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Monday 18 December 2017
Haworth Man Pleads Guilty to Possession of Firearm, AmmunitionRead the Press Release
MUSKOGEE, OKLAHOMA – The United States Attorney’s Office for the Eastern District of Oklahoma announced that Christopher Blake Gilbert, age 33, of Haworth, Oklahoma pled guilty to Felon In Possession Of Firearm & Ammunition, in violation of Title 18, United States Code, Sections 922(g)(1) and 924(a)(2), punishable by not more than 10 years imprisonment, and up to a $250,000.00 fine or both.
The Indictment alleged that on or about September 7, 2017, in the Eastern District of Oklahoma, the defendant, Christopher Blake Gilbert, having been convicted of a crime punishable by imprisonment for a term exceeding one year, did knowingly possess in and affecting commerce a firearm and ammunition which have been shipped and transported in interstate commerce.
The charge arose from an investigation by the McCurtain County Sheriff’s Office, the Choctaw Police Department, and the Bureau of Alcohol, Tobacco, Firearms and Explosives.
The Honorable Steven P. Shreder, U.S. Magistrate Judge in the United States District Court for the Eastern District of Oklahoma, in Muskogee, accepted the plea and ordered the completion of a presentence investigation report. The defendant will remain in custody pending a sentencing hearing.
Assistant United States Attorney Kristin Harrington represented the United States.
Glades Drugs Agrees to Pay the United States $300,000 to Settle Allegations of Fraudulent Claims to Medicare and TRICARERead the Press Release
Glades Drugs, Inc., a pharmacy located in Palm Beach County, Florida has agreed to pay the United States $300,000, to settle allegations that it violated the False Claims Act by waiving or failing to collect required copayments from Medicare and TRICARE beneficiaries.
Benjamin Greenberg, Acting United States Attorney for the Southern District of Florida, Shimon R. Richmond, Special Agent in Charge, U.S. Department of Health and Human Services, Office of Inspector General (HHS-OIG), and John F. Khin, Special Agent in Charge, Defense Criminal Investigative Service (DCIS), made the announcement.
The allegations arose from a lawsuit filed by a whistleblower, Elvens Vertus, under the qui tam provisions of the False Claims Act. Under the False Claims Act, private citizens can bring suit on behalf of the government for false claims and share in any recovery. Relator Vertus is a licensed pharmacy technician who worked at Glades Drugs in 2014 and 2015. As set forth in the settlement agreement between the parties, the United States alleged that between July 2014 and May 2015, Glades Drugs waived or failed to collect required copayments from beneficiaries to induce beneficiaries to accept prescription medications that generated reimbursements from Medicare and TRICARE.
The settlement was the result of a coordinated effort by the United States Attorney’s Office for the Southern District of Florida, HHS-OIG, and DCIS. The case was investigated and the settlement negotiated by Assistant U.S. Attorney John C. Spaccarotella and HHS-OIG Senior Counsel Felicia Heimer.
The case is captioned United States of America ex. rel. Elvens Vertus v. Glades Drugs, Inc., et al., Case No. 15-CV-81627 (S.D. Fla.), and was before The Honorable Donald M. Middlebrooks. The claims settled by the lawsuit are allegations only, and there has been no determination of liability.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.
Fulton Man Pleads Guilty to Firing Shots During Pursuit, Faces 40 Years in PrisonRead the Press Release
JEFFERSON CITY, Mo. – Tom Larson, Acting United States Attorney for the Western District of Missouri, announced that a Fulton, Mo., man who fired at law enforcement officers and other motorists during a high-speed pursuit pleaded guilty in federal court today.
Russell Dean Moore, Jr., 27, of Fulton, pleaded guilty before U.S. Magistrate Judge Willie J. Epps, Jr., to the charges contained in an April 21, 2016, federal indictment.
Moore pleaded guilty to three criminal violations that occurred during a high-speed pursuit on Interstate 70 by law enforcement officers, in which Moore fired shots at both the officers and at semi-trailer trucks in an effort to block the pursuit. Moore pleaded guilty to one count of the destruction of a motor vehicle (a USF Holland, Inc., semi-tractor trailer), one count of the use of a firearm in furtherance of that crime, and one count of the use of a firearm in furtherance of the destruction of another motor vehicle (a DCE Transportation, Inc., semi-tractor trailer).
According to the plea agreement, Boone County Sheriff’s deputies were dispatched to a Columbia, Mo., residence on the afternoon of April 6, 2016, for a stolen vehicle complaint. A woman told deputies that her 2007 Jeep, as well as firearms and other items, had been stolen from her residence. Among the items stolen was a Smith & Wesson 9mm semi-automatic pistol.
At 2:44 a.m. the following morning, a sergeant with the Boone County Sheriff’s Department spotted the stolen Jeep in the parking lot of Midway Travel Center, 6401 E. Hwy. 40, Columbia. The sergeant drove over to the Jeep, which appear to be unoccupied, got out of his vehicle and walked towards the Jeep. As he did so, a woman appeared in the front passenger seat. She moved to the driver’s seat and drove away, stopping in the parking lot to allow Moore to get in the front passenger seat.
The sergeant pursued the Jeep with his emergency lights active. The Jeep turned onto Highway 40 and, as it was crossing Interstate 70, Moore shot at the sergeant multiple times. The Jeep turned onto Highway UU and stopped at the intersection of Sugar Creek Road. The sergeant saw Moore exit the Jeep and started shooting at him. Moore got back into the Jeep and the pursuit continued.
After the sergeant’s patrol vehicle was struck by at least one bullet, disabling it, other officers continued the pursuit of the stolen Jeep into the southern part of Columbia. The chase eventually moved onto Interstate 70 East, where officers continued to pursue the stolen Jeep into Callaway County. Throughout the pursuit, multiple shots were fired from the Jeep at various officers. Shots were also fired from the Jeep at four semi-trailer trucks traveling on Interstate 70, nearly striking one of the drivers.
The Jeep ran out of gas on County Road 172 in Callaway County and the occupants of the Jeep were arrested.
Moore told investigators that his intent when shooting at semi-trailer trucks on Interstate 70 East was to cause a serious accident, which would terminate the officers’ pursuit and aid in their escape. Two tractor trailers were shot during the pursuit. One of the drivers stopped his vehicle and discovered that his cab was damaged, and there was a 9mm bullet lodged behind the driver’s seat. Another driver told investigators he heard a pop and his truck engine began smoking and overheated. He pulled into a rest stop and called his employer. There was a hole in his tractor grill and the radiator, air cooler and condenser were damaged.
Under the terms of today’s plea agreement, the government and Moore agree to recommend to the court a sentence of 40 years in federal prison without parole. 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 Lawrence E. Miller. It was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Boone County, Mo., Sheriff’s Department, the Missouri State Highway Patrol, and the Callaway County, Mo., Sheriff’s Department.
Four People Sentenced to Federal Prison for Defrauding Elderly Victims Throughout the United StatesRead the Press Release
Last week, four people from the Dubuque, Iowa area were sentenced to federal prison for participating in a fraud scheme that targeted more than 250 elderly victims across the United States. The sentences were imposed in Cedar Rapids by United States District Judge Linda R. Reade.
Evidence at the sentencing hearings and prior court hearings showed that Carlos Rodriguez, Michael Marcov, Stephanie Marcov, and Shawn Vaassen were all involved in a scheme to defraud victims, who were generally elderly, around the country. All four previously admitted that while they never made calls to victims, other individuals involved in the scheme called victims on the phone and told these victims that a relative was in jail. The caller would then ask the victims to wire money via Western Union or Money Gram to get the relative released. They further admitted that the money was being wired to various participants in the fraud who would pick up the wire transfers. They further admitted that there were participants in and around Dubuque who received wire transfers from the victims and sent the proceeds of the fraud via wire transfer to other participants of the scheme often located in the Dominican Republic
On December 13, 2017, Carlos Rodriguez, age 38, from Galena, Illinois, was sentenced to 79 months in federal prison after a May 9, 2017, guilty plea to one count of wire fraud. At his sentencing hearing, the judge found that Rodriguez was a manager of the fraud scheme and had personally recruited numerous individuals in the Dubuque area to participate in the fraud and then directed their actions. The judge found that Rodriguez was responsible for more than $750,000 in losses to 285 victims. Rodriguez was ordered to pay $774,584.97 in restitution to the victims.
On December 13, 2017, Michael Marcov, age 26, from Hazel Green, Wisconsin, was sentenced to 120 months in federal prison after a May 19, 2017, guilty plea to one count of wire fraud. At his sentencing hearing, the judge found that, after Marcov was recruited by Rodriguez to participate in the scheme, Marcov became a manager of the fraud scheme, recruited others to participate, and directed the actions of those he had recruited. The judge found that Marcov was responsible for nearly $300,000 in losses to 111 victims. In sentencing Marcov, the judge noted his extensive criminal history, including prior convictions for theft and domestic abuse. The judge ordered him to pay $298,314.42 in restitution to the victims.
On December 14, 2017, Stephanie Marcov, age 28, from Hazel Green, Wisconsin, who is married to Michael Marcov, was sentenced to 12 months and one day in federal prison after a May 19, 2017, guilty plea to one count of wire fraud. At her sentencing hearing, the judge found that Stephanie Marcov was responsible for more than $30,000 in losses to 14 victims. The judge ordered her to pay $33,879.30 in restitution to the victims.
On December 14, 2017, Shawn Vaassen, age 22, from Asbury, Iowa, was sentenced to 87 months in federal prison after a March 2, 2017, guilty plea to one count of wire fraud and one count of unlawful possession of a sawed-off shotgun. At his sentencing hearing, the judge found that Vaassen was recruited by Rodriguez to participate in the scheme and later became a manager of the fraud scheme who recruited others to participate and directed the actions of those he had recruited. The judge found that Vaassen was responsible for more than $250,000 in losses to 68 victims. In sentencing him, the judge also noted that Vaassen had unlawfully possessed a sawed-off shotgun in an effort to intimidate some of the individuals he had recruited to participate in the scheme. On September 23, 2016, Vaassen fired the sawed-off shotgun into the ceiling of a room at the Glenview Motel in Dubuque. While no one was shot, Vaassen’s discharge of the gun caused one person to lose hearing in an ear and also damaged the motel room. The judge also ordered Vaassen to pay $177,637.66 in restitution to the victims of the fraud scheme and $303.92 in restitution to the Glenview Motel for the damaged he caused to the hotel room.
All four individuals must also serve a term of supervised release after being released from prison. There is no parole in the federal system.
The prosecutions were part of the Elder Justice Initiative of the Department of Justice. In June 2016, the United States Attorney’s Office for the Northern District of Iowa was selected as one of 10 districts in the nation to form an Elder Justice Task Force (http://go.usa.gov/cSngj). The task force was assembled to foster a collaborative working relationship among all levels of government officials, advocacy groups for the elderly and the disabled, and others charged with the care and protection for these vulnerable groups. The goals include ensuring the integrity of all government expenditures by eliminating fraud, waste, and abuse in health programs, and protecting some of the state’s most vulnerable citizens from harm, whether it occurs in nursing homes or other institutions or involves financial fraud schemes. To learn more about the Department of Justice’s Elder Justice Initiative, visit: https://www.justice.gov/elderjustice/.
“Every day, elderly Iowans are plagued by fraudulent calls trying to trick them out of money,” said United States Attorney Peter Deegan. “We will continue to work with our law enforcement and other partners to hold accountable those who prey on others’ generosity and concern for their relatives. This office will also continue to prosecute the most dangerous criminals in our communities, including those like Shawn Vaassen who use firearms and threats of violence to commit their crimes. I thank the Department of Homeland Security and the Dubuque Police Department for their hard work on this case.”
Michael Marcov, Rodriguez, and Vaassen are being held in the United States Marshal’s custody until each can be transported to a federal prison. Stephanie Marcov was released on the bond previously set and is to surrender to the Bureau of Prisons on a date yet to be set.
The cases were prosecuted by Assistant United States Attorneys Timothy Vavricek and Anthony Morfitt and investigated by the Department of Homeland Security - Investigations and the Dubuque Police Department.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file numbers are 17-CR-1001 and 17-CR-1004.
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Fort Wayne Man Charged with Bank RobberyRead the Press Release
FORT WAYNE – The United States Attorney for the Northern District of Indiana, Thomas L. Kirsch II, announced that Danurell M. Blair, age 39, of Fort Wayne, Indiana was charged by way of complaint with bank robbery.
According to documents in this case, the complaint alleges that on December 16, 2017 Blair entered a bank in Kendallville, Indiana, demanded money from the bank teller. The teller provided money from the top drawers of two teller stations and Blair stuffed it into bags he brought with him. At approximately 10:01am, a law enforcement officer observed Blair exiting the bank walking fast. The law enforcement unit also observed Blair driving evasively through area business parking lots. The unit attempted to stop Blair, however he fled creating a high speed chase. The police were able to stop the vehicle and take Blair into custody.
“My Office is committed to working with our state, local and federal law enforcement partners to reduce bank robberies on the streets of Northern Indiana,” U.S. Attorney Thomas Kirsch II said in a statement.
"The FBI's Fort Wayne office worked hand in hand with our state and local law enforcement partners and the United States Attorney’s Office to bring this investigation to a successful conclusion," said W. Jay Abbott, Special Agent in Charge of the FBI's Indianapolis Division. "Working together we are able to get violent offenders off of the streets and make our communities a safer place for all."
The United States Attorney's Office emphasized that a Complaint is merely an allegation and that all persons charged are presumed innocent until, and unless, proven guilty in court.
If convicted in court, any specific sentence to be imposed will be determined by the judge after a consideration of federal sentencing statutes and the Federal Sentencing Guidelines.
This case is being investigated by the Federal Bureau of Investigation with the assistance of the: Allen County Sheriff’s Department; Auburn Police Department; Churubusco Police Department; Fort Wayne Police Department; Kendallville Police Department; Indiana State Police; and Whitley County Sheriff’s Department. The case is being handled by Assistant U.S. Attorney Lesley Miller Lowery.
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Former Grovetown City Clerk Pleads Guilty to Embezzling Nearly $900,000 DollarsRead the Press Release
Augusta, GA – Vicky Vinson Capetillo, from Grovetown, Georgia, pled guilty today before U.S. District Court Chief Judge J. Randal Hall to two federal felonies related to her embezzlement of nearly $900,000 from the City of Grovetown.
According to the factual basis presented for her guilty plea, Capetillo worked for the City of Grovetown as the City Clerk. Her duties as Clerk included the preparation of the regular bank deposits of the City. Capetillo developed a scheme to steal the cash from the deposits: first, she intercepted checks sent in by citizens as payment for utility bills; then, after developing a cache of checks, she would pocket cash from the regular deposit and replace the stolen cash with the intercepted checks to make the deposit ticket balance.
Between January 2011 and April 2016, Capetillo stole and deposited $890,000 in cash into her and her family’s accounts.
Capetillo faces a maximum penalty of 20 years’ imprisonment, a fine of up to $500,000, and five years of supervision following release from prison. Capetillo was released on bond pending sentencing, which will be set after the U.S. Probation Office completes a presentence investigation.
U.S. Attorney Bobby L. Christine said, “The citizens of this district should be able to rely on the honest service of their public officials. Corruption and embezzlement by those in positions of government trust will be met with federal prosecution and jail time.”
The charges against Capetillo resulted from an investigation led by IRS Special Agent Jeff Hale and FBI Special Agent Charles McKee. Assistant United States Attorney Patricia G. Rhodes prosecuted the case for the Government. For any questions, please contact Appellate Chief R. Brian Tanner at (912) 652-4422.
Federal grand jury indicts Fort Polk soldier for illegally manufacturing, using a chemical weaponRead the Press Release
LAKE CHARLES, La. – Acting U.S. Attorney Alexander C. Van Hook announced that a federal grand jury has returned an indictment charging a Fort Polk soldier with manufacturing and detonating a chemical weapon in the Kisatchie National Forest adjacent to the Fort Polk Army installation.
Ryan Keith Taylor, 24, of New Llano, La., was charged with producing, possessing and using a chemical weapon in violation of federal law. According to the indictment, Taylor manufactured and detonated a chemical weapon on April 12, 2017 in the Kisatchie National Forest that resulted in the release of highly toxic chlorine gas into the atmosphere.
Taylor faces up to life in prison, five years of supervised release and a $250,000 fine if convicted.
The FBI and U.S. Army Criminal Investigations Command investigated the case. Assistant U.S. Attorney David C. Joseph and Special Assistant U.S. Attorney Dennis E. Robinson are prosecuting the case.
An indictment is merely an accusation and a defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.
Federal and State Authorities Arrest 14 Defendants on Federal Drug Trafficking/Money Laundering Charges Filed in El PasoRead the Press Release
Today, federal authorities arrested 35-year-old Evelyn Gonzalez of Glendale Heights, IL, on federal drug trafficking charges, bringing the total number of those arrested over the past week in connection with this distribution operation to 14, announced United States Attorney John F. Bash and Special Agent in Charge Karen I. Flowers, U.S. Drug Enforcement Administration, El Paso Division.
The other 13 defendants include:
Name Age Residence
Veronica Martinez Carrera-Perez (aka “Comadre,” “Luna”) 41 El Paso
Sergio Serra (aka “Flaco”) 35 Edinburg, TX
Fernando Chavez-Rolon (aka “Raco”) 24 Woodstock, IL
Crystal Aguilar (aka “Betty”) 33 El Paso
Ricardo Martinez (aka “Richie”) 32 El Paso
Roberto Clemente 41 El Paso
Esperanza Corpus de Escalona (aka “Espy”) 45 Alton, TX
Cristal Glore-Guzman 33 Mission, TX
Julio Ferreyra 33 Cicero, IL
Kevin Martinez 24 Clint, TX
Julio Mota (aka “Gordo,” “Gordito”) 26 Sunland Park, NM
Jesus Galindo 29 El Paso
Rene Alvarez 19 El Paso
A federal grand jury indictment, returned in El Paso, charges all of the defendants except Rene Alvarez with one count of conspiracy to distribute five kilograms or more of cocaine. Carrera-Perez, Serra, Roberto Clemente, Corpus de Escalona, Glore-Guzman, Martinez, and Mota are charged with a conspiracy to distribute methamphetamine. All but Jesus Galindo are charged with one or more substantive drug possession charges. Carrera-Perez, Serra, Aguilar, Roberto Clemente, Corpus de Escalona, Ferreyra and Martinez are charged with one count of conspiracy to commit money laundering.
Authorities allege that these defendants were responsible for the smuggling into the United States of large amounts of cocaine, methamphetamine and heroin. The narcotics would be transported to areas across the United States, including Atlanta, Georgia, Chicago, Illinois, and Wichita, Kansas, for further distribution. Defendants would also collect, transport and launder cash proceeds derived from the sale of narcotics.
During this investigation, authorities seized approximately 48 kilograms of cocaine, 25 kilograms of methamphetamine, two kilograms of heroin, and over $500,000 in U.S. currency attributed to this drug trafficking operation.
All of the defendants remain in federal custody pending detention hearings expected to occur in U.S. Magistrate Court in El Paso beginning this week. Upon conviction on the drug charges, Veronica Martinez faces a mandatory life imprisonment sentence; Roberto Clemente and Sergio Serra face between 20 years and life imprisonment; Rene Alvarez faces up to 20 years imprisonment; and, the remaining defendants face between ten years and life imprisonment. Defendants convicted of conspiracy to commit money laundering face up to 20 years imprisonment.
“The individuals arrested and charged in this indictment are allegedly responsible for distributing cocaine, methamphetamine and heroin without regard to the countless people suffering from drug addiction,” stated DEA El Paso Division Special Agent in Charge Karen I. Flowers. “The Western Texas law enforcement community banded together to stop this organization from doing further harm and to save lives.”
These federal charges resulted from an Organized Crime Drug Enforcement Task Force (OCDETF) investigation conducted by the Drug Enforcement Administration together with the United States Border Patrol, El Paso Police Department, Socorro Police Department, El Paso County Sheriff’s Office, Norman (OK) Police Department and the Arkansas State Police.
The principal mission of the OCDETF program is to identify, disrupt and dismantle the most serious drug trafficking, weapons trafficking and money laundering operations, and those primarily responsible for the nation’s illegal drug supply.
It is important to note that an indictment is merely a charge and should not be considered as evidence of guilt. The defendants are presumed innocent until proven guilty in a court of law.
Federal Jury Convicts Two Colombian Nationals in Plan to Smuggle over $45 Million of CocaineRead the Press Release
Tampa, Florida – Acting United States Attorney W. Stephen Muldrow announces that a federal jury has found Gustavo Enrique Llanos Miranda (62) and Jair Mendoza Montoya (49), both of Colombia, South America, guilty of conspiring to distribute at least five kilograms of cocaine on board a vessel subject to the jurisdiction of the United States and possessing with the intent to distribute at least five kilograms of cocaine on board a vessel subject to the jurisdiction of the United States. Llanos Miranda faces a minimum mandatory sentence of 20 years, up to life, in federal prison. Mendoza Montoya faces a minimum mandatory sentence of 10 years, up to life, in federal prison. The sentencing hearings are scheduled for March 20, 2018. They were indicted on September 19, 2017.
According to evidence presented at trial, Llanos Miranda and Mendoza Montoya participated in a plan to smuggle more than 1,500 kilograms of cocaine on board a large oil tanker named FAT CROW. In August 2017, the United States Coast Guard (USCG) interdicted the vessel in international waters in the Caribbean Sea. After conducting an exhaustive search of the ship, the USCG found 1,504 kilograms of cocaine in a hidden compartment that the crew had constructed in the ship’s bow. Llanos Miranda and Mendoza Montoya, along with several other FAT CROW crewmembers, had participated in extensive negotiations with a drug cartel representative concerning their compensation for smuggling the cocaine and participated in loading the cocaine onto the ship. Five other crewmembers pleaded guilty to the conspiracy prior to trial. The wholesale value of the cocaine exceeds $45 million.
This case was investigated by agents of the Panama Express Strike Force, an OCDETF Strike Force comprised of agents from the Federal Bureau of Investigation, U.S. Immigration and Customs Enforcement’s Homeland Security Investigations, the Drug Enforcement Administration, the United States Coast Guard Investigative Service, the Naval Criminal Investigative Service, and the U.S. Southern Command’s Joint Interagency Task Force South. 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. This case is being prosecuted by Assistant United States Attorneys Taylor G. Stout and Carlton C. Gammons.
Fayette County Felon Sentenced to More than Fifteen Years in Federal Prison for Possessing a Shotgun and AmmunitionRead the Press Release
A Fayette County felon, who possessed a shotgun and ammunition in a car in June 2016, was sentenced last week to more than fifteen years in federal prison.
Kyle Dwayne Boleyn, age 42, received the prison term after a June 29, 2017, guilty plea to being a felon in possession of a firearm and ammunition. In a plea agreement, Boleyn admitted that, on June 16, 2016, he was a passenger in a Ford Mustang that was driving the streets of Oelwein, Iowa. When law enforcement officers stopped the Mustang, they found defendant with a shotgun and ammunition. They also found a number of materials that Boleyn intended to use to manufacture methamphetamine, including pseudoephedrine and Coleman fuel. Boleyn already had a warrant for his arrest when he was found with the gun. He also had at least seven prior felony convictions. The convictions include convictions for delivery of methamphetamine, manufacture of methamphetamine, sexual abuse, and violation of a sex offense registry law.
Boleyn was sentenced in Cedar Rapids by United States District Court Judge Mark W. Bennett. Boleyn was sentenced to 188 months’ imprisonment. A special assessment of $100 was imposed. Boleyn must also serve a five-year term of supervised release after the prison term. There is no parole in the federal system. Boleyn 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 Tim Vavricek and investigated by the Oelwein Police Department.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl. The case file number is 17-CR-31. Follow us on Twitter @USAO_NDIA.
Dubuque Man Sentenced to More Than Two Years in Prison for Perjury Before a Federal Grand JuryRead the Press Release
A Dubuque man who committed perjury before a federal grand jury was sentenced last week to more than two years in federal prison.
John Michael Gronen, age 20, from Dubuque, Iowa, received the prison term after a May 25, 2017, guilty plea to making a false declaration before a grand jury. At the plea hearing and in a plea agreement, Gronen admitted that he testified falsely, under oath before a grand jury in the Northern District of Iowa on January 10, 2017. Gronen testified that he had never seen a particular sawed-off shotgun, when he had seen another individual carrying the sawed-off shotgun in September 2016. Further, Gronen falsely testified that no one was using drugs at his house on September 22, 2016, when he actually saw two people using cocaine and marijuana in his basement on that date.
Gronen was sentenced in Cedar Rapids by United States District Court Judge Linda R. Reade. Gronen was sentenced to 27 months’ imprisonment. A special assessment of $100 was imposed. He must also serve a three-year term of supervised release after the prison term. There is no parole in the federal system. Gronen was released on the bond previously set and is to surrender to the Bureau of Prisons on a date yet to be set.
The case was prosecuted by Assistant United States Attorney Tim Vavricek and was investigated by the Dubuque Police Department. Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 17-cr-31-LRR.
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Drug Cartel Supplier Gets 30 Years in Federal Prison for East Texas Drug ConspiracyRead the Press Release
BEAUMONT, Texas – A 33-year-old Houston man has been sentenced to 30 years in federal prison for drug trafficking violations in the Eastern District of Texas, announced Acting U.S. Attorney Brit Featherston today.
Jaime Cruz Romero pleaded guilty on May 17, 2017, to conspiracy to possess with intent to distribute methamphetamine and was sentenced to 360 months in federal prison on Dec. 15, 2017 by U.S. District Judge Marcia Crone.
According to information presented in court, beginning in March 2014, federal agents began in investigation of a drug trafficking organization that was distributing large amounts of methamphetamine from Houston to Beaumont, Texas and then throughout the United States. Jaime Cruz Romero was identified as a main supplier of methamphetamine, dealing directly with the Mexican sources which was confirmed to be with the Knights of Templar Cartel. Cruz Romero was identified as a manager or supervisor and was found to be personally responsible for conspiring with others to distribute at least 62 kilograms of methamphetamine, 18 kilograms of cocaine, and 20 pounds of marijuana. The drugs were brought from Mexico and distributed to sources in the Houston and Beaumont areas for further distribution.
This case is the result of an extensive joint investigation by the Organized Crime Drug Enforcement Task Force (OCDETF). The principal mission of the OCDETF program is to identify, disrupt and dismantle the most serious drug trafficking, weapons trafficking and money laundering organizations, and those primarily responsible for the nation’s illegal drug supply. Cruz Romero was indicted by a federal grand jury on Feb. 3, 2016 and charged with drug trafficking violations.
This case was investigated by the Drug Enforcement Administration and prosecuted by Assistant U.S. Attorney Michelle S. Englade.
Doctor Sentenced to 30 Years for Oxycodone Distribution ConspiracyRead the Press Release
RICHMOND, Va. – A Richmond doctor was sentenced today to 30 years in prison for conspiring to distribute Oxycodone.
According to court documents and evidence and testimony at trial, Clarence Scranage, Jr., 62, was the supplier to a drug trafficking organization that, at various points in time, had more than 40 participants. The participants were recruiters, pill fillers, and dealers who sold to addicts. During the course of the conspiracy, which began in January 2011, Scranage dispensed 1,257 fraudulent prescriptions amounting to more than 223,000 30-mg Oxycodone pills distributed into the underground stream of commerce. Scranage represented himself at trial, and was convicted by a jury on all 19 counts charged in the indictment on August 10. During the trial, one expert testified that Scranage was “a one-man opioid epidemic.”
In addition to the prison sentence, the Court also entered a forfeiture order in the amount of $628,500 which represents the proceeds Scranage received as a result of this drug trafficking conspiracy.
Dana J. Boente, U.S. Attorney for the Eastern District of Virginia, Adam S. Lee, Special Agent in Charge of the FBI’s Richmond Field Office, Colonel W. Steven Flaherty, Superintendent of Virginia State Police, Karl C. Colder, Special Agent in Charge for the Drug Enforcement Administration’s (DEA) Washington Field Division, made the announcement after sentencing by U.S. District Judge Henry E. Hudson. Assistant U.S. Attorney Angela Mastandrea-Miller 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. 3:17-cr-23.
District Man Sentenced to Four Years in Prison for RobberyRead the Press Release
WASHINGTON – Canaan King, 18, of Washington, D.C., has been sentenced to a four-year prison term for a robbery that occurred near the Fort Totten Metro Station in April 2017, U.S. Attorney Jessie K. Liu announced today.
King pled guilty in August 2017, in the Superior Court of the District of Columbia, to one count of robbery. The plea, which was subject to the Court’s approval, called for an agreed-upon sentence of three to five years in prison. The Honorable Juliet McKenna accepted the plea and sentenced King on Dec. 15, 2017, to four years in prison. Following the prison term, King will be placed on three years of supervised release.
According to the government’s evidence, on Monday, April 24, 2017, at approximately 6:10 p.m., the victim was walking from the Fort Totten Metro Station near the 700 block of Gallatin Street NE. King approached the victim from behind and placed her in a chokehold. A struggle ensued, and King demanded the victim’s iPhone 6S and told her to “be quiet” and “delete your iCloud.” He choked the victim tighter as she tried unsuccessfully to access her iCloud. He then took the iPhone and fled.
The victim’s iPhone 6S was recovered during the execution of a search warrant on King’s residence in Northeast Washington. Following his arrest on April 28, 2017, King admitted robbing the victim, indicating that he grabbed her from behind and took her phone before fleeing.
In announcing the plea, U.S. Attorney Liu commended the work of those who investigated the case from the Metropolitan Police Department (MPD). She also acknowledged the efforts of those who worked on the case from the U.S. Attorney’s Office, including Paralegal Specialist Tiffany Fogle. Finally, U.S. Attorney Liu commended Assistant U.S. Attorneys Natasha Smalky and Rizwan Qureshi, who investigated and prosecuted the case.
Dillwyn Couple Indicted on Federal Health Care Fraud ChargesRead the Press Release
Charlottesville, VIRGINIA – A federal grand jury, sitting in the United States District Court for the Western District of Virginia in Charlottesville, have indicted a husband and wife and charged them with a variety of crimes related to health care fraud, United States Attorney Rick A. Mountcastle announced.
The grand jury has charged Dennis Lewis Gowin, 66, of Dillwyn, Va., with one count of conspiracy to commit health care fraud, twelve counts of making false statements relating to health care matters, twenty-eight counts of wrongful disclosure of individually identifiable health information, four counts of aggravated identity theft and one count of being a previously convicted felon illegally in possession of a firearm.
In addition, the grand jury has charged Cheryl Gowin, 65, of Dillwyn, with one count of conspiracy to commit health care fraud, two counts of making false statements relating to health care matters, twenty-eight counts of wrongful disclosure of individually identifiable health information and three counts of aggravated identify theft. Both defendants were charged in an indictment returned last week and made their initial court appearances today in federal court.
According to the indictment, it was the goal of the defendants to unlawfully enrich themselves by submitting false and fraudulent claims to Virginia Medicaid. They allegedly attempted to accomplish this goal by filing and attempting to file multiple false applications with employers and Medicaid providers.
The indictment alleges that during these application processes, the defendants conspired to provide false information about their backgrounds to gain employment. Once employed, the defendants fraudulently billed Medicaid. Upon termination of their employment, both defendants took possession of personal health information of patients, without their consent.
The investigation of the case was conducted by the Office of the Virginia Attorney General – Medicaid Fraud Control Unit, United States Department of Health and Human Services – Office of Inspector General, Virginia State Police and the United States Postal Inspection Service. Assistant United States Attorney Ronald M. Huber and Special Assistant United States Attorney Maureen Riordan will prosecute the case for the United States.
A Grand Jury Indictment is only a charge and not evidence of guilt. The defendant is entitled to a fair trial with the burden on the government to prove guilt beyond a reasonable doubt.
Convicted Felon Sentenced to More Than Five Years for Possessing AmmunitionRead the Press Release
Tampa, Florida – U.S. District Judge Virginia M. Hernandez Covington has sentenced Prince George Kelly (36, Apollo Beach) to 5 years and 10 months in federal prison for possessing ammunition as a convicted felon. The Court also ordered him to serve three years of supervised release and to forfeit the ammunition seized in the offense.
Kelly pleaded guilty on September 28, 2017.
According to court documents, on December 16, 2016, officers with the Tampa Police Department responded to a domestic violence call. When the officers arrived at the home, Kelly was standing outside. He informed the officers that he did not have any weapons on his person and invited the officers to pat him down. When Kelly raised his arms, the officers observed the bottom of a Glock magazine sticking out of his front pants pocket. The magazine was loaded with .45 caliber ammunition. As a previously convicted felon, Kelly is prohibited from possessing firearms or ammunition under federal law.
This case was jointly investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives and the Tampa Police Department. It was prosecuted by Assistant United States Attorney Kaitlin R. O’Donnell.
This is another case prosecuted as part of the Department of Justice’s “Project Safe Neighborhoods” Program (PSN), which is a nationwide, crime reduction strategy aimed at decreasing violent crime in communities. It involves a comprehensive approach to public safety — one that includes investigating and prosecuting crimes, along with prevention and reentry efforts. In the Middle District of Florida, Acting U.S. Attorney W. Stephen Muldrow coordinates PSN efforts in cooperation with various federal, state, and local law enforcement officials.
Convicted Burglar Sentenced to Prison for Possessing Three Rifles and a ShotgunRead the Press Release
United States Attorney Richard W. Moore of the Southern District of Alabama announces that United States District Court Senior Judge Callie V.S. Granade sentenced Eric Beard to 41 months in prison on December 18, 2017. The defendant pled guilty to the charge of possession of a firearm by a convicted felon.
According to court documents, on April 26, 2017, a residence in the Mobile area was burglarized. Among the property stolen from the residence were four firearms:
1. 12 gauge Remington shotgun;
2. .234 caliber New England Rifle;
3. .223 caliber Savage Edge Rifle; and a
4. Thompson rifle.Law enforcement officials soon suspected Beard of committing the burglary. Eric Beard was later arrested and provided a statement to police where he admitted to possessing all the stolen firearms in question, but maintained he had no involvement with the burglary. Beard was also found to be in possession of a television that was from the residence during the burglary; however, Beard would only offer that he received the television set from “a guy he knew from prison.”
The Mobile County Sheriff’s Office looked at area pawnshops and learned that Beard pawned all four stolen weapons on the same day they were reported stolen in the burglary.
Eric Beard has a prior conviction for burglary in Mobile County, Alabama. The Federal Bureau of Investigation, Mobile, Alabama Field Office, in conjunction with the Mobile Sheriff’s Office investigated this case. Assistant United States Attorney Christopher Baugh prosecuted the case for the Southern District of Alabama.
Connecticut Man Sentenced to 15 Years in Prison for Distribution of Child PornographyRead the Press Release
WASHINGTON – Joseph Brown, 49, of North Franklin, Conn., was sentenced today to 15 years in prison for distribution of child pornography, announced U.S. Attorney Jessie K. Liu, Andrew W. Vale, Assistant Director in Charge of the FBI’s Washington Field Office, and Peter Newsham, Chief of the Metropolitan Police Department (MPD).
Brown pled guilty to the charge in February 2017 in the U.S. District Court for the District of Columbia. He was sentenced by the Honorable Senior Judge Thomas F. Hogan. Following completion of his prison term, Brown will be placed on 15 years of supervised release. He also will be required to register as a sex offender for the rest of his life.
According to the government's evidence, beginning on Aug. 31, 2015, Brown engaged in communications with an undercover officer with the FBI's Child Exploitation Task Force, through a social network site. During the course of the communications, Brown provided the undercover officer with video and images of child pornography. Brown also expressed interest in engaging in sexual acts with a purported female minor.
In order to confirm the identity of the defendant, the undercover officer, together with other FBI agents, initiated an investigation that led them to Brown. Brown was registered as a sex offender as a result of a 2005 conviction in Connecticut for distribution of child pornography for which he was sentenced to five years in prison. Brown was arrested in Connecticut on Sept. 17, 2015, and was brought to the District of Columbia to face charges, and has remained in custody ever since. At the time of his arrest, law enforcement seized a cellular phone and tablet. These were submitted for forensic analysis. Law enforcement located thousands of images and videos depicting child pornography on the two devices.
This case was brought as part of the Department of Justice's Project Safe Childhood initiative and investigated by the FBI's Child Exploitation Task Force, which includes members of the FBI's Washington Field Office and MPD. In February 2006, the Attorney General created Project Safe Childhood, a nationwide initiative designed to protect children from online exploitation and abuse. Led by the U.S. Attorney's Offices, 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 identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
In announcing the sentence, U.S. Attorney Liu, Assistant Director Vale, and Chief Newsham praised the work of the MPD Detectives and Special Agents of the FBI Child Exploitation Task Force. They also commended the efforts of Criminal Investigator John Marsh and Paralegal Specialist Michelle Wicker, of the U.S. Attorney’s Office, and Assistant U.S. Attorney Andrea L. Hertzfeld, who prosecuted the case.
Cherry Hill Doctor and Son Sentenced to Prison for Defrauding MedicareRead the Press Release
CAMDEN, N.J. – A doctor and his chiropractor son were sentenced to prison today for conspiring to defraud Medicare by using unqualified people to give physical therapy to Medicare recipients, Acting U.S. Attorney William E. Fitzpatrick announced.
Robert Claude McGrath D.O., 66, and his son Robert Christopher McGrath, 48, both of Cherry Hill, New Jersey, were sentenced to 30 and 12 months in prison, respectively. Both defendants previously pleaded guilty before U.S. District Judge Robert B. Kugler to separate informations charging them each with conspiracy to commit health care fraud. Judge Kugler imposed both sentences today in Camden federal court.
According to documents filed in this case and statements made in court:
The McGraths owned and operated Atlantic Spine & Joint Institute, a medical practice with offices in Westmont, New Jersey, and Wayne, Pennsylvania. Under Medicare rules, physical therapy had to be provided by Robert Claude McGrath or by a trained physical therapist under his supervision. However, from January 2011 through April 2016, the McGraths sought to defraud Medicare by employing unlicensed, untrained persons to give physical therapy to Medicare patients, at times when Robert Claude McGrath was not even in the office to supervise. They then submitted bills to Medicare fraudulently identifying Robert Claude McGrath as the provider of physical therapy.
In addition to the prison terms, Judge Kugler sentenced both defendants to three years of supervised release and ordered them to pay restitution of $890,000.
In a related civil settlement that was announced at the time of their guilty pleas, the McGraths and Atlantic Spine agreed to pay $1.78 million plus interest to the federal government to resolve allegations that the fraudulent bills submitted under the McGraths’ scheme caused false claims to be submitted to Medicare in violation of the False Claims Act.
Acting U.S. Attorney Fitzpatrick credited agents of the FBI’s South Jersey Resident Agency, under the direction of Special Agent in Charge Michael Harpster in Philadelphia, special agents from the Department of Health and Human Services, Office of Inspector General, under the direction of Special Agent in Charge Scott J. Lampert, and special agents from the Food and Drug Administration, Office of Criminal Investigations, under the direction of Special Agent in Charge Mark S. McCormack, with the investigation.
Assistant U.S. Attorneys R. David Walk Jr. and Andrew A. Caffrey III of the U.S. Attorney’s Office Health Care and Government Fraud Unit represented the government in the criminal case and the civil case, respectively.
The New Jersey U.S. Attorney’s Office reorganized its health care practice in 2010 and created a stand-along Health Care and Government Fraud Unit to handle both criminal and civil investigations and prosecutions of health care fraud offenses. Since that time, the office has recovered more than $1.33 billion in health care and government fraud settlements, judgments, fines, restitution and forfeiture under the False Claims Act, the Food, Drug and Cosmetic Act, and other statutes.
Defense counsel:
Robert Christopher McGrath and Atlantic Spine & Joint Institute: Riza I. Dagli Esq., Roseland, New Jersey.
Robert Claude McGrath: Perry Primavera Esq., Hackensack, New JerseBosnian Human Rights Abuser Residing in North Carolina Pleads Guilty to Possession of A Fraudulently Obtained Immigration DocumentRead the Press Release
A Bosnian Serb residing in North Carolina pleaded guilty today lying to obtain lawful permanent resident status by concealing his military status and criminal activity during the war in Bosnia. Attorney General Jeff Sessions, Acting Assistant Attorney General John P. Cronan and Special Agent in Charge Nick Annan of U.S. Immigration and Customs Enforcement’s Homeland Security Investigations (HSI) Atlanta made the announcement.
Milan Trisic, 54, most recently residing in Charlotte, North Carolina, pleaded guilty to a single count of obtaining a Permanent Resident Card, commonly referred to as a “green card,” by making materially false claims and statements. Trisic entered his plea before Magistrate Judge David S. Cayer in the U.S. District Court in Charlotte.
“Those who seek to come to this country must respect our laws,” said Attorney General Sessions. “Entering this country on the basis of fraud is unacceptable. The American people can be assured that this Department is working every day to protect them from the threat posed by criminals who seek to take advantage of our generous immigration system. I want to commend our Homeland Security Investigators and DOJ attorneys for achieving justice in this case.”
According to the admissions made in connection with his plea, Trisic, an ethnic Serb with Bosnian citizenship, is a lawful permanent resident of the United States living in North Carolina. On Nov. 3, 2016, Trisic possessed a green card that was unlawfully obtained. In response to questions on his legal permanent resident application, Trisic knowingly concealed his military service in the Bratunac Brigade, a unit in the Army of the Serb Republic; concealed his criminal activity in Bosnia and Herzegovina, and lied about his whereabouts during the war in Bosnia and Herzegovina in the early and mid-1990s.
As part of his plea of guilty, Trisic admitted that he served in the Army of the Serb Republic as a member of the Bratunac Brigade during various tours of duty between April 1992 and January 1996, at a time when Bosnia and Herzegovina was in the midst of a civil war. Due to its proximity to Serbia, in 1992 forces both aligned with and from Serbia began an ethnic cleansing campaign against the non-Serbian population in and around Bratunac. Trisic admitted that he engaged in various unlawful activities while serving with the Bratunac Brigade, such as the unlawful beating, detention and transportation of Muslim prisoners. Additionally, Trisic admitted that the Bratunac Brigade, operating primarily in eastern Bosnia and Herzegovina, was one of the military units responsible for the July 1995 Srebrenica massacre that resulted in the deaths of between 7,000 and 8,000 Bosnian Muslim men.
Trisic also admitted that he knowingly lied about his whereabouts during the war in Bosnia. In order to obtain refugee status, Trisic falsely claimed that he resided in Serbia during the war, when in fact he actually resided in Bratunac, Bosnia, where he served as part of the Bratunac Brigade. Trisic later used his illegally obtained status as a refugee to unlawfully obtain permanent resident status in the United States.
Sentencing is not yet scheduled. As part the plea agreement, Trisic will be ordered removed from the United States upon completion of his sentence.
This case is the result of an investigation conducted by HSI.
Trial Attorneys Frank G. Rangoussis and Ann Marie Ursini of the Criminal Division’s Human Rights and Special Prosecutions Section and Assistant U.S. Attorney Kenneth Smith from the Western District of North Carolina are prosecuting the case.
Beckley woman pleads guilty for role in federal drug conspiracyRead the Press Release
CHARLESTON, W.Va. – A Beckley woman pleaded guilty today for her role in a drug trafficking conspiracy, announced United States Attorney Carol Casto. Detria S. Carter, 33, entered her guilty plea to possession with intent to distribute more than 500 grams of cocaine. Carter is one of 23 defendants indicted in June 2017 after a comprehensive investigation of drug trafficking in Southern West Virginia.
Carter admitted that between October 2016 and June 28, 2017, she took part in a drug trafficking conspiracy with multiple participants. During this time period, she was assisting her brother, Velarian Carter, a codefendant who previously pleaded guilty, in maintaining a drug trafficking organization while he was incarcerated on unrelated drug charges. The drug trafficking organization was responsible for distributing cocaine, crack, and heroin in and around Raleigh County. Carter admitted to having other participants in the conspiracy cook cocaine into crack at her house and to distributing the drugs in and around Southern West Virginia.
Additionally, Carter admitted that on May 25, 2017, she was stopped by the Beckley Police Department. Law enforcement discovered that Carter possessed 996 grams of cocaine, approximately 454 grams of crack, and a quantity of fentanyl. Carter admitted that it was her intent, and the intent of the drug trafficking organization, to distribute these controlled substances in Raleigh County. Law enforcement also seized two firearms from the same bag where the drugs were found.
Carter faces at least five and up to 40 years federal prison when she is sentenced on April 24, 2018.
Other individuals implicated as a result of this drug investigation have entered guilty pleas and are awaiting sentencing. Cheyenne Fragale and Macon Fragale, two brothers from Boomer in Fayette County, previously pleaded guilty to conspiracy to distribute and to possess with intent to distribute more than 500 grams of methamphetamine, a quantity of oxycodone, and a quantity of heroin. They both face a mandatory minimum of 10 years and up to life in federal prison when they are sentenced on March 14, 2018. Dominic Copney, of Beckley, previously entered a guilty plea to conspiracy to distribute and possess with the intent to distribute more than 500 grams of cocaine and more than 100 grams of heroin. He faces a mandatory minimum of five and up to 40 years in federal prison when he is sentenced on April 17, 2018. Velarian Carter, the brother of Detria Carter, previously pleaded guilty to conspiracy to distribute and possess with intent to distribute more than five kilograms of cocaine, more than 280 grams of crack, and more than 100 grams of heroin. He faces at least 20 years and up to life in federal prison when he is sentenced on April 17, 2018.
This prosecution was made possible through the cooperative efforts of several investigating agencies. The investigation was led by the Federal Bureau of Investigation and the Raleigh County Drug and Violent Crime Task Force. The Drug Enforcement Administration, the Beckley Police Department, the Raleigh County Sheriff’s Department, the West Virginia State Police, the Bureau of Alcohol, Tobacco, Firearms and Explosives, and the United States Postal Inspection Service provided assistance throughout the investigation. Assistant United States Attorney Timothy D. Boggess is in charge of these prosecutions. The plea hearing was held before Senior United States District Judge David A. Faber.
These cases are being prosecuted as part of an ongoing effort led by the United States Attorney’s Office for the Southern District of West Virginia to combat the illicit sale and misuse of illegal drugs. The U.S. Attorney’s Office, joined by federal, state and local law enforcement agencies, is committed to aggressively pursuing and shutting down pill trafficking, eliminating open air drug markets, and curtailing the spread of illegal drugs in communities across the Southern District.
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Attorney General Sessions Issues Statement on President Trump’s National Security StrategyRead the Press Release
Today Attorney General Jeff Sessions issued the following statement on President Trump’s National Security Strategy:
"President Trump has put America first,” Attorney General Sessions said. “The very first pillar of his national security strategy is to protect our homeland--to protect the American people from terrorism, from violent crime, from deadly drugs, and from any other threat we face. And he has taken action to do that by stopping immigration of people we can't vet, holding cities and counties accountable that intentionally undermine federal law enforcement, and putting a bullseye on gangs like MS-13. This year alone, the Justice Department has secured convictions of more than 1,000 gang members across America and arrested hundreds of members of MS-13. Under President Trump's leadership, we are making America safe again."Associate of La Cosa Nostra Found Guilty of Extortion-Related ChargesRead the Press Release
An associate of the Genovese La Cosa Nostra (LCN) crime family was found guilty today in federal court in Springfield, Massachusetts of extortion-related charges.
Acting Assistant Attorney General John P. Cronan of the Justice Department’s Criminal Division, Acting U.S. Attorney William D. Weinreb for the District of Massachusetts, Special Agent in Charge Harold H. Shaw of the FBI Boston Field Office, Hampden County District Attorney Anthony Gulluni and Colonel Kerry A. Gilpin, Superintendent of the Massachusetts State Police, made the announcement today.
Richard Valentini, 53, of East Longmeadow, Massachusetts was found guilty today by a jury following a one-week trial of one count of conspiracy to interfere with commerce by threats or violence and one count of interference with commerce by threats or violence.
U.S. District Court Judge Timothy S. Hillman scheduled Valentini’s sentencing on March 12, 2018.
According to the evidence presented at trial, Valentini and co-defendants, Francisco “Frank” Depergola, Ralph Santaniello, and Giovani “Johnny Cal” Calabrese, were associates of the New York-based Genovese LCN crime family and engaged in various criminal activities in Springfield, Massachusetts, including extortion from legitimate businesses. The prosecutors established that Valentini and his co-defendants used violence, exploited their relationship with the Genovese LCN crime family, and implied threats of murder and physical violence to instill fear in their victims.
The evidence established that in 2013, Valentini, Depergola, Santaniello and Calabrese attempted to extort money from a Springfield businessman. Santaniello and Calabrese assaulted the businessman and threatened to cut off his head and bury his body if he did not comply. Prosecutors established that over a period of seven weeks, the businessman paid $20,000 to Valentini, Santaniello, Calabrese, and Depergola to protect himself and his business.
Each charge provides for a sentence of no greater than 20 years in prison, five years of supervised release, a fine of $250,000, and forfeiture. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
Santaniello, Calabrese and Deperola previously pleaded guilty; their sentencings are scheduled for Jan. 29, 2018, Jan. 30, 2018, and March 9, 2018, respectively.
The case was investigated by the FBI Boston Field Office and the Massachusetts State Police. Trial Attorney Marianne Shelvey of the Criminal Division’s Organized Crime and Gang Section; Assistant U.S. Attorney Kevin O’Regan, Chief of Weinreb’s Springfield Branch Office; and Assistant U.S. Attorney Katherine Wagner, also of the Springfield Branch Office are prosecuting the case.
Antlers Man Pleads Guilty to Possession of Firearm, AmmunitionRead the Press Release
MUSKOGEE, OKLAHOMA – The United States Attorney’s Office for the Eastern District of Oklahoma announced that Charles Allen Bailey, age 50, of Antlers, Oklahoma pled guilty to Felon In Possession Of Firearm & Ammunition, in violation of Title 18, United States Code, Sections 922(g)(1) and 924(a)(2), punishable by not more than 10 years imprisonment, and up to a $250,000.00 fine or both.
The Indictment alleged that on or about July 18, 2017, within the Eastern District of Oklahoma, the defendant, Charles Allen Bailey, having been convicted of a crime punishable by imprisonment for a term exceeding one year, did knowingly possess in and affecting commerce a firearm and ammunition which have been shipped and transported in interstate commerce.
The charges arose from an investigation by the Oklahoma Bureau of Narcotics and the Bureau of Alcohol, Tobacco, Firearms and Explosives.
The Honorable Steven P. Shreder, U.S. Magistrate Judge in the United States District Court for the Eastern District of Oklahoma, in Muskogee, accepted the plea and ordered the completion of a presentence investigation report. The defendant will remain in custody pending a sentencing hearing.
Assistant United States Attorney Kristin Harrington represented the United States.
Actor Pleads Guilty to Possessing Large Collection of Child Pornography Found on His Home ComputerRead the Press Release
LOS ANGELES – Actor Mark Wayne Salling today pleaded guilty to a federal offense of possessing child pornography and specifically admitted that he possessed approximately 25,000 images of children engaged in sexual conduct.
Salling, 35, of Shadow Hills, who is best known for his role as Noah Puckerman on the television show “Glee,” pleaded guilty to one count of possession of child pornography involving a prepubescent minor.
In a plea agreement filed in October in United States District Court, Salling acknowledged that he downloaded the images from the internet in 2015 and used software designed to conceal his activity. The collection was discovered on a laptop computer, a hard drive, and a USB flash drive after Salling showed some of the images to a girlfriend, who reported the matter to local enforcement.
Salling pleaded guilty this afternoon before United States District Judge Otis Wright II, who scheduled a sentencing hearing for March 7.
The child pornography charge that Salling admitted today carries a statutory maximum sentence of 20 years in federal prison. The parties to the plea agreement have agreed that the appropriate sentence in this case is four years to seven years in federal prison, to be followed by a 20-year period of supervised release. If Judge Wright decides to impose a sentence outside of the agreed-upon range, either party will have the option of withdrawing from the agreement.
Once Salling completes his prison sentence and begins serving a period of supervised release, he will be required to register as a sex offender.
The case against Salling is the product of an investigation by the Los Angeles Internet Crimes Against Children (ICAC) Task Force, which includes officers with the Los Angeles Police Department and special agents with U.S. Immigration and Customs Enforcement’s Homeland Security Investigations. The Beverly Hills Police Department provided substantial assistance.
This case is being prosecuted by Assistant United States Attorney Joey Blanch of the Violent and Organized Crime Section.
Friday 15 December 2017
Williamsport Man Charged with Drug Distribution Resulting in Serious Bodily InjuryRead the Press Release
WILLIAMSPORT - The United States Attorney’s Office for the Middle District of Pennsylvania announced today that Wayne Davidson, age 24, of Williamsport, Pennsylvania, was indicted on December 14, 2017, by a federal grand jury on drug trafficking charges.
According to United States Attorney David J. Freed, the indictment alleges that Davidson engaged in the distribution of heroin and carfentanil on June 29, 2017, in Lycoming County, and as a result of those deliveries, two persons suffered serious bodily injury.
According to the United States Drug Enforcement Administration, carfentanil is used as a tranquilizing agent for elephants and large animals. It is estimated to be 10,000 times stronger than morphine.
The charges stem from an investigation by the Williamsport Police Department, Pennsylvania State Police and the Federal Bureau of Investigation. Assistant United States Attorney Alisan VanFleet is prosecuting the case.
This case was brought as part of a district wide initiative to combat the nationwide epidemic regarding the use and distribution of heroin. Led by the United States Attorney’s Office, the Heroin Initiative targets heroin traffickers operating in the Middle District of Pennsylvania and is part of a coordinated effort among federal, state and local law enforcement agencies to locate, apprehend, and prosecute individuals who commit heroin related offenses.
Indictments are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
The defendant is facing a mandatory sentence of twenty years in prison and maximum term of life imprisonment. He also faces a $2,000,000 maximum fine, and maximum lifetime term of supervised release. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant's educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
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Williamsport Man Charged with Drug Deliveries Resulting in Serious Bodily InjuryRead the Press Release
WILLIAMSPORT - The United States Attorney’s Office for the Middle District of Pennsylvania announced today that Nathan Crowder, age 29, of Williamsport, Pennsylvania, was charged on November 14, 2017, in a superseding indictment with four additional counts of drug trafficking.
According to United States Attorney David J. Freed, the superseding indictment alleges that Crowder engaged in a conspiracy to distribute controlled substances, including heroin and carfentanil, from January to July of 2017. As part of that ongoing conspiracy, it is alleged that Crowder distributed a substance containing heroin and carfentanil on four separate occasions in June and July 2017. As a result, three people suffered serious bodily injury.
According to the United States Drug Enforcement Administration, carfentanil is used as a tranquilizing agent for elephants and large animals. It is estimated to be 10,000 times stronger than morphine.
The superseding indictment also contains the original charges of conspiracy to distribute controlled substances and possession with intent to deliver heroin.
The charges stem from an investigation by the South Williamsport Police Department, the Williamsport Police Department, Pennsylvania State Police and the Federal Bureau of Investigation. Assistant United States Attorney Alisan VanFleet is prosecuting the case.
This case was brought as part of a district wide initiative to combat the nationwide epidemic regarding the use and distribution of heroin. Led by the United States Attorney’s Office, the Heroin Initiative targets heroin traffickers operating in the Middle District of Pennsylvania and is part of a coordinated effort among federal, state and local law enforcement agencies to locate, apprehend, and prosecute individuals who commit heroin related offenses.
Indictments are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
The defendant is facing a mandatory sentence of twenty years in prison and maximum term of life imprisonment. He also faces a $2,000,000 maximum fine, and maximum lifetime term of supervised release. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant's educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
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West Virginia residents admit to their roles in a methamphetamine distribution operationRead the Press Release
ELKINS, WEST VIRGINIA –Three West Virginia residents have admitted to their roles in a meth distribution operation, United States Attorney Bill Powell announced.
Jerry Lee Stewart, Jr., 28, of Weston, West Virginia, pled guilty to one count of “Conspiracy to Distribute Methamphetamine” and one count of “Carrying a Firearm During a Drug Trafficking Crime.” Stewart admitted to conspiring with others to distribute methamphetamine in Upshur County and elsewhere from March 2016 to September 2017. He also admitted to possessing a 9mm caliber pistol and a .22 caliber pistol while committing a drug trafficking crime in April 2017 in Lewis County.
Reggie Joe McLain, age 38, of Buckhannon, West Virginia pled guilty to one count of “Conspiracy to Distribute Methamphetamine.” McLain admitted to conspiring with others to distribute methamphetamine in Upshur County and elsewhere from March 2016 to September 2017.
Casey Jo Richards, age 28, of Bridgeport, West Virginia, pled guilty to one count of “Distribution of Methamphetamine.” Richards admitted to distributing crystal meth in April 2017 in Harrison County.
Stewart and McLain each face up to life in prison and a fine of up to $10,000,000 for the conspiracy count. Stewart also faces up to five years incarceration and a fine of up to $250,000 for the firearms count. Richards faces up to 20 years incarceration and a fine of up to $1,000,000. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant U.S. Attorney Stephen D. Warner is prosecuting the cases on behalf of the government. The Bureau of Alcohol, Firearms, Tobacco and Explosives, The Mountain Region Drug & Violent Crime Task Force, the Greater Harrison Drug &Violent Crime Task Force, a HIDTA-funded initiative, the West Virginia State Police, Upshur County Sheriff’s Office, Lewis County Sheriff’s Office, the Buckhannon Police Department, and the Weston Police Department are investigating.
U.S. Magistrate Judge Michael John Aloi presided.
Upstate Residents Plead Guilty to Mail Theft ConspiracyRead the Press Release
Columbia, South Carolina ---- United States Attorney Beth Drake stated today that John P. Garrett, age 35, of Simpsonville, and Benjamin G. Eller, age 30, of Simpsonville, pled guilty in federal court in Anderson, to a conspiracy to commit mail theft, a violation of Title 18, United States Code, Section 371. United States District Judge Timothy M. Cain, of Anderson, accepted the plea and will impose sentence after he has reviewed the presentence report which will be prepared by the U.S. Probation Office.
Evidence presented at the change of plea hearing established that the defendants stole mail in and around Greenville County in an effort to obtain bank account numbers, routing numbers, and identification information. Once in possession of this material they would create counterfeit checks and negotiate them to obtain money for methamphetamine.
Defendants often stole automobiles in order to steal mail and pass checks. This was done so that the tag would not come back to them if law enforcement or a citizen spotted them. Hundreds of pieces of stolen mail were recovered in this case along with checks already altered and made payable to defendants.
Ms. Drake stated the maximum penalty defendants can receive is a fine of $250,000 and/or imprisonment for 5 years, plus a special assessment of $100.
The case was investigated by agents of the United States Postal Inspection Service and the Greenville County Sheriff’s Office. Assistant United States Attorney Bill Watkins of the Greenville office handled the case.
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Union Man Pleads Guilty to Possession with the Intent to DistributeRead the Press Release
Columbia, South Carolina ---- United States Attorney Beth Drake stated today that Cornelius C. Crawford., age 31, of Union, pled guilty in federal court in Anderson, to possession with the intent to distribute cocaine, a violation of Title 21, United States Code, Section 841. United States District Judge Timothy M. Cain, of Anderson, accepted the plea and will impose sentence after he has reviewed the presentence report which will be prepared by the U.S. Probation Office.
Evidence presented at the change of plea hearing established that on October 13, 2016, Officer Montjoy with the Jonesville Police Department observed a car failing to maintain lane and a passenger in the car with no seatbelt. Based on these violations, he initiated a traffic stop. When the car stopped, Crawford (who was the passenger) jumped out carrying a green and orange bag and made a run for it. Officer Montjoy chased him. After a chase, Crawford pulled out a .22 caliber Ruger, turned, and pointed it at the officer. Montjoy ordered him over and over to drop the gun and get on the ground. On the tenth or so command, Crawford finally got to the ground, and tried to bury the gun and a bag of cocaine next to him. Once backup arrived, officers placed Crawford under arrest. In the orange bag, the officer located a set of digital scales, five baggies of cocaine, and .22 caliber bullets.
Ms. Drake stated the maximum penalty this defendant can receive is a fine of $2,000,000 and/or imprisonment for 30 years, six years of supervised release, plus a special assessment of $100.
The case was investigated by agents of the Jonesville Police Department and the Federal Bureau of Investigation. Assistant United States Attorney Bill Watkins of the Greenville office handled the case.
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U.S. Attorney's Statement Regarding Addition of Prosecutor to Fight Violent Crime in Central IllinoisRead the Press Release
SPRINGFIELD, Ill. – U.S. Attorney John E. Childress issued the following statement upon Attorney General Jeff Sessions’ announcement today that the Department of Justice has allocated additional resources across the country to fight violent crime, including the addition of a prosecutor position in the Central District of Illinois:
“On behalf of the U.S. Attorney’s Office, I would like to thank the Attorney General for the additional resources dedicated to the protection of the citizens of Central Illinois,” stated U.S. Attorney John Childress. “With the help of our law enforcement partners, we will continue to work together to promote the safety and interests of those citizens.”
U.S. Attorney Glassman Awards Outstanding Performance Recognitions to District EmployeesRead the Press Release
CINCINNATI – U.S. Attorney Benjamin C. Glassman recognized nine employees of the Southern District of Ohio in four categories for their distinguished public service in his second annual United States Attorney’s Awards in Outstanding Performance.
Outstanding Performance in Legal Support – Leah A. Gezinski
Ms. Gezinski’s support has enabled the Dayton office to successfully investigate and charge those trafficking heroin, fentanyl and other opioids.
“Ms. Gezinski has been invaluable in supporting some of the most labor-intensive investigations, particularly involving wiretaps,” U.S. Attorney Glassman said. “She worked tirelessly, and often at late or early hours, to ensure the success of wires that have been instrumental in charging and convicting opioid traffickers.”
Outstanding Performance by an Assistant United States Attorney – Heather A. Hill
Ms. Hill led three jury trials in the first four months of 2017 that arose from separate child-exploitation investigations.
In January, Thomas A. Sweeney was convicted of all counts, including production of child pornography, attempted coercion/enticement of a minor, receipt of child pornography and commission of a sex offense while registered as a sex offender. He was sentenced in July to serve 55 years in prison for the sex crimes, which involved a 14-year-old.
Joshua D. Chapman-Sexton was convicted of all counts in February. He was on supervised release when he committed the new offenses, which included receipt and possession of child pornography, and was sentenced to 24 years in prison.
In April, Shawn P. Parrish was also convicted of all counts, including receiving and possessing child pornography. He is scheduled to be sentenced next month.
“Assistant United States Attorneys are the best trial lawyers in the world, and no one performed as much or at a higher level in 2017 than Heather Hill,” Glassman said. “First chairing three jury trials in four months is a remarkable feat, and Ms. Hill’s accomplishment is all the more impressive because the defendants were charged with serious child-exploitation offenses, and she convicted them on every count.”
Outstanding Performance by a Litigative Team – Financial Litigation Unit
Assistant United States Attorney Bethany J. Hamilton, Paralegal Specialists Craig A. Black and Cloteal J. Turner, Legal Assistant Nicole Burczyk and Contract Paralegals Stephanie Crosson and Danielle DeLeon Spires were recognized for collecting more than $261 million in fiscal year 2017 – the highest total in the history of the Southern District of Ohio.
“The Financial Litigation Unit accomplished this new record for our District through 4,322 enforcement activities, close coordination with the Criminal and Civil divisions, and teamwork of the highest order,” Glassman said.
Outstanding Performance in Administration – Karen S. Stocker
As the District’s Budget Officer, Ms. Stocker handled a once-in-a-generation type of transition this past year to a new financial management system that was implemented in each U.S Attorney’s Office across the country.
“Ms. Stocker has been an exemplary Budget Officer for the last decade, and this past year, she not only managed to accommodate within our budget expenses for ambitious investigations and litigation, but she also did so while transitioning to a new national financial management system,” Glassman said. “This transition was among the most significant in many years, but thanks to Ms. Stocker’s diligence and hard work, most litigators in our office probably didn’t even notice.”
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Two from Lorain County charged with distributing carfentanil and fentanylRead the Press Release
Two Lorain County men were charged in federal court for crime related to the trafficking of opioids, law enforcement officials said.
Manuel Latorre, 26, of Lorain, was named in a two-count indictment after possessing with intent to sell more than nine grams of carfentanil this year.
Tony O. Carter, 28, of Elyria, was charged in a criminal complaint with possession with intent to distribute a mix of fentanyl and heroin. Carter was out on bond from Lorain County Court of Common Pleas when he committed the new offense, according to court records.
The charges were announced by U.S. Attorney Justin E. Herdman, Lorain County Prosecutor Dennis Will, FBI Special Agent in Charge Stephen D. Anthony, DEA Special Agent in Charge Timothy Plancon, Elyria Police Chief Duane Whitely, Lorain Police Chief Cel Rivera and Lorain County Sheriff Sheriff Phil Stammitti of the Lorain County Sheriff’s Department. These charges represent the continuation of a coordinated effort on behalf of federal, state and local law enforcement to target those who sell illegal opioid narcotics in Lorain County.
“The drugs involved in these cases could have wiped out a city block,” Herdman said. “We will continue to work together and seek prison sentences for those who sell the drugs that kill our friends and neighbors.”
“These arrests and indictments make the citizens of Lorain County safer,” said Lorain Police Capt. Roger Watkins.
Among those those previously indicted and prosecuted in federal court as part of this coordinated effort are:
Octavious Smith was sentenced in March 2017 to 20 years in federal prison for distribution of cocaine and heroin and being a felon in possession of a firearm..
Jason Vasquez, 37, of Lorain, was sentenced to 10 years in federal prison for trafficking heroin in Lorain County, as well as being a felon in possession of a firearm and ammunition.
Anetaeus Spencer, 33, of Lorain, was sentenced to more than 12 years in prison for being a felon in possession of ammunition and several firearms, as well as selling heroin and crack cocaine.
Siarres Noble, 29, of Elyria was sentenced to 20 years in prison for distributing heroin and fentanyl, including fentanyl that caused the death of an Elyria resident.
Anthony Paul Montoy, 40, of Elyria and Fred Alston, 60, of Elyria were convicted of conspiracy to distribute kilograms of cocaine in Lorain County. Montoy was sentenced to 11 years in federal prison and Alston was sentenced to eight years in federal prison.
Two Texas Fishermen Sentenced for False Statements to Law Enforcement AgentsRead the Press Release
Jamal Marshall was sentenced to six months imprisonment and six months home confinement today following a hearing in federal district court in Houston, Texas, for making false statements to law enforcement agents regarding the illegal harvest of snapper in the Gulf of Mexico. A second fisherman, Jacob Brown, was previously sentenced on November 29, 2017, to 2 months imprisonment and 4 months home confinement. The sentences were announced by Acting Assistant Attorney General Jeffrey H. Wood for the Justice Department’s Environment and Natural Resources Division and the National Oceanic and Atmospheric Administration Fisheries Office for Law Enforcement.
In August 2017, Marshall and Brown pleaded guilty to making false statements to agents with the Coast Guard Investigative Service and the National Oceanic and Atmospheric Administration – Office of Law Enforcement. According to court documents filed at the time of the plea, the two illegally harvested more than 1,900 pounds of fish, including 642 snapper, weighing approximately 1,846 pounds. The two subsequently lied to law enforcement agents regarding the possession of these fish in order to hide their illegal harvest from Texas waters.
“This case highlights the superb partnership between Texas Parks and Wildlife, NOAA's Office of Law Enforcement, and the Coast Guard here in southeast Texas,” said Capt. Kevin Oditt, Commander of the Coast Guard Sector Houston/Galveston. “As a team, we work together to enforce laws that ensure the sustainability of our fisheries. In protecting our living marine resources, we also protect the livelihoods of commercial fishermen and the ability of recreational anglers to enjoy the sport for generations to come.”
“I am extremely proud of the combined effort by the USCG, NOAA, and Texas Game Wardens who work tirelessly day and night to protect of our natural resources in the Gulf of Mexico,” said Col. Grahame Jones of the Texas Parks and Wildlife's Law Enforcement Division.
Reef fish, such as red snapper and vermilion snapper, provide significant economic benefits to the state of Texas from both commercial and recreational fishing. Red snapper, the most popular reef fish in the Gulf of Mexico, are a top predator in the Gulf ecosystem, prized among recreational fishermen, and a valued offering at restaurants. Unsustainable catch rates have led to declines in the populations of these two fish. At their lowest point, vermilion snapper stocks were estimated to be at 20 percent of their historical abundance, and red snapper stocks were estimated to be at only three percent.
The case was investigated by the National Oceanic and Atmospheric Administration – Office of Law Enforcement, the Coast Guard Investigative Service, and the Texas Parks and Wildlife Department.
Two Men Involved in Federal Fentanyl Sweep Plead GuiltyRead the Press Release
BOSTON - A Dominican national and a Lowell man each pleaded guilty today in federal court in Boston to their roles in a widespread Lawrence-based heroin and fentanyl trafficking conspiracy.
Caonablo Mayobanex Pol Montero, a/k/a Cesar Eliel Echavarria Navarez; a/k/a Ely Manzano; a/k/a Mayo Baney Pol; a/k/a Mayo Pol; a/k/a Eddie Soto; a/k/a Jorge Mercado; a/k/a Israel Cortes; a/k/a Israel Cortez; a/k/a Ismael Guerra Cortez; a/k/a Ismael Cortez; a/k/a Israel P. Cortez; a/k/a Ismael Guerra; a/k/a Jorge L. Santiago; a/k/a Albertoz Vasquez; a/k/a Mayo Baney Montero; a/k/a Mayo Bane Montero; a/k/a Bani, 45, a Dominican national residing in Lawrence; and Shawn Keefe, 27, of Lowell, each pleaded guilty to one count of conspiracy to possess with intent to distribute heroin, cocaine and fentanyl. Pol Montero also pleaded guilty to one count of illegal reentry of a deported alien. U.S. District Court Judge Leo T. Sorokin scheduled their sentencings for March 22, 2018, and Dec. 17, 2018, respectively. Keefe has been accepted to the Court’s RISE program, therefore his sentencing is delayed one year while he is enrolled in the program.
On May 30, 2017, after a year-long investigation aimed at attacking the fentanyl and heroin crisis in Lawrence and surrounding areas, more than 200 federal, state and local law enforcement officers executed a federal drug sweep to dismantle a Lawrence-based drug trafficking organization allegedly run by Juan Anibal Patrone. Pol Montero and Keefe were arrested and charged along with Patrone and approximately 30 co-conspirators.
Pol Montero supplied drugs to Patrone as well as to other customers, including Keefe, who redistributed drugs for Pol Montero and sold drugs to support his own habit. When search warrants were executed on May 30, 2017, over 350 grams of heroin, 22 grams of fentanyl, and drug paraphernalia were found at Pol Montero’s home. Pol Montero has previously been deported three times.
The conspiracy charge provides for a sentence of no greater than 20 years in prison, a minimum of three years and up to a lifetime of supervised release, and a fine of up to $1 million. The illegal re-entry charge provides for a sentence of no greater than two years in prison, up to three years of supervised release, and a fine of up to $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
Acting United States Attorney William D. Weinreb; Michal J. Ferguson, Special Agent in Charge of the Drug Enforcement Administration, New England Division; Michael Shea, Acting Special Agent in Charge of Homeland Security Investigations in Boston; Essex County District Attorney Jonathan W. Blodgett; Colonel Kerry A. Gilpin, Superintendent of the Massachusetts State Police; and Lawrence Police Chief James Fitzpatrick made the announcement today. Assistant U.S. Attorney Susan Winkler of Weinreb’s Narcotics and Money Laundering Unit is prosecuting the case.
This case is the result of a joint investigation conducted by the DEA Cross Border Initiative - comprised of the DEA, the Massachusetts State Police, and the Andover, Haverhill, Lawrence, Lowell, and Wilmington Police Departments - and the ongoing effort of the Organized Crime Drug Enforcement Task Forces (OCDETF), a partnership between federal, state and local law enforcement agencies. The principal mission of the OCDETF program is to identify, disrupt and dismantle the most serious drug trafficking, weapons trafficking and money laundering organizations, and those primarily responsible for the nation’s illegal drug supply.
The details contained in the charging documents are allegations. The remaining defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Two G.E.O. Guards Indicted for Attempting to Provide Contraband to PrisonersRead the Press Release
In San Antonio, a federal grand jury indicted two prison employees at the Central Texas Detention Facility – GEO (GEO) for allegedly attempting to provide contraband to inmates inside the federal detention facility announced United States Attorney John F. Bash, Federal Bureau of Investigation Special Agent in Charge Christopher Combs, San Antonio Division, and Drug Enforcement Administration Special Agent in Charge Will Glaspy, Houston Division.
In the first of two indictments returned last week, 37-year-old GEO guard Jewel Roberto Jefferson of San Antonio, 38-year-old GEO detainee Brian Keith Gonzalez of San Antonio and 36–year-old Stephanie Ann Villarreal of San Antonio are charged with one count of providing contraband in prison. According to court records, Jefferson allegedly agreed to smuggle crystal methamphetamine, heroin and hydroponic marijuana into the facility and give it to Gonzalez in exchange for $1,000. On November 21, 2017, agents arrested Jefferson immediately after he accepted payment but before he could smuggle in the contraband. DEA agents investigated this case.
In the second indictment, 27-year-old GEO guard Abigail Jolynn Abrego and 55–year-old Leonard Belmares of San Antonio are charged with one count of providing contraband in prison. According to court records, on November 12, 2017, Abrego and Belmares met with an undercover agent and agreed that Abrego would smuggle crystal methamphetamine to a GEO detainee in exchange for $1,500. Agents arrested Abrego and Belmares after Belmares took possession of the cash and a package containing sham crystal methamphetamine. FBI agents investigated this case.
If convicted, the defendants face up to 20 years in federal prison and a maximum $250,000 fine. All of the defendants, with the exception of Gonzalez, are currently on bond.
Assistant United States Attorney Sarah Wannarka is prosecuting these cases on behalf of the Government.
An indictment is merely a charge and should not be considered as evidence of guilt. The defendants are presumed innocent until proven guilty in a court of law.
Two Brothers Sentenced to 21 Months and 16 Months in Prison for Illegally Trafficking Threatened Alligator Snapping TurtlesRead the Press Release
WASHINGTON – Travis Leger of Sulphur, Louisiana, and his half-brother Jason Leckelt of Wilburton, Oklahoma, were sentenced today in federal court in Beaumont, Texas, to 21 months and 16 months in prison, respectively, followed by three years of supervised release for conspiring to violate the Lacey Act by illegally trafficking alligator snapping turtles.
Acting Assistant Attorney General Jeffrey H. Wood of the Justice Department’s Environment and Natural Resources Division and Acting U.S. Attorney Brit Featherston of the Eastern District of Texas made the announcement.
The third defendant in the case, Rickey Simon of Sulphur, Louisiana, was sentenced to three years of probation. U.S. District Court Judge Marcia A. Crone ordered the sentences.
Alligator snapping turtles are among the largest freshwater turtles in the world and can grow to weigh more than 200 pounds with a lifespan of more than 100 years. The turtles are designated as threatened with statewide extinction under Texas State Law, which strictly prohibits anyone from taking, capturing, transporting, or selling these turtles, or attempting to do so. The turtles are also protected under Louisiana State Law, which makes it illegal to sell or barter for the turtles. The Lacey Act makes it a crime to engage in the interstate trafficking of wildlife taken in violation of state wildlife protection laws.
“The illegal trafficking of wildlife undermines the vital conservation work being done to protect imperiled species like the alligator snapping turtle,” said Edward Grace, Acting Chief of Law Enforcement for the U.S. Fish and Wildlife Service. ‘Today's sentencing will hopefully serve as a deterrent to others seeking to exploit and profit from the illegal wildlife trade. I applaud the hard work of everyone here at the Service, as well as our partners at Texas Parks and Wildlife and Louisiana Wildlife and Fisheries, for their dedication to the pursuit of justice in cases such as this.”
On August 22, 2017, Leger, Leckelt, and Simon all pleaded guilty to the conspiracy charge. As part of his guilty plea, Travis Leger admitted to selling a live, illegally taken 171-pound turtle, for $1,000 and another live, illegally taken 168-pound turtle, for $500 in May and June of 2016. The turtles were later seized by U.S. Fish and Wildlife Agents from the buyer. Simon admitted that he sold an illegally-trafficked, 120-pound turtle to an undercover Special Agent of the U.S. Fish and Wildlife Service on May 19, 2016.
“This investigation illustrates the outstanding working relationship Texas Game Wardens have with our counterparts at the U.S. Fish and Wildlife Service and the Louisiana Department of Wildlife and Fisheries,” said Col. Grahame Jones, Director of Law Enforcement with the Texas Parks and Wildlife Department. “We commend the U.S. Attorney’s Office and the Justice Department for their efforts to bring these miscreants to justice.”
In April of 2017, Leger, Leckelt, and Simon were all charged in a six-count Indictment. The conspiracy charged all the defendants with illegally taking more than 60 large turtles during multiple fishing trips they took to Texas in the spring and summer of 2016, and then transporting the turtles back to a property in Sulphur, Louisiana, for sale. Leger admitted that the market value of all the turtles that he caught illegally in Texas and then sold in Louisiana during the course of the conspiracy was between $40,000 and $95,000. The market value of the turtles that were illegally trafficked by Leckelt was between $15,000 and $40,000.
In July of 2016, Federal agents seized about 30 large turtles from ponds located at Leger’s property in Sulphur, Louisiana, pursuant to a federal search warrant. As part of his guilty plea, Leger agreed to forfeit all of the seized turtles and will permit the U.S. Fish and Wildlife Service to return to his property, drain the ponds, and seize any turtles remaining in the ponds. All of the turtles seized by the government in this case will be cared for at the U.S. Fish and Wildlife Service Natchitoches Fish Hatchery in Louisiana and used as part of a breeding program to restock the species in its native waterways in the southwestern United States.
In a related case, Montaro Alabimo Williams of Elton, Louisiana, pleaded guilty on December 6, 2017, in federal court in Beaumont, Texas, to a misdemeanor violation of the Lacey Act for knowingly attempting to transport two alligator snapping turtles, which he illegally caught in Texas, to Louisiana on August 12, 2013. The maximum statutory sentence for this crime is a fine of not more than $100,000 and prison for not more than one year.
Senior Trial Attorney David P. Kehoe of the Department of Justice, Environmental Crimes Section and Assistant U.S. Attorney Joseph R. Batte of the Eastern District of Texas prosecuted the case. The case is being investigated by the U.S. Fish and Wildlife Service, the Louisiana Department of Wildlife and Fisheries, and the Texas Parks and Wildlife Department.
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Two Brothers Sentenced to 21 Months and 16 Months in Prison for Illegally Trafficking Threatened Alligator Snapping TurtlesRead the Press Release
Travis Leger of Sulphur, Louisiana, and his half-brother Jason Leckelt of Wilburton, Oklahoma, were sentenced today in federal court in Beaumont, Texas, to 21 months and 16 months in prison, respectively, followed by three years of supervised release for conspiring to violate the Lacey Act by illegally trafficking alligator snapping turtles.
Acting Assistant Attorney General Jeffrey H. Wood of the Justice Department’s Environment and Natural Resources Division and Acting U.S. Attorney Brit Featherston of the Eastern District of Texas made the announcement.
The third defendant in the case, Rickey Simon of Sulphur, Louisiana, was sentenced to three years of probation. U.S. District Court Judge Marcia A. Crone ordered the sentences.
Alligator snapping turtles are among the largest freshwater turtles in the world and can grow to weigh more than 200 pounds with a lifespan of more than 100 years. The turtles are designated as threatened with statewide extinction under Texas State Law, which strictly prohibits anyone from taking, capturing, transporting, or selling these turtles, or attempting to do so. The turtles are also protected under Louisiana State Law, which makes it illegal to sell or barter for the turtles. The Lacey Act makes it a crime to engage in the interstate trafficking of wildlife taken in violation of state wildlife protection laws.
“The illegal trafficking of wildlife undermines the vital conservation work being done to protect imperiled species like the alligator snapping turtle,” said Edward Grace, Acting Chief of Law Enforcement for the U.S. Fish and Wildlife Service. ‘Today's sentencing will hopefully serve as a deterrent to others seeking to exploit and profit from the illegal wildlife trade. I applaud the hard work of everyone here at the Service, as well as our partners at Texas Parks and Wildlife and Louisiana Wildlife and Fisheries, for their dedication to the pursuit of justice in cases such as this.”
On August 22, 2017, Leger, Leckelt, and Simon all pleaded guilty to the conspiracy charge. As part of his guilty plea, Travis Leger admitted to selling a live, illegally taken 171-pound turtle, for $1,000 and another live, illegally taken 168-pound turtle, for $500 in May and June of 2016. The turtles were later seized by U.S. Fish and Wildlife Agents from the buyer. Simon admitted that he sold an illegally-trafficked, 120-pound turtle to an undercover Special Agent of the U.S. Fish and Wildlife Service on May 19, 2016.
“This investigation illustrates the outstanding working relationship Texas Game Wardens have with our counterparts at the U.S. Fish and Wildlife Service and the Louisiana Department of Wildlife and Fisheries,” said Col. Grahame Jones, Director of Law Enforcement with the Texas Parks and Wildlife Department. “We commend the U.S. Attorney’s Office and the Justice Department for their efforts to bring these miscreants to justice.”
In April of 2017, Leger, Leckelt, and Simon were all charged in a six-count Indictment. The conspiracy charged all the defendants with illegally taking more than 60 large turtles during multiple fishing trips they took to Texas in the spring and summer of 2016, and then transporting the turtles back to a property in Sulphur, Louisiana, for sale. Leger admitted that the market value of all the turtles that he caught illegally in Texas and then sold in Louisiana during the course of the conspiracy was between $40,000 and $95,000. The market value of the turtles that were illegally trafficked by Leckelt was between $15,000 and $40,000.
In July of 2016, Federal agents seized about 30 large turtles from ponds located at Leger’s property in Sulphur, Louisiana, pursuant to a federal search warrant. As part of his guilty plea, Leger agreed to forfeit all of the seized turtles and will permit the U.S. Fish and Wildlife Service to return to his property, drain the ponds, and seize any turtles remaining in the ponds. All of the turtles seized by the government in this case will be cared for at the U.S. Fish and Wildlife Service Natchitoches Fish Hatchery in Louisiana and used as part of a breeding program to restock the species in its native waterways in the southwestern United States.
In a related case, Montaro Alabimo Williams of Elton, Louisiana, pleaded guilty on December 6, 2017, in federal court in Beaumont, Texas, to a misdemeanor violation of the Lacey Act for knowingly attempting to transport two alligator snapping turtles, which he illegally caught in Texas, to Louisiana on August 12, 2013. The maximum statutory sentence for this crime is a fine of not more than $100,000 and prison for not more than one year.
Senior Trial Attorney David P. Kehoe of the Department of Justice, Environmental Crimes Section and Assistant U.S. Attorney Joseph R. Batte of the Eastern District of Texas prosecuted the case. The case is being investigated by the U.S. Fish and Wildlife Service, the Louisiana Department of Wildlife and Fisheries, and the Texas Parks and Wildlife Department.
Tonawanda Man Arrested, Charged with Multiple Counts of Drug DistributionRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051
BUFFALO, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that James Nelson, 61, of Tonawanda, NY, was arrested and charged by criminal complaint with possession with intent to distribute, and distribution of, alprazolam and buprenorphine; possession with intent to distribute marijuana; and possession with intent to distribute oxycodone, hydrocodone, butalbital, buprenorphine, and alprazolam. The charges carry a maximum penalty of 20 years in prison and a $1,000,000 fine.Assistant U.S. Attorney Laura A. Higgins, who is handling the case, stated that on two occasions on June 8, 2016, Buffalo Police Department Investigators completed controlled undercover purchases of Alprazolam, a Schedule IV controlled substance, and Buprenorphine from Nelson.
On December 11, 2017, Special Agents with the Drug Enforcement Administration and Investigators of the Town of Tonawanda Police Department executed a search warrant at the defendant’s Fayette Avenue residence in Tonawanda. Nelson was found in the living room area of the residence. Officers recovered oxycodone pills; acetaminophen pills containing butalbital; suboxone strips containing buprenorphine; suboxone pills containing buprenorphine; hydrocodone pills; alprazolam pills; crack cocaine; marijuana; two digital scales; and approximately $1,400 in U.S. currency.
The defendant is being held following a detention hearing this morning.
The criminal complaint is the result of an investigation by the Tonawanda Police Department, under the direction of Chief Jerome Uschold and the Drug Enforcement Administration, under the direction of Special Agent-in-Charge James J. Hunt, New York Field Division.
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.
Toledo woman indicted for obstructing an investigation into the sex trafficking of minorsRead the Press Release
A Toledo woman was indicted for obstructing an investigation into the sex trafficking of minors, U.S. Attorney Justin E. Herdman and FBI Special Agent in Charge Stephen D. Anthony said.
Laura Lloyd-Jenkins, 43, was indicted on one count of obstructing of a sex trafficking investigation and one count of making a false statement.
The charges were filed as part of a 13-count superseding indictment in which Kenneth Butler, Cordell Jenkins, and Anthony Haynes, are all charged with conspiracy to sex traffic children.
Lloyd-Jenkins obstructed a sex trafficking investigation by notifying a defendant of the forthcoming investigation on March 29, 2017, according to the indictment.
Lloyd-Jenkins made false statements to law enforcement about her knowledge of the conduct alleged in the indictment on April 12, 2017, according to the indictment.
Haynes, Butler and Jenkins sexually assaulted a juvenile girl beginning in 2014 through 2017, according to court documents.
The girl was 14 when the conduct began and she was in the custody of Hayne. Some of this conduct took place at Greater Life Christian Center in Toledo, where Haynes was pastor at the time. Haynes used his cellular telephone to record these sexual assaults, according to court documents.
Haynes routinely gave the victim money after the acts and told her not to say anything. He told her that if she said anything, it would ruin his family and his church, according to court documents.
Haynes also facilitated the victim being sexually exploited by several other men, including Jenkins, according to court documents.
Jenkins repeatedly sexually exploited the minor at his home on Barrington Drive, at his office at Abundant Life Ministries and at a motel in Toledo. He paid her and referred to the payment as “hush money.” He often recorded these interactions with his cellular telephone, according to court documents.
Jenkins also caused another juvenile girl to engage in commercial sex acts in March 2017, according to the indictment
Butler also caused another juvenile girl to engage in commercial sex acts from 2015 through 2017, according to indictment.
An indictment is only a charge and is not evidence of guilt. The defendants are entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
This case is being prosecuted by Assistant U.S. Attorneys Michael Freeman and Alissa Sterling following an investigation by the FBI’s Northwest Ohio Violent Crimes Against Children Task Force. The Task Force is comprised of members of the FBI, Toledo Police Department, Perrysburg Township Police Department, Lima Police Department, Oregon Police Department, Fulton County Sheriff’s Office, Ottawa County Sheriff’s Office, Ohio State Highway Patrol, the Bureau of Criminal Investigation and Lucas County Sheriff’s Office.
The Resurgence of the Justice DepartmentRead the Press Release
By Jay Town, the United States Attorney for the Northern District of Alabama. The former Marine Corps officer, and career prosecutor, was nominated by President Trump in June and confirmed by the Senate, and thereafter sworn, in August.
Like any division of government, the Department of Justice has found its share of headlines this year. There is a stark contrast between the headlines of the day and the underlying news. The headlines come with clever pageantry and facile strobe. The news in the finer font below is more often the circumstance without the pomp. Critical thought about government, including and especially the DOJ, is inevitable, but too often any intellectual curiosity about the news eludes us. As 2017 begins to give up her fight to a new year, it is perhaps a wise resolution to reflect more often upon the DOJ news than to gaze dimly at those headlines.
Violent crime is at its highest levels in decades. Under Attorney General Jeff Sessions' leadership, this frightening reality was confronted immediately. FBI data suggests that overall violent crime rates were up approximately 4 percent the last two years while the murder rates have risen at disturbing rates with a 10.8 percent increase in 2015 followed by 8.6 percent last year. In response, partnerships between federal, state, and local law enforcement have re-emerged as the force-multiplier needed to combat the increasing violence. Project Safe Neighborhoods has been revitalized, creating more robust partnerships that target violent criminals and drug traffickers in our communities. Defendants will "smartly" be prosecuted for the most serious, readily provable offenses and no longer will it be a unique approach to law enforcement to reserve bed-space in prisons for our worst offenders.
The news is that the DOJ will not cede our safety and security in one city, in one neighborhood, or on one street corner to crime.
The opioid crisis in America is the deadliest in our history. In fact, 77 percent of the 64,000 drug overdoses last year were a result of prescription opioids, synthetic opioids like Fentanyl, or heroin. Opioid abuse is the number one cause of death for anyone under the age of 50. No part of our society -- not young or old, rich or poor -- has been spared the bane of drug addiction. The DOJ has responded by aggressively leading the prosecution of "pill mill" doctors and health care providers who have traded the efficacy of care for the poison of their own greed. President Trump declared the opioid crisis a public health emergency and requested over $1 billion for anti-opioid treatment and law enforcement measures. The Department continues to stem the flow of deadly fentanyl across our borders and into our homes.
The news is that never before has there been such impactful measures to combat illegal narcotics.
The current administration has relieved law enforcement from the doldrums of previous policies by the trade winds of the freedom to pursue our worst offenders. The FBI continues to be at the forefront of not only traditional aspects of law enforcement, but also the emerging cyber and intelligence threats to our nation. The ATF and DEA continue to rid our streets of illegal guns and illicit drugs. The U.S. Marshals remain the best manhunters in the world. Our other federal partners are engaged at the highest levels. Perhaps more important, however, the morale of law enforcement is emboldened by believing once again that we have their backs, and they have our thanks.
The news is that crime again has sanction and sanction is again aggressively pursued.
Illegal immigration is at its lowest point in years while deportations continue to rise. Illegal immigrants who commit crimes are being prosecuted, not just deported, and justice given to victims of crime. Combating illegal immigration remains among DOJ's highest priorities. Transnational gangs like MS-13 can no longer take advantage of a porous border without notice. The President's travel ban was successfully defended by the Justice Department and the sanctuary of sanctuary cities is diminishing.
The news is that our borders are more secure.
There are myriad other successes of the Department of Justice. They won't fit neatly in a headline. They are too complex for the lower-third chyrons. Indeed, they are oft overshadowed by the shrewd headline's bold print. Read onward! The triumphs of the Department of Justice will continue in the finer font.
And the news is good!
Ten Area Residents Indicted for $5.4 Million Meth ConspiracyRead the Press Release
KANSAS CITY, Mo. – Tom Larson, Acting United States Attorney for the Western District of Missouri, announced today that 10 area residents have been indicted by a federal grand jury for their roles in a $5.4 million conspiracy to distribute methamphetamine.
Michaela Joeanne Hernandez,36, of Raymore, Mo., Brandy Michael Morgan, 44, of Kansas City, Mo., Anthony Dewayne Fifer, 46, of Mexico, Mo., Sharmyn Leanne Shryock, 27, and Jeffery Allen Jennings, 31, both of St. Joseph, Mo., Charlsie Kim Harris, 33, of Garden City, Mo., Eric Edward Ballard, 25, and Linda Kay Ballard, 65, both of Atchison, Kan., Brian Joe Russell, 36, of Amazonia, Mo., and Adrian Leon Madrigal, 27, address unknown, were charged in a five-count indictment returned under seal by a federal grand jury on Nov. 16, 2017. The indictment has been unsealed following the arrests and initial court appearances of some of the defendants.
The federal indictment alleges that all 10 co-defendants participated in a conspiracy to distribute methamphetamine from Jan. 1, 2015, to Nov. 16, 2017. The indictment alleges the distribution of more than 321 kilograms of methamphetamine during the conspiracy. The five co-defendants are also charged together in one count of conspiracy to commit money laundering in connection with the drug-trafficking conspiracy.
In addition to the conspiracy counts, Hernandez is charged with one count of possessing methamphetamine with the intent to distribute, one count of possessing firearms in furtherance of a drug-trafficking crime, and one count of being a felon in possession of firearms and ammunition. Hernandez allegedly was in possession of a Springfield Armory 9mm handgun and a loaded Taurus 9mm handgun between April 1 and Oct. 14, 2017.
Under federal law, it is illegal for anyone who has been convicted of a felony to be in possession of any firearm or ammunition. Hernandez has a prior felony conviction for possession of a controlled substance.
The indictment also contains a forfeiture allegation, which would require all 10 co-defendants to forfeit to the government any property derived from the proceeds of the alleged drug-trafficking conspiracy, including a money judgment of $5.4 million. This represents the amount of money received in exchange for the unlawful distribution of methamphetamine, the indictment says, based on an approximate sale price of $600 per ounce and distribution of at least 9,000 ounces (approximately 321.4 kilograms) of methamphetamine.
According to an affidavit filed in the original criminal complaint, law enforcement officers executed a search warrant at Hernandez’s prior residence in Grandview, Mo., on April 5, 2017. Hernandez was arrested and officers seized approximately 1.46 kilograms of methamphetamine, the Springfield Armory 9mm handgun and drug paraphernalia. Hernandez allegedly told officers she distributed approximately 200 pounds of methamphetamine per month during the three to six months prior to her arrest.
On Oct. 14, 2017, law enforcement officers executed a search warrant at Hernandez’s Raymore residence. Hernandez was arrested and officers seized approximately 228 grams of methamphetamine, the loaded Taurus 9mm handgun and drug paraphernalia. According to the affidavit, Hernandez told investigators that she pays between $4,700 and $6,500 per pound of methamphetamine. Hernandez allegedly stated she resupplies with the pound quantities approximately every four days.
Larson cautioned that the charges contained in this indictment are simply accusations, and not evidence of guilt.This case is being prosecuted by Assistant U.S. Attorney Bruce Rhoades. It was investigated by the Drug Enforcement Administration, the Plattsburg, Mo., Police Department; the Atchison County, Kan., Sheriff’s Department; the Buchanan County Drug Strike Force and Sheriff’s Department; the Jackson County Drug Task Force; the Clinton County, Mo., Sheriff’s Department; the Missouri State Highway Patrol; the Cass County, Mo., Sheriff’s Department; and the Clay County Drug Task Force.
Staten Island Lawyer and Three Others Charged in Fraud, Kidnapping and Extortion SchemeRead the Press Release
An 11-count indictment was unsealed today in federal court in Brooklyn charging Richard Luthmann, George Padula III, and Michael Beck with kidnapping and kidnapping conspiracy, extortionate collection of credit, conspiracy to commit extortionate collection of credit and brandishing a firearm during the commission of those crimes. Luthmann and Padula were also charged with conspiracy to commit wire fraud, money laundering, money laundering conspiracy and aggravated identity theft, and Luthmann was additionally charged with access device fraud and a second count of aggravated identity theft. A fourth defendant, Stephen Cotogno, was charged by complaint with participating in the same wire fraud conspiracy as Luthmann, Padula and Beck. Luthmann, Padula, Beck and Cotogno were arrested earlier today and will be arraigned this afternoon before United States Magistrate Judge Robert M. Levy.
Bridget M. Rohde, Acting United States Attorney for the Eastern District of New York, William F. Sweeney, Jr., Assistant Director-in-Charge, Federal Bureau of Investigation, New York Field Office (FBI), and Jonathan Carson, Special Agent-in-Charge, U.S. Department of Commerce, Bureau of Industry and Security, Office of Export Enforcement, New York Field Office (Commerce), announced the charges.
“As alleged, Richard Luthmann crossed the line from attorney to violent criminal and fraudster,” stated Acting United States Attorney Rohde. “Luthmann and his coconspirators cheated scrap metal customers in order to make easy money for themselves, took advantage of a disabled man to conceal their fraud, and used gunpoint extortion to collect a purported debt. Whether such crimes are committed on the street or in a law office, this Office and our law enforcement partners will investigate and prosecute them to the fullest extent of the law.” Ms. Rohde expressed her grateful appreciation to the FBI and Commerce, who are responsible for leading the investigation, and thanked the Department of Homeland Security, Homeland Security Investigations, the New York City Police Department and the Social Security Administration for their assistance.
“After allegedly devising a scheme to cheat potential business partners, an attorney and his cohorts threatened using a purported organized crime syndicate to manage those who disagreed with the fraud,” stated FBI Assistant Director-in-Charge Sweeney. “They are even accused of forcing a blind man to take part in their criminal attempt at profiting in business without working for it. The FBI Organized Crime Task Force will continue going after those who think the law doesn't apply to them.”
The Fraud Scheme
According to court documents, beginning in the summer of 2015, Luthmann, who is a practicing lawyer on Staten Island, New York, along with Padula and another co-conspirator
(“Co-Conspirator 1”) agreed to defraud companies seeking to purchase scrap metal. In part, the scheme involved contracting with victims to ship them containers of valuable scrap metal, but then filling the shipping containers primarily with cheap filler material. Luthmann had encouraged Co-Conspirator 1 to involve Padula in the fraud because Padula claimed that his father was a member of a New York-based organized crime family and that his uncle was a high-ranking member of that crime family. Luthmann said Padula could use his organized crime connections to settle any disputes that arose with disgruntled victims. Cotogno participated in the scheme by renting his warehouse to the co-conspirators at an above-market price, making suggestions for filler material and helping procure filler material.To facilitate the fraud, Luthmann registered fake companies, including one called Omni Metal Corporation (“Omni”), with the New York Department of State, and recruited a client of his law practice (the “client”), who was blind and living on public assistance, to be the nominal president of Omni. When the client expressed concern that he could face criminal exposure or lose his public assistance if the government learned about the arrangement, Luthmann assured the client that the government would not find out.
Luthmann, Padula and Co-Conspirator 1 agreed to have the client open bank accounts to facilitate the fraud, and between October 2015 and December 2015, victims wired over half-a-million dollars into these accounts. That money was then transferred into accounts controlled by Luthmann or Co-Conspirator 1, including Luthmann’s attorney trust account, or was withdrawn in cash and split among Luthmann, Padula and Co-Conspirator 1.
The Kidnapping and Extortion
On December 5, 2016, Luthmann asked Co-Conspirator 1 to meet him at his law office to sign some paperwork and said that they would then go out together for the evening. When Co-Conspirator 1 arrived at the office, Luthmann was not there. Co-Conspirator 1 contacted Luthmann, who told him to wait inside a conference room in the office. While
Co-Conspirator 1 was waiting, Padula and Beck entered the room and blocked him from exiting. Beck pulled out a gun, aimed it at Co-Conspirator 1’s head and knee and said he (Beck) was owed $10,000 because he had purchased a $7,000 debt that Co-Conspirator 1 owed Padula, and had added a $3,000 “vig,” or interest payment. Co-Conspirator 1 was eventually allowed to leave, but Padula told him not to contact the police.Padula and Luthmann had previously told Co-Conspirator 1 that Beck was an enforcer for the organized crime family to which Padula’s family members belonged, and that he was “muscle” for Padula. Moreover, in August 2016, Luthmann and Padula told
Co-Conspirator 1 that they had arranged for Beck to conduct a “sit down” with members of Chinese organized crime to resolve a conflict that arose out of the scrap metal fraud.The charges in the indictment are merely allegations, and the defendants are presumed innocent unless and until proven guilty.
If convicted of the charges, defendants Luthmann, Padula, and Beck each face up to life imprisonment. Cotogno faces up to 20 years’ imprisonment if convicted of wire fraud conspiracy.
The government’s case is being handled by the Office’s Organized Crime and Gangs Section. Assistant United States Attorney Moira Kim Penza is in charge of the prosecution.
The Defendant:
RICHARD LUTHMANN
Age: 38
Residence: Staten Island, New YorkGEORGE PADULA III
Age: 29
Residence: Staten Island, New YorkMICHAEL BECK
Age: 59
Residence: Staten Island, New YorkSTEPHEN COTOGNO
Age: 48
Residence: Holmdel, New JerseyE.D.N.Y. Docket No. 17-CR-664 (JBW)
Senate Confirms United States AttorneyRead the Press Release
BOSTON – Andrew E. Lelling has been confirmed by the U.S. Senate as the United States Attorney for the District of Massachusetts.
“I am honored to be confirmed as the United States Attorney and I look forward to serving the residents of Massachusetts,” said Mr. Lelling. “As a federal prosecutor I have had the privilege of working with some of the best federal and state law enforcement officers in the country. As U.S. Attorney, I will continue to collaborate with these distinguished public servants to fulfill the mission of the Department of Justice.”
Mr. Lelling has worked for the U.S. Department of Justice for 16 years, serving first in the Civil Rights Division at Main Justice and then as an Assistant U.S. Attorney in the Eastern District of Virginia and the District of Massachusetts. In September 2017, President Donald J. Trump nominated Mr. Lelling to serve as U.S. Attorney for the District of Massachusetts; he was confirmed by the U.S. Senate late yesterday.
As an Assistant U.S. Attorney, Mr. Lelling has prosecuted complex frauds, international drug trafficking, immigration offenses and other matters. Most recently, he led the successful prosecution of one of the largest pyramid schemes ever prosecuted by the Justice Department, TelexFree, Inc., which involved nearly two million victims worldwide who lost over $3 billion. Mr. Lelling has also prosecuted major drug trafficking organizations, including the Hells Angels, domestic branches of Mexican drug cartels, and global drug traffickers based in Eastern Europe. In his role as the Senior Litigation Counsel for the office, Mr. Lelling developed enforcement policy for criminal prosecutions and trained prosecutors and law enforcement officers on criminal practice.
Before serving as a federal prosecutor, Mr. Lelling was Counsel to the Assistant Attorney General for the Civil Rights Division, focusing on voting rights enforcement and civil rights-related criminal prosecutions. Before joining the Justice Department in 2001, Mr. Lelling was a senior litigation associate at Goodwin LLP in Boston and, before that, a litigation associate at LeBoeuf, Lamb, Greene & MacRae LLP in New York. In 1994-1995, he clerked for Chief Judge B. Avant Edenfield in the United States District Court for the Southern District of Georgia.
Mr. Lelling graduated cum laude from University of Pennsylvania Law School in 1994 and received his Bachelor of Arts in Literature & Rhetoric from Binghamton University in 1991. Until recently, Mr. Lelling taught an upper-level seminar on securities regulation and enforcement at New England Law Boston. He is a member of the Federalist Society and a former member of the Boston Bar Journal’s Board of Editors.
Saratoga Doctors Convicted of Providing False Billing Statements to Health Care Benefit ProgramsRead the Press Release
SAN JOSE- Vilasini Ganesh and Gregory Belcher were convicted of providing false statements to health benefit programs by a federal jury yesterday, announced United States Attorney Brian Stretch and Special Agent in FBI Special Agent in Charge John F. Bennett. The verdicts followed an eight-week jury trial before the Honorable Lucy H. Koh, U.S. District Court Judge.
The jury found Ganesh, 47, of Saratoga, guilty of five counts of health care fraud and five counts of making false statements relating to claims fraudulently submitted to health care benefit programs. Belcher, 56, also of Saratoga, was found guilty of one count of making a false statement relating to a health care benefit program. The defendants were acquitted of conspiracy and money laundering counts, and Belcher was also acquitted of four other health care fraud counts and one other count of making a false statement relating to a health care benefit program.
Evidence at trial showed that Ganesh submitted false and fraudulent claims to several health care benefit programs for services that she knew were not properly payable, by including claims for days when the patient had not been seen by the provider, and claims that the patients had been seen by another physician provider who was no longer affiliated with her practice. Evidence at trial further demonstrated that Belcher had on at least one occasion submitted a false claim in connection with a billing matter related to his physical therapy practice. On July 13, 2017, a federal grand jury indicted the defendants, charging them with one count of conspiracy to commit health care fraud, in violation of 18 U.S.C. § 1349; one count of conspiracy to commit money laundering, in violation of 18 U.S.C. § 1956(h); and multiple counts health care fraud, in violation of 18 U.S.C. § 1347, and 2 and false statement relating to health care matters, in violation of 18 U.S.C. § 1035.
The defendants are currently out of custody, on a $350,000 bond as to Ganesh and a $250,000 bond as to Belcher.
Judge Koh scheduled the defendants’ sentencing hearing for April 4, 2018. The maximum statutory penalty for each count in violation of 18 U.S.C. Section 1347 is 10 years imprisonment and a $250,000 fine plus restitution, if appropriate. The maximum statutory penalty for each count in violation of 18 U.S.C. Section 1035 is five years imprisonment and a $250,000 fine plus restitution, if appropriate. However, any sentence will be imposed by the court after consideration of the U.S. Sentencing Guidelines and the federal statute governing the imposition of a sentence, 18 U.S.C. § 3553.
Assistant U.S. Attorneys Patrick Delahunty and Jeff Nedrow are prosecuting the case with the assistance of Susan Kreider and Nina Burney Williams. The prosecution is the result of a two-year investigation by the Federal Bureau of Investigation.
Sacramento Man Sentenced to Prison for Criminal Trademark InfringementRead the Press Release
SACRAMENTO, Calif. — Xavier L. Johnson, 37, of Sacramento, was sentenced today by U.S. District Judge Garland E. Burrell Jr. to two years and six months in prison and three years of supervised release for trafficking in goods bearing counterfeit trademarks, U.S. Attorney Phillip A. Talbert announced.
According to court documents, from 2008 to 2011, Johnson and co-defendant Kristin Caldwell imported DVDs from China that contained counterfeit versions of children’s movies. They advertised and sold those DVDs throughout the United States using websites on which they claimed that they had obtained limited quantities of the movies. The DVDs bore counterfeit trademarks, including the names of the movies, the names of the movie studios, and other terms that were registered with the United States Patent and Trademark Office.
This case was the product of an investigation by the United States Postal Inspection Service and the Federal Bureau of Investigation. Assistant U.S. Attorney Matthew Morris prosecuted the case.
Other defendants charged in this case and the status of their charges are:
- Kristin M. Caldwell, 35, of Sacramento, was sentenced by Judge Burrell on August 4, 2017, and was ordered to spend six months on home confinement as a condition of probation.
- William L. Brown, of Sacramento, pleaded guilty on May 5, 2017 to aiding and abetting criminal copyright infringement. He is scheduled to be sentenced on January 19, 2018.
Richardson Man Sentenced to 300 Months in Federal Prison for Attempting to Produce Child PornographyRead the Press Release
DALLAS — Donald Golden, 62, of Richardson, Texas, was sentenced today by U.S. District Judge Sidney A. Fitzwater to 300 months in federal prison, following his guilty plea in July 2017 to one count of attempted production of child pornography, announced U.S. Attorney Erin Nealy Cox of the Northern District of Texas.
Golden has been in custody since the time of his arrest in March 2017.
According to the plea agreement factual resume filed in the case, on January 5, 2017, Golden sent a series of text messages and emails to John Doe #1, a minor boy under 15 years of age, requesting that he produce sexual explicit images of himself and send the images to Golden via text messaging. The messages included the following: “So, are you going to send me some pics … I need to see what you look like naked … I want to see what you look like from the neck down, no face, naked pics, just body …”
The case was brought as part of Project Safe Childhood, a nationwide initiative launched in 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorney’s Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood leverages federal, state and local resources to better investigate, apprehend and prosecute individuals who sexually exploit children. Project Safe Childhood also prioritizes identifying and rescuing victims. For more information about Project Safe Childhood, please visit http://www.justice.gov/psc/. For more information about internet safety education, please visit http://www.justice.gov/psc/ and click on the tab “resources.”
The case was investigated by the Federal Bureau of Investigation. Assistant U.S. Attorney Shane Read was in charge of the prosecution.
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Recidivist Child Sex Offender Sentenced for Possession of Child PornographyRead the Press Release
The Office of the United States Attorney for the District of Vermont stated that James Campbell, 57, of Swanton, Vermont, was sentenced on December 14, 2017, in United States District Court in Rutland, Vermont, to serve 135 months in prison after his guilty plea to one count of possession of child pornography. U.S. District Judge Geoffrey W. Crawford also ordered Campbell to serve a ten (10) year term of supervised release and to pay a $100 special assessment.
According to court records and proceedings, in 2007, Campbell was convicted in Vermont Superior Court, Franklin County, of sexual assault of a child less than 16 years old. For that offense, Campbell received a sentence of 10 years imprisonment, all suspended except for 14 months. He was placed on probation upon his release.
In March 2016, law enforcement agents operating in an undercover capacity on a peer-to-peer network downloaded child pornography from another user, whom investigation determined was accessing the Internet from Campbell’s residence in Swanton, Vermont. Agents with Homeland Security Investigations executed a warrant at Campbell’s residence and seized approximately a dozen computers and hard drives. When questioned, Campbell admitted that he knowingly downloaded and possessed images of child pornography and would masturbate to those images.
Law enforcement examined Campbell’s devices. Images and videos depicting child pornography were found on 12 of the seized items. In total, approximately 1.348 million images (including some duplicates) and approximately 18,700 videos depicting child pornography, including sadistic and masochistic images and images of prepubescent children were found, with the majority being found on one of Campbell’s external hard drives. On that external hard drive, investigators discovered that the contents of the hard drive were meticulously organized into folders divided according to the month of download, victim, and the like.
United States Attorney Christina E. Nolan commended the efforts of Homeland Security Investigations and the Vermont Internet Crimes Against Children Task Force in the investigation and prosecution of Campbell. The prosecution of Campbell was handled by Assistant U.S. Attorney Barbara A. Masterson. Campbell was represented by Federal Public Defender Michael L. Desautels.
Randolph Pair Convicted of Trafficking Marijuana and Money LaunderingRead the Press Release
BOSTON – Two Randolph residents were convicted yesterday by a federal jury of distributing thousands of pounds of marijuana and laundering the proceeds.
Following a nine-day trial, Michael Gordon, 48, and Daphne Jean, 31, were convicted by a federal jury of conspiracy to distribute and possession with intent to distribute marijuana, and conspiring to launder drug money through real estate transactions. Gordon was also convicted of conspiracy to distribute and possession with intent to distribute more than 1000 kilograms (2200 pounds) of marijuana and various counts of money laundering involving the purchase of real estate in Florida and Randolph. U.S. District Court Judge Douglas P. Woodlock scheduled their sentencings for March 26, 2018.
From at least July 2011 to November 2014, Gordon shipped large amounts of marijuana from sources in California to Boston through the U.S. Postal Service and Federal Express, and then distributed the marijuana in the Boston area. Jean assisted Gordon by renting apartments that were used to receive the shipments of marijuana, and helping to launder drug proceeds. The operation produced millions of dollars in profits, and Gordon and Jean laundered the drug proceeds by participating in various financial transactions in Massachusetts and elsewhere.
Gordon faces a mandatory minimum sentence of 10 years and up to life in prison, a minimum of five years of supervised release, a $10 million fine, and forfeiture of the real estate and other assets involved in the offense. Jean faces a sentence of no greater than 20 years in prison, three years of supervised release and a fine of $1 million fine. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
Acting United States Attorney William D. Weinreb; Michael Shea, Acting Special Agent in Charge of Homeland Security Investigations in Boston; Raymond Moss, Acting Inspector in Charge of the U.S. Postal Inspection Service; Joel P. Garland, Special Agent in Charge of the Internal Revenue Service’s Criminal Investigation in Boston; Michael J. Ferguson, Special Agent in Charge of the Drug Enforcement Administration, Boston Field Division; and Colonel Kerry A. Gilpin, Superintendent of the Massachusetts State Police, made the announcement. Substantial assistance was also provided by Homeland Security Investigations in San Francisco; the Boston, Norwood, Randolph and Needham Police Departments; the Sonoma County (Calif.) Sheriff’s Department; and the Irwindale (Calif.) Police Department. Assistant U.S. Attorneys Karen Beausey and David G. Lazarus are prosecuting the case.
Randolph Man Charged with Child Pornography OffensesRead the Press Release
BOSTON – A Randolph man was arrested and charged yesterday in federal court in Boston with distribution, receipt, and possession of child pornography.
Michael Lee, 51, was charged with two counts of distribution of child pornography, two counts of receipt of child pornography, and one count of possession of child pornography. Lee appeared before Magistrate Judge Donald L. Cabell, who ordered Lee detained pending a probable cause and detention hearing scheduled for Dec. 18, 2017.
According to court records, law enforcement executed a search warrant at Lee’s Randolph home as part of an ongoing investigation into the online trade of child pornography through the use of Kik messenger. During the search, Lee admitted to trading images and videos of child pornography with other Kik users, including a New Hampshire man who provided Lee with images and videos documenting the sexual abuse of the man’s eight-year-old daughter. Preliminary on-scene forensic analysis of Lee’s cell phone confirmed his admissions.
Possession of child pornography carries a sentence of no greater than 10 years in prison; the charges of distribution and receipt of child pornography carry a mandatory minimum sentence of five years and up to 20 years in prison. All three charges provide for a mandatory minimum sentence of five years and up to a lifetime of supervised release and a fine of up to $250,000 fine. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
Acting United States Attorney William D. Weinreb and Harold H. Shaw, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Office, made the announcement today. Assistant U.S. Attorney Anne Paruti, Weinreb’s Project Safe Childhood Coordinator and a member of the Major Crimes Unit, is prosecuting the case.
The case is brought as part of Project Safe Childhood. In 2006, the Department of Justice created Project Safe Childhood, a nationwide initiative designed to protect children from exploitation and abuse. Led by the U.S. Attorneys’ Offices and the DOJ’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who exploit children, as well as identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov/.