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20 July 2018
Former Las Vegas City Councilman Sentenced to PrisonRead the Press Release
WASHINGTON – A former Las Vegas City Councilman was sentenced today to 1 month in prison, 3 months in a halfway house, and 8 months of home confinement for orchestrating a scheme to steal tens of thousands of dollars from his reelection campaign in 2015, announced Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division and U.S. Attorney Dayle Elieson of the District of Nevada.
Ricki Y. Barlow, 46, of Las Vegas, Nevada, was sentenced by U.S. District Judge Andrew P. Gordon of the District of Nevada following Barlow’s guilty plea to one count of wire fraud earlier this year. In addition to the term of imprisonment, Judge Gordon imposed a fine of $66,125 and ordered Barlow to serve 3 years of supervised release.
According to admissions made in connection with Barlow’s plea, Barlow stole approximately $49,125 from his reelection campaign in 2015 through a series of kickbacks from campaign vendors. Barlow admitted to directing the campaign vendors to submit inflated invoices to his campaign treasurer and then kick back a substantial percentage of their paychecks to Barlow, typically in the form of cash. Barlow also admitted to accepting an additional $17,000 in cash campaign contributions that he never reported to his campaign treasurer or transmitted to the campaign. Instead, as he did with the campaign kickbacks, Barlow admitted to diverting the $17,000 in campaign contributions for his own personal use.
To conceal the scheme to steal campaign funds, Barlow admitted to causing his campaign to submit false campaign finance reports to the Nevada Secretary of State.
This case was investigated by the FBI. Trial Attorney Ryan J. Ellersick of the Criminal Division’s Public Integrity Section and Assistant U.S. Attorney Daniel R. Schiess of the District of Nevada prosecuted the case.
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Former Boca Raton Resident Sentenced to More than 5 Years in Prison for Multi-Million Dollar Stolen Identity Refund Fraud SchemeRead the Press Release
A former Boca Raton resident, who purported to operate a tax preparation business in Pompano Beach, was sentenced to more than 5 years in prison for his involvement in a multi-million dollar stolen identity tax refund fraud scheme.
Benjamin G. Greenberg, United States Attorney for the Southern District of Florida, and Michael J. De Palma, Acting Special Agent in Charge, Internal Revenue Service (IRS-CI), made the announcement.
Wilson Lasset, 48, formerly of Boca Raton, Florida, previously pleaded guilty to wire fraud, in violation of Title 18, United States Code, Section 1343 and aggravated identity theft, in violation of Title 18, United States Code, Section 1028A. Yesterday, U.S. District Court Judge Kathleen M. Williams sentenced Lasset to 42 months in prison on the wire fraud count of conviction, to be followed by a consecutive term of 24 months in prison for the crime of aggravated identity theft.
According to the record, including agreed upon stipulated facts filed in court, Lasset applied to the IRS for identification numbers, enabling him and the business he incorporated, Triangle International Training Center, to prepare and electronically file tax returns on behalf of other people. The business operated out of two addresses in Pompano Beach, Florida. In 2012, using these identification numbers, the defendant filed approximately 1,606 tax returns with the IRS. These tax returns included at least 25 returns filed using the names and social security numbers of individuals living with cerebral palsy who did not need to file tax returns and who did not authorize Lasset to file tax returns on their behalf. The unauthorized filings also included returns using the identities of approximately 386 incarcerated individuals. These returns, as well as the filings using the identities of the individuals with cerebral palsy, included falsely claimed earned income tax credits, based on false claims of earning income as “household help” employees, and falsely claimed education credits designed to reimburse college and other higher education expenses.
In total, Lasset’s identification numbers were used to claim more than $2.7 million in fraudulent tax refunds. The IRS paid approximately $788,611 in refunds based on these fraudulent tax returns. Approximately $51,000 was deducted directly from these refunds as preparer’s fees that were deposited into a bank account Lasset opened and controlled for Triangle International Training Center. Lasset used the money deposited into this account to fund his travel and other personal expenses.
Mr. Greenberg commended the investigative efforts of IRS-CI in connection with this matter. This case was prosecuted by Assistant U.S. Attorney Jared M. Strauss.
Related court documents and information can 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.
Federal Prison Employee Charged with Smuggling Phones into Prison and Making False StatementsRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, today announced that, on July 18, a federal grand jury in New Haven returned an indictment charging ERIC WILLIAMS, 37, of Danbury, with one count of providing contraband in prison and one count of making false statements.
WILLIAMS was arrested this morning. He appeared before U.S. Magistrate Judge William I. Garfinkel in Bridgeport, entered a plea of not guilty, and was released on a $50,000 bond.
As alleged in the indictment, WILLIAMS worked in the Food Service Department at the Federal Correctional Institution in Danbury (FCI Danbury). On July 9, 2017, WILLIAMS attempted to smuggle four mobile phones and an electric beard trimmer into the prison by hiding the items in his hat as he entered the facility through the staff entrance. When a corrections officer arrived at the staff entrance to screen WILLIAMS for admission into the facility, WILLIAMS abandoned the attempt and left his hat containing the contraband in the entrance area. When a supervisory officer found the hat and asked WILLIAMS if it belonged to him, WILLIAMS denied that it was his hat.
If convicted of the charges, Williams faces a maximum term of imprisonment of six years.
U.S. Attorney Durham stressed that an indictment is not evidence of guilt. Charges are only allegations, and the defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.
This matter is being investigated by the Federal Bureau of Investigation and the Department of Justice Office of the Inspector General with cooperation from the Federal Bureau of Prisons. The case is being prosecuted by Assistant U.S. Attorney Avi M. Perry.
Federal Officials Close Review of Fatal Shooting of Hector Escoto-MunguiaRead the Press Release
Roanoke, VIRGINIA – The United States Attorney’s Office for the Western District of Virginia announced today that there is insufficient evidence to pursue federal criminal charges against Keith Sidwell in the April 10, 2018 fatal shooting of Hector Escoto-Munguia on the Blue Ridge Parkway.
Officials from the United States Attorney’s Office met with members of Escoto-Munguia’s family today to inform them of this decision.
In conducting its review, the United States Attorney’s Office was tasked with determining whether the events that led to the death of Mr. Escoto-Munguia gave rise to a federal criminal violation prosecutable under the applicable statutes, 18 U.S.C. § 1111 (Unlawful Killing of Another Person), or 18 U.S.C. § 1112 (Voluntary Manslaughter). To establish a violation of Section 1111, the government must prove, beyond a reasonable doubt, that (1) the defendant unlawfully killed a person; (2) the defendant killed with malice aforethought; and (3) the killing was premeditated.; or that (1) the defendant unlawfully killed a person; (2) the defendant killed with malice aforethought; and (3) the killing took place within the territorial jurisdiction of the United States. To establish a violation of Section 1112, the government must prove, beyond a reasonable doubt, that (1) the defendant unlawfully killed a person; and (2) the defendant did so without malice, that is, upon a sudden quarrel or heat of passion. Based on the specific circumstances of this encounter, the United States Attorney’s Office also had to analyze these potential federal charges in conjunction with the self-defense doctrine, which, in certain cases, acts as a bar to criminal liability for an otherwise intentional killing.
Here, experienced federal prosecutors from the United States Attorney’s Office considered whether Keith Sidwell (Sidwell) violated Sections 1111 or 1112 by killing Mr. Escoto-Munguia. After a thorough review of the evidence gathered by the FBI, the Roanoke County Police Department and the National Park Service, the United States Attorney’s Office has determined that there is insufficient evidence to prove, beyond a reasonable doubt, that Mr. Sidwell violated either statute.
The United States Attorney’s Office conducted an independent review of the evidence. This included multiple 911 calls, witness interviews, crime-scene analysis, physical evidence and digital media. This evidence indicated that on April 10, 2018, Mr. Sidwell and Mr. Escoto-Munguia, who was driving a Hummer H3, encountered each other while they were both driving on the Blue Ridge Parkway. The two ended up stopped next to each other, facing in opposite directions, with their driver’s windows down. Mr. Sidwell stated that Mr. Escoto-Munguia pointed what appeared to be a semi-automatic handgun at him and Mr. Sidwell, a former police officer who possessed a valid concealed weapons permit, drew his own handgun, a Glock 9mm, and yelled multiple times for Mr. Escoto-Munguia to drop the gun. Mr. Sidwell asserted that he discharged his firearm when Mr. Escoto-Munguia continued to point the firearm at him and Mr. Sidwell feared for his life. Investigators determined that Mr. Sidwell discharged his firearm three times and they also recovered a Daisy Powerline Model 340 BB pistol from the roadway just outside and to the rear of Mr. Escoto-Munguia’s vehicle. The BB-gun is made to look like an actual handgun and bears markings strikingly similar to a Beretta 92F 9mm pistol. At approximately 10:27 a.m., Mr. Sidwell called 911 stating he had shot a man on the Blue Ridge Parkway after the man had pointed a gun at him. Mr. Sidwell can be heard shouting “get down” or “sit down” in the background of this call. The investigation also disclosed that immediately before the shooting, Mr. Escoto-Munguia had at least three other encounters with witnesses not far from the location of the shooting. These witnesses reported that a man driving a vehicle similar to that of Mr. Escoto-Munguia brandished what appeared to be a black handgun at them. They each identified Mr. Escoto-Munguia from either his photograph or his vehicle. Specifically, one of the witnesses also reported a license plate number on the vehicle being driven by the man brandishing the firearm, which transposed one letter of the license plate number on Mr. Escoto-Munguia’s Hummer (VZY-4100 versus VYZ-4100, respectively).
Here, the United States Attorney’s Office cannot disprove Mr. Sidwell’s assertion that he needed to use deadly force because he feared for his life when Mr. Escoto-Munguia pointed what appeared to be a handgun at him and failed to comply with his orders to drop it. As noted above, a person who has killed another human being may rely upon the doctrine of self-defense to justify his actions and remove himself from criminal liability. The person who is not the aggressor may use a reasonable amount of force against the aggressor when the defender reasonably believes he or she is in immediate danger of unlawful bodily harm, and the use of force is necessary to prevent that harm. United States v. Bellinger, 652 F. App’x 143, 148 (4th Cir. 2016) (unpublished). Deadly force may be used in self-defense if it is an “in-kind response,” i.e. a person “reasonably believes that he is in imminent danger of death or great bodily harm.” United States v. Barrett, 797 F.3d 1207, 1218 (10th Cir. 2015); United States v. Black, 692 F.2d 314, 318 (4th Cir. 1982). Finally, a valid claim of self-defense requires that the aggressor “(1) was under unlawful and present threat of death or serious bodily injury; (2) did not recklessly place himself in a situation where he would be forced to engage in criminal conduct; (3) had no reasonable legal alternative; and (4) established a direct causal relationship between the criminal action and the avoidance of the threatened harm.” United States v. Smith, 600 F. App’x 884, 886 (4th Cir. 2015).
In this case, there is insufficient evidence to establish, beyond a reasonable doubt, that Mr. Sidwell unlawfully killed Mr. Escoto-Munguia and that he did not act in self defense. The totality of the available evidence indicates that just prior to his encounter with Mr. Sidwell, Mr. Escoto-Munguia had encounters with others on or near the Blue Ridge Parkway during which he displayed what appeared to be a handgun. There is no reliable testimonial or physical evidence that refutes Mr. Sidwell’s account that he believed he was in imminent danger of death or great bodily harm when Mr. Escoto-Munguia pointed what appeared to be a handgun at him. Accordingly, the evidence is not sufficient to meet the rigorous requirements of proving beyond a reasonable doubt the elements of 18 U.S.C. §§ 1111 or 1112. This decision is limited strictly to an application of the high legal standard required to prosecute the case under federal criminal laws. It does not reflect an assessment of any other aspect of the incident that led to Mr. Escoto-Munguia’s death.
The United States Attorney’s Office consulted with the Roanoke County Commonwealth’s Attorney’s Office throughout the investigation and review of this matter and that office concurred with the decision of the United States Attorney’s Office.
This decision is based on an extensive review and a careful analysis of the applicable law, as well as our adherence to well-established ethical standards governing prosecutors in cases where, as here, the evidence falls short of our constitutional burden of proof. The United States Attorney’s Office is committed to investigating all allegations of violations of federal law and will devote all necessary resources to ensure that a thorough and careful review is given to any matter within our jurisdiction.
Federal Jury Finds Oklee Man Guilty of Possessing Unregistered Pipe BombsRead the Press Release
United States Attorney Erica H. MacDonald announced the conviction of ERIC JAMES REINBOLD, 41, for illegally possessing unregistered pipe bombs. Following a three-day trial before Chief Judge John R. Tunheim in U.S. District Court in Fergus Falls, Minnesota, the jury found REINBOLD guilty of one count of possession of unregistered destructive devices. REINBOLD’S sentencing hearing is set for November 16, 2018.
“Given the dangerousness of the devices and the courage of the concerned citizens who discovered them and contacted law enforcement, we are pleased with the jury’s verdict,” said Assistant U.S. Attorney Julie Allyn.
“Regardless of the intent of use, pipe bombs are illegal improvised explosive devices, bottom line,” said ATF Assistant Special Agent in Charge Kirk Howard, of the St. Paul Field Division. “We’re grateful that somebody took the initiative to report this, and we encourage anyone who comes into contact with dangerous, illegal improvised explosive devices to reach out to us. It could save people from getting hurt or killed. Our local law enforcement partners did a tremendous job during this investigation. Their work directly lead to today’s verdict.”
As proven at trial, on October 22, 2017, law enforcement received a report of possible pipe bombs and bomb making materials found on hunting land in Oklee, Minnesota. When law enforcement responded to the property, they found a plastic tote containing items that appeared to be destructive devices, specifically, pipe bombs. In addition to the pipe bombs, there were two jugs of gun powder, fuses, batteries, toggle switches, a Christmas tree light with cut wires, a kitchen timer, Nerf-gun bullets, and a receipt for the fuses containing REINBOLD’S name and address.
As proven at trial, on November 2, 2017, law enforcement executed a search warrant at REINBOLD’S residence in Oklee. Officers recovered materials similar to those found on the hunting land, as well as a book entitled “Anarchist Cookbook,” and a notebook entitled “How one (1) person Can make a difference *Instruction Booklet at the HCU (homemade commando university),” which contained handwritten notes related to manufacturing pipe bombs, making homemade explosives, how to use pipe bombs, and diagrams of bombs that match the bombs found in the tote.
This case is the result of an investigation conducted by the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Red Lake County Sheriff’s Office, the Crow Wing County Sheriff’s Office, and the Pennington County Sheriff’s Office.
Assistant United States Attorneys Julie E. Allyn and Angela Munoz-Kaphing are prosecuting this case.
Defendant Information:
ERIC JAMES REINBOLD, 41
Oklee, Minn.
Convicted:
- Possession of unregistered destructive devices, 1 count
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United States Attorney’s Office, District of Minnesota: (612) 664-5600
Federal Jury Convicts Wilson County Man of Firearm OffensesRead the Press Release
RALEIGH – Robert J. Higdon, Jr., United States Attorney for the Eastern District of North Carolina, announces that in Federal court, ROBERT LEE HOLDEN, JR., a 50-year-old resident of Wilson, was convicted following a two-day trial before United States District Chief Judge James C. Dever III. The jury found HOLDEN guilty of Possession of a Stolen Firearm and Being a Convicted Felon in Possession of a Firearm. Sentencing is scheduled for October 22, 2018. HOLDEN faces up to life imprisonment.
The evidence at trial showed that on July 5, 2016, Officers of the Wilson County Sheriff’s Office responded to a shots fired call. Officers responded to the scene and discovered HOLDEN on the the front porch of his residence. After inviting the officers to search his home for firearms, the officers discovered a .357-caliber revolver on a leather ottoman, only a few feet from where HOLDEN was standing. The revolver had one spent shell casing inside its cylander. Addtionally, officers determined that the firearm was a stolen firearm taken from the home of HOLDEN’S uncle who lived nearby.
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.
In support of PSN, the United States Attorney’s Office for the Eastern District of North Carolina has implemented the Take Back North Carolina Initiative. This initiative emphasizes the regional assignment of federal prosecutors to work with law enforcement and District Attorney’s Offices on a sustained basis in those communities to reduce the violent crime rate, drug trafficking, and crimes against law enforcement.
The case was investigated by the Wilson County Sheriff’s Office and the Bureau of Alcohol, Tobacco, Firearms & Explosives (ATF). James J. Kurosad prosecuted the case on behalf of the United States.
District Man Sentenced to 13 Years in Prison for Shooting Man in Broad Daylight in Southwest WashingtonRead the Press Release
WASHINGTON – Delonte Mack, 31, of Washington, D.C., was sentenced today to 13 years in prison on charges stemming from a brazen shooting that took place in broad daylight last year in Southwest Washington, announced U.S. Attorney Jessie K. Liu and Peter Newsham, Chief of the Metropolitan Police Department (MPD).
The victim was shot numerous times at close range and, but for the quick medical attention of a responding Metropolitan Police Department (MPD) officer, could have died.
Mack was found guilty by a jury on April 17, 2018, of charges of aggravated assault while armed, possession of a firearm during a crime of violence, and unlawful possession of a firearm. The verdict followed a trial in the Superior Court of the District of Columbia. He was sentenced by the Honorable Juliet McKenna. Following his prison term, he will be placed on five years of supervised release.
According to the government’s evidence, on Saturday, Feb. 25, 2017, at approximately 12:45 p.m., the victim was standing in front of a carry-out restaurant in the unit block of N Street SW, a short distance from Nationals Park. Without warning, Mack came from an alley running alongside the carry-out and approached the victim from behind. He then opened fire.
The victim was hit five times, including in the groin, back and arm. During the trial, the surgeon who treated the victim testified how emergency surgery was needed to prevent him from bleeding to death on the operating table. The victim continues to suffer pain and limited mobility as a result of his gunshot wounds, and lost a toe in the attack.
After the shooting, Mack ran back into the alley and toward the back yard of his nearby home on Carrollsburg Place SW. Minutes later, he sped away in his car, headed into Maryland. An investigation led to his arrest on March 17, 2017, and he has been in custody ever since.
Mack was linked to the crime through video from the alley, cell site data, and Internet searches he conducted about the shooting and about “boots for missing toes.” At the time of his arrest, Mack was on supervised release stemming from an earlier firearms case.
In announcing the sentence, 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 District of Columbia Department of Forensic Sciences and the FBI’s Cellular Survey Analysis Team. They acknowledged the efforts of those who worked on the case from the U.S. Attorney’s Office, including Paralegal Specialists Tiffany Fogle and Lornce Applewhite; Litigation Technology Specialist Leif Hickling, and Criminal Investigators Durand Odom, Tommy Miller, Mark Crawford, and John Marsh.
Finally, they commended the work of Assistant U.S. Attorneys John B. Timmer and Laura Crane, who investigated and prosecuted the case.
Defendant sentenced for trafficking methamphetamine from prisonRead the Press Release
ATLANTA - Ricardo Silva, a current inmate at Smith State Prison and a high-ranking member of the Sureños prison gang, has been sentenced to 35 years in federal prison for trafficking methamphetamine. He is currently serving a sentence with the state of Georgia for trafficking cocaine.
“Silva’s time in state prison did not deter him from continuing his drug trafficking activity,” said U.S. Attorney Byung J. “BJay” Pak. “Instead of learning his lesson from his cocaine-trafficking conviction, Silva chose to continue building a drug-trafficking network with methamphetamine, but he will now face the consequences of his crime with a lengthy sentence in federal prison.
“The mission of DEA is unwavering - we combat drug traffickers - to include those who “push” drugs on the streets while incarcerated,” said Robert J. Murphy, the Special Agent in Charge of the DEA Atlanta Filed Division. “In the end, these substances cause immeasurable damage to communities. Today’s sentencing is a perfect example of how the law enforcement community and the U.S. Attorney’s Office work together to keep deserving criminals like Silva behind bars.”
“Methamphetamine continues to ravage many communities in our nation,” said Daniel R. Salter, the Executive Director of the Atlanta-Carolinas High Intensity Drug Trafficking Area (HIDTA). “Because of the positive results yielded in this case, the sentencing of Silva should serve as a stern warning to others, that whether you seek to push methamphetamine on the streets or while incarcerated, you will ultimately be brought to justice.”
“We are especially proud of our agents and investigators who proactively identified the criminal enterprise being conducted by Silva, and worked tirelessly with our partners at the federal, state, and local levels to expose his actions,” said Gregory C. Dozier, Commissioner of the Georgia Department of Corrections. “This is yet another example of why we appreciate the support and assistance of our law enforcement partners, as we continue to work together in our commitment to expose those who pose a threat to the safety of the citizens of Georgia and ensure justice is served.”
“Criminals who are able to operate inside prisons and conduct this level of criminal activity are a direct threat to the safety of the public,” said GBI Director Vernon Keenan. “The GBI is fully committed to working with the state and federal partners to address this type of crime.”
According to U.S. Attorney Pak, the charges and other information presented in court: Since January 2010, Ricardo Silva has been serving a state sentence for trafficking cocaine. Georgia Department of Corrections officials believed that Silva was – and still is – one of the highest-ranking Georgia members of the Sureños, a dangerous gang with a strong presence in state and federal correctional facilities across the United States.
In 2016, federal agents with HIDTA and the DEA began investigating Silva for trafficking drugs while he was incarcerated in Smith State Prison. Over the course of the investigation, agents learned that Silva obtained access to a contraband cellphone, despite being segregated from the general population for 23 hours a day. Silva was able to thwart the prison’s security features designed to prevent inmates from making calls on unauthorized devices.
Agents used a variety of investigative techniques, including a federal wiretap of Silva’s contraband cellphone, to uncover his drug trafficking activities. During the investigation, they seized or found evidence of more than 100 pounds of methamphetamine in liquid and crystal form. Silva coordinated deliveries of this methamphetamine with a source of supply based in Mexico.
Law enforcement officers also conducted a traffic stop after observing one of Silva’s co-conspirators making a drug transaction, finding a firearm and approximately six pounds of crystal methamphetamine at the scene. Silva’s drug distribution network consisted of family members, former prisoners, and other recruits.
Ricardo Silva, 45, of Lawrenceville, Georgia was sentenced by U.S. District Judge Timothy C. Batten, Sr., to 35 years in prison followed by five years of supervised release for conspiring to possess with intent to distribute at least 50 grams of methamphetamine, possessing with intent to distribute at least 50 grams of methamphetamine, and possessing a firearm in furtherance of a drug trafficking crime. Silva was found guilty by a jury on April 18, 2018.
The following defendants have also been convicted in the conspiracy:
●Victor Alfonso Gattan, a/k/a LA, age 33, of Gwinnett County, Georgia, pleaded guilty and was sentenced on July 10, 2018 to 12 years in federal prison for conspiring to possess with intent to distribute at least 50 grams of methamphetamine;
●Anthony Sandoval, a/k/a Tony, age 25, of Monroe, Georgia, pleaded guilty in federal court to conspiring to possess with intent to distribute at least 50 grams of methamphetamine on April 30, 2018, and is awaiting sentencing;
●Lydia Beck, a/k/a Lady, age 26, of McDonough, Georgia, pleaded guilty in federal court to conspiring to possess with intent to distribute at least 50 grams of methamphetamine on December 12, 2017, and is awaiting sentencing;
●Fernando Betancourt, a/k/a Scrappy, age 33, or Douglasville, Georgia, pleaded guilty in federal court to conspiring to possess with intent to distribute at least 50 grams of methamphetamine on March 5, 2018, and is awaiting sentencing; and
●Leslie Nelson, age 38, of Atlanta, Georgia, pleaded guilty and was sentenced on September 22, 2017 to 15 years in state prison for trafficking methamphetamine and possession of a weapon during a crime in the Superior Court of Clayton County.
This case was investigated by the Atlanta-Carolina High Intensity Drug Trafficking Area Program, the Drug Enforcement Agency, the Georgia Department of Corrections, the Georgia Bureau of Investigation, the Georgia State Patrol, and the Atlanta Police Department.
Special Assistant U.S. Attorney Nicholas N. Joy and Assistant U.S Attorneys Jennifer Whitfield and Vivek Kothari prosecuted the case.
The U.S. Attorney’s Office in Atlanta recommends that parents and children learn about the dangers of drugs at the following web site: www.justthinktwice.gov.
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.
Convicted Felon Sentenced for Illegal Reentry into the United StatesRead the Press Release
ALEXANDRIA, Va. – Ismael Ramirez-Martinez, 46, a citizen of Mexico, was sentenced today to two years in prison for illegal reentry into the United States.
According to court documents, Ramirez-Martinez first illegally entered the United States sometime in or before 1994. In 1994, he was convicted of second degree aggravated assault, a felony, in the New Jersey Superior Court of Middlesex County, for which he was sentenced to four years in prison. After serving the prison sentence, Ramirez-Martinez was removed to Mexico in 1995. He returned to the United States sometime after his removal in 1995. Ramirez-Martinez was convicted of another felony in 2013, felony possession or transportation of a firearm by an unlawful alien in Virginia Circuit Court of Rappahannock County. Later in 2013, he was convicted of his third felony, illegal reentry into the United States after deportation. After serving his prison sentences, Ramirez-Martinez was again removed to Mexico in 2014. Sometime after his deportation in 2014, Ramirez-Martinez returned to the United States illegally for a third time and remained undetected until his arrest on Dec. 30, 2017, in Warrenton for assault and battery on a law enforcement officer.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, and Russell Hott, Field Office Director for U.S. Immigration and Customs Enforcement’s (ICE) Enforcement and Removal Operations (ERO) Washington, D.C., made the announcement after sentencing by U.S. District Judge Liam O’Grady. Special Assistant U.S. Attorneys Matthew Reilly and Jason A. Reding prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information is located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:18-cr-71.
Clinton Man Convicted of Murder for HireRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, today announced that a federal jury in Hartford has found JAMES ERIK GODIKSEN, 56, of Clinton, guilty of murder for hire. The trial before U.S. District Judge Vanessa L. Bryant began on July 10, and the jury returned its verdict today.
According to the evidence at trial, in 2016, while he was incarcerated at New Haven Correctional Center, GODIKSEN reached out to other inmates seeking a person who would be willing to kill GODIKSEN’s former wife. Between September 10 and September 14, 2016, GODIKSEN and an ATF special agent acting in an undercover capacity spoke multiple times by phone. During these conversations, GODIKSEN offered to pay the undercover agent $5,000 to murder his “ex-wife,” and provided the agent with a physical description of his former wife, her phone number, her home address, her place of work and the route she typically drove to work. He also told the undercover agent how he would like his former wife to be murdered. GODIKSEN offered the undercover agent additional money if he encountered his former wife’s current boyfriend and killed him, too.
GODIKSEN was arrested on September 14, 2016, after he met with the undercover agent and provided him with a “down payment” of $80, some of which was to be used to purchase a knife.
GODIKSEN has been detained since his arrest. He faces a maximum term of imprisonment of 10 years.
This matter was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, Clinton Police Department and Connecticut Department of Correction. The case is being prosecuted by Assistant U.S. Attorneys Rahul Kale and Dave Vatti.
Clarksville Man Facing Federal Charges After Foiled Robbery AttemptRead the Press Release
Gabriel Gonzales, 18, of Clarksville, Tennessee, was charged yesterday in a criminal complaint with Hobbs Act robbery and brandishing and carrying a firearm during and in relation to a crime of violence, announced U.S. Attorney Don Cochran for the Middle District of Tennessee.
According to the complaint, on May 10, 2018, just before midnight, Gonzales and two other individuals accosted the clerk of Chip’s Quick Stop, located on Whites Creek Pike, as he was outside the store. All of the individuals wore facial coverings and Gonzales was armed with a shotgun. Gonzales pointed the shotgun at the clerk and ordered him back into the store. The clerk then drew his own weapon and shot Gonzales. As the two accomplices fled, the store clerk secured the shotgun and rendered first aid to Gonzales until medical personnel arrived. Gonzales was subsequently transported to a nearby hospital where he required surgery for the gunshot wound.
Subsequent investigation determined that the shotgun used by Gonzales had been stolen in Clarksville, Tennessee in April 2018.
If convicted, Gonzales faces up to 20 years in prison for the robbery charge and an additional mandatory minimum of seven consecutive years for using a firearm during a crime of violence.
This case was investigated by the Metropolitan Nashville Police Department and the FBI. Assistant U.S. Attorney Siji Moore is prosecuting the case.
A criminal complaint is merely an accusation. The defendant is presumed innocent until proven guilty in a court of law.
Career Navy Commander Pleads Guilty to 18-Month Conspiracy to Dispense, Distribute and Deliver Controlled Substances Using Dark WebRead the Press Release
Assistant U. S. Attorney Sherri Walker Hobson (619) 961-0287
NEWS RELEASE SUMMARY – July 20, 2018
SAN DIEGO – U.S. Navy Commander Adolph Garza, a 23-year veteran, pleaded guilty in federal court today to drug charges, admitting that he conspired to distribute, deliver and dispense controlled substances by means of the internet.
Garza, a San Diego resident, admitted using the Dark Web to make multiple purchases of various controlled substances, including ecstasy, ketamine, cocaine, amphetamine and other controlled substances over an 18-month period, beginning on August 12, 2016 and continuing up to March 7, 2018.
According to his plea agreement, Garza used multiple dark web market places to order controlled substances for distribution in San Diego and beyond. In his plea agreement, Garza admitted that on at least 15 occasions, the drugs he ordered were the same ones seized by U.S. Customs and Border Protection at airports in San Francisco, New York and Chicago; and by U.S. Postal Inspectors and Homeland Security Investigations agents in San Diego.
On March 7, 2018, Garza was arrested by U.S. Postal Inspectors, Special Agents with Homeland Security Investigations, and Special Agents with Naval Criminal Investigative Service following a search warrant for his San Diego condominium. Inside his residence, agents found sealers, packaging and mailing materials, and concealment mailing methods (including DVD cases). Federal agents also seized MDMA, cocaine, ketamine, amphetamine and other controlled substances, as Garza admitted today in federal court.
According to court records, Garza also distributed controlled substances, including powder and tablet forms of MDMA and ketamine, by mailing multiple packages to individuals in Texas.
Garza is scheduled to be sentenced before U.S. District Judge Cynthia Bashant on December 10, 2018 at 9 a.m.
DEFENDANT Case Number 18-cr-1745
Adolph Garza Age: 54 San Diego, California
SUMMARY OF CHARGES
Conspiracy to Distribute Controlled Substances by Internet
Maximum penalty: 20 years’ imprisonment and $500,000 fine
INVESTIGATING AGENCIES
U.S. Postal Inspection Service
Homeland Security Investigations
Naval Criminal Investigative Service
U.S. Customs and Border Protection
San Diego Police Department
Boston Man Charged with Illegally Possessing a Loaded HandgunRead the Press Release
BOSTON – A Boston man was charged yesterday in federal court in Boston with unlawfully possessing a loaded handgun.
Jermaine Fenton, 40, was indicted on one count of possession of a firearm and ammunition by a felon.
On June 2, 2018, law enforcement officers responded to a call reporting a person with a gun in Dorchester. Fenton had been involved in a dispute with his girlfriend when his girlfriend’s uncle went to check on the situation. When the uncle arrived, he witnessed Fenton hit his niece. When the uncle attempted to separate Fenton from his niece, Fenton threatened the uncle and then went to reach for an object under his bed. Fenton was held back and the uncle was able to retrieve the object, a Glock model 36, .45 caliber pistol with rounds of .45 ammunition. Fenton then fled the home.
About an hour after the initial 9-1-1 call, police were called back to the residence because Fenton was spotted hiding in the back yard. When police arrived, Fenton was hiding in the grass in the back of the house where he was arrested; he is currently in state custody.
In 2010, Fenton was convicted in federal court in Boston of being a felon in possession of a firearm and sentenced to 57 months in prison.
Fenton faces a sentence of no greater than 10 years in prison, three years of supervised release and a fine of $250,000. Sentences are imposed by a federal district court judge based on the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Andrew E. Lelling; Mickey D. Leadingham, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms and Explosives, New England Field Division; and Boston Police Commissioner William Evans made the announcement. Assistant U.S. Attorney David G. Tobin of Lelling’s Major Crimes Unit is prosecuting the case.
The details contained in charging documents are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Bergen County Man Admits Using Personal Information Stolen from U.S. Service Members to File Phony Tax ReturnsRead the Press Release
TRENTON, N.J. – A Fort Lee, New Jersey, man today admitted generating phony tax refunds using personal identifying information stolen from current and former members of the U.S. army, U.S. Attorney Craig Carpenito announced.
Shope Oluwo, 33, pleaded guilty before U.S. District Judge Freda L. Wolfson in Trenton federal court to an indictment charging him with one count each of conspiracy to commit wire fraud, access device fraud, and aggravated identity theft.
According to documents filed in this case and statements made in court:
From January through February 2016, Oluwo conspired with others, including Dermot Sutherland, 29, of Philadelphia, to obtain personal identifying information that was stolen from current or former members of the U.S. Army. Oluwo used that stolen information to create fake military identification cards and fraudulent W-2 forms bearing the victims’ names.
Oluwo provided the phony cards and W-2 forms to Sutherland, who posed as the victims and filed phony returns with a tax preparation company. Afterwards, Sutherland received debit cards from the tax preparation company that contained the ill-gotten refunds.
The conspiracy to commit wire fraud charge carries a maximum potential penalty of 20 years in prison and a $250,000 fine, or twice the gross gain or loss from the offense. The access device fraud charge carries a maximum potential penalty of 10 years in prison and $250,000 fine, or twice the gross gain or loss from the offense. The aggravated identity theft charge carries a term of imprisonment of two years which must run consecutively to any other prison term. Sentencing is scheduled for Oct. 26, 2018.
Sutherland previously pleaded guilty to his role in the scheme and awaits sentencing.
U.S. Attorney Carpenito credited special agents of the U.S. Department of Defense, Defense Criminal Investigative Service, under the direction of Special Agent in Charge Leigh-Alistair Barzey; postal inspectors of the U.S. Postal Inspection Service, under the direction of Acting Inspector in Charge Judy Ramos; and special agents of IRS–Criminal Investigation, under the direction of Acting Special Agent in Charge Bryant Jackson in Newark, with the investigation leading to today’s guilty plea.
The government is represented by Assistant U.S. Attorney Catherine R. Murphy of the U.S. Attorney’s Office Organized Crime and Gangs Unit.
Defense counsel: Patrick Brackley Esq., New York
Belgrade Man Sentenced to Prison for Drug OffenseRead the Press Release
MISSOULA – Richard Lee Clark, a 59-year-old resident of Belgrade, was sentenced today to 60 months in prison followed by four years supervised release after pleading guilty to conspiracy to possess with intent to distribute controlled substances. U.S. District Judge Dana Christensen handed down the sentence.
In late September 2016, investigators from the Missouri River Drug Task Force used a confidential informant to purchase methamphetamine. The confidential informant used Shannon Leavitt to arrange a drug deal. On October 3, 2016, investigators again used a confidential informant to purchase seven grams of methamphetamine from Leavitt. The informant and Leavitt went to her father’s, Richard Clark, house to pick up the methamphetamine. During that transaction, Leavitt told the informant that she was in business of dealing meth with her father Richard Clark.
Investigators also learned that methamphetamine was being shipped through the United States Mail to the Clark/Leavitt address. Investigators were then notified by the U.S. Postal Service about an express mail package being shipped to that address. Investigators had a K9 from the Bozeman Police Department sniff the package. The K9 positively alerted on the package for the presence of drugs. Investigators obtained a search warrant for Clark/Leavitt residence. They then delivered the package to the residence. Later that afternoon, Richard Clark returned to the home, retrieved the package, and went inside. Investigators then executed the search warrant at the house and found evidence of drug dealing. When they searched the Express Mail package, investigators found that it contained a candle and a tennis ball. There was an obvious hole in the tennis ball and investigators pulled a package out of it that contained 10.4 grams of methamphetamine. The candle was cut open which revealed the bottom half had been hollowed out and then resealed in a manner which made it look as though it had not been tampered with. The hollowed out portion of the candle held a package with 29.1 grams of methamphetamine.
Leavitt was interviewed after the search and admitted her role in the conspiracy. She said she was getting an ounce of methamphetamine a week for the past month from her source in Salt Lake City. She further said that she had previously driven to meet her source halfway between Montana and Salt Lake to get methamphetamine. Leavitt also stated that she would send her source the money through Western Union or Wal-Mart to Wal-Mart. Clark was also interviewed and said that he had been getting meth from the same source of supply as had been identified by Leavitt. Clarke said that he had ordered four ounce packages of meth from his source himself and that at one point, his source came to Montana to meet Clarke. He said he would get the money to his source by wiring it to him and would pay $550 for an ounce. Clarke also stated that he had sold or given meth to people who had come by the residence.
Clarke was held accountable for a total drug weight of 158.2 grams of methamphetamine which amounts to 1265 individual doses of the drug.
Shannon Leavitt has also pled guilty to her role in the drug conspiracy and was sentenced on January 19, 2018 to 60 months imprisonment.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. Attorney General Jeff Sessions reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.
The case was prosecuted by Assistant U.S. Attorney Bryan R. Whittaker and investigated by the FBI, Gallatin County Sheriff’s Office, Bozeman Police Department, and the United States Postal Service.
Baltimore Heroin Dealer Sentenced to 40 Years in Federal Prison for A Drug Conspiracy, and for Shooting and Killing Another Drug DealerRead the Press Release
Baltimore, Maryland – U.S. District Judge Ellen L. Hollander today sentenced Aaron Daniels, age 25, of Baltimore, Maryland, to 40 years in prison, followed by five years of supervised release, for a heroin distribution conspiracy and for discharging a firearm during a drug trafficking crime, resulting in death.
The sentence was announced by United States Attorney for the District of Maryland Robert K. Hur; Assistant Special Agent in Charge Don A. Hibbert of the Drug Enforcement Administration, Baltimore District Office; Interim Police Commissioner Gary Tuggle of the Baltimore Police Department; and Baltimore City State’s Attorney Marilyn J. Mosby.
According to his plea agreement, and other court documents, from at least March 2017, Daniels conspired with Gregory Whisonant, Nathaniel Hillard, and others to distribute heroin in the Shipley Hill neighborhood of Baltimore. During the course of the conspiracy, law enforcement obtained wiretaps of the defendants’ cell phones, which confirmed that Daniels sold heroin under the direction of Hillard, who managed the day-to-day business for the organization, which was led by Whisonant. In addition, Daniels often sold heroin with Donya Rigby, who sometimes acted as a “lookout” for the organization, letting the street dealers know when police were around.
On March 5, 2017, Baltimore Police officers watched Daniels engage in a series of hand-to-hand drug transactions and arrested him. In the moments before his arrest, intercepted calls between Daniels and Rigby indicated that Rigby failed to inform Daniels that police were in the area. In an intercepted call between Daniels and Hillard, Daniels told Hillard that Rigby would be fired. Daniels secured bail and was released on March 6, 2017. From March 6 through March 17, 2017, law enforcement intercepted several calls between Daniels and others complaining about Rigby and accusing him of stealing $800 of drug proceeds.
On March 17, 2017, investigators intercepted a call between Daniels and Hillard which captured the murder of Rigby. During the call, Daniels explained his location to Hillard. At the time, Hillard was in the area of 2600 Fairmount Avenue in Baltimore City, acting as a lookout for Daniels. Hillard told Daniels to wait in a nearby alleyway. As Rigby approached the area, Hillard alerted Daniels to Rigby’s presence and provided instructions and logistical and motivational support for the murder. The thirteen-minute conversation captured the sound of Daniels firing two shots at Rigby and fleeing the location. Rigby, who can be heard screaming in pain in the background of the call, ultimately succumbed to the gunshot wounds. As Daniels ran from the scene, he complained to Hillard that his gun had jammed. The next morning, Daniels, over his intercepted phone, bragged about his exploits and indicated that he believe that his murder of Rigby would elevate his position within the drug trafficking organization.
As a result of the murder, Daniels and Hillard were quickly arrested on state drug charges. On March 20, 2017, search warrants were also executed at locations associated with the drug trafficking organization. At the stash house on Kinsey Avenue, agents recovered 100 vials of heroin packaged for street-level distribution. At Whisonant’s residence on Timbercross Lane, law enforcement recovered 350 grams of heroin, a digital scale, $10,234 in cash, and a stolen and loaded 9mm handgun with an extended magazine. Whisonant admitted that he possessed the gun to protect himself, his drug proceeds, and in furtherance of his drug trafficking. On jail calls made by Daniels, he instructed his girlfriend to discard a box of ammunition, which agents recovered from the trash outside the apartment building where Daniels lived with his girlfriend.
Nathaniel Hillard, age 40, and Gregory Whisonant, age 39, both of Baltimore, pleaded guilty to their participation in the drug conspiracy. Hillard also pleaded guilty to discharging a firearm during a drug trafficking crime, resulting in death, for his participation in Donya Rigby’s murder. Whisonant also pleaded guilty to possession of a firearm in furtherance of a drug trafficking crime. Judge Hollander sentenced Hillard to 35 years in prison on May 21, 2018, and sentenced Whisonant to 30 years in prison on July 19, 2018.
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 the DEA, the Baltimore Police Department, and the Office of the State’s Attorney for Baltimore City for their work in the investigation. Mr. Hur thanked Assistant U.S. Attorneys James T. Wallner and Zachary Stendig, who prosecuted this Organized Crime Drug Enforcement Task Force case.
Bala Cynwyd, PA Man Sentenced to 87 Months in Federal Prison for Bribing Postal Workers to Deliver MarijuanaRead the Press Release
PHILADELPHIA – U.S. Attorney William M. McSwain announced that Tafari Riley, of Bala Cynwyd, was sentenced today to 87 months in federal prison for bribing two U.S. mail carriers to deliver packages containing marijuana to various locations in West Philadelphia.
From April through December 2016, Riley, 26, corruptly paid two United States mail carriers, co-defendants Steven C. Williams and Felicia Charleston, to deliver packages to Riley which were addressed to fictitious individuals and contained large amounts of marijuana. Through this scheme, Riley possessed and distributed a staggering 2,732 kilograms of marijuana. Charleston was sentenced in May to 10 months in prison. Williams is scheduled to be sentenced on August 1.
Law enforcement twice blocked Riley’s drug trafficking efforts. On Oct. 29, 2016, law enforcement intercepted and seized 158 pounds of marijuana at the post office before it had been delivered to Riley. Then, on September 15, 2017, agents seized 114 pounds of marijuana after it was delivered to Riley for distribution.
“The defendant bribed two federal employees to cultivate a booming marijuana business with no regard for the consequences of his actions,” said U.S. Attorney McSwain. “He abused the postal system, endangered those who lawfully use it, and corrupted two people entrusted with protecting it. Now he has received the punishment he deserves.”
The case was investigated by the United States Postal Service, Office of Inspector General (USPS-OIG), Homeland Security Investigations (HSI) Border Enforcement Security Taskforce (BEST), and the Pennsylvania Office of Attorney General, Bureau of Narcotics Investigations (BNI) and is being prosecuted by Assistant United States Attorneys Anita Eve and Tomika N.S. Patterson.
Anchorage Man Convicted of Attempted Sex Trafficking and Exploitation of MinorsRead the Press Release
Anchorage, Alaska – U.S. Attorney Bryan Schroder announced that, yesterday, a federal jury in Anchorage convicted Danny Ray Lowe, 49, of two counts of attempted sexual trafficking of a minor, and two counts of attempted sexual exploitation of a minor.
The jury found Lowe guilty on all four counts after a three-day trial before U.S. District Judge Ralph R. Beistline. Lowe faces a penalty of not less than 15 years and up to life in prison, a fine of $250,000, and a life term of supervised release. The sentencing hearing has been set for Oct. 3, 2018.
According to evidence presented at trial, Lowe used text messages to negotiate the time, place, and price to have sex with two girls, aged 13 and 14. On Sept. 12, 2017, Lowe arrived at Anchorage motel, ready and willing to pay $150 for two hours of illegal sex with the two minors. When Lowe knocked on the motel room door, however, local and federal law enforcement officers arrested him.
The Federal Bureau of Investigation (FBI) and the Anchorage Police Department (APD) conducted the joint investigation leading to the successful prosecution of this case. This case was prosecuted by Assistant U.S. Attorney Jonas M. Walker.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorney’s Offices nationwide and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
Albuquerque Man Sentenced to Eleven Years for Synthetic Cannabinoid Trafficking ConvictionRead the Press Release
ALBUQUERQUE – U.S. Attorney John C. Anderson and Special Agent in Charge Kyle W. Williamson of the DEA’s El Paso Division announced today that Fidal Abdeljawad, 51, of Albuquerque, N.M., was sentenced late yesterday afternoon in federal court to 132 months of imprisonment for his conviction on synthetic cannabinoids trafficking charges. Abdeljawad will be on supervised release for three years after completing his prison sentence.
Abdeljawad and co-defendant Ashley Watson, 31, also an Albuquerque resident, were charged with trafficking in synthetic cannabinoids in an indictment that was filed in Sept. 2015, and was superseded in Dec. 2015. The four-count superseding indictment charged Abdeljawad and Watson with participating in a synthetic cannabinoids trafficking conspiracy from March 2014 through Feb. 2015. The superseding indictment also charged the defendants with possessing synthetic cannabinoids with intent to distribute on May 8, 2014, and Feb. 19, 2015, and Abdeljawad with possessing synthetic cannabinoids with intent to distribute on May 7, 2014. Abdeljawad and Watson committed the crimes in Bernalillo County, N.M.
The controlled substances charged in the indictment are commonly referred to as synthetic cannabinoids or “spice.” According to the DEA, over the past several years, there has been a growing use of synthetic cannabinoids. Smoke-able herbal blends marketed as being “legal” and providing a marijuana-like high have become increasingly popular because they are easily available and, in many cases, more potent and dangerous than marijuana. These products consist of plant material that has been coated with dangerous psychoactive compounds that mimic THC, the active ingredient in marijuana. These substances, however, have not been approved by the Food and Drug Administration for human consumption, and there is no oversight of the manufacturing process. Synthetic cannabinoids often are labeled as incense to mask their intended purpose.
Abdeljawad and Watson proceeded to trial on May 1, 2017. The jury returned a guilty verdict against Abdeljawad on all four counts of the superseding indictment on May 5, 2017. The jury also returned a guilty verdict against Watson on three counts of the superseding indictment charging her with conspiracy, possession of synthetic cannabinoids with intent to distribute and attempt to possess synthetic cannabinoids with intent to distribute.
Testimony at trial established that the DEA initiated an investigation into synthetic cannabinoids trafficking in Albuquerque in 2014, after receiving information that Abdeljawad, the owner of “Sean’s Smoke Shop” on Central Avenue SE in Albuquerque, and others were distributing synthetic cannabinoids. Law enforcement officers testified that on May 7, 2014, they executed searches of “Sean’s Smoke Shop” and Abdeljawad’s van, and seized 97 packets of synthetic cannabinoids and bundles of cash totaling more than $10,000. Abdeljawad was arrested that day on state charges and later was released on bond. The next day, the DEA learned that Abdeljawad had a storage unit near “Sean’s Smoke Shop,” which was leased in Watson’s name. During a search of the storage unit, the DEA seized 549 additional packets of synthetic cannabinoids.
Other evidence at trial, including telephone conversations and text messages captured through court-authorized wire-taps, established that despite his arrest on state charges, Abdeljawad continued to distribute synthetic cannabinoids in collaboration with Watson. Abdeljawad would order shipments of synthetic cannabinoids from suppliers, who delivered the synthetic cannabinoids to Watson and she distributed the synthetic cannabinoids to others in exchange for money. On Feb. 19, 2015, the DEA intercepted a package that had been shipped to Watson. The DEA opened the package pursuant to a search warrant, and found that it contained 100 packets of synthetic cannabinoids. The DEA arrested Abdeljawad and Watson in Sept. 2015, after they were indicted.
Watson was sentenced on Sept. 7, 2017, to 48 months in prison followed by five years of supervised release.
The Albuquerque office of the DEA investigated this case as part of the Justice Department’s Organized Crime Drug Enforcement Task Force (OCDETF) program, a nationwide Department of Justice program that combines the resources and unique expertise of federal agencies, along with their local counterparts, in a coordinated effort to disrupt and dismantle major drug trafficking organizations. Assistant U.S. Attorneys Timothy S. Vasquez and Kristopher N. Houghton prosecuted the case.
Abington Man Pleads Guilty to Robbing Three BanksRead the Press Release
BOSTON – An Abington man pleaded guilty yesterday in federal court in Boston to robbing three Greater Boston-area banks.
John Soule, 53, pleaded guilty to three counts of bank robbery. U.S. District Court Judge F. Dennis Saylor IV scheduled sentencing for Oct. 19, 2018. Soule was arrested and charged in September 2017 and has been detained since.
On July 12, 2017, Soule entered a branch of the Eastern Bank in Cambridge, where he jumped over the teller’s counter, stated that he had a knife, and demanded the bank’s money. The tellers gave Soule money from their drawers, and Soule exited the bank with $12,940.
On Aug. 9, 2017, Soule entered a branch of the Webster Bank on Franklin Street in Boston and announced a robbery. He jumped over the tellers’ counter and demanded the bank’s money. The tellers gave Soule money from their drawers, and he exited the bank with $3,137.
One month later, on Sep. 8, 2017, Soule entered a branch of the Rockland Trust on Quincy Street in Quincy, where he approached a teller demanding money and then jumped over the counter and entered the bank’s vault. A post-robbery audit determined that Soule stole $42,747 during the robbery.
Video surveillance cameras outside of all three banks captured images of Soule moments before the robberies and following the robberies on a mountain bike.
Throughout their investigation, law enforcement received various tips and information that Soule was the person responsible. On Sept. 29, 2017, law enforcement located and arrested Soule, who, at the time of his arrest, was in possession of over $8,000. Soule was later interviewed and admitted his involvement in the robberies, providing law enforcement with specific details.
Each charge of bank robbery provides for a sentence of no greater 20 years in prison, three years of supervised release, and a fine of $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Andrew E. Lelling and Harold H. Shaw, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division, made the announcement today. Assistant U.S. Attorney Kenneth G. Shine of Lelling’s Major Crimes Unit is prosecuting this case.
24 Sentenced in Multimillion Dollar India-Based Call Center Scam Targeting U.S. VictimsRead the Press Release
HOUSTON – Twenty-one members of a massive India-based fraud and money laundering conspiracy that defrauded thousands of U.S. residents of hundreds of millions of dollars were sentenced this week to terms of imprisonment up to 20 years. Three other conspirators were sentenced earlier this year for laundering proceeds for the conspiracy, which was operated out of India-based call centers that targeted U.S. residents in various telephone fraud schemes. This week’s sentencing hearings took place in Houston before the Honorable David Hittner of the Southern District of Texas.
Attorney General Jeff Sessions of the U.S. Department of Justice, Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division, U.S. Attorney Ryan Patrick of the Southern District of Texas, Acting Executive Associate Director Derek N. Benner of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI), Inspector General J. Russell George of the U.S. Treasury Inspector General for Tax Administration (TIGTA), and Special Agent in Charge David Green of the U.S. Department of Homeland Security (DHS) Office of Inspector General (OIG) made the announcement today.
“The stiff sentences imposed this week represent the culmination of the first-ever large scale, multi-jurisdiction prosecution targeting the India call center scam industry,” said Sessions. “This case represents one of the most significant victories to date in our continuing efforts to combat elder fraud and the victimization of the most vulnerable members of the U.S. public. The transnational criminal ring of fraudsters and money launderers who conspired to bilk older Americans, legal immigrants and many others out of their life savings through their lies, threats and financial schemes must recognize that all resources at the Department’s disposal will be deployed to shut down these telefraud schemes, put those responsible in jail and bring a measure of justice to the victims.”
“This type of fraud is sickening,” said Patrick. “However, after years of investigation and incredible hard work by multiple agents and attorneys, these con artists are finally headed to prison. Their cruel tactics preyed on some very vulnerable people, thereby stealing millions from them. These sentences should send a strong message that we will follow the trail no matter how difficult and seek justice for those victimized by these types of transnational schemes. We will simply not stand by and allow criminals to use the names of legitimate government agencies to enrich themselves by victimizing others.”
“Today’s sentences should serve as a strong deterrent to anyone considering taking part in similar scams, and I hope that they provide a sense of justice to the victims as well,” said Benner. “There is no safe haven from U.S. law enforcement. HSI will continue to utilize our unique investigative mandate, in conjunction with our local, state and Federal partners, to attack and dismantle the criminal enterprises who would seek to manipulate U.S. institutions and taxpayers.”
“The sentences imposed on these defendants validate our efforts to bring to justice scammers who defraud taxpayers by impersonating employees of the IRS,” said George. “I wish to thank the Department of Justice, the multiple federal agencies involved and most importantly, my own investigators who continue to devote countless hours to these cases. Taxpayers must remain wary of unsolicited telephone calls from individuals claiming to be IRS employees. If any taxpayer believes they or someone they know is a victim of an IRS impersonation scam, they should report it to TIGTA at www.tigta.gov<http://www.tigta.gov> or by calling 1-800-366-4484.”
“The sentences imposed this week provide a clear deterrent to those who would seek to enrich themselves by extorting the most vulnerable in our society,” said Green. “These scammers should know that their actions carry real consequences, both for their victims and for themselves, and that there are dedicated agents and prosecutors who will go above and beyond to find them, identify them and hold them accountable for their crimes.”
Miteshkumar Patel, 42, of Illinois, was sentenced to serve 240 months in prison followed by three years of supervised release on the charge of money laundering conspiracy. According to the factual basis of his plea agreement, Patel served as the manager of a Chicago-based crew of “runners” that liquidated and laundered fraud proceeds generated by callers at India-based call centers. Those callers used call scripts and lead lists to target victims throughout the United States with telefraud schemes in which the callers impersonated U.S. government employees from the IRS and U.S. Citizenship and Immigration Services (USCIS). The callers duped victims into believing that they owed money to the U.S. government and would be arrested or deported if they did not pay immediately. After the victims transferred money to the callers, a network of U.S.-based runners moved expeditiously to liquidate and launder fraud proceeds through the use of anonymous stored value cards. In addition to recruiting, training and tasking runners in his crew, Patel also coordinated directly with the Indian side of the conspiracy about the operation of the scheme. Patel was held accountable for laundering between $9.5 and $25 million for the scheme.
Hardik Patel, 31, of Illinois, was sentenced to serve 188 months in prison followed by three years of supervised release on the charge of wire fraud conspiracy. Hardik Patel consented to removal to India upon completion of his prison term. According to the factual basis of his plea agreement, Hardik Patel was a co-owner and manager of an India-based call center involved in the conspiracy. In addition to managing the day-to-day operations of a call center, Patel also processed payments and did bookkeeping for the various call centers involved in the fraud scheme. One of the India-based co-defendants with whom Patel communicated about the scheme was Sagar “Shaggy” Thakar, a payment processor that Indian authorities arrested in April 2017 in connection with call center fraud. After moving to the United States in 2015, Hardik Patel continued to promote the conspiracy by recruiting runners to liquidate fraud proceeds. He was held accountable for laundering between $3.5 and $9.5 million dollars for the scheme.
Sunny Joshi, aka Sharad Ishwarlal Joshi and Sunny Mahashanker Joshi, 47, of Sugar Land, Texas, was sentenced to serve 151 months in prison on the charge of money laundering conspiracy and 120 months in prison for naturalization fraud to run concurrently followed by three years of supervised release. According to the factual basis of his plea agreement, Joshi was a member of a Houston-based crew of runners that he co-managed with his brother, co-defendant Mike Joshi aka Rajesh Bhatt. Sunny Joshi communicated extensively with India-based co-defendants about the operations of the scheme and was held accountable for laundering between $3.5 and $9.5 million. Additionally, in connection with his sentence on the immigration charge, Judge Hittner entered an order revoking Joshi’s U.S. citizenship and requiring him to surrender his certificate of naturalization.
Twenty-two of the defendants sentenced before Judge Hittner were held jointly and severally liable for restitution of $8,970,396 payable to identified victims of their crimes. Additionally, the court entered individual preliminary orders of forfeiture against 21 defendants for assets that were seized in the case, and money judgments totaling more than $72,942,300.
Eighteen other defendants were also sentenced in Houston before Judge Hittner this week:
• Fahad Ali, 25, of Indiana, was sentenced to serve 108 months in prison followed by three years of supervised release on one count of money laundering conspiracy. Judge Hittner also recommended deportation upon completion of his sentence.
• Montu Barot, 30, of Illinois, was sentenced to serve 63 months in prison followed by three years of supervised release on one count of conspiracy. Judge Hittner entered a stipulated judicial order to remove Barot to India at the conclusion of his sentence.
• Rajesh Bhatt, aka Mike Joshi, 53, of Sugar Land, Texas, was sentenced to serve 145 months in prison followed by three years of supervised release on one count of money laundering conspiracy. Judge Hittner entered a stipulated judicial order to remove Bhatt to India at the conclusion of his sentence.
• Ashvinbhai Chaudhari, 28, of Pearsall, Texas, was sentenced to serve 87 months in prison followed by three years of supervised release on one count of money laundering conspiracy.
• Jagdish Chaudhari, 39, of Alabama, was sentenced to serve 108 months in prison followed by three years of supervised release on one count of money laundering conspiracy. Judge Hittner entered a stipulated judicial order to remove Chaudhari to India at the conclusion of his sentence.
• Rajesh Kumar, 39, of Arizona, was sentenced to serve 60 months in prison followed by three years of supervised release on one count of conspiracy.
• Jerry Norris, 47, of California, was sentenced to serve 60 months in prison followed by three years of supervised release on one count of conspiracy.
• Nilesh Pandya, 54, of Stafford, Texas, was sentenced to serve three years of probation on one count of conspiracy.
• Nilam Parikh, 46, of Alabama, was sentenced to serve 48 months in prison followed by three years of supervised release on one count of money laundering conspiracy.
• Bharatkumar Patel, 43, of Illinois, was sentenced to serve 50 months in prison followed by three years of supervised release on one count of money laundering conspiracy. Judge Hittner entered a judicial order to remove Patel to India at the conclusion of his sentence.
• Bhavesh Patel, 47, of Alabama, was sentenced to serve 121 months in prison followed by three years of supervised release on one count of money laundering conspiracy.
• Dilipkumar A. Patel, 53, of California, was sentenced to serve 108 months in prison followed by three years of supervised release on one count of conspiracy. Judge Hittner entered a stipulated judicial order to remove Patel to India at the conclusion of his sentence.
• Dilipkumar R. Patel, 30, of Florida, was sentenced to serve 52 months in prison followed by three years of supervised release on one count of conspiracy.
• Harsh Patel, 28, of New Jersey, was sentenced to serve 82 months in prison followed by three years of supervised release on one count of money laundering conspiracy. Judge Hittner also recommended deportation upon completion of his sentence.
• Nisarg Patel, 26, of New Jersey, was sentenced on one count of conspiracy. He received a prison term of 48 months in prison followed by three years of supervised release.
• Praful Patel, 50, of Florida, was sentenced to serve 60 months in prison followed by Three years of supervised release on one count of conspiracy.
• Rajubhai Patel, 32, of Illinois, was sentenced to serve 151 months in prison followed by three years of supervised release on one count of money laundering conspiracy.
• Viraj Patel, 33, of California, was sentenced to serve 165 months in prison followed by three years of supervised release on one count of money laundering conspiracy. Judge Hittner entered a stipulated judicial order to remove Patel to India at the conclusion of his sentence.
In addition to these 21 defendants, three others were previously sentenced for their involvement in the same fraud and money laundering scheme:
• Asmitaben Patel, 34, of Illinois, was sentenced before Judge Hittner on March 23. She received 24 months in prison on the charge of conspiracy.
• Dipakkumar Patel, 38, of Illinois, was sentenced before Judge Eleanor L. Ross in the Northern District of Georgia, on Feb. 14. Patel, who pleaded guilty to charges of conspiracy and passport fraud, was sentenced to serve a prison term of 51 months, to run concurrently. He was also ordered to pay restitution in the amount of $128,006.26.
• Raman Patel, 82, of Arizona, was sentenced before Judge John Tuchi in the District of Arizona on Jan. 29. In connection with his plea agreement, Raman Patel received a probationary sentence for his plea to conspiracy. He was also ordered to pay restitution in the amount of $76,314.38.
According to various admissions made in connection with the defendants’ guilty pleas, between 2012 and 2016, the defendants and their conspirators perpetrated a complex fraud and money laundering scheme in which individuals from call centers located in Ahmedabad, India, frequently impersonated officials from the IRS or USCIS in a ruse designed to defraud victims located throughout the United States. Using information obtained from data brokers and other sources, call center operators targeted U.S. victims who were threatened with arrest, imprisonment, fines or deportation if they did not pay alleged monies owed to the government. Victims who agreed to pay the scammers were instructed how to provide payment, including by purchasing stored value cards or wiring money. Once a victim provided payment, the call centers turned to a network of runners based in the United States to liquidate and launder the extorted funds as quickly as possible by purchasing reloadable cards or retrieving wire transfers. In a typical scenario, call centers directed runners to purchase these stored value reloadable cards and transmit the unique card number to India-based co-conspirators who registered the cards using the misappropriated personal identifying information (PII) of U.S. citizens. The India-based co-conspirators then loaded these cards with scam funds obtained from victims. The runners used the stored value cards to purchase money orders that they deposited into the bank account of another person. For their services, the runners would earn a specific fee or a percentage of the funds. Runners also received victims’ funds via wire transfers, which were retrieved under fake names and through the use of using false identification documents, direct bank deposits by victims and Apple iTunes or other gift cards that victims purchased.
The indictment in this case also charged 32 India-based conspirators and five India-based call centers with general conspiracy, wire fraud conspiracy and money laundering conspiracy. These defendants have yet to be arraigned in this case. An indictment is merely an allegation and the defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
HSI, DHS-OIG, and TIGTA led the investigation of this case. Also providing significant support were: the Criminal Division’s Office of International Affairs; Ft. Bend County Sheriff’s Office; police departments in Hoffman Estates and Naperville, Illinois, Leonia, New Jersey; San Diego County District Attorney’s Office Family Protection/Elder Abuse Unit; U.S. Secret Service; U.S. Small Business Administration Office of Inspector General; IOC-2; INTERPOL Washington; USCIS; U.S. State Department’s Diplomatic Security Service; and U.S. Attorney’s Offices of the Northern District of Alabama, District of Arizona, Central District of California, Northern District of California, District of Colorado, Northern District of Florida, Middle District of Florida, Northern District of Georgia, Northern District of Illinois, Northern District of Indiana, Eastern District of Louisiana, District of Nevada and the District of New Jersey. The Federal Communications Commission’s Enforcement Bureau provided assistance in TIGTA’s investigation. Additionally, the Executive Office for U.S. Attorneys (EOUSA), Legal and Victim Programs, provided significant support to the prosecution.
Assistant U.S. Attorneys Mark McIntyre and Craig Feazel of the Southern District of Texas, Senior Trial Attorney Michael Sheckels and Trial Attorney Mona Sahaf of the Criminal Division’s Human Rights and Special Prosecutions Section (HRSP) and Trial Attorney Amanda S. Wick of the Criminal Division’s Money Laundering and Asset Recovery Section prosecuted the case. Kaitlin Gonzalez of HRSP was the paralegal for this case.
A Department of Justice website has been established to provide information about the case to already identified and potential victims, and the public. Anyone who believes they may be a victim of fraud or identity theft in relation to this investigation or other telefraud scam phone calls may contact the FTC via this website.
Anyone who wants additional information about telefraud scams generally, or preventing identity theft or fraudulent use of their identity information, may obtain helpful information on the IRS tax scams website, the FTC phone scam website and the FTC identity theft website.
24 Defendants Sentenced in Multimillion Dollar India-Based Call Center Scam Targeting U.S. VictimsRead the Press Release
Twenty-one members of a massive India-based fraud and money laundering conspiracy that defrauded thousands of U.S. residents of hundreds of millions of dollars were sentenced this week to terms of imprisonment up to 20 years. Three other conspirators were sentenced earlier this year for laundering proceeds for the conspiracy, which was operated out of India-based call centers that targeted U.S. residents in various telephone fraud schemes. This week’s sentencing hearings took place in Houston, Texas, before the Honorable David Hittner of the Southern District of Texas.
Attorney General Jeff Sessions of the U.S. Department of Justice, Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division, U.S. Attorney Ryan Patrick of the Southern District of Texas, Acting Executive Associate Director Derek N. Benner of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI), Inspector General J. Russell George of the U.S. Treasury Inspector General for Tax Administration (TIGTA), and Special Agent in Charge David Green of the U.S. Department of Homeland Security (DHS) Office of Inspector General (OIG) Houston, Texas made the announcement today.
“The stiff sentences imposed this week represent the culmination of the first-ever large scale, multi-jurisdiction prosecution targeting the India call center scam industry,” said Attorney General Sessions. “This case represents one of the most significant victories to date in our continuing efforts to combat elder fraud and the victimization of the most vulnerable members of the U.S. public. The transnational criminal ring of fraudsters and money launderers who conspired to bilk older Americans, legal immigrants and many others out of their life savings through their lies, threats and financial schemes must recognize that all resources at the Department’s disposal will be deployed to shut down these telefraud schemes, put those responsible in jail, and bring a measure of justice to the victims.”
“This type of fraud is sickening,” said U.S. Attorney Patrick. “However, after years of investigation and incredible hard work by multiple agents and attorneys, these con artists are finally headed to prison. Their cruel tactics preyed on some very vulnerable people, thereby stealing millions from them. These sentences should send a strong message that we will follow the trail no matter how difficult and seek justice for those victimized by these types of transnational schemes. We will simply not stand by and allow criminals to use the names of legitimate government agencies to enrich themselves by victimizing others.”
“Today’s sentences should serve as a strong deterrent to anyone considering taking part in similar scams, and I hope that they provide a sense of justice to the victims, as well,” said HSI Acting Executive Associate Director Derek N. Benner. “There is no safe haven from U.S. law enforcement. HSI will continue to utilize our unique investigative mandate, in conjunction with our local, state, and federal partners, to attack and dismantle the criminal enterprises who would seek to manipulate U.S. institutions and taxpayers.”
“The sentences imposed on these defendants validate our efforts to bring to justice scammers who defraud taxpayers by impersonating employees of the Internal Revenue Service,” said Inspector General J. Russell George. “I wish to thank the Department of Justice, the multiple federal agencies involved, and most importantly, my own investigators who continue to devote countless hours to these cases. Taxpayers must remain wary of unsolicited telephone calls from individuals claiming to be IRS employees. If any taxpayer believes they or someone they know is a victim of an IRS impersonation scam, they should report it to TIGTA at www.tigta.gov or by calling 1-800-366-4484.”
“The sentences imposed this week provide a clear deterrent to those who would seek to enrich themselves by extorting the most vulnerable in our society,” said DHS-OIG Special Agent in Charge Green. “These scammers should know that their actions carry real consequences, both for their victims and for themselves, and that there are dedicated agents and prosecutors who will go above and beyond to find them, identify them and hold them accountable for their crimes.”
Miteshkumar Patel, 42, of Illinois, was sentenced to serve 240 months in prison followed by three years of supervised release on the charge of money laundering conspiracy. According to the factual basis of his plea agreement, Patel served as the manager of a Chicago-based crew of “runners” that liquidated and laundered fraud proceeds generated by callers at India-based call centers. Those callers used call scripts and lead lists to target victims throughout the United States with telefraud schemes in which the callers impersonated U.S. government employees from the IRS and U.S. Citizenship and Immigration Services (USCIS). The callers duped victims into believing that they owed money to the U.S. government and would be arrested or deported if they did not pay immediately. After the victims transferred money to the callers, a network of U.S.-based runners moved expeditiously to liquidate and launder fraud proceeds through the use of anonymous stored value cards. In addition to recruiting, training, and tasking runners in his crew, Patel also coordinated directly with the Indian side of the conspiracy about the operation of the scheme. Patel was held accountable for laundering between $9.5 and $25 million for the scheme.
Hardik Patel, 31, of Illinois, was sentenced to serve 188 months in prison followed by three years of supervised release on the charge of wire fraud conspiracy. Hardik consented to removal to India upon completion of his prison term. According to the factual basis of his plea agreement, Patel was a co-owner and manager of an India-based call center involved in the conspiracy. In addition to managing the day-to-day operations of a call center, Patel also processed payments and did bookkeeping for the various call centers involved in the fraud scheme. One of the India-based co-defendants with whom Patel communicated about the scheme was Sagar “Shaggy” Thakar, a payment processor that Indian authorities arrested in April 2017 in connection with call center fraud. After moving to the United States in 2015, Patel continued to promote the conspiracy by recruiting runners to liquidate fraud proceeds. Patel was held accountable for laundering between $3.5 and $9.5 million dollars for the scheme.
Sunny Joshi, aka Sharad Ishwarlal Joshi and Sunny Mahashanker Joshi, 47, of Texas, was sentenced to serve 151 months in prison on the charge of money laundering conspiracy, and 120 months in prison on the charge of naturalization fraud to run concurrent followed by three years of supervised release. According to the factual basis of his plea agreement, Joshi was a member of a Houston-based crew of runners that he co-managed with his brother, co-defendant Mike Joshi, aka Rajesh Bhatt. Sunny Joshi communicated extensively with India-based co-defendants about the operations of the scheme, and was held accountable for laundering between $3.5 and $9.5 million. Additionally, in connection with his sentence on the immigration charge, Judge Hittner entered an order revoking Joshi’s U.S. citizenship and requiring him to surrender his certificate of naturalization.
Twenty-two of the defendants sentenced before Judge Hittner were held jointly and severally liable for restitution of $8,970,396 payable to identified victims of their crimes. Additionally, the court entered individual preliminary orders of forfeiture against 21 defendants for assets that were seized in the case, and money judgments totaling over $72,942,300.
Eighteen other defendants were also sentenced in Houston before Judge Hittner this week:
- Fahad Ali, 25, of Indiana, was sentenced to serve 108 months in prison followed by three years of supervised release on one count of money laundering conspiracy. Judge Hittner also recommended deportation upon completion of his sentence.
- Montu Barot, 30, of Illinois, was sentenced to serve 60 months in prison followed by three years of supervised release on one count of conspiracy. Judge Hittner entered a stipulated judicial order to remove Barot to India at the conclusion of his sentence.
- Rajesh Bhatt, aka Mike Joshi, 53, of Texas, was sentenced to serve 145 months in prison followed by three years of supervised release on one count of money laundering conspiracy. Judge Hittner entered a stipulated judicial order to remove Bhatt to India at the conclusion of his sentence.
- Ashvinbhai Chaudhari, 28, of Texas, was sentenced to serve 87 months in prison followed by three years of supervised release on one count of money laundering conspiracy.
- Jagdish Chaudhari, 39, of Alabama, was sentenced to serve 108 months in prison followed by three years of supervised release on one count of money laundering conspiracy. Judge Hittner entered a stipulated judicial order to remove Chaudhari to India at the conclusion of his sentence.
- Rajesh Kumar, 39, of Arizona, was sentenced to serve 60 months in prison followed by three years of supervised release on one count of conspiracy. Judge Hittner recommended deportation to India following his prison sentence.
- Jerry Norris, 47, of California, was sentenced to serve 60 months in prison followed by three years of supervised release on one count of conspiracy.
- Nilesh Pandya, 54, of Texas, was sentenced to serve three years probation on one count of conspiracy.
- Nilam Parikh, 46, of Alabama, was sentenced to serve 48 months in prison followed by three years of supervised release on one count of money laundering conspiracy.
- Bharatkumar Patel, 43, of Illinois, was sentenced to serve 50 months in prison followed by three years of supervised release on one count of money laundering conspiracy. Judge Hittner entered a judicial order to remove Patel to India at the conclusion of his sentence.
- Bhavesh Patel, 47, of Alabama, was sentenced to serve 121 months in prison followed by three years of supervised release on one count of money laundering conspiracy.
- Dilipkumar A. Patel, 53, of California, was sentenced to serve 108 months in prison followed by three years of supervised release on one count of conspiracy. Judge Hittner entered a stipulated judicial order to remove Patel to India at the conclusion of his sentence.
- Dilipkumar R. Patel, 39, of Florida, was sentenced to serve 52 months in prison followed by three years of supervised release on one count of conspiracy.
- Harsh Patel, 28, of New Jersey, was sentenced to serve 82 months in prison followed by three years of supervised release on one count of money laundering conspiracy. Judge Hittner also recommended deportation upon completion of his sentence.
- Nisarg Patel, 26, of New Jersey, was sentenced to serve 48 months in prison followed by three years of supervised release on one count of conspiracy. Judge Hittner recommended deportation to India following his prison sentence.
- Praful Patel, 50, of Florida, was sentenced to serve 60 months in prison followed by three years of supervised release on one count of conspiracy.
- Rajubhai Patel, 32, of Illinois, was sentenced to serve 151 months in prison followed by three years of supervised release on one count of money laundering conspiracy.
- Viraj Patel, 33, of California, was sentenced to serve 165 months in prison followed by three years of supervised release on one count of money laundering conspiracy. Judge Hittner entered a stipulated judicial order to remove Patel to India at the conclusion of his sentence.
In addition to these 21 defendants, three others were previously sentenced for their involvement in the same fraud and money laundering scheme:
- Asmitaben Patel, 34, of Illinois, was sentenced before Judge Hittner in the Southern District of Texas, Houston Division, on March 23. She was sentenced to serve 24 months in prison on the charge of conspiracy.
- Dipakkumar Patel, 38, of Illinois, was sentenced before Judge Eleanor L. Ross in the Northern District of Georgia, Atlanta Division, on Feb. 14. Patel, who pleaded guilty to charges of conspiracy and passport fraud, was sentenced to serve a prison term of 51 months, to run concurrently. He was also ordered to pay restitution in the amount of $128,006.26.
- Raman Patel, 82, of Arizona, was sentenced before Judge John Tuchi in the District of Arizona, Phoenix Division, on Jan. 29. In connection with his plea agreement, Raman Patel received a probationary sentence for his plea to conspiracy. He was also ordered to pay restitution in the amount of $76,314.38.
According to various admissions made in connection with the defendants’ guilty pleas, between 2012 and 2016, the defendants and their conspirators perpetrated a complex fraud and money laundering scheme in which individuals from call centers located in Ahmedabad, India, frequently impersonated officials from the IRS or USCIS in a ruse designed to defraud victims located throughout the United States. Using information obtained from data brokers and other sources, call center operators targeted U.S. victims who were threatened with arrest, imprisonment, fines or deportation if they did not pay alleged monies owed to the government. Victims who agreed to pay the scammers were instructed how to provide payment, including by purchasing stored value cards or wiring money. Once a victim provided payment, the call centers turned to a network of runners based in the United States to liquidate and launder the extorted funds as quickly as possible by purchasing reloadable cards or retrieving wire transfers. In a typical scenario, call centers directed runners to purchase these stored value reloadable cards and transmit the unique card number to India-based co-conspirators who registered the cards using the misappropriated personal identifying information (PII) of U.S. citizens. The India-based co-conspirators then loaded these cards with scam funds obtained from victims. The runners used the stored value cards to purchase money orders that they deposited into the bank account of another person. For their services, the runners would earn a specific fee or a percentage of the funds. Runners also received victims’ funds via wire transfers, which were retrieved under fake names and through the use of using false identification documents, direct bank deposits by victims, and Apple iTunes or other gift cards that victims purchased.
The indictment in this case also charged 32 India-based conspirators and five India-based call centers with general conspiracy, wire fraud conspiracy, and money laundering conspiracy. These defendants have yet to be arraigned in this case. An indictment is merely an allegation and the defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
HSI, DHS-OIG, and TIGTA led the investigation of this case. Also providing significant support were: the Criminal Division’s Office of International Affairs; the Ft. Bend, Texas, County Sheriff’s Department; the Hoffman Estates, Illinois, Police Department; the Leonia, New Jersey, Police Department; the Naperville, Illinois, Police Department; the San Diego County District Attorney’s Office Family Protection/Elder Abuse Unit; the U.S. Secret Service; U.S. Small Business Administration Office of Inspector General; IOC-2; INTERPOL Washington; USCIS; U.S. State Department’s Diplomatic Security Service; and the U.S. Attorney’s Offices of the Northern District of Alabama, District of Arizona, Central District of California, Northern District of California, District of Colorado, Northern District of Florida, Middle District of Florida, Northern District of Georgia, Northern District of Illinois, Northern District of Indiana, Eastern District of Louisiana, District of Nevada, and the District of New Jersey. The Federal Communications Commission’s Enforcement Bureau provided assistance in TIGTA’s investigation. Additionally, the Executive Office for U.S. Attorneys (EOUSA), Legal and Victim Programs, provided significant support to the prosecution.
Senior Trial Attorney Michael Sheckels and Trial Attorney Mona Sahaf of the Criminal Division’s Human Rights and Special Prosecutions Section (HRSP), Trial Attorney Amanda S. Wick of the Criminal Division’s Money Laundering and Asset Recovery Section, and Assistant U.S. Attorneys Mark McIntyre and Craig Feazel of the Southern District of Texas prosecuted the case. Kaitlin Gonzalez of HRSP was the paralegal for this case.
A Department of Justice website has been established to provide information about the case to already identified and potential victims, and the public. Anyone who believes they may be a victim of fraud or identity theft in relation to this investigation or other telefraud scam phone calls may contact the FTC via this website.
Anyone who wants additional information about telefraud scams generally, or preventing identity theft or fraudulent use of their identity information, may obtain helpful information on the IRS tax scams website, the FTC phone scam website and the FTC identity theft website.
19 July 2018
“Porch Pirate” Heads to Federal Prison for Stealing PackagesRead the Press Release
CORPUS CHRISTI, Texas – A 38-year-old Corpus Christi man has been ordered to federal prison following his conviction of possessing stolen mail, announced U.S. Attorney Ryan K. Patrick along with Postal Inspector in Charge Adrian Gonzalez of the U.S. Postal Inspection Service (USPIS). Christopher Escobedo pleaded guilty March 29, 2018.
Today, U.S. Circuit Judge Gregg Costa, sitting by designation, handed Escobedo a 36-month sentence to be immediately followed by three years of supervised release. In handing down the sentence, the court noted that the four counts of conviction represented only those mail theft victims with camera surveillance on their porches and that Escobedo undoubtedly had numerous additional victims.
“As a result of investigative efforts, the sentence handed down in this case will send a clear message to mail thieves that they will be vigorously pursued and brought to justice. I commend the hard work and countless hours put forth by the USPIS and Corpus Christi Police Department (CCPD) which resulted in the arrest and prosecution of this individual,” said Gonzalez. “An important part of the USPIS mission is to ensure public trust in the mail and to defend the nation’s mail system from illicit financial gain.”
At the time of his plea, Escobedo admitted to stealing packages that the U.S. Postal Service (USPS) had left on the front porches of Corpus Christi residents between Dec. 31, 2017, and Jan. 8, 2018. Authorities identified Escobedo or his vehicle in video surveillance at a number of locations where packages were stolen. On one occasion, an observant neighbor confronted Escobedo as he attempted to take a package. The neighbor was able to supply the authorities with Escobedo’s description and a license plate number of the vehicle he was using. Postal inspectors used this information to track down Escobedo and link him to a number of other package thefts in the area.
Escobedo 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 USPIS conducted the investigation with the assistance of CCPD. Assistant U.S. Attorney Robert D. Thorpe Jr. is prosecuting the case.
Woman Pleads Guilty to Heroin and Fentanyl Distribution ConspiracyRead the Press Release
NEWPORT NEWS, Va. – A Newport News woman pleaded guilty today to conspiracy to distribute heroin and fentanyl.
According to court documents, Paula Jean Sciotto, 36, participated in a heroin and fentanyl trafficking conspiracy in the Hampton Roads area from December 2015 until July 2017. During the course of the conspiracy, she distributed over 100 grams of heroin, as well as a quantity of fentanyl in Hampton and Newport News.
Sciotto pleaded guilty to conspiracy to distribute and possession with intent to distribute heroin and fentanyl. She faces a mandatory minimum penalty of five years in prison and a maximum penalty of 40 years in prison when sentenced on October 29. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, Scott W. Hoernke, Acting Special Agent in Charge for the Drug Enforcement Administration’s (DEA) Washington Field Division, and Steve R. Drew, Chief of Newport News Police, made the announcement after U.S. Magistrate Judge Douglas E. Miller accepted the plea. Assistant U.S. Attorney Megan M. Cowles is prosecuting the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information is located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 4:18-cr-42.
Wise Resident Pleads Guilty to Opioid Importation Related ChargesRead the Press Release
Abingdon, VIRGINIA – United States Attorney Thomas T. Cullen announced today that Kristofer Rucinski, 35, of Wise, Virginia, entered a guilty plea today in the United States District Court in Abingdon. Rucinski pleaded guilty to one count of using a communications facility to unlawfully import fentanyl and fentanyl analogues.
“Fentanyl and other deadly opioids have contributed to a public-health crisis in Western Virginia,” United States Attorney Cullen stated today. “We will continue to prosecute those who attempt to import these and other deadly drugs into the United States.”
According to evidence presented by Assistant United States Attorney Zachary Lee at today’s guilty plea hearing, Rucinski ordered and attempted to order fentanyl analogues over the internet to be delivered to his residence in Wise, Va. On February 15, 2018, Customs and Border Patrol officers intercepted a package sent from China containing a quantity of a fentanyl analogue that was addressed to Rucinski in Wise. A controlled delivery of the package was made on February 21 2018 at Rucinski’s residence, which resulted in a search warrant being executed at his residence and, ultimately Rucinski’s arrest. Additional analogue substances were located in the residence. Rucinski was interviewed by law enforcement and admitted that he had been ordering these drugs off the internet and using Bitcoin to pay for the drugs.
Rucinski is scheduled to be sentenced on October 11, 2018. He faces a potential maximum sentence of four years imprisonment and a fine of $250,000.
The investigation of the case was conducted by Homeland Security Investigations, Customs and Border Patrol, United States Postal Inspection Service, Drug Enforcement Administration, Wise Police Department and the Virginia State Police. Assistant United States Attorney Zachary Lee will prosecute the case for the United States.
West Lafayette, Indiana Couple IndictedRead the Press Release
HAMMOND – The United States Attorney for the Northern District of Indiana, Thomas L. Kirsch II, announced an indictment against Qingyou Han, age 59 and Lu Shao, age 51, of West Lafayette, Indiana for engaging in a scheme to defraud the National Science Foundation (“NSF”).
According to documents in this case, Dr. Qingyou Han, a Purdue University Professor and the Director of the Purdue Center for Materials Processing Research, and his wife Lu Shao, using a company they founded and operated called Hans Tech, applied for and received over $1.3 million in grants from NSF’s Small Business Innovation Research (“SBIR”) and Small Business Technology Transfer (“STTR”) programs and then used the funds at least in part to pay personal expenses and for the enrichment of themselves or their children. Among other claims, the indictment alleges that SHAO purchased a single family home in her name, signed a lease with herself on behalf of Hans Tech, and paid “rent” to herself from Hans Tech of $3,000 per month using grant funds. Funds were also purportedly used to pay Han and Shao’s minor children “salaries.” For example, in 2009, Dr. Han and Ms. Shao falsely represented to NSF that the research project’s “Secretary” and “Technical Assistant” earned $24,000 each via hourly wages and “consulting,” when, unbeknownst to NSF, the supposed employees were approximately 10 and 15 years old and they were Han and Shao’s own children.
The United States Attorney's Office emphasized that an Indictment is merely an allegation and that all persons charged are presumed innocent until, and unless, proven guilty in court.
If convicted in court, any specific sentence to be imposed will be determined by the judge after a consideration of federal sentencing statutes and the Federal Sentencing Guidelines.
This case is the result of an investigation by the National Science Foundation’s Office of Inspector General. This case is being prosecuted by Assistant U.S. Attorney Jill Koster and NSF OIG Investigative Attorney Sonia Khanzode.
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Waterbury Man Sentenced to 8 Years in Federal Prison for Multi-State Robbery SpreeRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, announced that ZACHARY PROVOST, 33, of Waterbury, was sentenced today by U.S. District Judge Stefan R. Underhill in Bridgeport to 96 months of imprisonment, followed by five years of supervised release, for committing a series of robberies in Connecticut, Massachusetts and New Hampshire in late 2017.
According to court documents and statements made in court:
On November 29, 2017, PROVOST entered the Mobil gas station located at 385 Watertown Avenue in Waterbury, pulled out a knife, had the cashier open the cash register, and took approximately $700 from the register.
On November 30, 2017, PROVOST and another male entered the Cumberland Farms located at 1588 Watertown Avenue in Waterbury. After a knife was displayed and held to the cashier’s back, PROVOST and the other individual took approximately $50 from the cash register. They also stole other personal items from the cashier, and a customer’s wallet that contained approximately $150.
On December 1, 2017, PROVOST entered the TD Bank located at 121 Main Street in Southington, presented the teller with a note stating that he had a knife, and demanded that the teller provide him with money. The teller complied and gave PROVOST $350.
On December 1, 2017, PROVOST entered the Putnam Bank located inside of the Price Chopper at 251 Kennedy Drive in Putnam and presented the teller with a note stating that he had a knife. The teller provided PROVOST with $1,222.
On December 3, 2017, PROVOST entered the Walgreens located at 225 Boston Turnpike in Shrewsbury, Massachusetts, demanded cash from the cashier and lifted his sweatshirt to display a knife. The cashier provided PROVOST with $545.
On December 4, 2017, PROVOST entered the TD Bank located at 10 Gusabel Avenue in Nashua, New Hampshire, handed the teller a note, and told the teller to give him all of the money in the drawer. The teller complied and gave PROVOST $2,599.
On December 6, 2017, PROVOST entered the Key Bank located at 232 West Main Street in Avon and gave the teller a note stating “I have a gun, hundreds, fifties and twenties and no ones and no dye pack.” PROVOST also lifted his sweatshirt to reveal what appeared to be a firearm in his waistband. The teller provided PROVOST with $1,053. PROVOST fled the area in a vehicle driven by another man.
On December 8, 2017, PROVOST entered the Mobil Gas Station and Dunkin Donuts located at 750 Straits Turnpike in Middlebury. PROVOST first threatened the cashier at the Mobil station with what appeared to be a firearm, and instructed her to open the cash register and provide her with all of its contents. The cashier complied and provided him with $578. The cashier also complied with PROVOST’s demand that she give him cigarettes valued at approximately $131. PROVOST then went to the cashier at the Dunkin Donuts, lifted his shirt to display what appeared to be a firearm and demanded money. During the robbery, when a customer entered the premises, the PROVOST pointed the firearm at her and told her to keep her hands out of her pocketbook. The cashier gave PROVOST approximately $350. PROVOST then fled the premises in a vehicle driven by Anthony Vito.
On December 8, 2017, PROVOST entered the Thomaston Savings Bank located at 508 South Main Street in Thomaston and handed the teller a note stating “Robbery 20’s, 50’s, 100’s, quiet.” PROVOST also displayed what appeared to be a firearm. After the teller gave him money, PROVOST told her to get money from the other teller. The teller complied, and PROVOST left the bank with $1,471. He fled the area in a vehicle driven by Vito.
On December 9, 2017, PROVOST was arrested by Waterbury Police officers after they responded to a call of an overdose of a woman at a motel in Waterbury. At the scene, officers recovered a silver and beige handled CO-2 powered BB gun, a black ski mask, a gray ski mask, $542 in cash, multiple packs of cigarettes. Officers also seized a red Ford Explorer that had been used during several of the robberies.
Officers were able to revive the overdose victim, who had been staying in the same room as PROVOST.
PROVOST’s criminal history includes multiple state felony convictions for burglary and larceny, and he was on special parole at the time of this robbery spree.
PROVOST has been detained since his arrest. On April 26, 2018, he pleaded guilty to one count of armed bank robbery.
On June 8, 2018, Vito pleaded guilty to one count of aiding and abetting an armed bank robbery. He is detained while awaiting sentencing.
Judge Underhill ordered PROVOST to make restitution of $8,299.
This investigation is being conducted by the Federal Bureau of Investigation and the Waterbury, Southington, Thomaston, Putnam, Avon, Middlebury, Shrewsbury (Mass.) and Nashua (N.H.) Police Departments. This case is being prosecuted by Assistant U.S. Attorney Anthony E. Kaplan.
Virginia Beach Man Sentenced for Multiple Bank RobberiesRead the Press Release
RICHMOND, Va. – A Virginia Beach man was sentenced today to 20 years in prison for multiple bank robberies committed throughout Virginia and North Carolina.
According to court documents, Russell T. Carter, 50, committed 11 bank robberies and one attempted bank robbery beginning in March 2016 and continuing until November 2017. In almost all of the robberies, Carter would enter the bank and display a note to the teller that stated he had a firearm and demanded money. Carter robbed Union Bank and Trust branches located in Fredericksburg, Mechanicsville, and two branches in Henrico. He also robbed BB&T branches located in Hanover and Mechanicsville, and Wells Fargo branches located in Henrico and Durham, North Carolina. Carter also robbed a Citizens and Farmers Bank branch located in Mechanicsville, and a Cardinal Bank branch and PNC Bank branch, both located in Stafford.
In addition to the prison sentence, Carter was ordered to pay approximately $24,000 in restitution. In sentencing the defendant, U.S. District Court Judge John A. Gibney Jr., granted the government’s motion for upward variance and sentenced Carter to 20 years, which was above the advisory guidelines of 10 to 12 years.
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.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, and Adam S. Lee, Special Agent in Charge of the FBI’s Richmond Field Office, made the announcement after sentencing by U.S. District Judge John A. Gibney, Jr. Assistant U.S. Attorney Peter S. Duffey prosecuted the case.
This case was investigated by FBI Richmond’s Central Virginia Violent Crime Task Force.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information is located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 3:17-cr-166.
U.S. Files Complaint to Forfeit $500,000 in EB-5 Visa Investment Funds and over $140,000 from Sanctioned Chinese Individual Accused of Procuring U.S. Origin Items for Sanctioned Iranian EntitiesRead the Press Release
WASHINGTON - The United States filed a civil complaint today to forfeit more than $640,000 in funds from Wang Wei, a/k/a Jack Wang, whose companies allegedly were procuring U.S.-origin items and illegally supplying them to sanctioned entities in Iran.
The announcement was made by Jessie K. Liu, U.S. Attorney for the District of Columbia, and Jill Sanborn, Special Agent in Charge of the FBI’s Minneapolis Division.
The complaint was filed in the U.S. District Court for the District of Columbia and seeks the civil forfeiture of one ownership unit in the EB-5 Investment Program Cleveland International Fund - Medical Mart Hotel, set to mature in 2020 and pay out $500,000, and $141,086 allegedly laundered into the United States to Reekay Technology, one of Wang’s sanctioned companies.
According to the complaint, a law enforcement investigation into an Iranian procurement network revealed that Wang was the Beijing-based owner of several Iranian procurement front companies. On November 12, 2015, the U.S. Department of Commerce sanctioned Wang and his affiliated companies, Sky Rise Technology Ltd, TiMi Technologies Co Ltd, 32 Group China Ltd., Caprice Group Ltd, and Reekay Technology, for supplying U.S.-origin items to an Iranian party associated with the Iranian defense industry and to an Iranian party whose customers include companies designated by the Department of Treasury as Specially Designated Nationals.
Additionally, on March 21, 2017, the U.S. Department of State sanctioned Wang and his affiliated companies for transfers to Iran’s missile program.
The complaint alleges that at Wang’s direction, front companies, located in mainland China and Hong Kong, purchased sensitive U.S. origin technology on behalf of Iranian end users without the licenses required by the U.S. government. According to the complaint, Wang and his companies conducted more than 100 wire transfers from offshore U.S. dollar accounts worth more than $1.1 million as part of this scheme. The complaint alleges that at least $641,086 of these wires related to illegal procurements from companies that exported U.S. origin items to Wang, which he failed to disclose were going to Iran. The remaining approximately $533,063 in transactions reflect Wang conducting U.S. dollar wire transfers between overseas electronics manufacturers, distributors and telecommunications companies to procure items for sanctioned Iranian entities, the complaint alleges. As part of this scheme, a Chinese front company allegedly wired $141,086 to Reekay Technology. These funds were seized as they transited through the United States for Iranian sanctions violations, and represent one of the defendant properties.
The EB-5 visa program provides a method for eligible immigrant investors to become lawful permanent residents (i.e., “green card holders”) by investing at least $500,000 to finance a business in a targeted employment area in the United States that will employ at least 10 American workers. The Cleveland International Fund (“CiF”) is an Ohio-based regional center offering foreign nationals the opportunity to make investments in the United States for the ultimate purpose of obtaining U.S. citizenship through the EB-5 investment visa program. Wang is an investor in CiF’s Medical Mart Hotel project, whose members consist of CiF as managing member, as well as individual overseas members who purchase their membership unit for $500,000, pursuant to EB-5 program. As alleged in the complaint, Wang laundered $500,000 into the United States in support of his EB-5 application, which was converted into one ownership unit in the Cleveland International Fund - Medical Mart Hotel, Ltd. These funds have been invested in a bond which will mature in 2020, and will result in a pay out at that time to Wang. The government seeks to forfeit Wang’s interest in the bond.
The complaint also seeks a civil monetary penalty against Wang for these sanctions and money laundering violations related to this scheme.
The claims made in the complaint are only allegations and do not constitute a determination of liability.
The FBI’s Minneapolis Divison, U.S. Immigration and Customs Enforcement (ICE) Homeland Security Investigations (HSI) St. Paul, Minnesota, Office, and Department of Commerce are investigating the case. The case is being prosecuted by Assistant U.S Attorneys Zia M. Faruqui, Ari Redbord, and Brian P. Hudak, all of the U.S. Attorney’s Office for the District of Columbia, and Department of Justice Trial Attorney David Recker, of the National Security Division. Assistance is being provided by Paralegal Specialist Toni Anne Donato of the U.S. Attorney’s Office.
U.S. Attorney Brady Recognizes the Addition of Resources to the Western Pennsylvania Violent Crimes Against Children Task ForceRead the Press Release
PITTSBURGH, PA – United States Attorney Scott W. Brady commended the Pennsylvania Attorney General’s Office for devoting five investigators to the Western Pennsylvania Violent Crimes Against Children Task Force or VCAC.
In addition to the United States Attorney’s Office, the VCAC is comprised of law enforcement officers from the FBI, Pennsylvania Attorney General’s Office, U.S. Postal Inspection Service, Pittsburgh Police, Allegheny County Police and the Indiana County District Attorney’s Offices, and investigates child abductions, trafficking and child sexual exploitation enterprises. The number of new cases opened by the VCAC nearly doubled between fiscal year 2016 and 2017. During that same time period, 81 people were arrested and 24 children were identified and/or recovered.
U.S. Attorney Brady recognized the Pennsylvania Attorney General for the additional support of the VCAC. “This joint, cooperative effort enhances our ability to quickly identify and investigate those individuals who prey on children,” said United States Attorney Scott W. Brady. “The VCAC works closely with the United States Attorney’s Project Safe Childhood Task Force.” The United States Attorney’s Project Safe Childhood Task Force, which uses the weight of the federal justice system against sexual predators, where stronger sentences and harsher penalties exist for sexual predators, is headed by Assistant United States Attorney Heidi M. Grogan.
Tyler County woman and Wetzel County man admit to connection to a drug distribution operation in Wetzel and Tyler CountiesRead the Press Release
WHEELING, WEST VIRGINIA – John M. Talkington, of New Martinsville, West Virginia, and Miranda Stewart, of Sistersville, West Virginia, have admitted to their roles in a methamphetamine, cocaine, and heroin distribution operation that spanned multiple states, United States Attorney Bill Powell announced.
Talkington, age 29, and Stewart, age 23, each pled guilty to one count of “Conspiracy to Distribute and Possess with the Intent to Distribute Controlled Substances.” Talkington and Stewart admitted to conspiring with others to distribute methamphetamine, heroin, cocaine, and cocaine base from 2016 to April 2018 in Wetzel County, parts of the southern district of West Virginia, Ohio, and Georgia.
Talkington and Stewart 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 case.
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.
U.S. Magistrate Judge James E. Seibert presided.
Two Indicted for Trafficking Counterfeit Oxycodone Pills Containing FentanylRead the Press Release
SACRAMENTO, Calif. — A federal grand jury returned a four-count indictment today charging Alfredo Sanchez, 39, of Madera, and Saybyn Borges, 27, of Sacramento, with conspiracy to distribute fentanyl, distribution of fentanyl, and possession with intent to distribute fentanyl, U.S. Attorney McGregor W. Scott announced. Sanchez was also charged with being a felon in possession of a firearm.
According to the indictment, between May 3, 2018, and June 7, 2018, in Placer, San Joaquin and Madera Counties, Sanchez and Borges conspired to distribute and possess with intent to distribute fentanyl. According to the criminal complaint, Sanchez and Borges were involved in the sale of approximately 7,500 counterfeit oxycodone pills that were found to contain fentanyl, a synthetic opioid.
A search warrant executed on Sanchez’s residence recovered four firearms: a Kel-Tec 12 gauge shotgun, Ruger .38-caliber revolver, Colt .38-caliber Mustang Pocketlite semi‑automatic pistol, and Colt Commander .38‑caliber pistol. Sanchez is prohibited from possessing firearms.
This case is the product of an investigation by the Drug Enforcement Administration Tactical Diversion Squad. Assistant U.S. Attorney Cameron L. Desmond is prosecuting the case.
If convicted of the fentanyl counts, Borges and Sanchez face a minimum five years and a maximum of life in prison and up to a $5 million fine. If convicted on the firearms possession charge, Sanchez faces up to 10 years in prison and a $250,000 fine. Any sentence, however, would 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. The charges are only allegations; the defendants are presumed innocent until and unless proven guilty beyond a reasonable doubt.
Three Family Members Plead Guilty to Money LaunderingRead the Press Release
COLUMBUS, Ohio – Three members of a family from Mason, Ohio, have pleaded guilty to conspiring to launder nearly $3 million in proceeds from two fraudulently purchased life-insurance policies, which were taken out on another relative.
Patricia Stevenson, 57, and her daughter Candace G. Stevenson, 30, pleaded guilty in U.S. District Court here today to one count of money laundering conspiracy. Mitch G. Stevenson, 53, pleaded guilty on June 28.
Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, and Ryan L. Korner, Special Agent in Charge, Internal Revenue Service (IRS) Criminal Investigation, announced the pleas entered before Chief U.S. District Judge Edmund A. Sargus Jr.
According to court documents, in 2009, Mitch Stevenson bought life insurance policies on a relative. The life-insurance applications claimed the relative was healthy, weighed 170 pounds and had an annual income of $133,000. In fact, the relative was ill, weighed nearly 400 pounds and was unemployed. Mr. Stevenson knew the applications were fraudulent at the time they were submitted. When the relative died, Candace and Patricia Stevenson, who were the beneficiaries of the policies, collected checks from the insurance company totaling $2,908,326.90. At Mitch Stevenson’s direction, Candace and Patricia Stevenson opened eight different bank accounts in an attempt to conceal the source of the funds.
“The defendants engaged in a complex sequence of transactions designed to conceal and disguise the ownership of the proceeds of the life-insurance fraud,” Glassman said.
Court documents also say the family members used the proceeds to buy a 2012 Bentley GT Convertible for approximately $247,000 and used approximately $284,000 as a down payment on a land contract on a home in Mason, Ohio. Other transactions included approximately $16,000 to World of Decor and nearly $33,000 to Facet Jewelry.
“The conduct detailed in this case is egregious. They went to great lengths to conceal the proceeds they received from the fraudulent life insurance policies,” said Ryan L. Korner, Special Agent in Charge, IRS Criminal Investigation, Cincinnati Field Office.”
A federal grand jury indicted the three in June 2017. Money laundering conspiracy is a crime punishable by up to 20 years in prison. Judge Sargus will schedule a date for sentencing.
As part of the plea, the defendants have agreed to pay the $2.9 million to the victim life insurance company. They have also agreed to forfeit to the United States the home in Mason, Ohio, that was purchased with the proceeds of the fraud.
U.S. Attorney Glassman commended the investigation of this case by the IRS Criminal Investigation, and Assistant United States Attorney Peter K. Glenn-Applegate, who is prosecuting the case.
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Three Drug Dealers Plead Guilty to Participating in A Drug Conspiracy Right Before Jury SelectionRead the Press Release
FOR IMMEDIATE RELEASE Contact MARCIA MURPHY
www.justice.gov/usao/md at (410) 209-4854
Baltimore, Maryland – Deandre Smith, age 28, Karron Wheeler, age 35, and Brandon Kellum, age 25, all of Baltimore, pleaded guilty on Tuesday, July 17, 2018, to a drug conspiracy involving the distribution of heroin and fentanyl, just before jury selection for their trial.
The guilty pleas were announced by United States Attorney for the District of Maryland Robert K. Hur; Special Agent in Charge Gordon B. Johnson of the Federal Bureau of Investigation, Baltimore Field Office; Interim Police Commissioner Gary Tuggle of the Baltimore Police Department; and Baltimore City State’s Attorney Marilyn Mosby.
According to Smith’s plea agreement, from at least July 2015 through April 28, 2016, Smith managed a large drug trafficking organization that supplied heroin and fentanyl to distributors in Baltimore, including Wheeler and Kellum. Smith also managed a drug trafficking operation that operated in and around Pedestal Gardens, an apartment complex located in the 300 block of McMechan Street in Baltimore.
Smith, Jamal Carter, and Dymir Rhodes maintained a “stash” house in Catonsville, Maryland, to store drugs and drug proceeds, and to process, and package drugs for distribution. Once packaged for distribution, Smith, Carter, and Rhodes supplied large quantities of heroin and/or fentanyl to several drug shops in Baltimore, including shops operated by Wheeler and Kellum. At Pedastal Gardens, Smith’s operation distributed “packs” of heroin and/or fentanyl and each “pack” typically contained between 25 and 50 gel capsules of the drugs, totaling approximately 2.5 to 5 grams.
As detailed in Smith’s plea agreement, a co-conspirator killed two individuals on August 10, 2016 and October 7, 2015, respectively, to further the Pedastal Gardens drug organization’s drug trafficking activities. The organization believed one of the individuals was distributing drugs in their territory, and the other individual was robbing drug dealers in the area and disrupting the organization’s drug trafficking.
On April 28, 2016, law enforcement officers executed a search warrant at the stash house in Catonsville. At the time of the search warrant, officers located Smith, Carter, and another conspirator inside the residence. During the search, officers discovered approximately 1,186 grams of fentanyl, 575 grams of heroin, and nine grams of cocaine, all of which was being packaged for distribution. Officers also discovered approximately two kilograms of Phenacetin, a substance commonly used to “cut” drugs, as well as approximately $15,465 in cash, and drug paraphernalia. Smith also had approximately $2,000 cash in his pocket.
According to Wheeler’s plea agreement, between at least March 2015 and August 26, 2016, Wheeler managed a drug organization that operated in several locations in Baltimore, including Pennsylvania Avenue and Laurens Street in West Baltimore. During the course of the conspiracy, Wheeler employed or directed more than five individuals. Wheeler admitted that, at his direction, the organization kept a firearm in close proximity to the drug shop for protection and to facilitate the drug operation.
According to Kellum’s plea agreement, from at least November 2015 until Febrary 18, 2016, he participated in the drug conspiracy. On February 18, 2016, law enforcement was conducting surveillance at a shopping center in Catonsville and saw Kellum and a co-conspirator arrive, followed shortly thereafter by Carter. Carter and Kellum met outside their vehicles, then after a brief conversation Carter got into Kellum’s vehicle and placed several plastic baggies containing fentanyl in the vehicle and received payment for the drugs. Carter and Kellum left the area and law enforcement followed Kellum’s vehicle to the 3400 block of Edmondson Avenue, where officers initiated a traffic stop. Law enforcement recovered 135 grams of fentanyl, which Kellum had given to his co-conspirator and which, Kellum admitted, they had intended to distribute to their customers.
Smith and Wheeler each admitted that during their participation in the conspiracy they and his co-conspirators distributed between one and three kilograms of heroin.
Smith and the government have agreed that if the Court accepts the plea agreement Smith will be sentenced to 25 years in prison. No sentencing date for Smith has been set.
Wheeler and the government have agreed that if the Court accepts the plea agreement Wheeler will be sentenced to between 10 and 13 years in prison. U.S. District Judge Catherine C. Blake has scheduled sentencing for September 12, 2018.
Kellum and the government have agreed that if the Court accepts the plea agreement Kellum will be sentenced to between five and seven years in prison. U.S. District Judge Catherine C. Blake has scheduled sentencing for September 10, 2018.
Jamal Carter, age 24, and Dymir Rhodes, age 32, both of Baltimore, previously pleaded guilty to their participation in the drug conspiracy, and were sentenced to 11 years and 10 years in prison, respectively.
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 the FBI, the Baltimore Police Department, and the Office of the State’s Attorney for Baltimore City for their work in the investigation. Mr. Hur thanked Assistant U.S. Attorneys Daniel C. Gardner and Christopher J. Romano, who are prosecuting this Organized Crime Drug Enforcement Task Force case.
Three Companies, Including “Crystal Geyser,” Charged with Illegally Transporting Hazardous Waste Containing ArsenicRead the Press Release
LOS ANGELES – A federal grand jury returned a 16-count indictment yesterday charging three companies, including the company that produces bottled water under the name “Crystal Geyser,” with violating the Resource Conservation and Recovery Act (“RCRA”) and the Hazardous Materials Transportation Act (“HMTA”). The charges center on the alleged failure of the defendants to disclose information regarding arsenic in wastewater transported from Crystal Geyser’s Olancha, California, facility in March and May 2015.
The indictment charges three companies:
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CG Roxane, LLC (“Crystal Geyser”), a limited liability corporation that does business under the name “Crystal Geyser” and produces bottled drinking water in Olancha, California;
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United Pumping Services, Inc. (“United Pumping”), a corporation located in the City of Industry that provides transportation services for customers needing transportation of hazardous and nonhazardous waste; and
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United Storm Water, Inc. (“United Storm Water”), a corporation located in the City of Industry that provided environmental and lake draining services.
The investigation and indictment in this case focused on alleged violations involving Crystal Geyser’s wastewater, not the safety or quality of Crystal Geyser’s bottled water.
According to the indictment, in producing its bottled water, Crystal Geyser would draw water from natural sources that contained naturally occurring arsenic. Crystal Geyser would use sand filters to reduce the concentration of arsenic so that the water met federal drinking water standards. To maintain the effectiveness of the sand filters, Crystal Geyser would regenerate them by back-flushing a hydroxide and water solution through the sand filters, causing the filters to release arsenic into the hydroxide and water solution. This process would generate thousands of gallons of arsenic-contaminated wastewater.
The indictment alleges that Crystal Geyser discharged the arsenic-contaminated wastewater into a nearby manmade pond which Crystal Geyser called “the Arsenic Pond.” In September 2014, testing by the California Department of Toxic Substances Control (“DTSC”) showed that the wastewater stored in the Arsenic Pond constituted a hazardous waste. In October 2014, DTSC testing also showed that arsenic-contaminated wastewater generated by the regeneration process was a hazardous waste. After October 2014, Crystal Geyser stopped discharging regeneration wastewater into the Arsenic Pond.
The indictment further alleges that, in March 2015, Crystal Geyser regenerated and back-flushed the sand filters and, it hired United Pumping and United Storm Water to transport the resulting several thousand gallons of high pH, arsenic-contaminated wastewater to a hazardous waste facility in Los Angeles County. In transporting that hazardous wastewater, the defendants utilized manifests that did not disclose any information about the arsenic content of the wastewater, contrary to law.
According to the indictment, after that March regeneration, in April 2015, DTSC informed Crystal Geyser that the wastewater in the Arsenic Pond constituted a hazardous waste and instructed Crystal Geyser to remove that wastewater from the Arsenic Pond and to transport it, using a hazardous waste manifest, to an authorized facility permitted to accept that specific type of hazardous waste.
In May 2015, Crystal Geyser again hired United Pumping and United Storm Water, this time to drain and transport the Arsenic Pond. United Pumping and United Storm Water transported the contents of the Arsenic Pond to a facility in Fontana, California despite the fact that that facility was not permitted to treat hazardous waste. According to the indictment, Crystal Geyser, United Pumping, and United Storm Water transported the contents of the Arsenic Pond using non-hazardous waste manifests and did not identify the arsenic in the wastewater, even though they knew that the water constituted arsenic hazardous waste.
“Our nation’s environmental laws are specifically designed to ensure that hazardous wastes are properly handled from beginning to end – from the point of generation to the point of disposal,” said United States Attorney Nick Hanna. “The alleged behavior of the three companies charged in this indictment undermines that important objective and jeopardizes the safety of our community.”
Each of the defendants faces a statutory maximum fine of $8 million if convicted on all of the 16 counts in the indictment.
“EPA and its law enforcement partners are committed to the protection of public health and safety,” said Special Agent-in-Charge Jay M. Green of EPA’s criminal enforcement program in California. “This case was opened due to the hazards posed by illegal management and transportation of hazardous wastes. Today’s charges demonstrate that those who refuse to comply with the law will be held to account and prosecuted.”
An indictment contains allegations that a defendant has committed a crime. Every defendant is presumed to be innocent until and unless proven guilty in court.
The investigation in this matter is being conducted by the United States Environmental Protection Agency Criminal Investigations Division and the United States Department of Transportation’s Office of Inspector General, with assistance from the California Department of Toxic Substances Control.
This case is being prosecuted by Assistant United States Attorneys Dennis Mitchell and Erik M. Silber of the Environmental and Community Safety Crimes Section.
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Thirteen Gang Members and Associates Indicted in Federal CourtRead the Press Release
BOISE – A federal grand jury indicted thirteen members and associates of the Aryan Knights and Severely Violent Criminals gangs for crimes including drug distribution, conspiracy, and unlawful possession of firearms, U.S. Attorney Bart M. Davis announced. The charges stem from an investigation by the Treasure Valley Metro Violent Crimes Task Force.
The indicted defendants are Tyler James Campbell, 34 of Boise; Jesse Everett Ford, 43 of Kuna; Brian Cade Humphreys, 45 of Meridian; Jeremy Caine Lyons, 40 of Meridian; Jason Schepers, 33 of Caldwell; Kirstin Decker (aka Kirstin Walz), 39 of Boise; Jennifer Lee Sayer, 34 of Boise; Kimberly Ann Hale, 39 of Meridian; John Alan Redfern, 48 of Boise; Frank Lee Gorrell, 40 of Boise; Angela Marie Sheldon (aka Angela Marie Junkert), 43 of Boise; Keith Anthony Murphy, 28 of Boise; and Cameron James Ball, 31 of Boise. All were indicted on July 10, 2018.
Of the thirteen individuals indicted, eleven were indicted for drug charges including thirteen counts of distribution of methamphetamine and three counts of conspiracy to distribute methamphetamine. Two individuals were indicted for firearms charges including three counts of unlawful possession of a firearm.
Campbell, Ford, Sayer, Hale, Gorrell, and Ball are currently in custody at the Ada County Jail. Lyons is currently in custody at the Kootenai County Jail. Decker and Murphy are currently at the Idaho Department of Correction. Three of the remaining four defendants were arrested last night and this morning. Redfern remains at large.
Federal drug trafficking charges are generally punishable by up to twenty years in prison, a fine up to $1 million, and at least three years of supervised release. Where the defendants are charged with distributing more than five grams of pure methamphetamine, or conspiring to do the same, they face a minimum term of five years and up to forty years in prison, a fine up to $5 million, and at least four years supervised release. Where the defendants are charged with distributing more than fifty grams of pure methamphetamine, or conspiring to do the same, they face a minimum term of ten years and up to life in prison, a fine up to $10 million, and at least five years supervised release.
The charge of unlawfully possessing a firearm is punishable by up to ten years in prison, a maximum fine of $250,000, and up to three years of supervised release.
The indictments are the result of an investigation by the Treasure Valley Metro Violent Crime Task Force. The Task Force was created approximately twelve years ago and is comprised of federal, state and local agencies, including the Federal Bureau of Investigation; Bureau of Alcohol, Tobacco, Firearms and Explosives; Department of Homeland Security; Boise Police Department; Ada County Sheriff’s Office; Caldwell Police Department; Nampa Police Department; Meridian Police Department; the Canyon County Sheriff’s Office; and the Idaho Department of Correction. The Task Force conducts complex long-term investigations of criminal gangs.
The charges are being prosecuted by the Special Assistant U.S. Attorney hired by the Treasure Valley Partnership, the Canyon County Prosecuting Attorney’s Office and the State of Idaho to address gang crimes. The Treasure Valley Partnership is comprised of a group of elected officials in southwest Idaho dedicated to regional coordination, cooperation, and collaboration on creating coherent regional growth. For more information, visit treasurevalleypartners.org.
An indictment is a means of charging a person with criminal activity. It is not evidence. A person is presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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The Bureau of Justice Assistance Awards $1 Million to Support Law Enforcement Response to Santa Fe, Texas, ShootingRead the Press Release
The Bureau of Justice Assistance (BJA) today awarded $1 million to the Texas Office of the Governor, Criminal Justice Division, to pay overtime expenses for law enforcement officers who responded to the scene of the deadly shootings on May 18 at Santa Fe High School in Santa Fe, Texas.
The State of Texas, the City of Santa Fe, and Galveston County incurred several million dollars in costs in responding to the incident. State and local officials continue to incur expenses and the grant will defray some of the costs.
"When there is a tragedy, the Department of Justice is there for police and first responders,” said Attorney General Jeff Sessions. “Today, we continue to help state and local police in Texas to rebuild after the tragic murder of ten people at Santa Fe High School. We have provided a total of $1 million to defray their expenses since that terrible day. We honor and respect the law officers who serve at the state, local, and tribal levels, and we continue to support them and their life-saving work every single day."
According to reports, on the morning of May 18, the assailant opened fire in a classroom and the school resource officer and state and local law enforcement personnel confronted the shooter. The assailant reportedly threatened to shoot the officers, firing several rounds while arguing with the police. Officers engaged the shooter and allowed for the safe evacuation of other students and faculty.
Ten people were tragically killed and more than a dozen others were injured.
BJA invited the Texas Governor’s Criminal Justice Division, which administers the Edward Byrne Memorial Justice Assistance Grants Program for the state, to apply for the funds. BJA is part of the Justice Department’s Office of Justice Programs.
Funds are made available from the Department’s Fiscal Year 2018 Emergency Federal Law Enforcement Assistance (EFLEA) grant program. The purpose of the EFLEA grant program is to help states respond to unanticipated emergencies that require law enforcement intervention, that are or threaten to become serious and that cannot be addressed with state and local resources alone.
For more information about the Bureau of Justice Assistance, please visit www.bja.gov.
The Office of Justice Programs, headed by Principal Deputy Assistant Attorney General Alan R. Hanson, provides federal leadership in developing the nation’s capacity to prevent and control crime, administer justice and assist victims. OJP has six bureaus and offices: the Bureau of Justice Assistance; the Bureau of Justice Statistics; the National Institute of Justice; the Office of Juvenile Justice and Delinquency Prevention; the Office for Victims of Crime; and the Office of Sex Offender Sentencing, Monitoring, Apprehending, Registering and Tracking (SMART). More information about OJP and its components can be found at www.ojp.gov.
Texas Resident Pleads Guilty to Heinz Field Mass Shooting ThreatRead the Press Release
PITTSBURGH, PA – A resident of San Antonio, Texas, pleaded guilty in federal court to a charge of Threatening Interstate Communications, United States Attorney Scott W. Brady announced today.
Yuttana Choochongkol, a/k/a Jason Manotham, 40, pleaded guilty to one count before United States District Judge Nora Barry Fischer.
According to the guilty plea, on January 10 and 11, 2018, Choochongkol made three threats against the athletes and attendees of the National Football League Divisional Playoff Game on Sunday, January 14, 2018. Choochongkol used the internet to send threats to Pittsburgh, Pennsylvania through the KDKA.com and Heinzfield.com “contact us” portals that he was going to engage in mass shootings and suicide at the game.
“Threats of mass violence cannot be tolerated and will be aggressively prosecuted,” said U. S. Attorney Scott Brady. “Nothing is more important than ensuring the safety of the community, including at large public events such as Steelers games. Choochongkol would not have been quickly identified and arrested without tremendous work in a very short time frame by the FBI Joint Terrorism Task Force, Heinz Field Security and our Office, working with our counterparts in Texas.”
"I commend the work done by the FBI's Joint Terrorism Task Force to identify and apprehend Mr. Choochongkol quickly," said Assistant Special Agent in Charge Nick Boshears. "The members of the JTTF and its law enforcement partners are committed to bringing to justice those individuals who threaten our national security. We remain proactive in pursuing counter-terrorism cases because the risks involved are so great."
Judge Fischer scheduled the sentencing for November 27, 2018 at 1:00 p.m. The law provides for a maximum total sentence of 5 years in prison, 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.
Assistant United States Attorney Paul E. Hull is prosecuting this case on behalf of the government.
The Federal Bureau of Investigation conducted the investigation that led to the prosecution of Yuttana Choochongkol.
Texas Man Sentenced in New Mexico to Federal Prison for Transporting Woman Across State Lines for ProstitutionRead the Press Release
ALBUQUERQUE – Markell Quashan Sweargin, 20, of Lubbock, Tex., was sentenced this morning in federal court in Las Cruces, N.M., to 30 months in prison for transporting a person in interstate commerce for the purpose of engaging in prostitution. Sweargin will be on supervised release for 15 years after completing his prison sentence.
Sweargin was arrested in June 2017, on a criminal complaint charging him with transporting a person in interstate commerce for the purpose of forcing the person to engage in a commercial sex act. According to the complaint, on June 14, 2017, officers of the Hobbs Police Department arrested Sweargin on state charges after responding to a domestic disturbance call from a woman (victim) who claimed that Sweargin strangled and assaulted her during an altercation arising from her refusal to engage in a sexual act with another man for money.
According to the criminal complaint, Sweargin, the victim and another person traveled from Lubbock to a hotel in Hobbs, N.M. Once in the hotel room, Sweargin attempted to coerce the victim into having sex with other men for money, and became angry when the victim refused. When Sweargin and the other person left the hotel room, a man came to the room with the expectation of having sex with the victim. After the victim refused to have sex with him, the man departed the room after telling the victim that he had come in response to an advertisement on a webpage known to advertise prostitution services. When Sweargin returned to the hotel room, he was very angry because the victim did not have sex with the man in return for money, began to hit the victim, and blocked the door to the hotel room to prevent the victim or the third person from leaving. The victim and third person fled from the room when Sweargin stepped away from the door.
On Sept. 7, 2018, Sweargin pled guilty to a felony information charging him with transporting a person across state lines for the purpose of engaging in prostitution. In entering the guilty plea, Sweargin admitted that on June 14, 2017, he traveled from Lubbock to Hobbs with the victim with the intention of having the victim engage in prostitution in New Mexico.
This case was investigated by the Homeland Security Investigations Las Cruces office and the Hobbs Police Department. Assistant U.S. Attorneys Marisa A. Ong and Aaron O. Jordan of the U.S. Attorney’s Las Cruces Branch Office prosecuted the case.
Texas Man Sentenced for Role in Drug ConspiracyRead the Press Release
BOSTON – A Texas man involved in a Lawrence-based narcotics trafficking operation was sentenced today in federal court in Boston.
Joel Jahamal Rougeau, 42, was sentenced by U.S. District Court Chief Judge Patti B. Saris to 135 months in prison and three years of supervised release. In November 2017, Rougeau pleaded guilty to one count of conspiracy to possess with intent to distribute and to distribute fentanyl, heroin, and cocaine. On Aug. 12, 2015, Rougeau and three co-defendants, Jerri Martinez-Tejeda and Yoelly Carmenatty, both of Lawrence, and Lily Solis, of Texas, were indicted.
In March 2014, an investigation into a drug trafficking organization operating in Massachusetts, California and elsewhere led law enforcement to Martinez-Tejeda. In late May or early June 2015, Martinez-Tejeda hired Rougeau to pick up nine kilograms of narcotics in California and transport them to the Northeast. Solis, who was romantically involved with Rougeau, accompanied Rougeau to translate Spanish to English for him.
On June 4, 2015, law enforcement in Oklahoma intercepted Rougeau and Solis transporting the nine kilograms of fentanyl to Martinez-Tejeda and his partner, Carmenatty, in Lawrence for distribution. After the shipment was seized, Martinez-Tejeda and Carmenatty believed that Rougeau and Solis had faked the encounter with law enforcement in order to steal the fentanyl from them. They hired an “enforcer” from Mexico to go to Oklahoma and kidnap and torture Rougeau and Solis. Their plan was thwarted when Rougeau fled and Solis was taken into custody. Approximately 18 months later, Rougeau was captured in Mexico and turned over to U.S. authorities.
In June 2016, Solis was sentenced to 33 months in prison; in October 2016, Martinez-Tejeda was sentenced to 292 months in prison; and in January 2017, Carmenatty was sentenced to six years in prison. One additional defendant, Michael Bate, was charged in a superseding indictment for his role as a money courier for the drug trafficking organization. Bate was sentenced to three years in prison in November 2016.
United States Attorney Andrew E. Lelling and Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration, New England Field Division, made the announcement today. Assistant U.S. Attorney Thomas E. Kanwit prosecuted the case.
Texas Man Pleads Guilty to Federal Charges Arising out of Northern New Mexico Violent Crime Spree in July 2017Read the Press Release
ALBUQUERQUE – Lane Michael Reed, 24, of Killeen, Texas, pled guilty today in federal court in Albuquerque, N.M., to armed robbery, carjacking and firearms charges arising out of a two-day violent crime spree in July 2017. Reed entered the guilty plea under a plea agreement that recommends that he be sentenced to 25 years of imprisonment followed by a term of supervised release to be determined by the court.
U.S. Attorney John C. Anderson said Reed 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.
Reed was arrested in Aug. 2017, on a federal criminal complaint charging him with interfering with interstate commerce by robbery, taking a vehicle from another by force and violence, using, brandishing and discharging a firearm during crimes of violence, and being a felon in possession of firearms and ammunition. According to the criminal complaint, on the morning of July 25, 2017, Reed robbed a gas station and convenience store in San Jose, N.M., by brandishing a firearm at a clerk and a small child and taking money from the cash register. Shortly thereafter, the storeowner entered the store and Reed brandished a firearm at the storeowner and robbed the storeowner of the keys to his vehicle and a firearm. Reed then departed the store in the storeowner’s vehicle and soon encountered officers of the New Mexico State Police and Santa Fe County Sheriff’s Office who responded to a “be on the lookout” callout for Reed. While driving on the frontage road to Interstate 25 and southbound on the Interstate and seeking to evade the officers, Reed discharged a firearm in the direction of the officers, some of whom returned fire.
Officers of the New Mexico State Police and Santa Fe County Sheriff’s Office arrested Reed without incident on Interstate 25 near Mile Post 247, on state charges filed by the 1st Judicial District Attorney’s Office. Reed remained in state custody until he was transferred to federal custody on Aug. 28, 2017, to face the federal charges against him.
Reed was indicted on Sept. 21, 2017. The seven-count indictment charged Reed with robbing a gas station and convenience store, a business engaged in interstate commerce, in Raton, N.M., on July 24, 2017 and brandishing a firearm during the robbery. The indictment also charged Reed with robbing a gas station and convenience store, also a business engaged in interstate commerce, in San Jose, N.M., on July 25, 2017, and brandishing a firearm during that robbery. It also charged Reed with carjacking a vehicle in San Miguel County on July 25, 2017, and discharging a firearm during that carjacking. Finally, the indictment charged Reed with being a convicted felon unlawfully in possession of a firearm on July 24 and 25, 2017.
During today’s proceedings, Reed pled guilty to robbing the gas station and convenience store in San Miguel County and brandishing a firearm during the robbery, and to the carjacking charge. In entering the guilty plea, Reed admitted that on July 25, 2017, he violated the Hobbs Act by entering the Pecos River Station convenience store, pointing a firearm at the store clerk, threatening her with a firearm, and demanding money and keys to a vehicle. Reed also admitted confronting the storeowner, who was armed, and disarming the storeowner and taking his firearm and the keys to his vehicle.
In his plea agreement, Reed admitted that after robbing the Pecos River Station convenience store, he attempted to evade arrest by driving at speeds up to 140 miles an hour and discharged his firearm at the law enforcement officers who were pursuing him. During the pursuit, Reed caused extensive damage to the vehicle he stole as well as extensive damage to the law enforcement vehicles that were pursuing him.
Reed has been in federal custody since his arrest in Aug. 2017. He remains detained pending a sentencing hearing, which has yet to be scheduled.
This case was investigated by the Santa Fe office of the FBI, the New Mexico State Police and the Santa Fe County Sheriff’s Office. Assistant U.S. Attorney George C. Kraehe is prosecuting the case.
Texas Husband and Wife and A Texas Attorney Indicted for Conspiring to Defraud the United StatesRead the Press Release
WASHINGTON - A federal a grand jury sitting in Fort Worth, Texas returned an indictment yesterday charging a husband and wife and a Texas attorney with conspiring to defraud the United States and separately charging the husband and wife with tax evasion, announced Principal Deputy Assistant Attorney General Richard E. Zuckerman of the Justice Department’s Tax Division and U.S. Attorney Erin Nealy Cox for the Northern District of Texas.
According to the indictment, Thomas and Michelle Selgas, a married couple, conspired with John O. Green, an attorney licensed to practice in the State of Texas, to defraud the United States by obstructing the Internal Revenue Service (IRS) from assessing and collecting the Selgases’ federal income taxes. The indictment charges that in furtherance of the conspiracy the Selgases transferred personal funds to Green’s IOLTA and that Green would pay personal expenses of the Selgases from his IOLTA. An IOLTA is bank account used by a lawyer to hold money in trust for clients. The Selgases allegedly deposited the proceeds from the sale of gold coins and other income into Green’s IOLTAs, rather than accounts in their own name, and then caused their personal expenditures to be paid from Green’s IOLTAs, in order to evade paying their federal income taxes. The indictment further alleges that all three defendants were involved in the filing of a false partnership tax return related to a partnership co-founded by Thomas Selgas.
If convicted, Thomas and Michelle Selgas face a statutory maximum sentence of five years in prison on the tax evasion charges and five years on the conspiracy. John Green faces a maximum sentence of five years on the conspiracy. The defendants also face a period of supervised release, restitution and monetary penalties. An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Principal Deputy Assistant Attorney General Zuckerman and U.S. Attorney Cox and thanked agents of the IRS Criminal Investigation, who conducted the investigation, and Tax Division Trial Attorneys Robert A. Kemins and Mara Strier, who are prosecuting the case.
Additional information about the Tax Division’s enforcement efforts can be found on the division’s website.
Sutton, ND Man Sentenced on Multiple Offenses Involving the Production of Child PornographyRead the Press Release
Fargo – United States Attorney Christopher C. Myers announced that on July 19, 2018, Chief United States District Court Judge Daniel L. Hovland sentenced Brent Daigle, age 39, Sutton, ND, to serve 70 years in prison, followed by lifetime supervised release for three counts of Sexual Exploitation of Minors and one count of Possession of Materials Involving the Sexual Exploitation of Minors. Daigle was further ordered to pay $400 in special assessments to the Crime Victims’ Fund.
This case came to the attention of law enforcement after a 12-year-old girl reported that Daigle had repeatedly sexually abused her, including video recording such abuse. In the meantime, Daigle fled to Louisiana where he was arrested on state charges involving sexual abuse of the victim. A search of his person revealed a cell phone which contained videos depicting his sexual abuse of the victim.
This case was investigated by the Griggs County Sheriff’s Office; ND Bureau of Investigation; and Homeland Security Investigations.
Assistant United States Attorney Jennifer Puhl prosecuted the case.
This case was prosecuted as part of Project Safe Childhood, a nationwide initiative designed to protect children from online exploitation and abuse. Led by U.S. Attorneys’ Offices throughout the nation, Project Safe Childhood, in conjunction with Internet Crimes Against Children Task Force (ICAC), help federal, state, and local law enforcement agencies enhance their investigative responses to offenders who use the Internet, online communications systems, or computer technology to sexually exploit children. The ICAC Program is a national network of 61 coordinated task forces engaging in proactive investigations, forensic investigations, and criminal prosecutions. Project Safe Childhood also helps to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
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Suboxone Clinic Physician Pleads Guilty to Distribution and Health Care FraudRead the Press Release
PITTSBURGH, PA - A resident of Coraopolis, Pennsylvania, pleaded guilty in federal court to charges of unlawfully distributing controlled substances, conspiracy to distribute controlled substances and health care fraud, United States Attorney Scott W. Brady announced today.
Madhu Aggarwal, 68, pleaded guilty to three counts before United States District Judge Arthur J. Schwab.
In connection with the guilty plea, the court was advised that Aggarwal was a physician practicing at Redirections Treatment Advocates, a Suboxone clinic, located in Washington, PA. Aggarwal and others conspired together to create and submit unlawful prescriptions for buprenorphine, known as Subutex and Suboxone, and then unlawfully dispensed those controlled substances to other persons. Aggarwal is also charged with health care fraud for allegedly causing fraudulent claims to be submitted to Medicare for payments to cover the costs of the unlawfully prescribed buprenorphine.
Judge Schwab scheduled sentencing for November 28, 2018 at 10:30 a.m. The law provides for a total per count sentence of 10 years in prison, a fine of $500,000.00, or both, for the controlled substances offenses. Aggarwal faces an additional maximum term of imprisonment of 10 years and fine of $250,000.00 for the health care fraud charge. Under the Federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Pending sentencing, the court continued Aggarwal on bond.
Assistant United States Attorney Robert S. Cessar is prosecuting this case on behalf of the government.
The Federal Bureau of Investigation, Drug Enforcement Administration, Department of Health and Human Services – Office of Inspector General and Internal Revenue Service – Criminal Investigations conducted the investigation leading to the indictment in this case.
Statement from U.S. Attorney Andrew Lelling Regarding Proposed Injection SitesRead the Press Release
“Supervised injection facilities” would violate federal laws prohibiting the use of illicit drugs and the operation of sites where illicit drugs are used and distributed. Employees and users of such a site would be exposed to federal criminal charges regardless of any state law or study.
I cannot envision any scenario in which sites that normalize intravenous use of heroin and fentanyl would be off limits to federal law enforcement efforts.
Heroin use fuels a deadly drug trade that is ravaging our state and the region, and my office is keenly focused on curbing the opioid and heroin epidemic. Providing a sanctuary to accommodate risky and lethal illegal drug use undermines all of the hard work of treatment providers and law enforcement across the Commonwealth.
The opioid epidemic requires that we remain laser-focused on prevention, treatment, and enforcement – not the normalization of intravenous use of heroin and fentanyl.
St. Croix Crack Cocaine Supplier Sentencing for Aiding and Abetting the Distribution of Cocaine BaseRead the Press Release
St. Croix, VI –Winston DeCastro, 45, of St. Croix, was sentenced in the District Court on July 19, 2018, on the charge of aiding and abetting the distribution of cocaine base, also known as "crack cocaine", United States Attorney Gretchen C.F. Shappert announced.
Chief Judge Wilma A. Lewis sentenced DeCastro to 60 months (5 years) imprisonment, followed by 4 years of supervised release, a $2,000 fine, and a $100 special assessment. DeCastro pled guilty to the charge on March 20, 2018.
A federal grand jury had previously returned an indictment against DeCastro, aka Moo Moo, on September 15, 2015. According to court documents, on April 21, 2015, DeCastro supplied crack cocaine to a co-defendant, Bruce McIntosh. DeCastro then transported McIntosh to McDonalds at the LaReine Shopping Center in St. Croix for the purposes of selling the cocaine to a buyer. Upon arrival, McIntosh exited DeCastro’s vehicle and sold the cocaine to the buyer for $1,800. Laboratory testing revealed that the drugs were cocaine base, a Schedule II controlled substance, with a net weight of 65.2 grams.
The case was investigated by the Drug Enforcement Administration (DEA) and Task Force Officers with the Virgin Islands Police Department. The case was prosecuted by Assistant U.S. Attorney Daniel H. Huston.
Spokane Man Sentenced to 14 Years in Federal Prison for Possessing Four Pounds of MethamphetamineRead the Press Release
Spokane – Joseph H. Harrington, United States Attorney for the Eastern District of Washington, announced that Joey Alan Yamada, age 55, of Spokane, Washington, was sentenced today after having pleaded guilty on April 17, 2018, to possessing with the intent to distribute 500 grams or more of a mixture or substance containing a detectable amount of methamphetamine. Chief United States District Judge Thomas O. Rice sentenced Yamada to a 168-month term of imprisonment, to be followed by a 5-year term of court supervision after he is released from federal prison.
According to information disclosed during court proceedings, while executing a warrant to search Yamada’s residence, Spokane Police officers seized approximately four pounds of methamphetamine secreted in a safe and behind a wall. Officers also seized sixteen firearms, including a sawed-off rifle, and other drug trafficking accoutrements.
Joseph H. Harrington said, “The United States Attorney’s Office for the Eastern District of Washington commends the law enforcement officers with the Spokane Police Department, the DEA, and the ATF who investigated this case. Their seamless partnership resulted in the successful outcome of this matter. The sentence imposed by the court removes a drug trafficker from our streets and sends a clear message to others who may choose to engage in such criminal activity.”
This case was prosecuted under the Project Safe Neighborhoods (PSN) program. PSN is a federal, state, and local law enforcement collaboration to identify, investigate, and prosecute individuals responsible for violent crimes in our neighborhoods. The U.S. Attorney’s Office is partnering with federal, state, local, and tribal law enforcement to specifically identify the criminals responsible for violent crime in the Eastern District of Washington and pursue criminal prosecution.
This case was investigated by the Spokane Resident Offices of the U.S. Drug Enforcement Administration, the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), and the Spokane Police Department. This case was prosecuted by Patrick J. Cashman, an Assistant United States Attorney for the Eastern District of Washington.
South Bend Man Sentenced to 120 Months in PrisonRead the Press Release
SOUTH BEND – Charles D’Angelo Lockett, 23 years old, of South Bend, Indiana, was sentenced by U.S. District Court Judge Robert L. Miller, Jr. for being a felon in possession of one or more stolen firearms announced U.S. Attorney Kirsch.
Lockett was sentenced to 120 months in prison followed by 18 months supervised release.
According to documents in the case, Charles Lockett was in Wabash County when he was driving and hit a parked car. Lockett fled the scene of the accident, and police cars eventually caught up with him after a fifteen minute chase. During the chase, Lockett was throwing items out of the vehicle, driving over 90 miles per hour, and drove through stop signs. The car chase led to Lockett running away on foot, where police eventually detained him. In the car, police found that Lockett had 2 firearms and miscellaneous drugs.
This case was investigated by ATF, North Manchester Police Department, Wabash County Sheriff’s Department and prosecuted by Assistant United States Attorney Molly E. Donnelly.
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Seventh Mississippi Real Estate Investor Pleads Guilty to Conspiring to Rig Bids at Public Foreclosure AuctionsRead the Press Release
Mississippi real estate investor Kimberly Foster became the seventh real estate investor to plead guilty in connection with the ongoing investigation into bid rigging at public real estate foreclosure auctions in Mississippi, the Department of Justice announced.
Felony charges against Foster were filed on June 28, 2018, in the U.S. District Court for the Southern District of Mississippi. According to those charges, from at least as early as August 20, 2009 through at least as late as December 14, 2016, Kimberly Foster conspired with others not to bid against one another for selected public real estate foreclosure auctions in the Southern District of Mississippi. Co-conspirators made and received payoffs in exchange for their agreement not to bid.
“The Division remains committed to holding accountable those who violate the antitrust laws, including real estate investors who take advantage of financial distress to line their own pockets,” said Assistant Attorney General Makan Delrahim of the Department of Justice Antitrust Division. “Today’s plea, along with the convictions of well over 100 other individuals who rigged foreclosure auctions all across the country, demonstrates that individual accountability remains a top priority for the Division.”
“Participation in illegal price-fixing at public auctions debilitates the economy and causes harm to those involved in the foreclosure process,” said Special Agent in Charge Christopher Freeze of the FBI in Mississippi. “Perpetrators who attempt to cheat the free market system will be held accountable for their actions.”
The Department stated that the primary purpose of the conspiracy was to suppress and restrain competition in order to obtain selected real estate offered at public foreclosure auctions at non-competitive prices. When real estate properties are sold at these auctions, the proceeds are used to pay off the mortgage and other debt attached to the property, with any remaining proceeds paid to the homeowner. According to court documents, these conspirators paid and received money in connection with their agreement to suppress competition, which artificially lowered the price paid at auction for such homes.
A violation of the Sherman Act carries a maximum penalty of 10 years in prison and a $1 million fine for individuals. The maximum fine for a Sherman Act charge may be increased to twice the gain derived from the crime or twice the loss suffered by the victims of the crime if either amount is greater than the statutory maximum fine.
The investigation is being conducted by Antitrust Division attorneys in the Washington Criminal II Section and the FBI’s Gulfport Resident Agency, with the assistance of the U.S. Attorney’s Office for the Southern District of Mississippi. Anyone with information concerning bid rigging or fraud related to public real estate foreclosure auctions should contact Antitrust Division prosecutors in the Washington Criminal II Section at 202-598-4000, or visit www.justice.gov/atr/report-violations.
Seventh Mississippi Real Estate Investor Pleads Guilty to Conspiring to Rig Bids at Public Foreclosure AuctionsRead the Press Release
WASHINGTON – Mississippi real estate investor Kimberly Foster became the seventh real estate investor to plead guilty in connection with the ongoing investigation into bid rigging at public real estate foreclosure auctions in Mississippi, the Department of Justice announced.
Felony charges against Foster were filed on June 28, 2018, in the U.S. District Court for the Southern District of Mississippi. According to those charges, from at least as early as August 20, 2009 through at least as late as December 14, 2016, Kimberly Foster conspired with others not to bid against one another for selected public real estate foreclosure auctions in the Southern District of Mississippi. Co-conspirators made and received payoffs in exchange for their agreement not to bid.
“The Division remains committed to holding accountable those who violate the antitrust laws, including real estate investors who take advantage of financial distress to line their own pockets,” said Assistant Attorney General Makan Delrahim of the Department of Justice Antitrust Division. “Today’s plea, along with the convictions of well over 100 other individuals who rigged foreclosure auctions all across the country, demonstrates that individual accountability remains a top priority for the Division.”
“Participation in illegal price-fixing at public auctions debilitates the economy and causes harm to those involved in the foreclosure process,” said Special Agent in Charge Christopher Freeze of the FBI in Mississippi. “Perpetrators who attempt to cheat the free market system will be held accountable for their actions.”
The Department stated that the primary purpose of the conspiracy was to suppress and restrain competition in order to obtain selected real estate offered at public foreclosure auctions at non-competitive prices. When real estate properties are sold at these auctions, the proceeds are used to pay off the mortgage and other debt attached to the property, with any remaining proceeds paid to the homeowner. According to court documents, these conspirators paid and received money in connection with their agreement to suppress competition, which artificially lowered the price paid at auction for such homes.
A violation of the Sherman Act carries a maximum penalty of 10 years in prison and a $1 million fine for individuals. The maximum fine for a Sherman Act charge may be increased to twice the gain derived from the crime or twice the loss suffered by the victims of the crime if either amount is greater than the statutory maximum fine.
The investigation is being conducted by Antitrust Division attorneys in the Washington Criminal II Section and the FBI’s Gulfport Resident Agency, with the assistance of the U.S. Attorney’s Office for the Southern District of Mississippi. Anyone with information concerning bid rigging or fraud related to public real estate foreclosure auctions should contact Antitrust Division prosecutors in the Washington Criminal II Section at 202-598-4000, or visit www.justice.gov/atr/report-violations.