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27 February 2018
Four Latin Dragon Nation Members Indicted for Rico Conspiracy Involving Two Murders and Other Shootings in Northwest Indiana and Chicago AreaRead the Press Release
WASHINTON – An indictment was unsealed today against four alleged gang members of Chicago’s criminal street gang, Latin Dragon Nation, for RICO conspiracy and related charges, including two murders.
Acting Assistant Attorney General John P. Cronan of the Justice Department’s Criminal Division and U.S. Attorney Thomas L. Kirsch II for the Northern District of Indiana made the announcement.
According to the indictment, Manuel Diaz, 26, of Hammond, Indiana; Eduardo Diaz-Corral, 20, of Calumet City, Illinois; Ralph Mendez Jr., 22, of Hammond, Indiana; and Joseph Roggenkamp, 20, of East Chicago, Indiana, are alleged to be members of the Latin Dragon Nation. Both Diaz-Corral and Mendez Jr. had their initial court appearances on Feb. 27 and were ordered detained pending detention hearings before U.S. Magistrate Judge John E. Martin on March 2, 2018 at 11:00 a.m. CT. Manual Diaz is scheduled to have his initial appearance on Feb. 28 at 11:00 a.m. CT, before Magistrate Judge Martin.
“Though the Latin Dragon Nation is believed to have originated in Chicago, the indictment unsealed today alleges that the street gang has exported its especially violent brand of criminal conduct to Northern Indiana,” said Acting Assistant Attorney General Cronan. “The Department of Justice and our law enforcement partners are committed to stopping the expansion of violent criminal enterprises like the Latin Dragon Nation, and holding accountable those who terrorize our communities through violence.”
“Street gangs are terrorizing our neighborhoods with senseless violence that effects the daily lives of ordinary, law-abiding citizens,” said U.S. Attorney Kirsch. “As this indictment makes clear, gang activity does not stop at the state line, and neither do our investigations and prosecutions. My office, and the federal, state and local law enforcement agencies with whom we work, will fight tirelessly to combat the senseless violence that results from gang activity. We will never tolerate gang violence and will do everything possible to deter and defeat it.”
The indictment alleges that Diaz, Diaz-Corral, Mendez, and Roggenkamp participated in a criminal enterprise that resulted in the murders of Paul Cruz on Nov. 20, 2016, and Charles Berrios on Sept. 30, 2016, both of whom the defendants believed were members or associates of a rival gang. In addition, according to the indictment the defendants participated in other shootings for the purpose of furthering the goals of the Latin Dragon Nation.
According to the indictment, the Latin Dragon Nation is a street gang that originated in Chicago and spread to other areas, including the Northern District of Indiana. Members and associates of the Latin Dragon Nation allegedly engaged in acts of violence, including murder, attempted murder, battery, aggravated battery, and aggravated assault, witness intimidation, as well as narcotics distribution and other criminal activities.
The FBI, Bureau of Alcohol, Tobacco, Firearms and Explosives, the Hammond Police Department, the East Chicago Police Department, along with the Chicago and Calumet City, Illinois Police, are investigating the case. The case is being prosecuted by Trial Attorney Joseph A. Cooley of the Criminal Division’s Organized Crime and Gang Section and Assistant U.S. Attorneys David J. Nozick and Dean Lanter of the Northern District of Indiana.
An indictment or superseding indictment merely contains allegations, and the defendants are presumed innocent unless proven guilty in a court of law.
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18-248
Fort Wayne Man Sentenced to 180 Months ImprisonmentRead the Press Release
FORT WAYNE – Tyrone M. Wright, 41, of Fort Wayne, Indiana, was sentenced before Chief Judge Theresa L. Springmann on his plea of guilty to being a convicted felon in possession of a firearm, announced U.S. Attorney Thomas L. Kirsch II.
Wright was sentenced to 180 months imprisonment and 2 years of supervised release.
According to documents in this case, on March 25, 2015, Wright possessed a firearm after prior felony offenses. Wright was convicted of serious drug offenses or violent felonies in Allen County Superior Court on or about September 24, 2007, and January 3, 2001 and St. Joseph County Superior Court on February 10, 1994. These three felonies qualify him for Armed Career Criminal status with a mandatory minimum sentence of 15 years in prison
This case was investigated by the Bureau of Alcohol Tobacco Firearms and Explosives, the Fort Wayne Police Department and FWPD Vice and Narcotics Division. This case was prosecuted by Assistant U.S. Attorneys Tina L. Nommay and David E. Hollar.
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Former President of Houston-Based Drug Company Convicted in $50 Million Drug Diversion SchemeRead the Press Release
Jerrod Nichols Smith, 48, of Houston, Texas, the former president of Houston-based pharmaceutical company, Cumberland Distribution, Inc. (“Cumberland”), was convicted yesterday by a federal jury in Nashville of conspiracy, 15 counts of mail fraud and one count of making false statements to the U.S. Food and Drug Administration (FDA), announced Donald Q. Cochran, U.S. Attorney for the Middle District of Tennessee.
The charges stemmed from an indictment in January 2013, alleging a 32-month, $50-million-dollar drug diversion scheme. The convictions came after a five-day trial before visiting United States District Judge Billy Wilson. Smith’s co-defendants, Charles Jeffrey Edwards, 56, and Brenda Elise Edwards, 47, both of Houston, previously pleaded guilty to related charges and will be sentenced at a later date.
The evidence at trial established that, from December 2006 through August 2009, Smith and Jeff Edwards purchased millions of dollars of prescription drugs from unlicensed suppliers who had previously purchased the drugs from patients in and around New York and Miami. In most instances, Smith had these drugs shipped to Cumberland’s Nashville warehouse where they were cleaned, sorted, re-packaged, and shipped to independent pharmacies around the country. Generally, the diverted drugs included drugs used to combat HIV/AIDS; antipsychotic medications; anti-depressants; blood pressure medications; diabetes medications and others.
Smith and Jeff Edwards also had drugs shipped from their unlicensed suppliers to shell companies in Louisiana and Arkansas. Although these companies were licensed to sell drugs, Smith and Jeff Edwards used them as pass-through companies to create the appearance that Cumberland was purchasing drugs from licensed suppliers, when, in fact, Cumberland was purchasing diverted drugs from un-licensed suppliers in New York and Miami. The drugs arriving at Smith’s shell companies were forwarded to Cumberland’s Nashville warehouse and re-sold to independent pharmacies.
In order to conceal the drugs’ true origins, Smith and his co-conspirators provided false documentation to Cumberland’s pharmacy customers.
Numerous pharmacies reported problems with drugs they purchased from Cumberland, including prescription drug bottles containing the wrong medicine; the wrong dosage information; and foreign objects inside. At trial, several witnesses testified that at least one bottle of prescription drugs sold by Cumberland contained tic tacs instead of medicine.
On May 14, 2009, the FDA executed a federal search warrant at Cumberland’s Nashville warehouse. Thereafter, in order to evade authorities, Smith and his co-conspirators rented another warehouse, utilized freight forwarding companies to receive drug shipments, set up private email accounts, purchased burner phones and hired a private pilot to fly drugs to Nashville. Their scheme resulted in gross proceeds of over $50 million.
Smith faces up to 20 years in prison and a $250,000 fine for each count of mail fraud. He also faces up to five years in prison and a $250,000 fine for his conspiracy and false statements convictions when he is sentenced later this year.
This case was investigated by the United States Food and Drug Administration Office of Criminal Investigation. It is being prosecuted by Assistant United States Attorneys Henry C. Leventis and Stephanie N. Toussaint.
Former Postal Employee Pleads Guilty to Child Pornography Charges and to Sexually Exploiting a ChildRead the Press Release
BOSTON – A former United States Postal Service (USPS) employee pleaded guilty today in federal court in Worcester to sexually exploiting a child, using USPS computers to access child pornography, and to possessing child pornography.
Stephen Mantha, 62, of Spencer, pleaded guilty to one count of producing child pornography, one count of accessing child pornography, and one count of possession of child pornography. U.S. District Court Judge Timothy S. Hillman scheduled sentencing for May 24, 2018.
In the summer of 2015, investigators from the USPS Office of Inspector General (OIG) were alerted to suspicious internet searches being conducted on a computer at a Shrewsbury postal facility where Mantha worked as an electronic technician. In August of 2015, agents installed a computer activity recorder, which tracked all computer usage on that computer terminal. Agents were then able to track and record searches, which revealed that Mantha’s search results included images of child pornography. Later, a video camera was installed, and between January and May 2016, agents both recorded and personally observed numerous occasions when Mantha used the USPS computer to conduct searches for, and then view, nude children, partially nude children and child pornography.
On Sept. 21, 2016, a search warrant was executed at Mantha’s residence where numerous thumb drives containing child pornography were recovered. During the review of the materials seized from Mantha’s home, a video was discovered, which had been recorded in approximately 2000 or 2001, depicting Mantha sexually assaulting an approximately seven-year-old boy. That same month, federal agents were able to locate and interview the boy (now an adult), who confirmed the sexual abuse.
In 2000 and 2001, the date of the offense, the charge of sexual exploitation of a child provided for a mandatory minimum of 10 years and no greater than 20 years in prison, three years of supervised release and a fine of $250,000. Although existing penalties for producing child pornography are substantially higher, the Constitution prohibits the government from subjecting individuals to more stringent penalties adopted after their crimes had been committed. The charges of accessing child pornography and possession of child pornography provide for a sentence of up to 20 years in prison, a minimum of five years and up to a lifetime of supervised release, and a fine of $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Andrew E. Lelling; Eileen Neff, Special Agent in Charge of the United States Postal Service, Office of the Inspector General, Northeast Area Office; Harold H. Shaw, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; Michael Shea, Acting Special Agent in Charge of Homeland Security Investigations in Boston; Colonel Kerry A. Gilpin, Superintendent of the Massachusetts State Police; Spencer Police Chief David Darrin; and Shrewsbury Police Chief James Hester Jr. made the announcement today. Assistant U.S. Attorney Mark Grady of Lelling’s Worcester Branch Office is prosecuting the case.
The case was brought as part of Project Safe Childhood. In 2006, the Department of Justice created Project Safe Childhood, a nationwide initiative designed to protect children from exploitation and abuse. Led by the U.S. Attorneys’ Offices and the DOJ’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to locate, apprehend, and prosecute individuals who exploit children, as well as identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov/.
Former Des Moines Pharmacy Technician Pleads Guilty to Illegally Tampering with FentanylRead the Press Release
DES MOINES, Iowa – A former pharmacy technician pled guilty today in U.S. District Court to tampering with fentanyl by using a syringe to replace the painkiller with another solution.
According to the plea agreement, between September 7, 2016 and October 2, 2016, Victor Van Cleave was employed as a pharmacy technician at Iowa Methodist Hospital in Des Moines, Iowa. During that time, Van Cleave had access to fentanyl - a Schedule II controlled substance - that was stored at the hospital for administration to hospital patients. While employed as described above, Van Cleave tampered with the hospital’s fentanyl and fentanyl vials. In particular, Van Cleave inserted a syringe into multiple fentanyl vials, removed the fentanyl with that syringe, and injected the fentanyl into himself. Using a different syringe, Van Cleave then replaced the fentanyl he had removed from the vials with a different fluid. Van Cleave then placed the tampered vials back into storage at the hospital.
The guilty plea was announced by Marc Krickbaum, United States Attorney for the Southern District of Iowa. The case was investigation by the U.S. Drug Enforcement Administration and U.S. Food and Drug Administration, Office of Criminal Investigations. The case is being prosecuted by Assistant U.S. Attorney Bradley D. Price.
Van Cleave, 29, is scheduled to be sentenced before Chief United States District Judge John A. Jarvey on July 10, 2018, at 1:30 pm.
Former Army Contractor Indicted for "No Show" Job Involving Contract at Aberdeen Proving GroundRead the Press Release
FOR IMMEDIATE RELEASE Contact ELIZABETH MORSE
www.justice.gov/usao/md at (410) 209-4885
Baltimore, Maryland –A federal grand jury has indicted Eric D. Price, age 58, of Fayetteville, North Carolina for conspiracy to defraud the United States and wire fraud charges related to payments to him for a "no show" job on a sub-contract under contracts awarded by the U.S. Army Communications-Electronics Command headquartered at Aberdeen Proving Ground (APG), in Harford County, Maryland.
The indictment was announced by Acting United States Attorney for the District of Maryland Stephen M. Schenning; Special Agent in Charge Robert E. Craig, Jr. of the Defense Criminal Investigative Service - Mid-Atlantic Field Office; Special Agent in Charge L. Scott Moreland, Mid-Atlantic Fraud Field Office, Major Procurement Fraud Unit, U.S. Army Criminal Investigation Command; and Special Agent in Charge Gordon B. Johnson of the Federal Bureau of Investigation, Baltimore Field Office.
According to the seven-count indictment, in March 2006, the U.S. Army Contracting Command at APG awarded a 10-year, $19.2 billion contract to seven prime contractors to provide technology services to support the integrated engineering, business operations, and logistics needs for the Army. Task Orders 11, 77 and 115 were placed against this contract. John Kays had a leadership position as a civilian employee of the Army related to these task orders.
Matthew Barrow was the President and owner of MJ-6, LLC, a company which he and his wife formed in Ohio in 2008 to obtain military subcontracts. John Kays steered business on Task Orders 77, 11, and 115 to MJ-6.
According to the indictment, Kays and Barrow agreed that Price would be added to the MJ-6 payroll. Price's job was purportedly to directly support Kays. Price purportedly worked remotely at Fayetteville, North Carolina while Kays worked at APG. From February 2010 thru February 2012, Price allegedly fraudulently received more than $100,000 in salary payments for a "no show" job at MJ-6 for which MJ-6 billed over $400,000 to the prime contractor, which was passed through to the United States Army. Kays certified and approved MJ-6's work, including Price's "no show" job. To facilitate the “no show” job, Price allegedly submitted false and fictitious status reports and invoices through MJ-6 to the prime contractor.
Price faces a maximum sentence of 5 years in prison for the conspiracy; and 20 years in prison for each wire fraud count. An initial appearance has not yet been scheduled.
An indictment is not a finding of guilt. An individual charged by indictment is presumed innocent unless and until proven guilty at some later criminal proceedings.
In connection with a larger bribery scheme involving John Kays and Barrow, Barrow pleaded guilty to paying John Kays and his wife Danielle Kays, also a government official, bribes of approximately $800,000, including $500,000 in cash. John Kays pleaded guilty to receiving bribes of approximately $800,000 from Barrow. John Kays' sentencing proceeding is scheduled for April 3, 2018, at 9 am before Judge Catherine C. Blake. Barrow's sentencing is set for April 20, 2018, at 2 pm before Judge George L. Russell, III. Danielle Kays is presently serving an 18 month sentence; she pleaded guilty to conspiracy to defraud the United States and bribery. John Kays, Danielle Kays, and Matthew Barrow all graduated from West Point where they were classmates.
The National Procurement Fraud Task Force was formed in October 2006 to promote the early detection, identification, prevention and prosecution of procurement fraud associated with the increase in government contracting activity for national security and other government programs. The Procurement Fraud Task Force includes the United States Attorneys’ Offices, the FBI, the U.S. Inspectors General community and a number of other federal law enforcement agencies. This case, as well as other cases brought by members of the Task Force, demonstrates the Department of Justice’s commitment to helping ensure the integrity of the government procurement process.
Acting United States Attorney Stephen M. Schenning commended the DCIS, Army Criminal Investigation Command, and FBI for their work in the investigation. Mr. Schenning thanked Assistant U.S. Attorneys Joyce K. McDonald and Harry M. Gruber, who are prosecuting the case.
Edmond Woman Sentenced to 37 Months in Prison for Embezzling over $450,000 and Filing a False Tax ReturnRead the Press Release
OKLAHOMA CITY – Kay Ann Locke, of Edmond, Oklahoma, has been sentenced to 37 months in federal prison for stealing nearly half a million dollars from her employer and filing a false federal tax return, announced Robert J. Troester, Acting United States Attorney for the Western District of Oklahoma.
According to charges filed on June 14, 2017, Locke worked as a bookkeeper at Delta Promotions Team Corporation in Oklahoma City from 2005 until April 2016. In 2011, she was instructed to close a company credit card. She kept the credit card open, however, and used it and another company credit card for personal purchases and cash advances totaling approximately $454,824.69. She then committed wire fraud by using company funds to pay these credit card bills.
Locke was also charged with filing a false 2015 personal federal income tax return. That return reported less than $30,000 of total income. She knew when she signed the return that her income was substantially higher based on the money she had embezzled from her employer.
Locke pleaded guilty to both charges on July 27, 2017.
Today U.S. District Judge David L. Russell sentenced Locke to 37 months in prison, to be followed by three years of supervised release. The court also ordered her to pay $552,667.64 in restitution, which will be paid first to her former employer and then to the IRS.
This case is the result of an investigation by the Oklahoma City Economic and Identity Crimes Task Force, which includes the United States Secret Service, the FBI, IRS–Criminal Investigations, Homeland Security Investigations, the U.S. Postal Inspection Service, the Oklahoma Highway Patrol, the Oklahoma City Police Department, the Edmond Police Department, the Moore Police Department, and the Norman Police Department. Assistant U.S. Attorney Chris M. Stephens prosecuted the case.
East Bay Cocaine Trafficker Sentenced to More Than Seven Years in PrisonRead the Press Release
OAKLAND – Antonio Avila was sentenced today to seven years and three months in prison for his role in a conspiracy to distribute and possess with intent to distribute cocaine announced Acting United States Attorney Alex G. Tse and U.S. Immigration and Customs Enforcement’s Homeland Security Investigations (HSI) Special Agent in Charge Ryan L. Spradlin. The sentence was handed down by the Honorable Jeffrey S. White, U.S. District Judge.
Avila, 37, of Oakland, pleaded guilty on September 13, 2017. As part of this plea agreement, Avila admitted that on March 31, 2017, he delivered approximately two kilograms of cocaine to an undercover law enforcement officer as part of a previously arranged cocaine deal. Avila drove in a Honda Accord to a pre-arranged location with his co-defendant, Enrique Diaz Santiago, 42, of Oakland, sitting next to him in the front passenger’s seat of the car. Avila brought two kilograms of cocaine, which was stored inside a backpack in the backseat of the car. When Avila and Santiago arrived at the location for the deal, the undercover officer approached the defendants and asked them for the cocaine. Avila asked the undercover officer if he had the money. Shortly thereafter, law enforcement authorities arrested Avila and Santiago, and seized the two kilograms of cocaine from the backpack in the rear of the car.
In a subsequent search of Avila’s apartment, the following items were found: a .380 caliber semi-automatic Ruger handgun, a box of .380 caliber ammunition containing approximately 44 round, approximately one kilogram of cocaine, a digital scale with white residue on it, eight plastic baggies containing a total of 218 grams of methamphetamine, and a money counter. As part of his plea agreement, Avila has acknowledged that all the items belonged to him.
On June 15, 2017, a federal grand jury indicted Avila and Santiago. Both defendants were charged with two counts: (1) conspiracy to distribute and possess with intent to distribute 500 grams or more of cocaine, in violation of 21 U.S.C. §§ 846 and 841(a)(1)(B), and (2) possession with intent to distribute 500 grams or more of cocaine, in violation of 21 U.S.C. §§ 841(a)(1) and 841(b)(1)(B). Both defendants pleaded guilty to the conspiracy count and the substantive possession count was dismissed.
In addition to the prison term, Judge White sentenced Avila to a four-year period of supervised release.
For his role in the scheme, Santiago pleaded guilty to the conspiracy count on September 13, 2017. On January 23, 2017, the Judge White sentenced Santiago to five years in prison and a four-year term of supervised release. Both Avila and Santiago have been in custody since their arrests on March 31, 2017.
Assistant U.S. Attorney Christiaan Highsmith is prosecuting the case with the assistance of Theresa Benitez. The prosecution is the result of an investigation by HSI, the Alameda County Narcotics Task Force, and the California Highway Patrol.
Duo Charged with Conspiracy to Commit Health Care Fraud and Conspiracy to Solicit and Pay KickbacksRead the Press Release
John Montgomery, 58, of Exton, PA and Alfredo Lopez, M.D., 47, of Indianapolis, Indiana, were indicted on charges of Conspiracy to Commit Health Care Fraud and Conspiracy to Solicit and Pay Kickbacks, announced United States Attorney Louis D. Lappen. As alleged in the indictment, the defendants contracted with primary care physicians, chiropractors and podiatrists across the United States to provide nerve conduction testing in the provider’s office. Defendants Montgomery and Lopez offered the providers financial incentives to induce them to order nerve conduction tests for patients in their practice, which the defendants provided, and for which they obtained payments from Medicare. According to the indictment, from January 2006 through January 2013, the defendants caused the submission of least approximately $4.1 million of fraudulent claims to Medicare for nerve conduction tests that did not meet Medicare’s coverage criteria and established standards of care for such testing. The defendants are alleged to have caused Medicare to incur losses of at least approximately $ 679,214 during the period charged in the indictment.
If convicted the defendants face a maximum possible sentence of 15 years imprisonment; three years of supervision after release from prison; fines of 500,000; and a special assessment of $200.
The case was investigated by Health and Human Services – Office of Inspector General and is being prosecuted by Assistant United States Attorneys M. Beth Leahy and Jennifer B. Jordan.
An Indictment, Information or Criminal Complaint is an accusation. A defendant is presumed innocent unless and until proven guilty.
Drug Trafficker Sentenced to over 15 Years in Prison for Heroin and Fentanyl ConspiracyRead the Press Release
BOSTON – The leader of a heroin and fentanyl trafficking organization that operated in Taunton was sentenced yesterday in federal court in Boston.
Fernando Hernandez, 43, who last resided in Providence, R.I., was sentenced by U.S. District Court Judge Leo T. Sorokin to 188 months in prison and three years of supervised release. On Nov. 6, 2017, Hernandez pleaded guilty to one count of conspiracy to distribute and possess with intent to distribute heroin and fentanyl. In February 2017, Hernandez was arrested and charged along with 22 co-defendants.
From mid-2016 through February 2017, federal law enforcement investigated two drug trafficking organizations operating in Taunton and Boston, one allegedly led by Jose Antonio Lugo-Guerrero, and the other led by Hernandez. Hernandez’s organization was based in Taunton and sold heroin and fentanyl to customers who re-distributed a portion of the drugs they obtained. It is alleged that Hernandez obtained drugs from a network of suppliers that included Lugo-Guerrero.
The court found that Hernandez was responsible for distributing more than a kilogram of heroin over a two-month period in the summer of 2016, and that he was the leader of the organization that involved more than five other participants.
Hernandez has a number of prior criminal convictions that include two drug possessions, four drug distributions, eight assaults, three threats, two abuse prevention act violations, and one kidnapping.
Lugo-Guerrero has pleaded not guilty. His trial is scheduled for Sept. 10, 2018.
United States Attorney Andrew E. Lelling; Michael Ferguson, Special Agent in Charge of the Drug Enforcement Administration, Boston Field Division; Colonel Kerry A. Gilpin, Superintendent of the Massachusetts State Police; Fall River Police Chief Albert F. Dupere; New Bedford Police Chief Joseph C. Cordeiro; Taunton Police Chief Edward James Walsh; Boston Police Commissioner William B. Evans; Bridgewater Police Chief Christopher Delmonte; and Bristol Country District Attorney Thomas M. Quinn made the announcement today. Assistant U.S. Attorney Ted Heinrich of Lelling’s Narcotics and Money Laundering Unit prosecuted the case.
The details contained in the charging documents are allegations. The remaining defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Dr. Pepper Executive Pleads Guilty to Fraud, Tax Evasion ChargesRead the Press Release
PROVIDENCE, RI – A national sales executive for Dr. Pepper/Seven Up, Inc., a subsidiary of Dr. Pepper Snapple Group (Dr. Pepper), today pleaded guilty to charges that he submitted more than $1.7 million dollars worth of fraudulent invoices to Dr. Pepper through a promotions and marketing company he formed in his wife’s name.
Appearing in U.S. District Court in Providence, R.I., Michael Lynch, 52, of Newport, R.I., admitted to the Court that in April 2003, he incorporated Seacoast Unlimited Marketing and Promotions, LLC (Seacoast) in his wife’s name, and through Seacoast, from January 2007 until November 29, 2017, submitted to Dr. Pepper more than 200 fraudulent invoices totaling $1,716,949 for services such as promotional signs and banners, delivery of sample products to retail stores and the offering of discount prices to retail stores. None of the services billed to Dr. Pepper through Seacoast and paid for by Dr. Pepper were provided.
Lynch also admitted to the Court that he failed to declare any of the income he derived through Seacoast on the joint federal tax filings he filed with his wife. The tax loss applicable to the defendant’s conduct totals $386,320.
Michael Lynch’s guilty plea to wire fraud and filing a false tax return is announced by United States Attorney Stephen G. Dambruch, Special Agent in Charge of the FBI Boston Division Harold H. Shaw and Joel P. Garland, Special Agent in Charge, Internal Revenue Service Criminal Investigation.
Lynch is scheduled to be sentenced by United States District Court Chief Judge William E. Smith on June 1, 2018. Wire fraud is punishable by statutory penalties of up to 20 years imprisonment and a fine of $250,000. Filing a false tax return is punishable by statutory penalties of up to 3 years imprisonment and a $100,000 fine.
The matter, investigated by the FBI and IRS Criminal Investigation, is being prosecuted by Assistant U.S. Attorney Lee H. Vilker. .
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Dominican National Pleads Guilty to Illegal Reentry After DeportationRead the Press Release
BOSTON – A Dominican national pleaded guilty yesterday in federal court in Boston to illegally reentering the United States after being deported.
Amaury Olivo-Rodriguez, 39, pleaded guilty to one count of unlawful reentry of a deported alien. U.S. District Court Judge William G. Young scheduled sentencing for June 4, 2018.
On April 26, 2017, law enforcement officers in Lawrence encountered Olivo-Rodriguez and determined him to be illegally present in the United States. Olivo-Rodriguez has been deported twice before.
In March 2009, while Olivo-Rodriguez was serving a sentence in New Hampshire for drug distribution, federal agents determined him to be illegally present in the United States. Upon completion of his sentence, Olivo-Rodriguez was placed into removal proceedings, and on June 30, 2010, Olivo-Rodriguez was deported to the Dominican Republic.
In January 2012, Olivo-Rodriguez was encountered by federal agents while attempting to reenter the United States. He was convicted of illegally reentering the country and sentenced to 37 months in prison. Upon completion of this sentence, Olivo-Rodriguez was again deported to the Dominican Republic.
Olivo-Rodriguez faces a sentence of no greater than 20 years in prison, three years of supervised release, a fine of $250,000, 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.
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 Kenneth G. Shine of Lelling’s Major Crimes Unit is prosecuting the case.
Doctor Sentenced to 48 Months in Prison for Selling Prescriptions of Suboxone and KlonopinRead the Press Release
PHILADELPHIA – Dr. Alan Summers, 79, of Ambler, PA, was sentenced today in the United States District Court for the Eastern District of Pennsylvania by the Honorable Lawrence F. Stengel to 48 months in prison, followed by 2 years supervised release. Summers was also ordered to pay $14,000 in restitution, $4.6 million in restitution and a $1700 special assessment.
Dr. Summers sold commonly abused prescription drugs in exchange for cash payments. Dr. Summers previously pleaded guilty to conspiracy to distribute controlled substances, distribution of controlled substances, health care fraud, and money laundering, and was announced by United States Attorney Louis D. Lappen, Special Agent-in-Charge Jonathan A. Wilson of the Drug Enforcement Administration and Special Agent-in-Charge, Maureen Dixon with Health and Human Services Office of Inspector General.
Dr. Summers operated a medical clinic on South Broad Street in Philadelphia, and sometimes operated under the business name “NASAPT” (National Association for Substance Abuse-Prevention & Treatment). Dr. Summers employed numerous other doctors, including co-defendants Dr. Azad Khan and Dr. Keyhosrow Parsia. The defendants sold prescriptions for Suboxone and Klonopin in exchange for cash payments. Suboxone is a brand name for a drug used to treat opiate addiction. None of the defendants conducted medical examinations or mental health examinations as required by law in order to legally prescribe these controlled substances. Dr. Summers also assisted his customers in obtaining health insurance benefits for these illegally prescribed controlled substances by providing false information to health insurance companies so that his customers could fill the prescriptions using their health insurance. Many of the customers who frequented this clinic were, in fact, drug dealers or drug addicts who sold the prescribed medications. During the duration of the conspiracy, Dr. Summers illegally sold over $5 million worth of controlled substances.
“Dr. Alan Summers cared more for his financial gain, than his oath as a doctor,” said United States Attorney Louis D. Lappen. “His actions helped fuel the opioid epidemic and the illegal distribution of prescription drugs. Today’s sentence should serve as a powerful deterrent to those medical professionals who might consider risking their careers and liberty for illegally profiting on the drug trade. Our office along with our local, state and federal law enforcement partners will continue to investigate and prosecute those individuals whose unscrupulous and illegal conduct contributes to this deadly epidemic.”
“Dr. Summers was responsible for the illegal distribution of millions of dollars of prescription drugs that are commonly used to treat opioid addiction, and did so solely for profit,” said Jonathan A. Wilson, Special Agent in Charge of the Drug Enforcement Administration’s (DEA) Philadelphia Field Division. “As part of the U.S. Attorney’s Office new law enforcement opioid task force, the DEA will aggressively continue to identify and investigate the doctors that are contributing to the opioid crisis affecting our region through their criminal acts.”
The case was investigated by the Drug Enforcement Administration, the Department of Health and Human Services Office of the Inspector General, and the Internal Revenue Service Criminal Investigations, with assistance from the Philadelphia Police Department and the Pennsylvania Bureau of Narcotics Investigations. It is being prosecuted by Assistant United States Attorney Robert Livermore.
Doctor Pleads Guilty to Heath Care Fraud and Opioid Diversion ChargesRead the Press Release
HARRISBURG – The United States Attorney’s Office for the Middle District of Pennsylvania announced that Charles J. Gartland, D.O., age 59, of Cochranville, Pennsylvania, pleaded guilty today before United States Magistrate Judge Susan E. Schwab to one count of health care fraud and one count of obtaining possession of a controlled substance by deception.
According to United States Attorney David J. Freed, Gartland perpetrated a scheme to defraud two health care benefit programs, WellSpan Health of York, PA and Medicare, by writing 221 prescriptions between September 2014 and August 2017, for Hydrocodone, Oxycodone, Fentanyl, Morphine and other controlled substances. The prescriptions were issued by Gartland under the names of three of his family members. Of the 221 prescriptions, 194 were for 17,187 Hydrocodone-Ibuprofen 7.5 -200 mg pills.
The prescriptions were never intended for the medical care or treatment of the family members, but instead were intended for Dr. Gartland’s personal use. As such, the prescriptions were outside the scope of professional medical practice and were not issued for a legitimate medical purpose.
Gartland filled the prescriptions at five pharmacies in York, Chester and Lancaster Counties. It’s alleged that Gartland deceived the pharmacies into giving him the pills by making them believe they were intended for his family members. WellSpan and Medicare were allegedly defrauded when they paid claims submitted by the pharmacies for the prescriptions.
Judge Schwab released Gartland on supervised release pending completion of a Pre-Sentence Report. No date has yet been set for sentencing.
The case is being investigated by the Harrisburg Offices of the Drug Enforcement Administration, the U.S. Department of Health and Human Services, Office of the Inspector General, and the Pennsylvania Department of State Bureau of Enforcement and Investigation. Assistant U.S. Attorney Kim Douglas Daniel is prosecuting the case.
A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
Health Care Fraud is punishable by up to 10 years’ imprisonment and a $250,000 fine. Obtaining Possession of a Controlled Substance by Deception is punishable by up to four years’ imprisonment and a $250,000 fine. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant's educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
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Davenport Man Sentenced for Escape from Davenport Residential Re-Entry CenterRead the Press Release
DAVENPORT, Iowa-- On February 23, 2018, United States Chief District Court Judge John A. Jarvey sentenced Darrell Anthony Rice to 22 months in prison as the result of his plea of guilty to escape from a federal facility, announced United States Attorney Marc Krickbaum. Rice, age 24, of Davenport, Iowa, was also ordered to serve three years of supervised release and pay $100 to the Crime Victim’s Fund.
In 2012, Rice was sentenced to 70 months imprisonment as the result of a federal arson conviction. Pursuant to a U.S. Bureau of Prisons agreement, in December of 2016 Rice was transferred to the Davenport Residential Re-Entry Center to serve the remainder of his federal sentence. His discharge date was June 1, 2017. Rice was required to wear a GPS device inside the facility. On February 6, 2107, Rice left the Davenport facility without authorization, removed his GPS device and escaped. He was found on April 19, 2017, in Davenport after being arrested on state drug charges.
This investigation was conducted by the United States Marshals Service, Seventh Judicial District Department of Correctional Services, and Davenport Police Department. This case was prosecuted by the United States Attorney’s Office for the Southern District of Iowa.
Convicted Felon Pleads Guilty to Gun ChargeRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y. – U.S. Attorney James P. Kennedy, Jr. announced today that Aaron Lucas, aka B-Wise, 39, of Buffalo, NY, pleaded guilty to being a felon-in- possession of a firearm before U.S. District Judge Lawrence J. Vilardo. The charge carries a maximum penalty of 10 years in prison and a $250,000 fine.
Assistant U.S. Attorney Meghan A. Tokash, who is handling the case, stated that on October 25, 2015, a New York State search warrant was executed at the defendant’s Busti Avenue residence in Buffalo. Officers recovered a .22 caliber semi-automatic rifle.
Lucas was convicted in 2003 of a felony charge in state court and as a result was prohibited from legally possessing a firearm.
The plea is the culmination of an investigation on the part of the Buffalo Police Department, under the direction of Commissioner Byron Lockwood; and the Bureau of Alcohol, Tobacco, Firearms and Explosives, under the direction of Special Agent-in-Charge Ashan Benedict, New York Field Division.
Sentencing is scheduled for May 31, 2018, before Judge Vilardo.Chinle Man Sentenced to 9 Years for Abusive Sexual Contact with a MinorRead the Press Release
PHOENIX– Yesterday, Earlson Tso, 39, of Chinle, Ariz., was sentenced by U.S. District Judge Douglas L. Rayes to 108 months’ imprisonment. Tso had previously pleaded guilty to abusive sexual contact with a minor.
In June 2016, the victim, a minor and member of the Navajo Nation, reported inappropriately being touched by Tso while sleeping. Tso is also a member of the Navajo Nation.
Navajo Nation Criminal Investigations and the Federal Bureau of Investigations conducted the investigation. The prosecution was handled by Kiyoko Patterson, Assistant U.S. Attorney, District of Arizona, Phoenix.
CASE NUMBER: CR-16-8227-PCT-DLR
RELEASE NUMBER: 2018-018_Tso
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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.
Cedar Rapids Man Sentenced to Federal Prison for Unlawfully Possessing a GunRead the Press Release
A man who illegally possessed a gun was sentenced today to more than a year in federal prison.
Demontrae Poole, age 20, from Cedar Rapids, Iowa, received the prison term after a September 21, 2017, guilty plea to unlawfully possessing a gun while an illegal drug user. At the guilty plea, Poole admitted he possessed a Jimenez Arms JA380, .380 caliber pistol and that he was an unlawful user of marijuana on May 4, 2017. Information at sentencing showed that Poole’s criminal history includes two separate convictions for interference with official acts, during which law enforcement officers were injured.
Poole was sentenced in Cedar Rapids by United States District Court Judge Linda R. Reade. Poole was sentenced to 21 months’ imprisonment. He must also serve a 3-year term of supervised release after the prison term. There is no parole in the federal system.
Poole is being held in United States Marshal’s custody until he can be transported to a federal prison. Poole was originally given pretrial release following his federal indictment, but was taken into custody following numerous violations of the release conditions set by the District Court, including attempting to remove his GPS monitor.
The case was prosecuted by Assistant United States Attorney Lyndie Freeman and was investigated by the Federal Bureau of Investigation, the Cedar Rapids Police Department, and the Bureau of Alcohol, Tobacco, and Firearms.
This case was brought as part of Project Safe Neighborhoods (PSN), a program that has been historically successful in bringing together all levels of law enforcement to reduce violent crime and make our neighborhoods safer for everyone. Attorney General Jeff Sessions has made turning the tide of rising violent crime in America a top priority. In October 2017, as part of a series of actions to address this crime trend, Attorney General Sessions announced the reinvigoration of PSN and directed all U.S. Attorney’s Offices to develop a district crime reduction strategy that incorporates the lessons learned since PSN launched in 2001.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 17-cr-0064.
Follow us on Twitter @USAO_NDIA.
Caribou Man Pleads Guilty to Possessing Child PornographyRead the Press Release
Bangor, Maine: United States Attorney Halsey B. Frank announced that Ryan T. Card, 22, of Caribou, Maine, pled guilty today in U.S. District Court to possessing child pornography.
According to court records, between about November 2016 and April 2017, Card possessed images of child pornography in his cell phone. At least one of these files, which he had sought out and downloaded from on-line storage accounts on the internet, depicted a child under the age of 12.
Card faces up to 20 years in prison, a $250,000 fine and between five years and a lifetime of supervised release. He will be sentenced after the completion of a presentence investigation report by the U.S. Probation Office.
The investigation was conducted by U.S. Immigration and Customs Enforcement’s Homeland Security Investigations, the Caribou Police Department, and the Maine State Police Computer Crimes Unit.
Blue Gap Man Sentenced to 166 Months in Prison for Assault with a FirearmRead the Press Release
PHOENIX – On Friday, Feb. 23, 2018, Edsel Aaron Badoni, 34, of Blue Gap, Ariz., was sentenced by U.S. District Judge G. Murray Snow to 166 months’ imprisonment. Badoni had previously been convicted at trial of assault with a dangerous weapon, assault resulting in serious bodily injury, and discharging a firearm during a crime of violence.
Badoni had a history of discharging a firearm in the victim’s neighborhood, and when the victim approached him to tell him to stop, Badoni shot the victim in the chest. Officers of the Navajo Nation began an investigation, which led to Badoni’s arrest and prosecution. Badoni is a member of the Navajo Nation, and the crime occurred within the Navajo Nation Reservation.
The investigation was conducted by the Federal Bureau of Investigation and the Navajo Nation Department of Public Safety. Badoni’s trial was handled by Assistant U.S. Attorney Roger Dokken, now retired. His sentencing was handled by Assistant U.S. Attorney William G. Voit, District of Arizona, Phoenix.
CASE NUMBER: CR-12-08262-PCT-GMS
RELEASE NUMBER: 2018-16_Badoni
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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.
Bangor Man Sentenced to 20 Months on Heroin, Crack and Oxycodone Conspiracy ChargeRead the Press Release
Bangor, Maine: United States Attorney Halsey B. Frank announced that Quindell Smallwood, a/k/a “Queezo,” 28, of Bangor was sentenced today in U.S. District Court by Chief Judge Nancy Torresen to 20 months in prison and three years of supervised release for conspiracy to distribute heroin, cocaine based, commonly known as crack, and oxycodone.
According to court records, between January 2013 and September 2015, Smallwood conspired with others to distribute crack, heroin and oxycodone in the Bangor area and elsewhere. After the drugs were obtained from out-of-state sources and transported to Maine, Smallwood and others sold them to drug customers.
The case was related to the prosecution of Mario Lee, a/k/a “Moe,” of Bangor, and formerly of the Bronx, New York, who was sentenced on May 5, 2017 to over 18 years for his role in the conspiracy.
The case was investigated by the Maine Drug Enforcement Agency and the U.S. Drug Enforcement Administration. This case was investigated and prosecuted as part of the Department of Justice’s Strategy to Combat the Opioid Epidemic.
Baltimore Man Convicted of Armed Bank RobberyRead the Press Release
FOR IMMEDIATE RELEASE Contact ELIZABETH MORSE
www.justice.gov/usao/md at (410) 209-4885
Baltimore, Maryland – On February 26, 2018, a federal jury convicted Timothy Allen McNeal, age 31, of Baltimore, Maryland, on charges of armed robbery, conspiracy, and brandishing a firearm during a crime of violence.
The verdict was announced by Acting United States Attorney for the District of Maryland Stephen M. Schenning; Special Agent in Charge Gordon B. Johnson of the Federal Bureau of Investigation, Baltimore Field Office; Special Agent in Charge Daniel L. Board, Jr. of the Bureau of Alcohol, Tobacco, Firearms and Explosives, Baltimore Division; and Chief Gary L. Gardner of the Howard County Police.
According to evidence presented at trial, on August 4, 2016, McNeal and his brother, Markus Fields, age 28, of Baltimore, robbed the Howard County Education Federal Credit Union (HCEFCU) in Ellicott City, Maryland at gun point. Surveillance video captured the robbery, during which both Fields and McNeal entered the credit union wearing ski masks to cover their faces. Fields entered first carrying a black backpack. McNeal entered after, carrying a rifle-style long gun with a large magazine visible on the top. McNeal pointed the gun at a bank teller and a customer, while Fields walked to another room. McNeal forced the victims to the ground at gunpoint and moved behind the counter. Fields opened the teller drawer and began rifling through it. McNeal, after closing the bank door, walked back to a supervisor’s office down a short hallway.
McNeal pointed the gun toward the supervisor’s office, forcing the employee to exit the office and, ultimately, open the safe in the lobby. After opening the safe, she was ordered to the ground where she remained while the Fields and McNeal removed cash from the safe.
McNeal then reached into the backpack Fields was carrying, removed zip ties, and zip tied the supervisor and customer. Fields used the zip ties to restrain the teller’s hands behind her back. McNeal and Fields then left the HCEFCU by climbing out of a window.
McNeal, Fields and their mother, an employee of the Howard County School District, were all account holders at the HCEFCU. On August 4, 2016, a few hours after the robbery, McNeal and Fields went to Wal-Mart and purchased two large televisions, paying over $350 in cash for each. On August 6, 2016, two days after the robbery, Fields purchased a maroon Lexus and paid $4,620 in cash. On August 8, 2016, McNeal posted a photograph of a maroon Lexus with the caption “we working.” On August 17, 2016, over $2,600 in overdue rent was paid on Fields and McNeal’s residence.
During execution of a search warrant, law enforcement recovered black ski masks, clothing matching the clothing worn by McNeal during the bank robbery, banded cash, and cell phones from Fields and McNeal’s residence
Co-defendant Fields pleaded guilty to Armed Bank Robbery on February 9, 2018 and is scheduled for sentencing on May 8, 2018. Judge Catherine C. Blake has set sentencing for May 30, 2018 for McNeal.
Acting United States Attorney Stephen M. Schenning commended the FBI, ATF, Howard County Police and the Howard County State’s Attorney’s office for their work in the investigation. Mr. Schenning thanked Assistant U.S. Attorneys Lauren Perry and Burden Walker who prosecuted the case.
Baldwin County Man Receives 5 Years Probation and 300 Hours of Community Service for Possession of a Firearm After Felony ConvictionRead the Press Release
The United States Attorney, Richard W. Moore, announces that Craig Miller, a 34 year old, resident of Foley, Alabama was sentenced to five years of probation and ordered to perform 300 hours of community service. During the first six months of his probationary term, Miller will be on home confinement.
On September 24, 2016, a Baldwin County, Alabama sheriff’s deputy initiated a traffic stop for a vehicle driven by Miller. The vehicle was stopped for speeding. The deputy obtained Miller’s license and learned that it was suspended. When the deputy told Miller of the suspension, he observed Miller speaking with slightly slurred speech and Miller had the strong odor of a fermented beverage on or about his person. Next, the deputy asked Miller if there were weapons in the vehicle. Miller responded by looking in the back seat. He did not respond verbally. The deputy then asked Miller if he had been drinking that night. Miller responded with, “yes, a few drinks.” The deputy asked Miller to step out of the vehicle so they could talk about Miller’s license and talk about how much Miller had drank that night. When Miller stepped out of the vehicle, the deputy asked Miller if he had anything on him or in the vehicle that the deputy needed to know about. Miller replied that there was a gun in the vehicle. The deputy then asked if he could search the vehicle and Miller consented to the search. The search yielded two bottles of alcohol, an open container with alcohol inside and a crown royal bag with a Sig Sauer, .40 caliber pistol. A records check revealed that the firearm had been stolen. Miller was then read his Miranda Rights and he confessed to possessing a firearm knowing that he was prohibited from doing so due to his felony conviction. On November 13, 2017, Miller entered a guilty plea to possession of a firearm after being convicted of a felony assault in 2011.
The Baldwin County Sheriff’s Office along with the FBI’s Violent Crime Unit investigated the case and presented it to the United States Attorney’s Office for prosecution. The prosecutor assigned to the case was Assistant United States Attorney, Gina S. Vann.
Attorney General Sessions Announces New Prescription Interdiction & Litigation Task ForceRead the Press Release
Attorney General Jeff Sessions today announced the creation of a new effort, the Department of Justice Prescription Interdiction & Litigation (PIL) Task Force, to fight the prescription opioid crisis. The PIL Task Force will aggressively deploy and coordinate all available criminal and civil law enforcement tools to reverse the tide of opioid overdoses in the United States, with a particular focus on opioid manufacturers and distributors.
“Over the past year, the Department has vigorously fought the prescription opioid crisis, and we are determined to continue making progress. Today, we are opening a new front in the war on the opioid crisis by bringing all of our anti-opioid efforts under one banner,” said Attorney General Sessions. “We have no time to waste. Every day, 180 Americans die from drug overdoses. This epidemic actually lowered American life expectancy in 2015 and 2016 for the first time in decades, with drug overdose now the leading cause of death for Americans under age 50. These are not acceptable trends and this new task force will make us more effective in reversing them and saving Americans from the scourge of opioid addiction.”
The PIL Task Force will include senior officials from the offices of the Attorney General, the Deputy Attorney General, and the Associate Attorney General, as well as senior officials from the Executive Office for U.S. Attorneys, the Civil Division, the Criminal Division, and the Drug Enforcement Administration. The Task Force will coordinate the Department’s many efforts and tools to combat the opioid epidemic.
The PIL Task Force will combat the opioid crisis at every level of the distribution system. At the manufacturer level, the PIL Task Force will use all available criminal and civil remedies available under federal law to hold opioid manufacturers accountable for unlawful practices. The PIL Task Force will build on and strengthen existing Department of Justice initiatives to ensure that opioid manufacturers are marketing their products truthfully and in accordance with Food and Drug Administration rules.
The Attorney General has also directed the PIL Task Force to examine existing state and local government lawsuits against opioid manufacturers to determine what assistance, if any, federal law can provide in those lawsuits. The federal government has borne substantial costs from the opioid crisis, and it must be compensated by any party whose illegal activity contributed to those costs.
The Department will also use all criminal and civil tools at its disposal to hold distributors such as pharmacies, pain management clinics, drug testing facilities, and individual physicians accountable for unlawful actions.
The PIL Task Force will use criminal and civil actions to ensure that distributors and pharmacies are obeying Drug Enforcement Administration rules designed to prevent diversion and improper prescribing. It will use the False Claims Act and other tools to crack down on pain-management clinics, drug testing facilities, and physicians that make opioid prescriptions.
The PIL Task Force will use the criminal and civil tools available under the Controlled Substances Act against doctors, pharmacies, and others that break the law. The PIL Task Force will build upon and expand the efforts of the existing Opioid Fraud and Abuse Detection Unit. Created in August 2017, the Unit uses sophisticated data analysis to identify and prosecute individuals who are contributing to the opioid epidemic, including pill-mill schemes and pharmacies that unlawfully divert or dispense prescription opioids for illegitimate purposes.
The PIL Task Force will also work closely with the Department of Health and Human Services to investigate and hold accountable any parties who engage in illegal activity surrounding prescription opioids. The Attorney General has directed the PIL Task Force to establish immediately a working group to: (1) improve coordination and data sharing across the federal government to better identify violations of law and patterns of fraud related to the opioid epidemic; (2) evaluate possible changes to the regulatory regime governing opioid distribution; and (3) recommend changes in laws.
This new Task Force will build on a number of new initiatives begun by Attorney General Sessions over the past year that will help us end the drug crisis, including the following:- In July, the Attorney General announced charges against more than 120 defendants, including doctors, for crimes related to prescribing or distributing opioids and other dangerous narcotics.
- One week later, the Attorney General announced the seizure of AlphaBay, the largest criminal marketplace on the Internet. This site hosted some 220,000 drug listings – including more than 100 vendors advertising fentanyl – and was responsible for countless synthetic opioid overdoses, including the tragic death of a 13-year old in Utah.
- In August, the Attorney General created the Opioid Fraud and Abuse Detection Unit, a new data analytics program to help find evidence of overprescribing and opioid-related health care fraud.
- The Attorney General then assigned 12 experienced Assistant United States Attorneys to opioid “hot-spots” to focus solely on investigating and prosecuting opioid-related health care fraud. By November they had begun issuing indictments.
- In October, the Department announced the first-ever indictments of Chinese nationals and their North American-based traffickers and distributers for separate conspiracies to distribute fentanyl and other opioids in the United States.
- Also in October, the DEA announced the establishment of six new enforcement teams focused on combatting the flow of heroin and illicit fentanyl into the U.S. These enforcement teams are based in communities facing some of the most significant challenges with heroin and fentanyl.
- In 2017, the DEA held two of its National Prescription Drug Takeback Days, when people can dispose of unnecessary and potentially dangerous drugs with no questions asked. In total, DEA took a record 956 tons of drugs out of American communities.
- In January 2018, the Department announced a new resource to target traffickers who sell drugs online called J-CODE: Joint Criminal Opioid Darknet Enforcement team. The J-CODE team will coordinate efforts across the FBI’s offices all around the world – bringing together DEA, our Safe Streets Task Forces, drug trafficking task forces, Health Care Fraud Special Agents, and other assets – effectively doubling the FBI’s investment into fighting against online drug trafficking.
- Also in January 2018, the DEA announced a 45-day surge of Special Agents, Diversion Investigators, and Intelligence Research Specialists to focus on pharmacies and prescribers who are dispensing unusual or disproportionate amounts of drugs.
- On February 7, 2018, the DEA placed all fentanyl analogues not already regulated by the Controlled Substances Act into Schedule I – the category for substances with no currently accepted medical use – for at least two years. This makes it harder for people to acquire illicit fentanyl and easier for law enforcement to investigate and prosecute drug traffickers.
- The Department anticipates filing a statement of interest in the coming days in a multi-district action regarding hundreds of lawsuits against opioid manufacturers and distributors.
Armed Drug Trafficker SentencedRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051ROCHESTER, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that Bruce King, 48, of Rochester, NY, who was convicted of possession with intent to distribute marijuana and possession of a short-barrel rifle which was not registered in the National Firearms Registration and Transfer Record, was sentenced to 97 months in prison by U.S. District Judge Elizabeth A. Wolford.
Assistant U.S. Attorney Charles Moynihan, who handled the case, stated that King was arrested on October 19, 2015, following a search by the New York State Department of Corrections and Community Supervision of his residence at 161 Conkey Avenue in Rochester. During the search, officers recovered a brown paper bag with plastic capsules containing marijuana inside a backpack. Officers also found a .22 caliber sawed-off rifle with two boxes of .22 caliber ammunition. The barrel and the stock of the rifle had been shortened. Officers also found drug trafficking paraphernalia in the residence as well.
The sentencing is the result of an investigation by the New York State Department of Corrections and Community Supervision, under the direction of Acting Commissioner Anthony J. Annucci; the Rochester Police Department, under the direction of Chief Michael Ciminelli; and the Bureau of Alcohol, Tobacco, Firearms, and Explosives, under the direction of Special Agent-in-Charge Ashan Benedict, New York Field Division.
Armed Drug Dealer from Seattle’s Belltown Neighborhood Sentenced to Six Years in PrisonRead the Press Release
A Seattle man who sold heroin and meth in downtown Seattle while armed with a handgun was sentenced today in U.S. District Court in Seattle to six years in prison, announced U.S. Attorney Annette L. Hayes. JUSTIN GARRETT HARRISON, 37, used his 85-year-old grandmother’s condominium home to store and sell heroin and methamphetamine. Judge John C. Coughenour sentenced HARRISON for being a felon in possession of a firearm, possession of heroin with intent to distribute and possession of a firearm in connection with a drug trafficking crime. Judge Coughenour ordered four years of supervised release to follow the prison term.
According to records filed in the case, in late January 2017, HARRISON arranged to sell $2500 worth of heroin to an undercover agent. Police had already received numerous complaints from neighbors at HARRISON’s grandmother’s condo complex about the high volume of foot traffic coming and going from the condo. HARRISON was arrested in the lobby of the building after he returned from another drug deal. HARRISON carried a backpack containing meth, heroin, prescription pills, three cell phones, a drug ledger and a loaded handgun with additional rounds of ammunition. In the apartment law enforcement found other evidence of drug trafficking and at a room in a nearby hotel they found nearly half a pound of methamphetamine that HARRISON was storing in the room safe.
HARRISON is prohibited from possessing firearms due to a King County Superior Court conviction for assault with a deadly weapon. In that case HARRISON threatened a cab driver with a knife.
The case was investigated by the Seattle Police Department and U.S. Immigration and Customs Enforcement’s Homeland Security Investigations (HSI). The case was prosecuted by Special Assistant United States Attorney Jessica Manca. Ms. Manca is a Senior Deputy King County Prosecutor specially designated to prosecute gun crimes in federal court.
Anchorage Man Sentenced for Cyberstalking Former GirlfriendRead the Press Release
Anchorage, Alaska – U.S. Attorney Bryan Schroder announced that an Anchorage man was sentenced in federal court yesterday for cyberstalking his former girlfriend while on release after being charged with physically assaulting the same victim.
Jeffery Ray Ward, 41, of Anchorage, was sentenced yesterday by Chief U.S. District Judge Timothy M. Burgess, to serve 40 months in prison, followed by a three-year term of supervised release. Ward previously pleaded guilty on Sept. 27, 2017, to one count of cyberstalking in violation of a domestic violence protective order. Ward had been previously convicted by the Municipality of Anchorage of the domestic violence offense involving the same victim.
According to court documents, on April 16, 2017, APD received a 911 call from the victim reporting that Ward, her ex-boyfriend, had violated his conditions of release in the pending Municipal domestic violence case, where the court had ordered that Ward have no contact with the victim. While that case was pending, Ward threatened to put the victim’s “dirt on blast” before hacking her social media accounts and posting nude, sexually explicit pictures of the victim for hundreds of her friends and family to see.
Furthermore, the victim received an automated email from the social media site stating that the email address associated with her account had been changed from her own to one belonging to Ward, making it impossible for the victim to regain control and change the password back. The investigation further revealed that Ward had also impersonated the victim via social media direct messaging to engage in sexually explicit communications with the victim’s prior boyfriend.
Ward has a history of domestic violence offenses in the State of Alaska and elsewhere. At sentencing in this matter, Judge Burgess advised Ward that “to call this a serious crime is an understatement,” and stated that he was “concerned about protecting other women” in the community from Ward.
“Our highest priority is prevention of violent crime,” said U.S. Attorney Schroder. “While a significant amount of our efforts go toward drug trafficking related and firearms based violent crime, domestic violence is an insidious threat to Alaskan families. Where appropriate, the U.S. Attorney’s Office will bring charges to hold domestic abusers accountable.”
“APD Cyber Detectives work diligently to ensure the safety of all Anchorage residents online,” said APD Cyber Crimes Lieutenant Josh Nolder. “We are pleased to partner with the US Attorney’s office to prosecute Mr. Ward.”
Patrol Officers and Detectives with the Cyber Crimes Unit of the Anchorage Police Department (“APD”) conducted the investigation leading to the successful prosecution of this case. This case was developed through cooperation with the Municipality of Anchorage Prosecutor’s Office. Assistant U.S. Attorney Adam Alexander prosecuted the case.
Albany Woman Charged with Distributing and Receiving Child PornographyRead the Press Release
ALBANY, NEW YORK – Michelle M. Syler, age 49, of Albany, was arrested and charged today for distributing and receiving child pornography.
The announcement was made by United States Attorney Grant C. Jaquith and Vadim D. Thomas, Special Agent in Charge of the Albany Field Office of the Federal Bureau of Investigation (FBI).
According to a complaint, Syler distributed and received child pornography through a peer-to-peer, file-sharing network, between December 30, 2017 and February 27, 2018.
The charges in the complaint are merely accusations. The defendant is presumed innocent unless and until proven guilty.
Syler appeared today before United States Magistrate Judge Christian F. Hummel, who ordered her detained pending further proceedings.
If convicted, Syler faces at least 15 years and up to 40 years in prison, and a term of post-imprisonment supervised release of at least 5 years and up to life. A sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the United States Sentencing Guidelines, and other factors.
This case is being investigated by the FBI and its Child Exploitation Task Force, and is being prosecuted by Assistant U.S. Attorney Michael Barnett.
This case is being prosecuted as part of Project Safe Childhood. Launched in May 2006 by the Department of Justice, Project Safe Childhood is led by United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.
26 February 2018
Windsor Man Charged with Enticing Minor to Engage in SexRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, today announced that ANDREW CUNNINGHAM, 37, formerly of Windsor, has been charged by federal criminal complaint with one count of enticement of a minor to engage in illegal sexual activity.
The complaint alleges that, in March 2017, CUNNINGHAM began communicating with a 13-year-old female on Omegle, a website and mobile application designed to pair strangers for text and video chats. CUNNINGHAM first told the minor victim that he was 17, and later stated he was 25. CUNNINGHAM and the minor victim then communicated via text messaging and phone calls for approximately one week. During that time, CUNNINGHAM enticed the minor victim to send him sexually explicit images of herself, and attempted to lure her to travel to Connecticut.
CUNNINGHAM appeared today before U.S. Magistrate Judge Donna F. Martinez in Hartford. He has been in state custody since May 2, 2017 when he was arrested on state charges. He previously pleaded guilty in state court to illegal sexual contact with a minor and enticement of a minor, and is currently serving a three-year state sentence.
If convicted of the federal charge, CUNNINGHAM faces a mandatory minimum term of imprisonment of 10 years.
U.S. Attorney Durham stressed that a criminal complaint is not evidence of guilt. Charges are only allegations, and a defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.
This matter is being investigated by the Federal Bureau of Investigation and the Connecticut State Police, with the assistance of Connecticut State Parole. The case is being prosecuted by Assistant U.S. Attorney Nancy V. Gifford.
U.S. Attorney Carpenito Restructures Office to Add Additional Resources to Quality of Life Issues Facing New Jersey CitizensRead the Press Release
NEWARK, N.J. – U.S. Attorney Craig Carpenito announced today that he is reorganizing the District of New Jersey office to add additional resources to areas that are vital to the health and safety of the people of New Jersey.
U.S. Attorney Carpenito said this new structure will take best advantage of the depth and breadth of experience of the 130 Assistant U.S. Attorneys that staff the Newark, Trenton and Camden offices and focus their work on areas of criminal and civil enforcement that will pay the biggest dividends in protecting the public.
“After spending the past six weeks conducting an in-depth review of our operations, meeting with federal and state law enforcement leaders from across the state, and working closely with the Department of Justice, I have identified several areas of criminal activity where we need to intensify our efforts,” U.S. Attorney Carpenito said. “This sharpened focus will help us get the most dangerous criminals off our streets, address the ongoing opioid epidemic in our state, and stop the hackers and identity thieves who prey on our residents.”
U.S. Attorney Carpenito announced the following strategic changes in how the office will be organized:
• Three new units in the Criminal Division:
o Opioid Abuse Prevention and Enforcement – Among the first stand-alone units of its kind in the country, this unit will work with the existing Health Care and Government Fraud Unit and the Organized Crime and Drug Enforcement Task Force (OCDETF) Unit to target everyone who is making a living on these dangerous and addictive drugs, from the people who are running street-level distribution networks, to the doctors and pharmacists who turn a blind eye to over-prescribing and phony prescriptions, to the manufacturers and distributors who abdicate their responsibility to ensure these medications are being used lawfully. The Centers for Disease Control and Prevention reports that drug overdose deaths and opioid-involved deaths continue to increase in the United States. The majority of drug overdose deaths (66 percent) involve an opioid. In 2016, the number of overdose deaths involving opioids (including prescription opioids and heroin) was five times higher than in 1999. From 2000 to 2016, more than 600,000 people died from drug overdoses. On average, 115 Americans die every day from an opioid overdose. This unit will be enhanced by two Special U.S. Attorneys from the N.J. Office of the Attorney General, part of a joint state/federal effort to combat the growing problem of opioid abuse.
“U.S. Attorney Carpenito and I have forged a partnership dedicated to preventing illegal narcotics and prescription painkillers from flowing unchecked into our communities,” N.J. Attorney General Grewal said. “This collaboration of state and federal law enforcement allows us to share resources and strategies to identify, apprehend, and prosecute drug traffickers, unscrupulous doctors, and others who profit from the suffering and death caused by opioid addiction.”
o Violent Crimes Enforcement Unit – According to national crime data from the FBI, New Jersey’s homicide rate per 100,000 people rose from 3.9 to 4.2 and the rape rate rose from 10.7 to 16.2 between 2014 and 2016. The new Violent Crimes Enforcement Unit will work together with the Organized Crime/Gangs Unit to address these trends by targeting seven strategic areas:
- Federal Interest Murder/Major Violent Crimes
- Gang prosecution
- Carjacking
- Gun Trafficking
- Armed Bank Robberies
- Hobbs Act Robberies
- Human trafficking
o Cyber Crime Prevention and Enforcement – The attorneys in this unit are responsible for some of the most complex investigations the office handles, dealing with the unique and ever-changing issues presented by computer and communications technologies. Computer hacking, mass identity theft, ATM hacking – this unit will partner with the National Security and Economic Crimes units to focus on those cases and other emerging illegal uses of technology. In addition to litigating their own cases, they will provide their support and special expertise to federal and state partners as needed. The most recent report from the FBI Internet Crime Complaint Center found that, nationally, there were an average of 280,000 complaints per year from 2010 through 2016, and in 2016, the number of complaints reached 298,728, resulting in victim losses of $1.33 billion in that year alone. That same year, New Jersey received 6,690 complaints (13th in the nation), resulting in losses to victims of $24.5 million (11th in the nation.)
• A fourth unit, the current General Crimes Unit, will be recast as the Public Protection Unit. This unit will lead the office’s realignment with the Department of Justice’s renewed focus on the Project Safe Neighborhoods program, a nationwide strategy for using existing resources to most effectively combat violent crime in partnership with state and local law enforcement and the communities we serve. The unit handles any and all types of crime, but in this restructuring, the focus will be on criminals who prey on the public, including those who commit violent crimes and white collar scams, human trafficking and child exploitation.
“The changes I am announcing today will enhance our ability to do our most important job – protecting the public – more efficiently and with greater impact,” U.S. Attorney Carpenito said. “They will align our office with the priorities outlined and implemented by Attorney General Sessions and the Department of Justice. Of course, the office will continue to focus on all areas of federal interest, including national security, economic crimes, federal taxes, political corruption, civil rights, health care and government frauds.”
“The FBI dedicates significant resources in combating violent crime, cybercrime and the alarming rise in opioid abuse,” Special Agent In Charge of the FBI Newark Division Timothy Gallagher said. “We strongly support U.S. Attorney Carpenito’s focus to get the most dangerous drugs and criminals off our streets, particularly those who intend on defrauding our citizens and praying on the young and old. We look forward to continuing to work closely with the U.S. Attorney’s Office, so together we can make our state a safer place for our citizens.”
Valerie A. Nickerson, Special Agent in Charge of the Drug Enforcement Administration’s New Jersey Division said, “The men and women of the Drug Enforcement Administration work tirelessly to combat the current opioid epidemic in New Jersey. We look forward to the opportunity to continue our work with the U.S. Attorney’s Office and the New Jersey Attorney General’s Office to investigate and prosecute those who continue to profit off of the misery that this epidemic has caused.”
“We look forward to expanding upon our great working relationship with the U.S. Attorney’s Office,” Bureau of Alcohol, Tobacco and Firearms Special Agent in Charge John Devito said. “With this reorganization, both ATF and the USAO will be better situated to protect the citizens of New Jersey and mitigate the risk that violent crime poses to the public.”
U.S. Attorney Carpenito also announced new leadership of the office:
The First Assistant U.S. Attorney will be Rachael Honig, who is rejoining the office from the private sector. She worked for the U.S. Attorney’s Office for 14 years, most recently as Counsel to the U.S. Attorney. The Executive Assistant to the U.S. Attorney is Zach Intrater, who has been with the office for eight years in the Criminal Division, most recently as Deputy Chief of the Economic Crimes Unit. The Acting Counsel to the U.S. Attorney is Caroline Sadlowski, who has been with the office for 15 years, including nine years in the Appeals Division and six years in the Civil Division. Most recently, she was chief of the Civil Division. The Deputy U.S. Attorney, overseeing the Trenton and Camden Vicinages, is Thomas J. Eicher, who has been with the office more than 14 years, most recently as Chief of the Criminal Division.
“Let me be clear: The U.S. Attorneys’ Office for the District of New Jersey has a long and proud history,” U.S. Attorney Carpenito said. “Every U.S. Attorney who has sat in this seat has inherited a great office, and then worked to make it even better before handing it off to his or her successor. I intend to be no different. The changes I am announcing today are my first steps in making this office stronger and more successful.”
Two-Time Sex Offender Pleads Guilty to Attempted Production of Child PornographyRead the Press Release
Tampa, Florida – William Patrick King (35, Columbia, Maryland) has pleaded guilty to attempted production of child pornography. He faces a minimum mandatory penalty of 35 years, up to life, in federal prison. A sentencing date has not yet been set.
According to the plea agreement, between December 2016 and February 2017, King attempted to persuade a 17-year-old girl to engage in sexually explicit conduct for the purpose of producing child pornography. King met the victim on a teen-dating website and communicated with her by phone and via Facebook, Skype, and text messages. He told the victim that he was 18 years old, when in fact he was then 34 years old. King asked the girl to produce and send him child pornography. He also engaged in nude chats with the victim, and she sent him photographs.
King is a registered sex offender and has two prior convictions in Maryland for the sexual exploitation of children.
This case was investigated by the FBI. It was prosecuted by Assistant United States Attorney Jennifer L. Peresie.
It is another case brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by 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.justice.gov/psc.
Two-Time Felon Found with Ten Guns Sentenced to 41 MonthsRead the Press Release
PHOENIX – Last week, Israel Torres, 35, of Phoenix, Ariz., was sentenced by U.S. District Judge James A. Teilborg to 41 months followed by three years of supervised release. Torres had previously pleaded guilty to felon in possession of a firearm.
Torres has two felony aggravated DUI convictions in the Superior Court of Arizona, Maricopa County, making him a prohibited possessor of firearms and ammunition. The Federal Bureau of Investigation (FBI) discovered postings made by Torres on a website for a group he founded called BQG. These postings depicted Torres with multiple firearms and as well as engaged in what appeared to be militia training activities. Further investigation revealed that Torres used social media to advocate an armed resistance against the United States government and law enforcement. On Feb. 17, 2017, the FBI executed a federal search warrant at Torres’s residence and located 10 firearms, including assault rifles, and dozens of rounds of ammunition. The firearms, some of which were loaded, were visible and not locked in a gun safe.
The investigation in this case was conducted by the Federal Bureau of Investigation. The prosecution was handled Assistant U.S. Attorneys Lisa E. Jennis and Jonathan Hornok, District of Arizona, Phoenix.
CASE NUMBER: CR-17-00265-PHX-JAT
RELEASE NUMBER: 2018-015_Torres
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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.
Tucson Woman Charged with Causing Fatal Fentanyl Overdose and Other Opioid Trafficking CrimesRead the Press Release
TUCSON, Ariz. – Earlier this month, the grand jury returned an indictment charging Lana Leshinsky, 41, of Tucson, Ariz., with several crimes related to fentanyl trafficking, including one count of distribution of fentanyl resulting in death—a crime that, under federal law, carries a mandatory-minimum sentence of 20 years in prison and a maximum sentence of life in prison. Specifically, it is alleged that, in July 2017, Leshinky distributed fentanyl to a man who later died from ingesting it.
An indictment is simply a method by which a person is charged with criminal activity and raises no inference of guilt. An individual is presumed innocent until competent evidence is presented to a jury that establishes guilt beyond a reasonable doubt.
The investigation preceding the indictment was conducted by the Drug Enforcement Administration. The prosecution is being handled by Stefani Hepford, Assistant U.S. Attorney, District of Arizona.
CASE NUMBER: CR-18-00229-RCC-JR
RELEASE NUMBER: 2018-013_Leshinsky
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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.
Tank Vessel Operator and Master Convicted for Oil and Garbage OffensesRead the Press Release
Sea World Management & Trading, Inc. and Edmon Fajardo were convicted today for maintaining false and incomplete records relating to the discharge of oil and garbage from an oil tanker that was operating off the coast of Texas, announced Acting Assistant Attorney General Jeffrey H. Wood and United States Attorney Ryan K. Patrick for the Southern District of Texas. The defendants were also sentenced today by the court.
Sea World Management & Trading, Inc. and Fajardo pleaded guilty to two felony violations of the Act to Prevent Pollution from Ships, 33 U.S.C. § 1908(a), for failing to accurately maintain the Sea Faith’s Oil Record Book and Garbage Record Book. Under the terms of the plea agreement, the company will pay a total fine of $2.25 million and serve a 3-year term of probation during which all vessels operated by the company and calling on U.S. ports will be required to implement a robust Environmental Compliance Plan. Fajardo was sentenced to six months incarceration to be followed by two years supervised release and a $2,000 fine.
Sea World Management & Trading, Inc. is a tank vessel operating company, and Fajardo is the master of the tank vessel Sea Faith. Both admitted that oil cargo residues and machinery space bilge water were illegally dumped from the Sea Faith directly into the ocean while the vessel was transiting to Corpus Christi, TX, without the use of required pollution prevention equipment. They also admitted that these discharges were not recorded in the vessel’s Oil Record Book as required. Specifically, on five different occasions between March 10, 2017, and March 18, 2017, Fajardo ordered crew members to illegally discharge oily waste from various locations of the vessel’s cargo/deck spaces. These oily waste discharges bypassed the use of the vessel’s required oil discharge monitoring equipment and were done while the vessel was in the Caribbean Sea and the Gulf of Mexico.
Sea World Management & Trading, Inc. and Fajardo further admitted that on March 10, 2017, and March 15, 2017, Fajardo ordered crew members to throw plastics, empty steel drums, oily rags, batteries, and empty paint cans directly overboard into the ocean. None of these garbage discharges were recorded as required in the vessel’s Garbage Record Book.
The cases were investigated by the U.S. Coast Guard Sector Corpus Christi, U.S. Coast Guard Investigative Service, and Environmental Protection Agency-Criminal Investigation Division. The cases were prosecuted by Trial Attorney Stephen Da Ponte of the Environmental Crimes Section of the Department of Justice, and Assistant U.S. Attorney-In-Charge Julie K. Hampton of the U.S. Attorney's Office for the Southern District of Texas.
Tank Vessel Operator and Master Convicted for Oil and Garbage OffensesRead the Press Release
CORPUS CHRISTI, Texas - Sea World Management & Trading Inc. and Edmon Fajardo were convicted today for maintaining false and incomplete records relating to the discharge of oil and garbage from an oil tanker that was operating off the coast of Texas, announced U.S. Attorney Ryan K. Patrick and Acting Assistant Attorney General Jeffrey H. Wood.
Sea World Management & Trading Inc. is a tank vessel operating company, and Fajardo is the master of the tank vessel Sea Faith. Both admitted that oil cargo residues and machinery space bilge water were illegally dumped from the Sea Faith directly into the ocean while the vessel was transiting to Corpus Christi without the use of required pollution prevention equipment. They also admitted that these discharges were not recorded in the vessel’s Oil Record Book as required. Specifically, on five different occasions between March 10, 2017, and March 18, 2017, Fajardo ordered crew members to illegally discharge oily waste from various locations of the vessel’s cargo/deck spaces. These oily waste discharges bypassed the use of the vessel’s required oil discharge monitoring equipment and were done while the vessel was in the Caribbean Sea and the Gulf of Mexico.
Sea World Management & Trading Inc. and Fajardo further admitted that on March 10, 2017, and March 15, 2017, Fajardo ordered crew members to throw plastics, empty steel drums, oily rags, batteries and empty paint cans directly overboard into the ocean. None of these garbage discharges were recorded as required in the vessel’s Garbage Record Book.
Sea World Management & Trading Inc. and Fajardo pleaded guilty to two felony violations of the Act to Prevent Pollution from Ships for failing to accurately maintain the Sea Faith’s Oil Record Book and Garbage Record Book. Under the terms of the plea agreement, the company will pay a total fine of $2.25 million and serve a three-year term of probation during which all vessels the company operated and calling on U.S. ports will be required to implement a robust Environmental Compliance Plan. Fajardo was also sentenced today to six months in prison to be followed by two years of supervised release. He was also ordered to pay a $2,000 fine.
The U.S. Coast Guard Corpus Christi Sector, U.S. Coast Guard Investigative Service and Environmental Protection Agency-Criminal Investigation Division conducted the investigation. Assistant U.S. Attorney-In-Charge Julie K. Hampton and Trial Attorney Stephen Da Ponte of the Environmental Crimes Section of the Department of Justice prosecuted the case.
Springfield Man Sentenced to 13 Years for Possessing Meth to DistributeRead the Press Release
SPRINGFIELD, Mo. – Timothy A. Garrison, United States Attorney for the Western District of Missouri, announced that a Springfield, Mo., man was sentenced in federal court today for possessing methamphetamine with the intent to distribute.
Conrad Starks, 33, of Springfield, was sentenced by U.S. District Judge Roseann Ketchmark to 13 years in federal prison without parole.
On July 6, 2017, Starks pleaded guilty to possessing methamphetamine with the intent to distribute.
Springfield police officers executed a search warrant at Starks’s residence on Jan. 2, 2016. A detective found three blue latex gloves under a loose wooden step in the front porch. Each glove contained methamphetamine, weighing a total of 393.3 grams. Investigators also found drug paraphernalia in the residence.
According to court documents, Starks continued dealing methamphetamine after the search of his residence until he was arrested on the federal indictment.
Starks has six prior convictions that involve the possession of controlled substances, three of which are for possession with the intent to distribute. Starks committed this crime while on probation with a 15-year suspended sentence from his 2013 conviction for possession with the intent to distribute methamphetamine.
This case was prosecuted by Special Assistant U.S. Attorney Jody M. Larison. It was investigated by the Springfield, Mo., Police Department and the Drug Enforcement Administration.
Seven Individuals Indicted in McAlester Drug ConspiracyRead the Press Release
MUSKOGEE, OKLAHOMA – The United States Attorney’s Office for the Eastern District of Oklahoma announced that Bethany Lynn Kendall, age 28, of McAlester, Oklahoma; Steven Alan Phifer, age 40, of McAlester, Oklahoma; Dustin Lee Hall, age 31, of Savanna, Oklahoma; Dylan Joseph Dempsey, age 25, of Fort Smith, Arkansas; Conway Lee Kindle, age 43, of Stuart, Oklahoma; Dominic Alan Giaudrone, age 38, of Krebs, Oklahoma; and Angel Reanea Henderson, age 41, of Hartshorne, Oklahoma were each indicted for Drug Conspiracy, in violation of Title 21, United States Code, Sections 846, 841(a)(1), 841(b)(1)(A), 841(b)(1)(B) and 841(b)(1)(C), punishable by not less than 10 years imprisonment, and up to a $10,000,000 fine or both, and numerous other violations of federal law. A copy of the full indictment can be found online at https://go.usa.gov/xnefa.
The Indictment alleges that beginning in or about April 17, 2017, and continuing until on or about December 26, 2017, in the Eastern District of Oklahoma and elsewhere, the defendants, did willfully and knowingly combine, conspire, confederate and agree together, and with others known and unknown to the Grand Jury, to distribute methamphetamine in and around McAlester, Oklahoma and elsewhere.
The charges arose from an investigation by the Drug Enforcement Administration, the Bureau of Indian Affairs, the United States Marshal’s Service, the Oklahoma Bureau of Narcotics, the District 18 Drug and Violent Crimes Task Force, the Pittsburg County Sheriff’s Office, the McAlester Police Department, the Seminole Nation Lighthorse Police, and the Savanna Police Department.
United States Attorney Brian J. Kuester said, “This investigation was accomplished because of the cooperative efforts of many federal, state, local and tribal law enforcement agencies. An investigation of this nature requires cumulatively thousands of hours of work by agents that are willing to make even more sacrifices to their personal lives than they ordinarily do. I commend each participating agency and agent that participated not only for their work, but for their recognition that public safety can be better achieved when agencies from multiple jurisdictions work together.”
District Attorney Charles B. “Chuck” Sullivan emphasized collaboration among the agencies involved as the key to the success of this investigation. “My Drug and Violent Crimes Task Force’s primary function and purpose is to work with other agencies and either assist their investigations or lead them. An investigation of this magnitude highlights the spirit of that collaboration and further validates the existence of and need for the District 18 Task Force.”
A grand jury Indictment does not constitute evidence of guilt. A grand jury Indictment is a method of bringing formal charges against the defendant. A defendant is presumed innocent of the charges and may not be found guilty unless evidence establishes guilt beyond a reasonable doubt.
Seven Individuals Indicted for McAlester Drug ConspiracyRead the Press Release
MUSKOGEE, OKLAHOMA – The United States Attorney’s Office for the Eastern District of Oklahoma announced that Bethany Lynn Kendall, age 28, of McAlester, Oklahoma; Steven Alan Phifer, age 40, of McAlester, Oklahoma; Dustin Lee Hall, age 31, of Savanna, Oklahoma; Dylan Joseph Dempsey, age 25, of Fort Smith, Arkansas; Conway Lee Kindle, age 43, of Stuart, Oklahoma; Dominic Alan Giaudrone, age 38, of Krebs, Oklahoma; and Angel Reanea Henderson, age 41, of Hartshorne, Oklahoma were each indicted for Drug Conspiracy, in violation of Title 21, United States Code, Sections 846, 841(a)(1), 841(b)(1)(A), 841(b)(1)(B) and 841(b)(1)(C), punishable by not less than 10 years imprisonment, and up to a $10,000,000 fine or both, and numerous other violations of federal law. A copy of the full indictment can be found online at https://go.usa.gov/xnefa.
The Indictment alleges that beginning in or about April 17, 2017, and continuing until on or about December 26, 2017, in the Eastern District of Oklahoma and elsewhere, the defendants, did willfully and knowingly combine, conspire, confederate and agree together, and with others known and unknown to the Grand Jury, to distribute methamphetamine in and around McAlester, Oklahoma and elsewhere.
The charges arose from an investigation by the Drug Enforcement Administration, the Bureau of Indian Affairs, the United States Marshal’s Service, the Oklahoma Bureau of Narcotics, the District 18 Drug and Violent Crimes Task Force, the Pittsburg County Sheriff’s Office, the McAlester Police Department, the Seminole Nation Lighthorse Police, and the Savanna Police Department.
United States Attorney Brian J. Kuester said, “This investigation was accomplished because of the cooperative efforts of many federal, state, local and tribal law enforcement agencies. An investigation of this nature requires cumulatively thousands of hours of work by agents that are willing to make even more sacrifices to their personal lives than they ordinarily do. I commend each participating agency and agent that participated not only for their work, but for their recognition that public safety can be better achieved when agencies from multiple jurisdictions work together.”
District Attorney Charles B. “Chuck” Sullivan emphasized collaboration among the agencies involved as the key to the success of this investigation. “My Drug and Violent Crimes Task Force’s primary function and purpose is to work with other agencies and either assist their investigations or lead them. An investigation of this magnitude highlights the spirit of that collaboration and further validates the existence of and need for the District 18 Task Force.”
A grand jury Indictment does not constitute evidence of guilt. A grand jury Indictment is a method of bringing formal charges against the defendant. A defendant is presumed innocent of the charges and may not be found guilty unless evidence establishes guilt beyond a reasonable doubt.
Sentencings for February 20 - February 23, 2018Read the Press Release
RYAN HARRIS, 37, of Douglas, Wyoming, was sentenced by Federal District Court Judge Alan B. Johnson on February 20th, 2018 for tampering with a consumer product and acquiring a controlled substance by misrepresentation, deception, or subterfuge. Harris was arrested in Douglas, Wyoming. He received eight months of imprisonment, to be followed by three years of supervised release, and ordered to pay a $300.00 fine. This case was investigated by the Douglas Police Department and the Wyoming Division of Criminal Investigation.
RAUL FLORES-SANCHEZ, 36, of Oaxaca, Mexico, was sentenced by Chief Federal District Court Judge Nancy D. Freudenthal on February 20th, 2018 for illegal re-entry of a previously deported alien into the United States. Flores-Sanchez was arrested in Albany County, Wyoming. He received time served plus ten days to allow for deportation proceedings and $100.00 in special assessment to be remitted at the time of deportation.. This case was investigated by the US Immigration and Customs Enforcement Agency.
TRAVIS MICHAEL DEAN, 30, of Pigeon Forge, Tennessee, was sentenced by Federal District Court Judge Scott W. Skavdahl on February 23rd, 2018 for felon in possession of a firearm. Dean was arrested in Greenville, Tennessee. He received forty six months of imprisonment, to be followed by three years of supervised release, and ordered to pay a $400.00 fine and $100.00 in special assessment. This case was investigated by the Bureau of Alcohol, Tobacco and Firearms.
Rochester Man Pleads Guilty to Making False StatementsRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051ROCHESTER, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that Pernell Jackson, 56, of Rochester, NY, pleaded guilty to making materially false statements in a matter involving the U.S. Department of Housing and Urban Development (HUD) and the Department of Veterans Affairs (VA) before Chief U.S. District Judge Frank P. Geraci, Jr. The charge carries a maximum sentence of five years in prison and a $250,000 fine.
Assistant U.S. Attorney Kyle P. Rossi, who is handling the case, stated that between 2009 and 2014, Jackson resided in an apartment complex in Greece, NY and received a rent reduction through an income-based HUD subsidy program. During that time period, the defendant knowingly falsified HUD income certification forms by failing to report that he had obtained VA benefits belonging to his deceased aunt, totaling $102,622.76. The investigation revealed that the VA continued to make regular payments into Jackson’s aunt’s bank account for approximately seven years following her death. The defendant, who had access to the account, regularly withdrew the money between 2007 and 2015. The fraud was discovered during a VA audit, which led to an investigation by VA and HUD Offices of the Inspector General.
The plea is the result of an investigation by the U.S. Department of Veterans Affairs, Office of Inspector General, Criminal Investigations Division, under the direction of Resident Agent-in-Charge Jeffrey K. Stachowiak, and the Department of Housing and Urban Development, Office of Inspector General, under the direction of Special Agent-in-Charge Brad Geary.
Sentencing is scheduled for May 30, 2018, before Judge Geraci.
Port St. Lucie Resident Indicted on Weapons ChargesRead the Press Release
Port St. Lucie resident Frederik Barbieri, 46, was indicted on charges relating to the illegal exportation of firearms, firearm accessories, and ammunition.
Benjamin G. Greenberg, United States Attorney for the Southern District of Florida, Mark Selby, Special Agent in Charge, U.S. Immigration and Customs Enforcement’s Homeland Security Investigations (ICE-HSI), Peter J. Forcelli, Special Agent in Charge, Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF), Miami Field Office, and Diane J. Sabatino, Director, Field Operation, U.S. Customs and Border Protection (CBP), Miami Field Office, made the announcement.
More specifically, the four-count indictment charges Barbieri with one felony count of conspiracy to commit offenses against the United States, in violation of Title 18, United States Code, Section 371 (Count 1), one felony count of delivering firearms to a contract carrier without written notification that the shipment contained firearms, in violation of Title 18, United States Code, Section 922(e) (Count 2), one felony count of smuggling firearms and firearm accessories from the United States to Brazil, in violation of Title 18, United States Code, Section 554 (Count 3), and one felony count of exporting firearms and firearm accessories without a license, in violation of Title 22, United States Code, Section 2778 (Count 4).
According to the indictment, Barbieri entered into a conspiracy to illegally export firearms to Brazil without a license. In furtherance of the conspiracy, which lasted from May 2013 to June 2017, Barbieri and his co-conspirators purchased firearms, firearm accessories, and ammunition. They then obliterated the serial numbers from the firearms, and concealed the firearms, firearm accessories, and ammunitions in different packages. Barbieri and his co-conspirators would then ship the packages to Brazil, where Barbieri and his co-conspirators would sell such firearms, firearm accessories, and ammunition at a profit.
It is further alleged in the indictment, that on May 26, 2017, Barbieri shipped a package concealing firearms and firearm accessories to Brazil without first obtaining a license to export those items and without notifying the contract carrier that the package contained firearms.
If convicted, Barbieri faces a maximum statutory sentence of five years on Counts 1 and 2, a maximum statutory sentence of 10 years on Count 3, and a maximum statutory sentence of 20 years on Count 4. Barbieri is scheduled to make his initial appearance on February 27, 2018, at 1:30 p.m. before U.S. Magistrate Judge Chris M. McAliley.
Mr. Greenberg commended ICE-HSI, ATF, and CBP for their work on this case. The case is being prosecuted by Assistant U.S. Attorney Brian J. Shack.
An indictment is only an allegation, and every defendant is presumed innocent until proven guilty beyond a reasonable doubt.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.
Owner of West Tennessee Travel Agency Pleads Guilty to Wire FraudRead the Press Release
Jackson, TN – A West Tennessee woman pleaded guilty to wire fraud. D. Michael Dunavant, United States Attorney for the Western District of Tennessee announced the guilty plea today.
According to the charging instrument, Ronda Hopkins Richards, 54, is the owner of Ronda’s Travel Corner, in Jackson, TN. From November 2016 to July 2017, Richards defrauded approximately 100 clients/victims of funds related to their travel. In some cases, Richards enticed the victims to pay cash for a trip that was never booked. In other instances, she booked air travel for victims, but did not provide lodging at the destination for which the victim had pre-paid.
U.S. Attorney D. Michael Dunavant said: "This act of greed and selfishness has caused many of the more than 100 victims to endure unnecessary and unwarranted financial hardship. This case reflects the resolve of the U.S. Attorney’s Office along with partner agencies to bring to justice those individualswho commit fraud and prey on the innocent."
On June 19, 2017, Richards convinced a client to write a $17,172.00 check to Ronda’s Travel Corner for a family trip to Disney World. The trip was scheduled for March 24, 2018, through March 31, 2108. Richards never booked the trip, but instead deposited the check into her own personal account at First South Bank and used the funds for her personal gain.
This transaction caused a wire transmission of $17,172.00 to occur in interstate commerce, between the victims’ bank, Greenfield Banking Company, Greenfield, TN, through the Federal Reserve Check Clearing Center located in Atlanta, GA, and then to First South Bank in Jackson, TN. This interstate transmission resulted in the crime of wire fraud. Over 100 of Ronda’s Travel Corner clientele were victims of similar schemes. Because of this scheme, the victims lost a total of approximately $410,280.25.
On August 3, 2017, Richards was interviewed by the Jackson Police Department. She stated that she had fallen behind in her payments and began taking money, did not keep up with what she had taken and "everything spiraled out of control."
"Ronda Richards robbed families of once-in-a-lifetime vacations, graduation trips, and anniversary celebrations; leaving them with empty bank accounts and in one case, stranded in a foreign country," said Deputy Chief Tyreece Miller of the Jackson Police Department. "Her actions were inexcusable and criminal. JPD is pleased to have a hand in bringing her to justice."
Richard faces up to 20 years imprisonment; $250,000 fine and 3 years supervised release. This case was investigated by the Jackson Police Department and the United States Secret Service.
For more information, or if there are other victims who have not made their losses known, please contact the U.S. Attorney’s Office Victim/Witness Coordinator at 901-544-4231.
Assistant U.S. Attorney Victor L. Ivy is prosecuting this case on the government’s behalf.
Operators of Retail Newburgh Heroin Store Sentenced in White Plains Federal CourtRead the Press Release
Geoffrey S. Berman, the United States Attorney for the Southern District of New York, announced today that VICTOR R. RIVAS was sentenced to seven years in prison for his role in operating a retail heroin-selling organization out of a storefront at 427 Broadway in Newburgh. VICTOR R. RIVAS pled guilty on July 26, 2017, and was sentenced today by U.S. District Court Judge Kenneth M. Karas.
U.S. Attorney Geoffrey S. Berman said: “Victor M. Rivas, together with his sons Julio A. Davila and Victor R. Rivas, and their employees, maintained a shop on a main thoroughfare in Newburgh, within a stone’s throw of a bakery, a church, and a post office, that was open on a daily basis for the sole purpose of selling heroin. The serious sentences these defendants received prove that those who endanger the community through their distribution of illegal drugs will be brought to justice.”
According to the Complaint, the Indictment, other filings in White Plains federal court, evidence at a hearing, and statements made in court proceedings:
In 2016, Victor M. Rivas, with the assistance of Julio A. Davila, VICTOR R. RIVAS, Ronald L. Matias, a/k/a “Ronald Luis,” and Edward Cardona, ran an organization engaged in the distribution of heroin in Newburgh, New York, from a storefront location at 427 Broadway, alternately held out as a barbershop or soccer shop (the “Soccer Shop”). The Soccer Shop was open for more than 12 hours a day, seven days a week, for the sole purpose of selling heroin. Constant foot traffic in and out of the Soccer Shop reflected the volume of heroin the defendants were selling: Over the course of a year, the organization distributed well over three kilograms of heroin out of the Soccer Shop.
The defendants also maintained a nearby storage unit that they used for, among other things, storing the proceeds of their illegal drug distribution activity. Law enforcement seized more than $260,000 in cash from the storage unit on the day the defendants were arrested. Additionally, about $44,000 was seized from VICTOR R. RIVAS and about $5,300 was seized from Davila during the course of the investigation.
* * *
In addition to the prison term, VICTOR R. RIVAS, 29, of Newburgh, was sentenced to five years of supervised release.
Victor M. Rivas, 52, of Newburgh, the leader of the organization, was previously sentenced to 15 years in prison and five years of supervised release; Davila, 28, of Newburgh, was previously sentenced to six-and-a-half years in prison and four years of supervised release; and Matias, 36, of Newburgh, was previously sentenced to five years in prison and four years of supervised release. Cardona, 35, of Newburgh, is expected to be sentenced in April.
Mr. Berman praised the work of the Department of Homeland Security, Homeland Security Investigations, and the New York State Police, and thanked the Drug Enforcement Administration and the City of Newburgh Police Department for their assistance with this investigation.
This case is being handled by the Office’s White Plains Division. Assistant United States Attorneys Jacqueline C. Kelly and Allison Nichols are in charge of the prosecution.
One Fresno Man Sentenced for Illegal Possession of Firearms; Another Pleads Guilty to Being an Armed Career CriminalRead the Press Release
FRESNO, Calif. —Troy Franklin, 34, of Fresno, was sentenced today by Chief U.S. District Judge Lawrence J. O'Neill to seven years and eight months in prison for being a felon in possession of a firearm and possession of an unregistered firearm, and Stephen Walker, 42, of Fresno, pleaded guilty to being an armed career criminal, U.S. Attorney McGregor W. Scott announced.
1:16-cr-144 LJO
According to court documents in the first case, Franklin, who is prohibited from possessing firearms due to a prior felony conviction, illegally purchased an AR-15 rifle with a barrel length of less than 16 inches. Police tried to conduct a traffic stop on the black Range Rover Franklin was driving after the purchase, and Franklin fled. He stopped the car and ran, and police found him hiding in a nearby apartment. They found the short-barreled rifle inside of a towel on the back passenger seat of the Range Rover. They also seized a Glock pistol Franklin left in the apartment where he had been hiding. This case was the product of an investigation by the Bureau of Alcohol, Tobacco, Firearms and Explosives, the FBI, California Department of Justice, California Highway Patrol Special Operations Unit, and the Fresno Police Department. Assistant U.S. Attorneys Jeffrey A. Spivak and Kimberly A. Sanchez prosecuted the case.
1:16-cr-088 LJO
According to court documents in the second case, Walker possessed a Jennings pistol and ammunition after having three prior felony convictions for infliction of corporal injury on a spouse or cohabitant. This case is the product of an investigation by the FBI and the Fresno Police Department. Assistant U.S. Attorneys Jeffrey A. Spivak and Ross Pearson are prosecuting the case.
Walker’s sentencing has been set for May 21, 2018, before Judge O’Neill. Walker faces a minimum of 15 years in prison and a maximum of life in prison, and up to 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.
These cases are the product of Project SAFE Neighborhoods investigations. PSN is a nationwide strategy for using existing resources to most effectively combat violent crime in partnership with state, local and tribal law enforcement and the communities we serve.
Omaha Woman Sentenced for Tax FraudRead the Press Release
United States Attorney Joseph P. Kelly announced that Niquisha Taylor, age 37, of Omaha, Nebraska, was sentenced today by the Honorable Laurie Smith Camp having previously pled guilty to conspiracy to defraud the government with respect to claims. Taylor was sentenced to 3 years of supervised release, 120 hours of community service, and $280,442 in restitution to the U.S. Department of the Treasury.
From January 2012 until December 2014, Taylor and co-defendant Latasha Ellis conspired to defraud the United States and the United States Department of the Treasury by obtaining and aiding to obtain the payment of a fraudulent claim by filing and assisting others in filing false tax returns. As part of their scheme, tax returns were filed that had false Schedules C, Profit or Loss from Business. By including false Schedules C, an individual’s earned income was inflated which had the effect of maximizing the amount of Earned Income Tax Credit the taxpayer would receive back. There were 55 tax returns filed as part of their scheme. Ellis has pled guilty and is pending sentencing.
The case was investigated by the Internal Revenue Service – Criminal Investigations.
Omaha Men Sentenced for RobberiesRead the Press Release
United States Attorney Joseph P. Kelly announced that Preston Pope, age 28, and Jeron Morris, age 25, both of Omaha, Nebraska, were sentenced today by the Honorable Laurie Smith Camp for their involvement in two Omaha robberies. Pope received a sentence of 62 years, 3 months of imprisonment to be followed by 5 years of supervised release. Morris received a 10-year sentence to be followed by 3 years of supervised release. They were both ordered to pay a total of $11,555.92 in restitution.
On August 11, 2015, at approximately 12:42 a.m., Morris and Pope robbed the Walgreen’s at 3001 Dodge Street, Omaha. They had bandanas or masks on their faces and were also wearing gloves when they demanded cash from an employee and a customer. They took $556.14 from the store and $12 from a customer. An outside witness saw them leave the store and flee in an older model white sedan.
At approximately 5:43 p.m. the same day, Pope and Morris, while wearing masks and gloves, entered the U.S. Bank inside the No Frills grocery store at 4240 South 50th Street. Again, they each were waving a handgun. Two tellers had $9,984 taken at gunpoint. A witness was able to get the license plate of the white sedan they were in when they left the area.
Officers located the car about a mile away and discovered it had been stolen. Morris’s DNA was found in the car. There was also a .40 caliber magazine located in the car.
On August 14, 2015, officers attempted to stop a van for a traffic violation. The driver of the vehicle, Pope, fled from officers first in the vehicle and then on foot. Pope was caught. Officers retraced the chase route and found a .40 handgun on the side of the road. The gun was tested for DNA and it was found to contain Pope’s DNA. The magazine in the gun matched the magazine found in the white car three days prior. Officers served a search warrant at the residence where Pope was staying and they found an empty box for a .40 handgun with two magazine. The serial number of the box matched the gun discarded when Pope was chased.
After Pope was arrested it was discovered he had accompanied a relative of his to a local car dealership on August 13, 2015. The relative paid $2,300 cash for a vehicle and a $10 bill used in the sale was one of the bills taken in the U.S. Bank robbery.
Morris previously pled guilty to one charge of brandishing a firearm at Walgreen’s and robbing the U.S. Bank. Pope went to trial and was convicted of being a felon in possession of a firearm, robbing Walgreen’s, robbing U.S. Bank and brandishing a firearm at each location. Based on his prior criminal history he was deemed to be a career offender.
The case was investigated by the Omaha Police Department and the Federal Bureau of Investigation.
Ohio Man Sentenced to Twenty Years for Firearm OffensesRead the Press Release
LEXINGTON, Ky. - Bryant Lamar Monie, 37, of Dayton, Ohio, was sentenced by United States District Judge Danny C. Reeves, on Friday, to 20 years in federal prison, for being an Armed Career Criminal and for possession of a firearm in furtherance of a drug trafficking offense.
Monie was convicted, following a jury trial, in April of 2016. The evidence at trial established that Monie had moved to the Mt. Sterling, Ky. area in late 2015. Thereafter, he began distributing cocaine in the area. On August 13, 2015, law enforcement officers executed a search warrant at Monie’s residence and seized a loaded pistol and a distribution quantity of crack cocaine. Monie had four prior felony drug convictions.
Monie must serve eighty-five percent of his sentence; and upon release, he will be under the supervision of the United States Probation Office.
Robert M. Duncan, Jr., United States Attorney for the Eastern District of Kentucky; Stuart J. Lowery, Special Agent in Charge, ATF Louisville Field Division; and David Charles, Chief of the Mt. Sterling Police Department, jointly made the announcement.
The investigation was conducted by the ATF and Mt. Sterling Police Department. Assistant United States Attorney Roger W. West represented the United States in the case.
This case was prosecuted as part of Project Safe Neighborhoods (PSN), a program that has been historically successful in bringing together all levels of law enforcement to reduce violent crime and make neighborhoods safer for everyone. Attorney General Sessions has made turning the tide of rising violent crime in America a top priority. 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.
Nixa Woman Sentenced to 40 Years in Prison for Drug Trafficking MurderRead the Press Release
SPRINGFIELD, Mo. – Timothy A. Garrison, United States Attorney for the Western District of Missouri, announced that a Nixa, Mo., woman was sentenced in federal court today for her role in the murder of a Mexican national who was executed to help her avoid paying a debt owed in a drug-trafficking conspiracy.
Brooke Danielle Beckley, 21, of Nixa, was sentenced by U.S. District Judge Roseann Ketchmark to 40 years in federal prison without parole.
On June 20, 2017, Beckley pleaded guilty to participating in a conspiracy to distribute methamphetamine in Greene County, Dallas County, Webster County and Christian County, Mo., from April 28, 2015, to April 26, 2016. She also pleaded guilty to using a firearm in furtherance of a drug-trafficking crime, resulting in the murder of Oscar Adan Martinez-Gaxiola on April 25, 2016, in Webster County.
According to court documents, Beckley was involved in the large-scale distribution of methamphetamine in the Springfield area. Beckley met co-defendant Yovanny Aroldo Mendivil-Balderama, 23, a Mexican national, and Martinez-Gaxiola in January 2016 and began to sell methamphetamine for them. Beckley and Mendivil-Balderama started a sexual relationship shortly afterwards.
On April 6, 2016, law enforcement officers seized from Beckley’s hotel room approximately 1.9 kilograms of methamphetamine, a loaded 20-gauge shotgun with a sawed off barrel and stock, four rounds of additional shotgun ammunition, a .22-caliber pistol, a drug ledger and $3,662.
The loss of the 1.9 kilograms of methamphetamine created a $44,000 debt that Beckley owed to both Mendivil-Balderama and Martinez-Gaxiola. According to court documents, Beckley discussed with her lover Mendivil-Balderama ways to resolve the debt. Some of these discussions involved text messages between Beckley and Mendivil-Balderama. The text messages revealed they both wanted to kill Martinez-Gaxiola as a way to cancel, or extend, the debt and to prevent Martinez-Gaxiola from possibly killing Beckley.
Beckley recruited co-defendant Anthony Edward Donovan, 21, of Springfield, Mo., to assist in killing Martinez-Gaxiola, and offered to pay him $6,000. Donovan recruited co-defendant Nathaniel Austin Lee, 20, of Seymour, Mo., to assist in the murder and allow for the use of Lee’s property in rural Webster County, Mo., in exchange for part of the $6,000. Lee then recruited Joshua Applegate (who was a minor under federal law at the time of the offense, and therefore charged as an adult in state court rather than in the federal indictment).
On April 24, 2016, Beckley, Donovan and Lee practiced for the murder of Martinez-Gaxiola by discharging various firearms at the Lee residence. On April 25, 2016, Mendivil-Balderama traveled with Martinez-Gaxiola to the Lee residence on the pretext that Beckley would pay the drug debt. Beckley, Donovan, Lee and Applegate were waiting at the residence; Donovan and Lee were armed with handguns. Upon arrival, Mendivil-Balderama got out of the vehicle first. When Martinez-Gaxiola exited the vehicle, Donovan and Applegate opened fire and Martinez-Gaxiola fell to the ground. Eventually, Donovan went up to where Martinez-Gaxiola lay and shot him once in the head. Martinez-Gaxiola was armed with a handgun but did not discharge it during his murder.
Lee’s neighbors reported the shots fired at the residence (it is estimated that the co-conspirators expended 30 to 60 rounds of ammunition during the murder). Webster County deputies responded to the location. Hearing the emergency sirens, the co-conspirators attempted to conceal Martinez-Gaxiola under a piece of tin siding, and then fled area. When the deputies arrived, they found Martinez-Gaxiola, who was still alive but critically hurt and who died before transportation to the hospital. Law enforcement officers captured all the co-conspirators by the end of the day on April 25, 2016.
Mendivil-Balderrama, Donovan and Lee have pleaded guilty to the same charges and await sentencing. Mendivil-Balderrama is scheduled to be sentenced on March 8, 2018.
Co-defendant Jourdan Ashley McGinnis, 29, of Nixa, pleaded guilty to his role in the drug-trafficking conspiracy. McGinnis was sentenced on Dec. 18, 2017, to seven years and 10 months in federal prison without parole.
This case is being prosecuted by U.S. Attorney Timothy A. Garrison and Supervisory Assistant U.S. Attorney Randall D. Eggert. It was investigated by the U.S. Drug Enforcement Administration, the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Missouri State Highway Patrol, the Christian County, Mo., Sheriff’s Department, the Greene County, Mo., Sheriff’s Department, the Lawrence County, Mo., Sheriff’s Department, the Webster County, Mo., Sheriff’s Department, the Seymour, Mo., Police Department, the Rogersville, Mo., Police Department, the Springfield, Mo., Police Department and the Combined Ozarks Multijurisdictional Enforcement Team (COMET).
Mexican Citizen Sentenced to 216 Months for Money LaunderingRead the Press Release
DALLAS — Marisol Carmona Arreola Avalos, 43, a citizen of Mexico, was sentenced this morning before U.S. District Judge David C. Godbey to 216 months in federal prison following her guilty plea in June 2017 to one count of conspiracy to launder monetary instruments, announced U.S. Attorney Erin Nealy Cox of the Northern District of Texas.
Avalos’ husband, Jose Apolinar Arreola Avalos, pleaded guilty in June 2017 to one count of conspiracy to possess with intent to distribute and to distribute a controlled substance, said substance being 500 grams or more of a mixture or substance containing a detectable amount of methamphetamine, a Schedule II controlled substance and was sentenced by Judge Godbey in October 2017 to 324 months in federal prison.
According to the plea agreement factual resume, from September 25, 2015 and continuing through March 18, 2016, Marisol and Jose Avalos cooked and cleaned methamphetamine obtained from Mexico at a Post Oak Road residence in Wilmer, Texas. In order to maximize the amount of money that was being made through the sale of the methamphetamine they cooked and cleaned the methamphetamine so that it would look as white and clean as possible. Marisol and Jose Avalos were paid by co-defendant, Domingo Arreola Avalos, for their work.
Marisol Avalos was provided with drug proceeds to purchase acetone, strainers, and materials to store the methamphetamine so that, once it was cleaned, it could be sold to other people in Texas and other parts of the United States. Marisol Avalos used some of the drug proceeds to pay phone bills, propane gas bills, and electric bills. The gas and electric bills were paid to maintain the house and area where the methamphetamine was cooked. The phone bill was paid so that she and Jose Avalos could communicate with other codefendants and drug couriers who were dropping off the liquid methamphetamine to be cleaned.
On March 18, 2016, according to the plea agreement factual resume, the Dallas Police Department executed a search warrant at the residence of Marisol and Jose Avalos. As a result of the search, agents seized approximately 172 kilograms of a combination of crystal and liquid methamphetamine, firearms, and several thousand dollars in United States Currency.
Marisol Avalos agreed to forfeit 2 firearms, $20,055 in US Currency and $274,469 in U.S. Currency seized from Domingo Arreola Avalos.
The FBI investigated the case, with assistance from the Dallas Police Department and IRS Criminal Investigation. The case was prosecuted by Assistant U.S. Attorney George Leal.
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Man Pleads Guilty to Arson and Malicious Damage and Destruction to Federal Property Charges Related to Fires at Three U.S. Government FacilitiesRead the Press Release
St. Thomas, USVI – Spencer Wayne Allen, 26, pleaded guilty today in District Court to one count of arson and two counts of malicious damage and destruction to federal property, United States Attorney Gretchen C.F. Shappert announced.
According to the plea agreement filed with the court, on February 28, 2017, Allen maliciously damaged the U.S. Navy and Marine Recruitment Center in the Nisky Shopping Center on St. Thomas by means of fire. As a result of the fire, the U.S. Navy and Marine Recruitment Center was completely destroyed. Also on February 28, 2017, Allen damaged by fire two other properties belonging to the United States, the Ron De Lugo Federal Building and United States Courthouse, and the U.S. Coast Guard Station.
Sentencing for Allen is scheduled for June 28, 2018. Allen faces a mandatory minimum sentence of five years in prison and a maximum sentence of 20 years in prison on the arson count, and up to 10 years in prison on each of the two destruction of federal property counts.
The case was investigated by the Federal Bureau of Investigation; Bureau of Alcohol, Tobacco, Firearms, and Explosives, and U.S. Immigration and Customs Enforcement, Homeland Security Investigations, with the assistance of the Virgin Islands Territorial Emergency Management Agency, Virgin Islands Police Department, Virgin Islands Port Authority, Virgin Islands Fire Service, and the Virginia Beach Fire Department Fire Investigations. It is being prosecuted by Assistant United States Attorneys Meredith J. Edwards and Everard E. Potter.