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14 August 2018
Felon from Artesia Pleads Guilty to Being a Felon in Possession of Firearms and AmmunitionRead the Press Release
ALBUQUERQUE – Martin O. Madrid, 29, of Artesia, N.M., pled guilty today in federal court in Las Cruces, N.M., to violating the federal firearms laws by unlawfully possessing firearms and ammunition. Madrid entered the guilty plea without the benefit of a plea agreement
Madrid, whose prior criminal history includes felony convictions for aggravated assault with a deadly weapon, child abuse, battery against a household member, extortion, possession of methamphetamine with intent to distribute, and being a felon in possession of a firearm, is being prosecuted as part of a federal anti-violence initiative that targets violent, repeat offenders for federal prosecution. Under this initiative, the U.S. Attorney’s Office and federal law enforcement agencies work with New Mexico’s District Attorneys and state, local and tribal law enforcement agencies to target violent or repeat offenders primarily based on their prior criminal convictions for federal prosecution offenders with the goal of making communities in New Mexico safer places for people to live and work.
Madrid was arrested on May 4, 2018, on a criminal complaint charging him with being a felon in possession of firearms and ammunition on April 18, 2018, in Eddy County, N.M. According to the complaint, law enforcement officers responded to a missing person call for service on April 18, 2018. During the search for the missing person, who was found in the company of Madrid, officers arrested Madrid on an outstanding arrest warrant. Officers seized a loaded firearm and ammunition from Madrid incident to his arrest.
Madrid was indicted on July 18, 2018, and was charged with being a felon in possession of a firearm and ammunition. Madrid was prohibited from possessing firearms or ammunition because of his status as a convicted felon.
At sentencing, Madrid faces a maximum penalty of ten years in federal prison. He remains in custody pending a sentencing hearing which has yet to be scheduled.
This case was investigated by the Las Cruces office of the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Eddy County Sheriff’s Office. Assistant U.S. Attorney Selesia L. Winston of the U.S. Attorney’s Las Cruces Branch Office is prosecuting the case.
Felon Stopped during Lawrence County Traffic Stop Admits Illegally Possessing HandgunRead the Press Release
PITTSBURGH, Pa. – A former resident of Sacramento, California, and Dayton, Ohio, has pleaded guilty in federal court in Pittsburgh to a violation of the federal firearms laws, United States Attorney Scott W. Brady announced today.
Timothy Anderson, age 27, pleaded guilty to one count before Senior United States District Judge Donetta W. Ambrose.
In connection with the guilty plea, the court was advised that on January 24, 2018, a Shenango Township Police Officer conducted a traffic stop of a vehicle that Anderson was driving in Lawrence County. A subsequent search of the vehicle revealed that Anderson, a convicted felon, was in possession of a silver and black Ruger P93CD 9mm semi-automatic handgun, with an extended magazine. Federal law prohibits an individual with a felony conviction from possessing a firearm.
Judge Ambrose scheduled sentencing for December 13, 2018, at 10 a.m. The law provides for a total maximum 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 offense and the prior criminal history of the defendant.
Pending sentencing, Judge Ambrose ordered that Anderson remain detained.
This case was brought as part of Project Safe Neighborhoods (PSN), a program that has been historically successful in bringing together all levels of law enforcement to reduce violent crime and make our neighborhoods safer for everyone. Attorney General Jeff Sessions has made turning the tide of rising violent crime in America a top priority. In October 2017, as part of a series of actions to address this crime trend, Attorney General Sessions announced the reinvigoration of PSN and directed all U.S. Attorney’s Offices to develop a district crime reduction strategy that incorporates the lessons learned since PSN launched in 2001.
Assistant United States Attorney Troy Rivetti is prosecuting this case on behalf of the government.
The Federal Bureau of Investigation, the Dayton, Ohio, Police Department, the Shenango Township Police Department, the Pennsylvania Office of the Attorney General – Bureau of Narcotics, the New Castle Police Department, and the Bureau of Alcohol, Tobacco, Firearms and Explosives conducted the investigation that led to the prosecution of Timothy Anderson.
Federal Grand Jury IndictmentsRead the Press Release
United States Attorney Sherri A. Lydon stated today that a Federal Grand Jury in Greenville, South Carolina, returned Indictments against the following:
Piedmont Man Indicted on Bank Robbery Charge. Brandon Laster, age 36, of Piedmont, South Carolina, was charged in a one-count indictment with bank robbery, a violation of Title 18, United States Code, Section 2113(a). The maximum penalty Laster could face is twenty (20) years imprisonment and/or a fine of $250,000.00. The case was investigated by agents of the Federal Bureau of Investigations and the Greenville Police Department and is being prosecuted by Assistant United States Attorney Jeanne Howard of the Greenville office.
Six Illegal Aliens Charged with Misuse of Social Security Number. Julio Cesar Rojas Vasquez, Fredin Orlando Cordon-Gonzalez, and Josue Eduardo Maas-Aparico, all of Guatemala, and Luis Alberto Isaguirre-Cortes, Jose Santos Martinez, and Noe De La Cruz Galvez-Munguia, all of Honduras, were each charged in separate indictments with Misuse of Social Security Number, a violation of Title 42, United States Code, Section 408(a)(7)(B). The maximum penalty each defendant could receive is a fine of $250,000.00 and/or five (5) years imprisonment. The case was investigated by agents of ICE-Homeland Security Investigations and the Department of Labor and is assigned to Assistant United States Attorney David C. Stephens of the Greenville office for prosecution.
The United States Attorney stated that all charges in these indictments are merely accusations and that all defendants are presumed innocent until and unless proven guilty.
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Federal Court Bars Florida Tax Return Preparer and his Business from Preparing Tax Returns and Orders Them to Disgorge Ill-Gotten GainsRead the Press Release
A federal court in Orlando, Florida entered a permanent injunction against Herve Erilus and Herve Erilus, LLC, barring them from preparing federal tax returns for others and owning or operating a tax preparation business, the Justice Department announced today. The court also ordered that Herve Erilus and Herve Erilus, LLC disgorge $107,895.34, representing the ill-gotten gains that they received for the preparation of tax returns. The order was signed by Judge John Antoon II of the U.S. District Court for the Middle District of Florida.
The Earned Income Tax Credit (EITC) is a refundable tax credit available to certain low-income working people. In this case, the court found that Erilus and Herve Erilus LLC, an entity through which Erilus owns and operates a tax preparation store doing business as Travelers Tax Center, prepared tax returns that included fraudulent claims for the EITC, often based on bogus dependents, fabricated business income and expenses, and/or false filing status. The court also determined that Erilus and Herve Erilus LLC systematically and repeatedly prepared tax returns that falsely claimed: (1) education credits and (2) self-employed business income and/or expenses. The court concluded that injunctive relief and an order requiring that Erilus and Herve Erilus LLC disgorge the ill-gotten gains that they received for the preparation of tax returns making such false claims was appropriate.
The IRS has a list of steps on its website that you can take and ten tips for choosing a tax preparer. Each year, the IRS releases the top 12 scams, known as the Dirty Dozen. Return preparer fraud is one of the IRS’s Dirty Dozen Tax Scams for 2018, and taxpayers seeking a return preparer should remain vigilant. The IRS has some information on its website for choosing a return preparer and has launched a free directory of federal tax preparers.
In the past decade, the Tax Division has obtained injunctions against hundreds of unscrupulous tax preparers. Information about these cases is available on the Justice Department’s website. An alphabetical listing of persons enjoined from preparing returns and promoting tax schemes can be found on this page. If you believe that one of the enjoined persons or businesses may be violating an injunction, please contact the Tax Division at [email protected] with details.
Facebook Threats Lead to Felony Conviction for Fairhope ManRead the Press Release
United States Attorney Richard W. Moore of the Southern District of Alabama announces that United States District Court Judge William H. Steele sentenced Matthew Dean Adams on August 14, 2018 to time served since his incarceration on February 22, 2018 for participating in interstate threatening communications. Adams was ordered to have no contact with his victims and must successfully complete 3 years of supervised release.
Adams pled guilty to making interstate threatening communications on May 15, 2018. As part of his guilty plea, Adams admitted that on January 25, 2018, Adams contacted the husband of his ex-girlfriend, who was in Orange Beach, Alabama, both via phone and through a series of messages on Facebook Messenger, threatening to kill him and his son. Adams stated, “I’m coming brother, say goodbye to your [son]...” He also continued to harass and threaten the individual, at one point sending a message that included a photo of Adams holding an assault rifle.
Law Enforcement was able to confirm that Adams was outside of Alabama when he sent the threatening messages to his victims within the state.
The Orange Beach Police Department and the Federal Bureau of Investigation investigated this case. Assistant United States Attorneys Sean Costello and Christopher Baugh prosecuted the case for the United States Attorney’s Office for the Southern District of Alabama.
ER Nurse Who Stole Patient Pain Medications Pleads GuiltyRead the Press Release
A registered nurse who used patient identities to steal hydrocodone pain pills while employed in a hospital emergency room pled guilty August 13, 2018, in federal court in Cedar Rapids.
James Allen Moorehead, age 58, from Mason City, Iowa, pled guilty to one count of acquiring a controlled substance by misrepresentation, fraud, deception, or subterfuge, one count of false statements relating to health care matters, and one count of aggravated identity theft.
In a plea agreement, Moorehead admitted that, while employed at Franklin General Hospital in Hampton, Iowa, as a registered nurse in 2016 and 2017, he used patient identities to obtain controlled substances, specifically pills containing hydrocodone, by accessing their prescribed medication in the hospital’s system, and diverting those pain pills to himself. Moorehead concealed his scheme by falsely representing in medical records that the medications were actually administered to the patients and by giving his patients Tylenol instead of their prescribed medications. As a result of Moorehead’s subterfuge and diversion of their mediation, multiple patients reported increased pain during Moorehead’s shifts.
Moorehead had previously surrendered his nursing license under a 2008 Iowa Board of Nursing agreement, after having been terminated from North Iowa Mercy Health Center and Genesis Health Center for stealing opioids. Moorehead recovered his nursing license in June 2011 and had been working at Franklin General Hospital since March 2012 until he was terminated in March 2017.
Sentencing before United States District Court Judge Linda R. Reade will be set after a presentence report is prepared. Moorehead remains free on bond previously set pending sentencing. Moorehead faces a mandatory minimum sentence of two years’ imprisonment and a possible maximum sentence of eleven years’ imprisonment, a $750,000 fine, and five years of supervised release following any imprisonment
The case is being prosecuted by Assistant United States Attorney Lyndie M. Freeman and was investigated by the Iowa Medicaid Fraud Control Unit. Court file information at https://ecf.iand.uscourts.gov/. The case file number is 18-CR-3021.
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Dubuque Man Pleads Guilty to Unlawfully Possessing Firearm as a Drug UserRead the Press Release
A man who possessed a .357 Magnum revolver as an unlawful user of marijuana pled guilty August 13, 2018, in federal court in Cedar Rapids.
Javontae Ernie Grisson, age 22, from Dubuque, Iowa, was convicted of possession of a firearm by a drug user.
A criminal complaint previously filed alleged that on May 17, 2018, police investigators executed a search warrant at Grisson’s apartment in Dubuque. During the search, investigators found drug paraphernalia and marijuana strewn throughout the apartment. Investigators found a .357 Magnum revolver with ammunition on Grisson’s bed.
Sentencing before United States District Court Judge Linda R. Reade will be set after a presentence report is prepared. Grisson remains released on previously set court conditions pending sentencing. He faces a possible maximum sentence of 10 years’ imprisonment, a $250,000 fine, and up to three years of supervised release following any imprisonment.
This case was brought as part of Project Safe Neighborhoods (PSN), a program that has been historically successful in bringing together all levels of law enforcement to reduce violent crime and make our neighborhoods safer for everyone. Attorney General Jeff Sessions has made turning the tide of rising violent crime in America a top priority. In October 2017, as part of a series of actions to address this crime trend, Attorney General Sessions announced the reinvigoration of PSN and directed all U.S. Attorney’s Offices to develop a district crime reduction strategy that incorporates the lessons learned since PSN launched in 2001.
The case is being prosecuted by Special Assistant United States Attorney Drew O. Inman and was investigated by the Dubuque Drug Task Force, Dubuque Police Department, Dubuque County Sheriff’s Office, Federal Bureau of Investigation, and the Bureau of Alcohol, Tobacco, Firearms and Explosives.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 18-CR-1026-LRR.
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Drug Traffickers Convicted for Transporting Pounds of Methamphetamine from the Southwest into IowaRead the Press Release
A man and woman who trafficked massive quantities of ice methamphetamine into Iowa have pled guilty in federal court in Cedar Rapids.
Marty Brian Robbins, age 55, of Marion, Iowa, was convicted of conspiracy to distribute methamphetamine. Robbins’ co-defendant, Valerie Lee Kupka, age 42, of Clutier, Iowa, had previously been convicted of conspiracy to distribute methamphetamine on August 10, 2018.
Robbins’ plea agreement and evidence from previous court hearings showed that starting in April 2017, Robbins obtained large shipments of ice methamphetamine from sources in the Southwest United States. He then transported the methamphetamine to Iowa in a trailer. Kupka assisted Robbins in selling the methamphetamine in Iowa.
In the late evening of April 20, 2018, police investigators conducted surveillance on Robbins while he was at a storage facility in Cedar Rapids. Investigators saw Robbins and others unload boxes of suspected methamphetamine from Robbins’ trailer. After executing several search warrants on Robbins’ truck, trailer, and other cars, police investigators recovered approximately nine pounds of ice methamphetamine. Investigators also recovered a total of $57,122 in cash proceeds of methamphetamine sales during their investigation into Robbins and Kupka.
On May 26, 2018, Robbins and Kupka were arrested on federal warrants while entering Nogales, Arizona, from Mexico at the Nogales-Grand Avenue Port of Entry.
Sentencing before United States District Court Judge Linda R. Reade will be set after a presentence report is prepared. Robbins remains in custody of the United States Marshal pending sentencing. Robbins faces a mandatory minimum sentence of 10 years’ imprisonment and a possible maximum sentence of life imprisonment without the possibility of parole, a $10,000,000 fine, and at least five years of supervised release following any imprisonment.
The case is being prosecuted by Special Assistant United States Attorney Drew O. Inman and was investigated by the Johnson County Task Force, Iowa Division of Narcotics Enforcement, Drug Enforcement Administration, Cedar Rapids Police Department, Cerro Gordo Sheriff’s Office, Tama County Sheriff’s Office, Iowa State Patrol, and Marion Police Department.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 18-CR-62-LRR.
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Dominican National Sentenced for Illegal Reentry After DeportationRead the Press Release
BOSTON - A Dominican national was sentenced today in federal court in Boston for illegally reentering the United States after being deported.
Sandy Saul Pena, 36, was sentenced by U.S. Senior District Court Judge Douglas P. Woodlock to 27 months in prison and three years of supervised release. Saul Pena will be subject to deportation proceedings upon completion of his sentence. In May 2018, Saul Pena pleaded guilty to one count of illegal reentry of a deported alien.
In December 2016, federal law enforcement in Boston encountered Pena and determined him to be illegally present in the United States. Pena was previously deported in February 2012. On Dec. 13, 2016, Pena was arrested in Boston and charged with trafficking a Class A controlled substance. He is being held on $200,000 bail awaiting trial in state court on the drug charges. Pena’s federal sentence will not begin until his state case is resolved.
United States Attorney Andrew E. Lelling and Rebecca J. Adducci, Interim Field Office Director, Boston, U.S. Immigration and Customs Enforcement’s Enforcement and Removal Operations, made the announcement today. Assistant U.S. Attorney David G. Tobin of Lelling’s Major Crimes Unit prosecuted the case.
District Man and Woman Sentenced to Prison Terms for Roles in Regional Drug Trafficking OrganizationRead the Press Release
WASHINGTON – Steven Mason, 48, and Andrea Miller, 49, both of Washington, D.C., have been sentenced to prison terms for their roles in a narcotics trafficking organization that imported and distributed heroin and other drugs into the Washington, D.C. area.
The announcement was made by U.S. Attorney Jessie K. Liu; Patrick J. Lechleitner, Special Agent in Charge of U.S. Immigration and Customs Enforcement’s Homeland Security Investigations, Washington, D.C.; Eric Shen, Acting Inspector in Charge, Washington Division, U.S. Postal Inspection Service, and Peter Newsham, Chief of the Metropolitan Police Department (MPD).
Mason and Miller were found guilty by a jury in March 2018, following a trial in the U.S. District Court for the District of Columbia. Both defendants were found guilty of conspiracy to distribute and possession with intent to distribute 100 grams or more of heroin and a quantity of alprazolam. Miller also was found guilty of conspiracy to import 100 grams or more of heroin and a quantity of alprazolam from a foreign country.
The Honorable Tanya S. Chutkan sentenced Mason today to a five-year prison term, to be followed by four years of supervised release. Judge Chutkan sentenced Miller on June 27, 2018, to a 15-month prison term, to be followed by three years of supervised release. While they are on supervised release, both defendants will be required to perform 100 hours of community service.
Mason and Miller were among a total of 14 defendants indicted in May 2016 following a long-term investigation into a drug trafficking organization with sources of supply in Nigeria and distribution points in Washington, D.C. and Maryland. Eleven others have been convicted of drug trafficking charges and one defendant remains a fugitive.
According to the government’s evidence, between August 2014 and June 2016, Miller conspired to import packages of narcotics into the United States from various countries in Africa, and, Miller and Mason, together with their co-conspirators, conspired to distribute the narcotics throughout the Washington D.C. region.
The drug operation misused the United States Postal Service and the commercial shipping industry to illegally import into the United States and then redistribute significant quantities of drugs, primarily heroin, within the District of Columbia and the greater Washington, D.C., metropolitan area.
For purposes of this criminal activity, the international packages had the controlled substances hidden or secreted within certain items or clothing located inside the packages, and the packages were addressed and emanated from foreign countries, such as India, and listed fictitious names for addresses or locations within the Washington, D.C., area. Higher-level participants in the drug network would either wait for the packages to be delivered to certain addresses by the Postal Service or another commercial shipping business, or these same conspirators would use various civilians to accept packages containing drugs in the mail at their residences or other locations for cash or illegal drugs.
Significant quantities of the heroin were re-distributed in the 11th and H Street NE, Fourth Street and Florida Avenue NE, and 19th and Benning Road NE areas of the District of Columbia, and other locations in the District of Columbia and Maryland.
This case was investigated by Homeland Security Investigations and the Customs and Border Protection Agency of the Department of Homeland Security, the United States Postal Inspection Service and the Metropolitan Police Department. The prosecution was sponsored and supported by the federal Organized Crime Drug Enforcement Task Force (OCDETF).
The case was prosecuted by Assistant U.S. Attorney Kenneth F. Whitted and former Assistant U.S. Attorney Jamila Hodge of the Violent Crime and Narcotics Trafficking Section, and Assistant U.S. Attorney Thomas Swanton of the Asset Forfeiture and Money Laundering Section of the U.S. Attorney’s Office for the District of Columbia. Assistance was provided by Paralegal Specialists Candace Battle, Catherine O’Neal, Teesha Tobias, and Mary Downing; Legal Assistants Peter Gaboton and Katie Cowley; Litigation Technology Specialists Ron Royal, Kimberly Smith, and Anisha Bhatia, and Intern Mallory Kruper.
District Man Pleads Guilty to July 4, 2018 Robbery of Northwest Washington Sandwich ShopRead the Press Release
WASHINGTON – Deantre Cole, 25, of Washington, D.C., pled guilty today to charges of robbery and unlawful possession of a firearm stemming from the July 4, 2018 robbery of a sandwich restaurant in Northwest Washington, announced U.S. Attorney Jessie K. Liu.
Cole pled guilty to the charges in the Superior Court of the District of Columbia. He is to be sentenced on Oct. 26, 2018, by the Honorable Kimberly S. Knowles.
According to the government’s evidence, on the Fourth of July, at approximately 12:45 pm., Cole came into the Jimmy John’s restaurant in the 4400 block of Wisconsin Avenue NW, looked around, and spoke to a manager. He told the manager that he used to work at the Pennsylvania Avenue branch of the restaurant and left the store without incident. Twenty minutes later, he and an unknown accomplice came back into the store masked.
As soon as they entered into the store, Cole who was wearing brass knuckles, rushed the store manager and punched him in the face. Cole’s accomplice who was wielding a gun, pointed the gun at the store manager and forced him to the floor. Two other employees ran into the freezer to hide. Cole went after them and dragged one of the employees back into the front of the store. He forced the employee to open the register and remove the till. Cole grabbed all the cash in the till, and he and his accomplice then hurriedly exited the store.
A law enforcement investigation led to Cole’s apprehension on July 18, 2018. He has been in custody since his arrest.
In announcing the plea, U.S. Attorney Liu commended the work of those who investigated the case from the Metropolitan Police Department. She also acknowledged the efforts of Assistant U.S. Attorney Nurudeen Elias, who investigated and prosecuted the case, with assistance from Assistant U.S. Attorney Veronica Sanchez.
District Man Found Guilty of Felony Assault Charges for Striking His Brother-In-Law in the Head with a Lug WrenchRead the Press Release
WASHINGTON – Keith Johnson, 48, of Washington, D.C., has been found guilty by a jury of charges of assault with a dangerous weapon and assault with significant bodily injury while armed for attacking his brother-in-law, announced U.S. Attorney Jessie K. Liu.
The verdict was returned on Aug. 13, 2018, followed a two-week trial in the Superior Court of the District of Columbia. The Honorable José M. López scheduled sentencing for Nov. 9, 2018.
According to the government’s evidence, in the early morning hours of Jan. 10, 2018, Johnson’s wife was visiting her sister and brother-in-law, in the 4300 block of Wheeler Road SE. Johnson went to the residence to take his wife home. When his wife refused to leave with him, Johnson became irate. The brother-in-law, 56, intervened and asked Johnson to leave.
A fight ensued, which culminated in Johnson pulling his brother-in-law by his ankles down two flights of stairs. With his brother-in-law in and out of consciousness at the bottom of the stairs, Johnson went to his car, retrieved a steel lug wrench, and returned to strike him over the head with the lug wrench. He hit him with such force that the lug wrench broke into two pieces. Johnson fled and was arrested during a traffic stop a few minutes later. His brother-in-law suffered a 4 ½-inch gash across the top of his head, which required surgical staples to close.
Johnson, who was in custody pending trial, remains held pending the sentencing.
In announcing the verdict, U.S. Attorney Liu commended the work of those who investigated the case from the Metropolitan Police Department. She also acknowledged the efforts of those who worked on the case from the U.S. Attorney’s Office, including Assistant U.S. Attorneys Louis Manzo and Kristina Wolf; Appellate Division Deputy Chief Nicholas Coleman; Victim/Witness Advocate Elsa Maltese; Michael Ambrosino, Special Counsel for DNA and Forensic Evidence Litigation; Forensic Operation/Program Specialist Benjamin Kagan-Guthrie; Litigation Technology Supervisor Jeanie Latimore-Brown; Paralegal Specialists Tiffany Jones and Brenda Williams; Criminal Investigator Tommy Miller, and Interns Megan Hughes, Alexa Perlmutter, and Jill Rogowski.
Finally, she commended the work of Assistant U.S. Attorneys Jennifer B. Loeb and Amy Joy Thomas, who prosecuted the case at trial.
Dark Web Vendor Sentenced to 7 Years in Federal Prison for Conspiracy to Distribute Heroin, Cocaine, and BuprenorphineRead the Press Release
Greenbelt, Maryland – On August 13, 2018, U.S. District Judge Deborah K. Chasanow sentenced Cory Nicholas Skinner, age 33, of Pikesville, Maryland, to seven years in prison, followed by four years of supervised release, for conspiracy to distribute and possess with intent to distribute 100 grams of more of heroin as well as quantities of cocaine and buprenorphine.
The sentence was announced by United States Attorney for the District of Maryland Robert K. Hur; and Postal Inspector in Charge Eric Shen of the United States Postal Inspection Service’s Washington Division.
According to his plea agreement, while investigating the death of a University of Arkansas police officer, a detective with the Conway (Arkansas) Police Department found an opened Priority Mail package shipped from Baltimore, Maryland, under the decedent’s head (the “Arkansas package”).
During the investigation of the Arkansas package, Postal Inspectors identified two other Priority Mail packages purchased in the same transaction and destined for addresses in North Carolina (the “North Carolina package”) and Arizona (the “Arizona package”), that were related to the Arkansas package. The recipient of the North Carolina package told investigators that he used Bitcoin to purchase heroin from DoggFood, an online vendor on the dark web. The North Carolina package contained approximately 2.8 grams of heroin, and the Arizona package contained approximately four buprenorphine units. Fingerprints found on both packages belonged to Skinner.
During their surveillance of Skinner between September 2017 and January 2018, Postal Inspectors intercepted over 20 packages containing a total of approximately 47.5 grams of heroin and 81 buprenorphine units that Skinner sent through the United States mail. Additionally, Postal Inspectors discovered that Skinner did not act alone to distribute controlled substances through the mail. Instead, Skinner used individuals that he knew were unusually vulnerable due to a physical or mental condition to drop off packages containing heroin and cocaine at Baltimore post offices in July 2017 and August 2017, respectively.
By January 2018, Skinner had sold approximately 290.5 grams of heroin, 97.5 grams of cocaine, and 216 units of buprenorphine as the dark web vendor DoggFood.
When officers searched Skinner’s residence, they found the laptop he used to run the dark web vendor DoggFood, printed labels, approximately $6,600 in cash, plastic baggies, a digital scale, heat and bag sealers, a large amount of Priority Mail and Priority Mail Express shipping supplies, $23.75 in postal stamps, a loaded Smith & Wesson 9mm firearm, and 12 rounds of Luger 9mm ammunition.
United States Attorney Robert K. Hur commended the United States Postal Inspection Service’s Washington Division, which led the investigation, and the Postal Inspectors in other field divisions that provided assistance—including the Charlotte, San Francisco, Seattle, and Phoenix Divisions, as well as the Fort Worth Division - Little Rock Domicile, and the National Headquarters Cyber Crimes Unit—for their work in the investigation. Mr. Hur recognized the Conway (Arkansas) Police Department; the Brunswick County (North Carolina) Sheriff’s Office; the Baltimore County Police Department; the Maryland State Police; and the Drug Enforcement Administration’s Baltimore and Raleigh Field Offices for their contributions in the investigation. Mr. Hur thanked Assistant U.S. Attorney Samika N. Boyd, who prosecuted the case.
Colombia’s Former National Director of Anti-Corruption and a Foreign Attorney Plead Guilty to Participating in a Conspiracy to Launder Money in Order to Promote Foreign BriberyRead the Press Release
The former National Director of Anti-Corruption in Colombia and a foreign attorney pled guilty today in federal court in Miami for their participation in a conspiracy to launder money with the intent to promote foreign bribery.
Benjamin G. Greenberg, Acting United States Attorney for the Southern District of Florida and Adolphus P. Wright, Special Agent in Charge, United States Drug Enforcement Administration (DEA), Miami Field Division, made the announcement.
Luis Gustavo Moreno Rivera, 35, the former National Director of Anti-Corruption in Colombia and Leonardo Luis Pinilla Gomez, 31, an attorney practicing in Colombia, pled guilty to conspiracy to launder money in order to promote foreign bribery. The defendants entered their guilty pleas before U.S. District Judge Ursula Ungaro in Miami. Moreno and Pinilla are scheduled to be sentenced by Judge Ungaro on November 19, 2018 at 11:00 a.m.
According to the court docket, including the agreed upon factual proffer, beginning in November 2016, in Colombia, a cooperating source of information (CS) was approached by Moreno and Pinilla who attempted to entice a bribe from the CS. Specifically, in exchange for 100 million Colombian pesos (the equivalent of approximately $34,500 US), Moreno and Pinilla offered to give the CS copies of sworn statements taken from cooperators who had testified against the CS. In June 2017, Moreno and Pinilla traveled to Miami, Florida and met with the CS who, under the direction of the DEA, provided Moreno and Pinilla with a $10,000 deposit of the bribe money. Recorded conversations revealed that Moreno and Pinilla discussed Moreno’s ability to control the investigation into the CS and that Moreno could inundate his prosecutors with work so that they would be unable to focus on the CS’s investigation. In exchange, Moreno and Pinilla were asking for a 400 million Colombian peso payment (the equivalent of approximately $132,000 US), with an additional $30,000 to be paid prior to Moreno leaving the United States.
Several of the $100 bills, from the $10,000 paid to Moreno and Pinilla, were found on Moreno and his traveling companion as they boarded their flight back to Bogota, Colombia from Miami. Both Moreno and Pinilla were arrested in Colombia pursuant to an Interpol Red Notice.
This investigation and prosecution was carried out by members of the South Florida High Intensity Drug Trafficking Area (HIDTA) Task Force. The South Florida HIDTA, established in 1990, is made up of federal, state and local law enforcement agencies who, cooperatively, target the region’s drug-trafficking and money laundering organizations. The South Florida HIDTA is funded by the Office of National Drug Control Policy, which sponsors a variety of initiatives focused on the nation’s illicit drug trafficking threats.
Mr. Greenberg commends the DEA for their investigative assistance with this case. Mr. Greenberg also thanked the Criminal Division’s Office of International Affairs and Office of Judicial Attache in Colombia along with the DEA Bogota Country Office; the Internal Revenue Service, Criminal Investigations (IRS-CI), Miami Field Office and Attache Office in Colombia; U.S. Immigration and Customs Enforcement, Homeland Security Investigations (ICE-HSI), Miami Field Office and Attache Office in Colombia; U.S. Customs and Border Protection, Miami Office of Field Operations; and Federal Bureau of Investigation (FBI), Legal Attache Office in Colombia, for their assistance in this matter. Assistant U.S. Attorneys Juan Antonio Gonzalez and Lynn M. Kirkpatrick of the International Narcotics and Money Laundering Section in the Southern District of Florida are prosecuting the case.
The U.S. Attorney’s Office and our federal partners commend the Attorney General of Colombia and the Cuerpo Tecnico de Investigacion (CTI) for their cooperative efforts in this investigation.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.
Clarke County Man Sentenced to More Than 21 Years on Child Pornography ChargesRead the Press Release
United States Attorney Richard W. Moore of the Southern District of Alabama announces that Vincent Logan Baugh, age 28, of Grove Hill, Alabama was sentenced today after earlier pleading guilty to two counts charging violations of 18 USC Section 2252A(a)(2), Receipt of Child Pornography, two counts charging violations of 18 USC Section 2251(a), Production of Child Pornography, and one count charging 18 USC 2252A, Possession of Child Pornography.
A young girl reported to the Clarke County Sheriff’s Office that Baugh had coerced her into sexual activity when she was twelve years old. After an investigation, the Federal Bureau of Investigation and Clarke County Sheriff’s Office obtained a search warrant for Baugh’s electronic devices. A forensic examination revealed that Baugh had demanded and received pornographic images from three young girls. In addition, he had approximately 250 images of child pornography which he had downloaded from the internet.At sentencing, the United States argued that the defendant had downloaded images that included infants. Also, he had caused trauma to three young girls. United States District Judge William Steele found that because of the nature and seriousness of the crimes, a high sentence was appropriate and ordered that he be imprisoned for 262 months, followed by a lifetime of supervised release.
This case was investigated by the Clarke County Sheriff’s Department and the Federal Bureau of Investigation.
Chicago Woman Sentenced for Role in Airplane Loan ScamRead the Press Release
BOSTON – A Chicago woman was sentenced today in federal court in Worcester for her role in a fraudulent airplane loan scheme.
Latoya Monique James, 38, was sentenced by U.S. District Court Judge Timothy S. Hillman to time served (approximately one week) and three years of supervised release, with the first year to be served in home confinement. In March 2017, James pleaded guilty to one count of conspiracy to commit bank fraud and one count of conspiracy to commit money laundering. James and two co-conspirators, Ryan Miller and Dusten James Miller, were indicted in June 2016.
From March 2013 through March 2016, the Miller brothers engaged in a scheme to defraud banks by obtaining loans purportedly to finance the purchase of recreational airplanes. Using stolen identities, the brothers posed as both the buyers and the sellers of airplanes; they submitted fraudulent loan applications to the banks and provided the banks with false and fraudulent documents in support of those applications, including false tax returns, bank statements, driver’s licenses, and Social Security cards.
Once the loans were approved, the brothers arranged for the loan documents to be sent either electronically to an email address they created or to a physical address they rented. The Millers signed and notarized the loan documents—either using fake licenses as identification or forged notary stamps. The brothers instructed the banks to wire the funds to bank accounts opened at various banks in the name of fraudulent companies that the brothers had incorporated. Once the funds were wired to those accounts, the brothers quickly withdrew the stolen funds, and used those funds, in part, to rent high-end residences in the United States and Dominican Republic and to purchase expensive vehicles, jewelry and other luxury items.
James was engaged in a relationship with Dusten James Miller throughout much of the relevant period. James participated in the conspiracies to defraud the banks and launder the stolen funds by impersonating an individual whose identity had been stolen, by opening multiple bank accounts into which the stolen funds were wired, and by contacting banks to inquire about financing and/or the loan application process.
In February 2018, a federal jury convicted the Miller brothers of one count of conspiracy to commit bank fraud, one count of conspiracy to commit money laundering, and one count of conspiracy to commit identity theft. Ryan Miller was also convicted of one count of bank fraud, one count of money laundering, and one count of aggravated identity theft. In June 2018, Ryan Miller was sentenced to 15 years in prison and Dusten James Miller was sentenced to 12 years in prison.
United States Attorney Andrew E. Lelling; Harold H. Shaw, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; and Thomas J. Ullom, Special Agent in Charge of the Chicago Regional Office, U.S. Department of Transportation, Office of Inspector General, made the announcement. Assistant U.S. Attorneys Karin M. Bell and Greg A. Friedholm of Lelling’s Worcester Branch Office prosecuted the case.
Charlotte Man Sentenced to More Than Three Years in Connection with Fraudulent Shipping Services SchemeRead the Press Release
CHARLOTTE, N.C. – Today, Ernest Keith. 51, of Charlotte, was sentenced by U.S. District Judge Max O. Cogburn, Jr. to 41 months in prison and two years of supervised release in connection with a fraudulent shipping services scheme, announced Andrew Murray, U.S. Attorney for the Western District of North Carolina. Judge Cogburn also ordered the defendant to pay restitution totaling $721,707.37.
David M. McGinnis, Inspector in Charge of the Charlotte Division of the U.S. Postal Inspection Service, joins U.S. Attorney Murray in making today’s announcement.
According to filed documents and statements made in court, Keith executed a mail fraud scheme that defrauded FedEx Corporation (“FedEx”) and individuals throughout the United States, by purportedly offering shipping services to customers at reduced prices. Court records show that, from February 2012 to March 2016, Keith used multiple addresses in and around Charlotte to create FedEx Freight shipping accounts for various sham companies. Keith then solicited customers via the internet, and induced them to use his purported shipping services at a reduced cost. Customers paid Keith for the purported shipping services via various money transmitting services, including but not limited to, Western Union, Moneygram, and Paypal. Using the fraudulent FedEx Freight accounts he had created for his sham companies, Keith arranged to have the customers’ shipments picked up by FedEx, but instead of paying FedEx for their shipping services, Keith kept the customers’ money.
Court records show that when FedEx began holding shipments it identified as associated with Keith’s sham companies, Keith purported to make payments via telephone, which were later rejected by the bank due to insufficient funds. Court records show that, after Keith’s scheme began to unravel and he was no longer able to use companies, accounts, or addresses associated with him, Keith fraudulently arranged shipments using the name and/or billing address of an existing FedEx Freight customer, which had no affiliation with Keith or the shipper, resulting in the invoices being erroneously sent to that unaffiliated company.
Court records show that Keith induced approximately 200 individuals to use his purported shipping services to arrange for more than 390 shipments. Keith also used more than 20 different FedEx accounts he created to facilitate his shipping services scheme, as well as multiple accounts associated with unrelated third parties, resulting in a loss of more than $680,000.
Keith is currently in custody and will be transferred to the custody of the federal Bureau of Prisons to begin serving his sentence upon designation of a federal facility. All federal sentences are served without the possibility of parole.
In making today’s announcement, U.S. Attorney Murray thanks USPIS for their investigation of this case.
Assistant United States Attorneys Jenny G. Sugar and Maria Vento, of the U.S. Attorney’s Office in Charlotte, prosecuted the case.
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California Man Pleads Guilty to Conspiring to Violate U.S. Sanctions Against SyriaRead the Press Release
Rasheed Al Jijakli, 57, a Syrian-born naturalized U.S. citizen of Walnut, California, pleaded guilty yesterday to a charge of conspiring to export U.S.-origin tactical gear to Syria in violation of the International Emergency Economic Powers Act and Syria Sanctions. Jijakli’s guilty plea was accepted by United States District Judge James V. Selna of the United States District Court for the Central District of California.
The guilty plea was announced by Assistant Attorney General for National Security John C. Demers, U.S. Attorney Nicola T. Hanna of the Central District of California, Assistant Director in Charge Paul D. Delacourt of the FBI’s Los Angeles Division, and Special Agent in Charge Richard Weir of the U.S. Department of Commerce’s Office of Export Enforcement Los Angeles Field Office.
In the factual basis filed as part of the plea agreement, Jijakli admitted that from April 2012 through March 2013, he conspired with other individuals to export tactical gear, including U.S.-origin laser boresighters, day and night vision rifle scopes, and other items (Tactical Gear) from the United States to Syria. From June through July 2012, Jijakli and one of the co-conspirators (Co-conspirator 1) purchased the Tactical Gear. On July 17, 2012, Jijakli traveled from Los Angeles, California to Istanbul, Turkey with the Tactical Gear, with the intent that it would be provided to Syrian rebels training in Turkey and fighting in Syria. Jijakli provided some of the Tactical Gear, specifically the laser boresighters, to a second co-conspirator who Jijakli learned was a member of Ahrar Al-Sham. Jijakli also provided the goods to other armed Syrian insurgent groups in Syria and Turkey. In total, Jijakli and co-conspirators knowingly provided at least 43 laser boresighters, 85 day rifle scopes, 30 night vision rifle scopes, tactical flashlights, a digital monocular, 5 radios, and 1 bulletproof vest to Ahrar Al-Sham and other Syrian rebels in Syria, or with knowledge that the Tactical Gear was going to Syria. Also, in August and September 2012, Jijakli directed co-conspirators to withdraw thousands of dollars from Palmyra Corporation, where Jijakli was the Chief Executive Officer, to pay for Tactical Gear for Syrian rebels.
Jijakli was indicted by a federal grand jury on July 14, 2017. He faces a maximum sentence of 20 years in prison when sentenced on December 3, 2018. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes, as the sentencing of Jijakli will be determined by the court based on the advisory sentencing guidelines and other statutory factors.
The prosecution is the result of an investigation conducted by the FBI, Homeland Security Investigations, the U.S. Department of Commerce’s Office of Export Enforcement, and IRS Criminal Investigation.
This is being prosecuted by Assistant U.S Attorney Mark Takla of the Central District of California and Trial Attorney Christian Ford of the National Security Division’s Counterintelligence and Export Control Section.Burien, Washington Felon Sentenced to Prison for Trading Guns and DrugsRead the Press Release
A Burien, Washington felon was sentenced today in U.S. District Court in Seattle to seven years in prison and five years of supervised release for three drug and firearm related crimes, announced U.S. Attorney Annette L. Hayes. JERMAINE HICKLES, 46, pleaded guilty in May 2018 to being a felon in possession of firearms, possession of methamphetamine with intent to distribute and possession of a firearm in furtherance of a drug trafficking crime. When King County Sheriff’s Detectives executed a court-authorized search warrant on HICKLES’ Burien apartment and storage locker, they found 17 firearms, most of them stolen, and nearly two pounds of methamphetamine. HICKLES is prohibited from possessing firearms due to prior felony convictions. At the sentencing hearing, U.S. District Judge John C. Coughenour said HICKLES, “was in possession of one of the largest collections of dangerous weapons that I’ve seen in my three or four decades on the bench.”
“This defendant was prosecuted because he was a convicted felon who possessed 17 firearms, most of them stolen, all while dealing dangerous drugs, said U.S. Attorney Annette L. Hayes. The combination of illegal drugs and guns is a ticking time bomb that risks the lives of real people and the safety of our communities. I commend the King County Sheriff’s Office and ATF’s Violent Crime Task Force for their diligent work to ensure this defendant is held to account and can no longer sow harm in our neighborhoods.”
According to records filed in the case, in summer 2017, a person working with law enforcement purchased heroin from HICKLES on multiple occasions. On September 30, 2017, officers served a search warrant on HICKLES two-bedroom apartment. One bedroom was filled with more than 200 bottles of stolen liquor – many with the store security tags still attached. In the apartment were 16 firearms – eight of them were loaded and hidden under the mattress in HICKLES main bedroom and one was loaded and in the drawer of the bedside table. Officers also found nearly $50,000 in cash and approximately two pounds of methamphetamine. In a storage unit HICKLES rented, they found a 17th firearm. Evidence from the apartment and from HICKLES’ electronic devices demonstrate he was trading drugs for cash and a variety of stolen goods, including firearms and alcohol.
This case was brought as part of Project Safe Neighborhoods (PSN), a program that has been historically successful in bringing together all levels of law enforcement to reduce violent crime and make our neighborhoods safer for everyone. Attorney General Jeff Sessions has made turning the tide of rising violent crime in a America a top priority. In October 2017, as part of a series of actions to address this crime trend, Attorney General Sessions announced the reinvigoration of PSN and directed all U.S. Attorney’s Offices to develop a district crime reduction strategy that incorporates the lessons learned since PSN launched in 2001.
The case was investigated by the King County Sheriff’s Office, with assistance from members of ATF’s Violent Crime Task Force. The case is being prosecuted by Special Assistant United States Attorney Jessica Manca. Ms. Manca is a Senior King County Deputy Prosecutor specially designated to prosecute firearms cases in federal court.
Buffalo Man Sentenced for Producing Child PornographyRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that Michael Milton, Sr., 42, of Buffalo, NY, who was convicted of production of child pornography, was sentenced to serve 262 months in prison and 10 years supervised release by Chief U.S. District Judge Frank P. Geraci, Jr.
Assistant U.S. Attorney, Aaron J. Mango, who handled the case, stated that on August 14, 2015, the defendant coerced a 17 year-old minor (Victim 1) to engage in sexual intercourse and oral sexual activity inside a 2003 Chevrolet Tahoe vehicle that Milton owned at the time. The defendant produced visual depictions of the sexual activity using a cellular telephone. Those images were then stored on electronic storage devices. The investigation determined that Milton engaged in sexual contact with Victim 1 on various occasions between at least December 21, 2014, and November 6, 2015.
Milton was previously convicted of Rape in Erie County Court involving Victim 1 and another minor female, and he was sentenced to serve 25 years to life on that charge.
The federal sentencing is the result of an investigation by the Federal Bureau of Investigation, under the direction of Special Agent-in-Charge Gary Loeffert; the Buffalo Police Department, under the direction of Commissioner Byron Lockwood; and the Cheektowaga Police Department, under the direction of Chief David Zack.
Australian Woman Pleads Guilty to Encouraging and Inducing Illegal EntryRead the Press Release
Bangor, Maine: United States Attorney Halsey B. Frank announced that Sarah Louise Branch, 37, of New South Wales, Australia pleaded guilty today in U.S. District Court to encouraging and inducing the entry of an illegal alien into the United States.
According to court records, on July 10, 2018, U.S. Customs and Border Protection agents searched the vehicle the defendant was driving when she sought admission to the United States at a Port of Entry in Calais, Maine and discovered a Mexican passport, male clothing and photographs of a male, later identified as Benigno Godinez-Cortez. The defendant admitted that she dropped her boyfriend, Godinez-Cortez, off in Canada near the U.S. border knowing that he was a citizen of Mexico and would not be admitted into the United States and that she intended to pick him up after he entered the United States illegally.
She faces up to five years in prison and a $250,000 fine. She will be sentenced after completion of a presentence investigation report by the U.S. Probation Office. Godinez-Cortez pled guilty today in U.S. District Court to unlawfully re-entering the United States and awaits sentencing.
The investigation was conducted by U.S. Customs and Border Protection.
13 August 2018
Wetzel County man sentenced for child pornography chargeRead the Press Release
WHEELING, WEST VIRGINIA – Daniel P. Sprowl, of New Martinsville, West Virginia, was sentenced today to 33 months incarceration for possessing child pornography, United States Attorney Bill Powell announced.
Sprowl, age 54, pled guilty to one count of “Possession of Child Pornography” in April 2018. Sprowl admitted to possessing images of child pornography involving children under the age of 12 in November 2016 in Wetzel County.
Sprowl was also ordered to pay $8,000 in restitution and ordered to forfeit his electronic devices used in the crime.
Assistant U.S. Attorney Stephen L. Vogrin prosecuted the case on behalf of the government. The Federal Bureau of Investigation and the West Virginia State Police investigated.
Senior U.S. District Judge Frederick P. Stamp, Jr., presided.
Western Massachusetts Man Charged with Traveling to Meet Minor for SexRead the Press Release
ALBANY, NEW YORK – Joseph A. Defilippi, age 55, of Chicopee, Massachusetts, was arrested Friday and charged with traveling across state lines with the intent to engage in a sexual act with a minor.
The announcement was made by United States Attorney Grant C. Jaquith and James Hendricks, Special Agent in Charge of the Albany Field Office of the Federal Bureau of Investigation (FBI).
The charge in the complaint is merely an accusation. The defendant is presumed innocent unless and until proven guilty.
The criminal complaint alleges that between February 28, 2018 and August 10, 2018, Defilippi exchanged e-mails with an undercover investigator who was posing as a 13-year-old boy named “Dylan.” Many of the electronic communications sent by Defilippi to “Dylan” involved Defilippi expressing his desire to engage in sexual acts with “Dylan.”
In early August 2018, Defilippi and “Dylan” discussed plans in which Defilippi would travel from Massachusetts in order to meet “Dylan” at a park in Menands, New York. On the morning of August 10, 2018, Defilippi drove from Chicopee to the park in Menands. Shortly after Defilippi’s arrival at the park, he was encountered by law enforcement and admitted that he had travelled from Massachusetts to New York intending to engage in sexual acts with “Dylan.”
Defilippi appeared today before United States Magistrate Judge Daniel J. Stewart and was ordered detained pending further proceedings.
The charge filed against Defilippi carries a maximum sentence of 30 years in prison, a fine of up to $250,000, and a term of supervised release of at least 5 years and up to life. A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines and other factors.
This case is being investigated by the FBI and is being prosecuted by Assistant U.S. Attorney Rick Belliss.
Washington State Man Sentenced to Prison for Role in Connection with Reveton RansomwareRead the Press Release
A former Microsoft employee was sentenced today to 18 months in prison after pleading guilty to conspiracy to commit money laundering in connection with the spread of a particular type of ransomware commonly referred to as Reveton.
U.S. Attorney Benjamin C. Greenberg for the Southern District of Florida, Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division, and Special Agent in Charge Matthew J. DeSarno of the FBI Washington Field Office’s Criminal Division made the announcement.
Raymond Odigie Uadiale, 41, of Maple Valley, Washington, was sentenced by U.S. District Court Judge William P. Dimitrouleas for the Southern District of Florida following his June 4 guilty plea. The indictment charged Uadiale with one count of conspiracy to commit money laundering and one count of substantive money laundering. As part of the plea agreement, the government dismissed the substantive count. In addition to his prison sentence, Uadiale was also sentenced to three years of supervised release.
According to the factual proffer filed in connection with the plea agreement, Uadiale helped to “cash out” the payments of victims whose computers were infected with Reveton, a type of ransomware that displayed a splash screen on the victim’s computer with the logo of a law enforcement organization. The splash screen would include a message falsely telling the victim that the law enforcement organization had found illegal material on the infected computer and required the payment of a “fine” to regain access to the computer and its data. The ransomware directed the victim to purchase a GreenDot MoneyPak and enter the account number into a form on the splash screen. Using prepaid debit cards, Uadiale transformed the MoneyPak funds into cash, kept a portion for himself, and sent a portion back to Reveton’s distributor, who resided in the United Kingdom.
“This was a sophisticated scheme to conceal the proceeds of a particularly insidious type of ransomware,” said U.S. Attorney Greenberg. “By claiming to originate from law enforcement agencies, Reveton not only victimized computer users, it also exploited the agencies in whose names the ransomware claimed to be acting. Today’s sentence demonstrates that those who seek to profit from the spread of such malicious software face serious consequences.”
“By cashing out and then laundering victim payments, Raymond Uadiale played an essential role in an international criminal operation that victimized unsuspecting Americans by infecting their computers with malicious ransomware,” said Assistant Attorney General Benczkowski. “This conviction and sentence is another demonstration of the Department of Justice’s commitment to prosecuting cybercriminals and shutting down the networks they use to launder their criminal proceeds. We are grateful for the outstanding collaboration of our U.S. and international law enforcement partners in this successful investigation.”
According to court documents, Uadiale used the digital currency platform Liberty Reserve to transfer approximately 70 percent of the ransomware proceeds back to the ransomware distributor. Between October 2012 and March 27, 2013, while he was a graduate student at Florida International University, Uadiale sent approximately $93,640 in Liberty Reserve dollars to his co-conspirator as part of their scheme. Public records show that Uadiale was hired by Microsoft as a network engineer after the conspiracy charged in the indictment ended.
The case was investigated by the FBI, with assistance from the U.K.’s National Crime Agency, and was prosecuted by Assistant U.S. Attorney Jared M. Strauss of the Southern District of Florida and Senior Counsel W. Joss Nichols of the Criminal Division’s Computer Crime and Intellectual Property Section, with assistance from the U.S. Attorney’s Offices for the Eastern District of Virginia and the Western District of Washington.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.
Washington State Man Sentenced to Prison for Role in Connection with Reveton RansomwareRead the Press Release
A former Microsoft employee was sentenced today to 18 months in prison after pleading guilty to conspiracy to commit money laundering in connection with the spread of a particular type of ransomware commonly referred to as Reveton.
Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division, U.S. Attorney Benjamin C. Greenberg for the Southern District of Florida and Special Agent in Charge Matthew J. DeSarno of the FBI Washington Field Office’s Criminal Division made the announcement.
Raymond Odigie Uadiale, 41, of Maple Valley, Washington, was sentenced by U.S. District Court Judge William P. Dimitrouleas for the Southern District of Florida following his June 4 guilty plea. The indictment charged Uadiale with one count of conspiracy to commit money laundering and one count of substantive money laundering. As part of the plea agreement, the government dismissed the substantive count. In addition to his prison sentence, Uadiale was also sentenced to three years of supervised release.
According to the factual proffer filed in connection with the plea agreement, Uadiale helped to “cash out” the payments of victims whose computers were infected with Reveton, a type of ransomware that displayed a splash screen on the victim’s computer with the logo of a law enforcement organization. The splash screen would include a message falsely telling the victim that the law enforcement organization had found illegal material on the infected computer and required the payment of a “fine” to regain access to the computer and its data. The ransomware directed the victim to purchase a GreenDot MoneyPak and enter the account number into a form on the splash screen. Using prepaid debit cards, Uadiale transformed the MoneyPak funds into cash, kept a portion for himself, and sent a portion back to Reveton’s distributor, who resided in the United Kingdom.
“By cashing out and then laundering victim payments, Raymond Uadiale played an essential role in an international criminal operation that victimized unsuspecting Americans by infecting their computers with malicious ransomware,” said Assistant Attorney General Benczkowski. “This conviction and sentence is another demonstration of the Department of Justice’s commitment to prosecuting cybercriminals and shutting down the networks they use to launder their criminal proceeds. We are grateful for the outstanding collaboration of our U.S. and international law enforcement partners in this successful investigation.”
“This was a sophisticated scheme to conceal the proceeds of a particularly insidious type of ransomware,” said U.S. Attorney Greenberg. “By claiming to originate from law enforcement agencies, Reveton not only victimized computer users, it also exploited the agencies in whose names the ransomware claimed to be acting. Today’s sentence demonstrates that those who seek to profit from the spread of such malicious software face serious consequences.”
According to court documents, Uadiale used the digital currency platform Liberty Reserve to transfer approximately 70 percent of the ransomware proceeds back to the ransomware distributor. Between October 2012 and March 27, 2013, while he was a graduate student at Florida International University, Uadiale sent approximately $93,640 in Liberty Reserve dollars to his co-conspirator as part of their scheme. Public records show that Uadiale was hired by Microsoft as a network engineer after the conspiracy charged in the indictment ended.
The case was investigated by the FBI, with assistance from the U.K.’s National Crime Agency, and was prosecuted by Assistant U.S. Attorney Jared M. Strauss of the Southern District of Florida and Senior Counsel W. Joss Nichols of the Criminal Division’s Computer Crime and Intellectual Property Section, with assistance from the U.S. Attorney’s Offices for the Eastern District of Virginia and the Western District of Washington.
Victims of Tom Petters Ponzi Scheme Receive Initial Distribution of More Than $16 Million in Forfeited FundsRead the Press Release
The Department of Justice announced today that an initial distribution of $16,440,674.35 has been issued to victim investors of the THOMAS PETTERS fraud scheme. These funds, forfeited to the United States through criminal and civil forfeiture proceedings prosecuted in the District of Minnesota, will be sent to approximately 364 victims worldwide.
On December 1, 2008, THOMAS JOSEPH PETTERS, of Wayzata, Minnesota, was indicted on multiple counts of mail fraud, wire fraud, money laundering, and conspiracy for orchestrating a $2.1 billion Ponzi scheme. On December 2, 2009, a federal jury found PETTERS guilty of all 20 counts against him and was later sentenced by U.S. District Judge Richard H. Kyle to 50 years in federal prison. Other defendants were convicted in related criminal proceedings. As part of their sentencing judgments, PETTERS and other defendants were ordered to forfeit assets obtained through their criminal activity, including real estate, bank and investment accounts, vehicles and other assets. Under federal law, the Department of Justice has the authority to distribute the proceeds of forfeited assets through the remission process to victim investors who lost money in connection with the scheme. The proceeds of all forfeited assets are being distributed to victim investors.
Additional forfeited funds will be distributed to victim investors through the remission process when pending forfeiture proceedings are completed. The total distribution amount is yet to be determined.
The forfeiture proceedings were part of a coordinated effort to compensate victim investors. In October 2008, the United States obtained an injunction against the fraud in a separate civil case, and the Court appointed a receiver to assist in the recovery of assets. Thereafter, multiple bankruptcy proceedings were filed in Minnesota and other states. In September 2010, the U.S. District Court and the U.S. Bankruptcy Court approved a Coordination Agreement governing the asset recovery efforts of the United States, the bankruptcy trustees, and the Court appointed receiver. In addition to the funds distributed via remission payments, additional payments are being made to victim investors and creditors through these ongoing bankruptcy and receivership proceedings in various states including Minnesota, Illinois and Florida.
For more information about the PETTERS criminal case, victim compensation, and the asset forfeiture remission process, please visit https://www.justice.gov/usao-mn/tom-petters-case
The Petters’ remission payments would not have been possible without the efforts of the U.S. Department of Justice Criminal Division’s Money Laundering and Asset Recovery Section, the U.S. Attorney’s Office for the District of Minnesota, the FBI, IRS Criminal Investigation, and the U.S. Postal Inspection Service in the prosecution of these crimes and the recovery of assets supporting the forfeiture in this case.
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United States Attorney’s Office, District of Minnesota: (612) 664-5600
United States Reaches Settlement with Providence Schools to Ensure Equal Opportunities for English Learner StudentsRead the Press Release
The Justice Department’s Civil Rights Division and the United States Attorney’s Office for the District of Rhode Island today announced a settlement agreement with the Providence public school district that will provide English language services to the district’s 8,000 students who currently lack fluency in English. The agreement, which stems from the United States’ investigation under the Equal Educational Opportunities Act of 1974, will ensure that these English Learner students receive the services they need to succeed in the district’s educational programs.
Under the agreement, the district will:
- Properly identify and place English Learner students when they enroll in the district’s 41 schools, and communicate with parents about program offerings and other essential information in a language they understand;
- Provide adequate English language services to all English Learner students so that they can become proficient in English and access grade-level core content instruction;
- Ensure appropriate services for English Learner students with disabilities;
- Secure a sufficient number of teachers who are certified in English as a Second Language, and train the administrators and teachers who implement the English Learner programs; and
- Monitor and evaluate the effectiveness of its English Learner programs over time.
“The Department of Justice commends the district for cooperating throughout the investigation, and the Superintendent for his commitment to helping English Learner students succeed and thrive in school,” said Acting Assistant Attorney General John Gore. “We look forward to working together to implement this promising settlement agreement.”
“As a result of this settlement agreement, English Learner students will now receive all of the services they are legally entitled to and deserve,” said U.S. Attorney Stephen G. Dambruch for the District of Rhode Island.
The enforcement of the Equal Educational Opportunities Act is a top priority of the Justice Department’s Civil Rights Division. Additional information about the Civil Rights Division of the Justice Department is available on its website at www.justice.gov/crt.
United States Reaches Settlement Agreement with Providence Schools to Ensure Equal Opportunities for English Learner StudentsRead the Press Release
PROVIDENCE, RI – The Justice Department’s Civil Rights Division and the United States Attorney’s Office for the District of Rhode Island today announced a settlement agreement with the Providence public school district that will provide English language services to the district’s 8,000 students who currently lack fluency in English. The agreement, which stems from the United States’ investigation under the Equal Educational Opportunities Act of 1974, will ensure that these English Learner students receive the services they need to succeed in the district’s educational programs.
Under the agreement, the district will:
- Properly identify and place English Learner students when they enroll in the district’s 41 schools, and communicate with parents about program offerings and other essential information in a language they understand;
- Provide adequate English language services to all English Learner students so that they can become proficient in English and access grade-level core content instruction;
- Ensure appropriate services for English Learner students with disabilities;
- Secure a sufficient number of teachers who are certified in English as a Second Language, and train the administrators and teachers who implement the English Learner programs; and
- Monitor and evaluate the effectiveness of its English Learner programs over time.
“The Department of Justice commends the district for cooperating throughout the investigation, and the Superintendent for his commitment to helping English Learner students succeed and thrive in school,” said Acting Assistant Attorney General John Gore. “We look forward to working together to implement this promising settlement agreement.”
“As a result of this settlement agreement, English Learner students will now receive all of the services they are legally entitled to and deserve,” said U.S. Attorney Stephen G. Dambruch for the District of Rhode Island.
The matter was litigated by Assistant U.S. Attorney Amy R. Romero of the United States Attorney’s Office for the District of Rhode Island and Trial Attorney Andrea Hamilton of the Education Opportunities Section, Civil Rights Division of the United States Department of Justice.
The enforcement of the Equal Educational Opportunities Act is a top priority of the Justice Department’s Civil Rights Division. Additional information about the Civil Rights Division of the Justice Department is available on its website at www.justice.gov/crt.
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Tyler County and Wetzel County men admit to connection to a drug distribution operation in Wetzel and Tyler CountiesRead the Press Release
WHEELING, WEST VIRGINIA – Joshua Cathers, of Sistersville, West Virginia, and Ronald Morgan, of New Martinsville, West Virginia, have admitted to their involvement in methamphetamine, cocaine, and heroin distribution that spanned multiple states, United States Attorney Bill Powell announced.
Cathers, age 38, pled guilty today to one count of “Distribution of Methamphetamine.” Cathers admitted selling methamphetamine in November 2017 in Tyler County.
Morgan, age 50, pled guilty on Friday, August 10, 2018 to one count of “Aiding and Abetting Distribution of Methamphetamine” Morgan admitted to selling methamphetamine in March 2017 in Tyler County.
Cathers and Morgan each face up to 20 years incarceration and a fine of up to $1,000,000. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant U.S. Attorneys Robert H. McWilliams, Jr., and Shawn M. Adkins are prosecuting the cases on behalf of the government. The Drug Enforcement Administration; the Bureau of Alcohol; Tobacco, Firearms, and Explosives; the Marshall County Drug and Violent Crimes Task Force, a HIDTA-funded initiative; the West Virginia State Police; the Tyler County Sheriff’s Office; the Wetzel County Sheriff’s Office; the Sistersville Police Department; the Paden City Police Department; and the New Martinsville Police Department investigated. The Columbus, Ohio, Police Department Gang Crimes Unit assisted in the cases.
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.
Senior U.S. District Judge Frederick P. Stamp, Jr. presided.
Two people from Northwest Ohio indicted on firearms chargesRead the Press Release
Two people from Northwest Ohio were indicted for federal firearms crimes.
Jason M. Calton, 44, of Liberty Center, was charged with being a prohibited in possession of a firearm. Calton on June 24 possessed a Harrington & Richardson .22-caliber revolver despite a previous conviction for domestic violence, according to the indictment.
Laquan Hardin, 28, of Toledo, was charged with being a felon in possession of a firearm. Hardin possessed a Ruger 9mm pistol and a Raven Arms . 25-caliber pistol in June despite prior convictions for domestic violence and attempted failure to comply, according to the indictment.
If convicted, the defendant’s sentence will be determined by the Court after reviewing factors unique to this case, including the defendant’s prior criminal record, if any, the defendant’s role in the offense and the characteristics of the violation. In all cases the sentence will not exceed the statutory maximum and in most cases it will be less than the maximum.
The investigating agency in these cases is the Bureau of Alcohol, Tobacco, Firearms and Explosives. The cases are being handled by Assistant United States Attorney Matthew D. Simko.
These cases are being prosecuted as part of "Project Safe Neighborhoods," a gun violence reduction program administered by the Department of Justice, U.S. Attorney's Office for the Northern District of Ohio. The program targets armed criminals for federal prosecution.
An indictment is only a charge and is not evidence of guilt. The burden of proof is always on the government to prove a defendant guilty beyond a reasonable doubt.
Two men indicted for child pornography offensesRead the Press Release
Two Northwest Ohio men was indicted for receiving and distributing child pornography.
Michael D. Butler, 50, of Defiance, received and distributed in 2015 numerous computer files containing images of children in sexually explicit conduct, according to the indictment.
Michael S. Crawford, 63, of Gomer, received and distributed numerous computer files containing images of children in sexually explicit conduct between 2014 and 2018, according to the indictment.
Their cases are unrelated.
If convicted, the defendant’s sentence will be determined by the Court after reviewing factors unique to this case, including the defendant’s prior criminal record, if any, the defendant’s role in the offense and the characteristics of the violation. In all cases the sentence will not exceed the statutory maximum and in most cases it will be less than the maximum.
The investigating agency in these cases is the Federal Bureau of Investigation. The cases are being handled by Assistant U.S. Attorneys Thomas P. Weldon and Tracey Ballard Tangeman.
An indictment is only a charge and is not evidence of guilt. Defendants are entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
Two Chicago Pharmacy Technicians Indicted for Stealing Opioids and Selling Them for a ProfitRead the Press Release
CHICAGO — Two technicians at a Chicago pharmacy stole more than 56,000 pills of Hydrocodone and sold them for a profit, according to an indictment returned in federal court in Chicago.
ELIZABETH CRUZ and JACQUELINE GREEN worked at Allcare Discount Pharmacy, located in the 2700 block of West North Avenue in Chicago. From September 2015 to December 2017, the pair conspired to steal approximately 56,108 pills of Hydrocodone and sell them outside the pharmacy for a profit, the indictment states. Cruz and Green concealed the scheme by falsifying the pharmacy’s inventory to make it look like the pills had either not been received from the distributor or were dispensed to patients, according to the charges.
The indictment charges Cruz, 33, of Stone Park, and Green, 27, of Chicago, with conspiracy to possess a controlled substance with the intent to deliver. Both defendants were arrested on Aug. 9, 2018. Detention hearings are scheduled for today at 3:00 p.m., before U.S. Magistrate Judge Maria Valdez in Chicago.
The indictment was announced by John R. Lausch, Jr., United States Attorney for the Northern District of Illinois; and Brian McKnight, Special Agent-in-Charge of the Chicago Field Division of the U.S. Drug Enforcement Administration. The government is represented by Assistant U.S. Attorney Nani M. Gilkerson.
“Diversion of opioids contributes to addiction and illegal drug sales in our communities,” said U.S. Attorney Lausch. “Pharmacy employees who divert prescription drugs for their own profit will be prosecuted to the full extent of the law.”
“This investigation illustrates that the DEA and the U.S. Attorney’s Office will bring to justice those responsible for the theft and diversion of controlled substances, not only on the street, but also in pharmacies,” said Special Agent-in-Charge McKnight.
The conspiracy charge carries a maximum penalty of 20 years in prison. If convicted, the Court must impose reasonable sentences under federal sentencing statutes and the advisory United States Sentencing Guidelines. The public is reminded that charges are not evidence of guilt. The defendants are presumed innocent and entitled to a fair trial at which the government has the burden of proving guilt beyond a reasonable doubt.
Three More Defendants Sentenced to Federal Prison for Their Roles in a Drug Trafficking ConspiracyRead the Press Release
Defendants are the latest to be sentenced out of nearly two dozen defendants after long-term narcotics investigation
BLUEFIELD, W.Va. – Three more defendants were sentenced today to federal prison for their roles in a drug trafficking organization, announced United States Attorney Mike Stuart. James Rodney Staples, 39, of Woodbridge, Virginia, was sentenced to 151 months, or 12 years and 7 months, in federal prison. Karl Funderburk, 32, of Teays Valley, and George Brockman II, 38, of Montgomery, were sentenced to federal prison for 60 months and 108 months, respectively.
Stuart commended the cooperative investigative efforts of several agencies, led by the Federal Bureau of Investigation and the Raleigh County Drug and Violent Crime Task Force. The Drug Enforcement Administration, the Beckley Police Department, the Raleigh County Sheriff’s Department, the West Virginia State Police, the Bureau of Alcohol, Tobacco, Firearms and Explosives, and the United States Postal Inspection Service also provided assistance throughout the investigation.
“I cannot say enough about the outstanding work of our law enforcement partners,” said United States Attorney Mike Stuart. “This was a complex, long-term investigation of a significant drug trafficking organization that was wreaking havoc in southern West Virginia. As a result of the tireless efforts of our law enforcement officers, this drug business has been shut down.”
James Rodney Staples previously entered a guilty plea to conspiracy to distribute and possess with intent to distribute more than 5 kilograms of cocaine, more than 280 grams of cocaine base, and more than one kilogram of heroin. At the plea hearing Staples admitted that between August 2016 and June 28, 2017, he took part in a drug trafficking conspiracy with multiple participants involving the distribution of cocaine, cocaine base, also known as “crack,” and heroin. Staples admitted that Velarian Carter, another co-defendant in this case, requested his help in operating the drug trafficking organization while Carter was incarcerated on other drug charges. Staples admitted he paid other members to assist him in distributing the controlled substances and to collect money acquired through the illegal drug trafficking. As part of the agreement, Staples agreed to the forfeiture of $50,000, which represented proceeds of his illegal drug trafficking activity.
Funderburk previously entered a guilty plea to using and carrying a firearm during a drug trafficking crime. At his plea hearing Funderburk admitted that between August 2016 and March 1, 2017, he assisted Velarian Carter, Detria Carter, and others, in operating a drug trafficking organization. Funderburk also admitted that on March 1, 2017, he was arrested in Charleston, and during a subsequent search, police discovered that he possessed cocaine, crack, and methamphetamine. Funderburk also possessed a Glock 27, .40 caliber, semi-automatic pistol, that he admitted was used for protection of his drugs and drug proceeds.
George E. Brockman, II previously entered a guilty plea to conspiracy to distribute and possess with intent to distribute more than 100 grams of heroin, a quantity of cocaine, and a quantity of oxycodone. At the plea hearing, Brockman had admitted that between August 2016 and June 28, 2017, he took part in a drug trafficking conspiracy with multiple participants involving the distribution of heroin, cocaine, and oxycodone. Brockman further admitted that he obtained over 100 grams of heroin from another co-defendant in this case, and intended to distribute the heroin in the southern district of West Virginia. Brockman also admitted that due to quality issues, he requested another co-defendant, James Rodney Staples, to exchange the heroin for cocaine, which he also planned to distribute in the southern district of West Virginia. Brockman was working with other members of the drug trafficking organization to obtain a kilogram of heroin and approximately 2000 oxycodone tablets to distribute around Fayette County. On June 28, 2017, pursuant to searches performed by law enforcement, police officers recovered 84.49 grams of heroin from a truck that Brockman possessed and over $124,000 that Brockman admitted were drug proceeds. $115,000 of that money was found in the trunk of a 2008 Ford Mustang GT500. Brockman has agreed to forfeit the cash as well as the Ford Mustang. As part of the plea defendant further agreed to the forfeiture of a 2016 Chevrolet Corvette.
Assistant United States Attorney Timothy D. Boggess handled the prosecutions. Senior United States District Judge David A. Faber imposed the sentences.
Shaun Givens is the sole defendant that is still awaiting sentencing. Givens faces at least five years and up to 40 years in federal prison when he is sentenced on August 27, 2018.
Several defendants in this case have already been sentenced. Velarian Carter of Beckley was recently sentenced to 240 months, or 20 years in federal prison for his participation in this drug trafficking organization. His sentence was ordered to run consecutively to a 20 year sentence Mr. Carter is already serving on unrelated drug charges. Detria Carter of Beckley, the sister of Velarian Carter, was recently sentenced to 151 months, or 12 years and seven months in federal prison. Cheyenne Fragale and Macon Fragale, brothers from Boomer in Fayette County, were sentenced to 12 years, and 16 years and 8 months in prison, respectively. Rory White of Montgomery was sentenced to 125 months in federal prison. Tiffany Ramsey, also from Boomer, was sentenced to 46 months in federal prison. Dominic Copney, of Beckley, has been sentenced to 2 years in federal prison. Donald Scalise, of Montgomery, was sentenced to 3 years in federal prison for conspiring to distribute oxycodone.
On July 10 and July 11, 2018, Judge David A. Faber sentenced Esau Burnett, of Beckley, to 66 months in federal prison, Shawn Akiem Anderson, of Mount Hope, to 108 months in federal prison, and Shaun Jones, also of Beckley, to 120 months in federal prison. He also sentenced to Jonathan V. Moore, and Charles Hill, both of Beckley to 97 months and 60 months, respectively. Corey Larkin, of Beckley, was previously sentenced to 188 months in federal prison after he was determined to be a career offender.
David Shaun Coleman of Boomer was previously sentenced to 60 months in federal prison, while Rashaun Carter of Beckley and Derrick Staples of Charleston were each sentenced to 121 months in federal prison. Jonathan O. Brockman, the brother of George E. Brockman, II, of Kimberly, Fayette County, was sentenced to nine years in federal prison. Coleman, Carter, Staples and Brockman were also sentenced by Senior Judge David A. Faber.
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Three Men Sentenced to Prison Terms for 2015 Slaying of Man Near Shaw/Howard Metro StationRead the Press Release
WASHINGTON – Andre Dudley, 22, Marcus King, 22, and Christopher Proctor, 28, all of Washington, D.C., were sentenced today to prison terms on charges stemming from the August 2015 slaying of Matthew Shlonsky, an innocent bystander who was shot three years ago on a crowded street in Northwest Washington. Dudley was sentenced to an 18 ½-year prison term for the murder, King was sentenced to 17 ½ years, and Proctor was sentenced to 14 years.
The announcement was made by U.S. Attorney Jessie K. Liu and Peter Newsham, Chief of the Metropolitan Police Department (MPD).
The three defendants pled guilty in June 2018 to one count of voluntary manslaughter while armed and two counts of assault with a dangerous weapon. Dudley also pled guilty to a charge of attempted assault with a dangerous weapon stemming from a jailhouse stabbing. The pleas took place in the Superior Court of the District of Columbia.
Dudley’s plea, which was contingent upon the Court’s approval, called for him to be sentenced to an agreed-upon 18 ½-year prison term for the shooting and an additional 22 months for the jailhouse stabbing, for a total of 20 years and four months of incarceration. King’s plea called for an agreed-upon sentence of 15 to 20 years, and Proctor’s plea called for an agreed-upon term of 12 to 14 years. The Honorable Juliet McKenna accepted the pleas and sentenced the defendants accordingly. Following their prison terms, the defendants will each be placed on five years of supervised release.
According to the government’s evidence, King and Proctor both associated with the Ninth Street neighborhood of Northwest Washington. On Saturday, Aug. 15, 2015, at approximately 4:45 p.m., King and Proctor were standing near a liquor store at the intersection of Seventh and S Streets NW, both armed with firearms. Dudley, meanwhile, drove to the area of Seventh and S in a red Chrysler 300 sedan. While stopped at the intersection of 8th and S Streets, Dudley got into an argument with Ninth Street crew members. One pulled out a gun, and Dudley pulled out his gun as well. King and Proctor were both nearby, and Proctor yelled out to other crew members to find out the identity of the person in the red car.
Dudley then turned from Eight Street onto S Street and headed east. He adjusted his position so that his head and arms were outside the sunroof. He then pointed his gun at individuals on the south side of S Street, near Seventh. King and Proctor both fired shots at Dudley as he crossed their path. King fired seven shots from a .40-caliber semiautomatic firearm and Proctor fired 10 shots from a different .40-caliber semiautomatic. Dudley extended his arm out and fired several shots in the direction of King and Proctor.
Mr. Shlonsky, 23, had just gotten out of an Uber with friends and was heading to a concert at the Howard Theatre. He was walking in the 1800 block of Seventh Street NW, near the entrance to the Shaw/Howard University Metro station, when one of the bullets from the shootout struck him in the chest. He was pronounced dead a short time later.
While King and Proctor were firing their weapons, a couple was walking on the sidewalk of the 700 block of S Street NW. The man and woman were each pushing strollers that had two young children inside each of them. Hearing the gunshots, the couple sprinted away, however, their proximity to the gunfire put them in the zone of harm.
While Dudley drove east on S Street NW, his vehicle came head-to-head with a vehicle turning left on S Street, NW, from Sixth Street NW. Blocked, Dudley again lifted his head and arms out of the sunroof, pointed a gun at the driver, threatened to kill him, and yelled at him to move his car. Scared, the driver moved his vehicle and Dudley then continued across S Street; as he sped into the 1900 block of Fourth Street NW, another man yelled at Dudley to slow down. In response, Dudley slammed on the brakes, rolled down his window, pointed an imitation firearm at the man, which the man believed was an actual firearm, and fired shots in the general vicinity of the man. Dudley then left the area. Dudley pled guilty to two counts of assault with a dangerous weapon for these crimes.
As part of the plea agreement, Dudley admitted to his role in the May 17, 2018 stabbing of a fellow inmate at the District of Columbia Jail. The victim of that incident sustained non-life-threatening injuries.
Dudley was arrested on a warrant in a burglary case on Sept. 11, 2015, and charged with the murder in December 2015. King was arrested on Aug. 21, 2015. Proctor was arrested on Feb. 23, 2016. All have been in custody since their arrests.
In announcing the sentences, U.S. Attorney Liu and Chief Newsham commended the work of those who investigated the case from the Metropolitan Police Department. They also expressed appreciation for the assistance provided by the FBI, including the FBI’s Cellular Analysis Survey Team, and the District of Columbia Department of Forensic Sciences.
They acknowledged the efforts of those who worked on the case from the U.S. Attorney’s Office, including Assistant U.S. Attorneys Sharon Donovan, Kimberley Nielsen, Laura A. Bach, Jeffrey Nestler, Julianne Johnston, and Sharon Marcus-Kurn; former Assistant U.S. Attorney Shana Fulton; Paralegal Specialists Lornce Applewhite and Sharon Newman; Investigative Analyst Zachary McMenamin; Litigation Technology Specialist Leif Hickling; Criminal Investigator Durand Odom, and Victim/Witness Advocate Marcia Rinker.
Finally, they commended the work of Assistant U.S. Attorney David Misler, who investigated and prosecuted the case.
Texas Chicano Brotherhood Gang Member Heads to Federal PrisonRead the Press Release
McALLEN, Texas – A 38-year-old Edinburg man has been ordered to prison following his conviction of being a felon in possession of a firearm, announced U.S. Attorney Ryan Patrick. Ismael Tovar-Zavala pleaded guilty Aug. 8,2018.
Today, U.S. District Judge Micaela Alvarez ordered him to federal prison for 100 months. The court noted his lengthy and violent criminal history in assessing the sentence.
On April 21, 2016, authorities stopped Tovar-Zavala for a traffic offense. Upon investigation, they determined he was in possession of a loaded 7.62x39 mm Yugoslavia assault rifle with a high capacity magazine attached. As a seven-time convicted felon, he is prohibited from possessing a firearm or ammunition per federal law. He was further determined to be a Texas Chicano Brotherhood gang member.
Tovar-Zavala claimed he had the assault rifle for his “protection.”
He has been and will remain in custody pending Transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
The Bureau of Alcohol, Tobacco, Firearms and Explosives conducted the investigation with the assistance of Hidalgo County Sheriff’s Office. Assistant U.S. Attorney David A. Lindenmuth prosecuted the case.
Springfield Man Sentenced to 20 Years in Prison for Sex Trafficking Underage GirlsRead the Press Release
SPRINGFIELD, Ill. – U.S. District Judge Sue E. Myerscough today ordered Calvin S. Williams, 35, of Springfield, Ill., to serve 20 years in prison followed by a term of 10 years supervised release. Williams, also known as “Cadillac Hustle,” “Cadillac,” “Caddy,” was also ordered to register as a sex offender.
Williams has remained in the custody of the U.S. Marshals Service since his arrest in June 2016.
On Mar. 16, 2018, Williams entered a plea of guilty to sexual exploitation of children. Williams was charged by complaint in June 2016, and indicted on charges of sex trafficking minors, production of child pornography, and distribution and possession of child pornography in 2015 in Springfield.
The charges are the result of investigation by the FBI and Springfield Police Department. Assistant U.S. Attorneys Matthew Z. Weir and Gregory M. Gilmore represented the government in the case prosecution.
Regional Medicare Fraud Strike Force Launched and Additional Federal Prosecutors Assigned to PhiladelphiaRead the Press Release
PHILADELPHIA – United States Attorney William M. McSwain and Assistant Attorney General Brian A. Benczkowski of the U.S. Justice Department’s Criminal Division announced today the formation of the Newark/Philadelphia Regional Medicare Fraud Strike Force. The Strike Force will bring together the resources and expertise of prosecutors, data analysts, and law enforcement agencies to investigate and prosecute cases involving fraud, waste, and abuse within our federal healthcare programs and cases involving illegal prescribing and distribution of opioids and other dangerous narcotics. In addition to the information sharing and resource coordination the Strike Force will bring to bear on these complex matters, the Eastern District of Pennsylvania will add two additional attorneys to its ranks who will focus entirely on these matters.
The prosecutors assigned to the Eastern District of Pennsylvania come from the Health Care Fraud Unit in the U.S. Justice Department’s Criminal Division’s Fraud Section, where they have gained a wealth of subject-matter expertise. The federal investigative agencies and state partners participating in the Strike Force include Department of Health and Human Services Office of Inspector General (HHS-OIG); Drug Enforcement Administration (DEA); Federal Bureau of Investigation (FBI); U.S. Postal Inspection Service (USPIS); Department of Defense, Office of Inspector General, Defense Criminal Investigative Services (DOD-OIG); and Pennsylvania Office of Attorney General, Medicaid Fraud Control Unit.
As part of the kickoff event, U.S. Attorney McSwain and Assistant Attorney General Benczkowski met with senior leadership from the law enforcement partners involved to discuss the Strike Force’s work. Assistant Attorney General Benczkowski then offered remarks to the entire Eastern District Office before departing for Washington, DC.
“Combatting the opioid epidemic and healthcare fraud abuses are major priorities of the Department of Justice and the U.S. Attorney’s Office for the Eastern District of Pennsylvania,” said U.S. Attorney McSwain. “Healthcare fraud schemes are driven by greed, and all American taxpayers pay the price for criminals who prey on providers and beneficiaries alike. My Office is honored and proud to welcome the DOJ Medicare Fraud Strike Force to our District in order to attack these problems with our law enforcement partners.”
“The devastation the opioid epidemic is inflicting on communities across the country and here in the Mid-Atlantic region is staggering—and health care fraud has played a role in feeding that epidemic,” said Assistant Attorney General Benczkowski. “It is estimated that each year tens of billions of dollars in American taxpayer money are lost to fraud, waste, abuse and improper payments. According to the CDC, in 2016, more than 40 percent of all U.S. opioid overdose deaths involved a prescription opioid. Our Medicare Fraud Strike Forces, which we have now expanded into Newark and Philadelphia, constitute one of our most important and effective means for containing these threats to the American people.”
On June 28, 2018, Attorney General Jeff Sessions recently noted the success of the Strike Force model while announcing the largest ever health care fraud enforcement action on Health Care Fraud Takedown Day. The takedown involved 601 charged defendants across 58 federal districts, including 165 doctors, nurses and other licensed medical professionals, for their alleged participation in health care fraud schemes involving more than $2 billion in false billings. Of those charged, 162 defendants, including 76 doctors, were charged for their roles in prescribing and distributing opioids and other dangerous narcotics.
Strike Force operations are part of a joint initiative between the Department of Justice and HHS to focus their efforts to prevent and deter fraud and enforce current anti-fraud laws around the country. Since its inception in March 2007, the prosecutors in the 10 Medicare Fraud Strike Force locations have charged over 3,700 defendants who collectively have falsely billed the Medicare program for over $14 billion.
“Bringing the time-tested, proven-effective Strike Force model along with additional prosecutors and investigators to the Philadelphia region will no doubt be highly successful in our ongoing battle against health care fraud,” said Maureen Dixon, Special Agent in Charge for HHS-OIG. “We look forward to working closely with the U.S. Attorney for PA’s Eastern District and our fellow law enforcement partners to protect taxpayer funds supporting federal health programs and the millions who rely on those benefits.”
“In addition to its drug law enforcement mission, the Drug Enforcement Administration regulates more than 13,000 registrants in Philadelphia and over 76,000 registrants across the Commonwealth of Pennsylvania. A small number of these registrants engage in the unlawful diversion of prescription medications and are responsible for the illegal distribution of opioids and other dangerous narcotics,” said Jonathan Wilson, Special Agent in Charge of the DEA Philadelphia Field Division. “Using its law enforcement and regulatory authorities, the DEA will work closely with our partner agencies in the Regional Strike Force as it investigates the unlawful diversion of controlled substance medications and health care fraud.”
“Medicare fraud shorts the pool of funds available for truly necessary treatment and services, and costs American taxpayers money,” said Michael Harpster, Special Agent in Charge of the FBI's Philadelphia Division. “As for prescription fraud—that can cost people their lives. Here in Philadelphia, in the heart of the opioid epidemic, it seems like the FBI is opening pill mill cases right and left. This Regional Strike Force allows us to pool our resources, intelligence, and expertise against doctors and other medical professionals who put their own financial health ahead of their patients’ wellbeing.”
“The United States Postal Inspection Service is committed to the Health Care Fraud Task Force and combating the opioid crisis,” said Inspector-in-Charge Daniel Brubaker. “USPIS will continue to work with our partners every day to protect the public from opioid related schemes that unlawfully use the U.S. Mail.”
“The opioid epidemic requires a strong, coordinated law enforcement response,” Attorney General Josh Shapiro said. “So far in 2018, my office has destroyed more than 26 tons of drugs. I believe that the strike force will have a direct impact on our efforts to get even more drugs and drug dealers off our streets. That is why I am proud to partner with the U.S. Attorney’s Office, the Federal Bureau of Investigation, the Department of Health and Human Services’ Office of Inspector General, the Drug Enforcement Agency and the Justice Department’s Criminal Division on this important new initiative.”
Rapid City Man Sentenced for Receipt of Child PornographyRead the Press Release
United States Attorney Ron Parsons announced that a Rapid City, South Dakota, man convicted of Receipt of Child Pornography was sentenced on August 10, 2018, by Chief Judge Jeffrey L. Viken, U.S. District Court.
Waylen Block, age 45, was sentenced to 20 years in federal prison, followed by 10 years of supervised release, ordered to pay a $100 special assessment to the Federal Crime Victims Fund, and restitution in an amount to be determined within 90 days.
Block was charged on April 18, 2017. The charge related to Block receiving thousands of images containing child pornography via the Internet between April 2016 and September 2016 at Rapid City. Block also produced several images of child pornography and distributed them via the Internet.
The case was investigated by the Internet Crimes Against Children Taskforce. Assistant U.S. Attorney Sarah B. Collins prosecuted the case.
Pittsburgh Man Distributed Child PornographyRead the Press Release
PITTSBURGH, PA – A resident of Allegheny County, Pennsylvania, pleaded guilty in federal court to a charge of distribution of material depicting the sexual exploitation of a minor, United States Attorney Scott W. Brady announced today.
Jeffrey E. Goehring, age 46, of Pittsburgh, pleaded guilty on August 10, to one count before United States District Court Judge Cathy Bissoon.
In connection with the guilty plea, the court was advised that Goehring uploaded approximately 13 images of child pornography to a Yahoo Flikr account. After investigators obtained a search warrant for Goehring’s residence, they recovered 111 videos and 862 images depicting child pornography on his electronic devices. Goehring admitted that he has had an addiction to pornography since the 1990s and that he has gradually switched to child pornography in the last 10 years.
Judge Bissoon scheduled sentencing for December 6, 2018. The law provides for a term of imprisonment of not less than five years, a fine of $250,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offense and the prior criminal history, if any, of the defendant.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
Assistant United States Attorney Shanicka L. Kennedy is prosecuting this case on behalf of the government.
The Federal Bureau of Investigation with the help of the Allegheny County District Attorney’s Office conducted the investigation leading to the Indictment in this case.
Phony music booking agent sentenced for defrauding victims out of almost $1 millionRead the Press Release
ATLANTA - Octaveon Woods has been sentenced after pleading guilty to defrauding colleges, music festivals organizers, and others by claiming that he was a booking agent for famous musicians such as Migos, Lil Yachty, and Post Malone. Woods continued to operate the scheme even after he pleaded guilty in this case.
“Woods convinced dozens of victims to pay him almost a million dollars to ‘book’ artists for concerts and festivals, when he had no relationship with the artists at all,” said U. S. Attorney Byung J. “BJay” Pak. “Woods will now face the consequences of his actions and his victims will receive a measure of justice.”
According to U.S. Attorney Pak, the charges and other information presented in court: Woods owned and operated several companies, including Global Talent Agency, GTA Bookings, and National Artist Agency, that claimed to be booking agencies in the entertainment industry. Woods advertised that these agencies represented dozens of famous musicians, comedians and other artists, including hip-hop and rap artists Migos, Lil Yachty, and Post Malone.
Student groups at Emory University, the University of Missouri, and victims overseas hired Woods’s fake companies to book artists for concerts and festivals. In reality, Woods had no relationship with the artists. After his victims wired him money to book the concerts, Woods transferred the funds to other accounts and then made cash withdrawals. Hours after he pleaded guilty in April 2018, Woods continued to lure more victims into transferring him money for concerts that were never going to happen.
Octaveon Woods, 27, of Decatur, Illinois was sentenced to three years, 10 months in prison to be followed by three years of supervised release on August 10, 2018. Woods was convicted of the charges on April 16, 2018, after he pleaded guilty.
This case was investigated by the U.S. Department of Education, Office of the Inspector General.
Assistant U.S Attorney Lynsey Morris Barron prosecuted the case.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Owner of Bakersfield Catholic-Interest Website Sentenced to 21 Months in Prison for Tax EvasionRead the Press Release
FRESNO, Calif. — U.S. District Judge Dale A. Drozd sentenced Michael Galloway, 63, of Bakersfield, to 21 months in prison for tax evasion, U.S. Attorney McGregor W. Scott announced. Galloway was ordered to surrender to serve his sentence beginning on November 14, 2018.
On March 21, 2018, a jury in Fresno returned a guilty verdict today, convicting on four counts of tax evasion. Galloway owns and operates the website, Catholic Online. According to court documents, Galloway generated revenue by selling advertising and hosting to faith-based businesses.
“No matter what the source of income, all income is taxable,” said Tara Sullivan, Special Agent in Charge, IRS Criminal Investigation. “Mr. Galloway received income from many sources, however, he failed to disclose his true income to the IRS. This sentence should send a clear message: tax evasion is a violation of federal law and can have severe consequences that can result in jail time.”
For tax years 2003 through 2006, Galloway improperly deducted personal expenses as business expenses, including his homeowner’s association fees for his personal residence, car payments and insurance, utilities and cable service for his personal residence, tile work, and personal legal fees.
For the four charged years, Galloway reported an income of $13,241 (2003); $28,846 (2004); $-60,438 (2005); and $23,053 (2006). During this time the defendant owned a 4,600 square-foot residence on a golf course in Bakersfield that he had purchased for $850,000. He made mortgage payments those years totaling $81,943 (2003); $78,694 (2004); $79,372 (2005); and $80,411 (2006). For the four years in question, these figures amounted to a claim by the defendant that he earned only $4,702 and yet was able to make $320,420 in mortgage payments.
Cumulatively, he underreported his and his spouse’s taxable income during those years by at least $671,755, resulting in an additional tax due and owing of over $102,000. The jury also found that he falsely claimed to IRS agents during a 2010 interview that he made his mortgage payments from cash that he had saved over 40 years. The jury found that this statement was an attempt to evade income tax.
This case was the product of an investigation by IRS Criminal Investigation. Assistant U.S. Attorneys Megan A. S. Richards and Michael Tierney prosecuted the case.
Oil and Gas Repairman Sentenced to 33 Months for $450,000 False Invoice SchemeRead the Press Release
OKLAHOMA CITY – LUIS ENRIQUE DAMAZO, also known as Luis Enrique Cassinelli, 54, of Oklahoma City, has been sentenced to 33 months in prison for defrauding a Texas company of more than $450,000 through fictitious invoices, announced Robert J. Troester, Acting U.S. Attorney for the Western District of Oklahoma.
According to charges filed on December 29, 2017, Damazo was employed as a repair technician by Dexter Field Services LP, a company headquartered in Austin, Texas. Dexter Field Services provides leak detection, environmental monitoring, and consulting services to industrial clients in the energy sector. Damazo’s job was to repair toxic vapor analyzers used to detect leaks at oil and gas refineries, which often required ordering replacement parts.
Rather than ordering parts from the original equipment manufacturer, Damazo ordered parts from BC Environmental, a company he secretly created and controlled. From November 2009 through October 2015, Damazo submitted fictitious invoices from BC Environmental to Dexter Field Services for equipment, replacement parts, and tools that Dexter Field Services never received. Damazo took steps to conceal his involvement with BC Environmental, including using a false identity to lease office space, opening bank accounts in his sons’ names, and creating fake identities for the purported employees of BC Environmental. Dexter Field Services paid more than $450,000 to BC Environmental as a result of Damazo’s scheme, which he used for his personal benefit.
On February 2, 2018, Damazo pleaded guilty to a single count of mail fraud related to a fraudulent invoice he mailed to Dexter Field Services in March 2015. Today, U.S. District Judge Stephen P. Friot sentenced him to 33 months in prison, to be followed by three years of supervised release. Damazo must also pay $456,863.59 in restitution to Dexter Field Services.
This case is the result of an investigation by the FBI. It was prosecuted by Assistant U.S. Attorneys Jessica L. Perry and William E. Farrior.
Reference is made to court filings for further information.
Oconee Woman Pleads Guilty to Meth ChargesRead the Press Release
Columbia, South Carolina ---- United States Attorney Sherri A. Lydon stated today that Tabitha A. Hammond, age 37, of Seneca, pled guilty to possession with the intent to distribute methamphetamine, a violation of Title 21, United States Code, Section 841. United States District Judge Donald C. Coggins, of Spartanburg, accepted the guilty plea and will sentence Hammond after he has a chance to review the Presentence Report prepared by the United States Probation Office.
Evidence presented at the change of plea hearing established that on August 8, 2017, an Oconee County deputy sheriff was patrolling in the Fair Play area when he observed a vehicle turn without signaling and then turn quickly into a residence before he could initiate a traffic stop. The vehicle stopped at the residence for just a few minutes and resumed travel. Upon observing a defective break light, he initiated a traffic stop. There were four persons in the car and no one had a valid license with them. The deputy observed much suspicious behavior to include extreme nervousness, attempts to hide the contents of various bags, and one passenger giving indications of flight. The deputy received consent to search from the driver and located more than five pounds of methamphetamine in a bag belonging to Hammond. After being given her Miranda warnings, Hammond admitted to engaging in drug trafficking activity.
Ms. Lydon stated the maximum penalty Hammond can receive is a fine of $20,000,000 and/or imprisonment for life, plus a special assessment of $100.
This case was investigated by the Oconee County Sheriff’s Office and the federal Drug Enforcement Administration. Assistant United States Attorney Bill Watkins of the Greenville office handled the case.
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North Carolina Man Sentenced to Prison for Obstructing the IRSRead the Press Release
A Monroe, North Carolina resident was sentenced today to 18 months in prison for attempting to interfere with the due administration of the Internal Revenue laws, announced Principal Deputy Assistant Attorney General Richard E. Zuckerman of the Justice Department’s Tax Division.
According to court documents, between October 2007 and September 2011, Billy Darryl Floyd committed acts in order to obstruct and impede the Internal Revenue Service. These acts include filing false income tax returns, which falsely reported that his income was zero. Additionally, Floyd submitted fictitious “Surety Bonds” to the Internal Revenue Service (IRS) attempting to satisfy his outstanding tax liability. Floyd also disrupted the IRS sale of property seized from him to satisfy his outstanding tax liabilities by threatening IRS employees conducting the sale and threatening to sue the buyer of the property. At the sale, Floyd falsely told potential buyers that the sale was illegal and that they would not receive good title to the property. These actions caused IRS personnel to halt the public sale of this property. Floyd’s obstructive acts caused a tax loss of approximately $170,471.
In addition to the term of prison imposed, U.S. District Court Judge Max O. Cogburn Jr. ordered Floyd to serve one year of supervised release and to pay $170,471 in restitution to the IRS.
Principal Deputy Assistant Attorney General Zuckerman commended special agents of IRS-Criminal Investigation, who conducted the investigation, and Trial Attorney Gregory Bailey of the Tax Division, who prosecuted the case.
Additional information about the Tax Division and and its enforcement efforts may be found on the division’s website.
Newark Man Charged with Firearms Offenses in Connection with Shooting of 5-Year Old ChildRead the Press Release
NEWARK, N.J. – A Newark man made an initial appearance in federal court today on charges of being a convicted felon in possession of a handgun, U.S. Attorney Craig Carpenito announced.
Jamar Battle, 30, was charged by complaint Aug. 10, 2018, with one count of being a convicted felon in possession of a firearm and ammunition. He was arrested on Aug. 11, 2018, and appeared today before U.S. Magistrate Judge Cathy L. Waldor in Newark federal court and ordered detained.
According to the complaint filed in the case:
On July 4, 2018, Battle, who was convicted in 2015 for illegally possessing a firearm, fired a handgun on Avon Avenue in Newark after engaging in a verbal dispute with another person. While the defendant did not hit his intended target, he did hit a 5-year-old child who had been walking down the same street with her father. The child was injured and required medical treatment.
The charge of being a felon in possession of a weapon carries a maximum potential penalty of 10 years in prison and a fine of up to $250,000.
U.S. Attorney Carpenito credited law enforcement officers of the Newark Department of Public Safety, under the direction of Director Anthony F. Ambrose; special agents of the Department of Alcohol Tobacco and Firearms, under the direction of Special Agent in Charge John B. Devito; special agents of the FBI, under the direction of Special Agent in Charge Gregory W. Ehrie; and the Essex County Prosecutor’s Office, under the direction of Acting Prosecutor Robert D. Laurino, with the investigation leading to the charges.
The government is represented by Senior Litigation Counsel Robert Frazer and Special Assistant U.S. Attorney Naazneen Khan of the U.S. Attorney’s Office Violent Crimes Unit in Newark.
The charge and allegations contained in the complaint are merely accusations and the defendant is considered innocent unless and until proven guilty.
Michigan and Ohio Residents Sentenced for Conspiracy to Distribute FentanylRead the Press Release
The prosecution involved more than 200 grams of the powerful and dangerous opioid
ASHLAND, Ky. – Demetre Brown-Lovelace, 27, of Belleville, Mich., and Noelle Tufts, 24, of Ironton, Ohio, were sentenced to federal prison today, by United States District Judge David L. Bunning, for a conspiracy to distribute fentanyl. Brown-Lovelace was sentenced to ten years and Tufts was sentenced to five years.
Brown-Lovelace and Tufts previously admitted that in April 2017, they conspired together and with others to distribute 209 grams of fentanyl. Brown-Lovelace had a prior conviction for trafficking in a controlled substance, heroin, from the Boyd Circuit Court, in April 2016. Brown-Lovelace and Tufts entered a plea to the conspiracy charge in May 2018.
Under federal law, Brown-Lovelace and Tufts must serve 85 percent of their prison sentence; and, upon their release, they will be under the supervision of the United States Probation Office for eight years and four years, respectively.
Robert M. Duncan, Jr., United States Attorney for the Eastern District of Kentucky; Robert Allan Jones, Special Agent in Charge, FBI, Pittsburgh Field Office; and Richard Sanders, Commissioner of the Kentucky State Police; jointly made the announcement.
The investigation was conducted by the FBI, Huntington, WV Resident Agency and the Kentucky State Police. The United States was represented by Assistant United States Attorney Cynthia T. Rieker.
Mexican Man Sentenced to Prison for Document FraudRead the Press Release
A Mexican man who used a false identification document to obtain a job was sentenced today to six months in federal prison.
Jose Lopez-Garcia, age 35, a citizen of Mexico illegally present in the United States and living in Cedar Rapids, Iowa, received the prison term after a June 7, 2018, jury verdict finding him guilty of one count of unlawful use of an identification document.
Evidence at trial showed that Lopez-Garcia used a fraudulent permanent resident card, also known as a “green card,” bearing a number assigned to a female born in Cuba in 1934, when he completed an employment form on November 18, 2016, at a business in Cedar Rapids. Lopez-Garcia also used a fraudulent “green card” when he applied for work at another Cedar Rapids business on February 22, 2017.
Lopez-Garcia was sentenced in Cedar Rapids by United States District Court Judge Linda R. Reade. Lopez-Garcia was sentenced to six months’ imprisonment. He must also serve a three-year term of supervised release after the prison term. There is no parole in the federal system.
Lopez-Garcia is being held in the United States Marshal’s custody until he can be transported to a federal prison.
The case was prosecuted by Assistant United States Attorney Daniel C. Tvedt and investigated by Department of Homeland Security, Immigration and Customs Enforcement, Enforcement and Removal Operations.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 18-CR-24-LRR.
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Merced Former CEO and Licensed Nurse Practitioner Pleads Guilty to Health Care FraudRead the Press Release
FRESNO, Calif. — Sandra Haar, 57, of Merced, pleaded guilty today to health care fraud and conspiracy to receive kickbacks, U.S. Attorney McGregor W. Scott announced.
Haar was the founder and chief executive officer of Horisons Unlimited, a nonprofit public benefit corporation that provided health and dental services in Merced and surrounding communities. According to court documents, between January 1, 2014, and March 2017, Haar orchestrated a scheme to bill Medicare and Medi-Cal for services she knew were not reimbursable, and she profited by over $3.7 million from her fraud. For example, Haar billed Medi‑Cal for health and dental services that were not rendered and for unnecessary health care services. She also billed Medi-Cal for office visits with purportedly licensed doctors when the patients instead were dispensed Suboxone, an opioid medication, in the parking lots of McDonald’s and Rite Aid in baggies.
According to the plea agreement, Haar also received thousands of dollars in kickbacks in cash from an account executive at a laboratory in exchange for using it for Horisons patients’ laboratory testing.
This case is the product of an investigation by the Federal Bureau of Investigation, the U.S. Department of Health and Human Services Office of Inspector General (HHS OIG), the California Department of Health Care Services, and the California Bureau of Medi-Cal Fraud & Elder Abuse. Assistant U.S. Attorneys Lee S. Bickley and Michael Tierney are prosecuting the case.
Haar is scheduled to be sentenced by U.S. District Judge Lawrence J. O’Neill on January 28, 2019. Haar faces a maximum statutory penalty of 20 years in prison and a fine of twice the value of Haar’s gain. The actual sentence, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.
Massapequa High School Teacher Charged with Transportation and Possession of Child PornographyRead the Press Release
An indictment was unsealed today in federal court in Central Islip charging Joseph Zanco with transportation and possession of child pornography. The charges relate to images and videos of child pornography in Zanco’s Google account and on electronic devices found in his residence when members of law enforcement executed a search warrant. Zanco was arrested today and will be arraigned this afternoon before United States Magistrate Judge Anne Y. Shields.
Richard P. Donoghue, United States Attorney for the Eastern District of New York, and Angel M. Melendez, Special Agent-in-Charge, U.S. Immigration and Customs Enforcement (ICE), Homeland Security Investigations (HSI), New York, announced the charges.
“As alleged, Zanco possessed and transported hundreds of images of child pornography, crimes that contribute to the victimization of minor children, while he was employed in a position of trust as a teacher,” stated United States Attorney Donoghue. “The protection of innocent children is a priority for this Office and our law enforcement partners. We will continue to make every effort to ensure that those who contribute to the victimization of children will be brought to justice.” Mr. Donoghue extended his grateful appreciation to ICE-HSI’s Child Exploitation Group for its investigative work and assistance.
“This case is particularly troubling because the defendant allegedly committed these crimes while employed as a teacher,” stated HSI Special Agent-in-Charge Melendez. “HSI actively works with our law enforcement partners in the shared fight against those who are engaged in the spread of this content, especially those who have been entrusted with the education of our youth.”
According to court filings, beginning on April 13, 2018, Zanco, a teacher at Massapequa High School, began uploading hundreds of images of child pornography to the Google Drive storage feature of his Google account. Google, in accordance with its policies and federal law, flagged these uploads, suspended Zanco’s account and notified law enforcement. Thereafter, law enforcement obtained search warrants for Zanco’s residence and his Google account. The search of the Zanco’s Google account uncovered child pornography, and the search of his laptop computer and cell phone revealed additional images and videos of child pornography.
If convicted of the transportation of child pornography count, Zanco faces a mandatory minimum of five years’ imprisonment and a maximum of 20 years’ imprisonment.
The charges in the indictment are allegations, and the defendant is presumed innocent unless and until proven guilty.
This prosecution is part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by United States Attorneys’ Offices and the Department of Justice 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 more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
The government’s case is being handled by the Office’s Long Island Criminal Division. Assistant United States Attorney Michael R. Maffei is in charge of the prosecution.
The Defendant:
JOSEPH M. ZANCO
Age: 43
Massapequa, New YorkE.D.N.Y. Docket No. 18-CR-412 (JFB)
Maryland MS-13 Member Ordered to Serve Two Consecutive Life Sentences for Federal Racketeering Conspiracy, Murder, and Other Violent CrimesRead the Press Release
Greenbelt, Maryland – U.S. District Judge Peter J. Messitte sentenced Raul Ernesto Landaverde-Giron, a/k/a “Humilde,” a/k/a “Decente,” age 28, of Silver Spring, Maryland, today to two consecutive sentences of life in prison for conspiracy to participate in a racketeering enterprise in connection with his gang activity as a member of La Mara Salvatrucha, or MS-13, and other violent crimes, namely murder in aid of racketeering; conspiracy to commit murder in aid of racketeering; using, carrying, and discharging a firearm during a crime of violence; and murder resulting from the use, carrying, and discharging of a firearm during a crime of violence. A federal jury convicted Landaverde-Giron of those charges on March 14, 2018, after a three-week trial.
The sentencing was announced by United States Attorney for the District of Maryland Robert K. Hur; Attorney General Jeff Sessions; Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division; Acting Special Agent in Charge Cardell T. Morant of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI); Chief Henry P. Stawinski III of the Prince George’s County, Maryland, Police Department; Prince George’s County State’s Attorney Angela D. Alsobrooks; Captain Amal Awad, Interim Chief of the Hyattsville City Police Department; Chief Edward Hargis of the Frederick Police Department; Frederick County State’s Attorney J. Charles Smith; Chief J. Thomas Manger of the Montgomery County Police Department; and Montgomery County State’s Attorney John McCarthy.
MS-13 is a national and transnational gang composed primarily of immigrants or descendants from El Salvador. Evidence presented at trial showed that branches or “cliques” of MS-13, one of the largest street gangs in the United States, operate throughout Frederick County, Montgomery County, and Prince George’s County, Maryland. Landaverde-Giron was a member of the MS-13 Normandie Locos Salvatrucha Clique.
According to evidence presented at the trial, from at least 2012 through at least 2016, MS-13 members planned and committed numerous crimes, including murders and attempted murders in Prince George’s County and Frederick County. Gang members also extorted owners of illegal businesses, among other crimes. Witnesses testified that MS-13 members are required to commit acts of violence to maintain membership and discipline within the gang. One of the principal rules of MS-13 is that its members must attack and kill rivals, known as “chavalas,” whenever possible. Serious violations of MS-13 rules, such as cooperating with law enforcement, could result in the issuance of a “greenlight,” or order to be killed. Participation in violent acts directed at rival gangs, or as directed by gang leadership, increased the respect accorded to that member.
Trial evidence showed that on November 30, 2013, Landaverde-Giron, along with two other Normandie Clique members, murdered an individual in Frederick, Maryland, who had fled El Salvador to escape a greenlight imposed by MS-13 members in El Salvador. After a co-conspirator recognized the victim in Frederick, Normandie Clique members called an MS-13 leader in prison in El Salvador to confirm that the greenlight was still in effect. A co-conspirator then lured the victim to a wooded area in Frederick, where he shot the victim in the head and Landaverde-Giron and another co-conspirator stabbed the victim in the face and neck. Landaverde-Giron was promoted within the Normandie Clique for his participation in this murder.
Landaverde-Giron pleaded guilty today to illegally reentering the U.S. after having been deported, and was sentenced to six months in prison. Landaverde-Giron has been detained since his arrest.
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.
United States Attorney Robert K. Hur commended HSI Baltimore, Frederick Police Department, Prince George’s County Police Department, Hyattsville City Police Department, and Montgomery County Police Department, and the Prince George’s County State’s Attorney’s Office, for their work in the investigation and prosecution. Mr. Hur thanked Assistant United States Attorneys Lindsay Eyler Kaplan and William D. Moomau, and Trial Attorney Francesca Liquori with the Justice Department’s Organized Crime and Gang Section, who prosecuted the case.