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Tuesday 23 January 2018
Oklahoma Woman Sentenced in Connection to A Fraud SchemeRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051BUFFALO, N.Y.—U.S. Attorney James P. Kennedy, Jr. announced today that Ann Nichols, 61, of Edmond, OK, who was convicted of conspiracy to commit wire fraud, was sentenced to two years probation to include eight months home detention by U.S. District Judge Richard J. Arcara. The defendant was also ordered to pay $147,004 in restitution.
Assistant U.S. Attorney Marie P. Grisanti, who handled the case, stated that Nichols and co-defendant Donnie Helig utilized a business entity known as CED Computer Services (CED) fraudulently to obtain loans for clients in the form of equipment “leases.” Another co-defendant, Wilfredo Sanio, operated a business in Georgia known as SCF Funding, which acted as a broker and brought clients to CED Computer Services.
Nichols and Helig falsely advised lease finance companies that CED was selling new equipment to clients and prepared fraudulent invoices for new equipment when, in fact, no equipment or inferior equipment was actually being provided. Upon receipt of the funding from the finance companies, defendant Nichols gave a commission to Heilig, herself, and Sanio, from the lease proceeds and sent the majority of the remaining proceeds to the client.
All three defendant have been convicted and sentenced.
Today’s sentencing is the result of an investigation by the Federal Bureau of Investigation, under the direction of Special Agent-in-Charge Adam S. Cohen.
Ohio Man Sentenced for Providing Material Support to Terrorists, Making False Statements to AuthoritiesRead the Press Release
Abdirahman Sheik Mohamud, 26, of Columbus, Ohio, was sentenced on Jan. 22, to 22 years in prison to be followed by 10 years of supervised release, for training with terrorists overseas and leading a terrorist plot.
Assistant Attorney General for National Security Dana J. Boente, U.S. Attorney Benjamin C. Glassman for the Southern District of Ohio, Special Agent in Charge Angela L. Byers of the FBI’s Cincinnati Division, Franklin County Prosecutor Ron O’Brien and the FBI’s Columbus Joint Terrorism Task Force (JTTF) announced the sentence imposed by U.S. District Judge Michael H Watson.
“Mohamud traveled to Syria to train and fight with the designated terrorist organization al-Nusrah Front. He then returned to the United States with the intent to conduct an attack here,” said Acting Assistant Attorney General Boente. “Thanks to the tremendous efforts of law enforcement, Mohamud was arrested and his plans were thwarted. One of the National Security Division’s highest priorities remains identifying and neutralizing the threat posed by foreign terrorist fighters who return to the United States.”
“Mohamud engaged in terrorist activity overseas, which included training and fighting with the Al-Nusrah Front, a designated foreign terrorist organization,” said U.S. Attorney Glassman. “He then returned to the United States with a plan to do grievous harm, recruited others to help him in his homeland plot, and then planned and prepared for attacks in the United States. Once caught, he orchestrated a cover-up beginning with his material misstatements to the FBI. The seriousness of his actions cannot be overstated and today’s sentence illustrates that.”
“Mohamud was originally arrested and indicted in state court by my office and a $2 million bond was set that maintained him in custody. Those state charges were dismissed when the federal prosecution commenced and Assistant Prosecutor Joseph Gibson was added to the federal team as a Special Assistant U.S. Attorney,” said Franklin County Prosecutor O’Brien. “This case illustrates the effectiveness of the cooperative effort in the Columbus area to combat terrorism.”
A federal grand jury charged Mohamud in April 2015 with one count of attempting to provide and providing material support to terrorists, one count of attempting to provide and providing material support to a designated foreign terrorist organization – namely, al-Nusrah Front – and one count of making false statements to the FBI involving international terrorism. Mohamud pleaded guilty to those charges in August 2015. The plea was sealed until June 2017 because of an ongoing investigation.
According to court documents, Mohamud is a Somali-born naturalized U.S. citizen, who, in 2014, obtained a U.S. passport and one-way ticket to Greece. During his travel in April 2014, Mohamud did not board his connecting flight to Athens, Greece. Rather, during his layover in Istanbul, Turkey, he completed pre-arranged plans to cross the border into Syria. In Syria, Mohamud received training from al-Nusrah Front, a terrorist organization affiliated with al-Qaeda.
According to a statement of facts supporting Mohamud’s guilty plea, while in Syria, Mohamud trained with al-Nusrah Front on fitness, and on the use of weapons and tactics. Mohamud also engaged in a firefight and expressed his desire to die fighting in Syria.
Mohamud returned to the United States after his brother was killed fighting for al-Nusrah Front.
The statement of facts details that after returning to the United States, Mohamud planned to obtain weapons in order to kill military officers, other government employees or people in uniform. Evidence seized by the FBI indicates that Mohamud researched places in the U.S. to carry out such plans.
Mr. Boente and Mr. Glassman commended the cooperative investigation of the FBI’s JTTF and numerous local partners. Assistant U.S. Attorneys Douglas Squires, Jessica H. Kim and Salvador Dominguez, and Special Assistant U.S. Attorney Joseph Gibson of the Southern District of Ohio; and Trial Attorneys Bridget Behling and Lolita Lukose of the National Security Division’s Counterterrorism Section are prosecuting the case.
Northern District of Iowa U.S. Attorney’s Office Collected over $5,000,000 in Civil and Criminal Actions for U.S. Taxpayers in Fiscal Year 2017Read the Press Release
U.S. Attorney Peter E. Deegan, Jr. announced today that the Northern District of Iowa collected $5,488,359.87 in criminal and civil actions in Fiscal Year 2017. Of this amount, $1,906,625.31 was collected in criminal actions and $3,581,734.56 was collected in civil actions.
Additionally, the Northern District of Iowa worked with other U.S. Attorney’s Offices and components of the Department of Justice to collect an additional $3,910,786.48 in civil cases pursued jointly with these offices.
Overall, the Justice Department collected just over $15 billion in civil and criminal actions in the fiscal year ending Sept. 30, 2017.
“We take seriously our duty to collect money owed to taxpayers and crime victims,” Deegan said. “Our total collections over the past fiscal year, once again, exceeded the total amount of our direct budget. Our entire office is committed to holding wrongdoers financially responsible for their actions and sending the message that crime doesn’t pay.”
The U.S. Attorneys’ Offices, along with the department’s litigating divisions, are responsible for enforcing and collecting civil and criminal debts owed to the U.S. and criminal debts owed to federal crime victims. The law requires defendants to pay restitution to victims of certain federal crimes who have suffered a physical injury or financial loss. While restitution is paid to the victim, criminal fines and felony assessments are paid to the department’s Crime Victims’ Fund, which distributes the funds to state victim compensation and victim assistance programs.
The largest civil collections were from affirmative civil enforcement cases, in which the United States recovered government money lost to fraud or other misconduct or collected fines imposed on individuals and/or corporations for violations of federal health, safety, civil rights or environmental laws. In addition, civil debts were collected on behalf of several federal agencies, including the U.S. Department of Housing and Urban Development, Health and Human Services, Internal Revenue Service, Small Business Administration and Department of Education.
Additionally, the U.S. Attorney’s Office for the Northern District of Iowa, working with partner agencies and divisions, collected $1,643,754 in asset forfeiture actions in FY 2017. Forfeited assets deposited into the Department of Justice Assets Forfeiture Fund are used to restore funds to crime victims and for a variety of law enforcement purposes.
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Northern District of Georgia U.S. Attorney’s Office collects $135,962,250.57 in civil and criminal actions for U.S. taxpayers in fiscal year 2017Read the Press Release
ATLANTA – U.S. Attorney Byung J. “BJay” Pak announced that the Northern District of Georgia collected $135,962,250.57 in criminal and civil actions in Fiscal Year 2017. Of this amount, $11,426,485.99 was collected in criminal actions and $124,535,764.58 was collected in civil actions.
Additionally, the Northern District of Georgia worked with other U.S. Attorney’s Offices and components of the Department of Justice to collect an additional $196,384,969.10 in cases pursued jointly with these offices. Of this amount, $16,593.18 was collected in criminal actions and $196,368,375.92 was collected in civil actions.
Overall, the Justice Department collected just over $15 billion in civil and criminal actions in the fiscal year ending Sept. 30, 2017.
“Each day we strive, along with our law enforcement partners, to hold wrongdoers financially responsible for their actions in order to make victims whole, and to safeguard taxpayer dollars,” said U.S. Attorney Byung J. “BJay” Pak.
The U.S. Attorneys’ Offices, along with the department’s litigating divisions, are responsible for enforcing and collecting civil and criminal debts owed to the U.S. and criminal debts owed to federal crime victims. The law requires defendants to pay restitution to victims of certain federal crimes who have suffered a physical injury or financial loss. While restitution is paid to the victim, criminal fines and felony assessments are paid to the department’s Crime Victims’ Fund, which distributes the funds to state victim compensation and victim assistance programs.
The largest civil collections were from affirmative civil enforcement cases, in which the United States recovered government money lost to fraud or other misconduct or collected fines imposed on individuals and/or corporations for violations of federal health, safety, civil rights or environmental laws. In addition, civil debts were collected on behalf of several federal agencies, including the U.S. Department of Housing and Urban Development, Health and Human Services, Internal Revenue Service, Small Business Administration and Department of Education.
For example, this past year, Northern District of Georgia resolved civil mortgage fraud claims against Prospect Mortgage Company for $4.157 million stemming from Prospect’s failure to adhere to underwriting and quality control requirements on FHA loans. It resolved a False Claims Act qui tam case against Compassionate Care Hospice for $2.4 million involving alleged kickbacks to its medical director and associate medical directors to induce referrals for hospice services. And, the office received $5.3 million to resolve allegations against Genesis Healthcare, Inc. for the knowing submission of false claims to Medicare for unnecessary or unskilled outpatient therapy services.
Additionally, the U.S. Attorney’s office in the Northern District of Georgia working with partner agencies and divisions, deposited $154,081,713 obtained as a result of asset forfeiture actions in FY 2017. Forfeited assets deposited into the Department of Justice Assets Forfeiture Fund are used to restore funds to crime victims and for a variety of law enforcement purposes.
For further information, please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga
Northern District of Oklahoma U.S. Attorney’s Office Collects $2,034,996.36 in Civil and Criminal Actions for U.S. Taxpayers in Fiscal Year 2017Read the Press Release
U.S. Attorney R. Trent Shores announced today that the United States Attorney’s Office for the Northern District of Oklahoma (NDOK-USAO) collected $2,034,996.36 in civil and criminal actions in Fiscal Year 2017. Of this amount, $1,028,157.69 was collected in criminal actions, and $1,006,838.67 was collected in civil actions.
Additionally, the NDOK-USAO worked with other U.S. Attorney’s Offices and components of the Department of Justice (DOJ) to collect an additional $2,117,948.39 in cases pursued jointly with these offices. Of this amount, $8,623.83 was collected in criminal actions, and $2,109,324.56 was collected in civil actions.
In Fiscal Year 2017, the DOJ collected a total of over $15 billion in civil and criminal actions.
U.S. Attorney Shores stated, “I am pleased to announce my office recovered more than $2,000,000 in criminal and civil actions in FY2017. The dedicated attorneys and staff in the Financial Litigation Unit and Asset Recovery Division should be commended for their efforts. This money can positively impact victims of crime and the DOJ’s Crime Victims’ Fund.”
The NDOK-USAO Financial Litigation Unit (FLU) has a number of tools to collect criminal debts and to ensure that restitution is made to victims. The Treasury Offset Program intercepts tax refunds, and monthly asset hearings are set to identify debtors’ assets. FLU agents also enforce liens and investigate other possible sources of payment for each debtor.
The U.S. Attorneys’ Offices, along with the DOJ’s litigating divisions, are responsible for enforcing and collecting civil and criminal debts owed to the United States and criminal debts owed to victims of federal crimes. Defendants are required by law to pay restitution to victims of certain federal crimes who have suffered a physical injury or financial loss. While restitution is paid directly to the victim, criminal fines and felony assessments are paid to the DOJ’s Crime Victims’ Fund, which distributes the funds to state victim compensation and assistance programs.
The NDOK-USAO’s largest civil collections were from affirmative civil enforcement cases, in which the United States recovered federal funds lost to fraud or other misconduct or collected fines imposed on individuals and/or corporations for violations of federal health, safety, civil rights or environmental laws. Civil debts were also collected on behalf of several other federal agencies, including the U.S. Department of Housing and Urban Development, the U.S. Department of Health and Human Services, the Internal Revenue Service, the Small Business Administration and the U.S. Department of Education.
Additionally, the U.S. Attorney’s office in the Northern District of Oklahoma, working with partner agencies and divisions, forfeited $2,332,168 in asset recovery actions in FY 2017. Additionally, criminal forfeiture money judgments were entered totaling $14,484,703 representing proceeds from defendants’ offenses of conviction. During this fiscal year, forfeited assets deposited into the Department of Justice Assets Forfeiture Fund were used to restore $258,408 to crime victims and $141,882 was used for a variety of law enforcement purposes.
Munster Doctor IndictedRead the Press Release
HAMMOND - The United States Attorney for the Northern District of Indiana, Thomas L. Kirsch II, announced a 4-count indictment against Jay Kaushik Joshi, age 33, of Burr Ridge, Illinois for dispensing controlled substances containing hydrocodone outside the scope of professional practice and not for legitimate medical purposes.
According to documents in this case, Joshi practiced medicine at Prestige Clinics in Munster, Indiana. Joshi is a medical doctor licensed to practice medicine in the State of Indiana and until November 21, 2017 was registered by the Drug Enforcement Administration to Prescribe Schedule II, III, IV and V controlled substances. Between September of 2017 and December 2017, the DEA and Munster Police Department obtained information on Joshi’s history of prescribing controlled substances. Indiana’s prescription monitoring program, INSPECT, was designed to serve as a tool to address the problem of prescription drug abuse and diversion of controlled substances. Investigators obtained data from INSPECT and it is alleged that since April 2017, Joshi issued over 6000 prescriptions for controlled substances. It is also alleged that Joshi ranked first in Lake County and ninth in the State of Indiana in the number of prescriptions written for controlled substances by DEA registered providers. During the time-period alleged in the indictment, Joshi dispensed controlled substances that were not prescribed for a legitimate medical purpose and outside the scope of professional practice.
The United States Attorney's Office emphasized that an Indictment is merely an allegation and that all persons charged are presumed innocent until, and unless, proven guilty in court.
If convicted in court, any specific sentence to be imposed will be determined by the judge after a consideration of federal sentencing statutes and the Federal Sentencing Guidelines.
This case is being investigated by the Drug Enforcement Administration and the Munster, Indiana Police Department. The case is being handled by Assistant U.S. Attorney Thomas Mahoney.
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Mountain Brook Man Pleads Guilty to Cyberstalking Former Girlfriend and Associate of HersRead the Press Release
BIRMINGHAM – A Mountain Brook man pleaded guilty Monday in federal court to cyberstalking, including threatening to kill, a former girlfriend and a second woman associated with the woman he had dated, announced U.S. Attorney Jay E. Town and FBI Special Agent in Charge Johnnie Sharp Jr.
STEPHEN PARKS LEWIS, 32, entered his guilty plea before U.S. District Judge Karon O. Bowdre to two counts of cyberstalking. His sentencing is scheduled May 30.
“Using Facebook, email and phone messages in a campaign to terrorize and control someone is a fiendish crime that must be punished,” Town said. “Thanks to the dedicated work of the FBI, this defendant is having to answer for the fear and emotional distress he inflicted on these women and their families.”
According to Lewis’ plea agreement with the government, he used text messages, emails and voicemails to threaten, harass and intimidate a woman who had ended their five-year dating relationship. His harassment and threats, which included references to the mass shooting in Las Vegas that killed 58 people and wounded more than 500, went on for at least 10 months in 2017 and he threatened his harassment would “continue forever.”
The second woman Lewis threatened and harassed was the girlfriend of his first victim’s brother, according to Lewis’ plea agreement. He used Facebook and text messages to threaten and intimidate his second victim, including threats to stalk and kill her and her minor daughter.
Among Lewis’ often profane Facebook messages to his second victim, he demanded to know where he could find his former girlfriend. “I have your phone number. I have your address. I know where [Victim-1’s brother] lives. I know where you live,” he wrote, according to his plea agreement. “You tell me where she is. You tell me whats (sic) going on. Or I’m coming with a desert eagle .45,” he wrote. Following that message, Lewis sent a photo of a Desert Eagle pistol to Victim 2.
The maximum penalty for cyberstalking is five years in prison and a $250,000 fine.
The FBI investigated the case, which Assistant U.S. Attorney Mohammad Khatib is prosecuting.
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Monterey Park Man Sentenced to Federal Prison after Admitting He Smuggled nearly 2 Dozen Live King Cobras into United StatesRead the Press Release
LOS ANGELES – A Monterey Park man has been sentenced to five months in federal prison after pleading guilty to a smuggling charge stemming from the seizure of three king cobras hidden in potato chip canisters.
Rodrigo Franco, 35, was sentenced Monday morning by United States District Judge George H. Wu. In addition to the prison term, Judge Wu ordered Franco to pay a $4,500 fine and to serve two years of supervised release after he is released from prison.
Franco was sentenced after pleading guilty in September to one count of wildlife smuggling. In a plea agreement filed in United States District Court, Franco admitted that he was responsible for three illegal shipments of king cobras that contained approximately 23 snakes.
In a sentencing memorandum filed earlier this month, prosecutors pointed out two key issues with the illegal smuggling: “King Cobras are venomous snakes that are: (1) legally protected because they are a vulnerable species at risk for extinction; and (2) deadly because they possess lethal venom that can kill an adult within 30 minutes if the person is bitten and anti-venom is not available (and, at the time of the offense, there was no known King Cobra anti-venom in Los Angeles).”
According to court documents, United States Customs and Border Protection in March 2017 intercepted a package sent from Hong Kong and discovered three live king cobra snakes, each of which was approximately two-feet long. In addition to the three snakes, the parcel contained three albino Chinese soft-shelled turtles.
On the same date, March 2, Franco mailed six protected turtles from the United States to Hong Kong, but that shipment also was intercepted by the United States Fish and Wildlife Service.
Because of the danger associated with the cobras, the snakes were seized from the package that had come from Hong Kong. The United States Postal Inspection Service made a controlled delivery of the soft-shelled turtles to Franco’s residence. During a subsequent interview with authorities, Franco admitted that he had previously received 20 king cobras in two prior shipments – but he said all of those snakes had died in transit.
The investigation in this case was conducted by the United States Fish and Wildlife Service (USFWS), Office of Law Enforcement; U.S. Immigration and Customs Enforcement’s Homeland Security Investigations; and the United States Postal Inspection Service.
The case against Franco was prosecuted by Assistant United States Attorney Erik M. Silber of the Environmental and Community Safety Crimes Section.
Monrovia Man Found Guilty in ‘Hawala’ Scheme to Move Money for International Drug Trafficking Organizations, Included Drug CartelsRead the Press Release
LOS ANGELES – A federal jury has convicted a Monrovia man for his role in an international money laundering organization that conspired to move millions of dollars in proceeds for narcotics traffickers that included the Sinaloa Cartel.
Harinder Singh, 32, who also goes by “Sonu,” was found guilty late Friday of conspiracy to commit money laundering, conspiracy to operate an unlicensed money transmitting business, and operating an unlicensed money transmitting business.
The jury deliberated for less than two hours on January 19 before finding Singh guilty of all three charges. With the verdicts against Singh, prosecutors have convicted 18 defendants who were named in a 2015 grand jury indictment that was the first major case in the United States involving “hawala” transfers of drug money.
The evidence presented during the two-week trial in United States District Court – which included Punjabi language wiretap calls, Punjabi-speaking witnesses and a money laundering expert – showed that Singh participated in a “hawala” conspiracy that was moving money generated from drug sales in Canada to the United States to pay for multi-kilogram drug shipments that were purchased in Los Angeles and then routed back to Canada for distribution.
According to the indictment, a hawala is an alternative form of money remittance which operates outside of traditional banking or financial systems. The transfer of monetary value occurs between the brokers – who are typically located in different countries, but sometimes in different cities in one nation – based solely upon the trust that exists between the brokers. The hawala system, which originated on the Indian subcontinent, does not rely on promissory instruments; rather, it relies on trust and long-established connections between brokers that are typically based on familial, ethnic, religious, regional and/or cultural grounds. Through hawala transactions, only the value of the money is transferred, not the money itself.
Singh was stopped by the California Highway Patrol in October 2012, which led to the discovery of $274,980 in United States currency in rubber-banded stacks wrapped in black plastic. While the traffic stop was being conducted, special agents with the Drug Enforcement Administration were conducting surveillance and observed Singh’s wife exiting the couple’s apartment complex carrying a bag – which later revealed $388,100 in United States currency, again rubber-banded in stacks and similarly wrapped in black plastic.
Prior to the traffic stop and the seizure at Singh’s apartment complex, a federal wiretap intercepted Punjabi language calls indicating that Singh and co-conspirators communicated over multiple telephones to arrange for the pick-up, transport and delivery of large amounts of United States currency – in amounts of up to $800,000 – across the Los Angeles area.
In this case, drug traffickers used a traditional hawala network of brokers spanning the United States, Canada and India to secretly transfer millions of dollars of drug proceeds to the United States, where brokers such as Singh delivered money to couriers acting on behalf of the Canadian drug traffickers and Mexican drug cartels.
During the course of a four-year investigation by the DEA’s LA Strike Force and IRS Criminal Investigation, authorities seized nearly $15.5 million in bulk United States currency, 321 kilograms of cocaine, 98 pounds of methamphetamine, 11 kilograms of MDMA (“ecstasy”) and nine kilograms of heroin.
Previously in this case, 17 defendants have pleaded guilty, and several have already been sentenced, receiving prison terms as high as 70 months. The indictment also charges four other defendants who are currently fugitives.
Singh is scheduled to be sentenced by United States District Judge Christina A. Snyder on April 30. At the time of sentencing, Singh will face a statutory maximum penalty of 20 years in federal prison for the conspiracy count, and five years for each of the other two charges.
The investigation in this case was conducted by the Drug Enforcement Administration and IRS Criminal Investigation. These agencies received assistance and support from the Santa Ana Police Department, the Beverly Hills Police Department and the Pomona Police Department.
This case is being prosecuted by Assistant United States Attorneys Carol Alexis Chen of the Organized Crime Drug Enforcement Task Force and Ellen E. Lansden of Cyber and Intellectual Property Crimes Section.
Missouri Man Charged with Bonner Springs Bank RobberyRead the Press Release
KANSAS CITY, KAN. - A Kansas City man has been charged with robbing a bank in Bonner Springs, U.S. Attorney Tom Beall said today.
Timothy Karpovich, 39, Kansas City, Mo., was charged with one count of bank robbery. An investigator’s affidavit filed in the case alleged that on Monday morning Karpovich robbed the KCB Bank at 13010 Commercial in Bonner Springs. He gave the teller a handwritten note and kept his right hand in his pocket as if he had a gun. He fled the bank on foot.
Police received a tip that the robber gambled regularly at Harrah’s Casino in North Kansas City, Mo. Casino employees identified Karpovich from a bank surveillance photo. He was arrested without incident at the casino.
If convicted, he faces up to 20 years in federal prison. The FBI, the Bonner Springs Police Department and the Missouri Highway Patrol Gaming Division investigated. Assistant U.S. Attorney Trent Krug is prosecuting.
In all cases, defendants are presumed innocent until and unless proven guilty. The indictments merely contain allegations of criminal conduct.
Michigan felon pleads guilty to federal gun crimeRead the Press Release
HUNTINGTON, W.Va. – A Michigan man pleaded guilty yesterday to a federal gun charge, announced United States Attorney Mike Stuart. Quadralon Mayberry-Figures, 20, of Wyoming, Michigan, entered his guilty plea to being a felon in possession of a firearm. U.S. Attorney Stuart commended the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Hurricane Police Department for the investigation.
On February 17, 2017, an officer with the Hurricane Police Department conducted a traffic stop on Interstate 64. Mayberry-Figures was a passenger in the vehicle. During a search, the officer located a Diamond Back Arms 9mm pistol in his right front pocket. Mayberry-Figures was prohibited from possessing any firearm under federal law because of multiple felony convictions, including a 2016 Michigan conviction for carrying a concealed weapon.
Mayberry-Figures faces up to 10 years in federal prison when he is sentenced on April 23, 2018.
Assistant United States Attorney Stephanie S. Taylor is responsible for the prosecution. The plea hearing was held before United States District Judge Robert C. Chambers.
This case was brought 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.
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Michigan Janitorial Company Owner Sentenced to Prison for Tax FraudRead the Press Release
A Detroit, Michigan, resident who owned a janitorial service company was sentenced to 12 months and one day in prison today for obstructing the internal revenue laws and failing to file an individual tax return, announced Principal Deputy Assistant Attorney General Richard E. Zuckerman of the Justice Department’s Tax Division.
According to documents and information provided to the court, from approximately 2001, Braint N. Hall owned Braint N Hall Inc., which also did business as Sunrise Janitorial Service, Sunrise Janitorial and Maintenance Inc. and Detroit Industrial Cleaners Inc. To conceal his ownership of these firms, Hall caused two relatives to establish nominee entities, which he controlled, to assume their business operations, employees, equipment, and client contracts. Despite earning income from these businesses, Hall has not filed individual or corporate income tax returns since 2010.
In approximately 2009, the Internal Revenue Service (IRS) began auditing Hall for his failure to file individual income tax returns and to determine his income tax liability. To obstruct the audit, Hall provided the IRS with false information about the ownership of his janitorial business, the business’ bank accounts, and its client relationships.
In addition to the term of imprisonment, U.S. District Court Judge David M. Lawson ordered Hall to serve one year of supervised release. Hall pleaded guilty in August 2017 to obstructing the internal revenue laws and failing to file a personal tax return.
Principal Deputy Assistant Attorney General Zuckerman commended special agents of IRS Criminal Investigation, who conducted the investigation, and Trial Attorneys Kenneth Vert and Jeffrey McLellan of the Tax Division, who prosecuted the case. Principal Deputy Assistant Attorney General Zuckerman also thanked the United States Attorney’s Office for the Eastern District of Michigan for its substantial assistance.
Additional information about the Tax Division and its enforcement efforts may be found on the division’s website.
Miami Resident Sentenced in Identity Theft SchemeRead the Press Release
Defendant had personal identification information of over 1,000 individuals, most of whom were Miami-Dade College students
A Miami resident was sentenced to 38 months in prison, to be followed by three years of supervised release, and was ordered to pay $42,338.49 in restitution for his participation in an identity theft scheme.
Benjamin G. Greenberg, United States Attorney for the Southern District of Florida, Kelly R. Jackson, Special Agent in Charge, Internal Revenue Service, Criminal Investigation (IRS-CI), Robert F. Lasky, Special Agent in Charge, Federal Bureau of Investigation (FBI), Miami Field Office, Peter J. Forcelli, Special Agent in Charge, Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), Miami Field Division, Bryan Pegues, Chief, City of Aventura Police Department, and Rodolfo Llanes, Chief, City of Miami Police Department, made the announcement.
Thomas Jerry III, 32, of Miami, previously pled guilty to one count of possession of fifteen or more unauthorized access devices, in violation of Title 18, United States Code, Section 1029(a)(3), and one count of aggravated identity theft, in violation of Title 18, United States Code, Section 1028A(a)(1).
In May 2014, law enforcement conducted a traffic stop of a vehicle that was being driven by Jerry. During the vehicle search, law enforcement found two cellular telephones. The call log on one of Jerry’s telephones reflected that the telephone had been used to call the Capital One bank customer service line several times. The defendant’s other telephone contained images of the personal identification information (PII) of an identity theft victim and images of the victim’s credit report. A Capital One credit card in the name of the victim was also found. It was determined that the telephones were used to access and take over 79 Capital One accounts, and the caller had requested that the new cards be mailed to two addresses in Miami, Florida.
On July 24, 2014, a search warrant was executed at the Miami addresses. In the defendant’s bedroom, law enforcement found the PII (including names, dates of birth, and social security numbers) of over 1,000 individuals, most of whom were Miami-Dade College students; multiple H&R block debit cards, one of which had been funded by a fraudulent federal income tax return; an American Express card in the name of a student at Miami Dade College; Capital One credit cards in the names of identity theft and account take over victims; and a letter from Capital One containing the personal identification number (PlN) of an identity theft victim.
Mr. Greenberg commended the investigative efforts of IRS-CI, FBI, ATF, the City of Aventura Police Department, and the City of Miami Police Department. This case was prosecuted by Assistant U.S. Attorneys Daya Nathan and Gera Peoples.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at http://www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.
Maryland man appears on drug distribution chargesRead the Press Release
MARTINSBURG, WEST VIRGINIA – An Elkridge, Maryland man was arrested and had his initial appearance today in federal court after being indicted by a grand jury sitting in Elkins on December 19, 2017 for drug distribution charges, United States Attorney Bill Powell announced.
Robert Lee Wyatt, age 39, was indicted on one count of “Conspiracy to Distribute Cocaine Base” and two counts of “Aiding and Abetting the Distribution of Cocaine Base.”
Also named in the indictment is Xavier Clyde Mann, age 30, of Finksburg, Maryland. Mann was indicted on one count of “Conspiracy to Distribute Cocaine Base,” four counts of “Distribution of Cocaine Base,” and two counts of “Aiding and Abetting the Distribution of Cocaine Base.”
Wyatt and Mann are accused of conspiring to distribute cocaine base in Mineral County from March to June 2017.
Assistant U.S. Attorney Lara K. Omps-Botteicher is prosecuting the case on behalf of the government. The case was investigated by the Potomac Highlands Drug and Violent Crimes Task Force.
An indictment is merely an accusation. A defendant is presumed innocent unless and until proven guilty.U.S. Magistrate Judge Robert W. Trumble presided.
Martinsburg man indicted on failure to register as a sex offender chargeRead the Press Release
MARTINSBURG, WEST VIRGINIA – A Martinsburg, West Virginia man was indicted today by a federal grand jury on a failure to register charge, United States Attorney Bill Powell announced.
Andrew Reed Cumbie, age 36, was indicted on one count of “Failure to Register.” Cumbie, having been convicted of a sex offense in the Circuit Court of Melheur County, Oregon, is accused of traveling interstate commerce and not registering and updating his registration as a sex offender. The crime is alleged to have occurred in Berkeley County from November 16 to December 11, 2017.
Assistant U.S. Attorney Lara K. Omps-Botteicher is prosecuting the case on behalf of the government. The case was investigated by the United States Marshal Service.
An indictment is merely an accusation. A defendant is presumed innocent unless and until proven guilty.Martinsburg man indicted on drug distribution chargesRead the Press Release
MARTINSBURG, WEST VIRGINIA – A Martinsburg man was indicted today by a federal grand jury on drug distribution charges, United States Attorney Bill Powell announced.
Charles Leroy Palmer, III, age 23, was indicted on two counts of “Possession with the Intent to Distribute Heroin,” and one count of “Possession with the Intent to Distribute Cocaine Base.”
Palmer is accused of distributing heroin and cocaine base in Jefferson and Berkeley Counties in June 2017.
Special Assistant U.S. Attorney C. Lydia Lehman, also with the Berkeley County Prosecuting Attorney’s Office, is prosecuting the case on behalf of the government. The case was investigated by the Jefferson County Sheriff’s Office and the Martinsburg City Police Department.
An indictment is merely an accusation. A defendant is presumed innocent unless and until proven guilty.Lexington Man Sentenced to 175 Months for Receiving Child PornographyRead the Press Release
LEXINGTON, Ky. – A Lexington man, Matthew Ryan Murdoch, 35, has been sentenced to 175 months in federal prison, to be followed by a lifetime term of supervised release, for knowingly receiving child pornography.
On Monday, Senior United States District Judge Joseph M. Hood formally sentenced Murdoch, who must serve 85 percent of his federal prison sentence.
Murdoch previously admitted that, in October of 2016, he knowingly received images of child pornography, by using the uTorrent program on is Android device. A forensic examination of Murdoch’s device revealed approximately 4,367 still images and 24 videos of child pornography.
Robert M. Duncan, Jr., United States Attorney for the Eastern District of Kentucky; Steven L. Igyarto, Special Agent in Charge, Department of Homeland Security - Homeland Security Investigations; and Kentucky Attorney General Andy Beshear jointly announced the sentence.
The investigation was conducted by the Cyber Crimes Branch of the Department of Criminal Investigations within the Kentucky Office of the Attorney General and the Department of Homeland Security – Homeland Security Investigations. The United States was represented by Assistant United States Attorney David Marye.
Lexington County Hells Angel Pleads Guilty to Murder for Hire of Ex-WifeRead the Press Release
Columbia, South Carolina ---- United States Attorney Beth Drake stated today that Jerry Oliver, age 52, of Lexington County, South Carolina, has entered a guilty plea in federal court in Columbia, to Murder for Hire, a violation of 18 U.S.C. § 1958. United States District Judge Terry L. Wooten, of Columbia, accepted the guilty plea and will impose sentence after he has reviewed the presentence report which will be prepared by the U.S. Probation Office.
Evidence presented at the change of plea hearing established that the defendant was a member of the Hells Angels and it was through this membership that the defendant met a person who was a FBI informant. The informant was working as a driver at the defendant’s place of work. The informant was charged with DUI and worried that he would lose his job as a driver, so the informant approached Oliver for help. Oliver recommended an attorney who Oliver knew and Oliver offered to cover the cost of the attorney if the informant would kill Oliver’s ex-wife. Oliver was involved in a contested family court proceeding where a hearing was scheduled regarding Oliver’s failure to comply with the divorce decree with his ex-wife. Oliver stated that the murder needed to occur before Oliver’s next family court appearance. The informant contacted the FBI who provided recording materials to the informant to record the interactions with Oliver. Numerous recordings of in-person and over the phone discussions of killing the ex-wife were captured. The informant told Oliver numerous times that he was a felon and the two discussed how to make the killing look like a robbery gone bad.
On September 29, the informant again told Oliver that he was a felon and needed help getting a firearm to do the murder. Oliver stated he would put a Glock in a truck on Oliver's property. The informant contacted Oliver who confirmed the weapon was in place for the informant to retrieve. The informant recorded his retrieval of a loaded Glock. The informant and Oliver discussed locating pictures of the ex-wife on Facebook, a recording of Oliver accessing the ex-wife's Facebook was captured – when Oliver told the informant to monitor the ex-wife’s location using Facebook.
Mrs. Drake stated the maximum penalty for Murder for Hire is imprisonment for 10 years and/or a fine of $250,000, the defendant agreed to a negotiated maximum 10-year sentence.
The case was investigated by agents of the FBI. Assistant United States Attorneys Jim May and Jay Richardson of the Columbia office are prosecuting the case.
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La Vista Man Has Citizenship Revoked After Conviction for Obtaining Citizenship by FraudRead the Press Release
Acting United States Attorney Robert C. Stuart announced that Zahid Maqsood, age 56 of La Vista, Nebraska, was sentenced today by the Honorable Laurie Smith Camp to time served in jail and three years of supervised release following his conviction for unlawful procurement of citizenship/naturalization. He had been in jail approximately 8 months. Mr. Maqsood’s citizenship was also revoked.
Mr. Maqsood first came to the United States on a visa from from Pakistan in 1990. Using a different name, he applied for asylum. The application was denied and he was ordered removed from the United States under the fake name. He left the United States and returned in 2006 on an Immigrant Visa using the Maqsood name. In 2012 he applied for naturalization making a number of statements under oath. As part of the naturalization process he also had an interview, under oath, with an agent with United States Citizenship and Immigration Services. Based on his application and interview he was granted citizenship using the name “Maqsood.” It was later learned that a number of the material statements he made in his citizenship application form and his naturalization interview were false.
Mr. Maqsood pled guilty to the offense on October 3, 2017. Upon conviction, federal law mandates the judge declare his citizenship void and his naturalization certificate cancelled.
The case was investigated by the Immigration and Customs Enforcement Office of Removal Operations.
Kosciusko Man Pleads Guilty to Possessing a Stolen FirearmRead the Press Release
Jackson, Miss. – Jermaine Griffin, 31, of Kosciusko, pled guilty on January 18, 2018, before United States District Judge Tom S. Lee, to knowingly possessing and selling a stolen firearm, announced U.S. Attorney Mike Hurst and Special Agent in Charge Dana Nichols, Bureau of Alcohol, Tobacco, Firearms, and Explosives.
In September 2014, Griffin purchased a .40 caliber Smith & Wesson pistol from someone on the street, and later learned the man who sold him the gun had recently robbed Central Mississippi Firearms, a gun store in Kosciusko, Mississippi. Griffin then sold the stolen gun in Durant, Mississippi.
Griffin will be sentenced by Judge Lee on April 18, 2018, and faces a maximum penalty of 10 years in prison and a $250,000 fine.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives. It is being prosecuted by Assistant United States Attorney Jennifer Case.
Kirksville Man Sentenced for Stealing $380,000 from FraternityRead the Press Release
JEFFERSON CITY, Mo. – Timothy A. Garrison, United States Attorney for the Western District of Missouri, announced today that a Kirksville, Mo., man has been sentenced in federal court for embezzling more than $380,000 from the Sigma Alpha Epsilon fraternity in Columbia, Mo.
Burt Louis Beard, 63, of Kirksville, was sentenced by U.S. District Judge Stephen R. Bough on Monday, Jan. 22, 2018, to two years in federal prison without parole. The court also ordered Beard to pay $380,502 in restitution.
On Sept. 11, 2017, Beard pleaded guilty to bank fraud. Beard admitted that he defrauded the Sigma Alpha Epsilon (SAE) fraternity of $380,502 during the period between March 2008 and August 2014.
Beard was the volunteer treasurer from 2000 to 2014. During that time, Beard was responsible for all financial duties related to maintaining the house, paying various vendors and collecting rent checks. Beard wrote himself in excess of 150 checks. Beard claimed the checks to himself were for reimbursement of personal loans to SAE for direct payments he made to venders. When asked for copies of his personal checks, Beard supplied copies of checks to fictitious vendors or existing vendors that did not have an account receivable for that amount or during that period. In cases where Beard supplied vendor invoices for his reimbursements, vendors said the invoices were not theirs.
SAE elected a new slate of officers for the fraternity in the fall of 2014. During the transition of financial responsibilities from Beard to the new treasurer, numerous red flags began to appear. SAE hired RGL Forensics, a forensic accounting company, to investigate Beard’s wrongdoing. Based on the documentation provided and reviewed, RGL calculated $380,502 as the entire loss from March 2008 through September 2014. The calculated loss consisted of $414,979 in checks issued to Beard from March 2008 through September 2014, less $34,477 in payments that Beard issued to or on behalf of SAE.
This case was prosecuted by Assistant U.S. Attorney Ashley S. Turner. It was investigated by the FBI.
Justice Department Settles Immigration-Related Discrimination Claim Against Ohio CompanyRead the Press Release
The Justice Department announced today that it has reached a settlement with Omnicare Inc. (Omnicare), a wholly owned subsidiary of CVS Health Corporation and provider of long-term care pharmacy services in Ohio, resolving the Department’s investigation into whether the company violated the Immigration and Nationality Act’s (INA) anti-discrimination provision.
The Department’s investigation, which was initiated in response to a worker’s complaint, revealed that Omnicare engaged in citizenship status discrimination against a work authorized job applicant by refusing to refer him to the hiring manager for an interview because he was not a permanent resident or U.S. citizen, and removing him from the candidate pool based on his status as an asylee. The INA’s anti-discrimination provision prohibits employers from discriminating against asylees because of their citizenship or immigration status, unless authorized by law to do so.
Under the settlement agreement, Omnicare will pay the maximum civil penalty for one instance of citizenship status discrimination, post notices informing workers about their rights under the INA’s anti-discrimination provision, train its staff and its contractors, and be subject to departmental monitoring and reporting requirements for two years.
“Employers should ensure that all of the employees and contractors who screen their applicants for employment have the proper training to avoid improperly rejecting work authorized applicants based on a protected citizenship or immigration status,” said Acting Assistant Attorney General John Gore of the Civil Rights Division.
The Division’s Immigrant and Employee Rights Section (IER), formerly known as the Office of Special Counsel for Immigration-Related Unfair Employment Practices, is responsible for enforcing the anti-discrimination provision of the INA. Among other things, the statute prohibits citizenship status and national origin discrimination in hiring, firing, or recruitment or referral for a fee; unfair documentary practices; retaliation and intimidation.
For more information about protections against employment discrimination under immigration laws, call IER’s worker hotline at 1-800-255-7688 (1-800-237-2515, TTY for hearing impaired); call IER’s employer hotline at 1-800-255-8155 (1-800-237-2515, TTY for hearing impaired); sign up for a free webinar; email [email protected]; or visit IER’s English and Spanish websites.
Applicants or employees who believe they were subjected to retaliation; different documentary requirements based on their citizenship, immigration status or national origin; or discrimination based on their citizenship, immigration status, or national origin in hiring, firing, or recruitment or referral for a fee, should contact IER’s worker hotline for assistance.
Jury Finds a Man Guilty of $2.5 Million Wire Fraud and Tax EvasionRead the Press Release
U.S. Attorney R. Trent Shores announced today that a jury found Shawn Christopher Gorrell, 39, of Belgrade, Montana, guilty of three counts of Wire Fraud and three counts of Tax Evasion. The jury determined that Gorrell defrauded residents of Tulsa and Texas by touting investments and then diverting investor funds for his personal use, such as gambling, day-trading and paying personal expenses. Gorrell’s scheme lasted from 2007 until the fall of 2012. Evidence at trial demonstrated that Gorrell obtained over $2,500,000 from investors pursuant to his scheme, and made payments of over $500,000 back to investors to lull them into believing their investments were secure and performing as promoted. In related tax evasion charges, the evidence showed that Gorrell willfully evaded the payment of taxes attributable to the funds he took from investors during 2009, 2011 and 2012. He failed to report or pay taxes on the funds in a total amount of over $500,000.
U.S. Attorney Shores stated, “Through the outstanding cooperative efforts of federal and state investigative agencies, our office was able to secure guilty verdicts in a significant case where investors were financially decimated.”
Chief Judge Gregory K. Frizzell, of the United States District Court for the Northern District of Oklahoma, presided over the trial and will sentence Gorrell on April 23, 2018. Gorrell faces a maximum penalty of 20 years imprisonment, a fine of $250,000 or twice the pecuniary gain or loss caused by his conduct, and three years supervised release for the wire fraud charges, and a maximum penalty of 5 years in prison, a fine of $250,000 or twice the pecuniary gain or loss caused by his conduct, and three years supervised release for the tax evasion charges.
This case was investigated by the Internal Revenue Service-Criminal Investigation, the Federal Bureau of Investigation, the Oklahoma Securities Department and the Oklahoma Insurance Department. This case was prosecuted by Assistant United States Attorneys Kevin C. Leitch and Joseph F. Wilson.
Jackson Man Sentenced to 180 months in Prison for Armed CarjackingRead the Press Release
Jackson, Miss. - Suava Blair, 20, of Jackson, Mississippi, was sentenced yesterday by U.S. District Judge Henry T. Wingate to 180 months in federal prison followed by five years of supervised release, after having pled guilty to brandishing and possessing a firearm during a carjacking, announced U.S. Attorney Mike Hurst and Special Agent in Charge Christopher Freeze, Federal Bureau of Investigation. Blair was also ordered to pay a $1,500.00 fine.
On October 2, 2015, Blair went to New Stage Theatre in Jackson and carjacked a victim as she opened the door to her vehicle. Blair held a gun to the victim’s head and demanded that she "get out the vehicle and leave everything inside." Blair, along with a passenger, drove away in the carjacked vehicle. A week later, on October 9, 2015, Jackson Police Officers patrolling the area around the Mississippi State Fairgrounds came into contact with the carjacked vehicle. The officers attempted to execute a stop on the vehicle. Instead, the driver, Suava Blair, led officers on a foot chase before eventually getting back into the carjacked vehicle and attempting to run over the officers. The officers discharged their service weapons, striking Blair in his right leg. He was taken to a nearby hospital where he was treated, apprehended and arrested.
This case was investigated by the Federal Bureau of Investigation, along with the Jackson Police Department, and prosecuted by Assistant U.S. Attorney Abe McGlothin, Jr.
ID Thieves Get Federal Prison TimeRead the Press Release
CORPUS CHRISTI, Texas – Two local men have been ordered to federal prison following their convictions of identity theft, announced U.S. Attorney Ryan K. Patrick. Vernon Sonsteng, 56, and Michael Anthony Villegas, 33, both of Corpus Christi, pleaded guilty in October 2017 to aggravated identity theft and possessing with the intent to unlawfully use five or more false identification documents.
Today, Senior U.S. District Judge John D. Rainey ordered Sonsteng to serve a total of 56 months in federal prison - 32 months for the fraudulent use charge followed by a consecutive 24 months for the identity theft. In federal court yesterday, Judge Rainey sentenced Villegas also to the mandatory 24 months for the identity theft as well as 28 months for the other conviction. Following his 52-month sentence, he will be on supervised release for three years as will Sonsteng.
As part of their sentence, both were also ordered to pay restitution of $19,187.73 to their identified victims.
In July 2016, authorities stopped Sonsteng and Villegas for a traffic violation. During a search of the vehicle, officers discovered more than 50 counterfeit Texas driver’s licenses bearing either the photograph of Sonsteng or Villegas, but with identifying information of other people. The vehicle also contained stolen U.S. mail and hundreds of counterfeit checks with names matching the fraudulent IDs that Sonsteng and Villegas possessed.
Both will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
The U.S. Secret Service conducted the investigation with the assistance of the U.S. Postal Inspection Service and the Portland and Corpus Christi Police Departments. Assistant U.S. Attorney Robert D. Thorpe Jr. is prosecuting the cases.
Honduran National Sentenced for Illegal Reentry After DeportationRead the Press Release
BOSTON – A Honduran national pleaded guilty and was sentenced yesterday in federal court in Boston for illegally reentering the United States after being deported.
Alan Fernando Dominguez Banegas, 24, pleaded guilty to one count of unlawful reentry of a deported alien. U.S. District Court Judge Douglas P. Woodlock sentenced Dominguez Banegas to time served and one year of supervised release. Dominguez Banegas was released to Immigration and Customs Enforcement while he awaits deportation to Honduras, where he is wanted on homicide/manslaughter charges.
On Sept. 22, 2017, law enforcement officers in Framingham encountered Dominguez Banegas and determined him to be illegally present in the United States. Dominguez Banegas was previously deported on May 30, 2014.
United States Attorney Andrew E. Lelling and Michael Shea, Acting Special Agent in Charge of Homeland Security Investigations in Boston, made the announcement. Assistant U.S. Attorney David G. Tobin of Lelling’s Major Crimes Unit prosecuted the case.
Hawaii Man Pleads Guilty to Wire FraudRead the Press Release
Portland, Maine: United States Attorney Halsey B. Frank announced that Jonathan F. Cowles, 46, of Honolulu, Hawaii, and formerly of Rowley, Massachusetts, pleaded guilty on Tuesday in U.S. District Court to wire fraud.
According to court records and evidence introduced at the plea hearing, between March and June 2014, the defendant used interstate wires to skim over $25,000 in commissions to which he was not entitled from his employer, Maine Coast Shellfish, LLC (Maine Coast), a lobster wholesaler located in York, Maine. As part of his fraudulent scheme, he also caused Maine Coast to ship about 50,000 lbs. of lobster worth about $360,000 to a customer in China whose true identity he concealed and for which Maine Coast was not paid.
Cowles faces up to 20 years in prison and a $250,000 fine. Under his plea agreement, Cowles has also agreed to pay Maine Coast almost $360,000 in restitution. He will be sentenced after completion of a presentence investigation report by the U.S. Probation Office.
The investigation was conducted by the Federal Bureau of Investigation and the York Police Department.
Hampshire County man indicted on firearm chargeRead the Press Release
MARTINSBURG, WEST VIRGINIA – A Romney, West Virginia man was indicted today by a federal grand jury on a firearm charge, United States Attorney Bill Powell announced.
Grover Allen White, age 39, was indicted on one count of “Possession of a Stolen Firearm.” White is accused of possessing a stolen .380 caliber pistol. The crime is alleged to have occurred in Hampshire County in June 2016.
Assistant U.S. Attorney Lara K. Omps-Botteicher is prosecuting the case on behalf of the government. The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives.
An indictment is merely an accusation. A defendant is presumed innocent unless and until proven guilty.Guatemalan National Sentenced for Illegal Reentry After DeportationRead the Press Release
BOSTON - A Guatemalan national pleaded guilty and was sentenced today in federal court in Boston for illegally reentering the United States after deportation.
Danny Fuentes-Monzon, 31, pleaded guilty to one count of unlawful reentry of a deported alien. U.S. District Court Judge Nathaniel M. Gorton sentenced Fuentes-Monzon to time served and one year of supervised release. Fuentes-Monzon will be subject to deportation.
On Aug. 18, 2017, Fuentes-Monzon was encountered by law enforcement in Lynn and determined to be illegally present in the United States. Fuentes-Monzon was previously deported on Aug. 19, 2005.
United States Attorney Andrew E. Lelling and Michael Shea, Acting Special Agent in Charge of Homeland Security Investigations in Boston, made the announcement today. Assistant U.S. Attorney Suzanne Sullivan Jacobus of Lelling’s Major Crimes Unit prosecuted this case.
Guatemalan National Charged with Fentanyl ConspiracyRead the Press Release
BOSTON – A Guatemalan national was charged yesterday in federal court in Boston in connection with a conspiracy to distribute over five kilograms of fentanyl, worth approximately $1.25 million.
Rene Alejandro Salazar Reyes, 26, was charged by complaint with one count of conspiracy to possess with intent to distribute and to distribute fentanyl. Salazar was arrested on Saturday, Jan. 20, 2018, and will remain in custody pending a detention and probable cause hearing on Jan. 25, 2018, in federal court in Boston.
“Fentanyl is devastating communities across Massachusetts,” said United States Attorney Andrew E. Lelling. “Just a few milligrams of fentanyl can cause a fatal overdose. Saturday’s seizure of over five kilograms is an important step in our efforts to keep this deadly drug off our streets. This investigation is a testament to our commitment to work with our law enforcement partners to aggressively pursue individuals who seek to distribute deadly narcotics, without any regard for human life, throughout our neighborhoods and communities.”
“Opioid abuse is at epidemic levels in Massachusetts and across the Northeast,” said DEA Special Agent in Charge Michael J. Ferguson. “Fentanyl is causing deaths in record numbers and DEA remains committed to aggressively pursuing Drug Trafficking Organizations or individuals who distribute this poison in order to profit and destroy people’s lives. This investigation demonstrates the strength of collaborative law enforcement efforts in Massachusetts and our strong partnership with the U.S. Attorney’s Office.”
According to court documents, in November 2017, a cooperating witness informed a federal law enforcement officer that a Guatemalan man was selling heroin and/or fentanyl in the Boston area. After a series of recorded cell phone texts and calls, the Guatemalan man agreed to sell the cooperating witness five kilograms of fentanyl, which he would arrange to be delivered to the cooperating witness in Massachusetts. The cooperating witness agreed to make a partial payment of $70,000 for the drugs. The estimated street value of one kilogram of fentanyl is $250,000; one gram sells for approximately $40-$50.
It is alleged that on Jan. 19, 2018, the Guatemalan man placed a call, which was also recorded, to the cooperating witness informing him that a courier would deliver the fentanyl to him in Massachusetts the next day. Soon after, the cooperating witness received a call from the Guatemalan man’s courier, who law enforcement agents determined to be Salazar, the target of a previous criminal investigation in Maryland.
On Jan. 20, 2018, the cooperating witness called Salazar and asked him where he was and then drove to meet Salazar so that Salazar could then follow the cooperating witness to a location to conduct the transaction. While Salazar was on the phone with the cooperating witness, surveillance officers saw Salazar standing outside his vehicle. Once Salazar got into his car to follow the cooperating witness, agents followed Salazar and directed law enforcement officers to conduct a traffic stop.
According to court documents, when the officer stopped Salazar for failing to stop at a stop sign, Salazar appeared visibly nervous. The officer asked Salazar if he had any drugs or weapons in the car, to which Salazar replied that he did not. The officer then asked if he could search the car, to which Salazar replied, “Yes, go ahead.” According to the complaint affidavit, the officer found a large plastic shopping bag on the rear passenger floorboard that contained 23 individually heat sealed clear plastic bags containing approximately 5.2 kilograms of a white powdery substance. Salazar was then placed under arrest.
Salazar faces a sentence of no greater than 20 years in prison, three years and up to a lifetime of supervised release, a fine of $1 million, and will be subject to deportation proceedings upon completion of his sentence. Sentences are imposed by a federal district court judge based on the U.S. Sentencing Guidelines and other statutory factors.
U.S. Attorney Lelling and DEA SAC Ferguson made the announcement. Assistance was provided by Homeland Security Investigations in Maryland and the Massachusetts State Police. Assistant U.S. Attorney Leah Foley of Lelling’s Narcotics and Money Laundering Unit is prosecuting the case.
The details contained in the charging document are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Ghanaian National Convicted by Federal Jury of Unlawful Attempted Procurement of CitizenshipRead the Press Release
BOSTON - A Ghanaian national was convicted by a federal jury in Boston yesterday in connection with entering into a false marriage in order to obtain citizenship.
Samer El-Sayed, 33, was convicted by a federal jury of one count of willfully and knowingly making false statements; one count of making false statements under oath relative to naturalization, citizenship or alien registry; and one count of unlawful attempted procurement of citizenship or naturalization. U.S. District Court Judge Allison D. Burroughs scheduled sentencing for April 17, 2018.
In June 2008, El-Sayed entered the United States on a non-immigrant visa. In February 2009, El-Sayed entered into a sham marriage with an 18-year-old United States citizen to whom he paid several thousand dollars. Thereafter, El-Sayed began filing various petitions and applications with the U.S. Citizenship and Immigration Services (USCIS) in order to obtain immigration benefits, and in March 2010, El-Sayed was granted conditional permanent resident status. In 2012, El-Sayed submitted false statements on a petition filed with USCIS and subsequently provided false statements under oath to USCIS during an interview that occurred in January 2014. Then, in May 2014, El-Sayed submitted an application for United States citizenship to USCIS and provided false information and statements in that application.
The charges of making false statements and making false statements under oath for naturalization each provide for a sentence of no greater than five years in prison, three years of supervised release and a fine of $250,000. The charge of unlawful attempted procurement of citizenship or naturalization provides for a sentence of no greater than 10 years in prison, three years of supervised release and a fine of $250,000. El-Sayed will be subject to deportation upon completion of his sentence. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Andrew E. Lelling; Michael Shea, Acting Special Agent in Charge of Homeland Security Investigations in Boston; and Denis C. Riordan, District Director, U.S. Citizenship and Immigration Services, District 1, made the announcement. Assistant U.S. Attorney Suzanne Jacobus Sullivan of Lelling’s Major Crimes Unit is prosecuting the case.
Georgia Man Sentenced for $258,000 Identity Theft, Tax Refund SchemeRead the Press Release
JEFFERSON CITY, Mo. – Timothy A. Garrison, United States Attorney for the Western District of Missouri, announced today that a Georgia man has been sentenced in federal court for using dozens of stolen identities to file fraudulent tax returns seeking $258,063 in refunds.
Jalen Ortez Gude, 25, of Hillsboro, Ga., was sentenced by U.S. District Judge Stephen R. Bough on Monday, Jan. 22, 2018, to six years and nine months in federal prison without parole. The court also ordered Gude to pay $163, 305 in restitution.
On Aug. 24, 2017, Gude pleaded guilty to one count of wire fraud and one count of identity theft. Gude admitted that, between January 2014 and March 13, 2015, he used the stolen identity information of at least 46 victims (including their names, Social Security numbers, and dates of birth) to file fraudulent tax returns and receive tax refunds from both the federal government and the state of Missouri. According to court documents, those victims included residents of Cole County, Mo., whose stolen identity information had been released over the Internet.
The IRS stopped $94,592 in refunds from being processed; as a result, the aggregate amount of restitution due is $163,305 to 10 of Gude’s victims.
Gude opened bank accounts in the names of his identity theft victims so that the IRS and the Missouri Department of Revenue would transfer the refunds to bank accounts he controlled. This process permitted Gude to remain anonymous and to conduct his scheme, in part, from outside Missouri. Gude also used the stolen identity information to submit fraudulent online credit applications at banks and credit card companies.
This case was prosecuted by Supervisory Assistant U.S. Attorney Michael S. Oliver. It was investigated by the FBI, IRS-Criminal Investigation, the Missouri Department of Revenue – Compliance and Investigation Bureau and the Missouri Department of Revenue – Criminal Investigation Bureau.
Fort Totten Man Sentenced on Firearms ChargesRead the Press Release
FARGO - United States Attorney Christopher C. Myers announces that on January 23, 2018, DANIEL MICHAEL TWOHEARTS, age 24, of Fort Totten, ND, was sentenced before Circuit Court Judge Ralph R. Erickson (sitting by designation), on drug trafficking and firearms charges, specifically: Possession of a Firearm and Ammunition by a Convicted Felon; Possession of a Stolen Firearm; Possession with Intent to Distribute a Controlled Substance; and Discharging a Firearm During and in Relation to a Drug Trafficking Crime. TwoHearts was sentenced to serve 25 years’ imprisonment, to be followed by 5 years of supervised release, as well as pay $400 in special assessments and $482.99 in restitution.
This case came to the attention of law enforcement on the evening of February 2, 2017, when a North Dakota Highway Patrol trooper attempted to pull the defendant over regarding a traffic offense which occurred on Interstate 29 near Grand Forks, ND. TwoHearts did not pull over, but continued toward Hillsboro where a Hillsboro police officer joined the pursuit. Approximately one mile south of Hillsboro, Traill County deputy sheriffs deployed spike strips, which disabled the pickup being driven by TwoHearts. TwoHearts exited the vehicle and fired a handgun in the direction of the trooper and police officer, neither of whom were struck. TwoHearts then fled on foot, which led to a multi-agency manhunt. Discovered near the pickup where TwoHearts had previously been was approximately five ounces of pure methamphetamine.
TwoHearts was eventually located in Devils Lake, North Dakota, after stealing three different vehicles along the way. During a brief standoff with law enforcement in Devils Lake, TwoHearts shot himself in the chest with the same handgun he had fired at the trooper and police officer near Hillsboro. At that point Two Hearts was apprehended and arrested without further incident.
TwoHearts was sentenced as an Armed Career Criminal, with eight prior burglary convictions, and was on state probation at the time of the instant offense. TwoHearts previously pled guilty in state court on charges relating to him stealing motor vehicles and endangering an infant in the course of fleeing from law enforcement.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives and the North Dakota Bureau of Criminal Investigation, with assistance from the North Dakota State Highway Patrol, Hillsboro Police Department, Traill County Sheriff’s Office, North Dakota Parole & Probation, North Dakota Crime Lab, Ramsey County Sheriff’s Office, Benson County Sheriff’s Office, Devils Lake Police Department, Lake Region Narcotics Task Force, Grand Forks County Sheriff’s Office, Grand Forks SWAT, CBP, Bureau of Indian Affairs, Three Affiliated Tribes Police Department, Minnesota Bureau of Criminal Apprehension, Minnesota State Patrol, and the Polk County, MN, Sheriff’s Office.
This case was prosecuted by Assistant United States Attorney Jake Rodenbiker.
Former nursing home employee sentenced to federal prison for embezzling over $80,000Read the Press Release
CHARLESTON, W.Va. – A former nursing home employee who embezzled over $80,000 was sentenced today to a year and a month in federal prison, announced United States Attorney Mike Stuart. Veneford Blankenship, 35, of Bluefield, previously pleaded guilty to mail fraud. She was also ordered to pay $81,486.15 in restitution. U.S. Attorney Stuart commended the cooperative investigative efforts of the FBI and the United States Postal Inspection Service.
Blankenship worked at a nursing home in Princeton as the Business Office Supervisor where she oversaw the financial operations. Her duties included sending patient invoices, recording deposits in the nursing home’s accounting program, and depositing checks into the nursing home’s operations account. The nursing home also had another bank account, which allowed residents to collect funds that were occasionally spent on dinner, outings, and small events for residents. While the nursing home’s parent company received bank statements for its operations account, the parent company did not receive any statements for the other bank account.
Blankenship admitted that in June 2015, she began secretly diverting residents’ payment checks. Instead of depositing these checks into the operations account, she deposited the checks into the other bank account. She then wrote checks to herself from the other account, forging the signatures of the two individuals with signature authority. She hid her crime by writing false memos on the checks and indicating that the withdrawals were for legitimate nursing home purposes, when in reality she took the money for herself. She also falsely updated the nursing home’s accounting program to indicate that the residents paid invoices and that the nursing home received funds that she had stolen.
Assistant United States Attorney Meredith George Thomas is in charge of the prosecution. Senior United States District Judge David A. Faber imposed the sentence.
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Former Vallejo Woman Pleads Guilty to Tax Fraud ConspiracyRead the Press Release
SACRAMENTO, Calif. — Dionna J. Bradshaw, 37, formerly of Vallejo, pleaded guilty today to conspiring to submit false claims for tax refunds to the Internal Revenue Service, U.S. Attorney McGregor W. Scott announced.
According to court documents, from March 2011 through March 2013, Bradshaw and co‑defendant Porsha Dickens, of Vallejo, participated in a conspiracy to submit false tax returns to the Internal Revenue Service by obtaining personal identifying information of others, and then submitting returns seeking refunds to which the people listed on the returns were not entitled. To pursue the refunds, false statements were placed on the tax returns regarding employers, income, withholding from income, and eligibility for certain tax credits, among other things. The employers listed on most of the fraudulent returns were companies purportedly belonging to codefendant Dickens. The fraudulently obtained tax refunds were frequently directly deposited into the bank accounts of Bradshaw and Dickens. The total amount of refunds claimed in connection with the conspiracy was approximately $301,612.
This case is the product of an investigation by the Internal Revenue Service, Criminal Investigation. Assistant U.S. Attorney Christopher S. Hales is prosecuting the case.
Bradshaw is scheduled to be sentenced by Judge John A. Mendez on May 1, 2018. Bradshaw faces a maximum statutory penalty of 10 years in prison 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.
Co-defendant Dickens is scheduled to go to trial on September 24, 2018, on charges of conspiracy to submit false claims and making false claims. The charges against Dickens are only allegations; Dickens is presumed innocent until and unless proven guilty beyond a reasonable doubt.
Former School Owner and CEO Sentenced to 30 Months in Federal Prison for Federal Financial Aid Fraud SchemeRead the Press Release
BATON ROUGE, LA – Acting United States Attorney Corey R. Amundson announced today that on Friday, January 19, 2018, Chief U.S. District Judge Brian A. Jackson sentenced ALDEN HALL, age 58, of Baton Rouge, Louisiana, to serve 30 months in federal prison for her multi-year scheme to defraud the United States Department of Education and steal Pell Grant funds. The Court also ordered Hall to make restitution payments to her victim in the amount of $276,220 and pay a $500 special assessment. Hall will be required to serve a two-year term of supervised release upon her release from prison.
In the summer of 2017, after a four-day trial, the jury unanimously returned guilty verdicts on all five counts presented at trial, including three counts of theft of government funds, one count of fraudulently obtaining financial assistance funds, and one count of money laundering.
HALL was the owner and Chief Executive Officer of Alden’s School of Cosmetology and Alden’s School of Barbering located in Baker, Louisiana. As the evidence demonstrated, HALL engaged in a scheme to steal government funds by causing misrepresentations to be submitted to the Department of Education. For instance, HALL represented to the Department that certain students were enrolled in Pell Grant-approved programs of instruction when HALL knew that they were actually in programs of instruction that did not qualify for Pell Grants. HALL caused false and forged documents to be submitted as part of certain students’ financial aid packages, and caused misrepresentations to the Department about the number of hours that certain students had attended class and their standing at the school, when in fact the individuals had never attended class. Through the scheme, HALL fraudulently received more than $270,000 in federal funds. Finally, in December of 2011, as proceeds were being generated from HALL’s fraudulent scheme, she engaged in money laundering by transferring criminally derived property of a value greater than $10,000 from a bank account to a check issued to herself.
Acting U.S. Amundson stated, “This defendant—over several years—systematically used her position of authority and trust with her students to fraudulently steal funds meant to educate underprivileged students. Today she has been held accountable for her fraudulent scheme and her efforts to conceal her criminal conduct. It is our hope that this sentence strikes a chord with anyone else who may be tempted to steal from the Department of Education. I sincerely appreciate the hard work of the federal and state agencies, and the prosecutors from this office, who worked as a team to bring this defendant’s sophisticated and long-running scheme to an end.”
"Ms. Hall used her position to willfully defraud her students and America's taxpayers in a deliberate and methodical way, and that is unacceptable," said Neil Sanchez, Special Agent in Charge of the U.S. Department of Education—Office of Inspector General's Southern Regional Office. "This sentencing should serve as a warning to anyone who intentionally steals or misappropriates Federal student aid for their own selfish purpose: you will be caught and held accountable for your criminal actions."
FBI Special Agent-in-Charge Eric J. Rommal stated: “Through cooperation with our federal and state partners, the FBI will continue to aggressively investigate any attempts by persons seeking to fraudulently take advantage of education grants designed to help students in financial need. In this matter, the defendant selfishly chose to pursue her own agenda of fraud and deception, while jeopardizing the credit of her victims and hampering their legitimate efforts to obtain financial aid.”
Louisiana State Inspector General Stephen Street commented, “This is a case of brazen and calculated fraud that had a direct impact on innocent citizens who had legitimate need for this financial aid. In our view, the prison sentence was entirely appropriate and sends a message that anyone who steals from the taxpayers had better be prepared to go to jail for it. Louisiana OIG will continue working with our law enforcement partners to make sure of it.”
This matter is being handled by the U.S. Attorney’s Office for the Middle District of Louisiana and the U.S. Department of Education—Office of the Inspector General, the Federal Bureau of Investigation, the Internal Revenue Service and the Louisiana Inspector General’s Office. It is being prosecuted by Assistant United States Attorneys Ryan Crosswell and Jessica M.P. Thornhill.
Former Registry of Motor Vehicles Clerk Sentenced for Role in Identity Theft SchemeRead the Press Release
BOSTON – A former Massachusetts Registry of Motor Vehicles (RMV) clerk was sentenced today in federal court in Boston for her role in a scheme to produce false identification documents.
Annette Gracia, 37, of Boston, was sentenced to one year and one day in prison and two years of supervised release. In October 2017, Gracia and co-conspirators Evelyn Medina, 56, of Boston; Kimberly Jordan, 33, of Randolph; David Brimage, 46, of Boston; and Bivian Yohanny Brea, 41, of Boston, agreed to plead guilty to one count of producing without lawful authority an identification document or a false identification document. In December 2017, Angel Miguel Beltre Tejada, 32, a Dominican national illegally residing in Jamaica Plain, was sentenced to two years in prison after pleading guilty to one count of aggravated identity theft. Tejada will be subject to deportation proceedings upon completion of any sentence imposed.
In October 2015, law enforcement received an anonymous letter alleging that a corrupt RMV employee was providing Massachusetts identifications and drivers’ licenses to individuals who were using false identifications. An investigation revealed that several Haymarket RMV clerks – Medina, Gracia, Jordan, and Brimage – were working with Brea and Tejada to fraudulently provide Massachusetts licenses and identification cards to illegal aliens for cash.
The scheme involved several steps. Tejada and Brea would obtain identification documents belonging to United States citizens in Puerto Rico and sell them to clients who were seeking legitimate identities in Massachusetts. These clients included illegal aliens, individuals who were previously deported, and an individual who admitted to previously facing drug charges. Tejada would receive several hundred dollars in cash each time he sold identification documents. Brea received up to $2,700 per identity for her role in the scheme, which included helping clients obtain the documents and facilitating their acquisition of Massachusetts identity documents.
Typically, Brea and the client brought the stolen identities to the Haymarket RMV, where Medina, Gracia, Jordan, and/or Brimage would accept hundreds of dollars in cash to illegally issue authentic RMV documents, including Massachusetts licenses and ID cards. The clerks also accepted bribes to use the RMV’s system to run queries, including Social Security number audits, to confirm that the identities the clients were stealing actually belonged to verifiable individuals.
On Jan. 17, 2018, Medina was sentenced to 15 months in prison and two years of supervised release.
United States Attorney Andrew E. Lelling; Michael Shea, Acting Special Agent in Charge of Homeland Security Investigations in Boston; William B. Gannon, Special Agent in Charge of the Boston Field Office of the U.S. Department of State’s Diplomatic Security Service; and Colonel Kerry A. Gilpin, Superintendent of the Massachusetts State Police, made the announcement. HSI’s Document and Benefit Fraud Task Force investigated the case. Assistant U.S. Attorney Eugenia M. Carris of Lelling’s Public Corruption & Special Prosecutions Unit is prosecuting the cases.
Former O'Fallon, Illinois Resident Indicted for Receipt of Child PornographyRead the Press Release
Christopher R. Buse, 42, of Staunton, Illinois, was indicted on January 17, 2018 on one count of receipt of child pornography, the United States Attorney for the Southern District of Illinois, Donald S. Boyce, announced today. The case is set for trial on March 27, 2018 in East St. Louis, Illinois. Buse was released on bond pending trial with special conditions that include home detention and electronic location monitoring.
The indictment alleges that on July 11, 2016, Buse knowingly received a video file that contained child pornography in violation of Title 18, United States Code, Section 2252A(a)(2)(B). If convicted, Buse faces a prison sentence of not less than five years and up to 20 years, a fine of up to $250,000, and up to three years supervised release.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc. For more information about internet safety education, please visit
www.usdoj.gov/psc and click on the tab "resources."
The prosecution is the result of an investigation by the Federal Bureau of Investigation’s Violent Crimes against Children Task Force, the United States Secret Service’s Springfield Electronic Crime Unit-Southern Illinois Cyber Group as well as the O’Fallon, Illinois Police Department. The United States Attorney’s Office for the Central District of Illinois and the Staunton, Illinois Police Department assisted in this investigation. The case is being prosecuted by Assistant United States Attorney James G. Piper, Jr.
An indictment is a formal charge against a defendant. Under the law, that charge is merely an accusation and the defendant is presumed innocent unless proven guilty.
Former Employee of Glendale’s City Attorney Sentenced to Federal Prison after Embezzling nearly $700,000 of City FundsRead the Press Release
LOS ANGELES – A former employee of the Glendale City Attorney’s Office has been sentenced to 15 months in federal prison after she admitted embezzling nearly $700,000 in a scheme that used false documents to make it appear the money was being used to pay civil claims against the city.
Cassandra Alexander, 53, who resides in the Winnetka district of Los Angeles, was sentenced Monday by United States District Judge George H. Wu.
Alexander pleaded guilty in October to one count of theft from an organization receiving federal funds and admitted that she embezzled money for more than 15 years.
Alexander was a claims and litigation support supervisor at the Glendale City Attorney’s Office, where she was responsible for assembling “Settlement Packets” that were used to resolve claims against Glendale for personal injury or property damage. Each Settlement Packet contained approval of the settlement by a member of the City Attorney’s Office and the City Council, as well as authorization for the city’s Finance Department to issue a check to the claimant. Alexander, who had unlimited authority to sign documents directing the Finance Department to issue checks, was responsible for picking up the checks and providing them to claimants’ attorneys.
Beginning in July 2001, and continuing through March 2017, Alexander created and submitted fraudulent Settlement Packets that caused the Finance Department to issue 30 checks to her family members and acquaintances, according to a plea agreement filed in this case. Alexander also created bogus settlement agreements and fake minutes of City Council meetings.
After the Finance Department prepared the checks, Alexander took possession of the checks and provided them to the payees, who cashed them and transferred the money to Alexander.
“For over 15 years, Alexander forged City documents, lied to her coworkers, and stole over $600,000 from the City, all while pretending to be a dedicated employee who earned the trust of her supervisors and rose through the ranks to a position of trust,” prosecutors wrote in a sentencing memorandum filed with the court. “She continuously exploited the trust that her supervisors and two successive City Attorneys placed in her.”
Alexander embezzled just over $692,000 from the city, which includes an uncashed check for $82,500 that was recovered from her residence. In addition to the prison term, which she will begin serving next month, Alexander was ordered to pay the city $609,764.84 in restitution.
This case was investigated by the Federal Bureau of Investigation, which received substantial assistance from the Glendale Police Department and the full cooperation of other city departments.
This case was prosecuted by Assistant United States Attorney Patricia A. Donahue of the Public Corruption and Civil Rights Section.
Former Department of Veterans Affairs Employee Pleads Guilty to Wire Fraud and BriberyRead the Press Release
A former Department of Veterans Affairs (VA) official pleaded guilty today to charges of wire fraud and bribery for orchestrating a scheme to steal more than $66,000 in benefit money from the VA for veterans in need.
Acting Assistant Attorney General John P. Cronan of the Justice Department’s Criminal Division made the announcement.
Russel M. Ware, 39, of Upper Marlboro, Maryland, pleaded guilty to one count of wire fraud and one count of bribery before U.S. District Judge Amit P. Mehta in the District of Columbia. Sentencing has been scheduled for May 8, before Judge Mehta.
According to the plea documents, between September 2013 and May 2014, Ware devised a scheme to steal more than $21,000 in VA disability benefit money by wiring payments in the names of legitimate VA beneficiaries to his own bank account. Between October 2014 and February 2015, Ware directed additional disability benefits totaling almost $46,000 to a friend, Jacqueline Crawford of Gulfport, Mississippi. Ware and Crawford were not entitled to receive the money.
Ware also admitted that, at his direction, Crawford then kicked back more than $13,000 to Ware, usually through the use of Walmart2Walmart money transfers. Crawford pleaded guilty in February 2017, to an information charging her with a single count of theft of government property related to the scheme, and is awaiting sentencing.
The Department of Veterans Affairs Office of Inspector General investigated the case. Trial Attorneys Richard B. Evans and Rebecca Moses of the Criminal Division’s Public Integrity Section are prosecuting the case.
Former Department of Energy Subcontractor Sentenced for Conspiring to Defraud DOE and IRSRead the Press Release
KNOXVILLE, Tenn.- On January 22, 2018, Joseph Anthony Armes, II, 38, of Petros, Tennessee, was sentenced by the Honorable Thomas W. Phillips, Senior U.S. District Judge, to serve 12 months and one day in prison for conspiring to defraud the U.S. Department of Energy (DOE) and the Internal Revenue Service (IRS). He will be also be supervised by the U.S. Probation Office for a period of three years following his release from prison.
Armes formerly operated Transportation, Operations, and Professional Services (TOPS) and several other businesses in east Tennessee. In April 2011, DOE awarded UCOR the prime contract for the clean-up of the former K-25 Plant, which was being developed as the East Tennessee Technology Park (ETTP) in Oak Ridge, Tennessee. UCOR awarded TOPS a $24 million subcontract for waste transportation services to the ETTP project in June 2011. The plea agreement for Armes, which is on file with U.S. District Court, detailed how he channeled payments to the son of UCOR’s President from TOPS and other businesses operated by Armes through an elaborate system of false invoices and cash payments from June 2011 through July 2013. TOPS had represented to DOE that it did not have an organizational conflict of interest with UCOR.
Armes also conspired with a tax preparer, Roger Beu, and others to submit false tax forms to the IRS to reduce federal taxes that he owed to the IRS for tax years 2007 through 2012. This resulted in a tax loss of over $1.4 million to the IRS. As part of the sentence, Judge Phillips ordered Armes to repay the IRS more than $2.3 million, which includes interest and penalties on the $1.4 million tax loss.
J. Douglas Overbey, U.S. Attorney for the Eastern District of Tennessee stated, “In addition to pursuing tax fraud, the U.S. Attorney’s Office is committed to enforcing federal laws aggressively to ensure compliance and transparency in federal government contracting and subcontracting.”
"Today's sentencing again emphasizes the IRS and U.S. Attorney’s Office will continue their aggressive pursuit of those who use fraudulent methods in an attempt to corrupt our nation's tax system." said Christopher Altemus, Acting Special Agent in Charge of the IRS-Criminal Investigation Nashville Field Office. “Everyone has a responsibility for filing correct and accurate tax returns, and this sentence should send a clear message: schemes to evade the payment of taxes are a violation of the federal tax laws and the consequences of such schemes can and will result in jail time.”
The investigation was conducted by IRS-Criminal Investigation, U.S. Department of Energy’s Office of Inspector General, and Federal Bureau of Investigation. Assistant U.S. Attorney Matthew Morris represented the United States.
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Former Breaux Bridge police officer pleads guilty to receiving child pornographyRead the Press Release
LAFAYETTE, La. – United States Attorney Alexander C. Van Hook announced today that a former Breaux Bridge Police officer pleaded guilty to receiving sexually explicit images.
Craig David Jr., 29, of Breaux Bridge, La. pleaded guilty before U.S. Magistrate Judge Patrick Hanna to one count of receiving child pornography. The plea will become final when accepted by U.S. District Judge S. Maurice Hicks. According to the guilty plea, David received child pornography starting in January 2017 using an electronic device.
David faces up to 20 years in prison, a lifetime of supervised release and a $250,000 fine.
This case is part of Project Safe Childhood, a U.S. Department of Justice nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood combines federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
Those concerned may also leave tips with the FBI at tips.fbi.gov. Tips may be submitted anonymously. The Lafayette FBI office number is (337) 233-2164.
The FBI and Louisiana State Police conducted the investigation. Assistant U.S. Attorney Robert C. Abendroth is prosecuting the case.
Florence Man Pleads to Federal Firearm ChargeRead the Press Release
Columbia, South Carolina ---- United States Attorney Beth Drake stated that Jackie Tyrell Kennedy, age 24, of Florence, plead guilty today in federal court to being a felon in possession of a firearm and ammunition, in violation of Title 18, United States Code, Sections 922(g)(1) and 924(a)(2). Chief United States District Judge Terry L. Wooten, of Columbia, accepted the guilty plea and will impose sentence after he has reviewed the presentence report, which will be prepared by the U.S. Probation Office.
Evidence presented in court established on October 13, 2017, agents of the Federal Bureau of Investigation, along with officers and deputies from the Columbia Police Department, the Richland County Sheriff’s Department and the Lexington County Sheriff’s Department executed a sting operation as part of “Operation Cross County,” targeting human sex trafficking. While investigating sex trafficking at a Columbia motel, agents encountered Kennedy, who fled on foot and dropped a Cobra .380 caliber handgun along the way. Agents were able to locate the firearm and also additional ammunition, which belonged to Kennedy.
Kennedy is prohibited under federal law from possessing firearms and ammunition based upon his August 2017 Virginia conviction for possession of ecstasy.
Kennedy faces a maximum of 10 years imprisonment, a fine of $250,000, and 3 years of supervised release on the felon in possession of a firearm and ammunition charge.
The case was investigated by the Federal Bureau of Investigation (FBI), the Columbia Police Department, the Richland County Sheriff’s Department, and the Lexington County Sheriff’s Department and was prosecuted as part of the joint federal, state and local Project CeaseFire initiative, which aggressively prosecutes firearm cases. Assistant United States Attorney Stacey D. Haynes of the Columbia office handled the case.
Project Ceasefire is South Carolina’s continued application of Project Safe Neighborhoods (PSN), a program that has been historically successful in bringing together all levels of law enforcement to reduce violent crime and make our neighborhoods safer for everyone. Attorney General Jeff Sessions has made turning the tide of rising violent crime in America a top priority. In October 2017, as part of a series of actions to address this crime trend, Attorney General Sessions announced the reinvigoration of PSN and directed all U.S. Attorney’s Offices to develop a district crime reduction strategy that incorporates the lessons learned since PSN launched in 2001.
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Federal Jury Convicts Cumberland County Men of Drug and Money Laundering OffensesRead the Press Release
ELIZABETH CITY – The United States Attorney for the Eastern District of North Carolina, Robert J. Higdon, Jr., announced that on Saturday, January 20, 2018, LEMONT JERRONE WEBB, a Godwin, NC resident, and HARRY MYLES, SR., a Dunn, NC resident, were convicted following a four-day jury trial before United States District Judge Terrence W. Boyle. The jury found WEBB guilty of drug conspiracy, money laundering conspiracy, possession with intent to distribute cocaine base (crack), and several money laundering offenses. MYLES was found guilty of money laundering offenses.
The evidence at trial showed that WEBB operated a drug house in Godwin, NC, and placed property in the name of others to conceal the assets from law enforcement. On June 5, 2015, law enforcement conducted a federal search warrant at WEBB’s residence in Godwin, NC and located over 28 grams of crack cocaine. The jury found that during the course of the drug conspiracy, over five (5) kilograms of cocaine and over two-hundred and eighty (280) grams of cocaine base (crack), were attributable to WEBB.
The investigation of this case was conducted by the Cumberland County Sheriff’s Office, the Drug Enforcement Administration (DEA), and the Internal Revenue Service – Criminal Investigations. Assistant United States Attorney Lawrence J. Cameron represented the government in this case.
Federal Inmate Sentenced for Drug and Weapon PossessionRead the Press Release
CONCORD, N.H. – Acting United States Attorney John J. Farley announced today that Rahshim Carter, an inmate at the federal prison in Berlin, New Hampshire, was sentenced yesterday to 18 months after pleading guilty to possessing Suboxone and a homemade weapon known as a shank. The sentence will run consecutive to his current sentence for being a felon in possession of a weapon.
Pleadings filed with the court and statements made at the sentencing hearing established that staff at FCI-Berlin were conducting a health and sanitation check at the prison on November 24, 2016. When they opened Carter’s cell, the staff smelled smoke. Carter exited his cell and immediately tried to evade the prison staff by running around the second tier of the unit and jumping to the first tier. Prison staff eventually subdued Carter and a search found the homemade weapon and a quantity of Suboxone, which is a controlled substance.
The case was investigated by the staff at the Bureau of Prisons, FCI-Berlin. Assistant United States Attorney Donald Feith prosecuted the case.
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FBI Releases Preliminary 2017 Data on Crime in the United StatesRead the Press Release
The Federal Bureau of Investigation today released the 2017 Preliminary Semiannual Uniform Crime Report, a part of the FBI’s Uniform Crime Reports (UCR). The report, which covers January-June 2017, suggests that the violent crime increases that occurred in 2015 and 2016 may have begun to level off. The number of violent crimes decreased by 0.8 percent nationwide in the first half of 2017 when compared with the same period in 2016. The nationwide violent crime rate (the number of violent crimes per 100,000 people in the U.S.) increased by a total of nearly 7 percent during 2015 and 2016, (3.3 percent and 3.4 percent, respectively), the largest two increases in a quarter of a century.
“When President Trump took office, he ordered the Department of Justice to prioritize the reduction of violent crime, and that is what we have done every day since,” Attorney General Jeff Sessions said. “Last year, we charged more defendants with violent crime offenses than in any year in decades. We convicted hundreds of human traffickers, arrested thousands of violent gang members, and charged hundreds of people suspected of contributing to our opioid abuse epidemic. Working with our state, local, and tribal law enforcement partners, we are making a difference and protecting our communities. These data are encouraging, because it is essential that drastic increases in violent crime not become the new normal. We are dedicated to ensuring they do not.”
The data released by the FBI today also show that murders increased by 1.5 percent nationwide during the first six months of 2017, compared with the same period in 2016. This suggests a significant leveling off of the previous increase. In the first half of 2016, murders increased by 5.2 percent. Other categories of violent crime, including rape, robbery, and aggravated assault, all decreased in the first half of 2017 (by 2.4 percent, 2.2 percent, and 0.1 percent, respectively). All three categories increased during the same period in 2016. The FBI’s 2017 Preliminary Semiannual Uniform Crime Report is based on information received by the FBI from 13,033 law enforcement agencies nationwide.Elderly Florida Man Charged with Armed Bank RobberyRead the Press Release
TUCSON, Ariz. – Robert Francis Krebs, 75, of Daytona Beach, FL., was arrested on Jan. 13, 2018 and subsequently charged by complaint with bank robbery with the use of a dangerous weapon.
The complaint alleges that Krebs executed a bank robbery at Pyramid Federal Credit Union in Tucson, Ariz. Krebs approached the teller counter and orally demanded from two bank tellers all of their money and not to use any alarms. He placed a black handgun, later identified as a BB gun, on top of a small black bag with the handgun pointed at the bank tellers’ torso. The tellers gave Krebs money (including bait money) totaling over $8000. Bank tellers described the robber as wearing large brown-rimmed reading glasses and wearing a sport coat. The Tucson Police Department received information the following day of the location of a man who fit the description of the robber, and Krebs was subsequently arrested. A subsequent search of Krebs’ hotel room resulted in the recovery of bait money and a black BB gun, similar to the one used in the bank robbery.
At the initial appearance/detention hearing held today, the court ordered that Krebs remain detained in custody
A conviction for bank robbery with the use of a dangerous weapon carries a maximum penalty of 25 years of imprisonment and a $250,000 fine.
A criminal complaint is simply the 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 in this case was conducted by the Tucson Police Department and the Federal Bureau of Investigation. The prosecution is being handled by Raquel Arellano, Assistant U.S. Attorney, District of Arizona, Tucson.
CASE NUMBER: Mag#-18-MJ-02822M
RELEASE NUMBER: 2018-005_Krebs
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For more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az
Follow the U.S. Attorney’s Office, District of Arizona, on Twitter @USAO_AZ for the latest news.
El Salvador man indicted on reentry of a removed alien chargeRead the Press Release
MARTINSBURG, WEST VIRGINIA – An El Salvador man was indicted today by a federal grand jury on a reentry of a remove alien charge, United States Attorney Bill Powell announced.
Norman Enrique Rodriguez, age 37, was indicted on one count of “Reentry of a Removed Alien.” Rodriguez, having been removed as an illegal alien from the United States in 2011, is accused of being in Jefferson County, West Virginia on January 12, 2018.
Assistant U.S. Attorney Lara K. Omps-Botteicher is prosecuting the case on behalf of the government. The case was investigated by the Department of Homeland Security, Immigration and Customs Enforcement.
An indictment is merely an accusation. A defendant is presumed innocent unless and until proven guilty.El Departamento de Justicia Resuelve una Denuncia de Discriminación Relacionada con la Inmigración contra una Empresa de OhioRead the Press Release
WASHINGTON, D.C. – El Departamento de Justicia anunció hoy que ha llegado a un acuerdo con Omnicare, Inc. («Omnicare»), una empresa filial de propiedad total de CVS Health Corporation que brinda servicios de farmacia para cuidados a largo plazo en Ohio. El acuerdo resuelve la investigación del Departamento para determinar si la empresa había vulnerado la disposición antidiscriminatoria de la ley de Inmigración y Nacionalidad (INA, por sus siglas en inglés).
La investigación del Departamento, la cual se inició como respuesta a una denuncia de un trabajador, reveló que Omnicare había discriminado a un postulante con autorización para trabajar por motivos de su estatus de ciudadanía al negarse a referirlo al director de contratación para una entrevista porque no era residente permanente o ciudadano de los EE. UU. y al eliminarlo del grupo de candidatos debido a su estatus como asilado. La disposición antidiscriminatoria de la INA prohíbe que los empleadores discriminen a asilados por motivos de su estatus migratorio o de ciudadanía, a no ser que cuenten con la autorización de la ley para hacerlo.
Conforme con el acuerdo, Omnicare pagará la sanción civil máxima para un caso de discriminación por motivos de estatus de ciudadanía, publicará notificaciones para informar a los trabajadores acerca de sus derechos al amparo de la disposición antidiscriminatoria de la INA, capacitará a su personal y contratistas y se someterá a los requisitos de supervisión y declaración del Departamento durante un período de dos años.
«Los empleadores deben asegurar que todos los empleados y contratistas que seleccionen a sus postulantes hayan sido capacitados adecuadamente para evitar que rechacen de manera incorrecta a postulantes autorizados a trabajar por motivos de un estatus migratorio o de ciudadanía protegido», declaró el Fiscal General Adjunto en funciones, John M. Gore, de la División de Derechos Civiles.
La Sección de Derechos de Inmigrantes y Empleados (IER, por sus siglas en inglés), que anteriormente se conocía como la Oficina del Consejero Especial para Prácticas Injustas en el Empleo Relacionadas a Inmigración, que pertenece a la División, es responsable de aplicar la disposición antidiscriminatoria de la INA. Entre otras cosas, esta ley prohíbe la discriminación por motivos de estatus migratorio, ciudadanía o nacionalidad de origen en los procesos de contratación, despido o reclutamiento o recomendación por comisión; la discriminación en el proceso de verificación de la elegibilidad para trabajar; las represalias y la intimidación.
Para más información sobre protecciones contra la discriminación en el empleo en virtud de las leyes migratorias, llame a la línea directa de la IER para trabajadores al 1‑800‑255-7688 (1‑800-237-2515, TTY para personas con discapacidades auditivas); llame a la línea directa de la IER para empleadores al 1-800-255-8155 (1-800-237-2515, TTY para personas con discapacidades auditivas); matricúlese para un seminario en línea gratuito; mande un correo electrónico a [email protected] o visite la página web de la IER en inglés o español.
Aquellos postulantes o empleados que creen haber sido sometidos a otros requisitos documentales por motivos de su estatus migratorio, ciudadanía o nacionalidad de origen, o a la discriminación por motivos de su estatus migratorio, ciudadanía o nacionalidad de origen en los procesos de contratación, despido o reclutamiento o recomendación por comisión deben llamar a la línea directa de la IER para trabajadores para pedir ayuda.
Dona Ana County Man Arraigned on Federal Child Pornography ChargesRead the Press Release
ALBUQUERQUE – A federal grand jury has filed an indictment charging Juan Martin Rosales, 48, of Chaparral, N.M., with child pornography offenses, announced by Acting U.S. Attorney James D. Tierney, Acting Special Agent in Charge Jack P. Staton of Homeland Security Investigations (HSI) in El Paso, Sheriff Enrique Vigil of the Dona Ana County Sheriff’s Office, Chief Patrick Gallagher of the Las Cruces Police Department and Sheriff Benny House of the Otero County Sheriff’s Office.
The 18-count indictment charges Rosales with 15 counts of producing child pornography and three counts of possessing child pornography. The indictment alleges that Rosales produced child pornography four times on Sept 28, 2016, and 11 times on Sept. 30, 2016. The indictment further alleges that on Oct. 16, 2017, Rosales possessed child pornography on two micro SD cards and a smartphone. According to the indictment, Rosales committed the crimes in Otero County, N.M.
Rosales was arraigned on the indictment in federal court in Las Cruces, N.M., yesterday and entered a not guilty plea. Rosales has been detained since Oct. 2017, when he was arrested on a criminal complaint. He remains in federal custody pending trial, which has not yet been scheduled.
The criminal complaint filed against Rosales in Oct. 2017, charged him with child exploitation and child pornography offenses, and alleged that Rosales sexually exploited children and received and possessed child pornography from Oct. 2015 through Oct 16, 2017, in Dona Ana County, N.M. According to the complaint, the investigation into Rosales was initiated in April 2017, when Rosales’ neighbors went to the Dona Ana County Sheriff’s Office to report that Rosales allegedly possessed a tablet computer containing child pornography. The complaint further alleged that Rosales used a cellular phone to take photographs of children engaged in sexually explicit conduct. During the execution of a search warrant on Oct. 16, 2017, law enforcement agents allegedly recovered numerous SD cards, cellular phones, a tablet computer and other electronic devices from Rosales’ home, which allegedly contained child pornography.
If convicted of producing child pornography, Rosales faces a statutory mandatory minimum penalty of 15 years and a maximum of 30 years in federal prison. If convicted of possessing child pornography, Rosales faces a maximum penalty of 20 years in federal prison. Charges in criminal complaints and indictments are merely accusations and defendants are presumed innocent unless found guilty in a court of law.
This case was investigated by the Las Cruces office of Homeland Security Investigations, the Dona Ana County Sheriff’s Office, Las Cruces Police Department and the Otero County Sheriff’s Office. Assistant U.S. Attorney Alexander B. Shapiro of the U.S. Attorney’s Las Cruces Branch Office is prosecuting the case as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice (DOJ) to combat the growing epidemic of child sexual exploitation and abuse. Led by United States Attorneys’ Offices and DOJ’s Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit http://www.justice.gov/psc/. Individuals with information relating to suspected child predators and suspected child abuse are encouraged to contact the Children’s Advocacy Center tipline at (575) 526-3437.