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27 April 2018
Former Brevard County Pastor Sentenced to Seven Years for Receiving Child PornographyRead the Press Release
Orlando, Florida – U.S. District Judge Carlos E. Mendoza has sentenced Daniel Dale Barton, Sr. (57, Brevard County) to seven years in federal prison for receipt of child pornography. The court also ordered him to serve a 10-year term of supervised release and to forfeit a laptop computer, which was used in committing the offense. Barton pleaded guilty on February 7, 2018.
According to court documents, on March 2, 2017, an FBI Task Force Agent identified an Internet Protocol (IP) address that was being used to distribute images of child pornography. The agent downloaded child pornography images directly from the suspect’s computer and traced the IP address to a church located in Brevard County, Florida. On April 24, 2017, the agent executed a search warrant at the church, where she encountered Barton. Barton stated that he worked as a pastor for the church. He also admitted that he had used the church’s internet and his personal computer to search for and view child pornography.
Specifically, Barton used peer-to-peer software to download images of child pornography and masturbated to those images. Barton stated that he had been viewing child pornography since he was a kid, felt guilty about viewing these images, and indicated that he had recently deleted them. A forensic analysis of Barton’s laptop computer revealed over 2,000 images of prepubescent girls engaged in the lascivious exhibition of genitals, which Barton had deleted from his computer.
This case was investigated by the FBI and the Brevard County Sheriff’s Office. It was prosecuted by Assistant United States Attorney Ilianys Rivera Miranda.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Florida man charged with traveling across state lines for sex with minorRead the Press Release
Liam Heim, 22, of St. Petersburg, Florida, was charged today by indictment with traveling in interstate commerce to engage in illicit sexual conduct with a minor, and transportation of a minor in interstate commerce with intent to engage in unlawful sexual activity, announced United States Attorney William M. McSwain. The indictment alleges that Heim committed each offense on March 29, 2018.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
If convicted as charged, the defendant faces a maximum possible sentence of 1ife imprisonment, a mandatory minimum term of ten years’ imprisonment, supervised release for a minimum term of five years and a lifetime maximum term, a $500,000 dollar fine, mandatory restitution, and a maximum $10,200 special assessment.
The case was investigated by Homeland Security Investigations, the Philadelphia Police Department, Philadelphia Airport Police, the Camden County Prosecutor’s Office, and Collingswood Police Department. The case is being prosecuted by Assistant United States Attorney Seth Schlessinger.
An Indictment, Information or Criminal Complaint is an accusation. A defendant is presumed innocent unless and until proven guilty.
Felon in Possession of Firearm Receives over 3 Years in PrisonRead the Press Release
A man who led Cedar County area police on a ten-minute pursuit was sentenced on April 26, 2018, to more than 3 years in federal prison for possessing a gun that was found in the car after the police chase.
Butchie Poole, age 38, from Waverly, Iowa, received the prison term after a December 1, 2017, guilty plea to possession of a firearm by a felon.
At the guilty plea, Poole admitted that he possessed the firearm despite being a convicted felon. At sentencing, the judge stated that it had viewed dash camera footage showing Poole fleeing from officers. The judge noted that Poole was driving in excess of the speed limit, appeared to be under the influence of some substance, and that the pursuit ended only after officers had to physically force Poole’s car off the road. After the pursuit ended, Poole got out of his car but was noncompliant as he was arrested at gunpoint. The gun was found inside the car after Poole was arrested.
Poole was sentenced in Cedar Rapids by Chief United States District Court Judge Leonard T. Strand. Poole was sentenced to 37 months’ imprisonment. He must also serve a two-year term of supervised release after the prison term. There is no parole in the federal system.
This case was brought as part of Project Safe Neighborhoods (PSN), a program that has been historically successful in bringing together all levels of law enforcement to reduce violent crime and make our neighborhoods safer for everyone. Attorney General Jeff Sessions has made turning the tide of rising violent crime in America a top priority. In October 2017, as part of a series of actions to address this crime trend, Attorney General Sessions announced the reinvigoration of PSN and directed all U.S. Attorney’s Offices to develop a district crime reduction strategy that incorporates the lessons learned since PSN launched in 2001.
Poole is being held in the United States Marshal’s custody until he can be transported to a federal prison.
The case was prosecuted by Assistant United States Attorney Justin Lightfoot and investigated by the Cedar County Sheriff’s Office, the Tipton Police Department, and the Mechanicsville Police Department.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 17-CR-77.
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Federal Prisoner Sentenced for Contraband in Pottawattamie County JailRead the Press Release
COUNCIL BLUFFS, Iowa – On April 25, 2018, Ivan Antonio Cervantes, age 32, was sentenced by United States District Court Senior Judge James E. Gritzner for possession of contraband by a federal prisoner, announced United States Attorney Marc Krickbaum. Cervantes was ordered to serve 18 months in prison and two years of supervised release to follow his prison term. This sentence is to be served consecutively to a prior 70 month sentence for a felony drug offense prosecuted by the United States Attorney’s Office for the Southern District of Iowa.
Cervantes and others distributed a synthetic cannabinoid while incarcerated at the Pottawattamie County Jail. On May 17, 2017, jail staff seized a substance from Cervantes’ cell with the use of a drug-detecting dog. Lab reports confirmed the substance found hidden in Cervantes’ cell tested positive for a synthetic cannabinoid. Further investigation revealed another individual brought the substance to the jail, then distributed the substance to other inmates.
This case was investigated by Iowa Division of Narcotics Enforcement. The case was prosecuted by the United States Attorney’s Office for the Southern District of Iowa.
Farmington Manufacturer Pleads Guilty to Violating Federal Firearms LawsRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, and Kenneth Kwak, Acting Special Agent in Charge of the ATF Boston Field Division, announced that SAAR Corporation, a firearms manufacturer in Farmington, and two of its principals pleaded guilty today in Hartford federal court to violating federal firearms laws.
According to court documents and statements made in court, on November 2, 2015, ATF Industry Operations Investigators performed a firearms compliance inspection of SAAR Corporation, located at 81 Spring Lane in Farmington. SAAR Corporation manufactured firearms frames and receivers for other federal firearm licensees who built the frames and receivers obtained from SAAR into fully functioning firearms by adding other components, such as a barrel and trigger. The frame or receiver of a firearm is the part of the firearm that provides housing for the hammer, bolt, or breechblock, and the firing mechanism. Although a stand-alone frame or receiver cannot fire a round, it is deemed a firearm under federal firearm laws.
The investigation revealed that SAAR Corporation did not maintain proper Acquisition & Disposition (A&D) records for more than 40,000 frames and receivers it manufactured.
Despite the lack of A&D records, the ATF inspection team, with assistance from SAAR Corporation, was eventually able to account for, and ascertain the transfer location of, all of the frames and receivers.
In addition, the National Firearms Act (“NFA”) provides that it is unlawful for any person or entity to possess any NFA-regulated firearm, such as a machine gun, that is not registered to that person or entity. Investigators determined that SAAR Corporation had manufactured, and was knowingly in possession of, three machine guns that were not registered to it in the National Firearms Registration and Transfer Record (NFRTR) maintained by ATF. SAAR Corporation failed to register the machine guns in the NFRTR, and failed to maintain records required by the Gun Control Act reflecting SAAR Corporation’s manufacture of these firearms. The machine guns were turned over to ATF.
“It is vitally important that all firearm manufacturers comply with federal firearms laws and maintain proper records throughout the production and distribution process,” said U.S. Attorney Durham. “These laws exist so that all legal firearms are recorded and can be traced after they are manufactured. Fortunately, thanks to the diligence of ATF investigators, all of the firearm frames and receivers involved in this case are now accounted for. This case clearly demonstrates that gun manufacturers who violate federal laws will face license revocation and criminal prosecution.”
“When firearms licensees fail to comply with these federal regulations and laws, they open the door for firearms to wind up on the street in the hands of traffickers and criminals, said ATF Acting Special Agent in Charge Kwak. “Today’s guilty pleas and the license revocations demonstrate our commitment to hold firearms licensees accountable when they place public safety at risk.”
SAAR Corporation, and its owners, Mariusz Saar 61, of Avon, and Luke Saar, 36, of Farmington, each pleaded guilty to a misdemeanor charge of failing to maintain firearms records. Under the terms of binding plea agreements, if accepted by the court, the parties have agreed that sentences of probation and fines totaling $150,000 is appropriate in this case. The defendants are scheduled to be sentenced by U.S. Magistrate Judge Robert A. Richardson on July 27, 2018.
SAAR Corporation’s federal license to manufacture firearms has been revoked, and the company has agreed that it will not reapply at any time in the future for a federal firearms manufacturing license. In addition, Mariusz Saar and Luke Saar agree that they will not challenge SAAR Corporation’s revocation in any administrative or civil proceeding, and that they cannot be a “responsible person” on the license of any federal firearms licensee (FFL) in the future.
This matter is being prosecuted by Assistant U.S. Attorney Patricia Stolfi Collins.
Four Additional Chinese Nationals and Six Additional U.s. Residents Indicted in North Dakota in International Drug and Money Laundering Conspiracy Involving OpioidsRead the Press Release
NOTE: The relevant case documents can be found here: Pinto Indictment, Zhang Superseding Indictment, U.S. Treasury Press Release, and Zhang Chart.
Total of 28 Charged With Conspiracy to Distribute Fetanyl and Other Lethal Drugs Resulting in Deaths and Injury
WASHINGTON – Na Chu, 37; Yeyou Chu, 36; Cuiying Liu, 62; and Keping Zhang, 62, all Chinese nationals, were charged by a superseding indictment returned on Jan. 18, with international money laundering conspiracy, Attorney General Jeff Sessions, U.S. Attorney Christopher C. Myers for the District of North Dakota and Acting Assistant Attorney General John P. Cronan of the Justice Department’s Criminal Division announced today.
The charges come as part of “Operation Denial,” an Organized Crime and Drug Enforcement Task Force (OCDETF) investigation into the international trafficking of fentanyl and other lethal drugs, and was significantly aided by the national and international coordination led by the multi-agency Special Operations Division (S.O.D.) near Washington D.C. as part of “Operation Deadly Merchant.” The investigation started in North Dakota on Jan. 3, 2015, with the overdose death in Grand Forks of 18-year-old Bailey Henke.
“Fentanyl and its analogues killed more Americans than any other drug in 2016, and the vast majority of it comes from China,” said Attorney General Sessions. “The defendants in this case allegedly trafficked fentanyl from China to 11 states from coast to coast. As a result, Americans died in at least three states. I want to thank the U.S. Attorney’s Offices in North Dakota and Oregon, the Criminal Division’s Narcotic and Dangerous Drug Section, DEA, HSI, the North Dakota Bureau of Criminal Investigations, the Royal Canadian Mounted Police, and dozens more law enforcement officers across the United States and Canada who helped make these indictments possible. Today’s indictments are a step toward dismantling an alleged international fentanyl trafficking operation and eventually ending this nation’s unprecedented drug crisis.”
Additional defendants previously charged in this superseding indictment with drug trafficking conspiracy include Jian Zhang, aka Hong Kong Zaron, 39, of China; Jason Joey Berry, aka Daniel Desnoyers, 35, of Quebec, Canada; Anthony Santos Gomes, aka Ant, 33, of Davie, Florida; Elizabeth Ton, aka Lisa Gomes, 26, of Davie, Florida; Xuan Cahn Nguyen, aka Jackie and Jackie Chan 38, of Quebec Canada; Marie Um, aka Angry Bird, 37, of Quebec, Canada; Vannek Um, 40, of Quebec, Canada; and Linda Van, 25, of Quebec, Canada.
In a separate indictment returned on March 22, Steven Barros Pinto, aka Yeaboy, 36, of Pawtucket, Rhode Island, was charged with conspiracy to possess with intent to distribute and distribute controlled substances and controlled substance analogues resulting in serious bodily injury and death, conspiracy to import controlled substances and controlled substance analogues into the United States resulting in serious bodily injury and death, continuing criminal enterprise, and a forfeiture allegation.
Additional defendants charged in this indictment with drug trafficking conspiracy include: Louis Felix Bell, 30, of West Palm Beach, Florida; Amanda Renee Schneider, 27, of West Palm Beach; Danny Silva Gamboa, 21, of Pawtucket, Rhode Island; Robinson Andres Gomez, aka Rob, 25, of Pineville, North Carolina; and Keveen Odair Nobre, aka Young Money, 28, of Pawtucket.
Additional defendants charged in Federal court as a result of this investigation include:
District of North Dakota
- Daniel Vivas Ceron, 37, of Colombia – awaiting trial currently set for Sept. 11;
- Jameson Robert Sele, 23, Grand Forks, North Dakota, pleaded guilty to conspiracy to distribute controlled substances and was sentenced on July 27, 2015 to 36 months in prison;
- Ryan Jon Jensen, 23, of Grand Forks, pleaded guilty on Feb. 27, 2015 to conspiracy to distribute controlled substances resulting in serious bodily injury and death, two counts of distribution of a controlled substance resulting in death, distribution of a controlled substance resulting in serious bodily injury and money laundering conspiracy. He was sentenced on Feb. 2, 2016 to serve 20 years in prison;
- David Todd Noye Jr., 21, of Grand Forks, pleaded guilty on May 4, 2015 to conspiracy to distribute controlled substances and was sentenced on Jan. 25, 2016 to three years and three months in prison;
- Joshua Tyler Fulp, 23, of Grand Forks, pleaded guilty on June 23, 2015 to conspiracy to distribute controlled substances resulting in serious bodily injury and death and was sentenced to 12 years in prison;
- Kain Daniel Schwandt, 21, of Grand Forks, pleaded guilty on July 24, 2015 to conspiracy to distribute controlled substances and was sentenced on Jan. 25, 2016 to three years and six months in prison;
- Brandon Corde Hubbard, 43, of Portland, Oregon was indicted on charges of conspiracy to distribute controlled substances resulting in serious bodily injury and death, distribution of a controlled substance resulting in death and money laundering conspiracy and was sentenced on July 13, 2016 to life in prison;
- Ronnie Lee Helms, 33, of Acworth, Georgia pleaded guilty on March 1, 2017 to conspiracy to possess with intent to distribute and distribution of a controlled substance and controlled substance analogues resulting in serious bodily injury and death. Sentencing is set for Oct. 1; and
- Braden James Foley, 31, of Olympia, Washington pleaded guilty on Aug. 11, 2016 to conspiracy to possess with intent to distribute and distribution of a controlled substance and was sentenced on Nov. 21, 2016 to 30 months in prison.
District of Oregon
Channing Lacey, 30, of Portland, Oregon, pleaded guilty on March 28, 2017 to one count of distribution of a controlled substance resulting in serious bodily injury to three individuals and one count of distribution of a controlled substance resulting in death and was sentenced to 135 months in prison;
- Carissa Marie Laprall, 26, of Portland, pleaded guilty on March 28, 2017 to three counts of distribution of a controlled substance resulting in serious bodily injury. Sentencing is set for Jan. 14, 2019; and
- Steven Fairbanks Locke, 42, of Portland, pleaded guilty on June 14, 2017 to use of a communication facility to facilitate a drug offense. Sentencing is set for Oct. 29.
These cases are being investigated by U.S. Immigration and Customs Enforcement’s Homeland Security Investigations; U.S. Drug Enforcement Administration; U.S. Postal Inspection Service; Grand Forks Narcotics Task Force; Royal Canadian Mounted Police; Portland, Oregon, Police Bureau – Drugs and Vice Division; Portland HIDTA Interdiction Task Force; Oregon State Police and the Grand Forks Police Department. The principal mission of the OCDETF program is to identify, disrupt, and dismantle the most serious drug trafficking organizations and those primarily responsible for the nation’s illegal drug supply.
U.S. Attorney Christopher C. Myers, Assistant U.S. Attorney Scott Kerin for the District of Oregon and Trial Attorney Adrienne Rose of the Criminal Division’s Narcotic & Dangerous Drug Section are prosecuting the cases.
An indictment is merely an accusation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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Executives of Iranian Auto Parts Manufacturer Arrested and Indicted for Violating Iranian Sanctions StatuteRead the Press Release
SAN FRANCISCO - Sadr Emad-Vaez, Pouran Aazad, and Hassan Ali Moshir-Fatemi made their initial appearances in district court today after being indicted on April 19, 2018, for violating export control laws under the International Emergency Economic Powers Act (IEEPA), announced Acting United States Attorney Alex G. Tse; Assistant Attorney General for National Security John C. Demers; Department of Commerce, Special Agent in Charge Joseph P. Whitehead; Department of Homeland Security, Special Agent in Charge Ryan L. Spradlin; and Internal Revenue Service, Criminal Investigation, Special Agent in Charge Michael T. Batdorf.
The defendants were charged in a three-count indictment with the following crimes: conspiracy to violate the IEEPA, in violation of 50 U.S.C. §§ 1701-1705; a substantive violation of the IEEPA, 50 U.S.C. § 1705; and smuggling, in violation of 18 U.S.C. §§ 554(a) and 2. The indictment alleges the defendants engaged in transactions involving the illegal export of goods and services to Iran and financial transactions designed to evade the Iranian Transactions Sanctions Regulations (ITSR). Under the IEEPA and the ITSR, it is illegal for a United States citizen to, among other things, export, reexport, sell, or supply, directly or indirectly, any goods, technology, or services to Iran or the government of Iran, without a license granted by the Department of Treasury, Office of Foreign Asset Control, or to engage in financial transactions supporting such activities.
According to the indictment, the defendants, all naturalized U.S. citizens who lived variously in Tehran and the Northern District of California, participated in the operation of the Ghare Sabz Company, aka GHS Technology, a large manufacturing corporation in Tehran, Iran. Emad-Vaez allegedly has described himself as the “Managing Director,” Aazad as the “Chief Financial Officer,” and Moshir-Fatemi as the “Engineering Manager” of the corporation. The defendants are alleged to have acquired and engaged in attempts to acquire components from manufacturers all over the world (including the U.S.), in order to funnel them to GHS in Tehran. They also allegedly used elaborate systems of international wire transfers—including through prohibited financial institutions—to fund the effort.
Defendants Emad-Vaez and Aazad were arrested at their residence in Los Altos Hills on April 7, 2018, and were brought before Magistrate Judge Elizabeth D. Laporte for their initial appearance on April 9, 2018. Defendant Moshir-Fatemi was arrested near San Francisco Airport on April 11, 2018, and similarly was brought before Magistrate Laporte. All three defendants have been released on secured bonds. The defendants’ next scheduled appearance is at 10:00 a.m. on July 11, 2018, before the Honorable Charles R. Breyer, U.S. District Judge.
The indictment merely alleges that crimes have been committed, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt. If convicted of violating the IEEPA, the defendants face a maximum sentence of 20 years in prison, and a fine of $1,000,000. If convicted of smuggling, the defendants face a maximum penalty of 10 years in prison and a $250.000 fine. However, any sentence following conviction would be imposed by the Court after consideration of the U.S. Sentencing Guidelines and the federal statute governing the imposition of a sentence, 18 U.S.C. § 3553.
The case is being prosecuted by Assistant United States Attorney Philip J. Kearney and and the Counter Espionage Section of the National Security Division of the U.S. Department of Justice. The charges are the result of an investigation by agents of the Department of Commerce, Department of Homeland Security, and Internal Revenue Service, Criminal Investigation.
Essex Man Pleads Guilty to Child Pornography ChargesRead the Press Release
FOR IMMEDIATE RELEASE Contact ELIZABETH MORSE
www.justice.gov/usao/md at (410) 209-4885
Greenbelt, Maryland – On April 25, 2018, Roy David Evans, Jr., age 33, of Essex, Maryland, pleaded guilty to possession of child pornography, receipt of child pornography, and sexual exploitation of a minor to produce child pornography.
The plea was announced by United States Attorney for the District of Maryland Robert K. Hur; Special Agent in Charge Andre R. Watson of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI); and Chief J. Thomas Manger of the Montgomery County Police Department.
According to the plea agreement, Evans posted advertisements on Craigslist for young girls to contact him via email or via Kik, a messaging application where users can text, livecam, and send digital images and videos to one another. Evans enticed and coerced the 14 year-old victim to engage in sexually explicit conduct in order to produce images of that conduct. Evans then received videos of the victim engaged in sexually explicitly conduct via the Internet.
Evans faces a mandatory minimum of 15 years and a maximum of 30 years in prison for production of child pornography; a mandatory minimum of five years and a maximum of 20 years in prison for receipt of child pornography; and a maximum of 10 years in prison for possession of child pornography. For each count, Evans faces up to lifetime supervised release following his imprisonment.
A sentencing hearing has been set for October 1, 2018 at the U.S. District Court in Greenbelt.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc. For more information about Internet safety education, please visit www.justice.gov/psc and click on the "resources" tab on the left of the page.
United States Attorney Robert K. Hur commended HSI Baltimore, and the Montgomery County Police Department for their work in the investigation. Mr. Hur thanked Assistant U.S. Attorneys Kelly O'Connell Hayes and Timothy Hagan, who are prosecuting the federal case.
District Man Found Guilty of Trafficking in Kilograms of Heroin Laced with Fentanyl and Possessing a Firearm and AmmunitionRead the Press Release
WASHINGTON – Keith Young, 46, of Washington, D.C., was found guilty by a jury today of federal drug trafficking and firearms offenses, after a search by law enforcement last year recovered from his residence more than two kilograms of heroin laced with fentanyl, a loaded firearm, 170 rounds of ammunition, and multiple extended magazines.
The announcement was made by U.S. Attorney Jessie K. Liu, Thomas L. Chittum III, Special Agent in Charge of the Washington Field Division of the U.S. Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), and Peter Newsham, Chief of the Metropolitan Police Department (MPD).
Young was found guilty of one count of possession with the intent to distribute one kilogram or more of heroin and one count of possession of a firearm and ammunition by a person previously convicted of a crime punishable by in excess of 12 months in prison. The verdict followed a trial in the U.S. District Court for the District of Columbia. The Honorable Ketanji Brown Jackson scheduled sentencing for July 12, 2018. As a result of a prior felony drug trafficking conviction, Young faces a mandatory minimum of 20 years of incarceration at sentencing and up to life imprisonment.
According to the government’s evidence, on April 25, 2017, the ATF executed a search warrant in the 500 block of Newcomb Street SE, and was assisted by agents and officers of MPD’s Narcotics and Special Investigations Unit, the FBI’s Safe Streets Task Force, and the Uniformed Division of the U.S. Secret Service.
Young was present at the residence when the search was executed. In Young’s bed, agents located a loaded .45-caliber semi-automatic firearm with an extended magazine under a pillow. Throughout the residence, law enforcement recovered 170 rounds of ammunition in four calibers, and five ammunition magazines, including multiple extended magazines. In the living room, law enforcement found two large plastic bins that were filled with drug manufacturing paraphernalia, such as, sifters, blenders, digital scales, playing cards, cutting agents, masks, gloves, and various sized storage bags. Additionally, hidden inside a section of the basement ceiling, law enforcement found a blue box and black bag. When agents opened the box and bag, they found in excess of two kilograms of heroin, valued at approximately $180,000. The Secret Service examined evidence for fingerprints and suspected DNA. The U.S. Drug Enforcement Administration (DEA) later confirmed that the heroin contained fentanyl.
Young previously was convicted in 1994 of possession with the intent to distribute cocaine (crack) in Prince George’s County, Md.
In announcing the verdict, U.S. Attorney Liu, Special Agent in Charge Chittum, and Chief Newsham commended the work and collaboration of those who investigated the case from the ATF and MPD. They also expressed appreciation for the assistance provided by the FBI’s Washington Field Office, the U.S. Secret Service, and the DEA.
They acknowledged the efforts of those who worked on the case from the U.S. Attorney’s Office, including Paralegal Specialist Jeannette Litz, Assistant U.S. Attorney Diane Lucas, who assisted with forfeiture issues, and Assistant U.S. Attorney Laura Crane, who assisted with the investigation. Finally, they commended the work of Assistant U.S. Attorneys Christopher Macchiaroli and David Misler of the Violent Crime and Narcotics Section, who tried the case.
Disbarred Somerset Attorney Sentenced for Fraud and Witness TamperingRead the Press Release
BOSTON – A disbarred Somerset attorney was sentenced yesterday in federal court in Boston for a scheme to defraud an acquaintance of $60,000 and for witness tampering based on his efforts to influence the victim’s testimony at trial.
John Silvia, 68, was sentenced by U.S. District Court Judge George A. O’Toole Jr. to 57 months in prison, two years of supervised release and ordered to pay restitution of $310,000 and forfeiture. In February 2016, Silvia was convicted by a federal jury of eight counts of securities fraud. The following year, Silvia was convicted in a second jury trial of two counts of wire fraud, five counts of mail fraud, one count of structuring cash transactions and one count of witness tampering.
In March 2014, Silvia was indicted on fraud charges, and convicted in February 2016 for purporting to sell ownership interests in Advanced Space Monitor (ASM), when, in reality, he did not have the right to do so. Silvia created and used a fake “Subscription Agreement” that purportedly gave him the right to receive and sell shares in ASM. He also cut and pasted the signature of ASM’s founder on the document claiming to give Silvia ownership interest in the company. Silvia defrauded multiple investors out of more than $300,000 based on false representations about his ability to sell the shares. Many of the victims were Silvia’s friends and family members.
One victim was a nurse caring for his wife, whom Silvia convinced to invest $60,000 in a real estate venture and an alleged “performance bond.” In reality, however, Silvia used the money for personal expenses, including to pay for his portion of Red Sox season tickets and an interest in a Marriott timeshare. Long after the money was gone, Silvia lulled his victim into believing that the money had been used as promised and that the investment, along with interest, would be returned.
In the months leading up to his first trial, when it was clear that Silvia’s victim was preparing to testify against him, Silvia pulled together more than $70,000, which he deposited in small increments—some on the same day—into six different bank accounts. He then prepared a series of checks and attempted to pay back his victim the full $60,000 “plus interest.” As the jury in Silvia’s 2017 trial concluded, Silvia intentionally “structured” the cash deposits in this way to avoid mandatory bank reporting requirements and detection. Furthermore, Silvia’s belated attempt to repay the victim—years after the initial investment and within a few months of his anticipated testimony—was really an attempt to influence the victim’s testimony.
Silvia, who was licensed to practice law in Massachusetts in 1975, has been disbarred since 2003.
United States Attorney Andrew E. Lelling and Harold H. Shaw, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division, made the announcement today. The Massachusetts Securities Division referred the case to the U.S. Attorney’s Office and cooperated with the criminal investigation. The case was prosecuted by Assistant U.S. Attorney Neil Gallagher of Lelling’s Economic Crimes Unit.
Dentist Sentenced to Prison for $783K Fraud SchemeRead the Press Release
RICHMOND, Va. – A Mechanicsville dentist was sentenced today to 30 months in prison for defrauding Medicaid and four dental insurers of approximately $783,000.
According to court documents, Maryam E. Zarei, 47, of Glen Allen, was the owner and operator of Atlee Station Family Dentistry located in Mechanicsville. As such, Zarei controlled the submission of claims to insurance companies for reimbursement. From 2013 to 2016, Zarei admitted to defrauding Medicaid, Delta Dental, AETNA, Met Life, and U.S. Healthcare of $783,680.
Zarei’s fraud scheme involved three parts: 1) She fraudulently billed Medicaid and the insurers for services never rendered, such as for a variety of services when Zarei was out of the country; 2) She billed insurers for services rendered using inappropriate billing codes that resulted in higher bills than were justified by the actual service; 3) She billed insurers for services performed after the termination of the patients’ insurance coverage and then backdated the claims documents to make it appear that the services occurred when the insurance policies were in effect.
Tracy Doherty-McCormick, Acting U.S. Attorney for the Eastern District of Virginia, Virginia Attorney General Mark R. Herring, and Adam S. Lee, Special Agent in Charge of the FBI’s Richmond Field Office, made the announcement after sentencing by U.S. District Judge Henry E. Hudson. Assistant U.S. Attorney David T. Maguire and Special Assistant U.S. Attorney David W. Tooker prosecuted the case.
A copy of this press release may be found on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information may be found on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 3:17-cr-157.
Dayton Man Sentenced to 192 Months for Drug and Weapons OffensesRead the Press Release
LEXINGTON, Ky. – Bryan Kenneth McCloud, 35, formerly of Dayton, Ohio, was sentenced today to 192 months in federal prison, by United States District Judge David L. Bunning, for drug distribution and weapons offenses.
McCloud pled guilty in October 2017 and admitted that he possessed approximately 20 grams of crystal methamphetamine, with the intent to sell it. McCloud also admitted that he possessed two firearms, including an AK-47 rifle, in furtherance of his drug trafficking. McCloud was arrested in Newport, Kentucky, at the conclusion of a high-speed chase that ended when he crashed his vehicle into a residence. McCloud had four prior robbery convictions in his criminal record.
Under federal law, McCloud must serve 85 percent of his prison sentence; and upon his release, he will be under the supervision of the United States Probation Office for 10 years.
Robert M. Duncan, Jr., United States Attorney for the Eastern District of Kentucky, and Amy Hess, Special Agent in Charge, Federal Bureau of Investigation, jointly made the announcement. The Bellevue Police Department and the Federal Bureau of Investigation’s Safe Streets Task Force conducted the investigation. Assistant United States Attorney Tony Bracke 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.
Darby Man Charged with being a Felon in Possession of a FirearmRead the Press Release
Kareem Murphy, 36, of Darby, was charged today by indictment with being a felon in possession of a firearm, announced United States Attorney William M. McSwain.
If convicted, the defendant faces a minimum sentence of 15 years and a maximum sentence of life imprisonment.
This case was brought as part of Project Safe Neighborhoods (PSN), a program that has been historically successful in bringing together all levels of law enforcement to reduce violent crime and make our neighborhoods safer for everyone.
Attorney General Jeff Sessions has made turning the tide of rising violent crime in America a top priority. In October 2017, as part of a series of actions to address this crime trend, Attorney General Sessions announced the reinvigoration of PSN and directed all U.S. Attorney’s Offices to develop a district crime reduction strategy that incorporates the lessons learned since PSN launched in 2001.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives and is being prosecuted by Assistant United States Attorney Nancy Rue.
An Indictment, Information or Criminal Complaint is an accusation. A defendant is presumed innocent unless and until proven guilty.
Cleveland man indicted for using firearm while dealing crack cocaineRead the Press Release
A Cleveland man was indicted in federal court for possessing a firearm while dealing crack cocaine, United States Attorney Justin E. Herdman said.
An indictment was filed charging Michael Townsend, 35, with two counts of being a felon in possession of firearm and ammunition, one count of possession with intent to distribute cocaine base, and one count of possession of a firearm in furtherance of drug trafficking.
On March 2, 2018, Townsend possessed with intent to distribute 32.17 grams of cocaine base, and possessed a Century Arms, Model RAS47, semiautomatic rifle, and ammunition. Townsend has prior convictions that prohibit him from having firearms or ammunition, including convictions for drug trafficking and assault on a peace officer, according to the indictment.
On March 14, 2018, Townsend possessed a Smith & Wesson M&P 9mm pistol, and ammunition, according to the indictment.
Assistant U.S. Attorney Danielle K. Angeli is prosecuting the case following investigations by the Bureau of Alcohol, Tobacco, and Firearms and the Cleveland Division of Police.
If convicted, the defendant’s sentence will be determined by the court after reviewing factors unique to this case, including the defendant’s prior criminal record, if any, the defendant’s role in the offense, and the characteristics of the violation. In all cases, the sentence will not exceed the statutory maximum and in most cases, it will be less than the maximum.
An indictment is only a charge and is not evidence of guilt. A defendant is entitled to a fair trial, in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
Citizen of Mexico again Charged with Illegally Reentering U.S.Read the Press Release
John H. Durham, United States Attorney for the District of Connecticut, today announced that, on April 19, 2018, a federal grand jury in New Haven returned an indictment charging JOSE DEL CARMEN HERNANDEZ HERNANDEZ, 42, a citizen of Mexico last residing in Hartford, with one count of illegally reentering the U.S. after being deported.
HERNANDEZ appeared today before U.S. District Judge Jeffrey A. Meyer in New Haven and entered a plea of not guilty to the charge.
As alleged in court documents and statements made in court, between 1999 and 2009, HERNANDEZ, who has never held legal status in the U.S., sustained multiple state convictions, including convictions for assault, threatening and operating under the influence. In April 2009, he was removed to Mexico. HERNANDEZ unlawfully reentered the U.S., returned to Connecticut and was subsequently convicted in state court on charges of evasion with injury, and criminal mischief. After he was arrested in Hartford, in March 2013, on breach of peace and criminal mischief offenses, HERNANDEZ was identified by federal immigration authorities and was charged and convicted in federal court of reentry of a removed alien. On September 10, 2013, he was sentenced in Hartford federal court to 12 months of imprisonment. In April 2014, he was again deported to Mexico.
It is further alleged that HERNANDEZ illegally reentered the U.S. a second time and returned to Connecticut. In November 2015, HERNANDEZ was arrested by Hartford Police for driving under the influence. He subsequently was charged and convicted in federal court of reentry of a removed alien and, on July 15, 2016, was sentenced to 12 months and one day of imprisonment, followed by three years of supervised release. On July 26, 2016, he was convicted in state court of operating under the influence and was sentenced to three years of incarceration, suspended after one year. After he served his federal and state sentences, he was removed to Mexico in May 2017.
It is further alleged that HERNANDEZ illegally reentered the U.S. a third time and, on January 11, 2018, was arrested by the Hartford Police Department for multiple motor vehicle violations, including operating under the influence. He has been detained since his arrest.
If convicted of the charge of illegal reentry, HERNANDEZ faces a maximum term of imprisonment of 10 years. HERNANDEZ also faces additional penalties if he is found to have violated the conditions of his supervised release that were imposed at the time of his most recent federal conviction.
U.S. Attorney Durham stressed that an indictment is only a charge and is not evidence of guilt. A defendant is entitled to a fair trial at which it is the government’s burden to prove guilt beyond a reasonable doubt.
This matter is being investigated by the U.S. Department of Homeland Security, Immigration and Customs Enforcement. The case is being prosecuted by Assistant U.S. Attorney Deborah R. Slater.
Chinese Citizen Admits Illegally Re-entering the United StatesRead the Press Release
ALBANY, NEW YORK – Va Meng Joe, age 53, and a citizen of China, pled guilty yesterday to illegally re-entering the United States.
The announcement was made by United States Attorney Grant C. Jaquith and Chief Patrol Agent John C. Pfeifer, United States Border Patrol, Swanton Sector.
As part of his plea, Joe admitted that on March 2, 2018, he walked from Canada into the United States, and was then picked up by a driver in Champlain, New York. Shortly thereafter, a Border Patrol Agent stopped the vehicle and discovered Joe, who had been previously removed from the United States in 2017. Joe was removed from the United States following a conviction for heroin trafficking in Massachusetts for which he was sentenced to 5 years and one day in prison.
Joe faces up to 20 years in prison, and a fine of up to $250,000, when he is sentenced on August 14, 2018 by Senior United States District Judge Thomas J. McAvoy. A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines, and other factors.
This case was investigated by the Border Patrol and is being prosecuted by Assistant U.S. Attorney Douglas Collyer.
Chicago Man Charged Sentenced for Racketeering ConspiracyRead the Press Release
HAMMOND – William Salazar, 42 years old, of Chicago, Illinois, was sentenced by District Court Judge Philip Simon on his plea of guilty to conspiracy to commit racketeering activity, announced U.S. Attorney Thomas L. Kirsch II.
Salazar was sentenced to 121 months imprisonment followed by 2 years of supervised release.
According to documents in this case, Salazar entered a guilty plea for conspiracy to participate in racketeering activity for his role and participation in the Latin Kings street gang. Salazar has been in custody since his arrest on August 4, 2016.
This case is the result of the investigative efforts of the Bureau of Alcohol, Tobacco, Firearms and Explosives, the East Chicago Police Department, the Federal Bureau of Investigation, the Gary Police Department, the Hammond Police Department, the Lake County, Indiana, Sheriff’s Department and Lake County High Intensity Drug Trafficking Area officers and agents. The Lake County Prosecutor’s Office also has provided assistance. The Latin King case is being prosecuted by Assistant U.S. Attorneys David J. Nozick and Dean Lanter of the Northern District of Indiana along with Department of Justice Trial Attorney Joseph Cooley.
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Charges Filed Against Farmer for Crop Insurance Fraud, Fraudulent Federal Crop Disaster Claims, and Conspiracy to Commit Money LaunderingRead the Press Release
WILMINGTON – United States Attorney Robert J. Higdon, Jr. announced that a Criminal Information was filed in the Eastern District of North Carolina. The Criminal Information charges JAMES SCOTT WIGGINS, 43, of Wayne County, North Carolina, with conspiracy to commit various offenses against the United States, false statements to the Federal Crop Insurance Corporation, material false statements to the Farm Service Agency, and conspiracy to commit money laundering.
According to the Criminal Information, WIGGINS and other persons worked together to defraud the United States of America, through the filing of false federal crop insurance claims and false federal crop disaster relief claims, to structure transactions to evade reporting requirements, and to engage in various financial transactions to conceal the fraud. The conspirators owned and rented farmland in Lenoir, Wayne, and Greene Counties, and produced, among other crops, tobacco, corn, wheat, and soybeans. The conspirators hid some or all of their tobacco and/or grain productions by selling it in nominee names or for cash to a co-conspiring tobacco warehouseman and grain dealers. The conspirators profited under the scheme because they were paid twice for each pound of tobacco or bushel of grain: once through the false crop insurance claim, and also through the sale of the hidden crop. WIGGINS submitted the false production data in connection with his federal crop disaster claim, thereby getting disaster relief monies to which he was not entitled.
Between 2007 and 2011, WIGGINS and his conspirators collectively filed false claims in excess of $5.6 million. The conspirators, among other things, paid farming expenses and outstanding loan balances with the proceeds from their criminal conduct.
Mr. Higdon commented: “Put very simply, this defendant stole more than $5 million from the taxpayers of this State and this Country. This type of crime is what undermines the solvency of our federal programs and deprives those who need the funds of that support. I want to commend the investigators who have pursued these cases for so long. Their effort to protect the public’s money is key to the success of programs like the Federal Crop Insurance Program.”
The charges and allegations contained in the information are merely accusations. The defendant is presumed innocent unless and until proven guilty in a court of law.
The charges in this case stem from the on-going, multi-target crop insurance fraud investigation in the Eastern District of North Carolina. To date, the office has prosecuted 47 other farmers, agents, and/or adjusters for similar criminal conduct.
Investigation of this case was conducted by the Internal Revenue Service - Criminal Investigations; the United States Department of Agriculture - Office of Inspector General, Investigations; and the United States Department of Agriculture - Risk Management Agency, Special Investigations Branch. Assistant United States Attorney Banumathi Rangarajan is handling the prosecution on behalf to the Eastern District of North Carolina.
Cardiovascular and Thoracic Surgeons of Nevada Inc. Agrees to Pay $1.5 Million to Settle False Claims Act AllegationsRead the Press Release
LAS VEGAS, Nev. – Cardiovascular and Thoracic Surgeons of Nevada, Inc. (CTS), a Las Vegas medical practice whose principal physician is Dr. Bashir Chowdhry, has agreed to pay $1.5 million to the United States to resolve allegations relating to its potential liability under the civil False Claims Act.
United States Attorney Dayle Elieson for the District of Nevada; Special Agent in Charge Christian J. Schrank for the U.S. Department of Health and Human Services, Office of Inspector General (HHS-OIG); Special Agent in Charge A.E. Pleasant for the U.S. Department of Veterans Affairs, Office of Inspector General (VA-OIG), Criminal Investigations Division, Western Field Office; and Special Agent in Charge Aaron C. Rouse of the FBI’s Las Vegas Division made the announcement.
The settlement announced today resolves allegations that, from January 1, 2006 through May 31, 2011, CTS violated the False Claims Act by billing federal healthcare programs, including Medicare and the U.S. Department of Veterans Affairs, for surgical services not actually provided to its cardiac patients, and also billing for more expensive surgical and evaluation and management services than those actually provided to its patients.
“It is important to maintain the integrity of federal healthcare programs,” said U.S. Attorney Elieson for the District of Nevada. “Medical providers who misuse these programs negatively impact patients and taxpayers.”
“When providers bill government health programs for services never rendered, as alleged here, precious resources are diverted from vulnerable individuals,” said SAC Schrank for the HHS-OIG. “Suspected violators can expect to pay a price.”
“Physicians who engage in cost mischarging for services provided to veterans will be aggressively pursued by the Office of Inspector General and held accountable to the full extent of the law,” said SAC Pleasant for the VA-OIG.
“The FBI will continue to investigate companies that profit from exploiting patients who are searching for treatments to critical medical illnesses,” said SAC Rouse for the FBI.
The claims resolved by the settlement are allegations only, and there has been no determination of liability.
This case was investigated by the U.S. Department of Health and Human Services, Office of Inspector General; U.S. Department of Veterans Affairs, Office of Inspector General; and the FBI. Assistant U.S. Attorney Roger Wenthe handled the case on behalf of the U.S. Attorney’s Office.
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Cape Girardeau Resident Sentenced for Southern Illinois Methamphetamine OffenseRead the Press Release
On April 24, 2018, Carlos L. Hemphill, a/k/a "Los," age 35, of Cape Girardeau, Missouri, was sentenced to 135 months in federal prison for a methamphetamine offense, United States Attorney for the Southern District of Illinois Donald S. Boyce announced today. Hemphill previously pled guilty to a one-count superseding indictment charging conspiracy to distribute more than 50 grams of methamphetamine. His sentence includes five years of supervised release and a $600 fine.
Evidence at the plea and sentencing hearings established that Hemphill was involved with others in the distribution of methamphetamine. The methamphetamine was distributed between November 2016, and August 2017, in Williamson and Jackson Counties. At sentencing, the district judge found that Hemphill was responsible for the distribution of more than 3.7 kilograms of a methamphetamine. Hemphill received an enhanced sentence based on his possession of a firearm during the methamphetamine offense.
The investigation was conducted by the Southern Illinois Enforcement Group. The SEMO Drug Task Force, Herrin Police Department, Carbondale Police Department, and Drug Enforcement Administration also assisted in the investigation.
California Man Arraigned in New Mexico on Federal Indictment Charging him with Scheme to Fraudulently Create and Sell Jewelry as Native American-MadeRead the Press Release
ALBUQUERQUE – Robert Haack, 51, of Los Angeles, Calif., was arraigned yesterday afternoon on a federal indictment charging him with violating the Indian Arts and Crafts Act (IACA) by fraudulently creating and selling jewelry as Native American-made. The indictment, which was filed by a federal grand jury sitting in Albuquerque, N.M., on March 28, 2018, was the result of a federal investigation led by the U.S. Department of Interior, Fish and Wildlife Service, Office of Law Enforcement.
“This indictment is not only about enforcing the law, it is also about protecting and preserving the cultural heritage of Native Americans,” said U.S. Attorney John C. Anderson. “This case demonstrates our willingness to prosecute those who falsely market products as “Indian Made,” and thus undermine the livelihoods of Native American artists.”
“Every indictment filed under the Indian Arts and Crafts Act brings us closer to bringing justice to the Native American artists who are harmed by forgery and fraud in the marketplace,” said Edward Grace, Acting Assistant Director of the Office of Law Enforcement for the U.S Fish and Wildlife Service. “We hope this and other indictments will deter further this type of harmful criminal activity. We thank the law enforcement agencies that supported us and partnered with us during this investigation.”
The six-count indictment charges Haack with two counts of wire fraud, two counts of mail fraud and two counts of violating the IACA. During yesterday’s arraignment hearing, which Haack participated in through video teleconferencing from California, Haack entered a not guilty plea to the indictment and was released on pretrial supervision and other conditions of release pending trial, which has yet to be scheduled.
According to the indictment, from April 4, 2013 through April 21, 2013, and from June 15, 2014 through June 20, 2014, Haack violated the IACA by displaying and offering for sale jewelry in a manner that suggested that it was Indian produced and the product of American Indian tribes. The indictment alleges that Haack defrauded the United States and its people of money by using the U.S. mail and wire communications to promote the sale of the counterfeit jewelry as Indian-made.
The indictment further alleges that from April 4, 2013 through June 20, 2014, Haack devised a scheme to defraud and to obtain money from others by using an online marketplace and online payment platform to advertise and sell counterfeit pieces of Indian jewelry that Haack falsely represented as having been created by the late Charles Loloma, a renowned Hopi Indian artist. According to the indictment, Haack allegedly created and produced the counterfeit jewelry in his home in Los Angeles and delivered the counterfeit jewelry to a purchaser in Albuquerque through the U.S. Postal Service.
The indictment includes forfeiture provisions, which seek to forfeit to the United States any proceeds used in or traceable to Haack’s alleged criminal activities, and seek a money judgment against Haack in the amount of at least $19,398.
If convicted of the charges against him, Haack faces a statutory maximum penalty of five years in prison and a $250,000.00 fine. Charges in indictments are merely accusations and defendants are presumed innocent unless found guilty in a court of law.
This case was investigated by the U.S. Department of Interior, Fish and Wildlife Service, Office of Law Enforcement. Assistant U.S. Attorney Jennifer M. Rozzoni is prosecuting the case.
The IACA prohibits the offer or display for sale, or the sale of any good in a manner that falsely suggests that it is Indian produced, an Indian product, or the product of a particular Indian and Indian tribe. The law is designed to prevent products from being marketed as “Indian made,” when the products are not, in fact, made by Indians. It covers all Indian and Indian-style traditional and contemporary arts and crafts produced after 1935, and broadly applies to the marketing of arts and crafts by any person in the United States. IACA provides critical economic benefits for Native American cultural development by recognizing that forgery and fraudulent Indian arts and crafts diminish the livelihood of Native American artists and craftspeople by lowering both market prices and standards.
Broward County Resident Sentenced to 20 Years in Prison for Producing and Possessing Child PornographyRead the Press Release
Juan Sebastian Chavez, 26, of Fort Lauderdale, was sentenced today to 20 years in prison for possessing and producing child pornography.
Benjamin G. Greenberg, United States Attorney for the Southern District of Florida; Mark Selby, Special Agent in Charge, U.S. Immigration and Customs Enforcement’s Homeland Security Investigations (ICE-HSI); and Rick Maglione, Chief, Fort Lauderdale Police Department, made the announcement.
United States District Judge Kenneth A. Marra sentenced Chavez to 240 months in prison and a lifetime of supervised release. Chavez must also register as a sex offender. Chavez previously pled guilty to one count of possession of child pornography, in violation of Title 18, United States Code, Section 2252(a)(4)(B), and one count of production of child pornography, in violation of Title 18, United States Code, Section 2251(a) and 2251(e).
According to court documents, beginning in April 2014, through September 2014, Chavez persuaded, induced, enticed and coerced a minor female child to engage in sexually explicit conduct. Chavez captured images of the sexually explicit conduct with his cellular telephone. Chavez also possessed images and videos of child pornography on his computers.
Mr. Greenberg commended the investigative efforts of HSI-ICE and the Fort Lauderdale Police Department in this matter. This case was prosecuted by Assistant U.S. Attorneys Jodi L. Anton and Francis Viamontes.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.
Brazilian National Charged with Illegal Reentry After DeportationRead the Press Release
BOSTON - A Brazilian national was charged yesterday in federal court in Boston with illegally reentering the United States after being deported.
Adilson Barbosa, 40, was indicted on one count of illegal reentry of a deported alien.
According to court documents, on Dec. 6, 2017, law enforcement officers in Framingham encountered Barbosa and determined him to be unlawfully present in the United States. Barbosa was previously deported on Aug. 23, 2017.
Barbosa faces a sentence of no greater than two years in prison, one year of supervised release, a fine of $250,000, and will be subject to deportation upon completion of his sentence. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Andrew E. Lelling and Michael Shea, Acting Special Agent in Charge of Homeland Security Investigations in Boston, made the announcement. Assistant U.S. Attorney David G. Tobin of Lelling’s Major Crimes Unit is prosecuting the case.
The details contained in the charging documents are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Braxton County man admits to firearm and drug chargesRead the Press Release
ELKINS, WEST VIRGINIA – Charles William Masters, of Burnsville, West Virginia, has admitted to firearm and drug charges, United States Attorney Bill Powell announced.
Masters, age 44, pled guilty to one count of “Possession with Intent to Distribute Methamphetamine,” and one count of “Carry a Firearm During a Drug Trafficking Crime.” Masters admitted to illegally possessing a 9mm pistol while possessing methamphetamine on July 3, 2017 in Lewis County, West Virginia.
Masters faces up to 40 years incarceration and a fine of up to $5,000,000 for the methamphetamine count, and up to life incarceration and a fine of up to $250,000 for the firearm count. 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 Stephen D. Warner is prosecuting the case on behalf of the government. The Bureau of Alcohol, Firearms, Tobacco and Explosives, the Drug Enforcement Administration, and the Lewis County Sheriff’s Office investigated.
The investigation was funded in part by the federal Organized Crime Drug Enforcement Task Force Program (OCDETF). The OCDETF program supplies critical federal funding and coordination that allows federal and state agencies to work together to successfully identify, investigate, and prosecute major interstate and international drug trafficking organizations and other criminal enterprises.
U.S. Magistrate Judge Michael John Aloi presided.
Boston-Area Investment Adviser Pleads Guilty to FraudRead the Press Release
BOSTON – A Boston-area investment adviser pleaded guilty yesterday in federal court in Boston to using his clients’ funds to make his own investments and to pay personal expenses.
James Polese, 51, of Wenham, pleaded guilty to one count of conspiracy and investment adviser fraud, eight counts of bank fraud, and one count of aggravated identity theft. U.S. Senior District Court Judge Mark L. Wolf scheduled sentencing for Aug. 2, 2018. In January 2018, Polese and Cornelius Peterson, 28, of Newton, were charged and agreed to plead guilty.
From approximately 2014 to June 2017, Polese and Peterson misappropriated approximately half a million dollars from their clients by transferring funds out of their clients’ accounts without their knowledge or consent. Specifically, On Aug. 20, 2014, Polese and Peterson used $100,000 from a client’s account to invest in a wind farm project despite the fact that it was not an investment opportunity authorized by their company. On May 15, 2015, Polese and Peterson used $400,000 from another client’s account to back a letter of credit in support of the wind farm project. On multiple occasions in 2017, Polese transferred funds from a client’s account to pay personal expenses, including college tuition payments and credit card bills. Polese and Peterson were terminated from the company in June 2017.
The charges of conspiracy and investment adviser fraud each provide for a sentence of no greater than five years in prison, three years of supervised release and a fine of $250,00 or twice the gross gain or loss, whichever is greater. The charge of bank fraud provides for a sentence of no greater than 30 years in prison, five years of supervised release and a fine of $250,00 or twice the gross gain or loss, whichever is greater. The charge of aggravated identity theft provides for a mandatory consecutive term of two years in prison. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Andrew E. Lelling and Harold H. Shaw, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division, made the announcement today. The U.S. Securities & Exchange Commission also provided valuable assistance with the investigation. Assistant U.S. Attorney Sara Miron Bloom of Lelling’s Economic Crimes Unit is prosecuting the case.
The details contained in the charging documents are allegations. The defendants are presumed to be innocent unless and until proven guilty beyond a reasonable doubt in the court of law.
Boston Man Pleads Guilty to Possession of Fentanyl, Cocaine, Firearm, and AmmunitionRead the Press Release
BOSTON – A Boston man pleaded guilty today to federal drug and firearm charges arising out of a large-scale seizure of fentanyl and other contraband.
Edgar Belis, 34, pleaded guilty to one count of possession with intent to distribute fentanyl and cocaine and one count of being a felon in possession of a firearm and ammunition. U.S. District Court Judge Nathaniel M. Gorton scheduled sentencing for July 27, 2018.
In 2015, law enforcement identified Belis as a large-scale heroin trafficker in the Boston area. At the time, Belis had been convicted of heroin-related offenses on at least four prior occasions in Massachusetts state court.
In 2016, using a cooperating witness, law enforcement arranged calls with Belis seeking to purchase heroin. During those calls, Belis stated that he had kilogram quantities of heroin to sell, but suggested that the heroin must contain fentanyl or customers on the street would notice a difference. Belis stated that he would be willing to sell heroin or fentanyl for $40,000 per kilogram.
On May 3, 2016, a cooperating witness called Belis and placed an order for two kilograms of heroin. The purchase was set up for three days later. On May 6, 2016, law enforcement surveilled Belis as he drove from Hopkinton to Boston, where he picked up a backpack from a basement apartment. Belis then travelled to a prearranged meeting location in South Boston, where he was met by law enforcement agents. Belis ignored several orders to exit the vehicle and locked himself in the car. Agents broke the car windows and arrested Belis. A search of the backpack in the car resulted in the seizure of approximately 2.35 kilograms of fentanyl and approximately 250 grams of cocaine.
Later that day, agents executed a search warrant at the apartment associated with Belis, and seized an additional 300 grams of fentanyl, approximately 125 grams of cocaine, $57,500 in cash, a Glock Model 22 .40 caliber pistol, and 31 rounds of .40 caliber ammunition.
The charge of distribution of fentanyl and cocaine involving over 400 grams of fentanyl provides for a mandatory minimum sentence of 10 years and up to life in prison, a minimum of five years and up to a lifetime of supervised release, and a fine up to $10 million. The charge of being a felon in possession of a firearm and ammunition provides for a sentence of no greater than 10 years in prison, three years of supervised release, and a fine of up to $250,000. If Belis is determined to be an armed career criminal under federal law, he will face a mandatory minimum sentence of 15 years and up to life in prison. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Andrew E. Lelling; Albert Angelucci, Acting Special Agent in Charge of the Drug Enforcement Administration, Boston Field Division; Colonel Kerry A. Gilpin, Superintendent of the Massachusetts State Police; and Boston Police Commissioner William B. Evans made the announcement today.
Blue Springs, Sugar Creek Men Sentenced to 15 Years for Luring Robbery Victims with Online AdsRead the Press Release
KANSAS CITY, Mo. – Three men have been sentenced in federal court this week for their roles in a conspiracy to commit a series of armed robberies by luring their victims with online advertisements and ambushing them.
Rodney E. Brock, 21, of Blue Springs, Mo., was sentenced by U.S. Chief District Judge Greg Kays today to 15 years in federal prison without parole. Sage Harrison, 36, of Independence, Mo., was sentenced on Thursday, April 26, 2018, to five years in federal prison without parole. Kenneth W. Sexson, 34, of Sugar Creek, Mo., was sentenced on Wednesday, April 25, 2018, to 15 years in federal prison without parole.
Brock, Harrison and Sexson each pleaded guilty to participating in a conspiracy to commit armed robberies from April 1, 2015, to June 7, 2016. Brock also pleaded guilty to two counts of armed robberies committed in October 2015 and one count of carjacking. Harrison also pleaded guilty to two counts of armed robberies committed in October 2015. Sexson also pleaded guilty to six counts of armed robberies committed in October 2015, and to being a felon in possession of a firearm.
Co-conspirators posted ads on several websites in order to entice customers to meet in person at area hotels, residences and apartments in Kansas City, Mo. When the customers arrived, co-conspirators were lying in wait, armed with firearms and weapons that appeared to be firearms. They ambushed and robbed the customers at gunpoint.
According to court records, the proceeds of the robberies was divided up and usually used to pay for narcotics or to pay for a room where the co-conspirators could use narcotics. When confronting the victim, the co-conspirators used verbal threats, pointed real and fake guns at them, physically hit them, and intimidated them by photographing or taking identifications off of the victim. Records obtained from social media services and hotels corroborate statements by participants that only a small percentage of the victims called the police to report their robbery.
Brock and Sexson admitted that they participated in the most violent of the robberies, which occurred on Oct. 9, 2015. Co-defendant Melissa C. Cummins, 23, of Independence, Mo., posted an online ad then directed the customer who responded to an address to meet her in person. When she let him into the apartment, Brock, Sexson and other conspirators were waiting armed with firearms to rob him at gunpoint. Brock forced the victim into his own vehicle and searched it for more items to steal. Brock threatened to shoot the victim if he didn’t produce the title to the vehicle. Brock forced the victim to ride in the passenger seat while a co-conspirator drove his vehicle. Brock again threatened to shoot him if he didn’t produce the title. While driving at highway speeds on 71 Highway, the victim jumped from the moving vehicle in fear for his life and sustained injuries.
The next day, Independence police officers arrested co-defendant Devon Davis-Aumua, 23, of Independence, prowling cars in the parking lot of the Quality Inn at approximately 3:33 a.m. Davis-Aumua was in possession of methamphetamine, a stolen Springfield XDS .45-caliber pistol, and the keys to the victim’s stolen truck, which was discovered nearby out of gas.
Sexson was arrested on June 7, 2016, when the U-Haul cargo van he was driving was mistakenly identified by a woman who had loaned a similar van to an acquaintance without it being returned. She attempted to get the van to stop by pulling in front of it, then followed the van and ended up striking the van multiple times with her vehicle. She told police officers that co-defendant Ray J. Mahurin, 34, of Blue Springs, who was in the back of the van, fired multiple shots at her vehicle with a handgun.
Independence police officers located the U-Haul cargo van near Highway 291 and Truman Road. They initiated a pursuit in which the U-Haul cargo van reached speeds of over 100 miles per hour. During the pursuit, Sexson’s van ran a red light and drove in opposing lanes of traffic. During the pursuit, officers saw Sexson and Mahurin throw two long guns from the vehicle. They later recovered a loaded Marlin 30-30 lever action rifle and a camouflaged Mossberg pump action shotgun in the area of the chase. Both firearms had been reported as stolen. Officers recovered a Springfield Armory XDS-9 handgun.
The pursuit continued toward Leavenworth County, Kan. Tire deflation devices were deployed against the U-Haul van multiple times. The pursuit ended only after the U-Haul van became disabled as a result of the damage suffered during the pursuit. Sexson, Mahurin and co-defendant Nicole Covey, 35, of Sugar Creek, were arrested. During a search of the U-Haul van, officers discovered a ballistic vest, a Covert CXI crossbow, four pairs of black gloves, bandanas, assorted hand and cordless tools, a collapsible baton and multiple chainsaws.
Officers also located photos from Mahurin’s Facebook account, which shows Mahurin and Sexson inside the van on the day before the police chase, and from inside the van during the police chase.
Under federal law, it is illegal for anyone who has been convicted of a felony to be in possession of any firearm or ammunition. Sexson has eight prior felony convictions. Sexson was convicted in 2004 of being a felon in possession of a firearm and sentenced to 40 months in federal prison. Sexson also has several prior state convictions, including three counts of assault, possession of a controlled substance and leaving the scene of an accident.
Brock, Harrison and Sexson are the first defendants to be sentenced in the robbery conspiracy. Mahurin, who pleaded guilty to being an unlawful user of a controlled substance in possession of a firearm, was not charged in the robbery conspiracy. Mahurin was sentenced on April 10, 2018, to three years and one month in federal prison without parole.
Cummins, Davis-Aumua and Covey are among five co-defendants have pleaded guilty and await sentencing, also including Daphne J. Fruean, 37, of Independence, and Michele R. Shatto, 34, of Kansas City, Mo.
This case is being prosecuted by Assistant U.S. Attorney Matthew P. Wolesky. It was investigated by the FBI, and the Independence, Mo., Police Department, with assistance from the Kansas City, Mo., Police Department, the North Kansas City, Mo., Police Department and the Blue Springs, Mo., Police Department.
Bank Robbers Plead GuiltyRead the Press Release
Tampa, Florida – John Lowell Goff, Jr. (46, Ruskin) today pleaded guilty to four counts of bank robbery. He faces a maximum penalty of 20 years in federal prison on each count. His co-defendant, Lemuel Tony Davis (43, Eufala, Alabama), previously pleaded guilty to one count of bank robbery. He faces a maximum penalty of 20 years in federal prison. Sentencing dates have not yet been set.
According to court documents, Goff robbed the BB&T bank located at 5331 Spring Hill Drive (Spring Hill) on August 29, 2017 and again on September 20, 2017; the Fifth Third bank located at 16509 Fishhawk Boulevard (Lithia) on September 5, 2017; and the BB&T bank located at 180 North Suncoast Boulevard (Crystal River) on September 6, 2017. During each of these robberies, Goff intimidated the bank tellers by implying that he would hurt them and threatening that he had a gun on at least one occasion. Consequently, all of the tellers gave Goff money from their banks’ cash drawers. When Goff robbed the Spring Hill BB&T bank the second time, he fled the scene in a car driven by Davis. Shortly thereafter, responding law enforcement officers pulled the car over and arrested both men.
This case was investigated by the FBI, the Hernando County Sheriff’s Office, the Hillsborough County Sheriff’s Office, and the Citrus County Sheriff’s Office. It is being prosecuted by Assistant United States Attorney Taylor G. Stout.
Amarillo Man Admits to Enticement of a MinorRead the Press Release
AMARILLO, Texas — Weston Scott Langwell, 26, of Amarillo, Texas, appeared today in federal court before U.S. District Judge Sidney A. Fitzwater and pleaded guilty to one count of attempted enticement of a minor, announced Erin Nealy Cox, U.S. Attorney for the Northern District of Texas.
Langwell faces not less than 10 years and not more than life in federal prison, a $250,000 fine and five years to a lifetime of supervised release. He will remain in custody pending sentencing, which is scheduled for August 8, 2018.
According to the plea agreement factual resume filed in the case, on November 13, 2017, Langwell responded to a craigslist advertisement placed by Texas Department of Public Safety agents by texting the number listed. An agent posing as a sixteen year old minor female was monitoring the phone number and engaged in conversation with Langwell via text messaging. The officer sent a text to Langwell that stated she was almost 17. After Langwell learned the alleged age, he almost immediately turned the conversation to a sexual nature.
On November 14, 2017, Langwell sent a nude photograph of himself along with a sexually explicit text message. Langwell continued to communicate with the officer in a sexually explicit nature via text messages and suggested they meet up.
On November 15, 2017, Langwell and the officer agreed to meet in person. Langwell traveled to the prearranged meeting site to meet with who he believed was a 16 year old female, for sex. Agents were conducting surveillance of the prearranged meeting site and saw Langwell in the parking lot. Law enforcement moved in and arrested Langwell. Agents located condoms and a bottle of lubricant in Langwell’s possession. Additionally, a test message was sent to Langwell’s phone, and agents confirmed it was the same phone used to communicate with the UC.
The case was brought as part of Project Safe Childhood, a nationwide initiative launched in 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorney’s Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood leverages federal, state and local resources to better investigate, apprehend and prosecute individuals who sexually exploit children. Project Safe Childhood also prioritizes identifying and rescuing victims. For more information about Project Safe Childhood, please visit http://www.justice.gov/psc/. For more information about internet safety education, please visit http://www.justice.gov/psc/ and click on the tab “resources.”
The Texas Department of Public Safety and U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigation (HSI) investigated the case. Assistant U.S. Attorney Joshua Frausto is in charge of the prosecution.
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Akron man faces at least 20 years in prison after being convicted of selling fentanyl and heroin that killed Akron womanRead the Press Release
An Akron man faces at least 20 years in prison after a jury convicted him of selling fentanyl and heroin that resulted in the death of a 23-year-old Akron woman.
Ryan Sumlin, 29, is scheduled to be sentenced Aug. 3. A jury convicted Sumlin on all three counts – distribution of fentanyl and heroin that resulted in death, one count of possession with intent to distribute fentanyl and one count of possession with intent to distribute heroin.
“This defendant put profits ahead of all else, willingly selling drugs that he knew could – and did -- kill his customers,” said U.S. Attorney Justin Herdman. “We will prosecute those who profit from this epidemic to the fullest extent of the law, while working to help those who want treatment to find it.”
Sumlin sold a mix of fentanyl and heroin to Carrie Dobbins on March 28, 2015. Sumlin mixed fentanyl – which is far more powerful – with heroin but did not tell his customers. The fentanyl he obtained originally came from China, according to court documents and trial testimony.
This case was prosecuted by Assistant U.S. Attorneys Linda Barr and Elliott Morrison. It was investigated by the Drug Enforcement Administration, the Akron Police Department and the Fairlawn Police Department.
Addis Businessman Sentenced to 42 Months in Prison for Investment Fraud SchemeRead the Press Release
United States Attorney Brandon J. Fremin announced today that U.S. District Judge John W. deGravelles sentenced WILLIAM TODD CUTRER, age 52, to 42 months in federal prison for fraudulently obtaining over $500,000 from victim investors in an investment fraud scheme. The Court ordered CUTRER to pay $502,035.09 in restitution to his victims. CUTRER will be required to serve a two-year term of supervised release upon his release from prison.
CUTRER owned and operated West Baton Rouge Credit, Inc. (“WBRC”), a Port Allen lending company that made high-interest loans to individual customers. CUTRER raised capital for WBRC by obtaining lines of credit from local banks and by personally soliciting investments from individual investors. CUTRER guaranteed to his victims that he would pay interest on their investments and that their funds could be redeemed at any time upon written notice. Instead of using the funds as promised, however, CUTRER wrote checks to himself and his family members, and made payments to prior investors who were due interest on their principal. When CUTRER failed to make the payments he owed to his victim investors, he sent them a letter falsely claiming that because of the August 2016 flood, he was having difficulty collecting payments on WBRC’s high-interest loans.
In October of 2017, CUTRER pled guilty to mail fraud. During his guilty plea hearing, the defendant admitted that from in or about January of 2014 through at least November of 2016, he executed a scheme to defraud victim investors by means of materially false and fraudulent pretenses, promises, and representations. As a result of his scheme, the defendant fraudulently obtained over $500,000 from victim investors.
U.S. Attorney Brandon J. Fremin stated, “Financial crimes and investment fraud remain a high priority for this office, especially when the defendant abuses a position of trust to defraud his victims. The people of this district need to have confidence that professionals, not criminals, are properly managing their hard-earned living. We are pleased to see CUTRER’s scheme ended and CUTRER brought to justice for his lengthy fraudulent scheme. Special thanks to the FBI and the Louisiana Office of Financial Institutions for their outstanding efforts in this case.”
FBI Special-Agent-in-Charge Eric J. Rommal stated, “The FBI is committed to investigating complex financial crimes, including businessmen who steal from legitimate investors who have placed their trust in them.”
This matter is being handled by the U.S. Attorney’s Office for the Middle District of Louisiana, the Federal Bureau of Investigation, and the Louisiana Office of Financial Institutions. It is being prosecuted by Assistant United States Attorney Ryan Rezaei.
28 Year-Old Teacher Found Guilty of Transportation of A Minor with the Intent of Committing A Criminal Sexual ActRead the Press Release
SAN JUAN, P.R. – After a nine-day jury trial and four hours of deliberation, Yaira Tanies Cotto-Flores was found guilty of one count of transportation of a minor with intent to engage in criminal sexual activity, announced United States Attorney Rosa Emilia Rodríguez-Vélez. United States District Court Senior Judge Daniel R. Domínguez presided over the trial.
According to the evidence presented at trial, on March 1, 2016, the defendant transported a 14-year-old male student to a motel located in San Lorenzo, PR, with the intent to engage in sexually explicit conduct. Cotto-Flores was the victim’s English teacher. They met at the beginning of the school year and the defendant gave the victim various gifts including an acne treatment kit, a neckband and a Bulova wristwatch.
“The jury found Ms. Cotto-Flores guilty of robbing a child’s innocence,” said United States Attorney for the District of Puerto Rico, Rosa Emilia Rodríguez-Vélez. “We entrust teachers to serve as role models for our children and safeguard their welfare. As this conviction makes clear, when that trust is violated, there will be severe consequences.”
The case was prosecuted by Assistant United States Attorney Elba Gorbea. The defendant faces a mandatory minimum sentence of ten (10) years in prison. The sentencing is scheduled for August 27, 2018 at 10:00am.
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26 April 2018
Ypsilanti Man Sentenced in Computer Intrusion CaseRead the Press Release
An Ypsilanti resident was sentenced today to 87 months in prison for damaging a protected computer, United States Attorney Matthew Schneider announced.
Joining Schneider in the announcement was Timothy R. Slater, Special Agent in Charge, Federal Bureau of Investigation.
Receiving the sentence was Konrads Voits, age 27. The sentence was imposed by United States District Judge Robert H. Cleland who also ordered restitution in the amount of $238,517 to be paid to Washtenaw County and a 3-year term of supervised release. As part of the sentencing, Voits forfeited all interests he had in some bitcoins, and in various electronic devices, including a laptop, an integrated circuit component, and several cellular phones.
In 2017, federal, state, and local agencies including the FBI, the Washtenaw County Sheriff, and the Michigan State Police conducted a rigorous investigation into Voits’s unauthorized computer intrusion into the Washtenaw County government’s computer network.
According to court records, Voits engaged in a classic “phishing” scheme – where Voits used both email and phone calls to Washtenaw County employees – to gain full access to and control of a part of the Washtenaw County computer network. Upon gaining access, Voits took the names, addresses, emails, and passwords of many former and present Washtenaw County employees. In addition, Voits accessed the Washtenaw County Jail records, altering the electronic records of at least one inmate in an effort to get that inmate released early. Thanks to the quick response of the IT employees at Washtenaw County, and to the careful review of records by employees at the Washtenaw County Jail, nobody was actually released early. Washtenaw County spent thousands of dollars and numerous extra work hours responding to and investigating the breach, resulting in a loss of at least $235,488.
United States Attorney Schneider stated, “The federal law enforcement community encourages victims of cybercrimes to follow the lead of Washtenaw County and work with law enforcement to bring cybercriminals to justice. Judge Cleland’s 87-month sentence clearly sends the message that cybercrimes will not be tolerated in the Eastern District of Michigan.”
"The FBI is deeply committed to the aggressive pursuit of all cybercrime and in bringing to justice those who commit such acts", said Timothy R. Slater, Special Agent in Charge, Detroit FBI. "Today's sentencing of Mr. Voits is an example that cybercriminals should no longer expect the Internet to provide them a veil of anonymity towards carrying out their illegal activities. The FBI will continue to vigorously investigate these high-tech crimes through strong law enforcement partnerships.”
The FBI’s Cyber Task Force investigated this case in partnership with the Washtenaw County Sheriff’s Office and the Michigan State Police. Assistant U.S. Attorneys Patrick E. Corbett and Craig A. Weier prosecuted the case.
Worcester Business Owner Sentenced for Defrauding Snap and Selling Counterfeit MerchandiseRead the Press Release
BOSTON – The owner of Esther’s Fashion Paradise was sentenced yesterday in federal court in Worcester for defrauding the SNAP benefits program and selling counterfeit merchandise.
Esther Acquaye, 31, of Worcester, was sentenced by U.S. District Court Judge Timothy S. Hillman to eight months in prison, three years of supervised release, and ordered to pay $285,075 in restitution. In December 2017, Acquaye pleaded guilty to one count of conspiracy to acquire, possess, and redeem SNAP benefits in an unauthorized manner, and to convert public money; one count of SNAP fraud; and one count of trafficking in counterfeit goods.
On numerous occasions between November 2013 and April 2016, Acquaye, the owner of Esther’s Fashion Paradise in Worcester, accepted EBT cards from SNAP recipients wishing to exchange their SNAP benefits for cash. Specifically, Acquaye passed the EBT cards through a point-of-sale terminal causing the full value of the SNAP benefits to be electronically transferred to her business, and then provided less than the full value of the SNAP benefits in cash to the SNAP recipients. In total, Acquaye caused approximately $282,541 in fraudulent EBT transactions and SNAP benefits to be transacted at Esther’s.
In addition, on at least four occasions between November 2015 and March 2016, Acquaye accepted an EBT card from an undercover investigator as payment for counterfeit retail goods. Acquaye sold the investigator two counterfeit Michael Kors purses, one counterfeit Gucci purse, one counterfeit The North Face jacket, and one counterfeit Michael Kors wallet.
United States Attorney Andrew E. Lelling; Bethanne M. Dinkins, Special Agent in Charge of the U.S. Department of Agriculture, Office of Inspector General, Office of Investigations, Northeast Region; and Michael Shea, Acting Special Agent in Charge of Homeland Security Investigations in Boston, made the announcement. Assistant U.S. Attorney Michelle Dineen Jerrett of Lelling’s Worcester Branch Office prosecuted the case.
Waterbury Man Involved in Multi-State Robbery Spree Pleads GuiltyRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, announced that ZACHARY PROVOST, 33, of Waterbury, waived his right to be indicted and pleaded guilty today before U.S. District Judge Stefan R. Underhill in Bridgeport to one count of armed bank robbery and admitted that he committed a series of robberies in Connecticut, Massachusetts and New Hampshire in late 2017.
According to court documents and statements made in court:
- On November 29, 2017, PROVOST entered the Mobil gas station located at 385 Watertown Avenue in Waterbury, pulled out a knife, had the cashier open the cash register, and took approximately $700 from the register.
- On November 30, 2017, PROVOST and another male entered the Cumberland Farms located at 1588 Watertown Avenue in Waterbury. After a knife was displayed and held to the cashier’s back, PROVOST and the other individual took approximately $50 from the cash register. They also stole other personal items from the cashier, and a customer’s wallet that contained approximately $150.
- On December 1, 2017, PROVOST entered the TD Bank located at 121 Main Street in Southington, presented the teller with a note stating that he had a knife, and demanded that the teller provide him with money. The teller complied and gave PROVOST $350.
- On December 1, 2017, PROVOST entered the Putnam Bank located inside of the Price Chopper at 251 Kennedy Drive in Putnam and presented the teller with a note stating that he had a knife. The teller provided PROVOST with $1,222.
- On December 3, 2017, PROVOST entered the Walgreens located at 225 Boston Turnpike in Shrewsbury, Massachusetts, demanded cash from the cashier and lifted his sweatshirt to display a knife. The cashier provided PROVOST with $545.
- On December 4, 2017, PROVOST entered the TD Bank located at 10 Gusabel Avenue in Nashua, New Hampshire, handed the teller a note, and told the teller to give him all of the money in the drawer. The teller complied and gave PROVOST $2,599.
- On December 6, 2017, PROVOST entered the Key Bank located at 232 West Main Street in Avon and gave the teller a note stating “I have a gun, hundreds, fifties and twenties and no ones and no dye pack.” PROVOST also lifted his sweatshirt to reveal what appeared to be a firearm in his waistband. The teller provided PROVOST with $1,053. PROVOST fled the area in a vehicle driven by another man.
- On December 8, 2017, PROVOST entered the Mobil Gas Station and Dunkin Donuts located at 750 Straits Turnpike in Middlebury. PROVOST first threatened the cashier at the Mobil station with what appeared to be a firearm, and instructed her to open the cash register and provide her with all of its contents. The cashier complied and provided him with $578. The cashier also complied with PROVOST’s demand that she give him cigarettes valued at approximately $131. PROVOST then went to the cashier at the Dunkin Donuts, lifted his shirt to display what appeared to be a firearm and demanded money. During the robbery, when a customer entered the premises, the PROVOST pointed the firearm at her and told her to keep her hands out of her pocketbook. The cashier gave PROVOST approximately $350. PROVOST then fled the premises in a vehicle driven by another man.
- On December 8, 2017, PROVOST entered the Thomaston Savings Bank located at 508 South Main Street in Thomaston and handed the teller a note stating “Robbery 20’s, 50’s, 100’s, quiet.” PROVOST also displayed what appeared to be a firearm. After the teller gave him money, PROVOST told her to get money from the other teller. The teller complied, and PROVOST left the bank with $1,471. He fled the area in a vehicle driven by another man.
On December 9, 2017, PROVOST was arrested by Waterbury Police officers after they responded to a call of an overdose of a woman at a motel in Waterbury. At the scene, officers recovered a silver and beige handled CO-2 powered BB gun, a black ski mask, a gray ski mask, $542 in cash, multiple packs of cigarettes. Officers also seized a red Ford Explorer that had been used during several of the robberies.
Officers were able to revive the overdose victim, who had been staying in the same room as PROVOST.
PROVOST has been detained since his arrest.
Judge Underhill scheduled sentencing for July 19, 2018, at which time PROVOST faces a maximum term of imprisonment of 25 years.
This investigation is being conducted by the Federal Bureau of Investigation and the Waterbury, Southington, Thomaston, Putnam, Avon, Middlebury, Shrewsbury (Mass.) and Nashua (N.H.) Police Departments. This case is being prosecuted by Assistant U.S. Attorney Anthony E. Kaplan.
Washington D.C. Commercial Sex Customer Indicted for Sex Trafficking of A MinorRead the Press Release
FOR IMMEDIATE RELEASE Contact ELIZABETH MORSE
www.justice.gov/usao/md at (410) 209-4885
Baltimore, Maryland – A federal grand jury has indicted Leon R. Harrison, age 56, of Washington D.C., on charges of sex trafficking of a minor, for his role as a commercial sex customer. The indictment was returned on April 25, 2018, and unsealed today. Harrison has been charged with sex trafficking of a minor, enticement of minor to engage in prostitution, and interstate travel with intent to engage in illicit sexual conduct.
The indictment was announced by United States Attorney for the District of Maryland Robert K. Hur; Special Agent in Charge Andre Watson of ICE Homeland Security Investigations (HSI); Chief Tim Altomare of the Anne Arundel County Police Department; and State’s Attorney Wes Adams of the Anne Arundel County State’s Attorney’s Office.
According to the three-count indictment, between August 9, 2016 and February 7, 2018, Harrison used his Facebook account to send messages to hundreds of other Facebook users, offering them money in exchange for sending him sexually explicit pictures, watching him masturbate, or meeting with him in person to engage in commercial sex. Several Facebook users told Harrison that they were under 18 years old, and as young as 12 years old. Harrison continued to make the requests even after they stated that they were minors.
Between October 9, 2017, and February 7, 2018, Harrison and Girl 1 allegedly exchanged hundreds of messages over Facebook. Girl 1 was a 15-year-old Maryland tenth-grade student. In the messages, Harrison repeatedly offered to pay Girl 1 in exchange for having sex with him. In twelve instances, Harrison offered her between $40 and $60 for sex.
On February 6, 2018, Girl 1’s mother discovered the Facebook messages and contacted the police. That day, an undercover police detective began operating Girl 1’s Facebook account.
On February 7, 2018, Harrison continued communicating with Girl 1’s Facebook account. Harrison stated that he would meet with Girl 1 that evening, and that he would bring money and condoms. Harrison stated he would pay Girl 1 $50 to have sex with him and made arrangements to meet with Girl 1 at a restaurant in Odenton, Maryland. Harrison agreed that he would get Girl 1 home before 1:00 a.m. because it was a “school night.”
When he arrived at the restaurant, Harrison had condoms, $50 in cash, and two 50ml bottles of flavored vodka in his pants pockets.
Harrison faces a maximum sentence of life in prison for sex trafficking of a minor and for enticement of a minor to engage in prostitution. He faces a maximum sentence of 30 years in prison for interstate travel with intent to engage in illicit sexual conduct. An initial appearance has not yet been scheduled.
An indictment is not a finding of guilt. An individual charged by indictment is presumed innocent unless and until proven guilty at some later criminal proceedings.
United States Attorney Robert K. Hur commended HSI, the Anne Arundel County Police and the Anne Arundel State’s Attorney’s Office. Mr. Hur thanked Assistant U.S. Attorneys Zachary A. Myers and Ray D. McKenzie, who are prosecuting the case.
Vancleave Man Sentenced to 8 Years in Federal Prison for Trafficking MethamphetamineRead the Press Release
Gulfport, Miss. – Steven Paul Salmon, 56, of Vancleave, Mississippi, was sentenced today by U.S. District Judge Louis Guirola, Jr. to 97 months in federal prison, followed by five years of supervised release, for distributing methamphetamine in Biloxi, Mississippi, announced U.S. Attorney Mike Hurst and FBI Special Agent in Charge Christopher Freeze.
Salmon pled guilty on January 26, 2018, to one count of possession with intent to distribute methamphetamine. He was distributing large quantities of methamphetamine from a hotel in Biloxi. He was arrested on June 6, 2017 in possession of approximately 7 ounces of methamphetamine ICE.
The case was investigated by the Federal Bureau of Investigation’s Safe Streets Task Force and prosecuted by Assistant U.S. Attorney John Meynardie.
United States Attorney Scott W. Brady Encourages Safe Disposal of Medications during DEA’s Prescription Drug Takeback Day April 28Read the Press Release
PITTSBURGH - U.S. Attorney Scott W. Brady announced the DEA will hold the 15th National Prescription Drug Take Back Day, April 28th from 10 a.m. to 2 p.m., at hundreds of collection sites throughout the Western District of Pennsylvania.
"During National Drug Takeback Day, everyone is encouraged to turn in unused, unwanted or expired prescription drugs for safe disposal, no questions asked and at no cost to them," said U.S. Attorney Brady. "Having unused or old medicines in the house increases the risk of accidental poisoning or abuse. You help to safeguard your family’s health and safety when you properly dispose of these medications."
Western Pennsylvania residents can easily locate a nearby collection site by visiting https://takebackday.dea.gov/. The link allows for searches by zip code, county, and state.
Last October Americans turned in 456 tons (912,305 pounds) of prescription drugs at more than 5,300 collection sites operated by the DEA and more than 4,200 of its state and local law enforcement partners. Overall, in its 14 previous Take Back events, DEA and its partners have taken in over 9,015,668 pounds—more than 4,508 tons—of pills. The disposal service is free and anonymous, no questions asked. The DEA can accept pills, patches, and tightly sealed liquids. The DEA cannot accept needles or sharps.
Rates of prescription drug abuse in the U.S. are alarmingly high, as are the number of accidental poisonings and overdoses due to these drugs. Studies show that a majority of abused prescription drugs are obtained from family and friends, including from the home medicine cabinet. According to the Centers for Disease Control and Prevention, 91 Americans die each day from an opioid overdose. Some painkiller abusers move on to heroin: Four out of five new heroin users started with painkillers.
Flushing medications down the toilet or throwing them in the trash pose potential safety and health hazards. This initiative addresses the public safety and public health issues that surround medications languishing in home cabinets, becoming highly susceptible to diversion, misuse, and abuse.
United States Attorney Murray Encourages Participation in DEA's National Prescription Drug Take Back Day on April 28, 2018Read the Press Release
CONCORD – United States Attorney Scott W. Murray encourages the public to participate in the Drug Enforcement Administration’s National Prescription Drug Take Back Day on Saturday, April 28, 2018. This biannual event will be held form 10 a.m. to 2 p.m. at thousands of collection sites around the country, including over 100 here in New Hampshire. This event is an important effort to rid homes of potentially dangerous expired, unused, and unwanted prescription drugs.
“Everyone in New Hampshire should consider joining our efforts to combat the opioid crisis by participating in National Prescription Take Back Day,” said U.S. Attorney Murray. “Far too many individuals began their paths to addiction with the misuse of prescription drugs. One simple and effective way to protect our families is to remove any unneeded prescription drugs from our homes. Properly disposing of these drugs can prevent them from falling into the wrong hands. By taking a few minutes to remove these drugs from your home, you will be helping to improve the safety of our community.”
“Our take-back events highlight the problems related to prescription drug abuse and gives our citizens an opportunity to contribute to the solution,” said DEA Acting Special Agent in Charge Albert Angelucci. “These events are only made possible through the dedicated work and commitment of our local, county, state, and federal partners and DEA thanks every one of them for their efforts.”
Prior Drug Take Back Day events have been very successful. Last October, Americans turned in 456 tons (912,305 pounds) of prescription drugs at almost 5,500 sites operated by the DEA and more than 4,200 of its state and local law enforcement partners. Overall, in its 14 previous Take Back events, DEA and its partners have taken in over 9 million pounds—more than 4,500 tons—of pills. The disposal service is free and anonymous, no questions asked. Please note that the DEA cannot accept liquids, needles, or sharps, only pills or patches.
Rates of prescription drug abuse in the U.S. are alarmingly high, as are the number of accidental poisonings and overdoses due to these drugs. Studies show that most abused prescription drugs are obtained from family and friends, including from the home medicine cabinet. According to the Centers for Disease Control and Prevention, 91 Americans die each day from an opioid overdose. Some painkiller abusers move on to heroin. In fact, four out of five new heroin users started their drug use with painkillers.
Flushing medications down the toilet or throwing them in the trash pose potential safety and health hazards. This initiative addresses the public safety and public health issues that surround medications languishing in home cabinets, becoming highly susceptible to diversion, misuse, and abuse.
For more information or to locate a collection site near you, go the DEA Prescription Drug Take Back Day web site at https://takebackday.dea.gov/#collection-locator where you can search by zip code, city, or state.
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United States Attorney Addresses Rising Danger of Counterfeit Prescription PillsRead the Press Release
United States Attorney Peter E. Deegan, Jr. and law enforcement partners today highlighted the danger that counterfeit prescription pills pose to the community. Opioid and prescription drug abuse is at an all-time high. 175 Americans die every day from drug overdoses. Part of this epidemic is the increase in counterfeit pill purchases. Pills being sold as oxycodone or other drugs over the Internet or from other sources have led to overdoses and deaths across the country and here in Iowa.
United States Attorney Deegan stated, “The opioid epidemic lowered American life expectancy in 2015 and 2016 for the first time in decades.” Deegan added, “Heroin and prescription opioid abuse has taken a devastating toll on our community. But we have also seen a rise in the prevalence of counterfeit prescription pills being sold on the Internet and on the street. The public must be aware that while these pills may look like prescription drugs, looks can be deceiving. These pills can be incredibly dangerous because they often contain drugs far more powerful and dangerous than the purchaser realizes.”
Counterfeit pills are incredibly dangerous because these pills often look exactly like prescription oxycodone in size, shape, color, and markings. In other words, there is no way to tell whether a pill purchased illicitly on the internet or the street is actually oxycodone or a more powerful drug. The picture below on the left is a picture of a legitimate oxycodone pill. The picture on the right is a picture of a counterfeit oxycodone pill.
Pills being sold as oxycodone may not contain oxycodone. Recently, pills that appear to be oxycodone have been found to contain fentanyl and carfentanil. Fentanyl is a synthetic drug similar to heroin, but much more potent. Carfentanil is a fentanyl analogue. Fentanyl is 100 times more potent than morphine. Carfentanil is 100 times more potent than fentanyl and 10,000 times more potent than morphine. In 2016, synthetic opioids caused more overdose deaths than heroin.
These counterfeit pills are also dangerous because users who believe that they are purchasing oxycodone will assume the pills are safe because they appear to be quality-controlled products of a heavily regulated prescription drug industry. Instead, users may be putting powerful, unknown substances into their bodies, including fentanyl and carfentanil, which have been linked to overdose deaths across the country.
Fentanyl has caused the deaths of multiple people in Iowa over the last few years. In July 2016, Max Julian Wright was sentenced to life in federal prison after being found guilty of distributing heroin and fentanyl that caused at least 6 overdoses in Cedar Rapids, including two deaths. Fentanyl has also been linked to multiple overdoses and deaths in Dubuque.
Unless prescription drugs are obtained from an authorized medical provider or pharmacy, the public should not consume or even handle these pills. The synthetic opioids contained in them are lethal if consumed, but can also cause sickness and even death simply by being absorbed through the skin. All Iowans are urged to only use prescription drugs prescribed to them by legitimate health care providers.
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U.S. Attorney’s Office Hosts Roundtable Discussion on Combatting Sexual Harassment in HousingRead the Press Release
SIOUX FALLS, SD – United States Attorney Ron Parsons announced that the U.S. Attorney’s Office for the District of South Dakota hosted a roundtable discussion regarding Sexual Harassment in Housing. Today’s event, held in conjunction with National Sexual Assault Awareness and Prevention Month, was the first of its kind in South Dakota.
The event brought together local law enforcement, legal services providers, public housing authorities, and other non-profit organizations who work with South Dakota’s vulnerable populations, specifically in the areas of housing, homelessness, and domestic violence. Participants discussed how they see such problems manifesting within the Sioux Falls area, and brainstormed ways in which local entities might collaborate to combat them.
Although always illegal and unacceptable, sexual harassment tends to be particularly underreported in the housing context.
“For landlords or property managers to try to use the power they have over tenants to extort sexual favors, or even commit assaults, is beyond reprehensible,” said U.S. Attorney Parsons. “No person should have to tolerate unwanted sexual advances in order to keep a roof over his or her head. Our office is dedicated to uncovering such violations wherever they exist and vigorously enforcing the law.”
The Department of Justice, through U.S. Attorney’s Offices and the Civil Rights Division, is charged with enforcing the Fair Housing Act. In October 2017, the Civil Rights Division announced a new initiative to combat sexual harassment in housing, and launched pilot programs in D.C. and the Western District of Virginia. On April 12, 2018, the Division rolled out a national initiative. The initiative seeks to increase efforts to protect women from harassment by landlords, property managers, maintenance workers, security guards, and other employees and representatives of rental property owners. As part of the initiative, the Department of Justice is working to identify barriers to reporting sexual harassment and collaborate with local law enforcement, legal services providers, public housing authorities, and other non-profit organizations to leverage their expertise in this area.
To aid in this effort, the Department of Justice is hosting a series of roundtable discussions around the country. Along with U.S. Attorney Parsons, the Sioux Falls discussion was facilitated by Lauren Miller Marks from the U.S. Department of Justice’s Civil Rights Division in Washington, D.C., James C. Whiteside from the U.S. Department of Housing and Urban Development in Denver, CO, and Diana Ryan, Chief of the Civil Division, and AUSA Alison Ramsdell, Civil Rights Coordinator, both from the District of South Dakota.
April 2018 is also National Fair Housing Month and marks the 50th Anniversary of the Fair Housing Act, which prohibits discrimination in housing on the basis of race, color, religion, sex, familial status, national origin, and disability. Sexual harassment is a form of sex discrimination barred by the Fair Housing Act. Sexual harassment by landlords, property managers, maintenance workers, and others who exercise power over access to housing affects the most vulnerable populations within our communities—single parents, individuals with financial difficulties, and people who have suffered sexual violence in their past. Often, these individuals do not know where to turn for help.
Local law enforcement and community organizations can assist in this effort by identifying misconduct and recommending that individuals report sexual harassment to the Department of Justice. “Our goal is greater than just prosecution,” emphasized U.S. Attorney Parsons. “We want to put an end to this kind of abuse.”
We encourage anyone who has experienced sexual harassment in housing, or knows someone who has, to contact the Civil Rights Division by calling (844) 380-6178, or by emailing [email protected]. Individuals in South Dakota who believe they may have been victims of discrimination may also file a complaint with the U.S. Attorney’s Office’s Civil Rights Section.
Two-Time Indicted Green Sentenced on Drug chargesRead the Press Release
MACON: Charles E. Peeler, United States Attorney for the Middle District of Georgia, announces that Adrian Green, aged 33, from Hawkinsville, GA, was sentenced on April 18, 2018 to 14 years confinement, consecutive to a previous 60-month sentence, in front of the Honorable Marc Thomas Treadwell in Macon, GA.
Mr. Green was one of thirty-two defendants indicted on September 9, 2015 as part of Operation “Makon Money.” He entered a guilty plea on January 19, 2017 to Conspiracy to Possess Marijuana with the Intent to Distribute. This charge carries a maximum statutory penalty of five years’ incarceration. Mr. Green was allowed to remain on bond pending sentencing.
On November 15, 2017, Mr. Green was charged in a separate indictment with Possession with Intent to Distribute more than 50 grams of methamphetamine. This charge resulted from a search warrant at his residence in Hawkinsville, Georgia. During the search, 493 grams of methamphetamine, 3 ounces of Marijuana, baggies and a scale were found. Mr. Green entered a guilty plea to this charge on March 6, 2018.
“Mr. Green made the decision to continuously engage in criminal activity through dealing illegal drugs,” United States Attorney Charles Peeler said. “He will remain in jail for a long time for these choices.”
Robert J. Murphy, the Special Agent in Charge of the DEA Atlanta Field Division commented on the case: “The successful results of this investigation should let repeat offenders like Mr. Green know that those who flood the drug market with illegal drugs will ultimately be brought to justice by DEA, its law enforcement partners and the United States Attorney’s Office.”
Investigative agencies include the Drug Enforcement Administration and the Oconee Drug Task Force. Assistant United States Attorney Charles Calhoun prosecuted the case on behalf of 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.
Two Plead Guilty in Fraud SchemeRead the Press Release
PITTSBURGH, PA – Two southwestern Pennsylvania residents pleaded guilty in federal court to charges of conspiracy and filing a false tax return, United States Attorney Scott W. Brady announced today.
Robert Richards pleaded guilty to one count of filing a false tax return, and Jennifer Morrison, 60, of Greensburg, pleaded guilty to one count of conspiracy to defraud the United States before United States District Judge Nora Barry Fischer.
In connection with the guilty plea, the court was advised that Richards and Morrison conspired to defraud the United States and the Internal Revenue Service (IRS) during the period January 2006 to April 2010, by impeding the IRS in the collection of income taxes due from the operation of Richards’ used car dealerships in Greensburg, Jeannette, and McKeesport. Richards secreted his income from the IRS by placing his dealerships and more than 30 business bank accounts, through which he funneled proceeds of his business, in the names of nominee owners. One such nominee was Jennifer Morrison, who handled all of the business bookkeeping and who worked in tandem with Richards to funnel more than $1 million in gross business receipts through the nominee bank accounts. Richards and Morrison extracted funds from the business accounts to pay for personal expenditures. The tax loss to the IRS was calculated at more than $90,000.
Judge Fischer scheduled sentencing for September 14, 2018, at 9:30 a.m. for Richards, and at 11 a.m. for Morrison. The law provides for a total sentence of three years in prison, a fine of $250,000, or both, for Richards; and a total sentence of five years in prison, a fine of $250,000, or both, for Morrison. Under the Federal Sentencing Guidelines, the actual sentences imposed are based upon the seriousness of the offenses and the prior criminal history, if any, of each of the defendants.
Richards and Morrison both remain on bond pending the sentencing hearings.
Assistant United States Attorney Carolyn J. Bloch is prosecuting this case on behalf of the government.
The Pennsylvania State Police and the Internal Revenue Service conducted the investigation that led to the prosecution of Richards and Morrison.
Two Local Men Pled Guilty Today Involving a Firearm and Drug OffenseRead the Press Release
U.S. Attorney Duane A. Evans announced that JAMIRON BARNES, a/k/a “Miron,” a/k/a “Myron,” age 22 and SEAN BRIGGS, a/k/a “Big Sean,” a/k/a “Big C,” age 33, have both pled guilty today. BARNES and BRIGGS pled guilty to one count of Possession of a Firearm in Furtherance of a Drug Trafficking in violation of Title 18, United States Code, Section 924(c)(1)(A). The defendants face a mandatory minimum of 5 years imprisonment up to life imprisonment, 5 years supervised release following any term of imprisonment, a $250,000.00 fine, and $100.00 special assessment fee.
U.S. Attorney Evans praised the work of the continued coordinated effort of the federal and state law enforcement authorities, including the United States Attorney’s Office, the Federal Bureau of Investigation’s New Orleans Gang Task Force, the New Orleans Police Department, and the Orleans Parish District Attorney’s Office. Assistant United States Attorney Elizabeth Privitera is in charge of the prosecution.
This case was brought as part of Project Safe Neighborhoods (PSN), a program that has been historically successful in bringing together all levels of law enforcement to reduce violent crime and make our neighborhoods safer for everyone. Attorney General Jeff Sessions has made turning the tide of rising violent crime in America a top priority. In October 2017, as part of a series of actions to address this crime trend, Attorney General Sessions announced the reinvigoration of PSN and directed all U.S. Attorney’s Offices to develop a district crime reduction strategy that incorporates the lessons learned since PSN launched in 2001.
Two Alleged MS-13 Members Charged with Violent Extortion ConspiracyRead the Press Release
An indictment was unsealed Tuesday charging two alleged MS-13 members residing in Hyattsville, Maryland, with conspiracy to interfere with interstate commerce by extortion. Both defendants remain in custody following one of their detention hearings earlier today.
The indictment was announced by Acting Assistant Attorney General John P. Cronan, U.S. Attorney Robert K. Hur for the District of Maryland, Assistant Director in Charge Andrew W. Vale of the FBI Washington Field Office, Special Agent in Charge Ivan Arvelo of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) Baltimore Field Office, Chief Mark A. Magaw of the Prince George’s County Police Department, Prince George’s County State’s Attorney Angela D. Alsobrooks, Chief Douglas Holland of the Hyattsville Police Department, Chief J. Thomas Manger of the Montgomery County Police Department, and Montgomery County State’s Attorney John McCarthy.
Jairo Arnaldo Jacome, aka “Abuelo,” 36, and Gerdandino Delgado-Escobar, aka “Pumba,” 23, are charged in the one-count indictment that alleges a conspiracy to interfere with interstate commerce by extortion beginning at least in or around March 2013 and continuing through April 2018. According to the indictment, Jacome and Delgado-Escobar are alleged to be members and associates of the Langley Park Salvatruchas (LPS) clique of MS-13. Both defendants are in custody. Jacome was ordered detained pending trial following a detention hearing today.
The indictment alleges that MS-13 is an international criminal enterprise that is active throughout the United States. In the Washington, D.C. metropolitan area, including in Prince George’s County, Maryland, MS-13 generates income from various sources, including the extortion of sums of money from persons who engage in business activities such as controlled substances sales, illegal brothels, and unlicensed “stores” where items such as food, alcoholic beverages, and cigarettes are sold, as well as legitimate businesses including food and beverage sales or distributors. The indictment further alleges that members of the gang often refer to these extortion payments as “rent.”
Jacome is alleged to have threatened business owners from whom he demanded “rent” payments. According to the indictment, in or around 2015, Jacome allegedly threatened one extortion victim with a gun, grabbed the victim by the neck and hit the victim, telling the victim that Jacome was a member of the “Mara” and that the victim was required to pay “rent” to Jacome for his business or else Jacome would send people to kill the victim’s family. The indictment further alleges that Delgado-Escobar allegedly took extortion payments on behalf of Jacome and the LPS clique.
An indictment is is merely an accusation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Trial Attorney Catherine K. Dick of the Criminal Division’s Organized Crime and Gang Section and Assistant U.S. Attorneys William D. Moomau and Daniel C. Gardner of the U.S. Attorney’s Office for the District of Maryland are prosecuting this case.
Two Alleged MS-13 Members Charged with Violent Extortion ConspiracyRead the Press Release
FOR IMMEDIATE RELEASE Contact ELIZABETH MORSE
www.justice.gov/usao/md at (410) 209-4885
Greenbelt, Maryland – On April 25, 2018, a federal grand jury indicted two alleged MS-13 members, Jairo Arnaldo Jacome, a/k/a “Abuelo,” age 36, and Gerdandino Delgado-Escobar, a/k/a “Pumba,” age 23, both of Hyattsville, Maryland, with conspiracy to interfere with interstate commerce by extortion.
The indictment was announced by United States Attorney for the District of Maryland Robert K. Hur; Acting Assistant Attorney General of the Criminal Division John P. Cronan; Assistant Director in Charge Andrew W. Vale of the FBI Washington Field Office; Special Agent in Charge Ivan Arvelo of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) Baltimore; Chief Mark A. Magaw of the Prince George’s County Police Department; Prince George’s County State’s Attorney Angela D. Alsobrooks; Chief Douglas Holland of the Hyattsville Police Department; and Chief J. Thomas Manger of the Montgomery County Police Department.
According to the indictment, MS-13 is an international criminal enterprise that is active throughout the United States. In the Washington, D.C. metropolitan area, including in Prince George’s County, Maryland, MS-13 generates income from various sources, including the extortion of sums of money from persons who engage in business activities such as controlled substance sales, illegal brothels, and unlicensed “stores” where items such as food, alcoholic beverages, and cigarettes are sold, as well as legitimate businesses including food and beverage sales or distributors. Members of the gang often refer to these extortion payments as “rent.”
Beginning at least in or around March 2013 and continuing through April 2018, Jacome is alleged to have threatened business owners from whom he demanded “rent” payments. According to the indictment, in or around 2015, Jacome allegedly threatened one extortion victim with a gun, grabbed the victim by the neck and hit the victim, telling the victim that Jacome was a member of the “Mara” and that the victim was required to pay “rent” to Jacome for his business or else Jacome would send people to kill the victim’s family. The indictment further alleges that Delgado-Escobar allegedly took extortion payments on behalf of Jacome and the Langley Park Salvatuchros (“LPS”) clique of MS-13.
An indictment is not a finding of guilt. An individual charged by indictment is presumed innocent unless and until proven guilty at some later criminal proceedings. Both defendants are in custody. Jacome was ordered detained pending trial following a detention hearing today.
United States Attorney Robert K. Hur commended the FBI Washington Field Office, HSI Baltimore, the Prince George’s County Police Department, the Hyattsville Police Department, and the Montgomery County Police Department for their work in the investigation. United States Attorney Robert K. Hur thanked Assistant United States Attorneys William D. Moomau and Daniel C. Gardner of the U.S. Attorney’s Office for the District of Maryland and Trial Attorney Catherine K. Dick of the Organized Crime and Gang Section, who are prosecuting this case.
Town of Monroe Justice Pleads Guilty to False Statement and Obstruction of Justice ChargesRead the Press Release
Geoffrey S. Berman, the United States Attorney for the Southern District of New York, announced today that LURLYN A. WINCHESTER, a former Justice for the Town Court of Monroe, pled guilty today before U.S. Magistrate Judge Judith C. McCarthy, in federal court in White Plains, on charges that she made false statements in connection with an application for a loan she obtained to purchase a residence in Monroe in order to satisfy a residency requirement attached to her position as Town Justice, and obstruction of justice for providing Federal Bureau of Investigation (“FBI”) task force members, who were questioning her about her mortgage loan, with false documents, including fabricated rent payment receipts.
U.S. Attorney Geoffrey S. Berman said: “As she admitted in court today, Lurlyn Winchester, in an attempt to fraudulently satisfy a residency requirement for a judgeship, lied and provided fake documents to secure a mortgage. She then lied to FBI task force officers and provided them with fake documents in an attempt to cover up that crime. Winchester’s lack of integrity and honesty did not merit a term on the bench. Her crimes will likely earn her a term in prison.”
According to the allegations contained in the Indictment as well as statements made in public court proceedings:
On or about November 5, 2013, LURLYN A. WINCHESTER, the defendant, was elected Town of Monroe Justice. Under New York law, she was required to reside in Monroe in order to be eligible to hold that Town of Monroe Justice position. At the time, she and her husband lived in a home in New City, New York (“the New City Home”), that they purchased in 1997. In or about November 2013, WINCHESTER attempted to purchase a condominium in Monroe, New York (“Monroe Condominium-1”). On or about December 17, 2013, WINCHESTER entered into a lease agreement with a tenant (“Tenant-1”) to rent the New City Home to Tenant-1. At around that time, Tenant-1 provided WINCHESTER with a $7,500 check. On a later date, Tenant-1 also provided WINCHESTER with a $1,500 check.
In or about March 2014, the deal to purchase Monroe Condominium-1 fell through and WINCHESTER returned $7,500 to Tenant-1. In the same month, WINCHESTER entered into a contract to purchase a second condominium (“Monroe Condominium-2”), which was in the process of being built.
In or about June 2014, WINCHESTER began submitting applications for a residential loan and supporting documents to representatives of Hudson United, who, in turn, submitted these items to several lenders. WINCHESTER represented, in the applications, that the New City Home was the couple’s “present address.” She further represented in the applications that the loan was to be used to purchase Monroe Condominium-2. On the loan applications and an Affidavit of Occupancy signed by WINCHESTER, she asserted that Monroe Condominium-2 would be their primary residence.
In or about late 2014, two lenders that had received WINCHESTER’s loan application for Monroe Condominium-2 declined to approve the loan. The first did so because WINCHESTER had too much debt compared with her income. The second did so after it reviewed documents the defendant submitted, upon the lender’s request, that were supposed to show that she intended to rent out her New City Home. The documents she submitted included a phony lease agreement and copies of the $7,500 check and $1,500 check Tenant-1 had provided to her at the end of 2013 and in early 2014, at the time WINCHESTER was planning to purchase Monroe Condominium-1. The lender rejected these, noting that the dates of the checks and the lease did not make sense.
Thereafter, Hudson United submitted WINCHESTER’s loan materials to a third lender, Plaza Home Mortgage (“Plaza”). Plaza also requested information about WINCHESTER’s representation that she and her husband intended to move to Monroe Condominium-2 and rent out the New City Home. In response, on or about February 6, 2015, WINCHESTER sent Hudson United a letter in which she stated that “in regard to our intent with the current primary residence, [New City Home], please be advised that we intend on renting the premises.” She further represented that they “already have a prospective tenant who is anxiously awaiting to take occupancy of the residence.”
On or about February 27, 2015, Plaza informed Hudson United that it placed the loan in “suspend for decline status” because of insufficient income. On or about March 20, 2015, based on WINCHESTER’s representation, Hudson United informed Plaza that there would be rental income from the New City Home. As a condition for closing on the loan, Plaza requested, among other things, a copy of a fully executed 12-month lease and a canceled check for a security deposit.
In response, on or about March 27, 2015, WINCHESTER submitted to Hudson United, which then submitted to Plaza, the following items containing false statements: (1) a phony lease agreement providing that Tenant-1 was to going to pay $4,500 a month to lease the New City Home; and (2) a copy of two checks, made out to WINCHESTER, each in the amount of $4,500, dated March 23, 2015, signed by Tenant-1, and drawn on Tenant-1’s bank account. The checks each contained a false notation indicating it was for the security deposit or first month’s rent for the New City Home. Unbeknownst to Hudson United and Plaza, Tenant-1 did not intend to rent the New City Home and Tenant-1 did not provide the money to pay for a security deposit or first month’s rent. In fact, WINCHESTER provided Tenant-1 with $9,000 to cover the two $4,500 checks Tenant-1 issued to WINCHESTER.
On or about April 2, 2015, WINCHESTER and Plaza closed on the loan and Plaza funded the purchase of Monroe Condominium-2. Tenant-1 never moved to the New City Home and WINCHESTER did not move to Monroe Condominium-2.
On or about July 28, 2016, members of an FBI task force conducting an investigation interviewed WINCHESTER, at her office in New City, about the statements she made in connection with the loan she received from Plaza Home Mortgage.
Thereafter, the defendant met with Tenant-1, enlisted Tenant-1’s support in providing a false story to investigators, and had Tenant-1 initial fabricated “rent receipts” that indicated that Tenant-1 made a total of $9,000 in incremental cash payments to WINCHESTER, between May 15, 2014, and January 16, 2015, as advance rent payments for the New City Home.
On or about August 1, 2016, task force members returned to WINCHESTER’s New City office and interviewed her again. During the interview, she gave them a number of documents designed to support her false account that Tenant-1 intended to rent the New City Home but decided, after the closing on Monroe Condominium-2 on April 2, 2015, not to move in. The documents she provided to the task force members included, among other things, copies of the false and fabricated “rent receipts.”
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WINCHESTER, 59, of New City, New York, pled guilty to both counts of an indictment. The first charged her with making false statements to a mortgage lending business, which carries a maximum sentence of 30 years in prison and a maximum fine of $1,000,000 or twice the gross gain or loss from the offense. The second charged her with falsifying records in a federal investigation, with the intent to impede, obstruct, or influence the investigation or proper administration of any matter within the jurisdiction of a federal department or agency, which carries a maximum sentence of 20 years in prison and a maximum fine of $250,000 or twice the gross gain or loss from the offense. The maximum potential sentences in this case are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendant will be determined by the judge.
WINCHESTER’s sentencing is scheduled for August 28, 2018, at 2:00 p.m.
Mr. Berman praised the outstanding investigative work of the FBI. He also thanked the Orange County Sheriff’s Office and the Orange County District Attorney’s Office for their assistance.
The case is being prosecuted by the Office’s White Plains Division. Assistant U.S. Attorney Margery B. Feinzig is in charge of the prosecution.
Three Individuals Plead Guilty After Jury Selection in Drug Trafficking TrialRead the Press Release
SAN JUAN, P.R. –Today, after selecting a jury and hearing the Government’s opening statement, defendants Hector Piedrahita-Sinisterra, José Ciro Segura-Sánchez, and Juan Nolberto González-Ramírez, entered guilty pleas in a drug trafficking case before United States District Court Judge Pedro A. Delgado. These guilty pleas finalized an investigation and prosecution by the U.S. Coast Guard and the United States Attorney’s Office for the District of Puerto Rico, announced Rosa Emilia Rodríguez-Vélez, United States Attorney for the District of Puerto Rico.
A fourth defendant, Ángel De Jesús Castillo-Godoy had plead guilty to conspiracy to possess a controlled substance on board a vessel subject to the jurisdiction of the United States on February 12, 2018 and his sentencing hearing is scheduled for June 1, 2018. The defendants now face a minimum mandatory sentence of 10 years in a drug destruction case prosecuted under Title 46 of the Maritime Drug Law Enforcement Act (MDLEA). Defendants Hector Piedrahita-Sinisterra, Jose Ciro Segura-Sánchez and Juan Nolberto González-Ramírez entered a straight plea after the prosecution’s opening statement. All pled guilty to the four counts: conspiracy to possess a controlled substance on board a vessel subject to the jurisdiction of the United States, aiding and abetting in the possession of controlled substances, conspiracy to destroy property subject to forfeiture under the MDLEA, and aiding and abetting in the destruction of that property.
On September 12, 2016, a Maritime Patrol Aircraft on routine patrol detected a suspicious vessel approximately 200 nautical miles South of Guatemala. U.S. Coast Guard Cutter WAESCHE was diverted to intercept the vessel, and dispatched its Dolphin helicopter as well as two small boats to conduct the interdiction. Upon detection of the Coast Guard’s helicopter, the vessel attempted to flee and jettisoned a large fiberglass box over the side of the vessel. After stopping the vessel using warning shots, the helicopter’s crew witnessed the defendants cutting open small packages and dumping them into the water. They also witnessed the defendants hastily change their clothes.
The Coast Guard’s boarding team arrived shortly thereafter and witnessed the individuals dump gasoline all over the vessel, which is a technique sometimes used to attempt to cover up any trace amounts of drugs that may be found on the vessel. When Coast Guard personnel boarded the vessel they were unable to locate any narcotics or the packages jettisoned overboard; however, IONSCAN tests revealed that portions of the vessel, the subjects’ hands, and their belongings, had trace amounts of cocaine and methamphetamine. As a result, the defendants were transported to the District of Puerto Rico for prosecution.
The case was prosecuted by Assistant United States Attorney David Henek and Special Assistant U.S. Attorney from the U.S. Coast Guard, Sean R. Gajewski.
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Tennessee Physician agrees to pay nearly $200,000 to government for kickback schemeRead the Press Release
WHEELING, WEST VIRGINIA – Dr. Brenna Green, of Murfreesboro, Tennessee, has settled with the United States Government for her role in a kickback scheme that included West Virginia physicians, United States Attorney Bill Powell announced.
Green, age 41, was accused of participating in a kickback scheme with Southwest Laboratories, Medscan Laboratory, sales representatives affiliated with Southwest and Medscan and others, thereby causing false claims to be submitted to Medicare in violation of the Federal False Claims Act, the Physician Self-Referral law, and the Anti-Kickback Statute. It is alleged that Green acquired shares in Southwest for a nominal sum in exchange for a guaranteed “dividend” of approximately $5,000 per month, provided she met or exceeded the number of urine drug screen referrals required by Southwest. Green allegedly collected nearly $100,000 in said dividends.
Green has agreed to pay $199,425.56, which was paid in full this week.
“We will be ever vigilant in our task of protecting taxpayer dollars from fraudulent schemes. Thanks to the hard work of our civil staff and agency investigators, we were able to successfully conclude this matter. Our efforts will continue,” said Powell.
It is further alleged that Southwest processed urine drug screens from patients covered by private health care benefit programs, and forwarded the drug screens from patients covered by Medicare to Medscan. Medscan profited more than $300,000 from Medicare drug screens that were referred by Green.
Assistant U.S. Attorney Alan McGonigal litigated the case on behalf of the government. The Federal Bureau of Investigation and the Office of Inspector General – Department of Health and Human Services investigated.
Stuart Encourages West Virginians to Participate in DEA's National Prescription Drug Take-Back DayRead the Press Release
15th National Prescription Drug Collection Event Scheduled for Saturday, April 28th from 10:00am to 2:00pm
CHARLESTON, W.Va. – United States Attorney Mike Stuart is encouraging everyone to participate in National Prescription Drug Take-Back Day this Saturday, April 28, 2018. The event, held from 10:00am to 2:00pm , provides an opportunity for people to safely dispose of unwanted, unused or expired prescription medications. The service is free and anonymous.
“Unused prescription medication sitting in a medicine cabinet is an invitation for abuse or worse,” said United States Attorney Mike Stuart. “I urge all West Virginians to be smart and take part in Saturday’s Take-Back event to avoid a potential nightmare of abuse or accidental overdose.”
As a result of the 14 previous National Take Back events, DEA and its law enforcement partners have taken in more than 9 million pounds – more than 4,500 tons – of pills.
“DEA is committed to the citizens of West Virginia,” said DEA Assistant Special Agent in Charge David Gourley. “This program allows citizens to empty their medicine cabinets of unwanted or expired medications with no questions asked. DEA will then dispose of these medications in a safe manner.”
To find a collection site near you, go to https://takebackday.dea.gov/.
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