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16 February 2018
Mission Man Indicted on Firearm ChargesRead the Press Release
United States Attorney Ron Parsons announced that a Mission, South Dakota, man has been indicted by a federal grand jury for Felon in Possession of a Firearm.
Carlos Eddie Charging Elk, age 26, was indicted on February 14, 2018. He appeared before U.S. Magistrate Judge Mark A. Moreno on February 16, 2018, and pled not guilty to the Indictment.
The maximum penalty upon conviction is up to 10 years in custody and/or a $250,000 fine, 3 years of supervised release, and $100 to the Federal Crime Victims Fund. Restitution may also be ordered.
The Indictment alleges that on or about December 19, 2017, Charging Elk, having previously been convicted of a felony, did knowingly possess a firearm.
The charge is merely an accusation and Charging Elk is presumed innocent until and unless proven guilty.
The investigation is being conducted by the Rosebud Sioux Tribe Law Enforcement Services. Assistant U.S. Attorney Daniel C. Nelson is prosecuting the case.
Charging Elk was remanded to the custody of the U.S. Marshals Service pending trial. A trial date has not been set.
Mission Man Charged with Sexual Abuse of a MinorRead the Press Release
United States Attorney Ron Parsons announced that a Mission, South Dakota, man has been indicted by a federal grand jury for Sexual Abuse of a Minor.
Matthew Peneaux, a/k/a Matthew Swalley, age 34, was indicted on October 24, 2017. He appeared before U.S. Magistrate Judge Mark A. Moreno on February 16, 2018, and pled not guilty to the Indictment.
The maximum penalty upon conviction is up to 15 years in prison and/or a $250,000 fine, up to life of supervised release, and $100 to the Federal Crime Victims Fund. Restitution may also be ordered.
The Indictment alleges that between on or about March 28, 2015, and April 30, 2016, Peneaux knowingly engaged in, and attempted to engage in, a sexual act with a minor female.
The charge is merely an accusation and Peneaux is presumed innocent until and unless proven guilty.
The investigation is being conducted by the Federal Bureau of Investigation. Assistant U.S. Attorney Kirk Albertson is prosecuting the case.
Peneaux was released pending trial. A trial date has not been set.
Middle Township Teacher Admits Health Care Fraud Conspiracy Targeting State Health Benefits ProgramsRead the Press Release
CAMDEN, N.J. – A teacher in the Middle Township public schools today admitted defrauding New Jersey state health benefits programs and other insurers out of over $2,000,000 by submitting fraudulent claims for medically unnecessary prescriptions, U.S. Attorney Craig Carpenito and New Jersey Attorney General Gurbir S. Grewal announced.
Shawn Sypherd, 46, of Marmora, New Jersey, pleaded guilty before U.S. District Judge Robert B. Kugler in Camden federal court to an information charging him with conspiracy to commit health care fraud.
According to documents filed in this case and statements made in court:
Compounded medications are supposed to be specialty medications mixed by a pharmacist to meet the specific medical needs of an individual patient. Although compounded drugs are not approved by the Food and Drug Administration (FDA), they are properly prescribed when a physician determines that an FDA-approved medication does not meet the health needs of a particular patient, such as if a patient is allergic to a dye or other ingredient.
From January 2015 through April 2016, Sypherd served as a recruiter in the conspiracy and persuaded individuals in New Jersey to obtain very expensive and medically unnecessary compounded medications from an out-of-state pharmacy, identified in the informations as the “Compounding Pharmacy.” The conspirators learned that certain compound medication prescriptions – including pain, scar, antifungal, and libido creams, as well as vitamin combinations – were reimbursed for thousands of dollars for a one-month supply.
The conspirators also learned that some New Jersey state and local government and education employees, including teachers, firefighters, municipal police officers, and state troopers, had insurance coverage for these particular compound medications. An entity referred to in the information as the “Pharmacy Benefits Administrator” provided pharmacy benefit management services for the State Health Benefits Program, which covers qualified state and local government employees, retirees, and eligible dependents, and the School Employees’ Health Benefits Program, which covers qualified local education employees, retirees, and eligible dependents. The Pharmacy Benefits Administrator would pay prescription drug claims and then bill the State of New Jersey for the amounts paid.
Sypherd and others recruited public employees and other individuals covered by the Pharmacy Benefits Administrator to fraudulently obtain compounded medications from the Compounding Pharmacy which were not medically necessary. The prescriptions were faxed to the Compounding Pharmacy, which filled the prescriptions and billed the Pharmacy Benefits Administrator.
The pharmacy then paid one of Sypherd’s conspirators a percentage of each prescription filled and paid by the Pharmacy Benefits Administrator, which was then distributed to Sypherd and other members of the conspiracy. Sypherd paid individuals with insurance coverage in cash to reward them for obtaining prescriptions.
According to the information, the Pharmacy Benefits Administrator paid Compounding Pharmacy over $50 million for compounded medications mailed to individuals in New Jersey.
Sypherd received approximately $354,264.06 for his role in the scheme.
As part of the plea agreement, Sypherd must forfeit $354,264.06 in criminal proceeds and pay restitution of at least $2,439,548.32.
The defendant faces a maximum penalty of 10 years in prison and a $250,000 fine, or twice the gross gain or loss from the offense. Sentencing is scheduled for June 1, 2018.
Thirteen other conspirators – Matthew Tedesco, Robert Bessey, Michael Pepper, Thomas Hodnett, Steven Urbanski, John Gaffney, Judd Holt, George Gavras, Richard Zappala, Michael Neopolitan, Andrew Gerstel, Timothy Frazier, and Michael Pilate – pleaded guilty from August through January 2018 and await sentencing.
U.S. Attorney Carpenito credited agents of the Federal Bureau of Investigation’s Atlantic City Resident Agency, under the direction of Special Agent in Charge Timothy Gallagher in Newark, IRS – Criminal Investigation, under the direction of Special Agent in Charge Jonathan D. Larsen in Newark, and the U.S. Department of Labor, Office of Inspector General, New York Region, under the direction of Special Agent in Charge Michael C. Mikulka, with the investigation leading to the guilty pleas. He also thanked the Division of Pensions and Financial Transactions in the State Attorney General’s Office, under the direction of Attorney General Gurbir S. Grewal and Division Chief Eileen Schlindwein Den Bleyker, for its assistance in the investigation.
The government is represented by Assistant U.S. Attorneys Jacqueline M. Carle and R. David Walk, Jr. of the U.S. Attorney’s Office in Camden.
Defense counsel: Marc Neff, Esq., Philadelphia, PA
Mexican Citizen Sentenced to Nine Years for Trafficking in MethamphetamineRead the Press Release
Tampa, Florida – U.S. District Judge Elizabeth A. Kovachevich has sentenced Gregorio Lucas-Ramos (29) to nine years in federal prison for conspiracy to possess with the intent to distribute 500 grams or more of methamphetamine. He pleaded guilty on October 25, 2017.
According to court documents, Lucas-Ramos is a Mexican citizen who entered the country illegally and resided in Alabama. In June 2015, an individual in Pasco County advised law enforcement that a Mexican man in Alabama, known to him as Gregorio, contacted the individual and discussed selling methamphetamine. During a series of phone calls, Lucas-Ramos arranged to deliver a half pound of methamphetamine to the individual. On June 25, 2015, Lucas-Ramos and a co-defendant, Josuel Ortiz, met the individual in a parking lot near a restaurant in Wesley Chapel. Ortiz retrieved the methamphetamine from under his vehicle and handed it to Lucas-Ramos. After Lucas-Ramos sold the methamphetamine to the individual, he said that his associate would make any future deliveries.
The next day, Lucas-Ramos and the individual working with law enforcement arranged for another delivery of methamphetamine. On July 1, 2015, Ortiz arrived at the agreed upon location, driving the same vehicle he used during the previous transaction. Ortiz and the individual drove to another location and parked their cars. Ortiz exited his vehicle and retrieved methamphetamine from a hidden compartment underneath the car. Law enforcement officers who had been surveilling the transaction then arrested Ortiz, searched his vehicle, and recovered the methamphetamine.
In total, law enforcement seized over four kilograms of high purity methamphetamine. On August 5, 2016, Ortiz, was sentenced to 14 years in federal prison.
This case is the result of an Organized Crime Drug Enforcement Task Force (OCDETF) investigation. The principal mission of the OCDETF program is to identify, disrupt, and dismantle the most serious drug trafficking and money laundering organizations and those primarily responsible for the nation’s drug supply. The investigation was conducted by the Drug Enforcement Administration and the Pasco County Sheriff’s Office. It was prosecuted by United States Attorney Maria Chapa Lopez and Assistant United States Attorneys Michael Leeman and Michael Sinacore.
Meth Dealer Who Possessed Firearms to Serve 15 Years in Federal PrisonRead the Press Release
A man who possessed methamphetamine with the intent to distribute and who possessed several firearms in furtherance of his drug trafficking crime, including an AR-15 rifle, was sentenced February 12, 2018, to 15 years in federal prison.
Travis Daniel Counsell, 48, from Rockford, Iowa, received the prison term after a July 6, 2017, guilty plea to possession with intent to distribute methamphetamine and possession of firearms in furtherance of a drug trafficking crime.
Information provided by the United States at the sentencing and change of plea hearings showed that on February 7, 2017, law enforcement was called to Mercy Medical Center North Iowa to investigate a subject that presented himself in the emergency room with a gunshot to the foot. Counsell reported he had shot himself in the foot with an AR-15 rifle. Counsell was a convicted felon, and not able to legally possess firearms. A search warrant was obtained for Counsell’s residence. Located during the search warrant was the loaded AR-15, a loaded .45 caliber handgun, and approximately two pounds of high purity methamphetamine. Counsell knowingly possessed the guns in furtherance of the drug trafficking crime.
Counsell was sentenced in Cedar Rapids by United States District Court Judge Linda R. Reade. Counsell was sentenced to 120 months’ imprisonment on the drug count and to 60 months’ imprisonment on the gun count, to be served consecutively. A special assessment of $200 was imposed. He must also serve a 5-year term of supervised release after the prison term. There is no parole in the federal system.
Counsell is being held in the United States Marshal’s custody until he can be transported to a federal prison.
The case was prosecuted by Assistant United States Attorney Jack Lammers and investigated by the North Central Iowa Narcotics Task Force, Cerro Gordo County Sheriff’s Office, and the Division of Narcotics Enforcement (DNE),
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 17-3015. Follow us on Twitter @USAO_NDIA.
Mandeville Woman Charged with Tax EvasionRead the Press Release
United States Attorney Duane A. Evans announced that MARCIA DENISE JORDAN, age 45, a resident of Mandeville, was charged today in a one-count bill of information with tax evasion, in violation of Title 26, United States Code, Section 7201.
According to the bill of information, JORDAN willfully attempted to evade tax due and owing for tax year 2011, by filing a false IRS form 4868 (Application for Automatic Extension of Time to File U.S. Individual Income Tax Return), which falsely stated that her total estimated tax liability was $0 and that she had made $10,000 in payments to the IRS, despite knowing that she had received $493,266 in taxable income that year.
If convicted, JORDAN faces a maximum term of imprisonment of five years, a fine of $250,000, three years of supervised release, and a $100 special assessment fee.
U.S. Attorney Evans reiterated that a bill of information is merely a charge and that the guilt of the defendant must be proven beyond a reasonable doubt.
U.S. Attorney Evans praised the work of the Internal Revenue Service, United States Secret Service, and the Slidell Police Department in investigating this matter. Assistant United States Attorney Jon Maestri and DOJ Tax Division Trial Attorney Grace Albinson are in charge of the prosecution.
Man Indicted for Selling Stolen Military Property and Drug PossessionRead the Press Release
RALEIGH – Robert J. Higdon, Jr., United States Attorney for the Eastern District of North Carolina, announces that a federal grand jury in Raleigh has returned an indictment charging SCOTT DOUGLAS BROWNING, age 40, of Fayetteville, NC, with 2-counts of willfully and knowingly receiving, concealing and retaining stolen property belonging to the United States military, 1-count of shipping the stolen items overseas in violation of the International Traffic in Arms Regulations (ITAR), 1-count of knowingly and intentionally possessing oxycodone, a Schedule II controlled substance, and 1-count of knowingly and intentionally possessing testosterone.
BROWNING conspired with numerous individuals to steal government property and military equipment. He utilized eBay accounts to sell and export the stolen equipment to the Netherlands without having first obtained from the Department of State a license for such export or written authorization for such export and after he had been formally notified such transactions were in violation of federal export law. He also sold over $1.5 million of stolen military equipment within the United States. Additionally, BROWNING possessed oxycodone and testosterone.
If convicted of these charges BROWNING would face maximum penalties of forty-two years’ imprisonment, $1,700,000 fine and a term of supervised release following any term of imprisonment.
The charges and allegations contained in the indictments are merely accusations. The defendant is presumed innocent unless and until proven guilty in a court of law.
The case is being investigated by the Federal Bureau of Investigation, the United States Army Criminal Investigation Division, Defense Criminal Investigative Service, Homeland Security Investigations, and Internal Revenue Service Criminal Investigation. Assistant United States Attorney Jason Kellhofer and Assistant United States Attorney Eleanor Morales are prosecuting this case on behalf of the government.
Man Illegally Residing in Lexington Pleads Guilty to Illegally Possessing a Firearm and Fraudulent Social Security CardsRead the Press Release
LEXINGTON, Ky. — Jesus Yakamara Lopez-Villa, a Mexican national illegally residing in Lexington, was sentenced to 33 months in prison, after pleading guilty to being a prohibited person in possession of a firearm and to possession of fraudulent social security cards.
Law enforcement officers encountered Lopez-Villa in June 2017, during the execution of a state search warrant in Lexington. Officers found Lopez-Villa in possession of three grams of cocaine, two fraudulent Social Security Cards, and a pistol. Lopez-Villa, a citizen of Mexico without permission to enter the United States, has previously been deported on two separate occasions.
Robert M. Duncan, Jr., United States Attorney for the Eastern District of Kentucky; Shawn Byers, Assistant Field Office Director, U.S. Immigration and Customs Enforcement (ICE); and Ron Compton, Acting Chief of Police, Lexington Police Department, jointly announced the sentence today.
ICE and the Lexington Police Department conducted the investigation. Assistant United States Attorney Lauren Tanner Bradley represented the United States.
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.
Man Charged with Possession of Stolen FirearmsRead the Press Release
U.S. Attorney Duane A. Evans announced that STEVEN RE, age 41, was charged on February 15, 2018, in a two-count indictment with possession of stolen firearms, in violation of 18 U.S.C. § 922(j).
According to the indictment, RE possessed a .22 caliber rifle, a .410 gauge shotgun, and a 20-gauge shotgun while knowing or having reasonable cause to believe the firearms were stolen. If convicted, RE faces as to each count a maximum term of imprisonment of ten years, a maximum fine of $250,000, a maximum term of supervised release of three years, and a mandatory $100 special assessment.
U.S. Attorney Evans reiterated that an indictment is merely a charging document and that the guilt of the defendant must be proven beyond a reasonable doubt.
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.
U.S. Attorney Evans praised the work of the Bureau of Alcohol, Tobacco, Firearms and Explosives in investigating this matter. Assistant United States Attorney J. Ryan McLaren is in charge of the prosecution.
Kanawha Repeat Offender Sentenced to Federal Prison for Cerro Gordo County Meth ConspiracyRead the Press Release
A man who conspired to manufacture methamphetamine was sentenced February 12, 2018, to 15 years in federal prison.
Todd Edward Daniels, 49, from Kanawha, Iowa, received the prison term after an August 9, 2017, guilty plea to conspiracy to manufacture methamphetamine. Daniels was previously convicted of conspiracy to manufacture and distribute methamphetamine in 2005.
At the guilty plea, Daniels admitted his involvement in a conspiracy that manufactured more than 50 grams of actual (pure) methamphetamine between the fall of 2016 and May, 2017. The investigation monitored Daniels’ activities, and purchases of pills containing pseudoephedrine by users/associates of Daniels. Daniels knew the pseudoephedrine pills he and his friends/associates purchased would be used to manufacture methamphetamine. A search warrant at Daniels residence revealed multiple items used in clandestine methamphetamine laboratories.
Daniels was sentenced in Cedar Rapids by United States District Court Judge Linda R. Reade. Daniels was sentenced to 180 months’ imprisonment. A special assessment of $100 was imposed. He must also serve a 10-year term of supervised release after the prison term. There is no parole in the federal system.
Daniels is being held in the United States Marshal’s custody until he can be transported to a federal prison.
The case was prosecuted by Assistant United States Attorney Jack Lammers and investigated by the Division of Narcotics Enforcement (DNE), the North Central Iowa Narcotics Task Force and the Britt Police Department.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 16-3021. Follow us on Twitter @USAO_NDIA.
Jury Convicts Two KC Men of Kidnapping, MurderRead the Press Release
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KANSAS CITY, Mo. – Timothy A. Garrison, United States Attorney for the Western District of Missouri, announced that two Kansas City, Mo., men were convicted by a federal trial jury today of charges related to the kidnapping and murder of another man.
Raynal King, 26, and Howard R. Ross, III, also known as “Lil’ Howard” and “Shooter,” 23, both of Kansas City, were found guilty of multiple counts related to the carjacking, kidnapping and murder of Jaime Patton on Sept. 6, 2016.
King and Ross were convicted of one count of conspiracy to commit kidnapping, one count of aiding and abetting a kidnapping resulting in death, one count of using a firearm in furtherance of a kidnapping that resulted in a first degree felony murder, one count of robbery of a motor vehicle (carjacking) resulting in death, one count of using a firearm in furtherance of carjacking that resulted in a first degree felony murder, and one count of aiding and abetting each other as felons in the possession of a firearm.
Patton was returning home from the hospital, where he had been caring for a family member, sometime after 5 a.m. that day when King and Ross kidnapped him and stole his 2014 Jeep Patriot. They held Patton at gunpoint and drove him around in his Jeep to ATM machines, attempting to force him to provide his PIN number for his debit card so they could withdraw cash from his bank account.
Patton was unable to provide a working PIN number to withdraw cash. While held at gunpoint by King and Ross in the Mazuma Credit Union parking lot, he called his wife to obtain the working PIN number, but he was unable to do so. King and Ross became upset with the lack of cooperation from Patton and shot him in his upper thigh to make sure he knew they were not playing around.
King and Ross then drove Patton in his Jeep south on Holmes Road while they discussed what to do with him. At approximately 6:30 a.m., shortly after traveling south on Holmes Road through the intersection with 135th Street and further out of the city, Patton jumped out of his Jeep while it was moving. Patton was shot multiple times while attempting to jump and he fell to the roadway. King and Ross then fled from the area in Patton’s Jeep, leaving him to die on the side of the road.
According to evidence introduced during the trial, King and Ross began planning to commit a robbery a couple of days earlier. King had recently purchased a silver Pontiac Grand Prix but was unable to make his car payments or pay the sales tax fees. Text messages between King and Ross (recovered from their phones) shows that only days before the kidnapping King communicated with Ross about his problems and about a potential robbery.
Ross, who was on state probation for robbery at the time of the crime, was held in the Jackson County Jail after his arrest. While in the Jackson County Jail, Ross made multiple recorded phone calls to others regarding disposing of various items of evidence. Ross discussed with friends and family the location of his iPhone, which led to search warrants and the recovery of Ross’s iPhone and further evidence on his iPhone.
Investigators recovered evidence from Ross’s iPhone that showed weeks before the kidnapping Ross had a Springfield Armory .45-caliber pistol. Patton was murdered with a .45-caliber bullet. Ross took photos of himself carrying the pistol; he messaged those photos to others and posted photos on social media sites. Shortly after the murder, Ross attempted to sell the pistol to an acquaintance.
When forensic examiners were able to search King’s Android phone, several messages, photographs, and relevant Internet searches were recovered as evidence. King took photos of the stolen Jeep and messaged with others in an attempt to sell the Jeep to obtain sufficient money to make his own car payment on his Silver Pontiac Grand Prix before it would be repossessed.
Following the presentation of evidence, the jury in the U.S. District Court in Kansas City, Mo., deliberated for just under three hours before returning the guilty verdicts to U.S. Chief District Judge Greg Kays, ending a trial that began Monday, Feb. 12, 2018.
Under federal statutes, King and Ross each face mandatory life imprisonment. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes, as the sentencing of the defendants will be determined by the court based on the advisory sentencing guidelines and other statutory factors. Sentencing hearings will be scheduled after the completion of presentence investigations by the United States Probation Office.
This case is being prosecuted by Assistant U.S. Attorneys Jess E. Michaelsen and Patrick C. Edwards. It was investigated by the Kansas City, Mo., Police Department and the FBI.
Jury Convicts KC Man of Investment Fraud SchemeRead the Press Release
KANSAS CITY, Mo. – Timothy A. Garrison, United States Attorney for the Western District of Missouri, announced that a Kansas City, Mo., man was convicted by a federal trial jury today of a nearly $500,000 investment fraud scheme.
Ryan Scott Luscombe, 45, of Kansas City, was found guilty of all six counts contained in a June 6, 2017, federal indictment. Luscombe was convicted of three counts of wire fraud, two counts of mail fraud and one count of money laundering.
Luscombe solicited investments for his business, Five Star Trading Group, Inc., claiming to investors that he would utilize his expertise in stock trading to produce exorbitant returns. Instead, evidence introduced during the trial indicated that the entirety of investor funds, which totaled $483,482, was used by Luscombe on personal expenditures in 2013, 2014 and 2015, including the purchase of a 2010 BMW 750I and a trip to Bermuda.
To date, none of Luscombe’s investors have received funds from returns or their original investment.
During the course of the scheme to defraud victims of their investment money, Luscombe represented himself as a wealthy individual and a successful day trader capable of producing tremendous returns on investments.
Luscombe told investors he was creating a new business to manage over $50 million from three investors in Arizona. Luscombe claimed he would be the primary investment trader, but because the dollar amount to be invested would be too large for one person to handle, he recruited two people to assist in his trading endeavor. In exchange for a fee or investment in the business, Luscombe offered to train the additional individuals in his trading strategy. Eventually, Luscombe told investors he would allow a small number of friends and family to take advantage or “piggyback” off the investment strategy of the larger investors.
Luscombe’s stated investment strategy was to trade securities in the stock market based on the identification of trends in the upward or downward direction of the stock price. Luscombe told investors the risk was very low and minimal because he constantly monitored the stock price. Luscombe told investors he had been in the trading business for many years and had previously made millions of dollars.
Luscombe regularly provided positive projected investment return updates to the victims regarding their investments, and claimed investor money would be utilized for trading and generating profits for investors. As a direct result of these conversations, investors entrusted their money to him.
Investors never authorized Luscombe to spend investment money on personal expenditures. Luscombe never told investors their investment money would be spent on his personal expenditures. A salary for Luscombe was not authorized by investors. At the time of investment, Luscombe never informed investors that investment funds would be utilized to pay his salary. An analysis of financial activity revealed Luscombe’s spending of investor funds included the following:
(a) $83,088 in cash and cash equivalents;
(b) $78,542 in retail expenses;
(c) $67,990 in restaurants and entertainment;
(d) $52,925 in vehicle expenses;
(e) $45,940 in travel expenses;
(f) $41,058 in rent and utilities;
(g) $39,673 in investment firm losses, fees, and interest; and
(h) $21,144 in nutrition, fitness and beauty expenses.
Luscombe was not registered with the Financial Industry Regulatory Authority as a broker dealer or as an investment advisor representative. Luscombe and Five Star Trading Group were not registered with the Missouri Secretary of State – Securities Division.
Following the presentation of evidence, the jury in the U.S. District Court in Kansas City, Mo., deliberated for a little over two hours before returning the guilty verdicts to U.S. District Judge Roseann Ketchmark, ending a trial that began Monday, Feb. 12, 2018.
Under federal statutes, Luscombe is subject to a sentence of up to 20 years in federal prison without parole on each of the fraud counts, and sentence of up to 10 years in federal prison without parole for money laundering. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes, as the sentencing of the defendants will be determined by the court based on the advisory sentencing guidelines and other statutory factors. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
This case is being prosecuted by Assistant U.S. Attorney Brent Venneman and Special Assistant U.S. Attorney Courtney R. Pratten. It was investigated by the FBI.
Juneau Sex Offender Sentenced for Receipt of Child PornographyRead the Press Release
Anchorage, Alaska –U.S. Attorney Bryan Schroder announced today Jim Wayne Thornhill, 40, of Juneau, Alaska, was sentenced on Friday, February 16, 2018 to 262 months (21 years and 10 months) in prison, followed by a lifetime term on supervised release, for receipt of child pornography. On September 22, 2017, a federal jury found Thornhill guilty after a five-day trial before Chief U.S. District Court Judge Timothy M. Burgess.
According to the evidence presented at trial, the Federal Bureau of Investigation (FBI) had received a report of harm that had been forwarded from the National Center for Missing and Exploited Children (NCMEC) and the Internet Crimes Against Children (ICAC) to the Juneau Police Department. The FBI was called in to assist in the investigation. The FBI traced the phone call to a local employer and subsequently identified, Jim Wayne Thornhill, as a person of interest. At Thornhill’s initial contact, Thornhill denied having a cell phone and admitted making the phone call the FBI was investigating. Thornhill is a convicted sex offender, who was convicted by the State of Alaska for Sexual Abuse of a Minor in the Second Degree in 2007, where the defendant had repeatedly sexually abused a child from the age of 6 to11.
The FBI learned that Thornhill’s employer, located a cell phone and handwritten lists with search terms and internet addresses that were associated with child pornography. FBI interviewed Thornhill several days later. In that interview, the defendant admitted to writing the handwritten lists of search terms and admitted ownership of the cell phone, and admitted to accessing the Internet with the cell phone between September and November 2014 to look for adult and child pornography that were “just naked kids.” Based on this information, the FBI obtained a search warrant for the defendant’s cell phone, which revealed at 581 images of child pornography that were downloaded between the dates of November 3, 2014 through December 25, 2014. Many of the images were of young pre-pubescent children engaged in sexually explicit conduct, including images that depicted a adult male sexually assaulting a toddler.
The FBI investigated this case, with assistance from the Juneau Police Department. Assistant United States Attorney Jack Schmidt, located in the Juneau Branch Office, prosecuted this case.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorney’s Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood, U.S. Marshals, federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
Jackson County Man Sentenced to 360 Months in Prison for Federal Child Pornography OffensesRead the Press Release
PANAMA CITY, FLORIDA – Ralph Herman Fox Jr., 61, of Graceville, Florida, was sentenced yesterday in the U.S. District Court in Panama City to 360 months in prison for production of child pornography. Fox pled guilty on December 4, 2017, which was the first day of his trial. The sentence was announced by Christopher P. Canova, United States Attorney for the Northern District of Florida.
In September 2016, a concerned citizen reported to the Jackson County Sheriff’s Office that Fox had been sexually abusing two young girls. A forensic examination of Fox’s cellular telephone revealed multiple video screen shots of Fox sexually assaulting one of the victims. The sexual abuse captured in the screen shots occurred for approximately one year, sometimes in the presence of other children.
U.S. Attorney Canova said, “The bravery of the 11-year old victim in this case exposed a predator, and her courage in coming forward helped protect other children from abuse. The sentence imposed on Fox sends a strong message that those who take advantage of our innocent children will pay a steep price.”
“The deviant nature of this crime is beyond comprehension,” said HSI Tampa Special Agent in Charge James C. Spero. “Together with our partners at the Jackson County Sheriff’s Office, our greatest hope is that today’s sentencing will play a part in the recovery of his young victims.”
The case was investigated by the United States Immigration and Customs Enforcement Homeland Security Investigations and the Jackson County Sheriff’s Office. The case was prosecuted by Assistant United States Attorney Christopher J. Thielemann.
The United States Attorney's Office for the Northern District of Florida is one of 94 offices that serve as the nation’s principal litigators under the direction of the Attorney General. To access public court documents online, please visit the U.S. District Court for the Northern District of Florida website. For more information about the United States Attorney’s Office, Northern District of Florida, visit http://www.justice.gov/usao/fln/index.html.
Information: Federal Court ArraignmentsRead the Press Release
The United States Attorney’s Office announced that those persons listed below were arraigned before the U.S. Magistrate and the indictments handed down by the Grand Jury unsealed.
Appearing before U.S. Magistrate Johnston in Great Falls on February 13, 2018 and entering pleas of Not Guilty were:
- DANIEL JAMES BLEVINS, a 41-year-old resident of Browning, appeared on charges of domestic abuse by habitual offender, and assault resulting in serious bodily injury. If convicted of the most serious charges contained in the indictment, BLEVINS faces 10 years in prison, $250,000 in fines and 3 years supervised release. The case was investigated by the Federal Bureau of Investigation. PACER Case Reference. 18-08
- COREY SADDLER, a 27-year-old resident of Box Elder, appeared on charges of assault resulting in serious bodily injury and assault with a dangerous weapon. If convicted of the most serious charges contained in the indictment, SADDLER faces 10 years in prison, $250,000 in fines and 3 years supervised release. The case was investigated by the Federal Bureau of Investigation. PACER Case Reference. 18-13
- JAMES DANIEL SMALLBOY, a 23-year-old resident of Box Elder, appeared on charges of assault resulting in serious bodily injury and assault with a dangerous weapon. If convicted of the most serious charges contained in the indictment, SMALLBOY faces 10 years in prison, $250,000 in fines and 3 years supervised release. The case was investigated by the Federal Bureau of Investigation. PACER Case Reference. 18-13
Appearing before U.S. Magistrate Cavan in Billings on February 13, 2018 and entering pleas of Not Guilty were:
- JORDEN SAMUEL BUTLER, a 28-year-old resident of Billings, appeared on charges of conspiracy to possess with intent to distribute methamphetamine, possession with intent to distribute methamphetamine, and felon in possession of a firearm. If convicted of the most serious charges contained in the indictment, BUTLER faces life in prison, $10,000,000 in fines and 5 years supervised release. The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives. PACER Case Reference. 18-08
- JEREMY ALAN CORKILL, a 34-year-old resident of Molt, appeared on charges of felon in possession of a firearm. If convicted of the charge contained in the indictment, CORKILL faces 10 years in prison, $250,000 in fines and 3 years supervised release. The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives. PACER Case Reference. 17-142
- GEORGE LOWRY WEEKS, a 45-year-old resident of Laurel, appeared on charges of felon in possession of firearm and ammunition. If convicted of the charge contained in the indictment, WEEKS faces 10 years in prison, $250,000 in fines and 3 years supervised release. The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives. PACER Case Reference. 18-14
If any of the above cases are of interest to your media organization and the community it serves, we encourage you to monitor the progress of the case regularly through the U.S. District Court calendar and the PACER system so that you stay current and not miss any important developments in the case.
To establish a PACER account, which will allow you to review documents filed in the case, please go to, http://www.pacer.gov/register.html. To access the district court’s calendar, please go to https://ecf.mtd.uscourts.gov/cgi-bin/PublicCalendar.pl.
Houston Man Indicted by Federal Grand Jury for Cyber Attack on Los Angeles County Superior CourtRead the Press Release
LOS ANGELES – A Houston, Texas man was indicted today on multiple felony counts for allegedly staging a phishing attack that used the Los Angeles County Superior Court (LASC) computer system.
Oriyomi Sadiq Aloba, 32, was named in an 11-count indictment returned this afternoon by a federal grand jury.
The indictment specifically charges Aloba with five counts of unauthorized access to a protected computer to obtain information, one count of unauthorized impairment of a protected computer, and five counts of aggravated identity theft.
According to the indictment, over the course of a week in late July 2017, Aloba used the stolen username and passwords of multiple LASC employees to log into LASC servers and send phishing emails. The phishing attack targeted email addresses outside the LASC system, and Aloba also allegedly sent test emails to himself to test the security features and ensure that he had full access to the accounts.
The phishing emails purported to be a communication from American Express and led victims to a webpage that asked for American Express login credentials, personal identifying information and credit card information. The link for the fake American Express website used a source code that designated Aloba’s account as the delivery address for the information that the victims input into the website.
Aloba allegedly accessed at least 18 different LASC employee accounts and sent out approximately 2 million phishing emails.
An indictment contains allegations that a defendant has committed a crime. Every defendant is presumed innocent until and unless proven guilty in court.
Aloba is scheduled to be arraigned on the indictment on March 8.
If Aloba were to be found guilty of the charges in the indictment, he would face a statutory maximum sentence of 10 years for the unauthorized impairment count, five years for each of the unauthorized access counts, and a mandatory two-year sentence for each the identity theft counts.
Aloba was initially charged by the Los Angeles County District Attorney, but the matter was referred to the United States Attorney’s Office for federal prosecution. Aloba was initially charged in federal court on January 10. He made his initial appearance in the federal case on January 17, at which time he was ordered released on a $10,000 bond.
This matter is being investigated by the Federal Bureau of Investigation.
The case is being prosecuted by Assistant United States Attorney Robyn Bacon of the Cyber and Intellectual Property Crimes Section.
Houston Businessman Pleads Guilty to Money Laundering ConspiracyRead the Press Release
A Houston, Texas, man pleaded guilty today to conspiring to commit money laundering, announced Principal Deputy Assistant Attorney General Richard E. Zuckerman of the Justice Department’s Tax Division and U.S. Attorney Ryan K. Patrick for the Southern District of Texas.
According to documents and information provided to the court, Marcus T. Weathersby conspired with others to facilitate the fraudulent sale of second-hand prescription medications to a Utah-based wholesale distributor. This scheme involved purchasing bottles of prescription medications from illegitimate sources and then selling the medications to another wholesale distributor who then sold them to pharmacies as new. Federal regulation requires wholesale distributors of prescription medications to provide to a buyer a pedigree – a written statement identifying each prior sale, purchase, or trade of the drugs being sold that includes the business name and information of all parties to the prior transactions, starting with the manufacturer.
As part of his plea, Weathersby admitted that in approximately December 2010, he established, Acacia Pharma Distributors Inc. (Acacia), a Mississippi corporation. Nearly eight months later, Weathersby directed another individual to incorporate Four Corner Suppliers Inc. (Four Corner) in Mississippi. Acacia and Four Corner purported to be legitimate wholesale distributors of pharmaceuticals licensed and operating in Mississippi, however, in reality Weathersby and others used these corporations to facilitate the illegal sale of second-hand prescription drugs.
Weathersby also opened and caused others to open bank accounts in the names of Acacia and Four Corner. Between February 2011 and July 2012, Weathersby withdrew and led others to withdraw over $2.9 million in cash from these bank accounts and to structure these cash withdrawals in amounts under $10,000 in order to prevent the banks from complying with their legal obligation to prepare currency transaction reports for each cash transaction over $10,000.
U.S. Magistrate Court Judge Nancy K. Johnson scheduled sentencing for May 30. Weathersby faces a statutory maximum sentence of 20 years in prison, as well as a period of supervised release and monetary penalties. Weathersby further agreed to the imposition of a money judgement against him in the amount of $2,991,867.76.
Principal Deputy Assistant Attorney General Zuckerman and U.S. Attorney Patrick thanked agents of IRS Criminal Investigation, the Federal Bureau of Investigation, and the Federal Department of Agriculture, who conducted the investigation, and Trial Attorneys Sean Beaty and Terri-Lei O’Malley of the Tax Division, who are prosecuting the case.
Additional information about the Tax Division and its enforcement efforts may be found on the division’s website.
Henrietta Swim Coach Arrested for Traveling to Meet A 16 Year Old Girl for SexRead 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 Matthew D. Lincoln, 37, of Henrietta, NY, was arrested and charged by criminal complaint with enticement of a minor to engage in sexual activity. The charge carries a mandatory minimum penalty of 10 years, a maximum of life, a $250,000 fine, or both.
Assistant U.S. Attorney Craig R. Gestring, who is handling the case, stated that the defendant, who was the head coach for the Golden Comets Swim Club, first came to law enforcement attention after he engaged in online communications with an 11 year old girl in Brighton. The child’s father reported this activity to the Brighton Police who then arranged an undercover operation.
During this operation, the defendant engaged in sexually explicit online conversations with a child he believed to be a 16 year girl. Over the course of several weeks, Lincoln repeatedly chatted with the child and requested that they meet in person so that they could engage in sexual activity. Lincoln also sent several photographs of himself to the child, including a full length nude photo. Eventually, the child agreed to meet Lincoln in person at a location in Brighton. Prior to meeting with the child, Lincoln went to a local WalMart and purchased a stuffed teddy bear, a heart shaped box of chocolates, and a card for the child, which he left in his nearby apartment.
Unbeknownst to Lincoln, the child was actually an undercover Brighton Police Investigator. When Lincoln arrived at the meeting to meet with the child, he was arrested. During a post arrest interview, Lincoln admitted to believing that he was communicating with a real 16 year old girl. He also admitted to transmitting sexually explicit messages to her and meeting with her with the intent to engage in sexual activity.
The defendant made an initial appearance on February 15, 2018, before United States Magistrate Judge Marian W. Payson. Lincoln is being held pending a detention hearing scheduled for February 22, 2018.
“Yesterday’s arrest reminds each of us that we must remain vigilant in protecting the youths of our society”, said U.S. Attorney Kennedy. “Together with our federal, state and local partners, we will do all that we can to ensure that those who pray upon our children are brought to justice”.
“I want to recognize the excellent work of the Brighton Police Department,” said FBI Buffalo Division Acting Special Agent in Charge Kevin P. Lyons. “They acted quickly on a parent’s complaint and took the necessary initiative to ensure that Matthew Lincoln was investigated and removed from the environment where our children live and play each day. Our Child Exploitation Task Force is tangible proof of the FBI’s mission to protect the young people in Monroe County and beyond -- a great collaborative effort that demonstrates our commitment to the community and our partners.”
The criminal complaint is the result of an investigation by the Brighton Police Department, under the direction of Chief of Police Mark Henderson, the Monroe County Sheriff’s Department, under the direction of Sheriff Todd K. Baxter, the Rochester Police Department, under the direction of Chief Michael Ciminelli, the New York State Police, under the direction of Major Richard Allen and the Federal Bureau of Investigation Child Exploitation Task Force, under the direction of Acting Special Agent in Charge Kevin P. Lyons.
The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
Hammond Man Sentenced to 70 Months ImprisonmentRead the Press Release
HAMMOND - Javier Castillo, 21, of Hammond, Indiana, was sentenced before District Court Judge Philip P. Simon for his role in a racketeering conspiracy as a member of the Latin Kings street gang, announced U.S. Attorney Thomas L. Kirsch II.
Castillo was sentenced to 70 months imprisonment and 2 years supervised release.
According to documents in this case, Castillo admitted his involvement in the June 2015, aggravated assault of a victim sustaining serious bodily injury in Hammond, Indiana, and admitted his responsibility for distributing between 500 grams and 2 kilograms of cocaine as relevant conduct for his role in the Latin Kings.
The Latin King case is the result of the investigative efforts of the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Chicago Police Department, the East Chicago Police Department, the Federal Bureau of Investigation, the Gary Police Department, the Hammond Police Department, the Lake County, Indiana, Sheriff’s Department and Lake County High Intensity Drug Trafficking Area officers and agents. The Northern District of Illinois United States Attorney’s Office and the Lake County Prosecutor’s Office also has provided assistance. The Latin King case is being prosecuted by Assistant U.S. Attorneys David J. Nozick and Dean Lanter of the Northern District of Indiana.
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Grand Jury Indicts Thirteen Russian Individuals and Three Russian Companies for Scheme to Interfere in the United States Political SystemRead the Press Release
The Department of Justice announced that a grand jury in the District of Columbia today returned an indictment presented by the Special Counsel’s Office. The indictment charges thirteen Russian nationals and three Russian companies for committing federal crimes while seeking to interfere in the United States political system, including the 2016 Presidential election. The defendants allegedly conducted what they called “information warfare against the United States,” with the stated goal of “spread[ing] distrust towards the candidates and the political system in general.”
“This indictment serves as a reminder that people are not always who they appear to be on the Internet,” said Deputy Attorney General Rod J. Rosenstein. “The indictment alleges that the Russian conspirators want to promote discord in the United States and undermine public confidence in democracy. We must not allow them to succeed. The Department of Justice will continue to work cooperatively with other law enforcement and intelligence agencies, and with the Congress, to defend our nation against similar current and future schemes. I want to thank the federal agents and prosecutors working on this case for their exceptional service. And we received exceptional cooperation from private sector companies like Facebook, Oath, PayPal, and Twitter.”
According to the allegations in the indictment, twelve of the individual defendants worked at various times for Internet Research Agency LLC, a Russian company based in St. Petersburg, Russia. The other individual defendant, Yevgeniy Viktorovich Prigozhin, funded the conspiracy through companies known as Concord Management and Consulting LLC, Concord Catering, and many subsidiaries and affiliates. The conspiracy was part of a larger operation called “Project Lakhta.” Project Lakhta included multiple components, some involving domestic audiences within the Russian Federation and others targeting foreign audiences in multiple countries.
Internet Research Agency allegedly operated through Russian shell companies. It employed hundreds of persons for its online operations, ranging from creators of fictitious personas to technical and administrative support, with an annual budget of millions of dollars. Internet Research Agency was a structured organization headed by a management group and arranged in departments, including graphics, search-engine optimization, information technology, and finance departments. In 2014, the agency established a “translator project” to focus on the U.S. population. In July 2016, more than 80 employees were assigned to the translator project.
Two of the defendants allegedly traveled to the United States in 2014 to collect intelligence for their American political influence operations.
To hide the Russian origin of their activities, the defendants allegedly purchased space on computer servers located within the United States in order to set up a virtual private network. The defendants allegedly used that infrastructure to establish hundreds of accounts on social media networks such as Facebook, Instagram, and Twitter, making it appear that the accounts were controlled by persons within the United States. They used stolen or fictitious American identities, fraudulent bank accounts, and false identification documents. The defendants posed as politically and socially active Americans, advocating for and against particular political candidates. They established social media pages and groups to communicate with unwitting Americans. They also purchased political advertisements on social media.
The Russians also recruited and paid real Americans to engage in political activities, promote political campaigns, and stage political rallies. The defendants and their co-conspirators pretended to be grassroots activists. According to the indictment, the Americans did not know that they were communicating with Russians.
After the election, the defendants allegedly staged rallies to support the President-elect while simultaneously staging rallies to protest his election. For example, the defendants organized one rally to support the President-elect and another rally to oppose him—both in New York, on the same day.
On September 13, 2017, soon after the news media reported that the Special Counsel’s Office was investigating evidence that Russian operatives had used social media to interfere in the 2016 election, one defendant allegedly wrote, “We had a slight crisis here at work: the FBI busted our activity.... So, I got preoccupied with covering tracks together with my colleagues.”
The indictment includes eight criminal counts. Count One alleges a criminal conspiracy to defraud the United States, by all of the defendants. The defendants allegedly conspired to defraud the United States by impairing the lawful functions of the Federal Election Commission, the U.S. Department of Justice, and the U.S. Department of State in administering federal requirements for disclosure of foreign involvement in certain domestic activities.
Count Two charges conspiracy to commit wire fraud and bank fraud by Internet Research Agency and two individual defendants.
Counts Three through Eight charge aggravated identity theft by Internet Research Agency and four individuals.
There is no allegation in the indictment that any American was a knowing participant in the alleged unlawful activity. There is no allegation in the indictment that the charged conduct altered the outcome of the 2016 election.
Everyone charged with a crime is presumed innocent unless proven guilty in court. At trial, prosecutors must introduce credible evidence that is sufficient to prove each defendant guilty beyond a reasonable doubt, to the unanimous satisfaction of a jury of twelve citizens.
The Special Counsel's investigation is ongoing. There will be no comments from the Special Counsel at this time.Grand Island Man Sentenced on Marijuana and Money Laundering ConvictionsRead 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 Thomas Bass, 23, of Grand Island, NY, who was convicted of possession with intent to distribute and distribution of marijuana, and money laundering, was sentenced to 7 months imprisonment and 2 years supervised release by U.S. District Judge Richard J. Arcara.
Assistant U.S. Attorney Wei Xiang, who handled the case, stated that Bass sold marijuana locally, then used the proceeds of the drug sales to buy bitcoins, with which he then bought more bulk quantities of marijuana from dark net vendors for further distribution. He cycled through over $100,000 in bitcoins and between 20 and 40 kilograms of marijuana in this manner. Law enforcement agents intercepted two packages destined for Bass in Buffalo. Each was mailed from California and contained approximately one pound of high-grade marijuana.
The sentencing is the result of an investigation by Immigration and Customs Enforcement, Homeland Security Investigations, under the direction of Special Agent in Charge Kevin Kelly, and the United States Postal Inspection Service, under the direction of Boston Division Acting Inspector in Charge Raymond Moss.
Ghana Citizen Pleads Guilty to Conspiracy to Commit Wire FraudRead 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 Jason Osei Bonsu, 35, of Ghana, pled guilty to conspiracy to commit wire fraud before U.S. District Judge Richard J. Arcara. The charge carries a maximum penalty of 20 years imprisonment and a $250,000 fine.
Assistant U.S. Attorney Scott S. Allen, Jr., who is handling the case, stated that between December 2015 and May 2017, Bonsu and his co-conspirators devised an internet romance scheme to defraud victims and obtain money.
In furtherance of the scheme, Bonsu’s co-conspirators utilized a dating website, MillionaireMatch.com, to engage victims in communications online and over the phone to develop a rapport with victims and convince victims that they were developing romantic relationships via the internet. Victims received alleged pictures of the co-conspirators that were actually photographs of others downloaded from the internet. For example, Victim 1, who resides in the Western District of New York, received images of a person known to her as “Marvin Roecker,” but the image actually depicted a real estate agent from Texas, whose name is not “Marvin Roecker.”
After successfully building rapport, victims were asked to wire money to assist with fictitious business ventures, family emergencies, or inheritances. Victims did so, wiring funds to accounts in Ghana, the United Kingdom, and to accounts in the United States controlled by Ghanaian nationals, including Bonsu.
On March 2, 2016, Victim 1 wired $65,000 to Amen’s TD Bank account. Text messages between the defendant and co-defendant Adams Amen demonstrate that both were participants in the scheme to defraud Victim 1. For instance, Amen and Bonsu discussed quickly withdrawing Victim 1’s money to prevent the bank from becoming suspicious. Subsequently, on March 21, 2017, following a request by “Marvin Roecker,” Victim 1 wired another $180,000 to a bank account located in the United Kingdom, controlled by a co-conspirator.
Victims lost over $211,000 as a result of Bonsu’s participation in the scheme.
The plea is the result of an investigation by the Federal Bureau of Investigation, under the direction of Acting Special Agent in Charge Kevin P. Lyons.
Sentencing is scheduled for June 4, 2018, at 12:30 p.m. before Judge Arcara.
Frankfort Man Sentenced for Trafficking Crack CocaineRead the Press Release
FRANKFORT, Ky.— Myron B. Moore, age 31, of Frankfort, Ky., was sentenced today to 18 years, 10 months (226 months) in prison, by United States District Court Judge Gregory F. Van Tatenhove, for possession with intent to distribute over 28 grams of crack cocaine.
Moore previously admitted that on April 20, 2017, Frankfort Police officers performed a traffic stop of his vehicle and found him in possession of 15 grams of crack cocaine. Later the same day, law enforcement officers obtained a search warrant for Moore’s residence and discovered an additional 90 grams of crack cocaine and $51,780 in cash. Moore admitted that he possessed the crack cocaine with intent to distribute it, and that the money discovered at his residence was proceeds from drug sales. Moore also admitted that he had previously been convicted in the Franklin Circuit Court of drug trafficking. Moore pleaded guilty to the charges in October of 2017.
Under federal law, Moore must serve 85 percent of his prison sentence: and upon release, he will be under the supervision of the United States Probation Office for 8 years.
Robert M. Duncan, Jr., United States Attorney for the Eastern District of Kentucky; Chris Evans, Special Agent in Charge, Drug Enforcement Administration; and Travis Ellis, Chief of the Frankfort Police Department, jointly announced the sentence today.
The investigation was conducted by the DEA and the Frankfort Police Department.
Fort Worth Man Sentenced to 25 Years in Federal Prison for Breaking into Pharmacies and Stealing Controlled SubstancesRead the Press Release
FORT WORTH, Texas — Dion Clark, 36, of Fort Worth, Texas, was sentenced yesterday by U.S. District Judge John McBryde to 25 years in federal prison, following his guilty plea in August 2017 to one count of conspiracy to interfere with commerce by robbery and one count of using, carrying, and brandishing a firearm during and in relation to, and possessing and brandishing a firearm in furtherance of, a crime of violence, announced U.S. Attorney Erin Nealy Cox of the Northern District of Texas.
Co-defendant’s Darrien Jefferson, aka “Smoke,” Nicholas Evans, aka “Nico,” and Kenneth Sauls, aka “Smurf,” were charged separately and previously sentenced by U.S. District judge Reed O’Connor.
According to the factual resumes filed in the case, on April 9, 2016, Clark, Evans, Jefferson, and Sauls entered into an agreement to commit a robbery at the Walgreens Pharmacy located at 833 South Wilshire Blvd., Burleson, Texas. Clark waited in the vehicle as the get-a-way driver while Evans, Jefferson and Sauls entered the Walgreens, brandished firearms and “zip” tied the victims’ hands and feet. Collectively the group stole narcotics, cash, cigarettes, and approximately 150 booklets of stamps.
The case was investigated by the Federal Bureau of Investigation. Assistant U.S. Attorney Megan Fahey prosecuted.
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Former Massage Therapist Sentenced to Five Years in Prison for Series of Sex Offenses Involving ClientsRead the Press Release
WASHINGTON – Habtamu Gebreslassie, 24, a former massage therapist, was sentenced today to five years in prison for a series of sex offenses involving clients at two massage establishments in Northwest Washington, announced U.S. Attorney Jessie K. Liu and Peter Newsham, Chief of the Metropolitan Police Department (MPD).
Gebreslassie, of Silver Spring, Md., pled guilty in December 2017, in the Superior Court of the District of Columbia, to first-degree sexual abuse of a patient or client, attempted first-degree sexual abuse of a patient or client, and misdemeanor sexual abuse. The plea, which was contingent upon the Court’s approval, called for an agreed-upon prison sentence of 19 to 60 months, to be followed by three years of supervised release. Additionally, upon completion of his prison term, Gebreslassie will be required to register as a sex offender for the rest of his life. The Honorable Lynn Leibovitz accepted the plea and sentenced the defendant accordingly.
According to a proffer of facts submitted at the plea hearing, all three victims were women who were getting massages from the defendant, who was licensed to practice massage therapy in the District of Columbia.
The first incident took place on June 21, 2017, at a massage establishment in the Dupont Circle area. That day, Gebreslassie engageed in unwanted sexual contact with a client. The second incident happened on Aug. 28, 2017, at another establishment in the Tenleytown area; there, Gebreslassie attempted to engage in a sexual act with a client. Finally, on Sept. 17, 2017, also at the Tenleytown location, Gebreslassie sexually abused a client.
Following the Sept. 17 incident, the victim contacted the Metropolitan Police Department. Gebreslassie was arrested later that day and has remained in custody ever since.
In announcing the sentence, U.S. Attorney Liu and Chief Newsham commended the work of those who investigated the case from the Metropolitan Police Department’s Second District and Sexual Assault Unit. They acknowledged the efforts of the Forensic Biology Unit of the District of Columbia Department of Forensic Sciences, which provided assistance. They expressed appreciation for the work of those who handled the case at the U.S. Attorney’s Office, including Victim/Witness Advocate Tracy Hawkins, Paralegal Specialist Tiffany Jones, and Assistant U.S. Attorneys Jocelyn Bond and J. Matt Williams, who investigated and prosecuted the case.
Former Ellis County Sherriff’s Office Employee Sentenced to 40 Months in Federal PrisonRead the Press Release
DALLAS — Thomas Glen Smith, 50, of Hamilton, Texas, was sentenced yesterday by U.S. District Judge Jane J. Boyle to 40 months in federal prison, following his guilty plea in August 2017 to one count of possession or sale of stolen firearms, announced U.S. Attorney Erin Nealy Cox of the Northern District of Texas.
Philip Gary Slaughter, 42, was charged in a separate but related case and also pleaded guilty to his role. Slaughter was sentenced to 15 months in federal prison by U.S. District Judge Sidney A. Fitzwater.
According to plea documents filed in the case, Smith and Slaughter worked at the Ellis County Sherriff’s Office (ECSO) in the ECSO Evidence Room. Their responsibilities included reorganizing the ECSO Evidence Room, where they had access to numerous firearms seized by the ECSO. On November 18, 2015 Slaughter obtained a court order to destroy hundreds of the firearms in the ECSO Evidence Room. Some of these firearms, however, were not destroyed and, instead, Smith and Slaughter sold approximately forty firearms taken from the ECSO Evidence Room.
At various times in November and December, 2015, Smith and Slaughter pawned several firearms at various pawn stores in the Ellis County area. The defendants would also use their Facebook accounts to sell firearms to individuals. These firearms were either supposed to be in the possession of the ECSO Evidence Room or were listed in the destruction order.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives and the Texas Department of Public Safety—Texas Ranger Division. Assistant U.S. Attorneys Kate Rumsey, Joseph Magliolo, and Errin Martin prosecuted.
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Former CEO and Executive Management of Defense Contractor, Wellco Enterprises, Inc., Pleads Guilty to $8.1 Million "Made in the USA" Marketing Scheme and Government Contract FraudRead the Press Release
GREENEVILLE, Tenn. – On February 15, 2018, the former President and Chief Executive Officer of Wellco Enterprises, Inc. (Wellco) and Tactical Holdings Operations, Inc. (Tactical Holdings), Vincent Lee Ferguson, 66, of Knoxville, Tennessee, pleaded guilty to conspiracy to commit wire fraud. Wellco’s former Senior Vice President of Sales, Matthew Lee Ferguson, 41, of Geneva, Illinois, and former Director of Marketing and Communications, Kerry Joseph Ferguson, 36, of Houston, Texas, also pleaded guilty to conspiracy to commit wire fraud.
Wellco’s former Vice President of Government Contracting, Neil Streeter, 55, of Warren, Massachusetts, and former Operations Manager, Stephanie Lynn (Ferguson) Kaemmerer, 45, of Knoxville, Tennessee, pleaded guilty to smuggling goods into the United States.
Sentencing has been set for Vincent Lee Ferguson, Matthew Lee Ferguson, and Kerry Joseph Ferguson for June 6, 2018, before the Honorable J. Ronnie Greer, U.S. District Judge. Sentencing for Neil Streeter and Stephanie Lynn Kaemmerer is set for June 11, 2018, also before Judge Greer. Conspiracy to commit wire fraud and smuggling goods into the United States both carry a maximum penalty of 20 years in prison and a fine of up to $250,000. Each defendant was released pending sentencing.
According to information on file with the U.S. District Court, Wellco was a leading manufacturer and supplier of military footwear to the U.S. Department of Defense (DoD) and to civilian (commercial) customers for over 70 years. From 2006 through 2012, DoD alone paid in excess of $138 million to Wellco for the supply of combat boots. Wellco pioneered and patented the first practical method for molding and attaching a rubber sole to a shoe upper in a single operation. During the Vietnam War, the U.S. Army adopted Wellco technology for the manufacture of its hot-weather boots for the jungles of Vietnam, a boot that became known as the “Vietnam Boot” or the “jungle boot.” In May, 2007, in a deal involving approximately $22 million, Wellco was acquired by two investment firms, Golden Gate Private Equity, Inc. and Integrity Brands, Inc. Wellco became a wholly owned subsidiary of Golden Gate’s portfolio company, Tactical Holdings.
In March 2006, Vincent Lee Ferguson was made President and CEO of Wellco. At that time, he discussed with Wellco’s Board of Directors, his turnaround plan for the company to increase commercial sales and “aggressively pursue” sales to the U.S. government. From December 2008 through August 2012, he conspired with his executive team to import military-style boots that were made in China into the United States and then deceptively market and sell those boots to DoD (and other federal departments and agencies), government contractors, and the general public as “Made in the USA” and as compliant with the Berry Amendment and the Trade Agreements Act (TAA). The Berry Amendment prohibits DoD from buying clothing that is not grown, reprocessed, reused or produced in the United States. The purpose of the Berry Amendment is to protect the viability of America’s textile and clothing production base. The TAA provides that the government may acquire only “U.S.-made or designated country end products” and requires government contractors to certify that each “end product” meets applicable requirements.
By December 2008, Wellco was manufacturing certain military boot model uppers and insoles in China. In order to conceal this fact, the conspirators required the Chinese manufacturing facility to include the American flag and “USA” on labels of certain boot uppers. After two shipments of these deceptively marked boots were detained and seized by the U.S. Department of Homeland Security’s Customs and Border Protection, the conspirators ordered the Chinese facility to stitch tear-away “Made in China” labels in Wellco boot uppers. After importation, the conspirators instructed Wellco factory workers in Morristown, Tennessee to tear out the “Made in China” tags prior to shipping the boots to government and commercial purchasers.
The defendants marketed and sold these Chinese-made Wellco boots as “Made in the USA.” They also submitted false certifications to DoD and other federal agencies, and to government contractors that these boots complied with the Berry Amendment and TAA and met certain safety standards, including electrical hazard and blood-borne pathogen protections for U.S. troops. For example, on August 15, 2012, the defendants submitted a signed “Certificate of Conformance” to a government contractor, representing that Wellco’s boot model S161 was “100% Berry Compliant” and “fully protective against Electrical Hazard,” even though the model was imported from China and not safety tested. The boots were then supplied to troops stationed at Sheppard Air Force Base in Wichita Falls, Texas. In total, Wellco sold at least $8.1 million of fraudulent boots.
This case was investigated by Homeland Security Investigations, Defense Criminal Investigative Service, Air Force Office of Special Investigations, General Services Administration Office of Inspector General, and Defense Contract Audit Agency. Assistant U.S. Attorneys David L. Gunn and Timothy C. Harker represented the United States.
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Five Cincinnati Individuals Plead Guilty to Roles in Armed Bank RobberiesRead the Press Release
CINCINNATI – Five individuals pleaded guilty in U.S. District Court for their roles in three armed bank robberies in the Cincinnati area in May and June 2017.
Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, Angela L. Byers, Special Agent in Charge, Federal Bureau of Investigation (FBI), Cincinnati Division, and Cincinnati Police Chief Eliot K. Isaac announced the pleas.
Malcolm Lorenzo Jones, 21, pleaded guilty to armed bank robbery and discharge of a firearm during and in relation to a crime of violence.
According to statements of facts, Malcolm Lorenzo Jones brandished a black revolver while ordering bank employees and customers to the ground at the Key Bank on Springdale Road in Cincinnati on May 22, 2017. Jones then went to the front door and opened it for co-defendant Nelson Jones, 26 to enter.
When Nelson Jones entered the bank, an off-duty police officer entered immediately behind him. The off-duty officer pulled his firearm and demanded that both defendants get on the ground, but as Malcolm Lorenzo Jones moved to the ground, he raised his firearm and fired a shot at the officer. A gunfight ensued, and Malcolm Lorenzo Jones jumped over the bank counter in an attempt to dodge the shots from the officer while exchanging return fire.
Malcolm Jones was struck with at least one bullet, yet both defendants managed to flee the bank on foot, stealing approximately $3,480.
Nelson Jones also brandished a firearm while robbing North Side Bank and Trust on St. Gregory St. in Cincinnati on May 13, 2017. Co-defendant Hope Tolbert, 21, assisted in the robbery by collecting nearly $6,000 from the bank’s cash drawers.
Nelson Jones pleaded guilty to two counts related to the using and discharging a firearm during a crime of violence. Tolbert pleaded guilty to one count of armed bank robbery.
On June 20, 2017, Nelson Jones and Marquez Peterson, 22, – who was armed with a pistol – robbed the Wes Banco Bank on Vine Street in Cincinnati. Joy Favors, 23, rode in the car with Jones and Peterson to the bank. Favors exited the car and went inside to case the bank minutes before the robbery. Favors returned to the car and informed Jones and Peterson of what to expect upon entering the bank. Nearly $10,700 was stolen. Peterson pleaded guilty to one count of armed bank robbery and one count of using a firearm during a crime of violence. Favors also pleaded guilty to one count of conspiracy to use a firearm during and in relation to a crime of violence.
Armed bank robbery is a federal crime punishable by up to 25 years in prison. Conspiracy to use a firearm during and in relation to a crime of violence is a federal crime punishable by up to 20 years in prison.
Discharging a firearm during and in relation to a crime of violence carries a potential sentence of 10 years to life in prison, to be served consecutive to any other sentence. If charged with a second subsequent count of this crime, a defendant faces a sentence range of 25 years to life in prison to be imposed consecutive to all other sentences imposed.
U.S. Attorney Glassman commended the investigation of these cases by the FBI and Cincinnati Police Department, as well as Assistant United States Attorney Anthony Springer who is prosecuting the case.
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Etna Man Pleads Guilty to Marijuana ConspiracyRead the Press Release
Bangor, Maine: United States Attorney Halsey B. Frank announced that James Mansfield, 33, of Etna, pleaded guilty yesterday in U.S. District Court to conspiring to manufacture, distribute, and possess with intent to distribute marijuana.
According to court records, during a period between October 2010 and August 2016, the defendant conspired with others to illegally manufacture and distribute marijuana. The defendant grew marijuana at a large, sophisticated indoor growing facility in Frankfort, Maine. In May 2016, law enforcement officers executed a federal search warrant at the facility and recovered about 400 marijuana plants, 295 marijuana root balls, and paraphernalia used to manufacture and process marijuana. According to the search warrant affidavit, the defendant and his co-conspirators were not registered as medical marijuana caregivers with the Maine Department of Health and Human Services (DHHS), and the location of the facility was not reported to DHHS.
The defendant faces up to 20 years in prison, between three years and life of supervised release, and a $1,000,000 fine. He will be sentenced after the completion of a presentence investigation report by the U.S. Probation Office.
The investigation was conducted by the U.S. Drug Enforcement Administration.
Ellsworth AFB Man Sentenced for Possession of Child PornographyRead the Press Release
United States Attorney Ron Parsons announced that an Ellsworth AFB, South Dakota, man convicted of Possession of Child Pornography was sentenced on February 12, 2018, by Chief Judge Jeffrey L. Viken, U.S. District Court.
Ryan Davies, age 28, was sentenced to 18 months of imprisonment and 5 years of supervised release and ordered to pay a $100 special assessment to the Federal Crime Victims Fund.
Davies was charged on June 14, 2016, after law enforcement received a CyberTipline Report from the National Center of Missing and Exploited Children that an individual was uploading naked images of juveniles to a cloud account. Law enforcement traced the account to Davies, who was found to have child pornography images on several electronic devices.
This case was investigated by the Internet Crimes Against Children Task Force. Assistant U.S. Attorney Sarah B. Collins prosecuted the case.
Davies was immediately remanded to the custody of the United States Marshals Service.
D’iberville Man Sentenced to More Than 7 Years in Federal Prison for Possession of Oxycodone with Intent to DistributeRead the Press Release
Gulfport, Miss. – Travis Lee Fulgham, 24, of D’Iberville, was sentenced yesterday by U.S. District Judge Louis Guirola, Jr. to 87 months in federal prison followed by three years of supervised release for possession with intent to distribute oxycodone, announced U.S. Attorney Mike Hurst and DEA Special Agent in Charge Stephen G. Azzam. Fulgham was also ordered to pay $20,000 in restitution.
Fulgham pled guilty on September 12, 2017, for his role in a scheme with his mother, Carla Fulgham, in which she was stealing pharmaceutical pills from Back Bay Pharmacy, where she worked as a pharmacy technician, and Travis Fulgham was distributing them.
The case was investigated by the Drug Enforcement Administration Tactical Diversion Squad and prosecuted by Assistant U.S. Attorney John Meynardie.
Drug Addict from Grant County, N.M., Charged with Violating Federal Firearms LawsRead the Press Release
ALBUQUERQUE – This afternoon, a U.S. Magistrate Judge sitting in Las Cruces, N.M, ordered a resident of Grant County, N.M., who is charged with being a drug addict in possession of firearms and ammunition, detained pending trial based on findings that he poses a danger to the community.
Richard G. Dinwiddie, 57, of Cliff, N.M., was arrested on Feb. 6, 2018, and was charged with being an unlawful user of controlled substances in possession of firearms and ammunition in a criminal complaint filed on Feb. 7, 2018. According to the complaint, federal and local law enforcement officers executed a federal search warrant at Dinwiddie’s residence on Feb. 5, 2018, and allegedly found approximately 6.2 grams of methamphetamine, 64.6 grams of marijuana, drug paraphernalia, six firearms, and approximately 1,000 rounds of assorted ammunition. The complaint further alleges that Dinwiddie has been a methamphetamine user for approximately two years.
Dinwiddie made his initial appearance in federal court on Feb. 12, 2018. During this afternoon’s proceedings, Dinwiddie waived his right to a preliminary hearing on whether there was probable cause to support the charge in the criminal complaint.
If convicted of the charge in the criminal complaint, Dinwiddie faces a maximum penalty of ten years in federal prison. Charges in criminal complaints are merely accusations and criminal defendants are presumed innocent unless found guilty beyond a reasonable doubt.
This case was investigated by the Las Cruces office of the FBI, the New Mexico State Police, the Catron County Sheriff’s Office, the Grant County Sheriff's Office and the Silver City Police Department. Assistant U.S. Attorney Marisa A. Ong of the U.S. Attorney’s Las Cruces Branch Office is prosecuting the case.
Dinwiddie ComplaintDover Man Pleads Guilty to Conspiring to Straw Purchase Gun While on Probation for Same OffenseRead the Press Release
WILMINGTON, Del. – David C. Weiss, Acting United States Attorney for the District of Delaware, announced that on February 7, 2018, Jon Henry, age 24, of Dover, Delaware, pled guilty to the following three criminal offenses: conspiracy to make false statements to a gun store during the purchase of a 9 mm handgun, possession of that 9 mm handgun after having been convicted of a felony, and possession of marijuana with intent to distribute. The defendant faces up to five years imprisonment and a $250,000 fine on the conspiracy charge, up to 10 years imprisonment and a $250,000 fine on the firearm possession charge, and up to five years imprisonment and a $250,000 fine on the marijuana charge.
This marks the second time Mr. Henry has been convicted of the same firearms conspiracy offense. On each occasion he orchestrated the straw purchase of a gun, meaning that he had a person with a clean criminal history buy him a gun that he could not have legally purchased himself. Mr. Henry’s first conviction occurred in 2015. At sentencing in that case, the government argued that Mr. Henry was a member of a Dover gang called the West Side Gang, that he had someone straw purchase a gun for him, that he gave the gun to another gang member, and that the gun was likely used in a shooting. Mr. Henry received a 21-month sentence for the 2015 conviction.
While on supervised release for his 2015 conviction, Mr. Henry again solicited someone to straw purchase the 9 mm handgun. The gun store’s video surveillance shows the straw purchaser and Mr. Henry in the store together. Mr. Henry waved the gun around on SnapChat videos, and had it with him during a vehicular traffic stop performed by Dover Police in July 2017.
Acting U.S. Attorney David C. Weiss said, “We are determined to keep guns out of the hands of criminals. Too many violent crimes result from straw purchasers buying guns for people who should not have them. We will aggressively pursue charges against all those involved in the acquisition of these firearms.”
This case is the result of an investigation conducted by the Dover Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives. The prosecution is being handled by Assistant U.S. Attorney Jennifer K. Welsh
Dominican National Pleads Guilty to Role in National Conspiracy to Sell Identity Documents to Illegal AliensRead the Press Release
A Dominican national pleaded guilty today for his role in a scheme to sell the identities of Puerto Rican U.S. citizens and corresponding identity documents to individuals illegally residing in the United States. Acting Assistant Attorney General John P. Cronan of the Justice Department’s Criminal Division, U.S. Attorney Rosa E. Rodríguez-Vélez of the District of Puerto Rico, Deputy Director Thomas D. Homan of U.S. Immigration and Customs Enforcement (ICE) and Inspector in Charge Craig Goldberg of the U.S. Postal Inspection Service Chicago Division made the announcement.
Reynaldo Rodriguez-Canario, aka Reinaldo Rodriguez, Reynaldo Rodriguez, Reinaldo Canario, Jose Almonte, Jose Martinez, Matatan and Ciego, 47, a citizen of the Dominican Republic residing in Puerto Rico, pleaded guilty before U.S. Magistrate Judge Marcos O. Lopez of the District of Puerto Rico to one count of conspiracy to possess and transfer identification documents, one count of conspiracy to encourage an alien to reside in the United States for financial gain, and one count of aggravated identity theft.
“The illegal sale of identity documents to individuals illegally residing in the United States undermines the integrity of our lawful immigration system and threatens our nation’s public safety and national security,” said Acting Assistant Attorney General Cronan. “Participants in the black market for identity documents should be on notice: the Justice Department and our law enforcement partners will not allow this kind of illegal activity to continue.”
“The U.S. Attorney’s Office for the District of Puerto Rico takes identity theft very seriously,” said U.S. Attorney Rodríguez-Vélez. “The protection of the integrity of vital identity documents such as social security numbers and birth certificates, is a crucial preemptive measure in our fight against terrorism, immigration offenses, and fraud. We commend the hard work of ICE, the U.S. Postal Inspection Service agents and Criminal Division Trial Attorneys in the investigation and prosecution of this scheme. Those who engage in large-scale identity theft schemes should be on notice that they will be prosecuted and punished to the fullest extent of the law.”
“Criminals who conspire to exploit our nation’s citizenship and immigration services for financial gain not only pose as a severe security threat but also undermine our laws,” said ICE Deputy Director Homan. “This case is another excellent example of ICE’s document and benefit fraud task force engaging other federal and international agencies to combat this criminal enterprise.”
“This defendant utilized the U.S. mail to further his scheme of trafficking stolen and fictitious identities,” said Inspector in Charge Goldberg. “Even though this case spanned multiple countries and 38 states across our great nation, it did not deter the U.S. Postal Inspection Service from aggressively investigating and bringing the defendant to justice. We want to thank the Department of Homeland Security, Internal Revenue Service, and the Department of Justice for partnering with the Postal Inspection Service to end Mr. Rodriguez-Canario’s criminal enterprise. Identity theft is a serious crime affecting countless people; devastating their finances, personal credit ratings, and families. The U.S. Postal Inspection Service will continue to ensure confidence and integrity in the U.S. mail system.”
According to admissions made in connection with his guilty plea, Rodriguez-Canario obtained identity documents of Puerto Rican U.S. citizens, usually consisting of birth certificates, social security cards and driver’s licenses, and shipped them to co-conspirators in the United States. According to Rodriguez-Canario, his conspirators sold social security cards and corresponding Puerto Rican birth certificates to individuals illegally residing on the mainland United States for prices ranging from $500 to $1,300 per set. The defendant admitted that the conspirators used money transfer services and the U.S. mail to complete their illicit transactions. Rodriguez-Canario also admitted that he knew that the customers who purchased the identity documents intended to commit social security fraud and other criminal offenses.
Pursuant to his plea agreement, Rodriguez-Canario agreed to be removed to the Dominican Republic upon the completion of any sentence of incarceration and supervision imposed by the Court. Sentencing has been scheduled for June 22 before District Judge Juan M. Pérez-Giménez.
ICE’s Homeland Security Investigations (HSI) Chicago and the U.S. Postal Inspection Service led the investigation with assistance from the HSI San Juan, Puerto Rico. The HSI Assistant Attaché office in the Dominican Republic and International Organized Crime Intelligence and Operations Center provided invaluable support, with assistance from ICE and U.S. Postal Inspection Service offices around the country.
Trial Attorneys Frank Rangoussis of the Criminal Division’s Human Rights and Special Prosecutions Section and Marianne Shelvey of the Criminal Division’s Organized Crime and Gang Section are prosecuting the case. The U.S. Attorney’s Office of the District of Puerto Rico is providing assistance in this matter.
Potential victims and the public may obtain information about the case at: www.justice.gov/criminal/vns/caseup/beltrerj.html. Anyone who believes their identity may have been compromised in relation to this investigation or who may have information about particular crimes in this case should call the ICE toll-free hotline at 1-866-DHS-2ICE (1-866-347-2423) or use its online tip form at www.ice.gov/tipline.
Anyone who believes that they have been a victim of identity theft, or wants information about preventing identity theft, may obtain helpful information and complaint forms on various government websites including the Federal Trade Commission ID Theft Website at: www.ftc.gov/idtheft. Additional resources regarding identity theft can be found at: www.ojp.usdoj.gov/ovc/pubs/ID_theft/idtheft.html, www.ssa.gov/pubs/10064.html and www.irs.gov/privacy/article/0,,id=186436,00.html.
District Man Sentenced to 48 Years in Prison for 2014 Slaying at Southeast Washington Barber ShopRead the Press Release
WASHINGTON – Antwon D. Green, 29, of Washington, D.C., was sentenced today to 48 years in prison for killing a man in 2014 at a Southeast Washington barber shop, announced U.S. Attorney Jessie K. Liu and Peter Newsham, Chief of the Metropolitan Police Department (MPD).
Green was found guilty by a jury in December 2017, following a trial in the Superior Court of the District of Columbia, of first-degree premeditated murder, attempted armed robbery, assault with a dangerous weapon, being a felon in possession of a firearm, and related charges. He was sentenced by the Honorable Judith Bartnoff. This prison term is in addition to a six-year sentence that Green must serve for an armed robbery he committed just weeks after the murder.
According to the government’s evidence, on Friday, Oct. 10, 2014, at about 11 a.m., Green walked by the front of the Kutt n’ Up barber shop in the 1400 block of Good Hope Road SE, and pointed at Breond Keys, a customer who was getting his hair cut inside.
Roughly 16 minutes later, Green, now wearing different clothing including a dark-colored hooded sweatshirt and a mask, ran into the barber shop, holding a pistol in his hand. Green immediately raised the pistol with both hands, pointed it at Mr. Keys as he sat in the barber chair getting his haircut, and opened fire, hitting Mr. Keys several times. Other patrons and barbers scrambled to keep from being struck by Green’s bullets. Once Mr. Keys fell to the floor, Green continued to fire at him, striking him several additional times. As Mr. Keys lay dying on the barber shop floor, Green dug his ungloved-hand into Mr. Keys’ right, front pants pocket, stealing the contents therefrom. Green then fled the barber shop.
Mr. Keys, 38, was taken to a hospital, but pronounced dead a short time after the shooting.
Several surveillance cameras mounted inside the barber shop caught the murder on video. However, because Green successfully disguised his appearance with his hoodie and mask, none of the eyewitnesses were able to identify the gunman. Upon examining the surveillance footage, the detectives saw that the gunman had reached into Mr. Keys’s pocket during the incident. Accordingly, they submitted Mr. Keys’s pants for DNA examination and analysis. DNA testing revealed that Green’s DNA (i.e., his skin cells) were found inside Mr. Keys’s right front pants pocket.
Following an investigation by MPD, Green was charged in the murder in July 2015. He has been in custody ever since.
The armed robbery case stemmed from a crime carried out by Green on Oct. 28, 2014, at a liquor store about a block away from where he earlier had committed the murder. That day, at approximately 4:15 p.m., Green ran past a man with a sleeping infant strapped to his chest and robbed a store owner who was restocking an ATM machine. He fled with $12,000 in cash. Green pled guilty in 2015 to a charge of armed robbery for this offense.
In announcing the sentence, U.S. Attorney Liu and Chief Newsham commended the work of those who investigated the case from the Metropolitan Police Department and the FBI. They also expressed appreciation for the assistance provided by the District of Columbia Office of the Medical Examiner, the Glendale Verdugo Regional Crime Laboratory, and the District of Columbia Department of Forensic Sciences. They acknowledged the efforts of those who worked on the case from the U.S. Attorney’s Office, including Michael Ambrosino, Special Counsel for DNA and Forensic Evidence Litigation; Forensic Operation/Program Specialist Benjamin Kagan-Guthrie; Victim/Witness Advocate James Brennan; Paralegal Specialists Kelly Blakeney and Meridith McGarrity; Criminal Investigators John Marsh, William Hamann, and Zachary McMenamin, and Litigation Technology Specialist Leif Hickling. Finally, they commended the work of Assistant U.S. Attorneys Richard DiZinno, Glenn Kirschner and Allessandra Stewart, who investigated and prosecuted the case.
Department of Justice Takes Action in Response to Broward County School ShootingRead the Press Release
Attorney General Jeff Sessions offered his condolences and support for the people of Broward County, Florida yesterday. He also ordered the Department of Justice to assist the victims of the tragic shooting at Marjory Stoneman Douglas High School as well as the state and local agencies that are leading the investigation.
The Attorney General offered the following statement: “It is now clear that the warning signs were there and tips to the FBI were missed. We see the tragic consequences of those failures.
“The FBI in conjunction with our state and local partners must act flawlessly to prevent all attacks. This is imperative, and we must do better. I have ordered the Deputy Attorney General to conduct an immediate review of our process here at the Department of Justice and FBI to ensure that we reach the highest level of prompt and effective response to indications of potential violence that come to us. This includes more than just an error review but also a review of how we respond. This will include possible consultation with family members, mental health officials, school officials, and local law enforcement.
“We will make this a top priority. It has never been more important to encourage every person in every community to spot the warning signs and alert law enforcement. Do not assume someone else will step up--all of us must be vigilant. Our children's lives depend on it.”
***
Following are some of the resources already deployed by the Department and available to assist with the state and local response:- The FBI has approximately 250 personnel working on this matter, including personnel in Miami and at FBI headquarters in Washington, D.C.
- The FBI’s Evidence Response Team is assisting in evidence collection and analysis and providing technical assistance with phone and social media investigation.
- The ATF dispatched 17 special agents from the Miami Field Division to assist at the scene, and these agents continue to support the Broward County Sheriff’s Office in follow-up investigation.
- 14 ATF agents from ATF’s West Palm Beach and Fort Pierce Field Offices were on stand-by to assist during the scene response, and are now supporting the follow-up investigation.
- ATF completed an urgent trace of a recovered firearm through its National Tracing Center.
- ATF assisted in ballistics analysis through its National Integrated Ballistics Information Network, conducted witness interviews, and canvassed area federal firearms licensees for information that may assist the investigation.
- Numerous components of the Department have made their victim-witness coordinators available for victim and witness assistance as needed.
- The U.S. Marshals Service has deployed eight personnel—four from the Florida/Caribbean Fugitive Task Force and four from the Southern District of Florida office. Additional personnel were staged and remain ready to respond if needed.
- U.S. Attorney Benjamin Greenberg remains in contact with the state prosecutor and Broward County Sheriff’s Office leadership and has made all federal resources available as needed.
- Three Assistant U.S. Attorneys are currently assisting with the investigation, and one is staffing the FBI Command Post.
- Through the Antiterrorism and Emergency Assistance Program, the Office for Victims of Crime has funding available to support victim-assistance activities, such as crisis intervention and grief trauma counseling, and to reimburse victims for certain expenses related to the shooting.
- The Office for Victims of Crime and the Bureau of Justice Assistance stand ready to assist the state and local authorities.
This list should not be considered exhaustive. The Department of Justice will continue to do whatever it can to help the people of Florida at this difficult time.Dallas Attorney Admits to Running Marriage Fraud SchemeRead the Press Release
DALLAS — Bilal Ahmed Khaleeq, 47, a Dallas attorney, appeared before U.S. Magistrate Judge David L. Horan yesterday and pleaded guilty to one count of conspiracy to commit marriage fraud, announced U.S. Attorney Erin Nealy Cox of the Northern District of Texas.
Khaleeq will remain on supervised release pending sentencing, which is set for June 4, 2018. Co-defendant Amna Cheema, 37, a Pakistani national, previously pleaded guilty to her role in the scheme and was sentenced to time served.
According to the plea agreement and factual resume: in June 2015, Khaleeq and others knowingly and unlawfully conspired and agreed together and with each other to unlawfully facilitate and enter into a marriage between co-defendant, Amna Cheema and a United States citizen, Person A, for the purpose of evading immigration laws. Cheema and Person A were married in Dallas County, Texas and subsequently filed permanent residence applications with USCIS in July 2015. In exchange for agreeing to marry Cheema, Person A was paid $745. Co-defendant Cheema also admitted engaging in discussions with Khaleeq and Person A at Khaleeq’s law office on more than one occasion to discuss preparation for the USCIS interview and required documentary evidence including joint bank accounts, tax returns, and bills concerning their joint residence. According to co-defendant Cheema, Khaleeq also represented the couple at the USCIS interview in April 2016 and advised them on additional evidence to make the marriage appear legitimate.
U.S. Immigrations and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) investigated the case. Special Assistant U.S. Attorney Lynn Javier prosecuted.
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Brooklyn Man Pleads Guilty to Attempting to Join ISIS in YemenRead the Press Release
Earlier today in federal court in Brooklyn, Mohamed Rafik Naji pleaded guilty before United States District Judge Frederic Block to one count of attempting to provide material support or resources to the Islamic State of Iraq and al-Sham (ISIS), a foreign terrorist organization.
United States Attorney Richard P. Donoghue, Acting Assistant Attorney General for National Security Edward O’Callaghan, Assistant Director-in-Charge William F. Sweeney, Jr., of the New York Field Office of the Federal Bureau of Investigation (FBI), and James P. O’Neill, Commissioner, New York City Police Department (NYPD), announced the guilty plea.
Mr. Donoghue extended his grateful appreciation to the FBI’s Joint Terrorism Task Force (JTTF), which comprises a number of federal, state and local agencies from the region.
As detailed in publicly filed court documents, Naji viewed and distributed ISIS propaganda before traveling from New York to Yemen in March 2015 in an effort to join ISIS. While in Yemen, Naji repeatedly tried to travel to areas controlled by ISIS, explaining in emails with an associate in the United States that he was on his fifth attempt to reach ISIS. Naji described traveling through militarized zones and claimed that he and his group had almost been “killed . . . by army.” In addition, he explained that “we have trouble getting in the party” because there were “to[o] many security [g]uards all ova the place” that would “kill us if they find us.” Naji also sent his associate videos that he made in Yemen. In one of the videos that was attached to an email with the subject line “First day on the job,” Naji’s voice can be heard over the sound of automatic weapons saying “I think we’re taking fire.” Naji also sent his associate ISIS propaganda videos. In addition, in an online conversation, Naji proclaimed his allegiance to ISIS stating, “I belong to Islamic state only.”
Following his return to the United States in September 2015, Naji continued to express his support for ISIS and violent jihad. For example, he explained ways to travel to ISIS-controlled territory in Syria by crossing the Turkish border, and how to employ strategies to avoid arrest in Turkey. In July 2016, following the ISIS-inspired terrorist truck attack in Nice, France, Naji discussed how easy it would be to carry out a similar attack in Times Square, explaining that ISIS “want an operation in Times Square” and stating that an ISIS “reconnaissance group . . . put up scenes of Times Square.” Naji further explained “if there is a truck, I mean a garbage truck and one drives it there to Times Square and crushes them…Times Square day.” He was arrested by members of the New York JTTF in the autumn of 2016. At sentencing, Naji faces a statutory maximum term of 20 years’ imprisonment.
The government’s case is being handled by the Office’s National Security & Cybercrime Section. Assistant United States Attorneys Ian C. Richardson and Melody Wells were in charge of the prosecution, with assistance from Trial Attorney Brian Morgan of the National Security Division’s Counterterrorism Section.
The Defendant:
MOHAMED RAFIK NAJI
Age: 38
Brooklyn, New YorkE.D.N.Y. Docket No. 16-CR-653 (FB)
Broken Arrow Man Pleads Guilty to Sexual Exploitation of a ChildRead the Press Release
United States Attorney Trent Shores announced today that Noel McFadden, 71, of Broken Arrow, pleaded guilty before Chief United States District Judge Gregory K. Frizzell to one count of sexual exploitation of a child. Sentencing is set for May 16, 2018.
According to admissions made in connection with the plea agreement, in April 2017, McFadden knowingly coerced a minor under the age of 12 to take pictures of her genitals with a cellphone he had given her. McFadden faces a mandatory minimum prison sentence of 15 years up to 30 years, and a fine of $250,000.
United States Attorney Shores stated, “This prosecution is another example of law enforcement dedicating their professional lives to protecting those who cannot protect themselves. Predators will be prosecuted, and most importantly, held accountable by my office.”
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and 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 www.justice.gov/psc.
The charges are the result of an investigation by the Federal Bureau of Investigation and the Broken Arrow Police Department. Assistant United States Attorney Jeffrey A. Gallant handled the prosecution of this case.
Brent M. Lee Convicted by Federal Jury of Bank Fraud and Related CrimesRead the Press Release
PIKEVILLE, Ky. – Brent M. Lee, 41, of Pike County, Ky., was convicted by a federal jury yesterday, of conspiracy to commit bank fraud, two counts of aiding and abetting bank fraud, two counts of misapplication of bank moneys by a bank employee, and four counts of making unauthorized obligations by a bank employee.
The jury returned its verdict after a 3-day trial. The evidence established that Lee, while a Market President for BB&T, conspired with Paul D. Fannin, 49, a residential developer from Van Lear, and Chelsea Stone, 25, Fannin’s daughter residing in Georgetown, to commit bank fraud. Fannin, who was one of Lee’s major clients, had an outstanding loan with BB&T for $950,000, for developing an 8-unit townhome project called Stone Crest Properties. When BB&T officials became concerned with the pace of progress on the project, compared with the amount of loan funds dispersed, BB&T downgraded the loan and required that Lee and Fannin follow certain protocols and procedures designed to keep a closer watch on the project before releasing more money to Fannin. Rather than follow BB&T’s protocols, Brent Lee suggested to Fannin that they use Chelsea Stone to get a new loan from BB&T, the proceeds of which would go directly to Fannin.
Additionally, in October 2014, Lee had Stone sign numerous documents to obtain a commercial loan from BB&T, in the amount of $100,000. Lee misrepresented to BB&T that the loan was intended to expand Stone’s embroidery business; however, Stone owned no such business. The BB&T check issued for the loan was deposited into Paul Fannin’s bank account. In November 2014, Lee had more documents prepared, which he also had Chelsea Stone sign, to get a new loan to pay off Stone’s outstanding $100,000 obligation. Then, in January 2015, Lee had documents prepared, which he again had Chelsea Stone sign, to get a new loan that would pay off the November 2014 loan and pay out an additional $149,212.50. Almost all of this money actually went to Fannin. Lee then had this loan again extended, in July 2015, just two months before he resigned from BB&T. Of the $250,000 gained through this scheme, Fannin spent at least $120,000 at casinos in the area. BB&T lost more than $248,000 as a result of Lee’s fraudulent conduct.
Prior to trial, Fannin had pleaded guilty to conspiracy to commit bank fraud.
Robert M. Duncan, Jr., United States Attorney for the Eastern District of Kentucky; Joseph Moriarty, Federal Deposit Insurance Corporation, Office of Inspector General; and Amy Hess, Special Agent in Charge, Federal Bureau of Investigation, jointly announced the verdict. The United States was represented at trial by Assistant United States Attorneys Kathryn Anderson and Paul McCaffrey.
Lee is currently scheduled to appear for sentencing before Chief Judge Karen K. Caldwell, in Pikeville, on May 31, 2018 at 12:30. Lee faces a maximum penalty of 30 years in prison. However, his sentence will be imposed by the court after consideration of the United States Sentencing Guidelines and the federal statute governing the imposition of sentences.
Bookkeeper charged with defrauding small businessRead the Press Release
Alleged $300,000 fraud nearly bankrupted employer
PRESS RELEASE
Indianapolis – United States Attorney Josh Minkler today announced that Erica Howard, 30, of Indianapolis, was charged with wire fraud for a two-year scheme to siphon funds from her employer, a family-owned construction company in Franklin, Indiana. Howard, who has prior convictions for fraud, forgery, and theft, has agreed to plead guilty to the federal felony charge.
“Fraud on a small business often impacts much more than the bottom line,” Minkler said. “It can costs people good jobs, as it did here. It also breeds distrust, especially when the fraud is perpetrated by a trusted employee. People who exploit a position of trust for purely personal gain will be held accountable to the fullest extent of the law.”
Just months after starting as bookkeeper, Howard allegedly began diverting company money to herself. According to the federal charges, she abused her access to company accounts online to pay over a dozen personal credit cards and buy electronics and other items on Amazon.
Howard allegedly concealed her fraud for over two years. Entrusted with keeping the company books, she never noted her personal uses of company funds. Then, each year, she delivered the false books to the company’s accountant, along with a set of phony bank statements that she had manipulated to make the numbers match.
Howard’s fraud was finally discovered when a company check bounced. By then, she had allegedly funneled over $315,000 in company money to herself. The company’s owners were forced to lay off workers and liquidate retirement savings to keep the business afloat.
Following an investigation by the Federal Bureau of Investigation and Franklin Police Department, Howard agreed to plead guilty to the federal wire fraud charge. According to Assistant United States Attorney Nick Linder, who prosecuted this case for the government, Howard faces up to 20 years in federal prison and an order to pay restitution for the full amount she stole.
“The FBI takes our responsibility to investigate and pursue those who commit fraud for personal gain very seriously," said Robert Middleton, Acting Special Agent in Charge of the FBI’s Indianapolis Division. “We will continue working with our law enforcement partners to hold accountable those who use illegal means and criminal behavior to take advantage of others.”
In October 2017, United States Attorney Josh J. Minkler announced a Strategic Plan designed to shape and strengthen the District’s response to its most significant public safety challenges. This prosecution demonstrates the office’s firm commitment to utilize and partner with law enforcement agencies to prosecute individuals engaged in complex fraud schemes. See United States Attorney’s Office, Southern District of Indiana Strategic Plan Section 5.1.
Biloxi Woman Pleads Guilty to Heroin Possession with Intent to DistributeRead the Press Release
Gulfport, Miss. – Robyn Paige Kisling, 45, of Biloxi, pled guilty yesterday before U.S. District Judge Sul Ozerden to possession with intent to distribute heroin, announced U.S. Attorney Mike Hurst and Thomas M. Annello, Acting Special Agent in Charge of U.S. Immigration and Customs Enforcement's Homeland Security Investigations in New Orleans.
On April 19, 2016, Robyn Paige Kisling, sold an ounce of heroin to a confidential source in the parking lot of the Ocean Springs Walmart.
Kisling will be sentenced on May 17, 2018, by Judge Ozerden, and faces a maximum penalty of twenty years in prison and a $1 million fine.
The case was investigated by Homeland Security Investigations and prosecuted by Assistant U.S. Attorney John Meynardie.
Barberton man sentenced to more than 10 years in prison for methamphetamine and firearms crimesRead the Press Release
A Barberton man was sentenced to more than 10 years in prison for methamphetamine trafficking and firearms crimes.
Matthew R. Golech, 38, was sentenced to 123 months in prison after being found guilty of possession with the intent to distribute methamphetamine and using a firearm in furtherance of drug trafficking.
Golech had approximately a 50 grams of methamphetamines in 2016. He also had a Bersa Firestorm .22 caliber pistol which he used in furtherance of drug trafficking, according to court documents.
The case is being prosecuted by Assistant U.S. Attorney Aaron P. Howell following an investigation by the Bureau of Alcohol, Tobacco, Firearms and Explosives.
Attorney General Sessions' Statement on Immigration ReformRead the Press Release
Attorney General Sessions' statement on immigration reform: “President Trump put forth reasonable, fair, and effective policy pillars for immigration reform that serves the national interest and would close loopholes in law and court decisions that frustrate the ability of the men and women of the Departments of Justice and Homeland Security to do the jobs that Congress and the American people expect them to do. President Trump’s proposal would go a long way toward solving those problems by: (1) enhancing border security, including a wall and the elimination of legal loopholes that facilitate illegal immigration; (2) ending the illogical visa lottery system; (3) ending extended family chain migration; and, (4) solving the DACA problem. Nearly all of the proposals advanced in the Senate this week failed to address these issues.
“One proposal in particular would have eviscerated the authority of the Department of Homeland Security to arrest, detain, and remove the vast majority of illegal aliens in the country by limiting enforcement through mandated “prioritization” to criminal aliens, national security threats and—perhaps most surprisingly—future illegal immigrants. It failed to secure the border and left in place loopholes in our laws that allow the near unfettered entry of unaccompanied minors and family units. These loopholes create inexplicable and reckless incentives for new illegal immigration and perpetuate the catastrophic “catch and release” policy that has facilitated the presence of hundreds of thousands of illegal aliens in the United States. It also failed to close loopholes that make it difficult to remove criminal aliens, did nothing to combat sanctuary jurisdictions, failed to end unchecked extended family chain migration, and failed to address the outdated and dangerous visa lottery program.
“From a law enforcement perspective, these failures undermine the work of our Department of Justice prosecutors and investigators.
“We can work together to pass meaningful legislation. H.R. 4670, the Securing America’s Future Act, which has been sponsored in the House of Representatives by House Judiciary Committee Chairman Bob Goodlatte, is a reasonable and fair bill that closes loopholes, establishes good policies, fulfills the President’s four pillars, and advances America’s legitimate national interest.”Assistant Scout Master Sentenced for Receipt of Child PornographyRead 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 Daniel Huzinec, 26, of Buffalo, NY, who was convicted of receipt of child pornography, was sentenced to 168 months imprisonment and lifetime supervised release by U.S. District Judge Lawrence J. Vilardo.
Assistant U.S. Attorney Stephanie Lamarque, who handled the case, stated that the investigation began in December 2014, when the defendant shared photographs of male children engaged in sexually explicit conduct on a peer-to-peer website.
On January 27, 2015, agents from Homeland Security Investigations (HSI) Buffalo, executed a search warrant at the defendant’s residence in South Buffalo. Numerous items were seized from the residence including a laptop computer. During the execution of the warrant, the defendant, an Assistant Scout Master, waived his Miranda rights and admitted that in January 2015, while chaperoning a Boy Scout camping trip, he took several sexually explicit pictures of a sleeping 16-year-old boy with his cell phone.
A subsequent forensic evaluation of the electronic evidence seized from the defendant’s residence determined that such evidence contained images and videos of child pornography, including the sexually explicit pictures of the sleeping child that the defendant had admitted to taking. Law enforcement officers also discovered that Huzinec produced child pornography of another boy. Specifically, in November 2014, Huzinec enticed a 15-year-old boy, a former member of the defendant’s Boy Scout troop, to send him sexually explicit pictures by creating a fake email account and posing as a teenage girl. Those pictures were also found on the defendant’s computer.
“The Boy Scouts are an organization which promotes values such as duty and honor,” noted United States Attorney Kennedy. “There is nothing honorable about sexually exploiting children, and today’s sentence should send a message to any child predator out there—if you do anything to hurt our youth, ‘be prepared’ to spend a long time in jail.”
“This individual violated his position of trust with the Boy Scouts to exploit and take advantage of young boys under his supervision," said Kevin Kelly, Special Agent-in- Charge of HSI Buffalo. "The exploitation of children is reprehensible, and HSI has teams dedicated to these types of investigations to ensure that we locate and arrest child predators and bring them to justice."
The sentencing is a result of an investigation by Immigration and Customs Enforcement, Homeland Security Investigations, under the direction of Special Agent-in-Charge Kevin Kelly.
Armed Robber Pleads Guilty to MurderRead the Press Release
Geoffrey S. Berman, the United States Attorney for the Southern District of New York, announced that DWAINE COLLYMORE, a/k/a “Twin,” pled guilty yesterday to murdering Carlos Vargas, and shooting at a second man, during an attempted robbery on April 28, 2016, inside 2466 Marion Avenue in the Bronx, New York. COLLYMORE faces a maximum term of life in prison, and will be sentenced before Chief United States District Judge Colleen McMahon.
U.S. Attorney Geoffrey S. Berman said: “Dwaine Collymore has admitted to murdering Carlos Vargas during a botched robbery. We will continue to work with our law enforcement partners to ensure that murderers are held to account for their crimes.”
According to the Indictment and other documents filed in the case, as well as statements made during the plea proceeding, on April 28, 2016, COLLYMORE and another man attempted to rob the occupants of an apartment located at 2466 Marion Avenue in the Bronx, where Carlos Vargas and others were engaged in selling small quantities of marijuana. The victims resisted, and in the ensuing struggle COLLYMORE stunned Vargas and knocked him to the ground. COLLYMORE then fired a shot at a second victim (“Victim-2”). Victim-2 was not struck, but fell to the ground and played dead. Believing he had already killed Victim-2, COLLYMORE then leaned over Vargas and fired a single shot into Vargas’s head at close range, killing him.
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Mr. Berman praised the outstanding work of the investigators of the United States Attorney’s Office for the Southern District of New York, the New York City Police Department’s 46th Precinct Detective Squad, and the United States Marshals Service.
This case is being handled by the Office’s Violent and Organized Crime Unit. Assistant United States Attorneys Jared Lenow and Hagan Scotten are in charge of the prosecution.
Alexandria Drug Trafficker Sentenced to 10 Years in PrisonRead the Press Release
ALEXANDRIA, Va. – An Alexandria man was sentenced today to 10 years in prison for conspiring to distribute five kilograms or more of cocaine.
According to court documents, Nigel Anthony Forde, 33, received 15 multi-pound shipments containing cocaine from December 2016 until his arrest on Aug. 28, 2017. Upon his arrest, law enforcement seized a package addressed to his residence and seized approximately three kilograms of cocaine. During a subsequent search of Forde’s Alexandria residence, law enforcement seized a loaded firearm, approximately a quarter of kilogram of cocaine, drug paraphernalia, and $290,975 in cash.
Tracy Doherty-McCormick, Acting U.S. Attorney for the Eastern District of Virginia, Karl C. Colder, Special Agent in Charge for the Drug Enforcement Administration’s (DEA) Washington Field Division, Robert B. Wemyss, Inspector in Charge of the Washington Division of the U.S. Postal Inspection Service, and Michael L. Brown, Alexandria Chief of Police, made the announcement after sentencing by Senior U.S. District Judge T.S. Ellis, III. Assistant U.S. Attorney Carina A. Cuellar prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information is located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:17-cr-287.
Albuquerque Felon Sentenced to 200 Months for Conviction on Federal Armed Robbery, Carjacking and Firearms ChargesRead the Press Release
ALBUQUERQUE – Virgal Malott, 23, of Albuquerque, N.M., was sentenced late yesterday afternoon in federal court to 200 months (16.6 years) of imprisonment for his conviction on armed robbery of a commercial business, carjacking and firearms charges. Malott will be on supervised release for three years after completing his prison sentence. The sentence was announced by Acting U.S. Attorney James D. Tierney, Special Agent in Charge John J. Durastanti, Phoenix Field Division of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), and Chief of Police Michael Geier of the Albuquerque Police Department (APD).
Malott was prosecuted under a federal anti-violence initiative that targets the “worst of the worst” offenders for federal prosecution. Under this initiative, the U.S. Attorney’s Office and federal law enforcement agencies work with New Mexico’s District Attorneys and state, local and tribal law enforcement agencies to target violent or repeat offenders primarily based on their prior criminal convictions for federal prosecution with the goal of removing repeat offenders from communities in New Mexico for as long as possible.
“Through this initiative, the federal law enforcement community is working with the Albuquerque Police Department to make Albuquerque a safer place to live, work and raise families by protecting them from violent, repeat offenders like Virgal Malott,” said Acting U.S. Attorney Tierney.
“Our goal is simple, to put violent criminals such as Malott behind bars and off our streets,” said ATF Special Agent in Charge Durastanti. “I wish to commend our law enforcement partners and the leadership of the U.S. Attorney’s Office for their prosecution of this violent felon.”
“It’s important that we use all available resources to target the most violent, repeat offenders, and put an end to their criminal activity,” APD Chief Geier said. “Albuquerque’s businesses and neighborhoods are safer with these offenders behind bars.”
On Feb. 14, 2015, APD officers arrested Malott on outstanding state felony warrants. Following Malott’s arrest, APD executed a state search warrant at Malott’s residence as part of its ongoing investigation into a series of armed robberies of Albuquerque-area businesses. During the search, APD found a loaded firearm, which provided the basis for a federal criminal complaint charging Malott with being a felon in possession of a firearm and ammunition that was filed by ATF on Feb. 18, 2015. In June 2015, Malott was charged in an 11-count indictment with violating the Hobbs Act by robbing seven businesses engaged in interstate commerce, carjacking, using and brandishing a firearm during crimes of violence, and being a felon in possession of a firearm. The indictment alleged that Malott committed the crimes in Bernalillo County, N.M., from Dec. 2014 to Jan. 2015.
The indictment was superseded in Aug. 2015, to add two additional defendants, Gabriel Sanchez, 28, and Paul Lujan, 22, both of Albuquerque, and two more charges. The superseding indictment charged the three men with conspiring to violate the Hobbs Act by robbing businesses engaged in interstate commerce in Jan. 2015, the armed robbery of five Albuquerque-area businesses, and with using and brandishing firearms during crimes of violence. It also charged Malott alone with the armed robbery of two additional Albuquerque-area businesses, carjacking, and with being a felon in possession of a firearm. The superseding indictment alleged that the three men committed the crimes charged in Bernalillo County between Dec. 2014 and Jan. 2015.
Aug. 17, 2017, Malott entered a guilty plea to three counts of the superseding indictment charging him with the armed robbery of a business engaged in interstate commerce, carjacking, and using and brandishing a firearm during a crime of violence. In entering the guilty plea, Malott admitted robbing a title loan business located in Albuquerque on Dec. 22, 2014. Malott acknowledged that he was armed when he committed the robbery. He also admitted pointing the firearm at the business’s three employees and that he threatened to kill the employees. Malott admitted committing a carjacking on Jan. 19, 2015, by pointing a firearm at an individual who was at an Albuquerque convenience store and demanding the individual’s wallet and keys. Malott fled from the scene in the individual’s vehicle.
Lujan was arrested on Dec. 3, 2015, after he was transferred from state custody into federal custody. On Aug. 15, 2017, Lujan pled guilty to a felony information charging him with using and carrying a firearm during a crime of violence. In entering the guilty plea, Lujan admitted that on June 30, 2015, he acted as the getaway driver during the armed robbery of the Loan Max Title Loan in Albuquerque. Lujan further admitted that he discarded a firearm while running from the police following the armed robbery. Under the terms of his plea agreement, Lujan will be sentenced to 60 months in federal prison followed by a term of supervised release to be determined by the court. Lujan remains in federal custody pending his sentencing hearing, which is scheduled for Feb. 22, 2018.
Sanchez was arrested on Dec. 31, 2015. On Oct. 26, 2017, Sanchez entered a guilty plea to Count 12 of the superseding indictment, charging him with using and carrying a firearm during and in relation to a crime of violence. In entering the guilty plea, Sanchez admitted that on Jan. 30, 2015, he carried and brandished a firearm during the armed robbery of the Title Max Loans at 3900 San Mateo Blvd. NE in Albuquerque. Under the terms of his plea agreement, Sanchez will be sentenced to seven years of imprisonment followed by a term of supervised release to be determined by the court. Sanchez remains in federal custody pending his sentencing hearing, which his scheduled for March 29, 2018.
This case was investigated by the Albuquerque office of ATF and by APD, with assistance from the 2nd Judicial District Attorney’s Office. Assistant U.S. Attorneys Rumaldo A. Armijo and David M. Walsh are prosecuting the case.
Al-Qaeda Operative Sentenced to Life in Prison for Terrorism Offenses Targeting Americans OverseasRead the Press Release
Earlier today, Al-Qaeda operative Ibrahim Suleiman Adnan Adam Harun, aka Spin Ghul, 47, was sentenced to life in prison following his March 16, 2017 trial conviction of multiple terrorism offenses, including conspiracy to murder American military personnel in Afghanistan, conspiracy to bomb the U.S. Embassy in Nigeria, and providing material support to al-Qaeda.
Acting Assistant Attorney General for National Security Edward O’Callaghan, U.S. Attorney Richard P. Donoghue for the Eastern District of New York, Assistant Director in Charge William F. Sweeney, Jr. of the FBI’s New York Field Office and Commissioner James P. O’Neill of the NYPD made the announcement. The sentence was issued by U.S. District Judge Brian M. Cogan.
“With the sentence handed down today, our justice system has once again held accountable an al-Qaeda operative for his terrorist activities, ensuring that he will spend the rest of his life in prison,” said Acting Assistant Attorney General O’Callaghan. “The evidence presented at trial established that the defendant and other jihadists attacked a U.S. military patrol in Afghanistan, resulting in the death of two American soldiers and the serious injury of others. Working with our partners in the law enforcement and intelligence communities, the National Security Division will continue to vigorously pursue and disrupt terrorists who target Americans and American facilities around the world. Thank you to the many agents, analysts and prosecutors whose hard work and dedication made this result possible.”
“This case demonstrates our commitment to bringing to justice those who target American citizens serving their country abroad. We will be relentless in our efforts to hold terrorists like the defendant accountable for their crimes,” said U.S. Attorney Donoghue.
“Justice has been served on behalf of the victims of Spin Ghul's grisly attack on U.S. military patrol members in 2003,” said Assistant Director in Charge Sweeney. “This al-Qaeda operative will no longer pose a threat to society. The FBI's Joint Terrorism Task Force in New York is committed to working with our partners here and abroad to bring terrorists to justice.”
“Harun was a dedicated and early soldier in Bin Laden’s al Qaeda, joining just weeks before the September 11th attacks,” said Commissioner O’Neill. “He launched attacks against U.S. service members in Afghanistan in 2003, killing two and injuring many others . After, he attempted to bomb the U.S. Embassy in Nigeria, among other western targets. Harun will rightfully spend the rest of his life behind bars. This department — with our partners in law enforcement — remains deeply committed to combating terrorism from New York to Nigeria — and everywhere in between.”
As proven at trial, Harun traveled from Saudi Arabia to Afghanistan weeks before Sept. 11, 2001, where he joined al-Qaeda, trained at al-Qaeda training camps, and eventually swore allegiance to Usama bin Laden. Harun, also known by the nom de guerre “Spin Ghul,” a Pashto name meaning “White Rose,” then traveled with other al-Qaeda jihadists to the Federally Administered Tribal Areas of Pakistan, where he operated under Abdul Hadi al-Iraqi, one of bin Laden’s deputies and a senior al-Qaeda military commander.
On April 25, 2003, Harun and fellow al-Qaeda jihadists ambushed a U.S. military patrol near the Afghan-Pakistan border. Harun fired machinegun rounds and threw grenades at American soldiers and allied Afghan Militia Forces while shouting “Allahu Akhbar” or “God is Great.” Two U.S. servicemen were killed in the attack — Private First Class Jerod Dennis, 19, of Oklahoma, and Airman First Class Raymond Losano, 24, of Texas — and several other soldiers were seriously wounded.
After the ambush, Harun met with senior al-Qaeda officials — including Abu Faraj al-Libi, then al-Qaeda’s external operations chief — to express his desire to commit acts of terror against U.S. interests outside Afghanistan. He specifically sought to carry out attacks similar to the 1998 al-Qaeda bombings of the U.S. Embassies in Kenya and Tanzania, which resulted in more than 200 deaths and 4,000 injuries.
In the summer of 2003, senior al-Qaeda leaders dispatched Harun from Pakistan to Nigeria to bomb the U.S. Embassy in Abuja. Harun’s al-Qaeda handler directed him to obtain one ton of explosives for the bombing operation and to target Americans — whom he described as “the head of the snake” — at embassies, hotels and other “places where they gather for fun.” Upon arriving in Nigeria, Harun recruited accomplices, scouted the Embassy and other potential Western targets, and sent an accomplice to find explosives. He also met with local terrorist leaders to expand al-Qaeda’s terrorist network in West Africa.
In 2004, Harun directed a coconspirator to courier information and materials from Nigeria to al-Qaeda leaders in Pakistan. After learning that the coconspirator had been arrested in Pakistan, Harun fled Nigeria to Libya, from where he planned to enter Europe to carry out terrorist attacks against Western interests. In early 2005, however, Harun was arrested by Libyan authorities and held in custody until his release in June 2011. Harun was arrested in June 2011 by Italian authorities. He was indicted on terrorism changes in the United States in February 2012 and extradited from Italy to the United States later that year.
Mr. O’Callaghan and Mr. Donoghue expressed their grateful appreciation to the FBI’s Joint Terrorism Task Force, the Department of Justice’s Office of International Affairs, the Department of Defense Army investigators, the Office of Military Commissions, the Italian Ministry of Justice, the Prosecutor’s Office in Palermo, Italy, the Italian National Police, Guardia di Finanza and Carabinieri authorities for their support and assistance.
Assistant U.S. Attorneys Shreve Ariail and Matthew J. Jacobs of the Eastern District of New York, and Trial Attorney Joseph N. Kaster of the National Security Division’s Counterterrorism Section are in charge of the prosecution.
15 February 2018
Woman Ordered to Pay $86,000 Restitution for Defrauding the GovernmentRead the Press Release
Charles E. Peeler, United States Attorney for the Middle District of Georgia, announces that Christie Morgan a/k/a Christie Hutto, age 41, of Columbus, Georgia, was sentenced on February 14, 2018, by the Honorable Clay D. Land, Chief United States District Judge for the Middle District of Georgia, to pay restitution of $86,000 and to serve three years on probation for defrauding the United States government in a medical equipment billing scheme.
Ms. Morgan and her former husband operated a durable medical equipment company for several years in LaGrange, Georgia, known as Hutto Limb and Brace, LLC (“HLB”). HLB specialized in fabricating custom orthotic and prosthetic limbs and joints, as well as custom fitted shoes and inserts. Many of the patients of HLB were recipients of Medicare and Georgia Medicaid and the services of HLB were billed to those entities. In order to qualify for Medicare and Georgia Medicaid payments, the services must have been performed by or under the direct supervision of a licensed orthotist/prosthetist. Ms. Morgan’s husband was the only licensed orthotist/prosthetist at HLB.
On April 6, 2012, Ms. Morgan’s husband left the business, however, Ms. Morgan continued operating HLB into November, 2012, without a licensed orthotist/prosthetist on board, all the while submitting bills from her home in Columbus, Georgia, to Medicare and Georgia Medicaid claiming otherwise. Through this scheme she wrongfully claimed approximately $172,000 from these benefit programs, but only actually received half that amount.
“One of the two top priorities of this United States Attorney’s Office is the reduction of waste and fraud against the government. It doesn’t matter whether the defendant is a multi-national corporation embezzling millions or a one person shop falsely billing for much smaller sums, such as in this case, all will be prosecuted fully in the Middle District of Georgia,” said United States Attorney Peeler.
Georgia Attorney General Chris Carr stated that “Our Medicaid Fraud Control Unit is committed to protecting the integrity of the Georgia Medicaid program, its members and the taxpayer dollars used to provide this service. We will remain vigilant in our efforts to identify and detect fraud, abuse or waste and aggressively recover all funds spent inappropriately, and we are grateful to work with our partners at the U.S. Attorney’s Office for the Middle District of Georgia and law enforcement to protect Georgians.”
This case was investigated by the U.S. Department of Health and Human Resources/Office of Inspector General and the Office of the Attorney General of Georgia/Medicaid Fraud Control Unit. Assistant United States Attorney Melvin E. Hyde handled the prosecution for the Government.
Questions concerning this case should be directed to Pamela Lightsey, United States Attorney’s Office, at (478) 621-2603.