribution of Prescription Opioids and Health Care FraudRead the Press Release
LAS VEGAS, Nev. – A nurse practitioner and a surgical technician pleaded guilty in federal court Tuesday in connection to the unlawful distribution of prescription opioids and for committing Medicare and Medicaid fraud, announced U.S. Attorney Dayle Elieson for the District of Nevada.
Robert D. Harvey, a surgical technician, 45, of Henderson, pleaded guilty to one count of conspiracy to distribute a controlled substance and three counts of distribution of a controlled substance, and Alejandro “Alex” Incera, aka Alexander Jiminez-Incera, an Advance Practice Registered Nurse, 48, of Las Vegas, pleaded guilty to eight counts of distribution of controlled substance and eight counts of health care fraud.
The investigation revealed that from January 1, 2018 to about May 3, 2018, Harvey and Incera conspired to distribute Hydrocodone and Oxycodone to patients without a legitimate medical purpose in exchange for cash payments.
Harvey, who did not have a medical or DEA license, met individuals in various parking lots in the Las Vegas Valley and unlawfully distributed opioid prescriptions using Incera’s prescription pad with Dr. Horace P. Guerra’s DEA license number, in exchange for cash payments. Dr. Guerra would pre-sign the prescriptions, facilitating Harvey’s unlawful distribution.
Incera also defrauded Medicare and Medicaid by writing Lidocaine, Modafinil, and Diclofenac Sodium prescriptions to patients without a legitimate medical purpose between July 2016 to about December 2017. The prescriptions were filled and processed by Atlas Pharmacy who paid Incera approximately $30,000 in exchange for referring patients to fill their prescriptions at Atlas Pharmacy. The Medicare and Medicaid programs were defrauded out of approximately $3.7 million.
United States District Judge James C. Mahan accepted their guilty pleas and scheduled a sentencing hearing for January 10, 2019. The maximum penalty is five years in prison and a $250,000 for conspiracy to distribute a controlled substance and distribution of a controlled substance, and the maximum penalty is 10 years in prison and a $250,000 fine for health care fraud.
Co-defendant Leslie Kalyn, aka Leslie Feth, a Doctor of Nursing, 35, of Las Vegas, was charged with one count of conspiracy to commit health care fraud and six counts of health care fraud and is scheduled for a jury trial on September 23, 2019. Guerra, 55, pleaded guilty to one count of conspiracy to distribute controlled substances and he is scheduled to be sentenced on October 25, 2018. Nelson M. Mukuna, owner and operator of Atlas Pharmacy, 41, pleaded guilty to one count of conspiracy to commit health care fraud and one count of structuring transactions to evade reporting requirements, and he is scheduled to be sentenced on December 3, 2018.
The case is being investigated by the FBI, the Office of Inspector General of the U.S. Department of Health and Human Services, and the Nevada Attorney General’s Office Medicaid Fraud Control Unit. Assistant U.S. Attorney Kilby Macfadden is prosecuting the case.
The District of Nevada was selected as one of 12 districts nationally to participate in the Opioid Fraud and Abuse Detection Unit, a program that utilizes data to help combat the devastating opioid crisis. The District of Nevada has assigned a prosecutor that focuses solely on investigating and prosecuting health care fraud related to medical professionals who prescribe opioids, that unlawfully divert of dispense prescription opioids for illegitimate purposes.
###
Newton Man Sentenced to over 17 Years in Prison for Extensive Cyberstalking CampaignRead the Press Release
BOSTON - A Newton man was sentenced today in federal court in Boston for conducting an extensive cyberstalking campaign against his former housemate, her family members, co-workers, friends, and other unrelated individuals. The defendant hacked into his former housemate’s online accounts, posted fraudulent sexual solicitations in the victims’ names, sent unsolicited images of child pornography, and made over 120 hoax bomb threats.
Ryan S. Lin, 25, was sentenced by U.S. District Court Judge William G. Young to 210 months in prison and five years of supervised release, after pleading guilty in April 2018 to seven counts of cyberstalking, five counts of distribution of child pornography, nine counts of making hoax bomb threats, three counts of computer fraud and abuse and one count of aggravated identity theft. Lin was arrested in October 2017, and has been in custody since.
From approximately May 2016 through Oct. 5, 2017, Lin engaged in a cyberstalking campaign against his housemate, a 25-year-old female victim. Lin hacked into the victim’s online accounts and devices and stole the victim’s private photographs, personally identifiable information, and private diary entries, which contained sensitive details about her medical, psychological and sexual history, and distributed the material to hundreds of people associated with her.
Lin also created and posted fraudulent online profiles in the victim’s name and solicited rape fantasies, including a “gang bang,” and other sexual activities, which in turn caused men to show up at the victim’s home. He also engaged in a number of other activities targeting the victim, including relentless anonymous text messaging and hoaxes.
In addition to his former housemate, Lin engaged in cyberstalking activity aimed at six other individuals. Some were associated with the primary victim, and others were unrelated. The additional victims include two women who were Lin’s housemates in Newton at the time of his arrest. On multiple occasions, Lin sent unsolicited sexually explicit images of prepubescent children to the primary victim’s mother, the victim’s co-worker and housemate, a friend of the victim who resided in New Jersey, and two of Lin’s former classmates in New York.
Furthermore, Lin falsely and repeatedly reported to law enforcement that there were bombs at the primary victim’s Waltham residence. Lin also created a false social media profile in the name of the primary victim’s housemate in Waltham and posted that he was going to “shoot up” a school in Waltham, stating that there would be “blood and corpses everywhere.” These threats became part of a prolonged pattern of threats in Waltham, and eventually in surrounding towns, including schools, homes, businesses and other institutions.
United States Attorney Andrew E. Lelling; Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division; Harold H. Shaw, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Office; and Waltham Police Chief Keith MacPherson made the announcement today. The U.S. Attorney’s Office would also like to acknowledge the assistance of the Middlesex County District Attorney’s Office and the Watertown, Newton and Wellesley Police Departments. Assistant U.S. Attorney Amy Harman Burkart, Chief of Lelling’s Cybercrime Unit, and Senior Trial Attorney Mona Sedky of the Criminal Division’s Computer Crime and Intellectual Property Section prosecuted the case.
McKees Rocks Woman Admits Buying 2 Guns for a Known FelonRead the Press Release
PITTSBURGH, PA - A resident of McKees Rocks, Pennsylvania, pleaded guilty in federal court to a charge of aiding and abetting the possession of a firearm by a convicted felon, United States Attorney Scott W. Brady announced today.
Talaya Thompkins, 36, pleaded guilty to one count before United States District Judge David Cercone.
In connection with the guilty plea, the court was advised that from on or about August 27, 2016, and continuing thereafter to on or about August 7, 2017, Talaya Thompkins unlawfully aided and abetted Vincent Eggleton’s possession of firearms. Thompkins purchased the two firearms in August 2016 and February 2017 and made them available to Eggleton. Thompkins was aware that Eggleton had a prior felony conviction, which prohibits Eggleton from possessing any firearm.
On March 1, 2018, Eggleton pleaded guilty to possession of a firearm and ammunition by a felon, as well as conspiracy to distribute and possess with intent to distribute 500 grams or more of cocaine and a related drug-trafficking charge. On August 1, 2018, Eggleton was sentenced to a total of 121 months’ imprisonment on those charges.
Judge Cercone scheduled sentencing of Thompkins for February 13, 2019. The law provides for a total sentence of not more than 10 years in prison, a fine of $250,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offense and the prior criminal history, if any, of the defendant.
The court continued Talaya Thompkins on bond pending sentencing.
Assistant United States Attorney Adam N. Hallowell is prosecuting this case on behalf of the government.
The Bureau of Alcohol, Tobacco, Firearms and Explosives, as well as a federally administered Organized Crime and Drug Enforcement Task Force (OCDETF) conducted the investigation leading to the indictment in this case. The task force is headed by the Drug Enforcement Administration and is comprised of members drawn from the Borough of Baldwin Police Department, McKees Rocks Police Department, Munhall Police Department, Allegheny County Sheriff’s Office, Pittsburgh Bureau of Police, and the Pennsylvania State Police.
This case is being prosecuted under Project Safe Neighborhoods, a collaborative effort by federal, state and local law enforcement agencies, prosecutors and communities to prevent, deter and prosecute gun crime.
McComb Man Sentenced for Committing Commercial Driver’s License FraudRead the Press Release
Jackson, Miss. – Derrious Emadrick Dillon, 37, of McComb, was sentenced yesterday by U.S. District Judge David Bramlette III to two years in prison followed by one year of supervised release for aggravated identity theft, announced U.S. Attorney Mike Hurst and Special Agent in Charge Todd Damiani, with the U.S. Department of Transportation, Office of Inspector General. Dillon was also ordered to pay a $1500 fine.
Dillon previously worked for a company that provided training and certification to individuals seeking commercial driver’s licenses ("CDLs"). When his employment was terminated in 2014, he continued providing paperwork to those whom wanted a CDL. Dillon obtained a list of authorized CDL instructors and their identification numbers in the State of Mississippi. He used names and identification numbers of those authorized CDL instructors to prepare fraudulent paperwork for individuals seeking CDLs. This fraudulent paperwork would be given to an individual seeking to obtain a CDL in exchange for payment to Dillon. The fraudulent paperwork would be presented by these individuals to the Mississippi Department of Public Safety in order to secure a commercial driver’s license.
Dillon received $200-$400 for each set of fraudulent paperwork. A review of the commercial drivers’ paperwork in Mississippi showed that some of the applicants could not have achieved the results on the paperwork. Some Commercial Driver’s License holders were interviewed and said they had never taken the test and just paid Dillon for the paperwork. Dillon pled guilty on January 9, 2018.
"The sentencing in this investigation underscores the U.S. Department of Transportation Office of Inspector General's (DOT-OIG) commitment to ensuring the integrity of the Department's commercial driver’s license (CDL) program," stated Todd Damiani, Regional Special Agent-In-Charge at DOT-OIG. "We remain steadfast in our efforts to prevent and detect CDL fraud schemes which endanger the traveling public in the State of Mississippi and throughout the country."
The case was investigated by the United States Department of Transportation-Office of Inspector General, the Mississippi Department of Public Safety, the Mississippi Bureau of Investigation and the Federal Motor Carrier Safety Administration. It was prosecuted by Assistant United States Attorney Erin Chalk.
Massachusetts Man Sentenced to More than 17 Years in Prison for Cyberstalking Former Housemate and Others, Computer Hacking, Sending Child Pornography and Making over 100 Hoax Bomb ThreatsRead the Press Release
A Massachusetts man was sentenced today to 210 months in prison for conducting an extensive cyberstalking campaign against his former housemate, her family members, co-workers, friends, and others, including hacking into her online accounts, posting fraudulent sexual solicitations in their names, sending unsolicited images of child pornography, and making over 120 hoax bomb threats.
Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division, U.S. Attorney Andrew E. Lelling for the District of Massachusetts, Special Agent in Charge Harold H. Shaw of the FBI Boston Field Office and Waltham Police Chief Keith MacPherson made the announcement today.
Ryan S. Lin, 25, formerly of Newton, Massachusetts, was sentenced today by U.S. District Judge William G. Young of the District of Massachusetts, who also ordered him to serve five years of supervised release following his prison sentence. Lin pleaded guilty in April 2018 to seven counts of cyberstalking, five counts of distribution of child pornography, nine counts of making hoax bomb threats, three counts of computer fraud and abuse and one count of aggravated identity theft. Lin was arrested in October 2017 and has been held in custody since. As part of Lin’s plea agreement, Lin agreed to be sentenced to a minimum of seven years and a maximum of 17 ½ years in prison.
According to admissions made in connection with his plea and evidence presented at sentencing, from about May 2016 through Oct. 5, 2017, Lin engaged in an extensive cyberstalking campaign against a 25-year-old female victim. Lin, the victim’s former housemate, hacked into the victim’s online accounts and devices and stole the victim’s private photographs, personally identifiable information, and private diary entries, which contained highly sensitive details about her medical, psychological and sexual history, and distributed the victim’s material to hundreds of people associated with her.
Lin also created and posted fraudulent online profiles in the victim’s name and solicited rape fantasies, including “gang bang” and other sexual activities, which in turn caused men to show up at the victim’s home. Lin engaged in a number of other activities targeting the female victim, including relentless anonymous text messaging and additional hoaxes, from shortly after he met her until October 2017.
In addition to his former housemate, Lin engaged in cyberstalking activity aimed at six additional individuals. Some were associated with the former housemate, and others were entirely unrelated. The additional victims include two female victims who were also Lin’s housemates in Newton at the time of his arrest. On multiple occasions, Lin sent sexually explicit images of prepubescent children on an unsolicited basis to the primary victim’s mother, the victim’s co-worker and housemate, a friend of the victim who resided in New Jersey, and two of Lin’s former classmates in New York.
In addition to the cyberstalking activity, Lin falsely and repeatedly reported to law enforcement that there were bombs at the primary victim’s Waltham, Massachusetts residence. Lin also created a false social media profile in the name of the primary victim’s housemate in Waltham and posted that he was going to “shoot up” a school in Waltham, stating that there would be “blood and corpses everywhere.” These threats expanded beyond Waltham and became part of an extensive and prolonged pattern of threats to local schools, private homes, businesses, and other institutions in the broader community. Ultimately, Lin pleaded guilty to having made over 100 bomb threats, including 24 in a single day.
The investigation was conducted by the FBI’s Boston Field Office and the Waltham Police Department. The Middlesex County District Attorney’s Office and Watertown, Newton and Wellesley Police Departments assisted in the investigation. Senior Trial Attorney Mona Sedky of the Criminal Division’s Computer Crime and Intellectual Property Section and Assistant U.S. Attorney Amy Harman Burkart, Chief of Lelling’s Cybercrime Unit, prosecuted the case.
Manhattan Hair Salon Owner Pleads Guilty to Insider TradingRead the Press Release
Geoffrey S. Berman, the United States Attorney for the Southern District of New York, announced today that ABELL OUJADDOU pled guilty to participating in a scheme to trade in the stock of the Valspar Corporation (“Valspar”) based on material nonpublic information relating to another’s company’s efforts to acquire Valspar. OUJADDOU pled guilty to one count of conspiracy to commit securities fraud before U.S. District Judge Jed S. Rakoff.
U.S. Attorney Geoffrey Berman said: “Abell Oujaddou, a salon owner and hairstylist, pled guilty today to receiving favorable material nonpublic information about Valspar’s stock, and then trading on that information before it became public, netting nearly $200,000 in illegal gains. As he admitted today, Oujaddou – who had never previously traded Valspar stock – was given the tip by his co-defendant, who worked at a rating agency and had access to inside information about the acquisition of Valspar. Our Office will continue to fight insider trading and ensure that those who cheat in our financial markets are held to account.”
According to the allegations contained in the Complaint and Indictment filed against OUJADDOU and his co-conspirators, and statements made in related court filings and proceedings:[1]
Rating Evaluation Services and the Insider
When a company announces an acquisition, the acquiring company’s credit rating agency often evaluates, and ultimately issues a press release relating to, the impact that the acquisition could have on the acquiring company’s credit rating. Therefore, companies often contact rating agencies before an acquisition is publicly announced in order to secure the rating agency’s views on how a possible acquisition could impact a company’s credit rating. All the major rating agencies offer a service – sometimes known as a Rating Evaluation Service (“RES”) – that provides the company with a rating committee decision with respect to a proposed acquisition.
In March 2016, a credit rating agency in Manhattan (the “Firm”) assigned Sebastian Pinto-Thomaz, a credit ratings analyst, to work on an RES for the Sherwin-Williams Company (“Sherwin-Williams”) in advance of its contemplated but unannounced acquisition of the Valspar Corporation (“Valspar”). In connection with this assignment, Pinto-Thomaz had access to confidential information about Sherwin-Williams’ acquisition of Valspar prior to the public announcement of the acquisition. The Firm’s written policies prohibited the unauthorized disclosure of confidential information, which included the information about the possible acquisition of Valspar (the “Inside Information”). During his tenure at the Firm, Pinto-Thomaz reviewed and certified his duties of loyalty and confidentiality to the Firm and its clients.
The Insider Trading Scheme
In March 2016, Pinto-Thomaz misappropriated the Inside Information about Sherwin-Williams’ acquisition of Valspar and passed it to OUJADDOU and Jeremy Millul so that they could use it to make profitable trades. On March 21, 2016, the first trading day after the public announcement of the acquisition, the price of Valspar stock increased approximately 23 percent over the prior day’s close.
OUJADDOU is a Manhattan hairstylist and salon owner who has a close relationship with Pinto-Thomaz, as well as with a member of Pinto-Thomaz’s immediate family (the “Relative”). Pinto-Thomaz repeatedly provided OUJADDOU with Inside Information about the Valspar acquisition, oftentimes shortly after Pinto-Thomaz became aware of the Inside Information through his work at the Firm. From March 10, 2016, through March 18, 2016, OUJADDOU, who had never previously purchased Valspar or Sherwin-Williams’ securities, used the Inside Information he had received from Pinto-Thomaz to purchase 8,630 shares of Valspar stock. After the acquisition was publicly announced, OUJADDOU sold his Valspar shares for approximately $192,080 in profits. OUJADDOU admitted that he agreed to give Pinto-Thomaz a portion of OUJADDOU’s trading profits in exchange for the Inside Information.
Millul is a Manhattan jeweler who has a close personal friendship with Pinto-Thomaz and the Relative. Pinto-Thomaz also provided Millul with Inside Information about the Valspar acquisition. Although Millul had never owned a brokerage account in the United States and had never traded in U.S. securities prior to March 2016, he opened a brokerage account on March 13, 2012, and shortly thereafter purchased 480 shares of Valspar common stock. On March 18, 2016, the last trading day before the acquisition was publicly announced, Millul also purchased 75 Valspar out-of-the-money call options. After the acquisition was publicly announced, Millul sold his Valspar stock and options for approximately $106,806 in profits. In December 2016, Millul gave Pinto-Thomaz $3,500 in cash.
Pinto-Thomaz Makes False Statements About OUJADDOU and Millul in Connection with a FINRA Inquiry
In June 2016, the Financial Industry Regulatory Authority (“FINRA”) sent the Firm a list of individuals and entities that had traded in Valspar in advance of the public announcement of the acquisition (the “List”). The Firm forwarded the List to its employees who had worked on the Sherwin-Williams RES, including Pinto-Thomaz, asking the employees to respond by stating whether they had a past or present relationship with any individual or entity on the List. Although both OUJADDOU and Millul were on the List, Pinto-Thomaz denied having a relationship with anyone on the List.
* * *
ABELL OUJADDOU, 55, of New York, New York, pled guilty to one count of conspiracy to commit securities fraud, which carries a maximum sentence of five years in prison and a maximum fine of $250,000, or twice the gross gain or loss from the offense. The maximum potential sentence in this case is prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendant would be determined by the Court.
OUJADDOU is scheduled to be sentenced on February 5, 2019 at 4 p.m.
Mr. Berman praised the work of the FBI, and thanked the SEC for its assistance.
This case is being handled by the Office’s Securities and Commodities Fraud Task Force. Assistant U.S. Attorney Christine I. Magdo is in charge of the prosecution.
[1] As for the defendants who have pled not guilty, Sebastian Pinto-Thomaz and Jeremy Millul, the description of the charges set forth herein constitute only allegations.
Man Sentenced to Prison for Multiple Armed Bank RobberiesRead the Press Release
NORFOLK, Va. – A Georgia man was sentenced today to over 15 years in prison for armed robbery of two banks and one credit union.
According to court documents, Marquis Larosa Buckley, 41, of Townsend, conducted an armed robbery of a Fulton Bank and a PNC Bank, both located in Virginia Beach. At the Fulton Bank, Buckley stole $973, and at the PNC Bank he stole $8404. During the PNC Bank robbery a teller secreted a GPS device within the money given to Buckley. The device allowed law enforcement to locate Buckley and his co-conspirator as they were driving away from the robbery. Buckley also conducted an armed robbery of SPE Federal Credit Union in State College, Pennsylvania, wherein they netted $7,177. During each of these robberies, Buckley used a fake bomb in addition to a firearm to enhance his threats and to serve as a diversion for law enforcement while he made his escape.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, and Martin Culbreth, Special Agent in Charge of the FBI’s Norfolk Field Office, made the announcement after sentencing by Chief U.S. District Judge Rebecca Beach Smith. Assistant U.S. Attorney William D. Muhr prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information is located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 2:18-cr-2.
Lower Brule Residents Indicted on Methamphetamine ChargesRead the Press Release
United States Attorney Ron Parsons announced that three Lower Brule, South Dakota, individuals have been indicted by a federal grand jury for Conspiracy to Distribute a Controlled Substance.
Shanna St. Cloud, age 20, Alisha Flute, a/k/a Alisha Pretty Sounding Flute, age 20, and Teresa Jandreau, age 39, were indicted on September 11, 2018. Flute appeared on September 14, 2018, St. Cloud appeared on September 21, 2018, and Jandreau appeared on October 2, 2018, before U.S. Magistrate Judge Mark A. Moreno. All three pled not guilty to the Indictment.
The maximum penalty upon conviction is up to life in prison and/or a $10,000,000 fine, a lifetime of supervised release, and $100 to the Federal Crime Victims Fund for each count. Restitution may also be ordered.
The Indictment alleges that between December 1, 2015, and September 11, 2018, St. Cloud, Flute, and Jandreau knowingly and intentionally conspired with others to distribute and possess with the intent to distribute methamphetamine, a Schedule II controlled substance, in South Dakota.
The charges are merely accusations and St. Cloud, Flute, and Jandreau are presumed innocent until and unless proven guilty.
This case was investigated by the Northern Plains Safe Trails Drug Enforcement Task Force. Assistant U.S. Attorney Meghan N. Dilges is prosecuting the case.
St. Cloud was remanded to the custody of the U.S. Marshals Service pending trial. Jandreau and Flute were released on bond pending trial. A trial date is set for November 27, 2018.
Leading Electrolytic Capacitor Manufacturer Ordered to Pay $60 Million Criminal Fine for Price FixingRead the Press Release
Nippon Chemi-Con was sentenced to pay a $60 million criminal fine for its role in a conspiracy to fix prices for electrolytic capacitors sold to customers in the United States and elsewhere, the Department of Justice announced today. The $60 million fine is the largest fine imposed in the Justice Department’s investigation into collusion in the capacitors industry. In addition to the $60 million criminal fine, Nippon Chemi-Con was also sentenced to a five-year term of probation during which the company must implement an effective compliance program and submit annual written reports on its compliance efforts.
"Today’s sentence affirms the Antitrust Division’s commitment to holding companies, whether foreign or domestic, accountable for conspiring to cheat American consumers,” said Assistant Attorney General Makan Delrahim of the Department of Justice’s Antitrust Division. “In addition to the significant fine, the five-year probation period promotes deterrence and will help to protect the public.”
In May 2018, Nippon Chemi-Con pleaded guilty to conspiring with others to suppress and eliminate competition for electrolytic capacitors from at least as early as November 2001 to January 2014. Nippon Chemi-Con was charged by indictment filed in October 2017 in the U.S. District Court for the Northern District of California. The indictment charged Nippon Chemi-Con with carrying out the conspiracy by agreeing with co-conspirators to fix prices of electrolytic capacitors during meetings and other communications. Capacitors were then sold in accordance with these agreements. As part of the conspiracy, Nippon Chemi-Con and its co-conspirators took steps to conceal the conspiracy, including the use of code names and providing misleading justifications for prices and bids submitted to customers in order to cover up their collusive conduct.
In total, eight companies and ten individuals have been charged for their participation in this conspiracy. All eight companies have pleaded guilty and have been sentenced to criminal fines collectively totaling over $150 million. Of the ten individuals charged, two have pleaded guilty, and eight remain under indictment, including four Nippon Chemi-Con executives: Takuro Isawa, Takeshi Matsuzaka, Yasutoshi Ohno, and Kaname Takahashi.
Electrolytic capacitors store and regulate electrical current in a variety of electronic products, including computers, televisions, car engine and airbag systems, home appliances, and office equipment.
This case results from ongoing federal antitrust investigations being conducted by the Antitrust Division’s San Francisco Office and the FBI’s San Francisco Field Office into price fixing, bid rigging and other anticompetitive conduct in the capacitor industry. Anyone with information related to the focus of this investigation should contact the Antitrust Division’s Citizen Complaint Center at 1-888-647-3258, visit https://www.justice.gov/atr/report-violations, or call the FBI tip line at 415-553-7400.
Las Vegas Man Pleads Guilty to Armed CarjackingRead the Press Release
LAS VEGAS, Nev. – A Las Vegas resident who was standing trial for an armed carjacking pleaded guilty late Monday to the federal charge, announced U.S. Attorney Dayle Elieson for the District of Nevada.
On the first day of trial, after a jury selection was complete, Raul Casarez, 36, pleaded guilty before U.S. District Judge Kent J. Dawson to one count of carjacking. A sentencing hearing is scheduled for January 30, 2019.
As part of the plea agreement, Casarez admitted that, on January 1, 2015, he and two accomplices entered a 63-year-old man’s home in Henderson, Nevada. Once inside the victim’s house, Casarez pointed the firearm at the victim’s face and demanded money. He tied the victim up and threatened to shoot the victim if the victim didn’t do what he said to do. Once the victim was restrained, Casarez stole a television, a camera, and other property from the house. Then he loaded the stolen property into the victim’s pickup truck and left the residence, taking the stolen items and vehicle with him. He later unloaded the property into a separate vehicle and parked the stolen truck near the Fiesta Casino in Henderson where it was later recovered by law enforcement. Forensic evidence, including fingerprints, tied Casarez and his accomplices to the crime. At the time of this offense, Cararez was wanted for violations of his federal supervised release for an underlying felony Escape conviction from 2013. Casarez has multiple prior felony convictions, including priors for Robbery, Attempted Assault with a Deadly Weapon, Felon in Possession of a Firearm, and Escape. Casarez’s accomplices previously pleaded guilty to charges arising from this event.
The maximum statutory penalty is 15 years and a fine of $250,000.
The case is being investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, Henderson Police Department, and the Las Vegas Metropolitan Police Department Gang Task Force. Assistant U.S. Attorneys Nadia J. Ahmed and Alexandra Michael are prosecuting the case.
###
Justice Department Awards More Than $30 Million to Project Safe Neighborhoods to Combat Violent CrimeRead the Press Release
Attorney General Sessions today commemorated the reinvigoration of Project Safe Neighborhoods (PSN), the centerpiece of the Department of Justice’s violent crime reduction efforts. In support of the Department’s PSN programs throughout the country, the Attorney General also announced awards of almost $28 million in grant funding to combat violent crime through PSN and another $3 million for training and technical assistance to develop and implement violent crime reduction strategies and enhance services and resources for victims of violent crime. Over the past year, the Department has partnered with all levels of law enforcement, local organizations, and members of the community to reduce violent crime and make American neighborhoods safer.
“Project Safe Neighborhoods is a proven program with demonstrated results,” Attorney General Jeff Sessions said. “We know that the most effective strategy to reduce violent crime is based on sound policing policies that have proven effective over many years, which includes being targeted and responsive to community needs. I have empowered our United States Attorneys to focus enforcement efforts against the most violent criminals in their districts, and directed that they work together with federal, state, local, and tribal law enforcement and community partners to develop tailored solutions to the unique violent crime problems they face. Each United States Attorney has prioritized the PSN program, and I am confident that it will continue to reduce crime, save lives, and restore safety to our communities.”
PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
Through the enhanced PSN, the Department is targeting the most violent criminals in the most violent areas, utilizing policing tools that did not exist even a few years ago. Tools like crime gun intelligence centers (CGIC), which combine intelligence from gunshot detection systems, ballistics, gun tracing, and good old-fashioned police work, help to develop real-time leads on the “traffickers and trigger pullers” who are fueling the violence in their communities. By using modern technologies and cutting-edge police work, the Justice Department is deploying resources strategically to provide the greatest return on our community-based anti-violence efforts.
United States Attorneys across the country are using powerful federal laws against the criminals driving the violent crime in their communities. In fiscal year 2018, the Department brought cases against more violent criminals than ever before—increasing by approximately 15 percent than the Department’s previous record set just last year. Additionally, in 2018 the Department set another record by charging approximately 20 percent more criminals with federal firearms offenses than it had in 2017, which is the most in the Department’s history.
The Department has already started to observe positive signs of progress. The FBI’s official crime data for 2017 reflects that, after two consecutive, historic increases in violent crime, in the first year of the Trump Administration the nationwide violent crime rate began to decline. The nationwide violent crime rate decreased by approximately one percent in 2017, while the nationwide homicide rate decreased by nearly one and a half percent. The preliminary information for 2018 shows that the Department’s efforts are continuing to pay off. Public data from 60 major cities show that violent crime decreased by nearly five percent in those cities in the first six months of 2018 compared to the same period one year earlier.
The grants announced today build on Attorney General Sessions’ commitment to reducing violent crime in America, as directed by President Trump’s February 2017 Executive Order. The Department has distributed additional resources and built up strong partnerships with local law enforcement in communities plagued by violent crime. Since the announcement of the reinvigoration of the PSN program in October 2017, the Department of Justice has increased the number of federal prosecutors focused on violent crime by over 300, directed its resources to improving cooperation between federal and local law enforcement agencies, restored local control of police agencies by reining in excessive use of consent decrees, reformed civil asset forfeiture and restored asset-sharing with state and local law enforcement, and helped fund over 800 hundred officers in police departments across America.
Justice Department Awards More Than $30 Million to Project Safe Neighborhoods to Combat Violent CrimeRead the Press Release
OKLAHOMA CITY – In support of the Department’s PSN programs throughout the country, Attorney General Sessions has announced almost $28 million in grant funding to combat violent crime through PSN and another $3 million for training and technical assistance to develop and implement violent crime reduction strategies and enhance services and resources for victims of violent crime.
Of the almost $28 million, $247,251 has been allocated to the Oklahoma District Attorneys Council to support PSN in the Western District of Oklahoma. The Council was also allocated $157,363 for PSN in the Northern District of Oklahoma and $111,323 for PSN in the Eastern District of Oklahoma.
"Project Safe Neighborhoods is a proven program with demonstrated results," Attorney General Jeff Sessions said. "We know that the most effective strategy to reduce violent crime is based on sound policing policies that have proven effective over many years, which includes being targeted and responsive to community needs. I have empowered our United States Attorneys to focus enforcement efforts against the most violent criminals in their districts, and directed that they work together with federal, state, local, and tribal law enforcement and community partners to develop tailored solutions to the unique violent crime problems they face. Each United States Attorney has prioritized the PSN program, and I am confident that it will continue to reduce crime, save lives, and restore safety to our communities."
PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
Through the enhanced PSN, the Department is targeting the most violent criminals in the most violent areas and using policing tools that did not exist even a few years ago. Tools like crime gun intelligence centers (CGICs), which combine intelligence from gunshot detection systems, ballistics, gun tracing, and good old-fashioned police work, help to develop real-time leads on the "traffickers and trigger pullers" who are fueling the violence in their communities.
The Department has already started to observe signs of progress. The FBI’s official crime data for 2017 reflects that, after two consecutive increases in violent crime, in the first year of the Trump Administration the nationwide violent crime rate began to decline. The nationwide violent crime rate decreased by approximately one percent in 2017, while the nationwide homicide rate decreased by nearly one-and-a-half percent. The preliminary information for 2018 shows that the Department’s efforts are continuing to pay off. Public data from 60 major cities show that violent crime decreased by nearly five percent in those cities in the first six months of 2018 compared to the same period one year earlier.
The grants announced today build on Attorney General Sessions’s commitment to reducing violent crime in America. The Department has distributed additional resources and built up strong partnerships with local law enforcement in communities plagued by violent crime. Since the announcement of the reinvigoration of the PSN program in October 2017, the Department of Justice has increased the number of federal prosecutors focused on violent crime by over 300, directed its resources to improving cooperation between federal and local law enforcement agencies, restored local control of police agencies by reining in excessive use of consent decrees, reformed civil asset forfeiture and restored asset-sharing with state and local law enforcement, and helped fund over 800 hundred officers in police departments across America.
Justice Department Awards More Than $30 Million to Project Safe Neighborhoods to Combat Violent CrimeRead the Press Release
KNOXVILLE, Tenn. – Attorney General Sessions today commemorated the reinvigoration of Project Safe Neighborhoods (PSN), the centerpiece of the Department of Justice’s violent crime reduction efforts. In support of the Department’s PSN programs throughout the country, the Attorney General also announced awards of almost $28 million in grant funding to combat violent crime through PSN and another $3 million for training and technical assistance to develop and implement violent crime reduction strategies and enhance services and resources for victims of violent crime. Over the past year, the Department has partnered with all levels of law enforcement, local organizations, and members of the community to reduce violent crime and make American neighborhoods safer.
The Eastern District of Tennessee was awarded $294,968 for use by the recently formed PSN Task Force, consisting of representatives from local, state and federal law enforcement, in its efforts to reduce violent crime in the district. Led by the U.S. Attorney’s Office, the PSN Task Force includes representatives from the Chattanooga Police Department, Knoxville Police Department, Greeneville Police Department, First, Second, Sixth, and Eleventh District Attorney’s Offices, Tennessee Bureau of Investigation, Tennessee Probation and Parole, Bureau of Alcohol, Tobacco, Firearms, and Explosives, Federal Bureau of Investigation, Drug Enforcement Administration, U.S. Marshals Service, Homeland Security, and U.S. Probation Office.
“Project Safe Neighborhoods is a proven program with demonstrated results,” Attorney General Jeff Sessions said. “We know that the most effective strategy to reduce violent crime is based on sound policing policies that have proven effective over many years, which includes being targeted and responsive to community needs. I have empowered our United States Attorneys to focus enforcement efforts against the most violent criminals in their districts, and directed that they work together with federal, state, local, and tribal law enforcement and community partners to develop tailored solutions to the unique violent crime problems they face. Each United States Attorney has prioritized the PSN program, and I am confident that it will continue to reduce crime, save lives, and restore safety to our communities.”
“We are committed to driving down violent crime across the Eastern District of Tennessee,” said U.S. Attorney J. Douglas Overbey. “The PSN Task Force plans to attack the violent crime problem by identifying significant offenders and targeting them for prosecution. Though collaboration and cooperation with our local, state and federal law enforcement and prosecutorial partners, our goal is to reduce violent crime and make our neighborhoods safer.”
PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
Through the enhanced PSN, the Department is targeting the most violent criminals in the most violent areas, utilizing policing tools that did not exist even a few years ago. Tools like crime gun intelligence centers (CGIC), which combine intelligence from gunshot detection systems, ballistics, gun tracing, and good old-fashioned police work, help to develop real-time leads on the “traffickers and trigger pullers” who are fueling the violence in their communities. By using modern technologies and cutting-edge police work, the Justice Department is deploying resources strategically to provide the greatest return on our community-based anti-violence efforts.
United States Attorneys across the country are using powerful federal laws against the criminals driving the violent crime in their communities. In fiscal year 2018, the Department brought cases against more violent criminals than ever before—increasing by approximately 15 percent than the Department’s previous record set just last year. Additionally, in 2018 the Department set another record by charging approximately 20 percent more criminals with federal firearms offenses than it had in 2017, which is the most in the Department’s history.
The Department has already started to observe positive signs of progress. The FBI’s official crime data for 2017 reflects that, after two consecutive, historic increases in violent crime, in the first year of the Trump Administration the nationwide violent crime rate began to decline. The nationwide violent crime rate decreased by approximately one percent in 2017, while the nationwide homicide rate decreased by nearly one and a half percent. The preliminary information for 2018 shows that the Department’s efforts are continuing to pay off. Public data from 60 major cities show that violent crime decreased by nearly five percent in those cities in the first six months of 2018 compared to the same period one year earlier.
The grants announced today build on Attorney General Sessions’ commitment to reducing violent crime in America, as directed by President Trump’s February 2017 Executive Order. The Department has distributed additional resources and built up strong partnerships with local law enforcement in communities plagued by violent crime. Since the announcement of the reinvigoration of the PSN program in October 2017, the Department of Justice has increased the number of federal prosecutors focused on violent crime by over 300, directed its resources to improving cooperation between federal and local law enforcement agencies, restored local control of police agencies by reining in excessive use of consent decrees, reformed civil asset forfeiture and restored asset-sharing with state and local law enforcement, and helped fund over 800 hundred officers in police departments across America.
###
Justice Department Awards More Than $30 Million to Project Safe Neighborhoods to Combat Violent CrimeRead the Press Release
NOTE: The Revised FY 2018 PSN Funding Allocation Amounts can be found here.
WASHINGTON – Attorney General Sessions today commemorated the reinvigoration of Project Safe Neighborhoods (PSN), the centerpiece of the Department of Justice’s violent crime reduction efforts. In support of the Department’s PSN programs throughout the country, the Attorney General also announced awards of almost $28 million in grant funding to combat violent crime through PSN and another $3 million for training and technical assistance to develop and implement violent crime reduction strategies and enhance services and resources for victims of violent crime. Over the past year, the Department has partnered with all levels of law enforcement, local organizations, and members of the community to reduce violent crime and make American neighborhoods safer.
The Eastern District of Kentucky received $185,994 in grant funding to support PSN efforts.
“Project Safe Neighborhoods is a proven program with demonstrated results,” Attorney General Jeff Sessions said. “We know that the most effective strategy to reduce violent crime is based on sound policing policies that have proven effective over many years, which includes being targeted and responsive to community needs. I have empowered our United States Attorneys to focus enforcement efforts against the most violent criminals in their districts, and directed that they work together with federal, state, local, and tribal law enforcement and community partners to develop tailored solutions to the unique violent crime problems they face. Each United States Attorney has prioritized the PSN program, and I am confident that it will continue to reduce crime, save lives, and restore safety to our communities.”
PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
Through the enhanced PSN, the Department is targeting the most violent criminals in the most violent areas, utilizing policing tools that did not exist even a few years ago. Tools like crime gun intelligence centers (CGIC), which combine intelligence from gunshot detection systems, ballistics, gun tracing, and good old-fashioned police work, help to develop real-time leads on the “traffickers and trigger pullers” who are fueling the violence in their communities. By using modern technologies and cutting-edge police work, the Justice Department is deploying resources strategically to provide the greatest return on our community-based anti-violence efforts.
United States Attorneys across the country are using powerful federal laws against the criminals driving the violent crime in their communities. In fiscal year 2018, the Department brought cases against more violent criminals than ever before—increasing by approximately 15 percent than the Department’s previous record set just last year. Additionally, in 2018 the Department set another record by charging approximately 20 percent more criminals with federal firearms offenses than it had in 2017, which is the most in the Department’s history.
The Department has already started to observe positive signs of progress. The FBI’s official crime data for 2017 reflects that, after two consecutive, historic increases in violent crime, in the first year of the Trump Administration the nationwide violent crime rate began to decline. The nationwide violent crime rate decreased by approximately one percent in 2017, while the nationwide homicide rate decreased by nearly one and a half percent. The preliminary information for 2018 shows that the Department’s efforts are continuing to pay off. Public data from 60 major cities show that violent crime decreased by nearly five percent in those cities in the first six months of 2018 compared to the same period one year earlier.
The grants announced today build on Attorney General Sessions’ commitment to reducing violent crime in America, as directed by President Trump’s February 2017 Executive Order. The Department has distributed additional resources and built up strong partnerships with local law enforcement in communities plagued by violent crime. Since the announcement of the reinvigoration of the PSN program in October 2017, the Department of Justice has increased the number of federal prosecutors focused on violent crime by over 300, directed its resources to improving cooperation between federal and local law enforcement agencies, restored local control of police agencies by reining in excessive use of consent decrees, reformed civil asset forfeiture and restored asset-sharing with state and local law enforcement, and helped fund over 800 hundred officers in police departments across America.
Justice Department Awards More Than $30 Million to Project Safe Neighborhoods to Combat Violent CrimeRead the Press Release
One year ago, the Department of Justice announced the revitalization and enhancement of Project Safe Neighborhoods (PSN), the centerpiece of the Department’s violent crime reduction strategy. Today, $28 million in grant funding was awarded nationally to combat violent crime through PSN programs, as well as an additional $3 million for training and technical assistance to develop and implement violent crime reduction strategies and enhance services and resources for victims of violent crime. Locally, the District of Minnesota has received a funding allocation of $441,632.
“Collaboration with federal, state, local, and tribal law enforcement and community stakeholders to develop tailored solutions to address violent crime issues throughout the state is key,” said U.S. Attorney MacDonald. “I am surging federal resources to our violence reduction efforts, which includes hiring additional prosecutors and the provision of nearly $500,000 in funding. These resources will support an aggressive, three-pronged approach to our PSN strategy—including enforcement, prevention, and treatment—because ensuring safe neighborhoods and communities for all Minnesotans is my top priority.”
The District of Minnesota is collaborating with the Minnesota Department of Public Safety to administer the funding. A portion of the funding will be dedicated to the City of Minneapolis to continue efforts to reduce gang and gun violence through its Group Violence Intervention (GVI) strategy. Funding will also be set aside for other jurisdictions that are seeing an uptick in violence and are interested in developing locally-based solutions, in partnership with the federal government. Additional information for jurisdictions interested in applying will be available in the coming months, through the Minnesota Department of Public Safety’s Office of Justice Programs.
FY 2018 PSN Funding Allocation amounts can be found here.
###
Additional news available on our website.
Follow us on Twitter and Facebook.
United States Attorney’s Office, District of Minnesota: (612) 664-5600
Jefferson County Man Charged with Receiving and Possessing Child PornographyRead the Press Release
PITTSBURGH, PA – A resident of Jefferson County has been indicted by a federal grand jury in Pittsburgh on charges of violating federal law relating to the sexual exploitation of children, United States Attorney Scott W. Brady announced today.
The three-count indictment, returned on September 27, 2018 and unsealed today, names Matthew James Kite, age 22, of Reynoldsville, PA, as the sole defendant.
According to the Indictment, on or about October 15, 2017, Kite received videos containing material depicting the sexual exploitation of minors. The Indictment further alleges that on October 26, 2017, and on April 18, 2018, Kite possessed images and videos, the production of which involved the use of minors engaging in sexually explicit conduct, some of whom had not reached the age of 12.
The law provides for a maximum total sentence of not less than five years and up to 40 years imprisonment, a maximum term of lifetime supervised release, and a fine of $750,000. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Christy C. Wiegand is prosecuting this case on behalf of the government.
The U.S. Immigration and Customs Enforcement/Department of Homeland Security conducted the investigation leading to the indictment in this case.
This case was brought 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 the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Jefferson County Brothers Indicted in Connection with Convenience Store Clerk ShootingRead the Press Release
BEAUMONT, Texas – Two Beaumont brothers have been indicted on federal violations in connection with a shooting in the Eastern District of Texas, announced U.S. Attorney Joseph D. Brown today.
Brandon Oneal Dodd, 33, was indicted by a federal grand jury on Oct. 3, 2018, and charged with conspiracy to commit a Hobbs Act robbery, attempted Hobbs Act robbery, and aiding and abetting the discharge of a firearm during a crime of violence.
Darryl James Dodd, 36, was indicted and charged with being a felon in possession with a firearm.
According to information presented in court, on Aug. 25, 2018, Brandon Dodd and two co-conspirators approached the Valero Fuel Mart located at 1481 IH-10 East in Beaumont with intentions of robbing it. The men found an employee of the convenience store in the parking lot near his car and forced him back into the store at gunpoint. One of the men jumped on the counter, pointed a gun at the store clerk and demanded money. The clerk resisted and was shot in the chest as the three men fled the scene. Although it is not believed Darryl Dodd was present during the shooting, it was revealed during the investigation that Darryl Dodd, a convicted felon, had possessed the firearm that was used in the attempted robbery.
If convicted, Brandon Dodd faces up to 20 years in federal prison. Darryl Dodd faces up to 10 years in federal prison.
This case is being investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives, the Beaumont Police Department, and the Jefferson County District Attorney’s Office and prosecuted by Assistant U.S. Attorney Russell E. James.
It is important to note that a complaint, arrest, or indictment should not be considered as evidence of guilt and that all persons charged with a crime are presumed innocent until proven guilty beyond a reasonable doubt.
Jacksonville Sexual Predator Charged with Child Pornography Production OffensesRead the Press Release
Jacksonville, Florida – United States Attorney Maria Chapa Lopez announced that James Thomas Butler II (38, Jacksonville) has been arrested and charged by a federal criminal complaint with production and attempted production of child pornography. In 2001, Butler was convicted of attempted sexual battery and lascivious molestation of a minor in Jacksonville and was required to register as a sexual predator. Because of his prior sex offense conviction, Butler faces an enhanced mandatory minimum penalty of 25 years, and up to 50 years, in federal prison, and a potential lifetime of supervision. He has been in custody since his arrest on October 2, 2018. A detention hearing is scheduled for October 9, 2018.
According to the
complaint , on May 2, 2018, FBI agents and other law enforcement officers executed a search warrant at a home in north Jacksonville, where several offenders and sexual predators resided. While interviewing the residents, the agents consensually obtained two smartphones from Butler, who was residing at the location. During a forensic review of one of the devices, agents discovered pornographic videos of a minor child that appeared to have been surreptitiously filmed using a hidden camera. Further investigation revealed the identity of the child and the Jacksonville residence where the production had occurred.This case was investigated by the Federal Bureau of Investigation, the Jacksonville Sheriff’s Office, and the Duval County School Police Department. It is being prosecuted by Assistant United States Attorney D. Rodney Brown.
It is another case brought 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 United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Jackson Man Found Guilty by Federal Jury under Project EJECT for Illegally Possessing a FirearmRead the Press Release
Jackson, Miss. – Terrence Omar Gates, 32, of Jackson, was found guilty this morning by a federal jury for illegally possessing a firearm as a convicted felon, announced U.S. Attorney Mike Hurst, Special Agent in Charge Dana Nichols with the Bureau of Alcohol, Tobacco, Firearms and Explosives, and Jackson Police Chief James E. Davis.
On June 7, 2017, officers with the Jackson Police Department stopped Terrence Omar Gates for traffic violations at the corner of Mill Street and Mitchell Street. While running Gates’ driver’s license, one of the officers observed Gates reaching under the front passenger seat. Gates was ordered to stop reaching and was removed from the vehicle. Officers searched the vehicle and recovered a stolen Taurus pistol, a glass mason jar containing approximately 30 grams of marijuana, and a black digital weighing scale from under the front passenger seat where Gates was reaching. Approximately $6,937.00 wrapped in a rubber band was also recovered from Gates front left pocket.
Gates was previously convicted in the Circuit Court of Davidson County, Tennessee, for the felony offense of Criminal Simulation. He was also convicted in the Circuit Court of Hinds County for felony offenses of Possession of Counterfeit Currency and Grand Larceny.
Gates will be sentenced by Senior U.S. District Judge William H. Barbour, Jr., on December 18, 2018, and faces a maximum penalty of 10 years in prison and a $250,000 fine.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Jackson Police Department. It was prosecuted by Assistant United States Attorneys Keesha D. Middleton.
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.
Indictment: Robber Told Bank Teller to be Quiet and Hand over the MoneyRead the Press Release
KANSAS CITY, KAN. – A Kansas man was indicted Wednesday on charges of robbing a bank in Kansas City, Kan., U.S. Attorney Stephen McAllister said.
Ralph McGinnis, 62, Kansas City, Kan., was charged with one count of bank robbery. The indictment alleges that on Sept. 6, 2018, McGinnis robbed the Bank of Labor at 756 Minnesota Avenue. According to documents filed in the case, McGinnis told a teller, “Don’t say anything,” as he handed her a note. The note said: “This is a robbery. Give me 100’s and 50’s.” After the robbery, a security guard followed the robber to a nearby apartment building where McGinnis was living.
If convicted, McGinnis faces up to 20 years in federal prison and a fine up to $250,000. The FBI investigated. Assistant U.S. Attorney Trent Krug is prosecuting.OTHER INDICTMENTS
Jose Martinez De La Cruz, 43, who has been living in Kansas City, Kan., although he is not a U.S. citizen, is charged with unlawfully re-entering the United States after being deported in 2010.
If convicted, he faces up to two years in federal prison and a fine up to $250,000. Homeland Security Investigations (HSI) investigated. Assistant U.S. Attorney Scott Rask is prosecuting.
Alan Lopez-Perez, 29, who has been living in Shawnee, Kan., although he is not a U.S. citizen, is charged with unlawfully re-entering the United States after twice being deported.
If convicted, he faces up to two years in federal prison and a fine up to $250,000. Homeland Security Investigations (HSI) investigated. Assistant U.S. Attorney Scott Rask is prosecuting.
Thomas Vanlerberg, 60, Tonganoxie, Kan., is charged with one count of distributing methamphetamine and one count of possessing methamphetamine. The crimes are alleged to have occurred Feb. 1, 2017, in Leavenworth County, Kan.
If convicted, he faces not less than 10 years in federal prison and a fine up to $10 million on each count. The Kansas Bureau of Investigation investigated. Assistant U.S. Attorney Sheri Catania is prosecuting.
Jason E. Valles, 37, Atchison, Kan., is charged with one count of possession with intent to distribute methamphetamine, one count of unlawful possession of a firearm in furtherance of drug trafficking, and one count of unlawful possession of a firearm by a user of controlled substances. The crime is alleged to have occurred June 14, 2018, in Atchison County, Kan.
If convicted, he faces not less than 10 years in federal prison and a fine up to $10 million on the drug charge, not less than five years and a fine up to $250,000 on the first firearm count and up to 10 years and a fine up to $250,000 on the second firearms count. The Drug Enforcement Administration investigated. Assistant U.S. Attorney David Zabel is prosecuting.
In all cases, defendants are presumed innocent until and unless proven guilty. The indictments merely contain allegations of criminal conduct.
Illegal alien from Honduras sentenced for possessing pistol after West Monroe arrestRead the Press Release
MONROE, La. – United States Attorney David C. Joseph announced that an illegal alien from Honduras was sentenced Tuesday to 18 months in prison for illegally possessing a pistol in West Monroe.
Medardo Zuniga, 36, of Honduras, was sentenced by U.S. District Judge Terry A. Doughty on one count of possession of a firearm by an illegal alien. According to the June 13, 2018 guilty plea, a West Monroe police officer conducted a traffic stop on a truck Zuniga was a passenger in on September 15, 2017. Three individuals were in the vehicle including Zuniga. After a search of the vehicle, an empty pistol magazine was found on Zuniga, and a Taurus 9 mm-caliber pistol with an obliterated serial number was found on the floorboard where he had been sitting. After his arrest, he admitted to being in the United States illegally and to possessing the pistol. The defendant was arrested in 2007 for driving unlawfully and had been previously deported on November 14, 2007.
This case was brought as part of Project Safe Neighborhoods (PSN), a program that has been historically successful in bringing together all levels of law enforcement to reduce violent crime and make our neighborhoods safer for everyone. Attorney General Jeff Sessions has made turning the tide of rising violent crime in America a top priority. In October 2017, as part of a series of actions to address this crime trend, Attorney General Sessions announced the reinvigoration of PSN and directed all U.S. Attorney’s Offices to develop a district crime reduction strategy that incorporates the lessons learned since PSN launched in 2001.
The ATF and West Monroe Police Department conducted the investigation. Assistant U.S. Attorney J. Aaron Crawford prosecuted the case.
Illegal Sea Cucumber Trade Nets More than $1.2 Million Dollars in Fines, Forfeiture and RestitutionRead the Press Release
Assistant U.S. Attorney Melanie K. Pierson (619) 546-7976
NEWS RELEASE SUMMARY – October 1, 2018
SAN DIEGO – A Tucson firm and two executives were recently sentenced to pay over $1.2 million in fines, forfeiture and restitution for the illegal trafficking in sea cucumber from 2010-2012.
In May of 2017, Blessings, Inc. of Tucson, its owner David Mayorquin, and former executive Ramon Torres Mayorquin of San Diego were charged in a 26-count indictment with conspiracy, illegal trafficking in wildlife, importation contrary to law, false labeling and criminal forfeiture related to the importation of $17 million of sea cucumber.
Blessings, Inc. pleaded guilty on March 8, 2018, admitting that the company conspired to illegally export sea cucumber to Asia. Defendant Ramon Mayorquin also pleaded guilty, acknowledging that he imported the sea cucumber into the United States from Mexico by means of documents containing false information. And, defendant David Mayorquin pleaded guilty, admitting that the sea cucumber he imported into the United States had been taken, possessed, transported or sold in violation of Mexican law.
At a hearing on September 17, 2018, U.S. District Judge Roger T. Benitez sentenced Blessings, Inc. and David Mayorquin to pay a fine of $973,490, and directed that half of the fine be deposited in the Lacey Act Rewards Fund and the other half into the Magnuson Stevens Fishery Conservation and Management Act Fund. In addition, Blessings, Inc. was ordered to forfeit $237,879 in proceeds from the offense, and David Mayorquin was ordered to pay $40,000 to the government of Mexico as restitution for the loss of its natural resources. All three defendants were placed on probation.
The Lacey Act Reward Account was established to accept any fine, penalty or forfeiture of collateral money collected for offenses involving either the Lacey Act or the Endangered Species Act in accordance with provisions of the 1981 Lacey Act Amendments. Examples of how these funds may be used include to provide monetary awards to those who provide information about wildlife crimes and to pay costs incurred in caring for fish, wildlife or plants that are being held as evidence in ongoing investigations. The Magnuson Stevens Fishery Conservation and Management Act Fund is used for rewards to those providing information that leads to enforcement action and costs related to investigations.
According to the Fish and Wildlife Service, there are about 1,200 species of sea cucumbers worldwide. Found on the ocean floor, sea cucumbers act as filters taking in various types of detritus, including carcasses and excrement, and expelling filtered material. This action helps keep the ocean floor free of organic matter that could lead to algae blooms. Through this process, sea cucumbers help protect coral reefs because the material they excrete includes calcium carbonate, a key building block of coral.
In many parts of the world, sea cucumbers are sought after as a delicacy and as a medicine and aphrodisiac. This has fueled demand and increased illegal trade of this species. Unfortunately, the illegal trade in sea cucumbers is leading to sharp declines of the species in parts of the world.
With increased cooperation with Mexican officials, the importation of sea cucumber from Mexico to the United States through the ports of entry in San Diego have decreased dramatically in the past four years. According to the NOAA Office of Science and Technology, Commercial Fisheries Statistics Division website, total sea cucumber imports from 2013 through 2017 into the San Diego ports of entry have decreased from 1,096,258 kg in 2013 to 63,545 kg in 2017.
“Illegal trafficking in fish and wildlife is big business,” said U.S. Attorney Adam L. Braverman. “This case demonstrates our commitment to work together with our law enforcement partners to prosecute such criminals and take away their unlawful profits.”
“Protecting marine resources and combating wildlife trafficking is an important part of NOAA's mission,” said James Landon, Director of NOAA's Office of Law Enforcement. “This case demonstrates the results of partnerships and cooperation between enforcement agencies to achieve such a strong result.”
“Wildlife trafficking is a serious crime that impacts plants, animals and insects around the world,” said Edward Grace, Acting Assistant Director of the U.S. Fish and Wildlife Service’s Office of Law Enforcement. “We are committed to working with others to protect at-risk species, like sea cucumbers, and hope the sentencing in this case will send a strong message to those who choose to defy the law.”
“A large overseas demand for sea cucumbers harvested in Mexico has fueled an increase in illicit importation-schemes uncovered at commercial ports of entry on the U.S.-Mexico border,” said Dave Shaw, special agent in charge for Homeland Security Investigations in San Diego. “This investigation underscores HSI’s commitment to ensuring U.S. trade laws are not exploited by those seeking financial gain.”
DEFENDANTS Criminal Case No. 17cr1254-BEN
Blessings, Inc Incorporated: 2003
Tucson, Arizona
David Mayorquin Age: 41
Tucson, Arizona
Ramon Torres Mayorquin Age: 77Chula Vista, California
SUMMARY OF CHARGES
Count 1 (Defendant Blessings)
Conspiracy, 18 U.S.C. § 371
Maximum penalty: 5 years’ prison, fine of $250,000
Count 12 (Defendant Ramon Mayorquin)
Importation Contrary to Law, 18 U.S.C. §545
Maximum Penalty: 20 years’ prison, $250,000 fine or twice the gross gain or loss caused by the offense, restitution, forfeiture of proceeds generated from the, five years of supervised release.
Counts 1 & 2 of Superseding Information (David Mayorquin)
Illegal Importation of Wildlife, 16 U.S.C. §3372(a)(2)(A) and §3373(d)(2)
Maximum Penalty: 1 year of prison, $100,000 fine per count
AGENCIES
National Oceanic and Atmospheric Administration, Office of Law Enforcement
U.S. Fish & Wildlife Service, Office of Law Enforcement
Homeland Security Investigations
Honduran Man Sentenced to More Than Three Years in Prison for Conspiring to Launder over $1 Million in Bribes and Funds Misappropriated from the Honduran Social Security AgencyRead the Press Release
A Honduran man was sentenced in federal court today to 46 months in prison for his role in a conspiracy to launder into the United States more than $1.3 million in foreign bribe payments and public funds from the Republic of Honduras, Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division and Deputy Director and Acting Director Ronald D. Vitiello of U.S. Immigration and Customs Enforcement (ICE) announced.
On June 27, Carlos Zelaya, 47, a citizen of Honduras who was residing in the New Orleans area, pleaded guilty to one count of conspiracy to commit money laundering before U.S. District Judge Martin L.C. Feldman of the Eastern District of Louisiana, who imposed today’s sentence and ordered Zelaya to serve three years of supervised release following his prison sentence. The defendant consented to the forfeiture of his interest in over one million dollars in real estate obtained through the scheme as part of his plea.
According to admissions made as part of the plea agreement, Carlos Zelaya conspired with his brother, the former Executive Director of the Honduran Institute of Social Security, and others to launder over $1.3 million in bribe payments. These bribes were paid by two Honduran businessmen for the benefit of the Executive Director. The funds were then laundered into the New Orleans area through international wire transfers and used to purchase real estate, including a commercial property. Carlos Zelaya collected and spent the rental income derived from the properties, even after a federal judge ordered him to preserve the funds pending resolution of a federal civil forfeiture suit. During the course of the civil case, he also made false statements to the U.S. government in written discovery responses and to a federal judge in the Eastern District of Louisiana while testifying under oath. As part of the conspiracy, Carlos Zelaya also used his brother’s high-ranking official position to profit from lucrative Honduran government contracts and then laundered the misappropriated funds into the New Orleans area.
The investigation was conducted by ICE Homeland Security Investigations New Orleans and Miami. The case is being prosecuted by Trial Attorneys Stephen A. Gibbons, Marybeth Grunstra, and Michael B. Redmann of the Criminal Division’s Money Laundering and Asset Recovery Section with assistance from the U.S. Attorney’s Office for the Eastern District of Louisiana. Valuable assistance was provided by the Justice Department’s Office of International Affairs.
This case was brought under the Department of Justice’s Kleptocracy Asset Recovery Initiative by a team of prosecutors in the Criminal Division’s Money Laundering and Asset Recovery Section. These prosecutors partner with federal law enforcement agencies to prosecute those who engage in and facilitate foreign official corruption which has effects on the U.S. financial system, to forfeit assets purchased with the proceeds of that corruption, and, where appropriate, to repatriate the recovered funds for the benefit of the people of the country harmed by such abuse of public office. Individuals with information about possible proceeds of foreign corruption located in, or laundered through, the United States should contact federal law enforcement or send an email to [email protected].
Honduran Man Sentenced to More Than Three Years in Prison for Conspiring to Launder over $1 Million in Bribes and Funds Misappropriated from the Honduran Social Security AgencyRead the Press Release
WASHINGTON – A Honduran man was sentenced in federal court today to 46 months in prison for his role in a conspiracy to launder into the United States more than $1.3 million in foreign bribe payments and public funds from the Republic of Honduras, Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division and Deputy Director and Acting Director Ronald D. Vitiello of U.S. Immigration and Customs Enforcement (ICE) announced.
On June 27, Carlos Zelaya, 47, a citizen of Honduras who was residing in the New Orleans area, pleaded guilty to one count of conspiracy to commit money laundering before U.S. District Judge Martin L.C. Feldman of the Eastern District of Louisiana, who imposed today’s sentence and ordered Zelaya to serve three years of supervised release following his prison sentence. The defendant consented to the forfeiture of his interest in over one million dollars in real estate obtained through the scheme as part of his plea.
According to admissions made as part of the plea agreement, Carlos Zelaya conspired with his brother, the former Executive Director of the Honduran Institute of Social Security, and others to launder over $1.3 million in bribe payments. These bribes were paid by two Honduran businessmen for the benefit of the Executive Director. The funds were then laundered into the New Orleans area through international wire transfers and used to purchase real estate, including a commercial property. Carlos Zelaya collected and spent the rental income derived from the properties, even after a federal judge ordered him to preserve the funds pending resolution of a federal civil forfeiture suit. During the course of the civil case, he also made false statements to the U.S. government in written discovery responses and to a federal judge in the Eastern District of Louisiana while testifying under oath. As part of the conspiracy, Carlos Zelaya also used his brother’s high-ranking official position to profit from lucrative Honduran government contracts and then laundered the misappropriated funds into the New Orleans area.
The investigation was conducted by ICE Homeland Security Investigations New Orleans and Miami. The case is being prosecuted by Trial Attorneys Stephen A. Gibbons, Marybeth Grunstra, and Michael B. Redmann of the Criminal Division’s Money Laundering and Asset Recovery Section with assistance from the U.S. Attorney’s Office for the Eastern District of Louisiana. Valuable assistance was provided by the Justice Department’s Office of International Affairs.
This case was brought under the Department of Justice’s Kleptocracy Asset Recovery Initiative by a team of prosecutors in the Criminal Division’s Money Laundering and Asset Recovery Section. These prosecutors partner with federal law enforcement agencies to prosecute those who engage in and facilitate foreign official corruption which has effects on the U.S. financial system, to forfeit assets purchased with the proceeds of that corruption, and, where appropriate, to repatriate the recovered funds for the benefit of the people of the country harmed by such abuse of public office. Individuals with information about possible proceeds of foreign corruption located in, or laundered through, the United States should contact federal law enforcement or send an email to [email protected].
# # #
18-1288
High School Art Teacher Charged Following Sexual Relationship with 16-Year-Old StudentRead the Press Release
A 40-year-old Lubbock high school teacher has been charged with enticement and attempted enticement of his 16-year-old female student, U.S. Attorney Erin Nealy Cox announced today.
According to a criminal complaint filed in federal court, Scott Riley Hall, an art teacher at Coronado High School, allegedly engaged in sexual intercourse with a 10th grade girl at her home in August.
The relationship allegedly began last summer, after the victim confided in Hall about a difficult situation she’d encountered at school the previous year. In September, the victim’s mother stumbled upon some sexually explicit emails they’d shared:
“I love touching you,” Hall wrote in one email. “One of these days, we are going to spend hours watching movies and rolling around in bed.”
“Seeing you (even briefly), dreaming of the next time, and reminiscing about the last time. These things make me sad, too, but they help me cope until we are just together. Always,” he wrote in another.
“I do hope you rested well and that you felt better than hating our situation,” he said in a third. “I’ll see you at school soon. I love you my dear.”
After the victim admitted to her mother that she’d had sex with Hall, the mother confronted the teacher.
“I am not sure of what you believe has happened, but my fault was caring too much in the wrong way,” Hall admitted to the mother in a follow-up text. “I will agree to any measure you would like me to take I [sic] regards to distancing myself… I am so sorry to have hurt either of you.”
“I truly wanted to be that Art Dad, but I let my care for her cross a line. It was a huge mistake,” he continued. “It was misguided affection. I am very sorry. I will do anything you ask to keep this from being a legal or professional situation.”
“I am not a predator,” Hall said.
Hall later told police that he’d developed “strong feelings” for the 16-year-old girl, and agreed their interactions were “inappropriate.” Confronted with numerous email and text conversations, he admitted his communications with the victim were sexual in nature.
A criminal charge is merely an allegation, and the defendant is presumed innocent until proven guilty in a court of law. If convicted, Hall faces up to life in federal prison. He’s also facing charges in state court.
The Federal Bureau of Investigation’s Dallas Field Division, the Lubbock Police Department, and the Lubbock Independent School District Police Department conducted the investigation; Assistant U.S. Attorney Jeff Haag is prosecuting the federal case.
Greenwood Man Sentenced to 90 Months Imprisonment for Being a Felon in Possession of a Firearm and AmmunitionRead the Press Release
Columbia, South Carolina ---- United States Attorney Sherri A. Lydon stated today that Jerry Jerome Yeldell, age 50, of Greenwood, South Carolina, was sentenced after pleading guilty to being a felon in possession of a firearm and ammunition, a violation of Title 18, United States Code, Section 922(g)(1). Senior United States District Henry M. Herlong, Jr., of Greenville, sentenced Yeldell to 90 months imprisonment, followed by 3 years of supervised release.
At an earlier guilty plea hearing, Assistant U. S. Attorney Jeanne Howard, established that on July 31, 2016, Greenwood Police received a call that someone had been shot on Taggert Avenue in Greenwood. The victim was transported to the hospital and identified Yeldell as the person who shot him. Shortly thereafter, Yeldell turned himself in to the Greenwood Police Department and admitted to shooting the victim but stated it was in self-defense.
Because of his prior criminal history, which includes three convictions for public disorderly conduct, two convictions for distribution of crack cocaine, a conviction for possession of crack cocaine, a conviction for assault and battery of a high and aggravated nature, three convictions for simple assault and battery, a conviction for assault and battery 3rd degree, two convictions for burglary 2nd degree, 3 convictions for breaking into motor vehicles, and two convictions for forgery, Yeldell is prohibited from possessing a firearm and ammunition.
The case was investigated by bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), the Greenwood Police Department, and FBI Safe Streets Task Force and was prosecuted as part of Project CeaseFire, a joint federal, state and local initiative focused upon aggressively prosecuting firearm cases in an effort to reduce violent crime and make our neighborhoods safer. Project CeaseFire is South Carolina’s implementation of Project Safe Neighborhoods (PSN), a crime reduction strategy originally launched in 2001. Attorney General Jeff Sessions has made turning the tide of rising violent crime in America a top priority and reinstituted PSN nationwide. Assistant United States Attorney Jeanne Howard of the Greenville office handled the case.
#####
Greenwood Investment Advisor Sentenced to PrisonRead the Press Release
Columbia, South Carolina ---- United States Attorney Sherri Lydon stated today that Melvin Leonard Wimmer, Jr., age 53, of Greenwood, South Carolina was sentenced in federal court in Greenville, South Carolina, for Securities Fraud. Senior United States District Judge Henry Herlong, of Greenville, sentenced Wimmer to 75 months imprisonment and 5 years Supervised Release. The court also ordered Wimmer to pay $3,056,000 in restitution.
Evidence uncovered in the investigation established that in 2007, Wimmer started an investment firm in Greenwood called Cornerstone Capital. From 2010-2017, approximately twenty-five (25) individuals invested $3.6 million with Wimmer. Wimmer pooled the money into one bank account, and he invested in high-risk securities and futures contracts.
Wimmer committed fraud by issuing fraudulent account statements to his investors. Soon after he started trading options and futures, Wimmer lost money, and he continued to lose money throughout the scheme. Instead of reporting the losses, Wimmer emailed his investors monthly account statements that falsely listed gains of 8-10 percent on an annualized basis. Wimmer manufactured and distributed false account statements from the outset, and he continued until the scheme collapsed. Wimmer also falsely represented the expected gains from trading, including the past performance of his trades, and he failed to inform the investors of the high risk of trading futures and options. Of the $3.6 million invested, Wimmer lost approximately $3 million. Much of this money came from the investors’ retirement savings.
United States Attorney Sherri Lydon noted that “this prosecution illustrates the devastating impact that financial fraud inflicts on many Americans. Sadly, many of the victims in this case are elderly and lost all of their retirement savings. A free market system cannot function without integrity in the financial markets.”
The case was investigated by the Federal Bureau of Investigation (FBI) and the Securities and Exchange Commission (SEC). Assistant United States Attorney Rhett DeHart of the Charleston office prosecuted the case.
#####
Gang Leader Convicted of Violent Crime in Aid of RacketeeringRead the Press Release
Geoffrey S. Berman, the United States Attorney for the Southern District of New York, announced today that LEONARD MATHEWS was convicted by a jury of assault with a dangerous weapon in aid of racketeering, as well as firearms, ammunition, and crack cocaine distribution offenses. The verdict followed a seven-day trial before the Honorable J. Paul Oetken.
According to allegations in the Indictment and evidence introduced at trial:
MATHEWS is a leader, or “big homie,” in the Gangsta Milla Bloods, or “GMB,” a subset of the United Bloods Nation gang that operates in the Bronx and engages in racketeering activity, including narcotics distribution. On October 20, 2017, MATHEWS ordered a subordinate gang member to shoot someone with whom MATHEWS previously had a physical altercation. The shooting resulted in the injury of three innocent bystanders on Morris Avenue between East Kingsbridge Road and East 196th Street in the Bronx. On the night of the shooting, following a closed-door meeting with MATHEWS and other members of the gang, the same Bloods foot soldier that MATHEWS ordered to do the shooting stabbed and left for dead one of the principal witnesses to the shooting.
* * *
MATHEWS, 27, of the Bronx, New York, was convicted of aiding and abetting or willfully causing assault with a dangerous weapon in aid of racketeering, which carries a maximum sentence of 20 years in prison; aiding and abetting or willfully causing the discharge of a firearm during and in relation to a crime of violence, which has a mandatory minimum sentence of 10 years in prison and a maximum sentence of life in prison; aiding and abetting or willfully causing the possession of ammunition by a felon, which carries a maximum sentence of 10 years in prison; and distribution and possession with intent to distribute crack cocaine, which carries a maximum sentence of 20 years in prison. MATHEWS will be sentenced by Judge Oetken on January 17, 2019.
The statutory maximum and minimum sentences are prescribed by Congress and are provided here for information purposes only, as any sentencing of the defendant would be determined by the judge.
Mr. Berman praised the investigative efforts of the Bronx Violent Crimes Squad of the New York City Police Department.
The case is being prosecuted by the Office’s General Crimes Unit. Assistant United States Attorneys Justin V. Rodriguez, Dominic A. Gentile, and Emil Bove are in charge of the prosecution.
Four Florida residents sentenced for fraud charges involving gas station skimmersRead the Press Release
CLARKSBURG, WEST VIRGINIA – Four Florida residents were sentenced today to a combined 297 months incarceration for their involvement with a gas station skimming fraud scheme, United States Attorney Bill Powell announced.
Meylan Montalvo Gomez, of Hialeah, Florida, age 27, was sentenced to 57 months incarceration. Gomez pled guilty to one count each of “Conspiracy to Commit Access Device Fraud” and one count each of “Access Device Fraud-Use of Unauthorized Access Device” in June 2018.
Yosan Pons Sosa, of Miami, Florida, age 29, was sentenced to 46 months incarceration. Sosa pled guilty to one count each of “Conspiracy to Commit Access Device Fraud” and one count each of “Access Device Fraud-Use of Unauthorized Access Device” in June 2018.Lazaro Serrano Diaz , of Miami, Florida, age 27, was sentenced to 57 months incarceration. Diaz pled guilty to one count each of “Conspiracy to Commit Access Device Fraud” and one count each of “Access Device Fraud-Use of Unauthorized Access Device” in June 2018.
Naudi Reyes Fernandez, of Miami, Florida, age 37, was sentenced to 51 months incarceration. Fernandez pled guilty to one count of “Conspiracy to Commit Access Device Fraud” and one count of “Access Device Fraud-Possession of Device-Making Equipment” in June 2018.
Each admitted to their roles in a conspiracy spanning four states that involved using skimming devices at gas pumps, using technology to upload the account information, and creating fraudulent cards with said accounts to make unauthorized transactions at different businesses in West Virginia and elsewhere.
The court calculated the intended loss as approximately $1,000,000 based upon the fact that when the defendants were arrested, they were found with a laptop containing over 2,000 different debit and credit card numbers.
The court applied a sentencing enhancement based upon the sophistication of the offense. This was based in part on the use of blue tooth capable skimming devices which they had placed inside gas pumps to remotely obtain the card numbers.
The judge also ordered each defendant to pay $33,750. The judge also ordered restitution in the amount of $61,844.56.
Forfeiture of the following was also ordered:
a. approximately thirty-three (33) gift cards containing an unknown value;
b. approximately $72,495.73 in United States Currency;
c. approximately $28,498.00 worth of Western Union money orders;
d. approximately $10,300.00 worth of MoneyGram money orders;
e. one magnetic stripe card reader-writer-encoder
f. two laptops
g. six cell phonesAssistant U.S. Attorney Jarod J. Douglas prosecuted the cases on behalf of the government. The Federal Bureau of Investigation, United States Secret Service, West Virginia State Police and the Monongalia County Sheriff’s Office investigated.
Senior U.S. District Judge Irene M. Keeley presided.Founder of Swiss Brokerage Firm Charged in Global Securities Fraud SchemeRead the Press Release
BOSTON – The founder and operator of a Swiss asset management firm was arrested today on charges of engaging in a massive global securities fraud scheme that netted trading proceeds of approximately $164 million.
Roger Knox, 47, a resident of the United Kingdom, was charged by criminal complaint with securities fraud and conspiracy to commit securities fraud. Knox was detained following an initial appearance today before U.S. Magistrate Judge M. Page Kelley.
The complaint alleges that from June 2015 until the present, Knox and co-conspirators operated a purported asset management firm based in Switzerland called Silverton, and later renamed Wintercap. Through this business, Knox allegedly helped facilitate pump-and-dump and other market manipulation schemes by selling massive quantities of microcap securities on behalf of “control groups” who secretly owned the stock through nominee shareholders, and who simultaneously orchestrated promotional campaigns and other efforts to artificially inflate the price and trading volume of those shares. The complaint alleges that Knox then funneled the proceeds of the securities fraud—totaling an estimated $164 million—to coconspirators in the United States and elsewhere through a complex money transfer system that disguised the source and nature of the funds.
In a parallel action, the Securities and Exchange Commission (SEC) in Boston announced civil charges against Knox today.
The charge of securities fraud provides for a sentence of no greater than 20 years in prison, three years of supervised release and a fine of $5 million. The charge of conspiracy to commit securities fraud provides for a sentence of no greater than five years in prison, three years of supervised release and a fine of $250,000, or twice the gross gain or gross loss. Sentences are imposed by a federal district court judge based on the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Andrew E. Lelling and Harold H. Shaw, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division made the announcement today. The SEC provided assistance with the investigation. Assistant U.S. Attorney Eric Rosen of Lelling’s Economic Crimes Unit is prosecuting the case.
The details contained in the criminal complaint are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Fort Defiance Man Sentenced to 6 Years’ Prison and Lifetime Probation for Voyeurism at Tséhootsooí Medical CenterRead the Press Release
PHOENIX – This week, Garrison Sloan, 44, of Fort Defiance, Ariz., was sentenced by U.S. District Judge Douglas L. Rayes to 6 years’ imprisonment, to be followed by lifetime probation with sex offender conditions and registration. Sloan had previously pleaded guilty to ten counts of Voyeurism, an Arizona state law assimilated for federal prosecution.
During parts of 2016 and 2017, Sloan, then an IT specialist at the Tséhootsooí Medical Center in Fort Defiance, Ariz., placed hidden cameras in several bathrooms at the medical center, which he used to surreptitiously view many of his coworkers. The matter was ultimately referred to the Federal Bureau of Investigation, which promptly began an investigation, seized all of Sloan’s computer equipment, and was able to identify dozens of his victims. Sloan and many of his victims are members of the Navajo Nation, and his crimes occurred within the Navajo Nation Indian Reservation.
The investigation in this case was conducted by the Federal Bureau of Investigation. The prosecution was handled by Assistant U.S. Attorney William G. Voit, District of Arizona, Phoenix.
CASE NUMBER: CR 18-08057-DLR
RELEASE NUMBER: 2018-129_Sloan
# # #
For more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Follow the U.S. Attorney’s Office, District of Arizona, on Twitter @USAO_AZ for the latest news.
Former Tallassee, Alabama, Police Officer Indicted for Civil Rights Violations and Obstruction of JusticeRead the Press Release
A federal grand jury unsealed an indictment today charging Michael Brandon Smirnoff, 25, a former officer at the Tallassee Police Department in Tallassee, Alabama, with federal civil rights and obstruction offenses. Smirnoff is charged with two counts of deprivation of rights under color of law, in violation of Title 18, United States Code, Section 242, and one count of obstruction of justice, in violation of Title 18, United States Code, Section 1519.
The indictment alleges that Smirnoff twice used unlawful force on arrestees and submitted a false report to cover up one of the incidents. In the first incident, on March 29, 2016, Smirnoff slammed a handcuffed man to the ground, then used unreasonable force while placing him into a police vehicle. In a second incident on July 5, 2015, Smirnoff tased a man who had already been placed in handcuffs and was not physically resisting. As a result of these unjustified uses of force, both victims sustained bodily injuries. The indictment further charges that Smirnoff obstructed justice by submitting a false report about the second incident.
If convicted, Smirnoff faces a maximum sentence of 10 years in prison for the deprivation of rights charges and 20 years in prison for the obstruction charge, three years of supervised release, and a fine of up to $250,000.
An indictment is a formal accusation of criminal conduct, not evidence of guilt. The defendant is presumed innocent unless and until proven guilty.
This case was investigated by the FBI, and is being prosecuted by Assistant U.S. Attorney Denise Simpson of the Middle District of Alabama and Civil Rights Division Trial Attorney Michael J. Songer.
Former Tallassee Police Officer Indicted for Civil Rights Violations and Obstruction of JusticeRead the Press Release
Montgomery, Alabama – A federal grand jury unsealed an indictment today charging Michael Brandon Smirnoff, 25, a former officer at the Tallassee Police Department in Tallassee, Alabama, with federal civil rights and obstruction offenses, announced U.S. Attorney Louis V. Franklin, Sr. Smirnoff is charged with two counts of deprivation of rights under color of law, in violation of Title 18, United States Code, Section 242, and one count of obstruction of justice, in violation of Title 18, United States Code, Section 1519.
The indictment alleges that Smirnoff twice used unlawful force on arrestees and submitted a false report to cover up one of the incidents. In the first incident, on March 29, 2016, Smirnoff slammed a handcuffed man to the ground, then used unreasonable force while placing him into a police vehicle. In a second incident on July 5, 2015, Smirnoff tased a man who had already been placed in handcuffs and was not physically resisting. As a result of these unjustified uses of force, both victims sustained bodily injuries. The indictment further charges that Smirnoff obstructed justice by submitting a false report about the second incident.
If convicted, Smirnoff faces a maximum sentence of 10 years in prison for the deprivation of rights charges and 20 years in prison for the obstruction charge, three years of supervised release, and a fine of up to $250,000.
An indictment is a formal accusation of criminal conduct, not evidence of guilt. The defendant is presumed innocent unless and until proven guilty.
This case was investigated by the FBI, and is being prosecuted by Assistant U.S. Attorney Denise Simpson of the Middle District of Alabama and Civil Rights Division Trial Attorney Michael J. Songer.
Former Supervisory U.S. Border Patrol Agent Pleads Guilty to Federal Child Pornography ChargeRead the Press Release
ALBUQUERQUE – Jason Christopher Davis, 46, of Las Cruces, N.M., pled guilty today in federal court to a child pornography charge. Davis entered the guilty plea under a plea agreement that recommends a 15-year prison sentence followed by 20 years of supervised release. Davis will also be required to register as a sex offender
Davis was arrested in May 2018, on a criminal complaint charging him with receiving child pornography in April 2018, in Dona Ana County, N.M. According to the complaint, the Las Cruces Police Department executed a search warrant on an email account subscribed to Davis that was used to upload a video file containing child pornography. The complaint further stated that on May 15, 2018, Homeland Security Investigations and the Las Cruces Police Department seized numerous items including digital media containing child pornography while executing a state search warrant at Davis’ residence. At the time of these events, Davis was employed as a Supervisory U.S. Border Patrol Agent.
During today’s proceedings, Davis pled guilty to a felony information charging him with production of a visual depiction of a minor engaged in sexually explicit conduct. In entering the guilty plea, Davis admitted that on May 17, 2015, he produced a child pornography video of a five-year-old minor child and uploaded the video onto his laptop computer.
Davis has been in federal custody since his arrest and will remain detained pending a sentencing hearing, which has yet to be scheduled.
The case was investigated by the Las Cruces office of HSI, the Office of Inspector General of the U.S. Department of Homeland Security, and the Las Cruces Police Department with assistance from the Office of Professional Responsibility of the U.S. Customs and Border Protection, the Management Inquiry Team of the U.S. Border Patrol, the FBI, and the New Mexico Attorney General’s Office.
Assistant U.S. Attorney Marisa A. Ong of the U.S. Attorney’s Las Cruces Branch Office is prosecuting the case as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice (DOJ) to combat the growing epidemic of child sexual exploitation and abuse. Led by United States Attorneys’ Offices and DOJ’s Criminal Division’s Child Exploitation and Obscenity Section, 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 information about Project Safe Childhood, please visit http://www.justice.gov/psc/. Individuals with information relating to suspected child predators and suspected child abuse are encouraged to contact the Children’s Advocacy Center at (575) 526-3437, or to contact Homeland Security Investigations at 1-866-DHS-2-ICE.
The case also was brought as a part of the New Mexico Internet Crimes Against Children (ICAC) Task Force’s mission, which is to locate, track, and capture Internet child sexual predators and Internet child pornographers in New Mexico. There are 86 federal, state and local law enforcement agencies associated with the New Mexico ICAC Task Force, which is funded by a grant administered by the New Mexico Attorney General’s Office. Anyone with information relating to suspected child predators and suspected child abuse is encouraged to contact federal or local law enforcement.
Former Mount Pleasant Woman Charged in $144K Fraud and Identity Theft SchemeRead the Press Release
PITTSBURGH, PA – A former resident of Westmoreland County has been indicted by a federal grand jury in Pittsburgh on charges of violating federal wire fraud and identity theft laws, United States Attorney Scott W. Brady announced today.
The four-count indictment, returned on September 27, 2018, and unsealed yesterday, charged Jennifer Lynne Clark, aka Jennifer Gill, age 40, formerly of Mount Pleasant, Pennsylvania and now residing in Clearwater, Florida, with two counts of wire fraud and two counts of aggravated identity theft.
According to the indictment, from in and around August 2015 to in and around October 2016, Clark obtained credit card information for company credit cards belonging to her employer. Clark then set up mobile payment accounts with Square, Inc., in the false names of other businesses, and used the credit card information to authorize fraudulent payments into her own personal bank account. The indictment alleges that Clark was responsible for fraudulent transactions totaling approximately $144,129.77. In making the unauthorized transactions, Clark used credit card numbers that were assigned to specific individual employees.
The law provides for a maximum total sentence of 64 years in prison, a fine of either $2,500,000 or an alternative amount depending on the victims’ losses, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Adam N. Hallowell is prosecuting this case on behalf of the government.
The U.S. Postal Inspection Service and U.S. Immigration and Customs Enforcement/Homeland Security Investigations conducted the investigation leading to the indictment in this case.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Former Cameron company office manager sentenced to 1 year in prison for stealing more than $91,000Read the Press Release
LAKE CHARLES, La. – United States Attorney David C. Joseph announced that a former office manager of a Cameron company was sentenced Monday to 12 months and one day in prison for stealing more than $91,000 from her employer.
Belinda Miltenberger, 47, of Cameron, Louisiana, was sentenced by U.S. District Judge Robert G. James on one count of wire fraud. She was also sentenced to three years of supervised release and was ordered to pay $91,846 in restitution.
According to the June 13, 2018 guilty plea’s factual basis, Miltenberger was the office manager for Cameron Fisheries LLC, a seafood processing and wholesale company located in Cameron. Her responsibilities included maintaining office records of all sales and other business transactions. From January 2016 until about February 2017, Miltenberger embezzled $91,846 from cash seafood sales. Instead of depositing certain cash sales into the company’s bank account, she kept the money for her personal use. She then falsified business records to cover her abuse. When company officials in Seattle became concerned about account balances, they asked Miltenberger to prepare end-of-year financial statements. In response, she created fraudulent financial reports and sent them to her supervisors to continue to conceal her scheme.
The FBI conducted the investigation. Supervisory Assistant U.S. Attorney Richard A. Willis prosecuted the case.
Former Bowling Coach Pleads Guilty to Production of Child PornographyRead the Press Release
The former coach of a South King County bowling team pleaded guilty today in U.S. District Court in Seattle to production and possession of child pornography, announced U.S. Attorney Annette L. Hayes. TY LEE TREDDENBARGER, 54, of Burien, Washington, admits he photographed and saved images of his molestation of minor victims between the ages of 13 and 16. When sentenced by U.S. District Judge John C. Coughenour on January 15, 2019, TREDDENBARGER faces a mandatory minimum 15 years in prison and up to 30 years in prison.
According to records filed in the case, in March 2017, a young victim disclosed the abuse to a parent. The Des Moines Police Department and King County Prosecutor’s Office requested assistance from Homeland Security Investigations. HSI and the Seattle Police Department executed court authorized search warrants at TREDDENBARGER’s residence, seizing electronic devices that contained images of the sexual abuse of children. Law enforcement was able to identify two additional victims. TREDDENBARGER is charged with three counts of production of child pornography -- one count for each of the victims -- and possession of child pornography.
Some of those victimized by TREDDENBARGER have not been identified. Authorities are asking anyone who has information to contact HSI Seattle at (206) 442-1469 or email information to [email protected]
The case is being investigated by Homeland Security Investigations with assistance from the Des Moines Police Department and the Seattle Police Department.
The case is being prosecuted by Special Assistant United States Attorney Cecelia Gregson. Ms. Gregson is a Senior Deputy King County Prosecutor specially designated to prosecute child exploitation cases in federal court.
Five Defendants Plead Guilty in Manhattan Federal Court to Armed Robbery SchemeRead the Press Release
Geoffrey S. Berman, the United States Attorney for the Southern District of New York, Angel M. Melendez, Special Agent in Charge for U.S. Immigration and Customs Enforcement’s Homeland Security Investigations (“HSI”), Ashan M. Benedict, the Special Agent in Charge of the New York Field Division of the Bureau of Alcohol, Tobacco, Firearms and Explosives (“ATF”), and James P. O’Neill, the Commissioner of the Police Department for the City of New York (“NYPD”), announced that five defendants—SIRA ABASSI, KENLEE GALVEZ, DAVID BRADFORD, JEREMIAS MUNOZ, and LUIS MONSANTO-GERMOSEN—pleaded guilty to participating in a conspiracy to commit Hobbs Act robbery during August and September of 2017. Each defendant pleaded guilty before United States District Judge Deborah A. Batts.
U.S. Attorney Geoffrey S. Berman stated: “During August and September of 2017, a rotating crew of armed robbers committed nearly a dozen armed robberies in New York City, victimizing businesses and homes alike. During one home invasion robbery in the middle of the night, a victim was stabbed in the torso. Thanks to our law enforcement partners, this robbery crew has been dismantled and all five defendants in this case have admitted to taking part in this brazen scheme.”
HSI Special Agent-in-Charge Angel M. Melendez said: “This crew conducted nearly a dozen armed robberies. They preyed on local businesses for their own greedy gain and used physical force whenever they deemed necessary. HSI’s El Dorado Task Force, which includes task force officers from the Westchester County DA’s office, worked closely with the NYPD and ATF to apprehend these criminals, ensuring that they face justice for their criminal actions.”
ATF Special Agent-in-Charge Ashan M. Benedict said: “The defendants were members of an organized ring of armed robbers that committed numerous brazen acts of violence all across the city. Thanks to the investigative work of the ATF/NYPD Joint Robbery Task Force and the collaborative efforts of our state and federal partners, they will no longer prey on the innocent in their community. ATF remains steadfast in its commitment to protecting citizens from violence and the lasting effects it has on communities. I would also like to thank the United States Attorney’s Office for prosecuting this case.”
NYPD Commissioner James P. O'Neill said: “Today’s guilty pleas reflect the highly-effective work of our NYPD investigators and our law enforcement partners at the Southern District, whose precise focus on the real drivers of crime in New York City is relentless. It is imperative that we continue to strongly collaborate in this way — that is how we will keep New Yorkers safe in every neighborhood.”
According to the allegations in the Complaint, the Superseding Indictment to which each defendant pled guilty, public court filings, and statements made in court:
For approximately two months—August and September of 2017—a rotating crew of robbers committed at least 11 successful armed robberies in New York City and attempted several more. They targeted primarily Asian-owned businesses in Brooklyn and Queens, such as billiards halls and internet cafes. They also committed home invasion robberies of at least two residences in Queens believed to be locations of gambling operations. The robbers typically conducted these robberies at night. For each robbery, they were armed with at least one knife and BB-gun, which they brandished and pointed at victims. At times, they forced victims to open cash registers at knifepoint, while clutching a victim’s neck.
During these robberies, the robbers physically injured at least two victims. During a home invasion robbery, one victim—who was asleep when the robbers entered—woke up, resisted, and was stabbed in the torso during the ensuing scuffle; his bloodied shirt, and his doubling over in pain, are visible on video surveillance. Second, during a robbery of a commercial establishment, a perpetrator hit a resisting victim in the head with a BB gun. Over the course of the conspiracy, the robbers used force, and the threat of force, to take the following items from victims: a total of more than approximately $20,000, approximately 20 cellphones, credit cards, a wallet, driver’s licenses, a social security card, and other electronic devices. They took cellphones so that victims could not call 911.
The scheme continued until the night of September 29, 2017, when four defendants—ABASSI, GALVEZ, BRADFORD, and MUNOZ—were caught red-handed en route to another robbery. They were found in possession of, among other things, a BB-gun, two screwdrivers, three masks, two pairs of gloves, backpacks to fill with robbery proceeds, attire that matched that of the robbers on video from a robbery earlier that week, and a spiral notebook containing handwritten notes (e.g., “gold,” “straight cash,” “doctor,” and “drugs!”) including names, addresses, and physical descriptions of apparent robbery targets.
* * *
SIRA ABASSI, 21, of Bayside, New York, pled guilty to conspiracy to commit Hobbs Act robbery, which carries a maximum sentence of 20 years in prison.
KENLEE GALVEZ, 23, of Flushing, New York, pled guilty to conspiracy to commit Hobbs Act robbery and to Hobbs Act robbery, each of which carries a maximum sentence of 20 years in prison.
DAVID BRADFORD, 31, of New York, New York, pled guilty to conspiracy to commit Hobbs Act robbery, which carries a maximum sentence of 20 years in prison.
JEREMIAS MUNOZ, 19, of Brooklyn, New York, pled guilty to conspiracy to commit Hobbs Act robbery, which carries a maximum sentence of 20 years in prison.
LUIS MONSANTO-GERMOSEN, 23, of Corona, New York, pled guilty to conspiracy to commit Hobbs Act robbery, which carries a maximum sentence of 20 years in prison.
The statutory maximum sentences are prescribed by Congress and are provided here for informational purposes only, as any sentencings of the defendants will be determined by Judge Batts. Sentencings are scheduled for different dates in 2019.
Mr. Berman praised the outstanding investigative work of the ATF, the Strategic Pattern Armed Robbery Technical Apprehension (“SPARTA”) Task Force, the NYPD, and HSI.
If you believe you were a victim of this offense, please contact the U.S. Attorney’s Office’s Victim/Witness Coordinators at (212) 637-2200.
This matter is being handled by the Office’s General Crimes Unit. Assistant United States Attorneys Jessica Greenwood and Michael D. Neff are in charge of the prosecution.
Felon Pleads Guilty to Armed Robbery of Casino Cashier CageRead the Press Release
LAS VEGAS, Nev. – A felon who disguised himself by applying dark colored makeup pleaded guilty Tuesday to armed robbery of a casino floor cashier cage at New York-New York Hotel and Casino, announced U.S. Attorney Dayle Elieson of the District of Nevada.
Cameron James Kennedy, 27, of Las Vegas, pleaded guilty before U.S. District Judge Richard F. Boulware, II to one count of interference with commerce by robbery. He faces the maximum statutory penalty of 20 years in prison and a $250,000 fine, at the December 13, 2018 sentencing hearing.
This is Kennedy’s second federal conviction. He was placed on federal supervision starting June 23, 2017, after serving a 63-month sentence for two bank robberies he committed in 2012. During those robberies, he threatened to kill a bank teller and displayed a BB gun painted to look like an actual gun. On January 9, 2018, less than seven months into his supervision, Kennedy cut off his GPS monitoring bracelet and absconded from court-ordered home confinement. About three hours later, at about 12:45 a.m. on January 10, Kennedy – while wearing makeup that darkened his skin tone – demanded money from a casino floor cage cashier at the New York-New York Hotel and Casino. He lifted his jacket to display what appeared to be a firearm in his waistband and told the cashier: “I want all your hundreds and don’t mess around.” He fled with approximately $23,367 in stolen cash. Kennedy was identified in spite of his attempt to conceal his identity, in part because of his unique gold mouth grill, which is a type of jewelry worn over a person’s teeth.
The case is being investigated by the FBI’s Violent Crimes Task Force and the Las Vegas Metropolitan Police Department. Assistant U.S. Attorneys Tony Lopez and Alexandra Michael are prosecuting the case.
###