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Tuesday 29 May 2018
Former State Trooper Pleads Guilty to Drug-Trafficking, Witness-Tampering, Firearms Charges; 3 Others Plead Guilty to Related ChargesRead the Press Release
COLUMBUS, Ohio – Former Ohio State Highway Patrol Trooper Jason J. Delcol and co-defendants Stevedore Crawford, Jr., Carlos Carvalho and Benjamin J. Owings pleaded guilty in U.S. District Court today for their roles in a drug-trafficking ring.
Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, Angela L. Byers, Special Agent in Charge, Federal Bureau of Investigation (FBI), Cincinnati Division, and members of the Delaware County Drug Task Force announced the pleas offered before U.S. Magistrate Judge Norah McCann King.
The men are four of six who were charged in February 2018 in the drug-trafficking operation in Delaware, Ohio.
According to the Statement of Facts, in 2017 and 2018, Delcol engaged in a drug-trafficking conspiracy with co-defendants Owings and Nicholas Glassburn. Delcol engaged in the conspiracy while serving as a Trooper in the Ohio State Highway Patrol.
Delcol obtained drugs from Owings – namely, testosterone, anabolic steroids and human growth hormone – and then provided them to Glassburn. Likewise, he obtained separate drugs – hydrocodone, oxycodone and Xanax – from Glassburn and provided them to Owings. Most of the time, Delcol distributed the substances at Glassburn’s residence on Rheem Street, which is near Conger Elementary School in Delaware.
In August 2017, Delcol committed witness tampering by engaging in misleading conduct toward local law enforcement to help Glassburn avoid arrest and prosecution. According to the Statement of Facts, on August 5, 2017, police encountered Glassburn asleep at the wheel and when officers searched his vehicle, they found cocaine and crack cocaine. Glassburn untruthfully told law enforcement he had found the drugs in one of his children’s rooms and had removed them. He said he had called a friend who was a state trooper, Delcol, and Delcol told him to destroy the drugs or take them to a police station. Law enforcement called Delcol to confirm the story and Delcol identified himself as a state trooper and lied on Glassburn’s behalf. Four days later in a follow-up call, Mr. Delcol again lied to police to help Glassburn.
In February 2018, when law enforcement searched Delcol’s home, they discovered a machine gun and a silencer, neither of which was registered.
Delcol pleaded guilty to one count each of conspiracy to distribute controlled substances within 1,000 feet of a public elementary school, witness tampering and possession of an unregistered machine gun and an unregistered silencer. The drug-trafficking conspiracy charge carries a potential maximum of 40 years in prison. Witness tampering is a crime punishable by up to 20 years in prison. Possessing an unregistered machine gun and silencer carries a potential maximum prison sentence of 10 years. Delcol also agreed to forfeit the illegally possessed weapons.
Crawford engaged in the drug-trafficking conspiracy by distributing cocaine and crack cocaine to Glassburn and pleaded guilty to one count of conspiracy to distribute controlled substances within 1,000 feet of a public elementary school. The conspiracy charge in Crawford’s case is punishable by a range of five to 80 years in prison.
Carvalho pleaded guilty to one count of money laundering, which is punishable by up to 20 years in prison. According to his Statement of Facts, from 2016 to 2018, Carvalho supplied Glassburn with marijuana. He would often travel to Colorado to purchase multiple pounds of marijuana and instructed Glassburn to transfer drug proceeds from Ohio to Colorado to further the drug-trafficking operation.
Owings distributed testosterone, anabolic steroids, human growth hormone and oxycodone pills to Delcol. He also received hydrocodone, oxycodone and Xanax from Delcol. Owings pleaded guilty to one count of conspiracy to distribute controlled substances.
U.S. Attorney Glassman commended the investigation of this case by the FBI and Delaware County Drug Task Force, as well as Assistant United States Attorney Peter K. Glenn-Applegate, who is prosecuting the case.
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Former Professional Trustee of Sacramento-Based Trust Charged with Fraud and Money LaunderingRead the Press Release
SACRAMENTO, Calif. — An eight-count indictment was unsealed on Tuesday following the arrest of Loretta Darlene Stewart-Cabrera, 52, of Sacramento, for her role in a scheme to defraud beneficiaries of a trust she administered as a professional fiduciary, U.S. Attorney McGregor W. Scott announced.
On April 26, 2018, a federal grand jury returned an 8-count indictment, charging Stewart‑Cabrera with mail fraud, wire fraud, and money laundering.
According to court documents, Stewart-Cabrera was a professional fiduciary who served as the trustee of a trust. The trust owned a Sacramento property. After the trust grantor died in December 2012, Stewart-Cabrera executed a scheme to obtain and spend the trust assets. Stewart-Cabrera did this by selling the trust’s property, distributing to the trust beneficiaries only approximately $30,000 of the more than $300,000 she received from the sale of the property, and spending the remaining money without the permission or knowledge of the trust beneficiaries. At the time, Stewart-Cabrera was in financial distress. She used a portion of the trust funds to gamble and dine in Las Vegas casinos, pay family members, and purchase merchandise.
This case is the product of an investigation by the Federal Bureau of Investigation and Internal Revenue Service, Criminal Investigation. Assistant U.S. Attorney Brian A. Fogerty is prosecuting the case.
If convicted of the mail fraud and wire fraud counts, Stewart-Cabrera faces a maximum statutory penalty of 20 years in prison and a $250,000 fine. If convicted of the money laundering counts, Stewart-Cabrera faces a maximum statutory penalty of 10 years in prison, and a fine of $250,000 or twice the value of the property involved in the money laundering transactions. 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 defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
Former Clovis Resident Sentenced to More than 12 Years in Prison for Running $24 Million Ponzi SchemeRead the Press Release
FRESNO, Calif. — Seth Adam Depiano, 37, formerly of Clovis, was sentenced on Tuesday by U.S. District Judge Dale A. Drozd to 12 years and seven months in prison following his guilty pleas to mail fraud, wire fraud and money laundering charges, U.S. Attorney McGregor W. Scott announced.
According to court documents, Depiano operated a Ponzi scheme that lured real estate investors to give money to Depiano and the businesses he controlled, including The Rental Group, US Funding and Home Services LLC, and Draymond Homes. Depiano fraudulently promised investors that he would use their money to purchase residential properties and either manage the properties for rental income or arrange for them to be renovated and resold. In many cases, Depiano promoted the properties to investors with documents that falsely represented high occupancy rates. Depiano oftentimes had no authority to purchase or sell the properties and misled investors with fraudulent documents misrepresenting the properties’ ownership. Some of the properties Depiano marketed to investors did not even exist.
Depiano frequently used the investors’ money to pay his personal expenses, fund his gambling activities, and finance the settlement of the investors’ civil lawsuits against him. He also paid investors purported rental income that, in fact, was money other investors gave to Depiano for investment purposes.
Depiano admitted to defrauding investors of approximately $24 million and was ordered by the court to pay restitution to investors of more than $19.6 million. Depiano also was ordered to forfeit more than $700,000 seized from several bank accounts and cash, and a baseball card collection valued at more than $31,000.
This case was the product of an investigation by the Federal Bureau of Investigation. Assistant U.S. Attorney Christopher D. Baker prosecuted the case.
Erie Man Sentenced to 2 Years Probation for Exchanging Food Stamps for CashRead the Press Release
ERIE, Pa. - A resident of Erie, Pennsylvania, has been sentenced in federal court to two years probation on his conviction of conspiracy to defraud the United States, United States Attorney Scott W. Brady announced today.
United States District Judge David S. Cercone imposed the sentence on John L. McDowell, 68.
According to information presented to the court, McDowell’s three co-defendants were engaged in food stamp fraud primarily involving exchanging food stamps for cash. John McDowell was enlisted to submit a fraudulent application for a food stamp license so that the food stamp terminals in use at the convenience stores owned and operated by two of the co-defendants would not be in their names. The defendants then used the food stamp terminals at locations where they were not authorized.
Assistant United States Attorney Christian A. Trabold prosecuted this case on behalf of the government.
United States Attorney Brady commended the United States Department of Agriculture, Office of Inspector General, the Erie Police Department, the Department of Homeland Security Investigations and the Internal Revenue Service, Criminal Investigation for the investigation leading to the successful prosecution of McDowell.
Erie Man Pleads Guilty in Food Stamp Fraud SchemeRead the Press Release
ERIE, Pa. - A resident of Erie, Pennsylvania, pleaded guilty in federal court to a charge of conspiracy to defraud the United States, United States Attorney Scott W. Brady announced today.
Jibul R. Jibul, 29, pleaded guilty to one count before United States District Judge David S. Cercone.
In connection with the guilty plea, the court was advised that Jibul and two-defendants were all engaged in food stamp fraud primarily involving exchanging food stamps for cash. Jibul and his co-defendants also used the food stamp terminals at locations where they were not authorized.
Judge Cercone scheduled sentencing for October 1, 2018 at 12:45 p.m. The law provides for a total sentence of 5 years in prison, a fine of $250,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offense and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Christian A. Trabold is prosecuting this case on behalf of the government.
The United States Department of Agriculture, Office of Inspector General, the Erie Police Department, the Department of Homeland Security Investigations and the Internal Revenue Service, Criminal Investigation, conducted the investigation that led to the prosecution of Jibul.
Erie Gang Member Caught Selling Crack CocaineRead the Press Release
ERIE, Pa. - A resident of Erie, Pennsylvania, pleaded guilty in federal court to a charge of violating federal drug laws, United States Attorney Scott W. Brady announced today.
Paris Xavier Boyd, 29, pleaded guilty to one count before United States District Judge David S. Cercone.
In connection with the guilty plea, the court was advised that the FBI’s Erie Area Gang Law Enforcement (EAGLE), Safe Streets task force conducted an investigation into the drug dealing and violent crime activity of members of a local gang identifying itself as "1800". The court was advised that court authorized intercepts of telephone communications between members of the group and others revealed Boyd selling crack cocaine in the Erie area. The court was advised that Boyd took over the role as the crack cocaine distributor when another member of the group was arrested after shooting at rival gang members in Erie. Boyd pleaded guilty to conspiring with his co-defendants to possess with intent to distribute and distribute the crack cocaine.
Judge Cercone scheduled sentencing for October 1, 2018 at 1:30 p.m. The law provides for a total sentence of 40 years in prison, a fine of $5,000,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offense and the prior criminal history, if any, of the defendant.
Pending sentencing, the court continued Boyd on bond.
Assistant United States Attorney Marshall J. Piccinini is prosecuting this case on behalf of the government.
The EAGLE task force, which is comprised of members of the Federal Bureau of Investigation, the Pennsylvania Attorney General’s Office, Bureau of Narcotics Investigation and the Erie Police Department conducted the investigation that led to the prosecution of Boyd. The Erie County District Attorney’s County Detectives Bureau also assisted in the investigation.
El Salvador citizen admits to cocaine distributionRead the Press Release
MARTINSBURG, WEST VIRGINIA – An El Salvador citizen has admitted to his role in a cocaine distribution operation, United States Attorney Bill Powell announced.
Jose Wil Castro, a/k/a “William”, age 29, pled guilty to one count of “Conspiracy to Distribute Cocaine” Castro admitted to selling cocaine in May 2016 in Hampshire County.
Castro faces 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 Shawn M. Adkins and Lara K. Omps-Botteicher are prosecuting the case on behalf of the government. The Federal Bureau of Investigation and the Eastern Panhandle Drug and Violent Crimes Task Force, a HIDTA-funded initiative, investigated.
U.S. Magistrate Judge Robert W. Trumble presided.Dearborn Man Sentenced to 41 Years in Prison for Sexual Exploitation of Children, Production and Receipt of Child PornographyRead the Press Release
GREAT FALLS - The United States Attorney's Office announced that during a federal court session in Great Falls, on May 29, 2018, before U.S. District Judge Brian Morris, TIMOTHY ALLEN WEAVER, a 36-year-old resident of Dearborn, Montana, was sentenced to a term of:
•Prison: 500 months
•Special Assessment: $300
•Restitution: $3,000
•Forfeiture: computer, tablet and cell phone
•Supervised Release: lifetime
WEAVER was sentenced in connection with his guilty plea to two counts of sexual exploitation of children (production of child pornography) and one count of receipt of child pornography. WEAVER sexually exploited a child in Montana, and victimized other children outside of Montana through the images he received via the internet.
In an Offer of Proof filed by Assistant U.S. Attorney Cyndee L. Peterson, the government stated it would have proved at trial the following:
In August 2016, the Cascade County Sheriff’s office was conducting a criminal investigation, and Defendant Timothy Weaver’s residence in Cascade, Montana, was searched pursuant to a search warrant. Items were seized including an eMachines computer, a Polaroid Tablet, and a Microsoft cellular telephone. The items were submitted for forensic analysis and review. The examiner located files that depicted children engaged in sexually explicit conduct.
The child pornography files include images of WEAVER engaged in sexually explicit conduct with a child. In addition to those images, WEAVER possessed images of other children engaged in sexually explicit conduct and that WEAVER received those images between 2010 and 2016.
In its Sentencing Memorandum, the United States stated that Weaver engaged in a repeated pattern, covering a period of approximately five years, of sexual exploitation of a child. He violently abused the child victim multiple times per week, including choking. During the abuse and humiliation, the victim would close her eyes and cry.
This case was a cooperative effort between the Cascade County Sheriff’s Office and the Homeland Security Investigations. Both agencies are members of the Montana Internet Crimes Against Children Task Force.
“The efforts of the Cascade County Sheriff’s Office in promptly searching Weaver’s residence and then requesting the assistance of the Montana Internet Crimes Against Children Task Force and HSI have not only rescued this child from Weaver’s on-going abuse but it also protected other children from victimization." said U.S. Attorney Kurt G. Alme.
Because there is no parole in the federal system, the "truth in sentencing" guidelines mandate that Weaver will likely serve all of the time imposed by the court. In the federal system, Weaver does have the opportunity to earn a sentence reduction for "good behavior." However, this reduction will not exceed 15% of the overall sentence.
This case was initiated under the Department of Justice’s Project Safe Childhood initiative which was launched in 2006 to combat the proliferation of technology-facilitated crimes involving the sexual exploitation of children. Through a network of federal, state and local law enforcement agencies and advocacy organizations, Project Safe Childhood attempts to protect children by investigating and prosecuting offenders involved in child sexual exploitation. It is implemented through partnerships including the Montana Internet Crimes Against Children (ICAC) Task Force. The ICAC Task Force Program was created to assist state and local law enforcement agencies by enhancing their investigative response to technology facilitated crimes against children.
Colona Woman Sentenced to 3 1/2 Years in Prison for Tampering with a Federal WitnessRead the Press Release
ROCK ISLAND, Ill. – Charity Ann Engholm, 31, of Colona, Ill., was sentenced on May 24, to 42 months in prison for attempting to tamper and conspiring to tamper with a witness in a federal home invasion robbery case. U.S. District Judge Sara L. Darrow also ordered Engholm to serve a three-year term of supervised release following her prison sentence.
Following the arrests of Dalvent Jackson, Deaunta Tyler, and Ledell Tyler on Jan. 8, 2017, for a violent, shots-fired home invasion robbery in Rock Island, Jackson arranged for his girlfriend, Engholm, to approach one of the robbery victims in an attempt to convince the victim to renounce her identification of Jackson as one of the robbers. On Jan. 13, Engholm contacted the victim, offering to pay her $5,000 to renounce the identification. Instead of taking the money, the victim notified the police.
After Engholm initially was charged with state witness tampering offenses, she agreed to cooperate in the federal investigation of the home invasion robbery. However, in May 2017, having been released on bond from her state charges, Engholm fled to Chicago. Engholm then was charged in federal court with attempting to tamper and conspiring to tamper with a federal witness. She was arrested in Chicago on the federal charges on July 14, 2017, and held in custody. On Oct. 17, 2017, Engholm pleaded guilty to both charges.
Jackson, Deaunta Tyler, and Ledell Tyler were tried and convicted on federal robbery and firearms charges in November 2017. Jackson and Deaunta Tyler each were sentenced to 30 years in prison. Sentencing for Ledell Tyler is scheduled for June 29, 2018, in U.S. District Court in Rock Island.
The case was prosecuted by Assistant U.S. Attorneys Don Allegro, Ryan Finlen, and Kevin Knight. The charges were investigated by the Rock Island Police Department, and the federal Bureau of Alcohol, Tobacco, Firearms and Explosives.
Banker Shaun Hayes Gets Prison SentenceRead the Press Release
St. Louis, MO – Shaun R. Hayes, 58, of Frontenac, was sentenced to 68 months in federal prison today after pleading guilty to participating in a scheme to defraud Excel Bank and to profit from illegal insider loans. The sentence was handed down by United States District Judge Audrey G. Fleissig who also ordered Hayes to pay restitution in the amount of $5,048,003.67.
Hayes was charged in April, 2016, along with real estate developer Michael Litz on bank fraud and related charges involving a series of insider loans and straw party loans at Excel Bank. The bank failed in October 2012 and Simmons Bank succeeded it. Hayes and Litz each entered guilty pleas in January. Litz was sentenced earlier this month to 36 months in prison. Hayes has been incarcerated since April 2017 when a U.S. Magistrate Judge ruled that he had violated the conditions of his bond by participating in investment activities without getting clearance from his bond officer. There is no parole in federal prison sentences.
Excel Bank was a federally insured bank with main offices in Sedalia, Missouri. Hayes held a controlling stock interest in the bank which, by 2009, had opened a Loan Production Office (LPO) in Clayton. Hayes controlled the loan activities at the LPO. At Hayes’s direction the commercial and residential real estate lending at Excel Bank increased dramatically through the operation of the LPO. As part of his guilty plea, Hayes admitted that many of the loans made through the LPO were substandard and placed the bank at risk. He also admitted that he engaged in unlawful self-dealing by causing loans to be made which directly benefitted him and his associates while concealing his interest in the loans.
As part of his guilty plea, Hayes admitted that he helped set up a loan at Excel Bank to a straw party in the amount of $3.3 million and caused some $906,000.00 of the proceeds of that loan to be paid to Centrue Bank to pay off a loan he and his business associate, Michael Litz, had guaranteed for their entity McKnight Man I LLC. Hayes admitted that his interest in the loan was concealed from bank officials and he and Litz made no payments to Excel Bank. Court documents made part of the guilty plea record also show that Hayes assisted in causing Excel Bank to make the above loan and millions of dollars in other loans to straw parties in order to cover the delinquent and substandard loans owed by Litz’s business, Eighteen Investments, at other banks. According to the charges, Excel Bank lost substantial amounts on these loans.
Hayes was also sentenced on an illegal insider loan through which he and Litz each received $300,000.00. In April, 2009, they caused Excel Bank to make a loan to Rolling Hills Apartments LLC which operates an apartment complex in north county. They caused Excel Bank to loan much more than was needed by the apartment complex in order to create a pool of money for them. Hayes and Litz structured the payout through several entities so as to insure that their interests were concealed.
In a sentencing memorandum filed with the court, the Government informed the court that Hayes was a principal at three banks which failed in 2011-2012---Excel Bank, Sun Security Bank and Truman Bank. According to the Federal Deposit Insurance Corporation (FDIC), the federal insurance fund loss for those three banks was estimated at slightly more than $160 million at the close of 2017. It was also noted to the court that Hayes was paid $1,863,076 by Excel bank in dividends and fees from late 2007 when he gained control of the bank through March 2010 when regulators ordered a stop to the payments.
In its memorandum, the Government also identified the losses suffered by the longtime employees of Excel Bank when the bank failed and the bank stock in their retirement plan had become worthless. These employees relied upon the bank’s stock to provide security for their retirement.
"Shaun Hayes abused his position and defrauded Excel Bank to enrich himself and his co-defendants. Their unlawful actions not only caused the bank to fail, but cost hard-working St. Louisans their jobs, homes and financial security," said Special Agent in Charge Richard Quinn of the FBI St. Louis Division. "This case is but one example of how the FBI, along with its law enforcement partners, will relentlessly bring to justice those who harm our communities."
“The conviction and sentence of Shaun Hayes is an important reminder that the FHFA-OIG and our law enforcement partners will aggressively pursue justice in fraud cases which undermine the integrity of and confidence in our banking system, including those that affect the Federal Home Loan Banks. We thank our law enforcement partners for their efforts in bringing justice in this case,” said Catherine Huber, Special Agent in Charge of the Federal Housing Finance Agency, Office of Inspector General for the Central Region.
David Anderson, Special Agent in Charge of the Kansas City Region of the FDIC Office of Inspector General said, “Those individuals who engage in bank fraud schemes undermine the integrity of the banking and financial services industry. The FDIC OIG is committed to stopping these illegal acts.”
“As the majority shareholder who virtually had complete control of Excel Bank, Shaun Hayes caused devastation by repeatedly abusing his power to commit fraud,” said Special Inspector General Christy Goldsmith Romero. “His crime caused millions in losses, threatened the very soundness of the bank that later failed, and caused bank employees to lose much of their nest eggs. The bank failure meant that TARP was never repaid and taxpayers suffered $5 million in TARP losses, all while he profited from concealing the fraud from regulators. This case is a great example of law enforcement collaborating to bring justice and I thank our partner U.S. Attorney’s Office, the FBI, and other inspector general offices.”
The restitution amount ordered by the court consisted largely of losses incurred by Excel Bank on the straw party loans with most of the restitution being owed to the FDIC.
Timothy Murphy, the former Executive Vice president at Excel bank, pled guilty earlier this year to defrauding Excel Bank and was sentenced to probation based on his cooperation in the investigation.
This case has been investigated by the Federal Bureau of Investigation, the Federal Finance Agency Office of Inspector General, the Federal Deposit Insurance Corporation Office of Inspector General and the Office of the Special Inspector General for the Troubled Asset Relief Program. Criminal Chief James E. Crowe, Jr., and Assistant United States Attorney Gilbert C. Sison are handling the case for the U.S. Attorney’s Office.
Alien Sentenced for Unlawful Possession of a Firearm and Judicially Ordered Deported to MexicoRead the Press Release
GREENVILLE – Robert J. Higdon, Jr., United States Attorney for the Eastern District of North Carolina, announces that JOSE HERNANDEZ-RAMIREZ, age 31, of Mexico, illegally present in the United States and residing in Edgecombe County, North Carolina, was sentenced today to 12 months and one day in federal prison, after a February 5, 2018 guilty plea to one count of illegal and unlawful alien in possession of a firearm. According to court records, HERNANDEZ-RAMIREZ discharged the firearm into an occupied dwelling.
HERNANDEZ-RAMIREZ was sentenced in Greenville by Senior United States District Court Judge Malcolm J. Howard who in addition to the term of incarceration also issued a judicial order of deportation ordering the defendant’s prompt removal from the United States to Mexico upon release from federal custody.
The case was investigated by Homeland Security Investigations and the Tarboro Police Department.
Accokeek Man Pleads Guilty to Drug MisbrandingRead the Press Release
FOR IMMEDIATE RELEASE Contact ELIZABETH MORSE
www.justice.gov/usao/md at (410) 209-4885
Greenbelt, Maryland – Jonathan Gonzales, age 50, of Accokeek, Maryland, pleaded guilty today to introducing misbranded drugs into interstate commerce with the intent to defraud or mislead. The charges stem from a scheme to sell mislabeled drugs via the Internet.
The guilty plea was announced by United States Attorney for the District of Maryland Robert K. Hur and Special Agent in Charge Mark S. McCormack of the Food and Drug Administration, Office of Criminal Investigations – Metro Washington Field Office.
According to his plea agreement, beginning in 2009, Gonzales began selling products marketed as dietary supplements through eBay and his personal website, helptomakelifebetter.com. Gonzales received these products from sources in China.
In 2013, the Food and Drug Administration (FDA) began to investigate Gonzales for multiple products and found that some of the products contained active pharmaceutical ingredients, in particular sibutramine and/or phenolphthalein. Sibutramine is a Schedule IV controlled substance and the active ingredient in Meridia, a prescription drug produced by Abbott and approved by the FDA in 1997 to treat obesity. Abbott voluntarily stopped marketing Meridia at the request of the FDA after clinical data indicated an increased risk of cardiovascular adverse events, including heart attacks and strokes. Phenolphthalein was an ingredient in some over-the-counter laxatives until 1999, when the FDA reclassified the drug as not generally recognized as safe and effective.
Upon discovery of the two drugs, the FDA sent Gonzales an e-mail with the results of their analyses of Gonzales’s products and noting that it was Gonzales’s responsibility under federal law to ensure that the products he distributed did not contain any undeclared and potentially harmful ingredients. The FDA also explained the dangers of the drugs and his responsibilities to follow Federal law. Gonzales responded to the e-mail, acknowledging that he would remove any products for sale that may be harmful.
Gonzales told the FDA employee that only a few product listings remained and that he would sell those products and would not replace them. Gonzales also told the FDA that he had told his distributors in China that he would not be ordering any more products from them. He asked FDA personnel to contact him if they found any issues with his website. However, Gonzales continued to market and sell the products he had promised not to sell.
Federal law enforcement officers searched Gonzales’s home pursuant to a warrant on January 14, 2016. A substantial amount of misbranded products were found in the home, seized, and tested. The misbranded products contained sildenafil (the active ingredient in Viagra), sibutramine and phenolphthalein.
Gonzales faces a maximum sentence of three years in prison. U.S. District Judge Paula Xinis has scheduled sentencing for September 10, 2018 at 2:30 p.m.
United States Attorney Robert K. Hur commended the FDA for their work in the investigation. Mr. Hur thanked Assistant U.S. Attorney Kelly Hayes and Special Assistant U.S. Attorney John Pelletierri, who are prosecuting the case.
A Monongalia County man admits to firearms conspiracy chargeRead the Press Release
CLARKSBURG, WEST VIRGINIA – A Morgantown, West Virginia man has admitted to a charge involving an illegal firearms operation, United States Attorney Bill Powell announced.
Tommy Calhoun, age 52, pled guilty to one count of “Conspiracy to Violate Federal Firearms Laws.” Calhoun admitted to being involved in a conspiracy that included making false statements to purchase firearms, trading firearms for controlled substances, and transporting and selling the firearms in New York. The crime occurred in Morgantown, Monongalia County and elsewhere from May 2017 to June 2017.
Calhoun faces up to five years incarceration and a fine of up to $250,000. 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.
This case was brought as part of Project Safe Neighborhoods (PSN), a program that has been historically successful in bringing together all levels of law enforcement to reduce violent crime and make our neighborhoods safer for everyone. Attorney General Jeff Sessions has made turning the tide of rising violent crime in America a top priority. In October 2017, as part of a series of actions to address this crime trend, Attorney General Sessions announced the reinvigoration of PSN and directed all U.S. Attorney’s Offices to develop a district crime reduction strategy that incorporates the lessons learned since PSN launched in 2001.
Assistant U.S. Attorney Zelda E. Wesley is prosecuting the case on behalf of the government. The Bureau of Alcohol, Tobacco, Firearms, and Explosives investigated.U.S. Magistrate Judge Michael John Aloi presided.
Monday 28 May 2018
Two Individuals Plead Guilty to Concealment of A FelonyRead the Press Release
MUSKOGEE, OKLAHOMA – The United States Attorney’s Office for the Eastern District of Oklahoma announced that Robert Prag, age 46, of Tahlequah, Oklahoma, and Snaysha Russell, age 27, of Broken Arrow, Oklahoma, both pled guilty to Misprision Of A Felony, in violation of Title 18, United States Code, Section 4, punishable by not more than 3 years imprisonment, up to a $250,000.00 fine, or both.
The Indictment alleged that between April 26, 2017 and June 20, 2017, within the Eastern District of Oklahoma, the defendants, Robert Prag and Snaysha Russell, having knowledge of the actual commission of a felony cognizable by a court of the United States, to wit, Arson, did conceal the same by disposing of evidence related to the Arson, and did not as soon as possible make known the same to some judge or other person in civil or military authority under the United States.
The charges arose from an investigation by the Bureau of Alcohol, Tobacco, Firearms and Explosives.
The Honorable Kimberly E. West, U.S. Magistrate Judge in the United States District Court for the Eastern District of Oklahoma, in Muskogee, accepted the pleas and ordered the completion of the presentence investigation reports.
Assistant United States Attorney Dean Burris represented the United States.
Tahlequah Man Pleads Guilty to Methamphetamine DistributionRead the Press Release
MUSKOGEE, OKLAHOMA – The United States Attorney’s Office for the Eastern District of Oklahoma announced that Bruce Aaron Bardesis, age 53, of Tahlequah, Oklahoma pled guilty to Possession with Intent to Distribute Methamphetamine, in violation of Title 21, United States Code, Sections 841(a)(1) and 841(b)(1)(C), punishable by not more than 20 years imprisonment, up to a $1,000,000.00 fine, or both.
The Indictment alleged that on or about October 26, 2017, within the Eastern District of Oklahoma, the defendant, Bruce Aaron Bardesis, did knowingly and intentionally possess with intent to distribute a mixture or substance containing a detectable amount of methamphetamine, a Schedule II controlled substance.
The charges arose from an investigation by the Oklahoma Bureau of Narcotics and the Bureau of Alcohol, Tobacco, Firearms and Explosives.
The Honorable Kimberly E. West, U.S. Magistrate Judge in the United States District Court for the Eastern District of Oklahoma, in Muskogee, accepted the plea and ordered the completion of a presentence investigation report.
Assistant United States Attorney Dean Burris represented the United States.
Friday 25 May 2018
“Stackz Squad” Street Gang Member Sentenced to 41 Months in Federal PrisonRead the Press Release
Memphis, TN. A member of the “Stackz Squad” street gang has been sentenced to 41 months in federal prison for being a drug user in possession of firearms. U.S. Attorney D. Michael Dunavant for the Western District of Tennessee announced the sentence today.
The defendant was convicted after a jury trial on the following facts: On May 27, 2017, detectives with the Multi-Agency Gang Unit were on patrol during the funeral of a known gang member at a church in Raleigh. While at the scene, detectives observed a silver Toyota Camry enter the church parking lot in which Jamal Bowens and Lee Hope were passengers. Detectives then approached the vehicle and observed a marijuana cigar and a Rossi .357 revolver on the floorboard under Bowen’s feet. Upon search of Hope’s person, a stolen Smith and Wesson .40 caliber pistol was recovered from the front of his pants. The Smith and Wesson pistol was reported stolen out of Mississippi. A video posted on social media showed Hope in possession of both firearms earlier in the day.
U.S. Attorney D. Michael Dunavant said: “Now more than ever, it is crucial that we remove firearms from dangerous and prohibited people, and remove violent and unstable offenders with firearms from our communities. This conviction and sentence demonstrates our commitment to use all of the laws provided by Congress to target and incapacitate violent gang members with guns. We are Fed Up with gun crime in Memphis, and we are doing something about it.” Gun Crime is Max Time.
At sentencing, the proof showed Bowens was a member of the street gang Stackz Squad and frequently possessed firearms with other gang members. Bowens possession of firearms occurred while the defendant was on bond in state court. Currently, Bowens has charges of Aggravated Robbery and Aggravated Assault pending in state court.
On May 22, 2108, U.S. District Judge Sheryl H. Lipman sentenced Bowens to 41 months imprisonment for being a drug user in possession of two firearms.
Lee Hope, 20, a co-defendant, was also convicted for possessing a firearm while being a drug user. Hope is set for sencting on June 13, 2018.
The Multi-Agency Gang Unit investigated this case.
Assistant U.S. Attorney Marques T. Young prosecuted this case on the government’s behalf.
Wood County Man Sentenced to Federal Prison for Methamphetamine TraffickingRead the Press Release
CHARLESTON, W.Va. – United States Attorney Mike Stuart announced that Joseph Daniel Mills, 40, of Walker, was sentenced yesterday to 9 years in federal prison for possession with intent to distribute methamphetamine. Stuart commended the investigative efforts of the Parkersburg Narcotics Task Force and the FBI.
Mills pled guilty in July 2017, admitting that on May 12, 2017, he possessed approximately 10 ounces of methamphetamine, 21 firearms, body armor, and scales when law enforcement officers executed a federal search warrant at his residence.
“21 firearms. Body armor. Methamphetamine. Mills was a danger to law enforcement and our good citizens and we will never tolerate risks to law enforcement or the public,” said United States Attorney Mike Stuart. “We are aggressively prosecuting dangerous drug dealers like Mills throughout the Southern District of West Virginia, from Parkersburg to Williamson, Huntington to White Sulphur Springs and everywhere in between.”
United States District Judge Joseph R. Goodwin imposed the sentence in federal court in Charleston. Assistant United States Attorney Joshua Hanks prosecuted the case.
Follow us on Twitter: @SDWVNews and @USAttyStuart
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Wilson Man Sentenced After Conviction of Felon in Possession ChargeRead the Press Release
RALEIGH – The United States Attorney for the Eastern District of North Carolina, Robert J. Higdon, Jr., announced that today, MAURICE MONTRAE PARKS, 36, of Wilson, was sentenced by Senior United States District Judge W. Earl Britt for one count of Possession of a Firearm by a Convicted Felon. Judge Britt sentenced PARKS to 90 months imprisonment followed by 3 years of supervised release.
PARKS was convicted after a three-day jury trial on February 7, 2018. The evidence at trial showed that shortly after midnight on September 5, 2015, PARKS was seen banging on the door of a residence in Wilson while holding a firearm. After a neighbor called 911, Officers of The Wilson Police Department arrived, and PARKS fled the scene in his car. During the brief chase, PARKS took several turns along residential streets and cut through the lawn of a vacant home that sat at the corner of an intersection. A pursuing officer observed PARKS’ vehicle stop briefly beside that vacant home. PARKS drove back to the street where he had been seen with the gun and jumped and ran from his car. Police apprehended PARKS on the driveway of the house whose resident had placed the 911 call. Officers returned to the vacant home that PARKS had driven around and found a Ruger Mini-14 rifle lying in the grass. The firearm was near fresh tire marks in the yard and in the area where PARKS had momentarily stopped his car.
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 investigation of this case was conducted by the Wilson Police Department and the Bureau of Alcohol, Tobacco, Firearms & Explosives (ATF). Assistant United States Attorney Jake D. Pugh represented the government in this case.
Wayne County Man Accused of Sexually Abusing a Minor Arrested on Federal Criminal ComplaintRead the Press Release
HUNTINGTON, W.Va. – United States Attorney Mike Stuart announced today that Joshua Morrison, 21, of Wayne County, was arrested on a federal complaint alleging that he sexually abused a minor. The complaint alleges that on or about January 9, 2016, Morrison sexually abused a minor female while aboard a cruise ship in international waters. Morrison faces up to 15 years in prison, if convicted.
“Protecting children, the most vulnerable victims, is my greatest priority. My office takes all allegations of crimes against children very, very seriously,” said United States Attorney Mike Stuart. “I will always do all in my power to bring to justice those who victimize our children.”
The investigation is being conducted by the Federal Bureau of Investigation. "The victimization of children can have a devastating impact for years," said FBI Assistant Special Agent in Charge Nick Boshears. "Our children are among the most vulnerable members of our community, and we must protect them any way we can. No matter where the crime occurs, we will work with partner agencies to exhaust all investigative resources to apprehend those responsible."
Assistant United States Attorney Emily Wasserman is handling the prosecution.
Note: The charge contained in the complaint is merely an accusation, and the defendant is presumed innocent unless and until proven guilty.
Follow us on Twitter: @SDWVNews and @USAttyStuart
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Virginia Man Sentenced to 94 Years to Life in Prison for Triple Homicide in Northeast Washington in 1991Read the Press Release
WASHINGTON – Benito Valdez, 47, formerly of Arlington, Va., was sentenced today to a term of 94 years to life in prison for killing three people in 1991 in Northeast Washington, announced U.S. Attorney Jessie K. Liu and Peter Newsham, Chief of the Metropolitan Police Department (MPD).
Valdez was found guilty by a jury in February 2018 of multiple counts of first-degree murder while armed, three counts of kidnapping while armed and one count of sodomy while armed. The verdict followed a trial in the Superior Court of the District of Columbia. He was sentenced by the Honorable Judith Bartnoff.
According to the government’s evidence, in the early morning hours of April 23, 1991, Curtis Pixley, Keith Simmons, and Samantha Gillard went to Langdon Park in the 1800 block of Franklin Street NE to purchase crack cocaine. Mr. Pixley, 29, and Mr. Simmons, 26, approached Valdez while Ms. Gilliard, 23, waited at a distance. The drug deal went bad very quickly when Valdez accused Mr. Pixley of stealing drugs from him. Valdez threatened Mr. Pixley that he was going to pay for the drugs one way or another. When Mr. Pixley could not pay with cash, Valdez raped Ms. Gillard at gunpoint. Then, according to the government’s evidence, Valdez forced all three to lie on the ground and shot each one execution-style.
Valdez was charged with the crimes in February 2016 and has been in custody.
In announcing the sentences, U.S. Attorney Liu and Chief Newsham commended the work of those who investigated the case from the Metropolitan Police Department’s Cold Case Unit as well as the U.S. Park Police. They also expressed appreciation for the work of those who handled the case at the U.S. Attorney’s Office, including Paralegal Specialists Stephanie Siegerist, Alesha Matthews, Meridith McGarrity, and Sharon Newman; Criminal Investigator Zachary McMenamin; Litigation Technology Specialist Leif Hickling, and Victim/Witness Advocate Diana Lim. Finally, they commended the work of Assistant U.S. Attorneys Laura A. Bach and Lindsey Merikas, who prosecuted the case.
Uvalda Tax Preparer Pleads Guilty to Filing False Tax ReturnsRead the Press Release
SAVANNAH, GA: On Wednesday, May 23, 2018, Betty Mclain, 66, pled guilty to aiding and assisting the preparation of a false tax return before Senior U.S. District Court Judge Dudley H. Bowen, Jr.
According to the evidence presented at the plea hearing, Mclain operated Betty’s Tax Service next to her home in Uvalda, Georgia. To increase her business and attract more clients, Mclain prepared tax returns that falsely claimed the taxpayer and dependents attended and spent money on colleges at which they were never enrolled. The vast majority of the 2,000 returns filed by Mclain since 2011 claimed these education tax credits. Following an investigation by the IRS Criminal Investigation Division into the accuracy of the returns, a grand jury in Savannah charged Mclain in February 2018 with twenty-four counts of preparing false tax returns for others and three counts of filing her own false tax returns. In each count, Mclain was alleged to have prepared a tax return that claimed education credits to which the taxpayer was not entitled.
As a result of the fraudulent tax returns she prepared, Mclain defrauded the IRS out of nearly $1,000,000. Mclain pled guilty to one count of aiding and assisting the preparation of a tax return for a client whom she falsely claimed was entitled to education credits totaling $5,119. In pleading guilty, Mclain agreed to never again prepare tax returns for anyone else.
Mclain faces a statutory maximum sentence of 3 years in prison, 1 year of supervised release, and a $100,000 fine. Parole has been abolished in the federal system.
United States Attorney Bobby L. Christine stated, “Teamed with our dedicated partners at IRS, our Office will work to ensure that corrupt tax return preparers are put out of business and behind bars. Tax cheats have no place in the Southern District of Georgia.”
"Mclain's plea is a victory for the United States Taxpayer. Not only did Mclain admit to the allegations against her, but she also agreed to never prepare tax returns again," said Thomas J. Holloman, Special Agent in Charge, IRS Criminal Investigation. "IRS, Criminal Investigation will continue to utilize its resources and stop these fraudulent return preparers in their tracks".
Return preparer fraud, identity theft, and inflated refund schemes are three of the Internal Revenue Service’s Dirty Dozen List of Tax Scams for 2018. The IRS has some information on its website about selecting a return preparer and has launched a free directory of federal tax preparers. Also, the IRS has a list of steps on its website that you can take in anticipation of filing your federal income tax return and ten tips for choosing a tax preparer.
The investigation was led by IRS Criminal Investigation Division in Savannah. For additional information, please contact the United States Attorney’s Office at (912) 652-4422.
United States Settles False Claims Act Allegations Against Riverside Spine & Pain Physicians for More Than $1.2 MillionRead the Press Release
Tampa, FL – United States Attorney Maria Chapa Lopez announces today that Riverside Spine & Pain Physicians, LLC (RSPP), a pain management practice principally located in Jacksonville, Florida, has agreed to pay the United States $1,204,415.60 to resolve allegations that they violated the False Claims Act by knowingly billing the government for medically unnecessary urine drug tests.
The settlement relates to RSPP’s use of quantitative drug tests, which identify and assess the amount of drugs in a patient’s urine. Quantitative drug tests are very specific, very expensive, and necessary only if an individualized patient assessment supports further testing. Routine quantitative testing for all patients in a practice is unnecessary. Similarly, testing every patient for the same physician-defined panel of drugs is unnecessary. The United States contends that RSPP performed quantitative testing on all of their patients for the same panel of drugs regardless of individual patient history and risk.
“A primary mission of the United States Attorney’s Office is protecting Medicare, TRICARE, and other federal health care programs from fraud,” said U.S. Attorney Maria Chapa Lopez. “Our Civil Division works tirelessly in the pursuit of providers who perform tests indiscriminately and regardless of patient need.”
“This settlement demonstrates the effectiveness of investigations by the Defense Criminal Investigative Service and our law enforcement partners to ensure that medical service providers do not unjustly enrich themselves by diverting precious taxpayer dollars from where they are needed most. DCIS protects the integrity of the Department of Defense enterprise by rooting out fraud, waste, and abuse that negatively impacts critical programs such as TRICARE,” said Special Agent in Charge John F. Khin, Southeast Field Office.
“This settlement highlights our commitment to hold accountable providers who place profits over patients,” said Shimon Richmond, Special Agent in Charge for the Office of Inspector General of the U.S. Department of Health and Human Services. “Paying medically unnecessary claims or those stemming from improper referrals is an injustice to the Medicare program and the beneficiaries it serves.”
The settlement concludes a lawsuit originally filed in the United States District Court for the Middle District of Florida by a former employee of RSPP, Dr. Carissa Stone. She sued under the qui tam, or whistleblower, provisions of the False Claims Act permitting a private citizen to sue on behalf of the United States for false claims and to share in the recovery. The Act also allows the United States to intervene and prosecute the action. Dr. Stone will receive roughly $240,000 of the proceeds from the settlement with RSPP.
The government’s action in this matter illustrates the emphasis on combating health care fraud, and one of the most powerful tools in this effort is the False Claims Act. Tips from all sources about potential fraud, waste, abuse, and mismanagement can be reported to the Department of Health and Human Services, at 800-HHS-TIPS (800-447-8477).
This settlement resulted from a coordinated effort by the U.S. Attorney’s Office for the Middle District of Florida; the U.S. Department of Health and Human Services, Office of Inspector General; the Defense Criminal Investigative Service; and the Department of Veterans Affairs, Office of Inspector General. Assistant United States Attorney Lindsay Saxe Griffin led the investigation.
The case is captioned United States ex rel Carissa Stone vs. Riverside Spine & Pain Physicians, LLC, dba Riverside Spine & Pain Physicians PL, Case No. 8:16-cv-945-T36EAJ. The settlement resolves the United States’ claims in that case. The claims resolved by the settlement are allegations only, and there has been no determination of liability.
United States Moves to Forfeit Antiquity from Time of Roman Empire that was Looted from Syria and Recovered from High Desert HomeRead the Press Release
LOS ANGELES – The United States this week filed an asset forfeiture complaint against an ancient mosaic depicting Hercules, believed to have been made in the 3rd or 4th Century, that likely was looted from war-torn Syria, allegedly illegally imported into the United States, and seized by the Federal Bureau of Investigation (FBI) and Homeland Security Investigations (HSI) at a Palmdale residence.
The mosaic, which is approximately 18 feet long and weighs approximately one ton, was seized by FBI and HSI special agents in March 2016 as part of an investigation into the “smuggling [of] looted items believed to be from a foreign conflict area into the United States.”
The complaint, which was filed Wednesday in United States District court under the caption United States v. One Ancient Mosiac, alleges that a Palmdale man smuggled the antiquity into the United States with false and fraudulent documents with the intent to avoid import duties.
The complaint alleges that Mohamad Yassin Alcharihi further violated federal law by concealing the mosaic at his residence.
After the mosaic was seized, an expert retained by the government concluded that that the artwork “was an authentic mosaic from the Byzantine Period depicting Roman mythology, and was consistent with the iconography of mosaics found in Syria, in particular in and around the city of Idlib, Syria.” The complaint alleges that the mosaic was imported into the United States with paperwork indicating that it was part of a shipment of vases and mosaics worth only about $2,200, but Alcharihi later admitted paying $12,000 for the items. Preliminary estimated values for the mosaic at issue in this case are much higher, according to the complaint.
The United States has adopted import restrictions on archaeological and ethnological material from Syria, according to the complaint, which quotes a statement from U.S. Customs and Border Protection stating: “[f]or decades, the United States has shared the international concern for the need to protect endangered cultural property. The appearance in the United States of stolen or illegally exported artifacts from other countries where there has been pillage has, on occasion, strained our foreign and cultural relations. This situation, combined with the concerns of museum, archaeological, and scholarly communities, was recognized by the President and Congress. It became apparent that it was in the national interest of the United States to join with other countries to suppress illegal trafficking of such objects in international commerce.”
The civil forfeiture case is being handled by Assistant United States Attorney Katharine Schonbachler of the Asset Forfeiture Section.
The mosaic at issue in this case is approximately 18 feet in length, 8 feet in height, and weighs approximately 2,000 pounds. This photograph was taken by FBI after the mosaic was seized pursuant to a federal warrant:
Two Maryland Men Charged in EB-5 Visa Scheme to Defraud InvestorsRead the Press Release
U.S. Attorney Duane A. Evans announced that WILLIAM B. “BART” HUNGERFORD, JR., age 57, and TIMOTHY O. MILBRATH, age 62, both residents of Maryland, were charged today in an eight-count indictment alleging violations of federal law in connection with a scheme to defraud immigrants who sought to invest money in job-creating companies in New Orleans after Hurricane Katrina.
According to the indictment, HUNGERFORD and MILBRATH conspired together to defraud immigrants who sought to apply for EB-5 visas. The visa program permits immigrants to invest a minimum of $1,000,000.00 in a United States job-creating enterprise and obtain permanent residency if, after two years, that investment created or preserved ten American jobs. The minimum investment required was lowered to $500,000.00 if the investment was made in a targeted employment area (“TEA”), defined as an area with an unemployment rate of 150% of the national average.
HUNGERFORD and MILBRATH formed a company called NobleOutReach to operate an investment fund, and they contracted with the City of New Orleans to operate a regional center in the Parish of Orleans. Because New Orleans was a designated TEA in the years after Hurricane Katrina, immigrant investors only had to invest $500,000.00 in order to qualify under the EB-5 visa program. The indictment alleges that HUNGERFORD and MILBRATH represented to investors that their $500,000.00 investment would be used to create jobs in New Orleans and contribute to the rebuilding of the City. A total of thirty-one immigrants invested a total of $15.5 million in the defendant’s investment fund.
The indictment alleges that, instead of investing the entire $15.5 million into New Orleans-based job-creating enterprises, HUNGERFORD and MILBRATH fraudulently misappropriated investor funds for their own personal gain and to use for their personal companies. HUNGERFORD and MILBRATH are alleged to have written checks, disguised as “loans” or “loan repayments,” to themselves from investor funds, income that was in addition to their salaries. The defendants are alleged to have created multiple companies in order to obscure and conceal the path of investor funds, and they allegedly spent investor funds to purchase vacation and rental properties for their own benefit. The indictment alleges that, in the course of perpetrating the fraud, the defendants made material misrepresentations to investors, U.S. Citizenship and Immigration Services (USCIS), and the City of New Orleans.
HUNGERFORD and MILBRATH are both charged in all eight counts of the indictment returned by the grand jury. Among other charges, they are alleged to have committed conspiracy to commit wire fraud and mail fraud, and they are charged with five counts of wire fraud. Should they be convicted, each of these counts carries a maximum penalty of twenty years in prison, a $250,000.00 fine, and up to three years of supervised release.
The defendants are also charged with conspiracy to commit immigration fraud. If convicted, they face a maximum of five years of imprisonment, a $250,000.00 fine, and up to three years of supervised release. Lastly, they are charged with conspiracy to commit money laundering, which carries a maximum penalty of twenty years in prison, a $250,000.00 fine, and up to three years of supervised release.
U.S. Attorney Evans reiterated that the indictment is merely a charge and that the guilt of the defendants must be proven beyond a reasonable doubt.
U.S. Attorney Evans praised the work of the New Orleans Field Office of the Federal Bureau of Investigations in investigating this matter. Assistant United States Attorneys Emily Greenfield and Matthew Payne are in charge of the prosecution.
Twenty-three Defendants Charged in Drug IndictmentsRead the Press Release
Assistant United States Attorneys A. Dale Blankenship (619) 546-6705
and Jonathan Shapiro (619) 546-8225SAN DIEGO – Twenty-three defendants were charged in five indictments unsealed in federal court with conspiracy to distribute cocaine and cocaine base (“crack”), distribution of cocaine and cocaine base, conspiracy to distribute methamphetamine, distribution of methamphetamine, and money laundering.
Beginning early yesterday morning, members of the FBI Violent Crimes Task Force, plus other law enforcement agencies, made numerous arrests stemming from the indictments. As of noon today, nineteen of the twenty-three defendants are either in federal or state custody. Authorities are continuing to search for four defendants.
The crackdown announced today is the latest in a series of efforts by the Department of Justice to turn the tide of the drug epidemic and reduce the inevitable violent crime that accompanies widespread drug trafficking by gangs.
“Today’s announcement is another strong message to those gang members that operate on the streets of San Diego,” said U.S. Attorney Adam L. Braverman. “If you peddle drugs, we will come after you with the full force of the federal government.”
FBI Special Agent in Charge John Brown commented, "The FBI is proud to be in the fight to keep our communities safe, free from drug trafficking and associated dangerous criminal activity. Yesterday's arrests demonstrates the unwavering commitment, between and among the FBI and our law enforcement partners, to address these dangerous threats facing our community."
This case is also the result of the ongoing efforts by the Organized Crime Drug Enforcement Task Force (OCDETF) a partnership that brings together the combined expertise and unique abilities of federal, state and local law enforcement agencies. The principal mission of the OCDETF program is to identify, disrupt, dismantle and prosecute high-level members of drug trafficking, weapons trafficking and money laundering organizations and enterprises.
The United States is represented in court by Assistant U.S. Attorneys Jonathan Shapiro and A. Dale Blankenship.
Defendant Information
DEFENDANT Criminal Case No: 18CR2490-GPC
Name
Age
Hometown
Norman Cluke
28
San Diego, CA
SUMMARY OF CHARGES
Conspiracy to Distribute Cocaine (Title 21, U.S.C., Secs. 841(a)(1), 846);
Distribution of Cocaine (Title 21, U.S.C, Secs. 841(a)(1)).
Maximum Penalties: 20 years in prison and a $1 million fine.DEFENDANTS Criminal Case No: 18CR2491-GPC
Name
Age
Hometown
Fernando Cruz-Chavez
aka “Fredy”31
San Diego, CA
Sitlali Lopez
25
San Diego, CA
Armando Ceja Gonzalez
Aka “Pistolerin”
31
San Diego, CA
SUMMARY OF CHARGES
Conspiracy to Distribute Methamphetamine (Title 21, U.S.C., Secs. 841(a)(1) and 846);
Possession of Methamphetamine with Intent to Distribute (Title 21, U.S.C. Secs. 841(a)(1)).
Maximum Penalties: life in prison with a mandatory minimum sentence of 10 years and a $10 million fine.
DEFENDANTS Criminal Case No: 18CR2492-GPC
Name
Age
Hometown
Henry Hendrix
aka “Feeny Boy”
56
San Diego, CA
SUMMARY OF CHARGES
Conspiracy to Distribute Methamphetamine (Title 21, U.S.C., Secs. 841(a)(1) and 846);
Distribute of Methamphetamine (Title 21, U.S.C., Secs. 841(a)(1)).
Maximum Penalties: life in prison with a mandatory minimum sentence of 10 years and a $10 million fine.
DEFENDANT Criminal Case No: 18CR2493-GPC
Name
Age
Hometown
Roshawn Maurice Walls
aka “Ray Dog”
49
San Diego, CA
SUMMARY OF CHARGES
Distribution of Cocaine (Title 21, U.S.C, Secs. 841(a)(1))
Maximum Penalties: 20 years in prison and a $1 million fine.
DEFENDANT Criminal Case No: 18CR2494-GPC
Name
Age
Hometown
Joshua Eugene Quipp
aka “QTip”
33
San Diego, CA
Edna Monserrat Perez-Tapia
aka “Monsay”
31
San Diego, CA
Jose Antonio Jacinto Jr.
23
San Diego, CA
Cuathemoc Solis
aka “Jr.” aka “Temo”
38
San Diego, CA
Corey Michael Davis
aka “Word”
35
San Diego, CA
Darius Latrell King
aka “Tiny Mike”
31
San Diego, CA
Alejandro McFadden
aka “Flav”
47
San Diego, CA
Charles Joseph Brimmer
aka “Demon”
31
San Diego, CA
Myron Xavier Castro Jr.
aka “Hard Dog”, aka “HD”
32
San Diego, CA
Julius Davis
aka “Labacl”
58
San Diego, CA
James Edward Staton
aka “State Rock”
58
San Diego, CA
Anthony Ray Rhodes
aka “Big A”
55
San Diego, CA
Anthony Frederick Miller
aka “Dread”
62
San Diego, CA
Richard Kelvin Brown
aka “Dreads”
60
San Diego, CA
Shawn Monique King
aka “SK”
48
San Diego, CA
Timothy Raynard Moore
29
San Diego, CA
Linda Quipp
28
San Diego, CA
SUMMARY OF CHARGES
Conspiracy to Distribute Cocaine Base (Title 21, U.S.C., Secs. 841(a)(1), 846);
Possession with Intent to Distribute Cocaine Base (Title 21, U.S.C, Secs. 841(a)(1));Conspiracy to Launder Money (Title 18, U.S.C., Secs 1956(h), 1956(a)(1)(A)(i).
Maximum Penalties: For cocaine charges: life in prison with a mandatory minimum sentence of 10 years and a $10 million fine. For money laundering conspiracy charges: 20 years in prison and a $250,000 fine.
*The charges and allegations contained in an indictment or complaint are merely accusations, and the defendants are considered innocent unless and until proven guilty.
AGENCIES
Federal Bureau of Investigation’s Violent Crimes Task Force – Gang Group, which includes the Federal Bureau of Investigation,
San Diego Police Department,
San Diego County Sheriff’s Office,
National City Police Department,
California Department of Corrections and Rehabilitation,
United States Bureau of Prisons,
San Diego Probation Department, and
San Diego District Attorney’s Office
Syracuse Man Sentenced to 87 Months on Gun and Drug OffensesRead the Press Release
SYRACUSE, NEW YORK – Calvin Weaver, age 27, of Syracuse, was sentenced yesterday to serve 87 months in prison, as well as a 3-year term of supervised release, in connection with his convictions for being a felon in possession of a firearm, possession of a firearm with an obliterated serial number, and simple possession of cocaine.
The announcement was made by United States Attorney Grant C. Jaquith; Ashan M. Benedict, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), New York Field Division; and Frank Fowler, Chief of the Syracuse Police Department.
Weaver pled guilty to all three charges following a decision by Chief U.S. District Judge Glenn T. Suddaby denying Weaver’s motion to suppress evidence found on the day of his arrest by Syracuse Police. As part of his guilty plea, Mr. Weaver admitted that on February 15, 2016, after he had been convicted of a felony, the defendant possessed a handgun with an obliterated serial number as well as a small amount of cocaine.
This case was investigated by the ATF and the Syracuse Police Department, and was prosecuted by Assistant U.S. Attorney Robert S. Levine.
Statement by United States Attorney William M. McSwain Regarding the Sentencing of Wheeler Neff to 8 Years’ Imprisonment in “Payday Lending” CaseRead the Press Release
“We see few cases in which a defendant has victimized so many that the number of those impacted is too high to count. This is one such case.
Wheeler K. Neff used his law license to help clients prey on the financial desperation of people all across the country. He helped so-called payday lenders evade the law and, in the process, collected hundreds of millions of dollars in debt on loans with interest rates that would make Tony Soprano blush – typically exceeding 780 percent.
The defendant drafted sham contracts for payday lenders like Charles M. Hallinan and Adrian Rubin – each of whom were convicted and are awaiting sentencing. These contracts were designed to give the false impression that Hallinan and Rubin’s companies were owned by Indian tribes that could claim ‘sovereign immunity’ from laws the defendants wanted to evade.
As an attorney, Mr. Neff should realize that a civilized society requires obedience to the law, including those laws he didn’t happen to like.
Neff drafted these contracts to help clients collect unlawful debt for as long as possible without getting caught. In return, Neff received hundreds of thousands of dollars a year in legal fees.
The defendant’s schemes pushed the limits of creative deception.
For example, he helped Hallinan defraud some 1,400 people who had brought a class action lawsuit in Indiana against one of Hallinan’s companies, Apex 1 Processing, Inc. Fearing that Hallinan could face personal exposure of $8 to $10 million if the plaintiffs could prove that Hallinan owned Apex 1, Neff conspired with Hallinan to make it appear that Apex 1 had no assets, employees, or officers, and was owned by an Indian chief living in Canada in order to entice the plaintiffs to accept a discounted settlement on their claims. To further this scheme, Neff told Hallinan to change his tax returns and retroactively transfer business activity from Apex 1 to another of Hallinan’s companies. Neff also directed people to transfer all documents relating to Apex 1 to tribal lands in Canada, where they would never be found by the plaintiffs.
The defendant preyed on the vulnerable -- those who were desperate and struggling. Consider, for example, the story of one of Neff’s victims, Dawn Schmitt, the Nebraska school teacher who testified that she turned in desperation to payday loans after her abusive partner left her broke and without credit. Schmitt testified that she wound up taking out about five payday loans, including one from a Hallinan company, and fully intended to pay them all back. But she could not do so, despite her best efforts, because she was trapped in a cycle of debt caused by Neff and his co-conspirators. As a result, she was forced to declare bankruptcy and move home to North Dakota.
But rather than an apologize to Schmitt and his other victims, the defendant doubled down on the kind of treachery that helped collect more than $490 million in debt, between 2008 and 2013, from hundreds of thousands of customers, including residents of Pennsylvania, a state which prohibits payday loans.
Over four days of trial testimony, Neff lied over and over again under oath. But to its great credit, the jury saw through Neff’s perjury. We hope that the verdict and today’s sentencing of 8 years in a federal prison provide some measure of justice to the victims.
And it was only through the hard work and dedication of our partners with the FBI, United States Postal Inspection Service, and Internal Revenue Service Criminal Investigations that we were able to unravel this complicated scheme and bring this defendant, and others charged in connection with this case, to justice. All involved in this exhaustive investigation should be congratulated.
And I would especially like to thank our trial team of Assistant United States Attorneys Mark B. Dubnoff and James Petkun who not only expertly and successfully prosecuted a very complex case, but who also saw and brought to light, in human terms, the damage the defendant has done to the lives of those who reached out in desperation, and found only more heartache.”
State Department Official Pleads Guilty to Honest Services Wire Fraud and Theft of Federal FundsRead the Press Release
A program manager for the U.S. Department of State pleaded guilty yesterday to stealing federal funds intended for a foreign exchange program maintained by her employer, announced Acting Assistant Attorney General John P. Cronan of the Justice Department’s Criminal Division, U.S. Attorney G. Zachary Terwilliger of the Eastern District of Virginia, Special Agent in Charge Matthew J. DeSarno of the FBI Washington Field Office’s Criminal Division and Inspector General Steve A. Linick of the U.S. Department of State.
Kelli R. Davis, 48, of Bowie, Maryland, pleaded guilty to one count of conspiracy to commit theft of public funds and engage in honest services wire fraud before U.S. Senior District Judge T.S. Ellis III of the Eastern District of Virginia. Sentencing is scheduled for Aug. 24.
According to admissions made in connection with her plea, Davis was a Program Specialist for the State Department’s Bureau of Educational and Cultural Affairs, Office of Citizen Exchanges. She also served as the Program Manager and Grants Officer Representative for the Sports Visitors Program, which sponsored foreign exchanges for emerging youth athletes and coaches from various countries. The exchange program was managed by George Mason University in Fairfax, Virginia, through a federal grant and cooperative agreement with the State Department.
Between February 2011 and March 2016, Davis conspired with others to steal portions of the federal money allocated to the Sports Visitor Program by, among other things, falsifying vendor-related invoices and making fraudulent checks payable to a government contractor, Denon Hopkins, who supplied transportation services for the program. In total, Davis and Hopkins, stole approximately $17,335 from the State Department. They have both admitted that Hopkins used portions of the funds to pay kickbacks to Davis to retain his transportation contract. In addition, Davis stole an additional $17,777 from the program over a multi-year period.
The Department of State’s Office of Inspector General and the FBI’s Washington Field Office investigated the case. Trial Attorney Edward P. Sullivan of the Criminal Division’s Public Integrity Section and Assistant U.S. Attorney Kimberly R. Pedersen of the Eastern District of Virginia are prosecuting the case.
St. Clair County Resident Sentenced for Methamphetamine OffenseRead the Press Release
On May 24, 2018, Garrick E.R. Recker, a/k/a "Curtis Lowe," 28, of Lenzburg, Illinois, was sentenced to 188 months in federal prison for his role in a methamphetamine offense, United States Attorney for the Southern District of Illinois, Donald S. Boyce, announced today. Recker previously pled guilty to a one-count second superseding indictment charging conspiracy to distribute more than 50 grams of methamphetamine. His sentence includes eight years of supervised release and a $600.00 fine.
The indictment alleged that the offense occurred between 2015 and April 2017, in Perry, Randolph, Monroe, and St. Clair Counties. Evidence at the plea and sentencing hearings established that Recker was involved with numerous other persons in the distribution of ice in southern Illinois. Ice is methamphetamine with a purity level of at least 80%. At sentencing, the district court found that Recker was responsible for the distribution of over three kilograms of ice. Recker’s sentence was enhanced because he recklessly endangered others during an October 2016 pursuit in Monroe County.
The ongoing investigation is being conducted by the Randolph County Sheriff’s Office, Jackson County Sheriff’s Office, Perry County Sheriff’s Office, Monroe County Sheriff’s Office, St. Clair County Sheriff’s Office Drug Tactical Unit, Metropolitan Enforcement Group of Southern Illinois, Chester Police Department, Coulterville Police Department, Belleville Police Department, Lenzburg Police Department, Perry County (Missouri) Sheriff’s Office, St. Louis Metropolitan Police Department, and the Drug Enforcement Administration. The Randolph County States Attorney’s Office and the Monroe County States Attorney’s Office also assisted in the investigation.
South Florida Resident Charged with Religious Obstruction Offenses in Connection with Mosque Bomb ThreatsRead the Press Release
A federal grand jury returned an indictment yesterday charging Dustin Allen Hughes, 26, of Cutler Bay, Florida, with four counts of obstruction of persons in the free exercise of religious beliefs through threatening the use of a dangerous device and explosive, in violation of Title 18, United States Code, Section 247(a)(2) and (d)(3), and four counts of making threats by telephone, in violation of Title 18, United States Code, 844(e).
Benjamin G. Greenberg, United States Attorney for the Southern District of Florida and Robert F. Lasky, Special Agent in Charge and Federal Bureau of Investigation (FBI), Miami Field Office, made the announcement.
“Everyone has the right to practice their religion and visit places of worship without having to fear for their physical safety,” said United States Attorney Benjamin G. Greenberg. “This office, with the assistance of our law enforcement partners, will aggressively defend these rights and prosecute those who commit hate crimes of any kind.”
“Hate crimes are the highest priority of the FBI’s Civil Rights program,” said Robert F. Lasky, Special Agent in Charge, FBI Miami. "Hate crimes have a devastating impact on families and communities and we are committed to thoroughly and vigorously investigating these offenses.”
According to the indictment, between May 2, 2018, and May 5, 2018, Hughes made four separate threats by telephone to Jamaat Ul Muttaqeen Mosque of Pembroke Pines, Florida. According to the indictment, each time, Hughes left a voicemail message containing bomb threats and derogatory language towards Muslims.
If convicted of the charge of obstruction of persons in the free exercise of religious beliefs through threatening the use of a dangerous device and explosive, Hughes faces a statutory maximum term of 20 years in prison. If convicted of the charge of making a threat by telephone, Hughes faces a statutory maximum of 10 years in prison.
An indictment and criminal complaint merely contain allegations and a defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Mr. Greenberg commended the outstanding investigative efforts of the FBI and members of the FBI Miami Area Corruption Task Force. He also thanked the Pembroke Pines Police Department, the Miami-Dade Police Department, and the City of Miami Police Department for their assistance. This case is being prosecuted by Assistant U.S. Attorney Michael Davis and Trial Attorney Samantha Trepel of the Justice Department’s Civil Rights Division.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov
Shawn Alonso and Tamara Moody Sentenced for Selling over 3 Kilograms of Heroin in VermontRead the Press Release
The Office of the United States Attorney for the District of Vermont announced that Shawn Alonso, 35, of Corona, New York, was sentenced today for conspiracy to distribute more than one kilogram of heroin. District Judge Christina Reiss sentenced Alonso to a 120-month term of incarceration, followed by a 5-year term of supervised release. Previously, on May 10, 2018, District Judge Christina Reiss sentenced Tamara Moody, 38, of Richmond Hill, New York, to an 87-month term of incarceration, followed by a 4-year term of supervised release. As part of their plea agreements, Alonso and Moody agreed to the forfeiture of jewelry appraised at $241,915 which was seized from their persons, as well as $13,653.65 seized from their bank accounts.
According to Court records, Alonso and Moody were arrested on March 18, 2017, in Colchester, Vermont, while attempting to deliver 1.106 kilograms of heroin. This amount of heroin would equate to approximately 35,000 dosage units of heroin, and retail on the streets of Vermont for approximately $350,000. At the time of their arrests, Alonso was wearing jewelry with an appraised value of $208,990, and Moody was wearing jewelry with an appraised value of $32,925. The government’s investigation revealed that Alonso and Moody had traveled extensively in the year prior to their arrests, including trips to Saint Maarten, the U.S. Virgin Islands, Las Vegas, and multiple cities in Florida. A search of the couples’ Atlanta apartment revealed Moody had recently spent over $12,000 to purchase furs, Alonso had purchased season tickets to the Atlanta Hawks, and both Alonso and Moody had paid over $50,000 of payments to a contractor in Atlanta for renovations of a tattoo parlor. Banking records revealed over $100,000 of cash deposits into Alonso’s bank account, with suspicious banking activity in Vermont dating back to September of 2012. Alonso and Moody were found to have transported over three kilograms of heroin into Vermont for the purpose of its distribution to Vermonters.
Acting United States Attorney Eugenia A. P. Cowles commended the investigative efforts of the Drug Enforcement Administration (DEA); the Vermont State Police (VSP); the Colchester Police Department; Vermont Fish and Game; Bureau of Alcohol, Tobacco, Firearms, & Explosives (ATF); the Winooski Police Department; the United States Border Patrol the Essex Police Department; the Williston Police Department, the Chittenden County Sheriff’s Office; and the Burlington Police Department, in the successful arrests and prosecutions of Alonso, Moody, and others in this investigation. She added, “the United States Attorney’s Office remains committed to apprehending and prosecuting those who distribute heroin for profit. With the help of our law enforcement partners, we will continue to pursue defendants like these who endanger Vermonters and exacerbate the opiate epidemic to line their own pockets.”
“DEA is committed to investigating and dismantling Drug Trafficking Organizations and individuals like Mr. Alonso and Ms. Moody, who are responsible for distributing lethal drugs like heroin to the citizens of Vermont,” said DEA Special Agent in Charge Brian D. Boyle. “Let these sentences be warnings to those traffickers who are coming from out of state to distribute this poison in order to profit and destroy people’s lives. DEA’s top priority is combatting the opioid epidemic by working with our local, county, state, and federal partners to bring to justice anyone who distributes deadly drugs.”
Alonso was represented by Lisa Shelkrot, Esq. Moody was represented by Maryanne Kampmann, Esq. The United States was represented by Assistant U.S. Attorney Jonathan A. Ophardt.
Sentencings for May 17 - May 22, 2018Read the Press Release
TAYLOR MICHELLE BOWMAN, 26, of Upland, California was sentenced by Federal District Court Judge Scott W. Skavdahl on May 18, 2018 for transportation in interstate commerce for the purposes of prostitution or other unlawful sexual activity. Taylor was arrested in Cheyenne, Wyoming. She received eighteen months of imprisonment, to be followed thirty-six months of supervised release, and ordered to pay a $300.00 fine, and a $100.00 special assessment. The Cheyenne Police Department, FBI, and US Office of Homeland Security investigated this case.
ANTHONY JAMES KELLEY, 27, formerly of Casper, Wyoming was sentenced by Federal District Court Judge Scott W. Skavdahl on May 17, 2018 for being a felon in possession of a firearm. Kelley was arrested in Casper, Wyoming. He received thirty months of imprisonment, to be followed by thirty-six months of supervised release, and ordered to pay a $300.00 fine, and a $100.00 special assessment. The Bureau of Alcohol, Tobacco, Firearms, and Explosives investigated this case.
ANTHONY MARTIN LAVADOUR, 64, of Salt Lake City, Utah was sentenced by Federal District Court Judge Scott W. Skavdahl on May 22, 2018 for possession with intent to distribute marijuana, cocaine, and methamphetamine. Lavadour was arrested in Salt Lake City, Utah. He received sixty months of imprisonment, to be followed by forty-eight months of supervised release, and ordered to pay a $100.00 special assessment. The Wyoming Division of Criminal Investigation and the Bureau of Indian Affairs investigated this case.
JEROME MARTIN LAVADOUR, 39, of Kearns, Utah was sentenced by Federal District Court Judge Scott W. Skavdahl on May 22, 2018 for possession with intent to distribute marijuana, cocaine, and methamphetamine. Lavadour was arrested in Salt Lake City, Utah. He received sixty months of imprisonment, to be followed by forty-eight months of supervised release, and ordered to pay community restitution in the amount of $500.00 and a $100.00 special assessment. The Wyoming Division of Criminal Investigation and Bureau of Indian Affairs investigated this case.
KEVIN ALAN SWENSEN, 57, of Taylorsville, Utah was sentenced by Federal District Court Judge Scott W. Skavdahl on May 22, 2018 on four counts of distribution of methamphetamine, possession with intent to distribute methamphetamine, and two counts of distribution of heroin. Swensen was arrested in Fremont County, Wyoming. He received ninety-six months of imprisonment, to be followed by thirty-six months of supervised release, and ordered to pay a $500.00 fine, restitution in the amount of $11,300.00 and a $700.00 special assessment. The Wyoming Division of Criminal Investigation investigated this case.
TROY ALLEN WATKINS, 50, of Rock Springs, Wyoming was sentenced by Federal District Court Judge Scott W. Skavdahl on May 22, 2018 for being a felon in possession of a firearm. Watkins was arrested in Torrington, Wyoming. He received twenty-three months of imprisonment, to be followed by thirty-six months of supervised release, and ordered to pay a $100.00 fine. The Bureau of Alcohol, Tobacco, Firearms, and Explosives investigated this case.
MAICON AVILA-PEREZ, 25, of Mexico and Salt Lake City, Utah was sentenced by Federal District Court Judge Scott W. Skavdahl on May 18, 2018 for possession with intent to distribute heroin and cocaine. Avila-Perez was arrested in Evanston, Wyoming. He received eighty-four months of imprisonment, to be followed by forty-eight months of supervised release. The Wyoming Division of Criminal Investigation investigated this case.
Retired Army Colonel and Former Government Contractor Sentenced to Prison for Role in Bribery Scheme at Fort GordonRead the Press Release
AUGUSTA, GA: Calvin Devear Lawyer, 60, a retired Colonel in the United States Army, and Dwayne Oswald Fulton, 58, a former employee of a defense contracting firm, were sentenced today by United States District Court Judge Dudley H. Bowen, Jr., to 60 months’ imprisonment each for their roles in a bribery and kickback scheme. Both of the Defendants reside in Augusta, Georgia.
According to the evidence presented during their guilty plea and sentencing hearings, Fulton and Lawyer also made false representations to the United States Army and the Small Business Administration (“SBA”), which resulted in Lawyer’s company, known as CREC group, to be awarded 8(a) status under the SBA’s business development program. After fraudulently obtaining that status, beginning in 2008 and lasting almost a decade, Lawyer, Fulton and others conspired to pay cash bribes to coconspirator Anthony Roper, who was then an active duty Colonel in the United States Army, in in exchange for Roper steering the award of over $20 million in U. S. Army contracts to Lawyer and others. Further, when law enforcement caught on to their scheme, Fulton, Lawyer and others conspired to obstruct justice by creating false and fraudulent documents as part of an effort to cover up Lawyer’s bribe payments to Roper.
In addition to a sentencing of 60 months’ imprisonment, Lawyer and Fulton were also sentenced to serve a term of 3 years of supervised release. There is no parole in the federal system. Lawyer was also sentenced to pay a $100,000 fine, and Fulton was sentenced to pay a $50,000 fine. Lawyer has already returned over $5 million to American taxpayers. The Court orally approved an order of forfeiture against Fulton totaling $1,273,440.00.
United States Attorney Bobby L. Christine stated, “As a result of dramatic efforts by law enforcement and superb leadership at Fort Gordon, Lawyer and Fulton are now held accountable. To all would be fraudsters who think bribery in government contracting a get rich scheme, let these prison sentences be a lamp unto their feet.”
“These sentencings send a powerful message that fraud has no place in government contracting,” said Frank Robey, Director of the U.S. Army Criminal Investigation Command's Major Procurement Fraud Unit. “As evidenced in this case, fraud victimizes not only the government but the individuals involved as well. I hope that today's sentence sends a strong message that we will bring all of our resources to bear in order to protect the U.S. government.”
“These sentencings should serve as a stern warning to public officials and contractors doing business with the Department of Defense - the Defense Criminal Investigative Service will relentlessly pursue and bring to justice those who engage in bribery, corruption, and other illegal acts. These defendants deliberately manipulated the DOD procurement process to divert and steal precious taxpayer dollars for their own personal gain, and will now face the consequences. DCIS will continue to work with our investigative partners to protect the integrity of DOD programs that provide critical products and services for our Warfighters,” said Special Agent in Charge John F. Khin, Southeast Field Office.
“Corruption and willful misrepresentation of business relationships are egregious actions and bear significant consequence,” said SBA OIG’s Eastern Region Special Agent-in Charge Kevin Kupperbusch. “The conspiracy engaged in by the defendants, deprived legitimate disadvantaged companies of federal contracting opportunities. I want to thank the U.S. Attorney’s Office and our law enforcement partners for their leadership and dedication throughout this investigation.”
The joint strike force that led to these convictions and Lawyer’s settlement involved agents, investigators, and auditors from the Department of Justice, Defense Criminal Investigative Service, Army Criminal Investigation Command (Major Procurement Fraud Unit), and the Small Business Administration Office of Inspector General. The case was investigated by Special Agent Preston T. Johnson of the U. S. Army, Criminal Investigations Division; Special Agent Randall J. Temples of the U. S. Department of Defense, Criminal Investigative Service; and, Special Agent Bryan M. Cofer of the U.S. Small Business Administration, Office of Inspector General.
For any questions, please contact the United States Attorney’s Office at (912) 652-4422.
Rapid City Man Sentenced for Illegally Possessing a FirearmRead the Press Release
United States Attorney Ron Parsons announced that a Rapid City, South Dakota, man convicted of Possession of an Unregistered Firearm was sentenced by Chief Judge Jeffrey L. Viken, U.S. District Court.
Danial Sporrer, age 42, was sentenced on May 22, 2018, to 30 months of imprisonment, followed by 3 years of supervised release, and was ordered to pay a $100 special assessment to the Federal Crime Victims Fund.
Sporrer was charged on February 23, 2017. The charge related to Sporrer illegally possessing a slam-fire weapon, described as a metal cylindrical device comprised of two sections which accepted conventional .410 caliber ammunition, in Rapid City on February 13, 2017.
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.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms & Explosives, and the Pennington County Sheriff’s Office. Assistant U.S. Attorney Benjamin Patterson prosecuted the case.
Rapid City Man Sentenced for Illegally Possessing a FirearmRead the Press Release
United States Attorney Ron Parsons announced that a Rapid City, South Dakota, man convicted of Possession of a Firearm by a Prohibited Person was sentenced by Chief Judge Jeffrey L. Viken, U.S. District Court.
Daniel Pacheco, age 35, was sentenced on May 22, 2018, to 4 years of imprisonment, followed by 3 years of supervised release, and ordered to pay a $100 special assessment to the Federal Crime Victims Fund.
Pacheco was charged on April 21, 2017. The charge related to Pacheco, a previously convicted felon, illegally being in possession of a Jennings, Model J-22, .22 caliber pistol in Rapid City on April 19, 2017.
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.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms & Explosives, and the Rapid City Police Department. Assistant U.S. Attorney Benjamin Patterson prosecuted the case.
Pittsburgh Man Sentenced for Assaulting a Sleeping Woman on a Las Vegas to Pittsburgh Flight in August 2016Read the Press Release
PITTSBURGH, PA - A resident of Pittsburgh, Pennsylvania, has been sentenced in federal court to three months in a halfway house, one year of supervised release, and a $5,000 fine, on his conviction of simple assault on an aircraft, United States Attorney Scott W. Brady announced today.
United States District Judge Reggie B. Walton imposed the sentence on Wei-Ming Shi, 59, of Pittsburgh, Pennsylvania.
According to information presented to the court, on August 18, 2016, Shi was a passenger on Southwest flight number 2888 from Las Vegas to Pittsburgh. An adult female (hereinafter referred to as the victim) was seated next to Shi during the flight. The victim fell asleep. While the victim was asleep, Shi placed his hands underneath the dress of the victim. Shi placed his hand on the inner thigh of the victim, her upper buttocks, and her lower back.
The victim awoke in response to this conduct of Shi. She notified a flight attendant as to what had occurred and had her seat changed. At no time did the victim consent to Shi’s conduct or give him permission to touch her in the manner described.
Prior to imposing sentence, Judge Walton stated that Shi’s behavior was "repulsive and cannot be tolerated."
Assistant United States Attorney Stephen R. Kaufman prosecuted this case on behalf of the government.
United States Attorney Brady commended the Federal Bureau of Investigation and the Allegheny County Police Department for the investigation leading to the successful prosecution of Shi.
Pittsburgh Fentanyl Dealer Gets 10-Year Federal Prison SentenceRead the Press Release
PITTSBURGH – A resident of Pittsburgh’s Allentown neighborhood has been sentenced in federal court to 120 months’ imprisonment and eight years supervised release on his conviction of conspiracy and possession with intent to distribute 40 grams or more of fentanyl, United States Attorney Scott W. Brady announced today.
United States District Judge Mark R. Hornak imposed the sentence on Khalifa Cochran, age 37.
According to information presented to the court, the charges in this case resulted from a wiretap investigation conducted by the FBI and other law enforcement partners. During the investigation, the defendant was intercepted over a wiretapped phone discussing drug transactions. In connection with the investigation, on April 18, 2017, officers recovered 105 grams of fentanyl from the defendant’s car. Additional quantities of fentanyl were recovered from the defendant’s house during the execution of a search warrant on the same day.
Prior to imposing sentence, Judge Hornak stated that this sentence was sufficient but not greater than necessary to achieve the goals of sentencing.
Assistant United States Attorneys Tonya Sulia Goodman and Caitlin A. Loughran prosecuted this case on behalf of the government.
U.S. Attorney Brady commended the Federal Bureau of Investigation, the Pennsylvania Office of the Attorney General, the Pennsylvania State Police, the New Brighton Police Department, the Wilkinsburg Police Department, and the Cranberry Police Department for the investigation leading to the successful prosecution of Cochran.
Pine Ridge Man Sentenced for Accessory to Second Degree MurderRead the Press Release
United States Attorney Ron Parsons announced that a Pine Ridge, South Dakota, man convicted of Accessory to Second Degree Murder was sentenced by Chief Judge Jeffrey L. Viken, U.S. District Court.
Fred Quiver, a/k/a Fred Brings Plenty, age 32, was sentenced on May 21, 2018, to 15 years in federal prison, followed by 3 years of supervised release, and ordered to pay a $100 special assessment to the Federal Crime Victims Fund.
Quiver was indicted for the charge by a federal grand jury in January 2016. The charge related to Quiver covering up the homicide of Emily Bluebird and hiding her body to prevent his and his co-defendant’s apprehension, trial, and punishment.
This case was investigated by the Bureau of Indian Affairs, Office of Justice Services, the Oglala Sioux Tribe Department of Public Safety, and the Federal Bureau of Investigation. Assistant U.S. Attorneys Megan Poppen and Kathryn Rich prosecuted the case.
Quiver was immediately turned over to the custody of the U.S. Marshals Service.
Philadelphia Woman Charged with Theft of Government FundsRead the Press Release
PHILADELPHIA – A Philadelphia woman was charged May 24 by indictment with five counts of wire fraud, one count of theft of government funds, and one count of social security fraud, announced United States Attorney William M. McSwain.
According to the indictment[1], Cassandra Boone, 67, created a second identity to continue working while she simultaneously received disability benefits under her real name. The defendant’s alleged actions resulted in government losses totaling approximately $121,690.
“When someone defrauds the system, we’re all victims,” said U.S. Attorney McSwain. “We have to preserve the integrity of our Social Security system, and one way we do that is stopping those who are gaming the system for their own benefit.”
If convicted, defendant Cassandra Boone faces a maximum sentence of 115 years’ incarceration, a period of supervised release, full restitution to the government, and a fine.
The case was investigated by the Social Security Administration, Office of Inspector General, and the Pennsylvania State Police, and is being prosecuted by Special Assistant United States Attorney Christopher E. Parisi.
[1] An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Philadelphia Man Charged with Using Multiple Identities to Apply for Social Security BenefitsRead the Press Release
PHILADELPHIA – Julian Washington, 71, of Philadelphia, Pennsylvania, was charged May 24 by superseding indictment with four counts of wire fraud, one count of theft of government funds, and one count of social security fraud, announced United States Attorney William M. McSwain.
According to the superseding indictment[1], the defendant used multiple identities to apply for Social Security benefits. The defendant’s alleged actions resulted in a loss to the government of approximately $20,310.
If convicted, defendant Julian Washington faces a maximum sentence of 95 years’ incarceration, a period of supervised release, full restitution to the government, and a fine.
The case was investigated by the Social Security Administration, Office of Inspector General, and the Pennsylvania State Police, and is being prosecuted by Special Assistant United States Attorney Christopher E. Parisi.
[1] An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Philadelphia Man Charged in Connection with Convenience Store RobberiesRead the Press Release
PHILADELPHIA – A Philadelphia man was charged May 24 in connection with armed robberies of convenience stories, announced U.S. Attorney William M. McSwain.
Tyrone Evans, 24, of Philadelphia, Pennsylvania, was charged by indictment with three counts of Hobbs Act robbery and three counts of the use and carrying of a firearm during a crime of violence. According to the indictment[1], the defendant, along with codefendants who were charged separately, committed three gunpoint robberies of convenience stores in Philadelphia in June of 2017.
“We work very hard to reduce violent crimes like these,” said U.S. Attorney McSwain. “And we have to make sure that those who use firearms when committing crimes pay a severe penalty. The safety of our communities depends on it.”
If convicted, defendant Tyrone Evans faces a maximum sentence of life imprisonment, including a mandatory minimum sentence of 57 years, as well as full restitution.
This case was brought as part of Project Safe Neighborhoods (PSN), a program that has been historically successful in bringing together all levels of law enforcement to reduce violent crime and make our neighborhoods safer for everyone. Attorney General Jeff Sessions has made turning the tide of rising violent crime in America a top priority. In October 2017, as part of a series of actions to address this crime trend, Attorney General Sessions announced the reinvigoration of PSN and directed all U.S. Attorney’s Offices to develop a district crime reduction strategy that incorporates the lessons learned since PSN launched in 2001.
The case was investigated by the Philadelphia Police Department and Federal Bureau of Investigation, and is being prosecuted by Special Assistant United States Attorney Christopher E. Parisi.
[1] An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Owners of Tech Support Scams in South Florida and Costa Rica Charged with Federal Fraud OffensesRead the Press Release
Federal fraud charges were filed this week against owners of two businesses that allegedly conducted an international tech support scam, Donald S. Boyce, United States Attorney for the Southern District of Illinois, announced today. Michael Austin Seward, 31, of Deerfield Beach, Florida, and Kevin James McCormick, 45, of Delray Beach, Florida, were named in a superseding indictment that charges them and their former vice president, Grant Clark Wasik, 35, of Boynton Beach, Florida, with 13 counts of wire fraud, as well as conspiracy to commit wire fraud.
According to the indictment, Seward and McCormick owned and operated two tech support scam businesses: Client Care Experts, LLC ("Client Care"), based in Boynton Beach, Florida,1 and ABC Repair Tech, based in Costa Rica. From approximately November 12, 2013, through at least December 9, 2016, the two companies allegedly combined to defraud more than 40,000 people across all 50 States, the District of Columbia, Puerto Rico, several U.S. territories, all ten Canadian provinces, the United Kingdom, and several other foreign countries. At least 57 victims of the alleged scams were located in 22 counties within the Southern District of Illinois, with multiple victims in both St. Clair and Madison Counties. The charged scheme allegedly took in over $25,000,000.
According to the superseding indictment, the defendants purchased pop-up advertisements, which appeared without warning on consumers’ computer screens and locked up their browsers. These pop-ups falsely informed the victims that serious problems, such as viruses or malware, had been detected on their computers. The pop-ups also usually warned the victims that they were at serious risk of losing their data and instructed them to call a toll-free number. When the victims called the numbers shown on their screens, they were connected to Client Care salespersons.
The salespersons allegedly convinced the victims to allow them to have remote access to their computers. Once they had accessed the victims’ computers, the indictments charge, the salespersons examined routine computer functions and processes and then tried to convince the victims that these functions and processes were evidence of problems. The salespersons also ran a system analyzer program on the victims’ computers, but no matter what the program showed, the salespersons allegedly still tried to convince the customers that their computers had serious problems. According to the indictment, the salespersons also concealed from the victims that they could make the pop-ups go away by unplugging or rebooting their computers, and that the pop-ups which had frozen their computer screens were actually advertisements paid for by Client Care.
The superseding indictment alleges that ABC Repair Tech operated substantially the same scheme from its location in Costa Rica.
Seward is alleged to have been the chief executive officer of Client Care, with McCormick as his chief financial officer. Both men allegedly had an ownership interest in Client Care and ABC Repair Tech and oversaw the operations of both entities. Wasik allegedly worked as one of the supervisors on the sales floor (known as a "Team Leader") before being promoted to sales manager and eventually vice president. Trial for all three defendants is set to begin on July 23, 2018, at the federal courthouse in Benton, Illinois, though a defense motion has already been filed seeking to have the case transferred for convenience to East St. Louis, Illinois.
Since April 2017, fourteen other employees of Client Care / ABC Repair Tech have been charged with federal fraud violations in the Southern District of Illinois:
Joseph Ralph Aievoli, IV, 25, of Boynton Beach, FL – Salesperson
Cory Steven Bachman, 25, of Boynton Beach, FL – Salesperson
Andrew Douglas Broad, 26, of Boynton Beach, FL – Director of Recruiting and Training
Ryan Stocker Carr, 23, of Mount Laurel, NJ – Team Leader
Joshua Dennis Cortez, 37, of Lake Worth, FL – Director of Recruiting and Training
Nicholas James Davidson, 26, of Boynton Beach, FL – Salesperson
Patrick M. Dougherty, 35, of Boynton Beach, FL – Salesperson
Tatum Elyse Espenshade, 26, of West Palm Beach, FL – Salesperson
Eric M. Iannaccone, 32, of Monroe Township, NJ – Sales Manager
Anthony Vincent Ludena, 29, of Boca Raton, FL – Salesperson
Robert Thomas McCart, 32, of Boynton Beach, FL – Team Leader
Timothy James Miller, II, 27, of Schwenksville, PA – Salesperson
Jonathan Matthew Richardson, 27, of Lake Worth, FL – Salesperson
Kyle Evan Swinson, 26, of Boynton Beach, FL – Team Leader
All of the defendants against whom indictments have been returned have been charged with conspiracy to commit wire fraud. Under the SCAMS Act, because the crimes allegedly took place in connection with telemarketing and victimized ten or more persons over the age of 55, the maximum penalty is 30 years imprisonment. The defendants can also be ordered to serve up to five years of supervised release after any term of imprisonment, pay a fine of up to $250,000, and pay restitution to the victims.
Seward, Wasik, and McCormick are also charged with thirteen counts of wire fraud. Each wire fraud count carries a maximum sentence of 20 years in prison, a fine of up to $250,000, supervised release of up to three years, and restitution.
An indictment is a formal charge against a defendant. Under the law, that charge is merely an accusation and the defendant is presumed innocent unless proven guilty.
Ten of the defendants charged to date have already pled guilty. On March 8, 2018, Ryan Carr was sentenced to 12 months in federal prison and ordered to pay restitution of $20,384.86. Joshua Cortez was sentenced on May 3, 2018, and ordered to serve 18 months in federal prison and to pay $3,034 in restitution. The remaining defendants who have been convicted have not yet been sentenced.
These cases are part of an ongoing investigation by the St. Louis Field Office of the Chicago Division of the United States Postal Inspection Service. The cases are being prosecuted by Assistant United States Attorneys Scott A. Verseman, Ranley R. Killian, and Nathan D. Stump.
The Florida Attorney General’s Office is cooperating with the federal investigation. In addition, the Florida Attorney General’s Office brought a civil enforcement action against Client Care for the purpose of ending the fraudulent activities at that business.
The Federal Trade Commission has been working for some time to shut down illegal tech support scams. For more information about the FTC’s "Operation Tech Trap," please go to https://www.ftc.gov/news-events/press-releases/2017/05/ftc-federal-state-international-partnersannounce-major-crackdown.
Orlando Woman Convicted of Social Security and Medicaid FraudRead the Press Release
Orlando, Florida – A federal jury today found Sundardai Jadnauth (67, Orlando) guilty of two counts of theft of government property. She faces a maximum penalty of 10 years in federal prison. Her sentencing hearing is scheduled for August 15, 2018. Jadnauth was indicted on October 26, 2016.
According to evidence presented at trial, Jadnauth received Supplemental Security Income (“SSI”) and Medicaid benefits between 2011 and 2015, because she lied to the Social Security Administration. Jadnauth told the agency that she lived alone, had no assets, and earned no income. In fact, Jadnauth and her husband lived together in a house they had purchased for $67,000 in cash, in 2010.
This case was investigated by the Social Security Administration, Office of the Inspector General. It is being prosecuted by Assistant United States Attorney Nathan W. Hill.
Operation Tin Panda Takedown Results in 36 ConvictionsRead the Press Release
ALEXANDRIA, Va. – Beginning in the early morning hours of Dec. 6, 2017, over 300 law enforcement agents and officers executed a coordinated takedown codenamed Operation Tin Panda. To date, this major operation has resulted in the conviction of 36 individuals on federal firearms and drug charges.
The Bureau of Alcohol, Tobacco, and Firearms and Explosives’ (ATF) Washington Field Division and the FBI’s Washington Field Office began Operation Tin Panda in the Spring of 2017. In collaboration with federal and local law enforcement, investigators and prosecutors began jointly investigating Blood gangs and other drug distributors involved in violent crime and other criminal activity in Northern Virginia. Multiple criminal acts were tied to gang and drug activity, including homicide, malicious wounding, robbery, shootings, and drug and firearms distribution. During the course of this investigation, more than 40 individuals throughout Virginia, Maryland, the District of Columbia, and California, who were illegally selling firearms and controlled substances or were involved in other criminal acts, have been arrested on federal firearms and drug charges.
Operation Tin Panda also resulted in the seizure of over 95 firearms, $150,000 in cash, nine vehicles with an estimated value of over $300,000, and approximately 3 pounds of cocaine base, 10 pounds of cocaine, 7 pounds of crystal methamphetamine, 5 pounds of heroin, 4 pounds of ecstasy, 227 pounds of marijuana, and 79 pounds of THC.
Operation Tin Panda was led by the ATF’s Washington Field Division and the FBI’s Washington Field Office. The DEA, U.S. Marshals Service, U.S. Postal Inspection Service, the Prince William County Police Department, Fairfax County Sheriff’s Office, Fairfax County Police Department, Alexandria Police Department, Stafford County Sherriff’s Office, Spotsylvania County Sheriff’s Office, King George County Sheriff’s Office, Caroline County Sheriff’s Office, Cumberland County Sheriff’s Office, Prince George’s County Police Department, Maryland, and the Metropolitan Police Department, provided significant assistance during the operation.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, Thomas L. Chittum, III, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms and Explosives’ (ATF) Washington Field Division, and Nancy McNamara, Assistant Director in Charge of the FBI’s Washington Field Office, made the announcement. Assistant U.S. Attorneys Carina A. Cuellar and Colleen E. Garcia are prosecuting the case.
The case was investigated as part of the Organized Crime Drug Enforcement Task Forces (OCDETF) Operation Tin Panda. The OCDETF program is a federal multi-agency, multi-jurisdictional task force that supplies supplemental federal funding to federal and state agencies involved in the identification, investigation, and prosecution of major drug trafficking organizations. The principal mission of the OCDETF program is to identify, disrupt and dismantle the most serious drug trafficking, weapons trafficking and money laundering organizations, and those primarily responsible for the nation’s illegal drug supply.
A copy of this press release may be found on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information may be found on the website of the District Court for the Eastern District of Virginia or on PACER.
Please see the included table, which lists the name, age, hometown, respective charge(s), and resulting or potential sentence for each federal defendant who has been convicted.
Name, Age
City
Conviction(s)
Result
Tarvell Vandiver, 29
Woodbridge
Conspiracy to Distribute 280 grams or more of Cocaine Base, 5 kilograms or more of Cocaine, 100 grams or more of Heroin, and Use and Carry of a Firearm During and in Relation to a Drug Trafficking Crime.
Faces 20 years on September 28.
Jerry McAllister, 42
Laurel, Maryland
Conspiracy to Distribute 100 grams or more of Heroin.
Sentenced to 60 months.
Rashourn Niles, 37
Woodbridge
Conspiracy to Distribute 280 grams or more of Cocaine Base, 5 kilograms or more of Cocaine, and 100 grams or more of Heroin.
Faces a mandatory minimum of 20 years and a maximum of life on August 31.
Chennor Bah, 30
Woodbridge
Conspiracy to Distribute 500 grams or more of Cocaine, and Possession of a Firearm in Furtherance of a Drug Trafficking Crime.
Faces a mandatory minimum of 10 years and a maximum of life on June 15.
Tavon Bailey, 27
District Heights, Maryland
Felon in Possession of a Firearm.
Faces a maximum of 10 years on June 1.
Brandon Edler, 23
Fredericksburg
Conspiracy to Distribute 28 grams or more of Cocaine Base, Felon in Possession of a Firearm.
Faces a mandatory minimum of five years and a maximum of 40 years on June 8.
Mark Ketter, 39
Alexandria
Conspiracy to Distribute 100 grams or more of Heroin.
Faces a mandatory minimum of five years and a maximum of 40 years on June 22.
Ishmil Hardwick, 25
Woodbridge
Conspiracy to Distribute Fentanyl, Possession of a Firearm in Furtherance of a Drug Trafficking Crime.
Faces a mandatory minimum of five years and a maximum of life on August 24.
Michael Lederer, 31
Woodbridge
Possession of a Firearm by a Prohibited Person.
Faces a maximum of 10 years on September 14
Sade Anglin, 28
Woodbridge
Maintaining a Drug Premise.
Faces a maximum of 20 years on August 3.
Cory Patterson, 34
Fredericksburg
Conspiracy to Distribute one kilogram or more of Heroin, Use and Carry of a Firearm During and in Relation to Drug Trafficking.
Sentenced to 15 years.
Nasiru Carew, 35
Dale City
Conspiracy to distribute 1,000 kilograms or more of Marijuana and THC.
Faces a mandatory minimum of 10 years and a maximum of life on August 24.
Nathaniel Bruce Cobbold, 27
Woodbridge
Conspiracy to Distribute Marijuana and THC.
Faces a maximum of 20 years on June 1.
Jamar Cox, 30
Hyattsville, Maryland
Use and Carry of Firearm During and in Relation to a Drug Trafficking Crime.
Faces a mandatory minimum of five years and a maximum of life on June 8.
Robert Evans, 27
Woodbridge
Conspiracy to Distribute THC.
Faces a maximum of 20 years on June 29.
Deion Wright, 25
Alexandria
Possession of a Firearm in Furtherance of a Drug Trafficking Crime.
Faces a mandatory minimum of five years and a maximum of life on June 22.
Kelvin Bennett, 27
Washington, D.C.
Possession of a Firearm in Furtherance of a Drug Trafficking Crime.
Faces a mandatory minimum of five years and a maximum of life on June 15.
Ezana Demisse, 25
Alexandria
Use and Carry of a Firearm During and in Relation to Drug Trafficking.
Faces a mandatory minimum of five years and a maximum of life on June 1.
Izeah Williams, 31
Woodbridge
Conspiracy to Distribute Marijuana and THC.
Faces a maximum of 20 years on June 15.
Tayvon Patterson, 24
Elkridge, Maryland
Conspiracy to Distribute Marijuana and THC, Possession of a Firearm in Furtherance of a Drug Trafficking Crime.
Faces a mandatory minimum of five years and a maximum of life on June 1.
Devon Byrd, 26
King George
Possession of THC with the Intent to Distribute, and Use and Carry of a Firearm During and in Relation to a Drug Trafficking Crime.
Faces a mandatory minimum of five years and a maximum of life on June 1.
Samantha Winter, 22
Culpepper
Possession of a Firearm by a Prohibited Person, False Statements During the Purchase of a Firearm, False Statement to a Licensed Firearms Dealer.
Faces a maximum of 25 years on July 20.
Alpha Kamara, 20
Woodbridge
Possession of a Firearm in Furtherance of a Drug Trafficking Crime.
Sentenced to 60 months.
Orean Anthony Hayden, 29
Alexandria
Use and Carry of a Firearm During and in Relation to a Drug Trafficking Crime.
Sentenced to 60 months.
Tavon Ferguson, 24
Triangle
Felon in Possession of a Firearm.
Sentenced to 27 months.
Raheem Kelly, 39
Woodbridge
Conspiracy to Distribute 28 grams or more of Cocaine Base.
Faces a mandatory minimum of five years and a maximum of 40 years on July 27.
Bryan Matthews, 19
Alexandria
Use and Carry of a Firearm During and in Relation to a Drug Trafficking Crime.
Sentenced to 60 months.
Anthony Lozada, 18
Woodbridge
Use, Carry, Brandish, and Discharge of a Firearm During and in Relation to a Drug Trafficking Crime.
Sentenced to 10 years.
Kaitlyn McCabe, 19
Woodbridge
False Statements During the Purchase of a Firearm.
Faces a maximum of five years on June 22.
Derek Harden, 22
Woodbridge
False Statements During the Purchase of a Firearm.
Faces a maximum of 10 years on June 29.
Bassam Hassan Ramadan, 31
Woodbridge
Conspiracy to Distribute 50 grams or more of Methamphetamine, Use and Carry of a Firearm During and in Relation to a Drug Trafficking Crime.
Faces a mandatory minimum of 15 years and a maximum of life on June 22.
Marcus Andrei Harris, 27
Washington, D.C.
Conspiracy to Distribute 50 grams or more of Methamphetamine, Use and Carry of a Firearm During and in Relation to a Drug Trafficking Crime.
Sentenced to 15 years.
Frederick Preston Gaarsoe Turner, 36
Woodbridge
Conspiracy to Distribute 50 grams or more of Methamphetamine, Possession of Methamphetamine with the Intent to Distribute, two counts of Possession of a Firearm in Furtherance of a Drug Trafficking Crime.
Faces a mandatory minimum of 40 years and a maximum of life on June 29.
Cydrick Delrosario, 58
Springfield
Conspiracy to Distribute 50 grams or more of Methamphetamine.
Sentenced to 132 months.
Teodoro Gonzales, 37
Woodbridge
Conspiracy to Distribute 50 grams or more of a Mixture of Methamphetamine, Felon in Possession of a Firearm.
Sentenced to 108 months.
Shannon Marie Sisney, 44
Virginia Beach
Conspiracy to Distribute 50 grams or more of Methamphetamine.
Sentenced to 50 months.
Luthgardo Roque Arao, 47
Alexandria
Conspiracy to Distribute 50 grams or more of Methamphetamine.
Sentenced to 120 months.
Offenders Sentenced for Drug Trafficking and Firearms Offenses in PikevilleRead the Press Release
PIKEVILLE, Ky. – Yesterday, in proceedings at the U.S. District Court in Pikeville, Chief Judge Karen K. Caldwell sentenced the following defendants for drug trafficking and firearms convictions, in three separate cases.
Jeffrey Isaac, 61, of Melvin, Ky., was sentenced to 12 years’ imprisonment, and 3 years of supervised release, after he was convicted by a jury of conspiring to distribute oxycodone pills and possessing a firearm in furtherance of a drug trafficking crime. The proof at trial established that Isaac was a leader of the drug trafficking conspiracy.
Leroy Little, 67, of Pike County, Ky., was sentenced to 10 years’ imprisonment, and 3 years of supervised release, after pleading guilty to conspiring to distribute 5 kilograms or more of cocaine.
Brandy Watts, 35, of Fisty, Ky., was sentenced to just over 3 years’ imprisonment, and 3 years of supervised release, after she pleaded guilty to being a felon in possession of a firearm. Watts and her boyfriend, Justin Slone, were found in possession of several schedule II controlled substances and multiple firearms. Slone was previously convicted and sentenced.
Robert M. Duncan, Jr., United States Attorney for the Eastern District of Kentucky; Darrell Christopher Evans, Special Agent in Charge, DEA Louisville; and Lawrence Weathers, Chief of Police, Lexington-Fayette County Division of Police, jointly announced the sentences.
The cases are 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, local strategies to reduce violent crime.
Ocala Woman Charged in Federal Court with Snap Fraud and Theft of Government FundsRead the Press Release
Ocala, Florida – United States Attorney Maria Chapa Lopez announces the unsealing of an indictment charging Lateasha Monique Perry (34, Ocala) with seven counts of Supplemental Nutrition Assistance Program (SNAP) fraud and two counts of theft of government funds. If convicted, she faces a maximum penalty of 5 years in federal prison on each of the fraud counts, and up to 10 years on each of the theft counts.
SNAP, formerly known as the Food Stamp Program, is a national program established to alleviate hunger and malnutrition among lower income families. According to evidence presented in federal court, from June 2013 through February 2016, Perry received federally funded SNAP benefits via a debit card. Although these benefits only can be redeemed for certain basic food items, she repeatedly cashed out hundreds of dollars of her benefits by purchasing little or no merchandise and, instead, received large amounts of cash from store personnel. This practice is strictly prohibited under the program’s rules and federal law. By analyzing SNAP redemption data from the store, agents identified Perry as the person with the highest number of fraudulent transactions. The estimated loss to the federal government exceeds $30,000, including more than 97 suspected transactions.
An indictment is merely a formal charge that a defendant has committed one or more violations of federal criminal law, and every defendant is presumed innocent unless, and until, proven guilty.
This case was investigated by the U.S. Department of Agriculture, Office of the Inspector General and the Marion County Sheriff’s Office. It will be prosecuted by Assistant United States Attorney Robert E. Bodnar, Jr.
North Bay Marijuana Distributor Pleads Guilty to Tax FraudRead the Press Release
SAN FRANCISCO – Charles T. Woods pleaded guilty in federal court in San Francisco today to tax fraud for underreporting income from his marijuana distribution business, announced Acting United States Attorney Alex G. Tse and Internal Revenue Service, Criminal Investigation, Special Agent in Charge Michael T. Batdorf. The plea was accepted by the Honorable Susan Illston, U.S. District Judge.
In pleading guilty, Woods, 44, of Santa Rosa, Calif., admitted he engaged in marijuana distribution in 2012, 2013, and 2014, and to knowingly and willfully filing U.S. Individual Income Tax Returns for those years that underreported income from his marijuana distribution. For all three years, Woods consistently reported business gross receipts on his tax returns of under $85,000 per year despite earning hundreds of thousands of dollars more. To evade bank currency transaction reporting requirements and conceal his income, Woods deposited more than $1 million into numerous bank accounts under his control in amounts less than $10,000. Combined, Woods failed to report more than $1.1 million in gross receipts from his marijuana distribution business, which resulted in a tax loss of $466,707 to the United States.
Woods was charged by information on April 25, 2018, with two counts of willfully making and subscribing false tax returns to the Internal Revenue Service, in violation of 26 U.S.C § 7206(1). Pursuant to today’s plea agreement, he pleaded guilty to one count and the second count will be dismissed.
Judge Illston scheduled Woods’ sentencing hearing for September 14, 2018. The maximum statutory penalty for willfully a violation of 26 U.S.C. § 7206(1) is three years in prison and a fine of $250,000. However, any sentence will be imposed by the court only after consideration of the U.S. Sentencing Guidelines and the federal statute governing the imposition of a sentence, 18 U.S.C. § 3553.
Assistant U.S. Attorney José A. Olivera is prosecuting this case with the assistance of Kathy Tat. The prosecution is the result of an investigation by IRS Criminal Investigation.
Newport Man Charged with Pharmacy Burglary and Firearms OffensesRead the Press Release
The Office of the United States Attorney for the District of Vermont stated that, on May 23, Daniel Greenwood, age 42, was arraigned in United States District Court in Burlington, Vermont, in connection with a federal indictment charging him with possessing a firearm as a convicted felon in October 2017 and with committing a burglary of the Kinney Drugs in Cambridge, Vermont that same month. Greenwood, who is currently serving a sentence in Massachusetts, entered pleas of not guilty to the two charges. At the time of offenses, Greenwood had absconded from state supervision and was a fugitive during late 2017. He was arrested in late 2017 in Massachusetts and charged in connection with the offense for which is currently serving a sentence.
According to court records, the firearms possession charge relates to a burglary of a residence in Thetford, Vermont, on October 21, during which Greenwood attempted to steal the homeowner’s hunting rifle. The homeowner, however, arrived home during the burglary and forcibly took back his rifle as Greenwood was fleeing the scene. Greenwood has a prior federal firearms conviction, according to the charges. The pharmacy burglary charge is a federal crime because Greenwood is alleged to have stolen over $500 in controlled substances during the burglary, which occurred on the night of October 15 when the pharmacy was closed.
The firearms charge carries a maximum sentence of ten years in jail, three years of supervised release, and $250,000 fine, and the pharmacy burglary charge carries a maximum sentence of twenty years in jail, three years of supervised release, and a $250,000 fine. The United States Attorney emphasizes that the indictment contains merely allegations against Greenwood and that he is presumed innocent until and unless convicted of the charges. “Greenwood’s arraignment demonstrates ATF’s commitment to targeting prohibited individuals from possessing and trafficking firearms” said Kenneth Kwak, Acting Special Agent in Charge for the Boston Field Division. “ATF will continue to collaborate with our law enforcement partners to eliminate these types of crimes and keep our communities safe.”
U.S. Attorney Christina E. Nolan added: “this case reflects our commitment to prioritize prosecution of violent crime and unlawful firearms offenses. Prohibited persons must be on notice that they will be targeted for federal prosecution, especially if their conduct involves endangering Vermonters in their own homes. We will continue to work closely with our law enforcement partners at all levels to demonstrate zero tolerance for such offenses.”
The indictment against Greenwood was the culmination of a multi-agency investigation. The collaborative effort was led by the Bureau of Alcohol, Tobacco, Firearms, & Explosives, the Drug Enforcement Administration, and the Vermont State Police, with the assistance of the United States Marshals Service, United States Customs and Border Protection Air and Marine Operations, the Newport Police Department, the Lamoille and Orleans County Sheriff’s Departments, and the Holyoke, Massachusetts, Police Department. Assistant United States Attorney Paul J. Van de Graaf is prosecuting the case. Greenwood is represented by Attorney David McColgin.
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.
New York Man Pleads Guilty to Obstructing Federal CaseRead the Press Release
HUNTINGTON, W.Va. – A New York man who helped obstruct a federal drug conspiracy case in 2017 pled guilty today in federal court in Huntington, announced United States Attorney Mike Stuart. Kevin Fritz Lamerique, 34, entered his guilty plea to aiding and abetting an attempt to obstruct and impede an official proceeding. United States Attorney Stuart commended the work of the Huntington FBI Drug Task Force and the United States Postal Inspection Service.
“Evading arrest is a serious crime. Aiding and abetting evasion of arrest is equally serious,” said United States Mike Stuart. “Lamerique made an incredibly bad decision when he attempted to aid a federal defendant in evading arrest and now faces a lengthy prison term himself.”
From at least February of 2016 to June of 2017, members of the conspiracy obtained quantities of methamphetamine and heroin from California which were mailed to the Huntington and Cross Lanes areas. The drugs would then be distributed to customers in Cabell, Putnam, and Kanawha counties. During the investigation, agents executed multiple search warrants in Cabell and Kanawha counties and seized almost 10 pounds of crystal methamphetamine along with multiple firearms and ammunition.
Lamerique admitted that after an indictment was returned in Huntington charging various members of the conspiracy, he initiated contact with a charged defendant at the direction of another person. During various contacts, Lamerique delivered messages and instructions to the charged defendant. Lamerique also arranged and participated in contacts between the charged defendant and the other person to aid the charged defendant’s evasion of arrest.
Lamerique faces up to 20 years in federal prison when he is sentenced on August 27, 2018.
Assistant United States Attorney Joseph F. Adams is responsible for the prosecution. The plea hearing was held before United States District Judge Robert C. Chambers.
This case is being prosecuted as part of an ongoing effort led by the United States Attorney’s Office for the Southern District of West Virginia to combat the illicit sale and misuse of illegal drugs, including methamphetamine. The U.S. Attorney’s Office, joined by federal, state and local law enforcement agencies, is committed to aggressively pursuing and shutting down pill trafficking, eliminating open air drug markets, and curtailing the spread of illegal drugs in communities across the Southern District.
Follow us on Twitter: @SDWVNews and @USAttyStuart
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New Orleans Man Pleads Guilty to Drug ConspiracyRead the Press Release
U.S. Attorney Duane A. Evans announced that CANTRELLE BRUMFIELD, age 46, of New Orleans, pled guilty yesterday to conspiracy to distribute and possess with intent to distribute 100 grams or more of heroin.
According to court documents, in August of 2015, Special Agents of the Drug Enforcement Administration (“DEA”) identified BRUMFIELD as a distributor of heroin. Between August and September of 2015, a DEA Special Agent, working in an undercover capacity, made two controlled purchases of heroin from BRUMFIELD. To further their investigation, DEA Special Agents obtained a wiretap on BRUMFIELD’S phone in an attempt to identify BRUMFIELD’S drug trafficking associates. In March of 2016, a DEA Special Agent contacted BRUMFIELD to arrange another controlled purchase of heroin. Special Agents arrested BRUMFIELD while he was in route to meet the undercover Special Agent. Inside of BRUMFIELD’S vehicle at the time of his arrest was approximately 28 grams of heroin. After receiving consent to search BRUMFIELD’S residence, Special Agents found and seized 24 grams of heroin from BRUMFIELD’S residence.
BRUMFIELD faces a minimum term of five years’ imprisonment and a maximum of 40 years’ imprisonment. U.S. District Judge Eldon E. Fallon set sentencing for Thursday, August 30, 2018.
U.S. Attorney Evans praised the work of the Drug Enforcement Administration in investigating this matter. Assistant United States Attorney André Jones is in charge of the prosecution.