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14 May 2018
Florida Man Sentenced on Mail Fraud and Tax Evasion 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 Michael Kornaker, 47, of North Tonawanda, NY, who was convicted of mail fraud and tax evasion, was sentenced to 28 months in prison by U.S. District Judge Richard J. Arcara. The defendant was also ordered to pay restitution totaling $602,052.19.
Assistant U.S. Attorney Trini E. Ross, who handled the case, stated that between June 2014 and April 9, 2016, the defendant devised a scheme to defraud insurance companies which were holding unclaimed funds. The funds were advertised on a website belonging to the California State Controller’s Office.
Specifically, Kornaker sent documentation of entitlement to unclaimed funds to the victim companies using false and fraudulent identities, including the name “Vinnie Sciarrino,” and entities, including “Insurance Marketing Resources.” Any funds received from victim companies were deposited into bank accounts maintained by the defendant.
In addition, between June 11, 2015, and November 9, 2015, Kornaker made a claim for unclaimed property held by Jackson National Life Insurance Company using the names Vinnie Sciarrino and Insurance Marketing Resources.
As part of the scheme to defraud, the defendant identified at least 113 companies and submitted fraudulent documentation to change the entity’s mailing address to addresses under his control in the Western District of New York. As a result, the defendant was paid approximately $450,000 in funds to which he was not entitled and owes the IRS $155,859 for tax years 2014 and 2015, as a result of his failure to claim the income he earned from the fraud.
Today’s sentencing is the result of an investigation by the United States Postal Service Inspection Service, Boston Division, under the direction of Acting Inspector-in- Charge Delany E. De Leon-Colon; the Internal Revenue Service, Criminal Investigation Division, under the direction of Special Agent-in-Charge James D. Robnett; and the New York State Department of Financial Services, Criminal Investigations Unit, under the direction of Superintendent Maria T. Vullo.
Final Four Ordered to Prison in 10-Defendant Cocaine ConspiracyRead the Press Release
HOUSTON - The remaining defendants charged in a Dickinson area cocaine conspiracy have all been ordered to federal prison, announced U.S. Attorney Ryan K. Patrick. The 10 were charged in a multi-state drug trafficking conspiracy that had been moving cocaine since 2014.
Arturo Cruz, 35, of Dickinson, pleaded guilty to conspiracy to possess with the intent to distribute more than five kilograms or more of cocaine, while Patrick Frederick, 49, of Galveston, Dionisio Gonzalez, 56, of Bacliff, and Carlos Cantu, 36, of Dickinson, previously pleaded guilty to conspiracy to possess with intent to distribute more than 500 grams of cocaine.
Today, U.S. District Judge Vanessa Gilmore sentenced Cruz, who was responsible for distributing more than 50 kilograms of cocaine, to 130 months in federal prison. Frederick received a 120-month-term of imprisonment, while Gonzales and Cantu received respective terms of 77 and 87 months. The court found Cruz to be a leader within the conspiracy so his prison term included upward adjustments or increases in his calculated sentencing guideline range.
Cruz also forfeited his interests in real estate located in Dickinson valued in excess of $150,000.
The other six charged and convicted in the case included Arturo Cruz’s bother, Amado Cruz, 27, of Dickinson, along with Guadalupe Ochoa, 30, of Houston, Matt Olguin, 28, Reid Wilder 33, and Sidney Hobbs, 47, all of Dickinson. The previously received sentences ranging from 72-121 months in federal prison.
All were part of a multi-state drug trafficking organization that had existed since 2013. The drug trafficking organization, based out of the Dickenson area, had cocaine couriered in from Houston where it was then either sent out of state or redistributed to the surrounding areas.
The FBI led the nearly three-year Organized Crime Drug Enforcement Task Force investigation with the assistance of the Drug Enforcement Administration, Texas Department of Public Safety, Galveston County Sheriff’s Office and the Dickinson Police Department. Assistant U.S. Attorney John Jocher prosecuted the case.
Federal Jury Finds Man Who Planned Attack on Jacksonville Mosque Guilty of Illegal Possession of Unregistered Firearm SilencerRead the Press Release
Jacksonville, Florida – A federal jury has found Bernandino G. Bolatete (69, Jacksonville) guilty of possessing an unregistered firearm silencer. He faces a maximum penalty of 10 years in federal prison. His sentencing hearing has been set for July 25, 2018. Bolatete was indicted on December 7, 2017.
According to evidence presented at trial, Bolatete came to the attention of law enforcement when a confidential source reported to the Jacksonville Sheriff’s Office (JSO) that Bolatete had a plan to conduct a mass shooting at a local mosque if he learned, as he expected to, that his remaining kidney failed and he would have to undergo dialysis. In response, JSO launched an investigation that included introducing Bolatete to an undercover detective (UC), with whom Bolatete shared his plan to attack the mosque. The investigation revealed that Bolatete had a collection of firearms and was nearly always armed. Bolatete also suggested to the UC that he had visited the mosque in the past. He also shared which of his firearms he would use for the attack and repeatedly bragged about having shot someone with a silencer-equipped firearm. Bolatete advised the UC on the best ways to put a hit on an adversary.
When the UC told Bolatete that he had a source with access to silencers, Bolatete asked to buy one and insisted that it not be registered with the government (registration is required by federal law). Bolatete also sent a text message to the UC suggesting that he could use the silencer to take out the UC’s adversary.
Bolatete was arrested on December 1, 2017, after the UC sold him an unregistered silencer for $100. After his arrest, Bolatete admitted that he had possessed the unregistered silencer but claimed that he had purchased it for hunting. When FBI agents searched his home and car, they found a significant collection of firearms and ammunition, including the specific firearms that Bolatete had told the UC that he would use to conduct the mass shooting at the mosque.
This case was investigated by the Jacksonville Sheriff’s Office, the FBI, the Florida Department of Law Enforcement, and the Bureau of Alcohol, Tobacco, Firearms and Explosives. It is being prosecuted by Assistant United States Attorneys Laura Cofer Taylor and Michael J. Coolican.
Federal Judge Hands Down Life Prison Sentences to Three United Blood Nation Gang MembersRead the Press Release
CHARLOTTE, N.C. - Three members of the United Bloods Nation gang (UBN or Bloods) were sentenced today on charges of conspiracy to participate in racketeering activity (RICO) and murder, stemming from the 2014 double-murder of Douglas and Deborah London and the 2013 murder of Kwamne Clyburn, announced R. Andrew Murray, U.S. Attorney for the Western District of North Carolina. U.S. District Judge Max O. Cogburn, Jr. presided over the sentencing hearings.
John A. Strong, Special Agent in Charge of the Federal Bureau of Investigation (FBI), Charlotte Division, and Chief Kerr Putney of the Charlotte-Mecklenburg Police Department join U.S. Attorney Murray in making today’s announcement.
Judge Cogburn sentenced Randall Hankins, II, 24, of Charlotte, to three consecutive life sentences, following his 2017 jury conviction of RICO conspiracy; murder in aid of racketeering; and use or carry of a firearm during and in relation to a crime of violence and possession of a firearm in furtherance of a crime of violence, for his role in the murder of Douglas and Deborah London.
Nana Yaw Adoma, 23, of Charlotte, was sentenced to two consecutive life sentences and 25 years in prison after the jury convicted him of RICO conspiracy; murder in aid of racketeering and use or carry of a firearm during and in relation to a crime of violence and possession of a firearm in furtherance of a crime of violence resulting in death for Clyburn’s murder; assault with a dangerous weapon in aid of racketeering; and use or carry of a firearm in relation to a crime of violence and possession of firearm in furtherance of a crime of violence for his role in the armed robbery of the Londons’ business.
Judge Cogburn ordered Akheem McDonald, 24, of Charlotte, to serve two consecutive life sentences following his jury conviction of RICO conspiracy, murder in aid of racketeering, and use or carry of a firearm during and in relation to a crime of violence and possession of a firearm in furtherance of a crime of violence resulting in death for Clyburn’s murder.
Judge Cogburn previously sentenced nine others for their involvement in the murders: Jamell Lamon Cureton, Malcolm Jarrel Hartley and Rahkeem Lee McDonald were each sentenced to life in prison; David Lee Fudge was sentenced to 26 years; Ibn Rashaan Kornegay was sentenced to 23 years; Nehemijel Maurice Houston was sentenced to 20 years; and Brianna Johnson, Daquan Lamar Everrett, and Centrilla Shardon Leach were each sentenced to 13 years in prison.
According to court documents, on May 25, 2014, Adoma, Cureton, and Fudge robbed The Mattress Warehouse, a store owned by Douglas and Deborah London. The three were later charged in connection with that robbery. According to court records, Cureton and other Bloods gang members discussed that Douglas London was the only eye witness that could identify Cureton, and that he needed to be eliminated. Over the next months, the gang members exchanged correspondence and conducted numerous in-person and telephonic gang meetings, during which they discussed and planned the murder of Douglas London.
On or about October 23, 2014, Johnson drove Hartley to South Carolina, where Hartley shot and killed the couple at their home. The pair then returned to Charlotte, first stopping at Rahkeem McDonald’s house to dispose of the gun. Afterwards, Hartley and Johnson returned to Hartley’s apartment, where they met with other gang members to celebrate the couple’s murders. As a result of carrying out the gang leadership orders, Hartley was “ranked up” or “promoted” to a 2-Star General. Shortly after the murders, Cureton ordered the gang to remain silent about the Londons’ murders. Kornegay also conducted a telephone gang meeting with other UBN gang members, during which he directed them to lay low to avoid contact with law enforcement.
Over the course of the investigation into the mattress store robbery and the Londons’ murders, law enforcement determined that Cureton, Adoma, and Ahkeem McDonald were responsible for the August 2013 murder of Kwamne Clyburn, who was killed for “false claiming,” (falsely claiming to be a Bloods member), and because Clyburn failed a “DNA check,” meaning the gang members could not verify Clyburn’s claim to be a Blood.
In making today’s announcement, U.S. Attorney Murray thanked the FBI for leading the investigation, and commended CMPD and the York County Sheriff’s Office for their invaluable assistance throughout the investigation and prosecution of the case. Assistant U.S. Attorney Don Gast handled the prosecution.
Federal Inmate and Correctional Officer Sentenced for BriberyRead the Press Release
OKLAHOMA CITY – JOSE TOMAS CASTILLO-GARZA, 40, and CHARLES DANIEL LYNN, 34, of El Reno, Oklahoma, have been sentenced to federal prison for a bribery scheme, announced Robert J. Troester, Acting United States Attorney for the Western District of Oklahoma.
According to an indictment filed on August 16, 2017, Castillo-Garza was an inmate at Great Plains Correctional Facility in Hinton, Oklahoma, during the latter half of 2016, when Lynn served as a correctional officer. Operated by GEO Group, Great Plains is a low-security institution that contracts with the Bureau of Prisons to house approximately 1,800 federal inmates. Federal regulations prohibit certain contraband items in correctional institutions, including cell phones and electronic music players.
The indictment charged Castillo-Garza with conspiracy to commit honest-services wire fraud and offering a bribe. Lynn was charged with conspiracy and accepting a bribe. The indictment also charged ARMANDO TABARES, 30, of Mission, Texas, with conspiracy and bribery.
According to the indictment, Lynn agreed to receive contraband items from Tabares, to smuggle these items into Great Plains, and to deliver them to Castillo-Garza, who is Tabares’s brother-in-law. The contraband items included cell phones, electronic music players, and other items. The indictment also alleged Lynn escorted Castillo-Garza to various parts of Great Plains to distribute the contraband to other inmates. In exchange for Lynn’s services, Tabares and others were alleged to have paid Lynn through interstate wire transfers via Walmart Money Gram. The alleged conspiracy deprived the government of Lynn’s honest services as a prison employee.
Both Castillo-Garza and Lynn pleaded guilty to conspiracy in November 2017. Lynn also pleaded guilty to accepting a bribe.
On April 24, 2018, United States District Judge David L. Russell sentenced Castillo-Garza to two years in prison, to be served consecutively to the 50-month sentence he is currently serving. Today Judge Russell sentenced Lynn to 15 months in prison, followed by two years of supervised release.
The charges against Tabares have been transferred to the Southern District of Texas for final disposition.
This case is the result of an investigation by the FBI and the Department of Justice’s Office of Inspector General. Assistant U.S. Attorney K. McKenzie Anderson prosecuted the case.
Reference is made to court records for further information.
Ellington Psychiatrist and Mental Health Clinic Pay over $800,000 to Settle False Claims Act AllegationsRead the Press Release
United States Attorney John H. Durham and Connecticut Attorney General George Jepsen today announced that DR. ERUM SHAHAB and WAIRE, LLC, doing business as ELLINGTON BEHAVIORAL HEALTH (“EBH”), have entered into a civil settlement agreement with the federal and state governments in which they will pay $805,071 to resolve allegations that they violated the federal and state False Claims Acts.
SHAHAB, a psychiatrist, is the owner of EBH, a psychiatric medical practice located in Ellington, Connecticut. As part of SHAHAB and EBH’s treatment of patients with substance use disorders, SHAHAB and EBH regularly conducted urine drug screening tests on urine samples collected from patients treated at the practice. Urine drug screening tests use a single sample of a patient’s urine to test for multiple classes of drugs. Although the test screens a patient’s urine for multiple classes of drugs, Medicare considers it a single test that should be billed only once per patient encounter.
The government alleges that SHAHAB and EBH submitted claims to Medicare for multiple units of urine drug screening tests when they knew or should have known that only one unit of service could be billed per patient encounter. By coding their claims using multiple units instead of a single unit, SHAHAB and EBH received hundreds of thousands of dollars from the Medicare program that they were not entitled to receive.
In addition, the government alleges that SHAHAB and EBH submitted claims to the Medicaid program for urine drug screening tests when the urine samples were either never actually tested at all or were tested weeks or months after the samples were collected from the Medicaid beneficiaries.
To resolve the governments’ allegations under the federal and state False Claims Acts, SHAHAB and EBH have agreed to pay $805,071, which covers claims submitted to the Medicare program from January 1, 2011 to September 30, 2013, and claims submitted to the Medicaid program from January 1, 2014 to June 30, 2014.
A complaint against SHAHAB and EBH was filed in the U.S. District Court in Connecticut under the qui tam, or whistleblower, provisions of the both the federal and state False Claims Acts. The relator (whistleblower), Dr. David Simon, a former employee at EBH, will receive a share of the proceeds of the settlement in the amount of $99,113.
The whistleblower provisions of both the federal and state False Claims Acts provide that the whistleblower is entitled to receive a percentage of the proceeds of any judgment or settlement recovered by the government.
“Physicians and their medical practices must carefully code their claims, honestly bill for services, and ensure that taxpayers’ health care dollars are properly spent,” said U.S. Attorney Durham. “The U.S. Attorney’s Office and our federal and state investigative partners will hold to account all health care providers who submit false claims to federal health care programs.”
This matter was investigated by the U.S. Department of Health and Human Services, Office of Inspector General; the Federal Bureau of Investigation; the U.S. Postal Service, Office of Inspector General, and the Defense Criminal Investigative Service. The case is being prosecuted by Assistant U.S. Attorney Richard M. Molot, and by Assistant Attorney General Gregory O’Connell of the Connecticut Office of the Attorney General.
People who suspect health care fraud are encouraged to report it by calling 1-800-HHS-TIPS or the Health Care Fraud Task Force at (203) 777-6311.
District Man Pleads Guilty to Charges in Carjacking of Nun in Northeast WashingtonRead the Press Release
WASHINGTON – Brandon Brown, 20, of Washington, D.C, pled guilty today to charges stemming from the recent carjacking of a nun who he accosted at gunpoint in a parking lot in Northeast Washington, U.S. Attorney Jessie K. Liu announced.
Brown pled guilty in the Superior Court of the District of Columbia to charges of carjacking and carrying a pistol without a license. The plea, which is subject to the Court’s approval, calls for an agreed-upon sentence in the range of seven and 10 years in prison, to be followed by three years of supervised release. The Honorable Marisa Demeo scheduled sentencing for July 13, 2018.
According to a proffer of facts submitted at the plea hearing, on April 9, 2018, at approximately 6:45 p.m., the victim, who was wearing full clerical garb, was walking to a parking lot in the 1300 block of Quincy Street NE to retrieve something from a minivan. As she neared the parking lot, she observed Brown, who had a bandana covering his face.
The victim continued into the parking lot and opened the passenger side door of a white Dodge caravan belonging to the convent. She turned on the minivan and retrieved a compact disc from the stereo. She then began to walk away from the vehicle as Brown approached her. When he was within a few feet of her, Brown demanded the car keys. The victim did not say anything, but continued to hold onto the keys. At this point, Brown brandished a firearm and pressed it to her left temple and once again demanded the keys. The victim held out the key and Brown took it from her. She then told him: “May God bless you.”
Brown got into the Caravan and drove off. The victim walked into a nearby building, told others what happened, and one individual called 911. Officers with the Metropolitan Police Department (MPD) quickly spotted the Caravan at 21st Street and Maryland Avenue NE. They attempted to stop Brown at 26th Street, but he got out of the minivan and fled.
He was eventually apprehended, and officers recovered a loaded, small gray semi-automatic handgun in the front right pocket of his sweatpants. They also recovered a red bandana. Brown was arrested and has been in custody ever since.
In announcing the plea, U.S. Attorney Liu commended the work of those who investigated the case from the Metropolitan Police Department. She also acknowledged the efforts of those who worked on the matter from the U.S. Attorney’s Office, including Assistant U.S. Attorney Jennifer Kerkhoff and Victim/Witness Advocate James Brennan. Finally, she expressed appreciation for the work of Assistant U.S. Attorney Ellen D’Angelo, who investigated and prosecuted the case.
Detroit Man Sentenced for Federal Drug OffenseRead the Press Release
HUNTINGTON, W.Va. – A Detroit man caught with oxycodone he was going to sell in Huntington in September 2017 was sentenced to 57 months in federal prison today, announced United States Attorney Mike Stuart. Curtis Holcomb, 39, previously pleaded guilty to possession with the intent to distribute oxycodone. Stuart commended the investigative efforts of the Drug Enforcement Administration and the West Virginia State Police Violent Crime and Drug Task Force.
“We will not tolerate those involved in the illicit sale of prescription drugs,” said United States Attorney Mike Stuart. “As I often say, addicts aren’t our enemy in the fight against the opiate epidemic, but dealers and traffickers are, and we will lock them up.”
On September 15, 2017, agents with the DEA and the West Virginia State Police Violent Crime and Drug Task Force used a confidential informant to arrange a purchase of 500 oxycodone pills from Holcomb. On his way to meet the informant, a trooper with the West Virginia State Police conducted a traffic stop on Holcomb’s vehicle on Artisan Avenue in Huntington. Troopers searched Holcomb and recovered 454 oxycodone pills that Holcomb had concealed in his sock. Holcomb admitted that he intended to sell the pills.
Assistant United States Attorneys Joseph F. Adams handled the prosecution. The sentence was imposed by United States District Judge Robert C. Chambers.
This drug prosecution was part of an ongoing effort led by the United States Attorney’s Office for the Southern District of West Virginia to combat the illicit sale and misuse of prescription drugs and heroin. The U.S. Attorney’s Office, joined by federal, state and local law enforcement agencies, is committed to aggressively pursuing and shutting down pill trafficking, eliminating open air drug markets, and curtailing the spread of opiate painkillers and heroin in communities across the Southern District.
Follow us on Twitter: SDWVNews and USAttyStuart
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Dallas Man Sentenced for Two Metro PCS Store RobberiesRead the Press Release
DALLAS, Texas — Sidney White, 21, of Dallas, Texas was sentenced Wednesday, May 2, 2018, by U.S. District Judge Ed Kinkeade to serve a total of 102 months in federal prison and ordered to pay restitution, following his guilty plea in December 2017 to two robberies of a Metro PCS store in Dallas, announced U.S. Attorney Erin Nealy Cox of the Northern District of Texas.
White pleaded guilty to one count of interference with commerce by robbery and one count of using, carrying, and brandishing a firearm during and in relation to, and possessing and brandishing a firearm in furtherance of, a crime of violence. White has been in custody since his arrest in June 2017 for a string of robberies including the ones below and others that are being handled by the Dallas County District Attorney’s Office.
According to plea documents filed in the case, on August 10, 2016, White went to a Metro PCS store located at 3106 East Illinois Avenue, Dallas, Texas and purchased a cell phone. In connection with the purchase of the cell phone, White filled out an information sheet and listed his name and address. Two hours later, White returned to the store wearing the same clothing and told an employee that something was wrong with his phone. White then pulled out a pistol, racked the slide, and demanded money. Two employees emptied the cash registers and gave White approximately $1,600.00.
On August 19, 2016, White returned to the same Metro PCS store that he had robbed on August 10th and again, pointed a gun at the employees and demanded that they give him money. One employee gave White $112.00 from her cash register and another employee gave White $64.00 from his cash register.
The Federal Bureau of Investigation investigated the case and Assistant U.S. Attorney Shane Read is in charge of the prosecution.
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Courthouse Worker Charged with Illegally Selling Firearms to a FelonRead the Press Release
SPRINGFIELD, Mo. – A Jefferson City, Mo., man who supervises workers at the federal courthouse in Jefferson City has been charged in federal court with illegally selling 11 firearms to a convicted felon.
Victor Nahum Vargas, 40, of Jefferson City, was charged in a complaint filed in the U.S. District Court in Springfield, Mo., on Saturday, May 12, 2108, with selling firearms to a felon. Vargas, who is employed as the custodial supervisor at the Christopher S. Bond Courthouse in Jefferson City, remains in federal custody pending a detention hearing.
According to an affidavit filed in support of the federal criminal complaint, a confidential source who is a convicted felon contacted Vargas on April 24, 2018, by phone. During several recorded communications between the confidential source and Vargas that occurred between April 24, 2018, and April 25, 2018, Vargas allegedly agreed to sell the confidential source 10 firearms for $7,500. According to the affidavit, Vargas knew that the confidential source is a convicted felon who is therefore prohibited by law from purchasing or possessing any firearms or ammunition.
On April 30, 2018, the confidential source contacted Vargas. During the recorded conversation, the affidavit says, Vargas agreed to sell the confidential source an additional rifle for $800. Vargas allegedly agreed to sell the confidential source 11 firearms for $8,100.
Law enforcement officers conducted surveillance on a firearms dealer in Jefferson City on May 9, 2018. According to the affidavit, they observed Vargas carry two boxes of firearms from the store, put them in his car and take them to his residence.
Vargas met with the confidential source on Friday, May 11, 2018, the affidavit says. Vargas allegedly sold 11 firearms to the confidential source for $8,100. Immediately after the transaction, Vargas was placed under arrest. The 11 firearms purchased by the confidential source were turned over to the officers, who also found an additional handgun and ammunition when they searched Vargas’s vehicle.
The charge contained in this complaint is simply an accusation, and not evidence of guilt. Evidence supporting the charge must be presented to a federal trial jury, whose duty is to determine guilt or innocence.
This case is being prosecuted by Assistant U.S. Attorney Lawrence E. Miller. It was investigated by the Chicago, Ill., Police Department, the Jefferson City, Mo., Police Department Community Action Team and the Bureau of Alcohol, Tobacco, Firearms and Explosives.
Coolidge Man Sentenced to 5 Years for Possession of a Firearm in Furtherance of Drug TraffickingRead the Press Release
PHOENIX – On May 14, 2017, Bernard Joseph Lee Marrietta, 25, of Coolidge, Ariz., a member of the Gila River Indian Community, was sentenced by U.S. District Judge John J. Tuchi to 60 months in prison. Marrietta had previously pleaded guilty to possession of a firearm in furtherance of a drug trafficking crime. At the time of the offense, Marrietta possessed a DPMS, model A-15, 5.56/.223 rifle, and methamphetamine.
The investigation in this case was conducted by the Gila River Police Department. The prosecution was handled by Raynette Logan, Assistant U.S. Attorney, District of Arizona, Phoenix.
CASE NUMBER: CR-17-1675-PHX-JJT
RELEASE NUMBER: 2018-062_Marrietta
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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.
Clayton Real Estate Developer SentencedRead the Press Release
St. Louis, MO – Michael Litz, 63, of Ladue, was sentenced today to 36 months in federal prison after pleading guilty to his role in a bank fraud scheme involving unlawful insider loans at Excel Bank. The sentence was handed down by United States District Judge Audrey G. Fleissig who also ordered Litz to pay restitution in the amount of $5,048,003.67.
Litz was charged in April, 2016 with Shaun Hayes on bank fraud and related charges involving a series of insider loans and straw party loans at Excel Bank. Hayes pled guilty in January and is scheduled to be sentenced on May 23. Excel Bank failed in October, 2102 and Simmons Bank succeeded it. In imposing the sentence, Judge Fleissig noted the seriousness of the offense and the fact that Hayes and Litz’s actions likely jeopardized the soundness of Excel Bank.
Hayes was the controlling shareholder in Excel Bank which had main offices in Sedalia, Missouri and a loan production office in Clayton. Litz was a principal in Bellington Realty and Eighteen Investments which managed over 1,000 residential and commercial rental properties in the area and bought and sold hundreds of residential properties each year. Litz’s business offices were also in Clayton. In 2009, Eighteen Investments was delinquent on over $100,000,000.00 in loans at banks throughout the area. Litz and Hayes were also partners in a number of real estate development projects. One of those was McKnight Man I which involved the development of the property at the intersection of Manchester and McKnight Roads in Rock Hill. Litz and Hayes were guarantors on a McKnight Man loan at Centrue Bank in the amount of $900,000.00. That loan was delinquent in July, 2009. At the same time Eighteen Investments was delinquent on $3,600,000.00 in loans at Centrue Bank.
At his guilty plea earlier this year, Litz admitted that he recruited a close friend to sign on to a $3,300,000.00 loan at Excel Bank to assist Litz in his business. The friend was assured that he would not be held liable on the note and that the loan would be taken care of. According to court papers, that individual was simply acting as a friend to help Litz. The loan proceeds were used to pay off Litz’s and Hayes’s McKnight Man debt at Centrue Bank as well as the Eighteen Investments debt at that bank. Since Hayes was a principal at Excel Bank, the use of the loan funds to pay off the Hayes-Litz liability at Centrue Bank constituted unlawful self-dealing. Litz admitted that he participated in that transaction and directly benefitted from it.
According to court papers, Litz and Hayes set up other straw party loans at Excel Bank to cover millions of dollars in other delinquent loans of Eighteen Investments. The restitution amount ordered by the court consisted largely of losses incurred by Excel Bank on the straw party loans with most of the restitution being owed to Federal Deposit Insurance Corporation.
"There are ways to remedy troubled businesses without committing fraud," said Special Agent in Charge Richard Quinn of the FBI St. Louis Division. "Instead, Michael Litz chose greed and indirectly victimized taxpayers who bailed out his bad business decisions. Now he will be held accountable for his criminal behavior."
“Michael Litz was sentenced to three years in federal prison and ordered to pay more than $5 million in restitution for criminally defrauding TARP recipient Excel Bank, a bank that later failed and taxpayers lost $4 million in TARP funds,” said Special Inspector General Christy Goldsmith Romero of SIGTARP. “The fraud involved concealing the true purpose of loans from the bank’s board of directors and bank regulators. The judge said at the sentencing that the fraud likely jeopardized the soundness of a bank, one that taxpayers bailed out in TARP. I thank the Office of the U.S. Attorney for the Eastern District of Missouri for bringing justice in this case.”
Timothy Murphy, former Executive Vice President at Excel Bank, pled guilty earlier this year to defrauding Excel Bank and received a sentence of probation. Murphy cooperated with authorities in the investigation.
This case has been investigated by the Federal Bureau of Investigation, the Federal Finance Agency Office of Inspector General, the Federal Deposit Insurance Corporation Office of Inspector General and the Office of the Special Inspector General for the Troubled Asset Relief Program. Criminal Chief James E. Crowe, Jr. and Assistant United States Attorney Gilbert Sison are handling the case for the U.S. Attorney’s Office.
Castle Shannon Man Pleads Guilty to Distributing and Possessing Child PornographyRead the Press Release
PITTSBURGH, PA - A resident of Pittsburgh, PA, pleaded guilty in federal court to charges of distribution and possession of material depicting the sexual exploitation of a minor, United States Attorney Scott W. Brady announced today.
Adam D. Cadle, 36, of Pittsburgh, Pennsylvania, pleaded guilty to two counts before United States District Judge Nora Barry Fischer.
In connection with the guilty plea, the court was advised that Cadle had been using a group chat service, known as "Chatstep," to distribute and receive images and videos depicting the sexual exploitation of minors, some of whom were under the age of 12 years. On November 1, 2017, Cadle’s residence was searched by members of the Pittsburgh Crimes Against Children Task Force, during which numerous images of child pornography were identified on his laptop computer and a SanDisk thumb drive. Forensic analysis undertaken after the search revealed that Cadle was chatting with minors and sharing sexually exploitive material. It was established that on November 17, 2015, Cadle distributed 10 images of child pornography during one such chat session.
Judge Fischer scheduled sentencing for October 25, 2018. The law provides for a total sentence of 30 years in prison, a fine of $500,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant. Cadle remains on bond pending sentencing.
Assistant United States Attorney Carolyn J. Bloch is prosecuting this case on behalf of the government.
The Federal Bureau of Investigation, the Allegheny County District Attorney’s Office, and the Pennsylvania Office of the Attorney General conducted the investigation that led to the prosecution of Cadle.
Canton Man Pleads Guilty to Illegally Possessing a Firearm under Project EJECTRead the Press Release
Jackson, Miss. – Toroski Wolfe, 32, of Canton, pled guilty Thursday before United States District Judge Daniel P. Jordan III, to being a felon in possession of a firearm, announced U.S. Attorney Mike Hurst and Special Agent in Charge Christopher Freeze of the Federal Bureau of Investigation (FBI).
In 2017, Wolfe, a convicted felon, bought a 38-Special revolver from a friend for $100. On December 11, 2017, Wolfe got into an altercation with another man and used the revolver to fire two warning shots into the ground. Jackson Police Department responded, and Wolfe admitted that he possessed and shot the gun.
Wolfe will be sentenced in Jackson by Judge Jordan on August 21, 2018, and faces a maximum penalty of 10 years in prison, followed by up to 3 years of supervised release, and a $250,000 fine.
This case is part of Project EJECT, an initiative by the U.S. Attorney’s Office for the Southern District of Mississippi under the U.S. Department of Justice’s Project Safe Neighborhoods (PSN). EJECT is a holistic, multi-disciplinary approach to fighting and reducing violent crime in Jackson through prosecution, prevention, re-entry and awareness. EJECT stands for "Empower Jackson Expel Crime Together." PSN is 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.
U.S. Attorney Hurst commended the work of the Jackson Police Department and their cooperation with FBI agents and Project EJECT task force members in the investigation of this case.
Canadian man arrested at park in Rocky River sentenced to more than 15 years in prison for sexual exploitation of a childRead the Press Release
A Canadian man arrested last summer at a park in Rocky River was sentenced to more than 15 years in prison for production of child pornography.
Joseph B. Haggerty, 50, was sentenced to 182 months in prison. He previously pleaded guilty to sexual exploitation of a child.
Homeland Security Investigations (HSI) agents in Texas received a tip last August that Haggerty had been soliciting nude images from a 13-year-old. Haggerty flew Cleveland from Toronto. HSI agents in Cleveland followed him upon his arrival in Ohio to Linden Park in Rocky River, where he met another minor female, according to court documents.
Haggerty had a reservation at the Days Inn on Lake Avenue in Lakewood. He was carrying a bag with clothing, 12 condoms, a stuffed animal and a package of baby pacifiers, according to court documents.
The minor he met in Rocky River told agents she met Haggerty on Kik in December 2016 and they subsequently communicated via Skype. She said the calls would last hours and Haggerty would direct her to strip naked and engage in sexually explicit conduct, according to court documents.
The girl told her relatives she was going on a camping trip for the weekend but actually planned to go the Lakewood hotel with Haggerty, according to court documents.
HSI agents contacted the Royal Canadian Mounted Police’s Internet Child Exploitation Unit, which executed search warrants at Haggerty’s home. They found nude images of the Ohio minor, contact information for the child in Texas, as well as evidence of other potential victims.
“This defendant preyed on young girls, emotionally and verbally abusing them and coercing them into sending nude images of themselves,” U.S. Attorney Justin Herdman said. “This case is a stark reminder to parents and guardians that they need to know who their children are communicating with online.”
“Through our partnerships with state, local, federal and international law enforcement agencies, HSI will continue to vigorously investigate child exploitation cases like this one to ensure that special agents continue to serve as a powerful barrier between predators and children," said Steve Francis, Special Agent in Charge of HSI’s Detroit Office, which includes Ohio.
This case was investigated by HSI’s Cleveland and Austin offices, with assistance from the Rocky River Police Department and the Royal Canadian Mounted Police. It is being prosecuted by Assistant U.S. Attorney Michael A. Sullivan.
Canadian Man Pleads Guilty to Conspiracy and to Making A False Claim Against the United StatesRead the Press Release
A Canadian man pleaded guilty today in Rochester, New York to conspiring to defraud the United States and making a false claim against the United States, announced Principal Deputy Assistant Attorney General Richard E. Zuckerman of the Justice Department’s Tax Division and U.S. Attorney James P. Kennedy Jr. for the Western District of New York.
According to documents filed with the court and evidence introduced at a related trial, Daveanan Sookdeo, 46, formerly of Ontario, Canada, along with other Canadian citizens, conspired to defraud the United States by filing fraudulent claims for income tax refunds with the Internal Revenue Service (IRS). Sookdeo promoted a scheme that involved the falsifying of IRS forms to claim that almost $10 million in income had been withheld by various Canadian financial institutions on the conspirators’ behalf. Based on those bogus withholdings, the conspirators sought refunds from the IRS.
Sookdeo profited from the scheme by charging his coconspirators an upfront fee for the false documents used in the scheme, as well as a percentage of any tax refunds obtained through the scheme. Sookdeo travelled to the United States to open bank accounts and deposited the refund checks and his coconspirators then wire transferred portions of the fraudulent proceeds to Canada.
Sookdeo is the fifth Canadian citizen to be convicted for his role in this scheme. In January 2016, Kevin Cyster of Burlington, Ontario, was sentenced to 135 months in prison after a jury convicted him of conspiring to defraud the United States and commit theft of government funds, making a false claim against the United States and transferring stolen money in foreign commerce. Renee Jarvis, Timothy Johnston, and Jose Compuesto, also of Canada, pleaded guilty to conspiring to defraud the United States and commit theft of government funds. U.S. District Judge Frank P. Geraci scheduled the sentencing for August 27, 2018.
Principal Deputy Assistant Attorney General Zuckerman and U.S. Attorney Kennedy thanked special agents of IRS Criminal Investigation, who conducted the investigation, and Tax Division Trial Attorneys Melissa S. Siskind and Thomas F. Koelbl and Assistant U.S. Attorney John Field of the Western District of New York, who prosecuted this case.
More information about the Tax Division’s enforcement efforts is available on the Division’s website.
Bureau of Prisons Lieutenant Convicted of Sexually Abusing Female Inmates at Metropolitan Detention Center in BrooklynRead the Press Release
Earlier today, a federal jury in Brooklyn returned a guilty verdict against Eugenio Perez, a federal correctional officer employed by the United States Bureau of Prisons, on charges of deprivation of civil rights, aggravated sexual abuse, sexual abuse, sexual abuse of a ward, attempted sexual abuse of a ward and abusive sexual contact. The 23-count indictment covered sexual abuse by Perez of five women who were inmates at the Metropolitan Detention Center (MDC) where the defendant was a lieutenant. The verdict followed a two-week trial before United States District Judge Kiyo A. Matsumoto. When sentenced, Perez faces a maximum sentence of up to life in prison.
Richard P. Donoghue, United States Attorney for the Eastern District of New York, Ronald G. Gardella, Special Agent-in-Charge, United States Department of Justice, Office of the Inspector General, New York Field Office (OIG), and William F. Sweeney, Jr., Assistant Director-in-Charge, Federal Bureau of Investigation, New York Field Office (FBI), announced the verdict.
“Perez was a calculating predator who brazenly abused the authority of his position and betrayed his oath as a correctional officer when he sexually abused women under his control and entrusted to his care,” stated United States Attorney Donoghue. “Today’s verdict sends a strong message that this Office, together with our law enforcement partners in the Department of Justice, will aggressively investigate corrupt officers like Perez who commit sex crimes in correctional institutions, using fear and intimidation to try to silence their victims. We hope that today’s verdict brings some measure of closure and justice to the victims of Perez’s crimes.”
“Today’s verdict is a testament to the courage of the victims who came forward to ensure that justice was served,” stated OIG Special Agent-in-Charge Gardella. “It sends a powerful message that no correctional officer is above the law. The OIG takes allegations of abuse and civil rights violations seriously and we will continue to vigorously investigate those who, like Perez, abuse their power.”
“Perez violated the civil rights of several women who reasonably believed he could adversely exercise disciplinary authority over them should they not obey his demands,” stated FBI Assistant Director-in-Charge Sweeney. “Sexual abuse—in any form or fashion—is an inexcusable crime, especially when it involves such disgraceful behavior committed by a federal employee.”
The evidence at trial established that over a three-year period between January 2013 and September 2016, Perez used his position as a lieutenant at the MDC to engage in sexual acts and contact with five female inmates under his supervisory and disciplinary authority. The victims, identified in the indictment as “Jane Doe #1” through “Jane Doe #5,” testified that Perez lured them into isolated situations by arranging for them to clean the lieutenants’ office area at night. Their testimony and other evidence at trial proved that Perez used physical force and intimidation to compel the victims to engage in various sexual acts with him, including oral sex, and used his authority over them to ensure that they did not report the abuse.
The government’s case is being handled by the Office’s Public Integrity Section. Assistant United States Attorneys Nadia I. Shihata and Taryn A. Merkl are in charge of the prosecution.
The Defendant:
EUGENIO PEREZ
Age: 47
Residence: Brooklyn, New YorkE.D.N.Y. Docket No. 17-CR-280 (KAM)
Buffalo Man Pleads Guilty to Child Pornography ChargeRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that Donald Egan, 51, of Buffalo, NY, pleaded guilty to possession of child pornography before U.S. District Judge Richard J. Arcara. The charge carries a minimum penalty of 10 years in prison, a maximum of 20 years and a $250,000 fine.
Assistant U.S. Attorney Jonathan Cantil, who is handling the case, stated that on July 19, 2017, a United States Probation Officer seized a cellular telephone from the defendant during a routine supervision visit at his Memorial Drive residence in Buffalo. At the time, Egan was a sex offender under supervision and possession of a phone was a violation of the defendant’s release from prison.
The officer turned the phone over to the FBI’s Child Exploitation Task Force which led to the discovery of 32 images of child pornography. Some of the images included pre-pubescent minors.
The plea is the result of an investigation by the United States Probation Department, under the direction of Chief Probation Officer Anthony SanGiacomo, and the Federal Bureau of Investigation, Buffalo Division, under the direction of Special Agent-in-Charge Gary Loeffert.
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Sentencing is scheduled for August 22, 2018, at 12:30 PM before Judge Arcara.Boston Man Sentenced to 27 Months for Illegally Possessing FirearmsRead the Press Release
Portland, Maine: United States Attorney Halsey B. Frank announced that Dane Mitchell, 26, of Boston, Massachusetts, was sentenced today in U.S. District Court by Judge D. Brock Hornby, to 27 months in prison and three years of supervised release for being a felon in possession of firearms. Mitchell pled guilty on August 30, 2017.
According to court records, on April 8, 2017, Mitchell and another individual travelled to a Gray, Maine, where they rented firearms, purchased ammunition, and fired the weapons at a shooting range. Boston Police Department officers identified Mitchell and the shooting range from videos that were uploaded to Snapchat. Mitchell was prohibited from possessing firearms as the result of his 2016 Massachusetts felony convictions for possessing a firearm without a permit and possessing a firearm with a defaced serial number.
The case was investigated jointly by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Boston Police Department’s Youth Violence Strike Force and prosecuted as 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.
Biddeford Man Sentenced to Seven Years for Credit Union RobberyRead the Press Release
Portland, Maine. United States Attorney Halsey B. Frank, announced that Glenn Brackett, 49, of Biddeford, Maine was sentenced today in U.S. District Court by Judge George Z. Singal to seven years in prison and three years of supervised release for robbing a credit union.
According to court records, on August 16, 2017, Brackett entered the Infinity Federal Credit Union, in Arundel, Maine, approached a teller with his hand hidden in a sock making it appear that he was armed, and ordered the teller to give him everything. The teller gave Brackett money and he absconded in a vehicle. Law enforcement officers responded to the area of the robbery and Brackett sped away when he saw a marked police cruiser. Soon thereafter, police found his vehicle abandoned behind a local business. The police tracked him into the woods behind the business and arrested him, recovering all the money Brackett stole from the bank.
This investigation was conducted by the Biddeford Police Department, the York County Sheriff’s Office and the FBI.
Berkeley County woman admits to cocaine chargeRead the Press Release
MARTINSBURG, WEST VIRGINIA – A Martinsburg, West Virginia woman has admitted to distributing cocaine, United States Attorney Bill Powell announced.
Jessica Marie Shifflett, age 36, pled guilty to one count of “Conspiracy to Distribute Cocaine Base.” Shifflett admitted to conspiring with others to distribute crack cocaine in Berkeley County from April 2015 to February 2017.
Shifflett faces up to 20 years incarceration and a fine of up to $1,000,000. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant U.S. Attorney Lara K. Omps-Botteicher is prosecuting the case on behalf of the government. The Eastern Panhandle Drug & Violent Crimes Task Force, a HIDTA-funded initiative, investigated.
U.S. Magistrate Judge Robert W. Trumble presided.
Bailey Boys Gang Associate Pleads Guilty to Drug ConspiracyRead 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 Demetrius Black, 41, of Buffalo, New York, pleaded guilty before Senior U.S. District Judge William M. Skretny to conspiracy to possess with intent to distribute heroin and cocaine. The charge carries a maximum penalty of 20 years, and a fine of $1,000,000.
Assistant U.S. Attorney Michael P. Felicetta, who is handling the case, stated that the defendant was an associate of the Bailey Boys Gang, a violent criminal gang which operates in an area of the City of Buffalo bounded by Winspear Avenue, the Kensington Expressway, Eggert Road and Main Street. Between 2010 and late 2011, Black allowed gang member Kenneth Pettway, Jr., and others, to sell crack cocaine and heroin from an apartment he rented on Roosevelt Avenue in Buffalo. The defendant himself also obtained and distributed significant quantities of crack cocaine to others.
On January 18, 2012, a search warrant executed at Black’s residence on Roosevelt Avenue. Law enforcement officers seized heroin, cocaine, marijuana, scales, baggies, and other drug paraphernalia. The defendant was present when the search warrant was executed and admitted that he possessed two pistols at the time.
Charges remain pending against Kenneth Pettway, Jr. who is scheduled to go to trial on May 22, 2018, also before Judge Skretny. 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.
Black’s plea is the result of an ongoing investigation into the activities of the Bailey Boys Gang and other criminal gangs that is being conducted by the United States Attorney’s office in close cooperation with the Erie County District Attorney’s Office, under the direction of District Attorney John J. Flynn; and in conjunction with the Buffalo Police Department, under the direction of Police Commissioner Byron Lockwood; the Federal Bureau of Investigation Safe Streets Task Force, under the Direction of Special Agent-in-Charge Gary Loeffert; the Erie County Sheriff’s Office, under the direction of Sheriff Timothy Howard; and the Drug Enforcement Administration, under the direction of Special Agent-in-Charge James J. Hunt.
Sentencing is scheduled for August 15, 2018, at 11:00 a.m. before Judge Skretny.
Attorney General Sessions and U.S. Attorney recognize law enforcement service and sacrifice during national police weekRead the Press Release
WHEELING – Attorney General Sessions and U.S. Attorney for the Northern District of West Virginia Bill Powell recognizes the service and sacrifice of federal, state, local, and tribal police officers on the occasion of National Police Week, and commented on the FBI's 2017 Law Enforcement Officers Killed and Assaulted report.
West Virginia lost one officer in 2017. Lieutenant Aaron Crook of the Bluefield Police Department was killed in a vehicle crash while involved in a vehicle pursuit of a suspected drunk driver last May.
In recognition of National Police Week, U.S. Attorney Powell will recognize those lives lost and offer words of encouragement and gratitude at the Wheeling Police Department’s Law Enforcement Memorial Service this Wednesday, May 16 at Wheeling’s Heritage Port. The event begins at 5:30 p.m.
“One officer death is too many,” Attorney General Sessions said. “While we are inexpressibly grateful to have had a decrease in the number of officers killed in the line-of-duty last year, the number is still far too high. At the Department of Justice, we honor the memories of the fallen and we pray for their families. We are also following President Trump's Executive Orders to back the women and men in blue, to enhance law enforcement safety, and to reduce violent crime in America. Those priorities will help keep every American safe, including those who risk their lives for us. As always, we have their backs and they have our thanks.”
“Every loss is significant. The men and women in law enforcement choose to put their lives on the line every day in the name of safety and security for their fellow neighbors. It is many times a thankless job involving long hours away from their loved ones. There are no words that can truly express our gratitude for their service and sacrifice,” said Powell.
According to statistics collected by the FBI, 93 law enforcement officers were killed in line-of-duty incidents in 2017 – a 21 percent decrease from 2016 when 118 law enforcement officers were killed in line-of-duty incidents.
Additionally, in 2017 there were 46 law enforcement officers killed in line-of-duty incidents as a result of felonious acts – this is a 30 percent decrease from 2016, when 66 law enforcement officer were killed in line-of-duty incidents as a result of felonious acts.
For the full comprehensive data tables about these incidents and brief narratives describing the fatal attacks and selected assaults resulting in injury, please see the 2017 edition of Law Enforcement Officers Killed and Assaulted report, released this week.
In October 1962, Congress passed and President Kennedy signed a joint resolution declaring May 15th as National Peace Officers Memorial Day to honor law enforcement officers killed or disabled in the line of duty. The resolution also created National Police Week as an annual tribute to law enforcement service and sacrifice.
During Police Week, which is observed from Sunday, May 13 to Saturday, May 19, 2018, our nation celebrates the contributions of police officers from around the country, recognizing their hard work, dedication, loyalty and commitment in keeping our communities safe.
For more information about other National Police Week events, please visit www.policeweek.org.
To access the FBI's 2017 Law Enforcement Officers Killed and Assaulted report, please visit www.fbi.gov.
Attorney General Sessions and U.S. Attorney Hayes Recognize Law Enforcement Service and Sacrifice During National Police WeekRead the Press Release
Seattle – Attorney General Sessions and U.S. Attorney Annette L. Hayes for the Western District of Washington honor the service and sacrifice of federal, state, local, and tribal police officers on the occasion of National Police Week, and issuance of the FBI's 2017 Law Enforcement Officers Killed and Assaulted report.
Kalama, Washington Police Chief Randall Scott Gibson is listed in the Roll Call of Heroes as an officer who died in the line of duty in 2017. Chief Gibson went into respiratory distress while performing a high stress arrest on January 10, 2017. He was treated at a hospital, but died later that night at his home. He had been with the Kalama Police Department for six years, following a twenty-year career with the Greene County Sheriff’s Office in Missouri.
“One officer death is too many,” Attorney General Sessions said. “While we are inexpressibly grateful to have had a decrease in the number of officers killed in the line-of-duty last year, the number is still far too high. At the Department of Justice, we honor the memories of the fallen and we pray for their families. We are also following President Trump's Executive Orders to back the women and men in blue, to enhance law enforcement safety, and to reduce violent crime in America. Those priorities will help keep every American safe, including those who risk their lives for us. As always, we have their backs and they have our thanks.”
“We remember and honor Chief Gibson and his service to the citizens of Kalama, and all of us in Western Washington,” said U.S. Attorney Annette L. Hayes. Chief Gibson will be one of the officers who will be honored for their many sacrifices at the National Peace Officer Memorial Service tomorrow in Washington D.C. Sadly, 2018 began with the line of duty death of Pierce County Sheriff’s Deputy Daniel A. McCartney, 34, of Yelm, who was shot and killed while responding to a home invasion robbery. He will be honored for his ultimate sacrifice at next year’s service.”
According to statistics collected by the FBI, 93 law enforcement officers were killed in line-of-duty incidents in 2017 – a 21 percent decrease from 2016 when 118 law enforcement officers were killed in line-of-duty incidents.
Additionally, in 2017 there were 46 law enforcement officers killed in line-of-duty incidents as a result of felonious acts – this is a 30 percent decrease from 2016, when 66 law enforcement officer were killed in line-of-duty incidents as a result of felonious acts.
For the full comprehensive data tables about these incidents and brief narratives describing the fatal attacks and selected assaults resulting in injury, please see the 2017 edition of Law Enforcement Officers Killed and Assaulted report, released today.
In October 1962, Congress passed and President Kennedy signed a joint resolution declaring May 15th as National Peace Officers Memorial Day to honor law enforcement officers killed or disabled in the line of duty. The resolution also created National Police Week as an annual tribute to law enforcement service and sacrifice.
During Police Week, which is observed from Sunday, May 13 to Saturday, May 19, 2018, our nation celebrates the contributions of police officers from around the country, recognizing their hard work, dedication, loyalty and commitment in keeping our communities safe.
The names of all 93 fallen officers nationwide were formally dedicated on the National Law Enforcement Officers Memorial in Washington, DC, during the 30th Annual Candlelight Vigil on the evening of May 13, 2018.
The Candlelight Vigil is one of many commemorative events taking place in the nation’s capital during National Police Week 2018.
For more information about other National Police Week events, please visit www.policeweek.org.
To access the FBI's 2017 Law Enforcement Officers Killed and Assaulted report, please visit www.fbi.gov.
Attorney General Sessions and U.S. Attorney Duncan to Recognize Law Enforcement Service and Sacrifice During National Police WeekRead the Press Release
FBI Releases 2017 Statistics on Law Enforcement Officers Killed and Assaulted
LEXINGTON, Ky. – Attorney General Sessions and Robert M. Duncan, Jr., the U.S. Attorney for the Eastern District of Kentucky, , will recognize the service and sacrifice of federal, state, local, and tribal police officers on the occasion of National Police Week and comment on the FBI's 2017 Law Enforcement Officers Killed and Assaulted report.
U.S. Attorney Duncan will be giving the keynote address at the Northern Kentucky Police Officers Memorial Service, at the Northern Kentucky Officers Memorial site in Covington, Kentucky, on May 16th at 7:00 p.m. Several other events are scheduled throughout the area, to include the Kentucky State Police Memorial Service, on May 21st at 6:00 p.m. in Frankfort, and the Kentucky Law Enforcement Memorial Service, in Richmond on May 24th at 11:00 a.m. Many local communities will also honor their fallen officers.
“One officer death is too many,” Attorney General Sessions said. “While we are inexpressibly grateful to have had a decrease in the number of officers killed in the line-of-duty last year, the number is still far too high. At the Department of Justice, we honor the memories of the fallen and we pray for their families. We are also following President Trump's Executive Orders to back the women and men in blue, to enhance law enforcement safety, and to reduce violent crime in America. Those priorities will help keep every American safe, including those who risk their lives for us. As always, we have their backs and they have our thanks.”
“National Police Week offers us the opportunity to reflect about all the men and women in law enforcement who lost their lives in service to their communities, including those who made the ultimate sacrifice here, in our District,” stated U.S. Attorney Duncan. “National Police Week is also a chance for us to publicly thank our law enforcement partners in the Commonwealth of Kentucky for all they do for us. These brave men and women daily protect the public and uphold the rule of law. We support their efforts and are committed to helping them reduce violent crime and the drug epidemic. Please join me in offering thanks to law enforcement officers across the Commonwealth for their service.”
According to statistics collected by the FBI, 93 law enforcement officers were killed in line-of-duty incidents in 2017 – a 21 percent decrease from 2016, when 118 law enforcement officers were killed in line-of-duty incidents.
Additionally, in 2017, there were 46 law enforcement officers killed in line-of-duty incidents as a result of felonious acts – this is a 30 percent decrease from 2016, when 66 law enforcement officers were killed in line-of-duty incidents as a result of felonious acts.
For the full comprehensive data tables about these incidents and brief narratives describing the fatal attacks and selected assaults resulting in injury, please see the 2017 edition of Law Enforcement Officers Killed and Assaulted report, released today.
In October 1962, Congress passed and President Kennedy signed a joint resolution declaring May 15th as National Peace Officers Memorial Day, to honor law enforcement officers killed or disabled in the line of duty. The resolution also created National Police Week, as an annual tribute to law enforcement service and sacrifice.
During Police Week, which is observed from Sunday, May 13 to Saturday, May 19, 2018, our nation celebrates the contributions of police officers from around the country, recognizing their hard work, dedication, loyalty, and commitment in keeping our communities safe.
The list of names of all 93 fallen officers nationwide was formally dedicated on the National Law Enforcement Officers Memorial in Washington, DC, during the 30th Annual Candlelight Vigil on the evening of May 13, 2018. For more information about other National Police Week events, please visit www.policeweek.org.
To access the FBI's 2017 Law Enforcement Officers Killed and Assaulted report, please visit www.fbi.gov.
Armed Heroin and Methamphetamine Trafficker in Pulaski County Sentenced to 480 MonthsRead the Press Release
LEXINGTON, Ky. — Timothy Harris, of Louisville, Ky., was sentenced Friday evening to 40 years in federal prison, by United States District Judge Danny C. Reeves, for conspiracy to distribute heroin and methamphetamine.
Between 2015 and 2016, Harris imported heroin and methamphetamine into Pulaski County, Kentucky, to supply other drug dealers and users in the area. Harris used the same pipeline to transport firearms from Somerset to Louisville. Evidence in the case revealed that Harris routinely carried a firearm to protect his drug trafficking activity and also attempted and to hire a hit-man to kill local individuals. In June of 2016, law enforcement found Harris in possession of approximately three pounds of methamphetamine. Harris pled guilty in December of 2017.
Others conspiring with Harris, to transport methamphetamine, heroin, or firearms between Somerset and Louisville, have also recently been sentenced. They include Maurice Sydnor (240 months), Paul Dupree (168 months), Christopher Glover (102 months), Joseph Epperson (100 months), Cathy Jose (48 months), and Natasha Marcum (36 months).
Under federal law, Harris and his co-conspirators must serve 85 percent of their respective prison sentences; and upon release, they will be under the supervision of the United States Probation Office.
“I want to commend the efforts of all the law enforcement agencies involved in this important case,” stated United States Attorney Robert M. Duncan, Jr. “Because of cooperation and strong partnerships, several dangerous individuals were removed from southeastern Kentucky, and our communities have been made safer. The lengthy sentences imposed send a clear message that drug trafficking, threats of violence, or illegal possession of weapons will not be tolerated in this District.”
United States Attorney Duncan; Stuart Lowrey, Special Agent in Charge of ATF, Louisville Field Division; Richard Sanders, Kentucky State Police Commissioner; and Greg Speck, Pulaski County Sheriff, jointly made the announcement. The Lake Cumberland Area Drug Task Force, Louisville Metropolitan Police Department, and the Kentucky State Police Drug Enforcement Special Investigations East and West Sections also assisted in the investigation. Assistant United States Attorney Andrew H. Trimble represented the United States.
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.
Appeals Court Upholds Sex Offender Registration Requirements for Defendant Who Ran Interstate Prostitution OperationRead the Press Release
SCRANTON - The United States Attorney’s Office for the Middle District of Pennsylvania announced today that the Third Circuit Court of Appeals on May 10, 2018, affirmed the 15 ½-year prison sentence of Thurman Stanley, age 41, of Stroudsburg, Pennsylvania, including a requirement that Stanley comply with the Sex Offender Registration and Notification Act (SORNA), imposed by Senior U.S. District Court Judge James M. Munley.
According to United States Attorney David J. Freed, the Court ruled that Stanley, who pleaded guilty to drug and interstate prostitution charges in March 2017, waived his right to appeal the applicability of SORNA because he agreed in the plea agreement that SORNA applied to his offenses.
Stanley argued on appeal that SORNA did not apply to interstate transportation offenses where the prostitution involved consenting adults and did not involve force or coercion. The government argued that Stanley waived his right to challenge the court’s imposition of SORNA requirements when he acknowledged in the plea agreement that SORNA applied, and argued that there was sufficient evidence to show that Stanley used force, threats and coercion in his prostitution activities.
In affirming Stanley’s sentence, the Court explained that, “[a] defendant who stipulates to a point in a plea agreement cannot later make arguments taking a contrary position.”
Stanley was indicted on sex trafficking, prostitution, and drug charges by a federal grand jury in November 2016, as a result of an investigation by the Federal Bureau of Investigation, the Pennsylvania State Police, and local police from Monroe County. Stanley subsequently admitted to prostituting 11 adult females in Pennsylvania, including transporting three of the females to New York, Iowa, and North Dakota for purposes of prostitution.
Assistant United States Attorney Francis P. Sempa prosecuted the case and argued the appeal for the government before a three-judge panel of the Third Circuit Court.
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Another Local Man Sent to Prison for Firearms ViolationRead the Press Release
CORPUS CHRISTI, Texas - A 25-year-old Corpus Christi man has been ordered to federal prison following his conviction of being a felon in possession of a firearm, announced U.S. Attorney Ryan K. Patrick. Fred Aaron Corona pleaded guilty Feb. 20, 2018.
Today, Senior U.S. District Judge John D. Rainey sentenced Corona to 37 months imprisonment to be immediately followed by 2 years of supervised release.
In February 2017, officers detained Corona for violating a park curfew. While speaking with the officers, Corona appeared to be intoxicated. Corona was arrested and officers impounded his vehicle, at which time authorities discovered a loaded .380 caliber semi-automatic handgun in the glovebox. Corona had previously been convicted in state court for numerous felonies and is prohibited by federal law from possessing firearms and ammunition.
Corona was taken into federal custody in December 2017 as part of Operation City Shield, a coordinated federal, state and local law enforcement operation designed to identify violent offenders, stop gun violence and protect the community.
Corona will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be designated in the near future.
The Bureau of Alcohol, Tobacco, Firearms and Explosives and the Corpus Christi Police Department conducted the investigation. Assistant U.S. Attorney Lance Watt is prosecuting the case.
Alleged Member of Robbery Crew Convicted of Being a Felon in Possession of AmmunitionRead the Press Release
Memphis, TN – After a three-day trial, a federal jury has found a Memphis man guilty on one-count of felon in possession of ammunition. U.S. Attorney D. Michael Dunavant for the Western District of Tennessee announced the guilty verdict today.
According to information presented in court, on November 21, 2016, Tavares Clayborn, 28, was in the area of Hampton Place and South Orleans Street in South Memphis with a group of his friends when an argument ensued. Clayborn shot the friend he was arguing with, striking him once in the leg. When Memphis Police Department officers responded to the scene they found eight spent shell casings of 7.62 X 39 millimeter Tulammo ammunition, as well as a backpack containing a 50-round drum magazine.
As an armed career criminal, Clayborn faces a mandatory minimum 15-year sentence.
Clayborn has also been charged with several counts of affecting interstate commerce by robbery in violation of 18 U.S.C. § 1951 and using a firearm in the commission of robbery in violation of 18 U.S.C. § 924(c). The robbery charges stem from a string of robberies of delivery truck drivers in which cigarettes were taken over a period of 11 months in 2016 to 2017. Clayborn’s trial on these charges is set for July 2018. If convicted on the robbery charges, he faces 360 months up to life imprisonment.
U.S. Attorney D. Michael Dunavant said: "Violent crime reduction remains the top priority of this office and the Department of Justice. The ammunition charge is evidence of the aggressive approach by this office to removing the worst of the worst from our streets. This jury verdict finding this armed career criminal guilty demonstrates that the community is Fed Up with repeat offenders who have dedicated their lives to lawlessness and violence."
Marcus Watson, ATF Special Agent in Charge said: "This conviction is a result of the combined efforts of Memphis and Germantown Police Departments along with the community working together to reduce violent crime. ATF’s Crime Gun Intelligence focused on the shooting incident from a known robbery crew that endangered the local neighborhoods."
The Bureau of Alcohol, Tobacco and Firearms investigated this case.
Assistant U.S. Attorneys Elizabeth Rogers and Marques Young are prosecuting this case on the government’s behalf.
Albanian National Pleads Guilty, 2nd Awaiting Trial in Store Break-in, ATM Cash and Pharmacy TheftRead the Press Release
PROVIDENCE, RI – An Albanian national living in Brooklyn, NY, pleaded guilty in federal court in Providence to cutting his way through the roof into a Target department store in Smithfield, R.I., prying open an ATM inside the store and stealing more than $14,000, then cutting through a wall into a CVS Pharmacy located inside the store in order to steal controlled substances.
Appearing before U.S. District Court Chief Judge William E. Smith on Friday, Epirot Krasniqi, 27, pleaded guilty as charged in an indictment returned on November 7, 2017, to one count each of conspiracy to commit larceny from a financial institution, bank larceny, conspiracy to commit burglary involving controlled substances, and burglary involving controlled substances. No plea agreement was filed in this matter.
Krasniqi’s guilty plea is announced by United States Attorney Stephen G. Dambruch, Smithfield Police Chief Richard P. St. Sauveur, Jr., and Special Agent in Charge of the FBI Boston Division Harold H. Shaw.
According to court documents, sometime after the Target store closed on October 9, and in the early morning hours of October 10, 2017, Krasniqi and another person, Liridon Gashi, 32, an Albanian national living in Bronx, N.Y., equipped with portable two-way radios and hand tools, cut through the roof of the store and then forced open an ATM from which they stole $14,720. The pair then cut through the wall of a CVS Pharmacy inside the store, broke open a locked cabinet holding controlled substances and stole a prescription package of Oxycodone. The two men then fled to the roof of the store.
According to information presented to the Court, Smithfield police officers responded to a report of an electronic burglary alarm and began to search the premises. After discovering the hole in the roof, officers began searching approximately 30 air conditioning units located on the roof. The two men were found hiding inside separate air conditioning units. Also discovered inside the store and various air conditioning units on the roof were the tools used in the break-in of the store and the ATM, the cash stolen from the ATM, and the drugs stolen from the pharmacy.
Krasniqi and Gashi were charged and arraigned in Rhode Island state court and released on bail. Federal arrest warrants were issued for both men following the return of the federal indictment on November 7, 2017. Krasniqi was arrested by FBI agents in New York that same day. Liridon Gashi was located and arrested by FBI agents in San Francisco, CA, on March 7, 2018.
Krasniqi is scheduled to be sentenced on August 22, 2018. Gashi is detained and awaiting trial.
The cases are being prosecuted by Assistant U.S. Attorneys Ly T. Chin and Denise M. Barton.
The matter was investigated by the Smithfield Police Department, with the assistance of the Rhode Island FBI Safe Streets Task Force.
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AG Sessions and USA Davis Recognize Law Enforcement Service and Sacrifice During National Police WeekRead the Press Release
BOISE – Attorney General Sessions and U.S. Attorney for the District of Idaho Bart M. Davis recognized the service and sacrifice of federal, state, local, and tribal police officers on the occasion of National Police Week, and commented on the FBI's 2017 Law Enforcement Officers Killed and Assaulted report.
Since 1995, Idaho Peace Officers Memorial Ceremonies have honored Idaho law enforcement officers who have given their lives in the line of duty. These ceremonies are a poignant, annual expression of gratitude to honor fallen friends whose end of watch occurred in service to their communities. In Idaho, we have lost 71 officers since 1883. This year, at the Idaho Peace Officers Memorial at 700 S Stratford Drive, Meridian, Idaho, a Candlelight Vigil will be held on May 16, 2018 at 8:00 p.m. and a Memorial Ceremony will be on May 17, 2018 at 10:00 a.m.
“One officer death is too many,” Attorney General Sessions said. “While we are inexpressibly grateful to have had a decrease in the number of officers killed in the line-of-duty last year, the number is still far too high. At the Department of Justice, we honor the memories of the fallen and we pray for their families. We are also following President Trump's Executive Orders to back the women and men in blue, to enhance law enforcement safety, and to reduce violent crime in America. Those priorities will help keep every American safe, including those who risk their lives for us. As always, we have their backs and they have our thanks.”
“As United States Attorney for the District of Idaho, I am honored to work closely with federal, state, local, and tribal law enforcement officers,” said Bart Davis. “I see firsthand how the men and women of law enforcement fulfill their sworn duty to uphold justice every day. I am grateful for the professionalism, dedication and quiet courage they continually demonstrate under demanding and often dangerous circumstances.”
According to statistics collected by the FBI, 93 law enforcement officers were killed in line-of-duty incidents in 2017 – a 21 percent decrease from 2016 when 118 law enforcement officers were killed in line-of-duty incidents.
Additionally, in 2017 there were 46 law enforcement officers killed in line-of-duty incidents as a result of felonious acts – this is a 30 percent decrease from 2016, when 66 law enforcement officer were killed in line-of-duty incidents as a result of felonious acts.
For the full comprehensive data tables about these incidents and brief narratives describing the fatal attacks and selected assaults resulting in injury, please see the 2017 edition of Law Enforcement Officers Killed and Assaulted report, which is linked below.
In October 1962, Congress passed and President Kennedy signed a joint resolution declaring May 15th as National Peace Officers Memorial Day to honor law enforcement officers killed or disabled in the line of duty. The resolution also created National Police Week as an annual tribute to law enforcement service and sacrifice.
National Police Week and Peace Officers Memorial Day on May 15th, give us the opportunity to pause and to honor these brave public servants, to reflect on their commitment and valor, and to honor the families who grieve their loss. Consider attending one of the many events to be held throughout Idaho this week. And please join me in thanking all the wonderful women and men who put themselves in harm’s way daily.
For more information about other National Police Week events, please visit www.policeweek.org.
To access the FBI's 2017 Law Enforcement Officers Killed and Assaulted report, please visit www.fbi.gov.
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11 May 2018
Whiting Women Sentenced for Bank FraudRead the Press Release
HAMMOND – Sandra Santay, 73 years old, of Whiting, Indiana, was sentenced by District Court Judge Philip Simon on her plea of guilty to bank fraud, announced U.S. Attorney Thomas L. Kirsch II.
Santay was sentenced to 27 months in prison and ordered to pay $491,169.71 in restitution.
According to documents in this case, Santay was the manager of a local credit union for over 30 years and was convicted of defrauding that credit union out of $491,169.71.
This case is the result of the investigative efforts of the FBI and was handled by Assistant U.S. Attorney Diane L. Berkowitz.
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Westerville Man Sentenced for Threatening CongressmanRead the Press Release
COLUMBUS, Ohio – E. Stanley Hoff, 69, of Westerville, was sentenced in U.S. District Court today to 40 months in prison for threatening to assault and murder a United States official.
Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, and the United States Capitol Police announced the sentence imposed by U.S. District Judge Michael H. Watson.
Hoff was indicted by a federal grand jury in July 2017, and, according to court documents, threatened to assault and murder U.S Representative Steve Stivers and a member of Stivers’ family.
Hoff was responsible for a series of threatening voicemails from February to June 2017 left at the Representative’s office in Hilliard.
For example, in March, a portion of one of Hoff’s messages stated, “we’re going to take care of it our way” and “Leave Obamacare alone or die.”
In another message, Hoff references the June 2017 Congressional Baseball Game for Charity shooting and calls it “only the tip of the iceberg” saying maybe the “next one taken down will be” Stivers.
“Hoff threatened the Congressman and his family because the Congressman was not legislating according to Hoff’s political views,” said U.S. Attorney Glassman. “That is unacceptable in our society. Peaceful political argument or banter is one thing, but Hoff’s conduct was a far cry from that. Threatening to assault or murder a United States official on account of that official’s performance of his or her duties is a serious federal crime — regardless of political party or views. The significant prison sentence that Hoff received today is warranted by his conduct and, I hope, will make others think twice about threatening government officials.”
Hoff was arrested on June 21, when he was charged by a criminal complaint and has been held without bond. He pleaded guilty in October 2017.
U.S. Attorney Glassman commended the investigation of this case by the U.S. Capitol Police and Assistant United States Attorneys Kevin Kelley and Noah Litton, who are prosecuting the case.
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Western Slope Sovereign Citizen Sentenced to Federal Prison for Bank Fraud and Related CrimesRead the Press Release
DENVER – Rocky Hutson, age 59, of Grand Junction, Colorado, and a self-proclaimed sovereign citizen, was sentenced to serve 70 months (nearly 6 years) in federal prison for false claims, creating fictious financial instruments and bank fraud, U.S. Attorney Bob Troyer, FBI Denver Division Special Agent in Charge Calvin Shivers and Department of Education Special Agent in Charge Adam Shandeling announced. After serving his prison sentence, Hutson will then spend 3 years on supervised release. The defendant appeared at the sentencing hearing free on bond. He was ordered to report to a prison facility within 15 days of designation. On January 11, 2018 the defendant was found guilty of bank fraud and related crimes following a jury trial.
In late 2011 and early 2012, Hutson devised a scheme to frustrate or delay the legitimate collection of debts that included student loans, small business loans, car loans, and home mortgages. The defendant created various documents that appeared to be legitimate financial instruments but were in fact worthless and gave them to various acquaintances to submit in payment of debts. If a financial institution refused to accept the worthless instrument as payment, Hutson often made phone calls or sent letters to the bank or its attorneys in an effort to convince them the instruments were legitimate. In one case, he even went so far as to threaten to have a bank employee thrown in jail for refusing the payment. A few months later, in May of 2012, he began a similar course of conduct that involved submitting false claims to the Department of Agriculture in attempts not only to pay off existing debts but also to purchase new items, including seventeen Harley-Davidson motorcycles and a shopping center worth over $7 million.
Testimony at trial indicated that Hutson had a hand in submitting nearly $14.7 million worth of false claims to the Department of Agriculture and about $6.3 million worth of fictitious financial instruments to various financial institutions. Although there was ultimately no loss to the federal government, banks lost about $47,000 due to Hutson’s schemes, and various individuals suffered smaller losses as a result of his actions. According to the prosecution, Hutson’s true motivation was a sincere and abiding dislike of the government, banks, and the financial system in general as well as his affiliation with a “sovereign citizen” group known as the “Republic for the United States of America.”
The jury convicted Hutson of all fourteen counts with which he was charged, including five counts of filing false claims with the Department of Agriculture, six counts of creating fictitious financial instruments, and three counts of bank fraud.
“Americans have every right to believe whatever ideology they want,” said U.S. Attorney Bob Troyer. “But they don’t have a right to hide behind any ideology to manipulate others in violation of the law and for their own personal gain. That’s what the defendant did, and he’ll be punished for it. Our prosecutors and the FBI made sure of that.”
"The FBI is committed to aggressively pursuing those who defraud our banking institutions. The creation of fictitious financial instruments to avoid debt payment is a felony,” said FBI Denver Special Agent in Charge Calvin Shivers. “The recent sentencing of Rocky Hudson should deter others who engage in these types of fraud schemes."
Hutson was indicted in June 2016 as the result of a widespread investigation by the FBI and the Department of Education OIG into fraudulent debt elimination tactics promoted by the sovereign citizen movement on the western slope of Colorado. The defendant was prosecuted by Assistant U.S. Attorneys Daniel Burrows and Peter Hautzinger.
CASE NUMBER: 16-CR-00186
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Visit our website http://www.justice.gov/usao/co | Follow us on Twitter @DCoNewsWestern Slope Sovereign Citizen Sentenced to Federal Prison for Bank Fraud and Related CrimesRead the Press Release
DENVER – Rocky Hutson, age 59, of Grand Junction, Colorado, and a self-proclaimed sovereign citizen, was sentenced to serve 70 months (nearly 6 years) in federal prison for false claims, creating fictious financial instruments and bank fraud, U.S. Attorney Bob Troyer, FBI Denver Division Special Agent in Charge Calvin Shivers and Department of Education Western Region Special Agent in Charge Adam Shandeling announced. After serving his prison sentence, Hutson will then spend 3 years on supervised release. The defendant appeared at the sentencing hearing free on bond. He was ordered to report to a prison facility within 15 days of designation. On January 11, 2018 the defendant was found guilty of bank fraud and related crimes following a jury trial.
In late 2011 and early 2012, Hutson devised a scheme to frustrate or delay the legitimate collection of debts that included student loans, small business loans, car loans, and home mortgages. The defendant created various documents that appeared to be legitimate financial instruments but were in fact worthless and gave them to various acquaintances to submit in payment of debts. If a financial institution refused to accept the worthless instrument as payment, Hutson often made phone calls or sent letters to the bank or its attorneys in an effort to convince them the instruments were legitimate. In one case, he even went so far as to threaten to have a bank employee thrown in jail for refusing the payment. A few months later, in May of 2012, he began a similar course of conduct that involved submitting false claims to the Department of Agriculture in attempts not only to pay off existing debts but also to purchase new items, including seventeen Harley-Davidson motorcycles and a shopping center worth over $7 million.
Testimony at trial indicated that Hutson had a hand in submitting nearly $14.7 million worth of false claims to the Department of Agriculture and about $6.3 million worth of fictitious financial instruments to various financial institutions. Although there was ultimately no loss to the federal government, banks lost about $47,000 due to Hutson’s schemes, and various individuals suffered smaller losses as a result of his actions. According to the prosecution, Hutson’s true motivation was a sincere and abiding dislike of the government, banks, and the financial system in general as well as his affiliation with a “sovereign citizen” group known as the “Republic for the United States of America.”
The jury convicted Hutson of all fourteen counts with which he was charged, including five counts of filing false claims with the Department of Agriculture, six counts of creating fictitious financial instruments, and three counts of bank fraud.
“Americans have every right to believe whatever ideology they want,” said U.S. Attorney Bob Troyer. “Buth they don’t have a right to hide behind any ideology to manipulate others in violation of the law and for their own personal gain. That’s what the defendant did, and he’ll be punished for it. Our prosecutors and the FBI made sure of that.”
"The FBI is committed to aggressively pursuing those who defraud our banking institutions. The creation of fictitious financial instruments to avoid debt payment is a felony,” said FBI Denver Special Agent in Charge Calvin Shivers. “The recent sentencing of Rocky Hudson should deter others who engage in these types of fraud schemes."
Hutson was indicted in June 2016 as the result of a widespread investigation by the FBI and the Department of Education OIG into fraudulent debt elimination tactics promoted by the sovereign citizen movement on the western slope of Colorado. The defendant was prosecuted by Assistant U.S. Attorneys Daniel Burrows and Peter Hautzinger.
CASE NUMBER: 16-CR-00186
Warren man sentenced for theft of government fundsRead the Press Release
A Warren man was sentenced to six months of house arrested and ordered to repay $82,428 to the Pension Benefit Guaranty Corporation.
Dean Nikolaides, 64, was also fined $5,000 and placed on probation for three year. He previously pleaded guilty to one count of theft of government funds.
Nikolaides fraudulently received $82,428 in benefits over 14 years from the Pension Benefit Guaranty Corporation to which he knew he was not entitled. The PBGC is a federal agency that protects the retirement incomes of American workers in private-sector defined benefit pension plans, according to court documents.
Special Agents Adelle Harris and Conrad Quarles from the PBGC conducted the investigation, with assistance from the Social Security Administration Office of the Inspector General and the United States Postal Inspection Service. Special Assistant U.S. Attorney Payum Doroodian prosecuted the case.
Vista Man Sentenced to Almost 20 Years for Coercing Young Children into Sending Him Naked Pictures and VideosRead the Press Release
Assistant U. S. Attorney Sabrina Feve (619) 546-6786
NEWS RELEASE SUMMARY – May 11, 2018
SAN DIEGO – Joseph Daniel Saucedo of Vista was sentenced in federal court today to 235 months in custody and 20 years of supervised release for attempting to manipulate two children, ages 11 and 16, into sending sexually explicit photographs of themselves, and then threatening to expose them if they refused to continue.
According to the plea agreement, Saucedo posed as a teenage girl, “Amy Jennings,” and began communicating on-line with an 11-year-old Canadian boy. At first the two had normal conversations about everyday life. But then Saucedo, pretending to be “Amy,” sent naked pictures of young girls and asked the boy to communicate with her “friend,” Saucedo, in return. When the boy refused, “Amy” posted a photograph of his house, told the boy she knew where he lived, and threatened to shame him into communicating with Saucedo.
The boy ultimately relented and texted Saucedo, who then communicated with the boy using FaceTime and displayed his naked front torso. The boy hung up on Saucedo but the calls and threats continued until, finally, on January 25, 2016, the boy received a message from “Amy,” which included a video of a young boy masturbating. “Amy” threatened to leak the video and claim it was the Canadian boy if the boy did not send naked pictures of himself to Saucedo.
Additional investigation revealed that Saucedo had been in communication with other young children, successfully soliciting sexually graphic images from them. For example, in August 2015, Saucedo struck up a conversation with a 16-year-old girl in Florida through Instagram. This time, Saucedo pretended to be a modeling agent looking for “bikini and nude models” adding “obviously the pay is great.” When the Florida girl told Saucedo that she was only 16 and would have to check with her parents, he volunteered that they could just “make a portfolio” at no cost to her, and “then we can talk to your parents.” She demurred again, telling Saucedo that she had “never been comfortable in my skin.” He promised to “help with that hun if you want we can FaceTime so nothing is saved.”
She continued to refuse his overtures until Saucedo, under the guise of “Amy Jennings,” threatened to blackmail the girl. The girl turned to Saucedo for help with “Amy.” Although he initially claimed no knowledge of Amy Jennings and insisted his modeling business was legitimate, he quickly agreed to help the girl, for a price: nude pictures of herself. He even asked her to “[w]rite my name on a paper or hand so I know it’s a new one.” She acquiesced and sent him pictures of her breasts with “Joe” written across her chest.
Saucedo demanded that the girl continue sending him naked photographs, or “Amy” would post compromising pictures of the girl. The girl volunteered that she was “looking into Kik’s legal system” to handle the threatening “Amy” posts. Within seconds, Saucedo responded, “Na I’ll pay her I don’t want you to get in trouble.” Saucedo no doubt feared that alerting Kik to “Amy Jennings” could have compromised his illegal activities. Saucedo told the girl that he had paid “Amy Jennings” $2,000. As a thank you, the girl agreed to a sexually explicit FaceTime chat with Saucedo. She also sent additional photographs of herself naked with “Joe” written on her breasts and above her vagina, again at his request.
Saucedo continued to hound the girl for almost a year, from August 2015 to June 2016, requesting more naked photographs. He even sent her a photo of stacks of money to elicit more naked photographs. She sent him one more photograph in October 2015, but then stopped responding.
Through search warrants for Saucedo’s cell phones, investigators identified an additional eight minor victims whom Saucedo harassed and manipulated. His youngest victim was 13 at the time of the offense. This victim told Saucedo her age and he nonetheless continued to solicit nude photos from her, including pressuring her to take naked photos of herself while she was at school. Saucedo also directed a 14 year-old victim to sodomize herself and to penetrate herself with a hair brush and threatened her when she protested, including ignoring her warning that his requests made her contemplate suicide. Saucedo’s indifference to his victims’ apparent suffering included disregarding multiple victims’ warnings that his contacts and demands were triggering suicidal thoughts.
At the sentencing hearing, the government acknowledged and thanked the family of the 11 year-old victim. Their vigilance and willingness to report Saucedo’s conduct, coupled with the investigative follow-up efforts of the Calgary Policy Service and the Royal Canadian Mounted Police, led Canadian authorities to refer the matter to San Diego’s Electronic Crimes Working Group, which ultimately identified and arrested Saucedo. Only following Saucedo’s arrest did law enforcement learn of his additional nine victims. Victims, family members, and friends are encouraged to report similar threats and contacts to law enforcement now and in the future.
“This case highlights the importance of strong international partnerships to target these heinous crimes,” said U.S. Attorney Adam L. Braverman. “Thank you to our Canadian colleagues, and most especially to the brave victims everywhere who step forward to report abusive conduct. Their courage is a critical part of detecting and stopping similar abuse now and in the future.”
“Saucedo's sentencing is a another great example of our collaboration with our law enforcement partners and our commitment to keeping our children safe,” said David Shaw, Special Agent in Charge for HSI San Diego. “Dangerous child predators should not have the privilege to be a part of our communities without being held accountable and going through the criminal justice process.”
DEFENDANT Case Number: 17-CR-00095-JLS
Joseph Daniel Saucedo Age: 26 Vista, CA
SUMMARY OF CHARGES
Counts One and Two
Attempted Receipt and Receipt of Images of Minors Engaged in Sexually Explicit Conduct, in violation of Title 18, United States Code, Section 2252(a)(2)
Minimum Penalty: 15 years
Maximum Penalty: 40 years
AGENCY
United States Homeland Security Investigations
United States Secret Service
Calgary Police Service
Royal Canadian Mounted Police
Vermont U.S. Attorney Christina Nolan Recognizes National Police WeekRead the Press Release
This year, May 13-19 is National Police Week. During Police Week, our nation celebrates the contributions of police officers from around the country, recognizing their hard work, dedication, loyalty and commitment in protecting our communities. In 1962, Congress enacted a joint resolution, which President John F. Kennedy signed, declaring May 15 as National Peace Officers Memorial Day to honor law enforcement officers killed or disabled in the line of duty. The resolution also created National Police Week as an annual tribute to law enforcement service and sacrifice. According to statistics collected by the FBI, 93 law enforcement officers were killed in line-of-duty incidents in 2017. Additionally, in 2017, there were 46 law enforcement officers killed in line-of-duty incidents as a result of felonious acts. Many will travel to Washington D.C. this week for a candlelight vigil at the National Memorial to honor fallen officers.
The United States Attorney’s Office would like to take the opportunity this week – as we should every day – to recognize the outstanding work of federal, state, local, and county law enforcement officers in Vermont. We are so very fortunate to live in the Green Mountain State. Vermont is an extraordinarily attractive place to reside, and that is due, in no small part, to the tireless efforts of officers at all levels of law enforcement to keep us safe. Quietly and consistently, they put themselves in harm’s way to protect their communities. They make decisions every day to stand on the front lines of our campaigns to combat violence, unlawful firearms activity, drug trafficking, and other dangerous crime. This is a tremendous daily sacrifice – on the part of officers, to be sure – but also on the part of their families and loved ones. We must never take for granted their sacrifices and their heroic work. We are especially gifted in our small state by the consistent collaborative efforts of law enforcement. Federal, state, local, and county officers come together in Vermont every day to promote public safety and common interest. They do not ask what’s in it for them, or who gets the glory; they are focused solely on protecting Vermonters.
We at the U.S. Attorney’s Office are proud of our strong and special relationships with law enforcement at all levels – federal, state, local, and county. We are committed to ensuring that we maintain partnerships with law enforcement officers at every level, and in every corner of the state. The U.S. Attorney’s Office also appreciates our strong partnerships with the Vermont Attorney General’s Office and the State’s Attorneys in each of Vermont’s fourteen counties. We recognize that these relationships are of the utmost importance, and we understand that Vermonters and the police are best served when prosecutors unite in support of law enforcement’s collaborative efforts.
The recent and disturbing spate of violent crime across the state – including homicides, shootings in populous areas, drug-related violence, and armed robberies – brings the heroic work of our law enforcement officers into stark relief. They are not only the first responders to these frightening events and those tasked with apprehending dangerous offenders, they also investigate and solve these serious crimes. The U.S. Attorney’s Office places a premium on supporting law enforcement efforts to combat violent crime in Vermont. We will work tirelessly with our law enforcement partners to bring violent offenders to justice. We have appointed an experienced, talented, and dedicated prosecutor, Assistant U.S. Attorney Wendy Fuller, – a Vermonter who previously served as a Deputy State’s Attorney, – to spearhead the USAO’s antiviolence campaign in Vermont. She is developing a statewide program designed to ensure that the USAO is deploying its resources and appropriately assisting federal, state, local, and county law enforcement in cases involving violence and unlawful firearms activity. Among other things, AUSA Fuller is helping to coordinate law enforcement efforts in violent crime cases; gathering intelligence concerning violent offenders; performing USAO intake in violent crime matters; and interfacing with State’s Attorneys regarding such matters. AUSA Fuller is also crisscrossing the state with an experienced ATF Special Agent, providing trainings to state, local, and county law enforcement officers and State’s Attorneys concerning federal laws relating to firearms and violence. We are committed to ensuring that state, local, and county law enforcement officers are aware of the resources and support that federal prosecutors and agents can provide in such cases.
There is no way to overstate the USAO’s support and gratitude for our law enforcement officers in Vermont. We thank you and your families and loved ones for your dedication and your sacrifice. Your commitment and service keep Vermonters safer every day and help to bring justice to those who would imperil the safety of our innocent citizens. We look forward to continuing to join in common cause to promote public safety. And we join you, during National Police Week and always, in honoring the injured and the fallen amongst your ranks.
Valdosta Man Sentenced for Tax Fraud and Stolen Treasury ChecksRead the Press Release
VALDOSTA: Charles E. Peeler, United States Attorney for the Middle District of Georgia, announces that on May 9, 2018, United States District Court Judge Hugh Lawson sentenced Kendrick Manning, age 42, of Valdosta, GA, to 60 months imprisonment for Conspiracy to Embezzle Public Monies and Possess Stolen U.S. Treasury Checks. Mr. Manning pled guilty to the offense on January 18, 2018.
In entering his pleas, Mr. Manning admitted that in 2011, he obtained identifying information for a number of individuals, including nursing home residents and state prisoners from other unnamed co-conspirators, for the purpose of filing fraudulent income tax returns. From April 2011 to mid-2012, Mr. Manning filed fraudulent tax returns with the IRS using computer-based filing methods. Mr. Manning and co-conspirators would receive the fraudulent tax refunds generated by the tax returns in the form of direct deposit in multiple bank accounts held in the name of different individuals or as debit cards which would be loaded with the tax refund amounts.
102 fraudulent returns for tax year 2010 were filed by Mr. Manning, claiming refunds totaling about $450,000, on which nearly $300,000 in refunds were paid. For tax year 2011, Mr. Manning filed approximately 432 fraudulent returns totaling more than $3.7 million, with $1,185,259 in refund issued.
In 2013, the conspiracy continued with Mr. Manning and co-conspirators presenting stolen and otherwise fraudulently obtained United States Treasury checks, including tax refund checks, through a bank account to convert the checks into cash. Mr. Manning admitted that he had received the Treasury checks knowing them to be fraudulent and stolen. The checks that were presented were mostly tax returns, but some included Thrift Savings Plan payments, Social Security payments, and other types of tax related refunds.
The intended monetary loss attributable to Mr. Manning based on the conspiracy was more than $4.7 million belonging to the United States. As a part of the sentence, more than $2 million has been ordered to be paid in restitution to the United States Department of Treasury, The Citizens Bank in Nashville, Georgia and ABA Insurance Services, Inc.
“It is disheartening that tax fraud and identity theft is so prevalent,” United States Attorney Charles Peeler said. “My office is committed to prosecuting those individuals who defraud others and the United States.”
“The sentencing of Manning is another victory in the Internal Revenue Service’s continued efforts to combat identity theft,” said Thomas J. Holloman, Special Agent in Charge, IRS Criminal Investigation. “Even though the tax filing season is over, taxpayer’s need to remain vigilant in protecting their identifying information as the criminals commit their fraud year round.”
“This case is another example that clearly shows criminals are continuing to steal personal identifying information (PII) for the purpose of committing fraud,” said Clint Bush, Resident Agent in Charge, United States Secret Service. “In this case, United States Citizens were violated by having their PII stolen along with their legitimately issued tax refund checks. Many of these victims were counting on their tax refund to survive. Their tax refund being stolen placed a huge financial burden on their lives causing long lasting consequences. The United States Secret Service, along with our state, local, and federal law enforcement partners will continue to investigate, arrest and support the successful prosecution of the criminals who choose to commit this and other types of financial fraud in our community and around the nation.”
This case was investigated by the Internal Revenue Service – Criminal Investigation and the United States Secret Service. Assistant United States Attorney Robert D. McCullers prosecuted the case for the United States.
Questions concerning this case should be directed to Pamela Lightsey, Public Information Officer, United States Attorney’s Office, at (478) 621-2603.
Union Officer Sentenced for Embezzlement, Aggravated ID TheftRead the Press Release
PROVIDENCE, RI – A former business manager and financial secretary for the Operative Plasterers and Cement Masons International Association Local 40 in Rhode Island was sentenced today to 36 months in federal prison for embezzling $319,795 in union and union benefit funds.
At sentencing, U.S. District Court Chief Judge William E. Smith also ordered Richard D’Antuono, 42, to pay full restitution to the union funds and to serve 3 years supervised release upon completion of his term of incarceration. D’Antuono pleaded guilty on January 18, 2018, to a three-count information charging him with embezzlement from a labor organization, embezzlement from an employee benefit plan, and aggravated identity theft.
The U.S. Sentencing guideline range of imprisonment in this matter is 24-30 months incarceration on the embezzlement charges, plus a consecutive mandatory sentence of 24 months incarceration on the charge of aggravated identity theft. The government recommended a term of imprisonment of 48 months.
D’Antuono’s sentence is announced by United States Attorney Stephen G. Dambruch and Jonathan Russo, District Director, U.S. Department of Labor, Office of Labor-Management Standards, Boston-Buffalo District Office.
At the time of his guilty plea, D’Antuono admitted to the Court that for two years, beginning in 2015, he embezzled $319,795 from a union operational account and from an apprentice fund, an employee benefit plan used to finance training programs for apprentice plasterers and masons and for the retraining or refresher training of journeymen union members.
D’Antuono admitted that he made checks out to himself substantially in excess of his salary and a stipend to which he was entitled. In some instances, he had the authorized signatories sign blank checks, which he later used to embezzle funds from the operational account. In other instances, he forged the signature of the authorized signatories on checks. D’Antuono admitted that he also embezzled funds from the Apprenticeship Fund by writing checks payable to the Local 40 operation account and then embezzling the funds in the same manner.
D’Antuono was the sole full-time officer of the Operative Plasterers and Cement Masons International Association Local 40.
The case was prosecuted by Assistant U.S. Attorney John P. McAdams.
The matter was investigated by U.S. Department of Labor, Office of Labor-Management Standards with the assistance of the Office of Inspector General Office of Investigations - Labor Racketeering & Fraud, and the Employee Benefits Security Administration.
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U.S. Attorney’s Office remembers fallen law enforcement officers during National Police Week 2018Read the Press Release
SHREVEPORT/LAFAYETTE/ALEXANDRIA/LAKE CHARLES/MONROE, La. – Members of the public join with law enforcement across the country for National Police Week – May 13 through May 19 – to honor law enforcement officers who made the ultimate sacrifice, as well as the family members, friends and fellow officers they left behind.
“One officer death is too many,” U.S. Attorney General Jeff Sessions said. “While we are inexpressibly grateful to have had a decrease in the number of officers killed in the line of duty last year, the number is still far too high. At the Department of Justice, we honor the memories of the fallen and we pray for their families. We are also following President Trump's Executive Orders to back the women and men in blue, to enhance law enforcement safety, and to reduce violent crime in America. Those priorities will help keep every American safe, including those who risk their lives for us. As always, we have their backs and they have our thanks.”
“Those fallen officers honored during National Police Week represent the best of us,” said U.S. Attorney David C. Joseph. “They gave their lives so our communities can be safe and secure. Our thoughts, prayers and gratitude go out to their families and friends.”
This year, the names of 93 officers killed in the line of duty in 2017 and some prior years were added to the National Law Enforcement Officers Memorial in Washington, D.C., during the 30th Annual 2018 Candlelight Vigil on the evening of May 13. These names include officers who were killed during 2017 and officers who died in previous years who have not been previously added to the Memorial. The fallen officers of 2017 include two members of the law enforcement community in the Western District of Louisiana:
- Justin Levi Beard, Ouachita Parish Sheriff’s Office, who died April 30, 2017; and
- Michael Paul Middlebrook, Lafayette Police Department, who died October 1, 2017.
To assist local public safety officers in the work that they do, the U.S. Attorney’s Office offers safety and survival training throughout the year. The courses are open to federal, state, local, military and tribal law enforcement officers.
For more information about other National Police Week events, please visit www.policeweek.org. So that people across the country can experience this unique and powerful ceremony, the vigil will be livestreamed beginning at 8 p.m. Eastern time on May 13. To register for this free online event, visit www.LawMemorial.org/webcast.
To access the FBI’s 2017 Law Enforcement Officers Killed and Assaulted report, please visit www.fbi.gov.
U.S. Attorney's Office Recognizes Law Enforcement Service and Sacrifice During National Police WeekRead the Press Release
LAS VEGAS, Nev. – The Nevada U.S. Attorney’s Office recognized the service and sacrifice of federal, state, local, and tribal police officers during National Police Week. During Police Week, which is observed from May 13 to 19, our nation celebrates the contributions of police officers from around the country, recognizing their hard work, dedication, loyalty, and commitment in keeping our communities safe.
“One officer death is too many,” Attorney General Jeff Sessions said. “While we are inexpressibly grateful to have had a decrease in the number of officers killed in the line-of-duty last year, the number is still far too high. At the Department of Justice, we honor the memories of the fallen and we pray for their families. We are also following President Trump's Executive Orders to back the women and men in blue, to enhance law enforcement safety, and to reduce violent crime in America. Those priorities will help keep every American safe, including those who risk their lives for us. As always, we have their backs and they have our thanks.”
“National Police Week is a time to recognize, honor, and thank the noble and brave men and women in blue who serve in Nevada’s law enforcement community,” said U.S. Attorney Dayle Elieson for the District of Nevada. “We honor and remember officers who made the ultimate sacrifice, as well as the family members and friends they left behind. I want to thank every law enforcement officer for their service and sacrifice.”
According to statistics collected by the FBI, 93 law enforcement officers were killed in line-of-duty incidents in 2017 – a 21 percent decrease from 2016 when 118 law enforcement officers were killed in line-of-duty incidents. Additionally, in 2017 there were 46 law enforcement officers killed in line-of-duty incidents as a result of felonious acts – this is a 30 percent decrease from 2016, when 66 law enforcement officer were killed in line-of-duty incidents as a result of felonious acts.
The names of all 93 fallen officers nationwide will be formally dedicated on the National Law Enforcement Officers Memorial in Washington, DC, during the 30th Annual Candlelight Vigil on the evening of May 13, 2018.
Among those to be added this year from Nevada will be:
- Charleston Vernon Hartfield, of the Las Vegas Metropolitan Police Department, was shot and killed while rescuing concert attendees during a mass shooting in Las Vegas. He was killed on October 1, 2017.
- Chad William Parque, of the North Las Vegas Police Department, was injured in a traffic accident while exiting the North Las Vegas Justice Court’s parking lot. He died of his injuries on January 7, 2017.
So that people across the country can experience this unique and powerful ceremony, the vigil will be livestreamed beginning at 8:00 p.m. EDT on May 13th. To register for this free online event, visit www.LawMemorial.org/webcast.
The Candlelight Vigil is one of many commemorative events taking place in the nation’s capital during National Police Week 2018. For more information about other National Police Week events, please visit www.policeweek.org.
In October 1962, Congress passed and President Kennedy signed a joint resolution declaring May 15th as National Peace Officers Memorial Day to honor law enforcement officers killed or disabled in the line-of-duty. The resolution also created National Police Week as an annual tribute to law enforcement service and sacrifice.
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Two Mexican Nationals Charged with Assaulting Border Patrol AgentsRead the Press Release
Kelly Thornton (619) 546-9726
NEWS RELEASE SUMMARY – May 11, 2018
SAN DIEGO – Two Mexican nationals – one armed with a makeshift plastic shiv and another with a 4X4 piece of lumber - were arrested and charged in unrelated assaults on U.S. Border Patrol agents along the border this week.
According to a complaint, in the first incident, on May 9, 2018 at approximately 10:15 a.m., Pedro Damien Gonzalez Iglesias is accused of assaulting Border Patrol Agents Edmund Parra and Ramiro Lizarraga after he illegally entered the United States. Gonzalez Iglesias walked up to the agents, who were working near the San Ysidro port of entry, and tried slashing them with an object that looked like a piece of plastic shaped like a knife. The agents tried using verbal commands numerous times to get the defendant to drop his weapon. The subject got to within arm’s length of the agents before Agent Lizarraga was able to successfully deploy his Oleoresin Capsicum (OC) Spray. The agents took the subject into custody. No injuries were reported.
According to details in another complaint, the second incident occurred on May 10, 2018, at approximately 10:05 a.m. Defendant Carlos Miranda-Alonso is accused of assaulting Border Patrol Agent Raymond Gray during an attempted arrest. The defendant threw punches and elbows and ran away when Agent Gray attempted to place the subject in handcuffs. Miranda-Alonso picked up a 4x4 piece of lumber approximately 3½ feet in length and swung it at Agent Gray. Agent Gray was able to step out of range to avoid being hit. Miranda-Alonso attempted to flee westbound through the Tijuana Estuary. At 10:22 a.m. the defendant was apprehended west of the Tijuana Estuary Visitor center. No injuries reported.
“Assault on federal officers is one of the Department of Justice’s top priorities,” said U.S. Attorney Adam L. Braverman. “Our office is committed to vigorously prosecuting these cases.”
DEFENDANT Case Number 18mj2339
Pedro Damien Gonzalez Iglesias
SUMMARY OF CHARGES
Assault on a Federal Officer, in violation of Title 18, U.S.C., Sec. 1 ll(a)(l )A
Maximum penalty: Six months in prison and a $5,000 fine
DEFENDANT Case Number 18mj2380__
Carlos Miranda-Alonso
SUMMARY OF CHARGES
Assault on a Federal Officer, in violation of Title 18, U.S.C., Sec. 1 ll(a)(l )A
Maximum penalty: Eight years in prison, $250,000 fine
AGENCY
U.S. Border Patrol
*The charges and allegations contained in an indictment or complaint are merely accusations, and the defendants are considered innocent unless and until proven guilty.
Two Joplin detectives Honored for Work on Behalf of Child VictimsRead the Press Release
U.S. Attorney Timothy Garrison (right) and Assistant U.S. Attorney Ami Harshad Miller (left) present the award to Detectives Larry Roller and Charles Root.JOPLIN, Mo. – Timothy A. Garrison, United States Attorney for the Western District of Missouri, presented the annual Crystal Kipper & Ali Kemp Memorial Award today to two detectives in the Joplin, Mo., Police Department in recognition of their valued contributions to investigating and prosecuting those who prey upon children.
Detective Charles Root, Jr., is also an FBI task force officer and supervises a team of 10 task force officers in the Southwest Missouri Cyber Crimes Task Force. Detective Larry Roller, a computer forensic analyst, is also a Homeland Securities Investigation task force officer and a member of the Southwest Missouri Cyber Crimes Task Force.
“For over 24 years, these two individuals have exemplified what true champions for child victims are,” said Garrison, “hardworking, tireless, and relentless in their pursuit to ferret out child predators and pursue justice for child victims. These officers leave no stone unturned in their pursuit to catch child predators. Their dedication and persistence over the years identified and ultimately protected countless child victims. Thanks to their dedication, many dangerous sexual predators have been taken off the streets.”
The Crystal Kipper & Ali Kemp Memorial Award
This is the 14th year for the award to be presented in memory of Crystal Kipper and Ali Kemp, two young women who were both fatal victims of tragic crimes. Crystal Kipper was an 18-year-old Gladstone, Mo., resident who was murdered after her car broke down on Interstate 29, just north of Platte City, on Feb. 24, 1997. Ali Kemp was a 19-year-old Blue Valley North High School graduate who was murdered on June 18, 2002, while she worked at the Foxborough neighborhood swimming pool in Leawood, Kan.
The Crystal Kipper & Ali Kemp Memorial Award is presented by the U.S. Attorney’s Office each year to recognize the outstanding work of an individual or organization in recognition of a valued contribution to preventing and responding to the exploitation of children.
USA v. Perkins
When a mother located a tablet that contained images of the sexual abuse of her 11-year-old daughter, Det. Roller and Det. Root leaped into action. Within hours of receiving multiple devices, Det. Roller began his work of forensically examining each device for evidence. Det. Root met the defendant at the jail and obtained a full confession within a couple of hours. Due to the evidence that Det. Root was able to get from the defendant and the forensic evidence Det. Roller was able to recover from the devices, David Lee Perkins was indicted by a federal grand jury for the aggravated sexual abuse of a minor, sexual exploitation of a minor to produce child pornography, and receipt and distribution of child pornography.
Perkins pleaded guilty to two counts of the federal indictment, admitting that he used the child victim to produce child pornography and that he distributed child pornography. However, facing a 30-year mandatory minimum, Perkins elected to go to trial last January on the remaining count of aggravated sexual abuse. Perkins was convicted of that charge as well, and remains in federal custody pending a sentencing hearing on June 5, 2018.
Det. Root and Det. Roller also pursued leads that led them to multiple other children who had been abused by Perkins. Their excellent work investigating this case led to the discovery of another child predator in North Carolina, Don Blankenship, who was charged and convicted of five counts of indecent liberties with a child under North Carolina state law in Catawba County, North Carolina.
Two Individuals Indicted for CarjackingRead the Press Release
SAN JUAN, P.R. – A federal grand jury returned a four-count indictment against Miguel Ángel Martines-Ramos and Michael Rosa-Rodríguez for carjacking resulting in serious bodily injury, announced United States Attorney Rosa Emilia Rodríguez-Vélez. The Federal Bureau of Investigation is in charge of the investigation.
The indictment alleges that on or about April 14, 2018, in the District of Puerto Rico, Miguel Ángel Martines-Ramos and Michael Rosa-Rodríguez, while carrying, brandishing and discharging a firearm, did take a motor vehicle, to wit: a black 2017 Hyundai Tucson, that had been transported, shipped and received in interstate or foreign commerce, from the presence of an adult male, by force, violence and intimidation, with the intent to cause death or serious bodily injury. During the incident, both defendants traveled with the male victim in his vehicle, shot him three times, and left him for dead.
Both defendants are also charged with possession of a machinegun, a black and grey Glock pistol, Model 23, .40 caliber, one 22-round capacity Glock magazine, and 11 rounds of .40 caliber ammunition. The pistol was modified to shoot automatically more than one shot, without manual reloading, by a single function of the trigger.
“These defendants planned and carried out the carjacking and shooting of a defenseless victim,” said U.S. Attorney Rosa Emilia Rodríguez-Vélez. “Through the hard work of federal and state law enforcement, and our prosecutors, the defendants will be brought to justice.”
The case is being prosecuted by Assistant United States Attorney Daynelle Álvarez-Lora. If convicted, the defendants face up to 25 years of imprisonment for the carjacking charge (Count One), and up to life imprisonment for the firearms charge (Count Two). Indictments contain only charges and are not evidence of guilt. Defendants are presumed to be innocent until and unless proven guilty.
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Two Associates of La Cosa Nostra Sentenced to Prison for Extortion-Related ChargesRead the Press Release
Two associates of the Genovese La Cosa Nostra (LCN) crime family were sentenced today in federal court in Worcester, Massachusetts on extortion-related charges.
Acting Assistant Attorney General John P. Cronan of the Justice Department’s Criminal Division; U.S. Attorney Andrew E. Lelling for the District of Massachusetts; Special Agent in Charge Harold H. Shaw of the FBI’s Boston Field Division; Hampden County District Attorney Anthony Gulluni; and Colonel Kerry A. Gilpin, Superintendent of the Massachusetts State Police, made the announcement.
Richard Valentini, 53, of East Longmeadow, Massachusetts, was sentenced by U.S. District Court Judge Timothy S. Hillman to serve 20 months in prison followed by two years of supervised release. On Dec. 18, 2017, Valentini was convicted by a federal jury of one count of conspiracy to interfere with commerce by threats or violence and one count of aiding in the interference with commerce by threats or violence – aiding.
Francesco Depergola, 61, of West Springfield, Massachusetts, was sentenced by Judge Hillman to serve 38 months in prison followed by two years of supervised release. In December 2017, Depergola pleaded guilty to one count of conspiracy to interfere with commerce by threats or violence and one count of aiding in the interference with commerce by threats or violence – aiding, which were charged by indictment in the District of Massachusetts, and one count of racketeering conspiracy, which was charged by indictment in the Southern District of New York.
In August 2016, Valentini and Depergola were arrested with three of their associates from the New York-based Genovese LCN crime family: Gerald Daniele, Giovanni Calabrese, and Ralph Santaniello.
Based on Depergola’s plea documents and evidence elicited at Valentini’s trial, Valentini, Depergola, and their co-defendants, engaged in various criminal activities in Springfield, Massachusetts, including loansharking and extortion from legitimate and illegitimate businesses, such as illegal gambling businesses and the collection of unlawful debts. The defendants used violence, exploited their relationship with LCN, and implied threats of murder and physical violence to instill fear in their victims.
Further, in 2013, Santaniello, Calabrese, Depergola and Valentini attempted to extort money from a Springfield businessman. Santaniello not only assaulted the businessman, but he and Calabrese threatened to cut off the businessman’s head and bury his body if he did not comply. Over a period of two months, in order to protect himself and his business, the businessman paid $20,000 to Santaniello, Calabrese, Depergola and Valentini.
In addition, based on Depergola’s plea documents, around August 2014, Santaniello and Depergola financed a $30,000 loan that New York-based LCN member Eugene O’Nofrio extended to another individual. O’Nofrio later threatened the individual if he did not make payments on the loans. O’Nofrio was charged in the Southern District of New York, has pleaded guilty, and is awaiting sentencing.
In March 2018, Daniele was sentenced to two years in prison; and in April 2018, Calabrese and Santaniello were sentenced to three years and five years in prison, respectively.
Trial Attorney Marianne Shelvey of the Criminal Division’s Organized Crime and Gang Section and Assistant U.S. Attorneys Kevin O’Regan, Chief of Lelling’s Springfield Branch Office and Katharine Wagner of Lelling’s Springfield Branch Office prosecuted the cases.
Two Associates of La Cosa Nostra Sentenced on Extortion-Related ChargesRead the Press Release
BOSTON – Two associates of the Genovese La Cosa Nostra (LCN) crime family were sentenced today in federal court in Worcester on extortion-related charges.
Richard Valentini, 53, of East Longmeadow, was sentenced by U.S. District Court Judge Timothy S. Hillman to 20 months in prison and two years of supervised release. On Dec. 18, 2017, Valentini was convicted by a federal jury of one count of conspiracy to interfere with commerce by threats or violence and one count of aiding in the interference with commerce by threats or violence.
Francesco Depergola, 61, of West Springfield, was sentenced by Judge Hillman to 38 months in prison and two years of supervised release. In December 2017, Depergola pleaded guilty to one count of conspiracy to interfere with commerce by threats or violence and one count of aiding in the interference with commerce by threats or violence, which were charged by indictment in the District of Massachusetts, and one count of racketeering conspiracy, which was charged by indictment in the Southern District of New York.
In August 2016, Valentini and Depergola were arrested with three of their associates from the New York-based Genovese LCN crime family: Gerald Daniele, Giovanni Calabrese, and Ralph Santaniello.
Valentini, Depergola, and their co-defendants, engaged in various criminal activities in Springfield, Mass., including loansharking and extortion from legitimate and illegitimate businesses, such as illegal gambling businesses, and the collection of unlawful debts. The defendants used violence, exploited their relationship with LCN, and implied threats of murder and physical violence to instill fear in their victims.
In 2013, Santaniello, Calabrese, Depergola and Valentini attempted to extort money from a Springfield businessman. Santaniello not only assaulted the businessman, but he and Calabrese threatened to cut off the business man’s head and bury his body if he did not comply. Over a period of two months, in order to protect himself and his business, the businessman paid $20,000 to Santaniello, Calabrese, Depergola and Valentini.
In addition, around August 2014, Santaniello and Depergola financed a $30,000 loan that New York-based LCN member Eugene O’Nofrio extended to another individual. O’Nofrio later threatened the individual if he did not make payments on the loans. O’Nofrio was charged in the Southern District of New York, has pleaded guilty, and is awaiting sentencing.
In March 2018, Daniele was sentenced to two years in prison; and in April 2018, Calabrese and Santaniello were sentenced to three years and five years in prison, respectively.
United States Attorney Andrew E. Lelling; Acting Assistant Attorney General John P. Cronan of the Justice Department’s Criminal Division; Harold H. Shaw, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; Hampden County District Attorney Anthony Gulluni; and Colonel Kerry A. Gilpin, Superintendent of the Massachusetts State Police, made the announcement. Assistant U.S. Attorney Kevin O’Regan, Chief of Lelling’s Springfield Branch Office; Trial Attorney Marianne Shelvey of the Criminal Division’s Organized Crime and Gang Section; and Assistant U.S. Attorney Katharine Wagner of Lelling’s Springfield Branch Office prosecuted the cases.
Three Charged with Conspiring to Distribute More Than 100 Grams of Carfentanil in the BronxRead the Press Release
Geoffrey S. Berman, the United States Attorney for the Southern District of New York, James J. Hunt, Special Agent in Charge of the U.S. Drug Enforcement Administration’s New York Field Division (“DEA”), Angel M. Melendez, the Special Agent-in-Charge of the New York Field Office of the U.S. Immigration and Customs Enforcement’s Homeland Security Investigations (“HSI”), George P. Beach II, the Superintendent of the New York State Police (“NYSP”), and James P. O’Neill, the Commissioner of the New York City Police Department (“NYPD”), announced the arrests and unsealing of Complaints charging MIGUEL ESCANO, EMANUELLI RIVERA, and PEDRO DISLA ROJAS with conspiring to distribute heroin and more than 100 grams of carfentanil, a controlled substance analogue of fentanyl. ESCANO, RIVERA, and ROJAS were presented yesterday before Magistrate Judge James L. Cott in Manhattan federal court.
U.S. Attorney Geoffrey S. Berman said: “These defendants are alleged to have been engaged in the production and distribution of large quantities of carfentanil. Carfentanil is a potentially lethal drug 100 times more potent than fentanyl. As little as .00002 grams can kill. A substance meant as an elephant tranquilizer should not be hitting the streets as a recreational drug. Thanks to our law enforcement partners for their efforts to stem the tide of lethal opioids.”
DEA Special Agent-In-Charge James J. Hunt said: “This investigation is about more than just arrests and seizures, it is a public health warning. Carfentanil is death, and drug dealers are packaging it for sale on the streets of New York City. Law enforcement is battling the opioid suppliers on the front lines and this drug has the potential to double or triple overdose rates if we don’t get it off the streets quickly and warn users of its extreme danger.”
HSI Special Agent-in-Charge Angel M. Melendez said: “The individuals charged today are alleged to have introduced a drug that is one hundred times more potent than fentanyl to our Bronx neighborhoods. Law enforcement is paying close attention to those who are profiting in this nefarious drug game to ensure that the perpetrators are arrested and face prosecution.”
NYPD Commissioner James P. O’Neill said: “Anyone who continues to peddle this poison on the streets of New York City should be prepared for the full weight of our nation’s best investigators to bear down on them. I commend everyone involved in this case, particularly the members of the New York Drug Enforcement Strike Force, as they have proven again just how effective our law enforcement partnerships really are.”
State Police Superintendent George P. Beach II said: “The work of the New York Drug Enforcement Task Force stopped these dangerous and potentially deadly drugs before they could reach the streets of New York. We have no tolerance for those who allegedly continue to traffic narcotics with no regard to the damage they inflict in our communities, and anyone who does can expect to end up in prison. We will continue to work with our federal and local partners to prevent the flow of these illegal drugs from reaching our neighborhoods.”
According to the allegations in the Complaints[1]:
On three separate occasions between January and March 2018, ESCANO sold an individual acting at the direction of law enforcement a substance containing carfentanil in transactions that involved 50 grams, 70 grams, and 70 grams, respectively. RIVERA assisted with the January 2018 sale. Carfentanil is used as a tranquilizing agent for elephants and other mammals, is 100 times more potent than fentanyl, and can be lethal in doses of as little as 20 micrograms depending on the way it is administered and other factors.
As law enforcement officers prepared to execute a search warrant on a Bronx apartment on May 9, 2018, RIVERA exited the apartment and was arrested. Law enforcement seized approximately 100 grams of suspected narcotics in connection with the arrest of RIVERA, which have not yet been tested because the substance needs to be examined in a laboratory environment in light of the potentially lethal nature of carfentanil. Following the arrest of RIVERA, law enforcement officers searched the apartment and found ROJAS inside. During the search, law enforcement officers seized, among other things, suspected narcotics and materials commonly used in the production and distribution of narcotics, such as respirator masks, grinders, strainers, glassine bags stamped with the names “Sweet Dreams” and “Nasty Boyz,” a wooden press, and a stamp with the words “My Angel.” Law enforcement arrested ROJAS in connection with the search of the apartment.
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RIVERA, 32, of the Bronx, and Rojas, 38, of the Bronx, were each charged with one count of conspiring to distribute carfentanil and heroin, which carries a maximum sentence of life in prison and a mandatory minimum sentence of 10 years.
ESCANO, 30, of the Bronx, was charged with one count of conspiring to distribute carfentanil, which carries a maximum sentence of life in prison and a mandatory minimum sentence of 10 years.
The statutory maximum and minimum sentences are prescribed by Congress and are provided here for information purposes only, as any sentencing of the defendants would be determined by the judge.
Mr. Berman praised the outstanding investigative work of the DEA’s New York Organized Crime Drug Enforcement Strike Force, which comprises agents and officers of the DEA, the New York City Police Department, Immigration and Customs Enforcement – Homeland Security Investigations (HSI), the New York State Police, the Internal Revenue Service Criminal Investigation Division, the Bureau of Alcohol, Tobacco, Firearms and Explosives, the U.S. Secret Service, the U.S. Marshals Service, New York National Guard, the Clarkstown Police Department, U.S. Coast Guard, Port Washington Police Department, and New York State Department of Corrections and Community Supervision.
This case is being handled by the Office’s Narcotics Unit. Assistant United States Attorneys Michael D. Longyear and Nicolas Roos are in charge of the prosecution.
The charges contained in the Complaints are merely accusations and the defendants are presumed innocent unless and until proven guilty.
[1] As the introductory phrase signifies, the entirety of the text of the Complaints and the description of the Complaints set forth herein constitute only allegations, and every fact described should be treated as an allegation.
The Justice Department and USCIS Formalize Partnership to Protect U.S. Workers from Discrimination and Combat FraudRead the Press Release
The Department of Justice and U.S. Citizenship and Immigration Services (USCIS) today announced a Memorandum of Understanding (MOU) that expands their collaboration to better detect and eliminate fraud, abuse, and discrimination by employers bringing foreign visa workers to the United States. This new effort improves the way the agencies share information, collaborate on cases, and train each other’s investigators.
The MOU will increase the ability of the agencies to share information and help identify, investigate, and prosecute employers who may be discriminating against U.S. workers and/or violating immigration laws. In 2010, USCIS and the Justice Department’s Civil Rights Division entered into an ongoing partnership to share information about E-Verify misuse and combat employment discrimination, and today’s MOU expands upon the two agencies’ existing partnership.
In 2017, the Civil Rights Division launched the Protecting U.S. Workers Initiative, which is aimed at targeting, investigating, and taking enforcement actions against companies that discriminate against U.S. workers in favor of foreign visa workers. Under this Initiative, the Civil Rights Division has opened dozens of investigations, filed one lawsuit, and reached settlement agreements with two employers. Since the Initiative’s inception, employers have agreed to pay or have distributed over $200,000 in back pay to affected U.S. workers. The Division has also increased its collaboration with other federal agencies to combat discrimination and abuse by employers using foreign visa workers.
USCIS administers the nation’s immigration system and adjudicates requests for immigration benefits, including employment-based petitions. To advance the goals of the Buy American and Hire American Executive Order and promote the economic interests of U.S. workers, USCIS is taking concrete steps to ensure the integrity of the employment-based immigration programs and improve its ability to detect and prevent fraud. Among other things, USCIS has created dedicated tip lines for reporting H-1B and H-2B visa fraud and abuse and expanded its site visit programs. USCIS has also worked with other government agencies that have a role in immigration, such as DOJ, to ensure that they efficiently share and appropriately act upon information regarding potential fraud and abuse of immigration programs. For more information, visit the USCIS Buy American and Hire American page.
“In the spirit of President Trump’s Executive Order on Buy American and Hire American, today’s partnership adds to the Civil Rights Division’s tools to stop employers from discriminating against U.S. workers by favoring foreign visa workers,” said Acting Assistant Attorney General John Gore of the Civil Rights Division. “The Division looks forward to expanding its partnerships with USCIS to hold accountable employers that discriminate against U.S. workers based on their citizenship status.”
“Protecting and maintaining the integrity of our immigration system remains a key priority for me, and underpins the exceptional work of the professionals at USCIS,” said USCIS Director L. Francis Cissna. “This agreement enhances the level of coordination among investigators who often work on the same issues at different agencies. Breaking down silos and working with our federal partners to combat employment discrimination will help ensure that U.S. workers have the advocate they need at the highest level.”
The Civil Rights Division’s Immigrant and Employee Rights Section (IER) is responsible for enforcing the anti-discrimination provision of the Immigration and Nationality Act. Among other things, the statute prohibits citizenship status and national origin discrimination in hiring, firing, or recruitment or referral for a fee; unfair documentary practices; retaliation and intimidation. An employer that prefers to hire temporary foreign visa workers over available, qualified U.S. workers may be discriminating in violation of this law.
For more information about protections against employment discrimination under immigration laws, call IER’s worker hotline at 1-800-255-7688 (1-800-237-2515, TTY for hearing impaired); call IER’s employer hotline at 1-800-255-8155 (1-800-237-2515, TTY for hearing impaired); sign up for a free webinar; email [email protected](link sends e-mail); or visit IER’s English and Spanish websites. Applicants or employees who believe they were subjected to retaliation; different documentary requirements based on their citizenship, immigration status or national origin; or discrimination based on their citizenship, immigration status, or national origin in hiring, firing, or recruitment or referral for a fee, should contact IER’s worker hotline for assistance.
For more information on USCIS and its programs, please visit uscis.gov or follow us on Twitter (@uscis), Instagram (/uscis), YouTube (/uscis), and Facebook(/uscis).
Statement of U.S. Attorney Geoffrey S. Berman on the Conviction of Former State Assembly Speaker Sheldon SilverRead the Press Release
Sheldon Silver, the former New York State Assembly Speaker, took an oath to act in the best interests of the people of New York State. As a unanimous jury found, he sold his public office for private greed.
I commend the career prosecutors of our Office’s Public Corruption Unit, whose determination in securing this important conviction fittingly underscores the importance of pursuing cases against corrupt politicians, no matter the difficulty. One of the most worthy endeavors of this Office is combatting public corruption. We will continue to do so with the independence and resolve the Southern District is known for and the citizens of New York so rightly deserve.