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Wednesday 31 January 2018
National Retailer Sentenced for Shipping Hazardous Materials Without Required LabelingRead the Press Release
LOS ANGELES – Glow Industries, Inc., a tobacco related product distributor headquartered in Perrysburg, Ohio, was sentenced on Monday in United States District Court after pleading guilty to a felony violation for shipping hazardous materials in packaging that did not display a required hazardous material label or marking on the package. United States District Judge Stephen V. Wilson sentenced Glow to a five-year term of probation and a fine of $250,000.
On July 18, 2012, Glow shipped a package containing 72 butane cartridges from its Riverside, California facility to a smoke shop in Anchorage, Alaska. Butane is a highly flammable liquid used in lighters. The package containing the cartridges did not display any hazardous material warning. After being transported by air to Anchorage, the package was damaged; consequently, the butane cartridges were found inside. Investigation later revealed that a Glow employee had inverted the package so that the hazardous material marking originally placed on the package would not be visible.
According to the plea agreement, Glow admitted that it had directed and instructed various managers and employees, who were responsible for packaging and/or shipping products, to conceal the hazardous nature of Glow’s hazardous material products from its shippers. Pursuant to that policy, butane cartridges, which were originally shipped by suppliers to Glow in boxes containing a hazardous material warning, were intentionally removed from the marked boxes and inserted into boxes that had no hazardous material marking or labeling. Glow further admitted that ozium, another hazardous material product sold by Glow, would be delivered to Glow in a box that displayed a hazardous material warning. However, prior to shipping the ozium to its customers, Glow employees would razor out the hazardous material warning and then provide the box to its shipper without the box displaying any hazardous material warning.
Shipping companies rely upon hazardous material products bearing required labeling in order to properly handle and transport such items. Among the conditions of probation ordered by the Court, Glow is required to maintain an extensive compliance program which includes in person training for its employees or contractors and periodic audits to assure that Glow complies with any federal or local requirements for the labeling and shipping of hazardous materials.
The matter was investigated by the U.S. Department of Transportation, Office of the Inspector General. The case was prosecuted by Assistant United States Attorney Dennis Mitchell and Assistant United States Attorney Amanda Bettinelli of the Environmental and Community Safety Crimes Section.
Monongalia County woman sentenced for drug distribution chargeRead the Press Release
CLARKSBURG, WEST VIRGINIA – Hollie Jo Exline, of Dellslow, West Virginia, was sentenced today to time served and six months home detention, to be followed by six months of supervised release, for a drug distribution charge, United States Attorney Bill Powell announced.
Exline, age 23, pled guilty to one count of “Unlawful Use of Communication Facility” in September 2017. Exline admitted to using a phone to distribute and assist in a conspiracy to distribute oxycodone. The crime occurred in Monongalia County in February 2017.
Assistant U.S. Attorney Zelda E. Wesley prosecuted the case on behalf of the government. The Mon Metro Drug and Violent Crimes Task Force, a HIDTA-funded initiative, investigated.
The investigation was funded by the federal Organized Crime Drug Enforcement Task Force Program (OCDETF). The OCDETF program supplies critical federal funding and coordination that allows federal and state agencies to work together to successfully identify, investigate, and prosecute major interstate and international drug trafficking organizations and other criminal enterprises.
Senior U.S. District Judge Irene M. Keeley presided.
Mobile County Woman Receives 5 Years Probation and Ordered to Pay $45,120.07 Restitution to Social Security Administration and Alabama Medicaid AgencyRead the Press Release
The United States Attorney, Richard W. Moore, announces that Tamara Wallace, a 43 year old, resident of Mobile, Alabama was sentenced today to five (5) years of probation and ordered to pay restitution in the amount of $31,308.00 to the Social Security Administration and $13,812.07 the State of Alabama Medicaid Agency.
From January 2012 through September 2016, Wallace received Title XVI Supplemental Disability Income and Title XIX Medicaid Insurance Benefits that she was no longer entitled to due to her marriage and work activity. Wallace was required to report her marriage and work income to the Social Security Administration so her benefits could be reevaluated and she failed to do so as required by law. Wallace pled guilty to theft of public money on October 25, 2017.
Special Agents of the Social Security Administration’s Office of Inspector General along with special agents of the Department of Health and Human Services’ Office of Inspector General investigated the case and presented it to the United States Attorney’s Office for prosecution. The prosecutor assigned to the case was Assistant United States Attorney, Gina S. Vann.
Mexican National Sentenced for Illegally ReentryRead the Press Release
U.S. Attorney Duane A. Evans announced that SALVADOR TENOCO-RODRIGUEZ age 40, a citizen of Mexico, was sentenced after previously pleading guilty to a one-count Bill of Information for illegal reentry of a removed alien after deportation.
U.S. District Judge Kurt D. Engelhardt sentenced SALVADOR TENOCO-RODRIGUEZ to 30 months imprisonment followed by 1 year of supervised release, $5,000.00 fine and a $100.00 special assessment.
According to the Bill of Information, on or about August 29, 2017, SALVADOR TENOCO-RODRIGUEZ was found in the United States after having been officially deported. He was ordered removed and deported on or about October 27, 2006.
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.
Massachusetts Man Convicted of Receiving Firearms with Intent to Commit MurderRead the Press Release
CONCORD, N.H. – Acting United States Attorney John J. Farley announced that late Tuesday afternoon, a federal jury found Edward McLarnon, 69, of Malden, Massachusetts, guilty of receiving firearms with intent to commit murder, as well as three related weapons and explosive charges, after a six-day trial.
Evidence presented at trial showed that in October of 2015, McLarnon made contact with a person he believed to be an arms dealer (who was actually an undercover FBI agent) for the purpose of buying illegal weapons. McLarnon negotiated with the undercover agent at a store in Chichester, New Hampshire and paid a total of $700 in cash to obtain the weapons. On November 6, 2015, the defendant took possession of a .22 caliber pistol with a silencer, an AK-47-style semi-automatic rifle, ammunition, and two hand grenades containing high explosives at a rest stop in Seabrook. He was taken into custody shortly after taking possession of these items. The evidence further showed that McLarnon intended to use the weapons to kill his ex-wife's husband, as well as a Boston federal judge, and a former Massachusetts Attorney General.
The jury found the defendant guilty of: (1) receiving an unregistered silencer; (2) receiving firearms with the intent to commit murder; (3) receiving explosive materials; and (4) receiving an explosive with the intent to harm persons or property. He faces a maximum penalty of ten years in prison for each count of conviction. He will be sentenced on May 10, 2018.
“I am grateful to the jury for rendering this swift and just verdict,” said Acting U.S. Attorney Farley. “The evidence at trial demonstrated that the defendant devised a frightening plan to use weapons to kill several individuals to express his frustration with the legal system. Thanks to the hard work of the brave law enforcement officers who participated in this investigation, the defendant’s violent plan was stopped before anyone was hurt.”
“Edward McLarnon purchased an AK-47, grenades, a silencer, and ammunition with the sole intent of killing the former Massachusetts Attorney General, a sitting federal judge, and other government officials. Today’s conviction ensures that Mr. McLarnon will not be able to further endanger innocent lives,” said Harold H. Shaw, Special Agent in Charge, Federal Bureau of Investigation’s (FBI) Boston Division. “This case is a testament to the tireless efforts of the FBI’s Joint Terrorism Task Forces in Massachusetts and New Hampshire, where the close coordination between federal, state, and local law enforcement led to the successful disruption of McLarnon’s plot. Each and every day, the Joint Terrorism Task Force strives for a perfect record, and we’d like to thank all of our partners for their dedication and hard work in bringing this case to a safe and successful conclusion.”
This matter was investigated by the FBI, U.S. Secret Service, the Bureau of Alcohol, Tobacco, Firearms and Explosives. The case is being prosecuted by Assistant U.S. Attorney John S. Davis and Special Assistant U.S. Attorney Matthew T. Hunter.
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Maryland Man Found Guilty by Jury of Sexually Abusing 13-Year-Old GirlRead the Press Release
WASHINGTON – Mark Chuvala, 41, of Berlin, Md., has been found guilty by a jury of sexually abusing a former teenage piano student, U.S. Attorney Jessie K. Liu and Peter Newsham, Chief of the Metropolitan Police Department (MPD), announced today.
Chuvala was found guilty on Jan. 30, 2018 of four counts of first-degree child sexual abuse, three counts of second-degree child sexual abuse, one count of indecent sexual proposal to a minor, one count of misdemeanor sexual abuse of a child, and one count of use of a minor in a sexual performance. The verdict followed a trial in the Superior Court of the District of Columbia. The Honorable Ronna L. Beck scheduled sentencing for April 6, 2018. In addition to any sentence of imprisonment, Chuvala will be required to register as a sex offender for 10 years.
According to the government’s evidence, Chuvala was the victim’s piano teacher in 2011 at Middle C Music in the Tenleytown neighborhood of Northwest Washington. At the time of the lessons, Chuvala was 34, and the student was 13 years old. When the lessons had concluded, Chuvala asked the girl to stay in touch, and they began a relationship over text communications.
The two got together a few days later and walked to a park in Montgomery County, Maryland, where Chuvala kissed the girl and engaged in the first sexual contact with her. Chuvala has pled guilty in Montgomery County to three counts of third-degree sex offense for this conduct, and is pending sentencing there on Feb. 15, 2018.
Shortly after that, Chuvala and the girl met on at least two occasions in the middle of the night in Washington, D.C. During those two incidents, Chuvala performed oral sex on the victim and had her perform oral sex on him, among other sexual conduct. After these sexual encounters, Chuvala and the victim continued to exchange numerous texts with each other at all hours of the day and night. When Chuvala moved from the Washington, D.C. area, he engaged in conversations with the girl over video Skype, in which he would ask her to undress, masturbating as he watched her, and would ask her to masturbate.
In the spring of 2012, the victim first disclosed the abuse to a friend, and her friend told a school counselor. The counselor notified law enforcement, and the Metropolitan Police Department (MPD) opened an investigation. However, the victim was not ready to go forward with a police investigation at the time, and persuaded her parents not to provide the abuser’s name to police. Ultimately, in the fall of 2014, the victim decided that she was prepared to go forward with a police investigation. The investigation led to Chuvala’s arrest on June 24, 2015. Following the verdict, the judge ordered that he be placed in custody pending sentencing.
In announcing the verdict, U.S. Attorney Liu and Chief Newsham praised the work of detectives from the Metropolitan Police Department’s Youth and Family Services Division. They acknowledged the efforts of those who worked on the case from the U.S. Attorney’s Office, including Paralegal Specialists D’Yvonne Key and Brenda Williams, Victim/Witness Advocate Veronica Vaughan, Investigative Analyst William Hamann, and Litigation Technology Specialist Anisha Bhatia. Finally, they commended the work of Assistant U.S. Attorneys Elana Suttenberg and Nicholas Miranda, who investigated and prosecuted this case.
Mansfield woman charged with claiming nearly $800,000 in false tax returnsRead the Press Release
A Mansfield woman was indicted for falsely claiming that she was owed nearly $800,000 in tax refunds, said U.S. Attorney Justin E. Herdman and IRS Special Agent in Charge Ryan L. Korner.
Teresa Flohr, 56, was indicted on two counts of making false claims.
Flohr falsely claimed a refund of $389,966 for tax year 2012 and for $407,649 for tax year 2013, according to the indictment.
If convicted, the defendant’s sentence will be determined by the Court after reviewing factors unique to this case, including the defendant’s prior criminal record, if any, the defendant’s role in the offense and the characteristics of the violation. In all cases the sentence will not exceed the statutory maximum and in most cases it will be less than the maximum.
This case is being prosecuted by Assistant U.S. Attorney Robert J. Patton following an investigation by the Internal Revenue Service – Criminal Investigations.
An indictment is only a charge and is not evidence of guilt. The burden of proof is always on the government to prove a defendant guilty beyond a reasonable doubt.
Man Charged with Tax Evasion and Other Tax CrimesRead the Press Release
HOUSTON – A local man has been taken into custody following the return of an indictment alleging a total of eight tax crimes, announced U.S. Attorney Ryan K. Patrick.
Edward J. Crouse turned himself in to federal authorities today. He is expected to make his initial appearance before U.S. Magistrate Judge Frances Stacy as early as 10:00 a.m.
A federal grand jury returned the eight-count indictment Jan. 25, 2018. Crouse is charged with two counts of tax evasion for his 2011 and 2012 U.S. Individual Income Tax returns, five counts of willfully failing to truthfully account for and to pay over employment tax withholdings and one count of obstructing and impeding the due administration of the Internal Revenue Code.
If convicted, he faces up to five years for each of the tax evasion charges and for willfully failing to truthfully account for and to pay over employment tax withholdings, while the obstruction charge carries a three-year-maximum term. He also faces a possible $250,000 fine on each of the counts.
IRS-Criminal Investigation conducted the investigation. Assistant U.S. Attorney Charles J. Escher is prosecuting the case.
An indictment is a formal accusation of criminal conduct, not evidence.
A defendant is presumed innocent unless convicted through due process of law.###
Man Admits Role in Identity Theft and Wire Fraud ConspiracyRead the Press Release
NEWARK N.J. – A Georgia man today admitted using fake driver’s licenses in order to obtain checks issued in response to false statements and representations, U.S. Attorney Craig Carpenito announced.
Abdulrasheed Yusuf, 29, of Lilburn, Georgia, pleaded guilty before U.S. District Judge Katharine S. Hayden in Newark federal court to an information charging him with one count of aggravated identity theft and one count of conspiracy to commit wire fraud.
According to documents filed in this case and statements made in court:
Yusuf was a member of a conspiracy to fraudulently obtain money, including by committing identity theft, impersonating account holders and obtaining money from their accounts. On Aug. 8, 2017, a member of the conspiracy contacted an entity where an individual (Victim 1) had an account. The caller impersonated Victim 1 and stated that he/she wanted to withdraw $34,636 from his/her account. The entity sent a check through a mail carrier to the account holder at his/her address.
A member of the conspiracy caused the mail carrier to hold the packages containing the check for Victim 1 at one of its branch locations. On Aug. 14, 2017, Yusuf entered the branch and, using a driver’s license with Yusuf’s picture and Victim 1’s name and address, obtained a package he believed contained the check to Victim 1. Yusuf used a separate fake driver’s license in connection with obtaining a different check similarly issued in response to fraudulent statements.
The conspiracy to commit wire fraud charge carries a maximum penalty of 20 years in prison, and a fine of $250,000, or twice the gross gain to the defendant or twice the gross loss to others, whichever is greater. The aggravated identity theft charge carries a sentence of two years in prison, which must be consecutive to any imprisonment ordered concerning the conspiracy to commit wire fraud charge, and a fine of $250,000, or twice the gross gain to the defendant or twice the gross loss to others, whichever is greater. Sentencing is scheduled for May 10, 2018.U.S. Attorney Carpenito credited special agents of the FBI, under the direction of Special Agent in Charge Timothy Gallagher in Newark, and the U.S. Department of Labor, Office of Inspector General, under the direction of Special Agent in Charge Michael C. Mikulka in New York, with the investigation leading to today’s guilty pleas. He also thanked the Salt Lake City, Utah, Police Department for its role in the investigation.
The government is represented by Assistant U.S. Attorney Andrew Kogan of the U.S. Attorney’s Office Economic Crimes Unit in Newark.
Defense counsel: David B. Glazer Esq., Livingston New Jersey
Leominster Woman Indicted for Stealing Social Security and Veterans BenefitsRead the Press Release
BOSTON – A Leominster woman was arrested today and charged in federal court in Boston for theft of Social Security and Veterans Affairs benefits.
Joyce Progin, 70, was indicted on two counts of theft of public funds. Progin was released after appearing before U.S. District Court Chief Magistrate Judge David H. Hennessy today at 3:00 p.m.
According to the indictment unsealed today, from November 2009 through March 2017, Progin stole approximately $55,267 in Social Security benefits, and from November 2009 through November 2017, she stole approximately $269,978 in benefits from the Department of Veterans Affairs.
The charge of theft of public funds provides for a sentence of no greater than 10 years in prison, three years of supervised release, and a fine of $250,000 or twice the gross gain or loss, whichever is greater. 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; Scott Antolik, Special Agent in Charge of the Social Security Administration, Office of Inspector General, Office of Investigations, Boston Field Division; and Sean Smith, Special Agent in Charge of the Department of Veterans Affairs, Office of Inspector General, Northeast Field Office, made the announcement today. Special Assistant U.S. Attorney Karen Burzycki of Lelling’s Major Crimes Unit is prosecuting the case.
The details contained in the indictment are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Latham Man Pleads Guilty to Possessing a Short-Barreled RifleRead the Press Release
ALBANY, NEW YORK – Joseph T. Clemente, Jr., age 34, of Latham, New York, pled guilty today to illegally possessing a short-barreled rifle.
The announcement was made by United States Attorney Grant C. Jaquith and Ashan M. Benedict, Special Agent in Charge of the New York Field Office of the Bureau of Alcohol, Tobacco, Firearms & Explosives (ATF).
As part of his plea, Clemente admitted that he intentionally removed the upper receiver of a rifle that he had purchased at a gun store, and replaced it with an upper receiver he purchased on the Internet, which he knew included a 9-inch barrel. The resulting firearm he possessed was a rifle with a barrel of less than 16 inches, also known as a “short-barreled rifle,” which is illegal to possess.
Clemente faces up to 10 years in prison and a term of post-imprisonment supervised release of up to 3 years when he is sentenced on May 31, 2018 by Senior United States District Judge Gary L. Sharpe. A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines, and other factors
This case was investigated by ATF and is being prosecuted by Assistant U.S. Attorney Emmet O’Hanlon.
Lake City Men Sentenced to More Than Five Years for Distributing MethamphetamineRead the Press Release
Jacksonville, Florida– U.S. District Judge Timothy J. Corrigan today sentenced Jeremy Roldan (45, Lake City) and Gene Wakeley (43, Lake City) to five years and five months in federal prison for distributing methamphetamine. Roldan was also sentenced for possessing a firearm as a convicted felon.
Roldan pleaded guilty on June 19, 2017, and Wakeley pleaded guilty on October 20, 2017.
According to court documents, on December 13, 2016, Roldan and Wakeley sold approximately seven grams of methamphetamine to an individual in Lake City for $400. On February 1, 2017, Roldan also sold a .38 caliber revolver to an individual for $200. Roldan was previously convicted of carrying a concealed weapon, selling/distributing methamphetamine, possessing methamphetamine, and cheating. As a previously convicted felon, he is prohibited from possessing firearms or ammunition under federal law.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives. It was prosecuted by Assistant United States Attorney Ashley Washington.
This case was brought as part of Project Safe Neighborhoods (PSN), a historical program involving the successful collaboration of law enforcement, at all levels, to reduce violent crime and making neighborhoods safer for everyone. In October 2017, Attorney General Jeff Sessions announced the reinvigoration of PSN and directed all U.S. Attorneys’ Offices to develop districtwide crime reduction strategies, incorporating the lessons learned since the program’s inception (2001). In the Middle District of Florida, U.S. Attorney Maria Chapa Lopez coordinates PSN efforts in cooperation with various federal, state, and local law enforcement officials.
Justice Department Announces Religious Liberty Update to U.S. Attorneys’ Manual and Directs the Designation of Religious Liberty Point of Contact for All U.S. Attorney's OfficesRead the Press Release
The Department of Justice today announced the update of the United States Attorneys’ Manual (USAM) with a new section titled, “Associate Attorney General’s Approval and Notice Requirements for Issues Implicating Religious Liberty.”
On Oct. 6, 2017, the Attorney General issued a Memorandum for All Executive Departments and Agencies entitled Federal Law Protections for Religious Liberty. The memo directed components and United States Attorney’s Offices to use the guidance in litigation, advice to the Executive Branch, operations, grants, and all other aspects of the Department’s work.
In order to ensure compliance with the Attorney General’s memo, the USAM will be updated with language that directs relevant Department of Justice components to:
- Immediately inform the Office of the Associate Attorney General upon receiving service of a suit filed against the United States raising any significant question concerning religious liberty;
- Coordinate decisions about merits arguments and significant litigation strategy questions in religious liberty cases with the Office of the Associate Attorney General; and
- Obtain the approval of the Office of the Associate Attorney General with respect to any affirmative civil suit that impinges on rights under the Free Exercise Clause, Establishment Clause, or Religious Freedom Restoration Act.
The updated USAM will also instruct relevant Justice Department components to consult the 20 religious liberty principles laid out in the Attorney General’s October 6 memo when considering whether the notice or approval requirements are initiated.
In order to fully effectuate the approval and notice requirements in the updated USAM, the Department will instruct all U.S. Attorneys to designate a point of contact to lead these efforts for their office.
“Religious liberty is an inalienable right protected by the Constitution, and defending it is one of the most important things we do at the Department of Justice,” said Associate Attorney General Rachel Brand.
At President Trump's direction, Attorney General Sessions issued a robust and clear guidance document in October that clearly explains how the federal government is to apply the religious liberty protections currently on the books. The requirement that each of the U.S. Attorney offices designate a religious liberty point of contact will ensure that the Attorney General’s Memorandum is effectively implemented. The designees will be responsible for working directly with the leadership offices on civil cases related to religious liberty, ensuring that these cases receive the rigorous attention they deserve.
Illegal Alien Sentenced for Illegally Re-entering United States After Rape ConvictionRead the Press Release
Gulfport, Miss. – Cosme Pimental-Armenta, age 39, a citizen of Mexico, was sentenced yesterday by U.S. District Judge Sul Ozerden to 21 months in prison, the highest guideline sentence available to the judge, for the crime of illegal re-entry by deported alien after a conviction for an aggravated felony, announced U.S. Attorney Mike Hurst and Joseph Banco, Chief Patrol Agent of the U.S. Border Patrol’s New Orleans Sector.
Pimental-Armenta pled guilty on October 24, 2017. Upon release from prison, he was ordered to be placed on supervised release for three years. He was also ordered to pay a special assessment of $100. Any return to the United States during the period of his supervised release period will constitute a violation of the defendant’s supervised release.
On August 30, 2017, a Border Patrol agent assigned to the South Mississippi Metro Enforcement Team conducted a traffic stop for careless driving on a 2008 Toyota Tundra with a Texas license plate in Ocean Springs, Mississippi. During the stop, Pimental-Armenta handed the agent a Florida driver’s license that identified himself as Danthony Martinez-Rivas. The agent asked Pimental-Armenta if he had ever been arrested and Pimental-Armenta stated that he had not.
The agent questioned Pimental-Armenta as to his citizenship and he told the agent that he was a United States citizen from Puerto Rico. The agent finger-printed him and discovered that he was an illegal alien from Mexico. Records further revealed that Pimental-Armenta had earlier been removed from the United States on July 26, 2004, and had been previously convicted in Orange County, California, of forcible rape on April 5, 2002.
"The President and Attorney General Sessions have made border security and immigration enforcement a priority for our country. We will continue to do our part in making sure Americans are safe by vigorously prosecuting violent criminals like this who blatantly violate our laws," said U.S. Attorney Hurst.
"As this conviction illustrates, the U.S. Border Patrol New Orleans Sector and the South Mississippi Metro Enforcement Team, through its ongoing integrated enforcement efforts serves as a prime example of our joint commitment to prevent potentially dangerous people from reaching our communities," said Chief Banco.
U.S. Attorney Hurst praised the diligent work and cooperation exhibited by U.S. Border Patrol agents and the South Mississippi Metro Enforcement Team. Assistant U.S. Attorney Jay Golden prosecuted the case.
Honduran Man Sentenced to 2 Years for Immigration OffenseRead the Press Release
United States Attorney Duane A. Evans announced that YONI LAGOS, age 25, a native of Honduras, was sentenced today after pleading guilty to a one-count indictment for illegal reentry of a removed alien.
United States District Court Judge Kurt D. Engelhardt sentenced LAGOS to the maximum sentence, 2 years, followed by one year of supervised release, a $100 special assessment fee, and a $5,000 fine. The defendant will be surrendered to the custody of the U.S. Immigration and Customs Enforcement for removal proceedings after he completes his sentence.
According to court documents, on March 21, 2017, LAGOS was found in the United States after having been previously deported from the United States on January 13, 2016.
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.
Holyoke Man Pleads Guilty to Receiving Child PornographyRead the Press Release
BOSTON – A Holyoke man pleaded guilty yesterday in federal court in Springfield to receiving child pornography.
Edward F. Dupont, 75, pleaded guilty to one count of receipt of child pornography and is scheduled for sentencing on April 26, 2018. Dupont was arrested in August 2015 and has been detained since.
On June 23, 2015, federal law enforcement agents executed a search warrant at Dupont’s residence where they seized a computer containing over 16,000 images and 35 videos of child pornography. Four of the videos depicted the rapes of girls as young as five-years-old.
Dupont also possessed a 170-page manual entitled, “How to Practice Child Love.” The manual is a professionally designed document that presents itself as “an education and a step-by-step guide for adults to engage and practice sexual relationships with children.” The manual states: “You do not even need to leave your own house or lot to meet new children and child love candidates. If you are bound to stay at your house, and preferably living alone, you can actually get the kids all the way to your front door – and even inside. This might even be a very safe option too – since as soon as you get the kids inside, no one can watch your activities from outside.”
During the search, Dupont waived his Miranda rights and stated that he has a sexual interest in young children; he has used his computer to access child pornography sites and to download child pornography images and videos; and he possessed child pornography on his home computer.
Though Dupont denied ever having sexual contact with children, he admitted that neighborhood children came over to play in his backyard and in his basement. He had also given copies of his house keys to the neighbors so that their children could come over any time they wanted, and he maintained a cupboard with games for the children to play.
If the Court accepts the terms of the binding plea agreement, Dupont faces a sentence of at least seven years and up to 15 years in prison, seven years of supervised release, and a fine of up to $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Andrew E. Lelling and Harold H. Shaw, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division, made the announcement. Assistant U.S. Attorney Alex J. Grant of Lelling’s Springfield Branch Office is prosecuting the case.
The case was brought as part of Project Safe Childhood. In 2006, the Department of Justice created Project Safe Childhood, a nationwide initiative designed to protect children from exploitation and abuse. Led by the U.S. Attorneys’ Offices and the DOJ’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who exploit children, as well as identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov/.
Hartford Man Sentenced to 46 Months in Federal Prison for Distributing HeroinRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, today announced that LUIS ORTIZ, also known as “Cuko,” 30, of Hartford, was sentenced yesterday by Senior U.S. District Judge Alfred V. Covello in Hartford to 46 months of imprisonment, followed by three years of supervised release, for distributing heroin.
According to court documents and statements made in court, in September and October 2014, the FBI’s Northern Connecticut Violent Crime Gang Task Force and Hartford Police made 10 controlled purchases of heroin from ORTIZ.
ORTIZ was arrested on October 30, 2014. On that date, a search of ORTIZ’s apartment revealed quantities of fentanyl and heroin, a digital scale, a grinder used to process heroin and heroin packaging stamps.
After his arrest, and while he was released on bond to participate in a drug rehabilitation program, ORTIZ absconded. He was arrested in Puerto Rico on June 23, 2016.
ORTIZ has been detained since his arrest. On May 18, 2017, he pleaded guilty to one count of maintaining a drug involved premises, and one count of escape.
The FBI Task Force includes members of the Hartford Police Department, East Hartford Police Department, Connecticut State Police and Connecticut Department of Correction.
This case was prosecuted by Assistant U.S. Attorney Michael J. Gustafson.
Guatemalan National Pleads Guilty to Failure to Register as a Sex Offender and Illegal Reentry After DeportationRead the Press Release
BOSTON – A Guatemalan national pleaded guilty today in federal court in Boston to failing to register as a sex offender and to illegally reentering the United States after being deported.
Jary Vincente Valenzuela, 27, a Guatemalan national formerly residing on Nantucket, pleaded guilty to one count of failing to register as a sex offender and one count of unlawful reentry of a deported alien. U.S. District Court Judge Indira Talwani scheduled sentencing for March 27, 2018.
On July 16, 2012, Valenzuela was found guilty in state court of rape of a child – a 14-year-old - and sentenced to 18 months in prison. As a result of his conviction, Valenzuela was classified as a Level 1 sex offender and is required to register as such. Upon release from his state sentence, Valenzuela was taken into immigration custody and processed for deportation to Guatemala. On Aug. 8, 2013, Valenzuela was deported.
In June 2017, law enforcement learned that Valenzuela had re-entered the United States and was living on Nantucket. Law enforcement confirmed with the Massachusetts Sex Offender Registry Board that Valenzuela had a legal obligation to register as a sex offender and had not done so since illegally returning to the United States. On July 25, 2017, law enforcement arrested Valenzuela.
The charge of illegal reentry of a deported alien provides for a sentence of no greater than 20 years in prison, up to three years of supervised release, and a fine of $250,000. The charge of failure to register as a sex offender provides for a sentence of no greater than 10 years in prison, up to a lifetime of supervised release, and a fine of $250,000. Valenzuela will be subject to deportation upon completion of his sentence. Sentences are imposed by a federal district court judge based on the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Andrew E. Lelling; Michael Shea, Acting Special Agent in Charge of Homeland Security Investigations in Boston; and John Gibbons, United States Marshal for the District of Massachusetts, made the announcement today. Assistant U.S. Attorney David G. Tobin of Lelling’s Major Crimes Unit is prosecuting the case.
Former New York City Buildings Inspector Sentenced to 18 Months’ Imprisonment for Extortion ConspiracyRead the Press Release
Earlier today, in federal court in Brooklyn, former New York City Department of Buildings (DOB) Inspector Massimo Dabusco was sentenced by United States Chief District Court Judge Dora L. Irizarry to 18 months’ imprisonment for conspiracy to commit extortion, to be followed by a term of three years’ supervised release. The Court also imposed a $4,000 fine. Dabusco, also known as “Max,” pleaded guilty to the charge on May 22, 2017.
Richard P. Donoghue, United States Attorney for the Eastern District of New York, William F. Sweeney, Jr., Assistant Director-in-Charge, Federal Bureau of Investigation, New York Field Office (FBI), and Mark G. Peters, Commissioner, New York City Department of Investigation (DOI), announced the sentence.
“By engaging in extortionate conduct for personal financial gain, Dabusco violated the mission entrusted to him to enforce the New York City building and construction codes honestly and fairly,” stated United States Attorney Donoghue. “This Office and our law enforcement partners will remain vigilant in rooting out corruption and prosecuting those, like Dabusco, who abuse their position of public trust.”
According to court filings, between December 2013 and June 2015, while serving as an inspector for the DOB, Dabusco was also a silent partner in a construction company, A&G Contracting Group Corp., in violation of New York City law. Dabusco used his official position to influence property owners and contractors, over whom he had regulatory authority, to hire A&G, which was operated by his co-defendant Vito Menadi, to perform excavation and demolition jobs. In exchange for his actions, Dabusco shared in A&G’s profits. Dabusco also illegally warned other contractors about impending inspections by DOB and threatened economic harm against property owners and contractors if they did not pay outstanding fines owed by A&G. Dabusco resigned from DOB in August 2015.
The government’s case is being handled by the Office’s Public Integrity Section. Assistant United States Attorney Martin E. Coffey is in charge of the prosecution.
The Defendant:
MASSIMO DABUSCO
Age: 55
Residence: Yorktown Heights, New YorkE.D.N.Y. Docket No. 16-CR-559 (DLI)
Former Goffstown Youth Coach is Sentenced to 25 Years in Federal Prison for Producing Child PornographyRead the Press Release
CONCORD, N.H. - Acting United States Attorney John J. Farley announced that Matthew Riehl, 25, of Goffstown, New Hampshire, was sentenced to 25 years in federal prison for producing child pornography.
According to court documents and statements in court, Riehl coached youth sports teams in Goffstown. Between July of 2015 and August of 2016, while posing as a teenage girl, he contacted his victims using social media accounts, including Instagram, Snapchat and KIK Messenger, and persuaded his victims to take sexually explicit photographs of themselves and send the photographs to him. When some of the victims sent pictures that were not sexually explicit, Riehl worked to convince them to take photographs showing more sexually explicit conduct. In some instances, Riehl was able to coerce the victims to send explicit photographs by threatening to post on social media photographs that the victims previously had sent to him.
On August 31, 2016, a search warrant was executed at the defendant’s residence in Goffstown and Riehl’s cell phone was seized. A forensic examination of the phone by the New Hampshire Internet Crimes Against Children (ICAC) Task Force revealed approximately 500 photographs of minor boys, in various states of dress, including examples of child pornography. Numerous photographs depicted individuals who were members of teams that Riehl had coached.
Riehl, who previously pleaded guilty, was sentenced to 25 years in federal prison, followed by 15 years of supervised release. He will also have to register as a sex offender for life.
“This 25-year sentence demonstrates that those who use the Internet to prey on young victims will be prosecuted to the fullest extent of the law,” said Acting U.S. Attorney Farley. “It is a sad fact of modern life that some individuals adopt false identities on the Internet in order to manipulate and exploit their young victims. We will continue to work closely with our law enforcement partners to investigate and prosecute those who create child pornography. I commend the bravery of the victims and their families who cooperated with this investigation and encourage all parents to speak to their children about the dangers that lurk on the Internet.”
“This case involves an egregious breach of public trust, given Mr. Riehl’s former position in the community, and today’s significant sentencing ensures that he no longer has access to children,” said Acting Special Agent in Charge Michael Shea of U.S. Immigration and Customs Enforcement’s Homeland Security Investigations (HSI) Boston. “HSI is proud to stand shoulder-to-shoulder with our law enforcement partners and other stakeholders aggressively engaged in the effort against child predators.”
“This investigation is another fine example of the collaborative efforts of state, local and federal law enforcement agencies working to bring to justice those who prey on society's most innocent victims,” said Detective Sergeant Thomas A. Grella, Commander, New Hampshire Internet Crimes Against Children Task Force.
The Goffstown Police Department would like to thank everyone involved in this case for coming forward and providing crucial information that has been instrumental in seeing this case come to a successful conclusion.
This case was investigated by the U.S. Immigration and Customs Enforcement’s Homeland Security Investigations, the Goffstown and Bedford Police Departments, the Hillsborough County Attorney’s Office, and the New Hampshire Internet Crimes Against Children Task Force, which includes members of several other police departments. The case was prosecuted by Assistant U.S. Attorneys Arnold Huftalen and Georgiana Konesky.
In February 2006, the Department of Justice introduced Project Safe Childhood, a nationwide initiative designed to protect children from online exploitation and abuse. Led by the United States Attorney’s Offices, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend, and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
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Former Fannie Mae Employee Arraigned on Charges of Accepting Bribes and Approving Below-Market Sale of Foreclosed HomesRead the Press Release
LOS ANGELES – A Riverside woman who worked at Fannie Mae offices in Irvine faces fraud charges alleging that she earned more than $1 million from a scheme in which she took bribes and approved discounted sales of Fannie Mae-owned properties to herself and to brokers in exchange for cash kickbacks.
Shirene Hernandez, 45, of Corona, was arraigned Friday afternoon on two counts of wire fraud. After entering a plea of not guilty and being released on a $65,000 bond, Hernandez was ordered to stand trial on March 20, 2018.
As alleged in the indictment, at all relevant times Hernandez was a real estate owned (REO) foreclosure specialist at the Federal National Mortgage Association (Fannie Mae). Fannie Mae is a government-sponsored entity under conservatorship of the Federal Housing Finance Agency (FHFA). As part of its operations, Fannie Mae acquires properties – sometimes called REO properties – through foreclosure and otherwise, and it then manages and sells those properties for Fannie Mae’s benefit. Under FHFA’s conservatorship, since at least 2012 Fannie Mae’s profits have gone to the United States Treasury Department, for the benefit of the American taxpayer.
As an REO foreclosure specialist, Hernandez’s duties included assigning Fannie-Mae owned properties to listing brokers and approving sales of those properties based on offers submitted by those brokers. During the scheme, which is alleged to have begun no later than April 2011 and continued through at least July 2016, Hernandez allegedly approved sales of Fannie Mae-owned properties at discounted prices to herself and to brokers who paid her cash kickbacks, and she allegedly received bribes, in the form of cash payments, gifts, and other things of value, from brokers in exchange for listing opportunities and the resulting commissions that brokers earned on sales.
According to the indictment, one of the Fannie-Mae owned properties that Hernandez purchased was purchased through intermediaries and alter egos who rented out the property and provided rent proceeds to Hernandez.
The indictment alleges that Hernandez’s profits from the fraud exceeded $1 million.
An indictment contains allegations that a defendant has committed a crime. Every defendant is presumed to be innocent until and unless proven guilty in court.
If Hernandez were to be convicted of the two charges in the indictment, she would face a statutory maximum sentence of 20 years in federal prison on each count.
The case is being investigated by the Federal Housing Finance Agency, Office of Inspector General (FHFA-OIG). Agents continue to investigate this case and other allegations of bribes accepted by other Fannie Mae employees. If you believe you have information relevant to this investigation, please contact FHFA-OIG Senior Special Agent James Shields at 202-730-4013.
The prosecution of Hernandez is being handled by Assistant United States Attorney Kerry L. Quinn of the Major Frauds Section.
Former Detroit-Based Technology Company CEO Indicted for Multi-Year Bribery SchemeRead the Press Release
The former chief executive officer of FutureNet Group Inc., a Detroit-based information technology company, was indicted yesterday for his role in orchestrating a scheme to bribe an official from the City of Detroit to obtain benefits for FutureNet, announced Acting Assistant Attorney General John P. Cronan of the Justice Department’s Criminal Division.
Parimal D. Mehta, 54, of Northville, Michigan, is charged in an 11-count indictment filed in the Eastern District of Michigan with five counts of honest services mail and wire fraud, one count of federal program bribery, and five counts of unlawfully using interstate facilities to commit bribery under Michigan law.
According to the indictment, from 2009 through August 2016, Mehta made multiple cash payments to Charles L. Dodd, the former Director of Detroit’s Office of Departmental Technology Services, including two cash bribes hand-delivered by Mehta to Dodd in the restrooms of Detroit-area restaurants in 2016. Mehta is also alleged to have employed Dodd’s family members at FutureNet and its subsidiaries. Dodd previously pleaded guilty to bribery on Sept. 27, 2016.
The indictment alleges that Mehta paid these bribes to Dodd in exchange for preferential treatment for his company, FutureNet, which received approximately $7.5 million from Detroit in 2015 and 2016. According to the indictment, Mehta and FutureNet benefitted from Dodd’s influence over the administration of city contracts, expenditures under those contracts, and the hiring and selection of contract personnel. The indictment further alleges that Mehta obtained confidential information about Detroit’s internal budgets for specific technology projects.
The charges and allegations contained in the indictment are merely allegations. The defendant is presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
The case is being investigated by the FBI’s Detroit Division. Trial Attorneys Robert J. Heberle and James I. Pearce of the Criminal Division’s Public Integrity Section are prosecuting the case.
Florida-Based School Chain to Pay United States Government $600,000 for Submitting False Claims for Federal Student Financial AidRead the Press Release
Florida Technical College, Inc. (“FTC”) will pay the United States $600,000 to resolve False Claims Act allegations that FTC’s Cutler Bay Campus (“FTC-Cutler Bay”) falsely certified compliance with federal student aid programs’ eligibility requirements and submitted claims for 27 ineligible students.
Benjamin G. Green, United States Attorney for the Southern District of Florida, made the announcement.
Title IV of the Higher Education Act of 1965 (“HEA”), as amended, 20 U.S.C. §§ 1070 et seq. (“Title IV, HEA Programs”), authorizes federal student aid programs. The Title IV, HEA Programs, administered by the United States Department of Education, provide students with financial aid in the form of, among other things, Federal Pell Grants and Federal Direct Loans.
“Federal financial aid is meant to help qualified students obtain a quality education from an eligible institution, and we are committed to ensure colleges comply with the rules to make certain that federal financial aid is provided to those individuals it is meant to assist,” said U.S. Attorney Benjamin G. Greenberg.
The United States alleged that certain FTC-Cutler Bay employees engaged in fraudulent practices to induce students to enroll in the school. As a result of those admissions personnel, FTC submitted to the U.S. Department of Education false information regarding the eligibility of 27 FTC-Cutler Bay students to receive Title IV, HEA Program funds. Specifically, FTC-Cutler Bay employees provided false documentation that the students had a high school diploma or its recognized equivalent from a qualified secondary school, when the those students did not have such credential.
In providing such false documentation, FTC-Cutler Bay’s enrollment numbers were falsely increased, and consequently, the amount of federal dollars the school received also increased at the expense of taxpayers and students, who incurred long-term debt. FTC cooperated in the investigation and FTC no longer employs the admissions personnel or their managers involved.
The lawsuit was filed on March 8, 2016, by Laurie Astacio, a former administrative assistant in the FTC-Cutler Bay admissions office. She filed the complaint under the qui tam, or whistleblower, provisions of the False Claims Act, which permit private parties to sue on behalf of the government and receive a share of any recovery. The Act also authorizes the government to intervene in and assume primary responsibility for litigating the lawsuit.
“The Office of Inspector General has a unique and special law enforcement mission – to protect public education funds for eligible students. Today’s settlement is an example of our commitment to this mission,” said Neil Sanchez, Special Agent in Charge of the U.S. Department of Education Office of Inspector General’s Southern Regional Office. “The OIG will continue to pursue allegations of violations of the False Claims Act in carrying out our important public service.”
This matter was investigated and the settlement negotiated by Assistant U.S. Attorney James A. Weinkle. The case is captioned U.S. ex rel. Laurie Astacio v. Florida Technical College, Inc., Case No.: 16-20842-CIV-Seitz (S.D. Fla.). The claims settled by this agreement are allegations only, and there has been no determination of liability.
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 Man Sentenced in Penny Stock SchemeRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051BUFFALO, N.Y.-U.S. Attorney James P. Kennedy, Jr. announced today that James Palladino, 54, of Delray Beach, Florida, who was convicted of conspiracy to engage in monetary transactions, was sentenced by Senior U.S. District Judge William M. Skretny to six months in prison and ordered to forfeit $175,000.
Assistant U.S. Attorney Aaron J. Mango, who handled the case, stated that between February and June of 2011, the defendant and other co-conspirators, participated in a scheme to acquire, manipulate, and trade publicly available stocks of companies with low stock prices (known as "penny stocks"). During the scheme, the defendant and others, directed co-conspirators to issue newsletters containing fictitious and misleading information regarding a targeted stock, which was done in an effort to manipulate the length and intensity of the penny stock promotion scheme. During the scheme, Palladino and others utilized personal brokerage accounts and bank and brokerage accounts in the names of entities they owned and controlled, to fund, trade, and manipulate the price of penny stocks.
During the scheme, the defendant and others made payments totaling $175,000 for the fraudulent stock promotions knowing that the funds used to make the payments constituted criminally derived proceeds from wire fraud activities.
The sentencing is the result of an investigation by Special Agents of the Internal Revenue Service, Criminal Investigation Division, under the direction of James D. Robnett, Special Agent-in-Charge, New York Field Office.
Final Defendant Pleads Guilty in Nationwide Scheme to Defraud Casinos and Credit Card CompaniesRead the Press Release
SACRAMENTO, Calif. — Vivian Wang, 54, of Alpharetta, Georgia, pleaded guilty today to wire fraud and aggravated identity theft related to a nationwide casino and credit card scheme, U.S. Attorney McGregor W. Scott announced.
According to court documents, between August 2008 and August 2014, Wang and co-defendant Frank Luo, 49, of Las Vegas, Nevada, participated in a scheme to defraud casinos and credit card companies across the country. The scheme involved using false identities in the names and Social Security numbers of migrant workers to apply for casino credit called “markers” and to open credit card accounts. A marker is a cash advance provided by a casino to a patron, and it is often secured by a check from the patron’s bank account. Wang and Luo initially timely repaid several markers at different casinos and several credit cards in order to give the impression of creditworthiness to future casinos and credit card companies. Wang and Luo recruited “clients” to participate in the scheme to induce the casinos and credit card companies to part with even more money under fraudulent pretenses.
Wang, and others working with her, coordinated their gambling activity in order to give the appearance of losing money (and thereby encouraging the casinos to issue future markers) when in fact one schemer would “lose” money while another would gain the same. In other instances, one schemer would surreptitiously deliver the issued gambling chips to another in order to give the appearance of having spent them. At the end of the scheme, Wang and her co-schemers did not repay the casino markers or the significant outstanding credit card balances accrued in a short amount of time once creditworthiness had been established. The combined fraud led to over $1.1 million in losses to casinos and credit card companies.
This case is the product of an investigation by the Federal Bureau of Investigation and the California Department of Justice’s Bureau of Gambling Control. Assistant U.S. Attorney Matthew M. Yelovich is prosecuting the case
Co-defendant Luo pleaded guilty, and on August 23, 2017, he was sentenced to three years in prison. Wang is scheduled to be sentenced by Judge Kimberly J. Mueller on May 16, 2018. Wang faces a maximum statutory penalty of 20 years in prison and a $250,000 fine for wire fraud, and a mandatory minimum of two years in prison and up to a $250,000 fine for aggravated identity theft. The actual sentence, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.
Felon from Carlsbad Sentenced to Prison for Violating Federal Firearms LawsRead the Press Release
ALBUQUERQUE – Paul Jay Harry, 33, of Carlsbad, N.M., was sentenced today in federal court in Las Cruces, N.M., to 57 months in prison for being a felon in possession of a firearm. Harry will be on supervised release for three years after completing his prison sentence.
Harry was arrested on Jan. 17, 2017, and was charged by criminal complaint with being a felon in possession of a firearm and ammunition and possession of a firearm not registered to him in the National Firearms Registration and Transfer Record (NFRTR) on May 2, 2016, in Chaves County, N.M. According to the complaint, Harry was arrested on an outstanding warrant for failing to comply with probation following a routine traffic stop. Law enforcement officers subsequently executed a state search warrant on Harry’s vehicle and seized a sawed off rifle, which was not registered to Harry in the NFRTR, ammunition and drug paraphernalia.
Harry was indicted on April 19, 2017, and was charged with being a felon in possession of a firearm. According to the indictment, Harry had a prior burglary conviction.
On May 25, 2017, Harry pled guilty to the indictment and admitted that on May 2, 2016, he possessed a short-barreled rifle. Harry further admitted that he could not legally possess firearms or ammunition because of his convictions in 2009 for vehicle burglary and forgery.
This case was investigated by the Las Cruces office of the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Roswell Police Department. Assistant U.S. Attorney Brock E. Taylor of the U.S. Attorney’s Las Cruces Branch Office prosecuted the case.
Federal Jury Finds Pittsburgh-Area Man Guilty of Defrauding Investors of $2 Million, Tax EvasionRead the Press Release
PITTSBURGH - After deliberating seven hours, a federal jury of eight men and four women yesterday found Albert P. Majkowski, Jr. guilty of three counts of wire fraud, two counts of tax evasion and two counts of a lesser included offense of failure to file a tax return, United States Attorney Scott W. Brady announced today.
Majkowski, Jr., 59, of Pittsburgh, Pennsylvania, was tried before United States District Judge Reggie B. Walton in Pittsburgh.
According to evidence presented at trial established that Majkowski defrauded potential investors of nearly $2 million over a five-year period by, among other things, making false statements about his own success in “incubating” start-up businesses and misrepresenting that investor monies’ would be used only for legitimate business expenses. He also evaded his income tax obligations for the years 2009 through 2010 by a variety of means including failing to file tax returns, putting his assets into the names of other persons and cashing a series of checks made out in blank. Additionally, he failed to file income tax returns for the years 2007 through 2008. The total loss for the tax charges was $181,456.
Judge Walton scheduled sentencing for May 25, 2018 at 2 p.m. The law provides for a total sentence of 27 years in prison and a fine of up to $250,000, or both, for each wire fraud count and up to five years in prison and a fine of up to $250,000, or both, for each count of tax evasion. Under the Federal Sentencing Guidelines, the actual sentence imposed is based on the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Pending sentencing, the court revoked the defendant’s bond.
Assistant United States Attorneys James Wilson and Shardul Desai are prosecuting this case on behalf of the government.
The Internal Revenue Service, Criminal Investigations, and the United States Postal Inspection Service conducted the investigation that led to the prosecution of Majkowski.
Federal Grand Jury Returns Indictments Charging 25 Individuals in DecemberRead the Press Release
MACON— A federal grand jury has returned indictments during the month of December. Charles “Charlie” E. Peeler, the United States Attorney for the Middle District of Georgia, announced Monday, December 31, 2018 that the grand jury true billed indictments charging 25 new individuals. An indictment is only an allegation of criminal conduct. All of the defendants are presumed innocent until and unless proven guilty in a court of law beyond a reasonable doubt.
“The successful collaboration between law enforcement at every level helped bring these cases before a federal grand jury,” said U.S. Attorney Peeler. “I want to thank our local, state and federal law enforcement for their dedication and hard work.”
Indictment #1
JANARVIS TUCKER, 21, of Sandy Springs, Georgia is charged with the following:
1) Possession with Intent to Distribute Methamphetamine
If convicted on Count 1, Mr. Tucker faces a mandatory minimum sentence of ten (10) years up to the possibility of life in prison and a $10,000,000 fine.
The case was investigated by the Drug Enforcement Administration, the Georgia Bureau of Investigation and the Peach County Sheriff’s Office. The case is being prosecuted by Assistant U.S. Attorney Beth Howard.
Indictment #2
CLIFFORD TERRELL, 43, of Barnesville, Georgia is charged with the following:
1-3) Bank Robbery
If convicted on Counts 1-3, Mr. Terrell faces a maximum sentence of 20 years in prison on each count.
The case was investigated by the Federal Bureau of Investigation, the U.S. Marshals Southeast Regional Fugitive Task Force, the Bibb County Sheriff’s Office, the Lamar County Sheriff’s Office, the Monroe County Sheriff’s Office and the Forsyth Police Department. The case is being prosecuted by Assistant U.S. Attorney Will R. Keyes.
Indictment #3
MARCRESS WILLIAMS a/k/a “BEAST”, 26, of Macon, Georgia is charged with the following:
1) Conspiracy to Distribute Methamphetamine
2-4) Distribution of Methamphetamine
5) Possession with Intent to Distribute Methamphetamine
STEPHANIE THOMAS, 25, of Macon, Georgia is charged with the following:
1) Conspiracy to Distribute Methamphetamine
2-4) Distribution of Methamphetamine
5) Possession with Intent to Distribute Methamphetamine
If convicted on Count 1 and/or Count 5, Mr. Williams and Ms. Thomas face maximum sentences of life in prison, a $10,000,000 fine, or both. If convicted on Counts 2-4, the defendants face a maximum of 40 years in prison, a $5,000,000 fine, or both.
The case was investigated by the United States Drug Enforcement Administration and the Bibb County Sheriff’s Office. The case is being prosecuted by Assistant U.S. Attorney Steven Ouzts.
Indictment #4
CLAUDIA WASHINGTON, 59, of Valdosta, Georgia is charged with the following:
1 and 4) Possession with Intent to Distribute Heroin
2) Possession with Intent to Distribute Methadone and Hydrocodone
3) Possession with Intent to Distribute Heroin
If convicted on Counts 1-4, Ms. Washington faces a maximum sentence of 20 years in prison, a $1,000,000 fine, or both, on each count.
The case was investigated by the Federal Bureau of Investigation and the Lowndes County Sheriff’s Office. The case is being prosecuted by Assistant U.S. Attorney Sonja Profit.
Indictment #5
RANDY ANGELO HILL, 32, of Tifton, Georgia is charged with the following:
1) Bank Robbery
If convicted on Count 1, Mr. Hill faces a maximum sentence of 20 years in prison, a $250,000 fine, or both.
The case was investigated by the Federal Bureau of Investigation and the Tifton Police Department. The case is being prosecuted by Assistant U.S. Attorney Michael T. Solis.
Indictment #6
RUSBELY LUCAS-CARBAJAL, 33, of Mexico is charged with the following:
1) Illegal Reentry into the United States
If convicted on Count 1, Mr. Lucas-Carbajal faces a maximum sentence of two (2) years in prison, a $250,000 fine, or both.
The case was investigated by the Immigration and Customs Enforcement, Enforcement and Removal Operations and is being prosecuted by Assistant U.S. Attorney Amelia G. Helmick.
Indictment #7
HECTOR BAROJAS-SANCHEZ, 33, of Mexico is charged with the following:
1) Illegal Reentry into the United States
If convicted on Count 1, Mr. Barojas-Sanchez faces a maximum sentence of two (2) years in prison, a $250,000 fine, or both.
The case was investigated by the Immigration and Customs Enforcement, Enforcement and Removal Operations and is being prosecuted by Assistant U.S. Attorney Amelia G. Helmick.
Indictment #8
MARCOS LEON-CRUZ, 46, of Mexico is charged with the following:
1) Illegal Reentry into the United States
If convicted on Count 1, Mr. Leon-Cruz faces a maximum sentence of two (2) years in prison, a $250,000 fine, or both.
The case was investigated by the Immigration and Customs Enforcement, Enforcement and Removal Operations and is being prosecuted by Assistant U.S. Attorney Amelia G. Helmick.
Indictment #9
GILBERTO AMBROSIO-RAMIREZ, 28, of Mexico is charged with the following:
1) Illegal Reentry into the United States
If convicted on Count 1, Mr. Ambrosio-Ramirez faces a maximum sentence of two (2) years in prison, a $250,000 fine, or both.
The case was investigated by the Immigration and Customs Enforcement, Enforcement and Removal Operations and is being prosecuted by Assistant U.S. Attorney Amelia G. Helmick.
In addition to the above indictments, the following individuals were indicted for firearms offenses. All of these cases were 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. PSN was launched in 2001 by the Office of the Attorney General.
Indictment #10
LAXAVIER PATTERSON, 39, of Valdosta, Georgia is charged with the following:
1) Theft of a Firearm from a Federal Firearms Licensee
2) Possession of a Stolen Firearm
3) Possession of a Firearm by a Convicted Felon
If convicted on Counts 1-3, Mr. Patterson faces a maximum sentence of ten (10) years in prison, a $250,000 fine, or both, on each count.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) and the Valdosta Police Department. The case is being prosecuted by Assistant U.S. Attorney Sonja Profit.
Indictment #11
JOHMAR CHANDLER, 40, of Macon, Georgia is charged with the following:
1) Possession of a Firearm by a Convicted Felon
2) Possession of a Firearm in Furtherance of a Drug Trafficking Crime
3) Possession of a Controlled Substance with Intent to Distribute
4) Simple Possession of a Controlled Substance
If convicted on Count 1, Mr. Chandler faces a maximum sentence of ten (10) years in prison, a $250,000 fine, or both. If convicted on Count 2, Mr. Chandler faces a maximum sentence of life in prison, a $250,000 fine, or both. If convicted on Count 3, Mr. Chandler faces a maximum sentence of 30 years in prison, a $2,000,000 fine, or both. If convicted on Count 4, Mr. Chandler faces a maximum sentence of two (2) years in prison, a minimum $2,500 fine, or both.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) and the United States Army Criminal Investigation Division. The case is being prosecuted by Assistant U.S. Attorney Chris Williams.
Indictment #12
FREDDIE CLARK, 42, of Columbus, Georgia is charged with the following:
1) Possession of a Firearm by a Convicted Felon
2) Possession of a Controlled Substance with Intent to Distribute
3) Possession of a Firearm in furtherance of a Drug Trafficking Crime
If convicted on Count 1, Mr. Clark faces a maximum sentence of ten (10) years in prison, a $250,000 fine, or both. If convicted on Count 2, Mr. Clark faces a maximum sentence of life in prison, a $8,000,000 fine, or both. If convicted on Count 3, Mr. Clark faces a maximum sentence of life in prison, a $250,000 fine, or both.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) and the Columbus Police Department. The case is being prosecuted by Assistant U.S. Attorney Chris Williams.
Indictment #13
ARRINGTON CULPEPPER, 33, of Columbus, Georgia is charged with the following:
1) Possession of a Firearm by a Convicted Felon
If convicted on Count 1, Mr. Culpepper faces a maximum sentence of life in prison, a $250,000 fine, or both.
The case was investigated by the Federal Bureau of Investigation, the Department of Community Supervision and the Columbus Police Department. The case is being prosecuted by Assistant U.S. Attorney Chris Williams.
Indictment #14
CALVIN AMOS, 35, of Albany, Georgia is charged with the following:
1) Possession with Intent to Distribute Cocaine
2) Possession with Intent to Distribute Marijuana
3) Possession of a Firearm by a Convicted Felon
4) Possession of a Firearm During a Drug Trafficking Offense
If convicted on Count 1, Mr. Amos faces a maximum of 20 years in prison and a $1 million fine. If convicted on Count 2, Mr. Amos faces a maximum of five (5) years in prison and a $250,000 fine. If convicted on Count 3, Mr. Amos faces ten (10) years in prison and a $250,000 fine. If convicted on Count 4, Mr. Amos faces five (5) years to life in prison and a $250,000 fine.
The case was investigated by the Albany Dougherty Drug Unit and is being prosecuted by Assistant U.S. Attorney Jim Crane.
Indictment #15
DADGE PARRISH, 32, of Columbus, Georgia is charged with the following:
1) Possession with Intent to Distribute Xanax
2) Possessing a Firearm in Furtherance of a Drug Trafficking Crime
3) Possession of a Firearm by a Convicted Felon.
If convicted on Count 1, Mr. Parrish faces a maximum sentence of five (5) years in prison, a $250,000 fine, or both. If convicted on Count 2, Mr. Parrish faces a mandatory minimum consecutive sentence of five (5) years with a maximum of life in prison and a $250,000 fine, or both. If convicted on Count 3, Mr. Parrish faces a maximum sentence of ten (10) years in prison, a $250,000 fine, or both.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) and the Georgia State Patrol. The case is being prosecuted by Assistant U.S. Attorney Amelia G. Helmick.
Indictment #16
JOSHUA WAYNE COKER, 37, of Hartwell, Georgia is charged with the following:
1) Possession with Intent to Distribute Methamphetamine
2) Possession of a Firearm During a Drug Trafficking Crime
If convicted on Count 1, Mr. Coker faces a maximum sentence of 40 years in prison, a $5 million fine, or both. If convicted on Count 2, Mr. Coker faces a maximum sentence of life in prison, consecutive to any time imposed for Count 1, a $250,000.00 fine, or both.
The case was investigated by the Drug Enforcement Agency and the Hartwell Sheriff’s Office, with collaboration from Parks White, District Attorney for the Northern Judicial Circuit. The case is being prosecuted by Assistant U.S. Attorney Tamara Jarrett.
Indictment #17
IDRIS SHAMSID-DEEN, 32, of Macon, Georgia is charged with the following:
1) Possession of a Firearm by a Person who has been Convicted of a Misdemeanor Crime of Domestic Violence
If convicted on Count 1, Mr. Shamsid-Deen faces a maximum sentence of ten (10) years in prison, a $250,000 fine, or both.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), the Bibb County Sheriff’s Office and is being prosecuted by Assistant U.S. Attorney Will R. Keyes.
Indictment #18
BRANDON WILLIAMS, 25, of Macon, Georgia is charged with the following:
1) Possession of a Firearm by a Convicted Felon
2) Simple Possession of a Controlled Substance
If convicted on Count 1, Mr. Williams faces a maximum sentence of ten (10) years in prison, a $250,000 fine, or both. If convicted on Count 2, Mr. Williams faces a maximum sentence of one (1) year in prison, a $1,000 minimum fine, or both.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) and the Bibb County Sheriff’s Office. The case is being prosecuted by Assistant U.S. Attorney Will R. Keyes.
Indictment #19
RONNIE LEE HUGHES, 38, of Griffin, Georgia is charged with the following:
1) Possession of a Firearm by a Convicted Felon
If convicted, Mr. Hughes faces a maximum sentence of ten (10) years in prison, a $250,000 fine, or both.
The case was investigated by the Federal Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) and the Lamar County Sheriff’s Department. The case is being prosecuted by Assistant U.S. Attorney Paul McCommon.
Indictment #20
TYLAUN RASHARD MULLINS, 19, of Macon, Georgia is charged with the following:
1) Theft of a Firearm from a Federal Firearms Licensee
2) Possession of a Stolen Firearm
CHRISTIAN JABARI BLACK, 19, of Macon, Georgia is charged with the following:
1) Theft of a Firearm from a Federal Firearms Licensee
JACQUES STEWART, 20, of Macon, Georgia is charged with the following:
1) Theft of a Firearm from a Federal Firearms Licensee
If convicted on Count 1, Mr. Mullins, Mr. Black and Mr. Stewart face a maximum sentence of ten (10) years in prison, a $250,000.00 fine, or both. If convicted on Count 2, Mr. Mullins faces the same additional penalties.
The case was investigated by the Federal Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) and the Bibb County Sheriff’s Department. The case is being prosecuted by Assistant U.S. Attorney Paul McCommon.
Indictment #21
ISAIAH WALKER, 34, of Valdosta, Georgia is charged with the following:
1) Possession of a Firearm by a Convicted Felon
If convicted on Count 1, Mr. Walker faces a maximum sentence of ten (10) years in prison and a $250,000 fine, or both.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) and the Lowndes County Sheriff’s Office. The case is being prosecuted by Assistant U.S. Attorney Robert D. McCullers.
Indictment #22
DAVEY BARGE, JR., 37, of Moultrie, Georgia is charged with the following:
1) Possession of a Firearm by a Convicted Felon
If convicted on Count 1, Mr. Barge faces a maximum sentence of ten (10) years in prison and a $250,000 fine, or both.
The case was investigated by the Moultrie Police Department and is being prosecuted by Assistant U.S. Attorney Robert D. McCullers.
Questions concerning this release should be directed to Pamela Lightsey, Public Information Officer, United States Attorney’s Office, at (478) 621-2603 or Melissa Hodges, Public Affairs Director (Contractor), United States Attorney’s Office, at (478) 765-2362.
Elizabeth City Man Sentenced to More Than 21 Years for Drug Distribution and Firearm ChargesRead the Press Release
NEW BERN – The United States Attorney for the Eastern District of North Carolina, Robert J. Higdon, Jr., announced that Monday in federal court, United States District Judge Louise W. Flanagan sentenced JAMES MARVIN POOLE, 33, of Elizabeth City, to 262 months of imprisonment followed by 5 years of supervised release.
POOLE was named in a 4-Count Criminal Information filed on September 12, 2017. On that same day, POOLE pled guilty to 3-Counts of Distribution of a Quantity of Heroin and 1-Count of Possession and Brandishing of a Firearm in Furtherance of a Drug Trafficking Crime.
In June 2016, a Confidential Informant (CI) advised law enforcement in Pasquotank County, that he/she had been buying heroin from POOLE for the past year. The CI also advised law enforcement that POOLE sold and/or stored drugs at two locations in Elizabeth City. The CI specifically identified an apartment on South Griffin Street and a house on College Street which were connected to POOLE.
On June 15, 2016, the CI, working at the direction of law enforcement, arranged to meet with POOLE at the residence on College Street to purchase heroin. The CI subsequently purchased 1 gram of heroin. During the recorded conversation, POOLE can be heard discussing his “pistol.”
On June 21, 2016, CI arranged a controlled purchase of heroin from POOLE. POOLE subsequently met with the CI at the residence on College Street. POOLE entered the CI’s vehicle while immediately pulling a semi-automatic pistol out of his waistband and placing it between the CI and POOLE. POOLE instructed the CI to claim the pistol as his/her own if they were stopped by the police because of his prior felony convictions. POOLE instructed the CI to drive to the South Griffin Street apartment. Once there, POOLE exited the vehicle and entered the apartment, returned to the vehicle, and instructed the CI to drive back to the College Street house. There, the CI purchased 2 grams of heroin from POOLE.
Following the two successful controlled purchases of heroin from POOLE, agents obtained a search warrant for the house and apartment associated with POOLE. On June 28, 2016, agents entered POOLE’s apartment. Officers proceeded to the second floor where POOLE was located exiting the bathroom with the toilet still flushing. A search of the apartment revealed a loaded Glock 9mm pistol with 15 rounds of ammunition. On March 6, 2017, agents utilized a second Confidential Informant (CI2) to perform an undercover buy from POOLE. CI2 met with POOLE and subsequently purchased .5 gram of heroin from POOLE.
On March 9, 2017, agents interviewed a cooperating witness who advised them that he/she had been purchasing 1 gram of heroin per day from POOLE for six months (180 grams of heroin). A second cooperating witness advised agents on March 8, 2017, that he/she had purchased at least .4 gram of heroin, five days per week, from POOLE for the past 18 months (144 grams of heroin). A third cooperating witness advised agents on March 29, 2017, that he/she purchased 120 grams of heroin from POOLE between February 2016 and January 2017.
On March 17, 2017, agents arrested POOLE on the federal charges. POOLE advised agents that he received ½ ounce at a time from his source. Based on the evidence, POOLE is responsible for the distribution of 447.5 grams of heroin. POOLE also possessed a firearm in connection with the offense.
The Pasquotank County Sheriff’s Office and the FBI conducted the criminal investigation of this case. Assistant United States Attorney Bradford Knott handled the prosecution of this case for the government.
East St. Louis Tax Preparer Sentenced to Prison for Preparation of False Tax ReturnsRead the Press Release
Evelyn Johnson, 56, of East St. Louis, Illinois was sentenced to serve eighteen months in prison following her conviction for 29 counts of aiding and assisting in the preparation of false federal tax returns, Donald S. Boyce, United States Attorney for the Southern District of Illinois, announced today. Following her release from prison Johnson will serve one year of supervised release.
Johnson operated the E.J. Johnson Tax Service in East St. Louis. Evidence presented showed that the Internal Revenue Service sent an undercover agent to have her taxes prepared after the I.R.S. Scheme Development Center detected a potential pattern of fraudulent returns. Johnson prepared a false return for the undercover agent that falsified Schedule A itemized deductions. The tax service business offered a "refund guarantee." The overall tax loss to the United States was established to be over $769,000. Johnson was convicted of preparing the false return for the undercover agent and convicted of preparing twenty-eight other false federal tax returns.
The indictment is the result of an investigation conducted by the Internal Revenue Service/Criminal Investigations. The prosecution of the case was handled by Assistant U.S. Attorney Norman R. Smith.
Dallas Woman Sentenced to 14 Months in Prison for Disaster FraudRead the Press Release
Oklahoma City, Oklahoma – DOROTHY D. BARNEY, 58, of Dallas, Texas, has been sentenced to 14 months in federal prison for fraud in connection with federal disaster relief, announced Robert J. Troester, Acting United States Attorney for the Western District of Oklahoma.
On May 20, 2013, a tornado caused significant damage in Moore, Oklahoma. According to an indictment filed on December 6, 2016, Barney applied for disaster aid from the Federal Emergency Management Agency ("FEMA") relating to the tornado in early June 2013. Rather than using her own name, she used the name, date of birth, and Social Security number of a person with the initials C.W. The application claimed damage to an apartment at 854 S.W. 10th Street in Moore. There was no apartment at that address, however. Furthermore, C.W. had not given Barney permission to submit an application for disaster aid and did not live in Moore.
On August 11, 2017, Barney pleaded guilty and admitted she had used a materially false document to request disaster aid from FEMA.
Today U.S. District Judge Stephen P. Friot sentenced Barney to 14 months in prison, to be followed by five years of supervised release. She was also ordered to pay $14,974.83 in restitution to FEMA.
This case is the result of an investigation by the Department of Homeland Security–Office of Inspector General and the United States Secret Service. Assistant U.S. Attorney Amanda Maxfield Green prosecuted the case.
Reference is made to court filings for further information.
DEA, Pittsburgh Police Investigation Results in Indictment of Pittsburgh Man for Dealing Heroin and Crack CocaineRead the Press Release
PITTSBURGH – A resident of Pittsburgh, Pennsylvania, has been indicted by a federal grand jury in Pittsburgh on a charge of possession with intent to distribute heroin and cocaine base, commonly known as crack, United States Attorney Scott W. Brady announced today.
The one-count indictment, returned on January 30, 2018, named Devon Horne, 31, of Pittsburgh, Pennsylvania.
According to the indictment, on or about January 4, 2018, Horne did knowingly and intentionally possess with intent to distribute quantities of heroin and crack cocaine.
For Horne’s offense, the law provides for a maximum total sentence of not more than 30 years in prison, a fine of not more than $2,000,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offense and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Brendan T. Conway is prosecuting this case on behalf of the government.
The Pittsburgh Bureau of Police and the Drug Enforcement Administration conducted the investigation leading to the indictment in this case.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Corbin Man Found Guilty of Devising Murder-for-Hire SchemeRead the Press Release
LONDON, Ky. — William Timothy Sutton, 55, of Corbin, Ky., has been convicted of four counts of interstate murder-for-hire and one count of possession of firearms by a convicted felon. The verdict came yesterday, following six days of trial, which included testimony from all four intended victims of the scheme. The jury deliberated for less than two hours in reaching its verdict.
The evidence at trial established that, in March of 2017, while incarcerated in the Whitley County Detention Center, Sutton offered to pay a fellow inmate forty thousand dollars ($40,000) to murder the Whitley County Attorney, the Whitley/McCreary County Commonwealth’s Attorney, and two ex-girlfriends. The evidence further established that Sutton mailed a letter to a relative from jail, asking the relative to provide the would-be hitman with one of Sutton’s own firearms to further the scheme. Law enforcement became aware of the plan, interceded, and ultimately arrested Sutton.
“The despicable conduct in this case not only victimized four individuals, but was a brazen attack upon the judicial process and the rule of law,” said Robert M. Duncan, Jr., United States Attorney for the Eastern District of Kentucky. “Protecting the public from violence and ensuring the integrity of our system of justice are core principles of the Department of Justice and central priorities of our Office. In our efforts to make our community safer, we will continue to confront and prosecute criminal conduct that undermines these principles. I want to commend the work of our valued law enforcement partners, whose efforts made this prosecution possible.”
Sutton is scheduled to be sentenced on May 30, 2018. He faces up to ten years on each offense. However, any sentence would be imposed only after the Court has considered the U.S. Sentencing Guidelines and the applicable statutes.
US Attorney Duncan; Stuart Lowrey, Special Agent In-Charge, ATF; and Commissioner Rick Sanders of the Kentucky State Police, jointly announced the jury’s verdict.
The ATF and the Kentucky State Police conducted the investigation preceding the indictment. Assistant United States Attorney W. Samuel Dotson represented the United States.
Connecticut Man Sentenced for Federal Firearms OffensesRead the Press Release
BOSTON – An Enfield, Conn., man was sentenced today in federal court in Springfield for unlawfully possessing firearms.
Kenneth Finch Jr., 31, was sentenced by U.S. District Court Judge Mark G. Mastroianni to five years in prison and three years of supervised release. In September 2017, Finch Jr. pleaded guilty to two counts of being a convicted felon in possession of a firearm. Finch has a prior felony conviction in North Carolina for being a felon in possession of a firearm.
In June 2015, law enforcement received information that Finch was a source for illegal firearms in the Springfield area. On June 3, 2015, Finch sold a Ruger Model P-90 .45 caliber pistol and six rounds of .45 caliber ammunition to two undercover officers in exchange for $1,200. Finch was later arrested on May 12, 2016, and charged. The following day, Finch called his girlfriend from jail and directed her to a firearm that he had concealed in her apartment. Law enforcement later recovered a Duetsche Werke 7.65 mm caliber pistol from Finch’s girlfriend at her apartment in Springfield. On Nov. 10, 2016, Finch was charged in a superseding indictment with an additional count of being a felon in possession of a firearm.
United States Attorney Andrew E. Lelling and Mickey D. Leadingham, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms & Explosives, Boston Field Division, made the announcement today. Assistant U.S. Attorney Katharine A. Wagner of Lelling’s Springfield Branch Office prosecuted the case.
Company Owners Plead Guilty to $13.8 Million 'Rent-A-Vet' SchemeRead the Press Release
KANSAS CITY, Mo. – Timothy A. Garrison, United States Attorney for the Western District of Missouri, announced today that former owners of a local construction company, Patriot Company, Inc., have pleaded guilty in federal court to their roles in a “rent-a-vet” scheme to fraudulently obtain more than $13.8 million in federal contracts.
Jeffrey K. Wilson, 53, of the Village of Loch Lloyd in Belton, Mo., pleaded guilty today before U.S. District judge Howard F. Sachs to one count of government program fraud. Paul R. Salavitch, 57, of Kansas City, Mo., pleaded guilty on Tuesday, Jan. 30, 2018, to a misdemeanor charge of making a false writing.
Wilson, who is not a veteran, managed the day-to-day operations and the long-term decision making of Patriot Company from May 2005 to January 2014. Salavitch is a service-disabled veteran who falsely certified that he was involved in the day-to-day operations of Patriot Company. Salavitch’s purported active management qualified Patriot Company to obtain set-aside contracts to which it was not entitled.
Wilson admitted he used Salavitch’s veteran and service-disabled veteran status in a “rent-a-vet” scheme to obtain 20 government contracts for which Patriot Company received more than $13.8 million. As a result of the fraud scheme, legitimate veteran-owned-and-run businesses were not awarded these contracts.
Wilson’s plea agreement cites 20 contracts with the U.S. Department of Veterans Affairs and the U.S. Army, totaling $13,819,522, which were fraudulently obtained by Wilson, Salavitch and Patriot Company. The contracts, which ranged as high as $4.3 million, included construction projects in Missouri, South Dakota, Texas, Nebraska Oklahoma, Michigan, Indiana, Tennessee, Iowa, Illinois and North Dakota.
In September 2013, the Veterans Administration conducted an unannounced site visit of Patriot Company. The site inspector discovered that Salavitch was working 40 miles away at his full-time job as a federal employee with the Department of Defense in Leavenworth, Kan. In November 2013, Salavitch falsely certified to the Missouri Division of Purchasing and Materials Management that Patriot Company was a legitimate service-disabled veteran-owned small business when he knew it was not because he did not actively run the company. In December 2013, the Veterans Administration de-certified Patriot Company.
Under the terms of today’s plea agreement, Wilson is subject to a sentence of up to 18 months in federal prison without parole. Salavitch is subject to a sentence of up to one year in federal prison without parole. Wilson and Salavitch must also consent to the federal civil forfeiture of approximately $2.1 million. Sentencing hearings will be scheduled after the completion of presentence investigations by the United States Probation Office.
This case is being prosecuted by Assistant U.S. Attorneys Jane Pansing Brown, Stacey Perkins Rock and Curt Bohling. It was investigated by the Department of Veterans Affairs – Office of Inspector General – Criminal Investigation Division and the General Services Administration – Office of Inspector General.
Cohoes Woman Sentenced for Social Security FraudRead the Press Release
ALBANY, NEW YORK – Donna M. Smith, age 58, of Cohoes, New York, was sentenced today to 14 months in prison, to be followed by 3 years of supervised release, for fraudulently obtaining disability insurance benefits.
The announcement was made by United States Attorney Grant. C. Jaquith and John F. Grasso, Special Agent in Charge of the Social Security Administration (SSA) Office of the Inspector General, New York Field Office.
As part of her October 19, 2017 guilty plea, Smith admitted to submitting two false statements in which she claimed to have not worked between 2006 and 2015, when in fact she had worked for a total of eight Capital Region employers during this time. Disability insurance benefits are designed to replace, in part, the loss of income due to a disability.
Senior United States District Judge Lawrence E. Kahn also ordered Smith to pay $108,866.20 in restitution to the SSA.
This case was investigated by the SSA Office of the Inspector General and prosecuted by Special Assistant United States Attorney Jason White.
Clearwater Property Manager Pleads Guilty to Equity Skimming and Bankruptcy Fraud ChargesRead the Press Release
Tampa, Florida – United States Attorney Maria Chapa Lopez announces that Michael Rubino (59, Clearwater) today pleaded guilty to a criminal information charging him with one count of equity skimming and one count of bankruptcy fraud. He faces a maximum penalty of five years in federal prison for each count. A sentencing date has not yet been set.
According to the plea agreement, Rubino devised a scheme to defraud mortgage lenders holding recorded mortgage notes, as well as the Federal National Mortgage Association (“Fannie Mae”) and the Federal Housing Agency (“FHA”), which guaranteed the mortgage notes. In furtherance of his scheme, Rubino searched the Pinellas County Clerk of Court records to find properties in various stages of foreclosure. He then contacted distressed homeowners who had already defaulted on their mortgages and vacated their properties. Rubino offered to take control of, manage, and rent the properties to new tenants. Rubino told the homeowners that he would use the rental income he obtained to pay the mortgages and, in some instances, pay the homeowner a portion of the rent he collected. At no time did Rubino hold any legal or equitable interest in these properties, or have authorization from the mortgage lenders, Fannie Mae, or FHA, to rent out the properties. Further, he failed to remit any of the collected rent monies to FHA, as required by law.
Additionally, in order to prevent Fannie Mae and the mortgage lenders from lawfully foreclosing on properties secured by mortgage notes, Rubino engaged in a bankruptcy fraud scheme whereby he filed fraudulent bankruptcy petitions in the names of the distressed homeowners, without their knowledge or consent, just prior to the scheduled foreclosure sale. These fraudulent bankruptcies invoked the automatic stay provision of the bankruptcy code, preventing the mortgage note holders from conducting the foreclosure sale. The fraudulent bankruptcy petitions filed by Rubino allowed him to continue to collect rent monies to which he was not entitled.
This case was investigated by the U.S. Department of Housing and Urban Development - Office of Inspector General and the Federal Housing Finance Agency – Office of Inspector General. It is being prosecuted by Special Assistant United States Attorney Chris Poor.
Canadian Man Suspected of Transporting Drugs Across the Border Arrested on Marijuana ChargeRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051BUFFALO, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that Alexander Maizels, 48, of Ontario, Canada, was arrested and charged by criminal complaint with conspiracy to possess with intent to distribute 100 kilograms or more of marijuana. The charge carries a mandatory minimum penalty of five years in prison, a maximum of 40 years and a $5,000,000.
Assistant U.S. Attorney Michael J. Adler, who is handling the case, stated that according to the complaint, a federal investigation was initiated by Immigration and Customs Enforcement, Homeland Security Investigations (ICE-HSI) Buffalo Border Enforcement Security Team (BEST) into the activities of the defendant and multiple co-conspirators contracted to transport controlled substances between the United States and Canada for transnational criminal organization.
The investigation was based in part on Maizels’ arrest in April 2015 by the Illinois State Police for being in possession of over 100 kilograms of marijuana. On April 7, 2015, the defendant entered the United States at the Buffalo, NY port of entry operating a commercial tractor trailer. On April 8, 2015, Maizels’ made a delivery in Patterson, NJ. Later that day, the defendant arrived in Liverpool, NY, at a warehouse that had been identified by law enforcement officers as a warehouse utilized by individuals based in Canada who were suspected of transporting controlled substances. On April 9, 2015, the defendant traveled to a business in Elk Grove Village, IL. HSI Buffalo provided information to HSI Chicago and the Illinois State Police. The Illinois State Police searched the tractor trailer and found 30 brown boxes which contained 235 heat-sealed bundles of a green leafy substance suspected to be marijuana. The Illinois State Police estimated the street value of the seized marijuana was more than $900,000.
The complaint is the result of an investigation by Immigration and Customs Enforcement, Homeland Security Investigations, under the direction of Special Agent-in-Charge Kevin Kelly, and Customs and Border Protection, under the direction of Director of Field Operations Rose Brophy.
The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
California Woman Sentenced for Importing Methamphetamine and HeroinRead the Press Release
LAREDO, Texas – A 42-year-old woman has been ordered to federal prison following her conviction of conspiracy to import methamphetamine and heroin, announced U.S. Attorney Ryan K. Patrick. Aurelia Rufino-Pilar pleaded guilty Sept. 5, 2017.
Today, U.S. District Court Judge Diana Saldaña ordered her to serve a total of 108 months in prison. She is a legal permanent resident, but could face deportation proceedings following her term of imprisonment.
On April 21, 2017, Rufino-Pilar arrived at the Lincoln-Juarez Bridge port of entry in Laredo in a taxi and applied for admission to the United States. At primary inspection, she stated she had luggage and some bags in the taxi. She claimed they were not hers and was just taking them to San Antonio for a friend.
She further stated that she was a legal permanent resident who had traveled from her home in Bakersfield, California, to Nuevo Laredo, Tamaulipas, Mexico, and had stayed there two hours to receive treatment for psoriasis. She said she was going to take her friend’s luggage to San Antonio and then return to her home in California.
The taxi was referred to secondary inspection where agents discovered eight tubs of mole inside four duffle bags. The officers opened one tub and found a cylindrical object from which a sample was taken and tested positive for methamphetamine. A sample from another cylinder tested positive for heroin. In total, authorities discovered a total of 36.18 kilograms of liquid methamphetamine and 4.14 kilograms of heroin.
Rufino-Pilar ultimately admitted that the purpose of her trip was to transport narcotics to San Antonio and to seek treatment for her skin condition. She planned to take a bus to San Antonio to deliver the narcotics.
She has been in custody where she will remain pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
Customs and Border Protection and Immigration and Customs Enforcement’s Homeland Security Investigations conducted the investigation. Assistant U.S. Attorney Michael Bukiewicz is prosecuting the case.
California Man Sentenced on Methamphetamine ChargeRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051BUFFALO, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that Lawrence Neubert, 46, of Spring Valley, CA, who was convicted of conspiracy to possess with intent to distribute, and to distribute, 50 grams or more of methamphetamine, was sentenced to 120 months in prison by Senior U.S. District Judge William M. Skretny.
Assistant U.S. Attorney Laura A. Higgins, who handled the case, stated that on September 4, 2014, and October 2, 2014, the defendant shipped packages, containing more than 220 grams of methamphetamine, from California to Buffalo. Surveillance video from September 4, 2014, showed Neubert preparing the package and paying for its shipment in cash. In exchange for sending the packages, Neubert received $3500 in USPS money orders.
The plea is the result of an investigation by the Drug Enforcement Administration, under the direction of Special Agent-in-Charge James J. Hunt, New York Field Division.
Calais Woman Sentenced to Two Months for Stealing Social Security BenefitsRead the Press Release
Bangor, Maine: United States Attorney Halsey B. Frank announced that Amy Lynn Holmes, 46, of Calais, Maine was sentenced yesterday in U.S District Court by Judge John A. Woodcock, Jr. to two months in prison and three years of supervised release for stealing over $96,000 in Supplemental Security Income (SSI) benefits. SSI benefits are paid to people with limited income who are blind, disabled or elderly. Holmes was also ordered to pay $33,821 in restitution. She pleaded guilty on August 29, 2017.
Court records reveal that between February 2004 and May 2016, Holmes falsely represented to the Social Security Administration (SSA) that she was living alone and not receiving help or money from any person. In fact, she was living with her husband who was providing her with financial assistance, Florida vacations and vehicles. She told investigators that she knew that she would have been ineligible for SSI if she had disclosed her husband’s income and that they were living together.
“This is a good example of the ongoing efforts by the Federal government to deter fraud against social security programs,” said U.S. Attorney Frank. "The U.S. Attorney’s Office is committed to prosecuting those in Maine who engage in government benefit fraud. We hope that this prosecution and others like it will discourage people who are tempted to steal government benefits.”
The case was investigated by the SSA, Office of the Inspector General.
CEO of Mortgage Lender Charged with Making False Statements to HUDRead the Press Release
John Seckel, of Newtown, Pennsylvania, was charged by information with four counts of making false statements to the Department of Housing and Urban Development. Seckel had been the CEO of Seckel Capital, LLC, an FHA-approved mortgage lender in Bucks County, Pennsylvania.
For the years 2012 to 2015, Seckel Capital, LLC, was a mortgage lender in Bucks County that was approved by the Federal Housing Administration to originate mortgage loans that would be insured by the FHA. John Seckel maintained the status of Seckel Capital as an FHA-approved lender during this time period by making false statements to the Department of Housing and Urban Development. In particular, on four occasions from 2013 to 2016, Seckel filed audited financial statements for Seckel Capital that Seckel had forged. Seckel also, four times, filed certifications falsely claiming that he had met the net worth and other requirements to be approved as an FHA lender.
If convicted the defendant faces a maximum statutory sentence of eight years’ imprisonment.
The case was investigated by the United States Department of Housing and Urban Development, Office of Inspector General, and is being prosecuted by Assistant United States Attorney Laurie Magid.
An Indictment, Information or Criminal Complaint is an accusation. A defendant is presumed innocent unless and until proven guilty.
Buffalo Man Indicted on Heroin and Fentanyl ChargesRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051BUFFALO, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that a federal grand jury returned an indictment charging Jawayne Watkins, 29, of Buffalo, NY, with possession with intent to distribute, and distribution of, heroin, and possession with intent to distribute, and distribution of a mixture of heroin and fentanyl. The charge carries a maximum sentence of 20 years in prison and a fine of $1,000,000.
Assistant U.S. Attorney Michael J. Adler, who is handling the case, stated that according to the indictment and a previously filed complaint, in July 2017, an undercover officer made a $1,500 controlled purchase of heroin from the defendant. On November 9, 2017, the defendant made a second sale, this time a mixture of heroin and fentanyl.
Watkins was on New York State parole and living in a halfway house at the time of his arrest in November 2017. The defendant will be arraigned on the indictment before U.S. Magistrate Judge Jeremiah J. McCarthy on February 2, 2018, at 2:30 p.m.
The indictment is the result of an investigation by Immigration and Customs Enforcement, Homeland Security Investigations, under the direction of Special Agent-in-Charge Kevin Kelly, and the Erie County Sheriff’s Department, under the direction of Sheriff Timothy Howard.
The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
Brooklyn-Based Home Health Care Service and Its President Agree to Pay over $6.4 Million to Settle False Claims Act Suit Alleging Improper Billing PracticesRead the Press Release
Home Family Care, Inc. (HFC), a Brooklyn-based company that provides home health care services, and Alexander Kiselev, the co-owner and President of HFC, have entered into a civil settlement agreement under which they have agreed to pay $6,415,000 to resolve allegations that they violated the federal and state False Claims Acts by falsely billing Medicaid for home health care services that HFC did not provide to Medicaid recipients. HFC’s former Vice President, Michael Gurevich, entered into a separate settlement regarding the same allegations. The settlement agreements were approved by United States District Judge Sterling Johnson, Jr.
Richard P. Donoghue, United States Attorney for the Eastern District of New York, announced the settlements.
“When health care providers seek and receive Medicaid funds for services that they never provided, they jeopardize the fiscal integrity of a critical health care program,” stated United States Attorney Donoghue. “We will hold health care providers accountable for their violations of federal law.” Mr. Donoghue thanked the Medicaid Fraud Control Unit of the Office of the New York State Attorney General, the Office of the Inspector General of the U.S. Department of Health and Human Services, and the New York Office of Field Operations and the Office of Associate Chief Counsel (New York) of U.S. Customs and Border Protection for their assistance in the investigation.
An investigation revealed that, from the time HFC began operating in or about 2008 until at least May 2014, HFC engaged in a fraudulent scheme to enrich itself at the expense of Medicaid by knowingly and systematically billing for home health aide and personal care aid services that were not in fact provided to Medicaid recipients. To carry out this scheme, HFC directed its employees to deliberately circumvent its own system for verifying the attendance of aides at the homes of Medicaid recipients for whom the aides were allegedly providing care and to deliberately circumvent HFC’s internal controls that purported to ensure that aides were present in the recipients’ homes.
The allegations were brought to the government’s attention through the filing of a complaint pursuant to the qui tam provisions of the False Claims Act. Under the Act, private citizens can bring suit on behalf of the United States and share in any recovery.
The United States’ case is being handled by Assistant United States Attorney Elliot M. Schachner of the Office’s Civil Division.
E.D.N.Y. Docket No. 10-CV-2490 (SJ)
Bronx Man Admits Transporting Multiple Kilograms of Heroin as Part of A Cross-Country Drug Distribution ConspiracyRead the Press Release
TRENTON, N.J. – A Bronx, New York, man who was arrested in Warren County on Christmas Eve in 2014 while transporting 15 kilograms of heroin pleaded guilty today in Trenton federal court, U.S. Attorney Craig Carpenito announced.
Vionel Rondon Cortorreal, 29, pleaded guilty before U.S. District Judge Peter G. Sheridan to an information charging him with conspiracy to distribute heroin.
According to documents filed in this case and statements made in court:
In December 2014, Rondon Cortorreal engaged in a conspiracy with members of a drug trafficking organization to transport and distribute kilogram quantities of heroin. On Dec. 24, 2014, Rondon Cortorreal was arrested after law enforcement seized 15 kilograms of heroin from a hidden compartment in the vehicle that he and another conspirator, Dany Francisco-Valerio, 44, of Bronx, were operating.
The narcotics charge to which Rondon Cortorreal pleaded guilty carries a maximum penalty of life in prison and a $10 million fine. Sentencing is scheduled for May 30, 2018.
Francisco-Valerio previously pleaded guilty to the same charge before Judge Sheridan on Oct. 26, 2017 and awaits sentencing.
U.S. Attorney Carpenito credited special agents of the Drug Enforcement Administration’s New Jersey Division, under the direction of Special Agent in Charge Valerie Nickerson in Newark, and officers of the N.J. State Police, under the direction of Acting Superintendent Col. Patrick J. Callahan, with the investigation leading to today’s guilty plea.
Defense counsel: Brian J. Neary Esq., Hackensack, New Jersey
Bradenton Man Sentenced to Fifteen Years in Prison for Being A Felon in Possession of A FirearmRead the Press Release
Tampa, Florida – U.S. District Judge Charlene Honeywell today sentenced Daniel R. Kendricks (46, Bradenton) to 15 years in federal prison for possessing a firearm as a convicted felon. The Court also ordered him to forfeit the firearm used in the offense. Kendricks was found guilty after a bench trial on October 31, 2017.
According to court documents, on October 17, 2016, deputies from the Manatee County Sheriff’s Office were searching a residence and discovered Kendricks sleeping on a couch in a garage. When deputies searched the garage, they discovered a loaded gun on a table next to the couch where Kendricks had been sleeping. Kendricks subsequently confessed to possessing the gun.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives. It was prosecuted by Assistant United States Attorney Callan L. Albritton.
This case was brought as part of Project Safe Neighborhoods (PSN), a program that has been successful in bringing together all levels of law enforcement to reduce violent crime and make our neighborhoods safer for everyone. In October 2017, Attorney General Jeff Sessions announced the reinvigoration of PSN and directed all U.S. Attorneys’ Offices to develop districtwide crime reduction strategies, incorporating the lessons learned since the program’s inception in 2001. In the Middle District of Florida, U.S. Attorney Maria Chapa Lopez coordinates PSN efforts in cooperation with various federal, state, and local law enforcement officials.
Boston-Area Investment Advisers Charged with FraudRead the Press Release
BOSTON – Two Boston-area investment advisors were charged today in federal court in Boston with using their clients’ funds to make their own investments and to pay personal expenses.
James Polese, 51, of Wenham, and Cornelius Peterson, 28, of Newton, were each charged with one count of conspiracy and investment adviser fraud and thee counts of bank fraud. Polese was also charged with an additional five counts of bank fraud and one count of aggravated identity theft. Both men have agree to plead guilty.
As alleged in court documents, from approximately 2014 to June 2017, Polese and Peterson misappropriated approximately half a million dollars from their clients by transferring funds out of their clients’ accounts without their knowledge or consent. Specifically, On Aug. 20, 2014, Polese and Peterson used $100,000 from a client’s account to invest in a wind farm project although it was not an investment opportunity authorized by their company. On May 15, 2015, Polese and Peterson used $400,000 from another client’s account to back a letter of credit in support of the wind farm project. On multiple occasions in 2017, Polese caused funds to be transfered from a client’s account to pay personal expenses, including college tuition payments and credit card bills. Polese and Peterson were both terminated from the company in June 2017.
The charges of conspiracy and investment adviser fraud each provide for a sentence of no greater than five years in prison, three years of supervised release and a fine of $250,00 or twice the gross gain or loss, whichever is greater. The charge of bank fraud provides for a sentence of no greater than 30 years in prison, five years of supervised release and a fine of $250,00 or twice the gross gain or loss, whichever is greater. The charge of aggravated identity theft provides for a mandatory consecutive term of two years in prison. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Andrew E. Lelling and Harold H. Shaw, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division, made the announcement today. The U.S. Securities & Exchange Commission also provided valuable assistance with the investigation. Assistant U.S. Attorney Sara Miron Bloom of Lelling’s Economic Crimes Unit is prosecuting the case.
The details contained in the charging document are allegations. The defendants are presumed to be innocent unless and until proven guilty beyond a reasonable doubt in the court of law.
Attorney General Sessions Announces DEA Surge to Combat Prescription Drug DiversionRead the Press Release
Attorney General Jeff Sessions announced yesterday that, over the next 45 days, the Drug Enforcement Administration (DEA) will surge Special Agents, Diversion Investigators, and Intelligence Research Specialists to focus on pharmacies and prescribers who are dispensing unusual or disproportionate amounts of drugs. To intensify the fight against prescription drug diversion, DEA will utilize data from approximately 80 million transaction reports it collects every year from prescription drug manufacturers and distributors. DEA will aggregate and analyze this data, which includes distribution figures and inventory of prescription drugs, to identify patterns, trends, and statistical outliers that can be developed into targeting packages.
“Our country is in the midst of a drug abuse crisis, enabled and worsened by rampant drug trafficking and prescription drug diversion,” said Attorney General Jeff Sessions. “This surge of resources by the Drug Enforcement Administration will help us make more arrests, secure more convictions, and reduce the number of diverted or unnecessary prescription drugs causing addiction and overdose.”
The surge announced yesterday is the latest in a series of efforts by the Department of Justice to turn the tide of the opioid epidemic and reduce the inevitable violent crime that accompanies widespread drug trafficking. In August, the Department announced a new data analytics program, the Opioid Fraud and Abuse Detection Unit, which uses data to identify and prosecute individuals who are contributing to the opioid epidemic. The Department has also assigned experienced prosecutors to opioid hot spot districts to focus solely on investigating and prosecuting opioid-related health care fraud, and the DEA has reorganized its field divisions for the first time in nearly 20 years to increase its effectiveness nationwide.
Read Attorney General Sessions’ complete remarks here.Attorney General Issues National Slavery and Human Trafficking Prevention Month ProclamationRead the Press Release
Attorney General Jeff Sessions issued the following proclamation commemorating January as National Slavery and Human Trafficking Prevention Month:
“Human trafficking is a nationwide public health and civil rights crisis. Its victims are everywhere: at truck stops, in cities, in rural areas, and in suburbs, and who now total an unconscionable 25 million victims globally according to some estimates. That means 25 million human beings—parents, siblings, and children—have been coerced into a commercial sex act, forced into labor, or exploited because they desperately seek a better life. It is a priority of the Department of Justice to combat this depraved and predatory behavior through swift and aggressive enforcement of our nation’s laws to bring traffickers to justice and restore the lives of victims and survivors.
“The Justice Department’s U.S. Attorneys’ Offices, working closely with the Federal Bureau of Investigation (FBI), other federal agencies, and our state, local, and tribal partners, are on the front lines, leading our shared fight against human trafficking in all its forms. These entities are supported by the Department’s Civil Rights Division which is home to a team of dedicated investigators and prosecutors—the Human Trafficking Prosecution Unit (the HTPU)—tasked with bringing human traffickers to justice and vindicating the rights of their victims. Additionally, the Department’s Criminal Division includes the Child Exploitation and Obscenity Section (CEOS), which is committed to harnessing expertise in attacking the technological and systemic challenges that are involved in the sexual exploitation of minors, as well as other specialized prosecution teams who bring expertise in organized crime and money laundering.
“Our efforts have produced high-impact prosecutions to dismantle transnational organized human trafficking enterprises, have launched interagency anti-trafficking initiatives with unprecedented momentum, and have vindicated the rights and freedoms of countless victims and survivors.
“These efforts resulted in the conviction of nearly 500 defendants in trafficking cases in fiscal year 2017, and making $47 million available to help trafficking survivors. Last fall, the FBI—along with state and local task forces and international law enforcement partners—recovered 84 minors and arrested 120 traffickers, as part a single week-long operation. However, we are keenly aware that many challenges lie ahead and we are committed to taking our efforts to the next level.
“In his Presidential Proclamation, President Trump asked us to ‘recommit ourselves to eradicating the evil of enslavement’ and to ‘pledge to do all in our power to end the horrific practice of human trafficking.’ In the spirit of the President’s request, the Justice Department is hosting a Human Trafficking Summit in Washington, D.C. on February 2, 2018, two days before Super Bowl LII. The Super Bowl provides an opportunity to raise awareness of the surge in commercial sex activity around major sporting events, and of our commitment to finding and protecting sex trafficking victims who are at risk of being compelled, coerced, or exploited as minors in that context.
“The Human Trafficking Summit will be led by Associate Attorney General Rachel Brand and will convene law enforcement, victim support organizations, and the business community to focus on enhancing the strong partnerships behind all successful anti-trafficking efforts and identifying opportunities to increase collaboration and coordination as we take on new challenges.
“There is no room in a civilized society for those who choose to violate an individual’s rights and freedoms by subjecting them to any form of human trafficking. To those that still make that choice: make no mistake, the Justice Department will use every lawful tool to uncover your illegal activity and bring you to justice.”
Aspiring Rapper Sentenced to More Than 15 Years in Federal Prison for Illegally Possessing a Gun While Filming a Music VideoRead the Press Release
CHICAGO — An aspiring rapper from Chicago has been sentenced to more than 15 years in federal prison for illegally possessing a handgun while filming a music video.
RICARDO BURGOS, 31, possessed the gun in January 2016 while filming the rap music video in a north suburban hotel room. Burgos, who performs under the name “Nation,” can be seen in the video holding two firearms while rapping about selling drugs, committing acts of violence, and disrespecting law enforcement. Burgos had previously been convicted of multiple felonies and was not legally allowed to possess a firearm.
Burgos pleaded guilty to one count of illegal possession of a firearm by a felon, and one count of distribution of a controlled substance. U.S. District Judge Ronald A. Guzman on Tuesday imposed a 188-month prison sentence.
The sentence was announced by John R. Lausch, Jr., United States Attorney for the Northern District of Illinois; Jeffrey S. Sallet, Special Agent-in-Charge of the Chicago office of the Federal Bureau of Investigation; and Eddie T. Johnson, Superintendent of the Chicago Police Department.
Burgos admitted in a plea declaration that he possessed a .45-caliber semi-automatic pistol while filming the video in a hotel room in Deerfield. Shortly thereafter, Burgos brought the gun to the Austin neighborhood on the West Side of Chicago, where Chicago Police officers arrested him.
Law enforcement subsequently determined that the .45-caliber pistol had been stolen from a store in Indiana. The gun was also used in a shooting in Chicago two days before the music video was filmed.
The drug charge arose from multiple illegal narcotic sales by Burgos in 2015. Burgos sold 4 grams of crack cocaine and 1.4 grams of heroin to several individuals, all of whom were undercover police officers.
The government is represented by Assistant U.S. Attorney Jordan M. Matthews.