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8 June 2018
Denham Springs Woman Indicted for Theft of Disaster Assistance FundsRead the Press Release
U.S. Attorney Brandon J. Fremin, who also serves as the Executive Director of the National Center for Disaster Fraud, announced today that LISA ELIZABETH CORONA, 37, of Denham Springs, Louisiana, was indicted yesterday by a federal grand jury charging her with submitting false claims to the United States and theft of $30,644 in Federal Emergency Management Agency (FEMA) funds in relation to the 2016 flooding that affected numerous local areas, to include Livingston Parish.
Following the 2016 flooding that affected 12 parishes in south Louisiana, FEMA funds were available to people who had emergency needs for food, shelter, and clothing because of the flood. In order to qualify for assistance based on home ownership, an individual must have, among other things, resided in the home at the time of the storm.
According to the indictment, CORONA is alleged to have submitted a false application for FEMA assistance for a Denham Springs residence where she did not reside at the time of the August 2016 flooding. In her application, she is also alleged to have lied in asserting that, because of the damage to the Denham Springs residence, she had emergency needs for food, clothing, and shelter.
“Federal disaster assistance funds are designated for the aid of individuals affected by a disaster, and with the intent to return these individuals to the lives they lived before being victimized by disasters,” said U.S. Attorney Fremin. “The theft of these funds by criminals results in losses not only to the federal government, but also to actual disaster victims. The U.S. Attorney’s Office for the Middle District of Louisiana, together with the National Center for Disaster Fraud and our federal, state, and local law enforcement partners, will continue diligent efforts to prosecute those who seek to steal disaster assistance funds and impair the Federal Government’s ability to assist true victims of a disaster.”
Special Agent in Charge David Green, Houston Field Office, Department of Homeland Security, Office of Inspector General, stated, “Working with the U.S. Attorney’s Office, the OIG will continue our commitment to identify and aggressively investigate all allegations of fraud to protect the integrity of FEMA programs funded by the taxpayer. Theft of funds from DHS programs intended to help those in need will not be tolerated.”
Members of the public who suspect fraud involving disaster relief efforts, or believe they have been the victim of fraud from a person or organization soliciting relief funds on behalf of disaster victims, should contact the National Disaster Fraud Hotline toll free at (866) 720-5721. The telephone line is staffed by a live operator 24 hours a day, 7 days a week. You can also fax information to the Center at (225) 334-4707, or email it to [email protected]. Learn more about the Department of Justice’s National Center for Disaster Fraud at http://www.justice.gov/disaster-fraud.
This matter is being handled by the U.S. Attorney’s Office for the Middle District of Louisiana and the Department of Homeland Security, Office of Inspector General. The case is being prosecuted by Assistant U.S. Attorney Paul L. Pugliese.
Customs Broker Pleads Guilty to Mail Fraud in Scheme to Evade Federal Excise Tax on Imported CigarsRead the Press Release
Alberto Rodriquez, 66, of Briarwood, New York, pleaded guilty today to mail fraud in connection with a scheme to evade federal excise tax on imported cigars.
Benjamin G. Greenberg, United States Attorney for the Southern District of Florida and Ron Hancock, Acting Assistant Administrator for Field Operations, Alcohol and Tobacco Tax and Trade Bureau (TTB), made the announcement.
According to information contained in the court record, from as early as July 2013, Rodriguez operated as a customs broker in the State of New York. Rodriguez contracted with two tobacco importers to import large cigars into the United States. In an effort to defraud the United States of excise tax due on the imported cigars, Rodriguez created false and fraudulent documents, including United States Customs and Border Protection (CBP) Forms 7501 ("Entry Summaries"), which misrepresented, among other things, the quantities of large cigars imported into the United States and the Federal tobacco excise tax due for those importations. In addition to consistently underreporting and evading the Federal tobacco excise tax, Rodriguez transmitted false and fraudulent documents to CBP using the United States Postal Service mail.
To profit from the scheme, Rodriguez sent invoices to the two tobacco importers reflecting the true quantities of imported large cigars and the properly calculated Federal tobacco excise tax due, which resulted in the importers paying Rodriguez more than what he paid to CBP.
To conceal the scheme, Rodriguez altered documents, including importer invoices and bank records, and provided these altered documents to TTB agents and employees, all for the purpose of misleading TTB and pretending that he had correctly calculated and paid to CBP the Federal tobacco excise tax due on the large cigars imported by the two importers.
Rodriguez pled guilty to an information charging him with mail fraud, in violation of Title 18, United States Code, Section 1341. In total, Rodriguez evaded approximately $503,681.15 in Federal Tobacco Excise Tax.
Sentencing is currently scheduled before U.S. District Judge Cecilia M. Altonaga, on August 22, 2018 at 9:00 a.m. Rodriguez faces a maximum sentence of 20 years in prison.
Mr. Greenberg commended the investigative efforts of TTB in this matter. He also thanked Internal Revenue Service, Criminal Investigation and CBP for their assistance. This case is being prosecuted by Assistant United States Attorney Christopher B. Browne.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.
Court Enters Judgment Against New Jersey Couple for Overcharging the Military for Spare Vehicle PartsRead the Press Release
PHILADELPHIA – U.S. Attorney William M. McSwain announced that a New Jersey couple has been ordered to pay $232,891.37 to the United States for overcharging the military for light assemblies. The defendants, Moorestown, New Jersey residents Babu Metgud and Shubhada Kalyani, operated Shubhada Industries, a defense contractor. The United States, as the plaintiff, moved for summary judgment against Metgud and Kalyani. In granting the United States’ motion, the district court entered judgment against the individual defendants, awarding damages and imposing the maximum penalty allowable under the False Claims Act.
The case arose from a contract in which Shubhada Industries agreed to manufacture light assemblies for munitions vehicles for the Defense Logistics Agency. Instead of actually manufacturing those parts, Shubhada purchased them from a third party and charged the government a total purchase price of $73,842—which amounted to a 5,400 percent mark-up of the cost price, according to the court’s opinion. When the government questioned the cost, Metgud justified it by explaining that costs sometimes seem very high “to untrained eyes.”
Under the False Claims Act, a person who causes false or fraudulent claims to be submitted to the government for payment is liable for three times the government’s damages, plus civil penalties for each false claim. The court’s judgment consists of three times the amount the Defense Logistics Agency paid, plus a civil penalty of $11,000, which the court noted was “at the top of the statutory range.”
In imposing this maximum penalty, the court explained that Metgud and Kalyani did not disclose to the agency their purchase of the light assemblies from someone else. In addition, the court opined the individuals “have not been forthright or cooperative in the Government’s investigation of the claims alleged in the amended complaint,” and seemed to “shrug off” the investigation and the court proceeding.
“Those who do business with the government must treat taxpayers fairly,” said U.S. Attorney McSwain. “This case demonstrates my Office’s commitment to holding accountable defense contractors and others who try to game the system for personal profit at the military’s expense.”
The case is significant because the government, as the plaintiff and moving party at summary judgment, obtained a judgment on the merits and without a trial. It is also significant because the district court’s judgment was based in part on its conclusion that it could draw an adverse inference against the individual defendants who invoked their Fifth Amendment right against self-incrimination.
Assistant U.S. Attorney Michael S. Macko handled the case, which arose from an investigation led by the United States Department of Defense, Defense Criminal Investigative Service.
Corpus Christi Man Indicted for Conspiracy to Commit Wire Fraud and Multiple Wire Fraud Counts in Scheme to Defraud Louisiana and Texas Companies and ForfeitureRead the Press Release
A Federal Grand Jury sitting in New Orleans returned an 11-count indictment against MARC JESSE ESTES charging approximately $414,982 in fraud, announced U. S. Attorney Duane A. Evans.
Specifically, ESTES, age 43, Corpus Christi, TX was indicted for conspiracy to commit wire fraud and eleven counts of wire fraud related to his employment with Texas Steam & Instrumentation Company (Texas Steam), a corporation related to Louisiana Steam Equipment Company, a Louisiana company located in New Orleans. As Executive Vice President, ESTES joined with two Texas companies to defraud Texas Steam through a scheme to have Texas Steam or Louisiana Steam pay false invoices generated by the two Texas companies. The Texas companies then kicked back funds to ESTES by paying for fraudulent invoices from Industrial Sales, a company operated by ESTES. ESTES also used another company he owned and operated, Tru-Line Builders, to pass fraudulent invoices through Texas Steam. The scheme spanned from 2007 until 2014 and resulted in a fraud to Texas Steam and Louisiana Steam of approximately $414,982.
If convicted, ESTES faces a possible maximum sentence of 20 years imprisonment and a $250,000 fine on each count.
U. S. Duane Evans reiterated that the indictment is merely a charge and that the guilt of the defendant must be proven beyond a reasonable doubt.
The ongoing investigation is being conducted by Special Agents of the Federal Bureau of Investigation. The case is being prosecuted by Assistant United States Attorney Patrice Harris Sullivan.
Continued Increase in Federal Regional Violent Crime ProsecutionsRead the Press Release
St. Louis, MO – The United States Attorney’s Office will prosecute aggressively violent criminals and drug dealers. Federal prosecution is a powerful tool in the fight to reduce violent crime. At least 85% of federal sentences must be served; there is no parole in the federal system. Sentences are served in prisons far from St. Louis. Below is a list of defendants prosecuted federally in May as a result of the hard work of police and agents:
Nathan Allen, 58, St. Louis, was indicted by a federal grand jury on one felony count of felon in possession of a firearm.
Larry Burnett, 39, St. Louis, was indicted by a federal grand jury on one felony count of felon in possession of a firearm.
Nisean Davis, 29, St. Louis, was indicted by a federal grand jury on one felony count of felon in possession of a firearm.
Maurice Fox, 29, St. Louis, was indicted by a federal grand jury on one felony count of felon in possession of a firearm.
DeWayne Franklin, 34, St. Louis, was indicted by a federal grand jury on one felony count of felon in possession of a firearm.
Damen Gascic, 33, was indicted by a federal grand jury on one felony count of felon in possession of a firearm; one felony count of receipt or possession of an unregistered firearm; one felony count of possession with intent to distribute a controlled substance; and one felony count of possession of a firearm in furtherance of a drug-trafficking crime.
Jamel Green, 26, St. Louis, was indicted by a federal grand jury on one felony count of felon in possession of a firearm.
Michael Holmes, 35, was indicted by a federal grand jury on one felony count of possession of a firearm by an addict.
Marrow Russell, 41, St. Louis, was indicted by a federal grand jury on one felony count of felon in possession of a firearm.
Leroy Shipp, 50, St. Louis, was indicted by a federal grand jury on one felony count of felon in possession of a firearm; on felony count of conspiracy to distribute a controlled substance and one felony count of possessing a firearm in furtherance of a drug trafficking crime.
Diante Turman, 36, Florissant, was indicted by a federal grand jury on one felony count of felon in possession of a firearm; one felony count of possession with intent to distribute cocaine base; one felony count of possession with intent to distribute marijuana; one felony count of possession with intent to distribute cocaine; and one felony count of possession of a firearm in furtherance of a drug trafficking crime.
Johnny Wilbourn, 33, was indicted by a federal grand jury on one felony count of felon in possession of a firearm.
Frank Wilks, 48, was indicted by a federal grand jury on one felony count of felon in possession of a firearm.
Charles Williams, 52, St. Louis, was indicted by a federal grand jury on one felony count of felon in possession of a firearm.
Caldra Williford, 36, St. Louis, was indicted by a federal grand jury on one felony count of felon in possession of a firearm.
Myron Wilson, Jr., 26, was indicted by a federal grand jury on one felony count of felon in possession of a firearm; one felony count of aggravated assault on a federal officer with a firearm; and one felony count of brandishing a firearm in furtherance of a crime.
Booker Young, Jr., 50, St. Louis, was indicted by a federal grand jury on one felony count of felon in possession of a firearm.
Taran Barker, 30, St. Louis, was indicted by a federal grand jury on one felony count of felon in possession of a firearm; one felony count of possession with intent to distribute marijuana, fentanyl, methamphetamine and cocaine base; and one felony count of possession of a firearm in furtherance of a drug trafficking crime.
Corvon Dixon, 21, St. Louis, was indicted by a federal grand jury on one felony count of felon in possession of a firearm.
Amontae Gordon, 28, St. Louis, was indicted by a federal grand jury on one felony count of possession with intent to distribute fentanyl and one felony count of possession of a firearm in furtherance of a drug trafficking crime.
Robert Law, 36, St. Louis, was indicted by a federal grand jury on one felony count of possession of a sawed-off shotgun.
Antwan Leggette, 38, St. Louis, was indicted by a federal grand jury on one felony count of felon in possession of a firearm.
Ivan Marshall, 47, St. Louis, was indicted by a federal grand jury on one felony count of felon in possession of a firearm.
Joseph Oberkirsch, 41, St. Louis, was indicted by a federal grand jury on one felony count of possession of a sawed-off shotgun.
Hakeem Valentine, 25, St. Louis, was indicted by a federal grand jury on one felony count of felon in possession of a firearm.
Terry Brewer, 34, was indicted by a federal grand jury on one felony count of felon in possession of a firearm.
Jerome Daniels, 30, St. Louis, was indicted by a federal grand jury on one felony count of felon in possession of a firearm.
Rolando Eason, 27, was indicted by a federal grand jury on one felony count of felon in possession of a firearm; one felony count of distributing a mixture of fentanyl; and one felony count of possessing with intent to distribute a controlled substance.
Demond Gardner, 34, St. Louis, was indicted by a federal grand jury on one felony count of felon in possession of a firearm.
Robert Howard, 30, St. Louis, was indicted by a federal grand jury on one felony count of possession with intent to distribute heroin and fentanyl and one felony count of possession of a firearm in furtherance of a drug trafficking crime.
Matheny Miller, 46, St. Louis, was indicted by a federal grand jury on one felony count of felon in possession of a firearm.
Demonta Whitt, 31, St. Louis, was indicted by a federal grand jury on one felony count of felon in possession of a firearm; one felony count of possession with intent to distribute fentanyl; and one felony count of possession of a firearm in furtherance of a drug trafficking crime.
Michael Barnett, 37, St. Louis, was indicted by a federal grand jury on one felony count of felon in possession of a firearm.
L.C. Berry, 27, St. Louis, was indicted by a federal grand jury on one felony count of felon in possession of a firearm.
Brandon Bunting, 33, St. Louis, was indicted by a federal grand jury on one felony count of felon in possession of a firearm.
Ricky Davis, 43, Ferguson, was indicted by a federal grand jury on one felony count of possession of a mixture containing marijuana and one felony count of possession of a firearm in furtherance of a drug trafficking crime.
Roland Garner, 33, St. Louis, was indicted by a federal grand jury on one felony count of felon in possession of a firearm.
William Hampton, 20, St. Louis, was indicted by a federal grand jury on one felony count of possession of a firearm by an addict.
Christopher Hicks, 46, St. Louis, was indicted by a federal grand jury on one felony count of felon in possession of a firearm.
Clifton Hudson, 34, St. Louis, was indicted by a federal grand jury on one felony count of felon in possession of a firearm; possession with intent to distribute controlled substance drugs; and possession of a firearm in furtherance of a drug trafficking crime.
Gregory Jones, Jr., 18, St. Louis, was indicted by a federal grand jury on one felony count of armed robbery and one felony count of brandishing a firearm in furtherance of a crime of violence.
Lashawn Jordan-Cole, 25, St. Louis, was indicted by a federal grand jury on one felony count of felon in possession of one or more firearms.
David McCorriston, 41, St. Louis, was indicted by a federal grand jury on one felony count of felon in possession of a firearm; possession with intent to distribute a controlled substance; and possession of a firearm in furtherance of a drug trafficking crime.
Anthony Mitchell, 23, St. Louis, was indicted by a federal grand jury on one felony count of felon in possession with intent to distribute marijuana and possession of a firearm in furtherance of a drug trafficking crime.
Norman Nelson, 59, St. Louis, was indicted by a federal grand jury on one felony count of felon in possession of a firearm.
Ronald Vincent, 39, St. Louis, was indicted by a federal grand jury on one felony count of felon in possession of a firearm; possession with the intent to distribute heroin; and possession of a firearm in furtherance of a drug trafficking crime.
Carrell Wright, 24, St. Louis, was indicted by a federal grand jury on one felony count of felon in possession of a firearm.
Crystal Conaway, 52, St. Louis, was indicted by a federal grand jury on one felony count of felon in possession of a firearm.
Willie Hunter, Jr., 37, St. Louis, was indicted by a federal grand jury on one felony count of felon in possession of a firearm.
Toddrick Johnson, 27, St. Louis, was indicted by a federal grand jury on one felony count of felon in possession of a firearm.
Eddie Mosley, 22, St. Louis, was indicted by a federal grand jury on one felony count of possession with intent to distribute a controlled substance and possession of a firearm in furtherance of a drug trafficking crime.
Markquis Bryant, 29, St. Louis, pled guilty to felon in possession of a firearm.
Robert Cooper, 47, St. Louis, pled guilty to felon in possession of a firearm.
Frank Hart, 45, Jennings, pled guilty to felon in possession of a firearm and attempted carjacking by threat of violence.
Ron Banks, 30, St. Louis, pled guilty to felon in possession of a firearm.
Cortez Davis, 39, St. Louis, pled guilty to felon in possession of a firearm.
Marvin Woolfolk, 34, St. Louis, pled guilty to felon in possession of a firearm and possession with intent to distribute.
Terrance Akins, 26, St. Louis, pled guilty to felon in possession of a firearm.
Dwayne Ramsey, 37, St. Louis, pled guilty to felon in possession of a firearm.
Gregory Williams, 28, St. Louis, pled guilty to possession of a firearm in a federal facility.
Martavis Hines, 30, pled guilty to possessing a firearm illegally.
Deandre Jones, 29, pled guilty to felon in possession of a firearm.
John H. Harvey, 34, pled guilty to felon in possession of a firearm.
Dirrell Taylor, III, 26, Wentzville, pled guilty to felon in possession of a firearm.
Otis Jones, 25, St. Louis, pled guilty to felon in possession of a firearm.
Jerry Massey, 26, St. Louis, pled guilty to felon in possession of a firearm and possession with intent to distribute heroin/cocaine base/marijuana/fentanyl.
Ronell Williams, 36, St. Louis, pled guilty to felon in possession of a firearm.
Michael Payne, 34, St. Louis, pled guilty to felon in possession of a firearm.
Jurmont Clark, 25, St. Louis, pled guilty to felon in possession of a firearm.
Robert Pruitt, Jr., 26, St. Louis, pled guilty to felon in possession of a firearm.
Alex Taylor, 21, St. Louis, pled guilty to felon in possession of a firearm.
Robert J. Moore, 28, St. Louis, pled guilty to felon in possession of a firearm.
Dedrick Conley, 27, East St. Louis, pled guilty to felon in possession of a firearm and possession with intent to distribute cocaine base.
Anthoney Tucker, 25, St. Louis, pled guilty to possession of a firearm in furtherance of a drug trafficking crime.
David Lee, Jr., 29, St. Louis, pled guilty to felon in possession of a firearm.
Ishmael L. Hargrove, 21, Florissant, pled guilty to felon in possession of a firearm.
Aaron Robinson, 31, St. Louis, pled guilty to felon in possession of a firearm.
Darkel Deshay Martin, 32, East St. Louis, pled guilty to felon in possession of a firearm.
Wilbert Anderson, 26, St. Louis, pled guilty to felon in possession of a firearm.
Frederick Townley, 51, St. Louis, pled guilty to felon in possession of a firearm.
Lamar Brison, 32, St. Louis, pled guilty to felon in possession of a firearm.
Ron Banks, 30, St. Louis, pled guilty to felon in possession of ammunition.
Parron Walker, 47, St. Louis, pled guilty to felon in possession of a firearm.
James Kawant Nunley, 34, Madison County, IL, was sentenced to 40 months in prison for felon in possession of a firearm.
Eric Kellin, 31, Normandy, was sentenced to 60 months in prison for felon in possession of a firearm.
Maurice Thomas, 42, St. Louis, was sentenced to 65 months in prison for felon in possession of a firearm.
Israel Campos, 21, St. Louis, was sentenced to 102 months in prison for brandishing a firearm during a federal crime of violence.
Alonzo Morris, 24, St. Louis, was sentenced to 15 months in prison for felon in possession of a firearm.
Carl E. Thomas, Jr., 27, St. Louis, was sentenced to 78 months in prison for felon in possession of a firearm.
Randell Mack Davis, 30, St. Louis, was sentenced to 81 months in prison for possession with intent to distribute a controlled substance and possession of a firearm in furtherance of a drug trafficking offense.
Demarlyn Stewart, 37, Shreveport, LA, was sentenced to 120 months in prison for use of a firearm during a drug trafficking offense.
Kevin Boyer, 24, St. Louis, was sentenced to 18 months in prison for felon in possession of a firearm.
Robert Austin Jackson, Jr., 26, St. Louis, was sentenced to 120 months in prison for possession a controlled substance drug; possession a firearm during a federal crime of violence; and felon in possession of a firearm.
Novelle Jackson, 30, St. Louis, was sentenced to 46 months in prison for felon in possession of a firearm.
Nicholas Scott Baldwin, 36, Collinsville, IL, was sentenced to 180 months in prison for 500 grams or more of methamphetamine and possessing a firearm during a federal crime of violence
Bradley Allen Simon, 32, Crestwood, was sentenced to 120 months in prison for felon in possession of a firearm; possess a controlled substance; and using a firearm during a drug trafficking offense.
Travion Brown, 21, St. Louis, was sentenced to 300 months in prison for carjackings and discharging a firearm during the commission of a federal crime of violence.
Kajuan A. Woods, 30, St. Louis, was sentenced to 115 months in prison for felon in possession of a firearm.
Michael Nunley, 42, St. Louis, was sentenced to 72 months in prison for felon in possession of a firearm.
Rodrick Brown, 29, St. Louis, was sentenced to 72 months in prison for possessing a controlled substance and using a firearm during a drug trafficking offense.
Lawrence Lee, 24, Florissant, was sentenced to 90 months in prison for possessing a controlled substance; using/carrying a firearm during a drug trafficking offense; and felon in possession of a firearm.
James W. Newberry, 26, St. Louis, was sentenced to 42 months in prison for felon in possession of a firearm.
Sacorey Clark, 38, St. Louis, was sentenced to 180 months in prison for felon in possession of a firearm.
Christian Bush, 35, Florissant, was sentenced to 10 months in prison for felon in possession of a firearm.
Sylvester Ivory, 40, St. Louis, was sentenced to 46 months in prison for felon in possession of a firearm.
Demario White, 26, St. Louis, was sentenced to 30 months in prison for felon in possession of a firearm.
Samuel Spires, 26, Florissant, was sentenced to 240 months in prison for possessing a firearm during the commission of a federal crime of violence.
Bradley A. Simon, 32, Crestwood, was sentenced to 120 months in prison for felon in possession of a firearm; possession of a controlled substance; and carrying a firearm during a drug trafficking crime.
These cases are part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. Attorney General Jeff Sessions reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.
Carthage Woman Sentenced to 90 Years for Child Pornography ProductionRead the Press Release
SYRACUSE, NEW YORK – Tammy M. Martin, age 48, of Carthage, New York, was sentenced today to serve 90 years in prison for her conviction on three counts of sexual exploitation of a child, announced United States Attorney Grant C. Jaquith and Kevin M. Kelly, Special Agent in Charge of the Buffalo Field Office of Homeland Security Investigations (HSI).
The sentencing today follows Martin’s earlier plea of guilty during which she admitted that on at least 4 separate occasions in 2002, she and co-defendant Clif Seaway engaged the first of the 3 victims in sexually explicit conduct for the purpose of producing visual depictions. This criminal conduct resulted in the production of at least 30 separate files depicting the child engaged in sexually explicit conduct. Martin further admitted to the abuse of a second victim on at least 14 separate occasions from 2001 through 2007, producing at least 104 separate files depicting that abuse. Finally, Martin admitted that on at least 26 occasions from 2004 through 2008, she and Seaway engaged the third of their victims in sexually explicit conduct, producing at least 211 separate files of that abuse.
Martin was sentenced to serve the maximum sentence allowable under federal law, consisting of 30 years of imprisonment on each count of conviction to be served consecutively to one another. If Martin is ever released from prison, she is sentenced to a term of supervised release for life, and required to register as a sex offender.
“Over a seven year period, Tammy Martin and Clif Seaway sexually exploited three children, and the 90-year sentence imposed reflects the depravity and gravity of those crimes,” said United States Attorney Grant C. Jaquith. “Our commitment to prosecutions to protect children and secure just punishment for their predators is unwavering, and we continue to seek sentences which ensure that those predators will never harm another child.”
"Today's sentence clearly demonstrates the serious nature with which the law enforcement community views crimes committed against children," said Kevin Kelly, Special Agent in charge of HSI Buffalo. "HSI and our partners will continue to be relentless in the aggressive pursuit of these cases, and the significant prison term handed down is an appropriate one and should serve as a stark warning about the consequences awaiting those involved in these acts."
For his part in the abuse of these and other children, Clif Seaway was sentenced on May 3, 2018 to serve 360 years in prison.
Martin’s case was investigated by the New York State Police, and the United States Department of Homeland Security, Homeland Security Investigations (HSI). The case was prosecuted by Assistant U.S. Attorneys Lisa Fletcher, Project Safe Childhood Coordinator for the Northern District of New York, and Carina Schoenberger.
Launched in May 2006 by the Department of Justice, Project Safe Childhood is led by United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS). Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.
California Man Sentenced to 30 Months for Failure to Register as a Sex OffenderRead the Press Release
United States Attorney Ron Parsons announced that U.S. District Judge Karen E. Schreier sentenced a Ventura, California, man convicted of Failure to Register as a Sex Offender on June 4, 2018.
Tom Steven Blanco, age 34, was sentenced to 30 months in federal prison, followed by supervised release for the remainder of life, and ordered to pay $100 to the Federal Crime Victims Fund.
Blanco was indicted for failure to register as a sex offender by a federal grand jury on November 7, 2017. He pled guilty on March 7, 2018.
Blanco was convicted of felony sexual battery in California in 2000. The conviction required him to register as a sex offender for at least 25 years and up to life (excluding any time he is in custody). Blanco last registered as a sex offender in California in May 2017. Someone notified the Ventura County California sex offender registration office that Blanco was living at a residence in Sioux Falls, South Dakota. On September 12, 2017, the Sioux Falls Police Department located Blanco at the Sioux Falls Library, downtown branch location. The Sioux Falls Police Department learned that Blanco began residing in Sioux Falls on July 22, 2017. He was forced to leave that residence on September 1st, after a disagreement.
This case was investigated by the Sioux Falls Police Department, and the U.S. Marshals Service. Assistant U.S. Attorney Jeff Clapper prosecuted the case.
Blanco was immediately turned over to the custody of the U.S. Marshals Service.
Buffalo Woman Pleads Guilty to Defrauding the IRSRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y. – U.S. Attorney James P. Kennedy, Jr. announced today that LaTosha Bowers, 32, of Buffalo, NY, pleaded guilty before Chief U.S. District Judge Frank P. Geraci, Jr. to conspiracy to defraud the United States with respect to claims. The charge carries a maximum penalty of 10 years in prison and a $250,000 fine.
Assistant U.S. Attorney Trini E. Ross, who is handling the case, stated that between January 2012 and January 2015, the defendant conspired with Emmanuel Collins, a/k/a “Scooter,” and others, to defraud the Internal Revenue Service.
In January 2012, the defendant met co-defendant Emmanuel Collins who she was told could assist her in “getting some money” by filing fraudulent tax returns with the IRS. Bowers gave Collins her name, date of birth, and social security number. In turn, Collins gave the defendant fraudulent 2011 Form W-2, which Bowers filed with the IRS claiming a refund in the amount of $8,398, to which she was not entitled. The filing claimed that the defendant worked at a business called Remedy Intelligent Staffing, which she did not.
Bowers filed similar false returns for the tax years 2012-2014 falsely claiming to work at businesses including Buffalo Civic Management, Complete Personnel Solutions, and once again Remedy Intelligent Staffing.
The conspiracy resulted in a loss of $42,087 to the IRS.
Charges are pending against Emmanuel Collins. The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.The plea is the culmination of an investigation led by the Internal Revenue Service, Criminal Investigation Division, under the direction of James D. Robnett, Special Agent in Charge, New York Field Office.
Sentencing is scheduled for September 20, 2018, at 2:30 p.m. before Judge Geraci.
Buffalo Man Sentenced on Cocaine ChargeRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051Buffalo, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that Damone Robertson-Burts, 35, of Buffalo, NY, who was convicted of possession with intent to distribute, and distribution of, cocaine, and maintaining a drug-involved premiseswas sentenced to serve 48 months in prison by Senior U.S. District Judge William M. Skretny.
Assistant U.S. Attorney Laura A. Higgins, who handled the case, stated that on August 10, 2017, officers executed a federal search warrant at the defendant’s residence at 57 Roosevelt Avenue, after previously making three controlled buys of cocaine from the defendant. During the execution of the search warrant, officers recovered two packages of powder cocaine, $3,978 in cash, two digital scales with cocaine residue, a sifter with cocaine residue, and assorted ammunition.
The sentencing is the result of an investigation by the Drug Enforcement Administration, under the direction of Special Agent-in-Charge James J. Hunt.Buffalo Man Pleads Guilty to Cocaine ChargesRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that Larry Smith, Jr., 39, of Buffalo, NY, pleaded guilty before Chief U.S District Judge Frank P. Geraci, Jr. to possession with intent to distribute, and distribution of, 28 grams or more of crack cocaine. The charges carry a mandatory minimum sentence of five years in prison, a maximum of 40 years and a $5,000,000 fine.
Assistant U.S. Attorney Michael J. Adler, who is handling the case, stated that between June 9 and July 27, 2017, the defendant sold crack cocaine to an individual working with the Drug Enforcement Administration on four occasions. In addition, on October 5, 2017, DEA agents recovered approximately 150 grams of crack cocaine in Smith’s residence at 56 Burgard Place in Buffalo.
The plea is the result of an investigation by the Drug Enforcement Administration, under the direction of Special Agent-in-Charge James J. Hunt, New York Field Division.
Sentencing is scheduled for October 18, 2018, at 10:00 a.m. before Judge Geraci.
Broward County Resident Sentenced to Prison for Being a Felon in Possession of a Firearm and AmmunitionRead the Press Release
On June 7, 2018, Joey Little, of Broward County, was sentenced to 57 months in prison by U.S. District Court Judge James I. Cohn, after previously pleading guilty to being a felon unlawfully in possession of a firearm and ammunition.
Benjamin G. Greenberg, United States Attorney for the Southern District of Florida and Ari C. Shapira, Special Agent in Charge, Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), Miami Field Office, made the announcement.
According to the court docket, including the agreed upon factual proffer, between June 21, 2016, and January 11, 2018, Little posted several photos and videos on social media in which he was pictured in possession of a firearm. During one of the videos, Little discharged the firearm in a residential area. On January 11, 2018, Little was located sitting in a vehicle outside his home. In the passenger seat, law enforcement found a lunch bag containing a Taurus .9mm pistol fitted with an extended magazine. Little had previously been convicted of a felony and was prohibited from possessing a firearm or ammunition.
This case stems from Project Safe Neighborhoods (PSN), a program that brings 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.
Mr. Greenberg commended the investigatory efforts of the ATF in this matter. This case was prosecuted by Assistant United States Attorneys Anita G. White.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.
Bay Area Man Sentenced to Ten Years’ Imprisonment for Transporting and Possessing Child PornographyRead the Press Release
SAN FRANCISCO – Randall Steven Curtis was sentenced today to 10 years in prison for transporting and possessing child pornography, announced Acting United States Attorney Alex G. Tse and Homeland Security Investigations (HSI) Special Agent in Charge Ryan L. Spradlin. The sentence was handed down by the Honorable Susan Illston, Senior U.S. District Judge.
Curtis, 62, of Morgan Hill, pleaded guilty to the charges on July 13, 2017. The investigation began when his luggage was flagged for a secondary inspection at the San Francisco International Airport upon his return from Cambodia. In Curtis’s luggage, Customs and Border Protection agents found six electronic devices containing child pornography and a falsified identification card for an individual known as “C.C.” According to the plea agreement, Curtis admitted that his devices contained more than 600 images depicting child pornography, including images depicting bondage and penetration and images of toddlers and infants engaged in sexually explicit conduct. In addition, Curtis admitted that his devices contained sexually explicit images of C.C. exposing her genitals—images he admitted to taking on a 2016 trip to Cambodia. Had the case gone to trial, the government would have presented evidence that C.C. was just sixteen years old at the time the photographs were taken.
A federal grand jury indicted Curtis on December 15, 2016, charging him with one count each of transporting child pornography, in violation of 18 U.S.C. § 2252(a)(1), and possession of child pornography, in violation of 18 U.S.C. § 2252(a)(4)(B). Curtis pleaded guilty to both charges.
In addition to the prison term, Judge Illston also sentenced the defendant to a five-year period of supervised release and ordered him to pay restitution to the victims in an amount to be determined at a later hearing. The defendant was immediately remanded into custody.
Assistant United States Attorneys Shailika S. Kotiya and Julie D. Garcia are prosecuting the case with the assistance of Alycee Lane and Maria Sunga. The prosecution is the result of an investigation by HSI.
Assistant Bank Manager and Wife Charged in Bank Fraud SchemeRead the Press Release
PHILADELPHIA – U.S. Attorney William M. McSwain announced today that a former assistant manager at Citizens Bank in South Philadelphia was charged, along with his wife, in connection with a bank fraud scheme.
Defendants Craig Green, 53, and Bridgette Green, 38, both of Philadelphia, Pennsylvania, were charged this week by indictment with one count of conspiracy to commit bank fraud, one count of bank fraud, one count of aggravated identity theft, and 26 counts of money laundering.
According to the indictment, Craig Green used his position at Citizens Bank to improperly access the bank account information of an unsuspecting Citizens Bank customer and created a second, fraudulent account in the name of that same customer. Thereafter, Craig Green allegedly transferred funds from the bank customer’s legitimate account into the fraudulent account he had created. The indictment alleges that Craig Green and Bridgette Green would write checks drawing from the fraudulent account to a co-conspirator, and the co-conspirator would then deposit the checks and provide the money to the defendants. As the indictment indicates, the Greens were able to fraudulently withdraw approximately $165,498 during this scheme.
If convicted, the defendants face a maximum possible sentence of 557 years imprisonment and a $14,500,000 fine.
The case was investigated by the Federal Bureau of Investigation and is being prosecuted by Assistant United States Attorney K.T. Newton.
An indictment, information or criminal complaint is an accusation. A defendant is presumed innocent unless and until proven guilty.
Acoma Pueblo Man Sentenced to Prison for Federal Assault ConvictionRead the Press Release
ALBUQUERQUE – Anthony Phillips, 28, an enrolled member and resident of Acoma Pueblo, N.M., was sentenced today in federal court in Santa Fe, N.M., to 24 months in prison for his conviction on an assault charge. Phillips will be on supervised release for three years after completing his prison sentence.
Phillips was arrested on March 30, 2017, on an indictment charging him with assault resulting in serious bodily injury on Jun 19, 2016, on the Acoma Indian Reservation in Cibola County, N.M.
On Oct. 13, 2017, Phillips pled guilty to the indictment and admitted that on June 19, 2016, on the Acoma Indian Reservation, he assaulted a Laguna Pueblo woman by wrapping his arms around her, kicking her legs out from under her, and taking her to the ground and handcuffing her. The victim suffered an avulsion facture to her knee and a torn ACL as the result of the assault.
This case was investigated by the Laguna/Acoma Agency of the BIA Office of Justice Services. Assistant U.S. Attorney Elisa C. Dimas prosecuted the case pursuant to the Tribal Special Assistant U.S. Attorney (Tribal SAUSA) Pilot Project in the District of New Mexico, which is sponsored by the Justice Department’s Office on Violence Against Women under a grant administered by the Pueblo of Laguna. The Tribal SAUSA Pilot Project seeks to train tribal prosecutors in federal law, procedure and investigative techniques to increase the likelihood that every viable violent offense against Native women is prosecuted in either federal court or tribal court, or both. The Tribal SAUSA Pilot Project was largely driven by input gathered from annual tribal consultations on violence against women, and is another step in the Justice Department's on-going efforts to increase engagement, coordination and action on public safety in tribal communities.
7 June 2018
Worcester Woman Sentenced for Role in Federal Drug ConspiracyRead the Press Release
BOSTON – A Worcester woman was sentenced today in federal court in Worcester for her role in a heroin and cocaine conspiracy.
Kristin Little, 34, was sentenced by U.S. District Court Judge Timothy J. Hillman to 30 months in prison and four years of supervised release. In May 2018, Little pleaded guilty to one count of conspiring to distribute heroin and cocaine and to possess heroin and cocaine with the intent to distribute. Little and four co-defendants, Vito Nuzzolilo, of Worcester; Thomas Walker, of Pemaquid, Maine; Melissa Rock, of Pemaquid, Maine; and Ricardo Ortega-Vasquez, a Dominican national residing in New York City, were indicted in July 2017.
In May 2017, as a result of an investigation into drug trafficking in the Worcester area, Little and Nuzzolilo were arrested and charged for their roles in a drug conspiracy. (The three co-defendants were arrested in June and July 2017.) Little sold heroin and cocaine from her apartment in Worcester and collected debts that arose from previous drug sales. In 2017, a federal wiretap captured Nuzzolilo directing Little to provide heroin and cocaine of various quantities to numerous customers.
Rock, Walker, and Ortega-Vasquez have each pleaded guilty. Nuzzolilo pleaded not guilty and is awaiting trial.
United States Attorney Andrew E. Lelling; Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration, New England Field Division; and Massachusetts Attorney General Maura Healey made the announcement today. Assistant U.S. Attorney Bill Abely of Lelling’s Worcester Branch Office is prosecuting the case.
The details contained in the charging documents are allegations. The remaining defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Wood County Woman Guilty of embezzling $1.8 million from California CompaniesRead the Press Release
TYLER, Texas – A 49-year-old, Hawkins, Texas, woman has pleaded guilty to federal violations in the Eastern District of Texas, announced U.S. Attorney Joseph D. Brown today.
Lina Su, also known as Lina Perkins, pleaded guilty to two counts of wire fraud and one count of money laundering today before U.S. Magistrate Judge K. Nicole Mitchell.
According to information presented in court, in March of 2017, Su made several unauthorized wire transfers from VIG Furniture bank accounts into an account she controlled at City National Bank in Sulphur Springs, Texas. In 2015 and 2016, she also made unauthorized transfers from Airport Van Rental and ACE Medical Transport bank accounts into her personal checking account. In addition, Su used funds from those companies’ accounts to make personal credit card payments, purchase land for herself, and pay contractors constructing her home in Wood County, Texas. Altogether, Su embezzled and transferred over $1.8 million dollars from the California companies she was working for during the time period. Su was indicted by a federal grand jury on Dec. 13, 2017.
Under federal statutes, Su faces up to life in federal prison at sentencing. The maximum statutory sentence prescribed by Congress is provided here for information purposes, as the sentencing 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 U.S. Probation Office.
This case was investigated by the Internal Revenue Service, Criminal Investigation, Tyler Office, the Vernon California Police Department, and prosecuted by Assistant U.S. Attorneys Jim Noble and Robert Wells with the assistance of the Financial Litigation Unit.
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Wilson Man Sentenced to 40 Years for Sex Trafficking of a MinorRead the Press Release
NEW BERN – The United States Attorney for the Eastern District of North Carolina, Robert J. Higdon, Jr., announced that today, United States District Judge Louise W. Flanagan sentenced WILLIAM MAURICE SADDLER, 35, of Wilson to 480 months’ imprisonment followed by a lifetime of supervised release. On November 30, 2017, SADDLER was found guilty by a federal jury in New Bern of conspiracy to commit sex trafficking of a minor and sex trafficking by force, fraud or coercion and of a minor.
The evidence presented at trial showed: The victim was fifteen years old. He began dating and then having a sexual relationship with her. One day, SADDLER gave her crack, took her to a migrant camp near Wilson, North Carolina, and forced her to prostitute. After that, SADDLER took her to migrant camps near Wilson numerous times to prostitute. Among other tactics, Saddler used violence, fear, and manipulation to force the victim to continue prostituting to support Saddler’s crack cocaine habit.
SADDLER’s brother, Bobby Ray Williams Jr., and his girlfriend, Temeeka Honey, helped transport the victim to prostitute. Williams then also began prostituting the victim. Around December 2015, SADDLER’s crack cocaine dealer, Kenneth Corvon Ward, and Ward’s girlfriend, Yadyra Brown, also began prostituting the victim around Wilson and Raleigh, North Carolina. Williams, Ward, Honey, and Brown all were previously convicted and sentenced in related cases.
Investigation of this case was conducted by the Federal Bureau of Investigation, the Raleigh Police Department, the N.C. State Bureau of Investigation, the Wilson Police Department and the Wilson County Sheriff’s Office. Assistant United States Attorneys Erin C. Blondel and Eleanor Morales represented the United States.
Willow Springs Man Sentenced to 30 Years for Drug and Explosive OffensesRead the Press Release
NEW BERN – The United States Attorney for the Eastern District of North Carolina, Robert J. Higdon, Jr., announced that today, United States District Judge Louise W. Flanagan sentenced JAMES CURTIS DENTON, 37, of Willow Springs, North Carolina to 360 months imprisonment followed by 5 years of supervised release. On February 25, 2017, DENTON was found guilty by a federal jury of conspiracy to manufacture and distribute methamphetamine and possession and transportation of an explosive by a drug user with the intent to injure or kill an individual.
In the early morning of May 28, 2015, an improvised explosive device (IED) constructed of PVC pipe, black powder, and shrapnel was affixed under the vehicle of DENTON’S ex-spouse’s fiancé. Later that day, the IED exploded as the victim was driving down a neighborhood street. Fortunately, the victim was unharmed. During the investigation, it was discovered that DENTON was involved in drug use, and, as the drug investigation continued, evidence regarding DENTON’S motive to place the IED was revealed. Investigators and the federal prosecutor were able to tie DENTON to the IED based on the statements and interviews of multiple witnesses, including a co-defendant who accompanied DENTON to the neighborhood when he placed the IED.
Investigation of this case was conducted by the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) and the Cary Police Department. Assistant United States Attorney Jason Kellhofer represented the government.
Williamson County Man Sentenced to Nearly 20 Years in Prison for Dealing MethamphetamineRead the Press Release
On June 5, 2018, William J. Craig, a/k/a "Billy," 35, of Marion, Illinois, was sentenced to 235 months of imprisonment in federal prison for his role in a methamphetamine offense, United States Attorney for the Southern District of Illinois, Donald S. Boyce, announced today. Craig previously pled guilty to a one-count indictment charging conspiracy to distribute more than 50 grams of methamphetamine. The indictment alleged that the offense occurred between March 2016 and April 2017, in Williamson and Franklin Counties.
Evidence at the plea and sentencing hearings established that Craig was involved with numerous other persons in the manufacture of methamphetamine and the distribution of ice. Ice is methamphetamine with a purity level of at least 80%. At sentencing, the district court found Craig responsible for the possession of 174.96 grams of pseudoephedrine and the distribution of over 116 grams of ice.
Craig received an enhanced sentence for threatening violence during the commission of the offense and for maintaining a drug residence. Because of his prior convictions, Craig was classified as a Career Offender. His sentence includes a four-year term of supervised release.
The investigation was conducted by the Southern Illinois Enforcement Group and the Drug Enforcement Administration. The Marion Police Department and Williamson County States Attorney’s Office also assisted in the investigation.
Wayne County Man Pleads Guilty to Making Counterfeit Currency and Possession of a Firearm by a Convicted FelonRead the Press Release
Hattiesburg, Miss. – Cory Dalton Cochran, 40, of Wayne County, Mississippi, pled guilty yesterday before U.S. District Judge Keith Starrett to one count of making counterfeit currency and one count of possession of a firearm by a convicted felon, announced U.S. Attorney Mike Hurst and Special Agent in Charge Michael Williams of the United States Secret Service.
An investigation by the United States Secret Service and the Wayne County Sheriff’s Office identified Cochran as an individual who had been making and passing counterfeit United States currency. On September 14, 2017, a Field Agent from the Mississippi Department of Corrections made a routine home visit to the residence of Cochran, who was on probation from a prior felony conviction. During the course of the home visit, the agent saw what appeared to be counterfeit currency in plain view. Wayne County Sheriff’s Deputies assisted by securing the residence and obtaining a search warrant. The United States Secret Service assisted in conducting the search of the residence, which yielded counterfeit currency in multiple denominations, unfinished counterfeit currency, and other items related to the making of counterfeit currency. Agents also found a firearm leaning against the wall in a room next to where the counterfeit currency was being made by Cochran. Cochran is prohibited by federal law from possessing a firearm based on his prior felony convictions in Wayne County, Mississippi and in Georgia.
Cochran will be sentenced by Judge Starrett on September 18, 2018, and faces a maximum penalty of up to 30 years in federal prison and $500,000 in fines.
The case was investigated by the United States Secret Service and the Wayne County Sheriff’s Office, with assistance from the Mississippi Department of Corrections. The case is being prosecuted by Assistant United States Attorney Dave Fulcher.
Washington Closure Hanford Agrees to Pay $3.2 Million to Settle Hanford Subcontract Small Business Fraud AllegationsRead the Press Release
Spokane – Joseph H. Harrington, United States Attorney for the Eastern District of Washington, announced today that Washington Closure Hanford, LLC (WCH), a prime contractor at the Department of Energy’s Hanford Site, has agreed to pay $3.2 million to resolve allegations that WCH violated the False Claims Act in connection with a number of small business subcontracts. The case originally arose out of a whistleblower complaint filed by Savage Logistics LLC, a Hanford-area small business, and Salina Savage, its owner.
Between 2005 and 2016, WCH, a joint venture owned by AECOM (formerly URS Corporation), Bechtel National Inc., and CH2M Hill Companies Ltd., was a DOE prime contractor at the Hanford Site responsible for environmental remediation and cleanup of the Columbia River Corridor. Pursuant to its contract, DOE fully reimbursed WCH for hundreds of millions of dollars in subcontracts awarded by WCH. Accordingly, WCH’s contract required that WCH make efforts to award a certain percentage of those subcontracts to small businesses and to small disadvantaged businesses, including woman-owned small businesses.
In December 2013, the United States filed a Complaint in Intervention alleging that WCH, Federal Engineers & Constructors, (FE&C) a non-small disadvantaged business that performed work for WCH, Sage Tec LLC, a purported small disadvantaged business, and Laura Shikashio, the owner of Sage Tec, violated the False Claims Act with respect to two subcontracts between WCH and Sage Tec. The Complaint alleged that WCH, FE&C, Sage Tec, and Laura Shikashio knowingly misrepresented Sage Tec to be a legitimate and eligible small disadvantaged business in order to receive two multi-million dollar subcontracts that were reserved for small disadvantaged businesses. The Complaint further alleged that Sage Tec was not a legitimate small disadvantaged business but was instead a pass-through front company for FE&C, which performed substantially all of the work on the subcontracts.
According to information disclosed during court proceedings, this settlement resolves WCH’s liability for the alleged conduct set forth in the United States’ Complaint, bringing the United States’ total recoveries in this case from all defendants to more than $5.5 million. In August 2017, the Court denied WCH’s motion to limit the United States’ damages to those remedies set forth in WCH’s contract, holding that damages could be measured by the entire amount of the fraudulently-obtained Sage Tec contracts. In September 2017, in separate settlements, FE&C paid $2 million to resolve its liability, and Sage Tec and Shikashio paid $235,000 to resolve their liability. WCH was the sole remaining defendant with respect to the United States’ claims.
United States Attorney Harrington said, “Small business fraud not only harms the taxpayers and the vital cleanup mission at Hanford, but legitimate small disadvantaged businesses that do not have the opportunity to fairly compete for and perform subcontracts. I commend the outstanding investigative work performed by the Department of Energy Office of Inspector General and Small Business Administration Office of Inspector General, which made this resolution possible. The United States Attorney’s Office for the Eastern District of Washington will pursue aggressively those who defraud and take advantage of programs designed to help legitimate small disadvantaged businesses”
“Providing false representations to the Government in order to conceal the true nature of small business subcontractor involvement will result in severe consequences,” said SBA Acting Inspector General Hannibal “Mike” Ware. “SBA OIG is committed to protecting the integrity of SBA’s preferential contracting programs. I want to thank the Department of Justice and our law enforcement partners for their dedication and hard work in achieving this settlement.”
Department of Energy Principal Deputy Inspector General April G. Stephenson said, “The Department of Energy Office of Inspector General is committed to ensuring the integrity of Departmental contracts and financial expenditures. We will continue to investigate allegations of fraudulent diversion of tax dollars throughout DOE programs. This settlement is a result of our staff’s dedicated work to ensure public funds are used for the mission-related purposes for which they are intended. We appreciate the collaboration with our law enforcement partners and the support of Department of Justice attorneys in these matters.”
SBA’s General Counsel, Chris Pilkerton, said, “These successful prosecutions demonstrate the tremendous results achieved through the combined efforts of federal agencies to uncover and forcefully respond to procurement fraud. SBA is strongly committed to identifying and aggressively pursuing instances of fraud perpetrated by those participating in SBA’s Small Business programs.”
The case is captioned as United States of America ex rel. Salina Savage, Savage Logistics LLC, vs. Washington Closure Hanford LLC, Federal Engineers and Constructors, Inc., Sage Tec LLC, and Laura Shikashio, CV-10-5051-SMJ. The whistleblowers will receive $643,000 as a result of the settlement. The investigation was conducted by the Department of Energy Office of Inspector General and the Small Business Administration Office of Inspector General. This case was prosecuted by Assistant United States Attorneys Tyler Tornabene, Vanessa Waldref, and Dan Fruchter, with analytical support from Affirmative Civil Enforcement Investigative Analyst Jeanne Harkleroad.
Virginia man admits to selling cocaineRead the Press Release
MARTINSBURG, WEST VIRGINIA – Marto Orantes, of Winchester, Virginia, has admitted to cocaine distribution, United States Attorney Bill Powell announced.
Orantes, age 48, pled guilty to one count of “Distribution of Cocaine.” Orantes admitted to selling cocaine in April 2016 in Hampshire County.
Orantes faces up to 20 years incarceration and a fine of up to $1,000,000. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant U.S. Attorneys Shawn M. Adkins and Lara K. Omps-Botteicher are prosecuting the case on behalf of the government. The investigation was led by the Drug Enforcement Administration, the Federal Bureau of Investigation, Homeland Security Investigations, the Bureau of Alcohol, Tobacco, Firearms and Explosives, the United States Marshals Service, the Eastern Panhandle Drug & Violent Crimes Task Force, a HIDTA-funded initiative, the Potomac Highlands Drug & Violent Crimes Task Force, the Northwest Virginia Regional Drug & Gang Task Force , the West Virginia State Police, the Virginia State Police, the Berkeley County Sheriff’s Office, the Jefferson County Sheriff’s Office, the Mineral County Sheriff's Office, the Martinsburg Police Department, the Charles Town Police Department, the Keyser City Police Department, and the Ranson Police Department. Other agencies assisting in the investigation are the Winchester City Police Department; and Frederick County, Virginia Sheriff’s Office; Pittsylvania County; Virginia Sheriff’s Office; and the Henry County, Virginia, Sheriff’s Office.
The investigation was funded in part by the federal Organized Crime Drug Enforcement Task Force Program (OCDETF). The OCDETF program supplies critical federal funding and coordination that allows federal and state agencies to work together to successfully identify, investigate, and prosecute major interstate and international drug trafficking organizations and other criminal enterprises.
U.S. Magistrate Judge Robert W. Trumble presided.
United States Attorney’s Office and Waterloo Police Department Announce SAFE Initiative to Further Reduce Violent CrimeRead the Press Release
United States Attorney Peter E. Deegan, Jr, Waterloo Police Chief Daniel Trelka, and other community partners today announced a new initiative to enhance efforts to combat violent crime in Waterloo. 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 Project Safe Neighborhoods (PSN) and directed all U.S. Attorney’s Offices to develop a district crime reduction strategy that incorporates the lessons learned since PSN launched in 2001. The Safer Areas For Everyone (SAFE) initiative is an effort by the Waterloo Police Department and the United States Attorney’s Office to implement lessons learned from PSN and other programs over the years and to continue to reduce violent crime in Waterloo.
Since 2009, Waterloo’s overall crime rate has declined by more than 30%. However, certain violent crime continues to warrant special attention. Through a comprehensive strategy building upon the successes already achieved in Waterloo with a community policing philosophy, the Waterloo Police Department and the United States Attorney for the Northern District of Iowa are expanding their collaborative efforts to achieve even greater success through the cutting edge SAFE initiative. Waterloo was chosen to participate in this initiative due to the success already achieved in the city and the detailed data compiled by the police department.
The goal of SAFE is to reduce violent crime and make Waterloo neighborhoods safer for all to enjoy. The initiative includes holding violent offenders accountable, but also intervening in the cycle of criminal behavior that evolves into violent conduct through discussions with the public and encouraging communities to help law enforcement in this effort. SAFE will also seek to support locally-based prevention, rehabilitation, and re-entry efforts, to stop violence and crimes before they occur and to help those who have been punished return to society as law-abiding citizens.
United States Attorney Peter Deegan stated, “Reducing violent crime and protecting our communities remains a top priority for my office.” Deegan added, “We have worked closely with the Waterloo Police Department over the years and the SAFE initiative is the next step in making the streets of Waterloo safer for all members of the community. We will continue to hold the most dangerous criminal offenders accountable, but will also ensure that those who want to be contributing members of society can do so through rehabilitation and successful re-entry. Working with our community partners to provide services and opportunities to those looking to end the cycle of violence will make the streets of Waterloo safer.”
Waterloo Police Chief Daniel Trelka stated, “My department works hard to keep the streets of Waterloo safe for everyone.” Chief Trelka added, “The SAFE initiative will allow us to build upon the successes we have had in the past while looking to make our streets safer in the future. Our partnerships with community members and law enforcement agencies in the area will only grow stronger and will provide paths for success through rehabilitation and community resources.”
Other participants in SAFE are the Bureau of Alcohol, Tobacco, and Firearms, the Federal Bureau of Investigation, the Iowa Department of Corrections, the Black Hawk County Attorney’s Office, and members of the community in Waterloo.
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U.S. Attorney Brady Announces Formation of Project Safe Childhood Task ForceRead the Press Release
PITTSBURGH – United States Attorney Scott W. Brady announced today the formation of the United States Attorney’s Project Safe Childhood Task Force to focus on protecting children from sexual exploitation and abuse.
"The number of technology-facilitated sexual crimes against children continues to grow," stated U.S. Attorney Brady. "By establishing the United States Attorney’s Project Safe Childhood Task Force, with six experienced federal prosecutors dedicated to the protection of children, we are able to focus our resources on locating, apprehending and prosecuting pedophiles and predators who seek to exploit children."
The United States Attorney’s Project Safe Childhood Task Force is headed by Assistant United States Attorney Heidi M. Grogan, who has been named as the Project Safe Childhood Coordinator. U.S. Attorney Brady noted, "Assistant U.S. Attorney Grogan has prosecuted crimes against children as both a state and federal prosecutor. She has a breadth of experience and a strong commitment to these cases that will serve her well in this new role." Task Force members include Asst. U.S. Attorneys Carolyn J. Bloch, Lee J. Karl, Shanicka L. Kennedy, Soo C. Song and Christy C. Wiegand. These prosecutors will be responsible for using the weight of the federal justice system against these offenders, where stronger sentences and harsher penalties exist for sexual predators.
U.S. Attorney Brady commended the work of Assistant United States Attorney Jessica Lieber Smolar, who has been the coordinator of the office’s crimes against children cases since 2012. "AUSA Smolar’s hard work and dedication on these challenging cases has provided us with an excellent road map for moving forward," U.S. Attorney Brady said. AUSA Smolar will now focus her work on international cybercrime and national security.
"As United States Attorney and as a father, there is nothing more important to me than keeping our children safe. This new Project Safe Childhood Task Force will ensure that children are protected from the horrors of sexual abuse and those who harm children will be caught and prosecuted to the fullest extent of the law," U.S. Attorney Brady added.
Two Dozen Ms-13 Gang Members Indicted on Federal Racketeering ChargesRead the Press Release
A 73-count fifth superseding indictment was unsealed today in the United States District Court for the Eastern District of New York in Central Islip, New York, charging two dozen members of La Mara Salvatrucha, also known as the MS-13, a transnational criminal organization, with racketeering and related offenses. This indictment adds eight additional defendants, seven of whom are in custody, and offenses in connection with the April 29, 2016 murder of Oscar Acosta in Brentwood, the July 18, 2016 attempted murder of two suspected rival gang members in Brentwood, the August 10, 2016 attempted murder of rival gang members in Brentwood, the September 12, 2016 arson of two vehicles in Brentwood, the October 10, 2016 murder of Javier Castillo in Freeport, the October 13, 2016 murder of Dewann Stacks in Brentwood, the December 18, 2016 assault outside Super Taco restaurant in Brentwood, and a conspiracy to distribute marijuana. In total, 15 murders committed by MS-13 members have been charged in the fifth superseding indictment and underlying indictments in this case.
Seven of the newly added defendants are scheduled to be arraigned this afternoon before United States District Judge Joseph F. Bianco at the federal courthouse in Central Islip, and the previously charged defendants will be arraigned at their next scheduled court appearances.
Attorney General Jeff Sessions, 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), Geraldine Hart, Commissioner, Suffolk County Police Department (SCPD), and Patrick J. Ryder, Commissioner, Nassau County Police Department (NCPD), announced the charges.
“The Department of Justice will not allow MS-13 to terrorize our citizens or control our communities,” said Attorney General Jeff Sessions. “With more than 10,000 members across 40 states, MS-13 is one of the most dangerous groups in America. The day that I was sworn in as Attorney General, President Trump ordered me to focus on dismantling transnational criminal organizations like MS-13, which is based in El Salvador. We have followed that order, working with our allies to arrest or charge thousands of MS-13 members across the Western Hemisphere since then. When I visited Long Island last year, people told me about how the MS-13 threat was inflicting violence and fear on the community. And so I want to thank our Assistant U.S. Attorneys John Durham, Paul Scotti, Michael Keilty, and Raymond Tierney as well as our state and local law enforcement partners in New York for all of their hard work on this case and so many other MS-13 cases. Today’s indictment is our next step toward taking this despicable gang off the streets for good.”
“The charges in this indictment further demonstrate the utter brutality of the MS-13 and the havoc the gang inflicts on our communities,” stated United States Attorney Donoghue. “This Office and our law enforcement partners will continue to combat the MS-13’s violence with relentless perseverance until the gang is dismantled and its members are brought to justice.” Mr. Donoghue expressed his sincere thanks to all the members of the FBI’s Long Island Gang Task Force, as well as the Drug Enforcement Administration for their outstanding work on the investigation.
“The charges and arrests detailed here show our relentless efforts to dismantle and eradicate MS-13 in communities on Long Island,” stated FBI Assistant Director-in-Charge Sweeney. “The unbelievable partnerships and relationships we’ve built with the law enforcement agencies on our Long Island Gang Task Force have allowed us to make a huge dent in the havoc created in recent years by MS-13. Our work isn’t over, and we won’t stop our pursuit until the community no longer fears the violence and deadly attacks by this gang.”
“MS-13 gang activity and the accompanying senseless acts of violence will not be tolerated in Suffolk County, and these developments ensure that these dangerous individuals will no longer be a threat to our communities,” stated SCPD Commissioner Hart. ”The Suffolk County Police Department will continue its partnership with the FBI’s Long Island Gang Task Force as part of its multi-pronged approach and unrelenting pursuit to dismantle MS-13.”
“This Indictment is another clear example of how the members of MS-13 have disrupted the communities that they live in,” stated NCPD Commissioner Ryder. “So many lives have been negatively affected and the loss of life at their hands will never be tolerated. I would like to congratulate all of the investigating agencies and their members for their dedication and professionalism. Every member of MS-13 that is involved in criminality and is eventually incarcerated, is another step to creating a safer environment for our residents and their children.”
As set forth in court filings, including a detention memorandum filed earlier today, a majority of the new charges pertain to a series of crimes committed by members of the Sailors Locos Salvatruchas Westside (“Sailors”) clique during 2016, including the murders of Oscar Acosta, Javier Castillo and Dewann Stacks.
Kevin Torres, the leader of the Sailors clique in New York, and Alexi Saenz, the leader of the Brentwood chapter of the Sailors clique, authorized Acosta’s murder because he was suspected of being a rival 18th Street gang member. On April 29, 2016, Nelson Argueta-Quintanilla and other MS-13 members encountered Acosta, beat him with tree limbs, tied him up, and called co-defendants Alexi Saenz, Jairo Saenz, Jonathan Hernandez and others, who met them. The gang members loaded Acosta into the trunk of a car, drove to a more isolated wooded area in Brentwood, stabbed and slashed Acosta to death with a machete and buried his body, which was not recovered until September 2016.
On October 10, 2016, Alexi Saenz, Jairo Saenz, Wilber Adalberto Fernandez-Vasquez, Frank Alexander Ventura-Ramirez, and other MS-13 members murdered Javier Castillo, who they also suspected of being a rival 18th Street gang member. The defendants lured Castillo, who lived in Central Islip, to Cow Meadow Park in Freeport, where they attacked and killed him with a machete and buried his body in a shallow grave near a saltwater marsh. Castillo’s body was not recovered until October 2017.
On October 13, 2016, only three days after the Castillo murder, Alexi Saenz, Jairo Saenz, Enrique Portillo, Ever Flores and other MS-13 members murdered Dewann Stacks, who they suspected was a rival gang member. While Alexi Saenz and other members of the gang conducted surveillance from one car, Portillo, Flores and another MS-13 gang member attacked and killed Stacks with a baseball bat and machetes before returning to the getaway vehicle driven by Jairo Saenz.
Various members of the Sailors clique are newly charged with four non-fatal violent crimes that occurred during 2016. On July 18, 2016, Alexi Saenz, Jairo Saenz and Portillo attempted to murder two rival gang members in Brentwood. One of those men was shot, and the other man was both shot and repeatedly slashed with a machete, leaving him permanently disfigured. On August 10, 2016, Alexi Saenz, Jairo Saenz, Argueta-Quintanilla, Hernandez and Marlon Serrano attempted to murder rival gang members in Brentwood, where numerous shots were fired, but no one was wounded. On September 12, 2016, Alexi Saenz, Jairo Saenz, Portillo and Serrano set fire to two vehicles at the residence of an individual who had a dispute with the MS-13. On December 18, 2016, Jose Suarez and Flores assaulted two men who were disrespectful toward the MS-13 outside a Super Taco restaurant in Brentwood.
Finally, the fifth superseding indictment adds marijuana and cocaine conspiracy charges against Suarez, Argueta-Quintanilla, Fernandez-Vasquez, Flores, Hernandez, Serrano, Torres and Ventura-Ramirez, and separate marijuana conspiracy charges against Jerlin Villalta, a member of the Freeport Locos Salvatruchas clique of the MS-13.
In addition to the three new murders, 12 other murders previously were charged in this case, including, the May 26, 2013 murder of Derrick Mayes, the May 28, 2013 murder of Keenan Russell, the July 14, 2014 murder of Jose Lainez-Murcia, the June 30, 2015 murder of Jonathan Cardona-Hernandez, the June 3, 2016 murder of Jose Pena, the September 13, 2016 murders of Kayla Cuevas and Nisa Mickens, the January 30, 2017 murder of Esteban Alvarado-Bonilla, and the April 11, 2017 murders of Justin Llivicura, Michael Lopez, Jorge Tigre and Jefferson Villalobos, as well as numerous attempted murders and assaults.
The charges in the fifth superseding indictment are merely allegations, and the defendants are presumed innocent unless and until proven guilty.
Today’s superseding indictment is the latest in a series of federal prosecutions by the United States Attorney’s Office for the Eastern District of New York targeting members of the MS-13, a violent international criminal organization. The MS-13’s leadership is based in El Salvador and Honduras, but the gang has thousands of members across the United States, comprised primarily of immigrants from Central America. With numerous branches, or “cliques,” the MS-13 is the largest and most violent street gang on Long Island. Since 2003, hundreds of MS-13 members, including dozens of clique leaders, have been convicted on federal felony charges in the Eastern District of New York. A majority of those MS-13 members have been convicted on federal racketeering charges for participating in murders, attempted murders and assaults. Since 2010, this Office has obtained indictments charging MS-13 members with carrying out more than 45 murders in the Eastern District of New York, and has convicted dozens of MS-13 leaders and members in connection with those murders. These prosecutions are the product of investigations led by the FBI’s Long Island Gang Task Force, comprising agents and officers of the FBI, Bureau of Alcohol, Tobacco, Firearms and Explosives, U.S. Immigration and Customs Enforcement – Homeland Security Investigations, SCPD, NCPD, Nassau County Sheriff’s Department, Suffolk County Probation, Suffolk County Sheriff’s Department, Rockville Centre Police Department and the New York State Police.
The government’s case is being prosecuted by the Office’s Long Island Criminal Division. Assistant United States Attorneys John J. Durham, Paul G. Scotti, Michael T. Keilty and Raymond A. Tierney are in charge of the prosecution.
New Defendants:
NELSON ARGUETA-QUINTANILLA (“Mendigo”)
Age: 21
Brentwood, New YorkWILBER ADALBERTO FERNANDEZ-VASQUEZ (“Asiatico”)
Age: 22
Roosevelt, New YorkEVER FLORES (“Negro” and “Grone”)
Age: 26
Brentwood, New YorkJONATHAN HERNANDEZ (“Travieso” and “Kraken”)
Age: 20
Brentwood, New YorkMARLON SERRANO (“Flaco” and “Little Extrano”)
Age: 20
Brentwood, New YorkKEVIN TORRES (“Quieto” and “Inquieto”)
Age: 22
Roosevelt, New YorkFRANK ALEXANDER VENTURA-RAMIREZ (“Olvidado”)
Age: 19
Freeport, New YorkPreviously Indicted Defendants Facing Additional Charges:
ENRIQUE PORTILLO (“Oso” and “Turkey”)
Age: 20
Central Islip, New YorkALEXI SAENZ (“Blasty” and “Plaky”)
Age: 23
Brentwood, New YorkJAIRO SAENZ (“Funny”)
Age: 21
Brentwood, New YorkJERLIN VILLALTA
Age: 21
Brentwood, New YorkJOSE SUAREZ (“Chompira”)
Age: 24
Central Islip, New YorkE.D.N.Y. Docket No. 16-403 (S-5)(JFB)
Two Cleveland men indicted for using firearms to rob MetroPCS stores and shoot at off-duty police officerRead the Press Release
An 11-count indictment was filed in U.S. District Court charging two Cleveland men were for brandishing firearms while robbing four MetroPCS stores and shooting at an off-duty Cleveland police officer.
Shawn Ford, 19, and Charles Rogers, 23, were each charged with conspiracy to commit Hobbs Act robbery and four counts each of Hobbs Act robbery.
Ford was charged with three counts of brandishing or using a firearm during a crime of violence. Rogers was charged with one count of brandishing a firearm during a crime of violence and two counts of aiding or abetting the use or brandishing of a firearm during a crime of violence.
“These are dangerous individuals who used firearms to rob people going about their day, as well as shooting at an off-duty Cleveland police officer,” U.S. Attorney Justin Herdman said. “Cleveland is safer with these two off the streets.”
Ford and Rogers are accused of robbing the MetroPCS store at 10959 Kinsman Road on March 21, at 11100 Lorain Ave. on March 25, at 14701 Kinsman Road on March 27 and at 5853 Broadway Ave., also on March 27.
Ford and Rogers fled from the store on Broadway after taking more than $1,000 from the register. An off-duty Cleveland police officer, who was a customer in the store, followed them out of the store. He identified himself as a police officer and ordered them to stop. One of the suspects began shooting at the officer and 15 spent 9 mm shell casings were recovered nearby, according to court documents.
About 30 minutes later, an officer saw a vehicle that matched the description of the car the suspects got into after shooting at the officer. The car was pulled over with Ford and Rogers inside. Inside the car was a spent 9 mm round, blue latex gloves and clothing that matched clothing worn by suspects in other MetroPCS robberies, according to court documents.
Rogers was wearing an electronic monitoring device with GPS capabilities on March 21, the date of the first MetroPCS robbery. The GPS placed Rogers one-tenth of a mile from the Kinsman Road store a few minutes before the robbery. Sometime later the GPS device was tampered with or taken off Rogers, according to court documents.
These cases are part of Project Safe Neighborhoods, a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. Attorney General Jeff Sessions reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.
This case was investigated by the Cleveland Division of Police and Bureau of Alcohol, Tobacco, Firearms and Explosives, with assistance from the Ohio Adult Parole Authority and the Cuyahoga County Prosecutor’s Crime Strategies Unit. It is being prosecuted by Assistant U.S. Attorney Kelly L. Galvin.
If convicted, the defendant’s sentence will be determined by the court after review of factors unique to this case, including the defendant’s prior criminal record, if any, the defendant’s role in the offense, and the characteristics of the violation. In all cases, the sentence will not exceed the statutory maximum and in most cases it will be less than the maximum.
An indictment is a charge and is not evidence of guilt. A defendant is entitled to a fair trial, in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
Tulsa Couple Indicted on Child Sex Trafficking ChargesRead the Press Release
PITTSBURGH - Two residents of Tulsa, Oklahoma, have been indicted by a federal grand jury in Pittsburgh on charges of Interstate Transportation of a Minor for Purpose of Engaging in Unlawful Sexual Activity, Conspiracy to Commit Sex Trafficking, and Sex Trafficking of a Child, United States Attorney Scott W. Brady announced today. The indictment was brought following the creation of the U.S. Attorney’s new Project Safe Childhood Task Force that is focusing on protecting children from sexual exploitation and abuse.
"The number of technology-facilitated sexual crimes against children continues to grow," stated U.S. Attorney Brady. "By establishing the United States Attorney’s Project Safe Childhood Task Force, with six experienced federal prosecutors dedicated to the protection of children, we are able to focus our resources on locating, apprehending and prosecuting pedophiles and predators who seek to exploit children."
"Without the professional and coordinated efforts of the City of Pittsburgh Bureau of Police, the Cranberry Police Department and the FBI, the juvenile victim would not have been rescued and her traffickers brought to justice. The sex trafficking of children in the Western District of Pennsylvania will not be tolerated," added U.S. Attorney Brady.
The three-count indictment, returned on June 5, named Oscar Carter, 34, and Shelby Summer Brown, 27, both of 1254 N. Cheyenne Avenue, Tulsa, Oklahoma 74106, as the defendants.
According to the indictment, onMarch 6, 2018, Carter and Brown knowingly and willfully transported Minor A, who had not attained the age of 18 years, from Ohio to Pennsylvania, with the intent that Minor A would engage in prostitution and other sexual activity for which a person could be charged with a criminal offense. Then, from March 6, 2018 to March 14, 2018, Carter and Brown knowingly entered into a conspiracy to recruit for sex trafficking a female minor who had not attained the age of 18 years. The indictment further alleges that from March 6, 2018 to March 14, 2018, Carter and Brown knowingly recruited, enticed, harbored, transported, provided, obtained and maintained by any means, in and affecting interstate commerce, a female minor under the age of 18 years, and did benefit financially or by receiving anything of value from participation in a venture engaged in commercial sexual acts, knowing and in reckless disregard of the fact, and having had a reasonable opportunity to observe Minor A, that Minor A had not attained the age of 18 years, and that Minor A would be caused to engage in a commercial sex act.
The law provides for a maximum total sentence of life imprisonment, a fine of $750,000, and a term of supervised release for any term of years not less than five, and up to life. 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 defendants.
Carter and Brown are currently incarcerated at the Butler County Prison. The government intends to seek their continued detention pending trial.
Assistant United States Attorney Jessica Lieber Smolar is prosecuting this case on behalf of the government.
The Federal Bureau of Investigation, the Cranberry Township Police, and the City of Pittsburgh Bureau of Police 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.
Trafford Man Admits Taking $57K in Railroad Retirement Disability BenefitsRead the Press Release
PITTSBURGH, PA - A resident of Trafford, Pennsylvania, pleaded guilty in federal court to a charge of theft of government property, United States Attorney Scott W. Brady announced today.
Warren Robb, age 57, pleaded guilty to one count before United States District Judge Mark R. Hornak.
In connection with the guilty plea, the court was advised that, in 2010, Robb applied for and received disability benefits from the U.S. Railroad Retirement Board. Robb never notified the Board that his condition had improved or that he had performed work for any employer, and certified in December 2016 that his disability prevented him from working. Robb in fact worked as a short-order cook at a restaurant in Level Green, Pennsylvania, from October 2015 to February 2017, and intentionally received and converted RRB disability benefits during that time to which he knew he was not entitled. From November 2015 through July 2017, Robb received disability benefits totaling approximately $57,821.68.
Judge Hornak scheduled sentencing for October 16, 2018, at 2:00 PM. The law provides for a maximum total sentence of 10 years in prison, a fine of $250,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Adam N. Hallowell is prosecuting this case on behalf of the government.
The Railroad Retirement Board, Office of Inspector General, conducted the investigation that led to the prosecution of Warren Robb.
Toledo man indicted for selling carfentanil, heroin, fentanyl and crack cocaineRead the Press Release
A Toledo man was charged in a 14-count federal indictment with conspiring to distribute carfentanil, fentanyl and heroin.
Antoine Neal, aka Antoinne Neal, 40, conspired with others and sold fentanyl, heroin, carfentanil and crack cocaine between June and October 2017, according to the indictment.
Neal sold more than 26 grams of carfentanil over 10 days in 2017, according to the indictment.
“This defendant sold enough carfentanil to kill thousands of people, not to mention the other deadly drugs he sold,” U.S. Attorney Justin Herdman said.
If convicted, the defendant’s sentence will be determined by the Court after reviewing factors unique to this case, including the defendant’s prior criminal record, if any, the defendant’s role in the offense and the characteristics of the violation. In all cases the sentence will not exceed the statutory maximum and in most cases it will be less than the maximum.
This case was investigated jointly by members of the Toledo Police Department, the Drug Enforcement Administration and the Federal Bureau of Investigation. The case is being handled by Assistant U.S. Attorney Alissa M. Sterling.
An indictment is only a charge and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
Texas Woman Sentenced to Almost Five Years in Federal Prison for Cocaine TraffickingRead the Press Release
Gulfport, Miss. – Evelyn Juarez, 20, of Humble, Texas, was sentenced today by U.S. District Judge Sul Ozerden to 57 months in federal prison, followed by 3 years of supervised release, for possessing with intent to distribute cocaine, announced U.S. Attorney Mike Hurst and Christopher Freeze, Special Agent in Charge of the Federal Bureau of Investigation.
Juarez pled guilty on February 21, 2018, to one count of possession with intent to distribute cocaine. She was in possession of 6 kilograms of cocaine going from Houston, Texas, to South Carolina when she was stopped for a traffic violation on May 10, 2017. The cocaine was later discovered secreted in the vehicle.
The case was investigated by the Federal Bureau of Investigation and prosecuted by Assistant U.S. Attorney John Meynardie.
Texas Man Pleads Guilty to Inducing South Carolina Child to Travel for Illegal Sexual ActivityRead the Press Release
Columbia, South Carolina ---- United States Attorney Sherri A. Lydon stated today that Robert Christiansen, age 57, of San Antonio, Texas, plead guilty after one day of trial in federal court in Columbia, to using an interstate facility to induce a minor to engage in sexual activity and transporting a minor across state lines for the purpose of engaging in illegal sexual activity, violations of 18 U.S.C. §§ 2242(b) and 2423(a). Christiansen faces a mandatory minimum term of imprisonment of 10 years to life in prison for his offenses. Senior United States District Judge Margaret B. Seymour presided over the start of the trial, accepted the guilty plea, and will impose the sentence after U.S. Probation prepares a Pre-Sentence Report.
The evidence at trial established that Christiansen enticed and groomed a minor to travel from South Carolina to Texas for the purpose of having sex with her. Having met the victim in a Google forum for those suffering from depression and anxiety, Christiansen cultivated a relationship with the minor using text messages, calls, and online communications. At his insistence, the minor left her home in the middle of the night, got into a cab sent by Christiansen, and, using a ticket purchased by Christiansen, boarded a Greyhound bus bound for Texas. Recognizing the danger the victim was in, the FBI was able to obtain emergency cellphone location information to locate both the minor travelling on interstate 10 across Louisiana and Christiansen waiting on her arrival in a Greyhound bus station in Houston Texas. Coordinating with local law enforcement in Orange, Texas, just across the state line from Louisiana, the FBI was able to have the victim rescued from the Greyhound bus.
Ms. Lydon stated, “Thanks to great work by the FBI and Richland County Sherriff’s Deputies, a child victim was saved from a dire fate. I hope that the public recognizes the extraordinary danger that online child predators present for children in our state.”
The case was investigated by agents of the FBI and the Richland County Sheriff’s Department. Assistant United States Attorney Jay N. Richardson and Department of Justice Special Counsel James M. Burnham prosecuted the case.
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Tampa Man Sentenced for Role in Stolen Identity Refund Fraud SchemeRead the Press Release
Tampa, Florida – U.S. District Judge Mary S. Scriven has sentenced Antwan Miller to three years and six months in federal prison for theft of government funds and aggravated identity theft. He had pleaded guilty on October 5, 2017.
According to court documents, between January 2012 and September 2014, Miller was involved in a scheme to file false and fraudulent income tax returns with the IRS in order to generate the deposit of large refunds onto debit cards that he possessed and controlled. The investigation revealed that the IRS had received fraudulent tax returns in the names of many victim-taxpayers that resulted in the delivery of $389,479.07 in fraudulent income tax refunds to debit cards controlled by Miller and his co-conspirators. They then withdrew the money from ATMs and the Seminole Hard Rock Casino. Several of Miller’s co-conspirators have pleaded guilty to similar charges and have been sentenced.
This case was investigated by the IRS - Criminal Investigation and the Federal Bureau of Investigation, with the assistance from the Hillsborough County Sheriff’s Office. It was prosecuted by Assistant United States Attorney Jay L. Hoffer.
Sutton Man Pleads Guilty to Federal Drug ChargesRead the Press Release
BOSTON – A Sutton man pleaded guilty today in federal court in Worcester in connection with a large scale marijuana grow operation.
Eric Vallee, 38, pleaded guilty to two counts of manufacturing marijuana and possessing marijuana with intent to distribute. U.S. District Court Judge Timothy S. Hillman scheduled sentencing for Sept. 7, 2018.
A search of Vallee’s home in Auburn, Mass., where he maintained a large, commercial-style marijuana grow operation, resulted in the seizure of more than 100 marijuana plants as well as approximately seven pounds of marijuana packaged for distribution, a cash-counting machine, and approximately $13,000. Vallee then moved to a house in Sutton, Mass. where he continued to oversee a large, commercial-style marijuana grow operation. A search of the Sutton home resulted in the seizure of 55 marijuana plants as well as approximately seven pounds of marijuana packaged for distribution and a cash-counting machine.
Vallee faces a sentence of up to 40 years in prison, up to a lifetime of supervised release, and a fine of up to $5 million. 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 Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration, New England Field Office, made the announcement today. The Internal Revenue Service’s Criminal Investigation in Boston and the Auburn and Sutton Police Departments provided valuable assistance with the investigation. Assistant U.S. Attorney Bill Abely of Lelling’s Worcester Branch Office is prosecuting the case.
Superseding Indictment Returned Against Marcus HutchinsRead the Press Release
Matthew D. Krueger, United States Attorney for the Eastern District of Wisconsin, announced that on June 5, 2018, a federal grand jury returned a ten-count superseding indictment against Marcus Hutchins, also known as “Malwaretech,” and “[email protected],” related to creating and distributing the Kronos banking Trojan and UPAS Kit malware.
The original six-count indictment was returned against Hutchins on July 11, 2017, following a two-year investigation. Hutchins, a citizen and resident of the United Kingdom, was arrested in the United States on August 2, 2017, in Las Vegas, Nevada. Hutchins pleaded not guilty to the original indictment. A trial date has not yet been set.
In the superseding indictment, Hutchins was charged with the following crimes: one count of conspiring to commit computer fraud and abuse and intercept electronic communications; one count of conspiring to commit wire fraud; six counts related to distributing, selling, promoting, and advertising a device used to intercept electronic communications; two counts of attempting to access a computer without authorization; and one count of making a false statement to the FBI.
This case was investigated by the Federal Bureau of Investigation Cyber Crime Task in Milwaukee. The case is being prosecuted by Assistant United States Attorneys Michael J. Chmelar and Benjamin W. Proctor.
The public is reminded that an indictment contains only charges and is not evidence of guilt. The defendant is presumed innocent and is entitled to a fair trial at which the government has the burden of proving guilt beyond a reasonable doubt.
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For additional Information Contact:
Public Information Officer Dean Puschnig, 414.297.1700
Stockton Man Pleads Guilty to Money LaunderingRead the Press Release
SACRAMENTO, Calif. — Raeef Ohan Ohan, 59, of Stockton, pleaded guilty today to engaging in monetary transactions in criminally derived property related to a series of cargo thefts, U.S. Attorney McGregor W. Scott announced.
According to court documents, from 2012 to 2014, Ohan received and possessed thousands of dollars’ worth of stolen goods that had been stolen from truck trailers or warehouses. Ohan then sold the stolen goods to legitimate wholesalers and retail entities through his company called “V&P Trading.” Ohan failed to accurately report to the Internal Revenue Service and the California Franchise Tax Board (FTB) the income he received from this criminal activity, as well as income received by other means. As part of his plea agreement, Ohan agreed to pay restitution to the victims of the cargo thefts, as well as to the IRS and FTB.
According to the plea agreement, on October 1, 2014, a cargo trailer containing personal hygiene products was stolen from a warehouse in Stockton, and the theft was reported to the Stockton Police Department. A pallet within the stolen cargo contained a GPS tracking device, which led officers to Ohan’s leased warehouse space. Officers found the 52 pallets of stolen cargo. A federal search warrant executed at a later date revealed that Ohan had 60 pallets of stolen goods from several separate thefts. They included pet food valued at $26,000, protein powder valued at $200,000, and concrete valued at $66,700.
This case is the product of an investigation by the TRaCE (Tax Recovery and Criminal Enforcement) Task Force. The TRaCE Task Force joins existing state and federal resources to collaboratively combat illegal business activities that rob California of public funds and its citizens of public services. The TRaCE Task Force is composed of investigators and special agents from multiple agencies working together to investigate, prosecute and recover revenue lost to the underground economy. These agencies include the Federal Bureau of Investigation; U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI); IRS Criminal Investigation; California Department of Justice - Bureau of Investigation, Office of the Attorney General; California Department of Tax and Fee Administration; California Franchise Tax Board; California Employment Development Department; and California Department of Motor Vehicles. Assistant U.S. Attorney Amy Schuller Hitchcock is prosecuting the case.
Ohan is scheduled to be sentenced by U.S. District Judge Morrison C. England Jr. on October 18, 2018. Ohan faces a maximum statutory penalty of 10 years in prison and a $250,000 fine. The actual sentence, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.
Robbery Crew Responsible for Killing Loris, SC Store Owner Plead Guilty in Federal CourtRead the Press Release
Columbia, South Carolina ---- United States Attorney Sherri A. Lydon stated that Jonathan Stefan Vanderhorst, age 23, Jim Tracy Miller, age 28, and Demetrius Altman, age 39, all of Tabor City, N.C., have pled guilty in federal court in Florence South Carolina, before United States District Judge Brian Harwell. Miller and Altman pled guilty to Conspiring to Commit Hobbs Act Robbery, a violation of Title 18 U.S.C. § 1951 and Hobbs Act Robbery, a violation of Title 18 U.S.C. § 1951. Vanderhorst pled guilty to Conspiring to Commit Hobbs Act Robbery, a violation of Title 18 U.S.C. § 1951; Hobbs Act Robbery, a violation of Title 18 U.S.C. § 1951; Felon in Possession of Ammunition, a violation of Title 18 U.S.C. § 922(g); and Discharging a Firearm in Furtherance of a Crime of Violence, a violation of Title 18 U.S.C. § 924(c). All are awaiting sentencing.
The evidence presented at the guilty plea hearings established that on May 3, 2016, Altman drove Miller and Vanderhorst to rob the Clarendon, N.C. Post Office. Upon arrival, Altman waited in the vehicle and Miller and Vanderhorst entered the Post Office. Vanderhorst jumped the counter, brandished a firearm, and struck the Post Office Clerk, the sole occupant of the post office. Ultimately, Vanderhorst and Miller stole $284.00 and the Clerk’s cell phone and left in Altman’s vehicle.
Thirteen days later, on May 16, 2016, Altman drove Miller and Vanderhorst from Tabor City, N.C. to Loris, S.C. to rob the Loris Market and Beverage store. Again, Altman stayed in the vehicle and Vanderhorst and Miller entered the store. The only occupants of the store were the owners, a husband and his wife, both of whom were working behind the checkout counter. After entering, Vanderhorst fired a shot at the female victim, fortunately missing her. Vanderhorst then approached the counter and fired another shot up into the ceiling. Thereafter, the store owner took the money out of the register and passed it to Vanderhorst who took the money handed it to Miller. Vanderhorst then turned and fired two shots, striking and ultimately killing the store owner.
For each violation, Miller and Altman face a maximum possible penalty of forty (40) years, a fine of up to $250,000 and up to three (3) years supervised release. Vanderhorst faces a mandatory minimum penalty of ten (10) years and a maximum of life, a fine of $250,000 and a term of supervised release of at least three (3) years.
The case was investigated by the Federal Bureau of Investigation, United States Postal Inspection Service, the Horry County Police Department, and the Loris City Police Department. Assistant United States Attorneys Will Lewis, Jim May and Special Assistant United States Attorney and Chief Deputy of the Horry County Solicitor’s Office Scott Hixson prosecuted the case.
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Richmond Resident Convicted of Hacking into Online Newspaper’s Account and Causing DamageRead the Press Release
SAN JOSE – A federal jury returned a verdict yesterday against Ross Colby, finding him guilty of three counts of computer intrusion, one count of attempting to damage a protected computer, and one count of intentionally damaging a protected computer, announced Acting United States Attorney Alex G. Tse and Federal Bureau of Investigation (FBI) Special Agent in Charge John F. Bennett. The verdict was delivered by the jury after a six-day trial before the Honorable Lucy H. Koh, U.S District Judge.
According to court documents and evidence presented during the trial Colby, 35, of Richmond, Calif., illegally accessed the web accounts of San Francisco Bay Area print and online newspaper publisher Embarcadero Media. Embarcadero Media is the Palo Alto-based parent company of numerous Bay Area newspaper publications, including Palo Alto Weekly, Mountain View Voice, Pleasanton Weekly, and The Almanac in Menlo Park. In September of 2015, the FBI was asked to investigate the computer intrusion after Embarcadero’s news websites were replaced with a picture of Guy Fawkes, the image associated with “Anonymous,” a hacking collective. Investigators found that in July of 2015, Colby accessed Embarcadero’s corporate email and obtained the contents of an account belonging to an Embarcadero employee. Then, in September of 2015, Colby used the information from the email account to disrupt Embarcadero’s operations. Among the actions that Colby carried out were to cancel Embarcadero’s domain names and change the publisher’s mail exchange records to redirect its corporate email. At trial, a witness testified that this conduct caused approximately $32,000 in damages and remediation costs to Embarcadero Media.
On April 6, 2017, a federal grand jury in San Jose indicted Colby and charged him with three counts of misdemeanor computer intrusion, in violation of 18 U.S.C. § 1030(a)(2)(C); one count of felony attempt to damage a protected computer, in violation of 18 U.S.C. §§ 1030(a)(5)(A) and (c)(4)(B)(ii); and one count of felony intentional damage to a protected computer, in violation of §§ 1030(a)(5)(A) and (c)(4)(B)(i). Pursuant to yesterday’s verdict, Colby was found guilty of all the charges.
Colby is free on bail, pending sentencing. Judge Koh scheduled Colby’s sentencing for September 19, 2018. Colby faces a statutory maximum sentence of up to 10 years in prison and a $250,000 fine for each of the felony counts and up to a year in prison and a $100,000 fine for each of the misdemeanor charges. In addition to the prison terms and fines, the court also may order Colby to serve an additional period of supervised release, pay restitution, and pay other monetary penalties. However, any sentence will be imposed by the court only after consideration of the U.S. Sentencing Guidelines and the federal statute governing the imposition of a sentence, 18 U.S.C. § 3553.
Assistant United States Attorneys Susan Knight and Joseph Springsteen are prosecuting the case with the assistance of Lakisha Holliman and Elise Etter. The prosecution is the result of an investigation by the FBI.
Reeds Spring Sex Offender Sentenced to 25 Years for Child PornographyRead the Press Release
SPRINGFIELD, Mo. – A convicted sex offender in Reeds Spring, Mo., who pretended to be a woman online in order to solicit sexually explicit photos from a teenage boy, was sentenced in federal court today.
Jeffrey Raymond Everett, Jr., 23, of Reeds Spring, was sentenced by U.S. District Judge M. Douglas Harpool to 25 years in federal prison without parole. The court also sentenced Everett to spend the rest of his life under supervised release following incarceration.
On Feb. 1, 2018, Everett pleaded guilty to the sexual exploitation of a minor. Everett has a prior state conviction for possession of child pornography.
According to court documents, another student turned in the 16-year-old child victim’s cell phone at school because he found nude photos of the victim on the phone. Investigators found Facebook Messenger conversations between the victim and “Alecia Valentine,” who was later determined to be Everett.
In those messages, Everett – pretending to be Alecia Valentine – asks for sexually explicit images and videos of the victim, who sent numerous sexually explicit images and videos to Everett. The victim told law enforcement officers that he had engaged in several chat sessions with Alecia Valentine. Everett sent him pictures of a nude female, purportedly of Alecia Valentine, and requested that he send sexual pictures and videos of himself in return, which he did.
This case was prosecuted by Assistant U.S. Attorney Ami Harshad Miller. It was investigated by Immigration and Customs Enforcement's (ICE) Homeland Security Investigations (HSI), the Southwest Missouri Cyber Crimes Task Force and the Monett, Mo., Police Department.
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."
Randolph County Man Sentenced for Methamphetamine OffenseRead the Press Release
On June 6, 2018, Jordan P. Leggans, 31, of Tilden, Illinois, was sentenced to 135 months in federal prison for his role in a methamphetamine offense, United States Attorney for the Southern District of Illinois, Donald S. Boyce, announced today. Leggans previously pled guilty to a one-count second superseding indictment charging conspiracy to distribute more than 50 grams of methamphetamine. The indictment alleged that the offense occurred between 2015 and April 2017, in Perry, Randolph, Monroe, and St. Clair Counties.
Evidence at the plea and sentencing hearings established that Leggans was involved with numerous other persons in the manufacture of methamphetamine and the distribution of ice. Ice is methamphetamine with a purity level of at least 80%. At sentencing, the district court found Leggans responsible for the possession of 16.8 grams of pseudoephedrine and the distribution of over 374 grams of ice. Leggans received an enhanced sentence because he and a co-defendant stole an SKS rifle and traded the firearm for ice.
Seven co-defendants have already been sentenced to prison for their roles in the methamphetamine conspiracy. Two additional co-defendants have pled guilty and are awaiting sentencing. Leggans’ sentence includes four years of supervised release.
The ongoing investigation is being conducted by the Randolph County Sheriff’s Office, Jackson County Sheriff’s Office, Perry County Sheriff’s Office, Monroe County Sheriff’s Office, St. Clair County Sheriff’s Office Drug Tactical Unit, Metropolitan Enforcement Group of Southern Illinois, Chester Police Department, Coulterville Police Department, Belleville Police Department, Lenzburg Police Department, Perry County (Missouri) Sheriff’s Office, and the Drug Enforcement Administration. The Randolph County States Attorney’s Office and the Monroe County States Attorney’s Office also assisted in the investigation.
Pittsford Man Sentenced on Child Pornography ChargesRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051ROCHESTER, N.Y.- U.S. Attorney James P. Kennedy, Jr. announced today that Jeffrey Bernecky, 30, of Pittsford, NY, who was convicted of possession of child pornography depicting prepubescent minors, was sentenced to serve 10 years in federal prison and 10 years supervised release by U.S. District Judge David G. Larimer.
Assistant U.S. Attorney Kyle Rossi, who is handling the case, stated that in 2012, Bernecky was convicted of possession and distribution of child pornography and sentenced to serve five years in federal prison. The defendant was released in 2016 and began a 15-year period of supervised release, administered by the United States Probation Department. On December 8, 2017, during a routine inspection, probation officers discovered that Bernecky was in possession of an unauthorized smartphone. The officers seized the phone. A forensic examination recovered approximately 200 images and 25 videos depicting the sexual abuse of children.
Today’s sentencing is the result of an investigation by the United States Probation Department, under the direction of Chief Probation Officer Anthony SanGiacomo, and the Federal Bureau of Investigation, under the direction of Special Agent in Charge Gary Loeffert.
Pittsburgh Man Charged with Multiple Violations of Federal Narcotics LawsRead the Press Release
PITTSBURGH, PA – One resident of Pittsburgh, Pennsylvania, has been indicted by a federal grand jury in Pittsburgh on charges of violating the federal narcotics laws, United States Attorney ScottW. Brady announced today.
The six-count indictment, returned on June 5, named Stephen Barnes, age 49, as the sole defendant.
According to the indictment and information provided to the court, on six separate occasions, between March 28, 2018 and May 11, 2018, Barnes distributed and/or possessed with the intent to distribute various quantities of heroin, fentanyl, and crack cocaine. On May 11, 2018, he was arrested with over 100 grams of heroin. Barnes has been held without bond since the date of his arrest.
The law provides for a maximum total sentence of not less than five years and up to 40 years in prison, a fine not to exceed $5,000,000, 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 Heidi M. Grogan is prosecuting this case on behalf of the government.
The Drug Enforcement Administration and Pennsylvania Attorney General’s Office Bureau of Criminal Investigations 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.
Pittsburgh Felon Charged with Illegally Possessing Various Opioids and a FirearmRead the Press Release
PITTSBURGH, PA – Kevin Livsey has been indicted by a federal grand jury in Pittsburgh for committing drug trafficking and firearm crimes, United States Attorney Scott W. Brady announced today.
The indictment, returned on June 5, charges Livsey, age 31, of Pittsburgh, with possession with intent to distribute fentanyl, carfentanil, and heroin on May 9, 2018; possession of a firearm in furtherance of a drug trafficking crime on May 9, 2018; and possession of a firearm after a felony conviction, also on May 9, 2018. Livsey was on federal supervised release as of May 9, 2018, following a prison sentence for prior federal convictions for distributing heroin.
The law provides for a maximum total sentence of not less than 20 years and up to life in prison, and a fine of up to $2,500,000. 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 Craig W. Haller is prosecuting this case on behalf of the United States.
This case is being prosecuted under Project Safe Neighborhoods, a collaborative effort by federal, state, and local law enforcement agencies, prosecutors, and communities to prevent, deter, and prosecute gun crime. The Federal Bureau of Investigation, the Federal Bureau of Alcohol, Tobacco, Firearms, and Explosives, the Pittsburgh Bureau of Police, and the Allegheny County Sheriff’s Office 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.
Philadelphia Man Charged with Bribing Sheriff’s Office EmployeeRead the Press Release
PHILADELPHIA – An indictment was unsealed today charging a Philadelphia man with bribing a Philadelphia Sheriff’s Office employee in exchange for inside information about Sheriff’s sales, announced U.S. Attorney William M. McSwain.
Behzad Sabagh was charged by indictment with one count of conspiracy to commit honest services wire fraud and six counts of honest services wire fraud. The indictment alleges that from September 2012 to August 2013, Sabagh and others paid bribes to a Philadelphia Sheriff’s Office employee in exchange for assistance with their business of purchasing properties at Sheriff’s sales. Specifically, in exchange for bribes, the defendant received an updated Sheriff=s sale auction list which showed whether property sales had been stayed or postponed, allowing the defendant to avoid spending time evaluating properties that would not be sold.
“When the services of a public employee are purchased for personal gain, it is our duty to hold accountable those who attempted to game the system,” said U.S. Attorney McSwain.
If convicted, Sabagh faces a maximum possible sentence of 140 years’ imprisonment, 3 years of supervised release, and a $1,750,000 fine.
The case was investigated by the Federal Bureau of Investigation and the Internal Revenue Service - Criminal Investigation Division, and is being prosecuted by Assistant United States Attorneys Sarah Grieb and Christopher Diviny.
Owner of Espanola-Area Gun Shop Pleads Guilty to Selling Firearms to Felons and MinorsRead the Press Release
ALBUQUERQUE – Robert Real, 56, of Espanola, N.M., pled guilty this morning in federal court in Albuquerque, N.M., to numerous violations of the federal firearms laws, including selling firearms to felons and minors and falsification of required firearm transfer records. The guilty plea was announced by U.S. Attorney John C. Anderson and Special Agent in Charge John J. Durastanti of the Phoenix Field Division of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF).
Robert Real, a licensed firearms dealer and owner of Shooter’s Outpost located in Espanola, his wife Linda Real, 65, an employee and a licensed firearms dealer, and Robert Real’s stepdaughter and employee Crystal Johnson, all of Espanola, were charged on Oct. 24, 2017, by indictment with the following offenses:
- Count 1, charging all three defendants with conspiracy to sell firearms by licensed dealers to prohibited possessors of firearms and ammunition from March 12, 2016 through Feb. 8, 2017;
- Count 2, charging Robert Real and Linda Real with selling a firearm to a felon prohibited from possessing firearms or ammunition on March 12, 2016;
- Count 3, charging Robert Real with unlawfully selling a firearm other than a rifle or shotgun to a person under the age of 21 on June 4, 2016;
- Count 4, charging Robert Real and Linda Real with falsifying a required firearm transfer record form on Nov. 20, 2016;
- Count 5, charging Johnson with the unauthorized transfer of a firearm from a motor vehicle on Nov. 23, 2016;
- Count 6, charging Robert Real and Linda Real with selling a firearm to a felon prohibited from possessing firearms or ammunition on Jan. 28, 2017;
- Count 7, charging Robert Real with making false statements to federal agents regarding the unlawful sale of firearms on Feb. 24, 2017; and
- Count 8, charging Robert Real and Linda Real with falsifying required firearm transfer record forms from Jan. 28, 2017 through Feb. 24, 2017.
The indictment alleged that the defendants committed the crimes in Rio Arriba County, N.M., Silver City, N.M., Albuquerque, Algodones, N.M., Carlsbad, N.M., and Santa Fe, N.M.
During today’s proceedings, Robert Real pled guilty to Counts 1, 2, 3, 4, 6, 7, and 8 of the indictment. In entering the guilty plea, Robert Real stated that between March 12, 2016 and Feb. 24, 2017, he traveled and attended gun shows around New Mexico. He admitted that, in order to maximize his profits, he sold firearms and instructed his co-defendants to sell firearms without performing the required background check; falsified records of sale to indicate that firearms sales had occurred after a three-day standard delay period; sold firearms to convicted felons; and transferred firearms other than shotguns or rifles to persons under 21 years of age. Robert Real also admitted that in the case of a delayed sale, he instructed his co-defendant to transport firearms and unlawfully transfer it to the buyer from a motor vehicle rather than sell the firearms from the Shooter’s Outpost, his licensed business location.
During his change of plea hearing, Robert Real acknowledged that when he met with ATF Special Agents on Feb. 24, 2017, he made materially false statements to them about his firearms transactions. Specifically, Robert Real admitted disregarding “Delay” instructions from ATF during the sale of firearms at gun shows, and altering and causing his co-defendant to alter ATF forms for firearms sales.
At sentencing, Robert Real faces a maximum penalty of five years in federal prison and a maximum $250,000 fine. In his plea agreement, Robert Real admitted that he was the organizer, leader and manager of his co-defendants. A sentencing hearing has yet to be scheduled.
Linda Real and Johnson have both entered pleas of not guilty to the charges in the indictment. Charges in criminal complaints and indictments are merely accusations and defendants are presumed innocent unless found guilty beyond a reasonable doubt.
This case was investigated by the Albuquerque office of the ATF and Assistant U.S. Attorney Paul Mysliwiec is prosecuting the case.
On 500th Day of Trump Administration, Attorney General Sessions and U.S. Attorney Davis Announced New Assistant United States Attorney PositionsRead the Press Release
BOISE – On Monday, the 500th day of the Trump Administration, Attorney General Jeff Sessions and U.S. Attorney for the District of Idaho Bart M. Davis announced that the Department of Justice is taking a dramatic step to increase resources to combat violent crime and help roll back the devastating opioid crisis.
In the largest increase in decades, the Department of Justice is allocating new Assistant United States Attorneys (AUSAs) across the country to assist in priority areas. Among the new positions, the District of Idaho will receive a violent crime prosecutor and a civil enforcement prosecutor.
“Under President Trump's strong leadership, the Department of Justice is going on offense against violent crime, illegal immigration, and the opioid crisis—and today we are sending in reinforcements,” said Attorney General Jeff Sessions. “We have a saying in my office that a new federal prosecutor is 'the coin of the realm.' When we can eliminate wasteful spending, one of my first questions to my staff is if we can deploy more prosecutors to where they are needed. I have personally worked to re-purpose existing funds to support this critical mission, and as a former federal prosecutor myself, my expectations could not be higher. These exceptional and talented prosecutors are key leaders in our crime fighting partnership. This addition of new Assistant U.S. Attorney positions represents the largest increase in decades.”
The reduction in violent crime is a primary objective of the Department of Justice. Since he took office last September, U.S. Attorney Davis has spearheaded the reinvigoration of Idaho’s Project Safe Neighborhoods (PSN) program designed to reduce gun violence across the state. Davis has already held several meetings with federal, tribal, state and local law enforcement, prosecution and community leaders to build upon an already strong commitment among Idaho’s leaders to making the state safer. With these newest AUSA positions, Davis will seek to bolster federal prosecutions of those who illegally possess or attempt to possess firearms, criminal gang members and violent drug traffickers as well as use data analytics to help find evidence of overprescribing and opioid-related health care fraud.
“The District of Idaho’s new violent crime AUSA and civil enforcement AUSA will both be housed in our Boise office. They will provide our District with further federal prosecution resources aimed at reducing violent crime and attacking the opioid crisis in Idaho,” U.S. Attorney Bart M. Davis announced. “Our new civil enforcement AUSA will support the newly created Prescription Interdiction & Litigation Task Force, which targets the opioid crisis at every level of the distribution system, and will allow us to expand our efforts to combat health care fraud, including fraud involving medically unnecessary opioid prescriptions. Our new violent crime AUSA will support the Department of Justice’s PSN program, which aims to reduce violent crime and make our neighborhoods safer for everyone.”
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On 500th Day of Trump Administration, Attorney General Sessions Announces 311 New Assistant United States Attorney PositionsRead the Press Release
On the 500th day of the Trump Administration, Attorney General Jeff Sessions and U.S. Attorney for the Middle District of Georgia Charles Peeler announced that the Department of Justice is taking a dramatic step to increase resources to combat violent crime, enforce our immigration laws, and help roll back the devastating opioid crisis.
In the largest increase in decades, the Department of Justice is allocating 311 new Assistant United States Attorneys to assist in priority areas. Those allocations are as follows: 190 violent crime prosecutors, 86 civil enforcement prosecutors, and 35 additional immigration prosecutors. Many of the civil enforcement AUSA’s will support the newly created Prescription Interdiction & Litigation Task Force which targets the opioid crisis at every level of the distribution system.
“Under President Trump's strong leadership, the Department of Justice is going on offense against violent crime, illegal immigration, and the opioid crisis—and today we are sending in reinforcements,” said Attorney General Jeff Sessions. “We have a saying in my office that a new federal prosecutor is 'the coin of the realm.' When we can eliminate wasteful spending, one of my first questions to my staff is if we can deploy more prosecutors to where they are needed. I have personally worked to re-purpose existing funds to support this critical mission, and as a former federal prosecutor myself, my expectations could not be higher. These exceptional and talented prosecutors are key leaders in our crime fighting partnership. This addition of new Assistant U.S. Attorney positions represents the largest increase in decades.”
In the Middle District of Georgia, three of these new AUSAs will focus on violent crime, civil enforcement, and prosecuting immigration crimes. The Middle District of Georgia is comprised of 70 counties, includes Albany, Valdosta, Columbus, Macon and Athens, and is home to approximately 2 million residents.
“I want to thank Attorney General Sessions for providing our district with the tools we need to make the Middle District of Georgia a safer place to live, work and visit. These new federal prosecutors are critical in fulfilling our mission to fight violent crime, end the opioid epidemic, and secure our borders,” said United States Attorney Charles Peeler.
Oak Island Man Sentenced to 35 Years for Receipt of Child PornographyRead the Press Release
RALEIGH – The United States Attorney for the Eastern District of North Carolina, Robert J. Higdon, Jr., announced that yesterday, in federal court, United States District Judge Louise W. Flanagan sentenced MICHAEL CARL BUTLER, 31, of Oak Island, North Carolina, to 420 months of imprisonment followed by 15 years of supervised release for receipt of child pornography.
BUTLER was named in a three-count Indictment on September 26, 2017. On December 13, 2017, BUTLER pled guilty pursuant to a plea agreement to receipt of child pornography.
In January 2017, Homeland Security Investigations utilized undercover software to identify an IP address downloading child pornography and offering such files for download by others. A search warrant was issued for the home address associated with the IP address. During that search, law enforcement confiscated multiple electronic devices belonging to BUTLER. A forensic examination of those devices revealed more than 90 images of child pornography. Further investigation also indicated that BUTLER utilized social media accounts, such as Facebook, to contact and solicit underage girls to commit sexual acts. BUTLER had previously been convicted of sex crimes against minors and was a registered sex offender under North Carolina law.
This case was part of the Project Safe Childhood initiative, a national program aimed at ensuring that criminals exploiting children are effectively prosecuted by making full use of all available law enforcement resources at every level. For more information about this important national project, Project Safe Childhood, go to www.projectsafechildhood.gov.
United States Homeland Security Investigations conducted the criminal investigation of this case. Assistant United States Attorney Melissa Belle Kessler handled the prosecution of this case for the United States.
Northshore Mortgage Broker Charged with Making False Statements to the Social Security AdministrationRead the Press Release
U.S. Attorney Duane A. Evans announced that JAMES BRIANT, age 68, a resident of Covington, Louisiana and mortgage broker and senior loan officer at Alpha Mortgage, LLC was charged today with making false statements to the Social Security Administration in order to obtain Social Security Disability Payments.
According to the Bill of Information, from on or about June 10, 2010, the defendant, JAMES BRIANT, applied for disability benefits from the Social Security Administration, a department and agency of the United States, for a back disorder and heart disease. Thereafter, in December of 2011, he began receiving monthly disability benefits of approximately, $2,370, based on the representation that he was unable to work. During the time he received disability payments, the defendant, JAMES BRIANT, had an obligation to report any income he made to the SSA.
At a time unknown, but prior to September 2012, the defendant, JAMES BRIANT, began working as a loan officer and mortgage broker at Alpha Mortgage, L.L.C, earning a salary. He worked there through in or around June 2017 and never reported to the SSA that he was working or earned any income. On or about December 15, 2015, BRIANT completed a Social Security Disability form and submitted it to the SSA, an SSA-Form 795, “Statement of Claimant.” In this statement, he signed and certified, under penalty of perjury that he had not worked since 2011, knowing full well that this statement was materially false, fictitious, and fraudulent.
U.S. Attorney Duane A. Evans stated that a Bill of Information is merely an accusation and that the guilt of the defendant must be proven beyond a reasonable doubt.
This case is being investigated by the Social Security Administration, Office of Inspector General. Assistant U.S. Attorney Sharan E. Lieberman is in charge of the prosecution.
Nine Foreign Nationals Indicted for Conspiracy to Import Approximately 3,400 Kilograms of Cocaine into the United States and to Violate the Maritime Drug Law Enforcement ActRead the Press Release
NEW ORLEANS, LOUISIANA – U.S. Attorney Duane A. Evans announced the return of a two-count superseding indictment charging two Columbians, JHONNY RODRIGUEZ ALVAREZ, age 35, and ARIEL CALVO HENAO, age 51, two Ecuadorians, HECTOR RAFAEL GOMEZ LIMONES, age 37, VICENTE LOPEZ MERO, age 60, and five Peruvians JESUS JUSTO TASA CERVANTES, age 64, BORIS WISMARK VERGARA MONCADA, age 53, WILMER ROJAS MILLAN, age 46, WALTER REYNALDO VIERA SULLON, age 44 and EDISON OMAR OTERO CRUZ, age 25, with conspiracy to import into the United States 5 kilograms or more of cocaine and conspiracy to possess with intent to distribute 5 kilograms or more of cocaine, while on board a vessel subject to the jurisdiction of the United States. If convicted, each of the defendants faces a mandatory minimum sentence of 10 years, up to a maximum penalty of life in federal prison for each count.
According to the superseding indictment and other documents filed in the case, the defendants were on a large container vessel interdicted by the U.S. Coast Guard in international waters south of Costa Rica. After extensive searching, law enforcement found a hidden compartment inside a ballast tank on the vessel. Inside the hidden compartment, law enforcement located approximately 3,400 kilograms of cocaine. When interdicted, the vessel was headed toward Ensenada, Mexico, which is approximately 50 miles south of the U.S. border.
“Homeland Security Investigations is highly focused on stopping cross-border drug trafficking as these individuals and organizations show a complete disregard for the violence and destruction that often accompanies the sale and use of these highly addictive drugs,” said Special Agent in Charge of Homeland Security Investigations New Orleans Jere T. Miles. “The boldness of this criminal group’s efforts to smuggle more than a ton of cocaine into the country showed a callous disregard for public safety and seriously underestimated the dedication of HSI and its law enforcement partners to identify and seek prosecution of those engaged in this criminal conspiracy.”
A superseding indictment is merely a formal charge that a defendant has committed a violation of federal criminal laws, and every defendant is presumed innocent unless, and until, proven guilty.
This case was investigated by U.S. Immigration and Customs Enforcement’s Homeland Security Investigations and the Drug Enforcement Administration, with assistance from the United States Coast Guard. This case is being prosecuted by Assistant United States Attorney David Haller.
New Town Man Indicted for MurderRead the Press Release
BISMARCK – United States Attorney Christopher C. Myers announced that Donovan Lawrence Duchaine, age 26, from New Town, ND, was charged by an Indictment returned on June 6, 2018, for Murder and Assault with a Dangerous Weapon.
The Indictment alleges that on May 25, 2018, Duchaine, an enrolled member of the Three Affiliated Tribes, killed David Rios, age 29, also from New Town, ND, by stabbing him with a knife outside a residence in New Town, ND. Duchaine’s Initial Appearance and Arraignment was before Magistrate Judge Charles Miller, at 4:00 p.m., May 25, 2018. On June 1, 2018, the defendant waived his Detention Hearing and Judge Miller detained him pending trial.
The Indictment in this case is not evidence of guilt. The defendant is presumed innocent unless or until proven guilty beyond a reasonable doubt at trial.
This case was investigated by the Federal Bureau of Investigation; the Three Affiliated Tribes Police Department; and the Ward County Sheriff’s Department.
This case is being prosecuted by Assistant U.S. Attorney Jonathan J. O’Konek.
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