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Tuesday 12 December 2017
Tax Return Preparer Sentence to 24 MonthsRead the Press Release
Idrissa Koita, 45 of Philadelphia, PA, was sentenced to 24 months in prison, announced Acting United States Attorney for the Eastern District of Pennsylvania Louis D. Lappen.
Koita worked as a tax return preparer for the companies The Ledgerking, Inc. and Medmans Financial Services. Between January 2009 and May 2012, Koita claimed false credits, false deductions and false dependents on federal tax returns for his clients in order to increase their tax refunds. During the same years, Koita also falsified his own personal tax returns by claiming false credits and false dependents.
According to the United States Attorney’s office, Koita pleaded guilty to preparing and filing false tax returns with the Internal Revenue Service. Koita also pleaded guilty to wire fraud and aggravated identity theft stemming from claiming false dependents on tax returns.
Koita’s tax preparation scheme resulted in a tax loss to the federal government in the amount of $2,073,567.54. In addition to Koita’s 24 month prison sentence, he will also be required to serve 3 years’ probation and pay back $60,911 in restitution.
The case was investigation by Internal Revenue Service, Criminal Investigation and Social Security Administration, Office of Inspector General. It was prosecuted by Assistant United States Attorney Anthony Wzorek.
Summit Man Charged with Aggravated Sexual Abuse of a Child Appears in Federal CourtRead the Press Release
United States Attorney Randolph J. Seiler announced that a Summit, South Dakota, man has been indicted by a federal grand jury for Aggravated Sexual Abuse of a Child.
Desi Duncan Campbell, age 38, was indicted on October 11, 2017. He appeared before U.S. Magistrate Judge William D. Gerdes on December 6, 2017, and pled not guilty to the Indictment.
The maximum penalty upon conviction is up to life imprisonment and/or a $250,000 fine, 5 years and up to life of supervised release, and $100 to the Federal Crime Victims Fund. Restitution may also be ordered.
According to the Indictment, between 2004 and 2008, Campbell engaged in sexual acts with a juvenile female. At the times of Campbell’s conduct, the victim was under the age of twelve.
The charges are merely accusations and Campbell is presumed innocent until and unless proven guilty.
The investigation is being conducted by the Federal Bureau of Investigation and the Sisseton-Wahpeton Sioux Tribe’s Law Enforcement. Assistant U.S. Attorney Jeremy R. Jehangiri is prosecuting the case.
Campbell was ordered detained pending trial. A trial date has not been set.
St. Francis Man Sentenced for Assault with a Dangerous Weapon and Failure to Register as a Sex OffenderRead the Press Release
United States Attorney Randolph J. Seiler announced that a St. Francis, South Dakota, man convicted of Assault With a Dangerous Weapon and Failure to Register as a Sex Offender was sentenced on December 11, 2017, by U.S. District Judge Roberto A. Lange.
George Scott, age 32, was sentenced to 54 months in prison, followed by 3 years of supervised release, for Assault with a Dangerous Weapon. He was sentenced to 15 months in prison, followed by 5 years of supervised release, for Failure to Register as a Sex Offender. The sentences will be served concurrently. Scott was also ordered to pay a special assessment to the Federal Crime Victims Fund in the amount of $200.
Scott was indicted by a federal grand jury for Assault With a Dangerous Weapon on July 11, 2017. He was indicted for Failure to Register as a Sex Offender on August 15, 2017. He pled guilty to both offenses on September 26, 2017.
The conviction for Assault With a Dangerous Weapon stemmed from an incident that occurred in St. Francis in the early morning hours of June 12, 2017. Scott and another man, Kyle Swift Hawk, got into an altercation with the victim. While Swift Hawk and the victim scuffled, Scott pulled out a pocket knife and stabbed the victim multiple times. The victim suffered significant blood loss and internal injuries, and was subsequently hospitalized.
Scott was convicted of Abusive Sexual Contact in federal court in November 2012. As a result of this conviction, he is required to register as a sex offender and to update his registration within three business days of relocating or changing employment. In March 2017, Scott registered with an address in Rapid City, South Dakota. Scott subsequently moved from his registered address and did not update his registration until June 2017, when he registered with an address in St. Francis. Scott was arrested following the assault on June 12, 2017. Scott did not update his sex offender registration between March 30, 2017, and June 8, 2017, as required by law.
Kyle Swift Hawk, age 25, was also indicted based on his involvement in the June 12, 2017, assault. On October 30, 2017, he pled guilty to Misprision of a Felony, which carries a maximum penalty of three years in prison and/or a $250,000 fine, 1 year of supervised release, and $100 to the Federal Crime Victims Fund. Swift Hawk is in the custody of the U.S. Marshals Service pending sentencing, which is scheduled for January 22, 2018.
These cases were investigated by the Rosebud Sioux Tribe Law Enforcement Services, the U.S. Marshals Service, and the Rapid City Police Department. Assistant U.S. Attorney Kirk Albertson prosecuted the cases.
Scott was immediately turned over to the custody of the U.S. Marshals Service
South African Man Found Guilty of Attempting to Entice a Minor Using the InternetRead the Press Release
United States Attorney Randolph J. Seiler announced that Andries Snyman, 43, who is from South Africa and working in Isabel, South Dakota, was convicted of Attempted Enticement of a Minor Using the Internet following a three-day federal jury trial held in U.S. District Court in Rapid City. The guilty verdict was returned on December 8, 2017.
Snyman was one of ten men who were arrested and federally indicted as a result of an undercover sex trafficking operation conducted during the 2016 Sturgis Motorcycle Rally, targeting internet predators. Following several chats and texts with a person Snyman believed to be a 14 year-old boy, but who was in fact an undercover agent, he proceeded to negotiate the time and place they would meet to have sex. When Snyman went to the pre-determined location to meet the minor, he was instead met by law enforcement agents and placed under arrest.
The undercover operation and arrests were a joint effort between the South Dakota Division of Criminal Investigation, the Department of Homeland Security, the Federal Bureau of Investigation, the Rapid City Police Department, and the Pennington County Sheriff’s office. Assistant U.S. Attorney Sarah Collins prosecuted the case. Sentencing has been set for April 19, 2018.
Sioux Falls Woman Sentenced to 180 Months for Drug OffenseRead the Press Release
United States Attorney Randolph J. Seiler announces that a Sioux Falls, South Dakota, woman convicted of Conspiracy to Distribute Methamphetamine was sentenced on December 11, 2017, by U.S. District Judge Karen E. Schreier.
Jessica Anne Trevino, age 37, was sentenced to 180 months in custody, and a $100 special assessment to the Federal Crime Victims Fund.
An Indictment was issued against Trevino for Conspiracy to Distribute Methamphetamine by a federal grand jury on May 10, 2016. She pled guilty to the Indictment on August 28, 2017.
Starting in 2014, Trevino was involved in a conspiracy to distribute methamphetamine in Sioux Falls. During her involvement, Trevino trafficked over seven and a half pounds of methamphetamine from California to Sioux Falls utilizing rental vehicles. Her co-conspirator, Noe Trevino, was also indicted for his conduct in the same conspiracy. He also pled guilty and was sentenced to 120 months in prison on August 28, 2017.
This case was investigated by the Drug Enforcement Administration, the South Dakota Highway Patrol, and the Sioux Falls Area Drug Task Force. Assistant U.S. Attorney Jennifer D. Mammenga prosecuted the case
Shawn Johnson Sentenced to Federal Prison for Drug Trafficking CrimeRead the Press Release
SHAWN N. ANDERSON, Acting United States Attorney for the Districts of Guam and the Northern Mariana Islands, announced that defendant SHAWN JOHNSON, age 30, was sentenced in District Court today to a term of 71 months imprisonment for Possession with Intent to Distribute Methamphetamine, in violation of 21 U.S.C. § 841. Johnson had previously pled guilty to the offense on May 15, 2017. The Court also ordered three years of supervised release following his term of imprisonment and payment of a mandatory $100 assessment fee. Additionally, defendants convicted of a federal drug offense may no longer qualify for certain federal benefits.
On March 10, 2015, law enforcement officers arrested Johnson pursuant to an arrest warrant for a Superior Court of Guam probation violation. At the time, Johnson was serving a probation sentence for felony possession of a controlled substance. Upon receiving consent to enter a residence, officers found Johnson in his bedroom. Officers also discovered 26 grams of pure methamphetamine, numerous Ziploc baggies, two digital scales, and other drug paraphernalia.
The investigation was conducted by the Drug Enforcement Administration, United States Marshals Service, Bureau of Alcohol, Tobacco, Firearms, and Explosives, Guam Customs & Quarantine Agency, and the Superior Court of Guam Probation and Marshals.
Seven Springfield Residents Among Those Indicted for Heroin ConspiracyRead the Press Release
SPRINGFIELD, Mo. – Tom Larson, Acting United States Attorney for the Western District of Missouri, announced that seven Springfield, Mo., residents are among 11 defendants indicted by a federal grand jury today for their roles in a conspiracy to distribute at least a kilogram of heroin in Greene County, Mo.
Jovan J. Denson, 39, Gerald E. Pope, 41, Edward J. Smith, 51, Christine D. Jones, 26, Benjamin J.H. Goodman, 22, Earl E. Jones, 49, and Cierra Nash, 24, all of Springfield; Oriola J. Ijaola, 40, of Chicago, Ill.; Deanna J. Miller, 47, of Orlando, Fla.; Amy E. Mitchell, 45, address unknown, and Reginald Perkins, age and address unknown, were charged in a 12-count superseding indictment returned by a federal grand jury in Springfield.
Today’s indictment alleges that all of the defendants participated in a conspiracy to distribute one kilogram or more of heroin in Greene County from March 1, 2016, to May 18, 2017.
In addition to the drug-trafficking conspiracy, Denson is charged with five counts of distributing heroin and one count of money laundering. The indictment alleges that Denson used $9,500 from illegal drug trafficking to make a down payment on a vehicle.
Ijaola is also charged with one count of distributing heroin. Miller, Jones and Smith are each also charged with one count of possessing heroin with the intent to distribute.
Pope is also charged with one count of being a felon in possession of a firearm. The indictment alleges that Pope was in possession of a Ruger 9mm semi-automatic pistol on May 18, 2017.
The indictment also contains forfeiture allegations, which would require Denson to forfeit to the government $13,131 seized by law enforcement officers and Pope to forfeit to the government $4,852 seized by law enforcement officers.
Today’s superseding indictment replaces the original indictment, which was returned by a federal grand jury on June 13, 2017. The superseding indictment includes Ijaola and Perkins as additional defendants; Brian J. Brown, 36, and Corbin S. Rice, 26, both of Springfield, were previously charged in the original indictment and have pleaded guilty to conspiracy to distribute at least a kilogram heroin.
Larson cautioned that the charges contained in this indictment are simply accusations, and not evidence of guilt.This case is being prosecuted by Special Assistant U.S. Attorney Jody M. Larison. It was investigated by the Drug Enforcement Administration, the Bureau of Alcohol, Tobacco, Firearms and Explosives, IRS-Criminal Investigation, Immigration and Customs Enforcement's (ICE) Homeland Security Investigations (HSI), the Springfield, Mo., Police Department, the Greene County, Mo., Sheriff’s Department and the Missouri State Highway Patrol.
Seven Members and Associates of the Gambino and Bonanno Crime Families Indicted for Racketeering and Related ChargesRead the Press Release
Earlier today, in federal court in Central Islip, New York, a 13-count superseding indictment was unsealed charging six members and associates of the Gambino organized crime family of La Cosa Nostra and a member of the Bonanno organized crime family of La Cosa Nostra with racketeering conspiracy, including predicate acts of loansharking, operating illegal gambling businesses, narcotics distribution conspiracy and obstruction of justice conspiracy. The superseding indictment relates to the defendants’ alleged criminal activities on Long Island, in Brooklyn, and elsewhere between January 2014 and December 2017. The defendants – John “Johnny Boy” Ambrosio, an acting captain in the Gambino family, Frank “Frankie Boy” Salerno, a soldier in the Bonanno family, and Thomas Anzaone, Alessandro “Sandro” Damelio, Joseph Durso, Anthony Rodolico and Anthony Saladino, associates of the Gambino family, were arrested earlier today and are scheduled to be arraigned this afternoon before United States Magistrate Judge Gary R. Brown in federal court in Central Islip.
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 Division (FBI), Angel M. Melendez, Special Agent-in-Charge, U.S. Immigration and Customs Enforcement (ICE), Homeland Security Investigations New York (HSI), Timothy D. Sini, Commissioner, Suffolk County Police Department (SCPD), and James P. O’Neill, Commissioner, New York City Police Department (NYPD), announced the charges.
“Today’s arrests represent a major disruption of La Costra Nostra’s activities on Long Island,” stated acting United States Attorney Rohde. “As alleged, the defendants engaged in a wide range of illegal and violent conduct in furtherance of their criminal enterprise. The superseding indictment sends a message that this Office, together with our law enforcement partners, remains committed to diminishing these organized crime families and their deleterious effect on our communities. Ms. Rohde also praised the exceptional investigative efforts and collaboration of the FBI, HSI, SCPD, and the NYPD.
“The arrests in this case prove organized crime families haven’t gone away, and continue to plague our communities with their general disregard for anything other than their own greed,” stated FBI Assistant Director-in-Charge Sweeney. “The overt deadly attacks that used to make headlines aren’t as prevalent, but their violent tactics haven’t changed. Members of these families should take heed that the FBI Organized Crime Task Force and our law enforcement partners haven’t gone away, and we dedicate resources each and every day to putting these criminals in jail.”
“From operating an illegitimate casino and an illegal loan shark operation to distributing cocaine and marijuana, the charges against these individuals are extensive,” stated HSI Special Agent-in-Charge Melendez. “We remain committed to working with our law enforcement partners in investigating nefarious criminal organizations like La Cosa Nostra and dismantling their operations.”
“Building this solid case against these ruthless criminals took years of dedicated and collaborative work on behalf of the men and women of the Suffolk County Police Department and our law enforcement partners,” SCPD Commissioner Sini said. “I am extremely proud of our officers and investigators, grateful for the continued partnership between this department and the, NYPD, FBI, HSI and appreciative of the United States Attorney for the Eastern District of New York to bring these criminals to justice.”
Loan Sharking Offenses
As alleged in the indictment and court filings, Ambrosio, also known as “Johnny Boy,” conducted a lucrative loansharking operation in which he, Anzalone, Rodolico, Saladino and others extended extortionate loans to, and used extortionate means to collect from numerous individuals, often charging exorbitant interest rates and employing violent collection methods. For instance, in an intercepted conversation between Saladino and Anzalone, the two discussed various “gambling debts” owed by other parties, Saladino stated that he would give a debtor “something to be scared about”, but that he did not want a “beef” – a physical altercation – at his “club”, because he was “responsible to John [Ambrosio] for what happen[ed] there.” In that same call, Saladino offered to “fix” another gambling debtor, saying “by the time we’re done…he’s not going to have an office to play anywhere.” In another conversation with Ambrosio, an individual asked for Ambrosio’s help collecting a debt and recounted telling the debtor, “I don’t know if you know who I am and where I come from, but I promise you, you will never walk again.” Ambrosio and Rodolico also allegedly attempted to obstruct the federal grand jury proceeding into their criminal activities by intimidating a loanshark victim into lying to law enforcement.Illegal Gambling Offenses
According to the indictment and other court filings, Ambrosio also was involved with a variety of gambling operations, including illegal poker games, electronic gaming machines and internet sports betting, with Damelio, Durso, Salerno and Saladino being responsible for many of the day-to-day operations. In one intercepted call, Ambrosio stated that there was no need to travel to a casino – “you can play right here” and “save gas money.”Narcotics Trafficking Offenses
As also alleged in the indictment and court filings, defendants Anzalone, Damelio, Durso, Saladino and Salerno distributed a variety of narcotics, including cocaine, marijuana and alprazolam, which is commonly known as Xanax. Significantly, Saladino and Salerno engaged in the distribution of wholesale quantities of cocaine, including 12 separate sales to an undercover member of law enforcement totaling over half a kilogram.The charges contained in the indictment are merely allegations, and the defendants are presumed innocent unless and until proven guilty.
If convicted, Ambrosio, Anzalone, Damelio, Durso and Rodolico face a maximum of 20 years in prison. Saladino and Salerno each face a mandatory minimum sentence of 10 years and a maximum sentence of life imprisonment for the cocaine conspiracy offenses.
The government’s case is being handled by the Office’s Long Island Criminal Division. Assistant United States Attorney Artie McConnell is in charge of the prosecution.
The Defendants:
JOHn AMBROSIO (“Johnny Boy”)
Age: 74
Huntington, NYTHOMAS ANZALONE
Age: 44
Queens, NYALESSANDRO DAMELIO (“Sandro”)
Age: 49
Queens, NYJOSEPH DURSO
Age: 26
Glen Cove, NYANTHONY RODOLICO
Age: 46
Huntington, NYANTHONY SALADInO
Age: 67
Glen Cove, NYFRANK SALERNO (“Frankie Boy”)
Age: 43
Queens, NYE.D.N.Y. Docket No. 17-CR-522 (S-1)(SJF)
Rutland Man Sentenced to 60 Months and Ordered to Pay $40,000 Fine for Conspiracy to Distribute HeroinRead the Press Release
The United States Attorney for the District of Vermont announced that Kwasi Asante, 59, of Rutland, was sentenced December 6, 2017, in United States District Court in Burlington to 60 months of imprisonment following his guilty plea to charges of Conspiracy to Distribute Heroin and Bulk Cash Smuggling. Chief United States District Judge Christina Reiss also ordered that Asante pay a $40,000 fine. As part of his plea, Asante also agreed to the forfeiture of more than $27,000. Asante will serve three years of supervised release following the completion of his prison sentence. Asante had been in the custody of the United States Marshals Service since January 2017.
Court records indicate that Asante was not a heroin addict, and that he possessed a graduate degree in engineering. According to Court filings, since 2014 Asante conspired with Jaiden Paige and others to distribute heroin in the Rutland area. Court documents indicate that when Asante was arrested on February 1, 2016, at Newark Airport in New Jersey, he was in the process of boarding a flight to Jamaica, flying on a one-way ticket. He possessed approximately $23,000 in cash, more than $10,000 of which was hiding in his luggage next to lunchmeat.
In January 2017, Asante pleaded guilty to a Superseding Information charging him with conspiring to distribute heroin from 2014 to February 2016, as well as failing to report that he was leaving the United States with more than $10,000 in United States currency.
Asante was originally released after posting $150,000 bail (which was later reduced to $140,000), but was taken into custody after his guilty plea in January 2017.
This was Asante's first felony conviction. Court papers described his criminal history as negligible.
This case was investigated by the Vermont State Police Drug Task Force, the Drug Enforcement Administration, and the Federal Bureau of Investigation.
Asante is represented by Paul Volk. The prosecutor is Assistant U.S. Attorney Michael Drescher.
Rochester Man Sentenced for Illegal Firearms PossessionRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051ROCHESTER, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that Darien Bordeaux, 33, of Rochester, NY, who was convicted of being a felon in possession of a firearm and ammunition, was sentenced to 41 months in prison by U.S. District Judge Elizabeth A. Wolford.
Assistant U.S. Attorney Charles E. Moynihan, who handled the case, stated that on October 22, 2016, Rochester Police Department officers were on patrol in the area of Curlew Street when they stopped a Dodge Grand Caravan because the registration had expired. The defendant was riding in the front passenger seat. The driver and co-defendant, Kalib Gladney, gave a false name when asked by officers. Bordeaux and Gladney were asked to get out of the van and officers searched it. Inside a jacket found on the floor, between the front passenger and driver seats, officers discovered a loaded Arminius Futche-Industre revolver with a defaced serial number. The defendant’s identification card was also found with the revolver. Bordeaux was previously convicted in 2004 of Robbery in the First Degree and is legally prohibited from possessing a firearm and ammunition.
The sentencing is the result of an investigation by the Rochester Police Department, under the direction of Chief Michael Ciminelli and the Bureau of Alcohol, Tobacco, Firearms, and Explosives, under the direction of Special Agent-in-Charge Ashan Benedict, New York Field Division.
Randolph County man admits to failing to update sex offender registryRead the Press Release
CLARKSBURG, WEST VIRGINIA – A Mill Creek, West Virginia, man has admitted to failing to update his sex offender registry, United States Attorney Bill Powell announced.
Daniel Lee Vance, age 22, pled guilty to one count of “Failure to Update Sex Offender Registration.” Vance admitted to moving from West Virginia to Ohio and failing to update his sex offender registration. The crime occurred from July to October 2017 in Marion County.
Vance faces up to 10 years incarceration and a fine of up to $250,000. 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 Sarah E. Wagner is prosecuting the case on behalf of the government. The United States Marshal Service investigated.
U.S. Magistrate Judge Michael John Aloi presided.Ralls County Man Sentenced on Child Pornography ChargesRead the Press Release
St. Louis, MO – William Cashel was sentenced today to 20 years in prison for production and receipt of child pornography between January 1, 2015 and August 28, 2015.
According to court documents, the defendant took pornographic pictures of a six-year-old girl. The photographs were located on his cell phone by law enforcement. The defendant had also received child pornography via a social media application on his cell phone.
Cashel, 44, New London, MO, pled guilty in July to one felony count of production of child pornography and one count of receipt of child pornography. He appeared today for sentencing in front of U.S. District Judge John Ross.
This case was investigated the New London Police Department, the Missouri Internet Crimes Against Children Task Force, and the Kirksville Office of the Federal Bureau of Investigation. Assistant United States Attorney Colleen Lang is handling the case for the U.S. Attorney's Office.
Public Corruption Convictions for Former Lackawanna County Commissioner Robert C. Cordaro UpheldRead the Press Release
HARRISBURG- The United States Attorney’s Office for the Middle District of Pennsylvania announced that United States District Court Judge A. Richard Caputo denied former Lackawanna County Commissioner Robert C. Cordaro’s latest appeal regarding his 2011 conviction on multiple public corruption charges. Specifically, Judge Caputo adopted the Report and Recommendation of Magistrate Judge Karoline Mehalchick and denied Cordaro’s appeal based on the Supreme Court’s 2016 decision in McDonnell v. United States.
According to United States Attorney David J. Freed, Judge Caputo rejected Cordaro’s claim that the McDonnell decision required that his convictions for Hobbs Act extortion, bribery and racketeering must be vacated and that he be granted a new trial. Judge Caputo stated that “Cordaro fails to demonstrate that it is more likely than not that no reasonable jury would have convicted him if the jury had been instructed in accordance with McDonnell.” Characterizing the evidence as “straightforward” and “overwhelming,” the Court also found that Cordaro failed to establish that he was actually innocent of the charges.
Cordaro was convicted in 2011, along with former Lackawanna County Commissioner Anthony Munchak, on multiple charges including racketeering and other public corruption offenses relating to the Commissioner’s demands for payments and other benefits from individuals and entities doing business with Lackawanna County. Cordaro was sentenced on January 30, 2012, to serve 132 months’ imprisonment and the Third Circuit Court of Appeals affirmed the conviction and sentence on May 31, 2013. Munchak was sentenced in 2012 to serve 84 months’ imprisonment and the Third Circuit Court of Appeals affirmed his conviction and sentence on May 31, 2013.
After Cordaro’s conviction and sentence were affirmed, Cordaro filed a motion to vacate his conviction and sentence based on alleged ineffective assistance of his trial counsel. A three-day hearing was held in January 2015 and Judge Caputo denied the motion in August 2015. Cordaro appealed that ruling and the Third Circuit Court of Appeals affirmed the District Court.
Following the Supreme Court’s 2016 decision in McDonnell, Cordaro filed a Petition for Writ of Habeas Corpus on February 3, 2017, and Magistrate Judge Mehalchick issued a Report and Recommendation denying the Petition on September 1, 2017. Cordaro objected to the Magistrate’s findings and by Order dated December 11, 2017, Judge Caputo adopted the Report and Recommendation and upheld all of Cordaro’s convictions.
The case was investigated by the Federal Bureau of Investigation and the Criminal Investigation Division of the Internal Revenue Service. At trial, the government was represented by Assistant United States Attorneys Lorna N. Graham, William S. Houser and Bruce Brandler. Assistant United States Attorney Stephen Cerutti, Chief of Appeals, handled the Habeas Corpus Petition.
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Press Conference AdvisoryRead the Press Release
There will be a press conference today at 12:00 p.m. to announce federal terrorism charges against Akayed Ullah in connection with yesterday’s bombing at the Port Authority Bus Terminal. The press conference will be livestreamed at https://www.facebook.com/usaosdny/
WHO:
Joon H. Kim, Acting United States Attorney for the Southern District of New York
William F. Sweeney, Assistant Director-in-Charge of the New York Office of the Federal Bureau of Investigation
John J. Miller, Deputy Commissioner of Intelligence and Counter Terrorism for the City of New York
WHEN:
Tuesday, December 12, 2017 at 12:00 p.m.
WHERE:
U.S. Attorney’s Office, Southern District of New York
1 St. Andrew’s Plaza
New York, NY 10007
LIVESTREAM: https://www.facebook.com/usaosdny/
CONTACT: James Margolin, Dawn Dearden, Nicholas Biase
(212) 637-2600
Pleasants County man sentenced for selling methamphetamineRead the Press Release
CLARKSBURG, WEST VIRGINIA – Dale Wesley Jenkins, Jr., of St. Marys, West Virginia, was sentenced today to 21 months incarceration for methamphetamine distribution, United States Attorney Bill Powell announced.
Jenkins, also known as Buddy, age 56, pled guilty to one count of “Distribution of Methamphetamine” in August 2017. Jenkins admitted to selling methamphetamine in November 2016 in Pleasants County, West Virginia.
Assistant U.S. Attorney Stephen D. Warner prosecuted the case on behalf of the government. The West Virginia State Police and the Pleasants County Sheriff’s Office investigated.
Senior U.S. District Judge Irene M. Keeley presided.
Operation Hardest Hit Defendants Sentenced to PrisonRead the Press Release
NORFOLK, Va. – Two Portsmouth men were sentenced today to a combined 35 years in prison for their role in a massive heroin and fentanyl drug trafficking conspiracy.
According to court documents, on August 14, over 300 law enforcement agents made arrests and executed search warrants in Virginia, Georgia, and New York. The takedown was the result of a multi-year, multi-jurisdictional, and multi-agency Organized Crime Drug Enforcement Task Force (OCDETF) investigation designated Operation Hardest Hit.
According to court documents, law enforcement began investigating Leroy Perdue and his drug trafficking organization (Perdue DTO) in early 2016 following the heroin overdose death of a young resident of Chesapeake. With the participation of nearly two dozen Confidential Human Sources, law enforcement infiltrated the Perdue DTO and made 10 undercover controlled purchases of heroin and fentanyl. On June 22, the investigative team arrested Rhadu Schoolfield in Norfolk with more than 800 grams of heroin after he returned from a trip to New York. According to the indictment, the Perdue DTO distributed in excess of 100 kilograms of heroin (approximately 250,000 doses) over a 10-year period. Members of the Perdue DTO were responsible for supplying a violent gang based in Portsmouth and continued to sell dangerous narcotics even after learning that their drugs resulted in death.
Abraham Atkins, 35, of Portsmouth was sentenced today to 20 years in prison. According to court documents Atkins was involved in the conspiracy for more than four years and distributed in excess of 6 kilograms of heroin. He served as the source of supply for two co-defendants and was supplied directly by Leroy Perdue. His involvement in the conspiracy was on the heels of having served nine years in state custody for a similar offense.
Eddie L. Tyson, 46, of Portsmouth was also sentenced today to 15 years in prison. His involvement in the conspiracy was for nine months, but it immediately followed after serving more than six years in state custody. Mr. Tyson received a sentencing enhancement for possessing a MAC-10 machine style pistol while distributing heroin.
The dozen individuals below have pleaded guilty. The leader of the DTO, Leroy Perdue, has elected to go to trial on May 15, 2018:
Name, Age
Hometown
Guilty Plea
Sentence
Abraham Atkins, 35
Portsmouth
September 5, 2017
20 Years
Eddie L. Tyson, 46
Portsmouth
September 5, 2017
15 Years
Edward Muckle, 32
Portsmouth
September 5, 2017
December 13
Jamars Cooper, 26
Portsmouth
September 5, 2017
January 3, 2018
Victoria Waller, 42
Portsmouth
September 6, 2017
January 3, 2018
Dominic Diablo Mosley, 35
Portsmouth
September 6, 2017
January 4, 2018
Nicholas Godwin, 37
Portsmouth
September 6, 2017
January 10, 2018
Kevin Lawrence, 37
Portsmouth
September 7, 2017
January 11, 2018
Tywon McKelvy, 42
New York
October 3, 2017
January 25, 2018
Darion Perdue, 24
Portsmouth
October 17, 2017
January 29, 2018
Christina James
New York
October 18, 2017
February 7, 2018
Rhadu Schoolfield, 33
Portsmouth
October 18, 2017
February 12, 2018
Dana J. Boente, U.S. Attorney for the Eastern District of Virginia, Mark R. Herring, Attorney General of Virginia, Martin Culbreth, Special Agent in Charge of the FBI’s Norfolk Division, Michael K. Lamonea, Assistant Special Agent in Charge of HSI Norfolk, Thomas L. Chittum, III, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms and Explosives’ (ATF) Washington Field Division, Kelvin L. Wright, Chief of Chesapeake Police, and Tonya D. Chapman, Chief of Portsmouth Police, made the announcement after sentencing by U.S. District Judge Raymond A. Jackson.
This case was investigated by the FBI’s Tidewater Violent Crime Task Force, in partnership with HSI’s Norfolk Field Office, ATF, Chesapeake Police Department, Virginia State Police, and the Portsmouth Gang Suppression Unit. Special Assistant U.S. Attorney John F. Butler and Assistant U.S. Attorneys Joseph E. DePadilla, Andrew C. Bosse, and William B. Jackson, are prosecuting the case.
A copy of this press release may be found on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information may be found on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 2:17-cr-116.
Niagara Falls Woman Pleads Guilty to Attempting to Evade Reporting Requirements While Purchasing Money OrdersRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051BUFFALO, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that Georgina Fisher, a/k/a Georgina Baratta, 47, of Niagara Falls, NY, pleaded guilty to attempting to cause a financial institution to fail to file a transaction report before U.S. District Judge Richard J. Arcara. The charge carries a maximum penalty of five years in prison and a $250,000 fine.
Assistant U.S. Attorneys MaryEllen Kresse and Russell T. Ippolito, who are handling the case, stated that on January 28, 2010, the defendant traveled to four Western Union agents in Amherst and Cheektowaga to purchase money orders. At each of the four locations, Fisher purchased less than $3,000 in money orders because she knew that if she purchased $3,000 or more in money orders, she would be required to show identification, and that the Western Union agent would be required to record such identification and other specifics of her money order purchase. The total amount of the money orders purchased on January 28, 2017, was $8,000. In addition, on seven other days between January 29, 2010, and February 6, 2010, Fisher engaged in similar conduct designed to evade the reporting requirements regarding the purchase of money orders in amounts of $3,000 or more. Specifically, on each of these other dates, the defendant traveled to multiple Western Union locations, purchasing less than $3,000 in money orders at each location. The money orders purchased on these dates totaled $66,000.
The plea is the result of an investigation by the Internal Revenue Service, Criminal Investigation, under the supervision of Special Agent-in-Charge James D. Robnett.
Sentencing is scheduled for April 10, 2018, before Judge Arcara.
New Hampton Man Sentenced on Cyberstalking ChargesRead the Press Release
CONCORD, N.H. - Brandon Gray, 22, of New Hampton, New Hampshire, was sentenced in federal court on Monday to 70 months in prison, followed by 15 years of supervised release for possession of child pornography and cyberstalking, Acting United States Attorney John J. Farley of the District of New Hampshire announced today.
According to court documents and statements made in court, the defendant created a fake online identity pretending to be a teen pop star, and met a 14-year-old child on the Internet. From 2014 to 2016, the child took various sexually explicit pictures and videos of himself and sent them to the defendant. Eventually, the child discovered that the online persona was fake and attempted to stop communicating with the defendant. The defendant responded by sending him harassing texts, emails, and chats over various social media outlets including messages threatening to post pornographic images of the child online. A search warrant was executed at the defendant’s residence and he was found to be in possession of various images and videos constituting child pornography. The defendant admitted to using the alias, to possessing sexually explicit images of the minor victim, and to threatening to post them online.
“Keeping the Internet safe for children is one of the highest priorities of my office,” said Acting United States Attorney John J. Farley. “I commend the collaboration between the Louisiana State Police and Homeland Security Investigations personnel in New Hampshire in locating and bringing this individual to justice. Cyber predators cannot hide behind a computer screen. When their actions cause real harm, there will be real consequences.”
This matter was investigated by Homeland Security Investigations, Manchester, the New Hampshire Internet Crimes Against Children Task Force, and the Louisiana State Police. The case was prosecuted by Assistant U.S. Attorney Georgiana L. Konesky.
In February 2006, the Department of Justice introduced Project Safe Childhood, a nationwide initiative designed to protect children from online exploitation and abuse. Led by the United States 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.
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Nevada Cardiologist Arrested for Unlawful Distribution of Prescription Opioids and Health Care FraudRead the Press Release
RENO, Nev. – An Elko, Nevada cardiologist was arrested today on 39-charges of unlawful distribution of prescription opioids and Medicare and Medicaid fraud, announced Attorney General Jeff Sessions, Acting U.S. Attorney Steven W. Myhre for the District of Nevada, Special Agent in Charge Aaron C. Rouse for the FBI’s Las Vegas office, Special Agent in Charge David J. Downing for the DEA’s Los Angeles field office, and Special Agent in Charge Christian Schrank for the Office of Inspector General of the U.S. Department of Health and Human Services Office Los Angeles Region.
Dr. Devendra I. Patel, aka Devendrakumar I. Patel, 58, of Elko, is charged with 36-counts of distribution of controlled substances such as oxycodone and hydrocodone, and three-counts of health care fraud. Patel is a cardiologist at his medical practice Northeastern Nevada Cardiology. The statutory maximum penalty for distribution of a controlled substance is 10 years in prison and the maximum penalty for health care fraud is 10 years in prison. He is scheduled to appear in federal court on Wednesday in Reno.
According to the 39-count indictment that was unsealed today, it is alleged that, from May 2014 to September 2017, Patel routinely prescribed fentanyl, hydrocodone, and oxycodone for his patients without a legitimate medical purpose and that he fraudulently billed Medicare and Medicaid for medical tests that he did not perform. The indictment alleges that Patel performed EKGs on his patients, so he could then order nuclear stress tests which he did not administer. He allegedly used a poorly calibrated machine and presented his patients with fraudulent X-Rays, in order to deceive his patients into thinking they had coronary issues that needed to be treated by him.
"Today we are facing the worst drug crisis in American history, with one American dying of a drug overdose every nine minutes," AG Sessions said. "This summer, I ordered the creation of the Opioid Fraud and Abuse Detection Unit, which brings together data analysts and Assistant United States Attorneys from throughout the country to prosecute doctors engaged in opioid-related health care fraud. Additionally, I assigned a dozen of our top federal prosecutors to focus solely on this problem where the epidemic is at its worst. Prosecuting these cases help cut off the supply of drugs and stop addiction from spreading. These prosecutors are already delivering results, filing charges against doctors in Western Pennsylvania and Nevada. We will file many more charges in the months to come—because the Department of Justice will be relentless in hunting down drug dealers and turning the tide of this epidemic."
“Dr. Patel is the first person to be charged in Nevada since the formation of the Justice Department’s Opioid Fraud and Abuse Detection Unit,” said Acting U.S. Attorney Myhre.” The U.S. Attorney’s Office is committed to turning the tide of the prescription opioid epidemic that is plaguing our communities. We will continue to work with our law enforcement partners to investigate and prosecute individuals who contribute to this scourge.”
"Despite his physician's oath to do no harm, Dr. Patel recklessly prescribed opioids, for no legitimate medical purpose," stated FBI SAC Rouse. "The FBI is confident that today's arrest will send a message to other physicians that are prescribing opioids outside the scope of legitimate medical care. We are committed to using every tool in our arsenal to battle the opioid crisis in the state of Nevada."
“Our Country is in the midst of a devastating opioid crisis and DEA is using every resource available to identify the traffickers and facilitators fueling addiction in our communities,” said DEA SAC Downing. “Healthcare professionals who abuse the public’s trust and prescribe or dispense drugs purely for profit are drug dealers, and they’re going to be held accountable.”
“To combat this opioid epidemic, OIG will never hesitate to investigate health professionals more concerned with profits than patients,” said HHS-OIG SAC Schrank. “Inappropriately diagnosing patients and then prescribing medications is only compounded by the greed of sticking taxpayers with the bill.”
The case is being investigated by the Federal Bureau of Investigation, Drug Enforcement Administration, Office of Inspector General of the U.S. Department of Health and Human Services, U.S. Secret Service, Elko Combined Narcotics Unit, Nevada Department of Public Safety, and the Elko County Sheriff’s Office. Assistant U.S. Attorneys Kilby Macfadden and Sue Fahami are prosecuting the case.
An indictment merely alleges that crimes have been committed, and a defendant is presumed innocent until proven guilty beyond a reasonable doubt.
Over 64,000 Americans died from drug overdoses in 2016. The majority of these deaths can be attributed to opioids, including illicit fentanyl. For information about the harmful effects of illicit drug use, visit www.JustThinkTwice.com for teens, and www.GetSmartAboutDrugs.com for parents, educators and caregivers.
The Opioid Fraud and Abuse Detection Unit is a program that utilizes data to help combat the devastating opioid crisis. The District of Nevada was selected as one of 12 districts nationally to participate in the pilot program. The District of Nevada has assigned an experienced prosecutor that focuses solely on investigating and prosecuting health care fraud related to medical professionals who prescribe opioids, that unlawfully divert of dispense prescription opioids for illegitimate purposes.
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Montgomery Man Sentenced for Shooting at Maxwell Air Force BaseRead the Press Release
Montgomery, Alabama – Matthew Elliott Shashy, 29, of Montgomery, Alabama was sentenced today to 4 years of probation for discharging a firearm outside of Maxwell Air Force Base, announced Louis V. Franklin, Sr., United States Attorney for the Middle District of Alabama.
The sentence comes after an August 2017 trial where a federal jury found him guilty on charges of impeding, intimidating, and interfering with Air Force personnel working at Maxwell. At trial, the jury heard testimony that during the 2017 New Year’s weekend, Shashy went to the Montgomery Police Department, the Alabama Statehouse, and the Day Street entrance of Maxwell Air Force Base where he spray-painted anti-government graffiti.
After he did not receive enough press coverage of his graffiti, Shashy returned to Maxwell Air Force Base on January 3, 2017, which was the first workday following the New Year’s Day holiday. During the height of morning rush hour, Shashy placed his pickup truck in park, got out, and fired a shotgun three times in the general direction of the Day Street entrance. He then quickly returned to his vehicle and left. A civilian passing by the base observed Shashy shooting and followed him in his vehicle. The civilian was able to obtain a photograph of the truck’s license plate before Shashy slammed on his brakes causing the civilian to rear-end him. Shashy then fled the accident scene.
Ultimately, Shashy was identified as the suspect and law enforcement came to his residence where he had barricaded himself inside. He finally surrendered to law enforcement after lengthy negotiations. Located in the residence were additional firearms and ammunition, anti-government literature, and other evidence connecting him to the Maxwell shooting.
The Montgomery Police Department and the Federal Bureau of Investigations Joint Terrorism Task Force investigated this case. Assistant United States Attorney Todd A. Brown prosecuted the case.
Miami Resident Sentenced to over 12 Years for Trafficking “Crystal” MethamphetamineRead the Press Release
On December 8, 2017, Jose Pablo Ortiz-Santizo, 32, of Miami, was sentenced to 151 months (12.5 years) imprisonment for trafficking “crystal” methamphetamine, which is a nearly pure form of the drug.
Benjamin G. Greenberg, Acting United States Attorney for the Southern District of Florida, Adolphus P. Wright, Special Agent in Charge, Drug Enforcement Administration (DEA), Miami Field Division, and Scott Israel, Sheriff, Broward Sheriff’s Office (BSO), made the announcement.
On September 27, 2017, a jury convicted Ortiz-Santizo for conspiring to possess with intent to distribute 50 grams or more of methamphetamine, distribution of 50 grams or more of methamphetamine, and possession with intent to distribute methamphetamine.
Between December 2016 and February 2017, the DEA, in conjunction with the Broward County Drug Task Force (BCDTF), conducted an investigation into Ortiz-Santizo’s methamphetamine-trafficking activities. During this period, a BCDTF confidential source conducted controlled purchases of methamphetamine from Ortiz-Santizo. Specifically, on December 10, 2016, the confidential source purchased 82.9 net grams (about 3 ounces) of 98% pure methamphetamine for $1.950 from Ortiz-Santizo in Miami. One gram of methamphetamine approximately constitutes a personal use amount. Ortiz-Santizo obtained two of the three ounces he sold to the confidential source from Ulysses Guevara-Ocana, 31, of Los Angeles, California. On July 28, 2017, Guevara-Ocana was sentenced to 120 months imprisonment for methamphetamine trafficking.
On January 11, 2017, the confidential source purchased 54.2 net grams (about 2 ounces) of 98% pure methamphetamine for $1,300 from Ortiz-Santizo. On that occasion, Ortiz-Santizo directed the confidential source to meet Ortiz-Santizo’s brother near a Checker’s restaurant in Miami to consummate the drug deal. In addition, on February 16, 2017, while attempting to assist Ortiz-Santizo in his disabled vehicle on I-95 North in Miami, a Florida Highway Patrol (FHP) officer seized 111.6 net grams (about 4 ounces) of 99% pure methamphetamine from him.
Additional evidence at trial disclosed that Ortiz-Santizo transported significant quantities of “crystal” methamphetamine from southern California to south Florida for further distribution. The trial evidence also established that given the purity of the methamphetamine it likely originated in Mexico and was smuggled into the United States across the southwest border.
Mr. Greenberg commended the investigative efforts of the DEA, BSO and FHP. This case was handled by Assistant U.S. Attorney Robert J. Brady, Jr.
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.
Mexican National Sentenced to Ten Years for Conviction on Federal Drug Trafficking and Immigration ChargesRead the Press Release
ALBUQUERQUE – Giovanni Montijo-Dominguez, 37, a Mexican national illegally in the United States, was sentenced today in federal court in Albuquerque, N.M., to 120 months in prison for his conviction on federal cocaine trafficking and illegal reentry charges. Montijo-Dominguez will be deported after completing his prison sentence.
Montijo-Dominguez and co-defendant Luis Mendoza-Alarcon, 46, also a Mexican national, were arrested on Oct. 7, 2014, and were charged by criminal complaint with cocaine trafficking offenses. They were indicted on Nov. 5, 2014, and both were charged with cocaine trafficking offenses, while Montijo-Dominguez also was charged with illegal reentry to the United States. Mendoza-Alarcon and Montijo-Dominguez subsequently were charged in a superseding indictment on June 30, 2016. The superseding indictment charged Mendoza-Alarcon and Montijo-Dominguez with conspiracy to possess cocaine with intent to distribute from Oct. 3, 2014 through Oct. 7, 2014; Mendoza-Alarcon with carrying a firearm in relation to a drug trafficking crime on Oct. 7, 2014; and Montijo-Dominguez with illegal reentering the United States on Oct. 7, 2014. According to the superseding indictment, the defendants committed the offenses in Bernalillo County, N.M.
On June 2, 2017, after a two-week trial, a federal jury convicted Mendoza-Alarcon and Montijo-Dominguez of conspiring to possess at least five kilograms of cocaine with intent to distribute it to others.
The evidence at trial established that between Oct. 3, 2014 and Oct. 7, 2014, Mendoza-Alarcon negotiated the sale of approximately six kilograms of cocaine from an undercover law enforcement agent. On Oct. 7, 2014, Mendoza-Alarcon and Montijo-Dominguez arrived in a white Chevrolet Tahoe in the parking lot of a store in southwest Albuquerque to meet with undercover agents. Although Mendoza-Alarcon expressed concern to the undercover agents that the parking lot might be occupied by law enforcement, the defendants proceeded with the sale by presenting the undercover agents with a large sum of cash in order to buy six kilograms of cocaine. Law enforcement agents testified that, once the signal to arrest Mendoza-Alarcon and Montijo-Dominguez was given, Montijo-Dominguez attempted to run away, but was quickly caught and arrested. The agents searched the defendants’ white Chevrolet Tahoe, and found a functional firearm loaded with live ammunition.
On July 27, 2017, Montijo-Dominguez pled guilty to Count 3 of the superseding indictment charging him with illegal reentering the United States. In entering the guilty plea, Montijo-Dominguez admitted that he was prohibited from being in the United States on Oct. 7, 2014, because he was previously deported on Dec. 3, 2009 and did not have permission to reenter the United States.
This case was investigated by the Albuquerque office of Homeland Security Investigations and was prosecuted by Assistant U.S. Attorneys Samuel A. Hurtado and Paul Mysliwiec.
Mexican National Sentenced for Illegal ReentryRead the Press Release
BOSTON – A Mexican national previously charged with an immigration crime pleaded guilty and was sentenced today in federal court in Boston.
Carlos Lucera-Mejia, 28, pleaded guilty to one count of unlawful reentry of a deported alien before U.S. Senior District Court Judge Mark L. Wolf, who sentenced Lucera-Mejia to time served and one year of supervised release. Lucera-Mejia will be subject to deportation proceedings.
In October 2017, law enforcement in Chelsea encountered Lucera-Mejia and determined him to be illegally present in the United States. Lucera-Mejia was previously deported in April 2016.
Acting United States Attorney William D. Weinreb and Michael S. Shea, Acting Special Agent in Charge of Homeland Security Investigations in Boston, made the announcement today. Assistant U.S. Attorney Kenneth G. Shine of Weinreb’s Major Crimes Unit prosecuted the case.
McLaughlin Man Sentenced for Sexual AbuseRead the Press Release
United States Attorney Randolph J. Seiler announced that a McLaughlin, South Dakota, man convicted of Sexual Abuse of a Minor and Abusive Sexual Contact of a Person Incapable of Consent was sentenced on December 4, 2017, by U.S. District Judge Charles B. Kornmann.
Brian Thunder Shield, age 20, was sentenced to 120 months in custody on the Sexual Abuse of a Minor charge, and 36 months in custody on the Abusive Sexual Contact of a Person Incapable of Consent, to be served concurrently. He was also sentenced to 10 years of supervised release on each count to be served concurrently, and a special assessment to the Federal Crime Victims Fund in the amount of $200.
Thunder Shield was indicted by a federal grand jury on July 19, 2016. He pled guilty on July 20, 2017.
The convictions stem from incidents between January 1, 2016, and March 15, 2016, when Thunder Shield sexually abused two juvenile females.
This case was investigated by the Bureau of Indian Affairs, Standing Rock Agency. Assistant U.S. Attorney Troy R. Morley prosecuted the case.
Thunder Shield was immediately turned over to the custody of the U.S. Marshals Service.
Maryland Man Pleads Guilty to Charges in 2004 Sexual Assault of Woman in GeorgetownRead the Press Release
WASHINGTON - Benjamin Paz, 54, of Montgomery Village, Md., pled guilty today to sexually assaulting a 21-year-old woman after illegally entering her residence in Georgetown in February 2004, announced U.S. Attorney Jessie K. Liu and Peter Newsham, Chief of the Metropolitan Police Department (MPD).
Paz plead guilty in the Superior Court of the District of Columbia to one count of first-degree sexual abuse and one count of first-degree burglary. The plea agreement, which is contingent upon the Court’s approval, calls for an agreed-upon prison sentence within the range of eight to 15 years. Following his prison term, Paz would be placed on a period of supervised release and be required to register as a sex offender for the rest of his life. The Honorable Hiram E. Puig-Lugo scheduled sentencing for April 9, 2018.
According to the government’s evidence, on Feb. 22, 2004, at approximately 4:30 a.m., Paz entered a residence in the 3300 block of Prospect Street NW, where the 21-year-old victim was home sleeping. Paz did not reside at that address, nor did he have permission to enter the dwelling. He was a stranger to the victim. Paz removed the victim’s clothing and sexually assaulted her by force. During the assault, the victim pushed Paz off of her, after which he got up and ran out the back door into the alley. The victim ran out the front door to get help.
The victim made an immediate report to police, and was transported to an area hospital, where she received a Sexual Assault Nurse Examination. This examination included the collection of swabs from her intimate areas. The Physical Evidence Recovery Kit was later sent for forensic testing. That testing revealed an unknown male DNA profile developed from the victim’s swabs. That unknown male DNA profile was uploaded to the Combined DNA Index System (CODIS), a web of state and national databases containing DNA profiles from convicted offenders and crime scenes that is used as an investigative tool. There were no hits.
Paz was developed as a suspect in these offenses by MPD in 2017. On Feb. 9, 2017, a D.C. Superior Court judge signed a search warrant authorizing the collection of buccal swabs from the defendant. The warrant was executed on Feb. 15, 2017, and the swabs were later sent for forensic testing. During the testing, Paz’s DNA profile was developed and compared to the unknown male DNA profile developed from the testing of the victim’s swabs in the 2004 offense. The results of this comparison revealed that the DNA profile of the defendant matched the DNA profile of the unknown male on the swabs.
Paz was arrested on March 22, 2017, and has been in custody ever since.
In announcing the plea, U.S. Attorney Liu and Chief Newsham commended the work of the detectives of the Metropolitan Police Department’s Sexual Assault Cold Case Unit and Second Police District, as well as the Deputy Marshals from the U.S. Marshals Service. They also acknowledged the efforts of those who worked on the case from the U.S. Attorney’s Office, including Victim/Witness Advocate Tracey Hawkins, Victim/Witness Specialists LaJune Thames and Katina Adams-Washington, and Executive Assistant Shelia Miller.
Finally, they expressed appreciation for the work of Assistant U.S. Attorney Amy Zubrensky, who investigated and prosecuted the case.
Man Sentenced for Attempting to Strangle GirlfriendRead the Press Release
RICHMOND, Va. – A Prince George man was sentenced today to six years in prison for attempting to strangle his girlfriend at military housing on Fort Lee.
According to court documents, Antonio Cain, 34, was staying with his girlfriend in residential housing on Fort Lee on July 29 when he physically assaulted her. During that assault, Cain repeatedly attempted to strangle his girlfriend, choking her to the point of unconsciousness on two separate occasions.
Dana J. Boente, U.S. Attorney for the Eastern District of Virginia, and Capt. Brian Bishop, Fort Lee Police Operations Officer, made the announcement after sentencing by U.S. District Judge John A. Gibney, Jr. Assistant U.S. Attorney Thomas A. Garnett 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-110.
Man Indicted on Child Pornography ChargesRead the Press Release
NEWPORT NEWS, Va. – A federal grand jury returned an indictment today charging a Hampton man with distribution of child pornography.
According to the indictment, Robert Dobbins, 36, distributed material containing child pornography on or about September 4. According to court documents, law enforcement received information on from a foreign law enforcement agency regarding the user “DEATHLYROSE55” on Website A. In September, the user responded to a foreign law enforcement officer working in an undercover capacity and indicated that he had committed a hands on offense against a child. He also sent the investigator a mega link, which contained child pornography. Law enforcement linked the email address to a residence in Hampton, and determined that Dobbins was previously convicted of receipt and possession of child pornography in January 2005, while he was employed by the Navy.
During the execution of a federal search warrant, Dobbins who at the time was a city of Hampton employee, acknowledged accessing child pornography from his city-issued Samsung smartphone using the internet. Dobbins also stated that he “traded” links to child pornography images and videos with other individuals who he met online utilizing Website A.
Dobbins faces a mandatory minimum term of 15 years in prison and a maximum penalty of 40 years in prison if convicted. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.
Dana J. Boente, U.S. Attorney for the Eastern District of Virginia, and Michael K. Lamonea, Assistant Special Agent in Charge of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) Norfolk, made the announcement. Assistant U.S. Attorney Megan Cowles is prosecuting 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. 4:17-cr-129.
An indictment contains allegations that a defendant has committed a crime. Every defendant is presumed to be innocent until and unless proven guilty in court.
Lafayette Man Convicted During 2-Day Jury TrialRead the Press Release
SOUTH BEND - The United States Attorney for the Northern District of Indiana, Thomas L. Kirsch II, announced that Edward Bishop, age 26, of Lafayette, Indiana was convicted of using and discharging a firearm during and in relation to a drug trafficking crime, after a two-day jury trial before District Court Judge Robert L. Miller, Jr.
According to documents filed in this case, in June of 2017, Bishop was indicted for using and discharging a firearm during and in relation to a drug trafficking crime. According to trial evidence, Bishop went to sell a small amount of marijuana in a parking lot in Warsaw, Indiana. During that transaction, Bishop ended up shooting at and wounding the drug buyer in the left arm.
This case was the result of an investigation by the Bureau of Alcohol, Tobacco, Firearms and Explosives with the assistance of the South Bend and Warsaw Police Departments. This case was prosecuted by Assistant United States Attorney Joel Gabrielse.
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Kanawha County man pleads guilty to distributing child pornographyRead the Press Release
CHARLESTON, W.Va. – A Kanawha County man pleaded guilty today to a child pornography crime, announced United States Attorney Carol Casto. Christopher Chad Winnell, 36, of Marmet, entered his guilty plea to two counts of distribution of child pornography.
Winnell admitted that on December 20, 2014, he engaged in an email conversation from his residence discussing the exchange of child pornography. Winnell further admitted that the email discussion resulted in the exchange of child pornography images involving infants. Winnell also admitted that on November 7, 2015, he used a messaging service to share an image of child pornography involving an infant with multiple individuals. The investigation determined that the image was received by at least one individual in Canada. The investigation further revealed that Winnell possessed hundreds of images of child pornography stored in an online account.
Winnell faces at least 10 and up to 40 years in federal prison when he is sentenced on March 20, 2018. Upon his release from prison, he will be required to serve a term of supervised release of at least five years and up to life. He will also be required to register as a sex offender.
The investigation was conducted by Homeland Security Investigations, the West Virginia State Police, and the Royal Canadian Mounted Police. Assistant United States Attorney Jennifer Rada Herrald is in charge of the prosecution. The plea hearing was held before United States District Judge John T. Copenhaver, Jr.
This case was prosecuted as part of Project Safe Childhood, a nationwide initiative of the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorney’s Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute those who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
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Justice Department Files Federal Lawsuit Against Bridges Consulting Inc. of Annapolis Junction, Maryland, for Violating the Employment Rights of Coast Guard ReservistRead the Press Release
The Justice Department today announced the filing of a complaint in the U.S. District Court for the District of Maryland against Bridges Consulting, Inc. (Bridges), a government contractor based in Annapolis Junction, Maryland. The complaint alleges that Bridges violated the employment rights of Lieutenant Commander Bobby L. Lindsay (Lindsay), a reservist in the United States Coast Guard, under the Uniformed Services Employment and Reemployment Rights Act of 1994 (USERRA).
According to the complaint, filed by the United States on Lindsay’s behalf, Bridges violated Lt. Commander Lindsay’s USERRA rights under 38 U.S.C. §§ 4311, 4312 & 4313 by failing to promptly reemploy him upon his return from deployment, by terminating his employment, and by retaliating against him because he complained when funds were withdrawn from his Bridges retirement account.
Lt. Commander Lindsay, who has served more than 30 years in the Armed Forces, was a senior manager for Bridges, where he had worked since 2012. Lindsay deployed for a scheduled three-month tour of duty with the Coast Guard in June 2014; in July 2014, Lindsay found out that Bridges’ contributions to his retirement account had been abruptly withdrawn. After receiving no explanation from the company, Lindsay complained to federal entities, which notified Bridges of his complaint. In September 2014, Lindsay indicated to Bridges that he expected to return to work at the conclusion of his deployment. In turn, Bridges informed Lindsay that he was no longer an employee and that security would be called if he returned to work. Lindsay has since applied to multiple positions at Bridges, but has not been re-hired.
“This lawsuit is another example of the Department of Justice’s unwavering commitment to protecting the employment rights of the members of our armed forces,” said Acting Assistant Attorney General John M. Gore of the Civil Rights Division. “The men and women of our reserve forces deserve the peace of mind that their civilian employment will be there when they return from serving our country.”
The lawsuit filed by the United States seeks damages equal to the amount of Lindsay’s lost wages and benefits, as well as liquidated damages resulting from Bridges’ willful failure to comply with USERRA.
Congress enacted USERRA to reduce employment disadvantages faced by non-career service members; to provide prompt reemployment for returning service members; to minimize disruption to the lives of those performing military service, their employers and others; and to prohibit discrimination and retaliation against those who serve in the uniformed services.
This case stems from a referral by the U.S. Department of Labor (DOL) following an investigation by DOL’s Veterans’ Employment and Training Service. The litigation is being handled by the Department of Justice’s Civil Rights Division.
Judge Finds Sugar Land Resident Guilty of Child Pornography ChargesRead the Press Release
HOUSTON – A federal judge has found a 43-year-old legal permanent resident who lived in Sugar Land guilty of receipt, access with intent to view and possession of child pornography, announced Acting U.S. Attorney Abe Martinez.
U.S. District Judge Alfred H. Bennett found Jacinto Lopez-Toledo guilty following two days of trial.
Lopez-Toledo came to the attention of law enforcement after investigators found evidence that he was accessing files from a website known to contain child pornography. A search warrant was executed on his residence on Dec. 1, 2015, at which time investigators seized two desktop computers, a laptop computer and an external hard drive.
The forensic examination of the seized devices revealed Lopez-Toledo had 50,216 images and 941 videos of child pornography. These images and videos included children under the age of 12, bondage and acts of violence. Some of the images are of known victims as identified through the National Center for Missing and Exploited Children.
At trial, the court found Lopez-Toledo had an additional 527,844 images and 969 videos which appeared to be child pornography but could not be confirmed as involving a minor. The court also heard that Lopez-Toledo had been collecting and viewing child pornography for several years, dating back to as early as 2003.
Lopez-Toledo has previously admitted he would view and download child pornography from the Internet and also from file sharing networks. Prior to trial, he argued those statements should be suppressed as well as the original search warrant which started the overall investigation.
The judge ultimately found him guilty as charged.
Previously released on bond, Toledo-Lopez was ordered into custody following the verdict today where he will remain pending his sentencing, which will be set at a later date. At that time, he faces up to 20 imprisonment for the receipt of child pornography and a maximum of 10 years for intent to view and possession of child pornography.
The FBI and the Pearland Police Department conducted the investigation with the assistance of the Sugar Land Police Department and Immigration and Customs Enforcement’s Homeland Security Investigations. Assistant U.S. Attorneys Julie N. Searle and Kimberly Leo prosecuted the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to locate, apprehend and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc. For more information about internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
John F. Bash is the New U.S. Attorney for the Western District of TexasRead the Press Release
John F. Bash is the United States Attorney for the Western District of Texas. Chief United States District Judge Orlando Garcia administered the oath of office to Mr. Bash yesterday at the federal courthouse in San Antonio. A public swearing-in ceremony will be scheduled in the future.
President Donald J. Trump nominated Mr. Bash to be the U.S. Attorney for the Western District of Texas on September 11, 2017. The United States Senate confirmed his nomination on November 9, 2017.
“I am honored to return to the Department of Justice and serve as the United States Attorney for the Western District. I look forward to working alongside the talented and dedicated men and women of this office and our partners in law enforcement to protect and defend the Constitution, ensure the safety and security of our community, and pursue the impartial administration of justice,” said U.S. Attorney Bash.
Bash graduated from Harvard University in 2003, and received his law degree from Harvard Law School in 2006. Prior to his appointment as U.S. Attorney, Bash served as a Special Assistant to the President and as an Associate White House Counsel. Bash was an Assistant to the U.S. Solicitor General from 2012 to 2017, where he represented the United States before the U.S. Supreme Court. He was previously an associate in the law firm of Gibson, Dunn and Crutcher, and served as a law clerk to the late U.S. Supreme Court Associate Justice Antonin Scalia and to Circuit Judge Brett M. Kavanaugh on the U.S. Court of Appeals for the District of Columbia Circuit.
As U.S. Attorney, Bash is the chief federal law enforcement officer in the Western District of Texas. He is responsible for prosecuting violations of federal criminal law and representing the U.S. in all civil litigation in which the United States is a party in the district.
The Western District of Texas includes 68 counties spanning approximately 93,000 square miles. The U.S. Attorney’s Office employs more than 250 people. The headquarters office is in San Antonio; staffed offices are in Austin, El Paso, Midland, Del Rio, Waco, and Alpine.
Richard L. Durbin, Jr., who has served as the U.S. Attorney since December 2014, will serve as the First Assistant United States Attorney.
Jacksonville Man Pleads Guilty to Manufacturing and Possessing Counterfeit Federal Reserve NotesRead the Press Release
Jacksonville, Florida – Acting United States Attorney W. Stephen Muldrow announces that James Edward Langford, IV (30, Jacksonville) today pleaded guilty to manufacturing and possessing counterfeit Federal Reserve notes. He faces a maximum penalty of 40 years in federal prison, forfeiture of the computer media used to manufacture the counterfeit notes, and payment of restitution to any victims he defrauded.
According to court documents, in late July 2017, law enforcement officers received information that Langford was manufacturing counterfeit Federal Reserve notes at a hotel in Jacksonville. On July 25, 2017, U.S. Secret Service agents surveilled the hotel room and observed Langford and two others leave the room. Langford and one of the individuals discarded full trash bags by the hotel’s trash area. A search of the bags revealed several uncut sheets of wadded paper with printed images of counterfeit $20 bills.
Later that day, agents observed Langford leave the room and exit the hotel parking lot. Surveillance teams observed him driving erratically, cutting across three lanes of traffic, speeding, entering an intersection, and then making a sudden U-turn. Law enforcement initiated a traffic stop and during a search of Langford, multiple counterfeit $20 Federal Reserve notes were recovered from his wallet. A subsequent search of Langford’s hotel room revealed numerous counterfeit notes and the computer media used to manufacture them, along with chemicals commonly used to remove the ink from genuine bills during the counterfeiting process.
This case was investigated by the U.S. Secret Service - Jacksonville Field Office and the Jacksonville Sheriff’s Office. It is being prosecuted by Assistant United States Attorney Kevin C. Frein.
Iserve Technologies, Inc. Pled Guilty in Connection with Guilty Pleas of Former Exec and Manager of Med-Fast Pharmacy Inc.Read the Press Release
PITTSBURGH – Individuals and entities associated with Med-Fast Pharmacy, Inc. (“Med-Fast”) have resolved criminal and civil charges associated with Med-Fast’s improper submission of claims to the Medicare and Medicaid programs, Acting United States Attorney Soo C. Song announced today.
Iserve Technologies, Inc., a company co-located with and operated out of Med-Fast, participated in a conspiracy to fill prescriptions for nursing homes with recycled unused drugs that were commingled with drug stocks on hand at Med-Fast’s Institutional Pharmacy. Today the court sentenced it to pay $400,000 in forfeiture, $44,600 in a criminal fine and a $400 special assessment. Iserve was also ordered by the court to pay to the United States $1,555,000, in accordance with a Civil Settlement Agreement to reimburse the Medicare and Medicaid Programs for overbilling. The Iserve criminal charges follow the earlier guilty plea on related charges against the former Vice President of Store Operations for Med-Fast, defendant Gino Cordisco, 47, of Mars, Pennsylvania, and the former manager of the Med-Fast Institutional Pharmacy, Correna Pfeiffer, 37, of Monaca, Pennsylvania.
Med-Fast Pharmacy, Inc., its owner Douglas Kaleugher, and related entities also have agreed to pay the United States additional monies to settle civil False Claims Act allegations. The total amounts paid, including the above sums, total $2,666,300. The civil settlement resolves allegations in two separate whistleblower lawsuits filed in federal court in Pittsburgh, Pennsylvania. The settled claims contended thatMed-Fast violated the False Claims Act by distributing and submitting claims to Medicare for medication that it had either recycled from long-term care facilities serviced by its institutional pharmacy, or that otherwise differed from the medications identified as part of the claims submitted to the United States. The settlement also resolves allegations that Med-Fast violated the False Claims Act by submitting claims to Medicare and Pennsylvania Medicaid that sought reimbursement for the retail-packaged version of diabetes testing strips, while actually supplying patients with cheaper mail-order-packaged version of the same strips.
These matters were investigated by The U.S. Food and Drug Administration-OCI, the Drug Enforcement Administration-Diversion Investigators, the Office of Inspector General of the Department of Health and Human Services and the Federal Bureau of Investigation. Assistant U.S. Attorney Nelson P. Cohen prosecuted the criminal cases on behalf of the government and Assistant U.S. Attorney Colin J. Callahan litigated the civil cases on behalf of the Affirmative Civil Enforcement Section of the United States Attorney’s Office.
The civil cases resolved by this settlement are captioned United States ex rel. Darla Reid v. Med-Fast Pharmacy, Inc., Civil Action No. 13-715 (WDPA); and United States ex rel. Bryan Bisceglia v. Med-Fast Pharmacy, Inc. et al., Civil Action No. 13-0368 (WDPA). The claims resolved by the civil settlement are allegations only, and there has been no determination of liability. The conspiracy charge against Cordisco carries a maximum total sentence of five years in prison, a fine of $250,000 or both. The conspiracy charge against Iserve Technologies, Inc. carries a maximum total sentence of five years probation, a fine of $500,000 or both. Under the Federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Guilford Man Charged with Failing to Report to PrisonRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, announced that a grand jury in New Haven returned an indictment today charging BRIAN PAGE, 43, of Guilford, with one count of failure to surrender for service of his federal sentence.
According to court documents and statements made in court, on October 17, 2017, U.S. District Judge Alvin W. Thompson sentenced PAGE in Hartford to 97 months of imprisonment, followed by four years of supervised release, for his role in a scheme to distribute oxycodone that was obtained through fraudulent prescriptions. Judge Thompson ordered PAGE, who was released on a $200,000 bond, to surrender for service of his sentence on November 17. PAGE was designated by the Bureau of Prisons to the Federal Correctional Institute at Fort Dix, New Jersey.
The indictment alleges that PAGE did not self-surrender to FCI Fort Dix on November 17, 2017.
The U.S. Marshals Service located and arrested PAGE at a hotel in Branford on December 7.
The charge of failure to surrender for service of a federal sentence carries a maximum term of imprisonment of 10 years, which must be imposed consecutively to the underlying sentence.
U.S. Attorney Durham stressed that an indictment is not evidence of guilt. Charges are only allegations, and each defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.
This case is being prosecuted by Assistant U.S. Attorney Robert M. Spector.
Guilford Contractor Pleads Guilty to Submitting False Claim to the U.S. Postal ServiceRead the Press Release
John H, Durham, United States Attorney for the District of Connecticut, and Scott Pierce, Special Agent in Charge of the U.S. Postal Service Office of Inspector General, announced that MARCEL VAN WOLVELAERD, 62, of Guilford, waived his right to be indicted and pleaded guilty today in New Haven federal court to submitting false documents to the U.S. Postal Service.
According to court documents and statements made in court, VAN WOLVELAERD owns and operates CableComm, LLC. From approximately 2007 through 2014, the U.S. Postal Service (“USPS”) contracted with CableComm to perform repair and maintenance work at various USPS facilities. In 2017, VAN WOLVELAERD sought payment on certain repair and maintenance work done in Connecticut. Prior to making payment, the USPS requested that VAN WOLVELAERD show proof of his costs. In response, VAN WOLVELAERD submitted to the USPS a certified claim that included several invoices detailing his costs, including three false invoices from an electric company. Two of the invoices falsely inflated CableComm’s costs, and the third was entirely fictitious.
VAN WOLVELAERD is scheduled to be sentenced by U.S. District Judge Alvin W. Thompson in Hartford on March 6, 2018, at which time he faces a maximum term of imprisonment of five years.
VAN WOLVELAERD is released on $20,000 bond pending sentencing.
This matter is being investigated by the U.S. Postal Service Office of Inspector General. The case is being prosecuted by Assistant U.S. Attorney Liam Brennan.
Gresham Man Sentenced to 25 Years in Prison for Producing and Possessing Child PornographyRead the Press Release
PORTLAND, Ore. – On Tuesday, December 12, 2017, U.S. District Court Judge Robert E. Jones sentenced Thomas Gene Duncan to 25 years in federal prison followed by a life term of supervised release. Duncan pleaded guilty on August 29, 2017, to one count each of the production and possession of child pornography in federal court. He pleaded guilty to one count each of first-degree rape, second-degree sodomy, and unlawful sexual penetration in state court. Duncan will be sentenced in state court in early January 2018.
“Thomas Duncan is a convicted sex offender who will justly serve the next 25 years in federal prison. Sadly, the potential physical, psychological, and emotional toll on his victim is a predictable consequence of this kind of predatory behavior,” said Billy J. Williams, United States Attorney for the District of Oregon. “It is our hope that this sentence will provide a sense of closure for the victim. The law enforcement community applauds such courage and strength in the face of adversity,” continued U.S. Attorney Williams, “and will continue to pursue similar perpetrators who engage in this reprehensible and destructive conduct.”
"Young, vulnerable victims don't just suffer abuse once at the hands of their attacker. They are violated every day - often for years - as strangers living in the dark corners of the Internet trade images and videos," said Renn Cannon, Special Agent in Charge of the FBI in Oregon. "I am proud of the people on the FBI's Child Exploitation Task Force who work day in and day out to bring justice to these children and put their abusers behind bars."
According to court documents, Duncan used a dark web bulletin board and website called “Playpen” to search for and obtain child pornography. The server hosting Playpen was seized by the FBI early in 2015. Between October 20, 2014 and March 4, 2015, Duncan logged a total of 72 hours on the site. In a one-week period beginning February 25, 2015, he downloaded 89 files. Duncan admitted to possessing a large collection of pornography on his personal computer, and provided investigators with the password for the device.
A forensic review of Duncan’s computer revealed approximately 4,000 images and 120 videos of child pornography. Investigators also discovered sexually explicit images and videos of his fiancée’s then 12-year-old daughter, and troubling though non-pornographic images of her younger sister. Duncan admitted to sexually abusing the 12-year-old on multiple occasions. He was taken into custody following the execution of a search warrant at the residence he shared with his fiancée and her daughters.
The case was investigated by the FBI’s Portland Division and prosecuted by Gary Y. Sussman, Assistant United States Attorney for the District of Oregon.
The case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse. Launched in May 2006 by the U.S. Department of Justice and led by United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
Child sexual exploitation investigations – many of them undercover – are conducted in FBI field offices by Child Exploitation Task Forces (CTEFs), which combine the resources of the FBI with those of other federal, state, and local law enforcement agencies. Portland FBI’s CETF consists of agents and task force officers from the Beaverton Police Department, Portland Police Bureau, Tigard Police Department, Hillsboro Police Department, and the Clackamas County Sheriff’s Office. The FBI’s CETF is committed to locating and arresting those who prey on children as well as recovering underage victims of sex trafficking and child pornography.
Anyone who has information about the physical or online exploitation of children are encouraged to call the FBI at (503) 224-4181 or submit a tip online at www.fbi.gov/tips.
Gloucester County, New Jersey, Man Who Secretly Filmed Girls in His Bathroom Gets 15 Years in PrisonRead the Press Release
CAMDEN, N.J. – A Williamstown, New Jersey, man was sentenced today to 180 months in prison for receiving images and videos of child sexual abuse and for producing child pornography using a hidden camera in his bathroom, Acting U.S. Attorney William E. Fitzpatrick announced.
Eric Ziegler, 39, previously pleaded guilty before U.S. District Judge Joseph H. Rodriguez to an information charging him with one count of receiving child pornography and one count of possessing child pornography. Judge Rodriguez imposed the sentence today in Camden federal court.
According to documents filed in this case and statements made in court:
Ziegler admitted that from February 2015 through Dec. 3, 2015, he received and possessed multiple images of child sexual abuse over the Internet which he saved to his computer, external hard drives, compact discs and other electronic media located inside his home. Among the content on Ziegler’s devices were images focusing on the genitalia of several girls, which Ziegler admitted producing using a camera hidden in a bathroom at his Williamstown residence.
In addition to the prison term, Judge Rodriguez ordered Ziegler to serve a lifetime of supervised release and pay $215,000 in restitution.
Acting U.S. Attorney Fitzpatrick credited special agents of the FBI, under the direction of Special Agent in Charge Michael Harpster in Philadelphia, with the investigation. He also thanked the Monroe Township Police Department under the direction of Chief John McKeown for its assistance.
The government is represented by Senior Litigation Counsel Jason M. Richardson of the U.S. Attorney’s Office Criminal Division in Camden.
Defense Attorney: Bruce Warren Esq., Sewell, New Jersey
Former South Jersey Letter Carrier Admits Scheme to Steal and Cash Postal Money OrdersRead the Press Release
CAMDEN, N.J. – A Sicklerville, New Jersey, man today admitted his role in a scheme to steal and convert over 100 blank U.S. Postal Service (USPS) money orders, resulting in nearly $100,000 in losses, Acting U.S. Attorney William E. Fitzpatrick announced.
Marc Saunders, 39, pleaded guilty before U.S. District Judge Joseph H. Rodriguez to an information charging him with one count of transmitting and presenting unlawfully issued USPS money orders with intent to defraud the United States.
According to the documents filed in this case and statements made in court:
Saunders was employed as a letter carrier at the USPS branch in New Lisbon, New Jersey.
Saunders admitted that while working at the New Lisbon branch, he stole a money order imprinting machine and more than 100 USPS money orders. Saunders used the machine to produce completed money orders that appeared legitimate, which he then gave to middle men that he recruited. The middle men recruited individuals to cash the money orders for a small fee. The middle men and Saunders kept the rest of the money.
The charge for transmitting and presenting unlawfully issued USPS money orders carries a maximum penalty of five years in prison and $250,000 fine. Sentencing is scheduled for March 20, 2018.
Acting U.S. Attorney Fitzpatrick credited special agents of the USPS, Office of the Inspector General, under the direction of Acting Special Agent in Charge Kenneth M. Cleevely of the Eastern Area Field Office, with the investigation leading to today’s guilty plea.
The government is represented by Assistant U.S. Attorney Alyson M. Oswald of the U.S. Attorney’s Office Criminal Division in Camden.
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Defense counsel: Teri S. Lodge Esq., Marlton, New JerseyFormer Physician’s Office Employee Charged in Fraud SchemeRead the Press Release
Memphis, TN – A federal grand jury returned an indictment against a former data entry clerk for Crescent Medical Corporation, U.S. Attorney D. Michael Dunavant for the Western District of Tennessee announced today.
According to the indictment, Gloria Harris, 55, was employed as a data entry clerk at Crescent Medical Corporation, which was solely owned by Dr. Ahsan Kathawala. The indictment alleges that between January 2016 and March 2017, Harris fraudulently obtained $292,500 by stealing checks payable to Crescent and depositing them to bank accounts at Trustmark Bank and Suntrust Bank which she had fraudulently opened in the name of Crescent without Dr. Kathawala’s knowledge or authorization.
In addition to the bank fraud charge associated with the scheme to deposit the stolen checks, the indictment also alleges that Harris fraudulently used Social Security Numbers which did not belong to her to update a residential apartment lease and to open bank accounts at Trustmark and Suntrust.
Harris faces up to 30 years’ imprisonment; a one million dollar fine and 5 years supervised release on the bank fraud charge. Each charge of fraudulent use of Social Security Number carries a maximum penalty of 5 years’ imprisonment; a $250,000 fine and 3 years supervised release.
This case was investigated by the United States Secret Service Economic Crimes Task Force. Assistant U.S. Attorney Carroll L. Andre’ III is prosecuting this case on the government’s behalf.
Former Mercyhurst University Employee Charged with Falsifying a Person’s Acceptance StatusRead the Press Release
ERIE, Pa. - A resident of Erie, Pennsylvania has been indicted by a federal grand jury in Erie on charges of use of a false visa, Acting United States Attorney Soo C. Song announced today.
The two-count indictment named Daniel Cabanillas, 47, of Erie, Pennsylvania, as the sole defendant.
According to the indictment presented to the court, Cabanillas was the Designated School Official (DSO) for the Student Exchange Visitor Program at Mercyhurst University until he was terminated on February 19, 2015. The indictment alleges during the period he was employed as the DSO, Cabanillas did knowingly make materially false statements on Form I-20, Certificate of Eligibility for Nonimmigrant (F-1) Student Status - for Academic and Language Students, subscribing to as true, the false certification of a person’s acceptance status at the university.
The law provides for a maximum total sentence of 20 years in prison, a fine of $500,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Marshall J. Piccinini is prosecuting this case on behalf of the government.
The Department of Homeland Security, Homeland Security Investigations and U.S. Border Patrol conducted the investigation leading to the indictment in this case.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Former Meadville Man Charged with Violating Federal Drug and Gun LawsRead the Press Release
ERIE, Pa. - A former resident of Meadville, Pennsylvania, has been indicted by a federal grand jury in Erie on charges of violating federal firearms and drug laws, Acting United States Attorney Soo C. Song announced today.
The three-count indictment named Charles Joseph Butter, 41, as the sole defendant.
According to the indictment presented to the court, on September 7, 2017, Butter possessed several firearms while being a convicted felon. In addition, he is also charged with possessing pseudoephedrine with intent to manufacture methamphetamine and attempting to manufacture methamphetamine.
The law provides for a maximum total sentence of 30 years in prison, a fine of $250,0000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Marshall J. Piccinini is prosecuting this case on behalf of the government.
This case was prosecuted as part of Project Safe Neighborhoods, a collaborative effort by federal, state, and local law enforcement agencies, prosecutors, and communities to prevent, deter, and prosecute gun crime.
The Pennsylvania State Police and the Bureau of Alcohol, Tobacco, Firearms and Explosives conducted the investigation leading to the indictment in this case.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Former InSouth Bank Employee Sentenced for Embezzling Almost $900,000Read the Press Release
Memphis, TN – A former InSouth bank employee was sentenced by United States District Judge Sheryl H. Lipman to serve 33 months in federal prison in connection with her embezzlement of $890,000. D. Michael Dunavant, U.S. Attorney for the Western District of Tennessee, announced the sentence today.
Lauren Melissa McDivitt, 41, of Covington, Tennessee pled guilty in August to charges filed by the U.S. Attorney’s Office that she embezzled $888,470 between 2006 and 2016, while employed as Branch Administrator at InSouth’s Atoka, Tennessee branch.
According to information presented in court at the time of her plea, McDivitt accomplished the theft by creating false and fraudulent withdrawal tickets to make it appear that bank customers with IRA and CD accounts were withdrawing funds. To conceal theft, McDivitt signed customers up to receive monthly statements online via email, and linked the customer accounts to a dummy/fake e-mail account where the statements, which reflected the unauthorized withdrawals, would be e-mailed.
McDivitt thereafter prepared fraudulent monthly statements, which reflected interest accrued, but omitted her unauthorized withdrawals. McDivitt mailed the fraudulent statements to the customers. In some instances, McDivitt also made internal transfers between accounts on various customers to cover amounts she had taken from other customers.
U.S. Attorney D. Michael Dunavant said: “The long term financial fraud and embezzlement committed by the defendant is disturbing and far-reaching. The abuse of her position of trust and authority as a small town bank manager for her own personal gain had a significant negative impact on the employees and customers of InSouth Bank, as well as the whole Atoka and Tipton County community. The U.S. Attorney’s Office places a high priority on protecting the security, deposits and assets of financial institutions, and this sentence demonstrates that commitment.”
As part of her sentence, McDivitt was also ordered to pay restitution in the amount of $947,951.30 to InSouth Bank and to serve a period of 3 years of supervised release to begin after her incarceration.
This case was investigated by the Atoka, Tennessee Police Department and the Federal Bureau of Investigation.
Assistant U.S. Attorney Carroll L. Andre’ III prosecuted this case on the government’s behalf.
Former Employee Charged with Attempted ExtortionRead the Press Release
HOUSTON – A 28-year-old former employee of BP Corporation North America Inc. has been charged with five counts of wire fraud, announced Acting U.S. Attorney Abe Martinez.
On Nov. 29, 2017, a federal grand jury in Houston returned a five-count indictment against George Koutsostamatis, of Chicago.
He was taken into custody in Chicago last week. He made his appearance in Houston federal court this morning before U.S. Magistrate Judge Dena Palermo. Trial has been set for Jan. 29, 2018, before U.S. District Sim Lake.
According to the indictment, Koutsostamatis was an employee of BP. While employed there, Koutsostamatis allegedly emailed BP and falsely represented to them that he had infiltrated BP’s computer network system. He then allegedly demanded payment or he would release information stored on the computer network.
If convicted of wire fraud, he faces up to 20 years in prison and a possible $250,000 fine.
The FBI Houston Cyber Task Force investigated this case. The FBI Houston Cyber Task Force is a multi-agency task force responsible for investigating, pursuing and defeating cyber criminals who seek to exploit our nation’s most significant computer systems, networks and critical infrastructure. The Houston field office of the FBI led the investigation with assistance from U.S. Attorney’s Offices in Houston and Chicago, FBI – Chicago field office and the National Crime Agency in the United Kingdom.
An indictment is a formal accusation of criminal conduct, not evidence.
A defendant is presumed innocent unless convicted through due process of law.
Florida Man Sentenced to Eight Years on Bank Robbery ChargesRead the Press Release
ASHEVILLE, N.C. – Today, U.S. District Judge Martin Reidinger sentenced John Kershaw Barrette, 38, of Jacksonville, Florida, to 96 months in prison and three years of supervised release on bank robbery charges, announced R. Andrew Murray, U.S. Attorney for the Western District of North Carolina.
U.S. Attorney Murray is joined in making today’s announcement by John A. Strong, Special Agent in Charge of the Federal Bureau of Investigation (FBI), Charlotte Division.
According to filed court documents and today’s sentencing hearing, on January 3, 2017, at approximately 11:00 a.m., Barrette, wearing a faded red wig, entered the Asheville Savings Bank located at 1012 Patton Avenue, in Asheville. Court records show that Barrette waited in line with a cellular phone to his ear, which he appeared to be using. When it was his turn to approach the teller, Barrette handed the teller a note and placed a large envelope on the counter. The note instructed the teller to give Barrette cash in denominations of $100 and $50. The note also warned the teller that the envelope contained a bomb, which Barrette could remotely activate using his cellular phone. The note further instructed the teller to wait eight minutes before calling the police. According to court records, the teller, afraid that Barrette would activate the explosive device if she did not do as instructed, complied with Barrette’s demands. Barrette fled the location with $3,250 in cash, leaving the purported bomb on the counter. Court records indicate that law enforcement determined that the device was a sham.
According to filed court documents, on the same day shortly before 1:00 p.m., Barrette, wearing the same faded red wig, entered the PNC Bank located at 1007 Smokey Park Highway, in Candler, N.C. Barrette again presented the teller with an envelope that he claimed contained a bomb and demanded money from the teller. The teller complied out of fear that Barrette would detonate the bomb. After receiving $3,180.00 in cash, Barrette fled the bank, leaving on the counter the envelope containing the purported bomb, which was again ultimately determined to be a sham device. Barrette was apprehended by law enforcement shortly thereafter.
In April 2017, Barrette pleaded guilty to one count of bank robbery. He is currently in federal custody and will be transferred to the custody of the Federal Bureau of Prisons upon designation of a federal facility. All federal sentences are served without the possibility of parole.
In making today’s announcement, U.S. Attorney Murray thanked the FBI, the Asheville Police Department and the Buncombe County Sheriff’s Office for their investigation of the case.
Assistant U.S. Attorney Daniel Bradley, of the U.S. Attorney’s Office in Asheville, prosecuted the case.
Federal and State Trustees Reach $4.5 Million Settlement with Three Companies for Natural Resource Damages Incurred at Sheboygan River & Harbor Superfund SiteRead the Press Release
The United States and the State of Wisconsin today announced three settlements totaling in excess of $4.5 million with Tecumseh Products Co., Thomas Industries, Inc., and Wisconsin Public Service Corp. to resolve claims for natural resource damages at the Sheboygan River & Harbor Superfund Site brought under the Comprehensive Environmental Response, Compensation, and Liability Act (CERCLA), also known as the Superfund Law. The Sheboygan River Site encompasses the lower 14 river miles of the Sheboygan River, from Sheboygan Falls downstream to and including the Sheboygan Harbor in Lake Michigan, as well as adjoining floodplain areas.
According to the complaint, filed simultaneously with the settlement today in the Eastern District of Wisconsin, the three companies are liable for historic industrial discharges of polychlorinated biphenyls (PCBs) and/or polycyclic aromatic hydrocarbons (PAHs) at the Sheboygan River Site. PCBs and PAHs were identified in river sediments at different locations throughout the Site in sufficient concentrations to cause injury to many types of natural resources, including invertebrates, fish, amphibians, birds, and mammals. In addition, PCB and PAH-contaminated natural resources resulted in the loss of recreational fishing services.
“The restoration work enabled by this settlement will make significant contributions to the environment in the area of the Sheboygan River and nearby Lake Michigan,” said Acting Assistant Attorney General Jeffrey H. Wood of the Department of Justice’s Environment and Natural Resources Division. “We are particularly pleased to have been able to work alongside the State of Wisconsin, the U.S. Department of Interior, and the National Oceanic and Atmospheric Administration to achieve this positive outcome.”
Under CERCLA, federal and state natural resource trustees have authority to seek compensation for natural resources harmed by hazardous industrial waste and by-products discharged into the Sheboygan River. The natural resource trustees include the U.S. Department of the Interior, acting through the U.S. Fish and Wildlife Service; the U.S. Department of Commerce, acting through the National Oceanic and Atmospheric Administration; and the Wisconsin Department of Natural Resources. The proposed settlements require payment of $1,295,500 to Sheboygan County as partial reimbursement for costs it incurred in acquiring the Amsterdam Dunes restoration project area for preservation and include $2,532,500 to be used on preservation and restoration activities consistent with a proposed Restoration Plan/Environmental Assessment that is also being made available for public review and comment today. Of the possible alternatives, the draft Restoration Plan recommends preservation and implementation of restoration activities at the Willow Creek and Amsterdam Dunes project properties. The remainder of the settlement funds will reimburse trustee agencies for their work at the site.
The three Defendants previously paid approximately $32 million to clean up the Sheboygan River and Harbor Superfund site under prior agreements with the U.S Environmental Protection Agency. Additional millions of dollars were invested by the federal government through the Great Lakes Restoration Initiative along with state, city and county funds to further speed river restoration and restore navigation to the Sheboygan River.
“The Sheboygan River and its wetlands provide important habitats for migratory birds and fish, and support hunting and fishing activities for local residents,” said Charlie Wooley, Deputy Midwest Regional Director for the U.S. Fish and Wildlife Service. “Today’s settlement means we can help natural resources affected by PCBs and other contaminants, and at the same time, benefit local communities. We look forward to working with local conservation organizations to protect and restore important habitat.”
The former Schuchardt farm property, approximately 140 acres within the City of Sheboygan, will be protected to create the Willow Creek Preserve. Willow Creek is a unique natural feature within an urban environment, supporting a diverse habitat mix along it and the Sheboygan River. Conservation of Willow Creek has been identified as a high priority for maintaining and improving fish and wildlife populations and habitat in the Sheboygan River area. Under the Preferred Alternative, settlement funds would be used to transfer the 140 acres from the City to the Glacial Lakes Conservancy, a private, non-profit land conservation organization in the Sheboygan area, and for habitat restoration and recreational fishing enhancements.
“We are excited to continue the restoration work with our partners in the City of Sheboygan and Sheboygan County on this incredible resource. The projects that will be implemented will provide additional benefits to the local community and this wonderful river and coastal area.” said Patrick Stevens, Administrator of the Environmental Management Division at the Wisconsin Department of Natural Resources.
Amsterdam Dunes consists of 184 acres abutting Lake Michigan within the Sheboygan River Basin, just north of the Ozaukee-Sheboygan County line. Amsterdam Dunes is a place of unique coastal habitats and wildlife, and consists of remnants of natural lands and waters that have largely disappeared from Wisconsin’s landscape. The Trustees have worked with Sheboygan County to identify potential restoration options within Amsterdam Dunes, including restoration of wetland hydrology, stream habitat improvements, invasive species management, and conversion of agricultural land to more ecologically valuable habitat.
“We're pleased to contribute NOAA's expertise to these projects in Sheboygan County that preserve approximately 324 acres of important ecological habitat and support more recreational opportunities and public access,” said W. Russell Callender, assistant NOAA administrator for the National Ocean Service.
The consent decree is subject to a 30-day public comment period and final approval by the court. A copy of the consent decree is available on the Department of Justice web site at www.usdoj.gov/enrd/Consent_Decrees.html.
The draft Restoration Plan/Environmental Assessment is also subject to a 30 day public comment period and is available for review at https://www.fws.gov/midwest/es/ec/nrda/SheboyganHarbor or at the Mead Public Library.
Federal Judge Imposes Sentence for Attempted Meth ImportationRead the Press Release
LAREDO, Texas – A 34-year-old Kansas man has been ordered to federal prison for organizing an attempt to import more than five kilograms of heroin through the Lincoln Juarez Bridge in Laredo, announced Acting U.S. Attorney Abe Martinez. Misael Segovia pleaded guilty
Today, U.S. District Judge Diana Saldana imposed a 140-month term of imprisonment to be immediately followed by five years of supervised release.
On Sept. 27, 2016, Amy Leigh Housholder, 31, of Emporia, Kansas, applied for admission into the United States at the Lincoln Juarez Bridge in downtown Laredo. At that time, a search of her vehicle uncovered false compartments in the battery containing approximately five kilograms of heroin.
The Investigation uncovered Segovia as the individual who had arranged for the drugs to be imported into the United States and ultimately transported to Chicago. When confronted with this information, Segovia admitted he had helped Householder by translating between her and the individuals in Mexico supplying the heroin.
Segovia had taken Householder from Emporia, Kansas, to Wichita where he purchased a bus ticket for her to travel to Laredo. Housholder was previously sentenced 50 months in federal prison for her role in the scheme.
Segovia was permitted to remain on bond and voluntarily surrender to a U.S. Bureau of Prisons facility to be determined in the near future.
Customs and Border Protection and Immigration and Customs Enforcement’s Homeland Security Investigations conducted the investigation. Assistant U.S. Attorneys Alfredo De La Rosa and Christopher Dale Howard are prosecuting the case.
Ellsworth Man Sentenced on Child Pornography ChargesRead the Press Release
United States Attorney Randolph J. Seiler announced that an Ellsworth AFB, South Dakota, man convicted of Receipt of Child Pornography and Possession of Child Pornography was sentenced on December 8, 2017, by Chief Judge Jeffrey L. Viken, U.S. District Court.
Colby Haggerty, age 26, was sentenced to 10 years of imprisonment, 5 years of supervised release, and ordered to pay a $100 special assessment to the Federal Crime Victims Fund.
Haggerty was charged on May 20, 2014, and was found guilty of both offenses after a four-day federal jury trial in July 2017. The conviction stems from Haggerty downloading at least 1,000 pornographic images of children, including infants, between 2009 and 2015, while living on Ellsworth Air Force Base and in Rapid City.
This case was investigated by the Internet Crimes Against Children Taskforce. Assistant U.S. Attorney Sarah B. Collins prosecuted the case.
Haggerty was immediately turned over to the custody of the U.S. Marshals Service.
East Texas Imaging Companies and Owners Resolve Swapping and Medicare Fraud AllegationsRead the Press Release
PLANO, Texas – Multiple mobile imaging companies, along with their owners Dennis Whitsell and Jonathan Graham Lane, will pay the United States $300,000 after improperly billing Medicare for transportation charges related to portable x-ray services, announced Acting United States Attorney Brit Featherston. One of the companies also entered into a deferred prosecution agreement with the United States to resolve swapping allegations, which implicated the Anti-Kickback Statute.
“The United States Attorney’s Office for the Eastern District of Texas keeps a watchful eye on the use of public funds,” said Acting U.S. Attorney Featherston. “When a provider fails to comply with Medicare or Medicaid program rules, taxpayers expect to be repaid.”
In March 2011, Relators Kevin P. McDonough and Boyd K. Billington filed a lawsuit under the qui tam provisions of the False Claims Act. Relators filed their suit in the Eastern District of Texas in an action captioned United States ex rel. McDonough, et al. v. PDQ Imaging Services, LLC, et al., Case Number 4:11-cv-00138. In their action, Relators alleged, among other things, that the defendants improperly billed for portable x-ray services and unlawfully paid kickbacks to skilled nursing facilities (SNFs) in exchange for patient referrals, an arrangement Relators referred to as “swapping.”
The United States intervened in the action for purposes of settlement. Defendants PDQ Imaging Services, LLC, PDQ Ultrasound Services, LLC, PDQ Mobile X-Ray Services, PDQ Mobile X-Ray, LLC, Dennis Whitsell, and Jonathan Graham Lane (together, “Defendants”) agreed to pay the United States $300,000 to resolve allegations that they submitted improper claims to the Medicare program for transportation charges and entered into an agreed judgment in favor of the United States.
The False Claims Act permits a private citizen (called a “relator”) with knowledge of fraud against the Government to bring a lawsuit on behalf of the United States and to share in the recovery. Under the settlement announced today, Relators will receive a 19% share of the United States’ recovery.
The United States also undertook a criminal investigation regarding the allegations of improper remuneration paid by PDQ Imaging Services, LLC (PDQ) in exchange for referrals from a number of SNFs. The criminal investigation revealed that from in or around January 2008, and continuing through in or around March 2012, PDQ offered and paid illegal remunerations, in the form of free and significantly discounted portable x-ray services, to administrators of SNFs in exchange for the referral of the SNF’s Medicare beneficiaries to PDQ for the purpose of furnishing portable x-ray services. The free and significantly discounted portable x-ray services were services covered by the SNF’s Part A per diem payment and were provided to the SNFs in exchange for the SNF referring to PDQ other Federal health care program business, namely Part B business excluded from consolidated billing, that PDQ could bill directly to Medicare.
To resolve the matter, PDQ entered into a deferred prosecution agreement with the United States in an action captioned United States v. PDQ Imaging Services, LLC, Case Number 4:17-CR-199, wherein PDQ acknowledged that the arrangements entered into between PDQ and the SNFs violated the Anti-Kickback Statute and amounted to unlawful “swapping” arrangements. As part of the agreement, PDQ agreed to cooperate with the government in the investigation and prosecution of the SNFs and individuals involved in the illegal swapping arrangements and to maintain internal controls, including compliance with the Anti-Kickback Statute, and all other applicable federal health care laws.
This matter was investigated by the U.S. Department of Health and Human Services – Office of the Inspector General (HHS-OIG), the Texas Office of the Attorney General – Medicaid Fraud Control Unit (OAG-MFCU), and the United States Attorney’s Office for the Eastern District of Texas. The civil settlement was negotiated by Assistant U.S. Attorney Joshua Russ. Assistant U.S. Attorneys Nathaniel Kummerfeld and L. Frank Coan, Jr. prosecuted the criminal case for the United States.
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Dual Israeli/Russian Citizen Pleads Guilty to Money Laundering Charge in International SchemeRead the Press Release
WASHINGTON - Stanislav Nazarov, 46, a dual citizen of Israel and Russia, pled guilty today in the U.S. District Court for the District of Columbia to a federal charge of conspiracy to commit money laundering stemming from his role in an international scheme.
The announcement was made by U.S. Attorney Jessie K. Liu, Andrew W. Vale, Assistant Director in Charge of the FBI’s Washington Field Office, and John L. Phillips, Assistant Inspector General for Investigations for the U.S. Department of Treasury.
Nazarov was among 19 people charged earlier this year in federal indictments outlining various international fraud and money laundering conspiracies. He was indicted in January 2017 and arrested in March 2017 in Israel. Nazarov later waived extradition to the United States and made his first appearance on Oct. 20, 2017, in the U.S. District Court for the District of Columbia. He has remained in custody since his initial arrest.
The money laundering conspiracy charge carries a statutory maximum of 20 years in prison and potential financial penalties. Under the plea agreement, Nazarov has agreed to pay a forfeiture money judgment of $50,000.
The Honorable Colleen Kollar-Kotelly scheduled sentencing for March 2, 2018.
According to a statement of offense submitted at today’s plea hearing, in or around 2013, Nazarov agreed to become partners with an unnamed money launderer who worked with individuals and groups engaged in fraudulent schemes in Israel and elsewhere. In return for his assistance, Nazarov was to receive a share of proceeds that his partner made from various fraudulent schemes. In one such scheme, a cyber-phishing scam was carried out in 2015 that tricked a director of a company into wiring $1.4 million to a bank account in the United States.
In December 2016, Nazarov obtained what he believed to be a portion of that $1.4 million by receiving $50,000 at his location in Israel. According to the statement of offense, Nazarov received that money by orchestrating a sophisticated money laundering scheme whereby the $50,000 was first transferred to Russia, and then to Nazarov in Israel.
This case is being investigated by the FBI’s Washington Field Office and the U.S. Department of Treasury, Office of the Inspector General. Assistance has been provided by the U.S. Marshals Service, the Department of Justice’s Office of International Affairs, U.S. Immigration and Customs Enforcement’s Homeland Security Investigations (ICE-HSI) Washington, D.C., and the Israeli National Police. The FBI Legal Attaché in Tel Aviv, Israel, also provided assistance.
The case is being prosecuted by Assistant U.S. Attorney Diane Lucas of the Asset Forfeiture and Money Laundering Section and Assistant U.S. Attorneys Michael J. Marando and David Kent of the Fraud and Public Corruption Section of the U.S. Attorney’s Office for the District of Columbia, with assistance from Paralegal Specialists Brittany Phillips, Christopher Toms, and C. Rosalind Pressley.