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16 March 2018
Sentencings for March 12, 2018Read the Press Release
SOSIMO GONZALES-DE LA CRUZ, 34, of Tepic, Nayarit, Mexico, was sentenced by Chief Federal District Court Judge Nancy D. Freudenthal on March 12, 2018 for illegal re-entry of a previously deported alien into the United States. Gonzales De-La Cruz. was arrested in Shoshoni, Wyoming. He received time served plus up to ten days to allow time for deportation proceedings and ordered to pay $100.00 in special assessment to be remitted upon deportation. This case was investigated by the US Department of Homeland Security, Immigration and Customs Enforcement.
DOMINGO JUAREZ-FRANCISCO, 32, of Huehuetenango, Guatemala, was sentenced by Chief Federal District Court Judge Nancy D. Freudenthal on March 12, 2018 for illegal re-entry of a previously deported alien into the United States. Juarez-Francisco was arrested in Shoshoni, Wyoming. He received time served plus up to ten days to allow time for deportation proceedings and ordered to pay $100.00 in special assessment to be remitted upon deportation. This case was investigated by the US Department of Homeland Security, Immigration and Customs Enforcement.
Seminal Fluid Found After Massage Parlor Robbery Leads to ConvictionRead the Press Release
HOUSTON – Two men have been convicted after being identified by DNA found in seminal fluid left after the armed robbery of a Houston area massage parlor, announced U.S. Attorney Ryan K. Patrick.
20-year old Houston resident Javian Chapman pleaded guilty today to two counts of aiding and abetting interference with commerce by robbery and one count of aiding and abetting the discharge of a firearm during and in relation to a crime of violence. Co-defendant Joseph Berzat, 21, also of Houston, entered his plea to the same charges March 9, 2018.
From approximately 11:00 p.m. Friday, Aug. 5, 2016, until approximately 1:30 a.m. Aug. 6, 2016, Chapman and Berzat entered Hana Spa located at 14015 Bammel North in Houston, demanding money and property at gunpoint. They ultimate left with cash, a Samsung Galaxy S5 cell phone and a 2014 Acura SUV. The suspects also broke open the ATM and removed cash from inside using a drill and other tools they had brought with them.
During the robbery, the suspects had physically assaulted some of the employees. Authorities later processed the scene for forensic evidence and uncovered DNA from seminal fluid found at the scene which positively identified Berzat and Chapman. Investigators also recovered a palm print from the ATM, which was determined to match Berzat. In addition, Spa employees also identified both men as the suspects that held pistols and demanded money during the robbery.
U.S. District Judge Melinda Harmon accepted the pleas and set sentencing for July 6, 2018. At that time, both men face up to 20 years for the robbery as well as another mandatory 10 years for the firearms charge which must be served consecutively to any other prison term imposed. The charges also carry a potential maximum fine of $250,000.
Chapman and Berzat have been and will remain in custody pending that hearing.
The FBI and Harris County Sheriff’s Office conducted the investigation. Assistant U.S. Attorneys Carrie Wirsing and Jill J. Stotts prosecuted the case which was brought as part of the Department of Justice’s Project Safe Neighborhoods (PSN), a nationwide program to reduce gun and gang crime in America and the Houston Law Enforcement Violent Crime Initiative which seeks to proactively fight violent crime across the Greater Houston area.
Savannah Drug Dealer Sentenced to 200 Months for Drug and Firearm OffensesRead the Press Release
SAVANNAH, GA: NATHANIEL THOMAS PUGH, III, 35, of Savannah, Georgia, was sentenced on March 15, 2018, to 200 months in federal prison by United States District Court Judge William T. Moore, Jr. Pugh was convicted on December 12, 2017, by a federal jury of possessing a firearm as a felon, possession of ethylone, commonly referred to as "Molly," with the intent to distribute, and possessing a firearm in furtherance of drug trafficking.
According to the evidence presented at trial, Pugh was involved in a shooting in the Oak Forest neighborhood of Savannah on November 4, 2015. After sustaining a gunshot wound, Pugh drove his bullet riddled car to the hospital. Savannah Chatham-Metro Police recovered a Glock firearm, loaded with a 30-round extended magazine in the glove compartment, which had Pugh’s DNA on it. Also in the car, officers recovered a treasure trove of drug paraphernalia, including almost an ounce of “Molly,” cocaine, pills, baggies and a scale. Text messages recovered from Pugh’s cell phone revealed that Pugh had engaged in several drug transactions prior to the shooting incident, and also revealed photographs of Pugh holding the firearm that was ultimately recovered from Pugh’s car.
Pugh’s criminal history dates back almost two decades and includes prior convictions for Driving Under the Influence, Possession of Marijuana with the Intent to Distribute, Possession of Controlled Substances, Terroristic Threats, Simple Battery and Willful Obstruction of Law Enforcement.
U.S. Attorney Bobby L. Christine said, “Gun-toting drug dealers like Nathaniel Pugh have no place in our community, except behind bars. Pugh’s lengthy sentence should stand out as a stark example of our office’s determination and commitment to aggressively prosecute and disarm those who plague our neighborhoods with drugs and violence.”
This case was brought as part of Project Ceasefire, a joint federal, state and local initiative to combat gun violence and ensure that repeat offenders are subject to stiffer federal sentences, all without the possibility of parole.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Savannah Chatham-Metro Police Department.
Assistant United States Attorneys Jennifer Kirkland and Carlton Bourne prosecuted the case on behalf of the United States. For any questions, please contact the United States Attorney’s Office at (912) 652-4422.
Quitman Drug Dealer Sentenced to More Than 15 Years in Federal PrisonRead the Press Release
Charles E. Peeler, United States Attorney for the Middle District of Georgia, announces that on March 15, 2018, Senior United States District Court Judge Hugh Lawson sentenced Burt Denson, age 41, of Quitman, GA, to 185 months imprisonment for two counts of possession with intent to distribute cocaine. Mr. Denson pled guilty to the offense on October 30, 2017.
In January 2016, Brooks County Sheriff’s Office deputies received information that cocaine was being sold from Mr. Denson’s residence. The information was consistent with prior reports of drug activity at the residence. A search warrant was obtained and executed on January 17, 2016. Brooks County drug investigators seized several bags of cocaine and other items consistent with drug distribution including kilogram-sized packaging, a large number of zip-lock baggies and electronic scales containing cocaine residue. A second search warrant was executed at Mr. Denson’s residence on December 1, 2016. Again, the investigators seized cocaine, as well as other controlled substances, and similar items consistent with drug distribution.
“Most of the time when we speak of ‘repeat drug offenders’ we are talking about defendants with prior convictions, but in Mr. Denson’s case we are talking about someone dealing drugs so regularly that he got caught a second time before he could be prosecuted for the first time,” said United States Attorney Peeler. “Mr. Denson richly deserves the sentence imposed on him today, as incarceration is obviously the only thing that will stop him from selling illegal drugs.”
DEA Special Agent in Charge, Atlanta Field division, states that this sends a strong signal that DEA, along with our local Law Enforcement partners, continue to work in our communities to stop illegal drug operations.
This case was investigated by the Brooks County Sheriff’s Office and the Drug Enforcement Administration. Assistant United States Attorney Robert D. McCullers prosecuted the case on behalf of the government.
Questions concerning this case should be directed to Pamela Lightsey, Public Information Officer, United States Attorney’s Office, at (478) 621-2603.
Pittsburgh Doctor Charged with Unlawfully Dispensing Vicodin and Defrauding the University of Pittsburgh Medical Center Health PlanRead the Press Release
PITTSBURGH, PA - A Pittsburgh radiologist has been indicted by a federal grand jury in Pittsburgh on charges of unlawfully dispensing controlled substances and health care fraud, Attorney General Jeff Sessions and United States Attorney Scott W. Brady announced today. This indictment is the second in Western Pennsylvania since Attorney General Sessions announced the formation of the Opioid Fraud and Abuse Detection Unit, a Department of Justice initiative that uses data to target and prosecute individuals that commit opioid-related health care fraud.
The 88-count indictment, returned on March 14, 2018 and unsealed today following his arrest, charge Omar A. Almusa, 45, of Pittsburgh, Pennsylvania.
According to indictment, Almusa conspired to create and submit unlawful prescriptions for Vicodin and then unlawfully dispensed those controlled substances to other persons without a legitimate medical purpose. Almusa is also charged with health care fraud for allegedly submitting fraudulent claims to UPMC Health Plan, for payments to cover the costs of the unlawfully prescribed Vicodin.
"One of the main causes of our nation’s drug crisis is the diversion of prescription painkillers," said Attorney General Sessions. "That’s why, last summer, I sent a dozen of our top federal prosecutors to focus solely on the problem of opioid-related health care fraud where the drug epidemic was at its worst--including Western Pennsylvania. Within three months, they were already issuing indictments. Now we take the next step of indicting a defendant who allegedly spent three years distributing massive quantities of Vicodin on an illegal and fraudulent basis with no medical justification whatsoever. By shutting off the flow of these potentially addictive pills to our streets, this case, and the dozens more we will prosecute across the country, can save lives."
"If you are abusing the great privilege you have to serve your neighbors in the medical profession or if you are exploiting the weakness and addiction of others, we are coming after you with the full weight and resources of the federal government," said U.S. Attorney Scott W. Brady. "We will take away your livelihood and then we will take away your liberty."
"One of the goals of the Health Care Fraud Task Force is to identify and target doctors who are illegally prescribing dangerous drugs and putting people at risk in our community," said FBI Special Agent in Charge Robert Johnson. "The FBI views this crime as a severe problem and today's arrest sends a clear message that we, along with our law enforcement and industry partners, are dedicated to stopping this type of activity."
Almusa faces a maximum sentence of 20 years in prison and a fine of $1 million for each of the 86 counts charging him with unlawfully dispensing Schedule II controlled substances, a maximum sentence of 10 years imprisonment and a fine of $1 million for the one count charging him with conspiracy to unlawfully dispense a Schedule II controlled substance, and a maximum sentence of 10 years imprisonment and a fine of $250,000 for the one count charging him with health care fraud. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Robert S. Cessar is prosecuting this case on behalf of the government.
The investigation leading to the indictment in this case was conducted by the Western Pennsylvania Opioid Fraud and Abuse Detection Unit, which combines personnel and resources from the following agencies to combat the growing prescription opioid epidemic: Federal Bureau of Investigation, U.S. Health and Human Services – Office of Inspector General, Drug Enforcement Administration, Internal Revenue Service-Criminal Investigations, Pennsylvania Office of Attorney General - Medicaid Fraud Control Unit, Unites States Postal Inspection Service, U.S. Attorney’s Office – Criminal Division, Civil Division and Asset Forfeiture Unit, Department of Veterans Affairs-Office of Inspector General, Food and Drug Administration- Office of Inspector General and the Pennsylvania Bureau of Licensing.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Pharmacy Chain Settles Improper Dispensing and Recordkeeping AllegationsRead the Press Release
BOSTON – The U.S. Attorney’s Office reached a $200,000 civil settlement today with Hamid Mohaghegh, Fitchburg Family Pharmacy, Inc., Gardner Family Pharmacy, Inc., and Worcester Family Pharmacy, Inc., in connection with the improper dispensing of Schedule II controlled substances and flawed recordkeeping by eight retail pharmacy stores that were owned and operated by Mohaghegh in 2016.
“Controlled substances handled by pharmacies are subject to strict requirements because of their potential for harm and abuse,” stated United States Attorney Andrew E. Lelling. “For the sake of patient safety, and to ensure that medications are not stolen or sold on the street, we will continue to monitor pharmacies to ensure that they comply with all legal requirements related to the handling, dispensing, and recordkeeping of controlled substances.”
“Schedule II medications are extremely addictive. Pharmacies may not dispense them without a prescription signed by a doctor who has the authority to prescribe such substances,” said Special Agent in Charge Michael J. Ferguson of the Drug Enforcement Administration, New England Field Division. “DEA registrants are responsible for ensuring that complete and accurate records are being properly kept and accounted for in compliance with the Controlled Substances Act. When these responsibilities are not adhered to, it allows for the diversion of prescription pain medication, which contributes to the widespread abuse of opiates, is a gateway to heroin addiction, and is devastating our communities.”
Mr. Mohaghegh owns several retail pharmacies in Massachusetts. According to the settlement, pharmacists and staff at his stores failed to comply with recordkeeping and other requirements of the Controlled Substances Act on multiple occasions. The violations included filling Suboxone prescriptions by a provider who was not certified to prescribe the drug and not immediately reporting the theft or loss of controlled substances to DEA.
U.S. Attorney Lelling and DEA SAC Ferguson made the announcement today. The case was handled by Assistant U.S. Attorney Annapurna Balakrishna of Lelling’s Civil Division.
Owner of Old Saybrook Pizza Restaurant Sentenced to Prison for Filing False Tax ReturnsRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, announced that ROBERT KEHAYIAS, 58, of Old Saybrook, was sentenced today by U.S. District Judge Janet Bond Arterton in New Haven to three months of imprisonment, followed by one year of supervised release, for filing false tax returns.
According to court documents and statements made in court, KEHAYIAS owns and operates Pizza Works (also known as Pizza Junction, LLC), a restaurant located in Old Saybrook. For the 2010 through 2014 tax years, KEHAYIAS deposited most of the cash receipts generated by the restaurant into his personal money market account, a portion of the cash receipts into other personal bank accounts, and only a minimal amount of cash into the business bank account. During this time, KEHAYIAS provided his tax return preparer with Quickbooks reports that significantly understated the gross receipts of the business each year. As a result, KEHAYIAS failed to report more $765,733 in taxable income on his federal income tax returns for the 2010 through 2014 tax years, and failed to pay approximately $343,000 in taxes.
On September 29, 2017, KEHAYIAS pleaded guilty to one count of filing a false tax return.
KEHAYIAS has paid all of his back taxes. He still owes approximately $361,000 interest and penalties. Judge Arterton ordered KEHAYIAS to make a $200,000 payment to the IRS within two weeks.
This case was investigated by the Internal Revenue Service – Criminal Investigation Division, and was prosecuted by Assistant U.S. Attorney Douglas P. Morabito.
Orlando Woman Sentenced to Nearly Twenty Years for Tax Refund Fraud and Aggravated Identity TheftRead the Press Release
Orlando, Florida – U.S. District Judge Paul G. Byron today sentenced Jeanine Jeanty (45, Orlando) to 19 years and 8 months in federal prison for conspiracy to steal tax refunds, theft of tax refunds, and aggravated identity theft. As part of her sentence, the court also entered a money judgment in the amount of $1,774,376, representing the proceeds of the charged criminal conduct.
A jury found Jeanty guilty on December 15, 2017.
According to court documents, Jeanty was the organizer and leader of a sophisticated criminal enterprise that stole federal tax refunds by filing false tax returns using stolen identity information. The organization also purchased fraudulently obtained U.S. Treasury tax refund checks from others for a fraction of their face value. In less than two years, Jeanty and her co-conspirators stole more than $2.7 million in tax refunds from the Department of the Treasury.
This case was investigated by the Internal Revenue Service – Criminal Investigation and the U.S. Postal Inspection Service. It was prosecuted by Assistant United States Attorney Karen L. Gable.
Orlando Man Arrested for Filing Fraudulent Immigration Petitions Resulting in over 300 Temporary Workers Entering the United StatesRead the Press Release
Orlando, Florida – Marvin Mushia Smith (39, Orlando) has been arrest and charged by criminal complaint with visa fraud and encouraging or inducing an alien to come to, enter, or reside in the United States. If convicted, he faces a maximum penalty of 10 years in federal prison on each count.
According to court documents, in April 2017, members of Orlando’s Homeland Security Investigation’s (HSI) Document and Benefit Fraud Task Force (DBFTF) identified numerous requests for foreign, temporary, non-agricultural workers’ “H-2B” visas linked to Smith, a naturalized U.S. citizen originally from Jamaica. Further investigation revealed that from at least December 2014 through March 15, 2018, Smith filed fraudulent labor certification packages and 11 fraudulent immigration petitions with the Department of Labor (DOL) and/or U.S. Citizenship and Immigration Services (USCIS), which resulted in the admission of over 300 non-immigrants from Jamaica.
The H-2B non-agricultural temporary worker program allows U.S. employers to bring foreign nationals to the United States to fill temporary, non-agricultural jobs. To qualify for H-2B nonimmigrant classification, a petitioner must establish that there are not enough U.S. workers who are able, willing, qualified, and available to do the temporary work, and that employing H-2B workers will not adversely affect the wages and working conditions of similarly employed U.S. workers. A statutory “cap” limits the number of H-2B visas granted during a fiscal year. Currently, Congress has set the H-2B cap at 66,000 per fiscal year, with 33,000 for workers who begin employment in the first half of the fiscal year (October 1 - March 31) and 33,000 for workers who begin employment in the second half of the fiscal year (April 1 - September 30).
In his fraudulent submissions to DOL and USCIS, Smith claimed to have labor contracts with various hotels, construction companies, and landscaping businesses for temporary work in the United States. In reality, many of his H-2B petition packages used fake temporary employment contracts to support the need for his foreign workers. USCIS approved the petitions, in large part, because of the fraudulent contracts supplied by Smith. Further, law enforcement officers interviewed several of the workers who had been admitted as part of Smith’s fraudulent packages, who stated that they worked at different job sites and performed duties other than the ones indicated on the petitions.
A criminal complaint is merely a formal charge that a defendant has violated one or more federal criminal laws, and every defendant is presumed innocent unless, and until, proven guilty.
This case was the culmination of the combined investigative efforts of U.S. Immigration and Customs Enforcement’s Homeland Security Investigations, the U.S. Department of State – Diplomatic Security Service, the DOL–Office of the Inspector General, U.S. Customs and Border Protection, and USCIS - Fraud Detection and National Security. These agencies comprise HSI’s Document and Benefit Fraud Task Force, which was created to combat visa fraud and other similar crimes. This case is being prosecuted by Special Assistant U.S. Attorneys Brandon M. Bayliss and Christina R. Downes, who are on assignment from the Office of the Principal Legal Advisor, ICE.
North Suburban Trader Facing Federal Criminal Charge for Allegedly Defrauding InvestorsRead the Press Release
CHICAGO — A north suburban trader has been charged with fraud for allegedly misappropriating at least $750,000 from investors.
RICHARD D. CARTER, 49, of Mundelein, was charged in a federal criminal complaint with one count of wire fraud. He was arrested Tuesday and made an initial court appearance that day before U.S. Magistrate Judge Maria Valdez. Judge Valdez ordered him released on a $50,000 unsecured bond. The next court date in U.S. District Court in Chicago has not yet been set.
Carter worked as a trader at Blue Guru Trading LLC, a Lincolnshire firm that claimed to specialize in trading futures contracts. According to the charges, Carter advised existing and potential clients that his firm’s proprietary trading model was profitable, and he furnished account statements and other documentation that purportedly showed significant returns on investments. In reality, Carter had falsified the documents to conceal the fact that he misappropriated much of the money, according to the complaint.
The complaint was announced by John R. Lausch, Jr., United States Attorney for the Northern District of Illinois; and Jeffrey S. Sallet, Special Agent-in-Charge of the Chicago office of the Federal Bureau of Investigation. The Commodity Futures Trading Commission, which earlier this year filed a civil enforcement lawsuit against Carter, provided assistance.
According to the complaint, the fraud scheme began in June 2016 and continued to January of this year. Carter allegedly told clients their investments would be traded through a clearinghouse called Straits Financial, and he sent some of them Straits Financial account statements showing that Carter’s firm held a balance of more than $6.1 million. Carter had actually created the statements himself, knowing that Blue Guru held only $9,000 in investor funds, the complaint states.
The public is reminded that a complaint is not evidence of guilt. The defendant is presumed innocent and entitled to a fair trial at which the government has the burden of proving guilt beyond a reasonable doubt.
Wire fraud is punishable by up to 20 years in prison. If convicted, the Court must impose a reasonable sentence under federal statutes and the advisory U.S. Sentencing Guidelines.
The government is represented by Assistant U.S. Attorney Matthew S. Ebert.
North Haven Man Admits Role in Large-Scale Fencing OperationRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, announced that PAUL WILLIAM MUZYKA, 48, of North Haven, pleaded guilty today before U.S. District Judge Michael P. Shea in Hartford to charges related to his role in a large-scale fencing operation.
According to court documents and statements made in court, MUZYKA helped operate a licensed secondhand store, Ace Amusements, located at 42 Kimberly Avenue in New Haven. At Ace Amusements, MUZYKA and others knowingly purchased stolen property from “boosters,” who typically were shoplifters with opioid addictions. The boosters stole the goods from retail stores such as Home Depot, Walmart, Target and Kohl’s, and sold the goods at Ace Amusements for approximately one-third of their retail prices. MUZYKA and others then resold the stolen goods at Ace Amusements, and also online at websites such as eBay.
The loss attributed this scheme exceeds $5.9 million.
MUZYKA pleaded guilty to one count of conspiracy to commit the interstate transport of stolen property, an offense that carries a maximum term of imprisonment of five years, and one count of interstate transport of stolen property, an an offense that carries a maximum term of imprisonment of 10 years. A sentencing date is not scheduled.
MUZYKA is released on a $100,000 bond pending sentencing.
This matter is being investigated by Federal Bureau of Investigation, with assistance from the Connecticut State Police, U.S. Marshals Service, U.S. Postal Inspection Service, Internal Revenue Service – Criminal Investigation Division, Connecticut Department of Correction, Connecticut Chief State’s Attorney’s Office, and the New Haven, North Haven, Milford, West Haven, Wallingford, Hamden and Orange Police Departments.
This case is being prosecuted by Assistant U.S. Attorneys John T. Pierpont, Jr. and David T. Huang.
New Orleans Man Indicted for Theft of Social Security Disability FundsRead the Press Release
ELIJAH CHARLES SORINA (“SORINA”), age 29, of New Orleans, Louisiana, was indicted today by a federal grand jury for Theft of Government Funds, announced United States Attorney Duane A. Evans.
According to the indictment, SORINA continued to receive Social Security Administration (“SSA”) disability benefits after he claimed he was disabled and unable to work. Federal special agents determined SORINA began working for a local transportation company as a school bus driver in 2014 after he obtained a Commercial Driver’s license. SSA determined that from May 2014 until August 2016, SORINA received benefits of $19,897.00 to which he was not entitled because he concealed his employment from the SSA.
U. S. Attorney Evans reiterated that the indictment is merely a charge and that the guilt of the defendant must be proven beyond a reasonable doubt.
If convicted, SORINA faces a maximum penalty of ten (10) years imprisonment, followed by up to three (3) years of supervised release, and a $250,000.00 fine.
U.S. Attorney Evans praised the work of the Social Security Administration, Office of Inspector General and the Louisiana State Police. The prosecution of this case is being handled by Fraud Unit Chief, Assistant U. S. Attorney Brian M. Klebba.
New Haven Man Charged with Distribution of Child Pornography and Assault on A Federal OfficerRead the Press Release
The Office of the United States Attorney for the District of Vermont stated that Colin Germain, 20, of New Haven, Vermont has been indicted on charges for distribution of child pornography and assault on a federal officer. Germain was charged via criminal complaint and made his initial appearance in the United States District Court in Burlington on March 9, 2018. He was subsequently indicted by a federal grand jury. In a hearing before United States Magistrate Judge John M. Conroy on March 16, 2018, Germain was arraigned on the indictment and ordered released on conditions pending trial, which has not been scheduled.
According to Court documents, on August 2, 2017, Germain sent another individual an email containing video file depicting a female child engaging in sexually explicit conduct. Law enforcement identified the Internet Protocol (IP) address associated with the email account that sent the video, then traced the IP address to Germain’s New Haven address and obtained a warrant to search the location. Federal, state, and local officers executed the warrant on November 7, 2017. During their search of the residence, Germain became argumentative and kicked a Homeland Security Investigations Special Agent.
United States Attorney Christina Nolan emphasizes that the charges against Germain are merely accusations and that he is presumed innocent unless and until he is proven guilty. If convicted, Germain faces a sentence of five to twenty years in prison on the child pornography charge and up to eight years in prison on the assault charge. The actual sentence would be determined with reference to the federal sentencing guidelines.
United States Attorney Nolan commended the efforts of Homeland Security Investigations, the Vermont State Police, the Vermont Internet Crimes Against Children Task Force (ICAC), and the Bristol Police Department. She noted that this prosecution is part of the U.S. Department of Justice’s Project Safe Childhood, a nationwide initiative designed to protect children from online exploitation and abuse. Led by the U.S. 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 identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.
The prosecutor in this matter is Assistant U.S. Attorney Nicole Cate. Germain is represented by Federal Public Defender Elizabeth Quinn.
NYPD School Safety Agent Sentenced to Prison for Conspiracy to Distribute HeroinRead the Press Release
Geoffrey S. Berman, the United States Attorney for the Southern District of New York, James J. Hunt, the Special Agent in Charge of the New York Field Division of the Drug Enforcement Administration (“DEA”), George P. Beach II, the Superintendent of the New York State Police (“NYSP”), and James P. O’Neill, the Commissioner of the New York City Police Department (“NYPD”), announced that TINA BATISTA, a former school safety agent with the New York City Police Department (“NYPD”), was sentenced today to one year and one day in prison for conspiring to distribute and possess with intent to distribute more than one kilogram of heroin in Manhattan. BATISTA pled guilty to the Indictment on November 15, 2017. U.S. District Judge Alison J. Nathan imposed today’s sentence.
BATISTA’s co-defendants, Lazaro Mallet and Ruben Luciano De Los Santos have also pled guilty to participating in the conspiracy. On February 23, 2018, De Los Santos was sentenced to two years in prison by Judge Nathan. Mallet, who is facing a mandatory minimum sentence of 10 years in prison, is scheduled to be sentenced by Judge Nathan on April 27, 2018.
U.S. Attorney Geoffrey S. Berman said: “Tina Batista was an NYPD school safety agent entrusted with safeguarding our city’s schools and its students. But she violated that trust by committing a serious narcotics crime involving a large quantity of heroin and lying to law enforcement about her crimes. Thanks to the outstanding investigative work of the DEA and the NYPD, Batista will serve time in prison for her crimes.”
DEA Special Agent in Charge James J. Hunt said: “Honest men and women in law enforcement work hard to keep our community safe from all perils, drugs included. And through this investigation, the New York Drug Enforcement Task Force identified a member of law enforcement who put this city at risk by using her shield to facilitate drug trafficking.”
Superintendent George P. Beach II said, “Thanks to the hard work and partnership of law enforcement at the federal, state and local level, we have put three people behind bars who were supplying dangerous drugs to our communities. Today’s sentencing involved a school safety agent, who was trusted to keep our children safe, and was also conspiring to distribute heroin. We will continue to aggressively pursue criminals who profit from illegal drugs at the expense of the safety and security of our neighborhoods.”
According to the Complaint, the Indictment, other documents filed in this case:
On December 20, 2016, BATISTA, who was then a school safety agent with the NYPD, drove her boyfriend Mallet and De Los Santos from the Bronx to the vicinity of 115th Street and Fifth Avenue in Manhattan where Mallet had arranged to sell more than a kilogram of heroin to a confidential source working in an undercover capacity with federal law enforcement (the “CS”). The car that BATISTA drove had a visible NYPD parking permit with the NYPD logo indicating that the vehicle was associated with law enforcement. BATISTA had obtained the parking permit through her employment with the NYPD.
After the CS entered BATISTA’s vehicle and spoke with Mallet about the heroin in Spanish and in English, Mallet provided the CS with a Gucci shopping bag containing approximately 1.3 kilograms of heroin. BATISTA, Mallet, and De Los Santos then waited in the area for approximately one hour to receive payment for the heroin until they were arrested.
During an interview that was conducted after BATISTA’s arrest, BATISTA lied multiple times to federal agents, falsely stating, in substance and in part, that she was not aware of any drugs, that the Gucci bag only contained sandals, and that she did not speak Spanish.
BATISTA had also previously conducted unauthorized inquiries in NYPD databases at the request of Mallet using a supervisor’s security code.
After her arrest in this case, BATISTA’s employment with the NYPD was terminated.
* * *
In addition to the prison sentence, BATISTA, 37, of the Bronx, was sentenced to two years of supervised release.
Mr. Berman praised the outstanding investigative work of the New York Drug Enforcement Task Force, which comprises agents and officers of the DEA, the NYPD, and the NYSP.
This case is being handled by the Office’s Narcotics Unit. Assistant U.S. Attorney Sagar K. Ravi is in charge of the prosecution.
Mumbai, India, Man Sentenced to 33 Months in Prison for Shipping Misbranded Drugs to U.S. ConsumersRead the Press Release
PITTSBURGH - A resident of Mumbai, India, has been sentenced in federal court to a 33-month term of imprisonment on his conviction of mail fraud and money laundering, United States Attorney Scott W. Brady announced today.
Senior United States District Judge Donetta W. Ambrose imposed the sentence yesterday on Ramesh Buchirajam Akkela, a/k/a Ramesh Bhai, 44, of Mumbai, India.
According to information presented to the court, Ramesh Buchirajam Akkela shipped misbranded prescription drugs from India to reshippers in the United States for distribution – without prescription – to U.S. consumers. Ramesh Buchirajam Akkela was extradited from Panama to the United States to account for these crimes.
Assistant United States Attorney Shardul S. Desai prosecuted this case on behalf of the government.
United States Attorney Brady commended the Food and Drug Administration, Office of Criminal Investigations, Homeland Security Investigations, Postal Inspection Service, Pennsylvania State Police and the Internal Revenue Service, Criminal Investigation for the investigation leading to the successful prosecution of Akkela.
Michigan man admits to heroin distributionRead the Press Release
CLARKSBURG, WEST VIRGINIA – Danzavious Dolphus, of Harper Woods, Michigan, has admitted to a drug distribution charges, United States Attorney Bill Powell announced.
Dolphus, also known as “Dash,” age 24, pled guilty to one count of “Distribution of Heroin.” Dolphus admitted to selling heroin in June 2017 in Monongalia County.
Dolphus faces up to 20 years incarceration and a fine of up to $1,000,000. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant U.S. Attorney Zelda E. Wesley is prosecuting the cases on behalf of the government. The Mon Metro Drug and Violent Crimes Task Force, a HIDTA-funded initiative, investigated.
Senior U.S. District Judge Irene M. Keeley presided.Mexican National Facing Federal Charge Based on Nine-Pound Heroin Seizure in New MexicoRead the Press Release
ALBUQUERQUE – Roberto Esmerardo Lopez-Gaxiola, 35, a Mexican national, made his initial appearance this morning in federal court in Las Cruces, N.M., on a heroin trafficking charge arising out of the seizure of more than nine pounds of heroin at a U.S. Border Patrol checkpoint in southern New Mexico on March 14, 2018. Lopez-Gaxiola remains in federal custody pending a preliminary hearing and a detention hearing, which have yet to be scheduled.
U.S. Border Patrol agents arrested Lopez-Gaxiola on March 14, 2018, after allegedly seizing approximately 4.2 kilograms (9.25 pounds) of heroin concealed in Lopez-Gaxiola’s vehicle. According to the criminal complaint, the agents allegedly found the heroin in Lopez-Gaxiola’s vehicle during an inspection at the U.S. Border Patrol checkpoint located on Interstate 25 near Truth or Consequences, N.M., in Sierra County, N.M.
If convicted of the charges in the criminal complaint, Lopez-Gaxiola faces a statutory mandatory minimum penalty of ten years and a maximum of life in federal prison. Charges in criminal complaints are merely accusations and criminal defendants are presumed innocent unless found guilty beyond a reasonable doubt.
This case was investigated by the Las Cruces Office of the DEA and the U.S. Border Patrol. Special Assistant U.S. Attorney Joni Autrey of the U.S. Attorney’s Las Cruces Branch Office is prosecuting the case 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.
Massachusetts Temp Agency Operator Pleads Guilty to Employment Tax FraudRead the Press Release
A Massachusetts temporary employment agency operator pleaded guilty today in Boston federal district court to willfully failing to collect and pay over employment taxes, announced Principal Deputy Assistant Attorney General Richard E. Zuckerman of the Justice Department’s Tax Division.
According to information presented in open court and filed documents, Huong Le, also known as Lynn Le, assisted Tien Chau in the operation of an employment agency that provided temporary labor to businesses in Massachusetts and New Hampshire. The agency operated under at least four different names between 2006 and 2011: Central Boston Staffing Services, Metro Boston Staffing Services, General Staffing Inc. and Kim’s Staffing Inc. Le and Chau used family members and other individuals as nominees to conceal their ownership of the business.
From April 2010 through September 2011, Le was required to collect and pay over to the IRS employment taxes relating to the agency’s workers. Le and others underreported to the agency’s payroll company the total number of employees and wages paid, which caused the payroll company to prepare and file false forms with the IRS on behalf of the employment agency.
As part of her scheme, Le attempted to hide the size of the employment agency’s workforce by paying employees cash under the table. Le also personally cashed over $6 million in checks payable to the employment agency at a check casher, caused others to cash over $4.9 million at the check casher, and caused others to incorporate the employment agency under nominee names and open bank accounts in those names. Chau previously pled guilty to conspiring to defraud the government, failing to pay over employment taxes and obstructing the internal revenue laws and is awaiting sentencing.
U.S. District Judge George A. O’Toole, Jr., scheduled sentencing for June 19. Le faces a statutory maximum sentence of five years in prison. She also faces a period of supervised release, restitution in the amount of $256,627, and monetary penalties.
Principal Deputy Assistant Attorney General Zuckerman thanked special agents of IRS Criminal Investigation, who conducted the investigation, and Tax Division Trial Attorneys Brittney Campbell and Shawn Noud, who are prosecuting the case. Principal Deputy Assistant Attorney General Zuckerman also thanked Deputy Chief of Investigations Anthony DiPaolo of the Insurance Fraud Bureau of Massachusetts for his agency’s assistance with the investigation.
Additional information about the Tax Division and its enforcement efforts may be found on the division’s website.
Massachusetts Man Sentenced for Trafficking Methamphetamine Through the MailRead the Press Release
BOSTON – A Massachusetts man was sentenced today in federal court in Boston after receiving more than 30 packages of methamphetamine through the mail.
Robert Annette, 58, of Somerville and Provincetown, was sentenced by U.S. District Court Judge Leo S. Sorokin to two years in prison and four years of supervised release. In November 2016, Annette pleaded guilty to conspiracy to possess with intent to distribute and to distribute methamphetamine.
From approximately 2011 through October 2013, Annette and others trafficked methamphetamine through the United States mail. Annette collected packages of methamphetamine sent to him from San Diego by co-defendant Leonard Leseman. In 2012, a Postal Inspector, conducting a routine drug interdiction, located a suspicious package sent by Leseman and addressed to a fictitious name at Annette’s Somerville residence. When the Inspector attempted to deliver the package, Annette refused receipt. From then on, Annette arranged for a network of friends to receive the packages. In total, Leseman mailed more than 30 packages containing methamphetamine to various addresses provided by Annette. During the investigation, law enforcement officers also seized packages containing methamphetamine that Leseman sent to customers in Washington, D.C., and Carnegie, Pennsylvania.
Leseman and Annette communicated via text message to discuss the logistics for orders, shipments and payments. For example, regarding a package that Leseman sent Annette, Leseman advised him: “You’ll see 3 blind mice eating ice cream.” After Leseman mailed the package from San Diego, Postal Inspectors in Massachusetts seized the package and opened it pursuant to a search warrant. Inside the package were three toy mice and an ice cream maker with four ounces of methamphetamine hidden inside.
Five individuals involved in this activity have pleaded guilty and four have been sentenced. In September 2017, Leseman was sentenced to 10 years in prison. Steven Marszalkowski, formerly of Provincetown, was sentenced to 13 months in prison in August 2017; and Scott Hill, formerly of Randolph, was sentenced to 42 months in prison in April 2017. Lawrence Ligocki, of Chelsea, is awaiting sentencing. The government has filed charges against a sixth individual, Dennis Villas of Seattle, Wash., who is scheduled to plead guilty in April 2018 before U.S. Senior District Court Judge Rya W. Zobel.
United States Attorney Andrew E. Lelling; Raymond Moss, Acting Inspector in Charge of the U.S. Postal Inspection Service, Boston Field Division; and Harold H. Shaw, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division, made the announcement today. Investigative assistance was provided by the U.S. Postal Inspector Service in San Diego and Pennsylvania, the Pennsylvania State Police, the Massachusetts State Police, and the Provincetown and Truro Police Departments. Assistant U.S. Attorneys James E. Arnold and Craig E. Estes of Lelling’s Narcotics and Money Laundering Unit prosecuted the case.
Man Sentenced for Threats to CIA and State Department OfficialsRead the Press Release
ALEXANDRIA, Va. – A Herndon man was sentenced today to 57 months in prison for threatening to murder officials and employees of the Central Intelligence Agency (CIA) and the U.S. State Department.
According to court documents, William Lewis Weaver, II, 36, posted multiple messages to Twitter and Pastebin in August and September 2017 regarding his intent to “shotgun” and bomb the CIA and the U.S. State Department. Weaver’s communications indicate that his threats were motivated by his anger toward the CIA and the State Department. On or about Sept. 11, 2017, Weaver sent his landlord a text message that his “focus” was on “shotguns and bombs,” and a few days later, on or about Sept. 15, 2017, Weaver attempted to purchase a shotgun from a store in Sterling. Law enforcement arrested Weaver the next day.
Tracy Doherty-McCormick, Acting U.S. Attorney for the Eastern District of Virginia, Andrew W. Vale, Assistant Director in Charge of the FBI’s Washington Field Office, and Bartle B. Gorman, Deputy Assistant Secretary for the U.S. Department of State’s Diplomatic Security Service, made the announcement after sentencing by Senior U.S. District Judge Claude M. Hilton. Assistant U.S. Attorneys Alexander P. Berrang and Nathaniel Smith III prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information is located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:17-cr-235.
Man Sentenced for Making a False Statement on Loan or Credit ApplicationRead the Press Release
United States Attorney Joseph P. Kelly announced that Melchor Ramirez-Chavez, a national of Mexico, was sentenced on March 9, 2018, in Lincoln, Nebraska, by United States District Judge John M. Gerrard, to 12 months and one day imprisonment for making a false statement on a load or credit application.
In March of 2014 the Defendant, Melchor Ramirez-Chavez, applied for a home loan from Equitable Bank using the identity of a deceased relative. The relative had received a “green card” allowing him to seek employment and other benefits under immigration laws. Ramirez-Chavez did not have legal immigration status and falsely used the identity of his deceased relative to apply for the loan.
This case was investigated by the Department of Homeland Security, Homeland Security Investigations.
Man Pleads Guilty to Illegal Use of a Social Security NumberRead the Press Release
U.S. Attorney Duane A. Evans announced that RUFINO MEJIA-ACOSTA, a/k/a Miguel A. Pacheco-Gonzalez (MEJIA-ACOSTA), age 38, a citizen of Mexico, residing in Chalmette, Louisiana, pled guilty today to a one-count Bill of Information for illegal use of a Social Security Number, in violation of Title 42, United States Code, Section 408(a)(7)(B).
According to the Bill of Information, on or about July 3, 2017, MEJIA-ACOSTA, for the purpose of obtaining employment and for other purposes, knowingly and with intent to deceive, did falsely represent on a U.S. Citizenship and Immigration Services Employment Eligibility Verification Form that a Social Security Number not issued to him, was assigned to him.
MEJIA-ACOSTA faces a maximum term of imprisonment of not more than five years, a fine of up to $250,000.00, one year supervised release after imprisonment, and a $100 special assessment. U.S. District Judge Mary Ann Vial Lemmon set sentencing for April 26, 2018.
U.S. Attorney Evans praised the work of the United States Department of Homeland Security, Immigration and Customs Enforcement in investigating this matter. Assistant United States Attorney Irene González is in charge of the prosecution.
MS-13 Gang Leader Pleads Guilty and Admits to Authorizing MurderRead the Press Release
BOSTON –The nationwide leader of MS-13’s Molinos Locos Salvatrucha clique pleaded guilty yesterday in federal court in Boston to charges of racketeering conspiracy involving murder.
Oscar Duran, a/k/a “Demente,” 27, a Salvadoran national who resided in East Boston, pleaded guilty to conspiracy to conduct enterprise affairs through a pattern of racketeering activity, more commonly referred to as RICO or racketeering conspiracy. U.S. District Court Judge F. Dennis Saylor IV scheduled sentencing for June 8, 2018.
After a multi-year investigation, Duran was one of 61 people named in a fifth superseding indictment targeting the criminal activities of alleged leaders, members, and associates of MS-13. MS-13 is one of the largest criminal organizations in the United States with thousands of members across the country, including a sizeable presence in Massachusetts. MS-13 members are required to commit acts of violence, including murder, against suspected gang rivals and those suspected of cooperating with law enforcement. The fifth superseding indictment alleges that, from approximately 2014 to 2016, MS-13 cliques in Massachusetts were responsible for, among other things, six murders and approximately 20 attempted murders, as well as robberies and drug trafficking.
MS-13 is organized in Massachusetts and elsewhere in the form of so-called “cliques,” that is, smaller groups acting under the larger mantle of MS-13, with local cliques generally reporting up to national leaders, and ultimately to the leadership of MS-13 based in El Salvador. Duran was the leader of the Molinos clique for the entire United States, as well as the local Boston-area leader of the clique. In that capacity, Duran encouraged and authorized MS-13 members to commit murder. As part of today’s plea, Duran accepted responsibility for authorizing the murder of a 15-year-old who was stabbed to death on Constitution Beach in East Boston on Sept. 7, 2015.
Duran is the 35th defendant to be convicted in this case either after trial or after entering a guilty plea. He is the 6th defendant in this case to be held responsible for murder.
The charge of RICO conspiracy involving murder provides for a sentence of up to life in prison, five years of supervised release, and up to a $250,000 fine. Duran will also be subject to deportation upon the completion of his sentence. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Andrew E. Lelling; Harold H. Shaw, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; Michael Shea, Acting Special Agent in Charge of Homeland Security Investigations in Boston; Colonel Kerry A. Gilpin, Superintendent of the Massachusetts State Police; Commissioner Thomas Turco of the Massachusetts Department of Corrections; Essex County Sheriff Kevin F. Coppinger; Suffolk County Sheriff Steven W. Thompkins; Suffolk County District Attorney Daniel F. Conley; Middlesex County District Attorney Marian T. Ryan; Essex County District Attorney Jonathan Blodgett; Boston Police Commissioner William Evans; Chelsea Police Chief Brian A. Kyes; Everett Police Chief Steven A. Mazzie; Lynn Police Chief Michael Mageary; Revere Police Chief James Guido; and Somerville Police Chief David Fallon made the announcement.
The details contained in the charging documents are allegations. The remaining defendants are presumed to be innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Laurel Man Indicted for Mail FraudRead the Press Release
FOR IMMEDIATE RELEASE Contact ELIZABETH MORSE
www.justice.gov/usao/md at (410) 209-4885
Greenbelt, Maryland – A federal grand jury has indicted Adrian Brown, age 33, of Laurel, Maryland, today on mail fraud charges related to a scheme to defraud an automobile insurance company. The indictment was returned on March 14, 2018, and unsealed today upon the arrest of Brown.
The indictment was announced by Acting United States Attorney for the District of Maryland Stephen M. Schenning; Special Agent in Charge Gordon B. Johnson of the Federal Bureau of Investigation, Baltimore Field Office; and Chief Henry P. Stawinksi III of the Prince George’s County Police Department.
According to the two-count indictment, between September 2014 and January 2015, Brown allegedly made false statements to the insurance company claiming he owned a Chevrolet Caprice and that it had been stolen from an apartment complex in Maryland. However, Brown never owned the vehicle. Brown then filed an incident report with the Prince George’s County Police documenting the purported theft. During the course of the insurance investigation, Brown made several false statements about the purchasing and theft of the vehicle.
Brown faces a maximum sentence of 20 years in prison for the conspiracy.
An indictment is not a finding of guilt. An individual charged by indictment is presumed innocent unless and until proven guilty at some later criminal proceedings.
Acting United States Attorney Stephen M. Schenning commended the FBI and Prince George’s Police Department for their work in the investigation. Mr. Schenning thanked Assistant U.S. Attorneys Menaka S. Kalaskar and Ray D. McKenzie, who are prosecuting the case.
Lafayette man pleads guilty to storing thousands of images of child pornography on laptopRead the Press Release
LAFAYETTE, La. – United States Attorney Alexander C. Van Hook announced today that a Lafayette man pleaded guilty to storing thousands of images of child pornography on his laptop.
Kevin Greer, 47, of Lafayette, pleaded guilty before U.S. Magistrate Judge Patrick Hanna to one count of transportation of obscene material. The plea will become final when accepted by U.S. District Judge Dee D. Drell. According to the guilty plea, law enforcement agents visited Greer at his home on May 17, 2017 as part of an investigation. Greer told the agents that he had used his laptop to view child pornography. Greer’s laptop contained approximately 50 videos and 4,000 images of child pornography, with some minors depicted being as young as toddlers. Greer’s desktop had internet access and was connected to a peer-2-peer network, which allowed others to access the child pornography online.
Greer faces up to 20 years in prison, five years of supervised release and a $250,000 fine. The court set the sentencing date for July 13, 2018.
This case is part of Project Safe Childhood, a U.S. Department of Justice nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood combines 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 U.S. Department of Homeland Security and U.S. Immigration & Customs Enforcement (ICE) also encourage the public to report suspected child predators and any suspicious activity through its toll-free hotline at (866) 347-2423. Investigators are available at all hours to answer hotline calls. Tips or other information can also be submitted to ICE online by visiting their website at www.ice.gov/exec/forms/hsi-tips/tips.asp or through the Operation Predator smartphone application www.ice.gov/predator/smartphone-app. Tips may be submitted anonymously.
The U.S. Department of Homeland Security and Louisiana Bureau of Investigation-Cyber Crimes Unit conducted the investigation. Assistant U.S. Attorneys T. Forrest Phillips and John Luke Walker are prosecuting the case.
Lafayette man pleads guilty to controlled substance, firearms offensesRead the Press Release
LAFAYETTE, La. – United States Attorney Alexander C. Van Hook announced that a Lafayette man pleaded guilty Thursday to possessing with the intent to distribute more than 500 grams of methamphetamine after Lafayette Police Department officers recovered multiple controlled substances and a weapon within his residence.
Don Edmond Washington, 28, of Lafayette, pleaded guilty before U.S. Magistrate Judge Carol Whitehurst to one count of possession with intent to distribute a controlled substance (methamphetamine) and possession of a firearm and ammunition by a previously convicted felon. According to the guilty plea, law enforcement agents searched Washington’s home on May 17, 2017 and found methamphetamine, heroin, buprenorphine, Oxycodone, Alprazolam, one HK USP compact .45 caliber pistol with one magazine, six .45 caliber rounds and $440.
Washington faces 10 years to life in prison, five years of supervised release and a $10 million fine on the controlled substance offense, and he faces up to 10 years in prison and a $250,000 fine related to the firearms offense. The court set a sentencing date of June 18, 2018.
The DEA, ATF, Lafayette Metro Narcotics Task Force and Lafayette Police Department conducted the investigation. Assistant U.S. Attorney Daniel J. McCoy is prosecuting the case.
Killingly Man Sentenced to 18 Months in Federal Prison for Illegal Gun PossessionRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, today announced that BLAIN S. KOLLBECK, 34, of Killingly, was sentenced yesterday by U.S. District Judge Janet Bond Arterton in New Haven to 18 months of imprisonment, followed by three years of supervised release, for illegally possessing a firearm.
According to court documents and statements made in court, on January 4, 2017, law enforcement officers removed a loaded Beretta 9mm Nano handgun and an improvised explosive device from KOLLBECK’s residence. The handgun had an obliterated serial number, and was repainted orange. The investigation revealed that Albert Bonner, also of Killingly, was the registered owner of the gun, and that Bonner provided the gun to KOLLBECK. Bonner knew that KOLLBECK was a convicted felon.
KOLLBECK has prior felony convictions in Connecticut and Florida.
KOLLBECK was arrested on a federal criminal complaint on January 10, 2017. On December 18, he pleaded guilty to one count of possession of a firearm by a previously convicted felon.
KOLLBECK, who is released on bond, was ordered to report to prison on July 10.
On July 31, 2017, Bonner pleaded guilty to one count of providing a firearm to a convicted felon. On December 22, he was sentenced to eight months of imprisonment.
This matter was investigated by the Connecticut State Police and the Federal Bureau of Investigation. The case was prosecuted by Assistant U.S. Attorney Anastasia E. King.
Johnson City Man Arrested for Sexual Exploitation of a MinorRead the Press Release
SYRACUSE, NEW YORK – Michael Rushmer, age 46, of Johnson City, New York, was arrested and charged with sexual exploitation of a minor, and distribution and receipt of child pornography, announced United States Attorney Grant C. Jaquith and Vadim D. Thomas, Special Agent in Charge of the Albany Field Office of the Federal Bureau of Investigation (FBI).
FBI and Johnson City Police arrested Rushmer at his home in Johnson City, New York, on March 14, 2017. The defendant appeared in federal court in Syracuse before United States Magistrate Judge Thérèse Wiley Dancks and was ordered detained without bail pending trial.
If convicted of sexual exploitation of a child, Rushmer faces a mandatory minimum term of 15 years and a maximum sentence of 30 years in prison. Rushmer also faces a fine of up to $250,000 and a term of post-imprisonment supervised release of at least 5 years and up to life, as well as mandatory registration as a sex offender. The distribution and receipt of child pornography charges carry mandatory minimum sentences of 5 years and up to 20 years in prison on each count. A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines and other factors.
The charges in the complaint are merely accusations. The defendant is presumed innocent unless and until proven guilty.
This case is being investigated by the FBI, the Johnson City Police Department, and the Broome County District Attorney’s Office, and is being prosecuted by Assistant United States Attorney Sahar L. Amandolare.
This multi-agency approach is a hallmark of Project Safe Childhood. Launched in May 2006 by the Department of Justice, Project Safe Childhood is led by United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS). Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.
Ithaca Man Charged with Possession of a Silencer, Explosives and Fraudulent Firearm PurchaseRead the Press Release
SYRACUSE, NEW YORK - Maximilien R. Reynolds, age 19, of Ithaca, New York, was arrested and charged with possession of a destructive device and a silencer, as well as aiding and abetting the “straw purchase” of a rifle.
The announcement was made by United States Attorney Grant C. Jaquith; Vadim D. Thomas, Special Agent in Charge of the Albany Field Office of the Federal Bureau of Investigation (FBI); Ashan M. Benedict, Special Agent in Charge of the New York Field Division of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF); City of Ithaca Police Chief Pete Tyler; and Tompkins County District Attorney Matthew Van Houten.
Reynolds appeared today in United States District Court in Syracuse on a criminal complaint alleging that he possessed the silencer and destructive device in his apartment in Ithaca, and aided and abetted in the straw purchase of a rifle. The defendant has been ordered held without bail pending a hearing.
The charges alleging Maximilien R. Reynolds possessed a firearm and silencer each carry a maximum sentence of up to 10 years in prison, a term of post-imprisonment supervised release of up to 3 years, and fine of up to $10,000. The charges alleging that the defendant aided and abetted in the straw purchase of a rifle each carry a maximum sentence of up to 10 years in prison, a term of supervised release of up to 3 years, and a fine of up to $250,000. A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines and other factors.
The charges in the complaint are merely accusations. The defendant is presumed innocent unless and until proven guilty.
This case is being investigated by the FBI, the ATF, the City of Ithaca Police Department, the New York State Police, and the Cornell University Police Department, and is being prosecuted by Assistant U.S. Attorney Richard Southwick, with assistance from the Tompkins County District Attorney’s Office.
Illegal Alien Sentenced to More than 7 Years in Prison for $20M Stolen Identity Refund Fraud SchemeRead the Press Release
PITTSBURGH, Pa. –A former resident of Ozone Park, New York, has been sentenced in federal court to 87 months in prison and three years of supervised release on his conviction of conspiracy to commit wire fraud and aggravated identity theft, United States Attorney Scott W. Brady announced today.
United States District Judge David S. Cercone imposed the sentence on Abiodun Bakre, who was in the United States illegally during the period in which he committed the offenses. In imposing sentence, Judge Cercone noted that the wire fraud conspiracy in which Bakre participated was the largest financial fraud case the Court had presided over in more than 30 years on the bench. All told, the fraud involved over $69 million in attempted losses, with more than $20 million in fraudulently obtained federal tax refunds actually being sent out by the Internal Revenue Service. The Court also noted that over 11,000 people "were the victims of this nefarious activity."
According to information presented to the court, Bakre opened numerous bank accounts using stolen identities for the purpose of using those bank accounts as repositories for fraudulently obtained federal tax refunds. In the course of the investigation, a search of Bakre’s residence uncovered multiple ledgers containing hundreds of stolen identities and numerous false identification documents which were used in furtherance of the conspiracy.
Assistant United States Attorney Christian A. Trabold prosecuted this case on behalf of the government.
U.S. Attorney Brady commended the Federal Bureau of Investigation and the Internal Revenue Service, Criminal Investigation for the investigation leading to the successful prosecution of Bakre.
Honduran Man Sentenced for Immigration OffenseRead the Press Release
United States Attorney Duane A. Evans announced that ALLAN ROSALES-BENITEZ, age 32, a native of Honduras, was sentenced today after previously pleading guilty to a one-count indictment for illegal reentry of a removed alien.
United States District Court Judge Lance M. Africk sentenced ROSALES to time served (8 months), followed by one year of supervised release, and a $100 special assessment fee. The defendant will be surrendered to the custody of the U.S. Immigration and Customs Enforcement for removal proceedings.
According to court documents, on May 27, 2017, ROSALES was found in the United States after having been previously removed from the United States on July 11, 2012.
U.S. Attorney Evans praised the work of Immigration and Customs Enforcement agents in investigating this matter. Assistant United States Attorney Jon Maestri was in charge of the prosecution.
Glendale Man Sentenced for Mortgage Fraud in CarmichaelRead the Press Release
SACRAMENTO, Calif. — U.S. District Judge Garland E. Burrell Jr. sentenced Koryun Hakobyan, 64, of Glendale, to two years in prison for his role as a straw buyer in a mortgage fraud scheme, U.S. Attorney McGregor W. Scott announced.
According to court documents, Hakobyan was recruited to act as a purchaser of a house in Carmichael. Hakobyan signed the loan application that was prepared for him, although he knew that the information in the application was false. Based on the false information about Hakobyan’s income, assets, employment and intent to occupy the house on July 3, 2007, the lender agreed to 100 percent financing and wired approximately $824,000 to buy the house.
Hakobyan never lived in the house, and instead, another person moved in. Two months after the purchase, Hakobyan applied for a $200,000 Home Equity Line of Credit based on a fraudulent application that misrepresented his length of ownership, his employer, gross monthly income and the outstanding loan balance. Once Hakobyan received the HELOC, he withdrew the money and transferred most of it to his daughter and son-in-law.
Because of Hakobyan’s fraudulent loan applications, banks lent more than a million dollars, and when he defaulted, the lenders lost approximately $580,000.
This case was the product of an investigation by the Federal Bureau of Investigation and the Internal Revenue Service-Criminal Investigation. Assistant U.S. Attorney Lee S. Bickley prosecuted the case.
Franklin County Man Sentenced for Methamphetamine OffenseRead the Press Release
On March 14, 2018, Kevin W. Shuman, 41, of Benton, was sentenced to federal prison for a methamphetamine offense, United States Attorney for the Southern District of Illinois, Donald S. Boyce, announced today. Shuman, who had previously pled guilty to a one-count indictment charging conspiracy to distribute in excess of 50 grams of methamphetamine, was sentenced to 235 months of imprisonment, to be followed by four years of supervised release. The indictment alleged that the offense occurred between December 2015 and March 2017, in Franklin and Williamson Counties. Evidence at the plea and sentencing hearings established that Shuman was involved with other persons in the distribution of ice in southern Illinois. Ice is methamphetamine, which has a purity level of at least 80 percent. At sentencing, the district court found that Shuman was responsible for the distribution of more than four kilograms of ice.
The investigation was conducted by the Southern Illinois Drug Task Force, Southern Illinois Enforcement Group, and Franklin County Sheriff’s Office.
Four defendants face fraud charges in bogus fundraising efforts for wounded military veteransRead the Press Release
Pocketed over $125,000 in funds for personal use
PRESS RELEASE
New Albany-United States Attorney Josh Minkler announced today federal charges against four individuals who are alleged to have stolen over $125,000 in an elaborate fraud scheme posing as fundraisers for America’s veterans and their families.
“Our American veterans have dutifully served this country through many wars and deserve better than to be deprived of donations from giving donors,” said Minkler. “The acts of these fraudsters have eroded the trust and good will of those who want to contribute to legitimate fundraising organizations, including those that support our veterans.”
Those charged include:
James D. Linville, 44, Clarksville, a/k/a Sergeant Bob Davis
Thomas A. Johnson, 42, Henryville, a/k/a Paul Bradley
Amy L. Bennett, 40, Henryville
Joanie Watson, 38, Clarksville
The conspiracy was led by Linville who filed paperwork with the Indiana Secretary of State’s Office to form the Wounded Warrior Fund, Inc. and the Wounded Warrior Foundation, Inc. in a scheme to solicit donations from individuals and businesses residing in Indiana, Kentucky, and Ohio. Linville and Johnson contacted businesses and individuals around the Midwest in an attempt to raise funds for the Wounded Warrior Fund and the Wounded Warrior Foundation accounts by stating the funds were for veterans and their families. They solicited funds by telephone, facsimile and in person; many individuals were led to believe they were donating to the nationally renowned Wounded Warrior Project.
Linville and Johnson are alleged to have used the aliases of “Sergeant Bob Johnson” and “Paul Bradley” when making the solicitations. By using aliases, they masked their true identity and in many cases misled the donors into believing they were being solicited by a former military member thus adding to their credibility. In one scheme, the defendants solicited for donations to purchase overseas calling cards and in another, they requested school supplies for active duty military families. Bennett and Watson would pick up checks and other donations made by individuals and businesses who intended to donate to veterans and their families. Donations made to these programs and similar fictitious campaigns for veterans were not distributed to veterans and their families; instead, the donations were used by members of the conspiracy for their personal benefit.
Throughout the conspiracy, it is alleged that the defendants collected donations from over 1000 individuals and businesses totaling over $125,000 in cash, gift cards, merchandise and in-kind donations.
The Wounded Warrior Project is a legitimate 501(c) 3 organization with offices in multiple cities around the country. It is a veteran’s charity and service organization which offers a variety of programs, services, and events for wounded veterans of the military. This organization is separate and distinct from the Wounded Warrior entities operated by the defendants.
The United States Secret Service and the Clark County Sheriff’s Department investigated this case.
“The results of this investigation are a testament to the Secret Service’s commitment to strong partnerships between local and federal law enforcement agencies,” said Richard Ferretti, Special Agent in Charge of the U.S. Secret Service Louisville Field Office. “We would like to thank the Clark County Sheriff’s Department and the U.S. Attorney’s Office – Southern District of Indiana for their hard work and partnership in this case.”
“I would like to commend the great teamwork between the Clark County Sheriff’s Office, U.S. Secret Service, U.S. Marshalls, and U.S. Attorney’s Office for bringing these individuals to justice,” stated Sheriff Jamey Noel. “The alleged crimes in this case preyed on honest, hardworking people, families, and businesses in our community under a false pretense they were helping veterans. We owe our veterans a great debt of gratitude; we will not tolerate people taking advantage of them. We will continue to work together to investigate fraudulent organizations to protect our community.”
Kyle M. Sawa is prosecuting this case for the government and said all defendants face up to 20 years imprisonment if convicted.
An indictment is only a charge and not evidence of guilt. All defendants are considered innocent until proven otherwise in federal court.
In October 2017, United States Attorney Josh J. Minkler announced a Strategic Plan designed to shape and strengthen the District’s response to its most significant public safety challenges. This prosecution demonstrates the office’s firm commitment to use partnerships with law enforcement agencies to prosecute individuals who participate in large-scale fraud schemes and exploit vulnerable victims. See United States Attorney’s Office, Southern District of Indiana Strategic Plan Section 5.1
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Former police chief of village in Mahoning County pleaded guilty to child pornography crimesRead the Press Release
The police chief of a village in Mahoning County pleaded guilty to child pornography crimes, law enforcement officials said.
Andrew M. Soloman, 36, is scheduled to be sentenced on June 28.
He pleaded guilty to one count of receiving and possessing visual depictions of minors engaged in sexually explicit conduct.
Soloman was the police chief of Craig Beach Village when he committed the crimes. He met the juvenile victim when responding to her residence for calls about harassment and a juvenile runaway. During their interactions, the victim sat in Soloman’s cruiser for several hours and talked. He provided her with his work email address, according to court documents.
The two continued to communicate via text and email. The victim sent Soloman sexually explicit photographs of herself and Soloman responded by sending sexually explicit photographs via his work email account. This took place from Oct. 24 through Dec. 7, 2017 according to court documents.
This case is being prosecuted by Assistant U.S. Attorney Michael A. Sullivan following an investigation by the Federal Bureau of Investigation, the Ohio Bureau of Criminal Investigation, the Mahoning County Sheriff’s Office and the Austintown Police Department.
Former Jersey City Police Officer Sentenced to 18 Months in Prison for Bribery Conspiracy Involving Off-Duty Work AssignmentsRead the Press Release
NEWARK, N.J. – A former Jersey City, New Jersey, police officer was sentenced today to 18 months in prison for paying bribes in order to obtain compensation for off-duty work he did not perform, U.S. Attorney Craig Carpenito announced.
Michael O’Leary, 35, of Jersey City, previously pleaded guilty before U.S. District Judge John Michael Vazquez to an information charging him with one count of conspiracy to commit bribery. Vazquez imposed the sentence today in Newark federal court.
According to documents filed in this case and statements made in court:
Private contractors and utility companies sometimes needed the services of off-duty Jersey City police officers for certain projects, including work in Jersey City that could obstruct the flow of traffic. O’Leary was an officer who was eligible to perform off-duty work.
From November 2013 through April 2016, O’Leary engaged in a conspiracy in which he paid bribes to another Jersey City officer who was authorized to assign off-duty work, in exchange for that officer’s official assistance in submitting phony vouchers to Jersey City indicating that O’Leary had completed certain off-duty assignments. As a result, O’Leary was compensated for work he never performed.
In addition to the prison term, Judge Vazquez sentenced O’Leary to two years of supervised release and ordered him to pay restitution of $113,145 and forfeiture of $39,587.
U.S. Attorney Carpenito credited special agents of the FBI, under the direction of Special Agent in Charge Timothy A. Gallagher in Newark, with the investigation.
The Jersey City Police Department is cooperating with the investigation.
The government is represented by Assistant U.S. Attorney Vikas Khanna of the U.S. Attorney’s Office Criminal Division in Newark.
Defense counsel: John Lynch Esq., Union City, New Jersey
Former Head of Enfield Community Development Corp Pleads Guilty to Conspiring to Steal Government FundsRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, announced that DARRIN LAMORE, 47, of Enfield, waived his right to be indicted and pleaded guilty today in New Haven federal court to a conspiracy offense related to his theft of government funds.
According to court documents and statements made in court, LAMORE was the executive director of the Enfield Community Development Corporation (“ECDC”), a non-profit corporation that oversees economic development projects in Enfield, primarily in the Thompsonville section of the town. The ECDC is supported with federal funds administered by the State of Connecticut. From June 2012 to October 2015, LAMORE conspired with an employee of the Town of Enfield to take funds intended for economic development in Enfield and apply them to LAMORE’s salary. To hide their fraudulent activity and to maintain funding for the ECDC, the conspirators repeatedly falsified the books and records of the ECDC.
Through this scheme, LAMORE stole more than $95,000 from the ECDC.
LAMORE pleaded guilty to one count of conspiracy to commit wire fraud and theft from a program receiving federal funds, an offense that carries a maximum term of imprisonment of five years.
As part of his guilty plea, LAMORE has agreed to cooperate with this ongoing investigation.
LAMORE was arrested on a criminal complaint on February 16, 2018. He is released on a $25,000 bond pending sentencing, which is not scheduled. The case is assigned to U.S. District Judge Alvin W. Thompson in Hartford.
This investigation is being conducted by the Connecticut Public Corruption Task Force, notably the Federal Bureau of Investigation, and the Enfield Police Department. The Task Force also includes members from the Internal Revenue Service, Criminal Investigation Division, U.S. Department of Housing and Urban Development – Office of Inspector General, the U.S. Department of Health and Human Services – Office of Inspector General, and U.S. Postal Inspection Service. The case is being prosecuted by Assistant U.S. Attorney Liam Brennan.
Citizens are encouraged to report corruption to the Connecticut Public Corruption Task Force by calling 203-238-0505.
Former Federal Correctional Officer Pleads Guilty in Brooklyn Federal Court to Solicitation to Commit a Crime of ViolenceRead the Press Release
Earlier today, at the federal courthouse in Brooklyn, George Gonzalez, a former officer with the United States Bureau of Prisons, pleaded guilty to solicitation to commit a crime of violence, and possession of a firearm while subject to a protective order. The proceeding was held before United States District Judge Roslynn R. Mauskopf.
Richard P. Donoghue, United States Attorney for the Eastern District of New York, and Ashan M. Benedict, Special Agent-in-Charge, Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), New York Field Division, announced the guilty plea.
“With today’s guilty plea, George Gonzalez will go from supervising inmates to being one himself,” stated United States Attorney Donoghue. “While he attempted to hire gang members to brutally assault his wife and another individual, the defendant’s plan was thwarted thanks to the swift reaction of our law enforcement partners, including the outstanding work of ATF undercover agents.” Mr. Donoghue expressed his grateful appreciation to the Federal Bureau of Prisons and the United States Department of Justice, Office of the Inspector General, New York Field Office, for their assistance in the investigation.
“ATF remains committed to protecting the public from individuals that seek to spread violence in their community. George Gonzalez hatched a dastardly plan that could have resulted in serious harm and or death to his estranged wife and her new partner but for the valiant efforts of law enforcement spearheaded by ATF Agents and NYPD Detectives,” stated ATF Special Agent-in-Charge Benedict. “I would like to thank the Special Agents and Task Force Officers of the NYPD/ ATF Joint Robbery Task Force, the Federal Bureau of Prisons and the Office of the Inspector General for their coordination and diligent efforts on this case. I would also like to extend my gratitude to the United States Attorney’s Office for their work in prosecuting the case.”
According to court filings and facts presented during the plea proceeding, on or about and between December 2016 and January 2017, Gonzalez engaged in multiple recorded meetings and conversations with individuals he believed to be gang members, but who were actually undercover ATF agents. During these meetings, the defendant offered to pay to have his estranged wife and her new domestic partner assaulted and tortured. Specifically, Gonzalez instructed the undercover agents that they should make it “look like a robbery” and that they could keep whatever valuable items were in the home as partial payment. The defendant suggested that the undercover agents “take a hammer to the spine” so that the victims would be paralyzed and “suffer…for the rest of their lives.” The defendant opined that he would “do it himself,” but that he had previously travelled to Florida to confront the intended targets, and the police were called. The investigation revealed that the defendant, who was assigned at the time to the Metropolitan Detention Center in Brooklyn, was subject to an Order of Protection issued in Family Court, prohibiting him from having any contact with his spouse and requiring him to surrender any firearms in his possession.
As part of the scheme, Gonzalez provided the undercover agents with photographs and pedigree information of the intended victims and offered to pay to have the undercover agents procure firearms and travel from New York to Florida. During the execution of a search warrant at the defendant's home in Staten Island, two loaded, unlicensed firearms were recovered.
When sentenced, the defendant faces a statutory maximum sentence of 12 ½ years’ imprisonment.
The government’s case is being prosecuted by Assistant U.S. Attorney Artie McConnell.
The Defendant:
George Gonzalez
Age: 55
Staten Island, New YorkE.D.N.Y. Docket No. 17-CR-51 (RRM)
Former Baltimore City Department of Transportation Supervisor Pleads Guilty to Taking Thousands in BribesRead the Press Release
March 16, 2018
FOR IMMEDIATE RELEASE Contact ELIZABETH MORSE
www.justice.gov/usao/md at (410) 209-4885
Baltimore, Maryland – Daryl Christopher Wade, age 50, of Rosedale, Maryland, pleaded guilty today to Extortion Under Color of Official Right related to an extortion scheme.
The charges were announced by Acting United States Attorney for the District of Maryland Stephen M. Schenning; Special Agent in Charge Gordon B. Johnson of the Federal Bureau of Investigation, Baltimore Field Office; and Inspector General Isabel M. Cumming of the Baltimore City Office of Inspector General.
Wade was a City of Baltimore employee between 1988 through 2017, most recently with the Baltimore City Department of Transportation (“DOT”) as a Construction Project Supervisor II within the DOT’s Street Cut Unit. The DOT Street Cut Unit helps to monitor and administer fines associated with street cuts and street cut permits. According to the criminal information and the plea agreement, Wade used his official position at City of Baltimore’s Department of Transportation to claim that he could void street cut fines in return for payments.
According to the plea agreement, Wade accepted multiple cash payments, in exchange for claiming that he could erase Baltimore DOT street cut fines. Baltimore City street cut permits are required for companies who need to impede into a public street, alley, sidewalk, or other right-of-way for purposes of construction. The street cut permits are valid for 120 days before they expire, and DOT will assess a fine of $50 per day for each street cut not repaired past the expiration date.
Also according to the plea agreement, Wade and co-defendant Jerome Walter Stephens, the owner of a Baltimore construction and utilities company, either attempted to or actually extorted other business owners throughout Baltimore. In one such instance, Person A was the Vice President of a Virginia based company that provided all phases of underground utility construction and sewer rehabilitation throughout the east coast and had approximately $55 million in contracts with the City of Baltimore to restore and/or replace water and sewer lines throughout the City. Person A’s efforts to restore and/or replace water and sewer lines throughout Baltimore was in accordance with the City of Baltimore’s consent decree agreement with the Environmental Protection Agency (Civil Action No. JFM-02-1524). The purpose of the consent decree was to take all measures possible to enable Baltimore to comply with the Clean Water Act including addressing the City’s sewer lines discharging untreated sewage into the Back River, Patapsco River and the Chesapeake Bay. In order to complete those contracts, Person A's company conducted street cuts to reach water and sewer lines to restore and/or replace these water and sewer lines.
In January 2016, Person A met with Stephens at one of Person A’s offices, located in Prince George’s County, Maryland. Stephens told Person A that Person A’s company would be receiving $1.3 million in street cut fines from the street cuts unit in the near future. This was the first that Person A had learned of the $1.3 million in perspective fines. Stephens then said he had a connection in the street cuts unit that could reduce the $1.3 million in fines by 80% to $260,000, if Person A paid 20%, a $52,000 bribe, to Stephens’s connection. Stephens also stated something to the effect of: if you want to play, you got to pay. Person A made clear that he was not interested in paying the $52,000 bribe and would sue the City of Baltimore over the fines if necessary.
Also according to the plea agreement in February 2016, Person B, a local Baltimore business owner, began renovations on a restaurant in Baltimore, Maryland. Person B hired Stephens to overhaul the water lines into Person B’s business. In July 2016, Stephens informed Person B that he (Stephens) would have to cut into the road. Stephens informed Person B that the complete repaving, from curb to curb, had an estimated additional cost to Person B of between approximately $10,000 to approximately $12,000 but said he had a connection "downtown" in the City of Baltimore who could save Person B on the costs associated with completely repaving if Person B was willing to pay a bribe. Due to Person B's limited budget, and the fact that the street had already been cut, Person B agreed to pay Wade a $2,200 to repave the smaller sections of the road. Stephens and Wade next discussed how much Wade would accept and Wade agreed to a $2,200 bribe Person B gave Stephens $2,200 in cash which Stephens then gave Wade.
Finally, according to the plea agreement, Person C, who ran a plumbing and drain construction business in Baltimore, Maryland, was previously fined approximately $17,000 for street cuts in Baltimore City. In March 2016, Person C attended a Baltimore City street cut appeal hearing regarding the fine. Wade stopped the hearing and requested to speak with Person C outside the hearing. Once outside the hearing, Wade explained to Person C that if Person C helped Wade that he would help Person C.
In early September 2016, Wade met in-person with Person C and agreed to accept $5,000 to remove the offer. On September 22, 2016, Person C paid Wade the first $3,000 in cash. Wade arrived at the meeting driving a Baltimore City issued government vehicle. At the direction of Wade, Person C threw the $3,000 into Wade’s Baltimore City government vehicle. After the money was in his Baltimore City government vehicle, Wade stated “you good for life with me. . . .” and later laughed and further stated to Person C, “we in cahoots now. . . .”
Wade faces a maximum sentence of 20 years in prison. U.S. District Judge Catherine C. Blake has scheduled sentencing for August 10, 2018 at 9:30 a.m.
Acting United States Attorney Stephen M. Schenning commended the FBI and Baltimore City Office of Inspector General for their work in the investigation. Mr. Schenning thanked Assistant U.S. Attorneys Phil Selden and Leo Wise, who are prosecuting the case.
Florida Airplane Broker Sentenced to over Seven Years for Tax and Wire FraudRead the Press Release
A Pompano Beach, Florida, resident was sentenced today to 90 months in prison for filing fraudulent tax returns, wire fraud, and filing false monthly reports with the U.S. Probation Office announced U.S. Attorney Benjamin G. Greenberg for the Southern District of Florida and Principal Deputy Assistant Attorney General Richard E. Zuckerman of the Justice Department’s Tax Division.
According to court documents and evidence presented at trial, Timothy J. Beverley, 61, worked as an airplane broker at Majestic Jet Inc., a company in Pompano Beach that provided aircraft charters. From 2010 through 2013, Beverly stole more than $2.2 million from Majestic Jet by directing airplane escrow agents to wire funds from the sale of planes to nominee bank accounts that Beverly controlled. Beverly also stole funds directly from Majestic’s business bank accounts and used the money to pay for personal expenses including his boat and rent. Beverley did not report this income on his 2010 through 2013 personal tax returns.
The trial evidence further revealed that while working at Majestic Jet, Beverley was on supervised release stemming from his federal conviction for money laundering in January 2004. As a condition of his supervised release, Beverley was required to file monthly reports with the U.S. Probation Office that listed his net earnings from employment. Between November 2009 through October 2012, Beverley did not disclose the money he stole from Majestic Jet on his filed reports.
In addition to the term of imprisonment, U.S. District Court Judge Beth Bloom ordered Beverley to serve three years of supervised release and to pay restitution in the amount of $634,906. U.S. Attorney Greenberg and Principal Deputy Assistant Attorney General Zuckerman commended the special agents of Internal Revenue Service Criminal Investigation. This case was prosecuted by Senior Litigation Counsel Neil Karadbil of the U.S. Attorney’s Office and Assistant Chief Greg Tortella of the Tax Division.
Additional information about the Tax Division and its enforcement efforts may be found on the division’s website.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.
Florida Airplane Broker Sentenced to over Seven Years for Tax and Wire FraudRead the Press Release
A Pompano Beach, Florida, resident was sentenced today to 90 months in prison for filing fraudulent tax returns, wire fraud, and filing false monthly reports with the U.S. Probation Office announced Principal Deputy Assistant Attorney General Richard E. Zuckerman of the Justice Department’s Tax Division and U.S. Attorney Benjamin G. Greenberg for the Southern District of Florida.
According to court documents and evidence presented at trial, Timothy J. Beverley, 61, worked as an airplane broker at Majestic Jet Inc., a company in Pompano Beach that provided aircraft charters. From 2010 through 2013, Beverly stole more than $2.2 million from Majestic Jet by directing airplane escrow agents to wire funds from the sale of planes to nominee bank accounts that Beverly controlled. Beverly also stole funds directly from Majestic’s business bank accounts and used the money to pay for personal expenses including his boat and rent. Beverley did not report this income on his 2010 through 2013 personal tax returns.
The trial evidence further revealed that while working at Majestic Jet, Beverley was on supervised release stemming from his federal conviction for money laundering in January 2004. As a condition of his supervised release, Beverley was required to file monthly reports with the U.S. Probation Office that listed his net earnings from employment. Between November 2009 through October 2012, Beverley did not disclose the money he stole from Majestic Jet on his filed reports.
In addition to the term of imprisonment, U.S. District Court Judge Beth Bloom ordered Beverley to serve three years of supervised release and to pay restitution in the amount of $634,906. Principal Deputy Assistant Attorney General Zuckerman and U.S. Attorney Greenberg commended the special agents of Internal Revenue Service Criminal Investigation. This case was prosecuted by Senior Litigation Counsel Neil Karadbil of the U.S. Attorney’s Office and Assistant Chief Greg Tortella of the Tax Division.
Additional information about the Tax Division and its enforcement efforts may be found on the division’s website.
Five Manhattan Doctors Indicted for Accepting Bribes and Kickbacks from A Pharmaceutical Company in Exchange for Prescribing Powerful Fentanyl NarcoticRead the Press Release
Geoffrey S. Berman, the United States Attorney for the Southern District of New York, and William F. Sweeney Jr., the Assistant Director-in-Charge of the New York Field Office of the Federal Bureau of Investigation (“FBI”), announced the unsealing today of an Indictment in Manhattan federal court charging five Manhattan doctors, GORDON FREEDMAN, JEFFREY GOLDSTEIN, TODD SCHLIFSTEIN, DIALECTI VOUDOURIS, and ALEXANDRU BURDUCEA, with participating in a scheme to receive bribes and kickbacks in the form of fees for sham educational programs (“Speaker Programs”) from a pharmaceutical company (“Pharma Company-1”) in exchange for prescribing millions of dollars’ worth of a potent fentanyl-based spray manufactured by Pharma Company-1 (the “Fentanyl Spray”), among other offenses. FREEDMAN, GOLDSTEIN, SCHLIFSTEIN, VOUDOURIS, and BURDUCEA were arrested this morning. All are expected to be presented before U.S. Magistrate Judge Sarah Netburn in Manhattan this afternoon.
Also unsealed today were the guilty pleas of two former Pharma Company-1 employees, Jonathan Roper and Fernando Serrano, in connection with their participation in the bribery and kickback scheme. Both Roper and Serrano are cooperating with the Government.
Manhattan U.S. Attorney Geoffrey S. Berman said: “These prominent doctors swore a solemn oath to place their patients’ care above all else. Instead, they engaged in a malignant scheme to prescribe Fentanyl, a dangerous and potentially fatal narcotic 50 to 100 times more potent than morphine, in exchange for bribes in the form of speaker fees. Payments from pharmaceutical companies should not influence how doctors prescribe --- especially when a potent and dangerous drug like Fentanyl is involved. This scheme to use their patients as an instrument for profit has resulted in the indictment of five physicians.”
FBI Assistant Director-in-Charge William F. Sweeney Jr. said: “A substance as powerful as Fentanyl should be prescribed based only on doctors’ own independent medical judgment. In this case, as alleged, a series of doctors were convinced to push aside their ethical obligations and prescribe a drug for profit to patients who turned to them for help. Doctors and medical professionals everywhere should be reminded of the faith and trust placed upon them, and that the health and safety of their patients is not for sale.”
As alleged in the Indictment[1] unsealed today in Manhattan federal court:
The Fentanyl Spray
The Fentanyl Spray, which is manufactured by Pharma Company-1, is a powerful painkiller that is approximately 50 to 100 times more potent than morphine. The FDA approved the Fentanyl Spray only for the management of breakthrough pain in cancer patients. Prescriptions of the Fentanyl Spray typically cost thousands of dollars each month, and Medicare and Medicaid, as well as commercial insurers, reimbursed prescriptions written by the defendants.
The Speaker Program Bribery and Kickback Scheme
Pharma Company-1 launched a “Speakers Bureau” in or about August 2012. While the Speakers Bureau was purportedly aimed at educating other practitioners about the Fentanyl Spray, in reality Pharma Company-1 used its Speakers Bureau to induce the doctors to prescribe large volumes of the Fentanyl Spray by paying them Speaker Program fees.
Speakers were supposed to conduct a slide presentation for other health care practitioners regarding the Fentanyl Spray at each Speaker Program. In reality, many of the Speaker Programs led by the defendants were predominantly social affairs where no educational presentation about the Fentanyl Spray occurred. Attendance sign-in sheets for the Speaker Programs were frequently forged by adding the names and signatures of health care practitioners who had not actually been present.
Freedman’s Participation in the Scheme
FREEDMAN was a doctor certified in pain management and anesthesiology who owned a private pain management office on Manhattan’s Upper East Side. FREEDMAN, who was also an Associate Clinical Professor at a large hospital in Manhattan (“Hospital-1”), received approximately $308,600 in Speaker Program fees from Pharma Company-1 in exchange for prescribing large volumes of the Fentanyl Spray.
In March 2013, a Regional Sales Manager for Pharma Company-1 sent an email to FREEDMAN informing him that he would receive more Speaker Programs in the coming months because Pharma Company-1 wanted prescriptions of the Fentanyl Spray to increase, and urging FREEDMAN to put more patients on the Fentanyl Spray. FREEDMAN responded, in part, “Got it,” and significantly increased his Fentanyl Spray prescriptions in the following months, during which he received approximately $33,600 in Speaker Program fees.
In 2014, FREEDMAN’s prescriptions of the Fentanyl Spray rose even further, and he was the fourth-highest prescriber of the Fentanyl Spray nationally in the final quarter of 2014, accounting for approximately $1,132,287 in overall net sales of the Fentanyl Spray in that quarter. During 2014, FREEDMAN was the highest-paid Pharma Company-1 Speaker in the nation, receiving approximately $143,000.
GOLDSTEIN’s Participation in the Scheme
GOLDSTEIN was a doctor of osteopathic medicine who owned a private medical office on the Upper East Side. GOLDSTEIN received approximately $196,000 in Speaker Program fees from Pharma Company-1 in exchange for prescribing large volumes of the Fentanyl Spray. After GOLDSTEIN began prescribing a competitor painkiller, Pharma Company-1 pressured him to stop doing so and switch patients to the Fentanyl Spray, which GOLDSTEIN did.
In 2014, GOLDSTEIN was approximately the fifth-highest-paid Pharma Company-1 Speaker nationally. He was the sixth-highest prescriber of the Fentanyl Spray in the last quarter of 2014, accounting for approximately $809,275 in overall net sales of the Fentanyl Spray in that quarter.
SCHLIFSTEIN’s Participation in the Scheme
SCHLIFSTEIN was a doctor certified in physical medicine and rehabilitation who co-owned with GOLDSTEIN a private medical office on the Upper East Side. SCHLIFSTEIN, who also worked as an attending physiatrist and consulting physician at two other Manhattan hospitals, received approximately $127,100 in Speaker Program fees from Pharma Company-1 in exchange for prescribing large volumes of the Fentanyl Spray.
In or about October 2013, SCHLIFSTEIN expressed an interest in becoming a Speaker for Pharma Company-1. So a senior Pharma Company-1 executive traveled to New York, and took SCHLIFSTEIN, GOLDSTEIN, and others, to a Manhattan strip club where Pharma Company-1 spent approximately $4,100 on a private room, alcoholic drinks, and “lap dances” for SCHLIFSTEIN and GOLDSTEIN. In the month following that outing and SCHLIFSTEIN’s nomination as a Speaker, SCHLIFSTEIN’s Fentanyl Spray prescriptions increased substantially.
In late 2014, Pharma Company-1 significantly decreased SCHLIFSTEIN’s Speaker Programs in order to send a message to SCHLIFSTEIN that he would need to prescribe larger volumes of the Fentanyl Spray. In response, SCHLIFSTEIN repeatedly requested more Speaker Programs. Pharma Company-1 told SCHLIFSTEIN it would assign him more Speaker Programs only if he prescribed larger volumes of the Fentanyl Spray. SCHLIFSTEIN’s Fentanyl Spray prescriptions then increased substantially, and Pharma Company-1 rewarded him with more Speaker Programs.
By the end of the second quarter of 2015, SCHLIFSTEIN was approximately the 19th-highest prescriber of the Fentanyl Spray nationally, accounting for approximately $593,373 in net sales in that quarter.
VOUDOURIS’s Participation in the Scheme
VOUDOURIS was a doctor specializing in oncology and hematology who worked at a private medical office on the Upper East Side, and was an Assistant Clinical Professor at Hospital-1. VOUDOURIS received approximately $119,400 in Speaker Program fees from Pharma Company-1 in exchange for prescribing large volumes of the Fentanyl Spray.
In September 2014, VOUDOURIS, who had recently been nominated as a Speaker, had dinner with, among others, several Pharma Company-1 executives, as well as Roper and Serrano. During the dinner, the Pharma Company-1 Vice-President of Sales told VOUDOURIS that he wanted her to prescribe the Fentanyl Spray to one new patient every day, and that VOUDOURIS would be allocated Speaker Programs if she continued prescribing the Fentanyl Spray.
In the week that followed the dinner, VOUDOURIS did not prescribe what Pharma Company-1 viewed as an adequate quantity of the Fentanyl Spray. Roper and Serrano met with VOUDOURIS and told her that Pharma Company-1 expected VOUDOURIS to write more Fentanyl Spray prescriptions. In the months that followed the dinner and this conversation, VOUDOURIS’s Fentanyl Spray prescriptions rose significantly.
By the end of the first quarter of 2015, VOUDOURIS was approximately the 10th-highest prescriber of the Fentanyl Spray nationally, accounting for total net sales of the Fentanyl Spray of approximately $581,500 in that quarter.
BURDUCEA’s Participation in the Scheme
BURDUCEA was a doctor certified in pain management and anesthesiology, was an Assistant Professor of anesthesiology at Hospital-1, and practiced at an anesthesiology and pain management office associated with Hospital-1. BURDUCEA received approximately $68,400 in Speaker Program fees from Pharma Company-1 in exchange for prescribing large volumes of the Fentanyl Spray. In addition, Pharma Company-1 hired BURDUCEA’s then-girlfriend, now wife (“CC-1”), to work as BURDUCEA’s sales representative and paid her in large part based on the volume of Fentanyl Spray prescribed by her assigned doctors, including BURDUCEA.
By the end of the end of the second quarter of 2015, BURDUCEA was approximately the 14th-highest prescriber of the Fentanyl Spray nationally, accounting for total net sales of the Fentanyl Spray of approximately $621,345 in that quarter.
* * *
A chart containing the names, ages, residences, charges, and maximum penalties for the defendants is attached. The maximum potential sentences in this case are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendants will be determined by a judge.
Mr. Berman praised the investigative work of the FBI, and thanked HHS OIG and the New York City Police Department for their participation in the investigation.
The case is being prosecuted by the Office’s Complex Frauds and Cybercrime Unit. Assistant U.S. Attorneys Noah Solowiejczyk and David Abramowicz are in charge of the prosecution; paralegal specialist Jake Sidransky provided additional support.
Defendant
Age
Hometown
Charges (Potential Maximum Term of Imprisonment)
GORDON FREEDMAN
57
Mount Kisco, NY
Anti-Kickback conspiracy (5 years), Violation of the Anti-Kickback Statute (5 years), and Honest services fraud conspiracy (20 years)
JEFFREY GOLDSTEIN
48
New Rochelle, NY
Anti-Kickback conspiracy (5 years), Violation of the Anti-Kickback Statute (5 years), Honest services fraud conspiracy (20 years), Aggravated identity theft (2 years mandatory), Wrongful disclosure of individually identifiable health information (1 year)
TODD SCHLIFSTEIN
49
New York, NY
Anti-Kickback conspiracy (5 years), Violation of the Anti-Kickback Statute (5 years), Honest services fraud conspiracy (20 years), Wrongful disclosure of individually identifiable health information (1 year)
DIALECTI VOUDOURIS
47
Long Island City, NY
Anti-Kickback conspiracy (5 years), Violation of the Anti-Kickback Statute (5 years), Honest services fraud conspiracy (20 years), Aggravated identity theft (2 years mandatory), Wrongful disclosure of individually identifiable health information (1 year)
ALEXANDRU BURDUCEA
41
Little Neck, NY
Anti-Kickback conspiracy (5 years), Violation of the Anti-Kickback Statute (5 years), Honest services fraud conspiracy (20 years), False statements to federal officers (5 years), Wrongful disclosure of individually identifiable health information (1 year)
[1] As the introductory phrase signifies, the entirety of the text of the Indictment and the description of the Indictment set forth herein constitute only allegations, and every fact described should be treated as an allegation.
Felon with Firearm Sentenced to 75 Months in PrisonRead the Press Release
Charles E. Peeler, United States Attorney for the Middle District of Georgia, announces that Senior United States District Court Judge Hugh Lawson sentenced Jahmal Malcom McGee, age 24, of Valdosta, GA, to 75 months of imprisonment for possession of a firearm by a convicted felon. The sentence was handed down on March 14, 2018 in Valdosta, Georgia.
Mr. McGee pled guilty to the charge on October 12, 2017. As part of the plea Mr. McGee admitted that on April 25, 2017, two FBI Task Force Officers (TFOs) encountered him and learned that he had an active warrant outstanding for violating his probation. Mr. McGee was also known to be an active member of the Black Gangster Disciples. Mr. McGee was then arrested and, during a search incident to that arrest, authorities found a small quantity of methamphetamine and a stolen Glock, 9 mm, semi-automatic pistol in Mr. McGee’s right pocket. A thirty round Glock magazine containing thirty 9 mm cartridges was also found in his left side front pocket.
Mr. McGee was prohibited from possessing a firearm as the result of a 2013 conviction of conviction for possession with intent to distribute cocaine and possession of a firearm during the commission of a felony in Lowndes County Superior Court. He was also convicted of attempted armed robbery in Lowndes County 2015.
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.
“Yet another case of guns and drugs being found together on a convicted felon. Hopefully the sentence in this case, along with others prosecuted by my office and our state counterparts, will get the message out that criminals with guns will do more time because of their decision to go armed. That is the goal of the Project Safe Neighborhood Initiative, and it is being achieved,” said United States Attorney Peeler.
The case was investigated by FBI Task Force Officers, the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), and the Valdosta Police Department. Assistant United States Attorney Sonja B. Profit prosecuted the case for the United States.
Questions concerning this case should be directed to Pamela Lightsey, Public Information Officer, United States Attorney’s Office, at (478) 621-2603.
Felon Sentenced to Federal Prison for Possessing Fully Automatic "Uzi" MachinegunRead the Press Release
United States Attorney Brandon Fremin announced that yesterday United States District Judge John W. deGravelles sentenced MARCUS JOSHUA LUTER, age 30, of Gonzales, Louisiana, to 52 months in federal prison and three years of supervised release following his conviction for possession of firearms by a convicted felon, in violation of Title 18, United States Code, Section 922(g)(1).
LUTER’s prosecution arose from an undercover operation conducted by the Denham Springs Police Department. Acting on a tip that the defendant was interested in finding black market buyers for firearms that he intended to burglarize from a residence, on February 5, 2017, an undercover officer with the Denham Springs Police Department met with the defendant at a prearranged location. After wiping down a fully automatic Uzi machinegun and a .308 semi-automatic rifle with a towel, the defendant joked that he did not want his fingerprints on a weapon. The defendant then sold both weapons to the undercover officer for $3,500 in cash and was subsequently arrested. In September of 2013, LUTER had been convicted of simple burglary, a felony, and was therefore prohibited from possessing firearms.
Following a local news report, a victim who recognized the firearms, reported both as stolen from his residence.
U.S. Attorney Brandon Fremin stated, “I commend the excellent work of the agents, prosecutors, and victim in this matter, especially the Denham Springs Police Department whose interception of these firearms before they could circulate on the black market may very well have saved lives.”
The matter is being handled by the United States Attorney’s Office for the Middle District of Louisiana, the Baton Rouge Office of the Bureau of Alcohol, Tobacco, Firearms, and Explosives, and the Denham Springs Police Department. The matter has been prosecuted by Assistant United States Attorneys Elizabeth E. White and J. Brady Casey.
Federal Jury Convicts El Paso Woman in Kidnapping CaseRead the Press Release
In El Paso today, a federal jury convicted 36–year-old Norma Juarez Taha on federal charges in connection with the kidnapping of a 20-year-old female in El Paso in February 2017, announced United States Attorney John F. Bash and Federal Bureau of Investigation Special Agent in Charge Emmerson Buie, Jr.
The jury convicted Taha on one count of kidnapping and one count of possession of a firearm during a crime of violence. Evidence presented during trial revealed that on February 13, 2017, the defendant, known to her victim as Sister Norma, went into the victim’s house at approximately 3:30 A.M. and lured the victim out of the house by telling her that her family was in danger and that immigration authorities were attempting to deport them. The defendant drove the victim to a remote residence on the east side of El Paso that belonged to Taha’s mother. At the residence, the victim saw that Taha was in possession of a firearm. Subsequently, Taha placed the victim in her mother’s truck and injected her with a mixture of drugs. Taha’s mother then drove the victim across the border to a residence in Juarez. Taha and her mother left the victim at that residence and never returned. At approximately 10:30 P.M. on February 13, 2017, two individuals at the residence transported the victim to the Paso Del Norte Port of Entry. The victim was then transported to an El Paso hospital where she received medical attention.
Further investigation by FBI agents revealed that Taha agreed to kidnap the victim on the ground that her lifestyle brought embarrassment to her family. During a search of the defendant’s vehicle and residence, authorities discovered the firearm possessed by Taha, as well as the medication used by Taha to inject the victim during the kidnapping.
Taha faces up to life in federal prison on the kidnapping charge and a minimum of five years in federal prison on the firearms charge. She remains in federal custody pending sentencing scheduled for May 22, 2018, before United States District Judge Frank Montalvo in El Paso.
The FBI investigated this case. Assistant United States Attorneys Patricia Acosta and Shane Wagman are prosecuting this case on behalf of the Government.
Fallbrook Man Charged in Fentanyl Overdose DeathRead the Press Release
Assistant U. S. Attorney Timothy Coughlin (619) 546-6768 and Assistant U.S. Attorney Larry A. Casper (619) 546-6734
NEWS RELEASE SUMMARY – March 16, 2018
SAN DIEGO – On November 2, 2017, a 26-year-old Fallbrook man told his wife he had been sober for 100 days. Two days later, she found him lying face down on their living room floor. She called 911 but it was too late.
Cause of death: Fentanyl toxicity.
What followed was a five-month investigation by the San Diego County Sheriff’s Department resulting in federal charges against 41-year-old Corey Bernard Green of Fallbrook, who, according to a federal complaint, supplied the drug that led to the overdose. Green is charged with Distribution of Fentanyl Resulting in the Death of the Fallbrook man, identified in court documents only as JAS.
“As the opioid epidemic rages across the nation, we will do everything we can to save lives,” said U.S. Attorney Adam Braverman. “That includes investigating overdose deaths as homicides and pursuing charges against dealers of the poison that is killing people every single day in this country.”
“This investigation and criminal filing represents the San Diego Sheriff's Department's commitment to combating the opioid epidemic, utilizing every available resource to identify and apprehend suspects whose narcotic trafficking activities lead to so many needless deaths,” said Sheriff Bill Gore.
The investigation by a San Diego Sheriff’s detective determined that JAS took an Uber taxi to Green’s Fallbrook residence to purchase fentanyl. An examination of JAS’s cell phone confirmed he paid for an Uber taxi on Friday morning, November 3, 2017. The detective obtained Green’s cell phone after he was arrested on unrelated charges of manufacturing a controlled substance. Text messages obtained from Green’s cell revealed he had been in contact with JAS for several days prior to the overdose death.
Their drug-based relationship culminated on Friday November 3, 2017, when Green allegedly sold JAS a fentanyl- laced product. The contents of that text message are included below:
11-1-17 JAS “Hey u up?”
11-2-17 Green “I’m Up”
11-2-17 JAS “And I’m sure you already know but I have no cash just these bottles and batteries of u need”
11-2-17 Green “I only have a little China but it’s even a ton stronger then the last powder”
11-2-17 JAS “Just did half. Feeling good. Thanks again.”
11-2-17 Green “Ok”
11-3-17 JAS “I actually got money today! No chance I could get you to come out if I pay extra?” Or if you’re up I could take an uber real quick”
11-3-17 Green “R u driving?” Will you have that Uber stop at McDonalds for me? I’ll throw you a little extra? It’s China.”
According to the complaint, the slang term “China,” when used in this context, is reference to a strong heroin containing fentanyl.
The last known contact with JAS occurred Friday night, November 3, 2017, when he said good night to his wife and went to play video games in the couple’s living room. She woke up the next morning and found him.
An investigation of Green’s recent criminal activity found that on November 30, 2017, Green was arrested and charged by the San Diego District Attorney’s Office with manufacturing a controlled substance. Green subsequently pleaded guilty to that charge and is currently serving a sentence in state custody. The United States has filed a writ to have Green transferred into federal custody to face the Distribution of Fentanyl Resulting in Death charge. He is expected to appear before a U.S. Magistrate Judge in federal court next week to face the federal charge.
The U.S. Attorney’s Office has recently charged two other individuals with the same crime. Alleged fentanyl distributor Kyle Anthony Shephard was arrested and charged in February with Distribution of Fentanyl Resulting in Death. According to the complaint, Shephard distributed fentanyl to a United States Marine on January 27, 2017, which resulted in the death of the Marine identified in the complaint only as “MC.” For further information, please see Case Number 18-mj-0935-MDD.
While final numbers have not been released, preliminary estimates reflect that deaths caused by fentanyl analogs doubled in San Diego County in 2017 over 2016.
DEFENDANT Case Number 18-mj-1215-BGS
Corey Bernard Green Age: 41
SUMMARY OF CHARGES
Distribution of Fentanyl Resulting in Death – Title 21, U.S.C., Section 841(b)(1)(C)
Maximum penalty: Mandatory minimum 20 years in prison up to life
AGENCY
San Diego Sheriff’s Department
San Diego Sheriff’s Department Regional Crime Lab
San Diego Medical Examiner’s Office
San Diego District Attorney’s Office
United States Attorney’s Office
*The charges and allegations contained in an indictment or complaint are merely accusations, and the defendant is considered innocent unless and until proven guilty.
Facebook posting from prison leads to new charges against federal inmateRead the Press Release
ATLANTA – Joe L. Fletcher, a current inmate at the U.S. Penitentiary in Atlanta (USP Atlanta), has been indicted by a federal grand jury following a Facebook video posting that showed Fletcher in his prison cell talking on a contraband phone with family members and friends. During the conversations, Fletcher bragged about his ability to possess a phone in prison, called himself “a motivational speaker for gangsters,” and also claimed responsibility for a 2010 murder in Ohio.
“This inmate was particularly proud of himself when he posted a lengthy interactive video on his Facebook page that showed him talking on a contraband phone from inside his prison cell,” said U.S. Attorney Byung J. “BJay” Pak. “He made a further claim that he committed a murder in another state. Prisoners with illegal phones and similar devices inside our prisons pose a serious problem that threatens the safety and security of employees and the public. We are committed to helping the Bureau of Prisons eradicate dangerous contraband inside federal prisons in our district.”
“This defendant’s alleged braggadocio potentially will earn him more time in USP Atlanta, which he claims to enjoy,” said David J. LeValley, Special Agent in Charge of FBI Atlanta. “The FBI will continue to seek out those inmates and others who smuggle cell phones into a prison environment, because of the harm they cause and the continued criminal activity they afford inmates.”
According to U.S. Attorney Pak, the indictment, and other public information: Joe L. Fletcher, who has convictions for drug trafficking and illegal possession of a firearm, arrived at USP Atlanta on January 5, 2018. On January 27, 2018, he posted to his public Facebook page a 49-minute video recording of a phone conversation with family members and friends. During the conversation, Fletcher bragged that he could possess a phone in any prison and that he was enjoying his time inside USP Atlanta.
After calling himself “a motivational speaker for gangsters,” Fletcher then claimed credit for committing a murder in 2010 in Akron, Ohio. The day after the Facebook posting, corrections officers searched Fletcher’s cell and found two concealed cell phones plugged into the ceiling light fixtures.
Joe L. Fletcher, 30, of Akron, Ohio, is charged with illegally possessing a communication device inside a federal prison. He was arraigned before U.S. Magistrate Judge Linda T. Walker. Members of the public are reminded that the indictment only contains charges. The defendant is presumed innocent of the charges and it will be the government’s burden to prove the defendant’s guilt beyond a reasonable doubt at trial.
This case is being investigated by the FBI.
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 home page for the U.S. Attorney’s Office for the Northern District of Georgia Atlanta Division is http://www.justice.gov/usao-ndga.
FBI Impersonator Pleads GuiltyRead the Press Release
Gulfport, Miss – Troy Graham entered guilty pleas today to 3 counts of extortion, brandishing a firearm during a robbery and possession of a firearm by a convicted felon, U. S. Attorney D. Michael Hurst, Jr., announced today.
Graham, 34, of New Orleans, admitted he impersonated a federal agent and demanded drugs and money from a Kiln, Mississippi marijuana dealer by threatening the dealer with false arrest warrants and imprisonment. Agents of the Bureau of Alcohol, Tobacco, Firearms and Explosives learned of the impersonation and posed as a marijuana source of supply from Colorado. ATF arrested Graham in a D’Iberville parking lot when he showed up with a loaded gun to rob the Colorado dealer.
Graham faces a potential sentence of 37 years to life on the three charges. U.S. District Judge Sul Ozerden has set sentencing for Thursday, June 28, 2018, at 9:30 a.m.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives. The case is prosecuted by Assistant United States Attorney Annette Williams.
Defendant Sentenced in Card Cracking SchemeRead the Press Release
GREENSBORO, N.C. - United States Attorney Matthew G.T. Martin of the Middle District of North Carolina announced that Craig McINNIS, II, was sentenced March 13, 2018, by the Honorable Judge Thomas D. Schroeder in Federal Court in Winston-Salem, North Carolina, to 45 months confinement.
McINNIS, 28, of Durham, North Carolina, pleaded guilty on December 7, 2017, to false statements to a bank and aggravated identity theft. McINNIS was involved in a "card cracking scheme" in which he identified victims through social media sites, including dating websites such as "Plenty O' Fish" and "Tinder." He falsely represented to the women he met online that he could help them make easy money through an investment, convincing them to provide their debit cards, PINs, and other account information. McINNIS used the bank and debit card information obtained from victims to order checks from the victims' banks, which he then altered and counterfeited by replacing the victim’s name with the name of a corporation. He would then make the counterfeit checks payable to another of the victims whose information he had also obtained by false pretenses. After depositing the counterfeit checks, McINNIS would immediately withdraw the fraudulently deposited funds, often using the fraudulently obtained debit card of one of his victims.
In addition to 45 months imprisonment, McINNIS was ordered to serve five years of supervised release after completing his sentence and to pay restitution to State Employees' Credit Union and the victims of the offenses.
The United States Treasury Office of Inspector General Task Force and the City of Durham Police Department investigated this case. The case was prosecuted by Special Assistant United States Attorney Kennedy Gates and Assistant United States Attorney Frank J. Chut, Jr.
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Dallas Man Convicted of Mortgage Fraud OffensesRead the Press Release
DALLAS — Yesterday, a federal jury convicted Chukwuma Jonas Osuagwu, 45, of Dallas, following a seven-day jury trial before U.S. District Judge Ed Kinkeade, of several counts related to a mortgage fraud scheme, announced U.S. Attorney Erin Nealy Cox of the Northern District of Texas.
Specifically, Osuagwu was convicted of five counts of bank fraud and one count of conspiracy to commit bank fraud. He faces a maximum statutory penalty of 30 years in federal prison and a $1 million fine for each count of bank fraud and conspiracy to commit bank fraud. Osuagwu will remain in custody pending sentencing.
Osuagwu was charged along with codefendant, James W. Mitchell, 36, of Boston, in a 12-count indictment in August 2016 with tax and mortgage fraud offenses. Mitchell pleaded guilty in November 2016 to one count of conspiracy to commit bank fraud. Mitchell faces a maximum penalty of not more than five years and a $250,000 fine. He is scheduled to be sentenced on April 11, 2018.
The five counts of tax fraud and one count of tax obstruction Osuagwu was charged with in the August 2016 indictment are still pending.
According to evidence presented at trial, starting in September 2006 and continuing for more than a year, Osuagwu engaged in a series of fraudulent real estate transactions in which he either personally purchased or sold to one or more straw purchasers or co-conspirators three residential condominium units on Hood Street in Dallas. Osuagwu was able to personally purchase, or assist others in purchasing multiple residential condominium units only by submitting, or causing to be submitted on behalf of others, false, fraudulent and fictitious statements, documents and representations. Fraudulent documents submitted included, false bank statements, employment letters, false IRS W-2 statements or false paystubs indicating the purchaser worked for Osuagwu’s company, Inforation, Inc. These documents caused one or more financial institutions, including Bank of America, J.P. Morgan Chase Bank and Wells Fargo Bank, to issue a mortgage loan they otherwise would not have issued.
IRS Criminal Investigation and the Federal Housing Finance Agency Office of Inspector General led the investigation; Immigration and Customs Enforcement (ICE) Homeland Security Investigations (HSI) assisted.
Assistant U.S. Attorneys Adrienne Frazior and J. Nicholas Bunch are in charge of the prosecution.
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