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13 March 2018
Philadelphia Man Charged as Convicted Felon in Possession of a FirearmRead the Press Release
PHILADELPHIA – Timothy Smith, 37, of Philadelphia, was charged today by indictment[1] with possession of a firearm by a convicted felon, announced United States Attorney Louis D. Lappen. According to the indictment, on November 25, 2017, Smith was in possession of a Hi-Point, Model C-9, 9mm pistol, with obliterated serial number raised to read P1650136, loaded with 6 live rounds.
If convicted, Smith faces a minimum term of fifteen years in prison, up to three years of supervised release, a $250,000 fine, and a $100 special assessment.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives. It is being prosecuted by Assistant United States Attorney Katherine E. Driscoll.
[1]An Indictment or Information is an accusation. A defendant is presumed innocent unless and until proven guilty.
Pensacola Jury Convicts Palm Beach County Man of Online Child Exploitation OffensesRead the Press Release
PENSACOLA, FLORIDA – Nicholas E. Fogarty, 36, of Palm Beach Gardens, Florida, was convicted today in the U.S. District Court in Pensacola of advertisement of child pornography and distribution of child pornography. The verdict was announced by Christopher P. Canova, United States Attorney for the Northern District of Florida.
During the day and a half trial, the government presented evidence that, beginning in June 2017, an undercover investigator, posing as a minor female on the social media platform Kik, attempted to identify individuals seeking to engage in sexual activity with minors. Investigators noticed an individual, later identified as Fogarty, created the Kik group “Tweenteenlove,” a group that shared child pornography online. During the investigation, Fogarty instructed others to find and bring young girls to the online group. Fogarty communicated with the undercover agent online, including providing direction to the dark web, which is a hidden Internet where child pornography can be found. Upon Fogarty’s arrest in southern Florida, a search of his electronic devices revealed child pornography and a search browser for the dark web. In all, between 4,000 and 5,000 images and videos of child pornography were captured from Fogarty during this investigation.
For the advertisement charge, Fogarty faces a mandatory minimum of 15 years and a maximum of 30 years in prison. For the distribution charge, Fogarty faces a mandatory minimum of 5 years and a maximum of 20 years in prison. The sentencing hearing is scheduled for June 8, 2018, at the United States Courthouse in Pensacola.
The case is being investigated by the United States Immigration and Customs Enforcement Homeland Security Investigations, the Air Force Office of Special Investigations, the Boynton Beach Police Department, and the North Florida Internet Crimes Against Children Task Force. The case is being prosecuted by Assistant United States Attorney David L. Goldberg.
The United States Attorney's Office for the Northern District of Florida is one of 94 offices that serve as the nation’s principal litigators under the direction of the Attorney General. To access public court documents online, please visit the U.S. District Court for the Northern District of Florida website. For more information about the United States Attorney’s Office, Northern District of Florida, visit http://www.justice.gov/usao/fln/index.html.
Pennsylvania Man Sentenced on Carjacking and Gun 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 Dimas Colon-Cruz, 37, of Erie, Pennsylvania, who was convicted of carjacking and brandishing a firearm in furtherance of a crime of violence, was sentenced to 154 months in prison by U.S. District Judge Lawrence J. Vilardo.
Assistant U.S. Attorney Michael P. Felicetta, who handled the case, stated on July 20, 2015, the defendant traveled with co-defendants Michael Gonzalez-Colon and Denis Cruz, from Erie, Pennsylvania to Dunkirk, NY, on stolen all-terrain vehicles. Shortly after arriving in Dunkirk, the stolen ATV's were seized by the Dunkirk Police Department.
Subsequently, the defendant and his codefendants assaulted an individual (Victim 1) near Robin and Second Streets in Dunkirk. The trio brandished firearms during the assault, struck Victim 1 in the face and stole several items from Victim 1. Almost immediately after Victim 1 was assaulted, a second victim (Victim 2) was assaulted by the defendant and his codefendants near 209 Robin Street. After exiting a car, Victim 2 was approached by the defendant and his codefendants and ordered to kneel on the ground at which time the victim was struck in the head with a handgun. Following the assault, the defendant and his codefendants stole Victim 2’s car, a 2004 Pontiac Grand Am. Also on July 20, 2015, Lakeside Lawncare in Fredonia, NY, was burglarized and several items were stolen including a gray 2002 GMC Sierra pickup truck. On July 22, 2015, both the 2004 Pontiac Grand Am and the 2002 GMC Sierra pickup truck were recovered in Erie, Pennsylvania.
Michael Gonzalez-Colon has been convicted and sentenced. Charges are pending against Denis Cruz. 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.
Today’s sentencing is the result of an investigation by the Dunkirk Police Department, under the direction of Chief David Ortolano; the Erie, Pennsylvania Police Department, under the direction of Chief Randy Bowers; the New York State Police, under the direction of Major Edward Kennedy; and the Federal Bureau of Investigation, under the direction of Acting Special Agent-in-Charge Kevin P. Lyons.
Paris Man Indicted for Crop Insurance Fraud, Wire Fraud, and Money LaunderingRead the Press Release
LEXINGTON, Ky. – According to court records unsealed today, a Paris, Ky. man was indicted on March 1, 2018, and charged with crop insurance fraud, wire fraud, and money laundering-related offenses.
A federal grand jury in Lexington returned the indictment charging 46-year-old Ronnie Jolly with one count of conspiring to violate federal law, six counts of making false statements to influence the Federal Crop Insurance Corporation (“FCIC”) and companies the FCIC reinsures, one count of conspiracy to commit wire fraud, 21 counts of money laundering, and one count of structuring currency transactions to avoid reporting requirements.
The indictment alleges that Jolly, an agricultural producer of tobacco, corn, and soybeans in Bath, Bourbon, Fleming, Montgomery, and Scott Counties, hid his crop production from his insurance company, in order to claim damage to his crop sufficient to trigger crop insurance indemnity payments, which are funded by the federal government through the FCIC. The indictment alleges that he also obtained crop insurance policies, in the names of his employees, for crops that he produced. The indictment alleges this was designed to avoid federal government scrutiny over his claims of crop damage, because he spread the damage amongst several producers. Similarly, the indictment alleges that Jolly obtained private crop insurance policies in the names of others.
According to the indictment, Jolly used the proceeds from crop insurance indemnity checks and fraudulent crop sales to make at least 21 bank transactions, in violation of federal money laundering statutes. He is also alleged to have withdrawn $9,500 in cash from his bank accounts, on four consecutive days, in an effort to avoid federal bank reporting requirements.
Robert M. Duncan, Jr., United States Attorney for the Eastern District of Kentucky; Karen Citizen-Wilcox, Special Agent in Charge, United States Department of Agriculture Office of Inspector General; Amy Hess, Special Agent in Charge, Federal Bureau of Investigation; Christopher Altemus, Special Agent in Charge, Internal Revenue Service-Criminal Investigation; and Dwayne Depp, Director, Kentucky Department of Insurance Fraud Investigation Division, jointly announced the indictment.
The investigation preceding the indictment was conducted by the United States Department of Agriculture Office of Inspector General, United States Department of Agriculture Risk Management Agency, Federal Bureau of Investigation, Internal Revenue Service-Criminal Investigation, and Kentucky Department of Insurance. The indictment was presented to the grand jury by Assistant U.S. Attorneys Kathryn M. Anderson and Erin M. Roth.
A date for Jolly to appear in court has not yet been scheduled. For the conspiracy to violate federal law charge, Jolly faces up to 5 years in prison and a fine of $250,000. For each charge of making false statements to the FCIC, he faces up to 30 years in prison and a fine of $1,000,000. For the conspiracy to commit mail and wire fraud and structuring charges, Jolly faces 20 years in prison and a fine of $250,000, and for the remaining money laundering charges, Jolly faces 10 years’ imprisonment and a $250,000 fine. However, any sentence following a conviction would be imposed by the Court, after its consideration of the U.S. Sentencing Guidelines and the federal statutes.
Any indictment is an accusation only. A defendant is presumed innocent and is entitled to a fair trial at which the government must prove guilt beyond a reasonable doubt.
Owner of Pittsburgh-Area Steel Erection Company Sentenced for Conspiracy to Defraud the United States of More than $1M in Bridge SubcontractsRead the Press Release
PITTSBURGH – A resident of Eighty-Four, Pennsylvania, was sentenced in federal court for conspiracy to defraud the United States, United States Attorney Scott W. Brady announced today.
United States District Judge Nora Barry Fischer sentenced Donald R. Taylor, 78, to three years’ probation, a $30,000 fine, and 300 hours of community service.
Taylor previously pleaded guilty on October 30, 2017. In connection with his guilty plea, Taylor, the owner of Century Steel Erectors Co. (CSE), admitted that he conspired with Watson L. Maloy, Jr. to use Maloy’s company, W.M.C.C. Inc. (WMCC), as a "front" company to illegally obtain federally funded subcontracts on Pennsylvania Department of Transportation (PennDOT) and Pennsylvania Turnpike Commission (PTC) bridge projects. As part of his guilty plea, Taylor further admitted that the United States Department of Transportation (USDOT), through the Federal Highway Administration, required PennDOT and the PTC to implement USDOT’s disadvantage business enterprise (DBE) program, which was designed, among other things, to promote participation of minority-owned small businesses in federally funded projects. Because CSE was not a certified DBE subcontractor, Taylor and Maloy agreed that they would use WMCC as a means to obtain DBE-eligible bridge subcontracts. Contrary to DBE requirements, however, Taylor admitted that CSE employees, acting at his direction, actually identified, bid, negotiated, and performed the work on DBE-eligible subcontracts. As a means to conceal CSE’s role in handling contracts awarded to WMCC, Taylor admitted that CSE employees used a WMCC email account and phone line, used magnetic WMCC signs to cover the CSE logo on CSE vehicles at job sites, possessed WMCC business cards, and held themselves out as WMCC employees in dealings with general contractors and PennDOT and PTC officials. As a result, Taylor admitted that WMCC and CSE fraudulently obtained nine PennDOT subcontracts between approximately January 2012 and February 2014, resulting in payments to WMCC totaling approximately $1,065,000. In return, Taylor admitted that Maloy was paid a periodic "fee," ranging from $2,000 to $10,000 during the conspiracy.
At the time of his guilty plea, Taylor made full restitution in the amount of $85,221.21 to PennDOT.
Maloy previously pleaded guilty to one count of conspiracy to defraud the United States, and Chief United States District Judge Joy Flowers Conti sentenced him to two years’ probation and a $1,000 fine on February 20, 2018.
Assistant United States Attorneys Robert S. Cessar, Eric G. Olshan, and Christy Criswell Wiegand prosecuted this case on behalf of the government.
The Federal Bureau of Investigation and the United States Department of Transportation – Office of Inspector General conducted the investigation of Taylor and Maloy, with assistance from the Pennsylvania Turnpike Commission – Office of Inspector General.
Ocean County, New Jersey, Man Pleads Guilty to Attempting to Provide Material Support to ISISRead the Press Release
TRENTON, N.J. – A Point Pleasant, New Jersey, man today admitted that he planned to construct and use a pressure cooker bomb in New York on behalf of the Islamic State of Iraq and al-Sham (ISIS), U.S. Attorney Craig Carpenito and Assistant Attorney General for National Security John C. Demers announced.
Gregory Lepsky, 20, pleaded guilty before U.S. District Court Judge Michael Shipp in Trenton federal court to an information charging him with one count of attempting to provide material support to a designated foreign terrorist organization, specifically ISIS.
According to documents filed in this case and statements made in court:
On Feb. 21, 2017, Lepsky was arrested by the Point Pleasant Police Department in connection with an incident that occurred that day in his family’s home. Following the arrest, law enforcement officers searched the residence and found a new pressure cooker stored behind a roll of bubble wrap in Lepsky’s bedroom closet.
During searches of computers and other digital evidence linked to Lepsky, law enforcement officers found evidence of Lepsky’s plan to build and detonate a bomb as part of his support for ISIS. During several social media communications, Lepsky told others that he intended to fight on behalf of ISIS and that he would, if necessary, become a martyr by driving a “bunch of explosives” to where the “enemies” could be found and blowing himself up.
Law enforcement officers also located a series of instructions that had been published online by another terrorist group that gave specific, step-by-step instructions on how to build a pressure cooker bomb, which coincided with the delivery of the pressure cooker to Lepsky a short time before his arrest. In addition, law enforcement officers recovered a message forwarded by Lepsky from another ISIS supporter stating that if a westerner could not travel to Syria to fight for ISIS, he could conduct a terrorist attack in his home country using improvised explosive devices.
During today’s plea hearing, Lepsky admitted that beginning in January 2017, he began to formulate a plan to detonate the pressure cooker bomb in New York City on behalf of ISIS. Lepsky admitted that he used the internet to access ISIS directives, obtain bomb-making instructions, and purchase the pressure cooker and other items to be used in the attack.
Under the terms of the plea agreement, if accepted by the Court, Lepsky will be given a sentence between 16 and 19 years in prison and a lifetime term of supervised release. Sentencing is scheduled for June 19, 2018.
U.S. Attorney Carpenito and Assistant Attorney General Demers credited the FBI and the Joint Terrorism Task Force, under the direction of Special Agent in Charge Timothy Gallagher in Newark; the N.J. State Attorney General’s Office under the direction of Attorney General Gurbir Grewal; the Ocean County Prosecutor’s Office, under the direction of Prosecutor Joseph Coronato; the Point Pleasant Police Department under the direction of Chief Richard P. Larsen; and the N.J. Office of Homeland Security and Preparedness under the direction of Director Jared Maples, with the investigation.
The government is represented by Assistant U.S. Attorney James Donnelly of the U.S. Attorney’s Office Criminal Division in Newark and Trial Attorney Justin Sher of the National Security Division’s Counterterrorism Section.Defense counsel: Lisa Mack Esq., Assistant Federal Public Defender, Newark
North Carolina Tax Return Preparer Sentenced to PrisonRead the Press Release
A Durham, North Carolina, tax return preparer was sentenced to 20 months in prison today for aiding and assisting in the preparation of false tax returns, announced Principal Deputy Assistant Attorney General Richard E. Zuckerman of the Justice Department’s Tax Division and U.S. Attorney Matthew G.T. Martin for the Middle District of North Carolina.
According to court documents, from 2012 through 2014, Laurean S. Robinson, 31, worked as the office manager and a return preparer at Tax Breaks, a tax preparation business in Durham. Robinson admitted that she prepared false returns for her clients that fraudulently claimed the earned income tax credit and sought inflated refunds. To qualify her clients for the earned income tax credit, Robinson falsely reported that they earned income providing household services, such as babysitting and caretaking. Robinson trained other Tax Breaks employees to prepare false returns in a similar fashion. In addition to fees charged by Tax Breaks, Robinson also often required her clients to pay her an additional fee in cash. Robinson’s conduct caused a tax loss of approximately $600,737.
In addition to the term of prison imposed, U.S. District Court Judge Thomas D. Schroeder ordered Robinson to serve one year of supervised release and pay a total of $ 120,980 in restitution to the IRS.
Principal Deputy Assistant Attorney General Zuckerman and U.S. Attorney Martin commended special agents of IRS-Criminal Investigation, who conducted the investigation, and Tax Division Trial Attorney Daniel McGraw and Assistant U.S. Attorney JoAnna McFadden, who prosecuted the case.
Additional information about the Tax Division and its enforcement efforts may be found on the division’s website.
North Carolina Tax Return Preparer Sentenced to PrisonRead the Press Release
WASHINGTON – A Durham, North Carolina, tax return preparer was sentenced to 20 months in prison today for aiding and assisting in the preparation of false tax returns, announced Principal Deputy Assistant Attorney General Richard E. Zuckerman of the Justice Department’s Tax Division and U.S. Attorney Matthew G.T. Martin for the Middle District of North Carolina.
According to court documents, from 2012 through 2014, Laurean S. Robinson, 31, worked as the office manager and a return preparer at Tax Breaks, a tax preparation business in Durham. Robinson admitted that she prepared false returns for her clients that fraudulently claimed the earned income tax credit and sought inflated refunds. To qualify her clients for the earned income tax credit, Robinson falsely reported that they earned income providing household services, such as babysitting and caretaking. Robinson trained other Tax Breaks employees to prepare false returns in a similar fashion. In addition to fees charged by Tax Breaks, Robinson also often required her clients to pay her an additional fee in cash. Robinson’s conduct caused a tax loss of approximately $600,737.
In addition to the term of prison imposed, U.S. District Court Judge Thomas D. Schroeder ordered Robinson to serve one year of supervised release and pay a total of $ 120,980 in restitution to the IRS.
Principal Deputy Assistant Attorney General Zuckerman and U.S. Attorney Martin commended special agents of IRS-Criminal Investigation, who conducted the investigation, and Tax Division Trial Attorney Daniel McGraw and Assistant U.S. Attorney JoAnna McFadden, who prosecuted the case.
Additional information about the Tax Division and its enforcement efforts may be found on the division’s website.
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Nine Sex Traffickers Sentenced to Federal Prison TimeRead the Press Release
Charleston, South Carolina---- United States Attorney Beth Drake stated today that nine sex traffickers were sentenced in United States District Court in Charleston for their roles in a conspiracy to force underage girls and young women into sex trafficking by means of force and threats of force throughout the southeast.
Defendants Bakari McMillan, a/k/a “Bizzle”, age 25, of Columbia, and Corey Miller, a/k/a “Clow”, a/k/a “C”, a/k/a “OG P”, age 44, of Orangeburg, were convicted at trial in March 2017. McMillan was sentenced to 40 years imprisonment for Conspiracy to Commit Sex Trafficking and Trafficking of a Minor for Sex Involving Force, Fraud, and Coercion, in violation of 18 U.S.C. §§ 1591(a)(1) and (b)(1). Miller was sentenced to 20 years imprisonment for Conspiracy to Commit Sex Trafficking and Trafficking of a Minor for Sex Involving Force, Fraud, and Coercion, in violation of 18 U.S.C. §§ 1591(a)(1) and (b)(1).
The following defendants pled guilty to Conspiracy to Commit Sex Trafficking:
Defendant Tremel Black, a/k/a “Sincere”, a/k/a “New York”, age 33, of New York, was sentenced to 25 years imprisonment.
Defendant Robert Black, a/k/a “Kareem Banks”, a/k/a “Nino Black”, a/k/a “Black”, age 47, of New York, was sentenced to 20 years imprisonment.
Defendant Desmond Singletary, a/k/a “Six”, age 32, of Florence, was sentenced to 15 years imprisonment.
Defendant Kerry Taylor, a/k/a “KJ”, age 23, of Columbia, was sentenced to 11 years imprisonment.
Defendant Ryan Turner, a/k/a “Gotti”, a/k/a “Qweezy”, age 25, of Columbia, was sentenced to 10 years imprisonment.
Defendant Da’Shun Curry, a/k/a “Dae Dae”, age 25, of Columbia, was sentenced to 9 years imprisonment.
Defendant Howard Parker, a/k/a “Poppa”, age 25, of Columbia was sentenced to 6 years imprisonment.
Defendant Damon Jackson (aka “D”, aka “Daddy Frost”), who was also convicted at trial, has yet to be sentenced.
Evidence in the case established that the defendants preyed on over 100 vulnerable female victims, many minors, forcing them on a regular basis to have sex with numerous “Johns” a night from 2014 through the summer of 2016. The defendants used brutal tactics, including physical beatings, brandings, supplying and withholding of drugs, threats, and various other forms of psychological manipulation in order to ensure their victims complied with a series of rules that were imposed upon them.
As part of their sentences, all of the defendants were given lifetime supervision, mandatory registration as a sex offender, and participation in a computer/internet monitoring program, amongst other conditions imposed on convicted sex offenders.
U. S. Attorney Drake stated, “Over the past several years, we have seen gangs and what were formerly exclusively drug conspiracies expand into human trafficking to fund their organizations. We have the legal tools to take the organizations apart, and need the public’s help. If you see something, say something. The Polaris Hotline, 1-888-3737-888, is available 24 hours a day to receive tips.”
“Human trafficking is a heinous crime, akin to modern day slavery,” said acting Atlanta HSI Special Agent in Charge Gregory L. Wiest. “These significant sentencings should serve as a grave warning that HSI special agents and our law enforcement partners, like the North Charleston Police Department, will use our full investigative resources to holding criminals accountable.”
The case was investigated by Special Agent Shawn Caines with Homeland Security Investigations and Detective Charlie Benton with the City of North Charleston Police Department’s Human Trafficking Unit. Assistant United States Attorney Matt Austin and Rhett DeHart of the Charleston office prosecuted the case.
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New York Man Guilty of Drug Trafficking ViolationsRead the Press Release
BEAUMONT, Texas – A 41-year-old Buffalo, New York, man has pleaded guilty to drug trafficking violations in the Eastern District of Texas, announced U.S. Attorney Joseph D. Brown today.
Roosevelt Appleton, St., pleaded guilty to conspiracy to possess with intent to distribute cocaine today before U.S. Magistrate Judge Zack Hawthorn.
According to information presented in court, beginning in 2015, following his release from state prison in New York, Appleton began conspiring with others to traffic drugs through the Eastern District of Texas to the Houston area. Appleton employed various means to facilitate the scheme including the use of the U.S. Postal Service, Federal Express and specially outfitted vehicles that contained hidden compartments. On June 15, 2016, a vehicle driven by Appleton’s couriers was stopped for a traffic violation in Jefferson County, Texas. A search of the vehicle revealed six bundles of cocaine hidden in a secret compartment in the vehicle. Appleton admitted to being responsible for the distribution of between 15 and 50 kilograms of cocaine as part of this conspiracy. Appleton was indicted by a federal grand jury on Oct. 18, 2017.
Under federal statutes, Appleton faces a minimum of ten years in federal prison at sentencing. The minimum statutory sentence prescribed by Congress is provided here for information purposes, as the sentencing will be determined by the court based on the advisory sentencing guidelines and other statutory factors. A sentencing hearing will be scheduled after the completion of a presentence investigation by the U.S. Probation Office.
This case was investigated by the Drug Enforcement Administration, the Beaumont Police Department and the Houston Police Department. This case is being prosecuted by Assistant U.S. Attorneys Randall L. Fluke and John Craft.
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New Jersey Man Pleads Guilty to Attempting to Provide Material Support to ISISRead the Press Release
Gregory Lepsky, 20, of Point Pleasant, New Jersey, pleaded guilty today to an information charging him with one count of attempting to provide material support to the Islamic State of Iraq and al-Sham (ISIS), a designated foreign terrorist organization. Lepsky admitted that he planned to construct and use a pressure cooker bomb in New York on behalf of ISIS.
Assistant Attorney General for National Security John C. Demers and U.S. Attorney Craig Carpenito announced the plea which was accepted by U.S. District Court Judge Michael Shipp.
According to documents filed in this case and statements made in court:
On Feb. 21, 2017, Lepsky was arrested by the Point Pleasant Police Department in connection with an incident that occurred that day in his family’s home. Following the arrest, law enforcement officers searched the residence and found a new pressure cooker stored behind a roll of bubble wrap in Lepsky’s bedroom closet.
During searches of computers and other digital evidence linked to Lepsky, law enforcement officers found evidence of Lepsky’s plan to build and detonate a bomb as part of his support for ISIS. During several social media communications, Lepsky told others that he intended to fight on behalf of ISIS and that he would, if necessary, become a martyr by driving a “bunch of explosives” to where the “enemies” could be found and blowing himself up.
Law enforcement officers also located a series of instructions that had been published online by another terrorist group that gave specific, step-by-step instructions on how to build a pressure cooker bomb, which coincided with the delivery of the pressure cooker to Lepsky a short time before his arrest. In addition, law enforcement officers recovered a message forwarded by Lepsky from another ISIS supporter stating that if a westerner could not travel to Syria to fight for ISIS, he could conduct a terrorist attack in his home country using improvised explosive devices.
During today’s plea hearing, Lepsky admitted that beginning in January 2017, he began to formulate a plan to detonate the pressure cooker bomb in New York City on behalf of ISIS. Lepsky admitted that he used the internet to access ISIS directives, obtain bomb-making instructions, and purchase the pressure cooker and other items to be used in the attack.
Under the terms of the plea agreement, if accepted by the Court, Lepsky will be given a sentence between 16 and 19 years in prison and a lifetime term of supervised release.
Assistant Attorney General Demers and U.S. Attorney Carpenito credited the FBI and the Joint Terrorism Task Force, under the direction of Special Agent in Charge Timothy Gallagher in Newark; the N.J. State Attorney General’s Office under the direction of Attorney General Gurbir Grewal; the Ocean County Prosecutor’s Office, under the direction of Prosecutor Joseph Coronato; the Point Pleasant Police Department under the direction of Chief Richard P. Larsen; and the N.J. Office of Homeland Security and Preparedness under the direction of Director Jared Maples, with the investigation.
The government is represented by Assistant U.S. Attorney James Donnelly for the District of New Jersey and Trial Attorney Justin Sher of the National Security Division’s Counterterrorism Section.
New Jersey Elementary School Teacher’s Assistant Pleads Guilty to Illegally Distributing OxycodoneRead the Press Release
Geoffrey S. Berman, the United States Attorney for the Southern District of New York, Angel M. Melendez, the Special Agent-in-Charge of the New York Field Office of the U.S. Immigration and Customs Enforcement’s Homeland Security Investigations (“HSI”), and James P. O’Neill, Commissioner of the New York City Police Department (“NYPD”), announced that GARY DIMICK, a teacher’s assistant at an elementary school in Fort Lee, New Jersey, pled guilty today before U.S. District Court Judge Deborah A. Batts to distribution and possession with intent to distribute oxycodone.
U.S. Attorney Geoffrey S. Berman said: “Gary Dimick admitted in federal court today that he sold tens of thousands of highly addictive opiates to others over a period of seven years. He now faces serious prison time for his actions.”
HSI Special Agent-in-Charge Angel M. Melendez said: “The addiction to pain killers is a nationwide epidemic and this individual sold more than 25,000 oxycodone tablets over seven years, preying on the vulnerabilities of others. Dimick made his acts more egregious by selling these highly addictive pills on the school grounds where he was employed. It is time that he face the consequences of his actions.”
According to the allegations in the Information and other documents filed in federal court, as well as statements made in the public record:
Oxycodone is a highly addictive, narcotic opioid that may be prescribed by medical professionals to treat severe and chronic pain conditions. Because of its addictive properties, however, users can abuse oxycodone, and prescriptions are in high demand, and have significant cash value to drug dealers. From approximately 2010 to 2017, DIMICK, while employed as a teacher’s assistant at an elementary school in Fort Lee, New Jersey, sold more than 25,000 30-milligram oxycodone tablets for approximately $20 to $30 per tablet. DIMICK made some of his oxycodone sales on the grounds of the elementary school where he is employed.
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DIMICK, 33, of North Bergen, NJ, pled guilty to one count of possession with intent to distribute oxycodone, which carries a maximum sentence of 20 years in prison. The maximum potential sentence is prescribed by Congress and is provided here for informational purposes only, as any sentencing of the defendant will be determined by the judge.
Mr. Berman praised the outstanding investigative work of HSI and the NYPD.
This case is being prosecuted by the Office’s General Crimes Unit. Assistant U.S. Attorneys Kiersten A. Fletcher and Robert B. Sobelman are in charge of the prosecution.
New Cumberland Businessman Sentenced to One Year Probation and Home Confinement for Filing False Tax ReturnRead the Press Release
HARRISBURG – The United States Attorney’s Office for the Middle District of Pennsylvania announced that Michael Powers, age 53, of New Cumberland, Pennsylvania, was sentenced today by United States District Court Judge John E. Jones, III, to one year probation with the condition that he spend four months on monitored home detention for filing a false Federal Income Tax Return pertaining to tax year 2010.
According to United States Attorney David J. Freed, Powers who owns and operates Powers Auto Repair in New Cumberland, pleaded guilty on September 11, 2017, to understating his true income by $238,381 on his 2010 income tax return. The tax owed on that unreported income amounted to $42,774. Under the terms of his plea agreement, Powers will make restitution to the Internal Revenue Service (IRS) in that amount plus another $26,198 for unpaid taxes owed on unreported income of $208,979 for tax year 2012. Thus, the total loss to the IRS as a result of Powers’ underreporting of income was $68,972.
Judge Jones also ordered Power’s restitution in the amount of $68,972 to be paid in no less than monthly payments of $500.
The IRS investigation of Powers began after the IRS received a Form 1099-K indicating Powers Auto Repair had significantly more gross receipts than what Powers reported on his 2011 income tax return. A Form 1099-K is a reporting document filed by entities that process credit card payments on behalf of businesses.
As a result, the IRS obtained Powers’ bank records, which showed that Powers established two accounts - a business account and a personal account at the same bank. Powers deposited all of the cash and all of the checks he received from his customers into the business bank account, and all of his credit card income into his personal account. However, Powers only reported the income in his business account as income on his 2010 and 2012 tax returns.
The case was investigated by the Harrisburg Office of the Internal Revenue Service, Criminal Investigation. Assistant United States Attorney Kim Douglas Daniel prosecuted the case.
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Monticello Man Charged with Transportation of Child PornographyRead the Press Release
Gregory Stephen, age 42, from Monticello, Iowa, has been charged with one count of knowingly transporting child pornography across state lines. The charge is contained in a Complaint filed today in United States District Court in Cedar Rapids.
The Complaint alleges that, in January 2018, Stephen transported a recording device containing child pornography from Illinois to Iowa. The Complaint alleges the recording device contained video clips believed to depict young, non-adult disrobed male individuals. Based on the investigation, the male individuals do not appear to be aware they were being recorded.
If convicted, Stephen faces a mandatory minimum sentence of five years’ imprisonment and a possible maximum sentence of twenty years’ imprisonment, a $250,000 fine, and at least five years of supervised release following any imprisonment.
Stephen appeared today in federal court in Cedar Rapids and was held without bond. Stephen’s next appearance for a preliminary hearing and detention hearing is set for March 15, 2018.
As with any criminal case, a charge is merely an accusation and a defendant is presumed innocent until and unless proven guilty.
The case is being prosecuted by Assistant United States Attorney Anthony Morfitt and was investigated by the Iowa Division of Criminal Investigation, the Monticello Police Department, the Delaware County Sheriff’s Office, and the Federal Bureau of Investigation.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 18-MJ-74.
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Mississippi Resident Sentenced for Attempting to Carry a Weapon on Board an AircraftRead the Press Release
Hattiesburg, Miss. – Kendrick D. Holder, Jr., 27, of Lumberton, MS, was sentenced March 13, 2018, to a term of 30 months in the Bureau of Prisons, ordered to pay a fine of $3,000, and was further ordered to pay a special assessment of $100. The sentence was handed down by U.S. District Judge Keith Starrett, for the crime of Attempting to Carry a Weapon On Board an Aircraft, announced U.S. Attorney Mike Hurst. Holder previously pleaded guilty to the offense on December 19, 2017.
On May 6, 2016, Kendrick Holder was Stopped While attempting to board flight 2865 from Hattiesburg-Laurel Regional airport to Dallas/Fort Worth. Within his carry-on bag was loaded Smith and Wesson 40-caliber firearm. This conduct violated Title 49 Section 4605(b)(1) United States Code.
The case was investigated by the FBI’s Southeast Mississippi Safe Streets Task Force in Hattiesburg, which is made up of special agents from the FBI and law enforcement officer from the Office of the Mississippi State Auditor, Mississippi Bureau of Narcotics and Hattiesburg Police Department, with assistance from the Jones County Sheriff’s Office. Assistant United States Attorney Jay Golden was the prosecutor for the case.
Minot Woman Sentenced to 25 years for Sexual Exploitation of a ChildRead the Press Release
BISMARCK – United States Attorney Christopher C. Myers announced that on March 12, 2018, Chief United States District Judge Daniel L. Hovland sentenced Ashley Marie Moore, 29, Minot, ND, on charges of Sexual Exploitation of a Child; and Distribution of Images Depicting the Sexual Exploitation of Children. Judge Hovland sentenced Moore to serve 25 years in prison for count one and 20 years in prison for count two, both sentences to run concurrently. Moore was also sentenced to 10 years of supervised release.
Between July 2015 and October 2015, on three separate occasions, Moore videotaped herself sexually exploiting her 7 month old daughter while at her residence on the Minot Air Force Base, ND. Moore sold the cellphone videos to a male she knew in Alabama, Leo Greene, for $50.00 each. The videos were later discovered on Mr. Greene’s cell phone by family members after his death from cancer. The family members immediately reported the videos to law enforcement in Alabama.
This case was investigated the Alabama State Bureau of Investigation; Air Force Office of Special Investigations, Minot, ND; and Ward County Sheriff’s Department, Minot, ND.
Assistant United States Attorney Gary L. Delorme prosecuted the case.
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Miami Residents Sentenced for Producing, Possessing and Trafficking in Device Making EquipmentRead the Press Release
Hattiesburg, Miss. – Yadian Alfonse Valdes and Juan Karel Merrero Barja, residents of Miami, were sentenced today before U.S. District Judge Keith Starrett for trafficking in device making equipment, announced U.S. Attorney Mike Hurst.
Yadian Alfonse Valdes pleaded guilty to the charge on October 17, 2017, and Juan Karel Merrero Barja pleaded guilty on December 19, 2017. Yadian Alfonse Valdes received a sentence of incarceration of 120 months in the Bureau of Prisons and a $50,000.00 fine.
Juan Karel Merrero Barja received a sentence of incarceration of 46 months in the Bureau of Prisons and a $3,000.00 fine. Upon release from prison, each defendant was ordered to be placed in removal proceedings and if removed to remain out of the country as a condition of supervised release.
On July 8, 2017, Hattiesburg officer David Wynn II saw suspicious activity occurring at a gas pump in Hattiesburg Mississippi. The officer saw a black Cadillac Escalade pull up very close to a gas pump 6 at a minimart located on West 4th in Hattiesburg. He then saw a man standing behind the rear driver’s side door placing a skimming device on the pump.
Hattiesburg police pulled the Escalade over. Police found Valdes and Barja in the vehicle along with tools and keys for getting into gas pump panels.
U.S. Attorney Hurst praised the cooperation exhibited between the Hattiesburg Police Department and the United States Secret Service. Assistant United States Attorney Jay Golden was the prosecutor for the case.
Mexican National Sentenced to Prison for Federal Drug Trafficking and Illegal Reentry ConvictionRead the Press Release
ALBUQUERQUE – David Torres-Arrellanes, 29, a Mexican national illegally residing in the United States, was sentenced today in federal court in Las Cruces, N.M., to 30 months in prison for his conviction for using a telephone to facilitate a drug trafficking crime and an illegal reentry charge. Torres-Arrellanes will be deported after he completes his prison sentence
Torres-Arrellanes and seven other residents of Lea County, N.M., including four Mexican nationals, and a resident of Yuma, Ariz., were charged in a 20-count indictment filed in July 2017, with federal drug trafficking and money laundering offenses. The indictment was the result of a multi-agency investigation into a significant drug trafficking organization allegedly led by Jose Raul Mendivil-Berrelleza, 34, a Mexican national who resided in Hobbs, that allegedly imported methamphetamine and cocaine into Lea County from Mexico through Arizona.
The investigation, which was led by the DEA and included HSI and the Lea County Drug Task Force of HIDTA Region 6, was designated as part of the Organized Crime Drug Enforcement Task Force (OCDETF) program, a Department of Justice program that combines the resources and unique expertise of federal agencies, along with their local counterparts, in a coordinated effort to disrupt and dismantle major drug trafficking organizations. During the course of the investigation, law enforcement authorities seized approximately 13 kilograms (28.6 pounds) of pure methamphetamine and 1.45 kilograms (3.2 pounds) of cocaine, a firearm and $19,000 in cash.
The 20-count indictment charged alleged ringleader Mendivil-Berrelleza and seven co-defendants with conspiracy, methamphetamine and cocaine trafficking, and money laundering offenses. Count 1 of the indictment charged all eight defendants with participating in a conspiracy to traffic methamphetamine and cocaine in Lea County and elsewhere between Nov. 2016 and July 2017. Count 2 charged Mendivil-Berrelleza and Roberto Rendon-Duran, 70, of Yuma, Ariz., with participating in an international money-laundering conspiracy. Counts 3 through 5 charged certain defendants with methamphetamine trafficking offenses and Count 6 charges certain defendants with a cocaine trafficking offense. Counts 7 through 20 charged certain defendants including Torres-Arrellanes, with using communications devices to facilitate their drug trafficking activity.
On Oct. 25, 2017, Torres-Arrellanes pled guilty to an information charging him with reentry of a removed alien and using a telephone to facilitate a drug trafficking crime. In entering the guilty plea, Torres-Arrellanes admitted that on May 24, 2017, he had a telephone call with an individual who distributed methamphetamine, and told the individual that $10,000 in drug proceeds was ready to be picked up by a drug courier. Torres-Arrellanes further admitted that on May 22, 2014, he was deported from the United States, and did not have permission to reenter when he was arrested by federal law enforcement agents on Aug. 2, 2017, in Ariz.
Four of Torrez-Arrellanes’ co-defendants previously have entered guilty pleas. Jeremy W. Gough, 41, of Hobbs, pled guilty on Dec. 13, 2017, and was sentenced on Feb. 20, 2018, to 120 months in prison followed by five years of supervised release. Carlos Espinoza-Perez, 28, a Mexican national, pled guilty on Jan. 22, 2018; Reco Curry, 38, of Hobbs pled guilty on Nov. 27, 2017; and Rendon-Duran pled guilty on Oct. 31, 2017.
Two co-defendants have entered pleas of not guilty and are pending trial. Miguel Angel Luna-Arredondo has yet to be arrested and is considered a fugitive. Charges in indictments and criminal complaints are only accusations, and defendants are presumed innocent unless proven guilty beyond a reasonable doubt.
This case was investigated by the DEA and HSI offices in Las Cruces and the Lea County Drug Task Force with assistance from the Lea County Sheriff’s Office and the Hobbs Police Department. Assistant U.S. Attorneys Terri J. Abernathy and Dustin Segovia of the U.S. Attorney’s Las Cruces Branch Office are prosecuting the case.
The Lea County Drug Task Force is comprised of officers from the Lea County Sheriff’s Office, Hobbs Police Department, Lovington Police Department, Eunice Police Department the Tatum Police Department and the Jal Police Department, and is part of the NM HIDTA Region VI Drug Task Force. The High Intensity Drug Trafficking Areas (HIDTA) program was created by Congress with the Anti-Drug Abuse Act of 1988. HIDTA is a program of the White House Office of National Drug Control Policy (ONDCP) which provides assistance to federal, state, local and tribal law enforcement agencies operating in areas determined to be critical drug-trafficking regions of the United States and seeks to reduce drug trafficking and production by facilitating coordinated law enforcement activities and information sharing.
Marshall County man sentenced for drug distribution chargeRead the Press Release
WHEELING, WEST VIRGINIA – William A. Novick, of McMechen, West Virginia, was sentenced today to 15 months incarceration for fentanyl distribution, United States Attorney Bill Powell announced.
Novick, age 35, of McMechen, pled guilty to one count of “Distribution of a Fentanyl in Proximity to a Protected Location” in September 2017. Novick admitted to selling fentanyl near Center McMechen Elementary School in Marshall County in February 2017.
Assistant U.S. Attorney Robert H. McWilliams, Jr., prosecuted the case on behalf of the government. The Marshall County Drug and Violent Crimes Task Force, a HIDTA-funded initiative, investigated.
U.S. District Judge John Preston Bailey presided.
Manager of Southeast Washington Barber Shop Indicted on Firearms and Drug Trafficking ChargesRead the Press Release
WASHINGTON – Darryl Smith, 44, the self-identified manager of a Southeast Washington barbershop, has been indicted on federal charges stemming from an investigation into alleged drug trafficking at the business and in the surrounding area.
The charges were announced today by U.S. Attorney Jessie K. Liu, Thomas L. Chittum III, Special Agent in Charge of the Washington Field Division of the U.S. Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), and Peter Newsham, Chief of the Metropolitan Police Department (MPD).
Smith, of Washington, D.C., is among three defendants charged with various offenses following the investigation into alleged drug trafficking from the Next Level Cuts barbershop and surrounding property in the 2400 block of Martin Luther King, Jr. Avenue SE. He was arraigned on March 12, 2018, in the U.S. District Court for the District of Columbia on a superseding indictment filed earlier this month that charges him with firearms and narcotics offenses. He pled not guilty to the charges and remains held pending further court proceedings.
The indictment includes narcotics and weapons offenses related to Smith’s arrest on Dec. 24, 2017, by the Metropolitan Police Department in the 2400 block of Martin Luther King, Jr. Avenue SE. On that date, he was allegedly in the possession of a loaded firearm and packaged capsules of fentanyl after he fled officers following a drug transaction on the street. Additionally, Smith faces PCP drug trafficking and other charges stemming from a search warrant that was executed on Feb.1, 2018 at the business. During the search, law enforcement recovered three firearms from the barbershop and adjoining property, more than $7,000 in cash, more than 800 grams of PCP, more than 300 grams of heroin, and boxes of Suboxone strips.
Anthony Fields, 44, of Washington, D.C., also was arrested and charged by indictment last month in the U.S. District Court for the District of Columbia with drug trafficking offenses arising from the Feb. 1, 2018 seizure. He has pled not guilty and also remains held.
The third defendant, James Venable, 46, of Fort Washington, Md., was indicted last month in the U.S. District Court for the District of Columbia on narcotics and firearms charges. Venable also is charged by complaint in the U.S. District Court for the District of Maryland after law enforcement recovered a loaded firearm from his Maryland residence on Feb. 1, 2018. He, too, has pled not guilty and remains held pending further court proceedings.
The charges in indictments and complaint are merely allegations, and every defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.
In announcing the arrests and indictments, U.S. Attorney Liu, Special Agent in Charge Chittum, and Chief Newsham commended the work of those who are investigating the case. They also acknowledged the efforts of those who are handling the case from the U.S. Attorney’s Office for the District of Columbia, including Assistant U.S. Attorney Christopher Macchiaroli.
Lycoming County Company Charged with Committing an OSHA Violation That Resulted in A Worker’s DeathRead the Press Release
HARRISBURG – The United States Attorney’s Office for the Middle District of Pennsylvania announced today that Susquehanna Supply Company, Inc., of Williamsport, Pennsylvania, was charged in a criminal information of willfully committing an OSHA violation that resulted in an employee’s death.
According to United States Attorney David J. Freed, the information alleges that Susquehanna Supply Company’s primary business is bridge rehabilitation, and that in December 2014, the company contracted with the Pennsylvania Department of Transportation to rehabilitate a bridge near Eyers Grove in Columbia County.
The rehabilitation project began in June 2015, and it involved digging large trenches at each end of the bridge. Under regulations issued by the Occupational Safety and Health Administration (“OSHA”), an employee working in a trench must be protected from cave-ins by an adequate protective system, such as sloped walls. Cave-ins represent the greatest danger during a trenching operation and are more likely than other trenching-related accidents to result in worker fatalities.
On July 7, 2015, a Susquehanna Supply Company employee entered a trench at one end of the bridge to remove additional soil. The trench was approximately twelve feet deep. Although Susquehanna Supply Company was aware of the applicable OSHA regulations, the company had not implemented a protective system in the trench. While the employee was working, one of the trench’s vertical dirt walls collapsed, burying the employee up to his chest and crushing him against the bridge’s concrete abutment. The collapse caused massive trauma to the employee’s upper body and killed him almost instantly.
The case was investigated by the Occupational Safety and Health Administration and is being prosecuted by Assistant U.S. Attorney Carlo D. Marchioli.
Criminal informations are only allegations. A charged entity is presumed to be innocent unless and until found guilty in court.
A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
The maximum penalty under federal law for this offense is a $500,000 fine and a term of probation. Under federal law, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant and protect the public. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
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Lubbock Man Sentenced to 327 Months for Production of Child PornographyRead the Press Release
LUBBOCK, Texas — Kevin Ismael Lopez, 25, of Lubbock, Texas, was sentenced Friday, March 9, 2018 by U.S. District Judge Sam R. Cummings to 327 months in federal prison and 20 years of supervised release, following his guilty plea in November 2017 to two counts of production of child pornography, announced U.S. Attorney Erin Nealy Cox of the Northern District of Texas.
Lopez has been in custody since his arrest in August 2017 on a related criminal complaint.
According to the plea agreement factual resume, on December 14, 2016, Lopez used his mother’s cellular telephone, to record a video of Lopez engaging in sexual conduct with a prepubescent minor female as she slept at his Lubbock, Texas residence.
On January 24, 2017, at the same residence, Lopez used another cellular phone, to record a video of Lopez engaging in sexual conduct with another prepubescent minor as she slept. Lopez also made a sexually explicit video recording of the girl. After creating this video recording, Lopez used the Internet to transport the video to his Dropbox account, which he used for online storage of some of his videos and images.
The case was brought as part of Project Safe Childhood, a nationwide initiative launched in 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorney’s Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood leverages federal, state and local resources to better investigate, apprehend and prosecute individuals who sexually exploit children. Project Safe Childhood also prioritizes identifying and rescuing victims. For more information about Project Safe Childhood, please visit http://www.justice.gov/psc/. For more information about internet safety education, please visit http://www.justice.gov/psc/ and click on the tab “resources.”
The U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) and Lubbock County Sheriff’s Office investigated. Assistant U.S. Attorney Jeffrey Haag prosecuted.
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Los Angeles Woman Known on Social Media as ‘Pretty Hoe’ Indicted by Federal Grand Jury on Sex Trafficking ChargesRead the Press Release
LOS ANGELES – A South Los Angeles woman who describes herself on social media as “The Most Hated Hoe in LA” was indicted today on federal sex trafficking charges that include allegations that she used the internet to solicit two minor victims to engage in prostitution.
Melanie Denae Williams, 22, who uses the moniker “Pretty Hoe” on several social media platforms, was named in a five-count indictment returned today by a federal grand jury.
The indictment specifically alleges one count of sex trafficking an adult by force, fraud, or coercion; two counts of sex trafficking of a minor; and two counts of enticement of a minor to engage in prostitution.
Williams has been held without bond in a federal jail since she was taken into custody on February 7 pursuant to a criminal complaint (she was initially arrested by local authorities on December 24). The affidavit in support of the complaint outlines allegations that Williams abused a woman she had recruited through social media to work as a prostitute. In one incident, Williams allegedly ordered the victim to strip off her clothes, and then Williams threw bleach on the woman and beat her with her hands and a broomstick, according to the affidavit.
The indictment makes new allegations of sex trafficking involving two minor females.
Williams is scheduled to be arraigned on the indictment on Friday in United States District Court.
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 convicted of any of the charges in the indictment, Williams would face a potential life sentence. Each of the five charges carries a mandatory minimum sentence. The charge of sex trafficking by force, fraud or coercion carries a mandatory minimum penalty of 15 years in federal, and each of the four counts related to minors carries a mandatory minimum sentence of 10 years.
The investigation into Williams is being conducted by the Federal Bureau of Investigation and the Los Angeles Sheriff’s Department as part of the Los Angeles Regional Human Trafficking Task Force, as well as the Los Angeles Police Department, South Bureau.
This case is being prosecuted by Assistant United States Attorneys Lana Morton-Owens and Joseph Axelrad of the Violent and Organized Crime Section.
Los Angeles Dentist Charged in Health Care Fraud SchemeRead the Press Release
A Los Angeles, California-based dentist was charged in an indictment unsealed on Monday for his alleged participation in a health care fraud and identity theft scheme.
Acting Assistant Attorney General John P. Cronan of the Justice Department’s Criminal Division, U.S. Attorney Nicola T. Hanna of the Central District of California, Assistant Director in Charge Andrew W. Vale of the FBI’s Washington, D.C. Field Office and Assistant Director in Charge Paul D. Delacourt of the FBI’s Los Angeles Field Office made the announcement.
Benjamin Rosenberg, D.D.S., 58, of Los Angeles, was charged with six counts of health care fraud and two counts of aggravated identity theft. Rosenberg was arrested yesterday morning and made his initial court appearance yesterday before U.S. Magistrate Judge Jean Rosenbluth of the Central District of California.The indictment alleges that Rosenberg billed various insurance companies, including Medicaid-funded Denti-Cal, for dental procedures that were never provided. Rosenberg allegedly billed the insurance companies by using patients’ identification without their permission.
An indictment is merely an allegation and the defendant is presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
This case was investigated by the FBI’s Washington and Los Angeles Field Offices. Trial Attorney Emily Culbertson of the Criminal Division’s Fraud Section is prosecuting the case.The Fraud Section leads the Medicare Fraud Strike Force, which is part of a joint initiative between the Department of Justice and the U.S. Department of Health and Human Services (HHS) to focus their efforts to prevent and deter fraud and enforce current anti-fraud laws around the country. The Medicare Fraud Strike Force operates in nine locations nationwide. Since its inception in March 2007, the Medicare Fraud Strike Force has charged over 3,500 defendants who collectively have falsely billed the Medicare program for over $12.5 billion.
Leader of Drug Gang That Operated in the Lackawanna Housing Project SentencedRead 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 Jeffrey Graham, 32 of Lackawanna, NY, who was convicted of conspiracy to possess with intent to distribute, and to distribute, 280 grams or more of crack cocaine, was sentenced to 151 months in prison by Senior U.S. District Judge William M. Skretny.
Assistant U.S. Attorney Michael P. Felicetta, who handled the case, stated that between early 2014 and December 5, 2014, Graham conspired with several co-defendants to purchase and sell various amounts of crack cocaine from and to one another and to distribute the crack cocaine to various customers. Many of the transactions occurred at or within 1,000 feet of the Gates Housing Projects in Lackawanna, NY owned by the Lackawanna Municipal Housing Authority. Graham maintained a premises to distribute crack cocaine in the housing projects.
In addition, on November 28, 2014, the defendant obtained 149 grams of crack cocaine, which was discovered later that day by Buffalo Police during a traffic stop of a vehicle in which Graham was a passenger.
A total of 18 defendants were charged in this case, 11 have been convicted.
The sentencing is the culmination of an investigation by the Lackawanna Police Department, under the direction of Chief James Michel, the Federal Bureau of Investigation’s Safe Street’s Task Force, under the direction of Acting Special Agent-in-Charge Kevin P. Lyons, and the Drug Enforcement Administration, under the direction of Special Agent-in-Charge James J. Hunt, New York Field Division.
Los Angeles Dentist Charged in Health Care Fraud SchemeRead the Press Release
WASHINGTON – A Los Angeles-based dentist was charged in an indictment unsealed on Monday for his alleged participation in a health care fraud and identity theft scheme.
Acting Assistant Attorney General John P. Cronan of the Justice Department’s Criminal Division, United States Attorney Nicola T. Hanna, Assistant Director in Charge Andrew W. Vale of the FBI’s Washington, D.C. Field Office and Assistant Director in Charge Paul D. Delacourt of the FBI’s Los Angeles Field Office made the announcement.
Benjamin Rosenberg, D.D.S., 58, of Los Angeles, was charged with six counts of health care fraud and two counts of aggravated identity theft. Rosenberg was arrested yesterday morning and made his initial court appearance yesterday in Los Angeles before United States Magistrate Judge Jean Rosenbluth.
The indictment alleges that Rosenberg billed various insurance companies, including Medicaid-funded Denti-Cal, for dental procedures that were never provided. Rosenberg allegedly billed the insurance companies by using patients’ identification without their permission.
An indictment is merely an allegation and the defendant is presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
This case was investigated by the FBI’s Washington and Los Angeles Field Offices. Trial Attorney Emily Culbertson of the Criminal Division’s Fraud Section is prosecuting the case.
The Fraud Section leads the Medicare Fraud Strike Force, which is part of a joint initiative between the Department of Justice and the U.S. Department of Health and Human Services (HHS) to focus their efforts to prevent and deter fraud and enforce current anti-fraud laws around the country. The Medicare Fraud Strike Force operates in nine locations nationwide. Since its inception in March 2007, the Medicare Fraud Strike Force has charged over 3,500 defendants who collectively have falsely billed the Medicare program for over $12.5 billion.
Kansas City Man Sentenced for Trafficking Meth in TopekaRead the Press Release
TOPEKA, KAN. – A Kansas City man was sentenced Tuesday to 24 years and six months in federal prison for trafficking methamphetamine in Topeka, U.S. Attorney Stephen McAllister said.
Marco Antonio Cortes-Gomez, 42, Kansas City, Mo., was found guilty in a jury trial on one count of conspiracy to distribute methamphetamine and one count of attempted possession with intent to distribute methamphetamine. During trial, prosecutors presented evidence that over a three-year period Cortes-Gomez distributed no less than 66 pounds of methamphetamine to buyers in Topeka.
The investigation began in 2015 when the Kansas Highway Patrol stopped a car in Ellis County that was bound for Topeka carrying about five pounds of methamphetamine. Investigators set up a controlled delivery at a Walmart parking lot in Topeka, where Cortes-Gomez was arrested when he attempted to pick up the load.
At trial, prosecutors presented testimony from witnesses who said Cortes-Gomez delivered one-pound and two-pound quantities of methamphetamine to them on a regular basis.
McAllister commended the Drug Enforcement Administration, the Kansas Highway Patrol, the Topeka Police Department and Special Assistant U.S. Attorney Skip Jacobs for their work on the case.
Joseph Percoco, Former Executive Aide and Campaign Manager to N.Y. Governor, Convicted of Accepting More Than $300,000 in BribesRead the Press Release
Geoffrey S. Berman, the United States Attorney for the Southern District of New York, announced that JOSEPH PERCOCO, the former Executive Deputy Secretary to the Governor of the State of New York, was convicted of soliciting and accepting more than $315,000 in bribes in return for taking official state action to benefit energy company Competitive Power Ventures (“CPV”) and Syracuse-based real estate developer COR Development (“COR”) after an eight-week trial. STEVEN AIELLO, a COR executive, was also convicted of bribery conspiracy.
U.S. Attorney Geoff Berman said: “Joseph Percoco was found guilty of taking over $300,000 in cash bribes by selling something priceless that was not his to sell – the sacred obligation to honestly and faithfully serve the citizens of New York. As every schoolchild knows, but he corruptly chose to disregard, government officials who sell their influence to select insiders violate the basic tenets of a democracy. We will continue relentlessly to bring to justice those public officials who violate their oaths by engaging in this especially offensive misconduct.”
According to the evidence introduced at trial, other proceedings in this case, and documents previously filed in Manhattan federal court:
PERCOCO, who served as the Executive Deputy Secretary to the Governor between January 2012 and mid-2014, and again in 2015, abused his official position and extensive influence within the Executive Branch of New York State (the “State”) by seeking and accepting bribe payments from executives at companies that were seeking benefits and business from the State, in exchange for PERCOCO’s use of his official authority and influence to benefit those companies.
PERCOCO solicited the bribe payments from executives at two clients of cooperating witness Todd Howe – CPV and COR – both of which had retained Howe as a consultant to help them obtain official State action. In email correspondence between PERCOCO and Howe, PERCOCO and Howe referred to the bribe payments as “ziti,” a reference to a term for money used by the characters in the television show “The Sopranos.”
Bribes from CPV
PERCOCO, Howe, and others conspired for PERCOCO to receive more than $287,000 in bribe payments in exchange for PERCOCO’s official assistance for CPV on an as-needed basis.
State action was critical to CPV’s business. Starting as early as 2010, CPV provided personal benefits to PERCOCO, including expensive meals and a Hamptons fishing trip, in an effort to cultivate access to PERCOCO. In response to CPV’s requests for official State assistance, PERCOCO, who was experiencing financial difficulties at the time, requested that CPV hire his then-unemployed wife. In or around the end of 2012, CPV executive Peter Galbraith Kelly Jr. created a position for PERCOCO’s wife that paid approximately $90,000 per year while requiring PERCOCO’s wife to do little work. In exchange for these payments, PERCOCO agreed to use his official position and influence, and did in fact use his official position and influence, to help CPV with specific State matters as the opportunities arose.
Among other things, PERCOCO agreed to use his official position and influence to assist the CPV’s efforts to obtain (i) a valuable agreement from the State allowing CPV to buy lower-cost emissions credits in New York for a power plant proposed to be built in New Jersey and (ii) a lucrative long-term power purchase agreement with the State guaranteeing a buyer for the power to be produced at a power plant proposed to be built in New York, which was expected to save CPV approximately $100 million in development costs.
CPV’s payments to PERCOCO’s wife were concealed in various ways to hide their true source. For example, monthly payments to PERCOCO and his wife were made through a consultant who worked for CPV in order to disguise the source of the payments. For his part, PERCOCO concealed the criminal scheme by failing to include CPV as the source of payments on his State-mandated financial disclosure forms.
Bribes from AIELLO and the Syracuse Developer
Beginning in early 2014, PERCOCO was also paid bribes totaling approximately $35,000 from COR. These bribe payments were orchestrated by AIELLO, the COR president. AIELLO arranged for the payment of these bribes in exchange for PERCOCO’s official assistance for COR on an as-needed basis.
Specifically, PERCOCO agreed to, and did, take official action for the benefit of COR to (a) reverse an adverse decision by the Empire State Development Corporation, which is the State’s main economic development agency, that would have required COR to enter into a costly labor peace agreement, (b) free up a backlog of more than $14 million in State funds that had already been awarded to COR but were delayed in payment, and (c) secure a substantial pay raise for AIELLO’s son, who worked in the Executive Chamber.
To disguise the nature and source of the bribe payments, COR’s bribes to PERCOCO were funneled through bank accounts and a shell company set up by Howe.
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The jury was deadlocked on the charges against Kelly. Joseph Gerardi, a COR executive, was acquitted of all charges.
PERCOCO is scheduled to be sentenced on June 11, 2018, and AIELLO is scheduled to be sentenced on June 14, 2018. Both defendants will be sentenced by U.S. District Judge Valerie E. Caproni, who presided over the trial.
A chart containing the names, ages, residences, counts of conviction, and maximum penalties for the defendants is attached. The maximum potential sentences in this case are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendants will be determined by the judge.
U.S. Attorney Berman praised the work of the Buffalo Field Office of the Federal Bureau of Investigation and New York Office of the Internal Revenue Service-Criminal Investigation, which jointly conducted this investigation with investigators from the U.S. Attorney’s Office. Mr. Berman also thanked the New York State Attorney General’s Office.
This case is being prosecuted by the Office’s Public Corruption Unit. Assistant U.S. Attorneys Janis Echenberg, Robert Boone, David Zhou, and Matthew Podolsky are in charge of the prosecution; paralegal specialists Sylvia Lee and Aashna Rao provided additional support.
DEFENDANT
AGE
RESIDENCE
CONVICTED
CHARGE(S)
MAXIMUM SENTENCE(S)
JOSEPH PERCOCO
47
South Salem, NY
Conspiracy to Commit Honest Services Fraud, (Count Three and Four)
Solicitation of Bribes and Gratuities,
(Counts Five)
20 years each count
10 years
PETER GALBRAITH KELLY, JR.
53
Canterbury, CT
STEVEN AIELLO
58
Fayetteville, NY
Conspiracy to Commit Honest Services Fraud
20 years
JOSEPH GERARDI
57
Fayetteville, NY
Intra-Operative Monitoring Company Agrees to Pay $550,000 to Settle False Claims Act ClaimsRead the Press Release
PHILADELPHIA – Marshfield Medical, Inc., formerly known as Bromedicon, Inc. (“Bromedicon”), has agreed to pay $550,000 to settle allegations under the False Claims Act that it submitted false claims to Medicare and other federal health care programs for failing to provide a qualified interpreting physician to monitor each surgery for which it purportedly provided remote Intraoperative Neurophysiological Monitoring (“IONM”).
Bromedicon was in the business of providing real-time remote IONM during certain surgeries, such as brain and spinal surgeries. In IONM, a qualified interpreting physician in a remote location monitors the integrity of neural structures during surgery via a live data stream transmitted from electrodes on the patient. IONM is intended to reduce the likelihood of unintended damage to those structures and provide guidance to the surgeon during surgery. The qualified interpreting physician is in live contact with a technician in the operating room throughout the surgery so that relevant findings can be communicated to the surgeon in real time. Medicare rules require that the qualified interpreting physician is licensed to practice medicine.
In numerous cases between 2011 and 2015, Bromedicon failed to provide a qualified interpreting physician to monitor surgeries for which it purportedly provided remote IONM services. In some of those cases, no one monitored the data stream from the surgeries. In others, Bromedicon’s medical director, a foreign medical school graduate with no license to practice medicine in the United States, was the only monitor. Bromedicon violated the False Claims Act by submitting claims for reimbursement for these IONM services as though one of the licensed physicians employed by Bromedicon performed them.
The settlement resolves a lawsuit pending in federal court in the Eastern District of Pennsylvania that was filed under the qui tam, or whistleblower, provisions of the False Claims Act, which allow private citizens to bring civil actions on behalf of the United States and share in any recovery. “We thank the whistleblower in this case. Information from citizens can be invaluable in detecting and combatting fraud,” said U.S. Attorney Louis D. Lappen.
This case was investigated by the U.S. Department of Health and Human Services Office of the Inspector General and U.S. Office of Personnel Management Office of the Inspector General. For the U.S. Attorney’s Office, the investigation and settlement were handled by Assistant U.S. Attorney John T. Crutchlow and Auditor Dawn Wiggins.
Idaho Man Serving Sentence in Terrorism Case Pleads Guilty to Attempted Murder Charge in Attack on Federal Prison WardenRead the Press Release
LOS ANGELES – A man who was already serving a 25-year prison sentence for providing material support to a foreign terrorist organization pleaded guilty today to trying to kill the warden of the federal prison where he was serving his sentence.
Fazliddin Kurbanov, 34, entered a guilty plea to one count of attempted murder of a federal officer before United States District Judge Virginia A. Phillips.
In entering his plea, Kurbanov admitted to using a prison-made knife to attack the warden at the Federal Correctional Institute at Victorville on May 31, 2016, and attempting to slit his throat. The warden, who is now serving at another facility operated by the United States Bureau of Prisons, was seriously injured in the attack, but he has recovered.
As a result of today’s guilty plea, Kurbanov faces a sentence of at least 15 years in federal prison to be served consecutively to the 25-year sentence imposed in 2016 by a federal judge in Idaho after Kurbanov was found guilty of conspiring and attempting to provide material support to a designated foreign terrorist organization and possessing an unregistered destructive device.
Kurbanov is scheduled to be sentenced by Judge Phillips on June 4.
The investigation into the attack on the warden was conducted by the Federal Bureau of Investigation.
This case is being prosecuted by the National Security Division of the United States Attorney’s Office.
Guatemalan Man Sentenced for Illegally Re-Entering U.S. After Prior RemovalRead the Press Release
Gulfport, Miss. – Wilson Walberto Clemente-Perez, 27, a citizen of Guatemala, was sentenced today to 4 months in federal prison for illegally re-entering the United States after being lawfully removed, announced U.S. Attorney D. Michael Hurst, Jr., and Thomas M. Annello, Special Agent in Charge of the U.S. Immigration and Customs Enforcement's (AICE@) Homeland Security Investigations (AHSI@) in New Orleans, Louisiana. Clemente-Perez also faces Department of Homeland Security removal proceedings.
Further, Clemente-Perez was sentenced to 1 year of supervised release during which time he could face additional penalties if he were to unlawfully return to the United States, in addition to any other penalty. As a result of this felony conviction, if Clemente-Perez were to unlawfully return again to the United States, he could face up to 10 years in federal prison. Clemente-Perez was convicted after pleading guilty on January 26, 2018, before U.S. District Judge Louis Guirola, Jr., in Gulfport.
On November 5, 2017, a Honda CRV in which Clemente-Perez was a passenger was stopped by a Pearl River County Sheriff’s Deputy on Interstate-59 in Pearl River County, Mississippi, for speeding. While the Honda CRV was designed to seat five people, the deputy observed that, in addition to the driver, there were five unidentified passengers. The driver could not identify his passengers and the deputy could not communicate with the passengers due to a language barrier. Suspecting human smuggling, the deputy contacted the Department of Homeland Security and a special agent with Homeland Security Investigations was dispatched. A Mississippi Highway Patrol State Trooper also provided assistance.
Upon opening the Honda CRV’s cargo door, three additional passengers were found covered in the cargo area of the vehicle bringing the total number of occupants in the vehicle to nine including the driver. Clemente-Perez was one of the passengers in the cargo area. All of the vehicle occupants were taken to the Pearl River County Jail. Further investigation by Homeland Security Investigations revealed that Clemente-Perez previously had been removed from the United States on September 28, 2017, by the Department of Homeland Security after a lawful order of removal had been issued.
The driver of the vehicle was identified as Emerson Isaac Hernandez-Turcios, age 26, a citizen of Honduras, and a Legal Permanent Resident of the United States. On January 5, 2018, Hernandez-Turcios pleaded guilty to Conspiracy to Transport Illegal Aliens Within the United States, and is scheduled to be sentenced on April 5, 2018, before U.S. District Judge Sul Ozerden. Hernandez-Turcios faces up to 10 years in federal prison, plus 3 years of supervised release, a $250,000.00 fine, and $5,100.00 in special assessments.
U.S. Attorney Hurst praised the cooperation exhibited by the Department of Homeland Security, Homeland Security Investigations, the Pearl River County Sheriff’s Department and the Mississippi Highway Patrol. Assistant United States Attorney Stan Harris was the prosecutor for the case.
Grant County Doctor Found Guilty of 173 Drug ChargesRead the Press Release
COVINGTON, Ky. — Sundiata El-Amin, 69, a physician from Ft. Wayne, Indiana, was convicted today, by a federal jury sitting in Covington, of 173 drug trafficking offenses connected to his operation of the El-Amin Clinic, in Grant County, kentucky.
After four hours of deliberations, following a six-day trial, the jury convicted El-Amin of conspiracy to illegally distribute controlled substances, maintaining a premises for the illegal distribution of controlled substances, and 171 individual counts of illegally distributing controlled substances.
According to the evidence at trial, the Defendant conspired with his office manager to unlawfully dispense more than 300,000 oxycodone tablets, outside the scope of professional practice and without a legitimate medical purpose, over a period of approximately one year. The evidence revealed that he repeatedly issued improper prescriptions for high doses of oxycodone and regularly issued these prescriptions without examining patients.
El-Amin was indicted in December of 2015. His office manager, Wendy Price, entered a guilty plea, in February 2018, to conspiring with El-Amin to commit these offenses.
“This is another example of a medical professional being found guilty of choosing profit over medical judgment and callously fueling the opioid epidemic,” said Robert M. Duncan, Jr., United States Attorney for the Eastern District of Kentucky. “This despicable conduct represents an egregious breach of trust and does enormous damage, both to individuals struggling with addiction and to our communities. We will continue to make prosecuting this type of conduct a core priority and we want to thank our law enforcement partners for their excellent work in the investigation of this case.”
United States Attorney Duncan and Timothy J. Plancon, Special Agent in Charge, Drug Enforcement Administration, Detroit Division, jointly announced the jury’s verdict.
The investigation was conducted by the Drug Enforcement Administration. The United States was represented in the case by Assistant U.S. Attorneys Laura Voorhees and Tony Bracke.
El-Amin will appear for sentencing on July 26, 2017. He faces a maximum of 20 years in prison for each offense. However, the Court must consider the U.S. Sentencing Guidelines and the applicable federal statutes before imposing a sentence.
Grand Jury Indicts Six with Charges Related to MurderRead the Press Release
DAYTON – A federal grand jury has charged six individuals with crimes related to the August 2017 murder of Robert Caldwell in an indictment returned here today. Two defendants are charged with death-penalty-eligible crimes.
Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, Angela L. Byers, Special Agent in Charge, Federal Bureau of Investigation (FBI), Cincinnati Division, Riverside Police Chief Frank Robinson and Sugarcreek Township Police Chief Michael Brown announced the charges.
The FBI also announced a $15,000 reward for information leading to the recovery of 14-year-old Jacob Lee Caldwell and the arrest and conviction of anyone involved in his disappearance.
Those charged in the indictment include:
Name
Also Known As
Age
City of Residence
*Sterling H. Roberts
34
Spartanburg, S.C.
*Tawnney M. Caldwell
Tawnney Thomas
33
Centerville, Ohio
Chance P. Deakin
Chance Roberts
25
Dayton, Ohio
Christopher C. Roberts
30
Dayton, Ohio
James T. Harmon
55
Burlington, Ky.
Chandra D. Harmon
54
Burlington, Ky.
* Charged with murder
According to the six-count indictment, from August 1 to August 5, Sterling Roberts cyberstalked Robert Caldwell via cell phone through the assistance of Tawnney Caldwell.
On August 15, Sterling Roberts allegedly used a firearm that he possessed illegally and traveled interstate to stalk and murder Robert Caldwell. Tawnney Caldwell, Deakin, Christopher Roberts and James Harmon are all charged with aiding and abetting the illegal gun possession.
It is alleged that Tawnney Caldwell obstructed justice by destroying the contents and data of a cell phone on that same day.
Tawnney Caldwell and Chandra Harmon also allegedly conspired to intimidate and threaten witnesses related to the case in November 2017.
Crimes charged in the indictment include:
Crime
Potential Sentence
Stalking – using mail, computer, cell phone
Up to life in prison
Felon in possession of a firearm
Up to 10 years in prison
Stalking – traveling interstate
Up to life in prison
Discharging a firearm during and in relation to a crime of violence
Death penalty or up to life in prison
Tampering with evidence
Up to 20 years in prison
Tampering with a witness by intimidation
Up to 20 years in prison
Five of the defendants were arrested on February 28. Sterling Roberts is currently in state custody in South Carolina.
U.S. Attorney Glassman commended the investigation of this case by the FBI and Riverside and Sugarcreek Township police departments, as well as Assistant United States Attorneys Sheila G. Lafferty and Amy M. Smith, who are prosecuting the case.
If you have any information related to the whereabouts of Jacob Caldwell, please call the Sugarcreek Township Police at 937-310-3200 or the FBI at 513-421-4310.
An indictment merely contains allegations, and the defendants are presumed innocent unless proven guilty in a court of law.
# # #
Four East Central Illinois Men Arrested, Charged by Complaint with Possession of Machine GunRead the Press Release
URBANA, Ill. – This morning, FBI agents arrested four rural east central Illinois men on a criminal complaint that charges them with possession of a machine gun. The men arrested and charged are: Michael B. Hari, 47; Joe Morris, 22; Michael McWhorter, 29; and, Ellis Mack, 18, all of Clarence, Ill., a rural community approximately 35 miles north of Champaign-Urbana.
FBI agents arrested Hari this morning as he was traveling to a court appearance in Ford county, Ill., for a hearing in an alleged assault case pending against Hari.
Hari and Morris made their initial appearances in federal court this afternoon before U.S. Magistrate Judge Eric I. Long. McWhorter and Mack will make their respective initial appearances at a date to be determined by the U.S. Clerk of the Court.
The arrest and charges were announced by FBI Special Agent in Charge Sean Cox, Springfield Division, and U.S. Attorney John E. Childress.
The affidavit filed in support of the complaint alleges that the four men were in possession of assault rifles from October 2017 to March 2018. According to the affidavit, law enforcement agents have gathered evidence to indicate that Hari, McWhorter and Morris were responsible for the bombing of a mosque in Bloomington, Minn., on Aug. 5, 2017, and the attempted bombing of the Women’s Health Practice in Champaign, Ill., on Nov. 7, 2017.
This morning, law enforcement agents executed search warrants at the home of Hari’s parents, in Paxton, Ill.. According to the affidavit, Hari often stays at his parents’ home because his home has no running water or electricity. A search warrant was also executed at a store / office owned by Hari, located at 100 S. Main Road in Clarence.
The Federal Bureau of Investigation; Springfield Division; FBI Minneapolis Division; University of Illinois Police Department; Ford County Sheriff’s Office; Champaign Police Department; Illinois State Police; and the Bureau of Alcohol, Tobacco, Firearms and Explosives are continuing the investigation.
Assistant U.S. Attorneys Jason M. Bohm and Eugene L. Miller are representing the government on behalf of the U.S. Attorney’s Office, Urbana Division, Central District of Illinois, working in coordination with the U.S. Attorney’s Office for the District of Minnesota.
Members of the public are reminded that a complaint is merely an accusation; the defendants are presumed innocent unless proven guilty.
Former Hedge Fund Employee Sentenced for Multi-Million Dollar Fraud SchemeRead the Press Release
A New York resident was sentenced in federal court on March 10, 2018, for a three-year fraud scheme involving aggravated identity theft and money laundering.
Benjamin Greenberg, United States Attorney for the Southern District of Florida; Antonio J. Gomez, Postal Inspector in Charge, United States Postal Inspection Service (USPIS), Miami Division; Philip Bartlett, Special Agent in Charge, U.S. Postal Inspection Service, New York Division; Robert F. Lasky, Special Agent in Charge, Federal Bureau of Investigation (FBI), Miami Field Office; and John Brooks, Chief, Sunrise Police Department, announce that Gerti Muho, 34, of Ridgewood, New York, was sentenced to 22 years imprisonment by U.S. District Court Judge Beth Bloom in connection with an extensive fraud scheme that targeted various banks, lenders, and companies, including his former New York-based hedge fund employer and numerous real person victims. He was also ordered to pay approximately $1.7 million in restitution.
Muho was previously convicted in July 2017 during a three-week jury trial of 40 counts of bank and wire fraud, aggravated identity theft, and money laundering, in violation of Title 18, United States Code, Sections 1344, 1343, 1957, and 1028A.
At trial, the government presented evidence that Muho, 2012 University of California Berkeley, School of Law graduate, was fired from his job at an international hedge fund company in New York City in 2013. Thereafter, Muho stole the company’s data, created numerous shell companies and attempted to syphon millions of dollars from various hedge fund bank accounts, including wire transfer requests totaling approximately $5 million.
The trial evidence revealed that later in 2013, after submitting a series of fraudulent corporate documents, Muho induced a bank in Monaco to wire him over $2 million. Muho then fled to South Florida and used the funds for his own personal use, including gambling, shopping, and purchasing a new Maserati vehicle and an ocean-view downtown Miami condominium. Furthermore, Muho created various identities and obtained false identification cards in order to escape a pending federal civil court judgment. The trial evidence showed that Muho fraudulently obtained other loans as well, including a $500,000 business loan, which he used to gamble, shop and travel in as well as a $30,000 vehicle loan, which was used to obtain a new 2015 Jaguar vehicle.
The evidence presented at trial and sentencing illustrated that Muho additionally used the personal identifying and financial information of various employees, interns, and other individuals associated with his former employer, and created more fake identification cards and drivers licenses; Muho fraudulently opened various bank accounts in Miami-Dade and Broward counties; Muho created and cashed over $161,000 in fraudulent checks; Muho fraudulently attempted to obtain approximately $342,000 in federal tax refunds; and, finally, Muho fraudulently applied for approximately $580,000 in additional credit cards, vehicle, business, and student loans with numerous lenders. Muho was ultimately apprehended in Ridgewood, New York after fleeing South Florida.
“The sentence imposed is a success in our continuing efforts to combat fraud and identity theft in this community and across the country.” said U.S. Attorney Benjamin G. Greenberg. “Muho was an intelligent, highly educated person who used his knowledge and skills to perpetrate his various fraud schemes, which thanks to the tireless and diligent efforts of law enforcement, was successfully unraveled. We will continue to investigate and prosecute individuals who engage in deceptive and fraudulent behavior that is fueled by greed.”
“Muho’s criminal activity included stealing millions of dollars and people’s identities, which caused much financial harm to his victims. Today’s sentencing should send a clear message to those attempting to defraud others that it will not be tolerated,” said Antonio J. Gomez, Postal Inspector in Charge, United States Postal Inspection Service (USPIS), Miami Division. “No matter how complex the scheme, the United States Postal Inspection Service will work diligently to protect our consumers and the mail from criminal exploitation.”
“Gerti Muho is a talented, industrious and motivated individual, unfortunately, he chose to use these skills to illegally satisfy his greed,” said Robert F. Lasky, Special Agent in Charge, FBI Miami. “This type of fraud undermines the public’s confidence in our financial systems. The FBI and our partners take this seriously and are determined to bring wrongdoers like this to justice.”
Mr. Greenberg commends the investigative efforts of the USPIS, FBI, and Sunrise Police Department in this matter. This case was prosecuted by Assistant U.S. Attorneys Sean T. McLaughlin and Matthew Langley.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at http://www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.
Former Hattiesburg Police Officer Sentenced to 5 Years in Federal PrisonRead the Press Release
Jackson, Miss. – Thomas Wheeler, 33, a former Hattiesburg, Mississippi, police officer, was sentenced yesterday by U.S. District Judge Henry T. Wingate to 61 months in federal prison and a $1,500 fine for attempted possession of 50 kilograms or more of marijuana with the intent to distribute, announced U.S. Attorney Mike Hurst and Federal Bureau of Investigation (FBI) Special Agent in Charge Christopher Freeze.
On August 8, 2015, a Mississippi Highway Patrol Trooper stopped a commercial truck exiting Interstate 20 in Warren County. After observing suspicious activity, a police dog was walked around the vehicle and alerted on the truck. The Trooper obtained consent from Elijah Moore, the driver of the truck, to search the vehicle.
Upon searching the truck, officers found 8 duffle bags containing bricks of marijuana. Subsequently, Moore admitted that he obtained the marijuana from El Paso, Texas, and was transporting it to Mississippi in order to distribute it within the state. Moore also stated that he had exited the ramp to meet his grandson, Thomas Wheeler. Moore stated that Wheeler had agreed to unload the duffle bags of marijuana and transport them to Seminary, Mississippi, to be picked up by Moore at a later date. Wheeler was an off-duty Hattiesburg police officer at the time.
Elijah Moore subsequently pled guilty to possession with intent to distribute marijuana, and was sentenced on March 2, 2017, to 97 months in federal prison and a $1,500 fine.
At the time of the stop of Moore, agents saw a maroon Chevrolet SUV with a Covington County license plate parked on the off-ramp on which Moore’s truck was stopped. Moments after the stop, the maroon Chevrolet left the area on Interstate 20 heading towards Jackson. A traffic stop was later conducted on the maroon Chevrolet and the sole occupant of the vehicle was identified as Thomas Wheeler. Wheeler admitted that he had come to the location to obtain the marijuana from Moore and that Moore would pick the marijuana up from Wheeler later. Wheeler also admitted to having picked up another load of marijuana from Moore and paid $3,000.00.
The case was investigated by the FBI’s Southeast Mississippi Safe Streets Task Force in Hattiesburg, which is made up of special agents from the FBI and law enforcement officers from the Office of the Mississippi State Auditor, Mississippi Bureau of Narcotics and Hattiesburg Police Department, with assistance from the Mississippi Highway Patrol and Pearl Police Department.Former District of Columbia Government Employee Pleads Guilty to Federal Charges in Bribery SchemesRead the Press Release
WASHINGTON – A former management analyst for the District of Columbia Office of the State Superintendent of Education (OSSE) pled guilty today to federal charges stemming from schemes in which she accepted bribes in return for clearing the way for payments to be made on fraudulent invoices that cost the D.C. government more than $480,000.
The announcement was made by U.S. Attorney Jessie K. Liu, Andrew W. Vale, Assistant Director in Charge of the FBI’s Washington Field Office, and Daniel W. Lucas, Inspector General for the District of Columbia.
Shauntell Harley, 48, of Washington, D.C., pled guilty in the U.S. District Court for the District of Columbia to two counts of conspiracy to commit bribery. Each charge carries a statutory maximum of five years in prison and potential financial penalties. Under federal sentencing guidelines, the parties have estimated that Harley faces a likely range of 70 months to 87 months in prison and a fine of up to $125,000. The Honorable Randolph D. Moss scheduled sentencing for June 7, 2018.
As part of the plea agreement, Harley must pay $488,311 in restitution to the District of Columbia Office of the State Superintendent of Education. She also has agreed to pay a forfeiture money judgment in the amount of $100,400.
OSSE is an agency of the District of Columbia government. Harley was a management analyst for fiscal policy and grant management in OSSE’s Division of Special Education. From 2009 through 2014, her responsibilities included issuing requests for services through the government’s procurement process and then reviewing invoices from those who supposedly provided the services.
According to a statement of offense submitted at today’s plea hearing, Harley took part in two separate schemes involving fraudulent invoices paid by the D.C. government.
In one, scheme which began in or about June of 2012, she and business owner Vashawn Strader agreed that Harley would receive money and other things of value in exchange for favorable official action for Strader’s companies. They agreed that Strader would create fraudulent invoices purporting to reflect work that his companies did not actually perform. This work purportedly included early intervention services and professional development training.
Harley used her official position at OSSE to provide Strader with non-public information about OSSE contracts, assist him in creating fraudulent invoices, and submit these fraudulent invoices and other documents as necessary in order to cause OSSE to make the payments for services the companies never performed. In total, this led to $308,311 in payments in 2012 and 2013 to the two companies for services that never were provided. In return for her actions, Harley personally obtained a total of $43,900 in proceeds traceable to the scheme.
Strader, 39, of Washington, D.C., pled guilty in October 2017 to one count of conspiracy to commit bribery. He is awaiting sentencing. Under his plea agreement, Strader is required to pay $308,311 in restitution to OSSE and an identical amount in a forfeiture money judgment.
In the second scheme, which unfolded in 2013 and 2014, Harley admitted conspiring with the owner of another company to have that firm invoice OSSE for work that was not performed. Harley used her official position to create and submit fraudulent purchase orders and otherwise caused OSSE to pay the company. In exchange, the company owner provided Harley with a portion of the proceeds. According to the statement of offense, in this scheme Harley used her official position to cause OSSE to pay $179,999 for services that the company never provided. The company owner made approximately $53,000 in payments to Harley.
In announcing the plea, U.S. Attorney Liu, Assistant Director in Charge Vale, and Inspector General Lucas commended the work of those who investigated the case from the FBI’s Washington Field Office and Office of the Inspector General of the District of Columbia. They acknowledged the efforts of those who worked on the case from the U.S. Attorney’s Office, including Assistant U.S. Attorney Thomas Swanton, who assisted with forfeiture issues, and Paralegal Specialists Joshua Fein and Kristy Penny. Finally, they expressed appreciation for the work of Assistant U.S. Attorney Peter C. Lallas, who is investigating and prosecuting the matter.
Former Connecticut Resident Sentenced to More Than 5 Years in Prison for $3 Million Fraud SchemeRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, today announced that MOHSEN YOUSSEF, 27, formerly of Vernon, was sentenced yesterday by U.S. District Judge Janet Bond Arterton in New Haven to 63 months of imprisonment, followed by three years of supervised release, for fraud offenses relating to a scheme to secure more than $3 million in funding for his purported pita manufacturing business.
According to court documents and statements made in court, beginning in approximately October 2011, YOUSSEF defrauded various banks, a corporate leasing and vendor finance company, and the Connecticut Department of Economic and Community Development, in a scheme to secure funding for equipment purchases for his company, Amoun Pita and Distribution LLC (“Amoun Pita”), and other companies he controlled. According to its business plan, Amoun Pita was a bakery that manufactured pocket pita bread from a production facility in South Windsor, Connecticut.
As part of the scheme, YOUSSEF provided false information when applying for loans, lines of credit, lease financing and state grants, purportedly to finance the acquisition of new pita manufacturing equipment, other machinery and inventory related to his businesses. The false information included documentation that inflated the assets and income of YOUSSEF and his companies, as well as fraudulently created invoices purporting to document equipment purchases that, in fact, never occurred. In order to induce victims to rely on the invoices he provided, YOUSSEF created marketing materials and websites for non-existent vendors.
YOUSSEF caused more than $3 million in losses through this scheme.
The investigation revealed that YOUSEFF also defrauded a property owner who entered into an agreement to sell the land on which Amoun Pita was located.
Judge Arterton ordered YOUSSEF to pay the victim lenders and the defrauded property owner a total of $3,746,603 in restitution.
YOUSSEF, who has dual U.S and Egyptian citizenship, moved to Canada in 2014. On Oct 22, 2015, a grand jury returned a 14-count indictment charging YOUSSEF with various fraud offenses. He was arrested in Canada on March 1, 2017. On October 26, 2017, he pleaded guilty to one count of bank fraud and one count of mail fraud.
YOUSSEF has been detained since his arrest.
This matter was investigated by the Federal Bureau of Investigation, with the assistance of the Quebec Provincial Police RELEX Unit, Montreal Police Service and Royal Canadian Mounted Police. The case was prosecuted by Assistant U.S. Attorneys David E. Novick and Avi M. Perry.
Florida Man Found Guilty of Assaulting A Mail CarrierRead the Press Release
Orlando, FL – A federal jury today found Francisco Javier Barbot Cabassa (28, Kissimmee) guilty of forcibly assaulting a mail carrier while the carrier was engaged in the performance of his official duties, resulting in physical contact with the mail carrier.
According to testimony and evidence presented at trial, Barbot Cabassa approached the mail carrier, while he was distributing mail, and demanded that the carrier give him a package. The mail carrier requested that Barbot Cabassa provide identification, but Barbot Cabassa refused. As a result, the carrier informed Barbot Cabassa that he would need to go to the post office and provide identification in order to obtain the package. Barbot Cabassa then punched the mail carrier in the face and ultimately took the package.
This case was investigated by the U.S. Postal Inspection Service. It was prosecuted by Assistant United States Attorneys Alejandro J. Salicrup and Vincent S. Chiu.
Federal Jury Convicts Remaining Two Members of Large Scale Drug Trafficking Organization on All CountsRead the Press Release
United States Attorney Brandon J. Fremin announced today that a federal jury has unanimously convicted DEMITORIS “Big Tachi” ALEXANDER, age 52, of Gonzales and COLIN KNOX, age 39, of Baton Rouge, Louisiana, on all charges following a six-day jury trial before U.S. District Judge Shelly D. Dick, including numerous narcotics trafficking charges related to their significant roles in a large-scale and violent drug trafficking organization. Both defendants face a mandatory minimum of 20 years imprisonment and up to life imprisonment.
The evidence at trial demonstrated that ALEXANDER led a large-scale cocaine distribution organization in Ascension Parish that obtained cocaine from Houston, Texas, for distribution in Ascension Parish, Baton Rouge and elsewhere. ALEXANDER recruited female couriers to travel to Houston in vehicles with aftermarket secret compartments to transport money to Houston and cocaine from Houston. For example, one such courier, Andrea Rumore, transported 18 kilograms of cocaine from Houston on behalf of ALEXANDER when law enforcement stopped her vehicle in Port Allen, Louisiana. The evidence at trial also reflected that, during the spring and summer of 2013, ALEXANDER obtained and distributed over 350 kilograms of cocaine to others, including Kelly Williams.
The evidence at trial demonstrated that KNOX’s role in the organization was as an enforcer who used violence and threats of violence to protect Williams and the organization. For example, on at least two occasions in 2013, KNOX attempted to locate and harm others that were involved in disputes with Williams.
ALEXANDER and KNOX are the final two of 38 defendants convicted in Operation Third World, an extensive investigation that dismantled a violent drug trafficking network primarily operating out of Baton Rouge and Ascension Parish.
United States Attorney Brandon J. Fremin stated, “These convictions, which included the leader of a multi-kilogram cocaine trafficking group and an ‘enforcer’ involved in a chilling murder plot and other violence, deliver a devastating blow to the heart of a violent drug trafficking organization that was responsible for spreading significant amounts of cocaine and other illegal drugs throughout our district. Every community and every person deserves peace, security, and freedom from the tyranny of violent drug traffickers. The combined federal, state, and local effort, which resulted in the conviction of 38 members of this organization, reflects once again the unified front against drug dealers and violent offenders in this district. I greatly appreciate the tremendous dedication and hard work by the agents, prosecutors, and support staff working on this important matter.”
DEA Assistant Special Agent-in-Charge Brad L. Byerley stated, “These convictions send a clear message that drug traffickers operating in the Middle District of Louisiana will be held accountable for their crimes. DEA, in conjunction with our state and local law enforcement partners, will continue to work together to keep our nation, state, and community safe.”
The investigation is another effort by the Organized Crime Drug Enforcement Task Force (OCDETF) Program which was established in 1982 to mount a comprehensive attack against organized drug traffickers. Today, the OCDETF Program is the centerpiece of the United States Attorney General’s drug strategy to reduce the availability of drugs by disrupting and dismantling major drug trafficking organizations and money laundering organizations and related criminal enterprises. The OCDETF Program operates nationwide and combines the resources and unique expertise of numerous federal, state, and local agencies in a coordinated attack against major drug trafficking and money laundering organizations.
Operation Third World was handled by the U.S. Attorney’s Office, the U.S. Drug Enforcement Administration (DEA), the Internal Revenue Service-Criminal Investigations (IRS-CI), the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), the Baton Rouge City Police Department, the West Baton Rouge Parish Sheriff’s Office, the East Baton Rouge Parish Sheriff’s Office, the Ascension Parish Sheriff’s Office, the Louisiana State Police, the Iberville Parish Sheriff’s Office, the Livingston Parish Sheriff’s Office, the Gonzales Police Department, and the Baker Police Department. This matter was prosecuted by Assistant United States Attorneys Jennifer Kleinpeter and Adam Ptashkin.
Erie Man Charged with Punching Out Federal Courthouse Complex WindowRead the Press Release
ERIE, Pa. – A resident of Erie, Pennsylvani,a has been indicted by a federal grand jury in Erie on a charge of willfully injuring or committing any depredation against any property of the United States, United States Attorney Scott W. Brady announced today.
The one-count indictment named Paul Howard Scalf, 48, as the sole defendant.
According to the indictment presented to the court, on or about December 23, 2017, Scalf punched out a window causing it to shatter on the southwest side of the Erie Federal Courthouse Complex which caused damaged in excess of $1,000.00.
The law provides for a maximum total sentence of 10 years in prison, a fine of $250,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offense and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Christian A. Trabold is prosecuting this case on behalf of the government.
The United States Department of Homeland Security and the Federal Protective Service conducted the investigation leading to the indictment in this case.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Dubuque Man Pleads Guilty to Methamphetamine Trafficking and Money LaunderingRead the Press Release
A man who conspired to distribute pounds of methamphetamine and launder drug proceeds pled guilty on March 12, 2018, in federal court in Cedar Rapids.
Derek Richard Rath, age 35, of Dubuque, Iowa, was convicted of conspiracy to distribute methamphetamine and conspiracy to commit money laundering.
Evidence at a prior court proceeding showed that Rath received several multi-pound shipments of ice methamphetamine through the mail, which he then resold in Dubuque. Evidence showed that Anthony McCarron mailed the methamphetamine from Phoenix, Arizona, to Rath from September 2016 to June 2017. Rath also shipped large quantities of cash to McCarron to pay for each shipment of methamphetamine. At the plea hearing, Rath admitted that he and McCarron used aliases when shipping the drugs and money. McCarron previously pled guilty to conspiracy to distribute methamphetamine and conspiracy to commit money laundering on October 30, 2017.
Sentencing before United States District Court Chief Judge Leonard T. Strand will be set after a presentence report is prepared. Rath remains in custody of the United States Marshal pending sentencing. Rath faces a mandatory minimum sentence of 20 years’ imprisonment and a possible maximum sentence of life imprisonment, a $40,000,000 fine, and at least 10 years of supervised release following any imprisonment.
The case is being prosecuted by Special Assistant United States Attorney Drew O. Inman and was investigated by the Dubuque Drug Task Force, the Iowa Division of Narcotics Enforcement, and the Federal Bureau of Investigation.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl. The case file number is 17-CR-1042-LTS. Follow us on Twitter @USAO_NDIA.
District Man Pleads Guilty to Firearm and Drug Trafficking Offense Committed While on Supervision for Firearm ConvictionRead the Press Release
WASHINGTON – Delonta Phillips, 28, of Washington, D.C., pled guilty today to a federal charge stemming from a police pursuit that led to the recovery of a loaded firearm and a significant quantity of marijuana from the vehicle he had been driving.
The plea, in the U.S. District Court for the District of Columbia, was announced by U.S. Attorney Jessie K. Liu, Thomas L. Chittum III, Special Agent in Charge of the Washington Field Division of the U.S. Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), and Peter Newsham, Chief of the Metropolitan Police Department (MPD).
Phillips pled guilty before the Honorable Senior Judge Thomas F. Hogan to one count of possession of a firearm in furtherance of a drug trafficking offense. The plea agreement, which is contingent upon the Court’s approval, calls for a sentence of five years in prison, to be followed by five years of supervised release. Judge Hogan scheduled a sentencing for May 30, 2018.
According to the government’s evidence, on Oct. 11, 2017, at approximately 2:15 p.m., ATF agents and a MPD Task Force Officer conducted surveillance in the 3400 block of 24th Street SE for Phillips, who was the subject of pending warrants.
Upon seeing Phillips, law enforcement attempted to arrest him. Phillips quickly entered the driver’s side door of a burgundy Cadillac DeVille and fled from law enforcement. Agents immediately followed Phillips’s vehicle and put out a vehicle description over the radio. Agents observed the vehicle turn left onto Southern Avenue SE, right onto Naylor Road at Suitland Parkway, left onto eastbound Suitland Parkway, exit onto the Suitland Road off ramp, make a left onto Suitland Road, and finally come to a stop in the 3700 block of Regency Parkway, in Suitland, Md. Agents observed Phillips exit the front driver’s side door of the vehicle and flee on foot into the woods. An ATF agent pursued Phillips into the woods, while another agent remained with the vehicle and coordinated the response of multiple law enforcement officers in setting up a perimeter around the ravine to prevent Phillips’s escape.
While securing the vehicle, agents observed a back pack on the driver’s side floor of the back seat. Inside the back pack, agents subsequently recovered a Glock 26, 9mm-caliber firearm, with an extended magazine containing 28 rounds of ammunition, and a jar and full gallon Ziploc bag of marijuana. At approximately 3:15 p.m., Phillips was discovered hiding underneath a ledge in the ravine, while submerged in water. Law enforcement subsequently determined that the recovered firearm had been reported stolen to the Anne Arundel County, Md., Police Department
At the time of his arrest, Phillips was on supervised release following an earlier guilty plea to a firearms offense in the Superior Court of the District of Columbia. He now could face formal revocation of his supervised release in that case.
In announcing the plea, U.S. Attorney Liu, Special Agent in Charge Chittum, and Chief Newsham commended the work of those who investigated the case from ATF and MPD. They also acknowledged the efforts of those who worked on the case from the U.S. Attorney’s Office for the District of Columbia, including Assistant U.S. Attorney Christopher Macchiaroli, and Paralegal Specialists Candace Battle and Teesha Tobias.
District Man Found Guilty of Murder and Other Charges in 2015 Drive-By Shooting in Southeast WashingtonRead the Press Release
WASHINGTON – Dominique Williams, 24, of Washington, D.C., has been found guilty by a jury of murder and other charges in the 2015 drive-by killing of a man in Southeast Washington, announced U.S. Attorney Jessie K. Liu and Peter Newsham, Chief of the Metropolitan Police Department (MPD).
Williams was found guilty on March 12, 2018, of second-degree murder while armed, assault with a dangerous weapon, and related firearms offenses. A co-defendant, Maricco Knight, 25, of Washington, D.C., was found guilty by the jury of acting as an accessory after the fact and obstruction of justice for his role in assisting Williams while Williams was evading law enforcement prior to his arrest. The verdicts followed a trial in the Superior Court of the District of Columbia. The Honorable Judith Bartnoff scheduled sentencing for both defendants to take place on May 11, 2018.
According to the government’s evidence, on Sept. 19, 2015, shortly after 1 a.m., Williams, Knight and another man pulled over a Honda Accord in the 3200 block of 28th Street SE. Williams was in the rear passenger seat, Knight was in the front passenger seat, and the third man was driving. A short distance away from the Accord, gathered in an alley, were three men and an 11-year-old boy. Williams had earlier disputes with persons who resided or sometimes gathered in the block, but none of those persons was among the group in the alley.
After the Accord pulled over, Williams leaned out of the car and fired eight shots from a 9-millimeter handgun at the group. One person was hit – Marcellus Green, 39. He was shot once and was declared dead about an hour later. The three people in the Accord drove off.
MPD officers were on the scene within a few minutes. Witnesses gave the police a description of the Accord and its license plate number. At about 1:40 a.m., an officer in a marked MPD cruiser spotted the Accord, still occupied by the three men, in a different neighborhood. Before the officer could even activate his emergency equipment, the Accord began to drive off at a high rate of speed. After a 20-minute chase, during which the 9-millimeter handgun was tossed out, the Accord crashed and all three occupants fled on foot. Within two minutes, the driver and Knight were stopped.
Williams, however, got away. An arrest warrant was issued for him three months later and he was ultimately apprehended on July 20, 2016, at the residence of Knight’s girlfriend. During the search for Williams, according to the government’s evidence, Knight assisted in helping Williams hide out despite the fact that he was told repeatedly by law enforcement that Williams was wanted for the murder.
In announcing the verdicts, U.S. Attorney Liu and Chief Newsham commended the work of those who investigated the case from the Metropolitan Police Department. They acknowledged the efforts of those who worked on the case from the U.S. Attorney’s Office, including Michael Ambrosino, Special Counsel for DNA and Forensic Evidence Litigation; Forensic Operation/Program Specialist Benjamin Kagan-Guthrie; Litigation Technology Specialist Leif Hickling; Paralegal Specialist Alesha Matthews; Investigative Analyst Zachary McMenamin; former Supervisory Victim/Witness Services Coordinator David Foster; Victim/Witness Security Specialist Lesley Slade; Victim/Witness Advocate Marcia Rinker, and Interns Korey Johnson and Shani Brown.
Finally, they commended the work of Assistant U.S. Attorney Michael Liebman who investigated and prosecuted the case, and Assistant U.S. Attorney Ahmed Baset, who prosecuted the case.
Denham Springs Man Convicted of Illegally Possessing Numerous Firearms and an Unregistered SilencerRead the Press Release
United States Attorney Brandon Fremin announced today that JOSHUA ANDREW GUILLOT, age 30, of Denham Springs, Louisiana, has been convicted of one count of possession of a firearm by a convicted felon, in violation of Title 18, United States Code, Section 922(g)(1), and one count of possession of an unregistered firearm, in violation of Title 26, United States Code, Section 5861(d). Earlier today, GUILLOT pled guilty to both counts before U.S. District Judge Shelly D. Dick. At sentencing, the defendant faces a significant prison term, fines, and forfeiture of the firearms and ammunition seized during in the underlying investigation.
The guilty plea arises from a tip by a concerned citizen to the Bureau of Alcohol, Tobacco, Firearms and Explosive (“ATF”), regarding social media postings made by the defendant. After corroborating the citizen tip, and reviewing GUILLOT’s criminal history, which included convictions for felony controlled substance offenses, the ATF quickly obtained a federal search warrant for the defendant’s residence located in Denham Springs, Louisiana.
In connection with his guilty plea today, GUILLOT admitted to a factual summary which detailed his illegal possession of firearms and silencers. According to the factual summary, on October 23, 2017, working in collaboration with the Livingston Parish Sheriff’s Office, the ATF seized 17 firearms, including several high-capacity semi-automatic rifles, 3 silencers, and over 5,000 rounds of ammunition, among other things, from the defendant’s home.
U.S. Attorney Brandon Fremin stated, “These convictions demonstrate the important role that conscientious citizens play in removing firearms from the hands of convicted felons. We are very grateful that this citizen decided to pick up the phone and help law enforcement to protect our community.”
The matter is being handled by the United States Attorney’s Office for the Middle District of Louisiana and the Baton Rouge Office of the Bureau of Alcohol, Tobacco, Firearms, and Explosives, with substantial assistance provided by the Livingston Parish Sheriff’s Office. The matter is being prosecuted by Assistant United States Attorneys Elizabeth E. White and J. Brady Casey.
Clarion Man to Prison for Escape ConvictionRead the Press Release
A man who escaped from custody was sentenced today to more than two years in federal prison. Chad Stocks, age 37, from Clarion, Iowa, received the prison term after an October 13, 2017, guilty plea to one count of escape from custody. Stocks was also sentenced on a revocation of supervised release based on his admissions to several violations of the terms and conditions of his supervised release following his prior federal felony drug and firearm convictions.
At the guilty plea, Stocks admitted he escaped from the residential facility in Mason City, Iowa. In 2007, Stocks was sentenced to 168 months’ imprisonment for conspiracy to distribute methamphetamine and possession of a firearm in furtherance of a drug trafficking crime. He was released from prison on April 14, 2017, and entered the Beje Clark Residential Release Center on April 19, 2017. He was to be released from the center on July 3, 2017. However, on June 21, 2017, after violating several conditions of his release, Stocks left the facility without permission and did not return.
Stocks was sentenced in Sioux City by United States District Court Chief Judge Leonard T. Strand. Stocks was sentenced to 12 months’ imprisonment on the escape conviction and 21 months’ imprisonment on the release violations, for a total of 33 months’ imprisonment. He must also serve a 3-year term of supervised release after the prison term. There is no parole in the federal system. Stocks is being held in the United States Marshal’s custody until he can be transported to a federal prison.
The case was prosecuted by Assistant United States Attorney Shawn S. Wehde and investigated by the U.S. Marshals Service.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 17-3038. Follow us on Twitter @USAO_NDIA.
Clarion County Felon Charged with Illegally Possessing a Gun and AmmunitionRead the Press Release
PITTSBURGH – A Clarion County resident has been indicted by a federal grand jury in Pittsburgh on a violation of the federal firearms laws, United States Attorney Scott W. Brady announced today.
The one-count indictment, returned on March 6 and unsealed today, named Emmett Freshcorn, 29, Ashland Township, Pennsylvania, as the sole defendant.
According to the indictment, on December 11, 2017, Freshcorn illegally possessed a firearm and ammunition. Freshcorn has previously been convicted of a felony, and is prohibited from possessing a firearm.
For possessing a firearm as a convicted felon, the law provides for not more than 10 years in prison, a fine of $250,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offense and the prior criminal history of the defendant.
Assistant United States Attorney Timothy Lanni is prosecuting this case on behalf of the government.
This case was brought as part of Project Safe Neighborhoods (PSN), a program that has been historically successful in bringing together all levels of law enforcement to reduce violent crime and make our neighborhoods safer for everyone. Attorney General Jeff Sessions has made turning the tide of rising violent crime in America a top priority. In October 2017, as part of a series of actions to address this crime trend, Attorney General Sessions announced the reinvigoration of PSN and directed all U.S. Attorney’s Offices to develop a district crime reduction strategy that incorporates the lessons learned since PSN launched in 2001.
The Bureau of Alcohol, Tobacco, Firearms, and Explosives, and the Pennsylvania State Police conducted the investigation leading to the indictment in this case.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Chinle Man Sentenced to 59 Months for Assaulting GirlfriendRead the Press Release
PHOENIX– On March 12, 2018, Bennie Lee Holtsoi, 27, of Chinle, Ariz., was sentenced by U.S. District Judge Douglas L. Rayes to 59 months’ imprisonment. Holtsoi had previously pleaded guilty to assault resulting in serious bodily injury.
In June 2016, Holtsoi assaulted his then girlfriend, a member of the Navajo Nation, resulting in multiple lacerations and abrasions to her scalp and body. Holtsoi is also a member of the Navajo Nation.
Navajo Nation Criminal Investigations and the Federal Bureau of Investigation conducted the investigation. The prosecution was handled by Kiyoko Patterson, Assistant U.S. Attorney, District of Arizona, Phoenix.
CASE NUMBER: CR-16-8266-PCT-DLR
RELEASE NUMBER: 2018-026_Holtsoi
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For more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Follow the U.S. Attorney’s Office, District of Arizona, on Twitter @USAO_AZ for the latest news.
Charlotte Man Sentenced on Federal Drug ChargeRead the Press Release
BLUEFIELD, W.Va. – United States Attorney Mike Stuart announced today that Timothy Fields, 40, of Charlotte, was sentenced to 30 months in federal prison for distribution of hydromorphone. Fields pled guilty in November, admitting that on January 18, 2017, he distributed a quantity of hydromorphone to a confidential informant in Bluefield. He also admitted that he distributed hydromorphone and cocaine base on other occasions, and that he manufactured a quantity of cocaine base, all as charged in the indictment. Stuart commended the investigative efforts of the Southern Regional Drug and Violent Crime Task Force.
“The illegal trafficking of prescription opioids and other dangerous drugs has devastated our southernmost counties. My Office will continue to fight for West Virginia families struggling with opioid addiction by aggressively prosecuting those responsible for distributing them throughout our communities,” said United States Attorney Mike Stuart.
Senior United States District Judge David A. Faber imposed the sentence in federal court in Bluefield. The case was investigated under the Bluefield Pill Initiative, part of an ongoing effort led by the United States Attorney’s Office for the Southern District of West Virginia to combat the illicit sale and misuse of prescription drugs. The U.S. Attorney’s Office, joined by federal, state and local law enforcement agencies, is committed to aggressively pursuing and shutting down illegal pill trafficking, eliminating open air drug markets, and curtailing the spread of opiate painkillers in communities across the Southern District. Assistant United States Attorney John File prosecuted the case.
Follow us on Twitter: @SDWVNews and @USAttyStuart
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California Man Sentenced to 15 Years for Federal Drug and Gun Offenses in AnchorageRead the Press Release
Anchorage, Alaska – U.S. Attorney Bryan Schroder announced that a California man was sentenced on Friday, March 9, 2017, for federal drug and gun offenses in Anchorage.
Abreain Terron Dalton, 36, of Victorville, California, was sentenced by Chief U.S. District Judge Timothy M. Burgess, to serve 15 years in prison, followed by a five-year term of supervised release. Dalton was also ordered to forfeit $4,830. Dalton previously pleaded guilty on Oct. 10, 2017, to possession with intent to distribute controlled substances and carrying a firearm during and in relation to drug trafficking.
According to court documents, on April 29, 2017, APD responded to a report of a man “passed out” behind the wheel of a running vehicle on Tudor Road. When officers arrived, they blocked the car, and were eventually able to wake the driver, who was identified as Dalton. The officers were able to persuade Dalton to turn off his vehicle. As the officers attempted to convince him to exit, however, Dalton turned the car back on and tried to ram the blocking police cars out of the way, which failed and led to him trying to escape by foot. While Dalton was attempting to escape from the officers, he discarded a bag.
The investigation revealed that the bag contained distributable amounts of heroin, methamphetamine, and cocaine – in both forms: powder and crack. The investigation further revealed that Dalton had been in possession of a stolen pistol during the offense. Upon Dalton’s arrest, he was in possession of approximately $4800 in drug proceeds, which was going to be used to purchase more drugs for future distribution in Alaska.
The Anchorage Police Department (“APD”) and the Bureau of Alcohol, Tobacco, Firearms and Explosives (“ATF”) conducted the investigation leading to the successful prosecution of this case. Assistant U.S. Attorney Stephan Collins prosecuted this case.