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Tuesday 13 March 2018
Former District of Columbia Government Employee Pleads Guilty to Federal Charges in Bribery SchemesRead the Press Release
WASHINGTON – A former management analyst for the District of Columbia Office of the State Superintendent of Education (OSSE) pled guilty today to federal charges stemming from schemes in which she accepted bribes in return for clearing the way for payments to be made on fraudulent invoices that cost the D.C. government more than $480,000.
The announcement was made by U.S. Attorney Jessie K. Liu, Andrew W. Vale, Assistant Director in Charge of the FBI’s Washington Field Office, and Daniel W. Lucas, Inspector General for the District of Columbia.
Shauntell Harley, 48, of Washington, D.C., pled guilty in the U.S. District Court for the District of Columbia to two counts of conspiracy to commit bribery. Each charge carries a statutory maximum of five years in prison and potential financial penalties. Under federal sentencing guidelines, the parties have estimated that Harley faces a likely range of 70 months to 87 months in prison and a fine of up to $125,000. The Honorable Randolph D. Moss scheduled sentencing for June 7, 2018.
As part of the plea agreement, Harley must pay $488,311 in restitution to the District of Columbia Office of the State Superintendent of Education. She also has agreed to pay a forfeiture money judgment in the amount of $100,400.
OSSE is an agency of the District of Columbia government. Harley was a management analyst for fiscal policy and grant management in OSSE’s Division of Special Education. From 2009 through 2014, her responsibilities included issuing requests for services through the government’s procurement process and then reviewing invoices from those who supposedly provided the services.
According to a statement of offense submitted at today’s plea hearing, Harley took part in two separate schemes involving fraudulent invoices paid by the D.C. government.
In one, scheme which began in or about June of 2012, she and business owner Vashawn Strader agreed that Harley would receive money and other things of value in exchange for favorable official action for Strader’s companies. They agreed that Strader would create fraudulent invoices purporting to reflect work that his companies did not actually perform. This work purportedly included early intervention services and professional development training.
Harley used her official position at OSSE to provide Strader with non-public information about OSSE contracts, assist him in creating fraudulent invoices, and submit these fraudulent invoices and other documents as necessary in order to cause OSSE to make the payments for services the companies never performed. In total, this led to $308,311 in payments in 2012 and 2013 to the two companies for services that never were provided. In return for her actions, Harley personally obtained a total of $43,900 in proceeds traceable to the scheme.
Strader, 39, of Washington, D.C., pled guilty in October 2017 to one count of conspiracy to commit bribery. He is awaiting sentencing. Under his plea agreement, Strader is required to pay $308,311 in restitution to OSSE and an identical amount in a forfeiture money judgment.
In the second scheme, which unfolded in 2013 and 2014, Harley admitted conspiring with the owner of another company to have that firm invoice OSSE for work that was not performed. Harley used her official position to create and submit fraudulent purchase orders and otherwise caused OSSE to pay the company. In exchange, the company owner provided Harley with a portion of the proceeds. According to the statement of offense, in this scheme Harley used her official position to cause OSSE to pay $179,999 for services that the company never provided. The company owner made approximately $53,000 in payments to Harley.
In announcing the plea, U.S. Attorney Liu, Assistant Director in Charge Vale, and Inspector General Lucas commended the work of those who investigated the case from the FBI’s Washington Field Office and Office of the Inspector General of the District of Columbia. They acknowledged the efforts of those who worked on the case from the U.S. Attorney’s Office, including Assistant U.S. Attorney Thomas Swanton, who assisted with forfeiture issues, and Paralegal Specialists Joshua Fein and Kristy Penny. Finally, they expressed appreciation for the work of Assistant U.S. Attorney Peter C. Lallas, who is investigating and prosecuting the matter.
Former Connecticut Resident Sentenced to More Than 5 Years in Prison for $3 Million Fraud SchemeRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, today announced that MOHSEN YOUSSEF, 27, formerly of Vernon, was sentenced yesterday by U.S. District Judge Janet Bond Arterton in New Haven to 63 months of imprisonment, followed by three years of supervised release, for fraud offenses relating to a scheme to secure more than $3 million in funding for his purported pita manufacturing business.
According to court documents and statements made in court, beginning in approximately October 2011, YOUSSEF defrauded various banks, a corporate leasing and vendor finance company, and the Connecticut Department of Economic and Community Development, in a scheme to secure funding for equipment purchases for his company, Amoun Pita and Distribution LLC (“Amoun Pita”), and other companies he controlled. According to its business plan, Amoun Pita was a bakery that manufactured pocket pita bread from a production facility in South Windsor, Connecticut.
As part of the scheme, YOUSSEF provided false information when applying for loans, lines of credit, lease financing and state grants, purportedly to finance the acquisition of new pita manufacturing equipment, other machinery and inventory related to his businesses. The false information included documentation that inflated the assets and income of YOUSSEF and his companies, as well as fraudulently created invoices purporting to document equipment purchases that, in fact, never occurred. In order to induce victims to rely on the invoices he provided, YOUSSEF created marketing materials and websites for non-existent vendors.
YOUSSEF caused more than $3 million in losses through this scheme.
The investigation revealed that YOUSEFF also defrauded a property owner who entered into an agreement to sell the land on which Amoun Pita was located.
Judge Arterton ordered YOUSSEF to pay the victim lenders and the defrauded property owner a total of $3,746,603 in restitution.
YOUSSEF, who has dual U.S and Egyptian citizenship, moved to Canada in 2014. On Oct 22, 2015, a grand jury returned a 14-count indictment charging YOUSSEF with various fraud offenses. He was arrested in Canada on March 1, 2017. On October 26, 2017, he pleaded guilty to one count of bank fraud and one count of mail fraud.
YOUSSEF has been detained since his arrest.
This matter was investigated by the Federal Bureau of Investigation, with the assistance of the Quebec Provincial Police RELEX Unit, Montreal Police Service and Royal Canadian Mounted Police. The case was prosecuted by Assistant U.S. Attorneys David E. Novick and Avi M. Perry.
Florida Man Found Guilty of Assaulting A Mail CarrierRead the Press Release
Orlando, FL – A federal jury today found Francisco Javier Barbot Cabassa (28, Kissimmee) guilty of forcibly assaulting a mail carrier while the carrier was engaged in the performance of his official duties, resulting in physical contact with the mail carrier.
According to testimony and evidence presented at trial, Barbot Cabassa approached the mail carrier, while he was distributing mail, and demanded that the carrier give him a package. The mail carrier requested that Barbot Cabassa provide identification, but Barbot Cabassa refused. As a result, the carrier informed Barbot Cabassa that he would need to go to the post office and provide identification in order to obtain the package. Barbot Cabassa then punched the mail carrier in the face and ultimately took the package.
This case was investigated by the U.S. Postal Inspection Service. It was prosecuted by Assistant United States Attorneys Alejandro J. Salicrup and Vincent S. Chiu.
Federal Jury Convicts Remaining Two Members of Large Scale Drug Trafficking Organization on All CountsRead the Press Release
United States Attorney Brandon J. Fremin announced today that a federal jury has unanimously convicted DEMITORIS “Big Tachi” ALEXANDER, age 52, of Gonzales and COLIN KNOX, age 39, of Baton Rouge, Louisiana, on all charges following a six-day jury trial before U.S. District Judge Shelly D. Dick, including numerous narcotics trafficking charges related to their significant roles in a large-scale and violent drug trafficking organization. Both defendants face a mandatory minimum of 20 years imprisonment and up to life imprisonment.
The evidence at trial demonstrated that ALEXANDER led a large-scale cocaine distribution organization in Ascension Parish that obtained cocaine from Houston, Texas, for distribution in Ascension Parish, Baton Rouge and elsewhere. ALEXANDER recruited female couriers to travel to Houston in vehicles with aftermarket secret compartments to transport money to Houston and cocaine from Houston. For example, one such courier, Andrea Rumore, transported 18 kilograms of cocaine from Houston on behalf of ALEXANDER when law enforcement stopped her vehicle in Port Allen, Louisiana. The evidence at trial also reflected that, during the spring and summer of 2013, ALEXANDER obtained and distributed over 350 kilograms of cocaine to others, including Kelly Williams.
The evidence at trial demonstrated that KNOX’s role in the organization was as an enforcer who used violence and threats of violence to protect Williams and the organization. For example, on at least two occasions in 2013, KNOX attempted to locate and harm others that were involved in disputes with Williams.
ALEXANDER and KNOX are the final two of 38 defendants convicted in Operation Third World, an extensive investigation that dismantled a violent drug trafficking network primarily operating out of Baton Rouge and Ascension Parish.
United States Attorney Brandon J. Fremin stated, “These convictions, which included the leader of a multi-kilogram cocaine trafficking group and an ‘enforcer’ involved in a chilling murder plot and other violence, deliver a devastating blow to the heart of a violent drug trafficking organization that was responsible for spreading significant amounts of cocaine and other illegal drugs throughout our district. Every community and every person deserves peace, security, and freedom from the tyranny of violent drug traffickers. The combined federal, state, and local effort, which resulted in the conviction of 38 members of this organization, reflects once again the unified front against drug dealers and violent offenders in this district. I greatly appreciate the tremendous dedication and hard work by the agents, prosecutors, and support staff working on this important matter.”
DEA Assistant Special Agent-in-Charge Brad L. Byerley stated, “These convictions send a clear message that drug traffickers operating in the Middle District of Louisiana will be held accountable for their crimes. DEA, in conjunction with our state and local law enforcement partners, will continue to work together to keep our nation, state, and community safe.”
The investigation is another effort by the Organized Crime Drug Enforcement Task Force (OCDETF) Program which was established in 1982 to mount a comprehensive attack against organized drug traffickers. Today, the OCDETF Program is the centerpiece of the United States Attorney General’s drug strategy to reduce the availability of drugs by disrupting and dismantling major drug trafficking organizations and money laundering organizations and related criminal enterprises. The OCDETF Program operates nationwide and combines the resources and unique expertise of numerous federal, state, and local agencies in a coordinated attack against major drug trafficking and money laundering organizations.
Operation Third World was handled by the U.S. Attorney’s Office, the U.S. Drug Enforcement Administration (DEA), the Internal Revenue Service-Criminal Investigations (IRS-CI), the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), the Baton Rouge City Police Department, the West Baton Rouge Parish Sheriff’s Office, the East Baton Rouge Parish Sheriff’s Office, the Ascension Parish Sheriff’s Office, the Louisiana State Police, the Iberville Parish Sheriff’s Office, the Livingston Parish Sheriff’s Office, the Gonzales Police Department, and the Baker Police Department. This matter was prosecuted by Assistant United States Attorneys Jennifer Kleinpeter and Adam Ptashkin.
Erie Man Charged with Punching Out Federal Courthouse Complex WindowRead the Press Release
ERIE, Pa. – A resident of Erie, Pennsylvani,a has been indicted by a federal grand jury in Erie on a charge of willfully injuring or committing any depredation against any property of the United States, United States Attorney Scott W. Brady announced today.
The one-count indictment named Paul Howard Scalf, 48, as the sole defendant.
According to the indictment presented to the court, on or about December 23, 2017, Scalf punched out a window causing it to shatter on the southwest side of the Erie Federal Courthouse Complex which caused damaged in excess of $1,000.00.
The law provides for a maximum total sentence of 10 years in prison, a fine of $250,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offense and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Christian A. Trabold is prosecuting this case on behalf of the government.
The United States Department of Homeland Security and the Federal Protective Service conducted the investigation leading to the indictment in this case.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Dubuque Man Pleads Guilty to Methamphetamine Trafficking and Money LaunderingRead the Press Release
A man who conspired to distribute pounds of methamphetamine and launder drug proceeds pled guilty on March 12, 2018, in federal court in Cedar Rapids.
Derek Richard Rath, age 35, of Dubuque, Iowa, was convicted of conspiracy to distribute methamphetamine and conspiracy to commit money laundering.
Evidence at a prior court proceeding showed that Rath received several multi-pound shipments of ice methamphetamine through the mail, which he then resold in Dubuque. Evidence showed that Anthony McCarron mailed the methamphetamine from Phoenix, Arizona, to Rath from September 2016 to June 2017. Rath also shipped large quantities of cash to McCarron to pay for each shipment of methamphetamine. At the plea hearing, Rath admitted that he and McCarron used aliases when shipping the drugs and money. McCarron previously pled guilty to conspiracy to distribute methamphetamine and conspiracy to commit money laundering on October 30, 2017.
Sentencing before United States District Court Chief Judge Leonard T. Strand will be set after a presentence report is prepared. Rath remains in custody of the United States Marshal pending sentencing. Rath faces a mandatory minimum sentence of 20 years’ imprisonment and a possible maximum sentence of life imprisonment, a $40,000,000 fine, and at least 10 years of supervised release following any imprisonment.
The case is being prosecuted by Special Assistant United States Attorney Drew O. Inman and was investigated by the Dubuque Drug Task Force, the Iowa Division of Narcotics Enforcement, and the Federal Bureau of Investigation.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl. The case file number is 17-CR-1042-LTS. Follow us on Twitter @USAO_NDIA.
District Man Pleads Guilty to Firearm and Drug Trafficking Offense Committed While on Supervision for Firearm ConvictionRead the Press Release
WASHINGTON – Delonta Phillips, 28, of Washington, D.C., pled guilty today to a federal charge stemming from a police pursuit that led to the recovery of a loaded firearm and a significant quantity of marijuana from the vehicle he had been driving.
The plea, in the U.S. District Court for the District of Columbia, was announced 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).
Phillips pled guilty before the Honorable Senior Judge Thomas F. Hogan to one count of possession of a firearm in furtherance of a drug trafficking offense. The plea agreement, which is contingent upon the Court’s approval, calls for a sentence of five years in prison, to be followed by five years of supervised release. Judge Hogan scheduled a sentencing for May 30, 2018.
According to the government’s evidence, on Oct. 11, 2017, at approximately 2:15 p.m., ATF agents and a MPD Task Force Officer conducted surveillance in the 3400 block of 24th Street SE for Phillips, who was the subject of pending warrants.
Upon seeing Phillips, law enforcement attempted to arrest him. Phillips quickly entered the driver’s side door of a burgundy Cadillac DeVille and fled from law enforcement. Agents immediately followed Phillips’s vehicle and put out a vehicle description over the radio. Agents observed the vehicle turn left onto Southern Avenue SE, right onto Naylor Road at Suitland Parkway, left onto eastbound Suitland Parkway, exit onto the Suitland Road off ramp, make a left onto Suitland Road, and finally come to a stop in the 3700 block of Regency Parkway, in Suitland, Md. Agents observed Phillips exit the front driver’s side door of the vehicle and flee on foot into the woods. An ATF agent pursued Phillips into the woods, while another agent remained with the vehicle and coordinated the response of multiple law enforcement officers in setting up a perimeter around the ravine to prevent Phillips’s escape.
While securing the vehicle, agents observed a back pack on the driver’s side floor of the back seat. Inside the back pack, agents subsequently recovered a Glock 26, 9mm-caliber firearm, with an extended magazine containing 28 rounds of ammunition, and a jar and full gallon Ziploc bag of marijuana. At approximately 3:15 p.m., Phillips was discovered hiding underneath a ledge in the ravine, while submerged in water. Law enforcement subsequently determined that the recovered firearm had been reported stolen to the Anne Arundel County, Md., Police Department
At the time of his arrest, Phillips was on supervised release following an earlier guilty plea to a firearms offense in the Superior Court of the District of Columbia. He now could face formal revocation of his supervised release in that case.
In announcing the plea, U.S. Attorney Liu, Special Agent in Charge Chittum, and Chief Newsham commended the work of those who investigated the case from ATF and MPD. They also acknowledged the efforts of those who worked on the case from the U.S. Attorney’s Office for the District of Columbia, including Assistant U.S. Attorney Christopher Macchiaroli, and Paralegal Specialists Candace Battle and Teesha Tobias.
District Man Found Guilty of Murder and Other Charges in 2015 Drive-By Shooting in Southeast WashingtonRead the Press Release
WASHINGTON – Dominique Williams, 24, of Washington, D.C., has been found guilty by a jury of murder and other charges in the 2015 drive-by killing of a man in Southeast Washington, announced U.S. Attorney Jessie K. Liu and Peter Newsham, Chief of the Metropolitan Police Department (MPD).
Williams was found guilty on March 12, 2018, of second-degree murder while armed, assault with a dangerous weapon, and related firearms offenses. A co-defendant, Maricco Knight, 25, of Washington, D.C., was found guilty by the jury of acting as an accessory after the fact and obstruction of justice for his role in assisting Williams while Williams was evading law enforcement prior to his arrest. The verdicts followed a trial in the Superior Court of the District of Columbia. The Honorable Judith Bartnoff scheduled sentencing for both defendants to take place on May 11, 2018.
According to the government’s evidence, on Sept. 19, 2015, shortly after 1 a.m., Williams, Knight and another man pulled over a Honda Accord in the 3200 block of 28th Street SE. Williams was in the rear passenger seat, Knight was in the front passenger seat, and the third man was driving. A short distance away from the Accord, gathered in an alley, were three men and an 11-year-old boy. Williams had earlier disputes with persons who resided or sometimes gathered in the block, but none of those persons was among the group in the alley.
After the Accord pulled over, Williams leaned out of the car and fired eight shots from a 9-millimeter handgun at the group. One person was hit – Marcellus Green, 39. He was shot once and was declared dead about an hour later. The three people in the Accord drove off.
MPD officers were on the scene within a few minutes. Witnesses gave the police a description of the Accord and its license plate number. At about 1:40 a.m., an officer in a marked MPD cruiser spotted the Accord, still occupied by the three men, in a different neighborhood. Before the officer could even activate his emergency equipment, the Accord began to drive off at a high rate of speed. After a 20-minute chase, during which the 9-millimeter handgun was tossed out, the Accord crashed and all three occupants fled on foot. Within two minutes, the driver and Knight were stopped.
Williams, however, got away. An arrest warrant was issued for him three months later and he was ultimately apprehended on July 20, 2016, at the residence of Knight’s girlfriend. During the search for Williams, according to the government’s evidence, Knight assisted in helping Williams hide out despite the fact that he was told repeatedly by law enforcement that Williams was wanted for the murder.
In announcing the verdicts, U.S. Attorney Liu and Chief Newsham commended the work of those who investigated the case from the Metropolitan Police Department. They acknowledged the efforts of those who worked on the case from the U.S. Attorney’s Office, including Michael Ambrosino, Special Counsel for DNA and Forensic Evidence Litigation; Forensic Operation/Program Specialist Benjamin Kagan-Guthrie; Litigation Technology Specialist Leif Hickling; Paralegal Specialist Alesha Matthews; Investigative Analyst Zachary McMenamin; former Supervisory Victim/Witness Services Coordinator David Foster; Victim/Witness Security Specialist Lesley Slade; Victim/Witness Advocate Marcia Rinker, and Interns Korey Johnson and Shani Brown.
Finally, they commended the work of Assistant U.S. Attorney Michael Liebman who investigated and prosecuted the case, and Assistant U.S. Attorney Ahmed Baset, who prosecuted the case.
Denham Springs Man Convicted of Illegally Possessing Numerous Firearms and an Unregistered SilencerRead the Press Release
United States Attorney Brandon Fremin announced today that JOSHUA ANDREW GUILLOT, age 30, of Denham Springs, Louisiana, has been convicted of one count of possession of a firearm by a convicted felon, in violation of Title 18, United States Code, Section 922(g)(1), and one count of possession of an unregistered firearm, in violation of Title 26, United States Code, Section 5861(d). Earlier today, GUILLOT pled guilty to both counts before U.S. District Judge Shelly D. Dick. At sentencing, the defendant faces a significant prison term, fines, and forfeiture of the firearms and ammunition seized during in the underlying investigation.
The guilty plea arises from a tip by a concerned citizen to the Bureau of Alcohol, Tobacco, Firearms and Explosive (“ATF”), regarding social media postings made by the defendant. After corroborating the citizen tip, and reviewing GUILLOT’s criminal history, which included convictions for felony controlled substance offenses, the ATF quickly obtained a federal search warrant for the defendant’s residence located in Denham Springs, Louisiana.
In connection with his guilty plea today, GUILLOT admitted to a factual summary which detailed his illegal possession of firearms and silencers. According to the factual summary, on October 23, 2017, working in collaboration with the Livingston Parish Sheriff’s Office, the ATF seized 17 firearms, including several high-capacity semi-automatic rifles, 3 silencers, and over 5,000 rounds of ammunition, among other things, from the defendant’s home.
U.S. Attorney Brandon Fremin stated, “These convictions demonstrate the important role that conscientious citizens play in removing firearms from the hands of convicted felons. We are very grateful that this citizen decided to pick up the phone and help law enforcement to protect our community.”
The matter is being handled by the United States Attorney’s Office for the Middle District of Louisiana and the Baton Rouge Office of the Bureau of Alcohol, Tobacco, Firearms, and Explosives, with substantial assistance provided by the Livingston Parish Sheriff’s Office. The matter is being prosecuted by Assistant United States Attorneys Elizabeth E. White and J. Brady Casey.
Clarion Man to Prison for Escape ConvictionRead the Press Release
A man who escaped from custody was sentenced today to more than two years in federal prison. Chad Stocks, age 37, from Clarion, Iowa, received the prison term after an October 13, 2017, guilty plea to one count of escape from custody. Stocks was also sentenced on a revocation of supervised release based on his admissions to several violations of the terms and conditions of his supervised release following his prior federal felony drug and firearm convictions.
At the guilty plea, Stocks admitted he escaped from the residential facility in Mason City, Iowa. In 2007, Stocks was sentenced to 168 months’ imprisonment for conspiracy to distribute methamphetamine and possession of a firearm in furtherance of a drug trafficking crime. He was released from prison on April 14, 2017, and entered the Beje Clark Residential Release Center on April 19, 2017. He was to be released from the center on July 3, 2017. However, on June 21, 2017, after violating several conditions of his release, Stocks left the facility without permission and did not return.
Stocks was sentenced in Sioux City by United States District Court Chief Judge Leonard T. Strand. Stocks was sentenced to 12 months’ imprisonment on the escape conviction and 21 months’ imprisonment on the release violations, for a total of 33 months’ imprisonment. He must also serve a 3-year term of supervised release after the prison term. There is no parole in the federal system. Stocks 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 Shawn S. Wehde and investigated by the U.S. Marshals Service.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 17-3038. Follow us on Twitter @USAO_NDIA.
Clarion County Felon Charged with Illegally Possessing a Gun and AmmunitionRead the Press Release
PITTSBURGH – A Clarion County resident has been indicted by a federal grand jury in Pittsburgh on a violation of the federal firearms laws, United States Attorney Scott W. Brady announced today.
The one-count indictment, returned on March 6 and unsealed today, named Emmett Freshcorn, 29, Ashland Township, Pennsylvania, as the sole defendant.
According to the indictment, on December 11, 2017, Freshcorn illegally possessed a firearm and ammunition. Freshcorn has previously been convicted of a felony, and is prohibited from possessing a firearm.
For possessing a firearm as a convicted felon, the law provides for not more than 10 years in prison, a fine of $250,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offense and the prior criminal history of the defendant.
Assistant United States Attorney Timothy Lanni is prosecuting this case on behalf of the government.
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 Bureau of Alcohol, Tobacco, Firearms, and Explosives, and the Pennsylvania State Police conducted the investigation leading to the indictment in this case.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Chinle Man Sentenced to 59 Months for Assaulting GirlfriendRead the Press Release
PHOENIX– On March 12, 2018, Bennie Lee Holtsoi, 27, of Chinle, Ariz., was sentenced by U.S. District Judge Douglas L. Rayes to 59 months’ imprisonment. Holtsoi had previously pleaded guilty to assault resulting in serious bodily injury.
In June 2016, Holtsoi assaulted his then girlfriend, a member of the Navajo Nation, resulting in multiple lacerations and abrasions to her scalp and body. Holtsoi is also a member of the Navajo Nation.
Navajo Nation Criminal Investigations and the Federal Bureau of Investigation conducted the investigation. The prosecution was handled by Kiyoko Patterson, Assistant U.S. Attorney, District of Arizona, Phoenix.
CASE NUMBER: CR-16-8266-PCT-DLR
RELEASE NUMBER: 2018-026_Holtsoi
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For more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Follow the U.S. Attorney’s Office, District of Arizona, on Twitter @USAO_AZ for the latest news.
Charlotte Man Sentenced on Federal Drug ChargeRead the Press Release
BLUEFIELD, W.Va. – United States Attorney Mike Stuart announced today that Timothy Fields, 40, of Charlotte, was sentenced to 30 months in federal prison for distribution of hydromorphone. Fields pled guilty in November, admitting that on January 18, 2017, he distributed a quantity of hydromorphone to a confidential informant in Bluefield. He also admitted that he distributed hydromorphone and cocaine base on other occasions, and that he manufactured a quantity of cocaine base, all as charged in the indictment. Stuart commended the investigative efforts of the Southern Regional Drug and Violent Crime Task Force.
“The illegal trafficking of prescription opioids and other dangerous drugs has devastated our southernmost counties. My Office will continue to fight for West Virginia families struggling with opioid addiction by aggressively prosecuting those responsible for distributing them throughout our communities,” said United States Attorney Mike Stuart.
Senior United States District Judge David A. Faber imposed the sentence in federal court in Bluefield. The case was investigated under the Bluefield Pill Initiative, part of an ongoing effort led by the United States Attorney’s Office for the Southern District of West Virginia to combat the illicit sale and misuse of prescription drugs. The U.S. Attorney’s Office, joined by federal, state and local law enforcement agencies, is committed to aggressively pursuing and shutting down illegal pill trafficking, eliminating open air drug markets, and curtailing the spread of opiate painkillers in communities across the Southern District. Assistant United States Attorney John File prosecuted the case.
Follow us on Twitter: @SDWVNews and @USAttyStuart
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California Man Sentenced to 15 Years for Federal Drug and Gun Offenses in AnchorageRead the Press Release
Anchorage, Alaska – U.S. Attorney Bryan Schroder announced that a California man was sentenced on Friday, March 9, 2017, for federal drug and gun offenses in Anchorage.
Abreain Terron Dalton, 36, of Victorville, California, was sentenced by Chief U.S. District Judge Timothy M. Burgess, to serve 15 years in prison, followed by a five-year term of supervised release. Dalton was also ordered to forfeit $4,830. Dalton previously pleaded guilty on Oct. 10, 2017, to possession with intent to distribute controlled substances and carrying a firearm during and in relation to drug trafficking.
According to court documents, on April 29, 2017, APD responded to a report of a man “passed out” behind the wheel of a running vehicle on Tudor Road. When officers arrived, they blocked the car, and were eventually able to wake the driver, who was identified as Dalton. The officers were able to persuade Dalton to turn off his vehicle. As the officers attempted to convince him to exit, however, Dalton turned the car back on and tried to ram the blocking police cars out of the way, which failed and led to him trying to escape by foot. While Dalton was attempting to escape from the officers, he discarded a bag.
The investigation revealed that the bag contained distributable amounts of heroin, methamphetamine, and cocaine – in both forms: powder and crack. The investigation further revealed that Dalton had been in possession of a stolen pistol during the offense. Upon Dalton’s arrest, he was in possession of approximately $4800 in drug proceeds, which was going to be used to purchase more drugs for future distribution in Alaska.
The Anchorage Police Department (“APD”) and the Bureau of Alcohol, Tobacco, Firearms and Explosives (“ATF”) conducted the investigation leading to the successful prosecution of this case. Assistant U.S. Attorney Stephan Collins prosecuted this case.
Brownsville Man Sentenced for Possessing Child PornographyRead the Press Release
BROWNSVILLE, Texas – A 28-year-old Brownsville man has been sentenced following his conviction of possession of child pornography, announced U.S. Attorney Ryan K. Patrick. Cristhian Osornio pleaded guilty Nov. 17, 2016.
Today, U.S. District Judge Andrew S. Hanen sentenced Osornio to 78 months in federal prison. Osornio was further ordered to pay restitution to the victims and will serve the rest of his life on supervised release following completion of his prison term, during which time he will have to comply with numerous requirements designed to restrict his access to children and the internet. He will also be ordered to register as a sex offender.
In October 2015, authorities conducted an undercover internet operation and found child pornography being distributed online. The investigation led them to an address in Brownsville linked to Osornio. Law enforcement later executed a search and seizure warrant at the address and seized a computer belonging to Osornio. Forensic analysis on the device revealed 845 images and 1,300 videos of child pornography.
He was permitted to remain on bond and voluntarily surrender to the U.S. Marshals Service at a later date.
Immigration and Customs Enforcement’s Homeland Security Investigations (HSI) - Rio Grande Valley Child Exploitation Task Force conducted the investigation.
Assistant U.S. Attorneys Ana Cano and Jason Corley prosecuted the case.
Brooklyn Man Sentenced to 132 Months for Distributing Crack CocaineRead the Press Release
ALBANY, NEW YORK – Preston James, age 39, of Brooklyn, New York, was sentenced today to 132 months in prison for distributing crack cocaine on four occasions.
The announcement was made by United States Attorney Grant C. Jaquith; James J. Hunt, Special Agent in Charge of the New York Field Division of the U.S. Drug Enforcement Administration (DEA); and Vadim D. Thomas, Special Agent in Charge of the Albany Field Office of the Federal Bureau of Investigation (FBI).
James pled guilty on June 7, 2017. He admitted that he sold crack cocaine on April 6, April 9, April 21, and April 29, 2015. The crack cocaine from the four sales weighed more than 95 grams.
United States District Judge Mae A. D’Agostino also sentenced James to an 8-year term of supervised release, to begin after James is released from prison.
This case was investigated by the DEA and FBI, and prosecuted by Assistant U.S. Attorney Elizabeth R. Rabe.
Billy J. Williams Confirmed as U.S. Attorney for OregonRead the Press Release
PORTLAND, Ore. – On Wednesday, March 7, 2018, the U.S. Senate confirmed Billy J. Williams as the U.S. Attorney for the District of Oregon by voice vote. President Donald J. Trump signed his commission on Tuesday, March 13, 2018.
“I am honored by the confidence of President Trump, Attorney General Sessions, Senators Wyden and Merkley, Congressman Walden and all those who supported me throughout this process” said Williams. “The steadfast commitment and unyielding support of so many dedicated law enforcement leaders in Oregon—sheriffs, chiefs of police, tribal law enforcement, and federal law enforcement—is humbling. It is a privilege,” continued Williams, “to serve the citizens of Oregon and the United States alongside my colleagues at the U.S. Attorney’s Office.”
Williams was named Acting U.S. Attorney in May 2015. He was appointed Interim U.S. Attorney by Attorney General Loretta E. Lynch in December 2015 and re-appointed by Chief U.S. District Judge for Oregon Michael W. Mosman in February 2016. Williams will serve a four-year term as the chief federal law enforcement officer in Oregon.
As Interim U.S. Attorney, Williams served on a variety of Attorney General Advisory Subcommittees. As U.S. Attorney, he will continue to serve on the following subcommittees: Native American Issues Subcommittee, Border and Immigration Subcommittee, Domestic Terrorism Executive Committee and the Marijuana Working Group. He is a member of the Ninth Circuit Fairness Committee and the District of Oregon Implicit Bias Steering Committee.
Williams is an 18-year veteran of the Department of Justice, joining the U.S. Attorney’s Office in October 2000. Prior to his appointment as Acting U.S. Attorney, Williams held multiple leadership positions at the U.S. Attorney’s Office including First Assistant U.S. Attorney, Chief of the Criminal Division, Chief of the Violent Crimes Unit, and as the district’s Indian Country Assistant U.S. Attorney and Tribal Liaison.
Prior to his federal service, Williams served as a Senior Deputy District Attorney in Multnomah County where he supervised the Career Criminal Unit. As a state prosecutor, Williams handled major crimes of violence, including aggravated murder, adult and child sex offenses, domestic violence, narcotics trafficking, vehicular homicide, and officer-involved shootings.
Williams received his bachelor’s degree in criminal justice from Washington State University in 1981 and his law degree from the Willamette University College of Law in 1989.
Bay Minette Man Sentenced on Drug and Gun ChargesRead the Press Release
United States Attorney Richard W. Moore of the Southern District of Alabama announced that Cory Marquise Williams, 24, of Bay Minette, Alabama, was sentenced to 76 months imprisonment on gun and drug charges. Court documents show that Williams was arrested in August of 2016 in Bay Minette following a report to Bay Minette police that individuals at a particular location were using illegal drugs. Officers responded to investigate and they observed Williams and another person in the vehicle at the reported location. Williams attempted to enter the residence but was detained and questioned. The officers found a stolen gun and scales in the vehicle he had just left, and Williams was found to be in possession of 13 baggies of marijuana. Williams attempted to destroy the drug evidence by diving over the hood of the police car, where police had left the drugs, and attempting to swallow the drugs and the plastic bags containing them. Officers recovered some of the drugs, which tested positive for marijuana. Williams pled guilty to possession with intent to distribute marijuana and using, carrying or possessing a firearm in furtherance of and in relation to a drug trafficking offense in November of 2017.
United States District Court Judge William Steele sentenced Williams to 76 months’ imprisonment, noting that he had significant criminal history for a young man which included three prior felony drug convictions. The judge also mentioned Williams’ daily use of drugs and alcohol, and ordered that Williams undergo drug and alcohol treatment and counseling while serving his sentence. The sentence consisted of 18 months imprisonment on the drug count, and 60 months mandatory minimum consecutive imprisonment on the gun count. The judge adjusted the 18 month sentence by two months, to give Williams credit for time spent in state custody on the federal charges, for a total sentence of imprisonment of 76 months. The judge also ordered that Williams serve a three-year term of supervised release when he is discharged from his custody sentence, during which he will undergo further drug and alcohol abuse treatment. Williams was also ordered to pay $200 in mandatory special assessments, but no fine was imposed.
The case was investigated by the Bay Minette Police Department, the Baldwin County Sheriff’s Office and the FBI Safe Streets Task Force. It was prosecuted in the United States Attorney’s Office by Assistant United Sates Attorney Gloria Bedwell.
Bank Fraud and Identity Theft Lead to 51-Month Prison SentenceRead the Press Release
OKLAHOMA CITY – Sean Michael Seney, 40, has been sentenced to 51 months in federal prison for bank fraud and identity theft, announced Robert J. Troester, Acting United States Attorney for the Western District of Oklahoma.
According to a ten-count indictment filed on May 18, 2017, Seney and others presented to banks fraudulent checks that had been altered using information taken from stolen mail. He was charged with four counts of presenting forged checks to various banks, one count of stealing the identity of an individual, one count of theft from the U.S. Mail, three counts of bank fraud, and one count of aggravated identity theft. This alleged criminal conduct took place in February 2015. Seney has been in the custody of the U.S. Marshals Service since June 19, 2017.
On August 3, 2017, Seney pleaded guilty to one count of bank fraud and one count of aggravated identity theft.
On March 12, 2018, Chief U.S. District Judge Joe Heaton sentenced Seney to a total of 51 months in the Federal Bureau of Prisons, to be followed by five years of supervised release. In particular, the court imposed a sentence of 27 months for bank fraud and a separate, consecutive sentence of 24 months for aggravated identity theft. Under federal law, a conviction for aggravated identity theft triggers a mandatory two-year prison term, to be served in addition to sentences for other crimes. The court further ordered that Seney’s federal prison time will be in addition to undischarged state prison terms in four separate cases prosecuted in Oklahoma County and Tulsa County. Seney was also ordered to pay $7,708.99 in restitution.
This case is the result of an investigation by the U.S. Postal Inspection Service. Assistant U.S. Attorney Rozia McKinney-Foster prosecuted the case.
Reference is made to public filings for further information
Baltimore Man Indicted for Ten RobberiesRead 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 Antonio Johnson, age 49, of Baltimore, Maryland, today on ten counts of Hobbs Act robbery.
The indictment was announced by Acting United States Attorney for the District of Maryland Stephen M. Schenning; Special Agent in Charge Gordon B. Johnson of the Federal Bureau of Investigation, Baltimore Field Office; and Commissioner Darryl DeSousa of the Baltimore Police Department.
According to the 10-count indictment, between January 23, 2018 and February 12, 2018, Johnson robbed ten Baltimore restaurants at gunpoint. Johnson is currently detained.
Johnson faces a maximum sentence of 20 years in prison for the robberies.
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.
Acting United States Attorney Stephen M. Schenning commended the FBI and the Baltimore City Police Department for their work in the investigation. Mr. Schenning thanked Assistant U.S. Attorney Matthew DellaBetta who is prosecuting the case.
Ballston Spa Man Sentenced to 96 Months for Child Pornography OffensesRead the Press Release
ALBANY, NEW YORK – Damian Quillinan, age 43, of Ballston Spa, New York, was sentenced today to 96 months in prison for receipt and possession of child pornography.
The announcement was made by United States Attorney Grant C. Jaquith and Vadim D. Thomas, Special Agent in Charge of the Albany Field Office of the Federal Bureau of Investigation (FBI).
United States District Judge Mae A. D’Agostino also sentenced Quillinan to a life term of supervised release, to begin following his term of imprisonment. Quillinan will also be required to register as a sex offender upon his release from prison.
Quillinan pled guilty on November 13, 2017. He admitted that on July 29, 2016, he used his phone to download child pornography from the Internet. Quillinan further admitted to downloading and storing more than 14,000 child pornography videos and images on various computers and external hard drives in his residence between February 2014 and August 2016.
This case was jointly investigated by the FBI and the New York State Police, and was prosecuted by Assistant U.S. Attorney Emmet O’Hanlon.
This case was prosecuted as part of Project Safe Childhood. Launched in May 2006 by the Department of Justice, Project Safe Childhood is led by United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS). Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit http://www.justice.gov/psc/.
Attorney General Sessions Appoints Six Additional Members to U.S. Attorney Advisory CommitteeRead the Press Release
WASHINGTON - Attorney General Jeff Sessions announced the appointment of six new U.S. Attorneys to serve two-year terms on the Attorney General’s Advisory Committee of U.S. Attorneys (AGAC), joining the nine members announced on November 13, 2017. The AGAC was created in 1973 and reports to the Attorney General through the Deputy Attorney General. It represents the U.S. Attorneys and provides advice and counsel to the Attorney General on matters of policy, procedure, and management affecting the Offices of the U.S. Attorneys.
The new appointees are U.S. Attorney for the Northern District of Texas Erin Nealy Cox; U.S. Attorney for the Eastern District of New York Richard P. Donoghue; U.S. Attorney for the Middle District of Alabama Louis V. Franklin, Sr.; U.S. Attorney for the Northern District of Illinois John R. Lausch, Jr.; U.S. Attorney for the District of Massachusetts Andrew E. Lelling; and U.S. Attorney for the District of Delaware David C. Weiss.
“I am pleased to announce these new members of the Attorney General’s Advisory Committee. The Advisory Committee plays an important role in helping us achieve the Department of Justice’s goals, including to reduce violent crime, combat transnational criminal organizations, secure our southern border, end the devastating opioid crisis, and enforce the rule of law,” said Attorney General Sessions.
A brief biography of each new member is below:
Erin Nealy Cox
The Senate confirmed Erin Nealy Cox’s appointment as United States Attorney for the Northern District of Texas in November 2017. Prior to this appointment, Ms. Nealy Cox was a Senior Advisor at McKinsey & Co in the cybersecurity and risk practice and on the Board of Directors of Sally Beauty Holdings, a large retailer on the NYSE. From 1999 to 2008, Ms. Nealy Cox served as an Assistant United States Attorney in the Northern District of Texas, where she prosecuted cyber crimes, white collar crimes, and general crimes. In 2004 and 2005, she served at Main Justice as Chief of Staff and Senior Counsel to the Assistant Attorney General in the Office of Legal Policy. Ms. Nealy Cox also previously worked at Stroz Friedberg, a cybersecurity and investigations consulting firm. Ms. Nealy Cox clerked for the Honorable Henry A. Politz, when he served as Chief Judge of the Fifth Circuit Court of Appeals, and the Honorable Barefoot Sanders, United States District Judge in the Northern District of Texas. She received a B.B.A in Finance from the McCombs School of Business at the University of Texas at Austin and her J.D., magna cum laude, from Southern Methodist University Dedman School of Law.
Richard P. Donoghue
On January 5, 2018, the Attorney General appointed Richard P. Donoghue to be interim United States Attorney for the Eastern District of New York. Prior to this appointment, Mr. Donoghue served as the Senior Vice President and Chief Counsel for CA Technologies based in New York. From 2000 to 2011, Mr. Donoghue worked in the United States Attorney’s Office for the Eastern District of New York in various roles, including Criminal Chief and Deputy Criminal Chief. Mr. Donoghue received his B.A., cum laude, from Hofstra University and his J.D., from St. John’s University School of Law.
Louis V. Franklin, Sr.
The Senate confirmed Louis V. Franklin, Sr. to be United States Attorney for the Middle District of Alabama in September 2017. Mr. Franklin has served in the United States Attorney’s Office for the Middle District of Alabama for nearly 27 years, including as Criminal Chief for almost 16 years. Mr. Franklin served as an Assistant United States Attorney from 1990 to 1996 and from 1998 to 2001. From 1996 to 1998, Mr. Franklin was an associate at Sirote and Permutt. Mr. Franklin began his career as a staff attorney at the Legal Services Corporation of Alabama from 1987 to 1990. Mr. Franklin received his B.A. from the University of Alabama, an M.S. from Auburn University at Montgomery, and his J.D. from Howard University School of Law.
John R. Lausch, Jr.
The Senate confirmed John R. Lausch, Jr.’s appointment as United States Attorney for the Northern District of Illinois in November 2017. Prior to his appointment, Mr. Lausch was a partner at Kirkland & Ellis LLP. Previously, he served as an Assistant United States Attorney in the Northern District of Illinois from 1999 to 2010. During his time in the U.S. Attorney’s Office, Mr. Lausch served as a Deputy Chief in the Narcotics and Gangs Section for several years, where he helped lead the District’s Anti-Gang and Project Safe Neighborhoods programs. Mr. Lausch clerked for the Honorable Michael S. Kanne of the United States Court of Appeals for the Seventh Circuit. He received his A.B., cum laude, from Harvard University and his J.D., cum laude, from Northwestern University School of Law.
Andrew E. Lelling
The Senate confirmed Andrew E. Lelling’s appointment as United States Attorney for the District of Massachusetts in December 2017. Prior to this appointment, Mr. Lelling was the senior litigation counsel for the United States Attorney’s Office for the District of Massachusetts and has worked in that office for 12 years, prosecuting white collar crime and international drug trafficking, among other offenses. Mr. Lelling also served as an Assistant United States Attorney in the Eastern District of Virginia. He previously served as counsel to the Assistant Attorney General at the Department of Justice Civil Rights Division. Mr. Lelling clerked for the Honorable B. Avant Edenfield of the United States District Court for the Southern District of Georgia. He received his B.A., magna cum laude, from the State University of New York at Binghamton and his J.D., cum laude, from the University of Pennsylvania Law School.
David C. Weiss
David C. Weiss’s nomination to be United States Attorney for the District of Delaware was confirmed in February. Mr. Weiss previously served as the Acting United States Attorney for the District of Delaware from 2009 to 2011 and 2017 to 2018, and as the First Assistant United States Attorney from 2007 to 2017. Prior to serving in these positions, Mr. Weiss was an Assistant United States Attorney from 1986 to 1989. Mr. Weiss clerked for the Honorable Andrew D. Christie of the Delaware Supreme Court. Mr. Weiss received his B.S. from Washington University and his J.D. from Widener University School of Law.# # #
American Citizen Sentenced to 45 Years’ Imprisonment for Conspiring to Murder U.S. Nationals and Providing Material Support to Al-QaedaRead the Press Release
Earlier today, in federal court in Brooklyn, Muhanad Mahmoud al Farekh, an American citizen born in Houston, Texas, was sentenced to 45 years’ imprisonment by United States District Judge Brian M. Cogan following his September 29, 2017 trial conviction of multiple offenses covering seven years of terrorist conduct, including conspiracy to murder American military personnel in Afghanistan, conspiracy to use a weapon of mass destruction, conspiracy to bomb a government facility, and providing material support to al-Qaeda.
Richard P. Donoghue, United States Attorney for the Eastern District of New York; John C. Demers, Assistant Attorney General for the National Security Division; William F. Sweeney, Jr., Assistant Director-in-Charge, Federal Bureau of Investigation, New York Field Office (FBI); and James P. O’Neill, Commissioner, New York City Police Department (NYPD), announced the sentence.
“Farekh, a citizen of this country, turned his back on America by joining al-Qaeda and trying to kill American soldiers in a bomb attack on a U.S. military base in Afghanistan.” stated United States Attorney Donoghue. “This case demonstrates that we will do everything in our power to ensure that those who seek to harm our country and our armed forces will be brought to justice.” Mr. Donoghue extended his grateful appreciation to the FBI’s Joint Terrorism Task Force (JTTF), which comprises a large number of federal, state, and local agencies from the region.
“With the sentence handed down today, al Qaeda terrorist Muhanad Mahmoud Al Farekh is being held accountable for his crimes. Farekh – an American citizen – traveled overseas, joined al Qaeda, and conspired to kill Americans, including through an attack using explosive devices on a U.S. military installation in Afghanistan in 2009,” said Assistant Attorney General Demers. “Across the globe, the National Security Division will continue to relentlessly pursue and bring to justice those who seek to harm Americans, including our brave servicemen and women who risk their lives in defense of our nation. I applaud the efforts of the many agents, analysts, and prosecutors who are responsible for this successful result.”
“Today’s sentencing shows that justice prevails even when terrorist acts are committed in distant foreign locales yet impact American citizens and interests,” stated FBI Assistant Director-in-Charge Sweeney. “The FBI New York Joint Terrorism Task Force remains dedicated to investigating and bringing terrorists to justice wherever they are. I would like to thank all of our partner agencies for their continued cooperation and dedication.”
As proven at trial, in March 2007, Farekh and two co-conspirators, all of whom were students at the University of Manitoba, departed Canada for Pakistan with the intention of fighting against American forces overseas. Before traveling overseas, Farekh and his co-conspirators watched video recordings encouraging violent jihad, listened to jihadist lectures by now-deceased al-Qaeda in the Arabian Peninsula leader Anwar al-Awlaqi, and came to embrace a violent, extremist view of Islam.
Farekh and his co-conspirators traveled to the Federally Administered Tribal Areas of Pakistan, an area in the northern part of Pakistan that borders Afghanistan and is home to al-Qaeda’s base of operations, where they joined and received training from al-Qaeda. Taking advantage of his familiarity with the West, Farekh became a member of, and ultimately ascended to, a leadership role within al-Qaeda’s external operations group, which specialized in planning and executing attacks against the United States and its Western allies.
In January 2009, Farekh helped to build a vehicle-borne, improvised explosive device (VBIED) that was used in an attack on Forward Operating Base Chapman (FOB Chapman), a U.S. military installation that served as the base for the U.S. Provincial Reconstruction Team in Khost, Afghanistan. On January 19, 2009, two explosives-laden vehicles approached the fence line of FOB Chapman. At the gate, the first vehicle, a pickup-sized truck, exploded after its operator detonated the VBIED. The second vehicle, a truck that was carrying approximately 7,500 pounds of explosives, became stuck in the blast crater caused by the first explosion. The driver abandoned his vehicle without detonating the VBIED, and was shot and killed by local security personnel. The initial detonation of the first vehicle injured one U.S. serviceman and numerous Afghan nationals. Forensic technicians recovered 18 latent fingerprints that were determined to be a match to Farekh from adhesive packing tape used to bind together the explosive materials of the second, undetonated VBIED.
The government’s case is being handled by the Office’s National Security & Cybercrime Section. Assistant United States Attorneys Richard M. Tucker, Douglas M. Pravda and Saritha Komatireddy, along with Trial Attorney Alicia Cook of the National Security Division’s Counterterrorism Section, are in charge of the prosecution.
The Defendant:
MUHANAD MAHMOUD AL FAREKH
Age: 32
Nationality: United StatesE.D.N.Y. Docket No. 15-CR-268 (S-2)
American Citizen Sentenced to 45 Years for Conspiring to Murder U.S. Nationals and Providing Material Support to Al-QaedaRead the Press Release
Muhanad Mahmoud al Farekh, 32, of Houston, was sentenced today to 45 years following his Sept. 29, 2017 trial conviction of multiple offenses covering seven years of terrorist conduct, including conspiracy to murder American military personnel in Afghanistan, conspiracy to use a weapon of mass destruction, conspiracy to bomb a government facility and providing material support to al-Qaeda.
Assistant Attorney General for the National Security John C. Demers, U.S. Attorney Richard P. Donoghue for the Eastern District of New York, Assistant Director in Charge William F. Sweeney, Jr. of the FBI’s New York Field Office and Commissioner James P. O’Neill of the NYPD announced the sentence issued by U.S. District Judge Brian M. Cogan.
“With the sentence handed down today, al Qaeda terrorist Muhanad Mahmoud Al Farekh is being held accountable for his crimes. Farekh – an American citizen – traveled overseas, joined al Qaeda, and conspired to kill Americans, including through an attack using explosive devices on a U.S. military installation in Afghanistan in 2009,” said Assistant Attorney General Demers. “Across the globe, the National Security Division will continue to relentlessly pursue and bring to justice those who seek to harm Americans, including our brave servicemen and women who risk their lives in defense of our nation. I applaud the efforts of the many agents, analysts, and prosecutors who are responsible for this successful result.”
“Farekh, a citizen of this country, turned his back on America by joining al-Qaeda and trying to kill American soldiers in a bomb attack on a U.S. military base in Afghanistan.” stated United States Attorney Donoghue. “This case demonstrates that we will do everything in our power to ensure that those who seek to harm our country and our armed forces will be brought to justice.” Mr. Donoghue extended his grateful appreciation to the FBI’s Joint Terrorism Task Force (JTTF), which comprises a large number of federal, state, and local agencies from the region.
“Today’s sentencing shows that justice prevails even when terrorist acts are committed in distant foreign locales yet impact American citizens and interests,” stated FBI Assistant Director-in-Charge Sweeney. “The FBI New York Joint Terrorism Task Force remains dedicated to investigating and bringing terrorists to justice wherever they are. I would like to thank all of our partner agencies for their continued cooperation and dedication.”
As proven at trial, in March 2007, Farekh and two co-conspirators, all of whom were students at the University of Manitoba, departed Canada for Pakistan with the intention of fighting against American forces overseas. Before traveling overseas, Farekh and his co-conspirators watched video recordings encouraging violent jihad, listened to jihadist lectures by now-deceased al-Qaeda in the Arabian Peninsula leader Anwar al-Awlaqi, and came to embrace a violent, extremist view of Islam.
Farekh and his co-conspirators traveled to the Federally Administered Tribal Areas of Pakistan, an area in the northern part of Pakistan that borders Afghanistan and is home to al-Qaeda’s base of operations, where they joined and received training from al-Qaeda. Taking advantage of his familiarity with the West, Farekh became a member of, and ultimately ascended to, a leadership role within al-Qaeda’s external operations group, which specialized in planning and executing attacks against the U.S. and its Western allies.
In January 2009, Farekh helped to build a vehicle-borne, improvised explosive device (VBIED) that was used in an attack on Forward Operating Base Chapman (FOB Chapman), a U.S. military installation that served as the base for the U.S. Provincial Reconstruction Team in Khost, Afghanistan. On January 19, 2009, two explosives-laden vehicles approached the fence line of FOB Chapman. At the gate, the first vehicle, a pickup-sized truck, exploded after its operator detonated the VBIED. The second vehicle, a truck that was carrying approximately 7,500 pounds of explosives, became stuck in the blast crater caused by the first explosion. The driver abandoned his vehicle without detonating the VBIED, and was shot and killed by local security personnel. The initial detonation of the first vehicle injured one U.S. serviceman and numerous Afghan nationals. Forensic technicians recovered 18 latent fingerprints that were determined to be a match to Farekh from adhesive packing tape used to bind together the explosive materials of the second, undetonated VBIED.
Assistant U.S. Attorneys Richard M. Tucker, Douglas M. Pravda and Saritha Komatireddy of the Eastern District of New York, along with Trial Attorney Alicia Cook of the National Security Division’s Counterterrorism Section, are in charge of the prosecution.
"Real Time" Defendants Receive Significant Federal Sentences for Armed Drug TraffickingRead the Press Release
Columbia, South Carolina ---- United States Attorney Beth Drake stated today that Robert Christopher McCoy, age 23, of Columbia, South Carolina and Terrone J. Anderson, age 21, of Columbia, South Carolina were sentenced to 115 months and 96 months respectively in Federal District Court today. McCoy previously entered a guilty plea to Felon in Possession of a Firearm, in violation of 18, U.S.C. § 922(g). Anderson previously entered a guilty plea to Possession With Intent to Distribute 50 grams or more of a Methamphetamine mixture, in violation of 21 U.S.C § 841. United States District Judge Terry L. Wooten, of Columbia, accepted the guilty pleas and imposed their sentences today at the Matthew Perry Federal Courthouse in Columbia.
Evidence presented at the change of plea hearing established that on September 22, 2017, Robert McCoy and Terrone Anderson were traveling in a car near Bradley Drive and Robin Road in the Columbia, when Columbia Police Officers observed them smoking marijuana in the vehicle. After a traffic stop was conducted, Anderson was found to be in possession of two pills in his pants. A search of the vehicle revealed an additional 800 pills in the center console of the vehicle and a 9-millimeter semi-automatic handgun in the floorboard. During the guilty plea, McCoy admitted that he knowingly and intentionally possessed the firearm. Prior to possessing the firearm, McCoy has previously been convicted of multiple South Carolina convictions for Burglary, Criminal Conspiracy, Discharging a Firearm Into an Occupied Vehicle, Unlawfully Carrying a Pistol, Assault and Battery and others. Anderson admitted to knowingly possessing all the pills, which were lab tested and confirmed to be approximately 300 grams of a methamphetamine mixture. Anderson further admitted that he intended to sell the pills for profit. Anderson has previously been convicted of Accessory After the Fact to Felony and Threatening the Life of a Public Official. It was noted at the guilty plea that Anderson was on state parole for those state prior convictions at the time of the federal drug trafficking crime.
This case was expedited for federal prosecution pursuant to Operation “Real Time.” McCoy and Anderson were arrested on September 22, 2017, and just 68 days later, they pled guilty to the above charges. They have been in continuous custody since their arrest on September 22, 2017, and they will remain in custody until they serve out their federal sentences.
The goal of the “Real Time” program is to identify individuals for federal prosecution with significant criminal histories who continue to actively possess firearms in the community. “Real Time” is a working collaboration between local, state, and federal law enforcement as well as state and federal prosecutors. Since August of 2015, the initiative, state-wide, has resulted in the expedited federal prosecution of over 150 defendants and seizure of over 200 firearms as well as assorted ammunition from prohibited persons in the upstate.
U.S. Attorney Beth Drake commended the partnership between local, state, and federal agencies that led to the Bureau of Alcohol, Tobacco and Firearms and the U.S. Attorney’s Office adopting the case. “We work best when we work together. This ‘real time’ identification of high risk offenders is smart policing and we welcome the opportunity to work alongside our state chiefs, sheriffs, and solicitors in taking violent repeat offenders out of our communities. Columbia Chief Holbrook is a leader here, using our Real Time partnership in combination with his community policing focus for a safer Columbia.”
The case was investigated by agents of the Columbia Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives. Assistant United States Attorney JD Rowell of the Columbia office prosecuted the case.
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Monday 12 March 2018
York Man Convicted for Possession of A Firearm as A Convicted FelonRead the Press Release
HARRISBURG – The United States Attorney’s Office for the Middle District of Pennsylvania announced today that Steven Gray, age 45, of York, Pennsylvania, was convicted for being a felon in possession of a firearm after a three-day jury trial held before United States District Court Judge John E. Jones, III.
According to United States Attorney David J. Freed, Gray was arrested on January 1, 2017, by officers of the York Police Department and found to be in possession of a 9MM Taurus handgun, loaded with seven rounds of ammunition. As a previously convicted felon, he was prohibited from possessing a firearm.
The matter was investigated by the York Police Department and the Bureau of Alcohol, Tobacco, Firearms, and Explosives. Assistant U.S. Attorneys Scott R. Ford and Kim Douglas Daniel prosecuted the case.
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.
A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
The maximum penalty for this offense is life imprisonment, a term of supervised release following imprisonment, and a fine. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant's educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
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Worcester Businessman Sentenced for Tobacco Tax FraudRead the Press Release
BOSTON – A Worcester man was sentenced today in connection with a scheme to defraud the Commonwealth of Massachusetts of tobacco excise taxes and submitting false tax returns.
Mohamed Afeez, 32, was sentenced by U.S. District Court Judge Timothy S. Hillman to one year and one day in prison, three years of supervised release, and ordered to pay $973,218 in restitution and forfeiture. In April 2017, Afeez pleaded guilty to subscribing a false tax return and conspiracy.
Between approximately late 2014 and July 2016, Afeez operated a wholesale business in Worcester that sold tobacco products, including cigars, smoking tobacco and smokeless tobacco (such as snuff and chewing tobacco), as well as other non-tobacco items, to convenience stores, gas stations and other retail businesses. Under state law, smokeless tobacco wholesalers must file an excise tax form monthly and pay a 210% excise tax on smokeless tobacco brought into Massachusetts. Cigar wholesalers must file an excise tax form quarterly and pay a 40% excise tax on cigars brought into Massachusetts.
In order to evade tobacco taxes, Afeez made regular purchases of loose smoking tobacco and smokeless tobacco from a distributor in Pennsylvania where these tobacco products are not taxed. Afeez and a co-conspirator repeatedly drove bundles containing more than $10,000 in cash to the distributor for payment. A co-conspirator then drove the tobacco products to Massachusetts where Afeez resold them wholesale without paying the Massachusetts state excise taxes that he knew were due. The illegal tobacco business generated over $448,000 that Afeez failed to report on his business’ income tax return for 2015.
United States Attorney Andrew E. Lelling and Joel P. Garland, Special Agent in Charge of the Internal Revenue Service’s Criminal Investigation in Boston, made the announcement today. Assistant U.S. Attorney Stephen Heymann of Lelling’s Economic Crimes Unit prosecuted the case
Williamstown Felon Jailed for Selling FirearmsRead the Press Release
The Office of the United States Attorney for the District of Vermont stated that Lawrence A. Griffen, Jr., age 50, of Williamstown, Vermont, was sentenced to a year in jail today by Judge William K. Sessions, III, in U.S. District Court in Burlington. Griffen was arrested last summer by agents with the Bureau of Alcohol, Tobacco and Firearms, after he sold five guns to an undercover agent in three transactions. Griffen has prior felony convictions in both federal and State court, arising out of transactions involving motor vehicles. In November, 2017, he pleaded guilty to one of the transactions, in which he sold a semi-automatic pistol.
At sentencing before Judge Sessions today, Griffen urged that he had multiple physical impairments requiring regular medical care. He proposed a sentence of home detention. Judge Sessions pointed out that Griffen had received probationary terms from State of Vermont courts in 2013 and 2014, but had gone on to commit the federal firearms offense in 2017. Ultimately the court downwardly varied from the 24 – 30 month term of imprisonment calculated under the U.S. Sentencing Guidelines, and imposed a term of 12 months and a day. Judge Sessions ordered Griffen to surrender to the Bureau of Prisons to begin serving his sentence on April 10. The court ordered him to surrender to the Federal Medical Center in Devens, Massachusetts, a federal prison for persons with significant medical issues. Judge Sessions also imposed a two-year term of supervised release to begin upon release from prison, along with a $100 special assessment.
Griffen was represented by Attorney Kevin Henry of Burlington. The United States was represented by Assistant U.S. Attorney William Darrow.
Williamson County Man Sentenced on Methamphetamine and Firearm OffensesRead the Press Release
On March 8, 2018, Johnathan D. Long, 41, of Johnston City was sentenced to federal prison for methamphetamine and firearm offenses, Donald S. Boyce, United States Attorney for the Southern District of Illinois, announced today.
Long, who had previously pled guilty to one count of conspiracy to distribute more than 50 grams of methamphetamine, one count of distribution of methamphetamine, and one count of carrying a firearm during a drug trafficking offense, was sentenced to a total term of 144 months of imprisonment, to be followed by four years of supervised release. The offenses occurred between December 2016 and January 23, 2017, in Williamson County. Evidence at the plea and sentence hearings established that Long was involved with co-defendant Julian Rodriguez and others in the distribution of ice. Ice is methamphetamine which has a purity level of at least 80%.
On January 20, 2017, Long sold ice to a confidential source that was working for law enforcement. At the time of the drug sale, Long was armed with a firearm. When agents executed a search warrant at the Johnson City residence of Long and Rodriguez, they recovered multiple firearms, over 200 grams of ice, cannabis, and a large amount of U.S. currency. At sentencing, the judge found that Long was responsible for the distribution of approximately 907 grams of ice. Long received a sentencing enhancement for maintaining a residence for the distribution of drugs. Co-defendant Rodriguez was previously sentenced to 188 months of imprisonment for his involvement in the methamphetamine and firearm offenses.
The investigation was conducted by the Southern Illinois Enforcement Group and Drug Enforcement Administration. The Williamson County States Attorney’s Offices also assisted in the investigation.
Williamson County Man Charged with Methamphetamine OffensesRead the Press Release
On March 6, 2018, a Williamson County man was indicted for methamphetamine offenses, United States Attorney for the Southern District of Illinois, Donald S. Boyce, announced today.
Richard W. Sellers, 57, of Herrin, was charged in a two-count indictment with conspiracy to distribute in excess of 50 grams of methamphetamine and distribution of methamphetamine. The indictment alleges that the offenses occurred between July 17, 2017, and February 25, 2018, in Williamson County. Sellers made his initial appearance in federal court on March 8, 2018. He was ordered held without bond pending a May 14, 2018, jury trial.
The conspiracy offense carries a maximum penalty of 5-40 years of imprisonment, to be followed by four years of supervised release and a fine of up to $5,000,000. The distribution offense carries a maximum penalty of up to 20 years of imprisonment, to be followed by three years of supervised release, and a $1,000,000 fine.
An indictment is a formal charge against a defendant. Under the law, a defendant is presumed to be innocent of a charge until proved guilty beyond a reasonable doubt to the satisfaction of a jury.
The ongoing investigation is being conducted by the Southern Illinois Enforcement Group and Drug Enforcement Administration. The Herrin Police Department, Illinois State Police, and Williamson County States Attorney’s Office also assisted in the investigation.
United States and Colombian Law Enforcement Authorities Execute Arrests in Puerto Rico and Colombia Dismantling International Drug Trafficking OrganizationRead the Press Release
SAN JUAN, PR – During the past two weeks, United States federal agents, in coordination with Colombian law enforcement authorities, executed 14 arrest warrants in Puerto Rico and Colombia dismantling an international drug trafficking organization responsible for the importation of multi-kilogram quantities of cocaine into the United States through Puerto Rico announced United States Attorney Rosa Emilia Rodríguez-Vélez today.
The arrests stem from two indictments filed in the United States District Court for the District of Puerto Rico.
The first indictment charges Aureliano Acevedo-Hernández, a.k.a. “Ciro/Morado”; John Edinson García-Rodríguez, a.k.a. “Pirata”; Dalbelto Rincón, a.k.a. “Bambam/Marco Tulio Sánchez-Muñoz”; Julio Aníbal González-Compres, a.k.a. “Winston”; Jairo Andrés Cruz-Coronel, a.k.a “Jairo/Jairito”; Julio César Rojas-Betancourt, a.k.a. “Fresa”; Campo Edison Quintero-Arturo, a.k.a. “Coronel”; Luis Alberto Jaimes-Nuñez, a.k.a. “Beto”; and Jairo Gómez-Guerra, a.k.a. “Jairito” among others with conspiracy to possess, manufacture, or distribute controlled substances for purposes of unlawful importation into the United States; and possession, manufacture, or distribution of controlled substances for purposes of unlawful importation into the United States. The indictment contains a forfeiture allegation for the proceeds obtained as a result of the organization’s illegal activities, and property used to commit or to facilitate the commission of the crime.
The second indictment charges Miguel Ángel Agosto-Pacheco, a.k.a. “Chino”; Jerry Omar Hernández-Peña; Anthony Jael Abreu-Matos; Luis Ángel Ramos-Cordero; Juan Tapia-Soto; and another person with conspiracy to import controlled substances; conspiracy to possess with intent to distribute controlled substances; and attempted possession of controlled substances. The indictment also contains a forfeiture allegation for the proceeds obtained as a result of the organization’s illegal activities, and property used to commit or to facilitate the commission of the crime. These defendants were arrested in Vieques, Fajardo, and Levittown in Toa Baja, Puerto Rico.
“These arrests are a strong indication of the success of the Organized Crime Drug Enforcement Task Force (OCDETF) program in the fight against drug trafficking. The arrests dismantled an organization that coordinated the importation of thousands of kilograms of cocaine into Puerto Rico from Colombia. The individuals named in these indictments are now facing long terms of imprisonment,” said Rosa Emilia Rodríguez-Vélez, U.S. Attorney for the District of Puerto Rico. “We will continue maximizing our multi-agency and international efforts and will combine resources to investigate and prosecute those who disregard our laws and smuggle drugs into our jurisdiction, and increase the incidence of violent crimes in our communities.”
DEA Caribbean Division Special Agent in Charge, AJ Collazo, stated, “We will remain resilient in DEA’s mission, tracking and dismantling Transnational Criminal Organizations as this one. Our agency’s joint efforts with federal, local and foreign host nation counterparts like the Colombian Cuerpo Técnico de Investigaciones (CTI) will continue to be focused on aggressively pursuing the members of these organizations across the sea, to let them know that drug trafficking and money laundering through our region will not be tolerated.”
The arrests are the result of a long-term international drug trafficking investigation led by special agents from the DEA in Puerto Rico and the “Cuerpo Técnico de Investigaciones” (CTI) in Colombia under Operation Devil’s Trail. The investigation has resulted in the seizure of over 2,000 kilograms of cocaine and the arrest of 30 defendants under 7 different indictments filed in the District of Puerto Rico. The FBI, IRS, United States Marshal Service (USMS), United States Coast Guard (USCG), Customs and Border Protection (CBP), Puerto Rico Police Maritime Unit “Fuerzas Unidas de Rápida Acción” (FURA), and Colombian prosecutors from “Dirección Especializada Contra Lavado de Activos” (DECLA) also participated in this investigation.
Operation Devil’s Trail is part of the OCDETF program. The principal mission of the OCDETF program is to identify, disrupt, and dismantle the most serious drug trafficking and money laundering organizations, and those primarily responsible for the nation’s illegal drug supply.
The investigation was coordinated by Assistant United States Attorney (AUSA) Carlos R. Cardona, lead OCDETF attorney in Puerto Rico and Prosecutor Alfredo Vasquez Macias in Colombia. The cases are being prosecuted in Puerto Rico by AUSAs Carlos R. Cardona and Laura Montes, under the supervision AUSA Julia Diaz, Deputy Chief of the Narcotics Unit.
The United States Attorney’s Office for the District of Puerto Rico gratefully acknowledges the assistance of the Narcotic and Dangerous Drugs Section of the United States Department of Justice, Special Operation Division in Chantilly, Virginia; the United States Department of Justice Office of International Affairs; the office of the Judicial Attaché of the US Embassy in Colombia; DEA special agents in Bogota, Colombia; and the Colombian CTI and DECLA for their assistance and support provided in this investigation.
The defendants are facing terms of imprisonment from 10 years to life. Criminal indictments are only charges and not evidence of guilt. A defendant is presumed to be innocent until and unless proven guilty.
U.S Attorney Kennedy Appoints Veteran Prosecutor to Lead Rochester Branch OfficeRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y. – U.S. Attorney James P. Kennedy, Jr. announced today that he has appointed Douglas E. Gregory, a 19-year veteran prosecutor of the United States Attorney’s Office in the Western District of New York, Attorney-in-Charge of the Rochester Branch Office.
“I am pleased to announce Doug’s selection as the Attorney-in-Charge of the Rochester Branch Office,” said United States Attorney James P. Kennedy, Jr. “Doug’s skills, both as a litigator and a leader, make him eminently qualified to serve in this role. He has the respect and confidence of the law enforcement community, the legal community, and all who work for the Department of Justice. Having dedicated his entire legal career to enforcing the rule of law, to protecting the community, and to achieving justice, Doug has literally spent a lifetime preparing for this position. I have the upmost confidence in him, and I believe that Rochester and our entire District will benefit from his service. Simply put, Doug’s appointment represents good news for law-abiding citizens and bad news for criminals.”
Mr. Gregory, a native of Corning, NY, began his legal career as a prosecutor with the Monroe County District Attorney’s Office in 1993, where he served until July of 1999, at which time he joined the U.S. Attorney’s Office. Gregory began his federal service prosecuting illegal weapons cases under Project Exile, a nationally recognized anti-violence campaign. Prior to being named Attorney-in-Charge, Gregory served as the Deputy Chief of the Narcotics and Organized Crime Section, where he was responsible for the prosecution of gang cases, drug trafficking crimes and violent felony offenses. Gregory has been the lead prosecutor in several high-level prosecutions and jury trials, including a nearly four-month long, eight-defendant narcotics and weapons trial. He has successfully tried cases involving historical drug conspiracies, federal weapons violations, gang and violent criminal activity, and multi-defendant racketeering (RICO) offenses.
During his federal career, Gregory has received several national awards and honors, including the Directors Award for Superior Performance. He has also been recognized for distinguished service by the Federal Law Enforcement Foundation in New York City, and was a member of a Prosecutorial Instructor Team in Zagreb, Croatia as part of the Department of Justice Overseas Prosecutorial Development and Training Program. Gregory received his Bachelor of Arts Degree in Political Science from Union College in 1989 and Juris Doctorate from Albany Law School in 1993.
U.S. Attorney Kennedy also made the following additional appointments:
• Assistant U.S. Attorney Tiffany H. Lee was named Chief of the Appellate Division for the Western District of New York;
• Assistant U.S. Attorney Richard A. Resnick was named Chief of the White Collar General Crimes Section in Rochester; and
• Brett A. Harvey was re-appointed as Chief of the Narcotics and Violent Crime Section in Rochester.United States Attorney Kennedy went on to note that, “Chief Lee, Chief Resnick, and Chief Harvey are each widely-recognized as among the most talented AUSAs in their respective areas of practice in the entire Department of Justice. Tiffany is a talented writer and exceptional appellate advocate; Rick is hands-down one of the best white-collar prosecutors in the country; and Brett, who has a wealth of prosecutorial experience in area of drugs and violent crime, is likely the only AUSA in the entire United States successfully to convict two different individuals in two unrelated cases of providing material support to ISIS. All three AUSA’s are supremely talented, and as a community, we are fortunate to have them on our side.”
Ms. Lee obtained her J.D. cum laude from Syracuse University College of Law in 1997. She also obtained her M.A. in International Relations from Syracuse University’s Maxwell School of Citizenship and Public Affairs. From 1997-1999, Lee worked as a court attorney for the New York State Court of Appeals. In 1999, she became a confidential law clerk for the Honorable Richard C. Wesley, then Associate Judge of the New York State Court of Appeals. After completing her clerkship in August 2002, Lee began working as an Assistant U.S. Attorney prosecuting white collar crimes and crimes against children in Rochester, NY. In December 2007, Lee was appointed the Project Safe Childhood coordinator for the Western District of New York, a position she held until 2013.
Mr. Resnick obtained his law degree from the State University at Buffalo, and his undergraduate degree from Alfred University. From 1990-1994, Resnick was a trial attorney with the Department of Justice, Tax Division, in Washington, D.C. Prior to that, Resnick was a trial attorney with District Counsel, Internal Revenue Service, in Miami, Florida. In 1994, he began working as an Assistant U.S. Attorney in the Rochester Office in the Western District of New York, prosecuting white collar and economic crimes.
Mr. Harvey graduated from Albany Law School in 1995 after earning his undergraduate degree from Geneseo State in 1993. From 1995 to 1997, Harvey served as an Appellate Court Attorney for the New York State Supreme Court, Appellate Division, Fourth Department. In 1997, Harvey joined the Queens County District Attorney’s Office, where he served until joining the Rochester Office of the United States Attorney’s Office in 2002.
Two KC Men Plead Guilty to Armed Robbery ConspiracyRead the Press Release
KANSAS CITY, Mo. – Timothy A. Garrison, United States Attorney for the Western District of Missouri, announced that two Kansas City, Mo., men pleaded guilty in federal court today to their roles in a conspiracy to commit 10 armed robberies at local businesses.
Jerry D. Patterson, 22, and Michael A. Harris, 19, both of Kansas City, pleaded guilty in separate appearances before U.S. Chief District Judge Greg Kays to the armed robbery conspiracy and to brandishing a firearm in furtherance of a crime of violence.
By pleading guilty today, Patterson and Harris admitted they were involved in a conspiracy to commit 10 armed robberies at area businesses over a four-week period in September and October 2017.
On Oct. 15, 2017, Patterson and Harris stole $3,500 at gunpoint from Walgreens Pharmacy, 1536 E. 23rd St., Independence, Mo. They drove Patterson’s red 2007 Pontiac G6 sedan; after officers discovered the vehicle, Patterson and Harrison abandoned it and fled on foot. Investigators searched the vehicle and found a Glock .40-caliber handgun, an extended .40-caliber magazine, money taken from the robbery, and a number of items used in several of the armed robberies. Agents also found a Kahr Arms .40-caliber handgun (seen in several surveillance videos) in a nearby wooded area.
On Oct. 20, 2017, Patterson reported his car stolen. On Oct. 31, 2017, both Harris and Patterson were arrested at their respective apartments. Evidence from the numerous robberies was recovered from each of their homes.
By pleading guilty today, Patterson and Harris each admitted that they committed a series of armed robberies during the conspiracy. Patterson brandished a Kahr Arms .40-caliber handgun in all of the robberies. Harris brandished a Glock .40-caliber handgun in all of the robberies. In addition to the Walgreens Pharmacy robbery on Oct. 15, 2017, Patterson and Harris admitted they committed nine more armed robberies:
• On Oct. 14, 2017, Patterson and Harris stole $4,275 at gunpoint from Walgreens Pharmacy, 9300 Gregory Blvd., Raytown, Mo.;
• On Oct. 14, 2017, Patterson and Harris stole $3,000 at gunpoint from CVS Pharmacy, 6244 S. Brookside Blvd., Kansas City, Mo.;
• On Oct. 10, 2017, Patterson and Harris robbed Dollar General, 5105 Blue Ridge Blvd., Raytown, Mo., at gunpoint;
• On Oct. 9, 2017, Patterson and Harris stole $3,705 at gunpoint from Walgreens Pharmacy, 2261 S. Sterling Ave., Independence, Mo.;
• On Oct. 8, 2017, Patterson and Harris stole $575 at gunpoint from Domino’s Pizza, 3709 S. Noland Road, Independence, Mo. They also stole $400 from employees.
• On Oct. 2, 2017, Patterson and Harris stole $2,500 from CVS Pharmacy, 5310 Blue Ridge Blvd., Raytown, Mo.;
• On Sept. 26, 2017, Patterson and Harris stole $380 from Family Dollar, 12521 E. 40 Hwy., Independence, Mo.;
• On Sept. 26, 2017, Patterson and Harris stole $150 and some store items at gunpoint from 7 Eleven, 11107 Grandview Rd., Kansas City, Mo.;
• On Sept. 10, 2017, Patterson and Harris stole $3,500 from Walgreens, 1100 E. 63rd. St., Kansas City, Mo.
Under the terms of today’s plea agreements, Patterson and Harris are each subject to a sentence of at least 15 years, up to 25 years in federal prison without parole. Sentencing hearings will be scheduled after the completion of presentence investigations by the United States Probation Office.This case is being prosecuted by Assistant U.S. Attorney Jeffrey Q. McCarther. It was investigated by the FBI, the Kansas City, Mo., Police Department, the Independence, Mo., Police Department and the Raytown, Mo., Police Department.
Tulare Man Pleads Guilty to Making False Statements to Probation OfficerRead the Press Release
FRESNO, Calif. — Rojelio Martin, 36, of Tulare, pleaded guilty today to making false statements to a U.S. Probation Officer, U.S. Attorney McGregor W. Scott announced.
According to court documents, on May 20, 2013, Martin was sentenced to 33 months in prison and a three-year term of supervised release following his convictions on 10 counts of wire fraud. The convictions resulted from when Martin (then a licensed tax preparer) and codefendant Roberto Olivares fraudulently prepared personal tax returns for clients of “Success Income Tax Services,” a Tulare-based business Martin and Olivares formed and operated. The judgement against Martin required him to pay $44,860 in restitution.
Beginning in April 2017, Martin failed to make the court-ordered restitution payments. In support of his claim that his health-related absences from work prevented him from paying restitution, on or about December 13, 2017, Martin gave his supervising U.S. Probation Officer a fraudulent and forged letter from his doctor and a fraudulent statement of earnings.
This case is the product of an investigation by the Internal Revenue Service, Criminal Investigation. Assistant U.S. Attorney Christopher D. Baker is prosecuting the case.
Martin is scheduled to be sentenced by Chief U.S. District Judge Lawrence J. O’Neill on June 4, 2018. Martin faces a maximum statutory penalty of five years in prison and a $250,000 fine. The actual sentence, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.
San Fernando Valley Man Sentenced to over 4 years in Federal Prison for Role in Stolen Identity Tax Refund Fraud SchemeRead the Press Release
LOS ANGELES – A Canoga Park man who worked with a tax preparer in a large stolen-identity and tax-refund fraud scheme was sentenced today to 52 months in federal prison.
Arthur Bakunts, 40, was sentenced by United States District Judge Dale S. Fischer, who also ordered Bakunts to pay a total of $741,259 in restitution and to serve three years on supervised release after he is released from prison.
Bakunts pleaded guilty in November to one count of wire fraud and one count of illegally possessing the means of identification of another person.
The case against Bakunts stemmed, in part, from documents – including identity profiles, tax refund checks and other trappings of identity theft – found in his car when he was stopped at a sobriety checkpoint in Glendale in 2014.
Subsequent investigation revealed that Bakunts was working with Ashrf Mohammed Aly, the former owner of Speedy Tax Service in West Covina, who used the stolen identity information to prepare fraudulent federal and state income tax returns in the names of the identity theft victims, which Bakunts then filed.
The fraudulent tax returns led to tax authorities issuing refund checks – $612,259 from the U.S. Treasury and $129,000 from the state of California.
In addition to these substantial losses, prosecutors noted that Bakunts’ crimes caused other significant harms, “including compromised financial accounts and liabilities incurred in the identity theft victims’ names, victims’ loss of the time needed to address these financial problems and restore credit, and the anxiety and sense of violation that identity theft causes.”
Bakunts admitted in his plea agreement that approximately 341 fraudulent tax returns had been filed as part of the criminal scheme. Judge Dale S. Fischer pointed to the scope of the scheme when imposing the sentence against Bakunts today.
During the period of supervised release, Bakunts will be required to do 20 hours of community service each week unless he is otherwise gainfully employed.
Aly pleaded guilty in December to one count of wire fraud and is scheduled to be sentenced by Judge Fischer on April 9.
This case was investigated by IRS Criminal Investigation. The prosecution is being handled by Assistant United States Attorney Ranee A. Katzenstein, Chief of the Major Frauds Section.
Salt Lake City Man Charged with Distribution of Spice, Possession of a Firearm During Drug Trafficking Crimes During Operation Rio Grande Spice Crack Down EffortRead the Press Release
SALT LAKE CITY – A four-count indictment returned by a federal grand jury in Salt Lake City charges James Musa Gama, age 39, of Salt Lake City, with two counts of possession of the synthetic cannabinoid commonly known as “spice” and two counts of possession of a firearm in furtherance of a drug trafficking crime.
U.S. Attorney for Utah John W. Huber and Utah Department of Public Safety Commissioner Keith Squires announced the indictment Monday.
Gama was arrested on as federal complaint filed Mar. 5, 2018. U.S. Magistrate Judge Brooke C. Wells ordered him to remain in custody after finding he constitutes a risk of danger to the community during an initial appearance Wednesday. He is scheduled for an arraignment on the indictment Wednesday at 10:15 a.m.
According to the complaint, Gama came to the attention of agents working with the Operation Rio Grande Drug Task Force during enforcement efforts in the Pioneer Park area in December 2017 and January 2018. The task force was targeting the suspected distribution of the synthetic cannabinoid commonly known as “spice.”
While an agent was working in an undercover capacity in Pioneer Park on Dec. 12, 2017, an unidentified man approached an agent asking what he was looking for. The agent said he was looking for spice. The unidentified man led the agent to Gama, who sold him one jar of spice for $40. Other agents arrested Gama. During a search incident to arrest, agents found five additional jars of spice in Gama’s possession, along with the $40 the agent had given him. The Utah Bureau of Forensic Services later identified the substance in the jars as FUM-AMB, a Schedule 1 synthetic cannabinoid. Agents also found a loaded handgun, previously reported as stolen, in Gama’s waistband.
According to the complaint, Gama told agents he had been selling three or four jars of spice per day. He said he carried the handgun, which he bought for $300, for protection after being robbed and shot a year earlier.
Agents had a second encounter with Gama and two other individuals in Pioneer Park on Jan. 31, 2018, where they bought four jars containing suspected spice. Gama and the two others, identified as R.S. and M.G. in the complaint, were arrested. During a search incident to arrest, agents found another handgun in GAMA’s waistband. Again, the Utah Bureau of Forensic Services identified the substance in the jars as a Schedule 1 synthetic cannabinoid. According to the complaint, Gama told agents he purchased the handgun for protection about a week earlier. Gama also said he had purchased the four jars of spice earlier in the day to sell at Pioneer Park.
The two spice counts in the indictment each carry potential 20-year sentences. The first firearm count carries a minimum mandatory sentence of five years. The second count has a potential 25-year minimum mandatory sentence. Sentences for the firearms counts would run consecutive to any sentence imposed for the spice counts.
Indictments are not findings of guilt. Individuals charged in indictments are presumed innocent unless or until proven guilty in court.
Agents with Utah Department of Public Safety are investigating the case. Prosecutors in the Utah U.S. Attorney’s Office are prosecuting the case.
Examples of other federal Operation Rio Grande cases:
US v Jose Rodriguez, aka King Kong: A grand jury returned a six-count indictment in December charging Jose Rodriguez, aka King Kong, age 35, of Salt Lake City, with drug and firearms violations. The two incidents that make up the indictment come from investigations done by Salt Lake City police officers working as a part of Operation Rio Grande. Rodriguez is charged with distribution of heroin, distribution of cocaine base, carrying a firearm in relation to a drug trafficking crime and felon in possession of a firearm for the first incident in late September. He also faces distribution of heroin and felon in possession of a firearm in connection with an October incident. Rodriguez, age 35, a Mexican national living in Salt Lake City, faces up to 20 years in federal prison for each of the drug distribution counts and up to 10 years for each of the felon in possession counts. Carrying a firearm during and in relation to a drug trafficking crime has a mandatory five-year sentence, which would run consecutive to any other sentence imposed. Indictments are not findings of guilt. Individuals charged in indictments are presumed innocent unless or until proven guilty in court. A five-day jury trial has been set for March 27, 2018, before U.S. District Judge Robert J. Shelby. Rodriguez, who has entered not guilty pleas to the charges, will remain in custody pending the resolution of this case. U.S. Magistrate Judge Paul M. Warner found him to be a danger to the community and a risk of non-appearance at a detention hearing. Salt Lake City police officers are investigating the case.
US v Chris William Espinoza: A trial is scheduled for May 14, 2018, in a case charging Chris William Espinoza, age 50, of Ogden, with possession of heroin with intent to distribute, possession of methamphetamine with intent to distribute, possession of a firearm by a restricted person (felon), and possession of firearms in furtherance of a drug trafficking crime. Agents with the Utah State Bureau of Investigation executed a court-authorized state search warrant at a residence in Ogden in September 2017. Agents found heroin and methamphetamine, along with other drugs and drug trafficking paraphernalia. They also found two semi-automatic handguns. Espinoza is in custody pending resolution of the case. He has entered pleas of not guilty to the charges. The two drug counts each carry potential sentences of 40 years in prison with mandatory-minimum sentences of five years. The potential maximum sentence for possessing a firearm following a felony conviction is 10 years. Possession of a firearm in furtherance of a drug trafficking offense carries a five-year sentence, imposed consecutive to any other sentence. Indictments are not findings of guilt. Individuals charged in indictments are presumed innocent unless or until proven guilty in court. Agents of the State Bureau of Investigation are continuing their investigation of the case.
US v Tohi Ryan Ngata, aka Leaaetohi Ryan Ngata, aka Toni Ngata-Latu: Tohi Ryan Ngata, age 33, of Salt Lake City, was charged in a sealed indictment returned by a federal grand jury Feb. 7, 2018. The three-count indictment, unsealed Feb. 23, 2018, charges Ngata with possession of a firearm by a restricted person (felon), possession of heroin with intent to distribute, and carrying a firearm in furtherance of a drug trafficking crime. Ngata, who has entered pleas of not guilty to all counts, is in custody pending resolution of the case. Utah State Bureau of Investigation agents encountered Ngata on Jan. 18, 2018. They tried to stop Ngata, but he fled on a bike. Salt Lake City police officers, assisting the agents, were able to detain him. Agents found a gun in his waistband. They also found drugs, drug paraphernalia and cash. The potential maximum penalties for the counts in the indictment include 10 years for the firearms count and 20 years for the drug charge. There is a potential fine of $1 million. Individuals charged in indictments are presumed innocent unless or until proven guilty in court.
Romanian National Sentenced for ATM Skimming and Money LaunderingRead the Press Release
BOSTON – A Romanian national was sentenced today, and another pleaded guilty, in federal court in Boston in connection with an ATM skimming scheme operating throughout Massachusetts and other states including Connecticut, New York and South Carolina.
Ion Trifu, 25, was sentenced by U.S. District Court Judge William G. Young to one year and one day in prison and one year of supervised release. In December 2017, Trifu pleaded guilty to conspiracy to use counterfeit access devices and money laundering conspiracy. Nicusor Bonculescu, 24, pleaded guilty to conspiracy to conduct enterprise affairs through a pattern of racketeering activity, conspiracy to use counterfeit access devices, and aggravated identity theft. Judge Young scheduled sentencing for June 7, 2018.
In May 2017, Trifu and Bonculescu were indicted in connection with the ATM skimming scheme along with 12 others. Bonculescu is the eighth defendant to plead guilty.
The defendants, except for Trifu, were members of the Hornea Crew, led by Constantin Denis Hornea and Ludemis Hornea, and engaged in ATM skimming – a scheme in which the defendants obtained debit card numbers and PINs from unsuspecting bank customers, created counterfeit cards, and made unauthorized withdrawals from the victims’ bank accounts.
Over a period of 18 months, the Crew installed skimming devices and made unauthorized withdrawals in seven states, including Massachusetts. In particular, members of the Crew installed skimming devices in the following locations: Amherst, Bellingham, Billerica, Braintree, Chicopee, Quincy, Southwick, Waltham, Weymouth, and Whately, Mass.; Enfield, Conn.; Columbia, Greenville, Greenwood, Mauldin, and Saluda, S.C.; Savannah, Ga.; and Yadkinville, N.C. The Crew made unauthorized withdrawals at ATMs in approximately 29 Massachusetts towns; seven Connecticut towns; six New York towns; Salem, N.H.; and Sumter, S.C.
Members of the Hornea Crew and Trifu transferred money throughout the United States and to Romania and the People’s Republic of China. Some of those transfers were for the purchase of skimming devices and related components from abroad.
The charge of conspiracy to conduct enterprise affairs through a pattern of racketeering conspiracy provides for a sentence of no greater than 20 years in prison, three years of supervised release, and fine of $250,000. The charge of conspiracy to use counterfeit access devices provides for a sentence of no greater than five years in prison, three years of supervised release, and fine of $250,000. The charge of aggravated identity theft provides for a mandatory consecutive term of two years in prison. The defendants will face deportation proceedings upon completion of their sentences. 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; Harold H. Shaw, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; and Colonel Kerry A. Gilpin, Superintendent of the Massachusetts State Police, made the announcement today. Assistance with the investigation was also provided by the Internal Revenue Service’s Criminal Investigations (IRS-CI) in Boston; U.S. Secret Service; U.S. Postal Service; Massachusetts Department of Correction; U.S. Customs and Border Protection; the Amherst, Billerica, Braintree, Boston, Quincy, Southwick, Waltham, Whately, and Westwood Police Departments; Connecticut State Police; Greenwich Police Department; the New York City Police Department; Houston Police Department; South Carolina Law Enforcement Division; Richland County (South Carolina) Sheriff’s Department; Florence and Saluda (South Carolina) Police Departments; and the Solicitor’s Offices of Greenville and Saluda Counties. Assistant U.S. Attorney Timothy E. Moran of Lelling’s Organized Crime and Gang Unit is prosecuting the case.
The details contained in the charging document are allegations. The remaining defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Richmond Lawyer Sentenced for Fraud, Tax ViolationsRead the Press Release
RICHMOND, Va. – A former Richmond lawyer was sentenced today to one year in prison for bankruptcy fraud and failing to collect and turn over employment taxes.
According to court documents, Nnika White, 42, maintained a bankruptcy law practice in Richmond and owned a law firm, White & Associates, PLLC. In 2014, one of White’s bankruptcy clients inherited approximately $50,000 and turned over the checks to White. However, instead of disclosing the inheritance to the client’s bankruptcy trustee, White concealed the inheritance by depositing it into a firm account. After discussing the matter with the client, White then paid herself over $31,000 out of that account for legal fees. In later bankruptcy filings on behalf of the client, White never disclosed that she purported to be a creditor of the client’s, nor the fact of the inheritance, much less that she had been paid legal fees out of it. In part as a result of this conduct, White was disbarred.
As the owner of her law firm, White was responsible for collecting and paying over payroll taxes to the IRS. From approximately late 2011 through late 2015, White issued Forms W-2 to her employees that indicated she had withheld monies from employees’ salaries as income tax and social security contributions. However, White never paid the money to the government, instead keeping it for herself. Taking into account the employer matching portion (which White also did not pay), the total amount White failed to pay to the government exceeded $68,000.
Tracy Doherty-McCormick, Acting U.S. Attorney for the Eastern District of Virginia, Adam S. Lee, Special Agent in Charge of the FBI’s Richmond Field Office, and Kimberly Lappin, Special Agent in Charge, Washington, D.C. Field Office, IRS-Criminal Investigation (IRS-CI), made the announcement after sentencing by U.S. District Judge Henry E. Hudson. Assistant U.S. Attorney David V. Harbach, II, prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information is located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 3:17-cr-159.
Previously Convicted Former State Representative Pleads Guilty to Obstruction of JusticeRead the Press Release
BOSTON – A former Dartmouth Selectman pleaded guilty today in federal court in Boston in connection with concealing approximately $2.5 million in cash from the U.S. District Court following his sentencing proceedings in 2015.
John George Jr., 71, pleaded guilty to one count of obstruction of justice before U.S. District Court Senior Judge Douglas P. Woodlock, who scheduled sentencing for June 12, 2018. George was indicted in April 2017.
In July 2015, George was sentenced to 70 months in prison and ordered to pay restitution in the amount of $688,772 and forfeiture of $1.38 million for embezzling hundreds of thousands of dollars from the Southeastern Regional Transit Authority (SRTA). George was required to disclose his financial status to the Court, and reported that he only possessed approximately $28,000 in cash. However, in December 2015 and January 2016, federal law enforcement recovered more than $2.5 million in cash, as well as Rolex watches and jewelry that George had concealed in safe deposit boxes in New Bedford and Fairhaven.
The charging statute provides for a sentence of no greater than 10 years in prison, three years of supervised release and a fine of $250,000. 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; Todd A. Damiani, Special Agent in Charge of the Department of Transportation, Office of the Inspector General, Office of Investigations; Joel P. Garland, Special Agent in Charge of Internal Revenue Service’s Criminal Investigation in Boston; and U.S. Marshal John Gibbons for the District of Massachusetts made the announcement today. Assistant U.S. Attorneys Dustin Chao and Ryan M. DiSantis of Lelling’s Public Corruption Unit are prosecuting the case.
Portland Man Sentenced for Pointing Laser at News HelicopterRead the Press Release
PORTLAND, Ore. – Fernando Garces, 25, of Portland, was sentenced today in federal court to two years of probation for aiming a laser pointer at a news helicopter.
According to court documents, on the evening of November 9, 2016, Garces was driving on the Burnside Bridge in Portland during a protest. The bridge was full of pedestrians and cars were moving slowly as a result. A KGW news helicopter was flying over the bridge to report on the protest. A KGW photographer was in the back of the helicopter operating a camera.
While the pilot was hovering over the bridge, Garces pointed a high-powered laser beam directly at the helicopter. The intense blue laser light illuminated the helicopter cockpit. The light temporarily blinded both the pilot and the photographer. The pilot made several attempts to maneuver the helicopter to a position where it would not be hit by the laser. The laser illumination lasted approximately one minute before the pilot was able to regain enough vision to safely fly the helicopter, read controls in the cockpit and take evasive action.
This case was investigated by the FBI and prosecuted by Hannah Horsley, Assistant U.S. Attorney for the District of Oregon.
Pocatello Man Sentenced to 15 years in Federal Prison for Sexual Exploitation of a MinorRead the Press Release
POCATELLO – Alfredo J. Padilla, 59, of Pocatello, Idaho, was sentenced today in United States District Court to 180 months in federal prison, followed by a life term of supervised release, for sexual exploitation of a minor, U.S. Attorney Bart M. Davis announced. U.S. District Judge David C. Nye also ordered Padilla to pay $5,100 in special assessments and forfeit the devices used in the commission of the charged offense. Although Judge Nye ordered Padilla to pay the victim restitution, the amount of restitution is to be determined at a later hearing. Padilla pleaded guilty to the crime on October 30, 2017.
According to the plea agreement, Padilla coerced a 12-year old girl to take pictures of her exposed breasts, then forced her to pose for pictures of her exposed vagina. A forensic search of Padilla’s phone revealed 43 images relevant to the case, and images of Padilla were interspersed with images of the young girl. When interviewed by police, Padilla admitted to taking the pictures. In court, Padilla admitted to taking pornographic photographs of the child and to using, persuading, or coercing the child to take part in sexually explicit conduct for the purposes of producing the photographs. Padilla’s criminal conduct was discovered when his victim disclosed abuse to her counselor.
The case was investigated by the Pocatello Police Department and U.S. Immigration and Custom Enforcement’s (ICE) Homeland Security Investigations (HSI).
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc. For more information about internet safety education, please visit www.usdoj.gov/psc and click on the tab “resources.”
Pharmacist and Pharmacy Employee Sentenced for Involvement in over $30 Million Health Care FraudRead the Press Release
A pharmacist and his employee were sentenced on Friday for their involvement in a $30 million health care fraud scheme against Tricare, the health care program for military service members, veterans and their families. This case was largest health care fraud case involving the Tricare program to go to trial.
Benjamin G. Greenberg, United States Attorney for the Southern District of Florida, John F. Khin, Special Agent in Charge, U.S. Department of Defense Criminal Investigative Service (DCIS), Southeast Field Office, Christopher Cave, Special Agent in Charge, U.S. Postal Service, Office of Inspector General (USPS-OIG), Southern Area Field Office, Michael C. Curran, Special Agent in Charge, U.S. Army Criminal Investigation Command, Southeast Fraud Field Office, Peter H. Kuehl, Acting Special Agent in Charge, U.S. Food and Drug Administration, Office of Criminal Investigation (FDA-OCI), Miami Field Office, and Scott Rezendes, Special Agent in Charge, U.S. Office of Personnel Management, Office of Inspector General (OPM-OIG), made the announcement.
On March 9, 2018, Serge Francois, 52, of Southwest Ranches, Florida was sentenced to 204 months in prison to be followed by three years supervised release by U.S. District Judge Darren P. Gayles. Francois was ordered to pay $31,259,252 in restitution. Patrick Tonge, 42, of Southwest Ranches was sentenced to 188 months in prison, to be followed by three years of supervised release. Tonge was also ordered to pay $31,259,252 in restitution.
On September 5, 2017, after a one-month trial, a federal jury found Francois guilty of conspiracy to commit health care fraud in violation of Title 18, United States Code , Section, 1349 twelve counts of health care fraud in violation of Title 18, United States Code, Section 1347, conspiracy to pay kickbacks in connection with a federal health care program in violation of Title 18, United States Code, Section 371, five counts of paying kickbacks, in violation of Title 42, United States Code, Section 1320, and twelve counts of money laundering, in violation of Title 18, United States Code, Section 1957. In addition, Francois was found guilty of eight counts of introducing misbranded drugs into interstate commerce in violation of Title 21, United Sates Code, Section 331, four counts of making false statements related to health care matters, in violation of Title 18, United States Code, Section 1035 and one count of making a false statement on a DEA form, in violation of Title 21, United States Code, Section 843. The jury found Patrick Tonge guilty of the same conspiracy charges, eleven counts of health care fraud, three counts of paying kickbacks, and two counts of money laundering. The scheme caused over $31 million in loss to the federal Tricare program and the Federal Employee Health Benefit Program (“FEHBP”), with over $30 million in loss to Tricare alone. The trial was a culmination of a three-year investigation that resulted in 18 convictions.
According to evidence presented at trial, Francois, a pharmacist, owned and operated Atlantic Pharmacy and Compounding, located in Pompano Beach, Florida. From there, Francois and his assistant at the pharmacy, Tonge, entered into a vast conspiracy with so-called marketers who paid physicians to write prescriptions for expensive topical medications that cost up to $17,000 a bottle. As the pharmacist-in-charge, Francois was responsible for the compounded medications, which were made in house by the pharmacy.
Francois, Tonge and their co-conspirators agreed to automatically refill the prescriptions, sending numerous refills to patients who did not request them and not charging a co-pay. Francois and Tonge would also pay the marketers from the profits received for each prescription and the marketers, in turn, would pay the physicians. Evidence further showed that some physicians never saw the purported patients. Rather, they used the patient’s identification to write the prescriptions.
The trial evidence revealed that Francois and Tonge specifically targeted the Tricare program. Throughout the conspiracy, Atlantic Pharmacy submitted thousands of claims which led Tricare and FEHBP to make payment to Atlantic Pharmacy and Compounding in the approximate amount of $31,259,252. Further evidence presented at trial showed that Francois used the fraud proceeds to buy a $3.6 million mansion once owned by Dwayne “the Rock” Johnson, as well as a Ferrari, two Rolls Royce Motor vehicles, and over $1 million in other luxury automobiles.
“The fraud committed in this case was particularly egregious, as it targeted the health care program for the men and women in uniform who protect this country,” stated United States Attorney Benjamin G. Greenberg. “The jury’s verdict exemplifies this Office’s tireless commitment to prosecuting healthcare providers and individuals who commit fraud against the Tricare program and any federal health care program.”
“This sentencing should serve as a stern warning to corrupt health care providers who defraud Federal health care programs. These defendants engaged in a vast and egregious fraud scheme that specifically targeted the vulnerabilities of the DoD’s TRICARE program, charging outrageous amounts for phony and unneeded prescription medications,” said Defense Criminal Investigative Service (DCIS) Special Agent in Charge John F. Khin, Southeast Field Office. “While depriving American military members of legitimate health care and medications, these defendants splurged on a luxurious fantasy lifestyle for themselves supported by the millions of dollars they bilked from TRICARE. Through our aggressive investigative efforts in coordination with our partner agencies, DCIS stopped this shameful abuse of one of DoD’s most critical programs.”
“The USPS-OIG, along with our law enforcement partners has worked diligently to ensure the protection of federal benefit programs from healthcare providers seeking to receive unmerited money from fraudulent claims,” said Special Agent in Charge Christopher Cave, of the U.S. Postal Service Office of the Inspector General Southern Area Field Office. “The sentence imposed today clearly demonstrates these crimes will not be tolerated and serves as a great deterrent to other healthcare providers engaging in these illegal schemes. Our federal government is vigilant against these crimes will be investigated and punished accordingly.”
“Today’s sentencing is the direct result of the steadfast dedication of our agents and our partners in federal law enforcement,” said Special Agent in Charge Michael C. Curran, of the U.S. Army Criminal Investigation Command’s Southeastern Fraud Field Office. “This was a wide-ranging investigation that spanned multiple states, and led to the convictions of 18 individuals including doctors, podiatrists, a physician's assistant, and patient recruiters. We will continue to vigorously pursue those who abuse the Tricare program and violate the trust placed in them by the U.S. government.”
“Prescription drugs should only be dispensed pursuant to valid prescriptions in order to protect patient safety,” said Justin D. Green, Special Agent in Charge, FDA-OCI’s Miami Field Office. “We remain committed to bringing to justice those who place their personal gain over the health of American consumers.”
Scott Rezendes, Special Agent in Charge, United States Office of Personnel Management, Office of Inspector General (OPM-OIG). “Today’s sentencing sends a message to professionals in the health care industry that the Federal Government will not tolerate fraud and other unethical behavior. The OPM-OIG, along with our law enforcement partners, is committed to protecting the integrity of the Federal Employees Health Benefits Program and ensuring that its funds are used to promote the wellbeing of Federal employees, retirees, and their families.”
Mr. Greenberg commended the investigative efforts DCIS, USPS-OIG, U.S. Army Criminal Investigation Command, OPM-OIG and FDA. This case was prosecuted by AUSA’s Daniel Bernstein, Evelyn Sheehan, Adrienne Rosen and former AUSA Franklin Monsour.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at http://www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.
Pensacola Tax Preparer Charged with Preparing False Tax ReturnsRead the Press Release
PENSACOLA, FLORIDA – Benell English, 57, of Pensacola, was arraigned on Friday in the U.S. District Court in Pensacola after a federal grand jury returned an indictment charging him with eighteen counts of preparing false tax returns. The indictment was announced by Christopher P. Canova, United States Attorney for the Northern District of Florida.
The indictment alleges that English, a tax return preparer at Select Tax Service in Pensacola, prepared and filed false tax returns with the Internal Revenue Service for various individuals between 2013 and 2017. The indictment alleges that English falsely represented the taxpayers’ Schedule A itemized deductions, Schedule C business losses or profits, or household employee income.
The maximum penalty for each count of preparing false tax returns is three years in prison. The trial is scheduled for April 19, 2018, at the United States Courthouse in Pensacola.
This case resulted from an investigation by the Internal Revenue Service—Criminal Investigation and the Social Security Administration-Office of Inspector General. Assistant United States Attorney Alicia H. Forbes is prosecuting the case.
An indictment is merely an allegation by a grand jury that a defendant has committed a violation of federal criminal law and is not evidence of guilt. All defendants are presumed innocent and entitled to a fair trial, during which it will be the government’s burden to prove guilt beyond a reasonable doubt at trial.
The United States Attorney’s Office for the Northern District of Florida is one of 94 offices that serve as the nation’s principal litigators under the direction of the Attorney General. To access public court documents online, please visit the U.S. District Court for the Northern District of Florida website. For more information about the United States Attorney’s Office, Northern District of Florida, visit http://www.justice.gov/usao/fln/index.html.
Passaic County Man Charged with Trying to Bring Loaded Gun on Plane at Newark Liberty International AirportRead the Press Release
NEWARK, N.J. – A Totowa, New Jersey, man will appear in federal court today to face weapons charges after allegedly trying to get a firearm through security at Newark Liberty International Airport, U.S. Attorney Craig Carpenito announced.
Laron L. James, a/k/a “Juelz Santana,” 36, is charged by complaint with one count of possession of a firearm by a convicted felon and one count of carrying a weapon on an aircraft. He surrendered to law enforcement early this morning and will appear this afternoon before U.S. Magistrate Judge Joseph A. Dickson in Newark federal court.
According to the complaint:
On March 9, 2018, James submitted a carry-on bag for inspection at Newark Liberty International Airport. While he waited for his bag to be screened, James allegedly requested that the bag be examined quickly because he was going to miss his flight to San Francisco.
During the X-Ray screening of James’s luggage, a Transportation Security Administration (TSA) agent identified a suspected firearm and contacted the Port Authority Police. Upon seeing that his bag had attracted additional attention, James left the security checkpoint area without his belongings, including his driver’s license and boarding pass, and departed the airport in a taxi.
Further investigation of James’s bag revealed that it contained a Derringer .38 caliber handgun, which was loaded with two rounds. James was prohibited from possessing a firearm due to a 2013 conviction for manufacturing and distributing a controlled dangerous substance.
Both charges in the complaint carry a maximum potential penalty of 10 years in prison.
U.S. Attorney Carpenito credited special agents of the FBI, under the direction of Special Agent in Charge Timothy Gallagher in Newark, and officers of the Port Authority Police Department, under the direction of Superintendent Michael A. Fedorko, with the investigation.
The government is represented by Assistant U.S. Attorney Desiree Grace Latzer of the U.S. Attorney’s Office Violent Crimes Unit in Newark.
The charges and allegations contained in the complaint are merely accusations, and the defendant is considered innocent unless and until proven guilty.
Pasco Drug Dealer Sentenced to 27 Years in Federal PrisonRead the Press Release
Spokane – Joseph H. Harrington, United States Attorney for the Eastern District of Washington, announced that Jose Martin Aguilar, age 37, of Pasco, Washington, was sentenced after having pleaded guilty on September 25, 2017, to Conspiracy to Distribute Methamphetamine. Chief United States District Court Judge Thomas O. Rice sentenced Aguilar to a twenty-seven-year term of imprisonment, to be followed by a five-year term of court supervision after he is released from Federal prison.
According to information disclosed during court proceedings, the United States Drug Enforcement Administration identified Aguilar as a critical member of a transnational criminal organization that distributed methamphetamine in the Eastern District of Washington. Aguilar’s role in the organization was to ensure the monthly delivery of approximately 60 to 70 pounds of methamphetamine from Mexico into the Tri-Cities area and Spokane, Washington.
Joseph H. Harrington said, “I commend the law enforcement officers who worked on this case. Their seamless partnership resulted in the successful outcome in this matter. The United States Attorney’s Office for the Eastern District of Washington is, and will continue to be, committed to prosecuting aggressively and seeking appropriate punishment for offenders who distribute drugs in this District.
This case was investigated by the United States Drug Enforcement Administration and the Spokane County Sheriff’s Office. This case was prosecuted by Caitlin Baunsgard, Assistant United States Attorney for the Eastern District of Washington.
Monongalia County woman sentenced for her role in an oxycodone distribution operationRead the Press Release
CLARKSBURG, WEST VIRGINIA – Ariel Blosser, of Morgantown, West Virginia, was sentenced today to 24 months incarceration for distributing oxycodone, United States Attorney Bill Powell announced.
Blosser, age 28, pled guilty to “Distribution of Oxycodone” in November 2017. Blosser admitted to selling oxycodone in February 2016 in Monongalia County.
Assistant U.S. Attorney Zelda E. Wesley is prosecuting the case on behalf of the government. The Mon Metro Drug & Violent Crimes Task Force, a HIDTA-funded initiative, 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.
Senior U.S. District Judge Irene M. Keeley presided.
Middlesex County Man Admits Conspiracy to Distribute Two Kilograms of Heroin in New JerseyRead the Press Release
NEWARK, N.J. – A Parlin, New Jersey, man who delivered two kilograms of heroin to another individual in Harrison, New Jersey, today pleaded guilty in Newark federal court, U.S. Attorney Craig Carpenito announced.
Pedro Rodriguez, 44, pleaded guilty before U.S. District Judge Claire C. Cecchi to an information charging him with conspiracy to possess with intent to distribute over a kilogram of heroin.
According to the documents filed in this case and statements made in court:
On Oct 19, 2017, law enforcement officers observed Pedro Rodriguez outside of a restaurant in Newark, where he met with another individual and retrieved a bag that was suspected of containing narcotics. Afterwards, Pedro Rodriguez drove to Harrison, met with Rafaelito Rodriguez, 43, of East Stroudsburg, Pennsylvania, and provided him a bag containing approximately two kilograms of heroin. Rafaelito Rodriguez was arrested in Harrison shortly afterwards. Pedro Rodriguez was later arrested at his home in Parlin.
The drug conspiracy charge carries a mandatory minimum penalty of 10 years in prison, a maximum potential penalty of life in prison, and a $10 million fine. Sentencing is scheduled for July 19, 2018. Rafaelito Rodriguez pleaded guilty on March 6, 2018 and awaits sentencing.
The government is represented by Assistant U.S. Attorney Meredith Williams of the U.S. Attorney’s Office OCDETF/Narcotics Unit in Newark.
U.S. Attorney Carpenito credited the Drug Enforcement Administration’s New Jersey Division, under the direction of Special Agent in Charge Valerie A. Nickerson, with the investigation.
Defense counsel: Pedro Rodriguez is represented by Michael Pedicini Esq.
Mexican National Sentenced to Prison for Conspiring to Sell Fraudulent Identification DocumentsRead the Press Release
FRESNO, Calif. —Maria Victoria Perez-Vasquez, 32, a citizen of Mexico residing in Fresno, was sentenced today by Chief U.S. District Judge Lawrence J. O’Neill to 15 months in prison for conspiracy to transfer, possess, and sell false identification documents, U.S. Attorney McGregor W. Scott announced.
According to court documents, between June 2015 and June 2016, Perez-Vasquez conspired with others to sell fraudulent identification documents, including social security cards and alien registration receipt cards, to customers who placed orders and paid as much as $150 for a set of the fraudulent documents.
This case was the product of an investigation by the U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) and the California Department of Motor Vehicles, Investigations Division. Assistant U.S. Attorney Christopher D. Baker is prosecuting the case.
On June 16, 2016, Perez-Vasquez and five co-defendants, all citizens of Mexico, were arrested for the scheme. Four of the other co-defendants pleaded guilty and have been sentenced. Charges are pending against the remaining co-defendant, Fidel Vasquez-Velazquez, who is a fugitive following his failure to appear in court for a bond forfeiture hearing on August 22, 2016. The charges against him are only allegations; he is presumed innocent until and unless proven guilty beyond a reasonable doubt.
Mexican National Sentenced for Marijuana Cultivation in Giant Sequoia National MonumentRead the Press Release
FRESNO, Calif. — Rosario Beltran-Leal, aka Jose Luis Aguilar, aka Dagoberto Suarez (Beltran), 44, of Sinaloa, Mexico, was sentenced today to four years and nine months in prison for conspiring to manufacture, distribute and possess with intent to distribute marijuana in the Giant Sequoia National Monument in Tulare County in the Sequoia National Forest, U.S. Attorney McGregor W. Scott announced.
According to court documents, on April 28, 2018, Beltran was found bringing over 31,000 marijuana seeds to a cultivation site in a remote area closed to the public in the Giant Sequoia National Monument. He was also in possession of a large quantity of food and cultivation supplies, including 100 hose connectors. In pleading guilty, Beltran acknowledged that he had delivered food supplies to marijuana growers in the same area in 2016. The irrigation system from the previous year was intact. Native vegetation and trees had also been trimmed to make room for the marijuana plants and water had been diverted from a tributary of Mill Creek.
This case was the product of an investigation by the U.S. Forest Service, U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI), California Department of Fish and Wildlife, and Tulare County Sheriff’s Office. Assistant U.S. Attorney Karen Escobar prosecuted the case.
Mexican National Pleads Guilty to Growing Marijuana in Sequoia National ForestRead the Press Release
FRESNO, Calif. — Raul Cardenas-Solis (Cardenas), 31, a citizen of Michoacán, Mexico, pleaded guilty today to conspiring to cultivate marijuana on public land, U.S. Attorney McGregor W. Scott announced.
According to court documents, Cardenas was found checking irrigation lines at a marijuana cultivation site in the North Meadow Creek area in Tulare County in the Sequoia National Forest. Law enforcement officers found 10,488 marijuana plants at the site where Cardenas resided. The cultivation operation caused extensive damage to the land and natural resources as a result of deforestation, pesticide and fertilizer use, the diversion of natural water sources, and trash disposal. Cardenas has agreed to pay $11,195 in restitution to the U.S. Forest Service to clean up the area damaged by the cultivation operation.
This case is the product of an investigation by the U.S. Forest Service with assistance from the U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI). Assistant U.S. Attorney Karen A. Escobar is prosecuting the case.
Cardenas is scheduled to be sentenced by Judge Dale A. Drozd on June 4, 2018. Cardenas faces a minimum statutory penalty of 10 years in prison, a maximum statutory penalty of life in prison and a $10 million fine. The actual sentence, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.