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10 July 2018
Pawtucket Woman Sentenced for Participation in Opioid Prescription ConspiracyRead the Press Release
PROVIDENCE, RI – A Pawtucket woman who admitted to participating with three other individuals in a conspiracy to create fraudulent prescriptions for opioid pills using stolen medical practitioner identification numbers has been sentenced to 24 months in federal prison.
Victoria Rose-Coccia, 29, was also ordered to serve 3 years supervised release upon completion of her term of incarceration. Rose-Coccia pleaded guilty on February 28, 2018, to conspiracy to distribute and possess with the intent to distribute Oxycodone.
The U.S. Sentencing Guidelines range of imprisonment in this matter is 108 to 135 months. The government recommended the court impose a sentence of 44 months in prison.
According to information presented to the Court, between January 2014 and September 2016, Rose-Coccia participated in a conspiracy to create and fill fraudulent Oxycodone prescriptions. The fraudulently obtained pills were then sold to others.
At the time of her guilty plea, Rose-Coccia admitted to the Court that in addition to assisting in the overall operation of the conspiracy, she filled fraudulent Oxycodone prescriptions in her name which the group then sold.
Three other individuals, Michael Slonski, 48, of Johnston, and David Rose, 59, and Robert Rose, 52, of Providence, have pleaded guilty to charges related to their participation in the conspiracy and are awaiting sentencing.
Rose-Coccia’s sentence is announced by United States Attorney Stephen G. Dambruch and Jeffrey J. Ebersole, Resident Agent in Charge of the United States Food and Drug Administration Office of Criminal Investigations.
The case was prosecuted by Assistant U.S. Attorney Dulce Donovan.
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Owner of Philadelphia Pain Management Clinic Pleads Guilty to Illegal Distribution of Oxycodone and XanaxRead the Press Release
PHILADELPHIA – U.S. Attorney William M. McSwain announced that Arthur Miriana, the owner of a Philadelphia pain management clinic, pled guilty today to conspiracy to distribute and distribution of oxycodone and alprazolam, commonly known as Xanax.
“This defendant significantly contributed to our region’s crippling opioid epidemic,” said U.S. Attorney McSwain. “The misuse of opioids is killing our citizens, and we have to do everything possible to stop the illegal distribution of these deadly drugs under the guise of ‘pain management.’ This defendant was operating nothing more than a corrupt pill mill.”
Miriana, 52, formerly of Medford, New Jersey, owned and operated Life-Line Health and Wellness, purportedly a pain management clinic located at 1341 North Delaware Avenue, in Philadelphia, Pennsylvania. Miriana recruited drug dealers and drug addicts to visit his pain management clinic.
These drug dealers and drug addicts paid $260 to $360 in cash for prescriptions for commonly abused controlled substances such as oxycodone and Xanax. Miriana was not a physician, so he hired Dr. Barbara Schneider to sign these prescriptions. Dr. Schneider did not perform medical examinations as required to lawfully prescribe controlled substances. She typically met with “patients” only as long as it took for her to sign the prescriptions. Additionally, Dr. Schneider gave pre-signed blank prescriptions to Miriana for use when she was not in the office.
Dr. Schneider previously pled guilty to conspiracy to distribute oxycodone and alprazolam, and she is scheduled to be sentenced on September 21, 2018.
The case was investigated by the Drug Enforcement Administration and the Department of Health and Human Services Office of the Inspector General, with assistance from the Philadelphia Police Department, and is being prosecuted by Assistant United States Attorneys Robert J. Livermore and Timothy M. Stengel.
Ohio Man Pleads Guilty to Cheating NFL Players in $25,000 Charity Fraud SchemeRead the Press Release
KANSAS CITY, Mo. – An Ohio man who defrauded multiple NFL players – including a player for the Kansas City Chiefs – out of nearly $25,000 earmarked for charitable causes, pleaded guilty in federal court today.
Camario A. Richardson, 39, of Maple Heights, Ohio, pleaded guilty before U.S. District Judge Stephen R. Bough to one count of mail fraud.
Richardson claimed to have contacts with Nike and agreed to deliver Nike-branded merchandise to five NFL players. None of the victim players are identified by name in court documents.
The specific charge to which Richardson pleaded guilty involved a Kansas City Chiefs player who paid $6,000 to Richardson to provide 300 Nike-branded backpacks. The backpacks were for a “Book Bag Giveaway” charitable event for children in need of a school backpack at the start of the 2016 school year. Richardson was paid in April 2016, but never delivered any backpacks.
Richardson also admitted that he engaged in the same fraud scheme by taking $17,280 from the players of three other NFL teams, all as payment for backpacks those players planned to give away at similar charitable events. In June 2016, Richardson took $6,480 from a Tampa Bay Buccaneers player and $6,480 from an Indianapolis Colts player, each of whom were promised 300 backpacks that Richardson failed to deliver, and $4,320 from a Cincinnati Bengals player who was promised 200 backpacks that Richardson failed to deliver.
As a result of Richardson’s fraud scheme, all four victim players purchased backpacks from another source for their charitable events.
Richardson also admitted that he engaged in a fraud scheme by taking $1,500 from a San Diego Chargers player in March 2016 for athletic shoes that he failed to provide.
The total fraud loss caused by Richardson’s criminal conduct was $24,780. Under the terms of today’s plea agreement, Richardson must pay $24,780 in restitution to his victims.
Under federal statutes, Richardson is subject to a sentence of up to 20 years in federal prison without parole. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes, as the sentencing of the defendant will be determined by the court based on the advisory sentencing guidelines and other statutory factors. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
This case is being prosecuted by Criminal Division Chief Gene Porter. It was investigated by the U.S. Secret Service and the Lee’s Summit, Mo., Police Department.
Ocracoke Man Arrested for Cultivating Marijuana on Federal PropertyRead the Press Release
RALEIGH – The United States Attorney for the Eastern District of North Carolina, Robert J. Higdon, Jr., announces that JAMES DANIEL GARRISH, III was arrested today, July 10, 2018.
GARRISH was named in an Indictment filed on May 2, 2018, charging him with cultivating marijuana on federal property, the Cape Hatteras National Seashore. If convicted of that charge, he would face a maximum term of 5 years imprisonment, a $250,000 fine, and a term of up to three years supervised release following any term of imprisonment. Additionally, GARRISH was charged with introducing plants into the park ecosystem, littering, trespassing, and defacing and damaging real property. Each of these charges carries up to 6 months’ imprisonment, a $5,000 fine, up to one year supervised release, and/or up to 5 years’ probation.
Mr. Higdon stated: “Criminal acts which blemish the beauty of our public seashore and the safety of its visitors will not be ignored,” and he reinforced the committment of his office to partnering with all law enforcement agencies in the Eastern District of North Carolina to keep its communities safe.
The charges and allegations contained in the indictment are merely accusations. The defendant is presumed innocent unless and until proven guilty in a court of law.
Investigation of this case is being conducted by the National Park Service. Assistant United States Attorney Daniel Smith is representing the government.
Ocean City Bank Robber Sentenced to 8 Years in Federal Prison for Brandishing a Gun During the 2016 RobberyRead the Press Release
Baltimore, Maryland – U.S. District Judge Catherine C. Blake sentenced Tyrone D. Pierce, age 60, of Ocean City, Maryland today to eight years in federal prison, followed by five years of supervised release, for brandishing a firearm during a crime of violence, specifically, a bank robbery.
The sentence was announced by United States Attorney for the District of Maryland Robert K. Hur; Special Agent in Charge Gordon B. Johnson of the Federal Bureau of Investigation, Baltimore Field Office; Chief Ross C. Buzzuro of the Ocean City Police Department; and Interim Worcester County State’s Attorney William H. “Bill” McDermott.
According to his plea agreement, on August 24, 2016, Pierce, who was then employed at a motel in Ocean City, Maryland, robbed a bank in the 12000 block of Coastal Highway, in Ocean City. Specifically, Pierce parked a vehicle in a commercial parking lot near the bank. Pierce, who was clearly wearing a fake beard, was seen by motorists and pedestrians as he walked a circuitous route to the entrance of the bank. After entering the bank, Pierce pulled out a semi-automatic handgun and pointed it at one of the tellers, threatening to shoot the teller if she did not comply with Pierce’s demands for money. Pierce also said there was a bomb near the drive-thru window, although no device was found. Pierce took cash and left the bank, inadvertently leaving a glove on the teller counter that he removed during the robbery.
Crime scene investigators recovered the glove and were able to obtain a DNA specimen. In January 2017, DNA analysis of the specimen was matched to Pierce, who has a 1999 conviction for bank robbery in Salisbury, Maryland, and had previously submitted a DNA sample.
As part of Pierce’s sentence, Judge Blake ordered that Pierce pay restitution of $9,169.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. Attorney General Jeff Sessions reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.
United States Attorney Robert K. Hur praised the FBI, the Ocean City Police Department, and the Worcester County State’s Attorney’s Office for their work in the investigation. Mr. Hur thanked Assistant U.S. Attorney P. Michael Cunningham, who prosecuted the case.
New York Man Indicted on Bank Fraud Conspiracy, Producing/Passing Fictitious Obligations, Access Device Fraud, and Aggravated Identity TheftRead the Press Release
WILMINGTON – Robert J. Higdon, Jr., the United States Attorney for the Eastern District of North Carolina, announced that a Federal grand jury in Wilmington returned a seven-count indictment charging GIANNI ARMANI VINCENT, age 20, of Brooklyn, New York, with one count of Conspiracy to Commit Bank Fraud, two counts of Producing/Passing Fictitious Obligations, two counts of Access Device Fraud, and two counts of Aggravated Identity Theft.
The indictment alleges that beginning in or around September 2016, and continuing until in or around March 2018, VINCENT and his co-conspirators engaged in a scheme to defraud financial institutions out of money by producing and depositing counterfeit checks into conspirator bank accounts. Additionally, VINCENT is alleged to have been involved in access device fraud by possessing numbers that granted him access to the bank accounts of unsuspecting consumers. According to evidence and testimony presented at VINCENT’s recent detention hearing, when the Cary Police Department and United States Secret Service encountered VINCENT on December 1, 2017, he was in possession of over two-hundred counterfeit checks, a computer with check-writing software, approximately twenty-five counterfeit cards, and more than fifty account numbers, among other things.
If convicted on all counts, VINCENT could face a maximum penalty of sixty-seven years imprisonment, a $1,750,000 fine, and a term of supervised release following any term of imprisonment. His arraignment is currently scheduled for September 2018.
The charges and allegations contained in the indictment are merely accusations. The defendant is presumed innocent unless and until proven guilty in a court of law.
The case is being investigated by the United States Secret Service.
Multiple Defendants Plead Guilty to Federal Methamphetamine ChargesRead the Press Release
CHARLESTON, W.Va. – Multiple defendants pled guilty to federal methamphetamine charges today, announced United States Attorney Mike Stuart. Stuart praised the efforts of law enforcement agencies working in partnership with his office to fight the recent resurgence of methamphetamine in West Virginia.
“As methamphetamine continues to become the illicit drug of choice throughout southern West Virginia,” said United States Attorney Mike Stuart, “my Office will continue to work with our law enforcement partners to vigorously prosecute meth distributors peddling their poison in our communities. We are going to use every resource available to us to ensure that today’s meth doesn’t become the crisis that opiates have posed to our communities and families.”
TWO PLEAD GUILTY TO ROLES IN FEDERAL DRUG CONSPIRACY
Travis Thomas, 26, and Melody Legg, 43, entered their guilty pleas to an indictment charging them with conspiracy to distribute methamphetamine. The joint investigation was conducted by the Drug Enforcement Administration, the Violent Crime and Drug Task Force West, and the Kanawha County Sheriff’s Department STOP Team.
Thomas admitted that from at least June 2017 to September 2017, he supplied Melody Legg and others with five grams or more of methamphetamine to distribute for money in Kanawha County. As part of the plea agreement, Thomas admitted to distributing approximately 23 grams of methamphetamine to Melody Legg in August 2017. Legg admitted that from at least June 2017 to September 2017, she distributed methamphetamine for Travis Thomas and others in Kanawha County. She conspired with Travis Thomas, William Naylor, Timothy Boggs, and Michael Ginther to distribute more than 50 grams of methamphetamine in exchange for money.
Thomas faces at least 5 years but not more than 40 years in federal prison and Legg faces 10 years to life in federal prison when they are sentenced on October 3, 2018.
The plea hearings were held before United States District Judge Joseph R. Goodwin. Assistant United States Attorney Stephanie S. Taylor is in charge of the prosecutions.
CHARLESTON MAN PLEADS GUILTY TO DISTRIBUTION OF METHAMPHETAMINE
CHARLESTON, W.Va. -- Charles Smith, 42, of Charleston, pled guilty today before United States District Court Judge John T. Copenhaver, Jr., to distribution of 50 grams or more of methamphetamine. The Drug Enforcement Administration (DEA) and the Kanawha County Sheriff’s Department conducted the investigation.
Smith admitted to providing approximately 5 ounces of methamphetamine to a confidential informant working with the DEA in exchange for $1800 on January 30th of this year. The transaction occurred on the parking lot of the Save-A-Lot Store on Virginia Street west in Charleston.
Smith faces from 10 years to life imprisonment and a $10,000,000 fine when he is sentenced on October 16, 2018. AUSA John Frail is handling the prosecution.
BOONE COUNTY MAN PLEADS GUILTY TO METHAMPHETAMINE CHARGE
Larry Dingess, 49, of Nellis, Boone County, also pled guilty before United States District Court Judge John T. Copenhaver, Jr., to possessing methamphetamine for distribution. The Boone County Sheriff’s Department conducted the investigation.
Dingess admitted that on March 17, 2016, he was found to be in possession of a large quantity of methamphetamine during a search of his person by members of the Boone County Sheriff’s Department. Deputy Sheriff’s had gone to Dingess’ Nellis home to arrest him on an unrelated warrant when he was found in possession of methamphetamine.
Dingess faces from 5 to 40 years imprisonment and a $5,000,000 fine when he is sentenced on October 11, 2018.
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###Milford Woman Pleads Guilty to Stealing $2.7 Million from EmployerRead the Press Release
BOSTON – A Milford woman pleaded guilty today in federal court in Boston to stealing approximately $2.7 million from her employer, and then using the money to purchase luxury items, many of which she resold to consignment shops.
Debra Mulloy, a/k/a Debra Depaul, 57, pleaded guilty to two counts of wire fraud and one count of aggravated identity theft. U.S. District Court Judge F. Dennis Saylor IV scheduled sentencing for Oct. 9, 2018.
From 2004 through 2016, Mulloy was responsible for most of the financial and organizational duties at the company for which she was employed. On multiple occasions from April 2012 to December 2016, Mulloy used the company’s credit card account in the name of another employee to make hundreds of unauthorized charges totaling nearly $2.4 million. Most of those unauthorized purchases were for clothing, furs, and jewelry at boutique stores in the Boston area. Mulloy then sold many of the luxury items at consignment shops. As part of her scheme, Mulloy also caused company checks to be issued for her personal benefit, primarily to pay her personal credit card bills. In total, Mulloy defrauded her employer of approximately $2.7 million.
The charge of wire fraud provides for a sentence of no greater than 20 years in prison, three years of supervised release, a fine of $250,000 or twice the gross gain or loss, whichever is greater, and restitution. The charge of aggravated identity theft provides for a mandatory two-year sentence that must run consecutively to any other sentence imposed, one year of supervised release, a fine of $250,000 or twice the gross gain or loss, whichever is greater, and restitution. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Andrew E. Lelling and Harold H. Shaw, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division, made the announcement today. Assistant U.S. Attorney Mark J. Balthazard of Lelling’s Economic Crimes Unit is prosecuting the case.
Middlesex County Man Gets 10 Years in Prison for Conspiracy to Distribute over 140 Kilograms of Heroin and CocaineRead the Press Release
TRENTON, N.J. – An Edison, New Jersey, man was sentenced today to 120 months in prison for his role in a conspiracy to distribute 140 kilograms of narcotics in New Jersey, U.S. Attorney Craig Carpenito announced.
Gemal Singleton, 41, previously pleaded guilty before U.S. District Judge Brian R. Martinotti to an information charging him with one count of conspiracy to possess with intent to distribute more than one kilogram of heroin and five kilograms of cocaine. Judge Martinotti imposed the sentence today in Trenton federal court.
According to the documents filed in this case and statements made in court:
Singleton, Siddeeq Q. Williams, 40, of Cranford, New Jersey, and others arranged for cocaine and heroin to be shipped to New Jersey via tractor trailer. On Aug. 27, 2017, the tractor-trailer arrived in New Jersey and was pulled over by law enforcement after the driver committed several traffic violations.
A subsequent search of the tractor-trailer recovered five large duffle bags containing a total of 56 kilograms of heroin and 85 kilograms of cocaine. Singleton and Williams admitted that they were supposed to meet the tractor-trailer to collect the narcotics for eventual distribution.
In addition to the prison term, Judge Martinotti sentenced Singleton to five years of supervised release. Williams has also pleaded guilty to his role in the scheme and awaits sentencing.
U.S. Attorney Carpenito credited special agents with the Drug Enforcement Administration, under the direction of Special Agent in Charge Valerie A. Nickerson in Newark, with the investigation leading to today’s sentence.
The government is represented by Assistant U.S. Attorney Meredith Williams, Co-Chief of the U.S. Attorney’s Office Public Protection Unit in Newark.
Defense counsel: Robert DeGroot Esq., Newark
Michigan City Man Sentenced to 96 Months in PrisonRead the Press Release
SOUTH BEND – Faheem Pasha, age 38, of Michigan City, Indiana was sentenced before District Court Judge Robert L. Miller, Jr. for being a felon in possession of a firearm, announced U.S. Attorney Kirsch.
Pasha was sentenced to 96 months in prison followed by 2 years of supervised release.
According to documents in this case, on or about January 12, 2018, Pasha, who was previously convicted of a felony offense in LaPorte County, possessed and sold a firearm to an individual. Other documents in the case show that he has been convicted of felonies on four prior occasions, had probation revoked three times, and had eleven misdemeanor convictions before possessing the firearm in this case. He also had four cases pending at the time.
This case was investigated by the ATF with assistance from the LaPorte County Drug Task Force and Michigan City Police Department, and was handled by Assistant U.S. Attorney Frank Schaffer.
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Mexican National Pleads Guilty to Distribution of Methamphetamine and an Immigration OffenseRead the Press Release
LEXINGTON, Ky. — Jose Jesus Navarro-Rios, a.k.a. “La Daga,” a Mexican National illegally residing in Lancaster, Ky., has pled guilty to three counts of distributing more than 500 grams of Methamphetamine and to unlawfully reentering the United States after previously being deported.
In his guilty plea, Navarro-Rios admitted that, on three occasions in the Spring of 2018, he sold methamphetamine in excess of 500 grams, to a cooperating witness for law enforcement. During the course of the joint federal and state investigation, law enforcement agents seized more than 12 pounds of methamphetamine, worth more than $125,000. Navarro-Rios admitted that he was unlawfully present in the United States, after being deported for a prior federal conviction for unlawfully reentering the United States, in 2013.
Robert M. Duncan Jr., United States Attorney for the Eastern District of Kentucky; Angela L. Byers, FBI Cincinnati; Amy Hess, FBI Louisville; Kristoffer Cortex, Acting Assistant Field Office Director, ICE; and Richard Sanders, Commissioner of the Kentucky State Police, jointly announced the guilty plea.
The investigation was conducted by FBI, KSP and ICE. The United States was represented in the case by Assistant United States Attorney Roger W. West.
Navarro-Rios is currently scheduled to appear for sentencing, in Lexington, on November 2, 2018, at 1:00 p.m. Navarro-Rios faces a prison sentence of not less than ten years nor more than Life imprisonment. However, any sentence will be imposed by the Court, after its consideration of the United States Sentencing Guidelines and the federal statute governing the imposition of sentences.
Meriden Man Pleads Guilty to Running Cocaine and Crack Ring While IncarceratedRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, today announced that WESTLEY NORTHRUP, also known as “Piff,” 30, of Meriden, pleaded guilty yesterday in Hartford federal court to one count of conspiracy to distribute and to possess with intent to distribute cocaine and cocaine base (“crack”).
This matter stems from a joint investigation headed by the DEA New Haven Task Force that has included the use of court-authorized wiretaps, controlled purchases of crack cocaine, and seizures of cocaine and cash proceeds. The investigation revealed that NORTHRUP operated a cocaine and crack cocaine trafficking ring while he was incarcerated in state custody at the Cheshire Correctional Institution. The investigation, which included consensually-recorded prison calls, revealed that NORTHRUP conspired with others to purchase cocaine from suppliers, convert some of the cocaine to crack cocaine, and then distribute crack and cocaine through a network of dealers in central Connecticut.
On July 20, 2017, a grand jury in New Haven returned a nine-count indictment charging NORTHRUP and 10 other individuals with various offenses.
NORTHRUP faces a maximum term of imprisonment of life. He is scheduled to be sentenced by U.S. District Judge Vanessa L. Bryant on October 24, 2018.
This matter is being investigated by the DEA New Haven Task Force, U.S. Postal Inspection Service and the Middletown and New Britain Police Departments. The DEA New Haven Task Force includes participants from the New Haven, Hamden, West Haven, North Haven, East Haven, Branford, Ansonia, Meriden and Derby Police Departments, and the U.S. Marshals Service.
The case is being prosecuted by Assistant U.S. Attorney H. Gordon Hall.
Marion County man indicted on drugs and firearms chargesRead the Press Release
CLARKSBURG, WEST VIRGINIA – William A. Six, of Fairmont, West Virginia, was indicted today by a federal grand jury on charges of heroin, cocaine, and methamphetamine distribution and firearms violations, United States Attorney Bill Powell announced.
Six, age 27, is charged with one count of “Distribution of Heroin,” two counts of “Distribution of Cocaine Base,” two counts of “Possession of a Stolen Firearm,” two counts of “Unlawful Possession of a Firearm,” one count of Possession of a Firearm in a School Zone,” and one count of “Distribution of Methamphetamine.” Six is accused of selling heroin, cocaine, and methamphetamine in Marion County in August and September 2017. Six, having previously been convicted of two felonies, is also accused of having a 12-gauge shotgun, and a semi-automatic rifle, both believed to be stolen, on the grounds of Washington Irving Middle School in Harrison County in September 2017.
Six faces up to 20 years incarceration and a fine of up to $1,000,000 for each of the drug charges. Six faces up to 10 years incarceration and a fine of up to $250,000 for the stolen firearms charge and the unlawful possession of a firearms charge, and faces up to five years incarceration and a fine of up to $250,000 for the firearms in a school zone charge. 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 Traci M. Cook is prosecuting the case on behalf of the government. The Bureau of Alcohol, Tobacco, Firearms and Explosives, the Three Rivers Drug Task Force, and the Fairmont Police Department investigated.
An indictment is merely an accusation. A defendant is presumed innocent unless and until proven guilty.
Malden Man Pleads Guilty to Defrauding EmployerRead the Press Release
BOSTON – A Malden man pleaded guilty yesterday in federal court in Boston to his role in a wide-ranging conspiracy to defraud his employer, a large facilities services company with offices in the Greater Boston area.
Lou Amaral, 52, pleaded guilty to one count of conspiracy to commit honest services mail fraud, one count of conspiracy to commit wire fraud, one count of money laundering, and one count of tax evasion. U.S. District Court Judge Douglas P. Woodlock scheduled sentencing for Oct. 9, 2018. Co-defendant Vence Pires, 58, also of Malden, was charged with one count of conspiracy to commit wire fraud and is scheduled to plead guilty on July 12, 2018.
Amaral and Pires worked for the same facilities services company in the Greater Boston area. Amaral was the supervisor of the Special Services Department, and as such, he had the ability to hire employees and to contract with third-parties to provide temporary labor. Pires was an account manager who worked for Amaral in Special Services. Amaral first began taking bribes from a temporary labor company in order to steer contracts to that company. In 2014, Amaral opened up his own temporary labor company and, with the help of Pires, awarded himself the temporary labor contracts. Through this scheme, Amaral made approximately $10 million in revenue over a three-year period, resulting in harm to his employer of more than $4 million.
Amaral faces a maximum sentence on the conspiracy and money laundering counts of up to 20 years in prison, three years of supervised release and a fine of $250,000 on each count. The charge of tax evasion provides for a sentence of up to five years in prison, one year of supervised release, and a fine of $100,000. Amaral has agreed to forfeit approximately $2 million that has been seized from him. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Andrew E. Lelling; Kristina O’Connell, Special Agent in Charge of the Internal Revenue Service’s Criminal Investigation in Boston; and Delany De Leon-Colon, Acting Inspector in Charge of the U.S. Postal Inspection Service, made the announcement today. Assistant U.S. Attorney Eric Rosen of Lelling’s Economic Crimes Unit is prosecuting the case.
MS-13 Member Sentenced for RICO Conspiracy and Drug TraffickingRead the Press Release
BOSTON – An MS-13 member was sentenced today in federal court in Boston on drug trafficking and RICO conspiracy charges.
Edgar Pleitez, a/k/a “Cadejo,” 28, was sentenced by U.S. District Court Judge F. Dennis Saylor IV to five years in prison and four years of supervised release. In March 2018, Pleitez pleaded guilty to conspiracy to conduct enterprise affairs through a pattern of racketeering activity, more commonly referred to as RICO conspiracy, and conspiracy to distribute 100 grams or more of heroin.
Pleitez, who was a “homeboy” or full member of MS-13’s East Boston Loco Salvatrucha clique, conspired with other MS-13 members to distribute heroin and further the criminal activities of MS-13. In 2015, a cooperating witness made three separate purchases of heroin from Pleitez. Pleitez was arrested and charged in January 2016 following a three-year investigation which targeted dozens of leaders, members, and associates of MS-13 in Massachusetts. While numerous defendants committed violent acts on behalf of the gang, other defendants, including Pleitez, engaged in other criminal activity, such as drug trafficking, to help finance the operations of the gang.
United States Attorney Andrew E. Lelling; Harold H. Shaw, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; Peter C. Fitzhugh, Special Agent in Charge of Homeland Security Investigations in Boston; Colonel Kerry A. Gilpin, Superintendent of the Massachusetts State Police; Commissioner Thomas Turco of the Massachusetts Department of Corrections; Essex County Sheriff Kevin F. Coppinger; Suffolk County Sheriff Steven W. Thompkins; Suffolk County District Attorney Daniel F. Conley; Middlesex County District Attorney Marian T. Ryan; Essex County District Attorney Jonathan Blodgett; Boston Police Commissioner William Evans; Chelsea Police Chief Brian A. Kyes; Everett Police Chief Steven A. Mazzie; Lynn Police Chief Michael Mageary; Revere Police Chief James Guido; and Somerville Police Chief David Fallon made the announcement.
Long Beach Man Sentenced to over 26 Years in Prison for Leading Counterfeit Opioid Scheme that Distributed Fentanyl AnalogueRead the Press Release
LOS ANGELES – The leader of a narcotics distribution ring that imported a powerful fentanyl analogue from China and produced hundreds of thousands of opioid pills that were distributed in bulk across the nation was sentenced yesterday to 320 months in federal prison.
Gary Resnik, 33, of Long Beach, led a conspiracy that imported acetylfentanyl, a drug very similar to fentanyl, a powerful and highly addictive opioid. Acetylfentanyl, which is many times more potent that heroin, is not approved for any legal use in the United States.
Resnik pled guilty in August 2017 to two felony offenses – conspiracy to manufacture and distribute narcotics (including acetylfentanyl and ecstasy), and possession with the intent to distribute acetylfentanyl.
According to court documents, Resnik “was the leader of a conspiracy to manufacture, possess with intent to distribute, and distribute hundreds of thousands of pills designed to look like legitimate pharmaceuticals such as Vicodin and OxyContin, but which actually contained highly potent, illegal drugs that defendant imported from China,” including acetylfentanyl, ecstasy, alprazolam, and a designer drug known on the street as PVP.
“Resnik led a sophisticated operation that used dangerous Chinese-made chemicals to manufacture counterfeit pharmaceuticals,” said United States Attorney Nick Hanna. “Through his makeshift labs, he put thousands of fentanyl analogue pills on the streets, risking the lives of unsuspecting people. This sentence is well-deserved.”
When he pled guilty last year, Resnik admitted to importing from China bulk chemicals, including acetylfentanyl, that were used to manufacture opioid pills. His drug organization also illegally imported pill presses from China that were used to make pills in homemade labs in a Long Beach storage unit and Baldwin Park house. Resnik acknowledged that drug enforcement agents seized over 11 kilograms of acetylfentanyl from the Long Beach lab in addition to other large quantities of acetylfentanyl and other illegal drugs from both labs.
“Mr. Resnik preyed on our communities by flooding our streets with fentanyl. Today’s lengthy prison sentence is appropriate and further emphasizes the dangers that fentanyl and opioids pose to our communities,” said DEA Los Angeles Acting Special Agent in Charge Daniel C. Comeaux. “The DEA will tirelessly collaborate with our local, state and federal counterparts to take vicious drug traffickers, like Mr. Resnik, off the street.”
Over the course of nine months in 2015 and 2016, Resnik’s organization sold approximately 40,000 to 45,000 pills each month, for between $4 to $8 per pill, according to prosecutors.
On one occasion during the course of an investigation by the Drug Enforcement Administration, authorities seized narcotics – including thousands of opioid pills containing acetylfentanyl, alprazolam pills, and ecstasy pills – from a man who had just purchased the drugs from members of the drug-trafficking organization operated by Resnick.
A co-defendant in this case – Christopher Bowen, 32, of downtown Los Angeles – was sentenced in May of this year to 320 months in federal prison for participating in the drug-trafficking conspiracy.
The case was investigated by agents with the Drug Enforcement Administration with substantial assistance from the Huntington Beach Police Department.
This case was prosecuted by Assistant United States Attorneys Michael G. Freedman of the Organized Crime Drug Enforcement Task Force Section and David Ryan of the General Crimes Section.
Levittown Man Indicted for Trafficking Protected TurtlesRead the Press Release
PHILADELPHIA – U.S. Attorney William M. McSwain announced that a Levittown, PA man was indicted today for trafficking in protected diamondback terrapins. David Sommers, 62, was charged with smuggling turtles and submitting false records for a package shipped to Canada. He was also indicted for four violations of the Lacey Act for trafficking over 3,500 turtles in interstate commerce.
The indictment alleges that throughout 2017, Sommers poached diamondback terrapins and their eggs from coastal marshes in New Jersey. He would then illegally sell the turtles in violation of the Lacey Act, the nation’s oldest wildlife trafficking statute. The Lacey Act makes it a federal crime to break the wildlife laws of any state, tribe, or foreign country and then move or trade the wildlife across U.S. borders. The indictment also charges that in 2014, Sommers smuggled turtles to Canada and falsely labeled the package by claiming it contained a book.
Diamondback terrapins (Malaclemys terrapin) are a semi-aquatic species of turtle native to brackish waters in eastern and southern United States. They are not found in the wild in Pennsylvania but have a dwindling habitat range in neighboring New Jersey. The terrapins are prized in the reptile pet trade for their unique, diamond-shaped shell markings. The turtles are protected under New Jersey law and by an international treaty, the Convention on International Trade in Endangered Species of Wild Fauna and Flora (“CITES”).
The United States, Canada, and approximately 181 other countries are signatories to CITES, which provides a mechanism for regulating international trade in species whose continued survival is threatened by such trade. Due to declining populations, CITES listed the diamondback terrapin as threatened in 2013, and New Jersey banned collecting, possessing, and transporting them in 2016.
Along with U.S. Attorney McSwain, today’s indictment was announced by Acting Assistant Attorney General Jeffrey H. Wood for the Justice Department’s Environment and Natural Resources Division, and Acting Assistant Director Edward Grace of the Office of Law Enforcement for the U.S. Fish and Wildlife Service (“USFWS”).
If convicted, Sommers faces a maximum sentence of 10 years’ imprisonment on the smuggling charge and five years’ imprisonment for each of the Lacey Act violations (for a total of 35 years). The indictment also seeks to forfeit from Sommers all the turtles involved in the investigation.
This case was investigated by the USFWS with assistance from the New Jersey Division of Fish and Wildlife. It is being prosecuted by trial attorney Ryan Connors of the Justice Department’s Environmental Crimes Section and Assistant U.S. Attorney Joan E. Burnes.
An indictment is merely an allegation, and the defendant is presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Laurel Felon Sentenced to 9 Years in Federal Prison for Drug Dealing and Illegal Possession of FirearmsRead the Press Release
Baltimore, Maryland – U.S. District Judge Catherine C. Blake sentenced James E. Goldsberry, age 35, of Laurel, Maryland today to nine years in prison, followed by three years of supervised release, for possession with intent to distribute heroin and cocaine, possession of a firearm by a felon, and possession of a firearm in furtherance of a drug trafficking crime. A federal jury convicted Goldsberry of those charges on March 15, 2018.
The sentence was announced by United States Attorney for the District of Maryland Robert K. Hur; Special Agent in Charge Rob Cekada of the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) Baltimore Field Division; and Chief Gary L. Gardner of the Howard County Police Department.
According to the evidence presented at his four day trial, on September 20, 2016 Howard County Police officers conducted a search of Goldsberry’s residence, where he lived with his girlfriend and three children, locating Goldsberry in his bed. Officers recovered $893 cash in rolled up bills located along the front railing of the bed. On the bed’s left railing, immediately next to where Goldsberry had been found, was his cell phone. Near the phone, also on the left bedrail, was a sandwich bag containing 10 clear ziploc baggies of heroin and three small ziploc baggies of cocaine. On the floor, near the top of the left hand side of the bed, police found a 9mm caliber pistol, with the frame of the gun on the floor and the grip positioned up towards the ceiling. The gun was loaded with 17 rounds of ammunition.
Witnesses testified that more guns and drugs were found in the master bedroom closet, including: a 10mm pistol; two extra barrels; two extended magazines, one loaded with 13 rounds of hollowpoint ammunition; and a.38-caliber revolver. A black plastic bag which contained 100 small baggies of cocaine, 25 more baggies of heroin, and a larger sandwich bag filled with heroin was found on a shelf in the closet. The packaging of the cocaine and heroin found in the closet matched that of the baggies found on the bedrail next to Goldsberry. Additional drug paraphernalia was found in other areas of the residence, including a digital scale and hundreds of unused baggies.
According to the trial evidence, police downloaded text messages to and from Goldsberry’s phone that were indicative of drug trafficking and used coded language commonly used by drug traffickers and their customers. For example, Goldsberry sent three text messages to three different customers advertising that he had obtained some high-quality drugs, or “got some good,” as he put it.
Officers recovered a total of approximately 11.29 grams of heroin and 16.85 grams of cocaine, mostly in the bedroom, with a street value of approximately $1,500 to $2,000. In addition, officers recovered three firearms from the bedroom. Goldsberry had a previous felony conviction and was prohibited from possessing firearms or ammunition.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. Attorney General Jeff Sessions reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.
United States Attorney Robert K. Hur praised the ATF and Howard County Police Department for their work in the investigation. Mr. Hur thanked Assistant U.S. Attorneys Burden H. Walker and Daniel C. Gardner, who prosecuted the case.
Las Vegas Man Sentenced to 27 Years in Prison for Drug TraffickingRead the Press Release
Abingdon, VIRGINIA – A Las Vegas man, who trafficked methamphetamine and oxycodone from Nevada to Virginia and laundered the proceeds, was sentenced last week in U.S. District Court in Abingdon to 324 months in prison, United States Attorney Thomas T. Cullen announced.
Richard Henry Kayian, 57, was found guilty by a jury in November 2017 of one count of conspiracy to distribute 500 grams of methamphetamine and oxycodone, and one count of money laundering. In addition, Kayian was ordered to pay a forfeiture money judgment in the amount of $743,441.
The investigation leading to Kayian’s conviction was conducted by the Bureau of Alcohol, Tobacco, Firearms, and Explosives, the Drug Enforcement Administration, the Internal Revenue Service-Criminal Investigations, and state and local law enforcement in Southwest Virginia and Las Vegas, Nevada. This collaborative law enforcement effort resulted in 31 defendants entering guilty pleas or being found guilty of crimes related to the distribution of methamphetamine and opioids in Nevada, Virginia and Kentucky.
According to evidence presented at Kayian’s trial and other hearings by Assistant United States Attorney Zachary T. Lee, law enforcement agencies in Virginia and Nevada charged 32 individuals in late 2016 with conspiring to distribute methamphetamine, oxycodone, and buprenorphine and money laundering. Evidence demonstrated that Kayian was responsible for recruiting distributors for the drug trafficking organization and sending large quantities of methamphetamine and oxycodone via UPS and Federal Express to numerous locations in Abingdon, Virginia and Glade Spring, Virginia. These drugs, along with buprenorphine, were then distributed throughout the Southwest Virginia and in Eastern Kentucky by members of the drug trafficking organization. Additionally, evidence gained from the investigation demonstrated that more than $1,000,000 in proceeds from the drug sales in the Abingdon area were sent via wire transfers and bank deposits to Kayian and others in Las Vegas.
Operation Leaving Las Vegas has resulted in the following sentences:
- Tracey Allen Callihan, 49, of Glade Spring, Virginia - 324 months imprisonment and ordered to pay a forfeiture money judgment of $30,000.00 for one count of conspiracy to distribute 500 grams or more of methamphetamine and oxycodone, and one count of money laundering.
- Brandon Lee Stone, 33, of Abingdon, Virginia – 300 months imprisonment for one count of conspiracy to distribute 500 grams or more of methamphetamine, oxycodone and buprenorphine, and one count of money laundering.
- Misael Reyes Tajimaroa, 32, of Spokane, Washington – 192 months imprisonment for one count of conspiracy to distribute 500 grams or more of methamphetamine, oxycodone and buprenorphine, and one count of money laundering.
- Bradley Lee Chapman, 28, of Bristol, Virginia - 135 months imprisonment for one count of conspiracy to distribute methamphetamine, oxycodone and buprenorphine, and one count of money laundering.
- Kaitlynn Elizabeth Chapman, 26, of Bristol, Virginia – 72 months imprisonment for one count of conspiracy to distribute methamphetamine, oxycodone and buprenorphine, and one count of money laundering.
- John Williams, 50, of Glade Spring, Virginia – 18 months imprisonment and a $2,500 fine for one count of conspiracy to use a communications facility to facilitate a drug trafficking offense.
- Rebecca Williams, 51, of Abingdon, Virginia – 108 months imprisonment for one count of conspiracy to distribute methamphetamine.
- Heather Michelle Sullins, 27, of Abingdon, Virginia – 30 months imprisonment for one count of conspiracy to distribute methamphetamine, oxycodone and buprenorphine.
- Alex Michael Kayian, 23, of Bristol, Virginia - 72 months imprisonment for one count of conspiracy to distribute methamphetamine, oxycodone and buprenorphine, and one count of money laundering.
- Ralph Stewart Dingus, 27, of Abingdon, Virginia - 37 months imprisonment for one count of conspiracy to distribute methamphetamine.
- John Dewayne Farmer, 32, of Abingdon, Virginia - 240 months imprisonment for one count of conspiracy to distribute methamphetamine and one count of money laundering.
- Lola Virginia Farmer, 52, of Abingdon, Virginia - 87 months imprisonment for one count of conspiracy to distribute methamphetamine.
- Shauna Nicole Chafin, 36, of Abingdon, Virginia - 97 months imprisonment for one count of conspiracy to distribute 500 grams or more of methamphetamine, oxycodone and buprenorphine.
- William Wesley Fleenor, 29, of Abingdon, Virginia - 79 months imprisonment for one count of conspiracy to distribute methamphetamine.
- Jeffrey Nathaniel Gobble, 25, of Abingdon, Virginia - 46 months imprisonment for one count of conspiracy to distribute methamphetamine.
- Preston Kyle Lawson, 21, of Abingdon, Virginia - 46 months imprisonment for one count of conspiracy to distribute methamphetamine.
- Gary Chapman, 47, of Clay City, Kentucky - 151 months imprisonment for one count of conspiracy to distribute 500 grams or more of methamphetamine.
- Daniel Corey Cantrell, 25, of Abingdon, Virginia - 37 months imprisonment for one count of conspiracy to distribute methamphetamine.
- Tanner Morris Curd, 23, of Meadowview, Virginia - 84 months imprisonment for one count of conspiracy to distribute methamphetamine.
- Amy Lorene Moser, 52, of Abingdon, Virginia -100 months imprisonment for one count of conspiracy to distribute methamphetamine.
- Steven Salyer, 27, of Abingdon, Virginia - 87 months imprisonment for one count of conspiracy to distribute methamphetamine.
- Brandon Cody Trivett, 23, of Abingdon, Virginia - 30 months imprisonment for one count of conspiracy to distribute methamphetamine.
- Brian Edward Widener, 30, of Abingdon, Virginia – 46 months imprisonment for one count of conspiracy to distribute methamphetamine.
- Justin Lowe, 24, of Abingdon, Virginia – 41 months imprisonment for one count of conspiracy to distribute methamphetamine.
- Lamar Skipper, 27, of Chilhowie, Virginia - four years probation for one count of conspiracy to distribute oxycodone and one count of money laundering
- Gary Brandon Childress, 25, of Abingdon, Virginia - three years probation. for one count of conspiracy to distribute oxycodone.
- Austin Obranovic Boardwine, 24, of Abingdon, Virginia - four years probation for one count of conspiracy to distribute oxycodone and buprenorphine.
- Caleb Dean, 28, of Damascus, Virginia – 48 months imprisonment for one count of conspiracy to distribute methamphetamine and oxycodone.
- Charlene Hale, 25, of Bristol, Tennessee – four years probation for one count of conspiracy to distribute methamphetamine and oxycodone.
The investigation of the case was conducted by the Drug Enforcement Administration, Bureau of Alcohol, Tobacco, Firearms, and Explosives, Internal Revenue Service Criminal Investigations, United States Marshals Service, Las Vegas Metropolitan Police Department, Virginia State Police, Washington County, Virginia Sheriff’s Office, Abingdon Police Department, Marion Police Department, and Smyth County, Virginia Sheriff’s Office. Assistant United States Attorney Zachary T. Lee is prosecuting the case for the United States.
Lancaster Resident Pleads to Federal Firearm Charges Relating to Firearms Stolen from National Guard ArmoryRead the Press Release
Columbia, South Carolina ---- United States Attorney Sherri A. Lydon stated that Brandon Shane Polston, age 32, of Lancaster, plead guilty in federal court to being a felon in possession of firearms, in violation of Title 18, United States Code, Sections 922(g)(1), 924(a)(2), and 924(e), and to possession of machineguns and a destructive device not registered to him in the National Firearms Registration and Transfer Record, in violation of Title 26, United States Code, Sections 5841, 5861(d), and 5871. Co-defendants Austin Lee Ritter, age 23, and Kimberly Denise Cannon, age 40, both of Lancaster, each plead guilty to the same charges on June 25, 2018. United States District Judge Michelle Childs, of Columbia, accepted the guilty pleas and will impose sentences after she has reviewed the presentence reports, which will be prepared by the United States Probation Office.
Evidence presented in court established that on the early morning hours of November 26, 2017, an officer with the Lancaster Police Department conducted a traffic stop of a vehicle driven by co-defendant Cannon after observing her littering. Further investigation during the traffic stop revealed the following inside the vehicle: a FNH, model M249, 5.56mm machinegun, two (2) Colt, model M-16, 5.56mm machineguns, two (2) Beretta, model M9, 9mm pistols, a Colt, model M203, 40mm grenade launcher (“destructive device”), night vision goggles, and various military items stolen from the Lancaster National Guard Armory. Officers also recovered various items stolen from WalMart, including an employee identification badge and employee vest.
After the traffic stop, Polston and a co-defendant Ritter were located at the a local motel and found in possession of a small quantity of methamphetamine. A review of surveillance video from the motel showed Polston and his co-defendants Ritter and Cannon bringing the bags containing the firearms back and forth between the vehicle and the motel room. Additionally, searches of Ritter and Cannon’s cell phones revealed various photos and text messages relating to the stolen firearms. One of the photos appeared to be a “selfie” of Ritter sitting in the front seat of a vehicle with Polston sitting in the rear seat beside a M-16 machinegun. During the investigation, both Ritter and Cannon advised agents that Polston took them to an area near a residential complex where they retrieved bags containing the stolen firearms from a ditch.
Polston and his co-defendants Ritter and Cannon are all prohibited under federal law from possessing firearms and ammunition based upon their prior state convictions. Polston has prior convictions for breaking into autos (2 counts), malicious injury to person property over $2,000, but less than $10,000, assault and battery 1st degree, burglary 2nd degree (2 counts), receiving stolen goods over $2,000 but less than $10,000, and property offense 3rd or subsequent. Polston was released from the South Carolina Department of Corrections in February 2017.
Polston, like co-defendants Ritter and Cannon, faces a maximum of 10 years imprisonment, a fine of $250,000, and 3 years of supervised release on each of the firearm charges.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF), the Lancaster Police Department, and the South Carolina State Law Enforcement Division (SLED) and was prosecuted as part of Project CeaseFire, a joint federal, state and local initiative focused upon aggressively prosecuting firearm cases in an effort to reduce violent crime and make our neighborhoods safer. Project CeaseFire is South Carolina’s implementation of Project Safe Neighborhoods (PSN), a crime reduction strategy originally launched in 2001. Attorney General Jeff Sessions has made turning the tide of rising violent crime in America a top priority and reinstituted PSN nationwide. Assistant United States Attorney Stacey D. Haynes of the Columbia office handled the case.
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Kentucky Truck Driver, Prior Sex Offender, Indicted for Child PornographyRead the Press Release
SPRINGFIELD, Mo. – A Kentucky truck driver and prior sex offender was indicted by a federal grand jury today for transporting child pornography.
Gregory Marshall, 57, of Paducah, Ky., was charged by a federal grand jury in Springfield, Mo., with one count of transporting child pornography. Today’s indictment replaces a federal criminal complaint that was filed against Marshall on June 21, 2018. Marshall was convicted of sodomy involving a 14-year-old victim in Kentucky in 1995.
According to an affidavit filed in support of the original criminal complaint, a Missouri State Highway Patrol trooper stopped the tractor trailer Marshall was driving on U.S. Highway 60 in Wright County, Mo., on June 17, 2018. While searching the sleeper berth of the tractor, the affidavit says, the trooper discovered a laptop computer and an external hard drive that contained child pornography.
The charge contained in this indictment is simply an accusation, and not evidence of guilt. Evidence supporting the charge must be presented to a federal trial jury, whose duty is to determine guilt or innocence.
This case is being prosecuted by Assistant U.S. Attorney James J. Kelleher. It was investigated by the Missouri State Highway Patrol and Immigration and Customs Enforcement's (ICE) Homeland Security Investigations (HSI).
Project Safe Childhood
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc . For more information about Internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
KC Man Pleads Guilty to Kidnapping, TortureRead the Press Release
KANSAS CITY, Mo. – A Kansas City, Mo., man pleaded guilty in federal court today to his role in a conspiracy to kidnap and torture an Independence, Mo., man.
Randal G. Holmes, also known as “Peckerwood” or “Wood,” 53, pleaded guilty before U.S. Chief District Judge Greg Kays to one count of conspiracy to commit kidnapping, one count of kidnapping, one count of conspiracy to distribute 50 kilograms or more of marijuana and one count of brandishing firearms in furtherance of a drug-trafficking crime.
According to today’s plea agreement, Holmes’s co-conspirators purchased at least 120 pounds of marijuana from a source in Colorado, for which they made more than a dozen trips between Colorado and Kansas City. Holmes received $100 for every pound of marijuana brought back to Kansas City because of his prior connection to the source in Colorado. On Sept. 12, 2016, Holmes and other conspirators agreed to kidnap the victim, a co-conspirator in the drug-trafficking conspiracy identified in court documents as “C.H.,” because he stole money that was intended for the purchase of marijuana.
Holmes arrived at the Independence, Mo., residence of the victim’s father, identified as “W.H.,” on Sept. 12, 2016. Conspirators told W.H. to call C.H. and tell him he was being held at gunpoint and that C.H. needed to come to the residence right away. When C.H. arrived at the residence, Holmes pointed a firearm at him and told him to get into his vehicle. While in the vehicle, a co-conspirator struck, punched and choked C.H. as Holmes drove away.
They took C.H. to Holmes’s residence, where they were met by a third co-conspirator. C.H. was taken to the basement, where he was assaulted with fists, a hammer and tin snips/clippers. During the assault, Holmes repeatedly demanded that C.H. disclose where the duffle bag containing the money was located. Holmes left to retrieve the duffle bag while a co-conspirator held C.H. at gunpoint.
Holmes later drove C.H. to a rural residence near Edwards, Mo. As Holmes drove them to the residence, a co-conspirator continued to strike C.H. with fists and the butt of a firearm. When they arrived at the residence, C.H. was told to call his father and to tell him that he was okay, that he had taken a beating, that he would be home in a couple of days and that he deserved what had happened.
Law enforcement officers were able to trace the telephone call and on Sept. 13, 2016, officers were able to locate C.H. and arrest Holmes. Officers observed that C.H. had suffered multiple, visible injuries to his face, head, hands and feet. Officers noted that C.H. had trouble walking, that his face was black and blue, as well as swollen with traces of dried blood. Upon receiving medical treatment, it was determined that C.H. had also suffered a fracture in his left hand.
Officers found a Jimenez Arms 9mm pistol in Holmes’s vehicle and a Hi-Point 9mm pistol in the residence where C.H. had been held. Officers also found an FN Herstal .40-caliber pistol, a Remington .270-caliber rifle, an RG .22-caliber revolver, a Ruger .22-caliber rifle, a Mossberg .20-gauge shotgun, 36.4 grams of marijuana and drug paraphernalia in a co-conspirator’s residence.
Under federal statutes, Holmes is subject to a sentence of up to life in federal prison without parole. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes, as the sentencing of the defendant will be determined by the court based on the advisory sentencing guidelines and other statutory factors. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
This case is being prosecuted by Assistant U.S. Attorney Brad K. Kavanaugh. It was investigated by the Independence, Mo., Police Department, the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Benton County, Mo., Sheriff’s Department, the Missouri State Highway Patrol and the FBI.
Johnstown Residents Charged with Violating Federal Drug and Gun LawsRead the Press Release
JOHNSTOWN, Pa. – Two Cambria County residents were indicted by a federal grand jury in Johnstown on charges of violating federal narcotics and firearms laws, United States Attorney Scott W. Brady announced today.
The indictment named Alissa N. Mosley, 29, and Justin R. Guillarmod, 35, of Johnstown, Pa.
According to the indictment presented to the court, on July 27, 2017, Mosley and Guillarmod did possess with intent to distribute more than 100 grams of heroin. Also, on July 27, 2017, Guillarmod was found in possession of a Taurus Magnum .357 caliber revolver. On Dec. 2, 2014, Guillarmod was convicted in the Court of Common Pleas of Cambria County, PA, of drug trafficking, which is a crime punishable by imprisonment for a term exceeding one year. Federal law prohibits persons who have been convicted of a crime punishable by a term of imprisonment exceeding one year from possessing firearms.
The law provides for a maximum sentence for Mosley of 40 years in prison and a fine of $5,000,000 or both. The law provides for a maximum sentence for Guillarmod of 50 years in prison and a fine of $5,250,000 or both Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offense and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Stephanie L. Haines is prosecuting this case on behalf of the government.
The Laurel Highlands Resident Agency of the Federal Bureau of Investigation, and the Cambria County Drug Task Force, conducted the investigation that led to the prosecution of Mosley and Guillarmod.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Henderson Man Sentenced for Felon in Possession ChargeRead the Press Release
NEW BERN – The United States Attorney for the Eastern District of North Carolina, Robert J. Higdon, Jr., announced that today, AQUILLA BROWN, 27, of Henderson, North Carolina, was sentenced by Judge Louise W. Flanagan to 105 months imprisonment followed by 3 years of supervised release.
BROWN was named in an Indictment on June 27, 2017 charging him with Possession of a Firearm and Ammunition by a Felon. On February 15, 2018, BROWN pled guilty to the charge.
On March 15, 2017, the Henderson Police Department (HPD) initiated a traffic stop on a vehicle for traffic infractions. BROWN was a passenger in that vehicle. After obtaining identification from the driver and BROWN, the HPD became aware of the frequent alleged drug-trafficking activities by BROWN. Based on this information, a K-9 unit responded to the scene and made a positive alert to the presence of narcotics on BROWN’S side of the vehicle. BROWN stated that he smoked marijuana prior to entering the vehicle. As both occupants exited the vehicle, law enforcement observed the driver attempt to hide an object in her boot which was discovered to be a firearm. BROWN acknowledged ownership of the firearm, a .38 caliber revolver, which was loaded at the time.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. Attorney General Jeff Sessions reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.
The investigation of this case was conducted by the Henderson Police Department and the Bureau of Alcohol, Tobacco, Firearms & Explosives (ATF). Assistant United States Attorney S. Katherine Burnette handled the prosecution of this case for the government.
Haverstraw Man Sentenced in Manhattan Federal Court to 10 Years for Distributing Narcotics Causing December 2016 Overdose of Queens VictimRead the Press Release
Geoffrey S. Berman, the United States Attorney for the Southern District of New York, announced that ROBERT DIAZ, a/k/a “Facey,” a/k/a “Face,” was sentenced today by U.S. District Judge Alison J. Nathan to 120 months in prison for distributing heroin and other narcotics, including heroin that caused serious bodily injury to a victim who overdosed from using the heroin and was revived only after the administration of naloxone. DIAZ pled guilty on February 14, 2018, before U.S. Magistrate Judge Debra Freeman.
Manhattan U.S. Attorney Geoffrey S. Berman said: “For years, Robert Diaz peddled heroin and other drugs in and around Rockland County, contributing to the opioid crisis plaguing our community today and causing at least one victim to overdose. Today’s sentence should serve as a message to those seeking to profit off of this tragic epidemic.”
According to the Indictment filed in Manhattan federal court, previous court filings, and statements made at public court proceedings:
DIAZ and eight co-defendants – Rene Sanchez, a/k/a “Renny,” Pablo Perez, a/k/a “Menor,” Christian Cardenas, a/k/a “Chris,” a/k/a “Spoonie,” David Almonte, a/k/a “Elli,” Ronald Bolanos, a/k/a “Ronny,” a/k/a “ET,” Rolando Paulino, a/k/a “Santana Paulino,” Theresa Keefe, a/k/a “Terry,” and Nicole Munderville, a/k/a “Nicki” – were charged with participating in a drug trafficking organization that distributed significant quantities of narcotics, including heroin, fentanyl, cocaine, and crack cocaine, in and around Rockland County, New York, and obtained those narcotics for resale from the Bronx, Brooklyn, and Queens, New York.
DIAZ sold retail quantities of drugs to users in Rockland County during the period from approximately 2012 to approximately May 2017. On or about December 15, 2016, DIAZ provided heroin to an individual (“Victim-1”) who overdosed after using the heroin. Medical personnel were required to administer naloxone to reverse the effects of the overdose, saving Victim-1’s life.
On multiple occasions during the course of the conspiracy, DIAZ indicated that he was well aware that the narcotics he and others were distributing contained fentanyl, were particularly dangerous, and had caused adverse reactions in multiple drug customers, including the overdose of Victim-1. DIAZ nevertheless continued obtaining and selling heroin, expressing on one occasion, subsequent to Victim-1’s overdose, that his customers were doing the “fentanyl dance” and that he had a “new connect” for “straight up fentanyl” that his customers “love[d].”
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In addition to his prison sentence, DIAZ, 50, was sentenced to four years of supervised release.
Pablo Perez, Ronald Bolanos, and Theresa Keefe previously pled guilty and were sentenced to 90 months, 80 months, and 40 months in prison, respectively. Rene Sanchez, Christian Cardenas, Rolando Paulino, and Nicole Munderville previously pled guilty and are awaiting sentencing.
Mr. Berman praised the investigative work of the Drug Enforcement Administration and the Rockland County Drug Task Force, and thanked the Rockland County District Attorney’s Office for their assistance in this investigation.
This matter is being handled by the Office’s Narcotics Unit. Assistant United States Attorneys Elizabeth Hanft, Jane Kim, and Jason Richman are in charge of the prosecution.
Hartshorne Man Sentenced to 60 Months for Methamphetamine DistributionRead the Press Release
MUSKOGEE, OKLAHOMA – The United States Attorney’s Office for the Eastern District of Oklahoma announced that Darrell Smith, age 56, of Hartshorne, Oklahoma was sentenced to 60 months imprisonment and 4 years supervised release for Possession With Intent To Distribute Methamphetamine, in violation of Title 21, United States Code, Sections 841(a)(1) and 841(b)(1)(B). The charge arose from an investigation by the Hartshorne Police Department, the Pittsburg County Sheriff’s Office, and the District 18 Drug Task Force.
The Indictment alleged that on or about November 16, 2017, within the Eastern District of Oklahoma, the Defendant knowingly and intentionally possessed with intent to distribute 50 grams or more of a mixture or substance containing a detectable amount of methamphetamine, a Schedule II controlled substance.
United States Attorney Brian J. Kuester said, “Local law enforcement agencies and communities deal daily with the tragedy caused by methamphetamine, while dealers reap the financial benefits. The Hartshorne Police Department, Pittsburg County Sheriff’s Office, and the District 18 DA Drug Task Force worked together to professionally and thoroughly investigate the defendant’s unlawful activities. As a result, the dedicated members of this office were able to successfully prosecute him and he is being held accountable.”
The Honorable Ronald A. White, U.S. District Judge in the United States District Court for the Eastern District of Oklahoma, in Muskogee, presided over the hearing. Assistant United States Attorney Christopher Wilson represented the United States. The defendant will remain in custody pending transportation to the designated federal facility at which the non-paroleable sentence will be served.
Hartford Man Admits to Selling Heroin to Farmington and Avon Overdose VictimsRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, and Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration for New England, announced that JOSHUA HOLLOWAY, 25, of Hartford, waived his right to be indicted and pleaded guilty today in Hartford federal court to two counts of possession with intent to distribute, and distribution of, heroin.
This matter stems from an ongoing statewide initiative targeting narcotics dealers who distribute heroin, fentanyl or opioids that cause death or serious injury to users.
According to court documents and statements made in court, on February 16, 2017, Farmington Police and emergency medical personnel responded to a residence in Farmington where they encountered an unresponsive 24-year-old male. Life saving measures were attempted, but the male was pronounced deceased at the scene. A family member informed investigators that the victim had an opiate addiction. Officers did not locate evidence related to drug use, but seized the victim’s cellphone.
The Office of the Chief Medical Examiner for the State of Connecticut concluded that the victim’s death was caused by “acute heroin and fentanyl toxicities, alcohol and sertraline use.”
Witness interviews and analysis of the seized cellphone revealed that HOLLOWAY supplied heroin/fentanyl to the victim on February 15, 2017, in Hartford.
The investigation revealed that HOLLOWAY also sold heroin/fentanyl to a man in Avon on February 11, 2017. The purchaser ingested some of the heroin HOLLOWAY sold him and died shortly thereafter of an acute intoxication due to the combined effects of fentanyl, alpazolam and etizolam.
HOLLOWAY was arrested on a federal criminal complaint on January 23, 2018.
HOLLOWAY is scheduled to be sentenced by U.S. District Judge Vanessa L. Bryant on October 11, 2018. The offense carries a maximum term of imprisonment of 20 years, on each count. HOLLOWAY is released on a $50,000 bond pending sentencing.
This matter has been investigated by the Drug Enforcement Administration’s New Haven Task Force and the Farmington and Avon Police Departments. The case is being prosecuted by Assistant U.S. Attorney Ray Miller.
Guatemalan National Sentenced for Illegal ReentryRead the Press Release
BOSTON - A Guatemalan national was sentenced today in federal court in Boston for illegally reentering the United States after being deported.
Jose Antonio Alarcon-Mazariegos, 44, a Guatemalan national formerly residing in Cambridge, was sentenced by U.S. Senior District Court Judge Douglas P. Woodlock to 15 months in prison and three years of supervised release. Upon his release, Alarcon-Mazariegos will be subject to deportation proceedings. On April 3, 2018, Alarcon-Mazariegos pleaded guilty to one count of illegal reentry of a deported alien.
According to court documents, law enforcement officers in Cambridge encountered Alarcon-Mazariegos on Oct. 7, 2017, and determined him to be illegally present in the United States. Alarcon-Mazariegos was previously deported on April 2, 2004, Aug. 5, 2004, and May 28, 2005.
United States Attorney Andrew E. Lelling and Rebecca Adducci, Interim Field Office Director, Boston, U.S. Immigration and Customs Enforcement’s Enforcement and Removal Operations, made the announcement today. Assistant U.S. Attorney Nicholas Soivilien of Lelling’s Major Crimes Unit prosecuted the case.
Green Bay Woman Indicted for Income Tax SchemeRead the Press Release
Matthew D. Krueger, the United States Attorney for the Eastern District of Wisconsin, announced that Alma Ramirez (age 40) of Green Bay appeared in federal court in Green Bay to answer charges brought against her in a 29-count indictment. Specifically, Ms. Ramirez is charged with 5 counts of wire fraud, 5 counts of aggravated identity theft, and 19 counts of assisting in the filing of false federal income tax returns.
According to the indictment, during the period from March 2013 through May 2016, Ms. Ramirez, and others working with her and at her direction, prepared and filed more than 60 false federal income tax returns in the names of various individuals fraudulently seeking more than $300,000 in federal income tax refunds. These tax returns included false information concerning the taxpayer’s employment, wages, and the amount of federal income taxes that had been withheld from those wages, dependents, and the taxpayer’s eligibility for various tax credits.
The indictment also alleges that Ramirez committed identity theft by using without lawful authority the names and social security numbers of individuals to commit her fraud scheme. If convicted of the wire fraud offenses Ms. Ramirez faces up to 20 years in prison, a fine of up to $250,000, or both. If convicted of the aggravated identity theft charges, Ms. Ramirez will face a mandatory 2 year-term of imprisonment consecutive to any other sentence she receives.
This matter was investigated by the IRS Criminal Investigation and is being prosecuted by Assistant United States Attorney Matthew L. Jacobs.
The public is cautioned that an indictment is merely the formal method of issuing charges against an individual. A person is presumed innocent until such time, if ever, as the government establishes his or her guilt beyond a reasonable doubt.
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Fulton Man Pleads Guilty to Prostitution BusinessRead the Press Release
JEFFERSON CITY, Mo. – A Fulton, Mo., man pleaded guilty in federal court today to transporting an individual across state lines as part of his prostitution business.
Sanchez Monroe Walker, 31, pleaded guilty before U.S. Magistrate Judge Willie E. Epps, Jr., to transporting an individual across state lines to engage in prostitution.
In early 2015, Walker was working as the “manager” for “CR,” then a prostitute. Walker and CR made money by traveling about Missouri and temporarily serving customers from a hotel at each location for a day or two before moving on. Potential customers could find their services on advertisements posted to “Backpage,” an internet classifieds site. In January or February of 2015, Walker met a female victim, “FV,” at a party in Columbia, Mo., and soon thereafter, FV joined Walker and CR in the business of prostitution.
On April 9, 2015, the trio traveled from Jefferson City, Mo., to St. Louis, Mo., and posted two ads on Backpage. After checking into a hotel, they received a request for an “outcall” in the vicinity of Fairview Heights, Ill. (An “incall” is when a client comes to the hotel of a prostitute, and an “outcall” is when a prostitute travels to a client.) Walker drove CR and FV across the Mississippi River to a hotel near Fairview Heights (about seven miles into Illinois). Walker waited in the car for about an hour while CR and FV visited a client inside the client’s hotel room. Once the “outcall” was complete, Walker drove both CR and FV back to the hotel in Missouri. At the conclusion of the two-day trip, they returned to Columbia, which was their base of operations.
Under federal statutes, Walker is subject to a sentence of up to 10 years in federal prison without parole. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes, as the sentencing of the defendant will be determined by the court based on the advisory sentencing guidelines and other statutory factors. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
This case is being prosecuted by Assistant U.S. Attorney Lawrence E. Miller. It was investigated by the FBI.
Former federal prison guard sentenced to prison for accepting bribesRead the Press Release
ATLANTA – Melvin Thomas, a former correctional officer at the U.S Penitentiary in Atlanta (“USP Atlanta”) was sentenced to federal prison for accepting bribe payments in exchange for smuggling contraband into the prison.
“Thomas reneged on his oath of office by violating the laws he pledged to uphold,” said U.S. Attorney Byung J. “BJay” Pak. “This type of conduct will not be tolerated, and the defendant will now be held accountable for his betrayal of the public trust, as well as his disloyalty to his fellow correctional officers.”
“Smuggling contraband into federal prisons compromises the safety of correctional officers and inmates. For that reason, the OIG takes very seriously investigations of this nature,” said Robert A. Bourbon, Special Agent in Charge of the Department of Justice Office of the Inspector General’s Miami Field Division.
According to U.S. Attorney Pak, the charges and other information presented in court: From approximately July 2009 to April 2017, Thomas was a correctional officer at USP Atlanta, a medium-security federal prison for male inmates that is operated by the Federal Bureau of Prisons. USP Atlanta prohibits inmates from using or possessing tobacco products. As a correctional officer, Thomas accepted several bribe payments from an inmate in exchange for smuggling tobacco into the prison. In total, the inmate paid Thomas approximately $3,500 for the contraband that he smuggled into the prison.
Melvin Thomas, 40, of Rocky Mount, North Carolina, was sentenced by U.S. District Judge Timothy C. Batten, Sr. to one year, one day in prison to be followed by two years of supervised release. He was also ordered to pay a $3,500 fine. Thomas pleaded guilty to bribery of a public official on April 10, 2018.
This case was investigated by the Department of Justice Office of Inspector General.
Assistant U.S. Attorney Ryan Huschka prosecuted the case.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Former QVC Director Sentenced to 30 Months in Federal Prison for Million-Dollar Fraud SchemeRead the Press Release
PHILADELPHIA – First Assistant U.S. Attorney Jennifer Arbittier Williams announced that James D. Falkowski, 42, of Buffalo, New York, was sentenced today to 30 months in federal prison.
Falkowski operated a multi-faceted fraud scheme while working as a director at QVC, Inc., an American cable, satellite, and broadcast television network and multinational corporation specializing in televised and internet home shopping based in West Chester, Pennsylvania. Falkowski previously pled guilty on March 20, 2018 to 11 counts of wire fraud and one count of conspiracy. At the sentencing hearing today, United States District Judge Michael M. Baylson also ordered that the defendant pay $832,138.55 in restitution.
“This defendant used his position, his access, and his employer to fund a lifestyle that would have otherwise been beyond his reach,” said First Assistant U.S. Attorney Williams. “Today’s sentence should serve as a deterrent to anyone who believes he can steal from his employer and successfully cover his tracks.”
Falkowski – a director from 2008 until his termination in 2013 – was responsible for enhancing QVC’s brand and reputation in the entertainment and fashion industries. Falkowski used his position at QVC to embezzle and fraudulently obtain from QVC over $1,000,000 worth of money, goods, and services, all without QVC’s knowledge or approval. These luxuries included hundreds of thousands of dollars of first-class travel, hotel and resort stays, spa treatments, dining at upscale restaurants, luxury clothing and accessories, and personal medical treatments, such as Botox treatment.
To hide his actions from QVC, Falkowski created fake invoices purporting to be from The Four Seasons Hotels, luxury car service companies, and other vendors in order to deceive QVC into paying for Falkowski’s fraud. Falkowski also enlisted the assistance of two QVC vendors to help him defraud QVC. Those two vendors – Los Angeles-based public relations agency “The Steinberg Group,” doing business as “dOMAIN,” and a New York City-based production management company – agreed to submit fraudulently altered invoices and bills to QVC in order to hide Falkowski’s embezzlement.
Additionally, Falkowski caused QVC to pay over $200,000 in private luxury chauffeur rides for himself and his associates, approximately $70,000 in payments to his personal creditors, as well as $59,500 in gift cards from American Express, Tom Ford, and Barney’s New York that Falkowski claimed were for distribution to talent, but which he instead used for himself.
The case was investigated by the Federal Bureau of Investigation, and is being prosecuted by Assistant U.S. Attorney Christopher J. Mannion.
Former Pharmacy Technician Indicted for Stealing Fentanyl, MorphineRead the Press Release
SPRINGFIELD, Mo. – A former pharmacy technician at Mercy Medical Center in Springfield, Mo., was indicted by a federal grand jury today for stealing fentanyl and morphine from the pharmacy and replacing the drugs with saline solution.
Marc F. Musil, 36, of Springfield, Mo., was charged with two counts of tampering with a consumer product in an indictment returned by a federal grand jury in Springfield.
Today’s indictment alleges that Musil removed fentanyl from syringes on July 12, 2017, and replaced the fentanyl with saline solution. The indictment also alleges that Musil removed morphine from syringes and replaced the morphine with saline solution.
The charges contained in this indictment are simply accusations, and not evidence of guilt. Evidence supporting the charges must be presented to a federal trial jury, whose duty is to determine guilt or innocence.
This case is being prosecuted by Assistant U.S. Attorney Patrick Carney. It was investigated by the U.S. Food and Drug Administration – Office of Criminal Investigations.
Former Nashville Metro Police Sergeant Pleads Guilty to Federal Theft and Money Laundering ChargesRead the Press Release
Former Nashville Metropolitan Police Department (MNPD) Sergeant James Dunaway pleaded guilty today in U.S. District Court to theft from an entity that receives federal program funds and money laundering, announced U.S. Attorney Don Cochran of the Middle District of Tennessee.
Dunaway, 43, of Old Hickory, Tennessee, was indicted by a federal grand jury on May 2, 2018.
According to the indictment, during the period of November 18, 2015 through November 16, 2017, Dunaway was a supervisor in the MNPD Specialized Investigation Division-Narcotics Unit and was responsible, among other things, for monitoring and executing search warrants.
Dunaway admitted during the plea hearing that during the execution of search warrants on five separate occasions, he stole a portion of the cash discovered and seized at each location, including:
The November 18, 2015 search of a residence off Pleasant Hill Road in Nashville, where more than $100,000 was seized;
The April 10, 2017 search of a residence off Robertson Road in Nashville, where more than $500,000 was seized;
The April 26, 2017 search of a residence off Pleasant Hill Road in Nashville, where more than $182,000 was seized;
The September 13, 2017 search of a residence off Spencer Enclave Way in Nashville, where more than $70,000 was seized; and
The November 15, 2017 search of a hotel room in which the MNPD Office of Professional Accountability had placed marijuana, $28,000 cash and video cameras for the purpose of conducting an integrity check. Video cameras captured Dunaway placing money in his pockets during the search and the indictment alleges that Dunaway stole $5,860.00 during the execution of this search warrant.
Dunaway also admitted that between April 11, 2017 and May 8, 2017, he made approximately $40,540.00 in cash deposits and on May 1, 2017, he obtained a cashier’s check with $42,500.00 cash, which he stole during the searches. Dunaway then used the cashier’s check to purchase a 2014 Toyota Sequoia.
Dunaway admitted that during the course of this scheme, he embezzled, stole and converted approximately $109,910.00 to his own use.
The plea agreement calls for the immediate forfeiture of the 2014 Toyota Sequoia and total restitution in the amount of $109,910.00.
Dunaway faces up to 10 years in prison and a $250,000 fine when he is sentenced on October 24, 2018.
This case was investigated by the FBI and the Metropolitan Nashville Police Department. U.S. Attorney Don Cochran and Assistant U.S. Attorney Ryan Raybould are prosecuting the case.
Former Erie Resident Charged with Violating Federal Laws Regaarding the Sexual Exploitation of ChildrenRead the Press Release
ERIE, Pa. - A former resident of Erie, Pennsylvania, has been indicted by a federal grand jury in Erie on charges of violating federal laws relating to the sexual exploitation of children, United States Attorney Scott W. Brady announced today.
The four-count indictment named Mark Joseph Bretz, 27, as the sole defendant.
According to the indictment presented to the court, Bretz received computer images depicting minors engaging in sexually explicit conduct and used interstate communications to extort several victims into providing Bretz sexually explicit or suggestive material.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
The law provides for a maximum total sentence of 26 years in prison, a fine of $1,000,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Christian A. Trabold is prosecuting this case on behalf of the government.
The Federal Bureau of Investigation and the Erie County Detectives Bureau conducted the investigation leading to the indictment in this case.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Former Des Moines Pharmacy Technician Sentenced for Illegally Tampering with FentanylRead the Press Release
DES MOINES, Iowa – On July 10, 2018, Victor Van Cleave, age 30, was sentenced by United States District Court Chief Judge John A. Jarvey to 30 months in prison for tampering with consumer products, announced United States Attorney Marc Krickbaum. Van Cleave was ordered to serve three years of supervised release to follow his prison term.
According to the plea agreement entered on February 26, 2018, between September 7, 2016 and October 2, 2016, Van Cleave was employed as a pharmacy technician at Iowa Methodist Hospital in Des Moines. During that time, Van Cleave had access to fentanyl—a Schedule II controlled substance—that was stored at the hospital for administration to hospital patients. Van Cleave tampered with the hospital’s fentanyl and fentanyl vials during the course of his employment. Specifically, Van Cleave inserted a syringe into multiple fentanyl vials, removed the fentanyl with that syringe, and injected the fentanyl into himself. Using a different syringe, Van Cleave then replaced the fentanyl he had removed from the vials with a different fluid. Van Cleave then placed the tampered vials back into storage at the hospital.
This investigation was conducted by the United States Drug Enforcement Administration and the United States Food and Drug Administration, Office of Criminal Investigations. The case was prosecuted by the United States Attorney’s Office for the Southern District of Iowa.
Florida Media Company Pleads Guilty to Bribing Soccer Officials | Spanish Parent Company Enters into Non-Prosecution AgreementRead the Press Release
Earlier today, in federal court in Brooklyn, US Imagina, LLC (“Imagina US”) pleaded guilty to a criminal information (the “Information”) charging it with two counts of wire fraud conspiracy in connection with the participation of two of its senior executives in schemes to pay more than $6.5 million in bribes to high-ranking officials of the Caribbean Football Union (“CFU”) and four Central American national soccer federations to secure media and marketing rights to those federations’ World Cup qualifier matches. Imagina US, which was previously known as MediaWorld, is a privately held Florida corporation engaged in the businesses of media content creation and audiovisual production, and also has a unit devoted to buying and selling the media and marketing rights to sports events, principally soccer matches. Imagina US is majority-owned by Imagina Media Audiovisual SL (“Imagina Media”), a privately held company based in Barcelona, Spain that is engaged worldwide in the businesses of media content creation, audiovisual production and the purchase and sale of media and marketing rights to sporting events. Also today, Imagina Media, which is also known as MediaPro, entered into a non-prosecution agreement with the government in connection with one its three co-Chief Executive Officers’ (“co-CEOs”) participation in this criminal conduct.
Pursuant to a plea agreement with the government, Imagina US agreed to forfeit $5,279,000 in criminal proceeds from these schemes. Imagina US was also sentenced to pay $3 million in restitution to the CFU, $1.7 million in restitution to the Honduran soccer federation (“FENAFUTH”), $790,000 in restitution to the Guatemalan soccer federation (“FENAFUTG”), $600,000 in restitution to the Costa Rican soccer federation (“FEDEFUT”), and $565,000 in restitution to the Salvadoran soccer federation (“FESFUT”). Imagina US was further sentenced to pay a fine of $12,883,320, which Imagina Media agreed to pay on behalf of Imagina US pursuant to the non-prosecution agreement. Today’s guilty plea and sentencing proceedings took place before United States District Judge Pamela K. Chen.
Richard P. Donoghue, United States Attorney for the Eastern District of New York, William F. Sweeney, Jr., Assistant Director-in-Charge, Federal Bureau of Investigation, New York Field Office (FBI), and R. Damon Rowe, Special Agent-in-Charge, Internal Revenue Service Criminal Investigation, Los Angeles Field Office (IRS CI), announced the guilty plea and non-prosecution agreement.
“Corporations that operate in the United States have a responsibility to ensure that their officers do not engage in corrupt conduct and to take steps to root out corrupt conduct as soon as they are put on notice of it,” stated U.S. Attorney Donoghue. “Those that fail to do so will face significant consequences, while those that effectively remediate will receive positive consideration.”
“Using bribery as part of your business plan is a well-known red flag, and this behavior has no place as part of any legitimate business strategy,” stated FBI Assistant Director-in-Charge Sweeney. “US Imagina, LLC is paying the penalty for their activity which only contributes to the erosion of trust between businesses and their clients. We will continue to bring dishonest companies to justice, and hope this plea serves as an example to other corporations who think they can operate using similar moves.”
“Today’s guilty plea is a clear demonstration of IRS Criminal Investigation’s continued commitment to dismantling the corruption that has plagued the world of international soccer,” stated IRS-CI Special Agent-in-Charge Rowe. “Working with our partners at the Department of Justice, we will continue to investigate corporate entities that profit from crooked practices and use the U.S. financial system in the process.”
The Criminal Schemes
According to facts presented during court proceedings in this case and in related cases, the Imagina US and Imagina Media senior executives bribed soccer officials in the Confederation of North, Central America and Caribbean Association Football (“CONCACAF”) region in exchange for the media and marketing rights to World Cup qualifier matches. The executives often used false invoices and contracts to disguise the true nature of the bribe payments and, for the same reason, they often transmitted the bribes through bank accounts held by intermediaries in third countries.
With respect to the bribery scheme related to the CFU’s World Cup qualifier rights, one of Imagina Media’s three co-CEOs (identified as Co-Conspirator #1 in the Information) agreed that Imagina Media would be responsible for paying half of a $3 million bribe that Imagina US’s then-partner, the Miami-based sports marketing company Traffic USA, had previously agreed to pay Jeffrey Webb, a senior official of the CFU and the president of CONCACAF. The $3 million bribe was in exchange for a contract awarding Traffic USA the media and marketing rights to CFU members’ home World Cup qualifier matches for the 2018 and 2022 qualification cycles. Co-Conspirator #1 and Imagina US’s CEO, Roger Huguet, then made a $500,000 payment towards Imagina US’s $1.5 million share of the bribe by having an intermediary send a false invoice from a Panamanian shell company to Imagina Media’s Portuguese subsidiary, Medialuso. Co-Conspirator #1 then directed senior executives at Imagina Media and Medialuso, both of whom reported to Co-Conspirator #1, to make the payment.
Many of the executives and soccer officials who paid or received the bribes described in the Information, and their intermediaries, have already pleaded guilty to participating in these bribery schemes, including Roger Huguet, Fabio Tordin, Miguel Trujillo, Jeffrey Webb, Costas Takkas, Alfredo Hawit, Rafael Callejas, Brayan Jiménez, Héctor Trujillo and Eduardo Li. Reynaldo Vasquez of the Salvadoran soccer federation has been indicted for receiving bribes as part of this scheme but has not yet appeared before the Court. Traffic USA has also pleaded guilty.
Imagina Media’s Initial Failure to Conduct an Internal Investigation
On May 27, 2015, an indictment in the Eastern District of New York captioned United States v. Jeffrey Webb et al., 15-CR-252 (PKC) (the “First Indictment”) was unsealed. The First Indictment charged Webb and others with participating in the CFU World Cup qualifiers scheme and also alleged that additional, anonymized co-conspirators were involved in the scheme. According to the non-prosecution agreement, within days after the First Indictment was unsealed, Imagina Media’s senior management knew that these additional anonymized co-conspirators were Co-Conspirator #1 and Huguet, and that Imagina Media had been anonymously identified in the First Indictment as “Sports Marketing Company C.” Co-Conspirator #1 denied to other members of Imagina Media’s senior management that he had been involved in a scheme to pay bribes to Webb or anyone else.
For months after the First Indictment was unsealed, Imagina Media’s management did not conduct an internal investigation or make any serious inquiry to determine whether any of the allegations in it relating to Co-Conspirator #1 or Huguet were true. In July 2015, Imagina Media issued a press release, in English and Spanish, in which it denied that there was any evidence that it was the “Sports Marketing Company C” named in the First Indictment, even though it knew that it was in fact Sports Marketing Company C. In the same press release, Imagina Media denied that it paid any bribes.
In December 2015, promptly after a superseding indictment and the guilty pleas of Huguet and Imagina US executive Fabio Tordin were unsealed, Imagina Media suspended and then terminated Co-Conspirator #1, Huguet, and Tordin, and retained counsel to conduct an internal investigation.
The Non-Prosecution Agreement
Pursuant to the non-prosecution agreement it entered today, Imagina Media has accepted responsibility for its criminal conduct and that of its subsidiary Imagina US, and has also accepted responsibility for its failure to conduct a prompt internal investigation upon learning of the allegations against its agents in the First Indictment. Imagina Media has accepted responsibility by, among other things: (a) causing Imagina US to plead guilty to the two counts in the Information and honor all of the terms of Imagina US’s plea agreement with the government, and (b) agreeing to pay the criminal penalty of $12,883,320 imposed on Imagina US as part of its sentence. In consideration of this acceptance of responsibility, Imagina Media’s remedial actions to date, including the termination of Co-Conspirator #1, Roger Huguet and Fabio Tordin and the hiring of a new CEO, Chief Financial Officer and General Counsel, among others, at Imagina US, and its commitment to, among other things: (a) accept and acknowledge responsibility for its conduct; (b) continue its cooperation; (c) implement enhanced internal controls and a rigorous corporate compliance program that includes policies and procedures at Imagina US, Imagina Media and Imagina Media’s other subsidiaries and affiliates designed to detect and deter violations of all applicable federal, state and foreign anti-corruption laws, the government entered a non-prosecution agreement with Imagina Media and agreed to a 10 percent reduction from the low end of the applicable Sentencing Guidelines fine range. If Imagina Media violates the non-prosecution agreement, it is subject to full criminal prosecution.
The guilty plea and non-prosecution agreement announced today are part of an investigation into corruption in international soccer led by the U.S. Attorney’s Office for the Eastern District of New York, the FBI New York Field Office, and the IRS CI Los Angeles Field Office. The prosecutors in Brooklyn are receiving considerable assistance from attorneys in various parts of the Justice Department’s Criminal Division in Washington, D.C., including the Office of International Affairs, the Organized Crime and Gang Section, the Money Laundering and Asset Recovery Section, and the Fraud Section, as well as from INTERPOL Washington.
The government’s case is being handled by the Office’s FIFA Task Force and the Business and Securities Fraud Section. Assistant United States Attorneys Paul Tuchmann, David Pitluck, Samuel P. Nitze and Brian D. Morris of the Eastern District of New York are in charge of the prosecution.
The government’s investigation is ongoing.
The Defendant: US IMAGINA, LLC
Place of Organization: FloridaE.D.N.Y. Docket No. 18-CR-311 (PKC)
Flight Attendant Pleads Guilty to Airport Security Violations and Unlicensed Money TransmittingRead the Press Release
Geoffrey S. Berman, the United States Attorney for the Southern District of New York, announced that SCOTT McKINNEY, a former flight attendant, pled guilty today to conspiring both to violate airport security requirements and to operate an unlicensed money transmitting business.
U.S. Attorney Geoffrey S. Berman said: “Scott McKinney abused his privileges as an airline employee, including misusing the known crewmember lane, to smuggle bulk cash through security and then across the country, in furtherance of an illegal money transmitting business. McKinney’s scheme is now grounded, and he faces the possibility of time in a federal prison.”
According to the Complaint, Indictment, and other documents filed in the case, as well as statements made during the plea proceedings:
Between July and November 2017, McKINNEY, a flight attendant based in California, conspired with others to operate an unlicensed money transmitting business and to violate airport security requirements. On several occasions, McKINNEY flew from California to New York to pick up packages containing $50,000 or more in cash at JFK Airport or other locations in New York City. McKINNEY then flew back to California with the cash. On some of these occasions, McKINNEY was on the ground at JFK Airport for two hours or less before flying back to California. At the time of these trips, McKINNEY did not have a money transmitting license in New York or California, and was not registered as a money transmitter with the U.S. Department of the Treasury’s Financial Crimes Enforcement Network. In a statement to agents of Immigration and Customs Enforcement’s Homeland Security Investigations (“HSI”) on or about September 15, 2017, McKINNEY admitted that he was aware of the licensing requirement and lacked such a license.
To facilitate his illegal money transmitting business, McKINNEY used the Known Crewmember (“KCM”) lane to bypass regular airport security screening. The KCM lane allows approved airline crewmembers to pass through security more quickly and, typically, without having their carry-on luggage screened. On several occasions, McKINNEY wore his crewmember uniform and used the KCM security lane – even though he was not working on those occasions – to smuggle bulk cash through airport security.
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McKINNEY, 49, of San Diego, California, pled guilty to one count of conspiring both to violate airport security requirements and to operate an unlicensed money transmitting business, which carries a maximum sentence of five years in prison. The statutory maximum sentence is prescribed by Congress and is provided here for informational purposes only, as any sentencing of the defendant will be determined by the judge. McKINNEY is scheduled to be sentenced by Judge Failla on October 31, 2018, at 3:30 p.m.
Mr. Berman praised HSI for its outstanding work on this case.
This matter is being handled by the Office’s Narcotics Unit. Assistant United States Attorney Michael D. Neff is in charge of the prosecution.
Five Aliens Indicted on Charges for Illegal Reentry, Unlawful and Illegal Alien in Possession of a Firearm, and Other Mutltiple Federal OffensesRead the Press Release
RALEIGH – Robert J. Higdon, Jr., United States Attorney for the Eastern District of North Carolina, announces that a federal grand jury in Raleigh has returned indictments charging ABEL CARLOS ANGELES-MORALES, age 31, of Mexico, BERNARDO VILLALBA-QUITERIO, age 29, of Mexico, and OSCAR OBDULIO LOPEZ-GARCIA, age 53, of Guatemala, with illegal reentry of a deported alien. Additionally, a federal grand jury in Raleigh has returned superseding indictments charging FAOZI SALEH ALAYAH, age 32, of Yemen, with unlawful and illegal alien in possession of a firearm and false statement in an immigration proceeding, and MIGUEL RAIMUNDO RODRIGUEZ, age 45, of Cuba, with misuse of a Social Security account number, false claim of United States citizenship with intent to engage unlawfully in employment and obtain a benefit or service in the United States, and aggravated identity theft.
If convicted of illegal reentry of a deported alien, ANGELES-MORALES, previously deported three times and found in Wake County, and VILLALBA-QUITERIO, previously deported twice and found in Tyrrell County, would face maximum penalties of two years’ imprisonment, a $250,000 fine, and a term of supervised release following any term of imprisonment.
If convicted of illegal reentry subsequent to a felony conviction (sale of a controlled substance), LOPEZ-GARCIA, previously deported four times and found in Lenoir County, would face a maximum imprisonment term of 10 years, a $250,000 fine, and a term of supervised release following any term of imprisonment.
If convicted of unlawful and illegal alien in possession of a firearm and false statement in an immigration proceeding, ALAYAH, found in Halifax County, would face a maximum imprisonment term of 15 years, a $250,000 fine, and a term of supervised release following any term of imprisonment.
If convicted of misuse of a Social Security account number, false claim of United States citizenship with intent to engage unlawfully in employment in the United States and obtain a benefit or service, and aggravated identity theft, RODRIGUEZ, found in Cumberland County, would face a maximum imprisonment term of 36 years, a $250,000 fine, and a term of supervised release following any term of imprisonment.
The charges and allegations contained in the indictments and superseding indictments are merely accusations. The defendants are presumed innocent unless and until proven guilty in a court of law.
The cases are being investigated by ICE’s Enforcement and Removal Operations, and Homeland Security Investigations.
Federal Inmate Charged with Illegally Possessing Buprenorphine in PrisonRead the Press Release
JOHNSTOWN, Pa. – An inmate at the Federal Correctional Institution in Loretto, Pa., was indicted by a federal grand jury in Johnstown on a charge of possession of a prohibited object in prison, United States Attorney Scott W. Brady announced today.
The indictment named Ramon Santiago-Sandoval, 27.
According to the indictment presented to the court, on October 23, 2017, Santiago-Sandoval possessed a quantity of Buprenorphine.
The law provides for a maximum sentence of 20 years in prison and a fine of $250,000 or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offense and the prior criminal history of the defendant.
Assistant United States Attorney Stephanie L. Haines is prosecuting this case on behalf of the government.
The Laurel Highlands Resident Agency of the Federal Bureau of Investigation, and the Federal Correctional Institution, Special Investigative Staff, conducted the investigation leading to the prosecution of Rodriguez-Melendez.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Federal Grand Jury IndictmentsRead the Press Release
United States Attorney Sherri A. Lydon stated today that a Federal Grand Jury in Greenville, South Carolina, returned Indictments against the following:
Greenville Resident Indicted on Fraud and Related Activity in Connection with Access Devices. Marius Zegrean , age 32, of Greenville, South Carolina, was charged in a 1-count indictment with Fraud and Related Activity in Connection with Access Devices, a violation of Title 18, United States Code, Section, 1029(a)(5). The maximum penalty Zegrean could receive is 15 years imprisonment and a maximum fine of $250,000. The case was investigated by agents of the United States Secret Service and is assigned to Assistant United States Attorney William J. Watkins, Jr., of the Greenville office for prosecution.
The United States Attorney stated that all charges in these indictments are merely accusations and that all defendants are presumed innocent until and unless proven guilty.
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Federal Felon Indicted for Illegally Possessing Crack Cocaine and PistolsRead the Press Release
JOHNSTOWN, Pa. – A resident of Johnstown, Pa., was indicted by a federal grand jury in Johnstown on charges of violating federal narcotics and firearms laws, United States Attorney Scott W. Brady announced today.
The indictment named Leon E. Szewczyk, 34, of Johnstown, Pa.
According to the indictment presented to the court, on April 6, 2018, Szewczyk possessed with the intent to distribute more than 28 grams of cocaine base, commonly known as "crack," and a quantity of fentanyl. Also, on April 6, 2018, he was found in possession of a loaded Raven ArmsModel MP25, .25 caliber semi-automatic pistol and a Ruger, Model LCP, .380 caliber semi-automatic pistol. On Nov. 2, 2010, Szewczyk was convicted in United States District Court for the Western District of Pennsylvania, of drug trafficking, which is a crime punishable by imprisonment for a term exceeding one year. Federal law prohibits persons who have been convicted of a crime punishable by a term of imprisonment exceeding one year from possessing firearms.
The law provides for a maximum sentence of 70 years in prison and a fine of $6,250,000 or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offenses and the prior criminal history of the defendant.
Assistant United States Attorney Stephanie L. Haines is prosecuting this case on behalf of the government.
The Laurel Highlands Resident Agency of the Federal Bureau of Investigation and the Cambria County Drug Task Force conducted the investigation that led to the prosecution of Szewczyk.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
FCI-Loretto Inmate Charged with Possessing Prohibited Substance in PrisonRead the Press Release
JOHNSTOWN, Pa. – An inmate at the Federal Correctional Institution in Loretto, Pa., was indicted by a federal grand jury in Johnstown on a charge of possession of a prohibited object in prison, United States Attorney Scott W. Brady announced today.
The indictment named Dilpreet Singh, 33.
According to the indictment presented to the court, on July 14, 2017, Singh possessed a quantity of Buprenorphine.
The law provides for a maximum sentence of 20 years in prison and a fine of $250,000 or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offense and the prior criminal history of the defendant.
Assistant United States Attorney Stephanie L. Haines is prosecuting this case on behalf of the government.
The Laurel Highlands Resident Agency of the Federal Bureau of Investigation, and the Federal Correctional Institution, Special Investigative Staff, conducted the investigation leading to the prosecution of Rodriguez-Melendez.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Erie Man Charged with Receiving and Possessing Child PornographyRead the Press Release
ERIE, Pa. - A resident of Erie, Pennsylvania, has been indicted by a federal grand jury in Erie on charges of violating federal laws relating to the sexual exploitation of children, United States Attorney Scott W. Brady announced today.
The two-count indictment named Mark Anthony Prindle, 24, 1534 Taki Drive, Erie, Pennsylvania, as the sole defendant.
According to the indictment presented to the court, Prindle received and possessed computer images and movies depicting prepubescent minors engaging in sexually explicit conduct.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
The law provides for a maximum total sentence of 40 years in prison, a fine of $500,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Christian A. Trabold is prosecuting this case on behalf of the government.
The Department of Homeland Security Investigations and the Millcreek Police Department conducted the investigation leading to the indictment in this case.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Elk Grove Man Sentenced to 22 Years in Prison for Producing Child PornographyRead the Press Release
SACRAMENTO, Calif. —Alexander Jordan Miller, 22, of Elk Grove, was sentenced today to 22 years in prison for producing child pornography, U.S. Attorney McGregor W. Scott announced.
U.S. Attorney Scott stated: “Miller was a social media predator who spent hours searching for victims who were old enough to know how to use social media, but young enough to be susceptible to his extortion scheme. Rather than physical force, he used fear to compel girls to create the videos he demanded. Today’s sentence rightly takes into account the physical and psychological pain he inflicted on the young, vulnerable victims.”
“This case highlights the critical importance of educating children about safe and responsible internet use,” said Special Agent in Charge Sean Ragan of the FBI Sacramento Field Office. “Miller used the anonymity of the internet to his advantage and used coercive threats, blackmail, and shame to put his young victims in impossible situations. The impact of Miller’s despicable behavior on his victims cannot be overstated. The FBI is committed to unmasking those who use the internet to exploit the innocence of our nation’s children. We hope Miller’s sentencing serves as caution to families about internet safety and as a message to would-be offenders that such crimes will not go undetected.”
According to court documents, in 2015, Miller, under various pseudonyms, used social media and a messaging app to persuade minor victims to take and then send nude photos of themselves engaged in sexually explicit conduct. In each instance, after Miller obtained one or more nude photos of the victim, Miller demanded that the victim provide additional, and increasingly graphic, nude videos and photos. Miller told each victim that if she did not provide more nude videos or photos, he would send the victim’s friends and family the explicit photos that the victim provided previously, or he threatened to post the victim’s photos on the internet. As part of this extortion scheme, Miller used at least 12 minor victims to produce child pornography. One of the victims was 11 years old at the time of the offense.
This case was the product of an investigation by the Federal Bureau of Investigation. Assistant U.S. Attorney Brian A. Fogerty prosecuted the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute those who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc. Click on the “resources” tab for information about Internet safety education.
Electrical Engineer Found Guilty for Intending to Convert Trade Secrets from Defense ContractorRead the Press Release
A federal jury in Hartford, Connecticut yesterday returned guilty verdicts against a man for his conduct related to a scheme to convert trade secrets belonging to a defense contractor based in Groton, Connecticut, related to, among others, an innovative naval prototype being developed for the U.S. Navy, Office of Naval Research, announced Acting Assistant Attorney General John P. Cronan of the Justice Department’s Criminal Division and U.S. Attorney John H. Durham of the District of Connecticut.
According to evidence admitted at trial, Jared Dylan Sparks, 35, of Ardmore, Oklahoma, an electrical engineer, worked at LBI Inc., a defense contractor that has designed and built unmanned underwater vehicles for the U.S. Navy’s Office of Naval Research and deployable ice buoys used to gather weather data for the National Oceanic and Atmospheric Administration (NOAA). During the course of his employment with LBI, Sparks collaborated with Charles River Analytics (CRA), a Massachusetts-based software company that developed software to be integrated into LBI’s unmanned underwater vehicles. In late 2011, CRA sought to expand into the hardware business and eventually agreed with the Office of Naval Research that it would complete the testing for a number of the unmanned vehicles designed and developed by LBI. Sometime after April 2011, Sparks began exploring employment with CRA, and was eventually hired by that company in January 2012. Before he left LBI, however, Sparks surreptitiously uploaded thousands of LBI files to his personal account with Dropbox, a cloud-based file-storage application. Those files included LBI’s accounting and engineering files as well as photographs related to designs and renderings used to fabricate and manufacture LBI’s unmanned underwater vehicles and buoys.
On Nov. 3, 2016, a grand jury returned a 29-count indictment charging Sparks and Jay Williams of Griswold, Connecticut, with various offenses stemming from this alleged scheme.
The jury found Sparks guilty of six counts of theft of trade secrets, six counts of upload of trade secrets, and one count of transmission of trade secrets. Each of these offenses carry a maximum term of imprisonment of 10 years. The jury found Sparks not guilty of multiple counts of the indictment, and Williams not guilty of all the counts in which he was charged. Sparks’ sentencing has not yet been scheduled.
“Jared Sparks stole thousands of documents—including proprietary designs and renderings—from his former employer when he left to work for a competitor,” said Acting Assistant Attorney General John P. Cronan. “Yesterday’s verdict sends a clear message that the Department of Justice is committed to protecting American intellectual property and will aggressively prosecute those who steal it.”
“In order to protect both our country’s national security and the intellectual property of Connecticut’s defense contractors, our office is committed to prosecuting those who steal trade secrets and hope to profit from the theft,” said U.S. Attorney Durham.
“Theft of trade secrets from a Defense contractor harms the U.S. taxpayer and threatens the integrity of the Defense Department's procurement system,” said Special Agent-in-Charge Leigh-Alistair Barzey, Defense Criminal Investigative Service (DCIS) Northeast Field Office. “DCIS is committed to working with the DOJ, FBI and other law enforcement partners, to investigate and prosecute those individuals who seek to profit at the expense of our national security.”
"Intellectual property theft cost U.S. businesses billions in revenue annually and robs the nation of jobs and taxes," said FBI Acting Special Agent in Charge Robert Fuller. "Preventing intellectual property theft is a priority of the FBI's criminal investigative program. The key to this successful prosecution was due to linking considerable resources and collaboration of the private sector, federal law enforcement partners, the U.S. Attorney's office and the Criminal Division's Computer Crime and Intellectual Property Section."
This matter was investigated by DCIS and the FBI with assistance from the Department of Defense’s Computer Forensic Laboratory. The case was prosecuted by Assistant U.S. Attorney Jacabed Rodriguez-Coss of the District of Connecticut and Trial Attorneys Kebharu Smith and Joss Nichols of the Criminal Division’s Computer Crime and Intellectual Property Section (CCIPS), with assistance from the CCIPS Cybercrime Lab.
Electrical Engineer Found Guilty for Intending to Convert Trade Secrets from Defense ContractorRead the Press Release
WASHINGTON – A federal jury in Hartford, Connecticut yesterday returned guilty verdicts against a man for his conduct related to a scheme to convert trade secrets belonging to a defense contractor based in Groton, Connecticut, related to, among others, an innovative naval prototype being developed for the U.S. Navy, Office of Naval Research, announced Acting Assistant Attorney General John P. Cronan of the Justice Department’s Criminal Division and U.S. Attorney John H. Durham of the District of Connecticut.
According to evidence admitted at trial, Jared Dylan Sparks, 35, of Ardmore, Oklahoma, an electrical engineer, worked at LBI Inc., a defense contractor that has designed and built unmanned underwater vehicles for the U.S. Navy’s Office of Naval Research and deployable ice buoys used to gather weather data for the National Oceanic and Atmospheric Administration (NOAA). During the course of his employment with LBI, Sparks collaborated with Charles River Analytics (CRA), a Massachusetts-based software company that developed software to be integrated into LBI’s unmanned underwater vehicles. In late 2011, CRA sought to expand into the hardware business and eventually agreed with the Office of Naval Research that it would complete the testing for a number of the unmanned vehicles designed and developed by LBI. Sometime after April 2011, Sparks began exploring employment with CRA, and was eventually hired by that company in January 2012. Before he left LBI, however, Sparks surreptitiously uploaded thousands of LBI files to his personal account with Dropbox, a cloud-based file-storage application. Those files included LBI’s accounting and engineering files as well as photographs related to designs and renderings used to fabricate and manufacture LBI’s unmanned underwater vehicles and buoys.
On Nov. 3, 2016, a grand jury returned a 29-count indictment charging Sparks and Jay Williams of Griswold, Connecticut, with various offenses stemming from this alleged scheme.
The jury found Sparks guilty of six counts of theft of trade secrets, six counts of upload of trade secrets, and one count of transmission of trade secrets. Each of these offenses carry a maximum term of imprisonment of 10 years. The jury found Sparks not guilty of multiple counts of the indictment, and Williams not guilty of all the counts in which he was charged. Sparks’ sentencing has not yet been scheduled.
“Jared Sparks stole thousands of documents—including proprietary designs and renderings—from his former employer when he left to work for a competitor,” said Acting Assistant Attorney General John P. Cronan. “Yesterday’s verdict sends a clear message that the Department of Justice is committed to protecting American intellectual property and will aggressively prosecute those who steal it.”
“In order to protect both our country’s national security and the intellectual property of Connecticut’s defense contractors, our office is committed to prosecuting those who steal trade secrets and hope to profit from the theft,” said U.S. Attorney Durham.
“Theft of trade secrets from a Defense contractor harms the U.S. taxpayer and threatens the integrity of the Defense Department's procurement system,” said Special Agent-in-Charge Leigh-Alistair Barzey, Defense Criminal Investigative Service (DCIS) Northeast Field Office. “DCIS is committed to working with the DOJ, FBI and other law enforcement partners, to investigate and prosecute those individuals who seek to profit at the expense of our national security.”
"Intellectual property theft cost U.S. businesses billions in revenue annually and robs the nation of jobs and taxes," said FBI Acting Special Agent in Charge Robert Fuller. "Preventing intellectual property theft is a priority of the FBI's criminal investigative program. The key to this successful prosecution was due to linking considerable resources and collaboration of the private sector, federal law enforcement partners, the U.S. Attorney's office and the Criminal Division's Computer Crime and Intellectual Property Section."
This matter was investigated by DCIS and the FBI with assistance from the Department of Defense’s Computer Forensic Laboratory. The case was prosecuted by Assistant U.S. Attorney Jacabed Rodriguez-Coss of the District of Connecticut and Trial Attorneys Kebharu Smith and Joss Nichols of the Criminal Division’s Computer Crime and Intellectual Property Section (CCIPS), with assistance from the CCIPS Cybercrime Lab.
Desloge Man Pleads Guilty to Bank Robberies, Faces 30 Years in PrisonRead the Press Release
KANSAS CITY, Mo. – A Desloge, Mo., man, who was arrested after a high-speed chase in Callaway County, Mo., pleaded guilty in federal court today to two separate indictments that charge him with robbing four banks and with illegally possessing a firearm.
James Todd Hulsey, 53, pleaded guilty before U.S. Chief Magistrate Judge Matt J. Whitworth to one count of bank robbery involving Adams Dairy Bank in Blue Springs, Mo., in which he brandished a loaded firearm. Hulsey also pleaded guilty to the charges contained in a separate indictment, related to three additional bank robberies in Springfield, Ill.
Hulsey admitted that he robbed Adams Dairy Bank, 651 N.E. Coronado Dr., Blue Springs, on Oct. 14, 2016. Hulsey approached the teller counter at approximately 12:15 p.m., displayed a loaded Diamondback Arms 9mm pistol, presented a demand note to the teller and threatened to kill her. The teller turned over $7,845 and Hulsey fled from the bank on foot. Descriptions of the robber and the associated vehicle used in the robbery were broadcast to law enforcement agencies.
A couple of hours later, a state trooper saw Hulsey’s vehicle traveling eastbound on I-70 in Callaway County, Mo., and attempted to stop the vehicle. A vehicle pursuit ensued, reaching speeds over 120 miles per hour. Hulsey’s vehicle got a flat tire and ran off the road. Hulsey fled from the vehicle on foot and a 75-yard foot pursuit took place before Hulsey was taken into custody. The pistol was found inside Hulsey’s vehicle; officers also saw U.S. currency blowing out of the driver’s side door of the vehicle as well as located throughout the front passenger compartment of the vehicle.
Hulsey also admitted that he stole $13,634 from Chase Bank in Springfield, Ill., on Sept. 28, 2016. He stole $4,750 from PNC Bank in Springfield, Ill., on Oct. 3, 2016. He stole $2,104 from Chase Bank in Springfield, Ill., on Oct. 7, 2016. Hulsey provided the teller with a note indicating that he was robbing the bank in each of the three robberies and implied that force would be used if necessary. During the Oct. 7, 2016, robbery a semi-automatic handgun can be seen in Hulsey’s hand in a video recording of the robbery.
Under the terms of today’s plea agreement, the U.S. Attorney for the District of Kansas agrees not to file charges based upon Hulsey committing a bank robbery on Sept. 23, 2016, at First National Bank, 4650 College Blvd., Overland Park, Kan.; however, Hulsey must pay the restitution related to this uncharged bank robbery.
Hulsey has five prior felony convictions for bank robbery and felony convictions for an illegal weapon and for receiving stolen property.
Under the terms of today’s plea agreement, Hulsey will be sentenced to 30 years in federal prison without parole and must pay restitution to each of the victim banks. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
This case is being prosecuted by Assistant U.S. Attorneys Emily A. Morgan, Western District of Missouri, Greg Gilmore, Central District of Illinois and Leon Patton, District of Kansas. It was investigated by the FBI, the Blue Springs, Mo., Police Department, the Missouri State Highway Patrol, the Callaway County, Mo., Sheriff’s Department, the Boone County, Mo., Sheriff’s Department, the Springfield, Ill., Police Department and the Overland Park, Kan., Police Department.
DBSI Defendants Detained Pending Prison DesignationRead the Press Release
BOISE - After a hearing before her this morning, United States Magistrate Judge Candy W. Dale ordered Defendants Douglas L. Swenson, Mark A. Ellison, Jeremy S. Swenson, and David D. Swenson – former executives of Diversified Business Services and Investments, Inc. (“DBSI”) of Meridian, Idaho – immediately detained pending designation by the Bureau of Prisons to federal correctional facilities. Judge Dale held that because the Defendants had exhausted their appellate rights, the Bail Reform Act no longer applied, and the interests of justice would no longer be served by their continued release.
On April 14, 2014, after a 45-day trial before Chief United States District Judge B. Lynn Winmill, the jury found Defendants Douglas L. Swenson, Mark A. Ellison, Jeremy S. Swenson, and David D. Swenson guilty of 44 counts of securities fraud. The jury further found Defendant Douglas L. Swenson guilty of 34 counts of wire fraud.
In August of 2014, Judge Winmill sentenced Defendants Douglas L. Swenson to 240 months in prison and to pay $180,632,025 in restitution; Mark A. Ellison to 60 months in prison and to pay $32,158,501 in restitution; Jeremy S. Swenson to 36 months in prison and to pay $32,158,501 in restitution; and David D. Swenson to 36 months in prison and to pay $32,158,501 in restitution. By loss amount, the DBSI fraud was the largest in the history of the District of Idaho.
By orders in November and December of 2014, the Ninth Circuit Court of Appeals allowed the Defendants to remain released from prison pending their appeal. On June 25, 2018, the United States Supreme Court denied Defendants’ petition for writ of certiorari, ending their appeal.
Regarding today’s hearing, United States Attorney for the District of Idaho Bart M. Davis stated, “We are gratified by Judge Dale’s decision to immediately detain the DBSI Defendants, pending their designation to the Bureau of Prisons facilities that will house them for the terms of their incarceration. After four years of freedom and pursuit of their appeal all the way to the United States Supreme Court, that appeal is now over and there was no basis in law for the DBSI Defendants to remain released. We hope that the incarceration of the DBSI Defendants provides the victims of their crimes some degree of closure, and that restitution payments by the Defendants to the victims may now commence. I would like to thank the United States Probation Office for their work over the last four years in supervising the Defendants while they were released pending appeal, and the committed law enforcement agents of the Federal Bureau of Investigation and Internal Revenue Service for their tireless work on this case.”
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Cypriot National Sentenced to Prison for Money LaunderingRead the Press Release
A Cypriot national was sentenced today in federal court in Boston for money laundering.
Acting Assistant Attorney General John P. Cronan of the Justice Department’s Criminal Division, U.S. Attorney Andrew E. Lelling for the District of Massachusetts, Special Agent in Charge Brian D. Boyle of the Drug Enforcement Administration (DEA) New England Division, Special Agent in Charge Harold H. Shaw of the FBI Boston Field Division and Special Agent in Charge Kristina O’Connell of IRS’s Criminal Investigation in Boston, made the announcement.
Esam Sakkal, 40, a national of Cyprus, was sentenced by U.S. District Court Judge Rya W. Zobel to 27 months time served and ordered to pay forfeiture of $19, 248. In April 2018, Sakkal pleaded guilty to one count of money laundering conspiracy and two counts of laundering of monetary instruments.
In June 2017, Sakkal and his brother, Nabeel Sakkal, aka Traycho Marinov Mitchov, Nabil Cieckal and Nabil Imadein Bazul Siggal, a dual national of Cyprus and Jordan, were indicted. Nabeel Sakkal remains a fugitive.
An indictment is merely an allegation and the defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
At the plea hearing, Sakkal admitted that on numerous occasions between 2009 and 2016, the Sakkals met with a U.S. undercover law enforcement agent posing as a member of a drug organization whose role was to launder money from drug sales. Sakkal admitted that in 2014, he advised his brother Nabeel on methods to transport cash obtained from an undercover agent, which was subsequently laundered by the Sakkals through wire transfers to the United States. Sakkal also admitted that he attempted to launder approximately €1 million euros he believed to be the proceeds from illegal drug sales when he met with an undercover agent in Warsaw, Poland in April 2016. Sakkal further admitted that he agreed to obtain money from the undercover agent, and agreed to cause the money to be wired to the United States.
Trial Attorney Randall Warden of the Justice Department’s Money Laundering and Asset Recovery Section and Assistant U.S. Attorneys Linda Ricci of Lelling’s Narcotics and Money Laundering Unit prosecuted the case.