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Tuesday 11 September 2018
Jackson Man Pleads Guilty under Project EJECT to Illegally Possessing a GunRead the Press Release
Jackson, Miss. – Hendricus Tyronyae Parker, 38, of Jackson, pled guilty Friday before U.S. Chief District Judge Daniel P. Jordan III, to being a felon in possession of a firearm, announced U.S. Attorney Mike Hurst, Special Agent in Charge Christopher Freeze with the Federal Bureau of Investigation, and Special Agent in Charge Dana Nichols with the Bureau of Alcohol, Tobacco, Firearms and Explosives.
On June 22, 2018, the Gulf Coast Regional Fugitive Task Force executed a warrant for the arrest of Hendricus Parker at an apartment in Jackson. While inside the apartment, law enforcement discovered Hendricus Parker, a convicted felon, possessed three loaded firearms. Parker admitted all three weapons belonged to him. Parker has three prior felony convictions out of Madison County for drug-related offenses.
Parker will be sentenced on December 7, 2018, by Judge Jordan, and faces a maximum penalty of ten years in prison and a $250,000 fine.
The case is being investigated by the Federal Bureau of Investigation and the Bureau of Alcohol, Tobacco, Firearms and Explosives. It is being prosecuted by Assistant United States Attorney Kimberly Purdie.
This case is part of Project EJECT, an initiative by the U.S. Attorney’s Office for the Southern District of Mississippi under the U.S. Department of Justice’s Project Safe Neighborhoods (PSN). EJECT is a holistic, multi-disciplinary approach to fighting and reducing violent crime in Jackson through prosecution, prevention, re-entry and awareness. EJECT stands for "Empower Jackson Expel Crime Together." PSN is a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. Attorney General Jeff Sessions reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.
Inmate to Serve Another 6 Months for Possessing ContrabandRead the Press Release
ERIE, Pa. - An inmate at the McKean Federal Correctional Institution in Bradford, Pennsylvania pleaded guilty and was sentenced in federal court to six months in jail on his conviction of possession of contraband in prison, United States Attorney Scott W. Brady announced today.
United States District Judge David S. Cercone imposed the sentence on Joseph Grant Barnhart, 40. The sentence was imposed to run consecutively to the sentence Barnhart is currently serving.
According to information presented to the court, on or about October 31, 2017, Barnhart was in possession of contraband, namely a quantity of buprenorphine while an inmate at the McKean Federal Correctional Institution.
Assistant United States Attorney Christian A. Trabold prosecuted this case on behalf of the government.
United States Attorney Brady commended officers of the McKean Federal Correctional Institution for the investigation leading to the successful prosecution of Barnhart.
Houma Man Pleads Guilty to Receiving Child PornographyRead the Press Release
NEW ORLEANS, LOUISIANA – THOMAS BROUSSARD (“BROUSSARD”), age 69, of Houma, Louisiana, pleaded guilty today to receiving child pornography, announced United States Attorney Peter G. Strasser.
According to documents filed in federal court, on January 23, 2018, agents with the Louisiana Bureau of Investigation, U.S. Department of Homeland Security, Homeland Security Investigations (“HSI”), and the Louisiana State Police executed a search warrant and arrested BROUSSARD at his Houma home after finding him in possession of several items, including a laptop computer and thumb drive containing images depicting the sexual victimization of prepubescent children. A subsequent computer forensic search by HSI agents revealed over 11,000 images and 85 videos of prepubescent child pornography.
BROUSSARD faces a mandatory minimum penalty of five (5) years imprisonment up to twenty (20) years, followed by up to a life term of supervised release, and a $250,000.00 fine. BROUSSARD will be sentenced on March 26, 2019, by United States District Court Judge Jay C. Zainey.
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.usdoj.gov/psc. For more information about internet safety education, please visit www.usdoj.gov/psc and click on the tab “resources.”
U.S. Attorney Strasser praised the work of the U. S. Department of Homeland Security, Homeland Security Investigations, the Louisiana Bureau of Investigation, the Louisiana State Police, and the Terrebonne Parish Sheriff’s Office in investigating this matter. The prosecution of this case is being handled by Project Safe Childhood Coordinator and Fraud Section Chief, Assistant U.S. Attorney Brian M. Klebba.
Heroin Trafficker Sentenced to Federal PrisonRead the Press Release
PROVIDENCE - An Ohio man who admitted in court to his association with an Attleboro, MA, woman and others who supplied him with significant quantities of heroin, which he then sold in Ohio, was sentenced in U.S. District Court in Providence on Monday to 48 months in federal prison on drug trafficking charges.
Michael Miller, 39, of Cincinnati, Ohio, and his drug trafficking, came to the attention of law enforcement during a Rhode Island State Police High Intensity Drug Trafficking Area Task Force (HIDTA) and Homeland Security Investigations (HSI) investigation into the Attleboro woman’s drug trafficking activities. The investigation determined that Miller’s association with Olga Lidia Sandoval, 40, of Attleboro, came as the result of Miller’s friendship with one of Sandoval’s brothers, who was shipping significant quantities of heroin to Olga Sandoval from Guatemala through Mexico and into Rhode Island.
Some of the heroin imported by Olga Sandoval was provided to Miller, which he then resold in Ohio. A significant share of the proceeds from the sale of the heroin were paid to the Sandoval brothers in Guatemala.
At sentencing, U.S. District Court Chief Judge William E. Smith also ordered Miller to serve 3 years supervised release upon completion of his prison sentence. Miller pled guilty on May 10, 2018, to conspiracy to distribute heroin and use of a communication facility (cell phone) in the commission of a felony under the Controlled Substance Act.
As stipulated in a plea agreement filed with the Court, the government and the defense recommended the court impose a sentence of 48 months incarceration. The U.S. Sentencing Guideline imprisonment range in this matter is 87-108 months.
Miller’s sentence is announced by United States Attorney Stephen G. Dambruch; Colonel Ann C. Assumpico, Superintendent of the Rhode Island State Police; and Homeland Security Investigations Special Agent in Charge Peter C. Fitzhugh.
Olga Lidia Sandoval pleaded guilty on May 1, 2017, to conspiracy to possess with the intent to distribute one kilogram or more of heroin and possession with the intent to distribute one kilogram or more of heroin. She was sentenced on June 29, 2017, to 84 months in federal prison.
Sandoval’s co-defendants, Jose Luis Amparo Nova, 35, of North Providence, pleaded guilty on January 16, 2017, to conspiracy to possess with the intent to distribute one kilogram or more of heroin and possession with the intent to distribute one kilogram or more of heroin. He was sentenced on July 14, 2017 to 48 months in federal prison. Ivan K. Alvarado, 39, of Spring Valley, NY, pleaded guilty on August 11, 2017, to conspiracy to possession with intent to distribute 100 grams or more of heroin and possession with intent to distribute 100 grams or more of heroin. He was sentenced on October 27, 2017, to 36 months in federal prison.
The cases were prosecuted by Assistant U.S. Attorney Ronald R. Gendron.
United States Attorney Stephen G. Dambruch acknowledges and thanks Drug Enforcement Administration for their assistance in the investigations of these matters.
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Hartford Man Pleads Guilty to Federal Drug and Gun ChargesRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, announced that DAQUAN PATTERSON-GREENE, 22, of Hartford, pleaded guilty today before U.S. District Judge Alvin W. Thompson in Hartford to drug and firearm charges.
According to court documents and statements made in court, on September 7, 2017, PATTERSON-GREENE led Hartford Police officers on a foot chase in Hartford’s North End. During the chase, PATTERSON-GREENE discarded a loaded Glock 22 .40 caliber semi-automatic pistol, a firearm magazine containing 15 rounds of .40 caliber ammunition, and an orange backpack.
Officers apprehended PATTERSON-GREENE on Vineland Terrace and recovered the discarded pistol, ammunition and backpack. A search of PATTERSON-GREENE’s person revealed $252 in cash and small amount of marijuana. A search of the backpack revealed approximately 13 ounces of marijuana, 13 zip lock bags containing marijuana, a knotted plastic bag containing several pieces of a substance that field-tested positive for the presence of MDMA (ecstasy), a digital scale, and a box of sandwich bags.
Subsequent analysis of the suspected MDMA identified it as N-Ethylpentylone, which is a controlled analogue of MDMA.
PATTERSON-GREENE’s criminal history includes felony convictions for first-degree assault and possession of a pistol without a permit. In addition, he was on state probation at the time of his arrest.
PATTERSON-GREENE pleaded guilty to one count of possession of marijuana with the intent to distribute, an offense that carries a maximum term of imprisonment of five years, and one count of possession of a firearm in furtherance of a drug trafficking crime, an offense that carries a mandatory consecutive term of imprisonment of five years.
Under the terms of a binding plea agreement, if accepted by the court, the parties have agreed that a term of imprisonment of 96 months is an appropriate sentence in this case.
Judge Thompson scheduled sentencing for December 4, 2018.
PATTERSON-GREENE has been detained since his arrest on September 7, 2017.
This matter is being investigated by the Hartford Police Department and the FBI’s Northern Connecticut Violent Crimes Gang Task Force. The case is being prosecuted by Assistant U.S. Attorney Michael J. Gustafson and Special Assistant U.S. Attorney John F. Fahey of the Hartford State’s Attorney’s Office.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make neighborhoods safer for everyone.
Guatemalan Man Sentenced for Immigration OffenseRead the Press Release
NEW ORLEANS, LOUISIANA – United States Attorney Peter G. Strasser announced that NERI OSBELI ARGUETA-CHUN, age 25, a native of Guatemala, was sentenced today after previously pleading guilty to a one-count indictment for illegal reentry of a removed alien.
United States District Court Judge Jay C. Zainey sentenced ARGUETA-CHUN to time served(2 months of imprisonment), followed by 1 year of supervised release, and a $100 special assessment fee. The defendant will be surrendered to the custody of Immigration and Customs Enforcement for removal proceedings.
According to court documents, on July 19, 2018, ARGUETA-CHUN was found in the United States after having been previously removed from the United States on March 30, 2016.
U.S. Attorney Strasser praised the work of Immigration and Customs Enforcement agents in investigating this matter. Assistant United States Attorney Jon Maestri is in charge of the prosecution.
Grand Jury Returns Criminal Immigration IndictmentsRead the Press Release
WICHITA, KAN. – A federal grand jury today returned a series of criminal indictments in separate cases charging defendants with unlawfully re-entering the United States after being deported, U.S. Attorney Stephen McAllister said.
Jose Rafael Gutierrez-Yanez, 27, a citizen of Mexico, was charged with one count of unlawfully re-entering the United States after being deported. The indictment alleges he has been deported four times. He was found in March 2018 in Sumner County, Kan.
If convicted, he faces up to 10 years in federal prison. Immigration and Customs Enforcement investigated. Assistant U.S. Attorney Debra Barnett is prosecuting.
Cruz Diaz-Carballo, 34, who is not a U.S. citizen, is charged with unlawfully re-entering the United States after being deported. The indictment alleges he was deported three times. He was found Aug. 13, 2018, in Johnson County, Kan.
If convicted, he faces up to two years in federal prison. Immigration and Customs Enforcement investigated. Assistant U.S. Attorney Scott Rask is prosecuting.
Otilio Benitez-Acquirre, 39, who is not a U.S. citizen, is charged with unlawfully re-entering the United States after being deported. The indictment alleges he was deported two times. He was found Aug. 7, 2018, in Johnson County, Kan.
If convicted, he faces up to two years in federal prison. Immigration and Customs Enforcement investigated. Assistant U.S. Attorney Scott Rask is prosecuting.
Jose Fernandez-Casas, 45, a citizen of Mexico, was charged with one count of unlawfully re-entering the United States after being deported. He was found in August 2018 in Pratt County, Kan.
If convicted, he faces up to two years in federal prison. Immigration and Customs Enforcement investigated. Assistant U.S. Attorney Debra Barnett is prosecuting.
Roberto Sanchez-Salas, 49, a citizen of Mexico, was charged with one count of unlawfully re-entering the United States after being deported. He was found in September 2018 in Ellis County, Kan.
If convicted, he faces up to two years in federal prison. Immigration and Customs Enforcement investigated. Assistant U.S. Attorney Debra Barnett is prosecuting.
OTHER INDICTMENTS
Six men from Mexico were charged with drug trafficking. The indictment alleges the men conspired to distribute hundreds of pounds of marijuana. They were arrested Aug. 23, 2018, in Shawnee County, Kan.
The following defendants are charged with one count of conspiracy and one count of possession with intent to distribute marijuana:
Rene Josefat Yanez Coronado, 31, Hermosillo, Mexico.
Cesar Ignacio Valencia Casillas, 19, Hermosillo, Mexico.
Carlos Gabriel Rubal Nieblas, 20, Hermosillo, Mexico.
Angel Joel Gallegos Oviedo, 23, Hermosillo, Mexico.
Eduardo Antonio Mijangos Loustaunau, 18, Hermosillo, Mexico.
Jesus Antonio Mijangos Loustaunau, 26, Lopes Del Castillo, Mexico.
If convicted, they face a penalty of not less than five years and not more than 40 years and a fine up to $5 million on each count. The Kansas Highway Patrol and the Drug Enforcement Administration investigated. Special Assistant U.S. Attorney Skip Jacobs is prosecuting.
In all cases, defendants are presumed innocent until and unless proven guilty. The indictments merely contain allegations of criminal conduct.
Georgia Man Sentenced for Compromising U.S. Army Computer ProgramRead the Press Release
GREENVILLE – The United States Attorney for the Eastern District of North Carolina, Robert J. Higdon, Jr., announced that today, Senior United States District Judge Malcom J. Howard, sentenced MITTESH DAS, 49, of Atlanta, Georgia, to 24 months of imprisonment followed by 3 years of supervised release and ordered to pay 1.5 million dollars in restitution.
On September 20, 2017, a federal jury found DAS guilty of knowingly transmitting malicious code with the intent to cause damage to a U.S. Army computer used in furtherance of national security.
A Grand Jury in the Eastern District of North Carolina indicted DAS on April 5, 2016 for conduct that occurred in 2014.
In November of 2014, a national level computer program responsible for handling pay and personnel actions for nearly 200,000 U.S. Army reservists began experiencing unusual issues. Five of the servers associated with the program are located at Ft. Bragg, North Carolina. Standard internal troubleshooting uncovered suspicious code that led to an investigation by the Army’s Criminal Investigation Command (CID). The investigation revealed that in 2012, due to DAS’s vast experience with the system, the contracted company responsible for oversight of the computer system had subcontracted with DAS to assume lead responsibility for the system. However, the contract was subsequently re-bid and awarded to a different company with a hand-over date of November 24, 2014. The investigation revealed that DAS inserted malicious code - commonly referred to as a “logic bomb” – in the days leading up to the contract changeover and that the progressively destructive nature of this code began taking effect the day after the changeover.
The damage had to be corrected through removal of the malicious code, restoration of all information and features, and a thorough review of the entire system to locate any further malicious code, amounting to a total labor cost to the U.S. Army of approximately $2.6 million.
The case was investigated by U.S. Army Criminal Investigation Command, which received assistance from the Department of Homeland Security and the Johns Creek, Georgia, Police Department. Assistant United States Attorney Jason Kellhofer represented the government in this case.
"Mr. Das exploited his position as a cleared defense contractor to sabotage the U.S. Army Reserve's personnel system and disrupt pay to our nation's Soldiers," said Director Daniel Andrews of the Computer Crime Investigative Unit, U.S. Army Criminal Investigation Command. "Cybercrime and insider threats present significant challenges to national security and military operations, and today's sentencing serves as a stark reminder that we will continue to preserve strategic readiness by bringing violators to justice."
Robert J. Higdon, Jr., U.S. Attorney for the Eastern District of North Carolina remarked that, “We are strong supporters of the brave work accomplished by the United States Army Reserve Command and are honored to have been able to hold this criminal accountable for the harmful attack on what is much more than just a computer system. The cyber attack in this instance directly affected thousands of Army reservists. Such conduct will be prosecuted to the fullest extent of the law by this office.”
FourWinds C.E.O. Stanley Bates Sentenced to 15 Years in Federal PrisonRead the Press Release
In San Antonio today, a federal judge sentenced former FourWinds Chief Executive Officer Stanley P. Bates to
15 years in federal prison, announced U.S. Attorney John F. Bash, Federal Bureau of Investigation Special Agent in Charge Christopher Combs, San Antonio Division, and Internal Revenue Service-Criminal Investigation Special Agent in Charge D. Richard Goss, Houston Field Office.
In addition to the prison term, Senior U.S. District Judge David A. Ezra ordered that Bates pay $6,345,414 million restitution and be placed on supervised release for a period of three years after completing his prison term.
“Today Mr. Bates received a just punishment for the fraudulent scheme he orchestrated. Like all such schemes, the FourWinds plot, stripped to its core, was simply an effort to steal money belonging to other people,” stated U.S. Attorney Bash.
On January 8, 2018, Bates pleaded guilty to eight separate federal charges including securities fraud and money laundering stemming from a Ponzi scheme that defrauded investors out of millions of dollars. In February, a jury found Bates’s co-defendants, former District 19 Texas State Senator Carlos Uresti and FourWinds Logistics, Inc., (FourWinds) consultant Gary L. Cain, guilty on all charges for their roles in the scheme. In June, Judge Ezra sentenced Uresti and Cain to 12 years in federal prison and 68 months in federal prison, respectively. Judge Ezra also ordered that Uresti and Cain pay, jointly and severally, over $6.3 million in restitution.
Evidence presented during trial revealed that from February 2014 to December 2015, the defendants developed an investment Ponzi scheme to buy and sell hydraulic fracturing (fracking) sand for oil production. Evidence showed that the defendants made false statements and representations while soliciting investors in FourWinds. Collected funds were then used to pay earlier investors and for personal expenses including gifts, travel, luxury automobiles, controlled substances, and to hire prostitutes. Evidence and testimony also revealed that Uresti, Cain and Bates engaged in money laundering with the proceeds of wire fraud.
The FBI’s Public Corruption Task Force is conducting this investigation. The Task Force is comprised of investigators from the FBI, IRS-CI, Texas Department of Public Safety (DPS) and the Peace Corps-Office of Inspector General. Assistant U.S. Joseph E. Blackwell, William R. Harris, Mark Roomberg, Erica Giese and Sean O’Connell are prosecuting this case on behalf of the Government.
Former Tennessee Constable Sentenced to 10 Years for Illegally Distributing Opioids in KentuckyRead the Press Release
PIKEVILLE, Ky. — Bobby Roy Justice, 67, of Dandridge, Tennessee, and formerly of Pikeville, was sentenced yesterday to 10 years in federal prison, by Chief United States District Judge Karen K. Caldwell, for conspiring to distribute oxycodone pills. Justice was also ordered to pay a $60,000 fine.
A federal investigation into Justice revealed that, over a five-year period, Justice imported over 90,000 oxycodone pills, from suppliers in Florida, to the Pike County area for distribution. During one of the trips, the Kentucky State Police found Justice in possession of hundreds of pills and a firearm. Justice also used others to distribute pills on his behalf. Justice pled guilty to the charges against him in May of 2018.
Prior to his indictment, Justice was serving as a constable in Dandridge, Tennessee. He has since resigned that post.
Under federal law, Justice must serve 85 percent of his prison sentence, and, upon release, will be under the supervision of the United States Probation Office for three years.
Robert M. Duncan, Jr., United States Attorney for the Eastern District of Kentucky; Chris Evans, Special Agent in Charge, Drug Enforcement Administration; Amy Hess, Special Agent in Charge of the FBI; Richard Sanders, Kentucky State Police Commissioner, Derrick House, Chief of the London Police Department; and Carson Williams, Chief of the Dandridge Police Department jointly made the announcement. The United States was represented by Assistant United States Attorney Andrew H. Trimble.
Former Nike Salesman Sentenced to 13 Months in Prison for Selling Discounted Merchandise to Own CompaniesRead the Press Release
PORTLAND, Ore. – David Reichert, 51, of St. Louis, Missouri, was sentenced today to 13 months in federal prison for using his position as a Nike salesman to procure heavily-discounted Nike-brand merchandise for resale by two companies he co-owned with a business partner.
According to court documents, as a Nike Inc. salesman and wholesale account executive, Reichert sold licensed apparel—Nike-brand clothes and accessories emblazoned with team names and logos—to retailers throughout the Midwest. Reichert was authorized to give discounts to his customers on the listed wholesale prices of various merchandise. Such discounts rarely totaled more than 20% for even the largest and most important customers.
In 2008, Reichert and a business partner bought a sportswear retailer in the St. Louis area called Fan-a-Mania, Inc. and incorporated a second called JJL Sports Inc. Fan-a-Mania was a longtime Nike customer whose wholesale account was managed by Reichert. Reichert managed the wholesale accounts of both companies without disclosing his ownership interests to his superiors at Nike. By 2012, Reichert was giving extraordinary and unauthorized discounts averaging more than 57% to both companies—and thus to himself.
Reichert’s discounts for his own companies were nearly three times the discounts extended to any of the 25 other wholesale accounts he managed for Nike. In total, Reichert’s embezzlement of licensed Nike-brand merchandise cost the company more than $769,000. In imposing sentence, Senior U.S. District Judge Robert E. Jones emphasized the greed underlying Reichert’s conduct and ordered him to pay full restitution to Nike.
Reichert previously pleaded guilty to two counts of wire fraud on April 25, 2018.
Nike Inc. extensively investigated these crimes before reporting them to the FBI. The FBI then independently investigated the matter. It was prosecuted by Ryan W. Bounds, Assistant U.S. Attorney for the District of Oregon.
Former Museum Business Manager Sentenced for Wire FraudRead the Press Release
BOSTON – The former business manager of a local museum was sentenced yesterday in federal court in Worcester for embezzling funds from the museum that employed her.
Jennifer Delorey McNamara, 36, of Clinton, was sentenced by U.S. District Court Judge Timothy S. Hillman to 20 months in prison, three years of supervised release, and ordered to pay restitution of $754,000. In April 2018, McNamara pleaded guilty to wire fraud.
McNamara began working for the Museum of Russian Icons on a part-time basis in mid-2010. In 2012, the Museum promoted McNamara to full-time Business Manager. From approximately 2012 through October 2015, McNamara embezzled hundreds of thousands of dollars from the Museum by, amongst other means, failing to deposit cash received by the Museum into the Museum bank account and by repeatedly issuing unauthorized payments to herself from the Museum and depositing those payments into her personal account.
The Museum referred the matter to federal authorities when it became aware of the scope of McNamara’s theft and cooperated with federal investigators throughout the resulting investigation.
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. Assistant U.S. Attorney Greg A. Friedholm, Chief of Lelling’s Worcester Branch Office, prosecuted the case.
Former Fayette County Horse Farm Manager Pleads Guilty in Fraud SchemeRead the Press Release
Memphis, TN – A local man has pleaded guilty plea to a one count criminal information charging him with wire fraud in connection with the theft of approximately $810,000 from his former employer, Masterson Farms and Kenneth Masterson. D. Michael Dunavant, United States Attorney for the Western District of Tennessee announced the guilty plea announced today.
According to the information presented in court, Zachary M. Baker, 32, was hired to manage Masterson Farms a horse-breeding farm located in Somerville, Tennessee. Beginning in January 2013, Baker began stealing from Masterson Farms by writing checks payable to himself, Zigadoo Money clips, a band he managed, and another individual identified as "E.L.M." Baker also stole funds by making online payments on his personal credit card accounts with funds transferred from the Masterson Farms bank accounts. Between January 2013, and April 9, 2018, the information alleged that Baker stole over $810,000.
U.S. Attorney D. Michael Dunavant said, "Financial fraud can happen anywhere, and can be devastating to local businesses. The defendant used his position of trust and authority to steal proceeds for his personal benefit, and his dishonesty has been exposed. Wherever fraud occurs in the Western District of Tennessee, this office will be prepared to hold offenders accountable."
Baker faces up to 20 years’ imprisonment; a $250,000 fine and 3 years supervised release on the wire fraud charge.
Baker is scheduled to be sentenced before United States District Court Judge Sheryl H. Lipman on December 20, 2018, at 9:00 a.m.
This case was investigated by the Federal Bureau of Investigation.
Assistant U.S. Attorney Carroll L. André III is prosecuting this case on the government’s behalf.
Former Executive of Loyal Bank Ltd Pleads Guilty to Conspiring to Defraud the United States by Failing to Comply with Foreign Account Tax Compliance Act (FATCA)Read the Press Release
Earlier today in federal court in Brooklyn, Adrian Baron, the former Chief Business Officer and former Chief Executive Officer of Loyal Bank Ltd, an off-shore bank with offices in Budapest, Hungary and Saint Vincent and the Grenadines, pleaded guilty to conspiring to defraud the United States by failing to comply with the Foreign Account Tax Compliance Act (FATCA). Baron was extradited to the United States from Hungary in July 2018. The guilty plea was entered before United States District Judge Kiyo A. Matsumoto.
Richard P. Donoghue, United States Attorney for the Eastern District of New York; Richard E. Zuckerman, Principal Deputy Assistant Attorney General of the Justice Department’s Tax Division; William F. Sweeney, Jr., Assistant Director-in-Charge, Federal Bureau of Investigation, New York Field Office (FBI); and James D. Robnett, Special Agent-in-Charge, Internal Revenue Service Criminal Investigation, New York (IRS-CI), announced the guilty plea. Mr. Donoghue thanked the U.S. Securities and Exchange Commission (SEC), both the New York Regional Office and the Washington, D.C. Office; the City of London Police; the U.K.’s Financial Conduct Authority and the Hungarian National Bureau of Investigation for their significant cooperation and assistance during the investigation.
FATCA is a federal law enacted in 2010 that requires foreign financial institutions to identify their U.S. customers and report information (FATCA Information) about financial accounts held by U.S. taxpayers either directly or through a foreign entity. FATCA’s primary aim is to prevent U.S. taxpayers from using foreign accounts to facilitate the commission of federal tax offenses.
According to court documents, in June 2017, an undercover agent met with Baron and explained that he was a U.S. citizen involved in stock manipulation schemes and was interested in opening multiple corporate bank accounts at Loyal Bank. The undercover agent informed Baron that he did not want to appear on any of the account opening documents for his bank accounts at Loyal Bank, even though he would be the true owner of the accounts. Baron responded that Loyal Bank could open such accounts and provide debit cards linked to them.
In July 2017, the undercover agent again met with Baron and described how his stock manipulation scheme operated, including the need to circumvent the IRS’s reporting requirements under FATCA. During the meeting, Baron stated that Loyal Bank would not submit a FATCA declaration to regulators unless the paperwork indicated “obvious” U.S. involvement. Subsequently, in July and August 2017, Loyal Bank opened multiple bank accounts for the undercover agent. At no time did Baron or Loyal Bank request or collect FATCA Information from the undercover agent.
Baron’s guilty plea represents the first-ever conviction for failing to comply with FATCA. When sentenced, Baron faces a maximum of five years in prison.
Baron is the second defendant to plead guilty in this case. On July 26, 2018, Arvinsingh Canaye, formerly the General Manager of Beaufort Management Services Ltd. in Mauritius, pleaded guilty to conspiracy to commit money laundering.
The case is being handled by the Office’s Business and Securities Fraud Section. Assistant United States Attorneys Jacquelyn M. Kasulis, Michael T. Keilty and David Gopstein are in charge of the prosecution. The Criminal Division’s Office of International Affairs provided significant assistance in this matter.The Defendant:
ADRIAN BARON
Age: 63
Residence: Budapest, HungaryE.D.N.Y. Docket No. 18-CR-102 (S-1) (KAM)
Former Erie Store Owner Sentenced to Prison, Ordered to Pay more than $1.7M in Restitution for Food Stamp FraudRead the Press Release
ERIE, Pa. - A former resident of Erie, Pennsylvania, has been sentenced in federal court to 21 months in jail and ordered to make $1,739,676.71 in restitution on his conviction of conspiracy to defraud the United States, United States Attorney Scott W. Brady announced today.
United States District Judge David S. Cercone imposed the sentence on Nureden Jibul, 34.
Nureden Jibul and two co-defendants were all engaged in food stamp fraud primarily involving exchanging food stamps for cash. Nureden also enlisted another co-defendant to submit a fraudulent application for a food stamp license so that the food stamp terminals in use at the convenience stores owned and operated by Nuerden Jibul and a co-defendant would not be in their names. Nureden and his co-defendants then used the food stamp terminals at locations where they were not authorized.
Assistant United States Attorney Christian A. Trabold prosecuted this case on behalf of the government.
United States Attorney Brady commended the United States Department of Agriculture, Office of Inspector General, the Erie Police Department, the Department of Homeland Security Investigations and the Internal Revenue Service, Criminal Investigation for the investigation leading to the successful prosecution of Jibul.
Former East Chicago Councilman Sentenced to 20 Years in PrisonRead the Press Release
HAMMOND –Robert Battle, age 45, of East Chicago, Indiana, was sentenced by U.S. District Court Judge Philip P. Simon on his guilty plea of discharging a firearm in relation to a drug trafficking crime, causing death of another person, announced U.S. Attorney Kirsch.
Battle was sentenced to 240 months in prison followed by 2 years of supervised release.
U.S. Attorney Kirsch said, “Mr. Battle was a drug dealer, while at the same time serving as a public official. He was elected to uphold the law and instead conspired to break it. Today’s sentence reflects the seriousness of his offense and should be a warning to others who want to engage in these type of violent crimes.”
According to documents filed in the case, in or around April 2015 agents began investigating Battle in relation to drug trafficking activities. During the investigation, agents received information that Reimundo Camarillo was supplying Battle, a sitting East Chicago Councilman, with large quantities of drugs. In September 2015, agents determined Battle may have had a load of drugs and conducted a traffic stop seizing a quantity of drugs and cash. Working with agents, Battle then attempted to make a controlled delivery to Camarillo who did not show after Battle’s arrest. On October 12, 2015 Battle and Camarillo had an argument outside of Battle’s residence where Battle shot Camarillo in the back, killing him.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives; Drug Enforcement Administration; East Chicago Police Department; and Federal Bureau of Investigation. The case is being prosecuted by Assistant United States Attorneys David J. Nozick and Thomas M. McGrath.
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Former Director of Detroit Technology Office Sentenced to Prison for BriberyRead the Press Release
The former Director of the City of Detroit’s Office of Departmental Technology Services (DTS) was sentenced today to 20 months in prison, to be followed by two years of supervised release, for accepting more than $29,500 in bribe payments from two information technology companies providing services and personnel to the City of Detroit.
Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division and Special Agent in Charge Timothy R. Slater of the FBI’s Detroit Division made the announcement.
Charles L. Dodd, 48, of Canton, Michigan, previously pleaded guilty in the U.S. District Court for the Eastern District of Michigan to one count of federal program bribery. U.S. District Judge Robert H. Cleland of the Eastern District of Michigan presided over the sentencing.
According to admissions made in connection with his plea, Dodd held numerous supervisory positions with the City of Detroit, culminating with his appointment as Director of DTS in 2014. In those positions, Dodd exercised supervisory authority over a staff of dozens of city employees and contractors, and held substantial influence over the administration of multi-million-dollar contracts between the City of Detroit and private information technology companies.
Dodd admitted that between 2009 and 2016, he accepted cash payments totaling more than $15,000 and a trip to North Carolina, among other things of value, from Parimal D. Mehta, 55, of Northville, Michigan, who was then the president and chief executive officer of an information technology company. During that same time period, Dodd also accepted more than $14,500 in cash payments from the chief executive officer and an employee of another information technology company. In return for these cash payments and other things of value, Dodd agreed to provide preferential treatment to the companies, he admitted.
This case was investigated by the FBI’s Detroit Division. Trial Attorneys Robert J. Heberle and James I. Pearce of the Criminal Division’s Public Integrity Section prosecuted the case.
Former Crop Insurance Agent Sentenced to 60 Months for Crop Insurance FraudRead the Press Release
LEXINGTON, Ky. – Debra Muse, 63, of Wallingford, Ky., was sentenced today to 60 months in federal prison, by United States District Judge Joseph M. Hood, for conspiracy to commit crop insurance fraud and crop insurance fraud. Muse was also ordered to pay $1,656,275 in restitution.
Muse pleaded guilty on April 16, 2018, and admitted to urging and assisting co-conspiring farmers to file false tobacco crop insurance claims with the Federal Crop Insurance Corporation (“FCIC”), with the intent to help the farmers obtain crop insurance proceeds to which they were not entitled. These crop insurance claims contained falsified reports of tobacco production. Muse, a crop insurance agent and employee at Clay’s Tobacco Warehouse during the period in question, admitted that she created multiple false documents, including Clay’s Tobacco Warehouse sale bills and shipping reports, to help farmers hide their crop production from their insurance adjusters and falsify the quality of the tobacco. These documents, which misrepresented the volume and quality of the farmers’ crop production, led to inflated payments from the farmers’ crop insurers, which are reinsured by the federal government.
Judge Hood found that, as a result of Muse’s fraud, she caused the federal government to pay out $5,917,515 in crop insurance indemnity payments to agricultural producers to which they were not entitled. The agricultural producers included Muse’s clients and the clients of other insurance agents, who used falsified documents Muse created in filing their own fraudulent insurance claims.
“Protecting limited public resources and the integrity of our public insurance programs are priorities for our Office and the Department of Justice,” stated United States Attorney Robert M. Duncan, Jr. “The Defendant’s participation in this unlawful scheme to falsify documents resulted in significant losses to the FCIC. Her participation was instrumental to the scheme’s success and her criminal conduct harmed the integrity of the crop insurance system. We will continue to prioritize similar efforts to prosecute those who prey on public programs and appropriate taxpayer funds.
Under federal law, Muse must serve 85 percent of her prison sentence; upon her release, she will be under the supervision of the United States Probation Office for five years.
Robert M. Duncan, Jr., United States Attorney for the Eastern District of Kentucky; Karen Citizen-Wilcox, Special Agent in Charge, United States Department of Agriculture Office of Inspector General; Amy Hess, Special Agent in Charge, Federal Bureau of Investigation; Christopher Altemus, Special Agent in Charge, Internal Revenue Service-Criminal Investigation; and Dwayne Depp, Director, Kentucky Department of Insurance Fraud Investigation Division, jointly announced the sentence. Assistant United States Attorneys Kathryn M. Anderson and Erin M. Roth represented the United States.
Five Western Slope Defendants Sentenced for Various Roles in Methamphetamine and Cocaine Drug TraffickingRead the Press Release
DENVER – Five defendants have been ordered in the past 48 hours to serve prison sentences for their respective roles in the distribution of methamphetamine and cocaine, U.S. Attorney Bob Troyer and DEA Denver Division Special Agent in Charge William T. McDermott announced. Four remaining defendants have sentencing hearings pending.
Colorado Chief U.S. District Court Judge Marcia S. Krieger, sitting in Grand Junction on September 10 and September 11th, 2018, sentenced:
- Sean Herrera, age 46, to serve 96 months in federal prison, followed by 5 years on supervised release;
- Sergio Gonzalez-Lomeli, age 23, to serve 60 months in federal prison, followed by 4 years on supervised release;
- Brandon Latgiue, age 40, to serve 9 months in federal prison, followed by 3 years on supervised release;
- Ricardo Morales, age 36, to serve 78 months in federal prison, followed by 5 years on supervised release;
- Karinda Sills, age 52, to serve 120 months in federal prison, followed by 5 years on supervised release;
According to court documents, in April 2016, the Glenwood Springs branch of DEA began investigating drug trafficking occurring in Garfield and Mesa Counties. This investigation involved surveillance of targets, controlled purchases of methamphetamine, and wiretaps of telephones and Facebook accounts. The investigation ultimately revealed that Paul Hernandez Contreras was a California source of supply for methamphetamine and cocaine who would bring large quantities of narcotics from California to Colorado. Daniel Tapia-Morales was a distributor for Hernandez Contreras and Tapia-Morales had his own customer base. In addition to drug trafficking, many individuals in the investigation would trade firearms for narcotics. Ultimately, over 3 kilograms of methamphetamine and ½ kilogram of cocaine were seized, as well as firearms and thousands of dollars. The investigation resulted in the indictment of ten individuals, to include the five mentioned above and Tapia-Morales.
Special Agent In Charge Tim McDermott stated, “This case demonstrates the importance of DEA’s relationship with State and Local Task Forces, such as the Two Rivers Drug Enforcement Team (TRIDENT), in order to dismantle and disrupt drug trafficking organizations responsible for poisoning our communities through the sale of methamphetamine, cocaine and firearms.”
This case was investigated by the DEA Denver Division and TRIDENT, including agents in Mesa and Garfield Counties. TRIDENT is a multi-jurisdictional drug task force funded through Federal, State and Local government funding sources. The defendants were prosecuted by Assistant U.S. Attorneys Celeste Rangel and Jeremy Chaffin.
Financial Advisor Pleads Guilty to Money Laundering Charge in Connection with Bribery Scheme Involving Ecuadorian OfficialsRead the Press Release
A U.S.-based financial advisor pleaded guilty today for his role in an international money laundering conspiracy involving the proceeds of a scheme to pay bribes to officials of Ecuador’s state-owned and state-controlled energy company, Empresa Pública de Hidrocarburos del Ecuador (PetroEcuador).
U.S. Attorney Benjamin G. Greenberg of the Southern District of Florida, Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division and Acting Special Agent in Charge Kelly Jackson of IRS Criminal Investigation’s (IRS-CI) Washington, D.C. office made the announcement.
Jose Larrea, 40, a U.S. citizen who lives in Miami, Florida, pleaded guilty in Miami before U.S. District Judge Marcia G. Cooke of the Southern District of Florida to one count of conspiracy to commit money laundering. He is scheduled to be sentenced on Nov. 14, by Judge Cooke.
According to his admissions at the plea hearing, Larrea conspired with his co-defendant, Frank Roberto Chatburn Ripalda (Chatburn), 40, a dual U.S. and Ecuadorian citizen who also lives in Miami, and others to conceal the proceeds of an unlawful scheme, namely to pay bribes to PetroEcuador officials. Larrea admitted to participating in the money laundering scheme by wiring more than $1 million from his own U.S.-based bank account to several U.S.-based bank accounts. Those wire transfers were made to conceal a bribery scheme involving an oil services contractor who made payments to PetroEcuador officials in an effort to retain existing contracts and win new business with PetroEcuador. Larrea further admitted that he created false and back-dated documents on behalf of the oil services contractor.
Larrea is the fourth individual to plead guilty in this case. In addition to Larrea, two former officials of PetroEcuador who received bribe payments and the contractor described above have previously pleaded guilty to date in connection with the government’s ongoing investigations into the PetroEcuador bribery and money laundering schemes.
Chatburn was charged in the same indictment on April 19, with one count of conspiring to violate the Foreign Corrupt Practices Act (FCPA), one count of violating the FCPA, one count of conspiring to commit money laundering and two counts of money laundering. Chatburn has pleaded not guilty, and his trial is currently set for Oct. 15.
All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
The FBI’s International Corruption Squad in Miami and IRS-CI are investigating the case. Assistant Chief Lorinda Laryea and Trial Attorneys David Fuhr and Katherine Raut of the Criminal Division’s Fraud Section, Trial Attorneys Randall Warden and Mary Ann McCarthy of the Criminal Division’s Money Laundering and Asset Recovery Section, and Assistant U.S. Attorneys Karen Rochlin and Nalina Sombuntham of the Southern District of Florida are prosecuting the case.
The U.S. Marshals Service and the Criminal Division’s Office of International Affairs has provided significant assistance by obtaining key evidence in this case, as have public authorities in, among other countries, Ecuador, Panama and the Cayman Islands.
The Fraud Section is responsible for investigating and prosecuting all FCPA matters. Additional information about the Justice Department’s FCPA enforcement efforts can be found at www.justice.gov/criminal/fraud/fcpa.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at http://www.flsd.uscourts.gov/ or on http://pacer.flsd.uscourts.gov/.
Financial Advisor Pleads Guilty to Money Laundering Charge in Connection with Bribery Scheme Involving Ecuadorian OfficialsRead the Press Release
A U.S.-based financial advisor pleaded guilty today for his role in an international money laundering conspiracy involving the proceeds of a scheme to pay bribes to officials of Ecuador’s state-owned and state-controlled energy company, Empresa Pública de Hidrocarburos del Ecuador (PetroEcuador).
Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division, U.S. Attorney Benjamin G. Greenberg of the Southern District of Florida and Acting Special Agent in Charge Kelly Jackson of IRS Criminal Investigation’s (IRS-CI) Washington, D.C. office made the announcement.
Jose Larrea, 40, a U.S. citizen who lives in Miami, Florida, pleaded guilty in Miami before U.S. District Judge Marcia G. Cooke of the Southern District of Florida to one count of conspiracy to commit money laundering. He is scheduled to be sentenced on Nov. 14, by Judge Cooke.
According to his admissions at the plea hearing, Larrea conspired with his co-defendant, Frank Roberto Chatburn Ripalda (Chatburn), 40, a dual U.S. and Ecuadorian citizen who also lives in Miami, and others to conceal the proceeds of an unlawful scheme, namely to pay bribes to PetroEcuador officials. Larrea admitted to participating in the money laundering scheme by wiring more than $1 million from his own U.S.-based bank account to several U.S.-based bank accounts. Those wire transfers were made to conceal a bribery scheme involving an oil services contractor who made payments to PetroEcuador officials in an effort to retain existing contracts and win new business with PetroEcuador. Larrea further admitted that he created false and back-dated documents on behalf of the oil services contractor.
Larrea is the fourth individual to plead guilty in this case. In addition to Larrea, two former officials of PetroEcuador who received bribe payments and the contractor described above have previously pleaded guilty to date in connection with the government’s ongoing investigations into the PetroEcuador bribery and money laundering schemes.
Chatburn was charged in the same indictment on April 19, with one count of conspiring to violate the Foreign Corrupt Practices Act (FCPA), one count of violating the FCPA, one count of conspiring to commit money laundering and two counts of money laundering. Chatburn has pleaded not guilty, and his trial is currently set for Oct. 15.
All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
The FBI’s International Corruption Squad in Miami and IRS-CI are investigating the case. Assistant Chief Lorinda Laryea and Trial Attorneys David Fuhr and Katherine Raut of the Criminal Division’s Fraud Section, Trial Attorneys Randall Warden and Mary Ann McCarthy of the Criminal Division’s Money Laundering and Asset Recovery Section, and Assistant U.S. Attorneys Karen Rochlin and Nalina Sombuntham of the Southern District of Florida are prosecuting the case.
The U.S. Marshals Service and the Criminal Division’s Office of International Affairs has provided significant assistance by obtaining key evidence in this case, as have public authorities in, among other countries, Ecuador, Panama and the Cayman Islands.
The Fraud Section is responsible for investigating and prosecuting all FCPA matters. Additional information about the Justice Department’s FCPA enforcement efforts can be found at www.justice.gov/criminal/fraud/fcpa.
Final Defendant Sentenced in 'Foreclosure Rescue' SchemeRead the Press Release
DALLAS -- The final defendant in a high-profile north Texas “foreclosure rescue” case has been sentenced for his role in the scheme, which swindled nearly a quarter of a million dollars from at least 70 homeowners facing foreclosure, announced U.S. Attorney Erin Nealy Cox of the Northern District of Texas.
Real Estate Solutions owner Mark Demetri Stein, 38, of Carrollton, Texas – who pleaded guilty in April to one count of mail fraud – was sentenced to six years in prison and ordered to pay $215,138 in restitution to homeowner victims.
According to documents filed in the case, from Feb. 2012 to Jan. 2013, Stein and three co-conspirators used third parties to contact vulnerable homeowners, offering them an opportunity to get out of their present home loans and receive new, cheaper loans with lower interest and reduced monthly payments.
They lied to desperate homeowners, telling them “investors” were standing by, ready to purchase homeowners’ loans from their original lenders at a greatly reduced price through a “short sale” process, and suggesting homeowners had the legal authority to transfer their deeds to a foreclosure rescue company. Then, although they knew they would not legally own the property, Stein and his co-defendants assured homeowners a foreclosure rescue company could “sell” the property back to the homeowner with a new loan.
There were no investors. The defendants simply pocketed funds collected from these defrauded homeowners.
They issued fraudulent new “loans” requiring hefty down payments, demanded the homeowners sign fraudulent documents, and directed homeowners to start making all future loan payments to them.
As they continued to collect these so-called “mortgage payments,” they instructed homeowners to ignore notices of late- and non-payment from other lenders. In order to further conceal their criminal conduct, they even advised several homeowners file bankruptcy in order to forestall foreclosure.
The three other defendants, Christina Renee Caveny, 37, Richard Bruce Stevens, 53, and Bruce Kevin Hawkins, 54, also pleaded guilty and were sentenced for felony offenses stemming from the scheme. (Caveny was sentenced to 15 months in prison in November 2017. The following month, Hawkins was sentenced to 41 months. Late last month, Stevens was sentenced to 41 months.)
The case was brought as part of the Northern District of Texas’ Bankruptcy Fraud Initiative. Since May 2013, the initiative has prompted a significant increase in the number of felony prosecutions of bankruptcy-related crimes in north Texas. A total of 27 defendants – each prosecuted due to criminal referrals from the United States Trustee’s Office – have been charged and convicted.
The Federal Bureau of Investigation’s Dallas Division conducted the investigation, and Assistant U.S. Attorney David Jarvis prosecuted the case.
Federal Jury Convicts Holly Springs Man on Federal Drug and Firearms ChargesRead the Press Release
RALEIGH – The United States Attorney for the Eastern District of North Carolina, Robert J. Higdon, Jr., announced that, HOWARD DAVIS, 40, of Holly Springs, NC, was convicted in federal court following a day and a half jury trial before Chief United States District Judge James C. Dever III. The jury found DAVIS guilty of possession with the intent to distribute 28 grams or more of cocaine base, and a quantity of cocaine, both Schedule II controlled substances, possession of a firearm in furtherance of a drug trafficking crime, and felon in possession of a firearm.
The evidence presented at trial established that DAVIS was pulled over for a window tint violation and while the officer was verifying DAVIS’s information, he fled the scene. This resulted in a high-speed chase within a residential neighborhood until DAVIS exited his car and fled on foot into a swamp. The investigation resulted in the seizure of over 28 grams of cocaine base and 178 grams crack cocaine, $67,288.00 and a firearm.
Sentencing is set for December 10, 2018 term of court. DAVIS faces not less than 25 years imprisonment and up to life imprisonment followed by 8 years of supervised release and up to an 8.5 million dollar fine.
The case was investigated by the Holly Springs Police Department and Bureau of Alcohol, Tobacco, Firearms & Explosives (ATF). Assistant United States Attorney Gabriel Diaz and Jason Kellhofer prosecuted the case on behalf of the United States.
Federal Grand Jury Indicts Amalia Compound Defendants on Firearms and Conspiracy ChargesRead the Press Release
ALBUQUERQUE – A federal grand jury sitting in Albuquerque, N.M., has indicted Jany Leveille, 35, Siraj Ibn Wahhaj, 40, Hujrah Wahhaj, 37, Subhanah Wahhaj, 35, and Lucas Morton, 40, on firearms and conspiracy charges, announced U.S. Attorney John C. Anderson and Special Agent in Charge James C. Langenberg of the FBI’s Albuquerque Division.
The indictment, which was filed this afternoon, charges the five defendants, residents of a compound in Amalia, in Taos County, N.M., with conspiring knowingly to provide an alien illegally and unlawfully in the United States, possession of firearms and ammunition. The indictment also charges Leveille, a Haitian national illegally and unlawfully in the United States, with possession of firearms and ammunition.
The conspiracy charge alleges that the defendants conspired to provide Leveille, an alien unlawfully in the United States, with firearms and ammunition from at least Nov. 2017 through Aug. 2018. The indictment alleges that, as part of the conspiracy, the defendants transported firearms and ammunition from Georgia to New Mexico in Dec. 2017. The indictment further alleges that, between Dec. 2017 and Aug. 2018, the defendants established a training camp and firing range in Taos County, where they stored firearms and ammunition and engaged in firearms and tactical training as part of their common plan to prepare for violent attacks on government, military, educational, and financial institutions.
The FBI arrested the defendants on Aug. 31, 2018, on a federal criminal complaint that charged Leveille with being an alien unlawfully in possession of firearms and ammunition. The complaint also charged Leveille’s four co-defendants with aiding and abetting her in committing the offense, and with conspiring with her to commit the offense.
The defendants are scheduled to appear in federal court in Albuquerque at 1:00 pm, tomorrow, Sept. 12, 2018, to be arraigned on the indictment and for detention hearings.
If convicted on the conspiracy charge, the five defendants each face a statutory penalty of five years of imprisonment. If convicted on the firearms charge, Leveille faces a statutory maximum penalty of ten years of imprisonment and deportation upon completion of her sentence. Charges in indictments are merely accusations and defendants are presumed innocent unless found guilty in a court of law.
The Albuquerque Division of the FBI investigated the case, with the assistance of the U.S. Department of Homeland Security, the Bureau of Alcohol, Tobacco, Firearms & Explosives, the Taos County Sheriff’s Office, and the 8th Judicial District Attorney’s Office. Assistant U.S. Attorneys George C. Kraehe and Kimberly A. Brawley are prosecuting the case.
Leveille IndictmentFayette County Felon Illegally Possessed 5 Firearms and 4,000 Rounds of AmmoRead the Press Release
PITTSBURGH, PA - A Fayette County resident pleaded guilty in federal court to a violation of the federal firearms laws, United States Attorney Scott W. Brady announced today.
Steven Daniels, age 44, of Wharton Township, pleaded guilty to one count of possession of a firearm by a convicted felon before United States District Judge Cathy Bissoon.
In connection with the guilty plea, the court was advised that, on January 11, 2018, federal and state law enforcement officers executed a search warrant at Daniels’s residence and recovered five firearms and over 4,000 rounds of ammunition. Based on a prior conviction, Daniels is not permitted to possess a firearm.
Judge Bissoon scheduled sentencing for February 4, 2019, at 10 a.m. The law provides for a maximum total sentence of 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 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 Department of Homeland Security – Federal Protective Service conducted the investigation that led to the prosecution of Steven Daniels.
Fargo Man Sentenced to 15 years in Federal Prison for Possession of Child PornographyRead the Press Release
FARGO – United States Attorney Christopher C. Myers announced that on September 10, 2018, Roberto A. Lang, United States District Judge, South Dakota, sitting by designation, sentenced Damian Scott Olvera, age 26, Fargo, ND, on charges of Possession of Materials Containing Child Pornography and Receipt of Materials Containing Child Pornography. Judge Lang sentenced Olvera to serve 15 years in federal prison, to be followed by 15 years supervised release. Olvera was further ordered to pay $200 in special assessments to the Crime Victims’ Fund.
This investigation came to the attention of law enforcement after it received a tip that Olvera had uploaded images to his Gmail account that revealed he was victimizing a minor female. Investigators seized Olvera’s Gmail account and a search of the account resulted in the seizure of multiple files depicting the sexual exploitation of children. Olvera admitted to receiving and possessing child pornography when interviewed by law enforcement.
This case was investigated by the Fargo Police Department, Bureau of Criminal Investigation, and Homeland Security Investigations.
Assistant United States Attorney Jennifer Puhl prosecuted the case.
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Essex County, New Jersey, Couple and Son Charged in Food Stamp SchemeRead the Press Release
NEWARK, N.J. – An Essex County, New Jersey, couple and their son have been charged for their respective roles in a food stamps fraud scheme, U.S. Attorney Craig Carpenito announced today.
Juan Perdomo, 59, and his son, Jose Perdomo, 34, both of Newark, are charged by complaint with Supplemental Nutrition Assistance Program (SNAP) benefit fraud and conspiracy to commit wire fraud. The Perdomos and Maria Rodriguez, 58, Juan’s wife and Jose’s mother, were also charged with money laundering conspiracy. All three had their initial court appearances before U.S. Magistrate Judge Steven C. Mannion in Newark federal court.
According to documents filed in this case and statements made in court:
From October 2015 to the present, the defendants managed M&R Supermarket, a small grocery store in Newark, New Jersey, that was authorized to accept benefits provided by SNAP, formerly known as the Food Stamp Program. The program is administered by the U.S. Department of Agriculture. Retail food stores approved for participation in SNAP may sell food in exchange for SNAP benefits. They may not exchange SNAP benefits for cash. While Juan Perdomo and Jose Perdomo run the store, Maria Rodriguez owns the store and is the person registered with SNAP. According to the complaint, M&R Supermarket exchanged more than $5 million in SNAP benefits for cash between 2015 and 2018.
Every SNAP recipient receives an Electronic Benefit Transfer (EBT) card, similar to a debit card, with which to make purchases. Every retailer authorized to accept SNAP benefits has an EBT terminal. Food purchases are made by swiping the card at the terminal. After the customer enters a Personal Identification Number (PIN), the EBT terminal verifies the PIN, determines whether the customer’s account balance is sufficient to cover the proposed transaction and informs the retailer whether the transaction should be authorized or denied. The amount of the purchase is deducted electronically from the SNAP benefits reserved for the customer and the amount is credited to the retailer’s designated bank account. In addition to the high volume of SNAP benefits redemptions for M&R Supermarket indicating fraud, law enforcement agents verified the fraudulent exchange of SNAP benefits for cash through the use of an agent working in an undercover capacity who engaged in at least 11 “purchases” at M&R Supermarket where Juan Perdomo or Jose Perdomo exchanged money for SNAP benefits.
The complaint also charges Juan Perdomo, Maria Rodriguez, and Jose Perdomo with conspiring to launder monetary instruments. The bank account of M&R Supermarket, where the store receives SNAP payments, shows numerous cash withdrawals in excess of $10,000 by Juan Perdomo and Maria Rodriguez, as well as several cashed checks in excess of $10,000 by Jose Perdomo.
The counts for SNAP benefit fraud and conspiracy to commit wire fraud against Juan Perdomo and Jose Perdomo carry a maximum penalty of 20 years in prison and a fine of $250,000, or twice the gross pecuniary gain/loss. The counts of money laundering against all three defendants carry a maximum penalty of 10 years in prison and a fine of $250,000 or twice the value of the property involved in the transaction.
U.S. Attorney Carpenito credited special agents of the U.S. Department of Agriculture – Office of Inspector General, under the direction of Special Agent in Charge Bethanne M. Dinkins; U.S. Immigration and Customs Enforcement (ICE) Homeland Security Investigations (HSI), under the direction of Acting Special Agent in Charge Brian Michael; IRS-Criminal Investigation, under the direction of Special Agent in Charge John Tafur; and U.S. Secret Service, under the direction of Mark McKevitt, with the investigation leading to today’s charges.
The government is represented by Assistant U.S. Attorney Leah Gould of the U.S. Attorney’s Office Criminal Division in Newark.
The allegations and charges in the complaint are only accusations and the defendants are considered innocent unless and until proven guilty.
Essex County Man Admits Role in Armed Robbery of Passaic, New Jersey, ClubRead the Press Release
NEWARK, N.J. – An Essex County man today admitted that he participated in a September 2015 gunpoint robbery of a club in Passaic, New Jersey, U.S. Attorney Craig Carpenito announced.
Jimmy Cooper, a/k/a “Flip,” 33, of Irvington, New Jersey, pleaded guilty before U.S. District Judge Madeline Cox Arleo in Newark federal court to a superseding indictment charging him with one count of conspiracy to commit Hobbs Act robbery and one count of Hobbs Act robbery.
According to the indictment, other documents and statements made in court:
In the early morning hours of Sept. 6, 2015, Cooper and two conspirators agreed to rob at gunpoint a club in Passaic. Cooper sent text messages to a conspirator’s phone coordinating the timing of the robbery and discussing how to smuggle the gun into the club. Minutes later, conspirators entered the office of the club, where an employee was alone. They brandished a firearm, threatened to kill the employee, and emptied the contents of an open safe into two purses that were in the office. The robbers ordered the employee to the ground and told him to count to 100 as they lowered the lights and fled in a getaway car stolen by Cooper and one of the robbers less than a week prior. The robbers led the police on a high-speed car chase through Passaic, Newark, and East Orange, New Jersey, abandoning the car in East Orange and fleeing on foot.
The Hobbs Act charges to which Cooper pleaded guilty each carry a statutory maximum of 20 years in prison and a $250,000 fine, or twice the gain or loss from the offense. Pursuant to the plea agreement, Cooper faces a sentence of 60 to 70 months in prison. Sentencing is scheduled for Dec. 10, 2018.
Cooper was originally charged with Keontrae Lawrence, a/k/a “Taz,” 30, of South Orange, New Jersey, and Shaheed Blamahsah, a/k/a “Aboo,” 30, of Newark, New Jersey, in November 2016. Both Lawrence and Blamahsah have pleaded guilty for their respective roles in the robbery and have been sentenced to 135 and 150 months in prison, respectively.
U.S. Attorney Carpenito credited special agents of the FBI, under the direction of Special Agent in Charge Gregory W. Ehrie in Newark, and members of the Passaic County Prosecutor’s Office, under the direction of Prosecutor Camelia M. Valdes, with the investigation leading to today’s guilty plea. He also thanked the Passaic County Sheriff’s Office, the Passaic Police Department, and the Newark Police Department for their assistance.
The government is represented by Assistant U.S. Attorneys Elaine K. Lou and Mary E. Toscano of the U.S. Attorney’s Office’s Criminal Division in Newark.
Erie Convenience Store Owner Sentenced to Probation, Ordered to Pay Restitution for Food Stamp Fraud SchemeRead the Press Release
ERIE, Pa. - A resident of Erie, Pennsylvania, has been sentenced in federal court to 30 months probation and ordered to make $49,617.00 in restitution on his conviction of theft of government property, United States Attorney Scott W. Brady announced today.
United States District Judge David S. Cercone imposed the sentence on James Hunter, Jr., 39.
According to information presented to the court, from July 2012 to June 2015, Hunter, who was the owner and operator of Melo’s Stop N Shops in Erie, committed food stamp fraud by accepting food stamps and WIC checks for cash or ineligible items such as cigarettes.
Assistant United States Attorney Christian A. Trabold prosecuted this case on behalf of the government.
United States Attorney Brady commended the United States Department of Agriculture, Office of Inspector General, Homeland Security Investigations, the Pennsylvania State Police and the Erie Bureau of Police for the investigation leading to the successful prosecution of Hunter.
Eagle Butte Man Indicted on Methamphetamine ChargesRead the Press Release
United States Attorney Ron Parsons announced that an Eagle Butte, South Dakota, man has been indicted by a federal grand jury for Conspiracy to Distribute a Controlled Substance and Possession with Intent to Distribute a Controlled Substance.
David Little Wounded, age 35, was indicted on August 13, 2018. He appeared before U.S. Magistrate Judge Mark A. Moreno on September 10, 2018, and plead not guilty to the Indictment.
The maximum penalty upon conviction is up to 40 years in federal prison and/or a $5,000,000 fine, a lifetime of supervised release, and $100 to the Federal Crime Victims Fund. Restitution may also be ordered.
The Indictment alleges that between April 1, 2016, and August 13, 2018, Little Wounded knowingly and intentionally combined, conspired, confederated, and agreed with persons to knowingly and intentionally distribute and possess with the intent to distribute 50 grams or more of methamphetamine. The Indictment also alleges on or about February 4, 2017, and June 3, 2017, Little Wounded, knowingly and intentionally possessed with the intent to distribute methamphetamine.
The charges are merely accusations and Little Wounded is presumed innocent until and unless proven guilty.
The investigation is being conducted by the Northern Plains Safe Trails Drug Enforcement Task Force and the Cheyenne River Sioux Tribe Law Enforcement Services. Assistant U.S. Attorney Cameron J. Cook is prosecuting the case.
Little Wounded was remanded to the custody of the U.S. Marshals Service pending trial. A trial date has been set for October 30, 2018.
Dracut Contractor Charged with Bribing Naval Contracting Official in SingaporeRead the Press Release
BOSTON – A Dracut man was arrested today and charged with bribing a United States Navy contracting officer on two occasions in connection with federal construction projects in Singapore.
Hector Sanchez, 52, was charged in an indictment unsealed today with two counts of bribery of a public official. Sanchez made an initial appearance this afternoon in federal court in Boston.
According to the indictment, Sanchez is the President and co-owner of P&S Construction Inc. (P&S), a general contracting corporation headquartered in Chelmsford. It is alleged that Sanchez paid a total of $15,000 to a contracting officer of the Naval Facilities Engineering Command Far East in Singapore (NAVFAC Far East) in exchange for the contracting official’s assistance in circumventing the assessment of liquidated damage against P&S. In recorded conversations between Sanchez and the Naval contracting officer, Sanchez allegedly stated that the liquidated damage assessments would negatively impact P&S’ ability to obtain government contracting work in the future. Subsequently, Sanchez delivered $10,000 in June 2016 and $5,000 in December 2016 to the Naval contracting officer in Singapore while federal agents conducted covert surveillance. During recorded conversations, Sanchez allegedly told the contracting official that P&S was “looking for the LDs [liquidated damages] to go away.” Sanchez also stated, “This is the first time we’re doing something, okay? Let’s keep it up … This is not a onetime deal … This is business.”
The charge of bribery of a federal public official provides for a sentence of no greater than 15 years in prison, three years of supervised release and a fine of $250,000, or three times the monetary equivalent of the bribe, whichever is greater. 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 Leo S. Lamont, Special Agent in Charge, Naval Criminal Investigative Service, Northeast Field Office, made the announcement today. Assistant U.S. Attorney William F. Bloomer of Lelling’s Public Corruption and Special Prosecutions Unit is prosecuting the case.
The details contained in the indictment are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Detroit-Area Podiatrist Sentenced to Prison for Health Care FraudRead the Press Release
A Detroit-area podiatrist was sentenced to 28 months in prison today for his participation in a $1 million scheme involving podiatry services that were billed to Medicare but were never rendered.
Assistant Attorney General Brian A. Benczowski of the Justice Department’s Criminal Division, U.S. Attorney Matthew Schneider of the Eastern District of Michigan, Special Agent in Charge Timothy R. Slater of the FBI’s Detroit Division and Special Agent in Charge Lamont Pugh III of the U.S. Department of Health and Human Services Office of Inspector General’s (HHS-OIG) Chicago Regional Office made the announcement.
Lawrence Young, D.P.M., 70, of Bloomfield Hills, Michigan, was sentenced by U.S. District Judge Judith E. Levy of the Eastern District of Michigan, who also ordered the defendant to serve one year of supervised release following his prison sentence and ordered him to pay $337,907.31 in restitution to HHS and to forfeit the same amount. Young pleaded guilty to one count of health care fraud in January 2018.
As part of his guilty plea, Young admitted that from approximately January 2010 through April 2017, he engaged in a scheme to defraud the Medicare program by causing the submission of false and fraudulent claims to Medicare for the application of an “Unna Boot,” which is a type of medicated dressing typically applied after surgery to control swelling of the leg or foot. Young admitted regularly submitting these claims for reimbursement even though he knew that his patients routinely received nothing more than a non-medicated dressing. The scheme involved the submission of more $1 million in fraudulent claims to Medicare, he admitted.
This case was investigated by the FBI and HHS-OIG. Trial Attorneys Tom Tynan and Steve Scott of the Criminal Division’s Fraud Section are prosecuting the case.
The Criminal Division’s Fraud Section leads the Medicare Fraud Strike Force. Since its inception in March 2007, the Medicare Fraud Strike Force, now operating in 12 cities across the country, has charged nearly 4,000 defendants who have collectively billed the Medicare program for more than $14 billion.
Defense Verdict in Medical Malpractice, Wrongful Death Lawsuit Against the United StatesRead the Press Release
KANSAS CITY, Mo. – Timothy A. Garrison, United States Attorney for the Western District of Missouri, announced today a complete defense verdict in a medical malpractice, wrongful death lawsuit brought against the United States of America under the Federal Tort Claims Act.
On Sept. 10, 2018, judgment was entered in favor of the United States following a three-day bench trial before U.S. District Judge Gary A. Fenner that concluded on Sept. 7, 2018. The court’s findings of fact and conclusions of law was released on Sept. 10, 2018.
At 5:25 a.m. on May 9, 2014, a VA patient drove himself to the emergency room at the Kansas City Veterans Affairs Medical Center in Kansas City, Mo. His chief complaint was an allergic reaction to shrimp he ate earlier that night, and he also complained that he had facial swelling that started prior to his presentation to the VA. The patient was immediately admitted and evaluated by the emergency room physician within five minutes. The patient was diagnosed with an allergic reaction and treated with intravenous medications. Subsequently, he had an anaphylactic reaction and was pronounced dead at 6:58 a.m. as a result of anaphylaxis.
The court found that the evidence did not demonstrate or establish a breach or deviation from any medical standard of care by any Department of Veterans Affairs (VA) health care provider in providing medical care, treatment, and healthcare services to a VA patient on May 9, 2014, in the emergency department at the Kansas City Veterans Affairs Medical Center. The court also found that the VA patient’s death was not caused by any VA health care provider’s negligence. The court concluded that the United States is not liable under the Federal Tort Claims Act.
This case is being defended by Assistant U.S. Attorney Matthew N. Sparks and Deputy U.S. Attorney Jeffrey P. Ray of the Western District of Missouri. The case was investigated by the Department of Veterans Affairs.
Columbus Pharmacist Sentenced for Health Care Fraud SchemeRead the Press Release
COLUMBUS, Ohio – Maria Mascio, 62, of Columbus, Ohio, was sentenced in U.S. District Court today to 24 months in prison and ordered to pay $1.1 million in restitution for executing a decade-long health care fraud scheme.
Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, Angela L. Byers, Special Agent in Charge, Federal Bureau of Investigation (FBI), Cincinnati Division, Lamont Pugh, Special Agent in Charge, Department of Health and Human Services Office of Inspector General, Mark S. McCormack, Special Agent in Charge, U.S. Food and Drug Administration (FDA), Metro Washington Field Office, Ohio Attorney General Mike DeWine, Steven W. Schierholt, Executive Director, State of Ohio Board of Pharmacy and Jim Wernecke, Director, Ohio Bureau of Workers’ Compensation special investigations department, announced the sentence handed down today by U.S. District Judge Michael H. Watson.
According to court records, Mascio, a licensed pharmacist and owner of Family Medical Pharmacy and Visions Systems in Columbus, Ohio, executed a health care fraud scheme for at least a decade (from 2003 through 2013). Her scheme caused a loss of $1.1 million.
Mascio schemed to defraud Medicare, Ohio Medicaid, Ohio Bureau of Workers’ Compensation and private insurers by billing for sample drugs that could not be legally sold and for medications that had not been dispensed.
Mascio owned an office building on Karl Road in which her pharmacy and the medical offices of two doctors were located. Mascio directed pharmacy employees to remove prescription drug samples from the medical offices and place them in a storage room used by the pharmacy.
After collecting the drug samples, Mascio or employees under her direction removed the drugs from their individualized packaging and stored them in plastic bins. They disposed of the sample packaging in the dumpster located on the premises of the pharmacy and placed the sample drugs into the pharmacy inventory where they were co-mingled with the pharmacy’s stocked drugs and dispensed to the general public.
Mascio also orchestrated the submission of false claims for the sample drugs to health care benefit programs, including Medicare, Ohio Medicaid and Ohio Bureau of Workers’ Compensation.
She pleaded guilty in May to one count of health care fraud scheme and one count of conspiracy to commit an offense against the United States.
“Mascio’s criminal conduct included breaking into several physician offices and stealing large quantities of sample prescription drugs before shucking them from their original packaging,” U.S. Attorney Glassman said. “By misbranding the drugs, there was no method by which the drugs could be identified should there be a recall by the manufacturer, nor was there any way to determine the expiration date or whether the drugs remained effective. This is clearly a danger to the community, and we will continue to identify and prosecute this sort of criminal behavior.”
“Patients who are taking prescription medications need to be able to trust that the medicine that is being dispensed to them is safe and effective” said Lamont Pugh III, Special Agent in Charge, U.S. Department of Health and Human Services, Office of Inspector General – Chicago Region. “This defendant violated that trust and put her personal greed above the public’s health and safety. The OIG will continue to work with our law enforcement partners to ensure that medical professionals who commit criminal acts such as this are held accountable.”
“Our goal is to protect Ohio families, and fighting health care fraud is a priority,” said Ohio Attorney General Mike DeWine. “In this case, the defendant carried on her scheme for over a decade and put people at risk. We appreciate the cooperation of our law enforcement partners in holding her accountable.”
U.S. Attorney Glassman commended the investigation of this case by the FBI, Health and Human Services Office of the Inspector General, Ohio Medicaid Fraud Control Unit, State of Ohio Board of Pharmacy, Ohio Bureau of Workers’ Compensation and FDA, as well as Assistant United States Attorney Kenneth F. Affeldt and Special Assistant United States Attorney Maritsa A. Flaherty of Ohio Attorney General Mike DeWine’s office, who are prosecuting the case.
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Columbia Man Sentenced on Heroin and Firearm ChargesRead the Press Release
Columbia, South Carolina ---- United States Attorney Sherri A. Lydon stated that Abdullah Jabbar Aquil, a/k/a “Wap,” age 42, of Columbia, was sentenced in federal court to 92 months’ imprisonment to be followed by 6 years of supervised release. Aquil plead guilty in January to possession with intent to distribute heroin and felon in possession of a firearm and ammunition, all in violation of Title 21, United States Code, Sections 841(a)(1), 841(b)(1)(C), and 851 and Title 18, United States Code, Sections 922(g)(1) and 924(a)(2). United States District Judge Mary Geiger Lewis, of Columbia, imposed the sentence and ordered that it run consecutive to a 24 months’ imprisonment sentence Aquil is currently serving.
Evidence presented in court established on February 3, 2017, after making several controlled buys of heroin from Aquil, deputies with the Richland County Sheriff’s Department executed a state search warrant upon one of Aquil’s residences. Inside they found a Glock .40 caliber firearm, ammunition, and digital scales. A further search of Aquil’s vehicle revealed a little over 9 grams of heroin.
Aquil is prohibited under federal law from possessing firearms and ammunition based upon his prior state convictions and a prior federal conviction. Aquil has prior state convictions for possession of cocaine, possession of pistol by person under 21 years of age, carrying pistol unlawfully (two separate counts), distribution of cocaine, criminal domestic violence, possession with intent to distribute marijuana 2nd offense, possession of stolen pistol, and possession of crack cocaine 2nd offense. At the time of the incident, Aquil was on federal supervised release for a 2009 federal conviction for felon in possession of a firearm and ammunition, for which he previously served 70 months’ imprisonment. Aquil’s federal supervised release was revoked in May 2017, and he is currently serving 24 months’ term of imprisonment for that revocation. Today’s sentence will run consecutive to that term of imprisonment.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives (“ATF”) and the Richland County Sheriff’s Department and was prosecuted as part of the joint federal, state and local Project CeaseFire initiative, which aggressively prosecutes 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 Stacey D. Haynes of the Columbia office handled the case.
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Cherokee Man Pleads Guilty to Meth ConspiracyRead the Press Release
A man who conspired to distribute methamphetamine pled guilty on September 10, 2018, in federal court in Sioux City.
Raymond Andrew Kerns, 36, from Cherokee, Iowa, was convicted of conspiracy to distribute methamphetamine and possession with intent to distribute methamphetamine. Kerns was previously convicted of possession of a controlled substance, third or subsequent offense, in the Iowa District Court for Pottawattamie County in August 2017.
At the plea hearing, Kerns admitted that from January 2017 through February 2018, he was involved in a conspiracy that distributed more than 500 grams of methamphetamine mixture in and around the Cherokee, Iowa area. On February 27, 2018, Kerns was apprehended by law enforcement in Storm Lake, Iowa when Kerns was attempting to meet a co-conspirator for purposes of methamphetamine trafficking. Law enforcement seized $1,500 and 8 grams of methamphetamine from Kerns, which Kerns admitted he planned to distribute to other persons.
Sentencing before United States District Court Chief Judge Leonard T. Strand will be set after a presentence report is prepared. Kerns remains in custody of the United States Marshal pending sentencing. Kerns faces a mandatory minimum sentence of 10 years’ imprisonment and a possible maximum sentence of life imprisonment, a $8,000,000 fine, and at least eight years of supervised release following any imprisonment.
The case is being prosecuted by Assistant United States Attorney Shawn S. Wehde and was investigated by the Iowa Department of Narcotics Enforcement, Cherokee County Sheriff’s Office, Storm Lake Police Department, and the Iowa Division of Criminalistics Laboratory.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 18-4025.
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California Man Pleads Guilty to Meth ConspiracyRead the Press Release
JEFFERSON CITY, Mo. – A Compton, Cal., man pleaded guilty in federal court on September 10, 2018 to his role in a conspiracy to distribute methamphetamine.
Shadeed Seifullah Muhammad, 42, pleaded guilty before U.S. Magistrate Judge Willie J. Epps, Jr., to one count of conspiracy to distribute methamphetamine.
According to yesterday’s plea agreement, Muhammad conspired with others to distribute 500 grams or more of a mixture and substance containing a detectable amount of methamphetamine from April 4, 2016, to April 4, 2017. The plea agreement states that Muhammad mailed a United States Priority Mail Package from the state of California on April 4, 2016, to a residence in Columbia, Mo. The package was intended for another co-conspirator in Jefferson City. The package was being transported by that co-conspirator, who was en route to Jefferson City, when officers made a traffic stop. The package was seized and sent to the United States Postal Inspection Service Laboratory and it was determined that the substance contained approximately 810 grams of pure methamphetamine. The co-conspirator plead guilty to conspiracy to distribute methamphetamine on May 14, 2018, and is awaiting sentencing.
On Mar. 30, 2017, Muhammad mailed another package from a post office in the state of California which was addressed to a residence in Jefferson City, Mo. It was also intercepted by law enforcement. The package was also sent to the USPIS Laboratory and it was determined that the substance contained approximately 856 grams of pure methamphetamine.
Under federal statutes, Muhammad is subject to a mandatory minimum sentence of ten years in federal prison without parole, and up to a sentence of life in federal prison without parole. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes, as the sentencing of the defendant will be determined by the court based on the advisory sentencing guidelines and other statutory factors. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
This case was prosecuted by Assistant U.S. Attorney Lawrence E. Miller. It was investigated by the Drug Enforcement Administration, the FBI and the U.S. Postal Inspection Service.
CEO of “Penny Stock” Company Sentenced for Stock Manipulation SchemeRead the Press Release
BOSTON – The CEO of a microcap company that claimed to own valuable patented drug delivery technology was sentenced today in federal court in Boston in connection with a scheme to manipulate the market for his company’s publicly traded stock.
Learned Jeremiah Hand, 59, of Durham, N.C., was sentenced by U.S. District Court Chief Judge Patti B. Saris to nine months in prison and one year of supervised release, with restitution to be determined at a later date. In August 2016, Hand pleaded guilty to conspiracy to commit securities fraud. In May 2018, his brother, Jehu Hand, 61, was convicted by a federal jury of conspiracy, securities fraud and wire fraud, and he is scheduled to be sentenced on Oct. 25, 2018. Their other brother, Adam Hand, 53, of Newport Beach, Calif., was sentenced to 30 months in prison and three years of supervised release after pleading guilty to one count of conspiracy to commit securities fraud.
The Hand brothers conspired in a pump-and-dump scheme to manipulate the market for the stock of Crown Marketing, a microcap or “penny stock” company that claimed to own valuable patented drug delivery technology. Specifically, Learned Hand and his brothers engaged in a scheme to conceal their control over the majority of Crown’s free-trading stock so that they could “pump” up the company’s share price and then secretly “dump” their shares into the market. Jehu Hand filed false registration statements with the Securities and Exchange Commission (SEC) so that the stock that the co-conspirators controlled could be sold to the public. Meanwhile, Learned Hand, who had been named Crown’s CEO, orchestrated a press campaign, including the distribution of press releases containing false and misleading statements regarding the drug delivery technology purportedly owned by Crown. Crown’s share price and trading volume shot up as a result of the hype created by the false press, and the co-conspirators, including Adam Hand, then proceeded to sell millions of shares of Crown stock to unwitting investors at inflated prices.
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 United States Attorney’s Office received valuable assistance from the Securities & Exchange Commission and Financial Industry Regulatory Authority during the investigation of this matter. Assistant U.S. Attorney Jamie Herbert of Lelling’s Criminal Division and SEC Attorney Andrew Palid, who was appointed as a Special Assistant U.S. Attorney, prosecuted case.
Business Owner and Former D.C. Schools Employee Sentenced to Jail Terms for Fraudulent Billing SchemeRead the Press Release
WASHINGTON – The owner of a tutoring and mentoring business and a former employee of the District of Columbia Public Schools were sentenced today to 52 weekends in jail, to be followed by 270 days of home confinement, for their roles in a scheme to fraudulently bill the school system more than $200,000 for services that they falsely claimed had been provided to students with special needs.
The announcement was made by U.S. Attorney Jessie K. Liu, Nancy McNamara, Assistant Director in Charge of the FBI’s Washington Field Office, and Inspector General Daniel W. Lucas of the District of Columbia.
John A. Faulkner, Jr., 40, the business owner, and Isaiah Johnson, 38, the former D.C. Public Schools employee, each pled guilty in June 2018 in the U.S. District Court for the District of Columbia to charges of mail fraud and identity theft. They were sentenced by the Honorable Rudolph Contreras. In addition to the jail terms and home confinement, each defendant must perform 100 hours of community service and successfully complete five years of probation.
Faulkner and Johnson also must pay a total of $217,366 in restitution to the District of Columbia Schools. Faulkner also is required to pay $142,866 in a forfeiture money judgment, and Johnson must pay $74,500 in a forfeiture money judgment.
The two men, both of Baltimore, were indicted in September 2017. According to a statement of offense submitted at the time of the pleas, the men carried out a scheme from at least July of 2012 through at least July of 2014 involving fraudulent invoices submitted to the District of Columbia Public Schools (DCPS) for services purportedly performed under the Compensatory Education Program.
The Compensatory Education Program awards services to eligible students to assist with their educational needs and development. Students awarded compensatory education services have learning, mental, and/or behavioral disabilities that create an educational barrier that prevents them from reaping the full benefits of education. Services consist of tutoring, individualized education, monitoring, speech therapy, occupational therapy, and behavioral and psychological analysis. Once DCPS approves specific services, parents or guardians receive letters specifying the services that can be provided. They also receive a list of independent providers, or vendors.
According to the statement of offense, Faulkner owned a company that in 2011 became eligible to be paid by DCPS as a vendor for tutoring and mentoring services. Johnson was a DCPS compliance case manager who was responsible for notifying parents or guardians, via letters, that their children were entitled to obtain the services of the independent providers. In that role, according to the indictment, Johnson had access to students’ names as well as compensatory education letters and the forms used to create those letters.
Faulkner and Johnson created or caused to be created false and fraudulent timesheets purporting to reflect compensatory education services provided to students that had, in fact, not been performed. These documents included the names and, in some instances, the signatures of individuals who purportedly provided services, the DCPS students and the students’ parents or guardians. Faulkner and Johnson admitted that they and others used these means of identification without the knowledge or permission of the individuals. Faulkner attached these timesheets to invoices to DCPS. He received payments and distributed a portion of the proceeds to Johnson.
DCPS sent at least $217,366 in payments for services that never were performed.
In announcing the sentences, U.S. Attorney Liu, Assistant Director in Charge McNamara and Inspector General Lucas commended the work of those who investigated the case from the FBI’s Washington Field Office and the District of Columbia Office of the Inspector General. They also acknowledged the efforts of those who worked on the case from the U.S. Attorney’s Office, including Assistant U.S. Attorney Diane Lucas; former Assistant U.S. Attorney Teresa A. Howie; Supervisory Paralegal Specialist Tasha Harris, Paralegal Specialists Kristy Penny and Joshua Fein, and former Paralegal Specialist Jessica Mundi. Finally, they commended the work of Assistant U.S. Attorney Peter C. Lallas and former Assistant U.S. Attorney Adrienne Dedjinou, who investigated and prosecuted the case.
Broken Arrow Woman Pleads Guilty to Embezzling $2.75 MillionRead the Press Release
TULSA, Okla.— United States Attorney Trent Shores announced that Cristyne Denise Gilleland, 41, of Broken Arrow, pleaded guilty Tuesday to wire fraud involving the embezzlement of more than $2.75 million from an Inola business and to signing a false tax return.
Gilleland admitted to embezzling the money from TJT Enterprises, LLC, and its owner, Tommy Thompson, from 2010 to 2017 by wire transfers, writing checks, and paying credit card charges, all for her personal benefit. As an employee of the company who was responsible for accounting and financial management, she used a variety of methods to conceal her embezzlement, including establishing a business that she used to further her scheme.
“Cristyne Gilleland betrayed the trust and confidence placed in her by TJT Enterprises and Tommy Thompson,” stated U.S. Attorney Trent Shores. “Her guilty plea today is the first step toward justice for the victims. The United States Attorney’s Office will help recover the more than $2.75 million embezzled by Gilleland. Crooks don’t get to keep the things they bought with illegally begotten money.”
The charges specifically focused on a fraudulent $577,500 wire transfer made by the defendant from TJT Enterprises to a business she created for the purpose of embezzling funds, and on a 2015 tax return in which she failed to report $477,199 in income to the IRS.
As part of the plea agreement, Gilleland consented to the forfeiture of substantial assets, including a yacht, a Grand Lake condominium, financial account proceeds and vehicles. She further agreed to forfeit an additional $100,000. All of the forfeited proceeds will provide restitution for the victims.
U.S. District Judge John E. Dowdell will sentence Gilleland on December 11, 2018 at 10 a.m.; Gilleland could face up to 20 years in prison.
The Federal Bureau of Investigation and the Department of Treasury, Internal Revenue Service—Criminal Investigation Division investigated the case. Assistant U.S. Attorney Catherine J. Depew prosecuted the case.
Armed Career Criminal Sentenced to 15 Years in PrisonRead the Press Release
CHARLOTTE, N.C. – U.S. Attorney R. Andrew Murray announced that, late yesterday, Johnny Obrian Leach, 31, of Gastonia, N.C. was sentenced to 180 months in prison and three years of supervised release for possession of a firearm by a convicted felon. U.S. District Judge Robert J. Conrad, Jr. presided over the sentencing.
John A. Strong, Special Agent in Charge of the Federal Bureau of Investigation (FBI), Charlotte Division, and Chief Robert C. Helton of the Gastonia Police Department join U.S. Attorney Murray in making today’s announcement.
According to court documents and today’s sentencing hearing, on November 7, 2017, Leach possessed a loaded .22 caliber Walther pistol. Leach’s prior convictions, which include Assault with Deadly Weapon Inflicting Serious Injury on April 24, 2004; two counts of Robbery with Dangerous Weapon and two counts of First Degree Kidnapping on October 20, 2005; and two counts of Robbery with Dangerous Weapon on October 26, 2005, prohibit Leach from possessing firearms. At today’s sentencing hearing Leach received an enhanced sentence as an “Armed Career Criminal.”
Leach pleaded guilty to possession of a firearm by a convicted felon in February 2018. He is currently in federal custody and will be transferred to custody of the Federal Bureau of Prisons upon designation of a federal facility. Federal sentences are served without the possibility of parole.
In making today’s announcement U.S. Attorney Murray thanked the FBI and the Gastonia Police Department for their investigation of the case.
Assistant U.S. Attorney Steven R. Kaufman of the U.S. Attorney’s Office in Charlotte prosecuted the case.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. Attorney General Jeff Sessions reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.
Albuquerque Woman Pleads Guilty to Federal Production of Child Pornography ChargesRead the Press Release
ALBUQUERQUE – Danielle Glotfelty, 32, of Albuquerque, N.M., pleaded guilty this morning in federal court to a production of child pornography charge. Danielle Glotfelty entered the guilty plea under a plea agreement that recommends that she be sentenced to an 18-year term of imprisonment followed by at least five years of supervised release. Danielle Glotfelty also will be required to register as a sex offender after she completes her prison sentence.
The FBI charged Danielle Glotfelty in a criminal complaint filed on June 6, 2017, with producing child pornography in April 2014, in Bernalillo County, N.M. According to the complaint, the Albuquerque Police Department (APD) initiated an investigation into Danielle Glotfelty’s co-defendant Christopher Glotfelty, 36, also of Albuquerque, in May 2017, after receiving information and evidence supporting allegations that Christopher Glotfelty produced child pornography of himself engaging in sexual activity with two minor victims. The complaint alleged that images of child pornography were contained in four thumb drives, two memory sticks, and a camera that allegedly belonged to Christopher Glotfelty.
Danielle Glotfelty and Christopher Glotfelty subsequently were charged with child pornography offenses in a six-count indictment filed on July 11, 2017. The indictment charged Danielle Glotfelty and Christopher Glotfelty with producing child pornography on March 5, 2014. It also charged Christopher Glotfelty with producing child pornography on April 29, 2014, and possessing child pornography on two thumb drives and a memory stick within a camera on May 11, 2017. According to the indictment, the defendants committed the crimes in Bernalillo County.
During today’s proceedings, Danielle Glotfelty pled guilty to one count of producing child pornography. In entering the guilty plea, Danielle Glotfelty admitted that in March 2014 and April 2014, she aided and abetted Christopher Glotfelty in producing child pornography involving a seven-year-old child. Danielle Glotfelty’s plea agreement recommends that she serve her federal sentence concurrently with any prison sentence imposed in the state case in which she is being prosecuted on related state charges.
On July 25, 2018, Christopher Glotfelty pled guilty to one count of producing child pornography and one count of possessing child pornography. In entering the guilty plea, Christopher Glotfelty admitted that on March 5, 2014, he used a digital camera to produce child pornography of a seven-year-old child, and saved the video recording on a memory stick within the digital camera. Christopher Glotfelty also admitted that from 2014 through May 2017, he possessed a thumb drive that contained approximately 297 images and nine videos of child pornography. Under the terms of his plea agreement, Christopher Glotfelty will be sentenced to 25 years of imprisonment followed by 15 years of supervised release. Christopher Glotfelty will also be required to register as a sex offender after he completes his prison sentence.
Danielle Glotfelty and Christopher Glotfelty have been in federal custody since their arrests and will remain detained pending their sentencing hearing, which have yet to be scheduled.
This case was investigated by the Albuquerque office of the FBI and the APD. Assistant U.S. Attorney Jonathon M. Gerson 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/.
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.
Aberdeen Woman Sentenced in Methamphetamine ConspiracyRead the Press Release
United States Attorney Ron Parsons announced that an Aberdeen, South Dakota woman convicted for her participation in a conspiracy to distribute 50 grams or more of methamphetamine was sentenced on September 10, 2018, by U.S. District Judge Karen E. Schreier.
Maria Alexa Keuseman, a/k/a Maria Alexa Kebseman, age 27, was sentenced to 135 months in custody to be followed by 8 years of supervised release. She was also ordered to pay $100 to the Federal Crime Victims Fund. Keuseman was indicted for Conspiracy to Distribute a Controlled Substance by a federal grand jury on August 8, 2018. She pled guilty on June 11, 2018.
Keuseman and her co-conspirator, David Dwayne Leemhuis, purchased methamphetamine to distribute in Sioux Falls, South Dakota and elsewhere. On June 8, 2017, law enforcement executed a search warrant on Keuseman’s home in Sioux Falls and located approximately 60 grams of methamphetamine in a safe and approximately 16 grams of methamphetamine in her purse.
This case was investigated by the Sioux Falls Police Department, the Minnehaha County Sheriff’s Office, and the Drug Enforcement Administration. Assistant U.S. Attorney Jennifer D. Mammenga prosecuted the case.
Keuseman was immediately turned over to the custody of the U.S. Marshals Service.
Monday 10 September 2018
Youth Care Worker Convicted of Sexually Abusing Unaccompanied Minors in Southwest Key FacilityRead the Press Release
PHOENIX – On Sept. 7, 2018, a federal jury convicted Levian D. Pacheco, 25, of Phoenix, Ariz., of seven counts of abusive sexual contact with a ward and three counts of sexual abuse of a ward. U.S. District Judge Steven P. Logan presided over the seven-day trial. Sentencing is scheduled for Dec. 3, 2018.
"Ensuring the safety of all individuals held in federal custody is of utmost importance to this office," stated First Assistant U.S. Attorney Elizabeth A. Strange. "This verdict demonstrates our commitment to securing justice for the teenage boys the defendant abused and sends a message to others in positions of trust that these crimes will not be tolerated."
“We are committed to protecting the health and safety of children and holding accountable those who would sexually abuse these innocent victims,” said Special Agent in Charge Christian J. Schrank of the U.S. Department of Health and Human Services Office of Inspector General. “When individuals violate their positions of trust and harm children, we will ensure these criminals are brought to justice for their actions.”
Between August 2016 and July 2017, Pacheco sexually abused multiple minors at the Casa Kokopelli Southwest Key Facility in Mesa, Ariz. The minors were being held in official detention pending possible deportation. Pacheco was employed as a youth care worker at the facility and was in charge of supervising the minors. The jury convicted Pacheco of abusing seven teenage boys, some on more than one occasion.
The investigation in this case was conducted by the Department of Health and Human Services, Office of Inspector General, as well as the Mesa Police Department. The prosecution was handled by Dimitra H. Sampson and Tracy Van Buskirk, Assistant U.S. Attorneys, District of Arizona, Phoenix.
CASE NUMBER: CR-17-1152-PHX-SPL
RELEASE NUMBER: 2018-119_Pacheco
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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.
Wilmington Man Sentenced to 10 Years in Federal Prison for Dealing FentanylRead the Press Release
BOSTON – A Wilmington man was sentenced Friday, Sept. 7, 2018, in federal court in Boston for dealing fentanyl.
Bryan Moran, 35, was sentenced by U.S. District Court Judge Indira Talwani to 10 years in prison and eight years of supervised release. In May 2018, Moran pleaded guilty to possession with intent to distribute 40 grams or more of fentanyl.
In June 2016, Moran was arrested and charged after investigators seized approximately 80 grams of fentanyl from a storage unit in North Reading. Due to a 2003 conviction in federal court for heroin conspiracy, Moran faced a 10-year mandatory minimum sentence.
United States Attorney Andrew E. Lelling; Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration, New England Division; Wilmington Police Chief Michael Begonis; and North Reading Police Chief Michael Murphy made the announcement. Valuable assistance was provided by the Middlesex Sheriff’s Office. Assistant U.S. Attorney Katherine Ferguson of Lelling’s Narcotics and Money Laundering Unit prosecuted the case.
White River Man Indicted for Sexual Abuse ChargesRead the Press Release
United States Attorney Ron Parsons announced that a White River, South Dakota, man has been indicted by a federal grand jury for Aggravated Sexual Abuse of a Child.
Roger Moran, age 65, was indicted on August 14, 2018. He appeared before U.S. Magistrate Judge Mark A. Moreno on September 7, 2018, and pled not guilty to the Indictment.
The maximum penalty upon conviction is up to life in federal prison and/or a $250,000 fine, 5 years up to life of supervised release, and $100 to the Federal Crime Victims Fund. Restitution may also be ordered.
The Indictment alleges that between February 25, 2014 and August 23, 2018, Moran knowingly engaged in, and attempted to engage in, a sexual act with a minor female.
The charges are merely accusations and Moran is presumed innocent until and unless proven guilty.
The investigation is being conducted by the Federal Bureau of Investigation. Assistant U.S. Attorney Michael J. Elmore is prosecuting the case.
Moran was remanded to the custody of the U.S. Marshals Service pending trial. A trial date has not been set.
Warrant Issued for Dominican Woman Who Failed to Appear for Trial in Federal CourtRead the Press Release
BOSTON – A Dominican national failed to appear in federal court in Boston this morning for the first day of her trial; she was previously charged for her role in a widespread heroin and fentanyl conspiracy.
Isis Y Lugo-Guerrero, 46, a Dominican national residing in Dorchester, was arrested on Feb. 14, 2017, and charged with conspiracy to distribute and possess with intent to distribute heroin, fentanyl, and cocaine. On March 2, 2017, Lugo-Guerrero was released from custody on $10,000 unsecured bonds and additional conditions. The first day of her week-long trial was scheduled to begin today, but she failed to appear in court. U.S. District Court Judge Indira Talwani issued a warrant for Lugo-Guerrero’s arrest.
Lugo-Guerrero is the sister of Jose Antonio Lugo-Guerrero, the convicted leader of a Boston-based heroin and fentanyl trafficking organization. Isis Lugo-Guerrero is alleged to have conspired with her brother and others by regularly obtaining heroin and cocaine from him and by supplying him with substances to cut his drugs to make additional profit.
Jose Antonio Lugo-Guerrero pleaded guilty to one count of conspiracy to distribute and possess with intent to distribute more than one kilogram of heroin, more than 400 grams of fentanyl, and more than five kilograms of cocaine, and one count of possession of a firearm in furtherance of a drug trafficking crime. He faces a mandatory minimum sentence of 15 years and up to life in prison. He is scheduled to be sentenced on Nov. 27, 2018.
The charge of conspiring to distribute heroin, fentanyl, and cocaine provides for a sentence of no greater than 20 years in prison, a minimum of three years and up to a lifetime of supervised release, and a fine of up to $1 million. 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 made the announcement today. Assistant U.S. Attorney Ted Heinrich of Lelling’s Narcotics and Money Laundering Unit is prosecuting the case.
The details contained in the charging documents are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Virginia man sentenced for selling cocaineRead the Press Release
MARTINSBURG, WEST VIRGINIA – Marto Orantes, of Winchester, Virginia, was sentenced today to time served for cocaine distribution, United States Attorney Bill Powell announced.
Orantes, age 48, pled guilty to one count of “Distribution of Cocaine” in June 2018. Orantes admitted to selling cocaine in April 2016 in Hampshire County.
Assistant U.S. Attorneys Shawn M. Adkins and Lara K. Omps-Botteicher prosecuted the case on behalf of the government. The investigation was led by the Drug Enforcement Administration, the Federal Bureau of Investigation, Homeland Security Investigations, the Bureau of Alcohol, Tobacco, Firearms and Explosives, the United States Marshals Service, the Eastern Panhandle Drug & Violent Crimes Task Force, a HIDTA-funded initiative, the Potomac Highlands Drug & Violent Crimes Task Force, the Northwest Virginia Regional Drug & Gang Task Force , the West Virginia State Police, the Virginia State Police, the Berkeley County Sheriff’s Office, the Jefferson County Sheriff’s Office, the Mineral County Sheriff's Office, the Martinsburg Police Department, the Charles Town Police Department, the Keyser City Police Department, and the Ranson Police Department.
The investigation was funded in part by the federal Organized Crime Drug Enforcement Task Force Program (OCDETF). The OCDETF program supplies critical federal funding and coordination that allows federal and state agencies to work together to successfully identify, investigate, and prosecute major interstate and international drug trafficking organizations and other criminal enterprises.
Chief U.S. District Judge Gina M. Groh presided.
Union County, New Jersey, Man Sentenced to 121 Months in Prison for Conspiracy to Distribute More Than 140 Kilograms of Heroin and CocaineRead the Press Release
Defendant Also Assaulted Federal Officers
TRENTON, N.J. – A Union County, New Jersey man was sentenced today to 121 months in prison for his role in a conspiracy to distribute 140 kilograms of narcotics, and for assaulting two law enforcement officers, U.S. Attorney Craig Carpenito announced.
Siddeeq Q. Williams, 40, of Cranford, New Jersey, previously pleaded guilty before U.S. District Judge Brian R. Martinotti in Trenton federal court to an information charging him with one count of conspiracy to possess with intent to distribute more than one kilogram of heroin and five kilograms of cocaine. Williams also pleaded guilty to one count of assaulting federal officers.
According to documents filed in this case and statements made in court:
Williams, Gemal Singleton, 41, of Edison, New Jersey, and others arranged for cocaine and heroin to be shipped to New Jersey via tractor trailer. On Aug. 27, 2017, the tractor trailer arrived in New Jersey and law enforcement conducted a vehicle stop after the driver committed several traffic violations. A subsequent search of the tractor-trailer recovered five large duffle bags containing a total of 56 kilograms of heroin and 85 kilograms of cocaine. Singleton and Williams admitted that they were supposed to meet the tractor-trailer to collect the narcotics for eventual distribution.
On Aug. 30, 2017, law enforcement officers went to speak with Singleton and Williams. Williams admitted that when two law enforcement officers operating an undercover vehicle attempted to pull him over, he sped away in a Honda Pilot. Williams also admitted that during the ensuing pursuit, he rammed the Pilot into the officers’ vehicle and drove away.
In addition to the prison term, Judge Martinotti sentenced Williams to five years of supervised release.On July 10, 2018, Judge Martinotti sentenced Singleton to 10 years in prison and five years of supervised release.
U.S. Attorney Carpenito credited special agents with the Drug Enforcement Administration, under the direction of Special Agent in Charge Valerie A. Nickerson in Newark, with the investigation leading to today’s sentencing.
Defense counsel:
Williams: Jon Kearney Esq., Kearny, New Jersey
Singleton: Robert DeGroot Esq., NewarkU.S. Attorney's Office, FBI Prepared to Respond to Complaints of Election Fraud & Voting Rights AbusesRead the Press Release
PROVIDENCE - United States Attorney Stephen G. Dambruch announced today that Assistant United States Attorney (AUSA) Terrence P. Donnelly will lead the efforts of his Office in connection with the Justice Department’s Election Day Program for the upcoming September 12, 2018, Rhode Island primary. AUSA Donnelly has been appointed to serve as the District Election Officer (DEO) for the District of Rhode Island, and in that capacity is responsible for overseeing the District’s handling of complaints of election fraud and voting rights abuses in consultation with Justice Department Headquarters in Washington.
The Department of Justice has an important role in deterring election fraud and discrimination at the polls, and combating these violations whenever and wherever they occur. The Department’s long-standing Election Day Program furthers these goals, and also seeks to ensure public confidence in the integrity of the election process by providing local points of contact within the Department for the public to report possible election fraud and voting rights violations while the polls are open on Wednesday.
Federal law protects against such crimes as intimidating or bribing voters, buying and selling votes, impersonating voters, altering vote tallies, stuffing ballot boxes, and marking ballots for voters against their wishes or without their input. It also contains special protections for the rights of voters and provides that they can vote free from acts that intimidate or harass them. For example, actions of persons designed to interrupt or intimidate voters at polling places by questioning or challenging them, or by photographing or videotaping them, under the pretext that these are actions to uncover illegal voting may violate federal voting rights law. Further, federal law protects the right of voters to mark their own ballot or to be assisted by a person of their choice.
The franchise is the cornerstone of American democracy. We all must ensure that those who are entitled to the franchise exercise it if they choose, and that those who seek to corrupt it are brought to justice. In order to respond to complaints of election fraud or voting rights abuses on September 12, 2018, and to ensure that such complaints are directed to the appropriate authorities, United States Attorney Stephen G. Dambruch announced today that AUSA/DEO Donnelly will be on duty in this District while the polls are open. He can be reached by the public at (401) 709-5068.
In addition, the FBI will have special agents available to receive allegations of election fraud and other election abuses on Wednesday. The local FBI field office can be reached by the public at (401) 272-8310.
Complaints about possible violations of the federal voting rights laws can be made directly to the Civil Rights Division’s Voting Section in Washington, DC by phone at 1-800-253-3931 or (202) 307-2767, by fax at (202) 307-3961, by email to [email protected] or by complaint form at http://www.justice.gov/crt/complaint/votintake/index.php.
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