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25 May 2018
Convicted Felon Sentenced to More Than 17 Years for Drug Dealing and Gun PossessionRead the Press Release
Tampa, Florida – U.S. District Judge Steven D. Merryday today sentenced Chauncey Gregory (33, St. Petersburg) to 17 years and 6 months in federal prison for possessing 500 grams or more of cocaine with the intent to distribute it, and for being a felon in possession of a firearm and ammunition. Gregory pleaded guilty on February 6, 2018.
According to court documents, Gregory was an illegal narcotics dealer in a residential neighborhood in St. Petersburg, Florida. On August 24, 2017, law enforcement executed a search warrant at Gregory’s residence. As they arrived, one of Gregory’s “customers” was at the home to make a purchase from him. During the search, law enforcement recovered approximately 1 kilogram of cocaine, 8.5 ounces of ecstasy, 15.5 grams of crack cocaine, 743 grams of marijuana; a cocaine press, a narcotics scale, drug baggies, cash ,and a loaded .38 caliber revolver, which was next to Gregory’s passport.
As a previously convicted felon, Gregory is prohibited under federal law from possessing a firearm or ammunition.
While on pretrial release, Gregory attempted to retaliate against the law enforcement officers who investigated the case against him. His bond was then revoked. The court granted the government’s motion for a substantial upward variance from the advisory Sentencing Guidelines, an additional 7 ½ years, to reflect the seriousness of his offense and his post-arrest retaliation attempt.
“Putting this major local drug supplier behind bars for 17 plus years significantly reduces the drug supply on the street,” said St. Petersburg Chief of Police Anthony Holloway. "It also sends a message to criminals that retaliation against law enforcement officers who dedicate their lives to ensure the quality of life for our residents will not be tolerated.”
"We will continue to adapt to the challenges that today’s technology can pose when fighting violent crime,” said ATF Special Agent in Charge Daryl McCrary, “particularly when it pertains to retaliation against another law enforcement partner.”
This case was investigated by the St. Petersburg Police Department and the Bureau of Alcohol, Tobacco, Firearms, and Explosives. It was prosecuted by Assistant United States Attorneys Thomas N. Palermo and Diego F. Novaes.
This case was brought as part of Project Safe Neighborhoods (PSN), a program that has been successful in bringing together all levels of law enforcement to reduce violent crime and make our neighborhoods safer for everyone. In October 2017, Attorney General Jeff Sessions announced the reinvigoration of PSN and directed all U.S. Attorneys’ Offices to develop districtwide crime reduction strategies, incorporating the lessons learned since the program’s inception in 2001. In the Middle District of Florida, U.S. Attorney Maria Chapa Lopez coordinates PSN efforts in cooperation with various federal, state, and local law enforcement officials.
Citizen of Mexico Sentenced to 3 Years for Trafficking Heroin and Fentanyl, Illegally Reentering U.S.Read the Press Release
John H. Durham, United States Attorney for the District of Connecticut, announced that JESUS GOMEZ-VALDIVIA, 39, a citizen of Mexico, was sentenced today by U.S. District Judge Jeffrey A. Meyer in New Haven to 36 months of imprisonment for drug trafficking and immigration offenses.
According to court documents and statements made in court, on October 12, 2017, the Drug Enforcement Administration received information that GOMEZ was couriering narcotics on a flight that had departed Los Angeles International Airport and would be arriving at Tweed New Haven Airport later that day. DEA Agents traveled to Tweed New Haven Airport and, after the flight landed, identified two pieces of luggage that GOMEZ had checked. Agents then met GOMEZ in the baggage claim area after he retrieved his luggage. GOMEZ was arrested after investigators discovered that nearly two kilograms of heroin and approximately 500 grams of fentanyl had been sewed into one of the suitcases.
The investigation also revealed that GOMEZ was deported from the U.S. to Mexico in November 2001, and subsequently reentered the U.S. illegally.
On December 13, 2017, GOMEZ pleaded guilty to one count of possession with intent to distribute controlled substances and one count of reentry of a removed alien.
GOMEZ has been detained since his arrest. He will be deported to Mexico when he is released from prison.
This matter was investigated by the Drug Enforcement Administration with the assistance of the New Haven Police Department. The case was prosecuted by Assistant U.S. Attorney Rahul Kale.
Charlotte Man Sentenced to 30 Years on Child Pornography ChargesRead the Press Release
CHARLOTTE, N.C. – U.S. District Judge Robert J. Conrad, Jr. sentenced late yesterday Jason Reid, 30, of Charlotte, to 30 years in prison on child pornography charges, announced the U.S. Attorney’s Office for the Western District of North Carolina. In addition to the prison term imposed, Judge Conrad also ordered Reid to serve thirty years of supervised release and to register as a sex offender after he is released from prison.
John A. Strong, Special Agent in Charge of the Federal Bureau of Investigation in Charlotte; Chief Kerr Putney, of the Charlotte-Mecklenburg Police Department; and Chief Tim W. Ledford of the Mint Hill Police Department are also making today’s announcement.
According to court documents and court proceedings, in September 2015, law enforcement became aware that an individual with the username “Dodecahedron88” was using the website www.Omegle.com (Omegle), and later the chat application “Kik,” to exchange nude videos and images with a 12-year-old male (Child Victim 1). The FBI identified the individual as Jason Reid, and on November 20, 2015, FBI agents executed a federal search warrant at Reid’s residence in Charlotte. According to court records, Reid admitted to using Omegle and Kik to contact Child Victim 1.
Court records show that law enforcement also discovered text messages between Reid and a 13-year-old female (Child Victim 2). During these chats, Reid told the minor victim, who has a developmental disorder, that one of his fetishes was young girls. Reid admitted in plea related documents that he and Child Victim 2 traded sexually explicit images, and that he enticed Child Victim 2 to engage in illegal sexual activity, knowing that she was not above the age of consent.
Over the course of the investigation, law enforcement recovered multiple text messages, images, and videos containing sexually explicit content between Reid and at least 12 underage male and female victims.
According to court documents, on several occasions, Reid tricked the underage victims into trading sexually explicit videos and images by posing as a teenage boy. In some instances, Reid used fake videos of teenage boys to entice the victims to video chat and send him sexually explicit images.
Court records show that Reid also used the Kik application to receive and distribute child pornography, including some of the images he received from the child victims described above, with various Kik chat groups and individuals that were trading child pornography.
According to court records, a 12-year-old female (identified as Child Victim 12) told law enforcement that after she had traded sexually explicit images with Reid, he had threatened to hurt her if she ever told anyone. Court records show that Reid traded a picture of this victim to another Kik user.
A forensic analysis of Reid’s computer, external hard drive and cellular phones seized from his residence revealed they contained at least 400 videos and 179 images of child pornography, some of which depicted sadistic, masochistic or other violent sexual conduct, and some of which were of minors under the age of 12.
In announcing the sentence, Judge Conrad stated that Reid’s case was one of the worst he had seen in 15 years on the bench.
Reid is currently in federal custody and will be transferred to the custody of the federal Bureau of Prisons upon designation of a federal facility. All federal sentences are served without the possibility of parole.
The FBI, CMPD and Mint Hill Police investigated the case. Assistant U.S. Attorney Cortney Randall with the U.S. Attorney’s Office in Charlotte prosecuted the case.
Catron County Man Sentenced for Federal Misdemeanor Wildlife Violation Arising Out of Killing of Mexican Gray WolfRead the Press Release
ALBUQUERQUE – U.S. Attorney John C. Anderson and Acting Special Agent in Charge Phillip Land of the U.S. Department of the Interior, Fish and Wildlife Service, Office of Law Enforcement of the Southwest Region, announced that Craig Thiessen pleaded guilty yesterday to a federal misdemeanor wildlife violation arising out of the taking of a Mexican gray wolf. Immediately after entering the guilty plea, Thiessen was sentenced to a one-year term of probation and was ordered to pay $2,300 in restitution to the Mexican Wolf Recovery Program.
In announcing the guilty plea and sentence, U.S. Attorney John C. Anderson said, “Mexican wolves were listed as an endangered species in 1976, prompting recovery efforts to save the species from extinction. The Justice Department is committed to working with the U.S. Fish and Wildlife Service and our other law enforcement partners to protect the Mexican gray wolf and other vulnerable species so they remain on our planet for future generations.”
“The U.S. Fish and Wildlife Service works closely with our partners to protect imperiled species both at home and abroad,” said Acting Special Agent in Charge Phillip Land of the U.S. Department of Interior, Fish and Wildlife Service, Office of Law Enforcement of the Southwest Region. “This defendant knowingly took a Mexican gray wolf, the rarest subspecies of gray wolf in North America. The defendant's guilty plea should serve as a deterrent to those who choose to knowingly harass and take wildlife unlawfully. We will continue to work with the Department of Justice and others to bring these offenders to justice.”
During yesterday’s proceedings, Thiessen, 46, of Catron County, N.M., entered a guilty plea to an information charging him with the taking of threatened wildlife. In entering the guilty plea, Thiessen admitted that in Feb. 2015, in Catron County, N.M., he intentionally captured a Mexican gray wolf in a trap on his grazing allotment in the Gila National Forest and hit the wolf with a shovel. Thiessen admitted knowing that the animal was a Mexican gray wolf because it bore a tracking collar, which is affixed to all Mexican gray wolves in the area.
This case was investigated by the U.S. Department of the Interior, Fish and Wildlife Service, Office of Law Enforcement of the Southwest Region, and is being prosecuted by Assistant U.S. Attorney John Balla of the U.S. Attorney’s Las Cruces Branch Office.
Caputa Man Sentenced for Illegally Possessing a SilencerRead the Press Release
United States Attorney Ron Parsons announced that a Caputa, South Dakota, man convicted of Possession of an Unregistered Firearm was sentenced by Chief Judge Jeffrey L. Viken, U.S. District Court.
Mason Hamm, age 21, was sentenced on May 22, 2018, to 8 months of imprisonment, followed by 3 years of supervised release, ordered to pay a $100 special assessment to the Federal Crime Victims Fund, and to perform 100 hours of community service.
Hamm was charged on December 21, 2016. The charge related to Hamm illegally being in possession of a Lane, LLC, model Scorpion Magnum, .30 caliber silencer. The silencer was attached to a .308 rifle. Hamm illegally baited and killed a mountain lion at night using the silenced .308 rifle while trespassing on private property.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. Attorney General Jeff Sessions reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.
This case was investigated by the South Dakota Department of Game, Fish, and Parks, and the Bureau of Alcohol, Tobacco, Firearms & Explosives. Assistant U.S. Attorney Benjamin Patterson prosecuted the case.
California Man and Tucson Woman Each Sentenced to 4 Years Prison for Smuggling Ammunition into MexicoRead the Press Release
TUCSON, Ariz. – On May 25, 2018, Miguel Ochoa-Ruiz, 39, of Concord, Calif., was sentenced by U.S. Senior District Judge Frank R. Zapata to 48 months’ (4 years) imprisonment. Ochoa-Ruiz had been previously been found guilty following a trial of smuggling goods from the United States and conspiracy. Ochoa-Ruiz’s co-defendant, Ana Guadalupe Carillo-Villa, 23, of Tucson, Ariz., had also previously been sentenced to a total of 48 months’ imprisonment by U.S. Chief District Court Judge Raner C. Collins, after pleading guilty to smuggling goods from the United States, conspiracy, and possession of ammunition by a convicted felon.
On July 7, 2016, Ochoa-Ruiz purchased 2,000 rounds of rifle ammunition and 248 high-capacity rifle magazines in Phoenix. He and Carillo-Villa transported these items to Nogales, Ariz., where Carillo-Villa attempted to smuggle them across the border into Mexico. Customs and Border Protection officers stopped Carillo-Villa at the Port of Entry and intercepted the ammunition and magazines in her vehicle. Ochoa-Ruiz returned to Phoenix the next day and purchased an additional 11,000 rounds of ammunition, which he again drove to Nogales in attempt to smuggle it into Mexico. Law enforcement agents stopped Ochoa-Ruiz before he attempted to leave the United States and seized the ammunition. Evidence obtained in the subsequent investigation established that Ochoa-Ruiz and Carillo-Villa had conspired to smuggle ammunition into Mexico on at least four prior occasions.
The investigation in this case was conducted by the Department of Homeland Security – Homeland Security Investigations, with assistance from Customs and Border Protection, and the Bureau of Alcohol, Tobacco, Firearms, and Explosives. The prosecution was handled by Angela W. Woolridge, Assistant U.S. Attorney, District of Arizona, Tucson.
CASE NUMBER: CR-16-1475-TUC-FRZ
RELEASE NUMBER: 2018-072_Ochoa-Ruiz
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For more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az
Follow the U.S. Attorney’s Office, District of Arizona, on Twitter @USAO_AZ for the latest news.
Buffalo Woman Sentenced for Cocaine DistributionRead 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 Elisa Rivera Ortiz, 36, of Buffalo, NY, who was convicted attempted possession of cocaine with intent to distribute, was sentenced to serve 46 months in federal prison by U.S. District Judge Richard J. Arcara.
Assistant U.S. Attorney Michael J. Adler, who handled the case, stated that on April 8, 2017, United States Postal Inspectors intercepted a package during a routine inspection of incoming parcels that contained cocaine. The package was addressed to the defendant. On June 29, 2017, the Postal Inspectors seized a second package, which was also addressed to the defendant, and found cocaine.
On July 6, 2017, a controlled delivery of a package containing sham cocaine and a monitoring device was conducted at the defendant’s Warren Avenue residence. Once the monitor alerted investigators that the package had been opened, they entered the residence and executed a search warrant. Ortiz attempted to run out the side door but was taken into custody. During the search, investigators located the package of sham cocaine, drug packaging materials, a digital scale with suspected cocaine residue, and a small bag of marijuana. Ortiz’s son and three other minor children were in the residence at the time.
The sentencing 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, and the U.S. Postal Inspection Service, under the direction of Boston Division Acting Inspector-in-Charge Delany E. De Leon-Colon.
Buffalo Man Sentenced on Gun and Drug 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 Terry Wilson, 39, of Buffalo, NY, who was convicted of possession with intent to distribute crack cocaine, and being a felon in possession of a firearm, was sentenced to serve 60 months in federal prison by U.S. District Judge Lawrence J. Vilardo.
Assistant U.S. Attorney Laura A. Higgins, who handled the case, stated that on June 26, 2017, the defendant was pulled over by Buffalo Police Officers after he was observed driving at a high rate of speed on Bailey Avenue. During the traffic stop, the defendant was found in possession of a 9 mm semi-automatic pistol which was loaded with 11 rounds of ammunition. After stopping the vehicle, officers recognized Wilson from previous contacts with him and knew that he did not have a valid driver’s license. The officers patted the defendant down and recovered nearly four grams of crack cocaine from his pockets.
In July 2012, Wilson was convicted in Erie County Court of Criminal Possession of a Controlled Substance in the Fifth Degree. Previously, in June 2005, the defendant was convicted in Federal court of being a felon in possession of a firearm. As a result of these convictions, Wilson is legally prohibited from possessing a firearm.
The sentencing is the result of an investigation by Buffalo Police Department, under the direction of Commissioner Byron Lockwood, and the Bureau of Alcohol, Tobacco, Firearms, and Explosives, under the direction of Special Agent-in-Charge Ashan Benedict, New York Field Division.Buffalo Man Pleads Guilty to Selling HeroinRead 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 Jose Ramos Escalera, 30, of Tonawanda, NY, pleaded guilty before Chief U.S. District Judge Frank P. Geraci, Jr. to possession with intent to distribute heroin. The charge carries a maximum penalty of 30 years in prison and a $2,000,000 fine.
Assistant U.S. Attorney Paul C. Parisi, who is handling the case, stated that between July 24, 2015, and September 26, 2017, the defendant sold heroin on seven separate occasions to individuals working with the Drug Enforcement Administration.
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 August 30, 2018 before Judge Geraci.
Buffalo Man Arrested, Charged with Selling FentanylRead 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 Brennen Bryant, Jr., 25, of Buffalo, NY, was arrested and charged by criminal complaint with possession with intent to distribute butyryl fentanyl. The charge carries a maximum penalty of 20 years in prison and a $1,000,000 fine.
Assistant U.S. Attorney Seth T. Molisani, who is handling the case, stated that according to the complaint, on September 26, 2017, Orchard Park Police detectives recovered a cellular telephone from a deceased individual believed to have died of an overdose. While examining the contents of the victim's phone, detectives discovered text messages between the victim and a telephone number linked to the defendant. Those text messages involved the purchase of heroin.Between November 1, 2017, and December 5, 2017, law enforcement officers conducted six undercover heroin purchases from Bryant.
The defendant made an initial appearance before U.S Magistrate Judge H. Kenneth Schroeder and is being detained.
The complaint is the result of an investigation by the Orchard Park Police Department, under the direction of Chief Mark Pacholec; the New York State Police Community Narcotics Enforcement Team (CNET), under the direction of Major David Krause, and Lieutenant Kevin Reyes; and the Drug Enforcement Administration, under the direction of Special Agent-in-Charge James J. Hunt, New York Field Division.
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.
Bucks County Real Estate Investor Guilty on All Counts in Fraud CaseRead the Press Release
PHILADELPHIA – A federal jury found Dean Rossi, 49, of Warrington, Pennsylvania, guilty yesterday of bank, mail and loan fraud in connection with a mortgage scheme, announced U.S. Attorney William M. McSwain.
Rossi, who owned numerous low-income properties throughout the Philadelphia area, misappropriated more than $643,000 from real estate closings. Specifically, after obtaining bank loans to purchase or refinance residential properties, Rossi teamed up with corrupt title/closing agents to divert a substantial portion of the loan proceeds, and then he pocketed cash from the settlements which should have been used to pay off prior mortgages and tax liens. In addition, to prevent the scheme from being detected, Rossi continued to cause payments to be made on the prior existing mortgages years after those loans were supposed to have been paid in full.
“Our investigators and trial team did a phenomenal job of following a trail of evidence that goes back more than a decade,” said U.S. Attorney McSwain. “The defendant went to great lengths to cover his tracks, but due to the hard work of our agents and prosecutors, his long-running scheme was exposed.”
The defendant faces a maximum possible sentence of 120 years’ imprisonment, five years of supervised release, and a $4 million fine.
The case was investigated by the U.S. Postal Inspection Service and the Federal Bureau of Investigation, and is being prosecuted by Assistant United States Attorney Joel Goldstein.
Brazilian National Sentenced for Possessing FirearmsRead the Press Release
BOSTON – A Brazilian national, who entered the United States illegally in 2002, pleaded guilty and was sentenced to time served yesterday in federal court in Boston for possessing firearms and ammunition.
Acemar Damaceno, 38, who formerly resided in Weymouth, pleaded guilty to one count of being an alien in possession of a firearm and ammunition, before U.S. District Court Judge Denise Casper, who sentenced Damaceno to time-served (approximately 13 months in prison).
Law enforcement authorities received information that a man known as “Marcus” was offering to sell firearms to a confidential informant (CI). On March 11, 2017, the CI visited Marcus’ home in Weymouth where Marcus stated that he would kill anybody for a fee. Marcus proceeded to show the CI a .45 caliber handgun, a shotgun, and a bag containing various amounts of ammunition that Marcus hid in the basement of his home. Marcus also offered to sell the .45 caliber handgun to the CI for $1500. The CI cooperated with law enforcement officers and identified Marcus as Acemar Damaceno.
On April 7, 2017, law enforcement officers stopped Damaceno in his vehicle as he left his home, at which time Damaceno admitted that he was not a citizen and that he was illegally present in the United States. Damaceno was administratively arrested. During a search of his residence, a .45 caliber Kimber Ultra Ten II pistol loaded with ten .45 caliber rounds of ammunition and an Iver Johnson Champion shotgun were recovered. A trace of the Kimber pistol determined that it was reported stolen in Connecticut in October 2011.
United States Attorney Andrew E. Lelling and Peter C. Fitzhugh Special Agent in Charge of Homeland Security Investigations in Boston, made the announcement. Assistant U.S. Attorney Nicholas Soivilien of Lelling’s Major Crimes Unit prosecuted the case.
Brazilian Couple Convicted for International Kidnapping of GrandsonRead the Press Release
HOUSTON – A federal jury has convicted an international businessman and his wife of international parental kidnapping, announced U.S. Attorney Ryan K. Patrick and Special Agent in Charge Perrye K. Turner of the FBI. The jury deliberated for more than two days following a 10-day jury trial before convicting Carlos Otavio Guimaraes, 67, and Jemima Guimaraes, 66.
“International parental kidnapping is a terrible crime,” said Patrick. “This jury of 12 heard heart-wrenching evidence of a father who just wants to see his little boy. I applaud today’s verdict and want everyone to know that our office will not rest until the mother is back on U.S. soil to face her own kidnapping charges.”
The jury heard that the child’s grandparents helped illegally retain the child in Brazil away from his father in Houston. The mother and minor child traveled to Brazil to attend a family event in July 2013, but were supposed to return to Houston no later than July 20, 2013. The child was never returned to the United States.
“The FBI is committed to investigating those who remove or attempt to remove a child from the United States, or retain a child outside the United States, with the intent to obstruct another parent's custodial rights,” said Turner.
During trial, the jury heard how the child’s mother allegedly orchestrated a plan to travel to Brazil for her brother’s wedding via an agreed travel agreement as part of the pending divorce. While in Brazil, she went to a Brazilian state court and obtained custody of the minor. From that moment forward, the father of the child was limited in his ability to visit with his son. The visits he did have were supervised by a guard hired by the child’s mother. Currently, despite a Harris County divorce ruling in 2015 favorable to the father, his ability to maintain a relationship with his son has been incredibly difficult. The child no longer speaks English, and the father had to learn Portuguese to navigate the Brazilian legal system and communicate with his son.
The child’s father testified and told the jury that all he ever wanted was for his son to return to Houston so he could be a constant presence in his life.
Evidence was also presented which included the fact that the grandparents support their daughter by providing housing and employment. Additionally, when the father would visit Brazi, Jemima was present for most of the exchanges of the child. Video evidence showed both Carlos, Jemima, the hired guard and their Brazilian attorney at one of the exchanges.
The defense attempted to convince the jury that the Brazilian court rulings should be respected despite the fact they disregard the father’s position. The rulings found the United States was not the place to raise a child in the “egotistical profile of the American family.”
The defense provided an expert on the Hague Convention to testify, but that expert was unable to give even one example of a child that has been returned from Brazil when the abducting parent was alive and domiciled in Brazil. Further, the expert acknowledge the U.S. State Department has found Brazil to be non-compliant with the provisions of the Hague Convention on the Civil Aspects of International Child Abduction since 2006.
The defense claimed the mother was fleeing from domestic violence, but evidence failed to support that claim. The jury ultimately found Carlos and Jemima Guimaraes guilty of international parental kidnapping.
A sentencing date is expected to be set at later date. At that time, the couple faces up to three years in federal prison.
They were permitted to remain on bond pending that hearing.
The child’s mother - Marcelle Guimaraes, 40 - is also charged but remains a fugitive in Brazil. She is presumed innocent unless and until convicted through due process of law.
The FBI conducted the investigation. Assistant U.S. Attorneys Sherri L. Zack and Kimberly Ann Leo are prosecuting the case.
“We thank AUSAs Zack and Leo for their commitment to bringing justice and a successful conclusion to this unique case,” said Turner. “Prosecutors generally have no control over the custodial decisions affecting the child or whether foreign authorities will order the return of the child.”
If you are a parent or legal custodian who has been deprived of your child through abduction, please see the Department of Justice’s International Parental Kidnapping webpage for more information.
Brandenburg Man Pleads Guilty to Attempted Online Enticement and Distribution of Obscene Material to A MinorRead the Press Release
LOUISVILLE, Ky. – A Brandenburg, Kentucky, man pleaded guilty to two child exploitation offenses on Tuesday, May 22, 2108, in United States District Court, announced United States Attorney Russell M. Coleman.
Jeffrey Adam Stone, 31, admitted to online communications with a person he believed to be a 15-year-old girl for the purpose of meeting her to engage in sexual conduct. He also admitted to sending obscene material to the girl.
According to the Plea Agreement and other court records, law enforcement officials became aware of Stone’s conduct as the result of an online undercover operation. In November 2016, an investigator with the Kentucky Attorney General’s Department of Criminal Investigations placed an ad on Craigslist. That same day, Stone responded to the ad. During their initial communications, the investigator advised that he was a 15-year-old girl. Stone continued the communications and directed them to a sexual nature. Specifically, on numerous occasions, he requested to meet the girl to engage in sex acts. He also sent sexually explicit pictures of himself to the person he thought was a 15-year-old girl.
Stone will be sentenced on August 15, 2018, at 10:30 a.m. before United States District Judge David J. Hale. Stone faces a statutorily mandated sentence of 10 years in prison and at least five years of Supervised Release. There is no parole in the federal system. Stone remains in the custody of the United States Marshals Service.
Assistant United States Attorney Jo E. Lawless prosecuted the case. The Kentucky Office of Attorney General’s Department of Criminal Investigations conducted the investigation with assistance from the United States Secret Service.
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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."
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Bowling Green Man Pleads Guilty to Violating Federal Drug and Gun LawsRead the Press Release
LOUISVILLE, Ky. – A Bowling Green, man pleaded guilty to multiple drug and firearm offenses yesterday in United States District Court, announced United States Attorney Russell M. Coleman.
Christopher Michael Compton, 40, admitted to aiding and abetting the knowing and intentional possession with the intent to distribute methamphetamine and marijuana. He also admitted attempting to knowingly and intentionally manufacture methamphetamine and being a prohibited person in possession of firearms and ammunition.
According to the Plea Agreement and other court records, law enforcement officials became aware of Compton’s criminal conduct on November 22, 2016, after his wife left the scene of an automobile accident and went to their home. While conducting an investigation concerning the accident, a Warren County Deputy Sheriff went to the home and smelled marijuana coming from inside. In consultation with the Warren County Commonwealth’s Attorney’s Office, the Deputy Sheriff obtained a state search warrant. During execution of the search warrant, law enforcement officials discovered methamphetamine, marijuana, drug paraphernalia and the remnants of a methamphetamine “cook.” Later forensic testing confirmed a weight of 32.580 grams of marijuana and 7.002 grams of methamphetamine.
In addition to the drugs and related items, law enforcement officials also discovered seven firearms and assorted ammunition. The weapons included four handguns, two rifles and one shotgun. Prior to November 22, 2016, Compton had been convicted of four felony offenses in Butler County, KY. Those convictions involved drug possession, drug trafficking, methamphetamine manufacturing and carrying a concealed deadly weapon. Additionally, Compton was an unlawful user of controlled substances. Due to his drug use and prior felony convictions, he was prohibited from possessing the firearms and ammunition under federal law.
Compton will be sentenced on August 27, 2018, at 9:30 a.m. before United States District Greg N. Stivers. Compton faces potential penalties of 65 years in prison, a fine of up to $2,750,000.00, and at least three years of Supervised Release. There is no parole in the federal system. Compton remains in the custody of the United States Marshals Service.
Assistant United States Attorney Jo E. Lawless prosecuted the case with assistance from the Warren County Commonwealth’s Attorney’s Office. The Bureau of Alcohol, Tobacco, Firearms & Explosives conducted the investigation in conjunction with the Warren County / Bowling Green Drug Task Force. The Task Force is made up of law enforcement officials representing federal, state and local entities. One such agency member, the Warren County Sheriff’s Office initiated the investigation.
Attorney General Sessions Meets with Croatian Prime Minister and PresidentRead the Press Release
A Department of Justice official released the following statement at the conclusion of Attorney General Jeff Sessions ' meetings with Croatian Prime Minister Andrej Plenković and President Kolinda Grabar-Kitarović:
"Attorney General Sessions today met with Croatian Prime Minister Andrej Plenković and President Kolinda Grabar-Kitarović. The Attorney General thanked President Grabar-Kitarović for Croatia's participation in NATO missions and logistical support in the fight against ISIS. Attorney General Sessions also committed to building the U.S.-Croatia relationship, including through increased law enforcement cooperation. On other defense issues, Attorney General Sessions encouraged President Grabar-Kitarović to announce a credible plan to meet the full intent of the Wales Pledge by 2024, which includes 2 percent of GDP spending on defense and 20 percent of defense spending on major new equipment. The Attorney General expressed the Trump Administration’s support for Croatia’s intended completion of the Croatian Liquefied Natural Gas terminal off the Adriatic Coast, which the Attorney General urged the Prime Minister and President to push forward on, in order to increase regional energy security."
Attorney Convicted of Obstructing Federal Grand Jury Investigation of His Client by Altering RecordsRead the Press Release
John Servider, an attorney admitted to practice law in the State of New York since 1988, was convicted today by a federal jury in Brooklyn of two counts of an indictment charging him with conspiracy to alter, and alteration of, records for use in a grand jury investigation in the Eastern District of New York. The verdict followed a seven-day trial before United States District Judge Eric N. Vitaliano. When sentenced, Servider faces up to 20 years’ imprisonment as to each count of the indictment.
Richard P. Donoghue, United States Attorney for the Eastern District of New York, announced the verdict.
“Servider served as the fixer in a corrupt attorney-client scheme to obstruct a federal grand jury investigation by falsifying evidence,” stated United States Attorney Donoghue. “This Office, together with our law enforcement partners, will hold accountable attorneys who violate their oaths and the law by obstructing justice.”
Mr. Donoghue expressed his thanks to the agents and investigators of the Internal Revenue Service-Criminal Investigation, New York Field Office; the U.S. Department of Labor, Office of Inspector General, Office of Labor Racketeering and Fraud; the Federal Bureau of Investigation, New York Field Office; and the Port Authority of New York and New Jersey, Office of Inspector General, for their outstanding investigative work in the case.
The evidence at trial established that between March 2013 and April 2015, Servider learned that his client Vincent Vertuccio, who secretly controlled the activities of a construction company called Crimson Corp. (Crimson), was the subject of a grand jury investigation. Several law enforcement agencies, including the IRS, were investigating the flow of funds from Crimson to businesses that had supplied goods and services to Vertuccio. Vertuccio had not reported those goods and services as taxable income on his federal personal income tax return. After a grand jury subpoena was served on the jewelry store where Vertuccio purchased jewelry with Crimson funds, Servider and Vertuccio agreed to falsify the jewelry store receipts and invoices by removing any mention of Vertuccio’s name.
In April 2017, Vertuccio pleaded guilty to filing a false tax return and conspiracy to obstruct justice. He is awaiting sentencing.
The government’s case is being handled by the Office’s Organized Crime & Gangs Section. Assistant United States Attorneys Tanya Hajjar and Jonathan P. Lax are in charge of the prosecution.
The Defendant:
JOHN SERVIDER
Age: 56
Residence: Patterson, New YorkE.D.N.Y. Docket No. 15-CR-174 (ENV)
Arkansas Man Sentenced to 27 Months for FraudRead the Press Release
LEXINGTON, Ky. – A Cabot, Arkansas man, who previously admitted paying hundreds of thousands of dollars in bribes to receive millions of dollars of construction work, was sentenced today to 27 months in prison.
U.S. District Court Judge Danny C. Reeves sentenced 50-year-old Rocky Williams for the crime of conspiracy to commit honest services fraud.
Williams previously admitted that he conspired with James Newton, an employee at Saint Joseph Hospital in Lexington, Kentucky, between 2009 and 2012. Williams admitted that he paid over $500,000 in bribes to Newton, concealing them as payments of credit card and fuel bills, vehicle and rent payments, and gifts such as a motorcycle, an all-terrain vehicle, vacations, golf club memberships, a pool table, furniture, and home furnishings. In exchange, Newton, the Executive Director of Facilities responsible for assigning Saint Joseph Hospital’s general contracting work, steered over $8,000,000 of construction jobs to Williams’s company, ZaneRock Construction.
Williams pleaded guilty to conspiracy to defraud Saint Joseph Hospital, on December 17, 2017. Newton, 52-years-old and most recently living in Pace, Florida, had previously pleaded guilty to the same charge, on September 15, 2017. Williams and Newton were both given sentences of 27 months in federal prison, and both will share responsibility for repaying $532,660 in restitution to Saint Joseph Hospital. Williams will report to prison on August 27, 2018. Newton began his prison sentence on March 12, 2018.
Under federal law, Williams and Newton must serve 85 percent of their prison sentences; and upon their release, they will both be under the supervision of the U.S. Probation Office for three additional years.
Robert M. Duncan, Jr., United States Attorney for the Eastern District of Kentucky, and Amy Hess, Special Agent in Charge, Federal Bureau Investigation, jointly announced the sentence. The investigation was conducted by the FBI. The U.S. Attorney’s Office was represented by Assistant U.S. Attorney Neeraj Gupta.
Anchorage Man Sentenced for Federal Drug and Firearms OffensesRead the Press Release
Anchorage, Alaska – U.S. Attorney Bryan Schroder announced that James Markus Harries, a/k/a “James Harris,” 33, of Anchorage, was sentenced yesterday by U.S. District Judge Sharon L. Gleason, to serve 110 months in prison, followed by 5 years of supervised release. Harries previously pleaded guilty on Feb. 26, 2018, to possession with intent to distribute controlled substances and being a felon in possession of a firearm.
According to court documents, on May 31, 2017, members of APD’s CAP (Community Action Policing) team were conducting a crime suppression detail, when officers observed multiple traffic violations from a red Chevy Tahoe. APD subsequently conducted a traffic stop and made contact with the driver, later identified as James Harries. Harries initially would not identify himself, denied having any identification on his person, and claimed to not know his social security number.
The investigation revealed that, inside the driver’s door of the Tahoe, Harries possessed a plastic bag containing 88.9 grams of black tar heroin. A black backpack was also found in the vehicle, in which Harries possessed an additional 319.61 grams of heroin, a stolen .40 caliber Smith and Wesson M&P semi-automatic pistol, and a .45 caliber Taurus semi-automatic pistol. The investigation further revealed that Harries intended to distribute the heroin in the Anchorage area.
The Anchorage Police Department (APD), the Federal Bureau of Investigation (FBI), and the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) conducted the investigation leading to the successful prosecution of this case. Special Assistant U.S. Attorney James Stinson prosecuted this case.
Amherst Doctor Pleads Guilty to Theft from Insurance CompaniesRead 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 Sreekrishna Cheruvu, 61, of East Amherst, NY, pleaded guilty, during trial, before Senior U.S. District Judge William M. Skretny to theft from a health care benefit program. The charge carries a maximum penalty of one year in prison and a $100,000 fine.
Assistant U.S. Attorneys Maura K. O’Donnell and Elizabeth R. Moellering, who are handling the case, stated that between January 2011 and May 2014, the defendant was a practicing physician in Amherst, NY who submitted claims to Independent Health (IHA), Univera, and Blue Cross and Blue Shield of Western New York (HealthNow) for medical services he purportedly rendered.
Cheruvu was also a participating provider with HealthNow. On August 7, 2012, the defendant submitted a claim form to HealthNow for reimbursement for services provided to patient “K.S.” On the form, Cheruvu claimed he provided services to “K.S.,” when, in fact, the defendant personally provided no services to the patient. As a result, HealthNow reimbursed the defendant $61.23 for the non-rendered service which the defendant converted to his own use.
Between January 2011 and May 2014, IHA, Univera, and HealthNow, lost approximately $196,615 as a result of Cheruvu’s conduct. As part of his plea, Cheruvu agreed to pay restitution in the amount of up to $550,000.
The plea is the result of an investigation by the Federal Bureau of Investigation, under the direction of Special Agent-in-Charge Gary Loeffert.Sentencing is scheduled for September 5, 2018, at 2:00 p.m. before Judge Skretny.
Albuquerque Felon Pleads Guilty to Violating Federal Firearms LawsRead the Press Release
ALBUQUERQUE – Dakota Cook, 26, of Albuquerque, N.M., pled guilty today in federal court to violating the federal firearms laws by being a felon in possession of a firearm and ammunition.
Cook was indicted on June 28, 2017, and was charged with two counts of being a felon in possession of a firearm and ammunition, and one count of possessing an unregistered firearm. According to the indictment, Cook committed the offenses on June 24, 2016, in Valencia County, N.M. Cook was prohibited from possessing firearms or ammunition because of his prior felony convictions for receiving or transferring a stolen vehicle and aggravated assault on a peace officer.
During today’s proceedings, Cook pled guilty to one count of being a felon in possession of a firearm and ammunition. In entering the guilty plea, Cook admitted possessing a firearm on June 24, 2016, and that a ballistics test connected the firearm to another pending case against him. Cook acknowledged that he was prohibited from possessing firearms or ammunition because of his prior felony convictions.
At sentencing, Cook faces a maximum statutory penalty of ten years of imprisonment. However, if the court determines that Cook is an armed career criminal, he faces an enhanced sentence of a mandatory minimum 15 years to a maximum of life imprisonment.
This case was investigated by the Albuquerque office of the FBI, the New Mexico State Police and the Los Lunas Police Department. Assistant U.S. Attorney Letitia C. Simms is prosecuting the case as part of a federal anti-violence initiative that targets violent, repeat offenders for federal prosecution. Under this initiative, the U.S. Attorney’s Office and federal law enforcement agencies work with New Mexico’s District Attorneys and state, local and tribal law enforcement agencies to target violent or repeat offenders primarily based on their prior criminal convictions for federal prosecution offenders with the goal of making communities in New Mexico safer places for people to live and work.
24 May 2018
York County Man Sentenced to Seven Years’ Imprisonment for Child Pornography OffensesRead the Press Release
HARRISBURG - The United States Attorney’s Office for the Middle District of Pennsylvania announced today that Robert E. Miller, III, age 34, of York County, Pennsylvania, was sentenced on May 23, 2018, by United States District Court Judge John E. Jones, III, to 84 months’ imprisonment, 10 years’ supervised release and to pay a $5,200 special assessment, for being in the possession of images depicting the sexual exploitation of children and receipt of obscene visual representations depicting the sexual abuse of children.
According to United States Attorney David J. Freed, Miller was convicted on December 6, 2017, following a three-day trial. The case originated when the FBI Major Case Coordination Unit sent a lead to the FBI Harrisburg office regarding a user browsing a known child pornography website. After obtaining a search warrant, federal and local law enforcement officers located hundreds of images and videos containing child pornography and obscene material depicting the sexual abuse of children, including violent rape, sodomy, bondage and forcible penetration with an object.
This case was investigated by the Federal Bureau of Investigation and the Northern York County Regional Police Department. Assistant United States Attorneys Daryl Bloom and Carlo Marchioli prosecuted the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute 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."
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Woman Sent to Prison for Preparing False Income Tax ReturnRead the Press Release
HOUSTON – A local tax return preparer has been ordered to federal prison following her conviction of willfully aiding and assisting in the preparation of a false tax return for a client, announced U.S. Attorney Ryan K. Patrick along with Special Agent in Charge Rick Goss of IRS-Criminal Investigation. Crystal T. Kemp pleaded guilty Oct. 12, 2017.
Today, U.S. District Judge Sim Lake handed Kemp a 30-month sentence to be immediately followed by one year of supervised release. In handing down the sentence, the court noted Kemp’s conduct spanned four years and included the preparation of multiple false tax returns for the same clients.
“Today’s sentencing of Kemp puts an end to the activities of someone who made a living off of defrauding the public. This should send a message to other unscrupulous tax return preparers,” said Goss. “IRS-CI Special Agents and the U.S. Attorney’s office will continue to work vigorously to stop dishonest tax return preparers and their criminal behavior.”
In the plea agreement filed in the record of the case, Kemp admitted she prepared income tax returns for clients of her business in Houston named CQ Tax Preparation. Kemp willfully placed several false items on the tax returns, including false losses from sole proprietorships, false refundable American Opportunity Credits, false earned income credits and false child tax credits.
According to the plea agreement, Kemp admitted she prepared 41 false income tax returns for clients with a combined tax loss to the United States of $429,131. Kemp also prepared a false 2015 income tax return for an undercover IRS agent posing as a taxpayer, claiming a false income tax refund of $5,546 when the tax return should have reflected a tax due and owing of $1,270.
Kemp further admitted in the plea agreement that she claimed a false income tax refund on her 2013 and 2014 personal income tax returns that resulted in a combined tax loss to the United States of an additional $96,608.
Previously released on bond, Kemp was taken into custody following the sentencing today where she will remain pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
IRS-Criminal Investigation conducted the investigation. Assistant U.S. Attorney Justin R. Martin is prosecuting the case.
Wilmington Man Sentenced for Armed Bank RobberyRead the Press Release
BOSTON – A Wilmington man was sentenced today in federal court in Boston for armed bank robbery.
Russell Dinovo, 52, was sentenced by U.S. District Court Judge Richard G. Stearns to 57 months in prison and five years of supervised release. In December 2017, Dinovo pleaded guilty to one count of armed bank robbery.
On Oct. 9, 2015, two individuals, wearing hooded sweatshirts with portions of their faces visible, entered a branch of the Hingham Institute for Savings in Boston. One of the robbers, later identified as Dinovo, vaulted the teller counter, forced open two cash drawers, grabbed money, and put it into a duffel bag. Dinovo then demanded that a bank employee open the vault; the employee did, and Dinovo then removed money from the vault. The other individual, later identified as Anthony Pantone, remained in front of the counter throughout the entire robbery holding what appeared to be a handgun.
After stealing $16,320 from the bank, the two individuals fled on foot, but were captured a short time later in a cab with the duffel bag containing $16,320 and an airsoft gun.
Pantone pleaded guilty and was sentenced in August 2016 to 78 months in prison.
United States Attorney Andrew E. Lelling and Harold H. Shaw, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division, made the announcement today. Assistant U.S. Attorney Suzanne Sullivan Jacobus of Lelling’s Major Crimes Unit prosecuted the case.
Warsaw, Indiana Man SentencedRead the Press Release
SOUTH BEND - Charles William Dove, age 34, of Warsaw, Indiana was sentenced before South Bend District Court Judge Robert L. Miller, Jr. for the crime of possessing a firearm after having been convicted of a felony, announced U.S. Attorney Kirsch.
Dove was sentenced to 51 months imprisonment followed by 3 years of supervised release.
According to documents in this case, on March 28, 2017, Dove possessed a Glock pistol and a Remington shotgun in Milford, Indiana, despite having twelve (12) prior felony convictions. Additionally, Dove had engaged in an argument with a relative by text messages and sent a photograph of himself while holding guns.
This case was investigated by the ATF with assistance from the Warsaw Police Department. The case was handled by Assistant U.S. Attorney Joel Gabrielse.
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Walton Man Sentenced to 264 Months for Conspiracy to Distribute MethamphetamineRead the Press Release
COVINGTON, Ky. – Garret Gadd, 45, of Walton, Kentucky, was sentenced today to 264 months in federal prison, by United States District Judge David L. Bunning, for conspiracy to distribute methamphetamine.
Gadd pled guilty, in February 2018, and admitted that he conspired with others to distribute more than 150 grams of crystal methamphetamine. Gadd had multiple prior felony convictions relating to methamphetamine distribution. A codefendant, Regina Gripshover, was sentenced to 46 months, in March.
Under federal law, Gadd must serve 85 percent of his prison sentence; and upon his release, he will be under the supervision of the United States Probation Office for ten years.
Robert M. Duncan, Jr., United States Attorney for the Eastern District of Kentucky, and Timothy J. Plancon, Special Agent in Charge, Drug Enforcement Administration, jointly made the announcement. The investigation was conducted by the Northern Kentucky Drug Strike Force and the Drug Enforcement Administration. The United States was represented by Assistant United States Attorney Tony Bracke.
Virginia Pharmacist Indicted for Employment Tax FraudRead the Press Release
A federal grand jury sitting in the Western District of Virginia returned an indictment today charging a Collinsville, Virginia pharmacist with failing to account for and pay over employment taxes, announced Principal Deputy Assistant Attorney General Richard E. Zuckerman of the Justice Department’s Tax Division and U.S. Attorney Thomas T. Cullen for the Western District of Virginia.
According to the indictment, Jerry R. Harper, Jr., owned and operated Family Discount Pharmacy, Inc. (FDP) in Stanleytown, Virginia, with multiple locations in Stuart, Rocky Mount, Chatham, and Brosville, Virginia. As owner of FDP, Harper was allegedly responsible for collecting and paying over FDP’s employment taxes. The indictment charges that during 2011 to 2014, FDP accrued employment tax liabilities of more than $1.2 million and that Harper withheld those taxes from FDP employees’ wages. He then allegedly failed to fully pay over the amounts withheld to the Internal Revenue Service (IRS).
Instead of providing the employment taxes to the IRS, Harper allegedly caused FDP to pay his personal expenses, including investments in the stock market, payments for his son’s pharmacy school tuition, purchases of real property in Virginia and North Carolina, and purchases of automobiles. The indictment further alleges that in over 15 years Harper only filed one employment tax return with the IRS.
If convicted, Harper faces a statutory maximum of five years in prison on each charge. In addition, he faces a period of supervised release, restitution and monetary penalties. An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Principal Deputy Assistant Attorney General Zuckerman and U.S. Attorney Cullen commended special agents of IRS Criminal Investigation, who conducted the investigation, and Tax Division Trial Attorney Daniel McGraw and Assistant U.S. Attorney Charlene Day, who are prosecuting the case.
Additional information about the Tax Division and its enforcement efforts may be found on the division’s website.
Virginia Man Indicted on Multiple Counts of Producing Child PornographyRead the Press Release
A federal grand jury in Alexandria, Virginia returned an indictment today charging a Centreville, Virginia man with multiple counts of production of child pornography.
According to the indictment, Kenneth Wayne Burk, 37, among other things, used, employed, and coerced a child to engage in sexually explicit conduct for the purpose of producing images of that conduct, and he did so on multiple occasions. His arraignment is scheduled on June 8 at 9 a.m. before U.S. District Judge Leonie Brinkema for the Eastern District of Virginia.
Acting Assistant Attorney General John P. Cronan of the Justice Department’s Criminal Division, Acting U.S. Attorney Tracy Doherty-McCormick of the Eastern District of Virginia, Special Agent in Charge Matthew J. DeSarno of the FBI’s Washington Field Office and Fairfax County Chief of Police Colonel Edwin C. Roessler Jr., made the announcement.
The case is being investigated by the FBI and the Fairfax County Police Department. Trial Attorney Kyle P. Reynolds of the Criminal Division’s Child Exploitation and Obscenity Section and Assistant U.S. Attorney Whitney D. Russell of the Eastern District of Virginia are prosecuting the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorneys’ Offices and the Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Vermont Man Pleads Guilty to Escape ChargeRead the Press Release
CONCORD - William James Dunn, Jr., 35, previously of Burlington, Vermont, pleaded guilty in federal court to escape from the custody of the Bureau of Prisons, United States Attorney Scott W. Murray announced today.
According to court documents and statements made in court, Dunn has been in federal custody since a felony conviction in 2012 in the United States District Court for the District of Vermont for narcotics distribution. In September of 2017, he was transferred from a Bureau of Prisons facility to the Hampshire House in Manchester, New Hampshire in order to start his pre-release programming. On December 23, 2017, he received a nine-hour furlough to attend a family funeral in Burlington, Vermont. Dunn did not return within the prescribed nine hours and his whereabouts were unknown until he turned himself in to the U.S. Marshals in Burlington, Vermont on the morning of December 27, 2017.
Dunn is scheduled to be sentenced on August 30, 2018.
This matter was investigated by the United States Marshals Service. The case is being prosecuted by Assistant U.S. Attorney Charles L Rombeau.
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U.S. Army Lieutenant Colonel Arrested and Charged for Defrauding Insurance ProvidersRead the Press Release
Anchorage, Alaska – U.S. Attorney Bryan Schroder announced today that an officer of the U.S. Army has been charged for allegedly defrauding insurance providers to obtain hundreds of thousands of dollars in fraudulent insurance payments.
Christopher James DeMure, 40, a Lieutenant Colonel in the U.S. Army, has been named in a criminal complaint charging him with mail fraud, wire fraud, and money laundering. DeMure was arrested this morning and is expected to make his initial appearance on the charges tomorrow afternoon.
The complaint alleges that, from September 2014 until February 2018, DeMure engaged in a scheme to defraud USAA Federal Savings Bank (USAA) and American Express (AMEX) to obtain insurance payments by submitting fraudulent claims and other fraudulent documents. DeMure spent much of the insurance payout money to pay off automobile loans, credit cards, mortgage loans, and other personal debts and expenses, including a 2016 Chevrolet Suburban and a 2016 Audi A7. In all, DeMure’s fraudulent insurance claims allegedly sought payments in the amount of approximately $475,000, and that DeMure has actually received approximately $394,000, from USAA and AMEX, combined.
More specifically, it is alleged that DeMure purchased items of value, such as jewelry, performance bicycles, clothing, and electronics that were later the subject of insurance claims that he filed with USAA and/or AMEX. On multiple occasions, DeMure cancelled an online order for or physically returned items for a full refund, and thereafter listed those same items on a fraudulent insurance claim with USAA and/or AMEX, wherein he falsely claimed that the item was lost, misplaced, and/or stolen. Beginning in October 2015, DeMure began to file parallel fraudulent insurance claims for certain items with both USAA and AMEX. In some cases, DeMure provided different explanations for the loss, misplacement, or theft of those items to USAA and AMEX.
DeMure’s scheme to defraud involved at least seven separate loss incidents. For example, in July 2016, DeMure moved from Fort Benning, Georgia, to Joint Base Elmendorf-Richardson, Alaska. The U.S. Army paid for a company to pack and move DeMure’s residential household goods from Georgia to Alaska. Those household goods were packed by the moving company on July 13, 2016. On July 21, 2016, DeMure contacted USAA and claimed that a U-Haul trailer that he had rented had been burglarized in Louisville, Kentucky, where he stopped on the way to Indiana. DeMure claimed the loss amount was $215,317.68. The following day DeMure contacted the Louisville Metro Police Department to report the burglary. In his USAA claim, DeMure identified numerous items as having been stolen from the U-Haul in Louisville, ranging from jewelry to performance bicycles. The jewelry items included a Tiffany & Co. necklace that DeMure told USAA was a family heirloom, which had an appraised value of $35,000. In fact, business records show that DeMure purchased the necklace on June 1, 2016, had it appraised on June 15, 2016, returned it on July 6, 2016, and on July 11, 2016, had it insured by USAA. Altogether, DeMure received an overall payment benefit of $183,339.73 from the claims he filed with USAA and AMEX related to the purported July 20, 2016, U-Haul burglary.
The complaint further alleges that some of the supporting documents that DeMure submitted to USAA and AMEX were fraudulent. For example, in support of an insurance claim, DeMure allegedly submitted a fake Palmer Police Department report to AMEX to evidence the loss incident in question.
If convicted, DeMure faces a maximum sentence of 20 years in prison and a fine of $250,000, or both, for the most serious charges alleged in the complaint. Under federal sentencing statutes, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
The Federal Bureau of Investigation (FBI) conducted the investigation leading to the charges in this case, with assistance from the U.S. Army Criminal Investigation Command (commonly known as CID). This case is being prosecuted by Assistant U.S. Attorney Andrea W. Hattan.
A complaint is only a charge and is not evidence of guilt. A defendant is presumed innocent and is entitled to a fair trial at which the government must prove guilt beyond a reasonable doubt.
Two Tortola Men Arrested at the Cyril E. King Airport for Allegedly Smuggling 11 Kilograms of Cocaine with the intent to DistributeRead the Press Release
St. Thomas, USVI – Jason Frett, 36, and Ashley Warner, 54, both of Tortola, were arrested today on a complaint charging them with possession of cocaine with the intent to distribute, United States Attorney Gretchen C.F. Shappert announced. Frett and Warner made their initial appearance before Magistrate Judge Ruth Miller and were detained pending further proceedings.
According to the complaint, Frett and Warner were stopped by U.S. Customs and Border Protection (CBP) officers at the Cyril E. King airport after it was discovered that Frett and Warner were attempting to smuggle eleven kilograms of cocaine through the airport to the U.S. mainland in coolers. The white powdery substance discovered inside the coolers, field tested positive for cocaine and weighed approximately 11 kilograms.
If convicted of possession of a controlled substance with the intent to distribute, Frett and Warner face a term of imprisonment of not less than 10 years and not more than life and a fine of $10,000,000.00.
The case is being investigated Homeland Security Investigations (HSI) and U.S. Customs and Border Protection (CBP) and prosecuted by Assistant United States Attorney Sigrid M. Tejo-Sprotte.
Two Luzerne County Men Charged with Armed Bank RobberyRead the Press Release
SCRANTON - The United States Attorney’s Office for the Middle District of Pennsylvania announced today that Gerald Pambianco, age 29, of Plains Township, Pennsylvania, and Derek Spaide, age 26, of Hanover Township, Pennsylvania, were indicted on May 22, 2018, by a federal grand jury on one count of conspiracy to use firearms in furtherance of a crime of violence, one count of armed bank robbery, one count of brandishing a firearm in furtherance of a crime of violence, and one count of being convicted felons in possession of firearms.
According to United States Attorney David J. Freed, the indictment alleges that on May 16, 2018, Pambianco and Spaide traveled to the Luzerne National Bank in Plains Township. Spaide placed a t-shirt over his face, entered the bank and pointed a rifle at a bank employee, demanded money and stole approximately $8,204. Spaide then entered a vehicle driven by Pambianco, who drove away from the bank and engaged in a high-speed vehicle chase with police.
The investigation was conducted by the Federal Bureau of Investigation, the Pennsylvania State Police, the Plains Township Police Department, and the Hanover Township Police Department. Assistant United States Attorney Robert J. O’Hara is prosecuting the case.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. Attorney General Jeff Sessions reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.
Indictments and Criminal Informations are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
The maximum penalty for the armed bank robbery charge under federal law is 25 years of imprisonment, a term of supervised release following imprisonment, and a $250,000 fine. The charge of brandishing a firearm in furtherance of a crime of violence carries a mandatory minimum sentence of seven years, consecutive to any other sentence. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant's educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
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Two Charged with Sex Trafficking by Force – One Defendant Remains at LargeRead the Press Release
PHILADELPHIA – Two men, one from Georgia, the other from California, were charged today with sex trafficking and related crimes, announced U.S. Attorney William M. McSwain.
Kashamba John, 30, of Atlanta, and Tyler Robert Bachtel, 34, of Montclair, California, were charged today by indictment with one count of sex trafficking by means of force, threats of force, fraud and coercion (Count One). John was additionally charged with one count of transporting an individual in interstate commerce with the intent that the individual engage in prostitution (Count Two).
Bachtel remains at large. Anyone with information on his whereabouts should contact local law enforcement or the ICE tip line at 866-DHS-2-ICE.
“The victims of sex trafficking pay a price that lasts a lifetime,” said U.S. Attorney McSwain. “We have to do everything possible to find the offenders and bring them to justice.”
If convicted of sex trafficking, each defendant faces a mandatory minimum term of 15 years’ imprisonment up to a possible sentence of life imprisonment, a minimum of five years up to lifetime of supervised release, and a $250,000 fine. In addition, on Count Two, John faces a maximum of 10 years’ imprisonment as well as up to three years supervised release and a $250,000 fine.
The case was investigated by the Department of Homeland Security, Immigration and Customs Enforcement - Homeland Security Investigations, the Pennsylvania State Police, and the Office of the Attorney General for the Commonwealth of Pennsylvania, and is being prosecuted by Assistant United States Attorneys Melanie Babb Wilmoth and Michelle Morgan.
An Indictment, Information or Criminal Complaint is an accusation. A defendant is presumed
innocent unless and until proven guilty.
Torrington Man Involved in Medicaid Fraud Scheme is SentencedRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, announced that MAURICE SHARPE, 46, of Torrington, was sentenced today by U.S. District Judge Victor A. Bolden in Bridgeport to five years of probation for committing health care fraud.
According to court documents and statements made in court, in February 2011, SHARPE and his mother, Patricia Lafayette, and another individual formed Family First Community Support Services, LLC, a social services agency located in Torrington. SHARPE was the office manager for the agency. Lafayette and the other individual approached Anne Charlotte Silver, a licensed clinical social worker who owned and operated Silver Counseling Services, LLC, in Canton and Bantam. Lafayette and the other individual proposed a scheme to Silver to defraud Medicaid by permitting Lafayette and the other individual to bill Medicaid for psychotherapy services using Silver’s Medicaid provider number. The services were either performed by unlicensed individuals or not performed at all. Under the scheme, Silver kept 25 percent of the proceeds, and paid the remaining 75 percent to Lafayette and the other individual.
Medicaid was defrauded of approximately $1.6 million through this scheme, of which Lafayette received more than $1.2 million.
On December 13, 2016, SHARPE pleaded guilty to one count of health care fraud and admitted that he submitted claims to Medicaid for psychotherapy services that falsely represented that Silver had personally provided the services. SHARPE also admitted that he submitted hundreds of claims to Medicaid for psychotherapy services purportedly provided to SHARPE’s family members, including SHARPE’s children and nieces and nephews, when no such services were ever provided. SHARPE also assisted in the preparation of records that falsely documented the nature and extent of the services received by his family members.
Judge Bolden ordered SHARPE to restitution of $211,131.
Lafayette and Silver also pleaded guilty to health care fraud for their roles in the scheme. On April 27, 2017, Lafayette was sentenced to 21 months of imprisonment and six months of home confinement. On May 8, 2017, Silver was sentenced to 10 months of imprisonment. Lafayette and Silver were ordered to pay restitution of $1.6 million.
This matter is being prosecuted by Assistant U.S. Attorney David J. Sheldon and Auditor Susan Spiegel.
This case has been jointly investigated by the Office of the Inspector General of the U.S. Department of Health and Human Services and the Medicaid Fraud Control Unit of the Chief State’s Attorney’s Office, with assistance from the Connecticut Attorney General’s Office. U.S. Attorney Durham thanked the Connecticut Department of Social Services for their role in identifying the fraudulent scheme and supporting the investigation and prosecution of the case.
The U.S. Attorney’s Office, Chief State’s Attorney’s Office and Attorney General’s Office meet regularly as part of The Medicaid Fraud Working Group. The Working Group also includes representatives from the Connecticut Department of Social Services; the Connecticut Department of Public Health; the Drug Control Division of the Connecticut Department of Consumer Protection; the Office of the Inspector General of the U.S. Department of Health and Human Services, and the FBI. The Working Group reviews pending issues and cases, identifies trends that might indicate fraudulent activity, and coordinates efforts for maximum results.
People who suspect health care fraud are encouraged to report it by calling 1-800-HHS-TIPS.
Three Plead Guilty to Conspiring to Distribute Heroin, Fentanyl and CrackRead the Press Release
Bangor, Maine: United States Attorney Halsey B. Frank announced that Melina Snead, a/k/a “Lady,” 24, of Rochester, New York, Jeffrey Johnson, 57, of Gardiner, Maine, and Nicole Truman, a/k/a “Coley,” 32, of Augusta, Maine pled guilty in U.S. District Court to conspiracy to distribute heroin, fentanyl and cocaine base, commonly known as “crack.”
According to court records, between June 2015 and March 2017, the defendants conspired with others to acquire heroin, fentanyl and crack in Rochester and transport it to Central Maine for distribution. Snead sold the drugs in Central Maine. Johnson allowed Rochester conspirators to sell drugs from his residence and assisted in distributing, storing and transporting the drugs. Truman transported drugs from storage to residences for distribution.
The defendants face up to 20 years in prison term, a $1,000,000 fine, and between three years and life on supervised release.
The case was investigated by the U.S. Drug Enforcement Administration, the Maine Drug Enforcement Agency, and the Kennebec County Sheriff’s Department, with assistance provided by the Augusta, Maine Police Department and was prosecuted as part of the Department of Justice’s Strategy to Combat the Opioid Epidemic.
Tax Return Preparer Sentenced to A Year in PrisonRead the Press Release
OAKLAND – Eric Oase was sentenced today to 12 months and one day in prison for filing false claims with the United States, and ordered to pay restitution of $357,531.76, announced Acting United States Attorney Alex G. Tse and Internal Revenue Service, Criminal Investigation, Special Agent in Charge Michael T. Batdorf. The sentence was handed down by the Honorable Yvonne Gonzalez Rogers, U.S. District Judge, following the entry of Oase’s guilty plea to the charges on January 25, 2018.
Oase, 53, of Las Vegas, Nev., pleaded guilty to two counts of filing false claims with the United States. According to his plea agreement, Oase admitted to owning and operating E&K Tax Solutions in San Leandro, Calif., a business under which he prepared and filed false tax returns. In 2012, Oase prepared, and caused to be filed for his clients, tax returns covering varying calendar years between 2008 and 2011. The tax returns reported false wages, false education expenses, or both. Often, Oase caused to be delivered or filed on behalf of his clients tax returns that were preprinted and completed with income and expenses even before the taxpayer provided any income or expense information. By reporting false wages and expenses, Oase generated fraudulent tax refunds and then kept approximately 20% of the fraudulent refund as a fee. In total, Oase prepared tax returns claiming fraudulent tax refunds of $477,333. The IRS actually disbursed $357.531.76 pursuant to Oase’s scheme.
A federal grand jury indicted Oase on January 17, 2017, charging him with multiple counts of filing false claims with the United States, in violation of 18 U.S.C. § 287. Pursuant to his plea agreement, Oase pleaded guilty to two of the counts and the remaining counts were dismissed.
In addition to the prison term, Judge Gonzalez Rogers also ordered Oase to serve three years of supervised release. Judge Gonzalez Rogers ordered the defendant to self-surrender to begin serving his sentence on or before July 16, 2018.
Assistant U.S. Attorney José A. Olivera is prosecuting the case. The prosecution is the result of an investigation by IRS, Criminal Investigation.
Taj Armon Reid Convicted of Conspiracy and Receiving BribesRead the Press Release
SAN FRANCISCO – Taj Armon Reid was convicted of conspiracy and receiving bribes by a federal jury today, announced Acting United States Attorney Alex G. Tse and Federal Bureau of Investigation Special Agent in Charge Jack Bennett. The guilty verdicts followed a four-day jury trial before the Honorable Charles R. Breyer, U.S. District Court Judge.
The jury found that Reid, 47, of Oakland, received bribes on two occasions in connection with business being offered by the California Department of Veterans Affairs, also known as CalVet. The jury also concluded Reid conspired to receive the bribes with Eric Worthen, 46, of Pleasant Hill, who at the time was an employee of CalVet.
Evidence at trial showed that Reid accepted cash from a source on April 18, and again on May 8. In April, Reid offered a developer an inside advantage on two CalVet construction projects in exchange for $10,000 cash. Specifically, Reid offered to use Worthen’s position at CalVet to circumvent the normal bidding process for a residential home project in Ventura, California. The May transaction involved a kitchen remodel project at the veterans’ home in West Los Angeles. On this occasion, Reid and Worthen accepted $2,000 cash in exchange for providing to the developer inside information that the co-conspirator took from the CalVet office. Unbeknownst to Reid and Worthen, the “developer” to whom they were providing an inside track on the CalVet contracts was a source working under the direction of the FBI and posing as a developer willing to pay bribes in order to obtain contracts with public agencies. At the conclusion of the trial, the jury found Reid guilty of conspiracy, in violation of 18 U.S.C. § 371, and two counts of receiving a bribe or reward, in violation of 18 U.S.C. § 666(a)(1)(B).
“Defendant Reid, motivated by the lure of easy money, attempted to take advantage of inside access to state contract,” said Acting U.S. Attorney Tse. “The kind of ‘pay to play’ corruption exposed in this case is unfair to honest government contractors, inflates the cost of public projects, and undermines the public’s confidence in the integrity of government agencies and their employees. Combatting public corruption is and will continue to be a priority of the U.S. Attorney’s Office.”
Reid’s sentencing hearing is scheduled for August 29, 2018, before Judge Breyer in San Francisco. The maximum statutory penalty for the violation of 18 U.S.C. § 371 is five years and a fine of $250,000, and the maximum penalty for the violations of 18 U.S.C. § 666(a)(1)(B) is ten years and a fine of $250,000. However, any sentence will be imposed by the court after consideration of the U.S. Sentencing Guidelines and the federal statute governing the imposition of a sentence, 18 U.S.C. § 3553.
Worthen pleaded guilty in August of 2017 to his part in the conspiracy and for taking bribes. His sentencing is scheduled has not yet been scheduled.
The case is being prosecuted by the Special Prosecutions and National Security Unit of the U.S. Attorney’s Office and the FBI, with assistance from the Department of Treasury, Office of Inspector General.
Stockton Man Sentenced to over 5 Years in Prison in Credit Card Fraud and Identity Theft SchemeRead the Press Release
SACRAMENTO, Calif. — Boone B. Khoonsrivong, 41, of Stockton, was sentenced today by U.S. District Judge Troy L. Nunley to five years and five months in prison for conspiracy to commit credit card fraud and aggravated identity theft in connection with a scheme aimed at Target REDcard account holders across the United States involving hundreds of fraudulent transactions and at least 1,000 victims, United States Attorney McGregor W. Scott announced. Khoonsrivong was also sentenced to a concurrent term of three years for destruction of letter boxes in in Wallace, California, charged in a separate indictment.
According to the indictment charging the credit-card fraud conspiracy, between March 2014 and September 2015, Khoonsrivong and eight co-conspirators stole personal information from victims through various methods. The conspirators then used that information to create unauthorized access devices or otherwise used unauthorized access devices to obtain things of value in excess of $1,000. Part of the scheme involved using unauthorized access devices in the form of Target REDcard account numbers to buy large amounts of electronics, pre-paid gift cards, and other goods at Target locations throughout the Sacramento area, northern California, and elsewhere. The indictment further alleged that Khoonsrivong possessed and used device-making equipment with the intent to defraud.
In all, the indictment alleges that more than 300 counterfeit and unauthorized access devices were possessed, used, produced, or trafficked by members of the conspiracy, and over 1,000 victims have been identified to date as having had their identities compromised as a result of the conspiracy. All of Khoonsrivong’s eight co-defendants have pled guilty, six of the co-defendants have already been sentenced, and two await sentencing.
This case is the product of an investigation by the United States Postal Inspection Service and the Stockton Police Department. Assistant United States Attorneys André M. Espinosa and Rosanne L. Rust are prosecuting the case.
Stock Promoter Sentenced to 44 Months’ Imprisonment for $131 Million Market Manipulation SchemeRead the Press Release
Earlier today, in federal court in Brooklyn, Louis Petrossi, a former registered broker, was sentenced by United States District Court Judge Brian M. Cogan to 44 months’ imprisonment, to be followed by three years’ supervised release, for his role in the fraudulent market manipulation of ForceField Energy Inc. (ForceField), a publicly-traded company previously listed on the NASDAQ under the ticker symbol “FNRG.” The Court also ordered Petrossi to pay $8 million in restitution and $335,748.78 in forfeiture. On May 2, 2017, following a two-week trial, a federal jury convicted Petrossi of conspiracy to commit securities fraud, conspiracy to commit wire fraud, money laundering conspiracy and securities fraud.
Richard P. Donoghue, United States Attorney for the Eastern District of New York, and William F. Sweeney, Jr., Assistant Director-in-Charge, Federal Bureau of Investigation, New York Field Office (FBI), announced the sentence.
Between 2009 and 2015, Petrossi and others engaged in a scheme to defraud investors in ForceField, a purported worldwide distributor and provider of LED lighting products and solutions, by artificially controlling the price and volume of traded shares of ForceField through, among other means: (1) using nominees to purchase and sell ForceField stock without disclosing this information to investors and potential investors, (2) orchestrating the trading of ForceField stock to create the misleading appearance of genuine trading volume and interest in the stock, and (3) concealing secret payments to stock promoters and broker dealers who promoted and sold ForceField stock to investors and potential investors while falsely claiming to be independent of the company. The fraudulent scheme caused a loss of approximately $131 million to the investing public.
Specifically, between December 2009 and April 2015, Petrossi received secret cash payments from a ForceField executive in exchange for promoting the sale of ForceField stock to investors while representing himself to investors as the CEO of an investment research firm, “Wealth Research Institute.” He did not disclose these payments. Petrossi also engaged in manipulative trading of ForceField stock at the direction of the same ForceField executive.
On March 9, 2018, Petrossi was convicted in the United States District Court for the Middle District of Pennsylvania of committing a separate fraud scheme, in which he participated from January 2015 through January 2017. This scheme, which involved the misappropriation of over $1 million in investor funds, continued after Petrossi was arrested and placed on pretrial release in the ForceField case.
Today’s proceeding is the eighth sentencing to take place in connection with the fraud in ForceField securities. One remaining defendant awaits sentencing.
The government’s case is being handled by the Office’s Business and Securities Fraud Section. Assistant United States Attorneys Mark E. Bini and Lauren H. Elbert are in charge of the prosecution.The Defendant:
LOUIS PETROSSI
Age: 77
Residence: Reno, NevadaE.D.N.Y. Docket No. 16-CR-234 (BMC)
Stamford Refuse Company Owner Pleads Guilty to Failing to File Tax ReturnsRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, and Kristina O’Connell, Special Agent in Charge of IRS Criminal Investigation in New England, announced that WAYNE MARGARUM, SR., 71, of Stamford, pleaded guilty today in Hartford federal court to two counts of willful failure to file an income tax return.
According to court documents and statements made in court, for more than 40 years, MARGARUM has owned and operated Margarum Refuse, providing garbage removal services for customers in the Stamford area and parts of Westchester County, New York. The business services approximately 600 to 700 clients with fees ranging from $25 to $60 per month. Neither MARGARUM nor his business has filed tax returns for the tax years 2004 until the present.
In pleading guilty, MARGARUM has agreed to make $356,330 in restitution to the U.S. Treasury, and to cooperate with the IRS to pay all outstanding taxes, interest and penalties.
MARGARUM is scheduled to be sentenced by U.S. District Judge Vanessa L. Bryant on September 19, 2018, at which time he faces a maximum term of imprisonment of two years and a maximum fine of approximately $700,000.
MARGARUM is released on bond pending sentencing.
This matter has been investigated by the Internal Revenue Service, Criminal Investigation Division. The case is being prosecuted by Assistant U.S. Attorney Christopher W. Schmeisser.
St. Louis Resident Sentenced to 14 Years in Federal Prison for Heroin and Cocaine Conspiracy in Southern IllinoisRead the Press Release
A St. Louis resident was sentenced to federal prison on Thursday, May 24, 2018, for his role in the conspiracy to distribute heroin and cocaine in Southern Illinois and elsewhere.
United States Attorney Donald S. Boyce announced the sentence for the Southern District of Illinois. Defendant Charles Christopher Thirdkill, 48, was sentenced to 168 months in prison, 5 years of supervised release, a $2,000 fine, and a $200 special assessment.
An indictment filed on October 18, 2016, charged Thirdkill and co-defendant Marlon Lee in a two-count indictment with conspiracy to distribute, and possess with intent to distribute, controlled substances and a second count of unlawful distribution of heroin. Co-defendant Lee pleaded guilty and subsequently sentenced to 120 months in prison.
This investigation was conducted as part of the Organized Crime Drug Enforcement Task Force (OCDETF). The OCDETF initiative brings federal, state, and local law enforcement agencies and resources together to identify, target and dismantle large national and international drug trafficking organizations. The investigation was conducted by agents from the Drug Enforcement Administration. The case is being prosecuted by Assistant United States Attorney Steven D. Weinhoeft.
St. Francis Man Indicted for Burglary and LarcenyRead the Press Release
United States Attorney Ron Parsons announced that a St. Francis, South Dakota, man has been indicted by a federal grand jury for First Degree Burglary and Larceny.
Joseph Abraham Mack, a/k/a Joseph Mack, Jr., age 25, was indicted on March 13, 2018. He appeared before U.S. Magistrate Judge Mark A. Moreno on May 23, 2018, and pled not guilty to the Indictment.
The maximum penalty upon conviction is up to 25 years in prison and/or a $250,000 fine, 5 years of supervised release, and a $100 special assessment to the Federal Crime Victims Fund. Restitution may also be ordered.
The Indictment alleges that on January 14, 2018, Mack unlawfully entered the victim’s residence. The Indictment further alleges that Mack stole a pickup truck and belt buckle from the same victim.
The charges are merely accusations and Mack is presumed innocent until and unless proven guilty.
The investigation is being conducted by the Rosebud Sioux Tribe Law Enforcement Services. Assistant U.S. Attorney Kirk Albertson is prosecuting the case.
Mack was released on bond pending trial. A trial date has not been set.
South Bend, Indiana Men SentencedRead the Press Release
SOUTH BEND - Andrew Jacobs, age 20, of South Bend, Indiana, was sentenced before South Bend District Court Judge Jon E. DeGuilio for brandishing a firearm during a crime of violence, announced U.S. Attorney Kirsch.
Jacobs was sentenced to 84 months imprisonment followed by 2 years of supervised release. In the same case, last month on April 26, 2018, Lorenzo Crawford, age 20, also of South Bend, was sentenced by Judge DeGuilio for the same offense to 84 months in prison followed by 2 years of supervised release.
According to documents in this case, the defendants working together placed an advertisement for escort services on Backpage.com. A man responded by text and arranged to have sex with a fictitious prostitute at a room in a hotel. The defendants waited for the man, grabbed him when he came to the room and proceeded to beat him. One of the defendants brought a Smith & Wesson .38 Special revolver with them which was used to beat the victim. The defendants also took cash, credit cards and a cell phone from the victim. While the victim was at the hotel, one of the defendants also checked the victim’s car for money or other valuables.
This case was investigated by the FBI. The case was handled by Assistant U.S. Attorneys John Maciejczyk and Ken Hays.
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Sixth Member of Reading Area Bank Fraud Ring Charged – Ringleader Transferred Funds to InmatesRead the Press Release
PHILADELPHIA – A Reading man, and sixth member of a Reading area bank fraud ring, was charged with fraud today, announced U.S. Attorney William M. McSwain.
A criminal information[1] was filed charging, Angel Ocasio, Jr., 20, of Reading, Pennsylvania, with one count of bank fraud. Ocasio is alleged to be a member of a bank fraud ring operated by Steven Ronald Randall of Philadelphia.
Randall previously pled guilty on March 15, 2018 to one count of bank fraud and five counts of aggravated identity theft before U.S. District Judge Joseph F. Leeson, Jr. As part of his guilty plea Randall admitted that he was a leader of a scheme to defraud First National Bank and used persons to open bank accounts and obtain ATM debit cards so that their bank accounts could be used to deposit fraudulent checks and withdraw cash before FNB determined that the checks were fraudulent. Randall had also admitted that FNB sustained actual losses in excess of $76,519, with intended losses of in excess of $115,782, as a result of this scheme. Randall had also admitted that he transferred funds from the accounts opened by his co-schemers to inmates incarcerated within the Pennsylvania Department of Corrections.
The information filed today alleges that Ocasio opened an account at FNB that he knew would be used to deposit fraudulent checks and withdraw cash before the bank discovered that the checks were fraudulent, in return for a share of the fraud proceeds.
“This was a sophisticated scheme that took excellent investigative work to unravel,” said U.S. Attorney McSwain. “Punishing financial fraud – as well as identity theft – is and will continue to be a top priority of my office.”
Ocasio faces a maximum sentence of 30 years’ incarceration, a five-year period of supervised release, and a fine of $1,000,000.
Ocasio is the sixth member charged as part of this group. In addition to Ocasio and Randall, the other members of the bank fraud ring previously charged are Jaylen Jefferson, 19, of Reading, Dawson Thomas, 19, of Mohnton, Rebecca Ilie, 25, of Reading, and Linda Pacheco, 40, of Reading.
The case was investigated by the United States Postal Inspection Service, the Federal Bureau of Investigation, and the Cumru Township Police Department and is being prosecuted by Assistant United States Attorney Michael S. Lowe.
[1] An Indictment or Information is an accusation. A defendant is presumed innocent unless and until proven guilty
Salvadoran national charged with stealing identity of Puerto Rican manRead the Press Release
A federal Grand Jury returned a two-count indictment charging Oscar Armando Amaya-Melendez, 32, a citizen of El Salvador, with stealing the identity of a Puerto Rican man to conceal his illegal presence in the United States.
Amaya-Melendez stole the identity of a Puerto Rico resident in order to obtain an Ohio driver’s license. This took place between 2010 and 2018, according to the indictment.
Assistant U.S. Attorney Brad J. Beeson is prosecuting the case following an investigation by United States Border Patrol, the Department of Homeland Security.
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 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
Salvadoran National Sentenced for Unlawful ReentryRead the Press Release
BOSTON – A Salvadoran national pleaded guilty yesterday and was sentenced in federal court in Boston for illegally reentering the United States after being deported.
Jose Menjivar-Mancia, 39, pleaded guilty to one count of unlawful reentry of a deported alien before U.S. Senior District Court Judge Douglas P. Woodlock, who immediately sentenced Menjivar-Mancia to time served and one year of supervised release. Menjivar-Mancia will be subject to deportation proceedings.
On March 2, 2018, Menjivar-Mancia was encountered by law enforcement and determined to be illegally present in the United States; he has been in the custody of Immigration and Customs Enforcement since. Menjivar-Mancia was previously deported on May 31, 2007.
United States Attorney Andrew E. Lelling and Thomas P. Brophy, Acting Field Office Director, Boston, U.S. Immigration and Customs Enforcement’s Enforcement and Removal Operations, made the announcement. Assistant U.S. Attorney Kenneth Shine of Lelling’s Major Crimes Unit prosecuted the case.
Roswell woman sentenced for distributing counterfeit oxycodone pills containing fentanyl & synthetic opioidsRead the Press Release
ATLANTA - Cathine Lavina Sellers was sentenced to three years in federal prison for possession with intent to distribute fentanyl and two synthetic opioids, furanyl-fentanyl and U-47700.
“This drug dealer deliberately disguised pills to make them look like oxycodone tablets, laced them with deadly fentanyl and two synthetic opioids, and then sold the fake pills out of her residence in Roswell,” said U.S. Attorney Byung J. “BJay” Pak. “These counterfeit pills posed a particular danger to our communities, as they are comparably 50 times more potent than prescription oxycodone and present a substantially higher risk of overdose.”
“The dangerous substance fentanyl is 50 to 100 times more potent than morphine and 30 to 50 times more potent than heroin,” said “Robert J. Murphy, the Special Agent in Charge of the DEA Atlanta Field Division. “Furanyl-fentanyl was designed by foreign chemists, as an effort to subvert the controlled substances laws, but nonetheless is extraordinarily powerful. These dangerous substances, when added to street pills, have caused scores of deaths across this nation. DEA’s job is to protect its citizens from these substances. The true spirit of federal, state and local law enforcement cooperation led to the successful prosecution of this case.”
According to U.S. Attorney Pak, the charges and other information presented in court: On June 13, 2017, Sellers sold approximately 100 pills for $1,400 in cash from her Roswell townhouse to a confidential source working with the DEA. Later that night, DEA agents searched Sellers’s townhouse and retrieved the money from the earlier transaction, and they found approximately 100 more counterfeit pills concealed in a dietary supplement bottle. Agents also found a loaded Glock handgun and two magazines. DEA agents arrested Sellers that night. A DEA lab test revealed the counterfeit pills contained furany-fentanyl, U-47700 and fentanyl; none of these substances are present in legitimate oxycodone tablets. The counterfeit pills are similar in appearance to a legitimate 30mg Roxicodone tablet, except they are a slightly lighter color of blue than the regular pills.
Cathine Lavina Sellers, 39, of Roswell, Georgia has been sentenced to three years in prison to be followed by three years of supervised release. Sellers was convicted on these charges on January 30, 2018, after she pleaded guilty.This case is being investigated by the Drug Enforcement Administration.
Assistant U.S. Attorney John T. DeGenova prosecuted the case.
The U.S. Attorney’s Office in Atlanta recommends parents and children learn about the dangers of drugs at the following web site: www.justthinktwice.gov.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Rosebud Man Charged with Failure to Appear and EscapeRead the Press Release
United States Attorney Ron Parsons announced that a Rosebud, South Dakota, man has been indicted by a federal grand jury for Failure to Appear and Escape from Custody.
Anthony One Star, Jr., a/k/a Tony One Star, age 30, was indicted on May 15, 2018. He appeared before U.S. Magistrate Judge Mark A. Moreno on May 23, 2018, and pled not guilty to the Indictment.
The maximum penalty upon conviction for each count is up to 5 years in prison and/or a $250,000 fine, 3 years of supervised release, and $100 to the Federal Crime Victims Fund. Restitution may also be ordered.
One Star was previously indicted for Assaulting, Resisting and Impeding a Federal Officer. On November 1, 2017, he pled guilty to that charge and was ordered detained in the custody of the U.S. Marshals Service pending sentencing. The Indictment alleges that on March 23, 2018, One Star, who had been released from custody to attend a treatment program, failed to return to custody as ordered. The Indictment further alleges that on April 2, 2018, One Star failed to appear for his scheduled sentencing hearing.
The charges are merely accusations and One Star is presumed innocent until and unless proven guilty.
The investigation is being conducted by the U.S. Marshals Service. Assistant U.S. Attorney Kirk Albertson is prosecuting the case.
One Star was remanded to the custody of the U.S. Marshals Service pending trial. A trial date has not been set.
Roseboro Man Charged with Carjacking on Interstate 95Read the Press Release
WILMINGTON– The United States Attorney for the Eastern District of North Carolina, Robert J. Higdon, Jr., announces that a Federal grand jury in Wilmington has returned an indictment against RAYMOND LEE BRYANT, JR, of Roseboro, North Carolina. BRYANT is charged with carjacking, carrying and brandishing a firearm during and in relation to the carjacking, possession with intent to distribute marijuana and possession of a firearm in furtherance of a drug trafficking crime.
If convicted of these charges, BRYANT would face a statutory minimum of fifty-five years imprisonment and a term of supervised release following any term of imprisonment.
According to law enforcement, BRYANT, is alleged to have committed multiple carjackings on Interstate 95 in Dunn, North Carolina on May 3, 2018. BRYANT is alleged to have approached a semi-truck and trailer, forced the driver and passenger out of the truck at gunpoint after firing a round and attempted to drive the truck away. As BRYANT was backing up the truck, it jack-knifed and blocked the northbound lanes of Interstate 95. BRYANT exited the truck and attempted to carjack another semi-truck and trailer, however the driver of that truck exited the vehicle as he saw BRYANT approach, locked the door and ran. BRYANT then approached a third truck, brandished a firearm and carjacked that truck. BRYANT sped north on Interstate 95 and was later arrested by the North Carolina Highway State Patrol in Nash County.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. Attorney General Jeff Sessions reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.
In support of PSN, the United States Attorney’s Office for the Eastern District of North Carolina has implemented the Take Back North Carolina Initiative. This initiative emphasizes the regional assignment of federal prosecutors to work with law enforcement and District Attorney’s Offices on a sustained basis in those communities to reduce the violent crime rate, drug trafficking, and crimes against law enforcement.
The charge and allegations contained in the Indictment are merely accusations. The defendant is presumed innocent unless and until proven guilty in a court of law.
The Bureau of Alcohol, Tobacco, Firearms and Explosives, the North Carolina State Highway Patrol and the Harnett County Sheriff’s Office investigated this case.
Rochester Man Sentenced for Drug and Gun PossessionRead 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 Thomas Lewis, 28, of Rochester, NY, who was convicted of possession of heroin with intent to distribute and possession of a firearm in furtherance of a drug trafficking crime, was sentenced to 87 months in prison by Senior U.S. District Judge David G. Larimer.
Assistant U.S. Attorney Brett A. Harvey, who handled the case, stated that on October 27, 2016, Rochester Police Officers executed a search warrant at 1254 North Clinton Avenue, Apartment 2, in Rochester. During the search, officers recovered a bundle of heroin (containing 10 individually-packaged white envelopes), two bags of cocaine, and a Bersa Thunder .380 caliber handgun. The handgun was loaded with seven rounds in the magazine and one round in the chamber. Officers also recovered a box of .380 caliber ammunition, paraphernalia used to process heroin and cocaine for sale, and $349 in cash.
The sentencing is the result of an investigation by the Rochester Police Department, under the direction of Chief Michael Ciminelli.