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Thursday 22 February 2018
February Grand JuryRead the Press Release
Acting United States Attorney Robert C. Stuart announced the federal Grand Jury for the District of Nebraska has returned 40 indictments charging 40 defendants. Indictments are charging documents that contain one or more individual counts that are merely accusations, and every defendant is presumed innocent unless and until proven guilty.
* Hugo Dominguez Alvarez, age 33, of Omaha, is charged with illegal reentry of a previously removed Alien after deportation on or about January 22, 2018. The maximum possible penalty if convicted is 2 years imprisonment, a $250,000 fine, a 1 year term of supervised release, and a $100 special assessment.
* Heather Christensen, age 46, of Plattsmouth, NE is charged in a two-count Indictment. Count I charges the defendant with conspiracy to distribute 50 grams or more of methamphetamine beginning on or about July 1, 2017, and continuing to on or about October 5, 2017. The maximum possible penalty if convicted is Life imprisonment, a $10,000,000 fine, a 5 year term of supervised release, and a $100 special assessment. Count II charges the defendant with possession with intent to distribute 50 grams or more of methamphetamine on or about October 5, 2017. The maximum possible penalty if convicted is Life imprisonment, a $10,000,000 fine, a 5 year term of supervised release, and a $100 special assessment. There is also an allegation to forfeit United States currency seized on or about October 4, 2017.
* Douglas Eckhardt, age 66, of Rock Island, Illinois is charged in a two-count Indictment. Count I charges the defendant with interstate travel in aid of racketeering activities from on or about January 1, 2017, and continuing to on or about September 20, 2017. The maximum possible penalty if convicted is 5 years imprisonment, a $250,000 fine, 3 year term of supervised release, and a $100 special assessment. Count II charges the defendant with conspiracy to distribute marijuana beginning on or about January 1, 2017, and continuing to on or about September 20, 2017. The maximum possible penalty if convicted is 5 years imprisonment, a $250,000 fine, 3 year term of supervised release, and a $100 special assessment There is also an allegation to forfeit United States currency seized on or about September 20, 2017.
* Jade Good, age 31, of Omaha, is charged in a two-count Indictment. Count I of the Indictment charges the defendant with possession with intent to distribute 500 grams or more of methamphetamine between on or about January 18, 2018 and January 21, 2018. The maximum possible penalty if convicted is Life imprisonment, a $10,000,000 fine, a 5 year term of supervised release, and a $100 special assessment. Count II of the Indictment charges the defendant with using, carrying, or possessing a firearm in connection with a drug trafficking crime on or about January 21, 2018. The maximum possible penalty if convicted is Life consecutive imprisonment, a $250,000 fine, a 3 year term of supervised release and $100 special assessment. There is also an allegation to forfeit United States currency seized on or about January 21, 2018.
* Jesse Jura, age 32, of Omaha, is charged with felon in possession of a firearm on or about December 23, 2017. The maximum possible penalty if convicted is 10 years imprisonment, a $250,000 fine, a 3 year term of supervised release, and a $100 special assessment.
* Justin C. McCoy, age 29, of Omaha, is charged in a five-count Indictment. Count I of the Indictment charges the defendant with bank robbery on or about January 13, 2018. The maximum possible penalty if convicted is 20 years imprisonment, a $250,000 fine, a 3 year term of supervised release, and a $100 special assessment. Count II of the Indictment charges defendant with brandishing a firearm during a crime of violence on or about January 13, 2018. The maximum possible penalty if convicted is 7 years-Life years imprisonment, a $250,000 fine, a 3 year term of supervised release, and a $100 special assessment. Count III of the Indictment charges the defendant with bank robbery on or about January 14, 2018. The maximum possible penalty if convicted is 20 years imprisonment, a $250,000 fine, a 3 year term of supervised release, and a $100 special assessment. Count IV of the Indictment charges defendant with brandishing a firearm during a crime of violence on or about January 14, 2018. The maximum possible penalty if convicted is 7 years-Life years imprisonment, a $250,000 fine, a 3 year term of supervised release, and a $100 special assessment. Count V of the Indictment charges the defendant with bank robbery on or about January 14, 2018. The maximum possible penalty if convicted is 20 years imprisonment, a $250,000 fine, a 3 year term of supervised release, and a $100 special assessment. Count VI of the Indictment charges defendant with brandishing a firearm during a crime of violence on or about January 14, 2018. The maximum possible penalty if convicted is 7 years-Life years imprisonment, a $250,000 fine, a 3 year term of supervised release, and a $100 special assessment.
* Kevin Mitchell, age 32, of Omaha, is charged with robbery at Walgreens on or about January 17, 2018. The maximum possible penalty if convicted is 20 years imprisonment, a $250,000 fine, a 3 year term of supervised release, and a $100 special assessment.
* Vicente Montalvo-Rodriguez, age 35, is charged in a three-count Indictment. Count I of the Indictment charges the defendant with sexual abuse or attempted sexual abuse of an incapable victim on or about the year 2015. The maximum possible penalty if convicted is Life years imprisonment, a $250,000 fine, 5 years term of supervised release, a $100 special assessment. Count II of the Indictment charges the defendant with sexual abuse or attempted sexual abuse of a minor child on or about the year 2015. The maximum possible penalty if convicted is 15 years imprisonment, a $250,000 fine, 5 years-Life term of supervised release, a $100 special assessment. Count III of the Indictment charges the defendant with abusive sexual contact of a minor child on or about the year 2015. The maximum possible penalty if convicted is 2 years imprisonment, a $250,000 fine, a 5 term of supervised release, a $100 special assessment.
* Rene Orrostieta-Rodriguez, age 45, is charged with illegal reentry of a previously removed Alien after deportation on or about February 14, 2018. The maximum possible penalty if convicted is 2 years imprisonment, a $250,000 fine, a 1 year term of supervised release, and a $100 special assessment.
* Antonio Paiz Bautista, age 46, of Omaha, is charged with illegal reentry of a previously removed Alien after deportation on or about February 2, 2018. The maximum possible penalty if convicted is 2 years imprisonment, a $250,000 fine, a 1 year term of supervised release, and a $100 special assessment.
* Rosalio Perez, age 32, is charged in a two-count Indictment. Count I of the Indictment charges the defendant with distribution of child pornography on or about April 18, 2016, and continuing to July 3, 2016. The maximum possible penalty if convicted is 15-40 years imprisonment, a $250,000 fine, 5 years-Life term of supervised release, a $100 special assessment with an additional special assessment of $5,000. Count II of the Indictment charges the defendant with possession of child pornography on or about July 3. 2016. The maximum possible penalty if convicted is 10-20 years imprisonment, a $250,000 fine, 5 years-Life term of supervised release, a $100 special assessment with an additional special assessment of $5,000.
* Hoguer Pineda Soria, age 29, of Los Fresnos, Texas, is charged with illegal reentry after deportation following a felony conviction on or about November 21, 2017. The maximum possible penalty if convicted is 10 years imprisonment, a $250,000 fine, a 3 year term of supervised release, and a $100 special assessment.
* Lawrence R. Quignon, age 51, of Omaha, is charged in a two-count Indictment. Count I of the Indictment charges the defendant with distribution of child pornography on or about April 19, 2017, and continuing to October 15, 2017. The maximum possible penalty if convicted is 15-40 years imprisonment, a $250,000 fine, 5 years-Life term of supervised release, a $100 special assessment with an additional special assessment of $5,000. Count II of the Indictment charges the defendant with possession of child pornography on or about January 26, 2018. The maximum possible penalty if convicted is 10-20 years imprisonment, a $250,000 fine, 5 years-Life term of supervised release, a $100 special assessment with an additional special assessment of $5,000.
* Sergio Solache-Valle, age 41, of Holdrege, NE, is charged with illegal reentry after deportation following a felony conviction on or about December 27, 2017. The maximum possible penalty if convicted is 10 years imprisonment, a $250,000 fine, a 3 year term of supervised release, and a $100 special assessment.
* Angela Vandervoort, age 40, of Papillion and Jason Sprinkel, age 45, of Papillion are charged in a two-count Indictment. Count I charges the defendants with conspiracy to distribute 50 grams or more of methamphetamine (actual) beginning on or about October, 2017, and continuing to on or about January 18, 2018. The maximum possible penalty if convicted is Life imprisonment, a $10,000,000 fine, a 5 year term of supervised release, and a $100 special assessment. Count II charges the defendants with possession with intent to distribute 50 grams or more of methamphetamine (actual) on or about January 18, 2018. The maximum possible penalty if convicted is Life imprisonment, a $10,000,000 fine, a 5 year term of supervised release, and a $100 special assessment. There is also an allegation to forfeit United States currency seized on or about January 18, 2018.
* Marvin Andres Vanegas-Gonzalez, age 47, of Lincoln, is charged with illegal reentry after deportation following an aggravated felony conviction on or about February, 2018. The maximum possible penalty if convicted is 20 years imprisonment, a $250,000 fine, a 3 year term of supervised release, and a $100 special assessment.
* Luis Francisco Vega-Lopez, age 30, is charged with illegal reentry after deportation following an aggravated felony conviction on or about January 25, 2018. The maximum possible penalty if convicted is 20 years imprisonment, a $250,000 fine, a 3 year term of supervised release, and a $100 special assessment.
Elk Grove Man Sentenced for Selling Firearms and NarcoticsRead the Press Release
SACRAMENTO, Calif. — David Guevara-Pimentel, 24, of Elk Grove, was sentenced today to 10 years in prison for dealing firearms without a license, illegal possession of a machine gun, and distribution of methamphetamine, U.S. Attorney McGregor W. Scott announced.
According to court documents, between August 11, 2014, and April 29, 2015, on 19 separate occasions Guevara-Pimentel met with an undercover agent and sold him a variety of firearms, including a short-barreled shotgun, an unserialized AR-15-style rifle, and handguns. On many of these occasions, Guevara-Pimentel sold the agent methamphetamine, cocaine, or heroin. In all, Guevara-Pimentel sold the undercover agent 49 firearms, many of which lacked a serial number or other identifying markings. When he was arrested in January 2016, Guevara-Pimentel possessed a fully automatic machine gun.
This case was the product of an investigation by the Bureau of Alcohol, Tobacco, Firearms, and Explosives, the West Sacramento Police Department, and the Woodland Police Department.
Dubuque Man Pleads Guilty to Heroin Distribution ChargeRead the Press Release
A Dubuque man who was found by Dubuque police officers in possession of heroin and cocaine on November 17, 2017, pled guilty today in federal court in Cedar Rapids.
Gregory Fugi Anderson, Jr., age 31, from Dubuque, Iowa, was convicted of possession with intent to distribute heroin and cocaine near Orange Park in Dubuque, Iowa.
At the plea hearing, Anderson admitted he was stopped by the police in Dubuque while walking down the street. Anderson agreed to let the police search him. During the search, police found multiple packages of heroin and cocaine in his possession. In a later interview with officers, Anderson admitted that he was going to sell the heroin and cocaine in Dubuque.
United States Attorney, Peter E. Deegan, Jr., said “Heroin and other opioids are killing Iowans are at an alarming rate. Public safety demands that we aggressively pursue those who choose to violate the law by selling these dangerous drugs.”
Sentencing before United States District Court Judge Linda R. Reade will be set after a presentence report is prepared. Anderson remains in custody of the United States Marshal pending sentencing. Anderson faces a mandatory minimum sentence of 1 year imprisonment and a possible maximum sentence of 60 years’ imprisonment, a $4,000,000 fine, $100 in special assessments, and at least 6 years of supervised release following any imprisonment.
The case is being prosecuted by Assistant United States Attorney Patrick J. Reinert and was investigated by the Dubuque Police Department, Dubuque County Sheriff’s Office, and the Iowa Division of Narcotics Enforcement.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 18-CR-01001-LRR.
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Derry Man Receives 35-Year Sentence for Producing Child PornographyRead the Press Release
CONCORD – Peter Morency, 34, of Derry was sentenced in federal court to serve 35 years in prison for producing child pornography, announced Acting United States Attorney John J. Farley.
According to court documents and statements made in court, Morency filmed and photographed himself performing sexual acts on two children. The children, who were known to Morency, appeared to be sleeping at the time. A forensic examination of devices possessed by Morency uncovered over 5,000 still images and over 2,000 videos depicting the sexual exploitation of children, of which approximately 30 still images and 37 videos were created by the defendant. The defendant admitted to possessing and to producing the images.
Morency pleaded guilty to three counts of producing child pornography on November 13, 2017. After serving his prison sentence, he will be on supervised release for the rest of his life.
“The United States Attorney’s Office is committed to working with our law enforcement partners to protect the children of the Granite State,” said Acting U.S. Attorney Farley. “Those who sexually exploit children cause untold amounts of harm to their victims and our entire community. We are grateful that this defendant will not be able to harm any additional children and we will continue to work with our law enforcement partners to identify and prosecute other individuals who commit crimes against children.”
"The sexual exploitation of children is a heinous crime that causes irreparable harm to its young victims," said Michael Shea, acting special agent in charge of Homeland Security Investigations (HSI), Boston. "To rescue these innocent victims, HSI works closely with our law enforcement partners to protect our communities from child predators."
This case was investigated by the U.S. Immigration and Customs Enforcement’s Homeland Security Investigations, the Derry Police Department, and the New Hampshire Internet Crimes Against Children Task Force, which includes members of several other police departments. The case was prosecuted by Assistant U.S. Attorney Georgiana Konesky.
In February 2006, the Department of Justice introduced Project Safe Childhood, a nationwide initiative designed to protect children from online exploitation and abuse. Led by the United States Attorney’s Offices, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend, and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
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Denaturalization Sought Against Five Child Sexual Abusers in California, Maryland, North Carolina, and TexasRead the Press Release
WASHINGTON – The Department of Justice today filed denaturalization lawsuits against five individuals who, according to the Department’s complaints, unlawfully procured their United States citizenship by concealing their sexual abuse of minor victims during the naturalization process.
The civil complaints were filed in federal court in the Eastern District of California, the District of Maryland, the Middle District of North Carolina, and the Southern District of Texas (two cases).
“Those who wish to become American citizens ought to respect our laws and seek citizenship lawfully and honestly,” said Attorney General Jeff Sessions. “Anyone who lies, misleads, or omits critical information in an attempt to evade the requirements for naturalization undermines the credibility of our nation’s generous lawful immigration system. This Justice Department will continue to seek out fraudsters and bring them to justice by obtaining orders revoking their naturalized citizenship.”
The cases were referred to the Department of Justice by the Department of Homeland Security’s U.S. Immigration and Customs Enforcement (ICE) and U.S. Customs and Border Protection (CBP) with investigative support from U.S. Citizenship and Immigration Services.
“ICE is committed to collaborating with our sister agencies within DHS to target individuals who conceal illicit activities in order to obtain U.S. citizenship,” said ICE Deputy Director Thomas D. Homan. “When special agents identify a child predator, exploiting the most innocent among us, and other criminals who have defrauded the U.S. immigration system for naturalization benefits, then ICE will move to have their citizenship revoked.”
Under the Immigration and Nationality Act, the citizenship of a naturalized U.S. citizen may be revoked, and his or her certificate of naturalization canceled, if such naturalization was illegally procured or procured by concealment of a material fact or by willful misrepresentation.
The five defendants committed crimes of sexual abuse of minor victims prior to naturalizing. As the civil complaints allege, such crimes rendered the defendants ineligible for citizenship at the time they naturalized. By willfully concealing child sexual abuse crimes, the defendants also independently rendered themselves subject to denaturalization.
A description of each of the five cases and the allegations of the United States follows:
Ricardo De Leon
Ricardo De Leon, 32, a native of Mexico, naturalized on July 23, 2010. Before De Leon naturalized as a U.S. citizen, he sexually assaulted a child under the age of 12. In July 2015, after he had naturalized, De Leon was indicted, and in March 2017 he pleaded guilty in Texas state court to committing aggravated sexual assault of a child in 2009. He was ordered to ten years of community supervision and required to register as a sex offender. He has been residing in Edinburg, Texas. United States of America v. Ricardo De Leon (S.D. Tex.).
Christian Oribello Eguilos
Christian Oribello Eguilos, 40, a native of the Philippines, naturalized on Nov. 6, 2013. For several years before filing his naturalization application and throughout the naturalization process, Eguilos repeatedly committed forcible lewd acts upon a child under the age of 14. In September 2015, he pleaded nolo contendere in California state court to four counts of Forcible Lewd Act Upon a Child. Eguilos was sentenced to 40 years in prison and ordered to register as a sex offender. He is incarcerated in Ione, California. United States of America v. Christian Oribello Eguilos (E.D. Cal.).
Carlos Noe Gallegos
Carlos Noe Gallegos, 41, a native of Mexico, naturalized on March 10, 2010. Before Gallegos naturalized as a U.S. citizen, he sexually assaulted a seven-year-old child. In November 2016, after he had naturalized, Gallegos was indicted, and in April 2017 he pleaded guilty in Texas state court to committing aggravated sexual assault of a child in 2007. He was ordered to six years of community supervision and required to register as a sex offender. He has been residing in Alamo, Texas. United States of America v. Carlos Noe Gallegos (S.D. Tex.).
Alwin Farouk Gariba
Alwin Farouk Gariba, 51, a native of Guyana, naturalized on Feb. 29, 2000. After he applied to naturalize but while he was in the naturalization process, Gariba repeatedly sexually abused a ten-year-old child. In July 2000, only months after he had naturalized, Gariba pleaded guilty in North Carolina state court to three counts of Taking Indecent Liberties with Children. He was placed on 60 months’ probation and ordered to register as a sex offender. He has been residing in Greensboro, North Carolina. United States of America v. Alwin Farouk Gariba (M.D.N.C.).
Moises Javier Lopez
Moises Javier Lopez, 42, a native of the Republic of Colombia, naturalized on March 22, 2013. Before filing his naturalization application and throughout the naturalization process, Lopez sexually abused a minor child. In August 2013, he pleaded guilty in Maryland state court to Sexual Abuse of a Minor. He was sentenced to 25 years’ confinement, all but four suspended. He has been residing in Gaithersburg, Maryland. United States of America v. Moises Javier Lopez (D. Md.).
These cases were investigated by ICE, CBP, and the Civil Division’s Office of Immigration Litigation, District Court Section (OIL-DCS). These cases are being prosecuted by OIL-DCS and its National Security and Affirmative Litigation Unit (NS/A Unit) with support from the U.S. Attorney’s Offices for the Eastern District of California, the District of Maryland, the Middle District of North Carolina, and the Southern District of Texas.
The claims made in the complaints are allegations only, and there have been no determinations of liability.
Denaturalization Sought Against Five Child Sexual Abusers in California, Maryland, North Carolina, and TexasRead the Press Release
WASHINGTON – The Department of Justice today filed denaturalization lawsuits against five individuals who, according to the Department’s complaints, unlawfully procured their United States citizenship by concealing their sexual abuse of minor victims during the naturalization process.
The civil complaints were filed in federal court in the Eastern District of California, the District of Maryland, the Middle District of North Carolina, and the Southern District of Texas (two cases).
“Those who wish to become American citizens ought to respect our laws and seek citizenship lawfully and honestly,” said Attorney General Jeff Sessions. “Anyone who lies, misleads, or omits critical information in an attempt to evade the requirements for naturalization undermines the credibility of our nation’s generous lawful immigration system. This Justice Department will continue to seek out fraudsters and bring them to justice by obtaining orders revoking their naturalized citizenship.”
The cases were referred to the Department of Justice by the Department of Homeland Security’s U.S. Immigration and Customs Enforcement (ICE) and U.S. Customs and Border Protection (CBP) with investigative support from U.S. Citizenship and Immigration Services.
“ICE is committed to collaborating with our sister agencies within DHS to target individuals who conceal illicit activities in order to obtain U.S. citizenship,” said ICE Deputy Director Thomas D. Homan. “When special agents identify a child predator, exploiting the most innocent among us, and other criminals who have defrauded the U.S. immigration system for naturalization benefits, then ICE will move to have their citizenship revoked.”
Under the Immigration and Nationality Act, the citizenship of a naturalized U.S. citizen may be revoked, and his or her certificate of naturalization canceled, if such naturalization was illegally procured or procured by concealment of a material fact or by willful misrepresentation.
The five defendants committed crimes of sexual abuse of minor victims prior to naturalizing. As the civil complaints allege, such crimes rendered the defendants ineligible for citizenship at the time they naturalized. By willfully concealing child sexual abuse crimes, the defendants also independently rendered themselves subject to denaturalization.
A description of each of the five cases and the allegations of the United States follows:
Ricardo De Leon
Ricardo De Leon, 32, a native of Mexico, naturalized on July 23, 2010. Before De Leon naturalized as a U.S. citizen, he sexually assaulted a child under the age of 12. In July 2015, after he had naturalized, De Leon was indicted, and in March 2017 he pleaded guilty in Texas state court to committing aggravated sexual assault of a child in 2009. He was ordered to ten years of community supervision and required to register as a sex offender. He has been residing in Edinburg, Texas. United States of America v. Ricardo De Leon (S.D. Tex.).
Christian Oribello Eguilos
Christian Oribello Eguilos, 40, a native of the Philippines, naturalized on Nov. 6, 2013. For several years before filing his naturalization application and throughout the naturalization process, Eguilos repeatedly committed forcible lewd acts upon a child under the age of 14. In September 2015, he pleaded nolo contendere in California state court to four counts of Forcible Lewd Act Upon a Child. Eguilos was sentenced to 40 years in prison and ordered to register as a sex offender. He is incarcerated in Ione, California. United States of America v. Christian Oribello Eguilos (E.D. Cal.).
Carlos Noe Gallegos
Carlos Noe Gallegos, 41, a native of Mexico, naturalized on March 10, 2010. Before Gallegos naturalized as a U.S. citizen, he sexually assaulted a seven-year-old child. In November 2016, after he had naturalized, Gallegos was indicted, and in April 2017 he pleaded guilty in Texas state court to committing aggravated sexual assault of a child in 2007. He was ordered to six years of community supervision and required to register as a sex offender. He has been residing in Alamo, Texas. United States of America v. Carlos Noe Gallegos (S.D. Tex.).
Alwin Farouk Gariba
Alwin Farouk Gariba, 51, a native of Guyana, naturalized on Feb. 29, 2000. After he applied to naturalize but while he was in the naturalization process, Gariba repeatedly sexually abused a ten-year-old child. In July 2000, only months after he had naturalized, Gariba pleaded guilty in North Carolina state court to three counts of Taking Indecent Liberties with Children. He was placed on 60 months’ probation and ordered to register as a sex offender. He has been residing in Greensboro, North Carolina. United States of America v. Alwin Farouk Gariba (M.D.N.C.).
Moises Javier Lopez
Moises Javier Lopez, 42, a native of the Republic of Colombia, naturalized on March 22, 2013. Before filing his naturalization application and throughout the naturalization process, Lopez sexually abused a minor child. In August 2013, he pleaded guilty in Maryland state court to Sexual Abuse of a Minor. He was sentenced to 25 years’ confinement, all but four suspended. He has been residing in Gaithersburg, Maryland. United States of America v. Moises Javier Lopez (D. Md.).
These cases were investigated by ICE, CBP, and the Civil Division’s Office of Immigration Litigation, District Court Section (OIL-DCS). These cases are being prosecuted by OIL-DCS and its National Security and Affirmative Litigation Unit (NS/A Unit) with support from the U.S. Attorney’s Offices for the Eastern District of California, the District of Maryland, the Middle District of North Carolina, and the Southern District of Texas.
The claims made in the complaints are allegations only, and there have been no determinations of liability.
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Crips Gang Member Convicted of Racketeering Conspiracy in NebraskaRead the Press Release
A violent member of the Omaha, Nebraska area Crips Gang was found guilty today of participating in a racketeering conspiracy involving acts of violence, including attempted murder and assaults, witness tampering and drug distribution.
Acting Assistant Attorney General John P. Cronan of the Justice Department’s Criminal Division and Acting U.S. Attorney Robert C. Stuart for the District of Nebraska made the announcement.
Jerell Haynie aka “Bootie,” 35, of Omaha, was found guilty today by a jury following a two-week trial of one count of racketeering conspiracy.
U.S. District Joseph F. Bataillon of the District of Nebraska scheduled Haynie’s sentencing for June 1.
According to the evidence presented at trial, from 2008 to 2016, Haynie conspired to conduct and participate in the affairs of the Omaha-area chapter of the Crips, known as the “40th Avenue and 44th Avenue Crips,” through a pattern of racketeering activity. As a long-standing gang member, Haynie engaged in cocaine trafficking and personally committed acts of violence for the gang in furtherance of the racketeering conspiracy. These acts of violence included the shootings and attempted murders of a fellow gang member suspected of cooperating with the police and a confidential police informant.
The Bureau of Alcohol, Tobacco, Firearms and Explosives and the Omaha Police Department are investigating the case. Trial Attorney John S. Han of the Criminal Division’s Organized Crime and Gang Section and Assistant U.S. Attorney Matthew Molsen of the District of Nebraska are prosecuting the case.
Corpus Christi Man Arrested on Child Pornography ChargesRead the Press Release
CORPUS CHRISTI, Texas - A 36-year-old Corpus Christi man has been taken into custody on allegations he distributed child pornography on at least two occasions, announced U.S. Attorney Ryan K. Patrick.
Authorities arrested David Medina this morning upon the filing of a criminal complaint. He is expected to make his initial appearance before B. Janice Ellington at 2:00 p.m. today.
According to the charges, the FBI Child Exploitation Task Force conducted an investigation on a file sharing network looking for potential offenders sharing child pornography in September 2016. An officer was eventually able to download many images of child pornography from a computer and a specific IP address allegedly linked to Medina in Corpus Christi. Agents obtained a search warrant for Medina’s residence, after which agents seized several digital devices that led to the discovery of more than 3,500 images and 28 videos of child pornography, according to the charges.
Another investigation in 2017 led authorities to a different computer sharing child pornography which was traced to a second residence in Corpus Christi allegedly linked to Medina. He cellular phone was seized and allegedly found to contain more than 1,000 images and 95 videos of child pornography.
The criminal complaint further indicates that on Feb. 21, 2018, authorities received information that someone was downloading child pornography at a hotel in Corpus Christi. Agents found that Medina was renting a room at that location and seized his laptop as part of the investigation.
If convicted, Medina faces a minimum of five and up to 20 years in federal prison as well as a possible $250,000 maximum fine, if convicted.
The FBI conducted the investigation with the assistance of the Corpus Christi Police Department - Internet Crimes Against Children Task Force.
Assistant U.S. Attorney Hugo R. Martinez is prosecuting the case, which 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."
A criminal complaint is a formal accusation of criminal conduct, not evidence.
A defendant is presumed innocent unless convicted through due process of law.Convicted Sex Offender Sentenced for Re-Entering the United StatesRead 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 Armando Navarrete-Dominguez, 29, of Mexico, who was convicted of illegally re-entering the United States after a conviction for an aggravated felony, was sentenced to time served (one year) by U.S. District Judge Richard J. Arcara.
Assistant U.S. Attorney Stephanie Lamarque, who handled the case, stated that on February 15, 2017, the defendant was taken into custody after a vehicle and traffic stop on Grand Island, NY. A records check revealed that Navarrete-Dominguez was a citizen of Mexico who had previously been convicted in North Carolina of sexual exploitation of a minor and of breaking and entering. The defendant was deported and removed from the United States to Mexico in 2009 following his convictions in North Carolina.
The sentencing is the result of an investigation by U.S. Border Patrol, under the direction of Patrol Agent-in-Charge Steven Oldman.
Columbus man pleads guilty to federal methamphetamine chargeRead the Press Release
BECKLEY, W.Va. – A Columbus man pled guilty today to a federal methamphetamine crime, announced United States Attorney Mike Stuart. Joshua Gregory Richardson, 33, entered his guilty plea to conspiracy to distribute methamphetamine. U.S. Attorney Stuart commended the investigative efforts of the Metropolitan Drug Enforcement Network Team, the Ohio State Police, and the Coal Grove Police Department in Ohio.
“Out-of-state drug traffickers need to stay out of our state,” said U.S. Attorney Stuart. “Columbus dealers like Richardson aren’t welcome here.”
Richardson admitted that in December 2016, he was a supplier of methamphetamine to a drug dealer in Cross Lanes. Richardson further admitted that on December 20, 2016, law enforcement conducted a controlled purchase of methamphetamine at the house of that Cross Lanes drug dealer. After the controlled purchase, but before officers left the area, Richardson went to the same house to collect money for methamphetamine he was supplying to the drug dealer. Following the controlled purchase, law enforcement in Ohio conducted a traffic stop of Richardson’s vehicle and seized nearly $10,000 in cash, $900 of which was pre-recorded buy money from the controlled purchase earlier the same day. Agents also downloaded text messages in which Richardson and the drug dealer discussed the sale of methamphetamine.
Richardson faces up to 20 years in federal prison when he is sentenced on June 6, 2018.
Assistant United States Attorney R. Gregory McVey is responsible for the prosecution. The plea hearing was held before United States District Judge Irene C. Berger.
This case is being prosecuted as 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 illegal drugs, including methamphetamine. The U.S. Attorney’s Office, joined by federal, state and local law enforcement agencies, is committed to aggressively pursuing and shutting down pill trafficking, eliminating open air drug markets, and curtailing the spread of illegal drugs in communities across the Southern District.
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Colombian national pleads guilty to using a stolen identity in attempt to obtain driver’s licenseRead the Press Release
ALEXANDRIA, La. – United States Attorney Alexander C. Van Hook announced that a Colombian national pleaded guilty Tuesday to attempting to use someone else’s identity to obtain a Louisiana driver’s license in Alexandria.
Overth Riascos-Barahona, 33, of Colombia, pleaded guilty before U.S. District Judge Dee D. Drell to one count of false claim of citizenship. According to the guilty plea, Riascos-Barahona entered the Louisiana Office of Motor Vehicles on September 14, 2017 in Alexandria. He submitted documents bearing another person’s personal information in an attempt to obtain a driver’s license. One of the documents was a Social Security card, which had the other person’s name on it.
Riascos-Barahona faces up to five years in prison, three years of supervised release and a $250,000 fine. A sentencing date of May 18, 2018 was set.
Homeland Security Investigations and Louisiana State Police investigated the case. Assistant U.S. Attorney Dominic Rossetti is prosecuting the case.
Clay County, Illinois Man Sentenced on Drug Related ChargesRead the Press Release
Ryan T. Harmon, 44, of Xenia, Illinois, was recently sentenced to federal prison on drug related charges, Donald S. Boyce, United States Attorney for the Southern District of Illinois, announced today.
On February 21, 2018, Harmon was sentenced to 120 months of imprisonment and three years of supervised release following his imprisonment. Harmon had previously pleaded guilty to three counts in a federal indictment. Count 1 charged that from on or about June 2016, until on or about January 3, 2017, in Clay County and Marion County, within the Southern District of Illinois, and elsewhere, Harmon conspired to knowingly and intentionally distribute, and possess with intent to distribute, Alpha-Pyrrolidinopentiophenone (Alpha-PVP), in violation of federal law. Count 2 charges that on January 3, 2017, in Marion County, Harmon attempted to possess with the intent to distribute a mixture or substance containing Alpha-PVP. Count 3 charges that on December 29, 2016, in Clay County, Harmon possessed with the intent to distribute a mixture or substance containing Alpha-PVP.
Alpha-PVP is also known as "Flakka" or "Gravel." It is a dangerous synthetic drug that is similar to the street drug commonly known as "bath salts." Harmon admitted in documents filed with the federal court that he and other co-conspirators would order Alpha-PVP over the internet from China. After the Alpha-PVP arrived in Southern Illinois, Harmon and others would split the Alpha-PVP amongst themselves for use and for further resale.
The investigation in this case was conducted by the Flora Police Department, the Clay County Sheriff’s Office, the Illinois State Police Southeastern Illinois Drug Task Force, and the Metropolitan Enforcement Group of Southwestern Illinois (MEGSI).
Canadian Man Who Wore Makeup to Conceal His Identity Convicted of Misuse of A PassportRead 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 Fadi Abbas, 32, of Canada, pleaded guilty to misuse of passport before U.S. District Judge Richard J. Arcara. The defendant was immediately sentenced to time served and remanded to the Department of Homeland Security for removal proceedings.
Assistant U.S. Attorney Maura K. O’Donnell, who handled the case, stated that on January 24, 2018, the defendant attempted to enter the United States at the Rainbow Bridge Port of Entry, in Niagara Falls, NY. Abbas, who wore makeup in order to appear older, presented a Canadian passport in the name of his father, Gheis Ahmed Abbas.
The defendant’s fingerprints were entered into the Integrated Automated Fingerprint Identification System and produced a positive match for Fadi Abbas. The defendant was previously denied entry into the United States using his own identity and passport, because he was previously convicted of a crime in Canada.
The plea and sentence are the result of an investigation by Customs and Border protection, under the direction of Director of Field Operations Rose Brophy.
Buffalo Man Pleads Guilty to Distributing FentanylRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that Steven Paschell, 48, of Buffalo, NY, pleaded guilty to distribution of butyryl fentanyl before U.S. District Judge Richard J. Arcara. The charge carries a maximum penalty of 30 years in prison and a $2,000,000 fine.
Assistant U.S. Attorney Laura A. Higgins, who is handling the case, stated that on three separate occasions between November 1, 2016, and December 12, 2016, the defendant sold quantities of butyryl fentanyl to a confidential source working the DEA.
A subsequent search of Paschell’s residence on Carmel Road in Buffalo recovered a glassine envelope containing a powder substance, a scale, various packaging materials including glassine envelopes marked “Mojo,” an empty bottle of a cutting agent, a metal spoon and pieces of ripped plastic bags. Forensic testing determined that the substance in the glassine envelope was butyryl fentanyl.
The plea is the result of an investigation by the Drug Enforcement Administration, under the direction of Special Agent-in-Charge James J. Hunt, New York Field Division.
Sentencing is scheduled for June 4, 2018, at 1:00 p.m. before Judge Arcara.
Bucks County Man Charged with Receipt and Possession of Child PornRead the Press Release
Brian High, 45, of Bucks County, Pennsylvania, was charged today by Indictment with receipt and possession of child pornography, announced United States Attorney Louis D. Lappen. The Indictment alleges that High received child pornography on or about April 8, 2013, August 10, 2015, September 29, 2016, and further that High possessed child pornography on October 27, 2016.
If convicted as charged, the defendant faces a maximum possible sentence of 80 years’ imprisonment, a mandatory minimum term of 5 years’ imprisonment, supervised release for a minimum term of five years and a lifetime maximum term, a $1,000,000 dollar fine, mandatory restitution, and a $400 special assessment, except if High is found not to be indigent, which would result in an additional $15,000 mandatory special assessment, for a total of $15,400.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by United States Attorneys’ Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
The case was investigated by the New Britain Township Police Department and the Federal Bureau of Investigation. The case is being prosecuted by Assistant United States Attorney Katherine Driscoll.
Bristol Man Sentenced to 42 Months in Prison for Distributing Drugs that Contributed to Overdose DeathRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, announced that ROBERT DEWAYNE WATKINS, also known as “D,” 42, of Bristol, was sentenced today by Chief U.S. District Judge Janet C. Hall in New Haven to 42 months of imprisonment, followed by three years of supervised release, for distributing narcotics that contributed to an overdose death last year.
This matter stems from an ongoing statewide initiative targeting narcotics dealers who distribute heroin, fentanyl or opioids that cause death or serious injury to users.
According to court documents and statements made in court, on March 18, 2017, Canton Police responded to a suspected overdose incident at a Collinsville restaurant and encountered an unresponsive 29-year-old male. After unsuccessful resuscitation efforts, the victim was pronounced deceased. The investigation, which included witness interviews and analysis of the victim’s cellphone, revealed that the victim purchased heroin and crack cocaine from WATKINS shortly before his death. Some of the heroin contained fentanyl.
WATKINS has been detained since his arrest on July 25, 2017. On November 8, he pleaded guilty to one count of possession with intent to distribute, and distribution of, heroin and cocaine base (“crack”).
This matter was investigated by the Drug Enforcement Administration’s New Haven Task Force and the Canton Police Department. The case was prosecuted by Assistant U.S. Attorney Avi M. Perry.
Bridgeport Man Admits Robbing 5 Connecticut BanksRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, announced that BRYCE ALEXANDER LAISTER, 25, formerly of Bridgeport, pleaded guilty today in Hartford federal court to one count of armed bank robbery and admitted that he robbed a total of five Connecticut banks between November 2016 and June 2017.
According to court documents and statements made in court, LAISTER robbed the Webster Bank at 314 Merwin Avenue in Milford on November 30, 2016; the Key Bank at 133 East Main Street in Plainville on April 7, 2017; the Key Bank at 1328 Boston Post Road in Westbrook on May 5, 2017; the People’s United Bank located inside the Stop and Shop at 898 Bridgeport Avenue in Shelton on May 30, 2017, and the People’s United Bank located inside the Stop and Shop at 112 Amity Road in New Haven on June 10, 2017.
During the Shelton robbery, LAISTER brandished a pistol, and during the Plainville and Westbrook robberies, LAISTER threatened to kill or shoot bank employees if they did not comply with his demands.
LAISTER was located and arrested in Stratford on June 15, 2017, after he engaged in a two-hour standoff with local and federal law enforcement officers. At the time of his arrest, LAISTER possessed a .380 caliber pistol and a magazine loaded with two bullets. A subsequent search one of LAISTER’s vehicles revealed clothing he wore during the robbery on June 10, a makeup kit he used to disguise his features, and a Stop and Shop circular.
LAISTER is scheduled to be sentenced by Senior U.S. District Judge Alfred V. Covello on May 17, 2018, at which time he faces a maximum term of imprisonment of 25 years. He has been detained since his arrest.
This investigation has been conducted by the Federal Bureau of Investigation, U.S. Marshals Service, Connecticut State Police and the Milford, Plainville, Shelton, New Haven and Stratford Police Departments. The case is being prosecuted by Assistant U.S. Attorney Anthony E. Kaplan.
Baton Rouge Woman Indicted for Theft of Disaster Assistance FundsRead the Press Release
Acting United States Attorney Corey Amundson, who also serves as the Acting Executive Director of the National Center for Disaster Fraud, announced today that JENNIFER J. WEBER, age 35, of Baton Rouge, Louisiana, was indicted yesterday by a federal grand jury charging her with theft of $9,331 in Federal Emergency Management Agency (FEMA) funds in relation to the 2016 Baton Rouge flooding.
Following the 2016 flooding that affected 12 parishes in south Louisiana, FEMA funds were available to people who had emergency needs for food, shelter, and clothing because of the flood. In order to qualify for assistance based on home ownership, an individual must have, among other things, resided in the home at the time of the storm.
According to the indictment, WEBER is alleged to have submitted a false application for FEMA assistance for a Denham Springs residence where she did not reside at the time of the August 2016 flooding. In her application, she is also alleged to have lied in asserting that, because of the damage to the Denham Springs residence, she had emergency needs for food, clothing, and shelter.
Acting U.S. Attorney Amundson stated, “Federal disaster assistance funds are designated for the aid of individuals affected by a disaster, and with the intent to return these individuals to the lives they lived before being victimized by disasters. The theft of these funds by fraudsters victimizes not only the federal government, but actual disaster victims, too, whose legitimate claims may be delayed because someone else has already submitted a fraudulent claim using the victim’s residence. The United States Attorney’s Office for the Middle District of Louisiana, together with the National Center for Disaster Fraud and our federal, state, and local law enforcement partners, will continue diligent efforts to seek out and hold accountable individuals who seek to steal assistance funds and impair the Federal Government’s ability to assist true victims of a disaster.”
Special Agent in Charge David Green, Houston Field Office, Department of Homeland Security Office of Inspector General stated, “Working in concert with the U.S. Attorney’s Office, DHS-OIG will continue to hold these individuals accountable. Our agency is committed to a zero-tolerance policy when pursuing criminal charges against individuals who steal from the U.S. taxpayer by filing fraudulent FEMA disaster assistance claims.”
Members of the public who suspect fraud involving disaster relief efforts, or believe they have been the victim of fraud from a person or organization soliciting relief funds on behalf of disaster victims, should contact the National Disaster Fraud Hotline toll free at (866) 720-5721. The telephone line is staffed by a live operator 24 hours a day, 7 days a week. You can also fax information to the Center at (225) 334-4707, or email it to [email protected]. Learn more about the Department of Justice’s National Center for Disaster Fraud at http://www.justice.gov/disaster-fraud.
This matter is being handled by the U.S. Attorney’s Office for the Middle District of Louisiana and the Department of Homeland Security, Office of Inspector General. The case is being prosecuted by Assistant United States Attorney Paul L. Pugliese.
Baltimore Man Sentenced to 188 Months for Participating in Heroin Trafficking Ring Protected by Corrupt Former Baltimore City Police Department DetectiveRead the Press Release
FOR IMMEDIATE RELEASE Contact ELIZABETH MORSE
www.justice.gov/usao/md at (410) 209-4885
Baltimore, Maryland – United States District Judge Catherine C. Blake sentenced Glen Kyle Wells, a/k/a Lou, and Kyle, age 31, of Baltimore to 188 months in prison followed by five years of supervised release for conspiracy to distribute and possession with intent to distribute heroin relating to a drug trafficking organization in North Baltimore.
The sentence was announced by Acting United States Attorney for the District of Maryland Stephen M. Schenning; Assistant Special Agent in Charge Don A. Hibbert of the Drug Enforcement Administration; Special Agent in Charge Gordon Johnson of the FBI, Baltimore Field Office; Sheriff Jeffrey R. Gahler of the Harford County Sheriff’s Office; and Chief Terrence B. Sheridan of the Baltimore County Police Department.
According to evidence presented at trial, from 2010 until the dates of their arrests, Wells and his co-conspirators distributed multiple kilograms of heroin to customers throughout the Baltimore area. Members of the conspiracy, known to law enforcement as the Shropshire Drug Trafficking Organization (DTO), distributed narcotics in Northern Baltimore, primarily near the Alameda Shopping Center. The Shropshire DTO distribution of heroin caused overdoses, including fatal overdoses. For example, on December 27, 2011, J.L. died as a result of the use of narcotics that were distributed by the DTO.
The evidence presented at trial showed that Wells received protection from corrupt former detective Momodu Gondo. Gondo provided information about the location of law enforcement so that Wells could avoid being targeted by the police and could continue his drug distribution.
Additional evidence presented at trial showed that Wells, Gondo, and former detective Jemell Rayam committed an armed home invasion of a rival drug dealer of the Shropshire DTO. Wells and Rayam entered the drug dealer’s residence and a woman was inside the residence. Rayam pointed a gun at the woman and demanded money. Wells and Rayam stole 800 grams of heroin, a firearm, a watch, and $12,000 in cash. Wells sold the gun and heroin. Wells, Rayam, and Gondo split cash proceeds from the items that were taken during the armed home invasion.
Fourteen former heroin customers of the defendants testified at trial, many of whom became addicted to heroin after having been prescribed or taken prescription opioids, including a customer who suffered from multiple sclerosis, a customer who had injured herself in a high school gymnastics accident, and a customer who was prescribed opioid painkillers after surgery. Together, these customers purchased more than 17 kilograms of heroin from the defendants over the course of the seven-year conspiracy.
Co-defendant Antonio Shropshire, a/k/a Brill, B, and Tony, age 34, has been sentenced to 25 years in prison. Omari Thomas, a/k/a Lil’ Bril, Lil B, and Chewy, age 25, of Middle River, Maryland, has been sentenced to 6 years in prison. Alexander Campbell, a/k/a Munch, age 29, of Baltimore has been sentenced to 15 years and 8 months in prison followed by 5 years of supervised release. Antoine Washington, a/k/a Twan, age 27, of Baltimore was also convicted at trial and awaits sentencing.
Acting United States Attorney Stephen M. Schenning commended the DEA, FBI, Harford County Sherriff’s Office and the Baltimore County Police Department for their work in the investigation. Mr. Schenning thanked Assistant U.S. Attorneys Leo J. Wise and Derek E. Hines, who prosecuted this Organized Crime Drug Enforcement Task Force case.
Atlanta businessmen convicted of market manipulation and investment fraudRead the Press Release
ATLANTA - Marc E. Bercoon and William A. Goldstein have been convicted by a jury on federal charges that they manipulated the market for shares of MedCareers Group, Inc., a publicly traded company, and that they carried out a second investment fraud scheme using a new business corporation that they organized as the bait for investors. A third defendant in the market manipulation scheme, Peter P. Veugeler, previously pleaded guilty and testified at trial.
“These defendants manipulated the stock of a publicly traded company by carrying out two schemes,” said U.S. Attorney Byung J. “BJay” Pak. “The defendants made over $2.5 million off the backs of many unwitting investors who bought while the stock price was artificially high due to the defendants’ rigging the market. At the same time, Bercoon and Goldstein ripped off investors in a separate, private company, by selling them shares based on lies and false pretenses. The jury’s verdict vindicates the victims and emphasizes the seriousness of securities fraud involving publicly traded companies.”
“Hopefully these convictions will give the many people, who unknowingly invested in the fraudulent stock, some solace,” said David J. LeValley, Special Agent in Charge of FBI Atlanta. “It’s easy to dismiss financial fraud cases like this as benign, but there is a real victimization and lives are changed because of it.”
According to U.S Attorney Pak, the charges and other information presented in court: From July 2009 through September 2011, Bercoon and Goldstein conspired with Veugeler and others to manipulate the market for shares of MedCareers Group, Inc., a publicly traded company quoted on the over the counter bulletin board under the ticker symbol MCGI.
The conspiracy culminated in two “pump and dump” schemes carried out in March and May 2010. To carry out these schemes, Bercoon and Goldstein arranged for MedCareers Group, Inc. to issue a series of misleading press releases and SEC filings, at the same time as co-conspirators sent out mass emails touting the stock. While the price of MCGI and the demand for the stock were both artificially high because of these efforts, the defendants orchestrated a sell-off of their stock, coordinating activity in multiple “nominee” accounts, which were titled in the names of other people and entities to hide the defendants’ involvement.
Around the same time, from May 2009 through June 2010, Bercoon and Goldstein also carried out a second investment fraud concerning a privately held company. Specifically, Bercoon and Goldstein organized a private corporation, Find.com Acquisition, Inc., and then solicited investments from dozens of individuals. Bercoon and Goldstein told investors, and induced brokers working for them to tell investors, that their funds would be used to develop an internet search engine named Find.com. Bercoon and Goldstein used the bulk of the over $1.5 million raised from investors for unrelated purposes, such as subsidizing their other business ventures and making payments to themselves and their family members. In fact, over $550,000 of the $1.5 million invested in Find.com Acquisition, Inc. was simply withdrawn from the bank in cash shortly after being invested.
As part of the scheme, investors were provided with written offering materials. In addition to stating that the investments would be used to develop the Find.com internet search engine business, the written materials stated that investors were being offered the opportunity to buy stock at a price of $1.00/share, and that no more than 12.5% of investments would go toward commissions. Despite these representations in the written offering materials, Bercoon and Goldstein sold stock to some investors at heavily discounted prices, without informing other investors, and paid commissions of 30% to 40% to brokers on some investments.
These charges flow from a securities fraud investigation conducted by the FBI, in which court-authorized wiretaps were used to intercept telephone conversations.
Marc E. Bercoon, 57, of Atlanta, Georgia, and William A. Goldstein, 54, of Alpharetta, Georgia, were convicted on 12 counts of conspiracy, mail fraud, wire fraud, and securities fraud in connection with the two fraudulent schemes. Both defendants were remanded into custody after the verdict. Peter P. Veugeler, 49, of Windermere, Florida, previously pleaded guilty to conspiracy to commit securities fraud and wire fraud and testified at trial. Bercoon and Goldstein are scheduled to be sentenced on May 30th and 31st, at 9:00 a.m. The sentencing for Veugeler has not yet been scheduled.
This case is being investigated by the FBI. The Atlanta Regional Office of the SEC, the Los Angeles Regional Office of the SEC, and the Criminal Prosecution Assistance Group of FINRA have provided valuable contributions in the case.
Assistant U.S. Attorneys Alana R. Black, Stephen H. McClain, and Kamal Ghali are prosecuting the case.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Atlanta Man Sentenced in Federal Court on Firearm ChargeRead the Press Release
Columbia, South Carolina ---- United States Attorney Beth Drake stated that Fareed Abdul Jabar, age 34, of Atlanta, was sentenced in federal court in Greenville for felon in possession of a firearm, a violation of Title 18, United States Code, Section 922(g). United States District Judge Michelle Childs imposed a sentence of 46 months followed by three years of supervised release.
Evidence presented at the change of plea hearing established that on March 29, 2017, a Greenville County Sheriff’s Deputy initiated a traffic stop on a car driven by Jabar. A subsequent search of the vehicle led to the seizure of a loaded Glock .40 caliber pistol and marijuana.
The Greenville County Sheriff’s Office along with agents from the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) investigated the case. This case is part of the Real Time initiative. Assistant United States Attorney Max Cauthen in the Greenville U.S. Attorney’s Office prosecuted the case.
The Real Time Initiative is part of South Carolina’s continued application 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.
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Assistant School Band Director Arrested on Child Pornography ChargesRead the Press Release
CORPUS CHRISTI, Texas - A 28-year-old Corpus Christi man has been charged with distribution of child pornography, announced U.S. Attorney Ryan K. Patrick.
Law enforcement arrested Parker J. Pendergraph this afternoon upon the filing of a criminal complaint. He is expected to make his initial appearance before B. Janice Ellington at 2:00 p.m. tomorrow.
According to the charges, an electronic chat room company notified the National Center for Missing and Exploited Children (NCMEC) that a known image of child pornography had been uploaded to an internet chat room. The complaint alleges authorities were able to link the specific IP address associated with a user known as “jack” to Pendergraph.
Law enforcement determined Pendergraph was employed as an assistant band director for a local high school and middle school and obtained a search warrant for his residence. At that time, authorities seized several digital devices that led to the discovery of the known image of child pornography uploaded to the chat room, according to the charges. In addition, law enforcement allegedly located several other images of child pornography.
Immigration and Customs Enforcement’s Homeland Security Investigations and The Corpus Christi Police Department’s – Internet Crimes Against Children Task Force conducted the investigation with the assistance of NCMEC.
If convicted, Pendergraph faces a minimum of five and up to 20 years in federal prison as well as a possible $250,000 maximum fine.
Assistant U.S. Attorney Hugo R. Martinez is prosecuting the case, which 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."
A criminal complaint is a formal accusation of criminal conduct, not evidence.
A defendant is presumed innocent unless convicted through due process of law.Armed Career Criminal Who Sold Rifle While Working at A Gun Store Sentenced to 15 Years in PrisonRead the Press Release
Orlando, Florida – U.S. District Judge Paul G. Byron has sentenced Jose Luis Sanchez-Rosado (44, Volusia County) to 15 years in federal prison for possessing a firearm as a convicted felon. Due to his multiple felony convictions, he qualified for an increased penalty under the Armed Career Criminal Act. Sanchez-Rosado pleaded guilty on December 1, 2017.
According to court documents, in June 2017, the Bureau of Alcohol, Tobacco, Firearms and Explosives received information that Sanchez-Rosado had worked at a gun store in Deltona, handled firearms, and provided tactical training in the use of firearms for customers. Further investigation revealed that Sanchez-Rosado had possessed and pawned a 5.56-millimeter caliber rifle at a pawnshop in Orange City. Due to his prior felony convictions, Sanchez-Rosado is prohibited from possessing firearms or ammunition under federal law.
This case was investigated by ATF and the Volusia County Sheriff’s Office. It was prosecuted by Assistant United States Attorney Sean P. Shecter.
This case was brought as part of Project Safe Neighborhoods (PSN), a program that has been successful in bringing together all levels of law enforcement to reduce violent crime and make our neighborhoods safer for everyone. In October 2017, Attorney General Jeff Sessions announced the reinvigoration of PSN and directed all U.S. Attorneys’ Offices to develop districtwide crime reduction strategies, incorporating the lessons learned since the program’s inception in 2001. In the Middle District of Florida, U.S. Attorney Maria Chapa Lopez coordinates PSN efforts in cooperation with various federal, state, and local law enforcement officials.
Alien Located in Columbia Pleads Guilty to Illegal Re-EntryRead the Press Release
Columbia, South Carolina ---- United States Attorney Beth Drake stated today that Marcial Esteban-Vasquez , age 39, of Mexico, has entered a guilty plea in federal court in Columbia, to Illegal Re-Entry, a violation of 8 U.S.C. § 1326(a). United States District Judge Cameron McGowan Currie, of Columbia, accepted the guilty plea and will impose sentence after she has reviewed the presentence report, which will be prepared by the U.S. Probation Office.
Evidence presented at the change of plea hearing established that Esteban was encountered by ICE-Enforcement and Removal Operations Deportation Officers on December 13, 2017 while they were assisting DEA agents in an investigation concerning Esteban. The investigation revealed that Esteban is a citizen of Mexico who had been deported three times pursuant to an order of removal. U.S. Attorney Drake stated the maximum penalty for Illegal Re-Entry is imprisonment for up to 20 years, a term of supervised release of not more than three years and/or a fine of $250,000.
The case was investigated by officers of the ICE-Enforcement and Removal Operations. Assistant United States Attorney William E. Day, II of the Columbia office is prosecuting the case.
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Albuquerque Man Sentenced to 70 Months for Federal Heroin Trafficking and Firearms ConvictionRead the Press Release
ALBUQUERQUE – Ruben Bustillos-Pacheco, 22, of Albuquerque, N.M., was sentenced this morning in federal court in Santa Fe, N.M., to 70 months of imprisonment for his conviction on drug trafficking and firearms charges. Bustillos-Pacheco will be on supervised release for three years after completing his prison sentence.
The DEA arrested Bustillos-Pacheco in Dec. 2015, on a criminal complaint charging him with heroin trafficking and firearms offenses. According to the complaint, DEA agents seized four firearms, including an AR-15 style rifle, multiple rounds of ammunition, approximately 412.2 grams of heroin, drug paraphernalia, and cash in Bustillos-Pacheco’s residence during the execution of a search warrant.
Bustillos-Pacheco subsequently was indicted on Dec. 17, 2015, and was charged with possession of heroin with intent to distribute and possession of a firearm in furtherance of a drug trafficking crime. According to the indictment, Bustillos-Pacheco committed the offenses on Dec. 9, 2015, in Bernalillo County, N.M.
On May 1, 2017, Bustillos-Pacheco pled guilty to a felony information charging him with possession of heroin with intent to distribute and possession of a firearm in furtherance of a drug trafficking crime. In entering the guilty plea, Bustillos-Pacheco admitted that on Dec. 9, 2015, he possessed three firearms, including one which had been reported stolen, and approximately 382 grams of heroin. Bustillos-Pacheco acknowledged that he possessed the firearms for protection of his heroin trafficking activities.
This case was investigated by the Albuquerque office of the DEA and was prosecuted by Assistant U.S. Attorney Shaheen P. Torgoley as part of the New Mexico Heroin and Opioid Prevention and Education (HOPE) Initiative. The HOPE Initiative was launched in January 2015 by the UNM Health Sciences Center and the U.S. Attorney’s Office in response to the national opioid epidemic, which has had a disproportionately devastating impact on New Mexico. Opioid addiction has taken a toll on public safety, public health and the economic viability of our communities. Working in partnership with the DEA, the Bernalillo County Opioid Accountability Initiative, Healing Addiction in our Community (HAC), the Albuquerque Public Schools and other community stakeholders, HOPE’s principal goals are to protect our communities from the dangers associated with heroin and opioid painkillers and reducing the number of opioid-related deaths in New Mexico.
The HOPE Initiative is comprised of five components: (1) prevention and education; (2) treatment; (3) law enforcement; (4) reentry; and (5) strategic planning. HOPE’s law enforcement component is led by the Organized Crime Section of the U.S. Attorney’s Office and the DEA in conjunction with their federal, state, local and tribal law enforcement partners. Targeting members of major heroin and opioid trafficking organizations for investigation and prosecution is a priority of the HOPE Initiative. Learn more about the New Mexico HOPE Initiative at http://www.HopeInitiativeNM.org.
Albuquerque Businessman Arraigned on Federal Charges Alleging Obstruction of IRS and Tax EvasionRead the Press Release
ALBUQUERQUE – David Castle, 75, of Albuquerque, N.M., was arraigned yesterday in federal court on an indictment charging him with obstructing the administration of the internal revenue laws and tax evasion. Castle entered a not guilty plea to the indictment and was released on pretrial supervision and other conditions of release pending trial, which has yet to be scheduled.
The charges against Castle, which arise out of an alleged scheme to evade and defeat the assessment and payment of taxes owed by Castle to the United States from Dec. 2004 through Jan. 2018, were announced by Acting U.S. Attorney James D. Tierney and Special Agent in Charge Ismael Nevarez, Jr., of the Phoenix Field Division of IRS-Criminal Investigation.
According to the indictment, Castle is the owner and operator of the Gold and Silver Exchange (GSE), an Albuquerque-based store that focuses on the sale, purchase and repair of jewelry. The two-count indictment, which was filed on Feb. 14, 2018, charges Castle with corruptly obstructing and impeding the administration of the internal revenue laws and tax evasion. The indictment generally alleges that Castle committed these offenses for the purpose of concealing income generated by GSE from the IRS and to evade the payment of federal personal and business taxes.
Count 1 of the indictment charges Castle with corruptly obstructing and impeding the administration of the internal revenue laws by filing false federal income tax returns between Dec. 2004 and May 2016. According to the indictment, Castle used several nominee businesses to conduct GSE’s financial operations allegedly to hide income generated by GSE from the IRS. Castle allegedly executed this corrupt scheme by using bank accounts belonging to the nominee businesses; concealing personal income and expenditures; engaging in cash transactions; and employing and paying GSE personnel in cash that could not easily be connected to GSE’s business operations. The indictment further alleges that Castle deliberately failed to keep accurate business records reflecting GSE’s income and expenses.
Count 2 of the indictment alleges that from Dec. 2008 through Dec. 2017, Castle attempted to evade federal taxes for the years 1992-1993, 1995-2002, 2005, and 2006 in the approximate amount of $104,446.81. Castle allegedly committed this crime by concealing from the IRS the nature and location of his business revenue; placing funds in bank accounts belonging to nominee businesses; emphasizing cash operations in order to place the revenue beyond the reach of the legal process; and by failing to file personal and business income tax returns or by filing false or frivolous tax returns.
If convicted of the charge in Count 1 of the indictment, Castle faces a maximum statutory penalty of three years of imprisonment. If convicted of the charge in Count 2 of the indictment, Castle faces a maximum penalty of five years of imprisonment. Charges in indictments are merely accusations and defendants are presumed innocent unless found guilty beyond a reasonable doubt.
This case was investigated by the Albuquerque office of IRS – Criminal Investigation and is being prosecuted by Assistant U.S. Shaheen P. Torgoley.
Castle Indictment24 Individuals Arrested for Drug Conspiracy and Money Laundering OffensesRead the Press Release
Memphis, TN – On August 23, 2017, a federal grand jury returned a one count indictment against Rafael Garza a/k/a "Poppy," Timothy Woods, Juan Cisneros a/k/a "Hot Rod," Alfredo Arambul a/k/a "Freddy," a/k/a "Chain," Carlos Alberto Lopez, Tiffany Harper, Anthony Hope, Anthony Gilliam, Corey Blair, Marcus Joyner, Ricky Dortch, and Johnny Smith alleging that these individuals conspired to possess with the intent distribute five kilograms or more of cocaine.
On February 15, 2018, a federal grand jury returned a second seven count indictment arising out of the same investigation against Jackie Arnold a/k/a/ "Jackie Red," Timothy Brown, a/k/a "Blemi," Dedrick Chism, a/k/a/ "Dean," Foyice Clark, Reginald Duncan, Theotis Evans, Rico Fason, Rodney Harper, Tangela Jackson, Lakata Johnson, Roderick Kelley, a/k/a/ "Hot-Rod," and Shunta Thompson-Truehart, alleging illegal drug violations. U.S. Attorney D. Michael Dunavant for the Western District of Tennessee announced the indictments today.
The twelve defendants currently in custody on this most recent seven-count indictment are:
Jackie Arnold, a/k/a "Jackie Red," 47, Memphis, TN
Timothy Brown, a/k/a/ "Blemi," 38, Memphis, TN
Dedrick Chism, a/k/a/ "Dean," 42, Memphis, TN
Foyice Clark, 60, Memphis, TN
Reginald Duncan, 46, Memphis, TN
Theotis Evans, 41, Memphis, TN
Rico Fason, 31, Memphis, TN
Rodney Harper, 41, Memphis, TN
Tangela Jackson, 49, Memphis, TN
Lakata Johnson, 45, Memphis, TN
Roderick Kelley, a/k/a/ "Hot-Rod," 43, Memphis, TN
Shunta Thompson-Truehart, 38, Memphis, TNCount 1 charges Jackie Arnold a/k/a "Jackie Red," Timothy Brown, a/k/a "Blemi," Dedrick Chism a/k/a "Dean," Foyice Clark, Reginald Duncan, Theotis Evans, Rico Fason, Rodney Harper, Tangela Jackson, Roderick Kelley, a/k/a "Hot-Rod," and Shunta Thompson-Truehart with conspiracy to possess with the intent to distribute 5 kilograms or more of cocaine.
Count 2 charges Jackie Arnold a/k/a "Jackie Red," with conspiracy to possess with intent to distribute 100 grams or more of heroin.
Count 3 charges Jackie Arnold a/k/a "Jackie Red," Dedrick Chism, Reginald Duncan, Rico Fason and Shunta Thompson-Truehart with conspiracy to possess with intent to distribute marijuana.
Counts 4, 5 and 6 are redacted at this time.
Count 7 charges that Jackie Arnold a/k/a "Jackie Red," and Lakata Johnson conspired to conduct financial transactions involving the proceeds of drug trafficking with the intent to either promote the carrying on of the unlawful activity or knowing that the transaction was designed to conceal the source of the proceeds of the unlawful activity.
During this nearly two-year long investigation, agents seized approximately $700,000 in U.S. currency and assets, 3.5 kilos of heroin, 52 kilograms of cocaine, approximately 84 pounds of marijuana and several firearms. If convicted, the defendants face mandatory minimum sentences of 10 years imprisonment up to life.
The Drug Enforcement Administration, the Bureau of Alcohol, Tobacco, Firearms and Explosives, United States Postal Inspectors Office, FBI, Memphis Police Department, Multi-Agency Gang Unit, Shelby County Sheriff’s Office Narcotics Unit, and West Tennessee Drug Task Force investigated this case.
Assistant U.S. Attorneys Jerry Kitchen and Michelle Kimbril-Parks are prosecuting this case on the government’s behalf.
The charges and allegations in the indictment are merely accusations, and the defendants are presumed innocent unless and until proved guilty.
Wednesday 21 February 2018
“Compound King” and Two Others Indicted in Multi-Million Dollar ConspiracyRead the Press Release
HOUSTON – A man and woman from Houston are set to appear in federal court on charges related to health care fraud and money laundering, announced U.S. Attorney Ryan K. Patrick. Law enforcement are searching for a third individual also indicted in the case.
George Phillip Tompkins, 73, and Marene Kathryn Tompkins, 66, were taken into custody Thursday. They are expected in court for an arraignment and counsel determination hearing before U.S. Magistrate Judge Dena H. Palermo at 10:00 a.m. today.
Authorities are still seeking a third defendant - Anoop Kumar Chaturvedi, 46, a legal permanent resident from India in connection with the charges. A warrant remains outstanding for his arrest. Anyone with information about his whereabouts is asked to contact the U.S. Postal Service – Office of Inspector General (USPS-OIG) at 1-888-877-7644.
The three are charged in a 17- count indictment that was returned Jan. 24, 2018, and unsealed Feb. 16, with violating the anti-kickback statute, conspiracy to commit health care fraud, health care fraud, wire fraud and conspiracy to launder money.
The Tompkins owned Piney Point Pharmacy on Fondren Road in Houston. The indictment alleges they conspired with Chaturvedi and others to induce the referral of compound gel and cream prescriptions to the pharmacy for dispensing and billing under health benefit programs, including the Federal Employees Compensation Act program (FECA).
Beginning around September 2009 and continuing through approximately September 2016, the indictment alleges the trio engaged in health care fraud and wire fraud as well as illegal kickbacks. The pharmacy allegedly billed the Department of Labor (DOL) - who administered the FECA program - at least $23,392,281 for compound gel and cream medications dispensed pursuant to illegitimate prescriptions and the result of kickback payments. The DOL paid approximately $11,663,704 on the fraudulent claims. The indictment lists several dates when compound gels and creams were dispensed to hundreds of patients, ordered by the same physician. Chaturvedi allegedly distributed a standardized prescription order form and directed the number of mediation refills to be ordered.
The indictment describes compounding as a practice of compounding and creating medications tailored to individual patient needs. George Tompkins was the pharmacist in charge and allegedly referred to himself as the “Compound King.” Marene Tompkins was identified as the pharmacy Vice President, Secretary and Treasurer, while Chaturvedi owned several other businesses in the Houston area, according to the charges.
“The indictment obtained today should send a clear message to healthcare providers that the government is vigilant and vigorously protecting federal benefits programs from corruption,” said Special Agent in Charge Christopher Cave of USPS-OIG , Southern Area Field Office. “The USPS-OIG, along with our law enforcement partners, will continue to investigate these types of cases in order to protect the Office of Workers’ Compensation Programs and USPS from further fraud and abuse.”
If convicted of the money laundering conspiracy, they face up to 20 years in federal prison. Each also faces up to 10 years in prison for convictions of either conspiracy to commit health care fraud, health care fraud and wire fraud as well as a maximum of five years for conspiracy to pay kickbacks.
USPS-OIG, DOL-OIG, IRS-Criminal Investigation, Department of Veterans Affairs – OIG and Department of Homeland Security – OIG conducted the investigation. Assistant U.S. Attorney Julie Redlinger is prosecuting the case.
Wellsville Man Sentenced in Meth ConspiracyRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y. – U.S. Attorney James P. Kennedy, Jr. announced today that Justin L. Billings, 35, of Wellsville, NY, who was convicted of conspiracy to manufacture, possess with intent to distribute, and to distribute, 50 grams or more of a mixture and substance containing methamphetamine, was sentenced to 54 months in prison by U.S. District Judge Richard J. Arcara.
Assistant U.S. Attorney Brendan T. Cullinane, who handled the case, stated that between January 2011, and October 25, 2011, the defendant conspired to manufacture and distribute methamphetamine. Billings engaged in the practice of “smurfing” (buying small quantities) at local pharmacies to get around restrictions on purchasing products containing pseudoephedrine. Pseudoephedrine is an important chemical necessary in the process of manufacturing methamphetamine.
The sentencing is the culmination of an investigation on the part of the Drug Enforcement Administration, under the direction of Special Agent-in-Charge James J. Hunt, New York Field Division; the New York State Police Community Narcotics Enforcement Team (CNET), under the direction of Lieutenant Kevin Reyes and Major David Krause; the Bureau of Alcohol, Tobacco, Firearms and Explosives, under the direction of Special Agent in Charge Ashan Benedict, New York Division; the Southern Tier Regional Drug Task Force, under the direction of Cattaraugus County Sheriff Timothy Whitcomb; the Wellsville Police Department, under the direction of Chief Timothy O’Grady; U.S. Border Patrol, under the direction of Patrol Agent-in-Charge Steven Oldman; and the New York State Department of Environmental Conservation, under the direction of Captain John Burke.
Virginia Man Indicted for Hate Crime and Threatening Employees of the Arab American InstituteRead the Press Release
The Justice Department today charged William Patrick Syring, 60, from Arlington, Virginia, to four counts of threatening employees of the Arab American Institute (AAI) because of their race and national origin, three counts of threatening AAI employees because of their efforts to encourage Arab Americans to participate in political and civic life in the United States, and seven counts of transmitting threats to AAI employees in interstate commerce. A summons was issued for Syring to appear in federal court in Washington, D.C. AAI is a Washington D.C. based private non-profit organization whose purpose is to encourage the direct participation of Arab Americans in political and civic life in the United States.
Each charge of threatening AAI employees because of their race and national origin and because of their advocacy on behalf of AAI provides for a sentence of no greater than one year in prison, one year of supervised release, and a fine of up to $100,000. Each charge of transmitting a threat in interstate commerce provides for a sentence of no greater than five years in prison, three years of supervised release, and a fine of up to $250,000.
According to court documents, Syring previously pleaded guilty to threatening AAI employees through e-mails and voicemails sent in 2006. Syring was sentenced on July 11, 2008 to 12 months of imprisonment followed by three years of post-release supervision, 100 hours of community service, and was ordered to pay a $10,000 fine.
Following termination of his supervised release, Syring resumed communications with AAI employees, sending AAI employees over 350 e-mails from March 2012 to January 2018. Several of the e-mails Syring sent to AAI employees during this time period contained true threats using language similar to that which formed the basis of his prior conviction.
This case was investigated by the Federal Bureau of Investigation and is being prosecuted by Civil Rights Division Senior Legal Counsel Mark Blumberg and Trial Attorney Nick Reddick.
An indictment is a formal accusation of criminal conduct, not evidence of guilt. The defendant is presumed innocent unless and until proven guilty.
United States Attorney J. Douglas Overbey Announces Management and Supervisory Staff ChangesRead the Press Release
KNOXVILLE, Tenn. – J. Douglas Overbey, U.S. Attorney for the Eastern District of Tennessee, today announced changes in some of the management and supervisory personnel for the district.
“The decision to implement the changes outlined below was made with due and thoughtful consideration,” said U.S. Attorney Overbey. “All of these individuals are well qualified for the position for which they have been chosen. Also, as they all currently serve in supervisory positions, the transition to their new roles should be seamless and keep the district moving forward in support of the priorities and initiatives of the Department of Justice,” added Overbey.
Charles E. Atchley, Jr. will now serve as the First Assistant U.S. Attorney for the district. Atchley most recently served as Deputy Chief of the Criminal Division and supervisor of the National Security Unit. He joined the office in 2001 as an Assistant U.S. Attorney (AUSA). Prior to this, Atchley was an Assistant Attorney General in the Fourth Judicial District of Tennessee. His memberships include the Tennessee Bar Association; State Bar of Georgia; Alabama State Bar; Knoxville Bar Association; Hamilton Burnett Inns of Court; Sevier County Bar Association; and serves on the Board of Directors of the East Tennessee Historical Society and Zoo Knoxville. After graduating from the University of Tennessee, he received a law degree from the Cumberland School of Law at Samford University.
Nancy Stallard Harr will now serve as Senior Litigation Counsel (SLC). Harr, a native of Bristol, Virginia, joined the U.S. Attorney’s office as an AUSA in 1995. Since that time, she has served as supervisor of the Greeneville branch office and First AUSA. Upon the retirement of the presidentially appointed U.S. Attorney in 2015, she became the Acting U.S. Attorney. In October 2016, she was appointed by the court as U.S. Attorney for the district and served in that role until November 2017. Prior to joining the office, Harr was a prosecutor with the Second Judicial District Attorney’s office in Blountville. She received her law degree from the University of Tennessee College of Law.
Francis M. (Trey) Hamilton III, has been chosen to serve as a Deputy Chief of the Criminal Division, supervising fraud and white collar crime prosecutions. Hamilton joined the office in 2002 as an AUSA. Since that time, he has served as SLC and the Criminal Division’s Coordinator for Health Care Fraud, Financial Institution Fraud, and Asset Forfeiture matters. Prior to joining the U.S. Attorney’s Office, Hamilton was a law clerk to the Honorable Jerome Turner, U.S. District Judge for the Western District of Tennessee, and worked as an associate attorney for two national law firms. He received his law degree from Washington & Lee University School of Law, where he graduated summa cum laude, was elected to the Order of the Coif, and served as a member of the Washington & Lee Law Review. His undergraduate degree is from Rhodes College, where he graduated magna cum laude and was elected to Phi Beta Kappa. Hamilton is licensed in Tennessee, Georgia, and the District of Columbia.
Caryn L. Hebets has been chosen to serve as a Deputy Chief of the Criminal Division supervising violent crime and drug prosecutions. Hebets, a native of Dearborn, Michigan, joined the office as an AUSA in October 2005. She most recently served as the lead Organized Crime and Drug Enforcement Task Force (OCDETF) Attorney for the district. Prior to joining the U.S Attorney’s office, Hebets was an Assistant Prosecuting Attorney for Berrien County, Michigan, and also worked with the FBI. She received her law degree from Wayne State University after receiving an undergraduate degree from the University of Michigan. She is a member of the Michigan bar.
In addition to announcing the changes above, U.S. Attorney Overbey announced that the following individuals would remain in their current management and supervisory roles in the district:
David Jennings will remain in his current position as the Chief of the Criminal Division. Jennings joined the office as an AUSA in 1994. Prior to becoming Criminal Chief, he was an AUSA in asset forfeiture, violent crime and OCDETF. In 2008, he became supervisor of the violent crime and OCDETF prosecutions, and eventually added general crimes to this list. Prior to joining the U.S. Attorney’s office, he spent four years on active duty in the Army JAG Corps and worked as an Assistant District Attorney in the Knox County District Attorney’s Office. Jennings has a law degree from the University of Tennessee College of Law and an undergraduate degree from the University of Tennessee.
Loretta Harber will remain as Chief of the Civil Division. Harber, a native of Brooklyn, New York and raised in Lexington, Kentucky, began with the office as an AUSA in 1987. She received her undergraduate and law degrees from the University of Tennessee.
Robert C. McConkey, III will continue to serve as Deputy Chief of the Civil Division. McConkey has been an AUSA with the office since 2010. Prior to joining the U.S. Attorney’s office, he worked as an associate in private practice handling commercial and general civil litigation and served as a Deputy Law Director for Knox County, Tennessee. He received his law degree from the Cumberland School of Law at Samford University after receiving an undergraduate degree from East Tennessee State University.
The Greeneville branch office will continue to be supervised by Branch Chief Donald Wayne Taylor. Before joining the office as an AUSA in 2007, Taylor served as the Chief Assistant Commonwealth’s Attorney in Floyd County, Kentucky. He also has experience as an associate in a private law firm. He received a law degree from Widener University School of Law in Wilmington, Delaware, after receiving an undergraduate degree from Penn State University.
Finally, the Chattanooga branch office will continue under the supervision of Branch Chief Steven Neff. Neff joined the office as an AUSA in 2000. Prior to joining the U.S Attorney’s office, he served on active duty for five years in the U.S. Army as a JAG Corps lawyer. In addition to his duties as an AUSA, he also served overseas on detail from the DOJ as the Resident Legal Advisor at the U.S. Embassy in Tbilisi, Republic of Georgia. He has a law degree from Mercer University Law School in Georgia, and an undergraduate degree from Davidson College.
The U.S. Attorney’s office for the Eastern District of Tennessee represents the interests of the United States both criminal and civil, in federal court. The eastern district is the largest federal district in Tennessee, with a population of over 2.6 million, encompassing 41 of the 95 counties, and spanning 420 miles. In addition to the headquarters office in Knoxville, there are branch offices in Chattanooga and Greeneville. U.S. Attorney Overbey, who was sworn in as the presidentially appointed, senate confirmed U.S. Attorney in November 2017, serves as the top-ranking federal law enforcement official in the district.
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Union Bookkeeper Who Embezzled More Than $300,000 Sentenced to Years in Federal PrisonRead the Press Release
Stephanie DeBoer Spent the Money on Credit Cards, Lingerie, Katy Perry Tickets
GRAND RAPIDS, MICHIGAN — Stephanie Marie DeBoer, 41, of Cedar Springs, Michigan, was sentenced on February 20, 2018, to four years in federal prison, U.S. Attorney Andrew Birge announced today. U.S. District Judge Paul L. Maloney imposed the sentence. Judge Maloney also ordered her to pay full restitution, and to serve a period of supervision after completing her prison term. DeBoer was the former office manager and bookkeeper of the International Brotherhood of Electrical Workers, Local 876, in Edmore, Michigan. Between 2012 and September 2015, DeBoer embezzled more than $307,000 from the union by writing unauthorized checks to herself and others, making unauthorized payroll deposits, sending money to pay her credit cards, and making unauthorized purchases. Among other things, DeBoer used more than $89,000 of the embezzled money to make payments on 16 different personal credit cards, and made more than $54,000 in unauthorized charges on two different union officers’ union-issued credit cards. The unauthorized charges included $907 for Katy Perry concert tickets and more than $5,000 in purchases from Victoria’s Secret.
“Stephanie DeBoer abused her fiduciary responsibility as the office manager and bookkeeper by embezzling more than $300,000 from the International Brotherhood of Electrical Workers - Local Union 876. We will continue to work with our federal and state law enforcement partners and the U.S. Department of Labor’s Office of Labor-Management Standards to safeguard the assets of union members,” said James Vanderberg, Special Agent-in-Charge, Chicago Region, U.S. Department of Labor Office of Inspector General.
“Safeguarding union finances and combatting embezzlement of union funds in labor unions is a very high priority for the Department of Labor’s Office of Labor-Management Standards,” said Ian Burg, Detroit-Milwaukee District Director. “The embezzlement by Ms. DeBoer was significant, and the $307,563 she embezzled for her personal use was the equivalent of more than 15 percent of the union’s annual dues receipts and nearly 25 percent of its reported cash on hand. Today’s sentencing sends a clear message that OLMS will fully investigate and seek justice when anyone attempts to use their union position for personal financial gain.”
The case was investigated by the U.S. Department of Labor Office of Inspector General, and the Office of Labor Management Standards. It was prosecuted by Assistant U.S. Attorney Clay Stiffler.
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Two more defendants plead guilty for roles in federal drug conspiracyRead the Press Release
BLUEFIELD, W.Va. – Two men pled guilty today for their roles in a drug trafficking conspiracy, announced United States Attorney Mike Stuart. Shawn Akiem Anderson, 44, of Mt. Hope, entered his guilty plea to conspiracy to distribute and possess with intent to distribute less than 50 kilograms of marijuana. Karl Funderburk, 31, of Teays Valley, entered his guilty plea to using and carrying a firearm during a drug trafficking crime. Anderson and Funderburk are two of 23 defendants indicted in June 2017 after a comprehensive investigation of drug trafficking in Southern West Virginia.
U.S. Attorney Stuart commended the cooperative investigative efforts of several agencies, led by the Federal Bureau of Investigation and the Raleigh County Drug and Violent Crime Task Force. The Drug Enforcement Administration, the Beckley Police Department, the Raleigh County Sheriff’s Department, the West Virginia State Police, the Bureau of Alcohol, Tobacco, Firearms and Explosives, and the United States Postal Inspection Service also provided assistance throughout the investigation.
“This case shows how united and determined we are in fighting the drug scourge,” said U.S. Attorney Stuart. “With 23 defendants charged, the results speak for themselves. Drug dealers had better take notice that all levels of law enforcement – federal, state, and local – are working together to make sure that drug crime results in hard time.”
Shawn Anderson admitted that between May 2017 and June 28, 2017, he took part in a drug trafficking conspiracy with multiple participants involving the distribution of cocaine, heroin, and marijuana. Anderson admitted to working with Detria Carter and others to distribute marijuana in and around Raleigh County. Anderson also admitted that he distributed or possessed with the intent to distribute approximately 44 kilograms of marijuana during this time frame.
Karl Funderburk admitted that between August 2016 and March 1, 2017, he assisted Velarian Carter, Detria Carter, and others, in operating a drug trafficking organization. Funderburk also admitted that on March 1, 2017, he was arrested in Charleston, and during a subsequent search, police discovered that he possessed cocaine, crack, and methamphetamine. Funderburk also possessed a Glock 27, .40 caliber, semi-automatic pistol, that he admitted was used for protection of his drugs and drug proceeds.
Anderson faces up to 10 years in federal prison when he is sentenced on May 29, 2018. Funderburk faces at least five years and up to life in federal prison when he is sentenced on May 29, 2018.
Other individuals implicated as a result of this drug investigation have entered guilty pleas and are awaiting sentencing. Cheyenne Fragale and Macon Fragale, two brothers from Boomer in Fayette County, previously pled guilty to conspiracy to distribute and to possess with intent to distribute more than 500 grams of methamphetamine, a quantity of oxycodone, and a quantity of heroin. They both face a mandatory minimum of 10 years and up to life in federal prison when they are sentenced on March 14, 2018. Tiffany Ramsey, also of Boomer, previously entered a guilty plea to conspiracy to distribute or possess with intent to distribute more than 50 grams of methamphetamine, a quantity of heroin, and a quantity of oxycodone. Ramsey faces at least five years and up to 40 years in federal prison when she is sentenced on May 2, 2018. Donald Scalise, of Montgomery, previously entered a guilty plea to conspiracy to distribute oxycodone. Scalise faces up to 20 years in federal prison when he is sentenced on April 25, 2018. Dominic Copney, of Beckley, previously entered a guilty plea to conspiracy to distribute and possess with the intent to distribute more than 500 grams of cocaine and more than 100 grams of heroin. He faces a mandatory minimum of five and up to 40 years in federal prison when he is sentenced on April 17, 2018. Detria Carter, of Beckley, previously pled guilty to possession with intent to distribute more than 500 grams of cocaine. She faces a mandatory minimum sentence of not less than five and up to 40 years in federal prision when she is sentenced on April 24, 2018. Velarian Carter, the brother of Detria Carter, previously entered a guilty plea to conspiracy to distribute and possess with intent to distribute more than five kilograms of cocaine, more than 280 grams of crack, and more than 100 grams of heroin. He faces a mandatory minimum of not less than 20 years and up to life in federal prison when he is sentenced on April 17, 2018.
Assistant United States Attorney Timothy D. Boggess is in charge of these prosecutions. The Anderson and Funderburk plea hearings were held before Senior United States District Judge David A. Faber.
These cases are being prosecuted as 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 illegal drugs. The U.S. Attorney’s Office, joined by federal, state and local law enforcement agencies, is committed to aggressively pursuing and shutting down pill trafficking, eliminating open air drug markets, and curtailing the spread of illegal drugs in communities across the Southern District.
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Two Nixa Residents Plead Guilty, Florida Man Indicted in Scheme to Market Dietary SupplementsRead the Press Release
SPRINGFIELD, Mo. – Timothy A. Garrison, United States Attorney for the Western District of Missouri, announced today that two Nixa, Mo., residents have pleaded guilty and a Florida resident has been indicted in a scheme to market an all-natural male enhancement supplement that actually contained the same active ingredient found in Viagra.
John G. Schindele, 41, and Jennifer S. Travis, 45, both of Nixa, waived their right to a grand jury and pleaded guilty in separate appearances before U.S. Magistrate Judge David P. Rush on Tuesday, Feb. 20, 2018.
Michael S. Schindele, 43, of Jacksonville, Florida, was charged in a two-count indictment returned under seal by a federal grand jury in Springfield, Mo., on Tuesday, Feb. 20, 2018. That indictment was unsealed and made public today upon Schindele’s arrest and initial court appearance.
Michael Schindele, the owner and operator of Executive Image International, operated a website that sold dietary supplements and drugs to the general public. The federal indictment alleges that he worked through businesses owned and operated by John Schindele (his brother) and Travis to sell dietary supplements, which claimed to contain only all-natural ingredients.
Michael Schindele marketed Silver Bullet as an “all-natural male performance enhancer,” an “Extreme Male Stimulant,” and a “dietary supplement.” In reality, the indictment says, Silver Bullet contained materially different ingredients than what was listed, including sildenafil, a synthetic pharmaceutical ingredient that was not disclosed to consumers purchasing the product.
Sildenafil is the active pharmaceutical that is commonly used in the erectile dysfunction drug Viagra. The labeling for Silver Bullet failed to provide adequate warnings about the use of a sildenafil-containing product, which is only legally available with a prescription from a doctor.
According to the indictment, Silver Bullet was purchased and shipped from a supplier in the People’s Republic of China, then resold by Michael Schindele and others to consumers throughout the United States.
The indictment charges Michael Schindele with one count of wire fraud and one count of delivering adulterated or misbranded food. It also contains a forfeiture allegation, which would require Michael Schindele to forfeit to the government all property derived from the proceeds of the offense, including a money judgment of $47,930.
John Schindele, who pleaded guilty to one count of mail fraud and one count of delivering adulterated or misbranded food, is the owner of Schindele Enterprises, L.L.C., and Midwest Wholesale. Travis, who also pleaded guilty to one count of mail fraud and one count of delivering adulterated or misbranded food, partially owned and managed a business known as Kinevative. Both businesses sold food and drug products advertised as “dietary supplements” to customers throughout the United States and worldwide. The base of operation for both of these businesses was in Nixa.
By pleading guilty, John Schindele admitted that he marketed Silver Bullet as an “all-natural male performance enhancer,” and a “dietary supplement” and failed to disclose that sildenafil was an ingredient. John Schindele was not authorized or licensed to sell this pharmaceutical.
According to his plea agreement, John Schindele fraudulently received $210,000 for the misrepresented and mislabeled dietary supplements from April 16, 2012, to July 8, 2015.
Travis marketed products known as Boost Ultra and Magic for Men as an “Ultra Sexual Enhancement Formula.” The products were advertised as dietary supplements, and the label listed the contents as “all natural.” Travis admitted that she failed to disclose that Boost Ultra and Magic for Men also contained sildenafil. Travis was not authorized or licensed to sell sildenafil.
Federal agents, acting in an undercover capacity, purchased products, including Boost Ultra and Magic for Men, that were advertised as containing all-natural ingredients. The supplements were purchased from websites that were traced back to Travis. The purchased dietary supplements were then tested by the FDA and found to contain undeclared active pharmaceutical ingredients, including sildenafil.
According to her plea agreement, Travis fraudulently received $152,862 for the misrepresented and mislabeled dietary supplements from June 2, 2014, through Jan. 31, 2017.
Under federal statutes, John Schindele and Travis are each subject to a sentence of up to 21 years in federal prison without parole. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes, as the sentencing of the defendants will be determined by the court based on the advisory sentencing guidelines and other statutory factors. Sentencing hearings will be scheduled after the completion of presentence investigations by the United States Probation Office.
Garrison cautioned that the charges contained in the indictment are simply accusations, and not evidence of guilt. Evidence supporting the charges must be presented to a federal trial jury, whose duty is to determine guilt or innocence.
These cases are being prosecuted by Assistant U.S. Attorneys Patrick Carney and Nhan D. Nguyen. They were investigated by the U.S. Food and Drug Administration.
Two Men Sentenced to Prison for Roles in Trenton Cocaine Distribution ConspiracyRead the Press Release
TRENTON, N.J. – Two Trenton men were both sentenced to over seven years in prison today for conspiring to distribute over a kilogram of cocaine and 100 grams of crack cocaine in the Trenton area, U.S. Attorney Craig Carpenito announced.
Khalfini Richardson, 33, and Capitol T. Wellons, 32, were sentenced today to 156 and 84 months in prison, respectively. Both defendants previously pleaded guilty before U.S. District Judge Michael A. Shipp to Count One of an indictment charging them with conspiracy to distribute and possess 500 grams or more of cocaine and to manufacture, distribute, and possess 28 grams or more of cocaine base. Judge Shipp imposed the sentences today in Trenton federal court.
According to the documents filed in this case and statements made in court, from September 2013 through Jan. 13, 2016, Richardson and Wellons conspired with co-defendants Bobby Williams and William Enmond to distribute cocaine and manufacture crack cocaine from two adjacent residences in Trenton. Richardson and Wellons both admitted that they conspired to distribute and possess 1.72 kilograms of cocaine and 122.6 grams of cocaine base.
In addition to the prison term, Judge Shipp sentenced both Richardson and Wellons to five years of supervised release.
Enmond and Williams have also pleaded guilty. Williams awaits sentencing. Enmond was sentenced July 20, 2017 to 60 months in prison.
U.S. Attorney Carpenito credited special agents of the Drug Enforcement Administration, under the direction of Special Agent in Charge Valerie Nickerson in Newark, with the investigation leading to today’s sentencing.
The government is represented by Assistant U.S. Attorney Molly Lorber and Senior Litigation Counsel Joseph Gribko of the U.S. Attorney’s Office Criminal Division in Trenton.
18-072
Defense counsel:
Richardson: Brynn Giannullo Esq., New Brunswick, New Jersey
Wellons: Lawrence George Welle Esq., Wall, New Jersey
Turtle Creek Man Indicted for Illegally Possessing a Pistol and AmmunitionRead the Press Release
PITTSBURGH – An Allegheny County resident has been indicted by a federal grand jury in Pittsburgh on a charge of violating the federal firearms laws, United States Attorney Scott W. Brady announced today.
The one-count indictment, returned on Feb. 20, named Iklas Richard Davis, 36, of Turtle Creek, Pennsylvania.
According to the indictment, on or about October 13, 2017, Davis, an individual with a prior felony conviction for theft by unlawful taking or disposition, did knowingly and unlawfully possess a Ruger .45 caliber American Pistol and ammunition. Federal law prohibits anyone who has been convicted of a crime punishable by a term of imprisonment exceeding one year from possessing a firearm or ammunition.
For Davis’s offense, the law provides for a maximum total sentence of not more than 10 years in prison, a fine of not more than $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 Brendan T. Conway is prosecuting this case on behalf of the government.
The United States Secret Service and the Bureau of Alcohol, Tobacco, Firearms and Explosives conducted the investigation leading to the indictment in this 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.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Three Florida Residents Plead Guilty to ATM FraudRead the Press Release
Gulfport, Miss. – Claudio Fontes Ferreira, 30, of Deerfield Beach, Florida, Rodrigo D. Ferrareze, 37, of Delray Beach, Florida, and Taise Braganca Moscon, 26, of Pompano, Florida, each pled guilty yesterday before U.S. District Judge Sul Ozerden to access device fraud, announced U.S. Attorney Mike Hurst and Thomas M. Annello, Acting Special Agent in Charge of U.S. Immigration and Customs Enforcement's Homeland Security Investigations in New Orleans.
On December 7, 2017, the defendants were stopped in a Lincoln Navigator with Florida tags after being at a Keesler Federal Credit Union Automated Teller Machine ("ATM") on Automall Parkway in D’Iberville, Mississippi. The ATM was found to have a skimmer on it and had been altered with the top flap privacy shield being cut off so a camera placed above could observe the ATM key pad where customers enter their account PIN numbers. A search of the Lincoln Navigator resulted in the finding of access device equipment, to include but not limited to, glue, black electrical and double-sided tape and box cutters, credit cards in alias names, a card with sand paper attached to the card, and other credit cards, gift cards, and a micro SD card.
The defendants will be sentenced by Judge Ozerden on Wednesday, June 6, 2018, at 9:30 a.m. They each face a maximum sentence of 15 years in prison and a $250,000 fine.
This case was investigated by Homeland Security Investigations and prosecuted by Assistant U.S. Attorney Andrea Jones.
Texas Man Sentenced for Transporting Aliens in Truck’s Tool BoxRead the Press Release
BROWNSVILLE, Texas – A 34-year-old resident of San Antonio has been ordered to federal prison for illegally transporting undocumented aliens, announced U.S. Attorney Ryan K. Patrick. Richard Sanchez pleaded guilty Nov. 7, 2017.
Today, U.S. District Judge Rolando Olvera sentenced Sanchez to 21 months imprisonment to be immediately followed by a year of supervised release.
On Oct. 10, 2017, law enforcement conducted a traffic stop on a pick-up truck Sanchez was driving near Raymondville. Sanchez consented to a search, after which authorities discovered two undocumented aliens from Mexico and Guatemala in the tool box that was attached to the pick-up truck.
At the hearing today, the court heard about the inhumane and dangerous treatment of the undocumented aliens. They could not escape the toolbox due to a ladder leaning over it. Further, it had to be unlatched from the outside in order to be opened.
Sanchez will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
Customs and Border Protection and Texas Department of Public Safety conducted the investigation. Assistant U.S. Attorney Jose A. Esquivel Jr. prosecuted the case.
Texas Man Pleads Guilty to Transporting Marijuana on the InterstateRead the Press Release
Gulfport, Miss. – Carlos Orozco, 24, of El Paso, Texas, pled guilty today before U.S. District Court Judge Sul Ozerden, to transporting marijuana on the interstate, announced U.S. Attorney Mike Hurst and DEA Special Agent in Charge Stephen G. Azzam.
On April 6, 2017, Orozco traveled with Victor Legarda to Gulfport with approximately 40 kilograms of marijuana. A Gulfport police officer stopped the truck driven by Legarda for a traffic violation on Interstate 10. The tag on the vehicle was associated with another vehicle, and upon making contact with Legarda and Orozco, the officer noticed Legarda was acting extremely nervous. Legarda consented to a search of the vehicle, and the officer located hidden compartments in the vehicle containing vacuum sealed packages of marijuana. In total, 100 packages were removed from the vehicle. After agreeing to talk to law enforcement, Orozco stated that he was aware of the marijuana in the vehicle.
Orozco will be sentenced on June 13, 2018, by Judge Sul Ozerden, and faces a maximum penalty of 5 years in prison and a $250,000 fine.
The case was investigated by the Harrison County Sheriff’s Department, the Gulfport Police Department and the Drug Enforcement Administration. It was prosecuted by Assistant U.S. Attorney Kathlyn R. Van Buskirk.
Sweeny Woman Convicted in Sex Trafficking Conspiracy Involving Three MinorsRead the Press Release
GALVESTON, Texas - A Sweeny woman has pleaded guilty in Galveston federal court to conspiracy and sex trafficking of children, announced U.S. Attorney Ryan K. Patrick.
Angela Marks, 24, was originally charged with nine others as part of a sex trafficking ring that used sexually-oriented websites to advertise their illicit business employing four minors as young as 16 for commercial sex. The young girls were induced into posing for pictures used in online advertisements for sex and engaged in commercial sex acts for money.
Marks was associated with three of the minor victims who began working for the sex trafficking organization in February 2017. Between Feb. 23-27, 2017, Marks was one of the defendants who directed the victims to pose in sexually provocative positions. Pictures were then taken with her phone.
After customers began responding to advertisements on Backpage.com, Marks would use a computer application to communicate with customers and to monitor the three minor victims during prostitution dates. Marks instructed the minor victims on how to conduct prostitution dates and how much to charge. During prostitution dates involving the minors at the Hobby Inn and Stay Express Inn in Houston, Marks would also hide in the hotel bathroom.
She also collected the proceeds from the prostitution dates and provided condoms, food and drugs to the minor victims.
U.S. District Judge George C. Hanks accepted the plea today and set sentencing for May 9, 2018. At that time, Marks faces up to life in prison and a possible $250,000 maximum fine.
The FBI and Texas Department of Public Safety conducted the investigation with assistance of sheriff’s offices in Brazoria and Galveston Counties and police departments in Galveston, Sherman, Wharton, La Marque and the University of Texas Medical Branch.
Assistant U.S. Attorneys Sherri Zack and Sebastian Edwards are prosecuting the case.
Sumter County Man Pleads Guilty in Multi-State Dog Fighting ProsecutionRead the Press Release
Ocala, Florida – United States Attorney Maria Chapa Lopez announces that Patrick W. Riley (67, Sumter County) today pleaded guilty to violating the animal fighting provisions of the federal Animal Welfare Act. He faces up to five years in federal prison and a $250,000 fine.
According to the plea agreement, in November and December 2016, Riley arranged for his dog “Rocket” to participate in animal fighting ventures in Mississippi and Texas. In furtherance of the conspiracy, he trained eight dogs to fight. Riley utilized equipment commonly used to train dogs for fighting, including treadmills, water tanks, turntables, leashes, collars, syringes, needles, intravenous solutions, enemas, laxatives, worming medications, charcoal pills, vitamins, collapsible dog rings, and scales. On March 1, 2017, law enforcement officers executed a search warrant at Riley’s property and seized the dogs and dog training equipment.
The federal Animal Welfare Act makes it a felony to knowingly sell, buy, possess, train, transport, deliver, or receive any animal, including dogs, for purposes of having the animal participate in an animal fighting venture. Under federal law, an animal fighting venture means “any event, in or affecting interstate or foreign commerce, that involves a fight conducted or to be conducted between at least two animals for purposes of sport, wagering, or entertainment.”
This case was investigated by the Federal Bureau of Investigation, the Sumter County Sheriff’s Office, and the Pasco County Sheriff’s Office. It is being prosecuted by Assistant United States Attorney Christopher F. Murray
St. Thomas Men arrested for Possession of a Firearm by Convicted FelonsRead the Press Release
St. Thomas, USVI- Rehelio Trant, 39, and Gamba Potter, 32, both of St. Thomas, made their initial appearances today before U.S. Magistrate Judge Ruth Miller after being charged in an indictment with possession of a firearm by a convicted felon, United States Attorney Gretchen C. F. Shappert announced today. Trant and Potter were detained pending further proceedings. Both are scheduled to be arraigned on Friday.
According to the indictment, on September 8, 2017, the Virgin Islands Police Department received a report from two individuals that Trant and Potter were in possession of firearms that they pointed at them during a robbery. The investigation revealed that Trant was previously convicted in the District Court of possession of a firearm by a convicted felon and Potter was previously convicted in the Superior Court of unauthorized possession of a firearm. Neither Trant nor Potter are licensed in the district of the Virgin Islands to possess a firearm.
Possession of a firearm by a convicted felon carries a maximum sentence of 10 years in prison and a $250,000 fine.
United States Attorney Shappert reminds the public that an indictment is merely a formal charging document and is not evidence of guilt. Every defendant is presumed innocent until and unless proven guilty.
The case is being investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the VIPD. It is being prosecuted by Assistant United States Attorney Sigrid M. Tejo-Sprotte.
St. Joseph In-home Health Care Worker Indicted for $207,000 Fraud SchemeRead the Press Release
KANSAS CITY, Mo. – Timothy A. Garrison, United States Attorney for the Western District of Missouri, announced that additional charges have been filed against a St. Joseph, Mo., in-home health care nursing assistant for stealing bank account information from one of her clients to illegally transfer more than $207,000 out of her account.
Ashley N. Garr, 33, of St. Joseph, was charged in a 14-count superseding indictment returned by a federal grand jury in Kansas City, Mo. Today’s indictment replaces the original indictment returned on Dec. 5, 2017.
Garr is charged with eight counts of wire fraud, three counts of aggravated identity theft and three counts of filing false tax returns.
Today’s indictment alleges that Garr, through her work as a home health care aid, became friendly with a woman identified as “PLR.” Garr visited the home of PLR in the fall of 2016, the indictment says, and stole checks and checking account information from her. Garr allegedly used the stolen checking account information to pay her personal expenses directly from PLR’s checking account.
Among the various payments, Garr allegedly directed payments on her behalf to the IRS and two student loan accounts. Additionally, Garr allegedly used the checking account information to open and pay credit card accounts. According to the indictment, Garr fraudulently transferred at least $207,638 from the checking account of PLR.
Two of the wire fraud counts relate to a scheme in which Garr allegedly stole personal information from persons she was assisting as a home health care aide. Garr used the stolen information to prepare two false and fraudulent tax returns in 2016, the indictment says, claiming refunds totaling $20,831.
The false tax returns allegedly involved Garr’s personal income tax returns filed in 2015, 2016 and 2017. The indictment alleges that Garr inflated her income in returns filed in 2015 and 2016. Garr claimed $61,725 in wages during 2014, the indictment says, and federal withholding of $30,851. Garr claimed $89,206 in wages in 2015, the indictment says, and federal withholding of $44,593. Garr allegedly failed to report her gross income of approximately $212,892 and reported a gross income of only $26,208 for 2016.
Today’s indictment also contains a forfeiture allegations, which would require Garr to forfeit to the government any property derived from the proceeds of the alleged offenses, including $207,638.
Garrison cautioned that the charges contained in this indictment are simply accusations, and not evidence of guilt. Evidence supporting the charges must be presented to a federal trial jury, whose duty is to determine guilt or innocence.This case is being prosecuted by Assistant U.S. Attorney Paul S. Becker. It was investigated by the FBI and IRS-Criminal Investigation.
Springfield Tutor Pleads Guilty to Sexual Exploitation of 12-Year-Old StudentRead the Press Release
SPRINGFIELD, Mo. – Timothy A. Garrison, United States Attorney for the Western District of Missouri, announced that a Springfield, Mo., man who worked as a private tutor pleaded guilty in federal court today to the sexual exploitation of a child who was a former student.
John Paul Sparapani, 29, of Springfield, pleaded guilty before U.S. Magistrate Judge David P. Rush to using a minor to produce child pornography.
On Aug. 16, 2017, Sparapani pleaded guilty to receiving and distributing child pornography over the Internet. However, a 12-year-old student who was tutored by Sparapani came forward on Aug. 25, 2017, and disclosed that he sexually assaulted her. When the victim’s mother told her about Sparapani’s child pornography conviction, the child victim disclosed that Sparapani had sexually assaulted her during tutoring sessions since the age of 10.
On Jan. 23, 2018, the court granted Sparapani’s motion to withdraw that guilty plea; the original indictment will be dismissed in lieu of the charge filed today.
An officer with the Southwest Missouri Cyber Crimes Task Force identified Sparapani’s computer as sharing child pornography on a peer-to-peer file-sharing network on May 25, 2015. Officers executed a search warrant at Sparapani’s residence on Dec. 21, 2015, and seized two laptop computers, three hard drives and a cell phone, which contained multiple images and videos of child pornography.
Soon after Sparapani pleaded guilty to the federal indictment stemming from that investigation, a former student disclosed to her mother that Sparapani had sexually assaulted her. According to today’s plea agreement, Sparapani used a private room at a public library for the tutoring sessions. The child victim told investigators that Sparapani took photographs of her with his cell phone. She also said he gave her candy and Pokemon cards as rewards.
Under federal statutes, Sparapani is subject to a mandatory minimum sentence of 15 years in federal prison without parole, up to a sentence of 30 years in federal prison without parole. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes, as the sentencing of the defendant will be determined by the court based on the advisory sentencing guidelines and other statutory factors. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
This case is being prosecuted by Assistant U.S. Attorney Ami Harshad Miller. It was investigated by the FBI, the Southwest Missouri Cyber Crimes Task Force and the Springfield, Mo., Police Department.
Project Safe Childhood
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc . For more information about Internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
South Carolina Man Sentenced to 20 Years for Attempting to Engage Minors in Sexual ActivityRead the Press Release
Orlando, Florida – U.S. District Judge Roy B. Dalton, Jr. yesterday sentenced Joshua Alan Dunlap (38, South Carolina) to 20 years in federal prison for attempting to entice a minor to engage in sexual activity and traveling to engage in sexual conduct with a minor. The court also ordered him to forfeit an iPhone, which had been used in furtherance of the commission of the offense.
Dunlap pleaded guilty on November 20, 2017.
According to court documents, from July 25 to July 30, 2017, Dunlap communicated with federal and state undercover agents in an attempt to set up meetings with two fictitious minors – ages 11 and 14. He expressed his intent to teach the 11-year-old about bondage, domination, submission, sadistic, and masochist conduct by having sex with her and treating her as his pet and toy. He also said that he wanted to take the girl to his “play dungeon.” Dunlap said that he intended to provide rudimentary sexual education, involving masturbation and oral sex, to the 14-year-old girl. Dunlap was in St. Johns County when he arrived at the home of the older “child.”
During the execution of a search warrant at Dunlap’s home following his arrest, agents found a room consistent with Dunlap’s description of his “play dungeon.” Suitcases containing whips, sex toys, masks, condoms, and personalized dog collars with tags that read “Joshua’s Pet” and “Joshua’s Toy,” were found inside the room, along with a 4-poster bed with chains and eyebolts on the corners.
This case was investigated by the Federal Bureau of Investigation and the St. Johns County Sheriff’s Office. It was prosecuted by Assistant United States Attorney Ilianys Rivera Miranda.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by United States Attorneys Offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
South Bay Resident Convicted of Illegal Dumping in Wetlands and Other Protected WatersRead the Press Release
OAKLAND – Today, a federal jury convicted James Philip Lucero of three counts of violating the Federal Clean Water Act for illegally discharging pollutants into waters of the United States, including wetlands, announced Acting United States Attorney Alex G. Tse, Environmental Protection Agency Special Agent in Charge Jay Green, and Federal Bureau of Investigation Special Agent in Charge John F. Bennett.
Lucero, of Carmel, California, a self-described “dirt broker,” orchestrated the illegal discharge of pollutants into waters of the United States adjacent to Mowry Slough, near the Don Edwards San Francisco Bay National Wildlife Refuge located in Newark, California. As a dirt-broker, Lucero charged a fee to contractors and trucking companies in exchange for providing open space to dump fill material, including construction debris. The defendant caused a minimum of 1000 industrial-sized truckloads of construction debris and fill material to be dumped on private property containing federally-protected wetlands and other waters of the United States. He did so without obtaining permission of the landowner and without applying for or obtaining a permit from the U.S. Army Corps of Engineers or the Environmental Protection Agency.
“Illegal pollution of our wetlands will be prosecuted vigorously by this office,” said Acting U.S. Attorney Tse. “The verdicts returned by the jury today demonstrate that our community will not tolerate illegal dumping.”
On January 31, 2017, a federal grand jury issued a Superseding Indictment charging Lucero with three counts of unpermitted filling of wetlands and tributaries, in violation of 33 U.S.C. §§ 1311, 1319(c)(2)(A), and 1344. Pursuant to today’s verdict, Lucero was convicted of all three counts.
Assistant U.S. Attorneys Philip J. Kearney and Shiao Lee prosecuted the case with the assistance of Alycee Lane and Helen Yee. The prosecution is the result of an investigation by the Environmental Protection Agency’s Criminal Investigation Division, the Federal Bureau of Investigation, the Alameda County District Attorney’s Office, and the Newark Police Department.
Sioux Falls Man Found Guilty of Methamphetamine ChargesRead the Press Release
United States Attorney Ron Parsons announced that Alvin Felicianosoto, age 34, of Sioux Falls, South Dakota, was found guilty of Conspiracy to Distribute Methamphetamine and Possession with Intent to Distribute Methamphetamine as a result of a federal jury trial in Sioux Falls, South Dakota. The trial began February 12 and ended February 14, 2018.
The conspiracy charge, involving over 500 grams of a mixture containing methamphetamine, carries a mandatory minimum penalty of 10 years and a maximum of life in custody, and/or a $10 million fine, mandatory minimum of 5 years and a maximum of life of supervised release, and a $100 special assessment to the Federal Crime Victims Fund. The possession with intent charge, involving more than 50 grams of pure methamphetamine, carries the same penalty.
Felicianosoto was indicted for possession with intent to distribute by a federal grand jury on November 1, 2016, and a superseding indictment adding the conspiracy charge was filed November 7, 2017.
On July 20, 2016, Felicianosoto was arrested when he attempted to meet a buyer, and he had 114.3 grams of methamphetamine in his possession. Law enforcement searched his residence the next day and recovered 109.5 grams of methamphetamine.
Several witnesses testified about Felicianosoto providing methamphetamine to them for distribution in the Sioux Falls area. The total amount he sold is estimated at over 50 pounds.
This case was investigated by the Sioux Falls Area Drug Task Force and the Drug Enforcement Administration. Assistant U.S. Attorney Jennifer D. Mammenga prosecuted the case.
Felicianosoto was remanded to the custody of the U.S. Marshals Service.
Shreveport man pleads guilty to drug distribution, firearm offenseRead the Press Release
SHREVEPORT, La. – United States Attorney Alexander C. Van Hook announced that a Shreveport man pleaded guilty last week to distributing marijuana and firearm possession.
Xavier Breonte Strickland, 29, of Shreveport, pleaded guilty Thursday before U.S. Magistrate Judge Mark L. Hornsby to one count of possession with intent to distribute marijuana and one count of possession of a firearm in furtherance of a drug trafficking crime. The plea will become final when accepted by U.S. District Judge Elizabeth E. Foote. According to the guilty plea, parole officers went to Strickland’s residence on June 2, 2017 in response to a parole violation. While there, they noticed Strickland exit a bedroom. After searching the bedroom, officers found a Ruger pistol, model: SR1911, caliber: .45 with one round of ammunition in the chamber underneath a green tote bag in the bedroom closet. Next to the bag was a black zipper pouch that contained a digital scale and a bag with 31 grams of marijuana.
Strickland faces up to 20 years in prison for the drug count and no less than five years in prison for the firearms count, which is in addition to the term of imprisonment the court imposes for the drug count. He also faces five years in prison and a $1 million fine. The court set sentencing for June 1, 2018.
The ATF and the Shreveport Police Department conducted the investigation. Assistant U.S. Attorney Brandon B. Brown is prosecuting the case.
Sex Offender Sentenced to 13 Years in Prison for Possessing Child PornographyRead the Press Release
PITTSBURGH - A former resident of Allegheny County, Pennsylvania, has been sentenced in federal court to 156 months imprisonment, followed by a term of lifetime supervised release, on a charge of possession of material depicting the sexual exploitation of a minor, United States Attorney Scott W. Brady announced today.
United States District Judge Mark R. Hornak imposed the sentence on Robert Roy Hegner, age 67, of Sewickley, Pennsylvania.
According to information presented to the court, on August 25, 2016, Hegner possessed images and videos in computer graphic files, the production of which involved the use of minors engaging in sexually explicit conduct, some of whom had not yet attained 12 years of age. Hegner was previously convicted of Indecent Assault, Endangering the Welfare of a Child, Corruption of Minors and Sexual Abuse of Children (F3) in a 1999 case and at the time of this offense was a Megan’s Law Offender.
Assistant United States Attorney Jessica Lieber Smolar prosecuted this case on behalf of the government.
U.S. Attorney Scott W. Brady commended the Federal Bureau of Investigation, the Allegheny County District Attorney Investigations Unit, and the Allegheny County Police Department for conducting the investigation leading to the successful prosecution of Hegner.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals, who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Securities Trader Indicted in Scheme That Netted Tens of Millions of Dollars in Illicit ProfitsRead the Press Release
NEWARK, N.J. – A New Jersey-based securities trader was indicted today on additional charges stemming from his alleged role in orchestrating a massive, long-running market manipulation scheme that netted tens of millions of dollars in illegal profits between 2014 and 2016, U.S. Attorney Craig Carpenito announced.
Joseph Taub, 38, of Clifton, New Jersey, was first charged by complaint with securities fraud conspiracy in 2016. Today’s 13-count indictment charges him with securities fraud conspiracy, market manipulation conspiracy, multiple substantive securities fraud and market manipulation counts, and tax fraud conspiracy. Taub will be arraigned before U.S. District Judge John Michael Vazquez at a later date.
According to documents filed in this case and statements made in court:
From 2014 to 2016, Taub and others conspired to manipulate securities prices of numerous public companies by coordinating trading in dozens of brokerage accounts that they secretly controlled. As part of the scheme, Taub and others engaged in a series of near simultaneous transactions in targeted securities that were designed to artificially influence the market price of the securities and induce other market participants to trade based on the false impression that there was real market interest.
Taub and others allegedly used “straw accounts” that were held in their names, the names of their family members, and the names of entities they controlled. Many of the accounts were opened in the names of individuals who neither controlled the accounts nor traded the securities held in the accounts. Taub funded many of these accounts and used the straw account holders to conceal the scheme from regulators and law enforcement.
The fraudulent trades typically involved two types of straw accounts. First, a “Winner Account” purchased a large block of shares in a particular security. Next, a “Loser Account” placed multiple small orders in the same security to create upward pressure on the stock price. Once the price of the security moved higher due to the Loser Account’s manipulative orders, the conspirators sold their large position in the Winner Account and the shares from any executed trades in the Loser Account. While the Loser Accounts would generally lose money, the conspirators expected the gains from the Winner Accounts to more than make up for them.
In addition, Taub allegedly conspired with accountant Shaun Greenwald, 40, of Cedarhurst, New York, and others to defraud the United States by hiding from the brokerage firms and the IRS the identities of who actually controlled the straw accounts and who reaped the majority of the profits from the scheme. As a result, the profits from the straw accounts were taxed at the lower tax rates applicable to the straw account holders instead of the higher tax rates applicable to Taub and other members of the conspiracy.
The securities fraud conspiracy, market manipulation conspiracy, and tax fraud conspiracy counts each carry a maximum potential penalty of five years in prison. Each substantive count of securities fraud and market manipulation carries a maximum potential penalty of 20 years in prison. All the counts in the indictment also carry a $250,000 fine, or twice of the gross gain or loss from the offenses.
Greenwald pleaded guilty to his role in the scheme on Feb. 21, 2018 and awaits sentencing.
The U.S. Attorney’s Office has filed a separate civil action seeking forfeiture of brokerage accounts in which the manipulative trades were executed, bank and brokerage accounts funded with proceeds of the scheme, and Taub’s interest in companies in which he invested the proceeds of the scheme. Civil forfeiture cases are “in rem” proceedings – proceedings against things. The forfeiture claims in this case are based on allegations that the forfeitable property is proceeds of the securities fraud scheme or is property involved in laundering the proceeds of the scheme. That civil forfeiture action is pending.
U.S. Attorney Carpenito credited special agents of the FBI, under the direction of Special Agent in Charge Timothy Gallagher in Newark, special agents of IRS – Criminal Investigation, under the direction of Special Agent in Charge Jonathan D. Larsen in Newark, and special agents of the U.S. Attorney’s Office, District of New Jersey, with the investigation. He also thanked the SEC’s New York Regional Office for its assistance.
The government is represented by Assistant U.S. Attorneys Daniel Shapiro and Zach Intrater of the U.S. Attorney’s Office Economic Crimes Unit in Newark; and Assistant U.S. Attorneys Sarah Devlin and Barbara Ward, Deputy Chief of the office’s Asset Recovery and Money Laundering Unit.
The charges and allegations contained in the indictment are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
Defense counsel: Lawrence C. Lustberg Esq. and Steven Y. Yurowitz Esq.