Latest Records
Newest first across public DOJ and U.S. Attorney press releases.
12 March 2018
Defendant Sentenced in Multimillion Dollar Prize Promotion Scams Targeting Elderly VictimsRead the Press Release
An individual who ran multimillion dollar prize promotion scams was sentenced on March 12, 2018, to serve 87 months in prison by a federal judge in Las Vegas, Nevada, the Department of Justice announced.
Glen Burke, 58, of Las Vegas, was sentenced to 87 months in prison, followed by three years of supervised release. U.S. District Judge Jennifer A. Dorsey also ordered Burke to pay $2,785,508.36 in restitution, reflecting the consumer loss from one of Burke’s schemes.
Burke pleaded guilty in December 2017 to criminal contempt of court and conspiracy charges arising from his operation of two predatory schemes that defrauded thousands of victims, many of whom were elderly, out of more than $20 million. Burke conducted those fraudulent campaigns in violation of a 1998 court order obtained by the Federal Trade Commission (FTC) permanently banning him from telemarketing and making misrepresentations to consumers. A co-defendant, Michael Rossi, 52, also of Las Vegas, also pleaded guilty in connection with one of Burke’s schemes. Rossi is scheduled to be sentenced on June 25, 2018.
“This case exemplifies the Department’s commitment to halt schemes that target seniors, which the Attorney General announced in an historic elder fraud sweep a few weeks ago,” said Acting Assistant Attorney General Chad Readler of the Justice Department’s Civil Division. “We are sending a clear message: Perpetrators of telemarketing fraud will be prosecuted and law enforcement will not stop until fraudulent mass mailing practices are halted.”
Burke pleaded guilty to criminal contempt of court for violating a court order prohibiting him from making misrepresentations to consumers. The charge stemmed from Burke’s operation of a mass-mailing fraud scheme that misled consumers into believing that they had won large cash prizes, often millions of dollars. Burke specifically mailed consumers solicitations that used fake names and, in many cases, looked like they came from law firms or financial institutions, advising consumers to pay a fee – usually $20 to $30 – to claim their promised winnings. Once consumers paid, however, Burke never sent any consumer a promised prize.
Burke, along with Rossi, also pleaded guilty to conspiracy to commit mail and wire fraud for running a fraudulent telemarketing operation. Telemarketers working for Burke and Rossi falsely told victims that they had won one of five valuable prizes, typically: a Chevy Camaro; a Boston Whaler boat; a diamond-and-sapphire bracelet; $3,000 cash; or a cruise that could be exchanged for $2,300. To claim the prize, consumers were told to pay hundreds, or in some cases thousands, of dollars. Once they paid, victims received a nearly worthless piece of costume jewelry or nothing at all.
In January 2013, the FTC filed a civil contempt case against Burke for violating the 1998 court order. The district court found Burke in civil contempt and ordered him to pay contempt sanctions of over $20 million, reflecting consumer loss from both the telemarketing and mass-mailing schemes.
Acting Assistant Attorney General Readler commended the investigative efforts of the U.S. Postal Inspection Service and thanked the FTC for its valuable assistance. The case was prosecuted by Trial Attorneys Timothy Finley and Daniel Zytnick of the Consumer Protection Branch of the Department of Justice’s Civil Division and Assistant U.S. Attorney Nicholas Dickinson of the District of Nevada.
Defendant Indicted in Brooklyn Federal Court for Transnational Cyber ScamRead the Press Release
Earlier today, in federal court in Brooklyn, an indictment was unsealed charging Joshua Philips, also known as “Erick Ayo Kalu,” “Anthony Abongile Baker” and “Johnson Foday Brown,” with conspiring to commit wire and bank fraud and conspiring to commit money laundering, in connection with several business email compromise and confidence fraud scams. Philips was arrested on March 7, 2018, in the Northern District of Georgia and was arraigned this afternoon before United States Magistrate Judge Linda T. Walker at the federal courthouse in Atlanta, Georgia.
Richard P. Donoghue, United States Attorney for the Eastern District of New York, and William F. Sweeney, Jr., Assistant Director-in-Charge, Federal Bureau of Investigation, New York Field Office (FBI), announced the charges.
“As alleged in the indictment, Philips stole hundreds of thousands of dollars from his victims, then laundered the proceeds of his scam,” stated United States Attorney Donoghue. “The rule of law applies in cyberspace just as it does on the street, and this Office, together with our law enforcement partners, is committed to investigating and prosecuting cybercriminals like the defendants who engage in illegal conduct.” Mr. Donoghue expressed his appreciation to the FBI Field Office in Atlanta and the United States Attorney’s Office for the Northern District of Georgia for their assistance in the case.
“As we alleged, Joshua Philips, together with others, was able to swindle more than $800,000 from unsuspecting victims as a result of schemes of deception known as business email compromise and confidence fraud,” stated FBI Assistant Director-in-Charge Sweeney. “Philips, together with others, tricked victims into sending funds to accounts they thought were part of a legitimate business deal. The defendant then transferred his ill-gotten gains to overseas accounts. I commend the work of the Cyber Task Force who worked dutifully to bring this case to justice.”
Business email compromise is a form of cyber-enabled financial fraud. In a typical business email compromise scheme, a malicious actor compromises legitimate business email accounts through computer intrusion techniques or social engineering and uses those accounts to cause the unauthorized transfer of funds. Techniques for perpetrating these schemes include spear phishing, identity theft, spoofing of emails and websites, and the use of malware.
Confidence fraud is another form of cyber-enabled financial fraud. In a typical confidence fraud, a malicious actor befriends, and gains the confidence of, another individual through online communications and uses that confidence to cause the transfer of funds for unauthorized purposes.
As alleged in court documents, individuals in the Eastern District of New York and around the United States were defrauded – through business email compromise and confidence fraud scams – into sending more than $800,000 to the defendant. For example, in or about July 2017 and August 2017, the defendant and others targeted an individual on Long Island (“John Doe 1”) who was engaged in a real estate transaction involving the purchase of property in Massapequa, New York, and his real estate attorney (“John Doe 2”), who facilitated the purchase. On or about August 23, 2017, John Doe 1 received an email from John Doe 2’s email account asking, “With regards to the closing funds, is it currently available?” After responding that the funds were available, John Doe 1 received an email on August 24, 2017 from John Doe 2’s email account instructing him to “to go to your local branch within the day and initiate a wire transfer of the funds to my attorney escrow account.” The email provided information for a bank account that was, in fact, in the control of one of the defendant’s co-conspirators. On August 28, 2017, John Doe 1 sent a wire transfer in the amount of $84,000 to the bank account. The co-conspirator received the money and transferred a portion of it to Philips, who then wired a portion of it overseas. John Doe 2 has informed law enforcement officers that he did not send the August 24 email and that the bank account details did not pertain to any account within his control.
As part of the broader cyber-enabled schemes, Philips unlawfully transferred the fraudulently obtained money overseas, including to various foreign bank accounts and to purchase used cars for an import/export company in Nigeria.
The charges in the indictment are merely allegations, and the defendant is presumed innocent unless and until proven guilty.
According to the FBI’s Internet Crime Complaint Center (IC3), business email compromise and confidence fraud scams have continued to rise over the past few years and were the top two types of internet crimes (by reported loss) reported to the FBI in 2016. Such scams have victimized large and small companies, as well as individuals, in every U.S. state and in more than 100 countries around the world.
If you or your company has been victimized by a business email compromise scam or confidence fraud, it is important to act quickly. The FBI’s Internet Crime Complaint Center (IC3) provides the public with a reporting mechanism to submit information concerning suspected Internet-facilitated criminal activity. Individuals and companies who have been victims of Internet crimes are encouraged to file a complaint online at www.ic3.gov. In addition, victims can take steps to mitigate further loss such as contacting banks, credit card companies, and/or credit bureaus to block accounts, freeze accounts, dispute charges, and attempt recovery of lost funds.
The government’s case is being handled by the Office’s National Security & Cybercrime Section. Assistant United States Attorney Saritha Komatireddy is in charge of the prosecution.
The Defendant:
JOSHUA PHILIPS (also known as “Erick Ayo Kalu,” “Anthony Abongile Baker” and “Johnson Foday Brown”)
Age: 33
Ellenwood, GeorgiaE.D.N.Y. Docket No. 18-CR-121
Danbury Man Sentenced to 30 Months in Prison for Distributing HeroinRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, announced that JOSE GREGORY CHARON, also known as “Yoshi,” 32, of Danbury, was sentenced today by U.S. District Judge Michael P. Shea in Hartford to 30 months of imprisonment, followed by four years of supervised release, for distributing heroin. Judge Shea also ordered CHARON to serve the first six months of his supervised release in home confinement.
This prosecution is part of an ongoing statewide initiative targeting narcotics dealers who distribute heroin, fentanyl or opioids that cause death or serious injury to users.
According to court documents and statements made in court, on April 9, 2017, the Danbury Police Department responded to a Danbury residence on a report of an untimely death of a woman. Investigators collected from the scene three cellphones, a bottle of methadone and an empty glassine bag marked with a particular brand stamp. Testing of the contents of the bag confirmed that it contained heroin.
The Office of the Chief Medical Examiner determined that the victim died on April 8, 2017, as a result of a methadone and benzodiazepine overdose.
In May 2017, investigators made two controlled purchases of heroin from CHARON. Several of the bags of heroin purchased on both occasions were marked with the same brand stamp that was on the empty bag found in the overdose victim’s residence.
CHARON has been detained since his arrest on a federal criminal complaint on September 12, 2017. On December 21, he pleaded guilty to one count of distribution of heroin.
This matter was investigated by the DEA’s Bridgeport High Intensity Drug Trafficking Area Task Force, the Danbury Police Department and the Darien Police Department. The Task Force includes members from the Bridgeport, Stamford, Stratford, Norwalk and Milford Police Departments, and the Connecticut State Police. This case was prosecuted by Assistant U.S. Attorneys Douglas P. Morabito and David C. Nelson.
Columbus Man Pleads Guilty to Gun and Drug ChargesRead the Press Release
HUNTINGTON, W.Va. – A Columbus, Ohio man who sold heroin and an illegal firearm in Huntington in 2016 pled guilty today to a federal gun and drug charges, announced United States Attorney Mike Stuart. Jamal Marsalas Glass, 20, entered his guilty pleas to distributing heroin and carrying a firearm during and in relation to a drug trafficking crime. U.S. Attorney Stuart credited the work of the Bureau of Alcohol, Tobacco, Firearms and Explosives and emphasized the importance of the agency’s role in addressing gun crime in the City of Huntington.
“The only thing my Office is more committed to than prosecuting dangerous out-of-state drug dealers is prosecuting drug dealers that carry guns. We are aggressively prosecuting gun toting drug dealers.” said United States Attorney Mike Stuart.
On August 25, 2016, a confidential informant contacted Glass to purchase heroin. The informant also negotiated the purchase of a firearm from Glass. The informant subsequently met with Glass inside an Apartment at the Marcum Terrace housing projects in Huntington. Inside the apartment, Glass sold the informant approximately 3 grams of heroin. Glass also sold the informant a 9mm pistol which had the serial number obliterated in violation of federal law. Glass further admitted as part of his plea agreement that he possessed a separate .38 caliber revolver when he conduct the transaction.
Glass faces up to 20 years in federal prison for the drug charge, and a mandatory minimum consecutive term of at least 5 years in federal prison for the gun charge, when he is sentenced by United States District Judge Robert C. Chambers on June 11, 2018. Assistant United States Attorney Joseph F. Adams is responsible for the prosecution.
This case is being prosecuted as part of an ongoing effort led by the United States Attorney’s Office for the Southern District of West Virginia to combat the illicit sale and misuse of prescription drugs and heroin. 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 and heroin in communities across the Southern District.
This case is also being prosecuted as part of Project Safe Neighborhoods. Project Safe Neighborhoods is a nationwide commitment to reduce gun crime in the United States by networking with existing local programs targeting gun crime.
Follow us on Twitter: @SDWVNews and @USAttyStuart
Clovis Man Pleads Guilty to Running $24M Ponzi SchemeRead the Press Release
FRESNO, Calif. — Seth Adam Depiano, 36, of Clovis, pleaded guilty today to mail fraud, wire fraud and money laundering in connection with a real estate investment Ponzi scheme, U.S. Attorney McGregor W. Scott announced.
According to court documents, Depiano operated a Ponzi scheme that lured real estate investors to give money to Depiano and the businesses he controlled, including The Rental Group, US Funding and Home Services LLC, and Draymond Homes. Depiano fraudulently promised investors that he would use their money to purchase residential properties and either manage the properties for rental income or arrange for them to be renovated and resold. In many cases, Depiano promoted the properties to investors with documents that falsely represented high occupancy rates. Depiano oftentimes had no authority to purchase or sell the properties and misled investors with fraudulent documents misrepresenting the properties’ ownership. Some of the properties Depiano marketed to investors did not even exist.
Depiano frequently used the investors’ money to pay his personal expenses, fund his gambling activities, and finance the settlement of the investors’ civil lawsuits against Depiano. He also paid investors purported rental income that, in fact, was money other investors gave to Depiano for investment purposes.
In his plea agreement, Depiano admitted to defrauding investors of approximately $24 million dollars and agreed to pay restitution to approximately 28 investors. Depiano also agreed to forfeit more than $700,000 seized from several bank accounts and cash, and a baseball card collection valued at more than $31,000.
This case is the product of an investigation by the Federal Bureau of Investigation. Assistant U.S. Attorney Christopher D. Baker is prosecuting the case.
Depiano is scheduled to be sentenced by U.S. District Judge Dale A. Drozd on May 29, 2018 at 1:30 p.m. Depiano faces a maximum statutory penalty of 20 years in prison for the mail fraud and wire fraud charges, ten years in prison for money laundering, and a $250,000 fine. The actual sentence, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.
Chatham Area Transit Contractor Convicted of Twenty-Five Counts of Fraud and BriberyRead the Press Release
SAVANNAH, GA: On February 28, 2018, Anthony Florence, a contractor for the Chatham Area Transit Authority (“CAT”), was convicted by a federal jury on twenty-two counts of mail fraud, two counts of wire fraud, and one count of bribery of a program receiving federal funds. United States District Court Judge William T. Moore presided over Florence’s three-day jury trial.
According to the evidence presented at trial, Florence paid bribes and kickbacks to Chadwick L. Reese, formerly the Executive Director of CAT, and Joel T. Morris, formerly the Director of Maintenance of CAT. Florence paid for over $100,000 worth of work on the personal residences of Reese and Morris. In exchange, Reese awarded contracts to a company operated by Florence over a period of nearly two years. Even though Florence and his company provided little to no work, Reese and Morris approved over $200,000 in payments by Chatham Area Transit to Florence’s company.
Reese and Morris previously pled guilty and were sentenced to 84 months and 20 months, respectively.
United States Attorney Bobby L. Christine stated, “The lesson for contractors doing business in South Georgia is simple: paying a public official to obtain ‘no show’ work is a good way to end up in federal prison. This office will aggressively root out corruption at every level of government.”
“Just because public officials are willing to violate the trust of the people they serve, doesn’t mean contractors can take advantage of their lack of integrity,” said David J. LeValley, Special Agent in Charge of FBI Atlanta. “The FBI will continue to make public corruption cases, and all of those involved, a priority. We ask anyone with information regarding such matters to contact their nearest FBI field office or resident agency.”
U.S. Attorney Christine commended the hard work and dedication of the FBI, which investigated the case. Special Agent Joshua Hayes led the FBI’s investigation.
Assistant United States Attorneys R. Brian Tanner and J. Thomas Clarkson prosecuted the case on behalf of the United States. For any questions, please contact the United States Attorney’s Office at (912) 652-4422.
Champagne, Illinois, Resident Sentenced to One Year in Prison for Producing and Selling over 80,000 Homemade Tramadol Capsules to Customers Without Verifying PrescriptionsRead the Press Release
OWENSBORO, Ky. – A Champaign, Illinois, resident was sentenced today in United States District Court, by Chief Judge Joseph H. McKinley, to one year in prison, ordered to pay $950.00 restitution and ordered to pay a $5,000 fine for distribution of Tramadol, a Schedule IV controlled substance, introduction of misbranded drugs, and wire fraud, announced United States Attorney Russell M. Coleman. There is no parole in the federal system.
According to the plea agreement, Skyler Dean Prahl, 32, imported Tramadol powder from overseas and used an encapsulating machine to create Tramadol capsules. Tramadol is a synthetic opioid drug. For several years Prahl operated an online business marketing and selling Tramadol capsules and other substances to customers throughout the United States. Prahl sold well over 80,000 units of Tramadol to customers without inquiring or verifying that his customers had a valid prescription.
Prahl admitted that on August 31, 2015, he knowingly and intentionally possessed with the intent to distribute, and distributed Tramadol to an undercover agent.
He further admitted that on August 31, 2015, with the intent to mislead and defraud, he introduced a misbranded drug, Tramadol, into interstate commerce by shipping Tramadol from Champaign, Illinois, to Owensboro, Kentucky. The Tramadol was misbranded because its label failed to state the name and place of business of the manufacturer, packer, and distributor., and because it failed to bear adequate directions for use.
Lastly, Prahl admitted that between January 28, 2016, and March 5, 2016, he devised a wire fraud scheme. Specifically, Prahl used email to promise to deliver at least 3,000 Tramadol capsules to “Michael Riley” in return for $950, but failed to deliver the Tramadol capsules even after receiving the funds.
This case was prosecuted by Assistant United States Attorney David R. Weiser and was investigated by the U.S. Food & Drug Administration - Office of Criminal Investigation (Owensboro, Kentucky, domicile) with assistance from the United States Postal Inspection Service (Evansville, Indiana, domicile) and DEA Diversion (Springfield, Illinois, Resident Office), and the Kentucky State Police, DESI-East.
Buffalo Man Indicted on Heroin ChargeRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y. -- U.S. Attorney James P. Kennedy, Jr. announced today that a federal grand jury has returned an indictment charging Emmanuel Lopez, 27, of Buffalo, NY, with possession with intent to distribute, and distribution of, 100 grams or more of heroin and 40 grams or more of fentanyl. The charge carries a minimum penalty of five years in prison, a maximum of 40 years, and a $5,000,000 fine
Assistant U.S. Attorney Timothy C. Lynch, who is handling the case, stated that according to the indictment and a previously filed complaint, between 2016 and December 5, 2017, the defendant sold heroin and fentanyl in the Buffalo area. In October, 2017, the ICE-HSI Border Enforcement Security Team (BEST) conducted a controlled purchase from Lopez. During the buy, the defendant turned over 24 small yellow bags which later tested positive for heroin, fentanyl, and tramadol.
The indictment is the result of an investigation by Immigration and Customs Enforcement, Homeland Security Investigations, Border Enforcement Security Team, under the direction of Special Agent-in-Charge Kevin Kelly.
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.
Brooke County woman sentenced for embezzling from credit unionRead the Press Release
WHEELING, WEST VIRGINIA – Michelle K. Martin, of Wellsburg, West Virginia, was sentenced today to 24 hours incarceration and five years of supervised release for taking more than $82,000 from a local credit union, United States Attorney Bill Powell announced.
Martin, age 46, pled guilty to one count of “Theft, Embezzlement or Misapplication by Credit Institution Employee” in December 2017. Martin admitted to embezzling approximately $82,000 from the Strip Steal Community Federal Credit Union in Brooke County from October 2016 to May 2017.
Martin was also ordered to pay $82,000 in restitution for the crime.
Assistant U.S. Attorney Danae DeMasi-Lemon prosecuted the case on behalf of the government. The Federal Bureau of Investigation investigated.
Senior U.S. District Judge Frederick P. Stamp, Jr., presided.
Bison Protestors Enter Guilty Pleas at the Yellowstone Justice CenterRead the Press Release
Cody J. Cyson, of Minnetonka, Minnesota and Thomas L. Brown of East Hardwick, Vermont, each entered guilty pleas today in US District Court at the Yellowstone Justice Center in Mammoth, Wyoming, to the charges of entering a closed area in Yellowstone National Park and interference with an agency function. Both subjects had been charged on March 6, 2018. Cyson received a sentence of six days in jail with credit for time served, a $250.00 fine on the charge of entering a closed area and a $250.00 fine on the charge of interference with an agency function, a $500.00 community service payment and $50.00 in special assessment. Brown received an identical sentence. Both Cyson and Brown are banned from entry into Yellowstone National Park for a period of five years and will serve five years of unsupervised probation.
Hanna F. Ponder, of Donnelly, Idaho, pleaded guilty to one charge of entering a closed area and was sentenced to six days in jail with credit for time served, fined $500.00, a $500.00 community service payment, $40.00 in special assessment, and banned from Yellowstone National Park for five years and five years of unsupervised probation. She had been charged on March 6, 2018 for entering the bison closure are in the Reese Creek drainage of the park.
All three defendants appeared before and were sentenced by US Magistrate Judge Mark L. Carman.
Beam Bros. Trucking Inc. and Its Principals Agree to Settle Civil False Claims Act AllegationsRead the Press Release
Beam Bros. Trucking Inc. (BBT), and its principals Gerald Beam and Garland Beam, have agreed to pay $1,025,000 to resolve allegations under the False Claims Act that BBT overcharged the U.S. Postal Service (USPS) on contracts to transport mail. BBT is a trucking company located in Mt. Crawford, Virginia.
“The Department of Justice takes seriously its role in protecting the federal procurement process from false claims,” said Acting Assistant Attorney General Chad A. Readler of the Justice Department’s Civil Division. “This settlement demonstrates that we will hold accountable federal contractors engaging in fraud, and will ensure that federal funds are protected from overcharges and abuse.”
“We are gratified to have contributed to this investigation and applaud the exceptional work by the investigative team for both protecting the contracting process and overall program costs,” said Special Agent in Charge Scott Pierce of the U.S. Postal Service Office of Inspector General. “Along with our law enforcement partners, the USPS OIG will continue to aggressively investigate those who engage in activities designed to defraud the Postal Service.”
“Contractors working for the federal government are held to the same high ethical standards as full-time employees,” U.S. Attorney for the District of New Jersey Craig Carpenito said. “This settlement will return more than $1 million to the USPS.”
USPS contracts with trucking companies, including BBT, to transport mail throughout the United States. On some contracts, USPS had provided trucking contractors with credit cards, known as Voyager Cards, to pay for fuel. This settlement resolves allegations that BBT misused Voyager Cards to purchase fuel on contracts that did not allow for their use, resulting in inflated charges in violation of the False Claims Act.
The settlement resolves allegations made in lawsuit filed under the whistleblower provision of the False Claims Act by Bobby Blizzard, a former BBT employee. The False Claims Act permits private parties to file suit on behalf of the United States for false claims and obtain a portion of the government’s recovery. Mr. Blizzard’s share of the recovery has yet to be determined.
The settlement was the result of a coordinated effort between the United States Attorney’s Office for the District of New Jersey, the Civil Division of the Department of Justice, and the USPS, Office of the Inspector General.
The lawsuit, which was filed in the District of New Jersey, is captioned United States ex rel. Doe v. Beam Bros. Trucking, Inc., Civil Action No. 10-657 (D.N.J.). The claims resolved by this settlement are allegations only, and there has been no determination of liability.
Beam Bros. Trucking Inc. and Its Principals Agree to Settle Civil False Claims Act AllegationsRead the Press Release
NEWARK, N.J. – Beam Bros. Trucking Inc. (BBT), and its principals Gerald Beam and Garland Beam, have agreed to pay $1,025,000 to resolve allegations under the False Claims Act that BBT overcharged the U.S. Postal Service (USPS) on contracts to transport mail. BBT is a trucking company located in Mt. Crawford, Virginia.
“Contractors working for the federal government are held to the same high ethical standards as full-time employees,” U.S. Attorney for the District of New Jersey Craig Carpenito said. “This settlement will return more than $1 million to the USPS.”
“The Department of Justice takes seriously its role in protecting the federal procurement process from false claims,” Acting Assistant Attorney General Chad A. Readler of the Justice Department’s Civil Division said. “This settlement demonstrates that we will hold accountable federal contractors engaging in fraud, and will ensure that federal funds are protected from overcharges and abuse.”
“We are gratified to have contributed to this investigation and applaud the exceptional work by the investigative team for both protecting the contracting process and overall program costs,” Special Agent in Charge Scott Pierce of the U.S. Postal Service Office of Inspector General, said. “Along with our law enforcement partners, the USPS OIG will continue to aggressively investigate those who engage in activities designed to defraud the Postal Service.”
USPS contracts with trucking companies, including BBT, to transport mail throughout the United States. On some contracts, USPS had provided trucking contractors with credit cards, known as Voyager Cards, to pay for fuel. This settlement resolves allegations that BBT misused Voyager Cards to purchase fuel on contracts that did not allow for their use, resulting in inflated charges in violation of the False Claims Act.
The settlement resolves allegations made in lawsuit filed under the whistleblower provision of the False Claims Act by Bobby Blizzard, a former BBT employee. The False Claims Act permits private parties to file suit on behalf of the United States for false claims and obtain a portion of the government’s recovery. Mr. Blizzard’s share of the recovery has yet to be determined.The settlement was the result of a coordinated effort between the United States Attorney’s Office for the District of New Jersey, the Civil Division of the Department of Justice, and the USPS, Office of the Inspector General. The government is represented by Assistant U.S. Attorney Frances Bajada, District of New Jersey, and Trial Attorney Gregory Pearson, Commercial Litigation Branch, Civil Division, U.S. Department of Justice.
The lawsuit, which was filed in the District of New Jersey, is captioned United States ex rel. Doe v. Beam Bros. Trucking, Inc., Civil Action No. 10-657 (D.N.J.). The claims resolved by this settlement are allegations only, and there has been no determination of liability.Auburn Man Charged with Ecstacy and Marijuana TraffickingRead the Press Release
Portland, Maine: United States Attorney Halsey B. Frank announced that Tyler Poland, 31, of Auburn, Maine, was arrested and charged by a criminal complaint unsealed today in U.S. District Court with illegal Ecstasy and marijuana trafficking.
According to the complaint, the charges arose from an investigation into a drug trafficking organization located in the Lewiston-Auburn area that is alleged to have grown and distributed large quantities of marijuana in violation of federal law, and under the cover of, but in violation of, Maine’s Medical Marijuana program. The organization cultivated marijuana at numerous warehouses in Androscoggin County and distributed marijuana to people who were not participants in Maine’s Medical Marijuana program, including out-of-state customers, On February 27, 2018, federal, state and local law enforcement agents executed over 20 search warrants in the Lewiston-Auburn area. The defendant’s Merrow Road residence and warehouses were searched. Agents seized about 608 marijuana plants, 366 pounds of processed marijuana, hundreds of Ecstasy pills (weighing more than a kilogram), hundreds of alprazolam pills, and over $156,000.
If convicted, the defendant faces up to 20 years in prison and a $1,000,000 fine.
The defendant is expected to make an initial appearance in U.S. District Court today at 3:30 p.m. in Portland.
The investigation is being conducted by the U.S. Drug Enforcement Administration; the Internal Revenue Service, Criminal Investigations; the Bureau of Alcohol, Tobacco, Firearms and Explosives; the FBI; the Maine State Police; and the Lewiston, Auburn, Windham, Biddeford and Scarborough Police Departments.
A criminal complaint is merely an accusation, and a defendant is presumed innocent unless proven guilty in a court of law
Attorney General Sessions Appoints Six Additional Members to U.S. Attorney Advisory CommitteeRead the Press Release
Attorney General Jeff Sessions announced the appointment of six new U.S. Attorneys to serve two-year terms on the Attorney General’s Advisory Committee of U.S. Attorneys (AGAC), joining the nine members announced on November 13, 2017. The AGAC was created in 1973 and reports to the Attorney General through the Deputy Attorney General. It represents the U.S. Attorneys and provides advice and counsel to the Attorney General on matters of policy, procedure, and management affecting the Offices of the U.S. Attorneys.
The new appointees are U.S. Attorney for the Northern District of Texas Erin Nealy Cox; U.S. Attorney for the Eastern District of New York Richard P. Donoghue; U.S. Attorney for the Middle District of Alabama Louis V. Franklin, Sr.; U.S. Attorney for the Northern District of Illinois John R. Lausch, Jr.; U.S. Attorney for the District of Massachusetts Andrew E. Lelling; and U.S. Attorney for the District of Delaware David C. Weiss.
“I am pleased to announce these new members of the Attorney General’s Advisory Committee. The Advisory Committee plays an important role in helping us achieve the Department of Justice’s goals, including to reduce violent crime, combat transnational criminal organizations, secure our southern border, end the devastating opioid crisis, and enforce the rule of law,” said Attorney General Sessions.
A brief biography of each new member is below: Erin Nealy Cox
The Senate confirmed Erin Nealy Cox’s appointment as United States Attorney for the Northern District of Texas in November 2017. Prior to this appointment, Ms. Nealy Cox was a Senior Advisor at McKinsey & Co in the cybersecurity and risk practice and on the Board of Directors of Sally Beauty Holdings, a large retailer on the NYSE. From 1999 to 2008, Ms. Nealy Cox served as an Assistant United States Attorney in the Northern District of Texas, where she prosecuted cyber crimes, white collar crimes, and general crimes. In 2004 and 2005, she served at Main Justice as Chief of Staff and Senior Counsel to the Assistant Attorney General in the Office of Legal Policy. Ms. Nealy Cox also previously worked at Stroz Friedberg, a cybersecurity and investigations consulting firm. Ms. Nealy Cox clerked for the Honorable Henry A. Politz, when he served as Chief Judge of the Fifth Circuit Court of Appeals, and the Honorable Barefoot Sanders, United States District Judge in the Northern District of Texas. She received a B.B.A in Finance from the McCombs School of Business at the University of Texas at Austin and her J.D., magna cum laude, from Southern Methodist University Dedman School of Law.
Richard P. Donoghue
On January 5, 2018, the Attorney General appointed Richard P. Donoghue to be interim United States Attorney for the Eastern District of New York. Prior to this appointment, Mr. Donoghue served as the Senior Vice President and Chief Counsel for CA Technologies based in New York. From 2000 to 2011, Mr. Donoghue worked in the United States Attorney’s Office for the Eastern District of New York in various roles, including Criminal Chief and Deputy Criminal Chief. Mr. Donoghue received his B.A., cum laude, from Hofstra University and his J.D., from St. John’s University School of Law.
Louis V. Franklin, Sr.
The Senate confirmed Louis V. Franklin, Sr. to be United States Attorney for the Middle District of Alabama in September 2017. Mr. Franklin has served in the United States Attorney’s Office for the Middle District of Alabama for nearly 27 years, including as Criminal Chief for almost 16 years. Mr. Franklin served as an Assistant United States Attorney from 1990 to 1996 and from 1998 to 2001. From 1996 to 1998, Mr. Franklin was an associate at Sirote and Permutt. Mr. Franklin began his career as a staff attorney at the Legal Services Corporation of Alabama from 1987 to 1990. Mr. Franklin received his B.A. from the University of Alabama, an M.S. from Auburn University at Montgomery, and his J.D. from Howard University School of Law.
John R. Lausch, Jr.
The Senate confirmed John R. Lausch, Jr.’s appointment as United States Attorney for the Northern District of Illinois in November 2017. Prior to his appointment, Mr. Lausch was a partner at Kirkland & Ellis LLP. Previously, he served as an Assistant United States Attorney in the Northern District of Illinois from 1999 to 2010. During his time in the U.S. Attorney’s Office, Mr. Lausch served as a Deputy Chief in the Narcotics and Gangs Section for several years, where he helped lead the District’s Anti-Gang and Project Safe Neighborhoods programs. Mr. Lausch clerked for the Honorable Michael S. Kanne of the United States Court of Appeals for the Seventh Circuit. He received his A.B., cum laude, from Harvard University and his J.D., cum laude, from Northwestern University School of Law.
Andrew E. Lelling
The Senate confirmed Andrew E. Lelling’s appointment as United States Attorney for the District of Massachusetts in December 2017. Prior to this appointment, Mr. Lelling was the senior litigation counsel for the United States Attorney’s Office for the District of Massachusetts and has worked in that office for 12 years, prosecuting white collar crime and international drug trafficking, among other offenses. Mr. Lelling also served as an Assistant United States Attorney in the Eastern District of Virginia. He previously served as counsel to the Assistant Attorney General at the Department of Justice Civil Rights Division. Mr. Lelling clerked for the Honorable B. Avant Edenfield of the United States District Court for the Southern District of Georgia. He received his B.A., magna cum laude, from the State University of New York at Binghamton and his J.D., cum laude, from the University of Pennsylvania Law School.
David C. Weiss
David C. Weiss’s nomination to be United States Attorney for the District of Delaware was confirmed in February. Mr. Weiss previously served as the Acting United States Attorney for the District of Delaware from 2009 to 2011 and 2017 to 2018, and as the First Assistant United States Attorney from 2007 to 2017. Prior to serving in these positions, Mr. Weiss was an Assistant United States Attorney from 1986 to 1989. Mr. Weiss clerked for the Honorable Andrew D. Christie of the Delaware Supreme Court. Mr. Weiss received his B.S. from Washington University and his J.D. from Widener University School of Law.Attorney General Sessions Appoints Six Additional Members to U.S. Attorney Advisory CommitteeRead the Press Release
WASHINGTON - Attorney General Jeff Sessions announced the appointment of six new U.S. Attorneys to serve two-year terms on the Attorney General’s Advisory Committee of U.S. Attorneys (AGAC), joining the nine members announced on November 13, 2017. The AGAC was created in 1973 and reports to the Attorney General through the Deputy Attorney General. It represents the U.S. Attorneys and provides advice and counsel to the Attorney General on matters of policy, procedure, and management affecting the Offices of the U.S. Attorneys.
The new appointees are U.S. Attorney for the Northern District of Texas Erin Nealy Cox; U.S. Attorney for the Eastern District of New York Richard P. Donoghue; U.S. Attorney for the Middle District of Alabama Louis V. Franklin, Sr.; U.S. Attorney for the Northern District of Illinois John R. Lausch, Jr.; U.S. Attorney for the District of Massachusetts Andrew E. Lelling; and U.S. Attorney for the District of Delaware David C. Weiss.
“I am pleased to announce these new members of the Attorney General’s Advisory Committee. The Advisory Committee plays an important role in helping us achieve the Department of Justice’s goals, including to reduce violent crime, combat transnational criminal organizations, secure our southern border, end the devastating opioid crisis, and enforce the rule of law,” said Attorney General Sessions.
A brief biography of each new member is below: Erin Nealy Cox
The Senate confirmed Erin Nealy Cox’s appointment as United States Attorney for the Northern District of Texas in November 2017. Prior to this appointment, Ms. Nealy Cox was a Senior Advisor at McKinsey & Co in the cybersecurity and risk practice and on the Board of Directors of Sally Beauty Holdings, a large retailer on the NYSE. From 1999 to 2008, Ms. Nealy Cox served as an Assistant United States Attorney in the Northern District of Texas, where she prosecuted cyber crimes, white collar crimes, and general crimes. In 2004 and 2005, she served at Main Justice as Chief of Staff and Senior Counsel to the Assistant Attorney General in the Office of Legal Policy. Ms. Nealy Cox also previously worked at Stroz Friedberg, a cybersecurity and investigations consulting firm. Ms. Nealy Cox clerked for the Honorable Henry A. Politz, when he served as Chief Judge of the Fifth Circuit Court of Appeals, and the Honorable Barefoot Sanders, United States District Judge in the Northern District of Texas. She received a B.B.A in Finance from the McCombs School of Business at the University of Texas at Austin and her J.D., magna cum laude, from Southern Methodist University Dedman School of Law.
Richard P. Donoghue
On January 5, 2018, the Attorney General appointed Richard P. Donoghue to be interim United States Attorney for the Eastern District of New York. Prior to this appointment, Mr. Donoghue served as the Senior Vice President and Chief Counsel for CA Technologies based in New York. From 2000 to 2011, Mr. Donoghue worked in the United States Attorney’s Office for the Eastern District of New York in various roles, including Criminal Chief and Deputy Criminal Chief. Mr. Donoghue received his B.A., cum laude, from Hofstra University and his J.D., from St. John’s University School of Law.
Louis V. Franklin, Sr.
The Senate confirmed Louis V. Franklin, Sr. to be United States Attorney for the Middle District of Alabama in September 2017. Mr. Franklin has served in the United States Attorney’s Office for the Middle District of Alabama for nearly 27 years, including as Criminal Chief for almost 16 years. Mr. Franklin served as an Assistant United States Attorney from 1990 to 1996 and from 1998 to 2001. From 1996 to 1998, Mr. Franklin was an associate at Sirote and Permutt. Mr. Franklin began his career as a staff attorney at the Legal Services Corporation of Alabama from 1987 to 1990. Mr. Franklin received his B.A. from the University of Alabama, an M.S. from Auburn University at Montgomery, and his J.D. from Howard University School of Law.
John R. Lausch, Jr.
The Senate confirmed John R. Lausch, Jr.’s appointment as United States Attorney for the Northern District of Illinois in November 2017. Prior to his appointment, Mr. Lausch was a partner at Kirkland & Ellis LLP. Previously, he served as an Assistant United States Attorney in the Northern District of Illinois from 1999 to 2010. During his time in the U.S. Attorney’s Office, Mr. Lausch served as a Deputy Chief in the Narcotics and Gangs Section for several years, where he helped lead the District’s Anti-Gang and Project Safe Neighborhoods programs. Mr. Lausch clerked for the Honorable Michael S. Kanne of the United States Court of Appeals for the Seventh Circuit. He received his A.B., cum laude, from Harvard University and his J.D., cum laude, from Northwestern University School of Law.
Andrew E. Lelling
The Senate confirmed Andrew E. Lelling’s appointment as United States Attorney for the District of Massachusetts in December 2017. Prior to this appointment, Mr. Lelling was the senior litigation counsel for the United States Attorney’s Office for the District of Massachusetts and has worked in that office for 12 years, prosecuting white collar crime and international drug trafficking, among other offenses. Mr. Lelling also served as an Assistant United States Attorney in the Eastern District of Virginia. He previously served as counsel to the Assistant Attorney General at the Department of Justice Civil Rights Division. Mr. Lelling clerked for the Honorable B. Avant Edenfield of the United States District Court for the Southern District of Georgia. He received his B.A., magna cum laude, from the State University of New York at Binghamton and his J.D., cum laude, from the University of Pennsylvania Law School.
David C. Weiss
David C. Weiss’s nomination to be United States Attorney for the District of Delaware was confirmed in February. Mr. Weiss previously served as the Acting United States Attorney for the District of Delaware from 2009 to 2011 and 2017 to 2018, and as the First Assistant United States Attorney from 2007 to 2017. Prior to serving in these positions, Mr. Weiss was an Assistant United States Attorney from 1986 to 1989. Mr. Weiss clerked for the Honorable Andrew D. Christie of the Delaware Supreme Court. Mr. Weiss received his B.S. from Washington University and his J.D. from Widener University School of Law.Attorney General Sessions Announces New Actions to Improve School Safety and Better Enforce Existing Gun LawsRead the Press Release
Today, Attorney General Jeff Sessions announced several steps in support of President Trump’s plan to prevent violence in schools. Through these efforts, the Department of Justice is taking immediate action to protect our schools, better enforce our gun laws, support law enforcement, strengthen the firearms background check system, and improve federal law enforcement’s response to tips. In making the announcement, Attorney General Sessions said: "No child should have to fear going to school or walking the streets of their neighborhood. Today, I am directing the Department of Justice to take a number of new steps that will help make schools and the American people safer from the threat of gun violence.”
“We are increasing the number of school resource officers, improving background checks and more aggressively prosecuting those who illegally attempt to purchase a firearm, and reviewing and enhancing the way our law enforcement agencies respond to tips from the public. Under my tenure as Attorney General, we have already increased federal gun prosecutions to a 10-year high—and we are just getting started. With these new measures in place, we are better positioned to disarm criminals and protect the law-abiding people of this country."
The Attorney General announced the following actions: Improvements to School Safety
- Hire More School Resource Officers. The Department will help state, local and tribal law enforcement agencies hire more School Resource Officers (SROs). The COPS Hiring Program—a competitive grant that helps states and local communities hire more police officers—will prioritize applicants who intend to use the grants for SROs.
- Provide Support For Firearms and Situational Awareness Training to School and Law Enforcement Personnel. By leveraging existing assistance programs, the Department will be able to empower state and local firearms and situational awareness training for school personnel. The Department will continue to provide emergency and crisis training to state, local, and tribal law enforcement through its National Training and Technical Assistance Center and VALOR initiative.
- Fully Participate in the Federal Commission on School Safety. The Department of Justice is committed to working with our federal partners to study, evaluate, and make recommendations on how we can improve school safety.
Aggressively Prosecuting Federal Gun Laws
- Bump Stocks. The Department of Justice is supporting President Trump’s absolute commitment to ensuring the safety and security of every American by submitting to the Office of Management and Budget a proposed regulation to clarify that bump stock type devices are machine guns under federal law, which will effectively ban the manufacture, sale or possession of these devices.
- Swift and aggressive “Lie-and-Try” Prosecutions. Attorney General Sessions has ordered federal prosecutors to swiftly and aggressively prosecute appropriate cases against people who are prohibited from having firearms, and who lie in an attempt to thwart the federal background check system.
- Continue to Increase Violent Crime Prosecutions. In 2017 the Department made some great strides under Attorney General Sessions' leadership, including the launch of the enhanced Project Safe Neighborhoods initiative, which brings together all levels of law enforcement and the communities they serve to develop effective, locally based strategies to reduce violent crime. Under this direction, the Department prosecuted more defendants on federal firearms charges than we have in a decade, and more defendants for violent crime than we have in over 25 years – since the Department started tracking a “violent crime” category. Attorney General Sessions is dedicated to ensuring even more violent crime prosecutions, including firearms prosecutions, in 2018.
Supporting Law Enforcement
- Providing Emergency Funding for the Costs of Parkland, Florida Law Enforcement Response. The Department of Justice will provide $1 million in emergency grant funding to the State of Florida to pass through to Broward County and other responding jurisdictions’ law enforcement components. The emergency funding is intended to defray the law enforcement overtime costs related to the response and subsequent crime scene investigation of the tragic shooting at Marjory Stoneman Douglas High School.
Improving Information Available for Firearm Background Checks
- Holding Federal Agencies Accountable. Federal agencies are required by law to report to the National Instant Criminal Background Check System (NICS) relevant records relating to individuals prohibited from possessing a firearm under federal law. Pursuant to his authority, Attorney General Sessions is calling on all relevant agencies to certify within 45 days that they are in full compliance with the law or have a plan to become fully compliant.
- Strengthening Partnerships with State and Local Law Enforcement. The Attorney General is calling on governors and state Attorneys General to improve the reporting of state and local criminal justice data, and other information accessed by the firearms background check system. Because the FBI has identified “missing dispositions” – or arrest records that lack a final disposition – as a significant issue, the Attorney General will provide every state with their respective level of disposition completion with the goal of urging those states who do not have an adequate level of reporting to focus on this issue and improve their reporting.
- Attorney General Sessions has also directed the FBI to identify local jurisdictions that are not reporting arrests to their state repositories as well as jurisdictions that are not providing all of their records identifying persons prohibited from possessing firearms for mental health reasons.
- Improving Access to State Mental Health and Domestic Violence Records. Through the National Criminal History Improvement Program (NCHIP) and NICS Act Records Improvement Program (NARIP) grants, the Department will help states provide more complete, timely, and accurate information to databases accessed by the firearms background check system. The Attorney General has ordered that priority be given to projects that improve accessibility of criminal history records, domestic violence convictions, and information on persons who are prohibited from possessing firearms for mental-health related reasons.
Enhancements to Department Response to Public Information
- Reviewing and reforming the process for handling tips. Attorney General Sessions has ordered an immediate review of the Department’s handling of tips from the public so that they receive prompt and effective responses, especially when doing so could prevent violence.
Technical Assistance to States
- Extreme Risk Protection Orders. The Department stands ready to assist States, at their request, on establishing and implementing extreme risk protection orders.
Click here to view the Attorney General’s memo to the Director of the FBI on Improving State Information sharing.
Click here to view the Attorney General’s memo to US Attorneys on Enforcing Federal Law Against Prohibited Persons Attempting to Purchase Firearms.
Click here to view the Executive Summary of the report provided to the Attorney General in response to his November 22, 2017 Directive to Review NICS.
Associate of La Cosa Nostra Sentenced for Extortion-Related ChargesRead the Press Release
BOSTON – An associate of the Genovese La Cosa Nostra (LCN) crime family was sentenced today in federal court in Worcester on extortion-related charges.
Gerald Daniele, 53, of Longmeadow, Mass., was sentenced by U.S. District Court Judge Timothy S. Hillman to two years in prison and three years of supervised release. In December 2017, Daniele pleaded guilty to one count of using extortionate means to collect an extension of credit.
Daniele and co-defendants Ralph Santaniello, John Calabrese, Francesco Depergola, and Richard Valentini were associates of the New York-based Genovese LCN crime family and engaged in various criminal activities in the Springfield, Mass., area including loansharking and extortion from legitimate and illegitimate businesses, such as illegal gambling businesses and the collection of unlawful debts. Daniele admitted that he used violence, exploited his relationship with LCN, and implied threats of physical violence to instill fear in his victims.
Daniele further admitted that during a six-month period in 2015, he extended two extortionate and usurious loans to an individual, and then, along with Santaniello and Calabrese, threatened the individual if he did not make payments on the loans.
Santaniello, Calabrese, and Depergola pleaded guilty to extortion-related crimes. Their sentencings are scheduled for March 20, April 2, and May 11, 2018, respectively. In December 2017, Valentini was convicted by a federal jury of extortion and conspiracy to commit extortion; his sentencing is also scheduled for May 11, 2018.
United States Attorney Andrew E. Lelling; Acting Assistant Attorney General John P. Cronan of the Justice Department’s Criminal Division; Harold H. Shaw, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; Hampden County District Attorney Anthony Gulluni; and Colonel Kerry A. Gilpin, Superintendent of the Massachusetts State Police, made the announcement. Assistant U.S. Attorney Kevin O’Regan, Chief of Lelling’s Springfield Branch Office; Trial Attorney Marianne Shelvey of the Criminal Division’s Organized Crime and Gang Section; and Assistant U.S. Attorney Katharine Wagner of Lelling’s Springfield Branch Office are prosecuting the case.
Armed Career Criminal from Albuquerque Sentenced to Twenty Years for Federal Firearms and Assault ConvictionsRead the Press Release
ALBUQUERQUE – U.S. Attorney John C. Anderson, Special Agent in Charge John J. Durastanti of the Phoenix Field Division of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), and Chief Deputy U.S. Marshal Brent Broshow announced today that Nathan Jensen, a 35-year-old armed career criminal from Albuquerque, N.M., was sentenced to 20 years of imprisonment for convictions in two federal cases, and violating the conditions of supervised release in a third case.
Chief U.S. District Judge William P. Johnson sentenced Jensen to an aggregate of 20 years of imprisonment in the following three separate cases late on Friday afternoon (March 9, 2018), after Jensen entered a guilty plea to assaulting a federal officer:
- In the first case, in which Jensen was convicted of being a felon in possession of a firearm, Judge Johnson sentenced Jensen to a mandatory minimum sentence of 15 years of imprisonment. This enhanced sentence was required by Jensen’s status as an armed career criminal and means that Jensen had at least three prior convictions for violent felonies and serious drug offenses when he committed the current offense of conviction.
- In the second case, in which Jensen was convicted of assaulting a federal officer, Judge Johnson sentenced Jenson to 100 months of imprisonment, including 48 months to be served consecutive to the 15-year prison sentence and 52 months to be served concurrent.
- In the third case, in which Jensen admitted violating the conditions of his supervised release on a prior federal felon in possession of a firearm conviction, Judge Johnson sentenced Jensen to 24 months of imprisonment including 12 months consecutive to the 15-year prison sentence and 12 months to be served concurrent.
- Jensen will be on supervised release for three years after completing his prison sentence.
In announcing the sentence, U.S. Attorney Anderson said, “At the age of 35, Nathan Jensen has been involved in the criminal justice system for more than two decades and is a prime example of the violent, repeat offender who needs to be removed from our community. Jensen reoffended less than three weeks after his release from a lengthy federal prison sentence and while still under federal supervision. While awaiting sentencing for that crime, Jensen violently assaulted a federal officer. This prosecution and the sentence will make our community safer.”
“This sentence ensures that Nathan Jensen, an armed career criminal, will spend many years behind bars for assaulting a federal officer,” said ATF Special Agent in Charge Durastanti. “Jensen is a serial offender who has been removed from the community, along with any danger that could result from his actions. The brave men and women of law enforcement risk their lives every day to protect us, and ATF will continue to vigorously pursue anyone who attempts to do them harm.”
“The U.S. Marshals Service is dedicated to removing violent criminals from our communities,” said Chief Deputy U.S. Marshal Broshow. “We work with our local, state, and federal partners on a daily basis to accomplish our mission. Putting career criminals like Jensen behind bars makes our community a safer place to live.”
ATF and the U.S. Marshals Service arrested Jensen in May 2016, on a criminal complaint charging him with being a felon in possession of a firearm. Jensen committed the offense while on supervised release from a prior federal felon in possession of a firearm conviction.
The Court issued a warrant for Jensen’s arrest on May 4, 2016, based on a U.S. Probation Office petition, which stated that Jensen had been released from the custody of the U.S. Bureau of Prisons on April 25, 2016, after completing an 84-month prison sentence. Jensen was to report to his probation officer and a halfway house at which he was to reside for up to six-months. Jensen failed to report either to his probation officer or to the halfway house, and the U.S. Marshals Service’s Southwest Investigative Fugitive Team (USMS-SWIFT) arrested Jensen on the warrant on May 16, 2016.
Jensen subsequently was indicted on June 14, 2016, and was charged with being a felon in possession of a firearm. On Feb. 27, 2017, Jensen pled guilty to the indictment and admitted that he unlawfully was in possession of a firearm and ammunition on May 16, 2016, when the USMS-SWIFT arrested him for violating the conditions of his supervised release.
On Sept. 21, 2017, Jensen was charged in a second indictment with assaulting a federal employee. The indictment was superseded on Dec. 13, 2017, to add Waldo Nahle, 36, of Albuquerque, as a co-defendant. According to the superseding indictment, Jensen and Nahle assaulted a federal employee who was engaged in the performance of his official duties in the Sandoval County Detention Center on May 11, 2017.
Before his sentencing hearing, Jensen pled guilty to the superseding indictment charging him with assaulting a federal employee. In entering the guilty plea, Jensen admitted that on May 11, 2017, while detained at the Sandoval County Detention Center and awaiting sentencing on his firearms guilty plea, he assaulted a federal employee by repeatedly punching him in the face and head while other inmates restrained him. Jensen acknowledged that the victim sustained serious injuries as the result of the assault.
Nahle has entered a plea of not guilty to the charge in the superseding indictment and is currently scheduled for trial in June 2018. Charges in indictments are merely accusations, and defendants are presumed innocent unless found guilty in a court of law.
The firearms case was investigated by the Albuquerque office of ATF and the USMS-SWIFT with assistance from the U.S. Probation Office, and the assault case was investigated by the USMS. Assistant U.S. Attorney Eva M. Fontanez prosecuted Jensen under a federal anti-violence initiative that targets violent, repeat offenders for federal prosecution. Under this initiative, the U.S. Attorney’s Office and federal law enforcement agencies work with New Mexico’s District Attorneys and state, local and tribal law enforcement agencies to target violent or repeat offenders for federal prosecution primarily based on their prior criminal convictions with the goal of removing repeat offenders from communities in New Mexico for as long as possible.
Ansonia Man Pleads Guilty to Crack Cocaine Distribution ChargeRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, announced that JASON WALKER, 30, of Ansonia, pleaded guilty today before U.S. District Judge Jeffrey A. Meyer in New Haven to one count of conspiracy to possess with intent to distribute, and to distribute, cocaine base (“crack cocaine”).
According to court documents and statements made in court, WALKER was a member of a drug trafficking organization that trafficked large quantities of crack cocaine throughout the Naugatuck Valley. The investigation revealed that members of the organization shared the same cellphone to service drug customers in shifts over a 24-hour period. Members of the drug trafficking organization also shared vehicles and serviced customers together. Between May and September 2017, investigators made multiple controlled purchases of crack from WALKER and other members of the drug trafficking organization.
WALKER was arrested on November 15, 2017.
Judge Meyer scheduled sentencing for June 6, 2018, at which time WALKER faces a maximum term of imprisonment of 20 years. WALKER is currently detained.
This matter is being investigated by the Drug Enforcement Administration’s New Haven Task Force and the Ansonia and Derby Police Departments. This case is being prosecuted by Assistant U.S. Attorney Jocelyn Courtney Kaoutzanis.
Albuquerque Man Pleads Guilty to Theft of Medical Products Charge Arising Out of Pharmacy RobberyRead the Press Release
ALBUQUERQUE – Abraham Martinez, 36, of Albuquerque, N.M., pled guilty this morning in federal court to theft of medical products charge arising out of the robbery of an Albuquerque-area pharmacy on Oct. 13, 2017.
Martinez was arrested in Oct. 2017, on a criminal complaint charging him with violating the Hobbs Act by robbing a business engaged in interstate commerce and possession of Xanax with intent to distribute. According to the criminal complaint, Martinez committed the offenses by robbing the Walgreens pharmacy located at 2625 San Pedro Dr. NE in Albuquerque, and threatening the pharmacist with a knife while demanding Xanax.
Martinez subsequently was charged in a two-count indictment on Nov. 1, 2017, with violating the Hobbs Act by interfering with interstate commerce by robbery and violence, and theft of medical products.
During today’s proceedings, Martinez pled guilty to the theft of medical products charge. In entering the guilty plea, Martinez admitted that on Oct. 13, 2017, he robbed the Walgreens pharmacy in Albuquerque by approaching the pharmacist’s consultation window, holding out a knife, and demanding Xanax from the pharmacist. Martinez acknowledged that the bottles of Xanax he stole from the pharmacist were not available to the public and thus were considered pre-retail medical products.
At sentencing, Martinez faces a maximum penalty of 20 years in federal prison. Martinez remains in custody pending a sentencing hearing, which has yet to be scheduled.
This case was investigated by the Tactical Diversion Squad of the DEA in Albuquerque and the Albuquerque Police Department. DEA’s Tactical Diversion Squads combine DEA resources with those of federal, state and local law enforcement agencies in an innovative effort to investigate, disrupt and dismantle those suspected of violating the Controlled Substances Act or other appropriate federal, state or local statutes pertaining to the diversion of licit pharmaceutical controlled substances or listed chemicals.
Assistant U.S. Attorney Joel R. Meyers is prosecuting the case as part of the New Mexico Heroin and Opioid Prevention and Education (HOPE) Initiative. The HOPE Initiative was launched in January 2015 by the UNM Health Sciences Center and the U.S. Attorney’s Office in response to the national opioid epidemic, which has had a disproportionately devastating impact on New Mexico. Opioid addiction has taken a toll on public safety, public health and the economic viability of our communities. Working in partnership with the DEA, the Bernalillo County Opioid Accountability Initiative, Healing Addiction in our Community (HAC), the Albuquerque Public Schools and other community stakeholders, HOPE’s principal goals are to protect our communities from the dangers associated with heroin and opioid painkillers and reducing the number of opioid-related deaths in New Mexico.
The HOPE Initiative is comprised of five components: (1) prevention and education; (2) treatment; (3) law enforcement; (4) reentry; and (5) strategic planning. HOPE’s law enforcement component is led by the Organized Crime Section of the U.S. Attorney’s Office and the DEA in conjunction with their federal, state, local and tribal law enforcement partners. Targeting members of major heroin and opioid trafficking organizations for investigation and prosecution is a priority of the HOPE Initiative. Learn more about the New Mexico HOPE Initiative at http://www.HopeInitiativeNM.org.
Accountant Sentenced for Embezzling More than $3 Million from Houston CompanyRead the Press Release
HOUSTON – An accountant from Georgia has been ordered to federal prison after admitting he committed wire fraud and stole more than $3 million from his former employer and client, announced U.S. Attorney Ryan K. Patrick. Daniel Nathan West, 52, of Duluth, Georgia, pleaded guilty Sept. 15, 2016.
Today, U.S. District Judge Kenneth Hoyt, who accepted the guilty plea, handed West a 108-month sentence to be immediately followed by three years of supervised release. At the hearing, additional evidence was presented including a statement by the president and CEO of Airis Internatioanl Holdings, West’s former employer and client. In handing down the sentence, Judge Hoyt ordered West to pay restitution in the amount of $3,561,166.11.
West was previously employed as the treasurer and chief financial officer for Airis. In this role, he was to manage Airis finances during construction projects, control the company’s monetary assets, administer payments and payroll, among other things.
In 2005, West resigned from Airis to start his accounting firm - Westtree Financial. Shortly thereafter, Airis contracted with Westtree Financial to provide accounting services to Airis. Although West no longer worked directly for Airis, through his company he continued to have signature authority on Airis’ bank accounts and authority to transfer funds on behalf of Airis.
From 2005 to 2012, West embezzled more than $3 million from Airis, admitting he used the monies to purchase a million-dollar home in Georgia, a beach house in Florida, an office building in Georgia and luxury vehicles.
West was first arrested Oct. 13, 2015, and released on bond. However, he was later taken into custody after Judge Hoyt determined West had violated his conditions of release. He will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
FBI conducted the investigation. Assistant U.S. Attorney Vernon Lewis is prosecuting the case.
35 Members and Associates of Bloods Gang Plead Guilty to Racketeering Conspiracy and Related Charges, Including Drug Trafficking and Wire FraudRead the Press Release
Thirty-five members and associates of the Nine Trey Gangsters set of the United Blood Nation (UBN) street gang, including a “Godfather” as well as other high-ranking leaders of the organization, have pleaded guilty to racketeering conspiracy and related charges in North Carolina, including drug trafficking, wire fraud, firearm possession, and the use of a firearm in furtherance of a crime of violence and drug trafficking.
Acting Assistant Attorney General John P. Cronan of the Justice Department’s Criminal Division, U.S. Attorney R. Andrew Murray for the Western District of North Carolina, and Special Agent in Charge John Strong of the FBI Charlotte, North Carolina Field Division, made the announcement.
“The pleas announced today are part of an extensive investigation by a broad array of federal, state, and local law enforcement agencies—including the Criminal Division’s Organized Crime and Gang Section—whose goal has been to disrupt and dismantle the Nine Trey Gangsters, a dangerous set of the United Blood Nation street gang,” said Acting Assistant Attorney General Cronan. “By targeting the high-ranking individuals who were directing the gang’s activities—from locations up and down the eastern United States, both within prisons and in our communities—today’s pleas constitute a substantial step towards the gang’s eradication.”
“When my office indicted 83 Bloods gang members and senior leaders, the goal was to deliver a major blow to this organized criminal enterprise responsible for raging turf wars, rampant drug distribution and bloody gang violence,” said U.S. Attorney Murray. “We’ve made significant progress toward that goal but the work is far from over. Communities across Western North Carolina know firsthand the trail of violence and devastation gangs leave behind. We have a duty to protect the public from gang violence and to bring relief to neighborhoods afflicted by gang activity. Working with our law enforcement partners we will continue to combine our efforts and resources to keep our communities safe and to protect our children from violent street gangs.”
“The assaults, the robberies, the drug deals, each and every crime committed by these ruthless gang members was a blow to the safety of our communities,” said Special Agent in Charge Strong. “The guilty pleas by these suspects are the next step in securing justice for every innocent person who was impacted by the violent actions of these gangs members.”
Omari Rosero, aka Uno B, 41, of Elmira, New York, pleaded guilty to racketeering conspiracy. According to the factual basis of Rosero’s plea agreement, the Nine Trey Gangsters’ leadership proceeds in rank, from lowest to highest, from “Scrap,” “1-Star General” through “5-Star General,” “Low,” “High,” and, “Godfather.” During his plea, Omari Rosero admitted to holding the leadership rank of “High,” and to serving as an acting “Godfather” of the entire UBN gang. According to a recorded jail call, Omari Rosero admitted to being, together with Pedro Gutierrez, aka Magoo, and James Baxton, aka Frank White, “the last ones that God put in power” over the UBN. Rosero conducted gang business and participated in the distribution of gang dues while incarcerated in the New York State Department of Corrections.
Porsha Talina Rosero, aka Lady Uno B, 35, of Syracuse, New York, pleaded guilty today to racketeering conspiracy. Rosero, who has a tattoo of “Mrs. Uno B” on her chest, referring to Omari Rosero, maintained a Facebook account through which private messages were sent from Omari Rosero to other Bloods leaders. According to the factual basis of her plea agreement, Porsha Rosero further admitted to participating in the distribution of gang dues, and to participating in a phone call during which Omari Rosero stated that a suspected cooperator would be “faded straight up.”
In addition to Omari and Porsha Rosero, seven other defendants with high-ranking leadership positions have previously pleaded guilty in this investigation:
- Montraya Antwain Atkinson, aka Hardbody, 31, of Raleigh, North Carolina, pleaded guilty to racketeering conspiracy. According to the factual basis of his plea agreement, Atkinson admitted to holding the leadership rank of “High,” and admitted to possessing marijuana and cocaine with intent to distribute, and to purchasing and selling powder cocaine;
- Adrian Nayron Coker, aka Gotti, 28, of Gastonia, North Carolina, pleaded guilty to racketeering conspiracy and three counts of possession with intent to distribute narcotics. According to the factual basis of his plea agreement, Coker admitted to holding the leadership rank of “Low,” and to possessing a stolen firearm and ammunition, despite having previously been convicted of a felony. Moreover, according to a court-approved wiretap, Coker was recorded discussing a potential murder of a rival gang member;
- Quincy Delone Haynes, aka Black Montana, 39, of Lawndale, North Carolina, pleaded guilty to racketeering conspiracy and three counts of trafficking cocaine. According to the factual basis of this plea agreement, Haynes admitted to holding the leadership rank of “Low”;
- Barrington Audley Lattibeaudiere, aka Bandana and Bobby Seale, 31, of Fort Lauderdale, Florida, pleaded guilty to racketeering conspiracy and conspiracy to commit wire fraud. According to the factual basis of his plea agreement, Lattibeaudiere admitted to holding the leadership rank of “High,” and coordinating the transmission of hundreds of dollars of UBN gang dues to Gutierrez and Baxton. Lattibeaudiere further admitted to participating in a scheme to make and attempt to make over $64,000 in purchases using fraudulent credit and gift cards;
- Bianca Kiashie Harrison, aka Lady Gunz, 28, of Midway Park, North Carolina, pleaded guilty to racketeering conspiracy. According to the factual basis of Harrison’s plea agreement, Harrison admitted to holding the leadership rank of “High,” and to participating, at facilities within the New York Department of Corrections, in gang leadership meetings with alleged UBN Godfathers Gutierrez and Baxton;
- MyQuan Lamar Nelson, aka Dripz, 27, of Charlotte, North Carolina, pleaded guilty to racketeering conspiracy and heroin trafficking, and according to the factual basis of his plea agreement admitted to holding the leadership rank of “Low”; and
- Tywlain Wilson, aka 5 Alive, 25, of Shelby, North Carolina, pleaded guilty to racketeering conspiracy, possession with intent to distribute marijuana, and firearm possession in furtherance of a drug trafficking crime. According to the factual basis of his plea agreement, Wilson admitted to holding the leadership rank of “Low.”
Furthermore, the following defendants have also pleaded guilty in this case:
- Destinee Danyell Blakeney, aka Lady Rude, 23, of Morven, North Carolina, pleaded guilty to racketeering conspiracy;
- Brandon Khalil Covington, aka Blokka, 25, of Charlotte, North Carolina, pleaded guilty to racketeering conspiracy and to possession of a firearm in furtherance of drug trafficking;
- Christopher Dentre Hamrick, aka Red Dot, 28, of Shelby, North Carolina, pleaded guilty to racketeering conspiracy and to possession of a firearm by a convicted felon;
- Anthony ONeil Harrison, aka Ant, 20, of Charlotte, North Carolina, pleaded guilty to racketeering conspiracy;
- Delonte Maurice Hicks, aka BBB Shooter and Black, 29, of Bennettsville, South Carolina, pleaded guilty to racketeering conspiracy;
- Raheam Shumar Hopper, aka Bone, 24, of Shelby, North Carolina, pleaded guilty to racketeering conspiracy;
- Muhammad John Jackson, aka Picasso, 33, of Charlotte, North Carolina, pleaded guilty to racketeering conspiracy;
- Terrence Thomas Johnsom, aka Sypher, 41, of Durham, North Carolina, pleaded guilty to racketeering conspiracy;
- Joe Tarpeh Johnson, aka JR, Big Pusha, and Kutthroat, 26, of Charlotte, North Carolina, pleaded guilty to racketeering conspiracy and to conspiracy to commit wire fraud;
- Latif Nakia Antoine Johnson, aka Billy Solo, 24, of Charlotte, North Carolina, pleaded guilty to racketeering conspiracy;
- Rashad Monte King, aka Billy Kilo Montana, 26, of Charlotte, North Carolina, pleaded guilty to racketeering conspiracy;
- David Matthew Lowe, aka Gucci, 26, of Shelby, North Carolina, pleaded guilty to racketeering conspiracy;
- Charles Kenyon Lytle, aka Kam, 40, of Concord, North Carolina, pleaded guilty to racketeering conspiracy and to possession of a firearm by a convicted felon;
- Brandon Theodore Manning, aka Billy B, 29, of Columbia, South Carolina, pleaded guilty to racketeering conspiracy;
- Isaac Nabah McIntosh, aka Mac, 27, of Charlotte, North Carolina, pleaded guilty to racketeering conspiracy;
- D’Angelo De’Mara McNeil, aka Dutch, 27, of Charlotte, North Carolina, pleaded guilty to racketeering conspiracy;
- Kolawole Olalekan Omotosho, aka Rugged Red, 19, of Jacksonville, North Carolina, pleaded guilty to racketeering conspiracy;
- James Brandin Pegues, 31, of Charlotte, North Carolina, pleaded guilty to racketeering conspiracy;
- Deshawn Deonta Peterkin, aka Proo, 29, of Wallace, South Carolina, pleaded guilty to racketeering conspiracy;
- Austin Demontry Potts, aka Big Tek and B-Tek, 24, of Charlotte, North Carolina, pleaded guilty to racketeering conspiracy;
- Rashad Sattar, 20, of Lauderdale Lakes, Florida, pleaded guilty to racketeering conspiracy and to conspiracy to commit wire fraud;
- Anthony Bernard Smith, 25, aka Redd Lion, of Gastonia, North Carolina, pleaded guilty to racketeering conspiracy;
- Isaiah Devon Stallworth, aka Zay and Juice, 25, of Charlotte, North Carolina, pleaded guilty to racketeering conspiracy and to use of a firearm in furtherance of a crime of violence;
- Cedric Surratt, aka Hollywood, aka 5-Star, aka Lingo, of Charlotte, North Carolina, pleaded guilty to racketeering conspiracy;
- Lavon Christopher Turner, aka Hungry, 28, of Charlotte, North Carolina, pleaded guilty to racketeering conspiracy and to conspiracy to commit wire fraud; and
- Jesse James Watkins, aka Showtime, 34, of Charlotte, North Carolina, pleaded guilty to racketeering conspiracy.
According to admissions made in connection with the plea agreements, the UBN is a violent criminal street gang operating throughout the east coast of the United States since its inception as a prison gang in 1993. UBN members are often identified by their use of the color red, and can also often be identified by common tattoos or burn marks. Examples include: a three-circle pattern, usually burned onto the upper arm, known as a “dog paw”; the acronym “M.O.B.,” which stands for “Member of Bloods”; the words “damu,” or “eastside”; the number five; the five-pointed star; and the five-pointed crown. UBN members have distinct hand signs and written codes, which are used to identify other members and rival gang members. The Nine Trey Gangster set of the UBN refer to themselves as “Billies.”
Furthermore, the plea agreements note that the UBN is governed by a common set of 31 rules, known as “The 31,” which were originally written by the founders of the UBN. Members of the UBN are expected to conduct themselves and their illegal activity according to rules and regulations set by their leaders. Prominent among these is a requirement to pay monthly dues to the organization, often in the amounts of $31 or $93. A percentage of these funds are transferred to incarcerated UBN leadership in New York; these funds also are used locally to conduct gang business. UBN gang dues are derived from illegal activity performed by subordinate UBN members including narcotics trafficking, robberies, wire fraud, and bank fraud, among other forms of illegal racketeering activities.
The convictions are the result of a joint effort by the FBI; the Charlotte Mecklenburg Police Department; the Shelby Police Department; the Cleveland County Sheriff’s Office; the Gastonia Police Department; the North Carolina State Highway Patrol; the Mecklenburg County Sheriff’s Office; the North Carolina Division of Adult Correction and Juvenile Justice; the North Carolina Department of Motor Vehicles; the U.S. Federal Probation; the U.S. Bureau of Alcohol, Tobacco, Firearms, and Explosives; the Internal Revenue Service Criminal Investigation; the U.S. Postal Inspection Service; the U.S. Army Criminal Investigation Command; and the New York Department of Corrections and Community Supervision, Office of Special Investigations. The case is being prosecuted by the Criminal Division’s Organized Crime and Gang Section and the U.S. Attorney’s Office for the Western District of North Carolina.
This prosecution is part of an extensive investigation by the Organized Crime Drug Enforcement Task Force (OCDETF). OCDETF is a joint federal, state, and local cooperative approach to combat drug trafficking and is the nation’s primary tool for disrupting and dismantling major drug trafficking organizations, targeting national and regional level drug trafficking organizations, and coordinating the necessary law enforcement entities and resources to disrupt or dismantle the targeted criminal organization and seize their assets.
35 Members and Associates of Bloods Gang Plead Guilty to Racketeering Conspiracy and Related Charges, Including Drug Trafficking and Wire FraudRead the Press Release
WASHINGTON – Thirty-five members and associates of the Nine Trey Gangsters set of the United Blood Nation (UBN) street gang, including a “Godfather” as well as other high-ranking leaders of the organization, have pleaded guilty to racketeering conspiracy and related charges in North Carolina, including drug trafficking, wire fraud, firearm possession, and the use of a firearm in furtherance of a crime of violence and drug trafficking.
Acting Assistant Attorney General John P. Cronan of the Justice Department’s Criminal Division, U.S. Attorney R. Andrew Murray for the Western District of North Carolina, and Special Agent in Charge John Strong of the FBI Charlotte, North Carolina Field Division, made the announcement.
“The pleas announced today are part of an extensive investigation by a broad array of federal, state, and local law enforcement agencies—including the Criminal Division’s Organized Crime and Gang Section—whose goal has been to disrupt and dismantle the Nine Trey Gangsters, a dangerous set of the United Blood Nation street gang,” said Acting Assistant Attorney General Cronan. “By targeting the high-ranking individuals who were directing the gang’s activities—from locations up and down the eastern United States, both within prisons and in our communities—today’s pleas constitute a substantial step towards the gang’s eradication.”
“When my office indicted 83 Bloods gang members and senior leaders, the goal was to deliver a major blow to this organized criminal enterprise responsible for raging turf wars, rampant drug distribution and bloody gang violence,” said U.S. Attorney Murray. “We’ve made significant progress toward that goal but the work is far from over. Communities across Western North Carolina know firsthand the trail of violence and devastation gangs leave behind. We have a duty to protect the public from gang violence and to bring relief to neighborhoods afflicted by gang activity. Working with our law enforcement partners we will continue to combine our efforts and resources to keep our communities safe and to protect our children from violent street gangs.”
“The assaults, the robberies, the drug deals, each and every crime committed by these ruthless gang members was a blow to the safety of our communities,” said Special Agent in Charge Strong. “The guilty pleas by these suspects are the next step in securing justice for every innocent person who was impacted by the violent actions of this gang’s members.”
Omari Rosero, aka Uno B, 41, of Elmira, New York, pleaded guilty to racketeering conspiracy. According to the factual basis of Rosero’s plea agreement, the Nine Trey Gangsters’ leadership proceeds in rank, from lowest to highest, from “Scrap,” “1-Star General” through “5-Star General,” “Low,” “High,” and, “Godfather.” During his plea, Omari Rosero admitted to holding the leadership rank of “High,” and to serving as an acting “Godfather” of the entire UBN gang. According to a recorded jail call, Omari Rosero admitted to being, together with Pedro Gutierrez, aka Magoo, and James Baxton, aka Frank White, “the last ones that God put in power” over the UBN. Rosero conducted gang business and participated in the distribution of gang dues while incarcerated in the New York State Department of Corrections.
Porsha Talina Rosero, aka Lady Uno B, 35, of Syracuse, New York, pleaded guilty today to racketeering conspiracy. Rosero, who has a tattoo of “Mrs. Uno B” on her chest, referring to Omari Rosero, maintained a Facebook account through which private messages were sent from Omari Rosero to other Bloods leaders. According to the factual basis of her plea agreement, Porsha Rosero further admitted to participating in the distribution of gang dues, and to participating in a phone call during which Omari Rosero stated that a suspected cooperator would be “faded straight up.”
In addition to Omari and Porsha Rosero, seven other defendants with high-ranking leadership positions have previously pleaded guilty in this investigation:
- Montraya Antwain Atkinson, aka Hardbody, 31, of Raleigh, North Carolina, pleaded guilty to racketeering conspiracy. According to the factual basis of his plea agreement, Atkinson admitted to holding the leadership rank of “High,” and admitted to possessing marijuana and cocaine with intent to distribute, and to purchasing and selling powder cocaine;
- Adrian Nayron Coker, aka Gotti, 28, of Gastonia, North Carolina, pleaded guilty to racketeering conspiracy and three counts of possession with intent to distribute narcotics. According to the factual basis of his plea agreement, Coker admitted to holding the leadership rank of “Low,” and to possessing a stolen firearm and ammunition, despite having previously been convicted of a felony. Moreover, according to a court-approved wiretap, Coker was recorded discussing a potential murder of a rival gang member;
- Quincy Delone Haynes, aka Black Montana, 39, of Lawndale, North Carolina, pleaded guilty to racketeering conspiracy and three counts of trafficking cocaine. According to the factual basis of this plea agreement, Haynes admitted to holding the leadership rank of “Low”;
- Barrington Audley Lattibeaudiere, aka Bandana and Bobby Seale, 31, of Fort Lauderdale, Florida, pleaded guilty to racketeering conspiracy and conspiracy to commit wire fraud. According to the factual basis of his plea agreement, Lattibeaudiere admitted to holding the leadership rank of “High,” and coordinating the transmission of hundreds of dollars of UBN gang dues to Gutierrez and Baxton. Lattibeaudiere further admitted to participating in a scheme to make and attempt to make over $64,000 in purchases using fraudulent credit and gift cards;
- Bianca Kiashie Harrison, aka Lady Gunz, 28, of Midway Park, North Carolina, pleaded guilty to racketeering conspiracy. According to the factual basis of Harrison’s plea agreement, Harrison admitted to holding the leadership rank of “High,” and to participating, at facilities within the New York Department of Corrections, in gang leadership meetings with alleged UBN Godfathers Gutierrez and Baxton;
- MyQuan Lamar Nelson, aka Dripz, 27, of Charlotte, North Carolina, pleaded guilty to racketeering conspiracy and heroin trafficking, and according to the factual basis of his plea agreement admitted to holding the leadership rank of “Low”; and
- Tywlain Wilson, aka 5 Alive, 25, of Shelby, North Carolina, pleaded guilty to racketeering conspiracy, possession with intent to distribute marijuana, and firearm possession in furtherance of a drug trafficking crime. According to the factual basis of his plea agreement, Wilson admitted to holding the leadership rank of “Low.”
Furthermore, the following defendants have also pleaded guilty in this case:
- Destinee Danyell Blakeney, aka Lady Rude, 23, of Morven, North Carolina, pleaded guilty to racketeering conspiracy;
- Brandon Khalil Covington, aka Blokka, 25, of Charlotte, North Carolina, pleaded guilty to racketeering conspiracy and to possession of a firearm in furtherance of drug trafficking;
- Christopher Dentre Hamrick, aka Red Dot, 28, of Shelby, North Carolina, pleaded guilty to racketeering conspiracy and to possession of a firearm by a convicted felon;
- Anthony ONeil Harrison, aka Ant, 20, of Charlotte, North Carolina, pleaded guilty to racketeering conspiracy;
- Delonte Maurice Hicks, aka BBB Shooter and Black, 29, of Bennettsville, South Carolina, pleaded guilty to racketeering conspiracy;
- Raheam Shumar Hopper, aka Bone, 24, of Shelby, North Carolina, pleaded guilty to racketeering conspiracy;
- Muhammad John Jackson, aka Picasso, 33, of Charlotte, North Carolina, pleaded guilty to racketeering conspiracy;
- Terrence Thomas Johnsom, aka Sypher, 41, of Durham, North Carolina, pleaded guilty to racketeering conspiracy;
- Joe Tarpeh Johnson, aka JR, Big Pusha, and Kutthroat, 26, of Charlotte, North Carolina, pleaded guilty to racketeering conspiracy and to conspiracy to commit wire fraud;
- Latif Nakia Antoine Johnson, aka Billy Solo, 24, of Charlotte, North Carolina, pleaded guilty to racketeering conspiracy;
- Rashad Monte King, aka Billy Kilo Montana, 26, of Charlotte, North Carolina, pleaded guilty to racketeering conspiracy;
- David Matthew Lowe, aka Gucci, 26, of Shelby, North Carolina, pleaded guilty to racketeering conspiracy;
- Charles Kenyon Lytle, aka Kam, 40, of Concord, North Carolina, pleaded guilty to racketeering conspiracy and to possession of a firearm by a convicted felon;
- Brandon Theodore Manning, aka Billy B, 29, of Columbia, South Carolina, pleaded guilty to racketeering conspiracy;
- Isaac Nabah McIntosh, aka Mac, 27, of Charlotte, North Carolina, pleaded guilty to racketeering conspiracy;
- D’Angelo De’Mara McNeil, aka Dutch, 27, of Charlotte, North Carolina, pleaded guilty to racketeering conspiracy;
- Kolawole Olalekan Omotosho, aka Rugged Red, 19, of Jacksonville, North Carolina, pleaded guilty to racketeering conspiracy;
- James Brandin Pegues, 31, of Charlotte, North Carolina, pleaded guilty to racketeering conspiracy;
- Deshawn Deonta Peterkin, aka Proo, 29, of Wallace, South Carolina, pleaded guilty to racketeering conspiracy;
- Austin Demontry Potts, aka Big Tek and B-Tek, 24, of Charlotte, North Carolina, pleaded guilty to racketeering conspiracy;
- Rashad Sattar, 20, of Lauderdale Lakes, Florida, pleaded guilty to racketeering conspiracy and to conspiracy to commit wire fraud;
- Anthony Bernard Smith, 25, aka Redd Lion, of Gastonia, North Carolina, pleaded guilty to racketeering conspiracy;
- Isaiah Devon Stallworth, aka Zay and Juice, 25, of Charlotte, North Carolina, pleaded guilty to racketeering conspiracy and to use of a firearm in furtherance of a crime of violence;
- Cedric Surratt, aka Hollywood, aka 5-Star, aka Lingo, of Charlotte, North Carolina, pleaded guilty to racketeering conspiracy;
- Lavon Christopher Turner, aka Hungry, 28, of Charlotte, North Carolina, pleaded guilty to racketeering conspiracy and to conspiracy to commit wire fraud; and
- Jesse James Watkins, aka Showtime, 34, of Charlotte, North Carolina, pleaded guilty to racketeering conspiracy.
According to admissions made in connection with the plea agreements, the UBN is a violent criminal street gang operating throughout the east coast of the United States since its inception as a prison gang in 1993. UBN members are often identified by their use of the color red, and can also often be identified by common tattoos or burn marks. Examples include: a three-circle pattern, usually burned onto the upper arm, known as a “dog paw”; the acronym “M.O.B.,” which stands for “Member of Bloods”; the words “damu,” or “eastside”; the number five; the five-pointed star; and the five-pointed crown. UBN members have distinct hand signs and written codes, which are used to identify other members and rival gang members. The Nine Trey Gangster set of the UBN refer to themselves as “Billies.”
Furthermore, the plea agreements note that the UBN is governed by a common set of 31 rules, known as “The 31,” which were originally written by the founders of the UBN. Members of the UBN are expected to conduct themselves and their illegal activity according to rules and regulations set by their leaders. Prominent among these is a requirement to pay monthly dues to the organization, often in the amounts of $31 or $93. A percentage of these funds are transferred to incarcerated UBN leadership in New York; these funds also are used locally to conduct gang business. UBN gang dues are derived from illegal activity performed by subordinate UBN members including narcotics trafficking, robberies, wire fraud, and bank fraud, among other forms of illegal racketeering activities.
The convictions are the result of a joint effort by the FBI; the Charlotte Mecklenburg Police Department; the Shelby Police Department; the Cleveland County Sheriff’s Office; the Gastonia Police Department; the North Carolina State Highway Patrol; the Mecklenburg County Sheriff’s Office; the North Carolina Division of Adult Correction and Juvenile Justice; the North Carolina Department of Motor Vehicles; the U.S. Federal Probation; the U.S. Bureau of Alcohol, Tobacco, Firearms, and Explosives; the Internal Revenue Service Criminal Investigation; the U.S. Postal Inspection Service; the U.S. Army Criminal Investigation Command; and the New York Department of Corrections and Community Supervision, Office of Special Investigations.
This prosecution is part of an extensive investigation by the Organized Crime Drug Enforcement Task Force (OCDETF). OCDETF is a joint federal, state, and local cooperative approach to combat drug trafficking and is the nation’s primary tool for disrupting and dismantling major drug trafficking organizations, targeting national and regional level drug trafficking organizations, and coordinating the necessary law enforcement entities and resources to disrupt or dismantle the targeted criminal organization and seize their assets.
20-Year-Old Roanoke Man Pleads Guilty to Federal Drug ChargeRead the Press Release
Roanoke, VIRGINIA – A Roanoke man, who fled from police following a traffic stop for an expired registration tag, pleaded guilty today in U.S. District Court in Roanoke to a federal drug charge. United States Attorney Rick A. Mountcastle, Tom Chittum Special Agent in Charge of the Bureau of Alcohol Tobacco, Firearms and Explosives, Washington, D.C. Field Division, Supervisory Senior Resident Agent Jeffrey Taylor from the FBI’s Roanoke Field Office and Resident Agent in Charge Jeffrey Wanner of the Drug Enforcement Administration’s Roanoke Field Office made the announcement.
Michael Antonio David II, 20, pleaded guilty today to one count of possession with the intent to distribute crack cocaine. As part of his plea agreement, the defendant agreed to a term of incarceration of 60 months in federal prison to run concurrent to the 18-month state sentence he is currently serving.
The case against David began on July 8, 2016 when an officer with the Roanoke City Police Department and a trooper with the Virginia State Police initiated a traffic stop for expired registration on the vehicle the defendant was driving. David stopped the car and fled on foot. As he ran, the officers observed the defendant reaching into his waistband.
After pursuing David for several blocks, officers stopped and arrested the defendant. During a search of the defendant, officers discovered a plastic bag containing crack cocaine. In a second plastic bag located in David’s gym shorts, which were under his pants, officers located 14 silver ammunition rounds.
A subsequent search of the area in which the foot pursuit took place was conducted and officers used a K-9 to assist. A semi-automatic, KAHR .40 handgun was located in the vicinity where the defendant had been running. David admitted to throwing the gun from his waistband while running from police.
The investigation of the case was conducted by the Roanoke City Police Department, the Virginia State Police, the Federal Bureau of Investigation, the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Drug Enforcement Administration, the Roanoke City Police Department. United States Attorney Rick A. Mountcastle and Assistant United States Attorney Ashley B. Neese are prosecuting the case for the United States.
10 March 2018
Department of Justice Submits Notice of Proposed Regulation Banning Bump StocksRead the Press Release
Today the Department of Justice submitted to the Office of Management and Budget a notice of a proposed regulation to clarify that the definition of “machinegun” in the National Firearms Act and Gun Control Act includes bump stock type devices, and that federal law accordingly prohibits the possession, sale, or manufacture of such devices.
"President Trump is absolutely committed to ensuring the safety and security of every American and he has directed us to propose a regulation addressing bump stocks,” said Attorney General Jeff Sessions. “To that end, the Department of Justice has submitted to the Office of Management and Budget a notice of a proposed regulation to clarify that the National Firearms and Gun Control Act defines ‘machinegun’ to include bump stock type devices.”
This submission is a formal requirement of the regulatory review process. Once approved by the Office of Management and Budget, the Department of Justice will seek to publish this notice as expeditiously as possible.
9 March 2018
York Man Convicted on Drug Trafficking ChargesRead the Press Release
HARRISBURG - The United States Attorney’s Office for the Middle District of Pennsylvania announced today that Raul Cotto-Rivera, age 40, of York, Pennsylvania, was convicted yesterday of various drug trafficking offenses after a three-day jury trial held before U.S. District Court Judge Yvette Kane.
According to United States Attorney David J. Freed, Cotto-Rivera was convicted of conspiracy to distribute 100 grams and more of heroin and 500 grams and more of cocaine hydrochloride, distribution of heroin (3 counts), possession with intent to distribute heroin and cocaine hydrochloride, distribution of marijuana and possession with intent to distribute cocaine base, cocaine hydrochloride and marijuana.
The charges stemmed from a number of controlled buys of heroin that were made by and through Cotto-Rivera in September and October of 2015. In October 2015, law enforcement obtained and executed a search warrant and located approximately $20,000 in United States currency, a drug ledger, drug packaging material and distribution quantities of cocaine and heroin all in the defendant’s home. While on release, Cotto-Rivera continued to sell drugs and was engaged in the distribution of marijuana from his store. A second search warrant executed in February of 2017, located distribution quantities of marijuana and cocaine, drug packaging materials and a loaded stolen firearm.
A sentencing date has not yet been scheduled.
The investigation was conducted by the FBI Safe Streets Task Force, the York County Drug Task Force, the Pennsylvania State Police, the York Area Regional Police Department, the West Manchester Township Police Department, the York County Sheriff’s Office, the Springettsbury Township Police Department, and the York County District Attorney’s Office. The case was prosecuted by Assistant United States Attorneys Daryl F. Bloom and Carl Marchioli.
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.
This case was brought as part of a district wide initiative to combat the nationwide epidemic regarding the use and distribution of heroin. Led by the United States Attorney’s Office, the Heroin Initiative targets heroin traffickers operating in the Middle District of Pennsylvania and is part of a coordinated effort among federal, state and local law enforcement agencies to locate, apprehend, and prosecute individuals who commit heroin related offenses.
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 defendant faces a mandatory term of imprisonment of five years and a maximum term of imprisonment of 160 years, a term of supervised release following imprisonment, and a fine. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant's educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
# # #
Wilmington Man Federally Indicted and Detained for Illegally Possessing A GunRead the Press Release
WILMINGTON, Del. – David C. Weiss, United States Attorney for the District of Delaware, announced that Zidre Cephas, of Wilmington, was detained pending trial Friday after being indicted[1] by a federal grand jury earlier this week for illegally possessing a firearm. According to court documents, Cephas was arrested last year by members of the Wilmington Police Department in the area of 6th Street and Jefferson Street, in Wilmington’s West Center City neighborhood. While responding to a citizen complaint, officers found a revolver in Cephas’ pants’ pocket.
U.S. Attorney Weiss commented, “Effectively combatting gun violence before shots are fired requires the cooperation of local, state, and federal law enforcement. My office is committed to working tirelessly with the Wilmington Police Department to investigate and prosecute firearms crimes in the City of Wilmington generally, and the neighborhood of West Center City in particular.”
Charges in this case were brought by Bureau of Alcohol, Tobacco and Firearms and Explosives (“ATF”). This case is being prosecuted by Special Assistant U.S. Attorney Christopher L. de Barrena-Sarobe and Assistant U.S. Attorney Jennifer Welsh.
[1] The charges in the Indictment are only allegations. The Defendant is presumed innocent until, and unless, proven guilty beyond a reasonable doubt.
Virginia Man Sentenced to Two Years in Prison for Scheme to Manipulate the Market for Fitbit StockRead the Press Release
Geoffrey S. Berman, the United States Attorney for the Southern District of New York, announced that ROBERT WALTER MURRAY was sentenced today to 24 months in prison for manipulating the market for the stock of Fitbit, Inc. (“Fitbit”), by filing a sham tender offer with the Securities and Exchange Commission (“SEC”) in November 2016. MURRAY’s sham tender offer resulted in a temporary change in Fitbit’s market capitalization of over $100 million. MURRAY pled guilty on November 7, 2017, before U.S. District Judge Katherine B. Forrest, who imposed today’s sentence.
U.S. Attorney Geoffrey S. Berman said: “Robert Murray manipulated the market in Fitbit stock by making a false filing with the SEC about a tender offer. Hoping to take a quick profit from trading in Fitbit stock options, Murray’s attempt to game the system has instead earned him a federal prison sentence.”
According to allegations in a Complaint and Indictment filed in Manhattan federal court, as well as previous court filings and statements made in public court proceedings:
On November 8, 2016, MURRAY, falsely purporting to be an officer at a China-based entity called ABM Capital, created an account on the SEC’s Electronic Data Gathering, Analysis, and Retrieval (or “EDGAR”) system. The next day, MURRAY submitted a filing on EDGAR that reported that ABM Capital had offered to purchase Fitbit for approximately $12.50 a share, a significant premium to the price of Fitbit stock at the time. This filing was made public on November 10, 2016, and, when it was, Fitbit’s stock temporarily increased in response to the news. While Fitbit’s stock had closed at approximately $8.55 a share on November 9, 2016, it reached a high of approximately $9.27 per share, with significantly increased trading volume, after MURRAY’s fake tender offer filing was made public. This resulted in a temporary increase of Fitbit’s market capitalization of around $100 million. The tender offer that MURRAY filed, however, was entirely fictitious, and was instead meant only to increase the value of options in Fitbit stock that MURRAY had purchased just days earlier.
MURRAY also took significant steps to hide his connection to the tender offer filing. For example, he created a separate email account to register with the SEC and to file the sham tender offer, and took efforts to disguise his IP address when accessing that account.
* * *
In addition to the prison sentence, MURRAY, 25, of Chesapeake, Virginia, was sentenced to two years of supervised release. The Court further ordered MURRAY to forfeit a sum of $3,914.08.
Mr. Berman praised the exceptional work of the Office’s criminal investigators, and thanked the U.S. Postal Inspection Service and the Securities and Exchange Commission for their assistance.
This case is being handled by the Office’s Securities and Commodities Fraud Task Force. Assistant United States Attorney Robert Allen is in charge of the prosecution.
United States Customs Officer Charged with Lying About Citizenship Relating to His Federal EmploymentRead the Press Release
TUCSON, Ariz. – On March 7, 2018, the grand jury returned an indictment charging Marco Antonio De La Garza Jr., 37, of Hereford, Ariz., with three counts related to passport fraud and false statements on his federal law enforcement background application. Specifically, it is alleged that De La Garza is a Mexican citizen who knowingly used a fraudulently obtained Texas birth certificate to apply for a United States passport. Additionally, the indictment charges he knowingly and willfully used the same fraudulently obtained birth certificate to assert United States citizenship on his five-year background check to maintain employment as a United States Customs and Border Protection Officer.
An indictment is simply a method by which a person is charged with criminal activity and raises no inference of guilt. An individual is presumed innocent until competent evidence is presented to a jury that establishes guilt beyond a reasonable doubt.
The investigation preceding the indictment was conducted by the Department of State-Diplomatic Security Service and the Department of Homeland Security-Office of Inspector General. The prosecution is being handled by Lori Price and Heather Siegele, Assistant U.S. Attorneys, District of Arizona.
.
CASE NUMBER: CR-18-00353-TUC-RCC
RELEASE NUMBER: 2018-024_Franco
# # #
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.
United States Attorney’s Office Reaches Settlement with Dauphin County, Pa, over Polling Place Access for VotersRead the Press Release
HARRISBURG - The United States Attorney’s Office for the Middle District of Pennsylvania announced today a settlement with Dauphin County under Title II of the Americans with Disabilities Act to improve physical accessibility at the county’s polling places for individuals who use wheel chairs and other mobility aids, and for individuals who are blind or have vision impairments.
According to United States Attorney David J. Freed, in the May 19, 2015 primary election, the United States Attorney’s Office, along with an architect from the Department of Justice, surveyed a portion of the county’s polling place locations. The survey resulted in a finding that many of the county’s polling places contain barriers to access for persons with disabilities. Title II of the ADA prohibits discrimination on the basis of disability by a state or local government in any of its programs or services, including its voting program.
Dauphin County is working collaboratively with the United States Attorney’s Office to make all polling places accessible. Under the terms of the agreement, the county will use an evaluation form for each current and prospective polling place based on ADA architectural standards. The settlement requires the county to either relocate inaccessible polling places to new, accessible facilities, or to use temporary measures such as portable ramps, signs, traffic cones and doorbells, where appropriate to ensure accessibility on Election Day. Dauphin County has indeed taken steps since the May 19, 2015 election to ensure polling place accessibility.
“The right of individuals to participate in our democratic system of government includes full and equal access to polling sites,” said U.S. Attorney Freed. “Under this agreement, voters with disabilities will now be able to cast their ballots in person at their polling places alongside their neighbors.”
This investigation was handled by Assistant United States Attorney Michael J. Butler with the assistance of the United States Department of Justice, Civil Rights Division (Disability Rights Section). Those interested in finding out more about the ADA can access the ADA website at www.ada.gov.
# # #
Two Men Plead Guilty to Roles in Trans-National Methamphetamine Trafficking RingRead the Press Release
BOSTON – Two men pleaded guilty yesterday in federal court in Boston to their roles in a large-scale methamphetamine trafficking and money laundering ring operating between Massachusetts and California.
Bruce Reisman, 51, of Boston, and Jesse Gillis, 32, previously of Allston and San Diego, Calif., pleaded guilty to drug trafficking charges. Reisman pleaded guilty to possession of methamphetamine with intent to distribute, and Gillis pleaded guilty to conspiracy to distribute and to possess with intent to distribute 50 grams or more of methamphetamine and conspiracy to launder monetary instruments. U.S. Senior District Court Judge George A. O’Toole Jr. scheduled their sentencings for June 12, 2018, and June 13, 2018, respectively.
In November 2016, Reisman, Gillis, and nine co-defendants were charged with various methamphetamine offenses relating to a transnational trafficking scheme.
Beginning in at least 2013 and continuing to November 2016, Gillis and others participated in a conspiracy to transport significant quantities of methamphetamine from San Diego, Calif., to Massachusetts, where it was distributed in the greater Boston area. Proceeds from the sale of that methamphetamine were then transported and/or transferred back to California and laundered in various ways. Reisman possessed some of that methamphetamine with the intent to distribute it to others.
The charge of possession of methamphetamine with intent to distribute provides for a sentence of no greater than 20 years in prison, a minimum of three years and up to a lifetime of supervised release, and a fine of up to $1 million. The charge of conspiracy to distribute and possess with the intent to distribute 50 grams or more of methamphetamine provides for a mandatory minimum sentence of 10 years in prison and up to life, a minimum of five years and up to a lifetime of supervised release, and a fine of up to $10 million. The charge of conspiracy to launder monetary instruments provides for a sentence of no greater than 20 years in prison, up to five years of supervised release, and a fine of up to $500,000 or twice the value of the property laundered. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Andrew E. Lelling; Harold H. Shaw, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; Michael J. Ferguson, Special Agent in Charge of the Drug Enforcement Administration, Boston Field Division; Joel P. Garland, Special Agent in Charge of the Internal Revenue Service’s Criminal Investigations in Boston; William Ferrara, Director of Field Operations of U.S. Customs and Border Protection; Colonel Kerry A. Gilpin, Superintendent of the Massachusetts State Police; and Boston Police Commissioner William Evans made the announcement. The Massachusetts Department of Correction; Norfolk County Sherriff’s Office; Suffolk County Sheriff’s Office; and the Reading, Watertown, Quincy, Chelsea, Braintree, Peabody, Waltham, and Woburn Police Departments; and Connecticut State Police assisted with the investigation. Assistant U.S. Attorney Karen Beausey of Lelling’s Narcotics & Money Laundering Unit is prosecuting the cases.
The details contained in the charging documents are allegations. The remaining defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Two District Men Found Guilty of Charges in Shooting at Southeast Washington Barber ShopRead the Press Release
WASHINGTON - Terrance Atchison, 22, and Barry Bloomfield, 29, both of Washington, D.C., have been found guilty by a jury of numerous charges stemming from a shooting at a barber shop in Southeast Washington, in which a father and his 21-month-old child were injured.
The verdicts were announced by U.S. Attorney Jessie K. Liu and Peter Newsham, Chief of the Metropolitan Police Department (MPD).
Atchison and Bloomfield were found guilty on March 8, 2018, of charges of aggravated assault while armed, assault with significant bodily injury while armed (of a minor), assault with a dangerous weapon, and related offenses. The verdicts followed a multi-week trial in the Superior Court of the District of Columbia. The defendants face sentencing on May 18, 2018 before the Honorable Judge Danya A. Dayson.
According to the government’s evidence, on Friday, Feb. 12, 2016, at approximately 1:40 p.m., three masked gunmen opened the doors of Wrenn’s Barber Shop, in the 1000 block of Eighth Street SE, and began firing a total of eight rounds. At the time of the shooting, the shop was bustling with customers, and the toddler and his father were waiting for a haircut. The father, who was holding his son, was shot three times, and one wound shattered his ankle. A bullet grazed the child’s leg. Witnesses observed the gunmen run to a waiting white sport utility vehicle just around the corner and flee.
Video surveillance showed the defendants getting into a white Toyota RAV 4 about 20 minutes before the shooting and travelling to the barber shop. The defendants were on GPS monitoring because they were on post-conviction supervision, and their tracks placed them directly in front of the barber shop at the time of the shooting, as well as mirrored the RAV 4’s travel to and flight from the barber shop.
Atchison was arrested on Feb. 17, 2016, and Bloomfield was arrested on Feb. 18, 2016. They have been in custody ever since.
In announcing the verdicts, U.S. Attorney Liu and Chief Newsham commended those who investigated the case from the Metropolitan Police Department. They also acknowledged the work of those who handled the case at the U.S. Attorney’s Office, including Assistant U.S. Attorneys Lisa N. Walters and Thomas Saunders, who investigated the case, Paralegal Specialist Antoinette Sakamsa, Information Technology Specialist Leif Hickling, and Criminal Investigators Nelson Rhone and Melissa Matthews. Finally, they commended the work of Assistant U.S. Attorneys Brittany Keil and Melissa Jackson, who prosecuted the case.
Twelve Defendants Arrested, Charged in Marijuana ConspiracyRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051ROCHESTER, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that 12 defendants have been arrested and charged by criminal complaint with conspiracy to possess with intent to distribute, and to distribute, 100 kilograms or more of a mixture or substance containing marijuana. The charge carries a minimum penalty of five years in prison, a maximum of 40 years and a $5,000,000 fine.
Named in the complaint are:
• Phoumano Duangtavilay, 50; • Khonesavanh Vongxay, 62; • Kongchay Kongthong, 50; • Manivone Phommaviseth, 56; • James Vongxay, 20; • Chandy Vongxay, 29; • Keith Surivan, 40; • Phetnalay Douangtavilay, 47; • Phou Daoreuang, 33; • Danisha Floyd, 26; • Jerimiah Torres, 20; and
• Kongdeuane Vongxay, 39.Assistant U.S. Attorney Sean C. Eldridge, who is handling the case, stated that according to the complaint, since 2014, Phoumano Duangtavilay and Khonesavanh Vongxay have headed a marijuana distribution organization operating in the Rochester, NY area. Co-defendants Kongchay Kongthong, Manivone Phommaviseth, James Vongxay, Chandy Vongxay, Keith Surivan, Phetnalay Doungtavilay, Phou Daoreuang, Danisha Floyd, Jerimiah Torres, and Kongdeuane Vongxay assisted in distributing marijuana in the Rochester area and in obtaining money orders through structured purchases to evade reporting requirements and to conceal the proceeds of their marijuana sales. The complaint alleges that the organization obtained marijuana from California, and shipped it to various locations in Rochester for distribution. Money orders were then sent back to California as payment for the marijuana.
As part of the investigation, law enforcement officers executed search warrants at nine locations in Rochester, and on numerous packages that were subsequently found to contain marijuana or money orders. Investigators seized over 130 pounds of marijuana, over $180,000 in money orders, and four vehicles that were used to facilitate the marijuana trafficking. Between August 2015 and January 2018, a total of 1,061 parcels containing suspected marijuana were sent using the U.S. Postal Service from California to individuals or addresses associated with this conspiracy in Rochester.
“This drug organization, like others we are seeing with increasing frequency, sought to flood the market through a steady drip, drip, drip of relatively small packages of drugs being shipped into our community,” noted U.S. Attorney Kennedy. “Today, that spigot finally got turned-off. Whether its marijuana or deadly fentanyl, this Office, together with our partners in law enforcement will do all that we can to stem the flow of illegal substances into our area.”
“The U.S. Postal Inspection Service, along with our federal and state law enforcement partners, will dedicate the resources necessary to combat drug trafficking in our communities,” stated Acting Inspector-in-Charge Raymond Moss of the United States Postal Inspection Service, Boston Division. “These arrests should give fair warning that using the U.S. Mail to facilitate crimes like these, will not be tolerated. The U.S. Postal Inspection Service will continue to work diligently to rid the U.S. Mail of illegal drugs and their proceeds.”
“The suppliers of illegal drugs are exploiting every channel they can to infiltrate our communities,” said State Police Superintendent George P. Beach II. “By using our postal service, these defendants were able to ship drugs to our state and then distribute on our streets. These are crimes that will not be tolerated. The arrests are the result of collaboration and cooperation between all levels of government – federal, state and local law enforcement. Together, law enforcement is sending them a message: No matter how you attempt to bring illegal drugs into our communities, we will find you and send you to jail.”
Ten of the 12 defendants made an initial appearance before U.S. Magistrate Judge Jonathan W. Feldman. Phoumano Duangtavilay is being held while the other nine defendants were released on conditions. Defendants Chandy Vongxay and Keith Surivan were arrested in the Atlanta, Georgia area and will be returned to the Western District of New York at a later date.
The complaint is the result of an investigation by the U.S. Postal Inspection Service, under the direction of Inspector-in-Charge Ray Moss of the Boston Division, and the New York State Police Community Narcotics Enforcement Team (CNET), under the direction of CNET Detail Commander Major Mary Clark, Lieutenant Kevin Reyes, CNET Western Regional Narcotics Commander, and Senior Investigator Matthew Butts, Narcotics Group Supervisor. Additional assistance was provided by the New York State Police, under the direction of Major Richard Allen, Troop E Commander; the Rochester Police Department, under the direction of Chief Michael Ciminelli; the Drug Enforcement Administration, under the direction of Special Agent-in-Charge James J. Hunt, New York Field Division; the U.S. Marshals Service, under the direction of Marshal Charles Salina; Immigration and Customs Enforcement, Homeland Security Investigations, under the direction of Special Agent-in-Charge Kevin Kelly; US Border Patrol, under the direction of Patrol Agent-in-Charge Steven Oldman; Irondequoit Police Department, under the direction of Chief Richard Tantalo; the Gates Police Department, under the direction of Chief James VanBrederode; and the New York National Guard Counter Drug Task Force. The New York State Police also recognize the assistance of JetBlue Corporate Security.
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.
Three Rutland County Residents Plead Guilty to Hosting Out-of-State Drug Dealers at Their Residences in Violation of Federal “Crack-House” StatuteRead the Press Release
The Office of the United States Attorney for the District of Vermont stated today that three Rutland County residents have pled guilty in three separate cases to violating the federal “crack-house” statute. The convictions arise from the defendants’ conduct in hosting out-of-state heroin dealers in their residences. Sheri Fitzgerald, 54, of Rutland; Wayne Oddo, 54, of Poultney; and Richard Webster, 60, of West Rutland, have all pled guilty to the federal law, commonly referred to as the “crack-house statute,” which prohibits making available a place, such as a residence, for the purpose of manufacturing, storing, distributing, or using any controlled substance. This statute imposes a maximum sentence of twenty years’ imprisonment, up to a $500,000 fine, and up to three years of supervised release to begin after any term of imprisonment is served.
These three cases represent a renewed commitment by the U.S. Attorney’s Office to deter Vermont residents from assisting larger-scale out-of-state drug dealers by providing them with a local shelter or “base camp” for their drug trafficking operations in Vermont. Often, the individuals who house the out-of-state dealers are themselves addicts who receive payment in the form of drugs.
U.S. Attorney Christina Nolan stated:
“The heroin crisis in Vermont requires a multi-faceted law enforcement approach aimed at reducing supply, which will complement statewide efforts to reduce demand through prevention initiatives and by making drug treatment more accessible to addicts. As part of our continued vigorous prosecutions of large-scale drug dealers, it is also necessary to target those Vermont residents who enable out-of-state dealers by providing them with in-state bases of operation – that is, a place to stay, to store their product, and to conduct drug trafficking activities. Oftentimes, these Vermont facilitators will host a succession of out-of-state drug dealers, and perform drug deliveries to their customers. Vermonters who engage in this conduct play an essential role in larger drug trafficking organizations and contribute substantially to the overall opioid epidemic by helping suppliers avoid detection, connecting them with customers, and reducing their cost of doing business in the Green Mountain State. Facilitators must understand that such conduct will be met with felony charges. Indeed, prosecuting the in-state hosts and shutting down drug safe houses is a critical component of our strategy to dismantle drug pipelines and create a hostile environment for those who profit from the opioid addiction epidemic. In appropriate cases, such as when the owner of the property is aware of the drug dealing and fails to take reasonable and safe steps to stop it, such as by contacting law enforcement, the U.S. Attorney’s Office may also utilize federal forfeiture law to seize and forfeit the property.”
According to court documents:
Sheri Fitzgerald lived in a Granger Street apartment in Rutland City in March 2016. At that time, she allowed an out-of-state heroin dealer to stay at her residence for multiple days. This dealer stored heroin in her residence and sold it from her residence. Fitzgerald assisted him by arranging and completing these drug sales. She received heroin in exchange for letting this drug dealer stay at her apartment.
Wayne Oddo lived at Morse Hollow Road in Poultney in the winter of 2016-17. At that time, he allowed Richard Torruellas (a.k.a. “Scoobs”) and Francesco Escribano (a.k.a. “Brisco”), also known as the Jersey Boys, to stay there overnight on multiple occasions. Oddo knew at the time that both of these individuals were distributing heroin and crack cocaine in Rutland County. They also occasionally sold these drugs at Oddo’s residence. In exchange for letting them stay there, the Jersey Boys would give Oddo small, personal use amounts of drugs. When Oddo was arrested on March 15, 2017, he admitted that he moved the body of Alexandra Rooker, who had overdosed a week earlier, to his shed and had not called anyone about her death. Her body was subsequently recovered from the property. During the execution of a federal search warrant, the ATF seized eight firearms (four shotguns and four rifles) from Oddo’s residence. The U.S. Attorney’s Office has worked in close concert with Rutland County State’s Attorney Rose Kennedy and her office, which is also prosecuting Oddo in a case relating to the death of Alexandra Rooker.
Richard Webster lived on Harrison Avenue in West Rutland in the winter of 2017. At that time, he allowed Torruellas to stay at his residence during the daytime. Torruellas stored his heroin and cocaine base and coordinated his trafficking from Webster’s residence during the daytime, and would often stay at Oddo’s residence in Poultney at night. Webster received heroin from Torruellas. Torruellas and Escribano recently pled guilty to a conspiracy to distribute heroin and crack cocaine and agreed to a 54-month sentence.
During the pendency of their cases, after relatively short periods of incarceration, the Court allowed all three defendants to be released into residential drug treatment programs to address their respective substance abuse issues. In addition, the U.S. Attorney’s Office has recommended that Webster and Fitzgerald participate in the Federal Drug Court program in Rutland. The Rutland Federal Drug Court program offers treatment and rehabilitation under the supervision of the Court. Defendants who succeed in this one-year program are eligible for a probationary sentence in lieu of additional imprisonment. U.S. Attorney Nolan emphasized the importance of the Drug Court as a mechanism for promoting treatment and recovery for appropriate federal defendants, with the involvement of the U.S. Attorney’s Office, the United States District Court, and the United States Probation Office. The sentencings for Webster and Fitzgerald are postponed until after their participation in the Drug Court program. The sentencing for Wayne Oddo is scheduled for July 5, 2018 at the U.S. District Court in Rutland.
“ATF will continue to work with its federal, state and local law enforcement partners by detecting and stopping the illegal flow of narcotics which jeopardize the safety of our communities,” said Acting Special Agent in Charge Larry Panetta.
Rutland Police Chief Brian Kilcullen added, “The pleas announced today should send a strong message to those who engage in any capacity in the illicit drug trade that they will be held accountable for the social harm they bring to our community. This collaboration of local, state, and federal law enforcement agencies ensures those responsible for such harm to our city will be prosecuted using all available resources to ensure the most appropriate outcome for all involved. The City of Rutland thanks U.S. Attorney Nolan, her staff, the Vermont State Police Drug Task Force, the Federal Bureau of Investigation, and the Bureau of Alcohol, Tobacco, Firearms, and Explosives and the Rutland State’s Attorney Office for their commitment to combatting the heroin crisis in Vermont.”
These cases were investigated at the federal level by the Vermont State Police Drug Task Force, the Rutland City Police Department, the Federal Bureau of Investigation, and the Bureau of Alcohol, Tobacco, Firearms, and Explosives. Assistant U.S. Attorneys Nicole Cate and Joseph Perella are prosecuting these cases on behalf of the United States. Sheri Fitzgerald is represented by John-Claude Charbonneau, Esq. of Rutland. Wayne Oddo is represented by Steven Barth, Esq. of the Federal Public Defenders Office. Richard Webster is represented by David Williams, Esq. of Burlington.
Three People Accused of Conspiracy and Weapons Offenses in Multi-State Firearms Trafficking ConspiracyRead the Press Release
WASHINGTON –Three men have been indicted on federal charges stemming from an ongoing investigation into a firearms trafficking ring that acquired firearms in Atlanta, Ga., and transported the weapons into the District of Columbia for resale.
The charges are contained in an indictment that was unsealed today in the U.S. District Court for the District of Columbia. The charges were 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).
Jeremy Carr, 34, of Marietta, Ga., was arrested on March 6, 2018 in Marietta. Stephon Jeter, 27, and his cousin, Quran Jeter, 19, both of Washington, D.C., were arrested earlier today in the District of Columbia. Carr made his first appearance on March 7 in the U.S. District Court for the Northern District of Georgia and is awaiting extradition to the District of Columbia. The Jeters made their first appearances today in the U.S. District Court for the District of Columbia. All three defendants remain detained pending further court proceedings.
All three defendants are charged with taking part in a conspiracy to engage in the business of dealing in firearms without a license. Carr and Stephon Jeter also are charged with 12 counts of interstate travel for the purpose of acquiring firearms to deal without a license. Quran Jeter also is charged with carrying a pistol without a license and possession of an unregistered weapon, District of Columbia offenses. The indictment includes a forfeiture allegation seeking all proceeds of the crimes.
As alleged in the indictment, from June 2016 through at least February 2017, the defendants engaged in a conspiracy to acquire firearms in Georgia and illegally resell them in the District of Columbia. Carr acted as a straw purchaser on behalf of the conspiracy, the indictment alleges, and provided false information to a licensed firearms dealer in order to acquire firearms.
According to the indictment, Carr then sold those firearms to Stephon and Quran Jeter. The indictment alleges that the Jeters asked Carr to purchase several types of firearms on their behalf, including the Taurus PT 111, Taurus PT 709, Zastava PAP M85, Century Arms PAP M92, and a Smith and Wesson SD9VE. The indictment further alleges that Stephon Jeter made 12 different trips from Washington, D.C. to Atlanta and back, for the purpose of acquiring firearms from Carr. The indictment alleges that the members of the conspiracy were able to resell firearms in the District of Columbia for three times the initial purchase price in Georgia.
As alleged in the indictment, Carr purchased at least 55 firearms between August 2016 and February 2017. To date, approximately 22 of these firearms have been recovered in the District of Columbia or in Prince George’s County Maryland.
The charges arose from a long-term investigation into people suspected of illegally trafficking firearms into the District of Columbia. The majority of firearm recoveries related to this investigation took place in the Columbia Heights area of Northwest Washington.
Quran Jeter is charged with carrying a pistol without a license in connection with a Nov. 21, 2016 arrest. According to the indictment, Jeter was arrested in the District of Columba with a Smith and Wesson SD9VE, a firearm that Carr purchased on Oct. 14, 2016 in Smyrna, Ga.
Two additional defendants previously were charged in connection with this investigation.
David Stewart, 32, of Washington D.C., is charged with felon in possession of a firearm for two separate firearms he allegedly possessed in the District of Columbia. Stewart was arrested on Oct. 31, 2016, in the area of the 2300 block of 11th NW with a Taurus PT111 G2 9mm handgun after MPD officers responded to multiple phone calls for the sound of gunshots. According to the evidence, Carr purchased this firearm in Smyrna, Ga., in January 2016.
Stewart was arrested again on July 10, 2017, in the 1400 block of Park Road NW, this time with a Smith & Wesson .40 caliber firearm with a high-capacity magazine. According to the evidence, Carr purchased this firearm in Smyrna, Ga., in January 2017.
Tyrone Hopkins, 25, of Washington, D.C. was charged with felon in possession of a firearm, distribution of crack cocaine, and use of a firearm in furtherance of a drug trafficking crime in connection with an arrest on Oct. 16, 2017 in the area of the 1900 block of West Virginia Avenue NE. Hopkins was arrested with a Taurus PT111G2, 9mm semi-automatic pistol. According to the evidence, Carr purchased this firearm in Smyrna, Ga., in September 2016.
An indictment is merely a formal charge that a defendant has committed a violation of criminal law and is not evidence of guilt. Every defendant is presumed innocent until, and unless, proven guilty.
This case is being investigated by the Washington Field Division of the ATF and MPD, with assistance from the FBI’s Washington Field Office and Criminal Investigator Derek Starliper of the U.S. Attorney’s Office for the District of Columbia. It is being prosecuted by Assistant U.S. Attorney Kevin Rosenberg, of the Violent Crime and Narcotics Trafficking Section of the U.S. Attorney’s Office for the District of Columbia.
Three More Members of the Westside Crips Criminal Enterprise Sentenced to Prison for Participation in Racketeering Conspiracy Relating to Sex Trafficking, Drug Trafficking and Other CrimesRead the Press Release
Assistant U.S. Attorneys Alessandra P. Serano (202) 252-5843 or Joseph Orabona (619) 546-7951
NEWS RELEASE SUMMARY – March 9, 2018
SAN DIEGO – Two more gang members of the Westside Crips were sentenced today for their participation in a racketeering conspiracy involving sex trafficking, narcotics trafficking and other violent crimes. A mid-level drug dealer who sold narcotics to gang members was also sentenced for his participation in the racketeering conspiracy and for conspiracy to distribute methamphetamine.
Peter Miranda (aka “Fat Boy,” “Baby Rocks,” and “Lil’ Burger”), Jasiri Lacey (aka “Baby Westwood” and “Baby West”), and Larry Monroe previously admitted their respective membership and association with the Westside Crips, who primarily operated in Oceanside and elsewhere. Today, U.S. District Judge John A. Houston sentenced Miranda to 45 months in prison. He sentenced Lacey to 72 months in prison. Judge Houston also sentenced Monroe for both of his crimes to 180 months in prison.
According to court documents, the members of the conspiracy were involved in drug trafficking, prostitution, attempted murder, assaults and robberies. Their criminal activity primarily occurred between 2004 through February 2017. According to court documents, members of Westside Crips are akin to a crime family, where all members work together committing various crimes for the purpose of making money.
In furtherance of the RICO conspiracy, Miranda admitted he engaged in promoting prostitution of an adult female between June and November 2015. In October 2015, Miranda transported the adult female for the purposes of prostitution. Miranda also admitted that he sold narcotics to benefit the Westside Crips. For example, in October 2008, he sold cocaine base in Oceanside, California. Lastly, Miranda promoted his involvement as a gang member in the Westside Crips by posting on Facebook, displaying gang signs, and wearing Westside Crips’ colors (blue) and affiliated clothing.
To further his role in the RICO conspiracy, Lacey admitted he engaged in two extremely violent robbery offenses, including one in which he pointed a shotgun at the victim and robbed him of his marijuana and other items. Lacey admitted he also was involved in the robbery of a wireless store in San Diego with two other accomplices who used handguns to steal 120 cellular phones, two laptop computers, and nine Apple iPads. This caused the wireless store to lose approximately $8,500. Lacey also admitted he promoted the prostitution of an adult female by using a smuggled cell phone while he was in prison and directed another gang member to manage one of the women working for Lacey as a prostitute.
As a mid-level drug dealer associated with the Westside Crips, Monroe admitted he distributed methamphetamine to gang members of the Westside Crips and others from December 2009 through October 2015. Throughout that period, Monroe sold various quantities of methamphetamine in furtherance of his role in two conspiracies – the RICO conspiracy and the conspiracy to distribute methamphetamine.
“Gang members and drug traffickers who continue to sell dangerous narcotics and exploit members of our community for their own personal gain and notoriety shall be vigorously prosecuted for their crimes,” said U.S. Attorney Adam L. Braverman.
This case is also the result of the ongoing efforts by the Organized Crime Drug Enforcement Task Force (OCDETF) a partnership that brings together the combined expertise and unique abilities of federal, state and local law enforcement agencies. The principal mission of the OCDETF program is to identify, disrupt, dismantle and prosecute high-level members of drug trafficking, weapons trafficking and money laundering organizations and enterprises.
DEFENDANTS Case Numbers: 17cr0270-JAH, 17cr0214-JAH
Peter Miranda aka “Fat Boy,” “Baby Rocks”, “Lil’ Burger” Age: 33 Oceanside, CA
Jasiri Malcolm Lacey aka “Baby Westwood,” “Baby West” Age: 26 Oceanside, CA
Larry Darnell Monroe Age: 60 Oceanside, CA
PRIOR DEFENDANTS’ SENTENCES
Ameer Roby aka “Tiny Dum Dum” Sentenced to: 48 months in prison
Michael Sullivan aka “Du-Low” Sentenced to: 36 months in prison
Shane Anderson aka “Tiny Westwood” Sentenced to: 28 months in prison
Richard Cleveland aka “Face” Sentenced to: 57 months in prison
Umesh Oza (hotel manager) Sentenced to: 4 months in prison;180 days of
home confinement
SUMMARY OF CHARGES FOR MIRANDA AND LACEY
Title 18, United States Code, Section 1962(d) - Conspiracy to Conduct Enterprise Affairs Through a Pattern of Racketeering Activity; Title 18, United States Code, Section 1963 - Criminal Forfeiture Maximum Penalties: 20 years’ in prison, a fine of $250,000, three years of supervised release
SUMMARY OF CHARGES FOR MONROE
Title 18, United States Code, Section 1962(d) - Conspiracy to Conduct Enterprise Affairs Through a Pattern of Racketeering Activity; Title 18, United States Code, Section 1963 - Criminal Forfeiture Maximum Penalties: 20 years’ in prison, a fine of $250,000, three years of supervised release
Title 21, United States Code, Sections 841(a)(1) and 846 – Conspiracy to Distribute Methamphetamine
Penalties: Mandatory minimum of 10 years’ in prison, and a maximum of life in prison, a fine of $250,000, five years of supervised release
AGENCIES
North County Narcotics Task Force
Drug Enforcement Administration
Oceanside Police Department
Internal Revenue Service
Three Individuals Indicted for Conspiracy to Possess and Import Cocaine Worth over $15 MillionRead the Press Release
SAN JUAN, Puerto Rico – On March 7, 2018, a federal grand jury in the District of Puerto Rico returned a three-count indictment against three defendants charged with conspiracy to possess a controlled substance on board a vessel subject to the jurisdiction of the United States, announced Rosa Emilia Rodríguez-Vélez, United States Attorney for the District of Puerto Rico.
The defendants Erix Manuel Rodríguez-López; Juan Carlos Castillo-Vasquez; and José Nicolas Auitian-Bohorquez conspired to possess with intent to distribute five (5) kilograms or more of a mixture or substance containing a detectable amount of cocaine, a Schedule II controlled substance, on board a vessel subject to the jurisdiction of the United States.
This interdiction was the result of ongoing, multi-agency federal law enforcement efforts in support of Operation Unified Resolve, Operation Caribbean Guard and the Caribbean Corridor Strike Force (CCSF).
On March 1, 2018, the crew of a patrolling CBP maritime patrol aircraft from the Caribbean Air and Marine Branch (CAMB) detected a suspicious 30-foot go-fast vessel with visible packages on deck transiting without navigational lights, approximately 50 nautical miles south of Ponce, Puerto Rico. The United States Coast Guard (USCG) Cutter Horsley conducted the interdiction of the suspicious 30-foot long fast boat. Upon boarding the vessel, USCG found the defendants in possession of 30 bales containing approximately 900 kilograms of cocaine. The three individuals were detained by USCG and turned over to FBI agents from the Caribbean Corridor Strike Force (CCSF) for processing, along with the seized narcotics.
The Federal Bureau of Investigation is in charge of the investigation along with agents from the Caribbean Corridor Strike Force (CCSF), with the collaboration of the United States Coast Guard (USCG), U.S. Customs and Border Protection (CBP) Office of Field Operations (OFO), CBP Air and Marine Operations (CBP AMO), CBP United States Border Patrol (CBP USBP), Homeland Security Investigations (HSI) and PR Joint Forces of Rapid Action (FURA).
The CCSF is an initiative of the U.S. Attorney’s Office created to disrupt and dismantle major drug trafficking organizations operating in the Caribbean. CCSF is part of the Organized Crime Drug Enforcement Task Force (OCDETF), which investigates South American-based drug trafficking organizations responsible for the movement of multi-kilogram quantities of narcotics using the Caribbean as a transshipment point for further distribution to the United States. The initiative is composed of DEA, HSI, FBI, US Coast Guard, US Attorney’s Office for the District of Puerto Rico, and PRPD’s Joint Forces for Rapid Action.
Special Assistant US Attorney Sean Gajewski is in charge of the prosecution of the case, under the supervision of Assistant U.S. Attorney Julia Díaz-Rex, Deputy Chief of the International Narcotics Unit. If convicted the defendants face a minimum sentence of 10 years, and up to life in prison. Indictments contain only charges and are not evidence of guilt. Defendants are presumed to be innocent until and unless proven guilty.
St. Louis Man Sentenced to 30 Years for his Role in Two Drug-Related HomicidesRead the Press Release
St. Louis, MO – Joe Moreland Edger, 43, of Saint Louis, MO, was sentenced to 30 years imprisonment for his involvement in the December 16, 2014, murder of victim Erin Davis and the January 15, 2016, murder of victim Juanita Davis. (The victims were not related.) Sentencing occurred this morning in front of the Honorable Catherine D. Perry.
According to court documents, Edger was an associate of a known drug-dealer, Dwane Taylor. In late 2014, Taylor was robbed of, among other things, drugs and money. Taylor sought retaliation for the robbery and recruited Edger to assist in those efforts. Among other things, Edger assisted Taylor in identifying and locating the victims as well as transporting Taylor in a vehicle in connection with each murder. Edger also provided Taylor with the nine-millimeter firearm used by Taylor to commit the murder of each victim. In exchange, Edger received a .22 caliber firearm from Taylor.
Edger was convicted of and sentenced for conspiracy to possess a firearm in furtherance of drug trafficking and being a previously convicted felon in possession of a firearm.
Taylor was on state parole for a prior murder at the time of the murders of victims Erin Davis and Juanita Davis. Taylor’s parole has been revoked by the Missouri Board of Probation and Parole as a result of these crimes.
This case was investigated by the Saint Louis Metropolitan Police Department and the Bureau of Alcohol, Tobacco, Firearms, and Explosives.
Six Area Men Charged with Distributing HeroinRead the Press Release
CINCINNATI – A federal grand jury has charged six Cincinnati men in a narcotics conspiracy in an indictment unsealed here today.
Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, Timothy J. Plancon, Special Agent in Charge, Drug Enforcement Administration (DEA), Cincinnati Police Chief Eliot K. Isaac and Cincinnati City Solicitor Paula Boggs Muething announced the charges.
According to the 20-count indictment, beginning in November 2017 until February 2018, the defendants conspired to distribute heroin in the Cincinnati area. The indictment charges 17 counts of distribution or attempt to distribute heroin, representing separate drug deals throughout the timeframe.
Those charged include Calvin Tuck (also known as “Tank”), Mekil Gibson, Pierre Sneed (also known as “Rico”), Cortez Tuck (also known as “Nitty”), Daniel Williams (also known as “C.J.”) and Jarod Whitehead (also known as “Baby”). All six men reside in Cincinnati.
Tuck is also charged with possessing a firearm after being convicted of a felony crime and one count of possession with intent to distribute. He faces a range of 5 to 40 years in prison for the drug charges and up to 10 years in prison for the gun charge.
Narcotics conspiracy and distributing or attempting to distribute a controlled substance are each federal crimes that carry a potential maximum penalty of up to 20 years in prison.
Each of the defendants is currently in custody pending detention hearings next week.
U.S. Attorney Glassman commended the investigation of this case by the DEA and Cincinnati Division of Police, as well as Special Assistant United States Attorney Ashley Brucato with the City Solicitor’s Office and Assistant United States Attorney Christy L. Muncy, who are prosecuting the case.
An indictment merely contains allegations, and the defendants are presumed innocent unless proven guilty in a court of law.
# # #
Schuylkill County Man Guilty of Methamphetamine Trafficking ConspiracyRead the Press Release
SCRANTON—The United States Attorney’s Office for the Middle District of Pennsylvania announced that David Castro, age 28, of Pottsville, Pennsylvania, pleaded guilty yesterday to conspiracy to distribute more than 500 grams of methamphetamine, before U.S. District Court Judge Robert D. Mariani.
According to United States Attorney David J. Freed, Castro, admitted to committing the offense between July 2016 and May 24, 2017, in Schuylkill County and elsewhere.
Castro was indicted by a grand jury along with three other persons in August 2017.
Judge Mariani ordered a presentence report to be completed. Sentencing will be scheduled at a later date.
The case was investigated by the Federal Bureau of Investigation, the Pennsylvania State Police, and local police from Schuylkill County. Assistant U.S. Attorney Francis P. Sempa is prosecuting the case.
This case was brought as part of Project Safe Neighborhoods (PSN), a program that has been historically successful in bringing together all levels of law enforcement to reduce violent crime and make our neighborhoods safer for everyone. Attorney General Jeff Sessions has made turning the tide of rising violent crime in America a top priority. In October 2017, as part of a series of actions to address this crime trend, Attorney General Sessions announced the reinvigoration of PSN and directed all U.S. Attorney’s Offices to develop a district crime reduction strategy that incorporates the lessons learned since PSN launched in 2001.
A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
The maximum penalty under federal law is life in prison, a term of supervised release following imprisonment, and a fine. The charge also carries a mandatory minimum penalty of ten years’ imprisonment. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant's educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
# # #
Sanborn Man Pleads Guilty to Meth ConspiracyRead the Press Release
A man who conspired to distribute methamphetamine pled guilty today, on March 9, 2018, in federal court in Sioux City.
Mark Jenkins, 51, from Sanborn, Iowa, was convicted of one count of conspiracy to distribute 500 grams or more of a mixture or substance containing a detectable amount of methamphetamine.
In a plea agreement, Jenkins admitted that from 2015 through January 10, 2018, he was involved in the distribution of multi-pound quantities of methamphetamine while residing less than a block away from a public middle school. Jenkins admitted to transporting up to five-pound quantities of methamphetamine at a time from a source in Omaha, Nebraska. Jenkins admitted to selling numerous firearms in the past and keeping as much as $100,000 stashed away. At the time of his arrest, Jenkins and a co-conspirator were found in possession of approximately 177.89 grams of actual (pure) methamphetamine.
Sentencing before United States District Court Chief Judge Leonard T. Strand will be set after a presentence report is prepared. Jenkins remains in custody of the United States Marshal pending sentencing. Jenkins faces a mandatory minimum sentence of 10 years’ imprisonment and a possible maximum sentence of life imprisonment, a $5,000,000 fine, $100 in special assessments, and 5 years of supervised release following any imprisonment.
The arrest and prosecution of Jenkins was the result of a long-term investigation spanning over three years and involved extensive cooperation between various law enforcement agencies. The case is being prosecuted by Special Assistant United States Attorney Ajay Alexander and was investigated by the Iowa Great Lakes Drug Task Force, assisted by the O’Brien County Sheriff’s Office, Clay County Sheriff’s Office, Dickinson County Sheriff’s Office, Osceola County Sheriff’s Office, Buena Vista County Sheriff’s Office, Sheldon Police Department, Sanborn Police Department, Iowa Division of Narcotics Enforcement, Iowa Department of Public Safety, Iowa Division of Criminal Investigation, and the DEA Tri-State Drug Task Force.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 18-CR-4004-LTS.
Follow us on Twitter @USAO_NDIA.
San Diego Communications Company Pays More Than $12 Million to Settle False Claim Act Allegations Regarding Eligibility for Small Business Innovation and Research ContractsRead the Press Release
Assistant U.S. Attorney Joseph P. Price, Jr. (619) 546-7642, Assistant U.S. Attorney Joseph J. Purcell (619) 546-7643
NEWS RELEASE SUMMARY – March 12, 2018
SAN DIEGO – TrellisWare Technologies, Inc., a communications company located in San Diego, has agreed to pay $12,177,631.90 to settle civil False Claims Act allegations that it was ineligible for multiple Small Business Innovation and Research (SBIR) contracts it had entered into with government defense agencies. TrellisWare is a majority-owned subsidiary of ViaSat, Inc., a global broadband services and technology company also headquartered in San Diego.
The SBIR program is designed to stimulate technological innovation by funding small businesses to engage in federal research and development efforts. To be considered a small business for purposes of SBIR awards, a contractor must not be majority owned by another company. Between 2008 and 2015, TrellisWare was awarded multiple SBIR contracts to provide the Navy, Army and Air Force with a variety of technology services and products involving communications and signal processing systems, including wireless networks used in military tactical environments. TrellisWare self-certified that it met the small business size requirements for eligibility to receive SBIR funding. But based on certain disclosures that TrellisWare later made about its ownership relationship with ViaSat, the government conducted an investigation into TrellisWare’s eligibility for SBIR awards. The government contends that TrellisWare was not eligible for SBIR awards because it was actually a majority-owned subsidiary of ViaSat at the time it was awarded and performed on SBIR contracts.
“False certifications of eligibility for SBIR funding siphons taxpayer dollars from the program’s intended beneficiaries. We will continue to work with our agency partners to bring to account those that breach the public trust by submitting false claims,” said Adam L. Braverman, United States Attorney for the Southern District of California.
“Companies must exercise due diligence when self-certifying eligibility to gain access to programs set aside for small business or else face significant penalties,” said Kari Overson, Special Agent in Charge of the Small Business Administration, Office of the Inspector General’s Western Regional Office. “The SBIR program enables small businesses to explore their technological potential and provides qualified small businesses access to the nation’s research and development arena. I want to thank the U.S Attorney’s Office and our law enforcement partners for their dedication and hard work throughout this investigation.”
Chris Hendrickson, Special Agent in Charge of the Western Field Office, Defense Criminal Investigative Service, said: “DCIS is committed to working with its partners and the U.S. Attorney’s Office to aggressively investigate false claims by government contractors. These unethical practices stifle fair competition and erode the public’s trust in government.”
“The success of this case is a direct result of the joint efforts of the Naval Criminal Investigative Service, our Federal Law Enforcement Partners and the U.S. Attorney’s Office,” said Edward Denion, Assistant Special Agent in Charge of the NCIS Southwest Field Office. “Protecting our warfighters is one of the top priorities of NCIS, and this investigation is an example of how we do this. Anyone considering defrauding the Navy and taxpayers should know NCIS will aggressively pursue all such allegations.”
“This settlement stands as further confirmation of the great work our agents do every day,” said Frank Robey, Director of the U.S. Army Criminal Investigation Command's Major Procurement Fraud Unit. “The funds recovered can now be used for a proper purpose - supporting the men and women of our Armed Forces.”
This matter was investigated by Assistant U.S. Attorneys Joseph P. Price, Jr. and Joseph J. Purcell and auditing personnel of the Affirmative Civil Enforcement Unit of the U.S. Attorney’s Office, in coordination with Special Agents of the Defense Criminal Investigative Service; Naval Criminal Investigative Service; Army Criminal Investigation Command; Air Force Office of Special Investigations; and Small Business Administration, Office of the Inspector General.
Agencies:
Defense Criminal Investigative Service
Naval Criminal Investigative Service
US Army Criminal Investigation Command
Air Force Office of Special Investigations
Small Business Administration, Office of the Inspector General
Resident of York, Maine Pleads Guilty to Investment Fraud Scheme and Failing to File Federal Tax ReturnsRead the Press Release
CONCORD, N.H. - William Bischoff, 76, of York, Maine, has pleaded guilty to participating in an investment fraud scheme and failing to file federal income tax returns, United States Attorney Scott W. Murray announced today.
According to court documents and statements made in court, from 2009 through September 2017, Bischoff defrauded more than two dozen clients of his financial advisory business by falsely promising to invest their money in real estate, structured legal settlements, high yield notes, and a start-up recycling business. He further guaranteed returns that far exceeded market norms. Bischoff sent many solicitations to the victims of the fraud scheme by e-mail.
In total, Bischoff stole more than $4.2 million from the defrauded investors. To conceal that conduct, Bischoff used money he received from some victim investors to make payments to other victim investors. He also provided monthly account statements to the victim investors that falsely represented the balance of their (fictitious) investment accounts.
Bischoff also admitted in court documents that he failed to file individual federal tax returns for the four-year period from 2011 to 2015, which resulted in a $568,845 tax revenue loss to the U.S. Treasury.
Bischoff pleaded guilty to one count of wire fraud and one count of willfully failing to file federal tax returns. He will be sentenced on June 20th, 2018.
“Mr. Bischoff manipulated and misled his victims, depriving them of millions of hard-earned dollars,” said U.S. Attorney Murray. “The U.S. Attorney’s Office is committed to working closely with our law enforcement partners to identify those who commit such schemes and to seek justice for the victims of white collar crimes.”
“Mr. Bischoff is finally taking responsibility for defrauding his clients out of millions of dollars. Through a web of lies and deceit, Mr. Bischoff betrayed their trust and used their money to line his own pockets and prop up his failed investments,” said Harold H. Shaw, Special Agent in Charge, FBI Boston Division. “The FBI will continue to work with our law enforcement partners to do everything we can to hold accountable those who take advantage of unwitting victims for their own personal gain.”
The Deputy Director of the New Hampshire Bureau of Securities Regulation, Jeffrey Spill, said, "The Bureau was pleased to do its part in this coordinated investigation. When the fraud was uncovered, the agencies acted quickly to shut the scheme down which prevented further losses."
“Mr. Bischoff’s investment scheme has destroyed the financial security of his unwitting victims. Rather than act in the interest of his clients, he acted only in his own,” said Special Agent in Charge Joel P. Garland of IRS Criminal Investigation in Boston. “We are proud to collaborate on joint cases of this magnitude, which defraud investors of millions in savings and the IRS of significant tax revenue.”
The case was investigated by the Federal Bureau of Investigation, the Internal Revenue Service, Criminal Investigation Division, and the New Hampshire Bureau of Securities Regulation. Assistant United States Attorneys William Morse and Robert Kinsella prosecuted the case.
###
Resident of York, Maine Pleads Guilty to Investment Fraud Scheme and Failing to File Federal Tax ReturnsRead the Press Release
CONCORD, N.H. - William Bischoff, 76, of York, Maine, has pleaded guilty to participating in an investment fraud scheme and failing to file federal income tax returns, United States Attorney Scott W. Murray announced today.
According to court documents and statements made in court, from 2009 through September 2017, Bischoff defrauded more than two dozen clients of his financial advisory business by falsely promising to invest their money in real estate, structured legal settlements, high yield notes, and a start-up recycling business. He further guaranteed returns that far exceeded market norms. Bischoff sent many solicitations to the victims of the fraud scheme by e-mail.
In total, Bischoff stole more than $4.2 million from the defrauded investors. To conceal that conduct, Bischoff used money he received from some victim investors to make payments to other victim investors. He also provided monthly account statements to the victim investors that falsely represented the balance of their (fictitious) investment accounts.
Bischoff also admitted in court documents that he failed to file individual federal tax returns for the four-year period from 2011 to 2015, which resulted in a $568,845 tax revenue loss to the U.S. Treasury.
Bischoff pleaded guilty to one count of wire fraud and one count of willfully failing to file federal tax returns. He will be sentenced on June 20th, 2018.
“Mr. Bischoff manipulated and misled his victims, depriving them of millions of hard-earned dollars,” said U.S. Attorney Murray. “The U.S. Attorney’s Office is committed to working closely with our law enforcement partners to identify those who commit such schemes and to seek justice for the victims of white collar crimes.”
“Mr. Bischoff is finally taking responsibility for defrauding his clients out of millions of dollars. Through a web of lies and deceit, Mr. Bischoff betrayed their trust and used their money to line his own pockets and prop up his failed investments,” said Harold H. Shaw, Special Agent in Charge, FBI Boston Division. “The FBI will continue to work with our law enforcement partners to do everything we can to hold accountable those who take advantage of unwitting victims for their own personal gain.”
The Deputy Director of the New Hampshire Bureau of Securities Regulation, Jeffrey Spill, said, "The Bureau was pleased to do its part in this coordinated investigation. When the fraud was uncovered, the agencies acted quickly to shut the scheme down which prevented further losses."
“Mr. Bischoff’s investment scheme has destroyed the financial security of his unwitting victims. Rather than act in the interest of his clients, he acted only in his own,” said Special Agent in Charge Joel P. Garland of IRS Criminal Investigation in Boston. “We are proud to collaborate on joint cases of this magnitude, which defraud investors of millions in savings and the IRS of significant tax revenue.”
The case was investigated by the Federal Bureau of Investigation, the Internal Revenue Service, Criminal Investigation Division, and the New Hampshire Bureau of Securities Regulation. Assistant United States Attorneys William Morse and Robert Kinsella prosecuted the case.
###
Reisterstown Man Pleads Guilty to Money Laundering Drug ProceedsRead the Press Release
FOR IMMEDIATE RELEASE Contact ELIZABETH MORSE
www.justice.gov/usao/md at (410) 209-4885
Baltimore, Maryland – On March 8, 2018, Stewart Sachs, age 66, of Reisterstown, Maryland, pleaded guilty to money laundering drug proceeds.
The guilty plea was announced by Acting United States Attorney for the District of Maryland Stephen M. Schenning; Assistant Special Agent in Charge Don A. Hibbert of the Drug Enforcement Administration, Baltimore Division; and Special Agent in Charge Kimberly Lappin of the Internal Revenue Service - Criminal Investigation.
According to his plea agreement, between November 2011 and February 2013, Sachs agreed to accept a total of $425,000 of narcotics trafficking proceeds. Mr. Sachs acknowledged that the money was tainted but agreed to sell his real estate, as a front for laundering the drug proceeds.
On four separate occasions, Sachs met with undercover agents and agreed to transfer real estate owned by Limited Liability Companies (LLCs) to the undercover agents or anyone else that the undercover agents wanted and no one would know that the undercover agent owned the properties, in exchange for cash.
The male undercover agent had represented himself to be a narcotics officer on numerous occasions. However, Sachs executed the documents to transfer ownership of the LLC to one of the undercover agents. Sachs had one of his employees prepare four checks payable to the undercover agent for $25,000 each. These checks represented the $100,000 overpayment, which the undercover agent said he needed to appear to be legitimate income. During the meeting, special agents from the DEA and IRS arrested Mr. Sachs and recovered the $425,000.
Sachs faces a maximum sentence of twenty in prison. U.S. District Judge Marvin J. Garbis has scheduled sentencing for June 25, 2018 at 2:15 p.m.
Acting United States Attorney Stephen M. Schenning commended the DEA and IRS-CI for their work in the investigation. Mr. Schenning thanked Assistant U.S. Attorneys James Warwick and Cassie Mathias, who are prosecuting the case.
Previously Convicted Felon Admits Second Felon in Possession of Firearm Charge; Agrees to 12-Year Prison SentenceRead the Press Release
CAMDEN, N.J. – A Essex County, New Jersey, man today admitted being a felon in possession of a weapon – for the second time – as well as a violation of supervised release from his first felon in possession conviction, and agreed to a 144-month sentence, U.S. Attorney Craig Carpenito announced.
John Cottle, 47, pleaded guilty to an information charging him with one count of being a felon in possession of a firearm and one count of violation of supervised release from his first felon in possession of a firearm conviction from 2010. Cottle entered his plea before U.S. District Judge Noel L. Hillman in Camden federal court.
According to documents filed in this case and statements made in court:
In December 2016, investigators from the Newark and Hillside police departments responded to reports of a robbery in the area of South 13th Street, near Avon Avenue, in Newark. Officers encountered Cottle in the area and upon investigation found him to be in possession of a loaded .40 caliber Glock semi-automatic handgun. Cottle has numerous prior felony convictions, including a 2010 felon in possession of a firearm conviction in the District of New Jersey – from which he was still on supervised release at the time of the 2016 arrest – and is prohibited from possessing a firearm under federal law.
The felon in possession of a firearm charge carries a maximum potential penalty of 10 years in prison and a $250,000 fine; the violation of supervised release carries a maximum potential penalty of 24 months in prison. As part of his plea agreement, Cottle agreed to the maximum penalty for each of the crimes charged.
U.S. Attorney Carpenito credited FBI special agents, under the direction of Special Agent in Charge Timothy Gallagher, with the investigation leading to the guilty plea. He also thanked the Essex County Prosecutor’s Office, under the direction of Acting Prosecutor Robert D. Laurino; the Newark Police Department, under the direction of Public Safety Director Anthony F. Ambrose; the Union County Prosecutor’s Office, under the direction of Acting Prosecutor Michael A. Monahan; and the Hillside Police Department, under the direction of Chief of Police Vincent Ricciardi, for their assistance.The government is represented by Assistant U.S. Attorney Zach Intrater of the U.S. Attorney’s Office in Newark.
Pittsburgh Men Charged in Armed Robbery Spree of Allegheny and Beaver County BanksRead the Press Release
PITTSBURGH – Bryan Campbell, age 28, and Daymon Cassanova Ottey, age 29, both of Pittsburgh, Pennsylvania, have been arrested and charged in a criminal complaint with conspiring to rob three area banks, armed bank robbery, brandishing a firearm in and during a crime of violence, and possession of a firearm by a convicted felon, United States Attorney Scott W. Brady announced today.
According to the criminal complaint, unsealed today, defendants Campbell and Ottey conspired to rob the S & T Bank in Plum, Pa., on March 7, 2017, the First National Bank in Verona, Pa., on May 1, 2017, and the Huntington Bank in Baden, Pa., on July 22, 2017. Additionally, both are charged with the March 7, 2017 armed bank robbery of the S & T Bank. Campbell is also charged with brandishing a firearm in and during a crime of violence for using a silver revolver during the March 7, 2017 robbery. Finally, Ottey was charged for possessing a firearm as a convicted felon on March 5, 2018.
On March 7, 2017, Campbell, wearing a ski mask and using a silver revolver, robbed the S & T Bank of $7,707.00 dollars and placed the money into pillowcase before fleeing the bank and entering a car registered to Ottey’s girlfriend.
On May 1, 2017, Campbell, wearing a windbreaker with the hood drawn, robbed the First National Bank of $84,200 while using a silver handgun. Campbell hopped the counter of the bank and was able to enter the vault, collecting the $84,200. Campbell filled the pillow case with money and left the scene, fleeing in the same car used in the March 7, 2017 robbery.
Subsequent to the May 1 robbery, FBI Special Agents discovered that Campbell’s girlfriend posted numerous photographs and videos on social media websites detailing expensive shopping sprees, vacations, and jewelry purchased. FBI Special Agents also discovered that the day after the May 1, 2017 robbery, Ottey purchased a Jeep Grand Cherokee. This Jeep Grand Cherokee was seen leaving the scene of the attempted bank robbery in Baden, Pa., on July 22, 2017.
Pursuant to a federal search warrant, FBI Special Agents recovered the silver revolver used in the robberies on March 5, 2018 at the home of Ottey.
For Ottey, the law provides for a maximum sentence of 25 years in prison and 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.
For Campbell, the law provides for a mandatory minimum sentence of seven years in prison up to a maximum of life, 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 Timothy M. Lanni is prosecuting this case. The FBI Pittsburgh’s Violent Crimes Task Force, with assistance from the Plum Police Department, Verona Police Department, Economy Borough Police, Allegheny County Sheriff’s Department, and Shaler Township Police Department conducted the investigation leading to the arrests in this case.
A criminal complaint is only a charge and is not evidence of guilt. A defendant may not be prosecuted unless, within 30 days, a grand jury has found probable cause to believe that he is guilty of an offense.
Pittsburgh Man Sentenced to 7 Years in Prison for Conspiring to Distribute Heroin and FentanylRead the Press Release
PITTSBURGH – Damian McKay was sentenced to 84 months in federal prison for conspiring to distribute at least 100 grams of heroin and a quantity of fentanyl, United States Attorney Scott W. Brady announced today.
McKay, 28, of Pittsburgh, was sentenced by United States District Court Judge Nora Barry Fischer. McKay’s sentence also includes a term of four years of supervised release following the prison sentence.
The conviction and sentence of McKay was a product of a Pittsburgh Bureau of Police investigation of the distribution of a mixture of heroin and fentanyl in bags stamped "Predator" that caused numerous fatal and non-fatal overdoses in Western Pennsylvania during the week of April 13, 2015. The Pittsburgh Police investigated several of the overdoses that occurred in Pittsburgh. Justin Robinson was identified as one of the retail distributors in Pittsburgh of the Predator bags. Deandre McKissick was identified as Robinson’s source of supply for the heroin and fentanyl in the Predator bags, as well as for heroin in bags with other stamps. McKay was also supplied by McKissick.
Assistant United States Attorney Craig W. Haller prosecuted this case on behalf of the United States.
The Pittsburgh Bureau of Police, the Drug Enforcement Administration and the Allegheny County Medical Examiner’s Office conducted the investigation leading to the conviction and sentence in this case.
Personal Injury Attorney Indicted on Federal Fraud and Money Laundering Charges for Stealing from Car Accident VictimRead the Press Release
LOS ANGELES – A personal injury attorney who was recently suspended by the California State Bar was indicted today on federal charges that allege he stole the majority of a multi-million dollar client settlement, most of which should have been paid to the victim of an automobile accident.
Philip James Layfield, 44, who was arrested in New Jersey last week after returning to the United States from his new residence in Costa Rica, was named in a three-count indictment returned this afternoon by a federal grand jury.
Layfield, who is also certified public accountant, is charged with mail fraud and two counts of money laundering. Layfield will be arraigned on the indictment once he arrives in Los Angeles after being transported from New Jersey by the United States Marshals Service.
Layfield owned and operated the Layfield & Barrett law firm (L&B), which maintained offices in Irvine, Los Angeles, and other locations. Faced with declining revenues, Lawfield decided to close the firm and relocate to Costa Rica. Around that time, according to the indictment, Layfield took a number of steps that defrauded his clients, including filing unnecessary litigation to trigger increased attorney’s fees, settling personal injury cases without advising L&B clients, and stealing settlement funds that should have been paid to clients.
The indictment specifically alleges that Layfield entered into an agreement to represent an individual who was struck by an automobile in Orange County in 2016 and suffered significant injuries. After negotiating a $3.9 million settlement related to the accident, Layfield allegedly misappropriated most of money due to the victim – approximately $2 million. The indictment alleges that he transferred some of the victim’s share to his personal bank accounts and some on L&B payroll. The indictment states that the car accident victim received only $25,000 of the settlement proceeds.
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 he were to be convicted of the three counts in the indictment, Layfield would face a statutory maximum sentence of 60 years in federal prison.
This matter is being investigated by U.S. Immigration and Customs Enforcement’s Homeland Security Investigations, IRS Criminal Investigation, and the Federal Bureau of Investigation.
The case against Layfield is being prosecuted by Assistant United States Attorneys Mark Aveis and Eddie A. Jauregui of the Major Frauds Section.
Parents Sentenced to 12-Year Prison Terms on Charges Related to Starvation Death of Infant DaughterRead the Press Release
WASHINGTON –Jay Crowder, 34, and Trishelle Jabore, 27, of Washington, D.C., were sentenced today to 12-year prison terms on charges stemming from the starvation-related death of their seven-week-old daughter, announced U.S. Attorney Jessie K. Liu and Peter Newsham, Chief of the Metropolitan Police Department (MPD).
Both defendants pled guilty in June 2017, in the Superior Court of the District of Columbia, to charges of voluntary manslaughter, first-degree cruelty to children, and welfare fraud-unlawful food stamp usage. Crowder also pled guilty to a charge of attempted distribution of a controlled substance (synthetic cannabinoid or K2).
Crowder’s plea, which was contingent upon the Court’s approval, called for an agreed-upon sentence of 10 to 12 years in prison. The Honorable José M. Lόpez accepted the plea and sentenced Crowder accordingly. Following completion of their prison terms, Crowder and Jabore will be placed on five years of supervised release.
According to a proffer of facts presented at the plea hearing, on Nov. 6, 2016, Jabore gave birth to the couple’s daughter, Trinity. The infant weighed 4 pounds, 14.5 ounces, but was considered at term and healthy. At the time of her birth, both the mother and child tested positive for THC, an active ingredient in marijuana. Both parents had prior experience parenting newborn children. They received approximately $995 in welfare funds, including food stamps. They paid $9.80 in rent and $50 for Internet service, and they spent money on cigarettes and marijuana; according to Jabore, she and Crowder smoked marijuana most days. Around Thanksgiving, they sold some of their food stamps to a family member for $150.
On the evening of Dec. 24, 2016, the baby was put to bed in her car seat with a bottle at 7 p.m. At approximately 9 a.m. on Dec. 25, 2016, Crowder entered his and Jabore’s bedroom, where the baby was still in her car seat. Crowder picked up the child and felt that her body was limp. Crowder attempted to feed her a bottle but she would not take it. The baby’s breathing appeared labored at that time, and Jabore said that her lips were yellow. Jabore and Crowder monitored the baby’s condition for about three hours. At noon, Jabore called 911 and stated that the baby was unconscious and not breathing. Jabore and Crowder reported that she had no signs of illness or any falls or trauma and had not been involved in any accidents.
The D.C. Fire and Emergency Medical Services Department and the Metropolitan Police Department (MPD) were dispatched to the defendants’ home in Southwest Washington. The baby was taken to the Emergency Department at Children’s National Medical Center. Hospital staff attempted advanced life-saving measures, but the child was pronounced dead at 12:26 p.m. A doctor reported that she appeared cachectic and had what appeared to be blood in her diaper.
According to the evidence, the baby did not get adequate food or nutrition. She lost over 10 ounces in weight from the time she was born. Additionally, the infant suffered 13 rib fractures and clavicle fracture at various stages of healing and severe diaper rash. Neither parent had taken her for medical treatment or care. She was in the exclusive care of Jabore and Crowder.
Even though Jabore and Crowder had money and their home had plenty of food for older children and adults, their baby starved to death. The parents were providing a fraction of the recommended amount of formula in an effort to make it go further. Alternatively, when not giving formula, they were giving their newborn cow’s milk (powdered milk or evaporated milk), which is harmful to an infant’s digestive tract. Chemists with the U.S. Food and Drug Administration (FDA) tested a bottle found on the scene. Their testing revealed the bottle contained mostly water and had very little nutritional value.
The Office of the Chief Medical Examiner for the District of Columbia determined that the baby’s death was caused by malnutrition and hyponatremia[1], that the fractured ribs and clavicle fracture were contributing factors, and that the manner of death was homicide.
In announcing the sentence, U.S. Attorney Liu and Chief Newsham commended the work of the detectives, officers, and others who investigated the case from the Metropolitan Police Department, analysts from the Food and Drug Administration, and medical personnel from Children’s National Medical Center. They also expressed appreciation to the District of Columbia Office of the Chief Medical Examiner and the District of Columbia Department of Forensic Sciences for assistance in the investigation. They acknowledged the efforts of those who worked on the case from the U.S. Attorney’s Office, including Paralegal Specialists Kelly Blakeney, Stephanie Gilbert, Lornce Applewhite, and Alesha Matthews; Criminal Investigators Tommy Miller, Durand Odom, Nelson Rhone, Sharon Johnson, Shannon Alexis, and Chris Brophy; Victim/Witness Advocate Marcia Rinker; Litigation Technology Specialists Anisha Bhatia and Joshua Ellen; Assistant U.S. Attorney Matthew Kahn, and Intern Emily Yu. Finally, they commended the work of Assistant U.S. Attorney Cynthia G. Wright, who prosecuted the case.
[1] Hyponatremia is a condition that occurs when the level of sodium in your blood is abnormally low. Mayo Clinic Staff, Diseases and Conditions Hyponatremia, http://www.mayoclinic.org/diseases-conditions/hyponatremia/basics/definition/con-20031445 (last updated May 28, 2014).