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14 September 2026
Woman Sentenced in Cross-Border Identity Theft and Immigration Fraud SchemeRead the Press Release
SAN DIEGO – Kassandra Sanchez was sentenced in federal court today to 12 and a half months in prison for aiding and abetting her boyfriend in stealing the identity of her brother to commit a variety of federal crimes in the United States. This included smuggling an alien through the San Ysidro Port of Entry and fraudulently obtaining public benefits such as Medi-Cal and CalFresh.
U.S. District Judge Barry T. Moskowitz ordered Sanchez to pay $8,690.69 in restitution to J.D.S., Medi-Cal, and the California Department of Social Services.
According to the indictment, Luis Enrique Villegas Brownell, a Mexican citizen without legal status in the United States, and Sanchez, a U.S. citizen, conspired to steal identification documents belonging to Sanchez’s brother, identified in court records as J.D.S. Villegas then used those documents to falsely pose as a U.S. citizen and apply for entry into the United States.
Once in the United States, Villegas and Sanchez went to the California DMV and provided false information under penalty of perjury to obtain a state ID card in the name of J.D.S. but bearing Villegas’s photo and thumbprint. He and Sanchez then used the fraudulent ID to impersonate J.D.S. and cross the border unlawfully for more than a year. They crossed together into the United States from Mexico more than 50 times in a 17-month period, often with Sanchez driving to the port of entry and presenting the fraudulent ID to border officers. Port-of-entry video shows Sanchez lying to officers about Villegas’s birthplace and concealing his true identity.
According to the United States’ sentencing memorandum, during a border crossing on May 21, 2025, Sanchez falsely the told a border officer that her front seat passenger, Villegas, does not really talk and offered to show the officer his U.S. birth certificate to prove he was born in the United States. Moments later, Sanchez handed her cell phone to the officer displaying an image of J.D.S.’s birth certificate.
Still shot from the port-of-entry video on May 21, 2025 of Sanchez showing an image of J.D.S.’s U.S. birth certificate on her cell phone to the border officer
Sanchez committed the offense while on supervised release for a prior federal conviction in the Southern District of California relating to an arrest for smuggling methamphetamine into the United States. According to the United States’ sentencing memorandum, the port-of-entry video from the May 21, 2025 crossing captured Sanchez admitting to the border officer that she knew she had been on probation for more than a year. She described her mindset regarding her probation as “chill.”
According to court documents, the real J.D.S. applied for entry to the United States at the San Ysidro Port of Entry in April 2025 but was unable to cross due to the theft of his identity. During that encounter, J.D.S. reported to border officers that his sister, Sanchez, asked for his identity documents to smuggle her Mexican boyfriend into the United States. When he declined, she took them without his consent. According to court records, J.D.S. has lost work and money as a result of the offense and now has a felony alien smuggling arrest committed by Villegas associated with his name.
“The defendants thought a stolen identity was a ticket to a new life. Turns out it was a ticket to prison,” said U.S. Attorney Adam Gordon.
“Identity theft and benefits fraud are serious crimes that undermine public trust and victimize innocent people, including U.S. citizens whose documents are misused,” said Kevin Murphy, acting Special Agent in Charge of HSI San Diego. “This case demonstrates our commitment to working with our law enforcement partners to identify, investigate, and hold accountable those who abuse identity documents and benefits systems for personal gain.”
Villegas pleaded guilty to charges of false personation, false claim to U.S. citizenship, and aggravated identity theft in 25-cr-3286-BTM-1. Villegas is scheduled to appear before U.S. District Judge Barry T. Moskowitz for sentencing on October 1, 2026.
This case is being prosecuted by Assistant U.S. Attorney Patrick C. Swan.
DEFENDANT Case Number: 25-cr-3286-BTM-2
Kassandra Sanchez Age: 24 San Diego, California
SUMMARY OF CHARGE
False Personation in Immigration Matter – Title 18, U.S.C., Sections 1546(a) and 2
Maximum penalty: Ten years in prison and $250,000 fine
INVESTIGATING AGENCIES
Homeland Security Investigations
U.S. Customs and Border Protection
Wolf Point woman sentenced to more than 11 years for her part in beating a man to deathRead the Press Release
GREAT FALLS – A Wolf Point woman, who was part of group that beat a man to death last year, was sentenced today to 11 years and four months in prison, followed by three years of supervised release, Acting U.S. Attorney Mark Steger Smith said.
Abrianne Lillian Deserly, 26, pleaded guilty in August 2026 to voluntary manslaughter.
Chief U.S. District Judge Brian M. Morris presided.
The government alleged in court documents that Deserly was part of group that beat a man to death in an abandoned house on the Fort Peck Indian Reservation.
The victim was found dead on Feb. 26, 2025, on the second floor of a house in Wolf Point, described by area residents as a local “flop house” where people occasionally went to drink and sleep. Investigators found that Deserly and others, after a night of drinking, had gone in the house in the early morning hours of Feb. 26 and found the victim asleep on the second floor. With Deserly were Calvin Florin Lester, 37, and Dillon Demery Wetsit, 41.
Lester was sentenced on Sept. 3 to nearly 11 years in prison for his role in the man’s death. Wetsit pleaded guilty to voluntary manslaughter in June; he will be sentenced on Oct. 15.
The assault happened after an argument broke out and Deserly, along with Lester and Wetsit, began to hit the victim. Things escalated and they beat him severely. A witness described seeing Deserly kick the victim in the face. At one point, the victim was placed in a chokehold while other members of the group hit him. A medical examination showed the victim died from “homicidal violence” with neck compression and blunt injuries to the head.
The U.S. Attorney’s Office prosecuted the case. The Fort Peck Tribes Criminal Investigation and FBI conducted the investigation.
Winter Garden Woman Sentenced to 30 Months for COVID Relief Fraud and Failure to File Tax ReturnsRead the Press Release
Orlando, Florida – Verlynn Horne has been sentenced by U.S. District Judge Julie S. Sneed to two years and six months in federal prison for wire fraud and willful failure to file tax returns. Horne pleaded guilty on April 7, 2026. As part of her sentence, the court also entered an order of forfeiture in the amount of $2,517,930, the proceeds of the wire fraud scheme and for Horne’s real property located in Winter Garden. U.S. Attorney Gregory W. Kehoe made the announcement.
According to court documents, between June and August 2020, Horne fraudulently applied for and obtained COVID-19 Economic Injury Disaster Loans (EIDL) and Paycheck Protection Program (PPP) loans on behalf of non-operational businesses she controlled, which received $337,915. She also helped prepare and submit fraudulent COVID-19 loan applications on behalf of at least 35 other entities and individuals, who received $4,476,437. In exchange for her services, Horne received a portion of the other individuals’ loan proceeds. As a result of her scheme, Horne received $2,517,930 and used a portion of those funds to purchase a residence in Winter Garden. Despite receiving COVID-19 loan funds, Horne failed to file federal tax returns for herself or her businesses for the years 2020 and 2021. For those two years, she owed $766,707.20 to the Internal Revenue Service.
This case was investigated by the Internal Revenue Service – Criminal Investigation. It was prosecuted by Assistant United States Attorneys Diane S. Hu and Megan Testerman. The forfeiture was handled by Assistant United States Attorney Nicole M. Andrejko.
On April 7, the Department of Justice announced the creation of the National Fraud Enforcement Division (“Fraud Division”). The Fraud Division is laser-focused on investigating and prosecuting those who commit fraud against the American people. The Department’s work to combat fraud supports President Trump’s Task Force to Eliminate Fraud, a whole-of-government effort chaired by Vice President J.D. Vance to eliminate fraud, waste, and abuse within Federal benefit programs.
Whiterocks Man Sentenced to Prison for Possessing a Firearm and Ammunition as a Previously Convicted FelonRead the Press Release
SALT LAKE CITY, Utah – A previously convicted felon was sentenced to 36 months’ imprisonment and three years of supervised release after he possessed a firearm and ammunition as a restricted person.
The sentence, imposed by U.S. District Court Judge Ted Stewart, comes after Nathaniel Jonas Accawanna, 38, of Whiterocks, Utah, pleaded guilty on June 3, 2026, to felon in possession of a firearm and ammunition.
According to court documents and statements made at Accawanna’s change of plea and sentencing hearings, on May 30, 2025, law enforcement responded to a “shots fired” report in the Whiterocks area of the Uintah and Ouray Reservation. Upon arrival, law enforcement observed Accawanna struggling with and manipulating a firearm with a partially obliterated serial number. Law enforcement ordered him to stop, but Accawanna did not comply and fled. He threw the firearm away from himself and law enforcement pursued Accawanna who was ultimately arrested. Law enforcement recovered a jammed firearm, magazine, and ammunition from the scene. Accawanna has a violent criminal history that includes multiple felony convictions.
United States Attorney Melissa Holyoak of the District of Utah made the announcement.
The case was investigated by the FBI Salt Lake City Field Office’s Vernal Resident Agency.
Assistant United States Attorney Sam Pead of The U.S. Attorney’s Office for the District of Utah prosecuted the case.
Project Safe Neighborhoods (PSN) is the Department of Justice’s nationwide initiative that brings federal, state, local, and tribal law enforcement, prosecutors, and other public safety partners together to coordinate efforts to combat violent crime and make communities safe. Coordinated by U.S. Attorneys’ offices in each of the 94 federal districts, PSN is tailored to particular communities to strategically address specific violent crime and public safety challenges. As a key component of Operation Take Back America, PSN serves a central role in the Department’s commitment to make our country safe. PSN emphasizes three core principles: rapid federal response to violent crime and criminal offenders; strong, strategic partnerships among law enforcement at all levels; and accountability and deterrence through the prosecution of the most serious, readily provable offenses and other strategies. These efforts complement and strengthen President Trump’s Homeland Security Task Forces, ensuring a comprehensive federal response to the most pressing public safety issues facing communities.
Western District of Washington joins DOJ Fraud Division, SBA and SBA-OIG in Surge Takedown exceeding $245 million in COVID-era Loan FraudRead the Press Release
Seattle –The Western District of Washington today announced the plea and sentencing in two cases as part of a nationwide enforcement action led by the Justice Department’s National Fraud Enforcement Division, the Small Business Administration, and the SBA Office of Inspector General targeting fraud in the SBA’s Paycheck Protection Program (PPP).
The Western District of Washington was a key participant in this surge effort. From June 12 to September 1, federal prosecutors across the country facilitated fraud enforcement actions spanning over 160 criminal defendants, including approximately 80 newly charged defendants, reaching approximately $245 million dollars in intended loss to American taxpayers.
“Every dollar that went to fraud is a dollar that was not available to help our small businesses who struggled to stay afloat during the pandemic,” said First Assistant U.S. Attorney Charles Neil Floyd. “Our office will prioritize holding fraudsters accountable for the harm they cause in our communities.”
“Pandemic loan relief was meant to keep American small businesses alive during government lockdowns—not line the pockets of fraudsters,” said Attorney General Todd Blanche. “The defendants charged during our summer surge allegedly fabricated businesses, submitted false payroll and revenue claims, stole identities, and concealed foreign ties on their applications— but they will now be prosecuted to the fullest extent of the law.”
“This summer surge shows what is possible when dedicated public servants across the country work together with a single purpose,” said Assistant Attorney General Colin M. McDonald of the National Fraud Enforcement Division. “Our mission is clear: protect taxpayer funds, safeguard the integrity of federal relief programs, and deliver justice to those who exploited them. We will remain steadfast every day—standing shoulder-to-shoulder with our partners—to identify fraud, pursue those responsible, and restore confidence in the programs meant to help American small businesses thrive.”
“Today’s announcement represents the largest-ever action against perpetrators of SBA fraud, with 870,000 suspended borrowers tied to $39 billion in suspected fraudulent PPP and COVID EIDL activity. In partnership with Vice President Vance and the White House Task Force to Eliminate Fraud, we’re putting fraudsters on notice: the federal government will no longer turn a blind eye to those who stole from taxpayers and exploited programs designed to sustain small businesses during the pandemic,” said SBA Administrator Kelly Loeffler. “With demand letters going out to suspected fraudsters, we’re also sending a clear message that they must repay their debts or face Treasury collections and possible federal law enforcement. Under this Administration, the free ride is over. We are restoring accountability, recovering taxpayer dollars, and protecting SBA programs for the legitimate small businesses they were created to serve.”
“Operation No Doze brings a focused and coordinated approach to pursuing fraud in SBA’s pandemic relief programs,” said SBA Inspector General William Kirk. “By concentrating our investigative resources and working closely with SBA and our law enforcement partners, we are strengthening our ability to identify fraud, recover taxpayer funds, and hold accountable those who exploited programs created to help small businesses in a time of extraordinary need. This initiative makes clear that the passage of time does not diminish our commitment to accountability.”
In the Western District of Washington First Assistant U.S. Attorney Charles Neil Floyd highlighted that two defendants pleaded guilty to PPP-related fraud involving approximately $1.3 million in alleged losses.
- In July, Rahim Kassamali was sentenced to a year and a day in prison for fraudulently obtaining nearly $1.2 million in PPP and Economic Injury Disaster Loans for four companies. Kassamali created fake tax documents and submitted a dozen false loan applications. He paid no payroll but instead used the money for stock purchases and living expenses.
- Tyler Lee Berens pleaded guilty in July to fraudulently applying for Pandemic Unemployment Assistance benefits in 19 states and collecting $148,206. Berens also applied for $17,500 in a PPP loan but was not successful in this fraud. He is scheduled for sentencing October 5, 2026.
The Kassamali case was investigated by the FBI and was prosecuted by Assistant United States Attorney Grace Zoller.
The Berens case was investigated by the FBI, the Social Security Administration Office of Inspector General (SSA-OIG) and the U.S. Department of Labor Office of Inspector General (DOL-OIG). The case is being prosecuted by Special Assistant U.S. Attorney Jessica M. Ly. Ms. Ly is an attorney with the Social Security Administration specially designated to prosecute fraud cases in federal court.
On April 7, the Department of Justice announced the creation of the National Fraud Enforcement Division (“Fraud Division”). The Fraud Division is laser-focused on investigating and prosecuting those who commit fraud against the American people. The Department’s work to combat fraud supports President Trump’s Task Force to Eliminate Fraud, a whole-of-government effort chaired by Vice President J.D. Vance to eliminate fraud, waste, and abuse within Federal benefit programs.
Western District of Oklahoma Joins DOJ Fraud Division, SBA, and SBA OIG in Surge Takedown Exceeding $245 Million in COVID-Era Loan FraudRead the Press Release
40 U.S. Attorney’s Offices, along with 20 federal and state investigative agencies, participate in two-month enforcement surge
OKLAHOMA CITY – The U.S. Attorney’s Office for the Western District of Oklahoma today announced charges against five defendants as part of a nationwide enforcement action led by the Justice Department’s National Fraud Enforcement Division, the Small Business Administration, and the SBA Office of Inspector General targeting fraud in the SBA’s Paycheck Protection Program (PPP). The Western District of Oklahoma was a key participant in this surge effort.
From June 12 to September 1, federal prosecutors across the country facilitated fraud enforcement actions spanning over 160 criminal defendants, including approximately 80 newly charged defendants, reaching approximately $245 million dollars in intended loss to American taxpayers.
“Those who exploited pandemic relief programs stole resources intended for legitimate businesses struggling to keep their doors open,” said U.S. Attorney Robert J. Troester. “The cases brought in the Western District of Oklahoma demonstrate that fraud committed years ago will not simply be forgotten. Our office will continue to follow the evidence, pursue those who abused these programs, and seek justice on behalf of the American taxpayers who funded them.”
“Pandemic loan relief was meant to keep American small businesses alive during government lockdowns—not line the pockets of fraudsters,” said Attorney General Todd Blanche. “The defendants charged during our summer surge allegedly fabricated businesses, submitted false payroll and revenue claims, stole identities, and concealed foreign ties on their applications— but they will now be prosecuted to the fullest extent of the law.”
“This summer surge shows what is possible when dedicated public servants across the country work together with a single purpose,” said Assistant Attorney General Colin M. McDonald of the National Fraud Enforcement Division. “Our mission is clear: protect taxpayer funds, safeguard the integrity of federal relief programs, and deliver justice to those who exploited them. We will remain steadfast every day—standing shoulder-to-shoulder with our partners—to identify fraud, pursue those responsible, and restore confidence in the programs meant to help American small businesses thrive.”
“Today’s announcement represents the largest-ever action against perpetrators of SBA fraud, with 870,000 suspended borrowers tied to $39 billion in suspected fraudulent PPP and COVID EIDL activity. In partnership with Vice President Vance and the White House Task Force to Eliminate Fraud, we’re putting fraudsters on notice: the federal government will no longer turn a blind eye to those who stole from taxpayers and exploited programs designed to sustain small businesses during the pandemic,” said SBA Administrator Kelly Loeffler. “With demand letters going out to suspected fraudsters, we’re also sending a clear message that they must repay their debts or face Treasury collections and possible federal law enforcement. Under this Administration, the free ride is over. We are restoring accountability, recovering taxpayer dollars, and protecting SBA programs for the legitimate small businesses they were created to serve.”
“Operation No Doze brings a focused and coordinated approach to pursuing fraud in SBA’s pandemic relief programs,” said SBA Inspector General William Kirk. “By concentrating our investigative resources and working closely with SBA and our law enforcement partners, we are strengthening our ability to identify fraud, recover taxpayer funds, and hold accountable those who exploited programs created to help small businesses in a time of extraordinary need. This initiative makes clear that the passage of time does not diminish our commitment to accountability.”
In the Western District of Oklahoma, the following defendants have been charged:
- Leroy Sha-Ron Thompson, Jr., 34, of Georgia; Emily Witty, 31, of Texas; and Mark Parnell, 32, of Texas: From March 2021 through January 2022, Thompson, Witty, and Parnell conspired with each other and others to submit fraudulent PPP loan applications supported by false documents, including bank statements and tax records. In total, the defendants assisted in creating more than 100 fraudulent PPP loan applications. All three defendants pleaded guilty in June 2026 to conspiracy to commit wire fraud and face up to 30 years in federal prison and fines of up to $1,000,000.00 at sentencing.
- Olabode Nurudeen Jimoh, 54, of Yukon, Oklahoma: Beginning in April 2020, Jimoh submitted fraudulent applications for one EIDL and five PPP loans by making false statements about his businesses’ income, payroll, and number of employees, and falsely certifying that the proceeds would be used for authorized business purposes. As a result, Jimoh fraudulently obtained $484,266 in EIDL and PPP loan proceeds, which he instead used for personal expenses. Jimoh pleaded guilty to wire fraud and was sentenced to 12 months and one day in federal prison, followed by two years of supervised release, and ordered to pay $484,266 in restitution.
- Kingsley Tazinya, 40, of Oklahoma City: In May 2020, Tazinya submitted a fraudulent PPP loan application to MidFirst Bank in which he falsely claimed his business had 13 employees and an average monthly payroll of more than $99,000. Based on the fraudulent application, Tazinya obtained approximately $249,600 in PPP loan proceeds that were transferred to a bank account he controlled. Tazinya pleaded guilty to bank fraud and was sentenced to 20 months in federal prison, followed by three years of supervised release, and ordered to pay $564,500 in restitution.
Assistant U.S. Attorneys D.H. Dilbeck, Danielle London, and Jackson D. Eldridge are prosecuting the cases.
As part of the Pandemic Response Accountability Committee (PRAC) Fraud Task Force, this investigation was conducted by Manager Steve Hanson. The PRAC promotes transparency and supports oversight of the funds provided by the CARES Act, other emergency coronavirus-related spending bills, and the One Big Beautiful Bill Act. The PRAC and its member Inspectors General identify major risks that cross program and agency boundaries to detect fraud, waste, abuse, and mismanagement, including in spending in the Paycheck Protection Program (PPP) and Economic Injury Disaster Loan (EIDL) program. This case was also supported by the PRAC’s advanced data analytics center, which applies the latest advances in analytic and forensic technologies to help OIGs and law enforcement pursue data-driven pandemic relief fraud investigations.
On April 7, the Department of Justice announced the creation of the National Fraud Enforcement Division (“Fraud Division”). The Fraud Division is laser-focused on investigating and prosecuting those who commit fraud against the American people. The Department’s work to combat fraud supports President Trump’s Task Force to Eliminate Fraud, a whole-of-government effort chaired by Vice President J.D. Vance to eliminate fraud, waste, and abuse within Federal benefit programs.
Washington County Man Pleads Guilty in CARES Act FraudRead the Press Release
ABINGDON, Va. – A Washington County, Virginia man, who conspired with others to file false claims for pandemic unemployment benefits authorized by the CARES Act, pled guilty today. The CARES Act is a federal law, enacted in March of 2020, that was designed to provide emergency financial assistance to people affected by the COVID-19 pandemic.
Richard David Michael Bland, 62, pled guilty today to one count of conspiring to defraud the United States and commit an offense against the United States by filing fraudulent claims for pandemic unemployment benefits as authorized by federal law.
According to court documents, from July 2020 through May 2021 Bland, along with co-conspirators Martha Sue Buffy Davis and Robert Walter Neely, and others, conspired to file false and fraudulent claims for pandemic unemployment benefits. To perpetuate the scheme, Bland, along with other members of the conspiracy, invented non-existent businesses for the purpose of listing them on their applications for benefits with the Virginia Employment Commission. Bland worked with Davis to file an application claiming to be employed at “Bland’s Odd’s and Ends,” a business law enforcement determined did not exist. Bland subsequently recertified, or conspired to have recertified, his employment at the nonexistent business more than 75 times.
Bland, along with co-defendants Davis, Neely, and Jessie Miller, are scheduled for sentencing in December 2026 and January 2027.
The Federal Bureau of Investigation, the United States Department of Labor, and the Virginia Employment Commission investigated the case.
First Assistant United States Attorney Robert N. Tracci and Ian Kaufmann, Special Agent in Charge of the FBI’s Richmond Division made the announcement.
Assistant U.S. Attorney Danielle Stone and Special Assistant U.S. Attorney M. Suzanne Kerney-Quillen, a Virginia Office of the Attorney General Senior Assistant Attorney General assigned to the Major Crimes and Emerging Threats Section, are prosecuting the case.
On April 7, the Department of Justice announced the creation of the National Fraud Enforcement Division (“Fraud Division”). The Fraud Division is laser-focused on investigating and prosecuting those who commit fraud against the American people. The Department’s work to combat fraud supports President Trump’s Task Force to Eliminate Fraud, a whole-of-government effort chaired by Vice President J.D. Vance to eliminate fraud, waste, and abuse within Federal benefit programs.
WDKY Joins DOJ Fraud Division, SBA, and SBA OIG in Surge Takedown Exceeding $245 Million in COVID-era Loan FraudRead the Press Release
Louisville, KY – The United States Attorney’s Office for the Western District of Kentucky today announced an indictment, guilty plea, and a sentencing as part of a nationwide Enforcement action led by the Justice Department’s National Fraud Enforcement Division, the Small Business Administration, and the SBA Office of Inspector General targeting fraud in the SBA’s Paycheck Protection Program (PPP). The Western District of Kentucky was a key participant in this surge effort.
From June 12 to September 1, federal prosecutors across the country facilitated fraud enforcement actions spanning over 160 criminal defendants, including approximately 80 newly charged defendants, reaching approximately $245 million dollars in intended loss to American taxpayers.
United States Attorney Kyle Bumgarner stated, “Americans expect and demand their federal programs assist needy recipients rather than line the pockets of fraudsters. We are charged with being good stewards of Americans’ tax dollars. Our office will never sit idly on the sidelines while fraudsters steal from our citizens. We will aggressively investigate and prosecute those fraudsters undermining the viability of important federal programs.”
“Pandemic loan relief was meant to keep American small businesses alive during government lockdowns—not line the pockets of fraudsters,” said Attorney General Todd Blanche. “The defendants charged during our summer surge allegedly fabricated businesses, submitted false payroll and revenue claims, stole identities, and concealed foreign ties on their applications— but they will now be prosecuted to the fullest extent of the law.”
“This summer surge shows what is possible when dedicated public servants across the country work together with a single purpose,” said Assistant Attorney General Colin M. McDonald of the National Fraud Enforcement Division. “Our mission is clear: protect taxpayer funds, safeguard the integrity of federal relief programs, and deliver justice to those who exploited them. We will remain steadfast every day—standing shoulder-to-shoulder with our partners—to identify fraud, pursue those responsible, and restore confidence in the programs meant to help American small businesses thrive.”
“Today’s announcement represents the largest-ever action against perpetrators of SBA fraud, with 870,000 suspended borrowers tied to $39 billion in suspected fraudulent PPP and COVID EIDL activity. In partnership with Vice President Vance and the White House Task Force to Eliminate Fraud, we’re putting fraudsters on notice: the federal government will no longer turn a blind eye to those who stole from taxpayers and exploited programs designed to sustain small businesses during the pandemic,” said SBA Administrator Kelly Loeffler. “With demand letters going out to suspected fraudsters, we’re also sending a clear message that they must repay their debts or face Treasury collections and possible federal law enforcement. Under this Administration, the free ride is over. We are restoring accountability, recovering taxpayer dollars, and protecting SBA programs for the legitimate small businesses they were created to serve.”
“Operation No Doze brings a focused and coordinated approach to pursuing fraud in SBA’s pandemic relief programs,” said SBA Inspector General William Kirk. “By concentrating our investigative resources and working closely with SBA and our law enforcement partners, we are strengthening our ability to identify fraud, recover taxpayer funds, and hold accountable those who exploited programs created to help small businesses in a time of extraordinary need. This initiative makes clear that the passage of time does not diminish our commitment to accountability.”
In the Western District of Kentucky, U.S. Attorney Kyle Bumgarner announced that four defendants have been charged with, pleaded guilty to, or were sentenced for PPP-related fraud involving approximately $1.3 million in alleged losses.
According to the indictment, charging documents, and/or court records:
According to court documents, on July 15, 2026, Travis Brackens, 46, was sentenced to 7 years and 10 months incarceration and ordered to pay $592,048.05 in restitution for engaging in a scheme to fraudulently obtain Economic Injury Disaster Loans (EIDL) and Paycheck Protection Program (PPP) loans, by making fraudulent statements on the applications, either in his own name, through entities he created, or by using stolen identities. Brackens also conspired with Elizabeth Wester and Reginald Turner to file fraudulent PPP applications in their names, to which they were not entitled. Brackens was compensated for filing the loans in the names of Wester and Turner by keeping a portion of the loan proceeds for himself. Each application was fraudulent in that it was for a business that did not exist or over inflated minimal business activity. As a result, Brackens and others obtained PPP loan proceeds to which they were not entitled. This case was investigated by TIGTA and IRS CI.
According to court documents, on September 1, 2026, John N. Kohnen III, 46, pleaded guilty to charges related to filing a fraudulent Economic Injury Disaster Loan (EIDL) application and a fraudulent application for Paycheck Protection Program (PPP) loan, resulting in the theft of almost $100,000. According to the Information, between March 30, 2020, and May 5, 2021, Kohnen used the entity Metro Mechanical LLC, d/b/a Ridgetop Mechanical Contractors, a Kentucky Limited Liability Company, to file the applications. In the EIDL application, Kohnen exaggerated the number of employees, gross revenue, and cost of goods sold. In the PPP application, he exaggerated the number of employees and average monthly payroll expenses. The total maximum potential penalties are not more than 90 years’ incarceration, not more than a $3,000,000 fine, or both, and not more than 5 years of supervised release. This case is being investigated by FBI and USPIS.
On August 12, 2026, a federal grand jury returned an indictment, which charges two individuals, Brandon Curry, 41, and Tamala Curry, 43, with conspiracy to commit wire fraud, wire fraud, and bank fraud, and charges Brandon Curry with money laundering, all related to fraudulently obtaining COVID-19 financial assistance program funds. According to the Indictment, between March 20 and September 2021, Brandon Curry and Tamala Curry filed at least four fraudulent Economic Injury Disaster Loan (EIDL) applications and two fraudulent applications for Paycheck Protection Program (PPP) loans, resulting in the theft of approximately $700,000. Brandon Curry and Tamala Curry used the entities Curry Electric, C&C Systems, and C&C Network Systems, to file the applications. They submitted the applications for COVID-19 relief funds in the names of all three entities, using different EINs and/or social security numbers, giving the appearance that they were all independent entities, when they were all related and did not operate independently of one another. In the EIDL applications, Brandon Curry and Tamala Curry falsely exaggerated the number of employees, gross revenue, and cost of goods sold. In the PPP application, they exaggerated the number of employees and average monthly payroll expenses. The total maximum potential penalties for Brandon Curry are not more than 190 years’ incarceration, not more than a $6,250,000 fine, or both, and not more than 5 years of supervised release. The total maximum potential penalties for Tamala Curry are not more than 180 years’ incarceration, not more than a $6,000,000 fine, or both, and not more than 5 years of supervised release. This case is being investigated by Department of Homeland Security-OIG, FBI, and USPIS.
These Western District of Kentucky cases were investigated by the FBI Louisville Field Office, the Treasury Inspector General for Tax Administration (TIGTA) Great Lakes Field Division, the United States Postal Inspection Service Pittsburgh Division, and the Department of Homeland Security Office of Inspector General, Covid Fraud Unit.
On April 7, the Department of Justice announced the creation of the National Fraud Enforcement Division (“Fraud Division”). The Fraud Division is laser-focused on investigating and prosecuting those who commit fraud against the American people. The Department’s work to combat fraud supports President Trump’s Task Force to Eliminate Fraud, a whole-of-government effort chaired by Vice President J.D. Vance to eliminate fraud, waste, and abuse within Federal benefit programs.
An indictment, information, or complaint is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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United States Attorney’s Office for the Southern District of West Virginia Joins DOJ Fraud Division, SBA, and SBA OIG in Surge Takedown Exceeding $245 Million in COVID-era Loan FraudRead the Press Release
CHARLESTON, W.Va. – United States Attorney Moore Capito announced a guilty plea today as part of a nationwide enforcement action led by the Justice Department’s National Fraud Enforcement Division, the Small Business Administration, and the SBA Office of Inspector General targeting fraud in the SBA’s Paycheck Protection Program (PPP). The Southern District of West Virginia was a key participant in this surge effort.
From June 12 to September 1, 2026, federal prosecutors across the country facilitated fraud enforcement actions spanning over 160 criminal defendants, including approximately 80 newly charged defendants, reaching approximately $245 million dollars in intended loss to American taxpayers.
“The whole-of-government crackdown on fraud is delivering decisive results, and the SBA surge demonstrates that our commitment is only strengthening,” Capito said. “Our office has secured 33 criminal convictions for COVID-19 fraud and more than $5.1 million in restitution. We will continue to root out pandemic-era fraud wherever it exists, hold every offender accountable, and bring those responsible to justice.”
“Pandemic loan relief was meant to keep American small businesses alive during government lockdowns — not line the pockets of fraudsters,” said Attorney General Todd Blanche. “The defendants charged during our summer surge allegedly fabricated businesses, submitted false payroll and revenue claims, stole identities, and concealed foreign ties on their applications — but they will now be prosecuted to the fullest extent of the law.”
“This summer surge shows what is possible when dedicated public servants across the country work together with a single purpose,” said Assistant Attorney General Colin M. McDonald of the National Fraud Enforcement Division. “Our mission is clear: protect taxpayer funds, safeguard the integrity of federal relief programs, and deliver justice to those who exploited them. We will remain steadfast every day—standing shoulder to shoulder with our partners—to identify fraud, pursue those responsible, and restore confidence in the programs meant to help American small businesses thrive.”
“Today’s announcement represents the largest-ever action against perpetrators of SBA fraud, with 870,000 suspended borrowers tied to $39 billion in suspected fraudulent PPP and COVID EIDL activity. In partnership with Vice President Vance and the White House Task Force to Eliminate Fraud, we’re putting fraudsters on notice: the federal government will no longer turn a blind eye to those who stole from taxpayers and exploited programs designed to sustain small businesses during the pandemic,” said SBA Administrator Kelly Loeffler. “With demand letters going out to suspected fraudsters, we’re also sending a clear message that they must repay their debts or face Treasury collections and possible federal law enforcement. Under this Administration, the free ride is over. We are restoring accountability, recovering taxpayer dollars, and protecting SBA programs for the legitimate small businesses they were created to serve.”
“Operation No Doze brings a focused and coordinated approach to pursuing fraud in SBA’s pandemic relief programs,” said SBA Inspector General William Kirk. “By concentrating our investigative resources and working closely with SBA and our law enforcement partners, we are strengthening our ability to identify fraud, recover taxpayer funds, and hold accountable those who exploited programs created to help small businesses in a time of extraordinary need. This initiative makes clear that the passage of time does not diminish our commitment to accountability.”
Capito announced that Nicholas Kind, 30, of Charleston, pleaded guilty on August 3, 2026, to theft of public money, property, or records. According to court documents and statements made in court, on March 1, 2021, a PPP loan application was submitted on Kind’s behalf. As part of his guilty plea, Kind admitted that the PPP loan application falsely stated that he had a business, that it was eligible for PPP funds, and that his gross income was $106,000 for the 2019 tax year. On March 2, 2021, the PPP loan application was approved and $20,000 in loan proceeds was deposited in Kind’s personal bank account. Kind admitted that he knew there was no legitimate reason for him to receive the $20,000 in PPP loan proceeds, and that he converted the money for his personal use. Kind is scheduled to be sentenced on November 17, 2026, and faces a maximum penalty of 10 years in prison, up to three years of supervised release, and a fine of up to $250,000. Kind also owes $20,000 in restitution.
This case was investigated by the West Virginia State Police, the U.S. Department of Homeland Security-Homeland Security Investigations (HSI), and the National Aeronautics and Space Administration Office of Inspector General (NASA OIG).
“We are proud to be part of this collaboration with the Department of Justice, SBA OIG, and our law enforcement partners,” said Robert Steinau, Senior Official at the NASA Office of Inspector General. “This summer surge underscores our unwavering commitment to tracking down the bad actors who exploited vital COVID-19 relief programs for personal gain. Holding these fraudsters accountable is paramount; every stolen PPP loan represents taxpayer money taken directly from the honest Americans it was meant to help.”
NASA OIG is an active member of the Pandemic Response Accountability Committee (PRAC) Fraud Task Force. The PRAC was established to promote transparency and facilitate coordinated oversight of the federal government’s COVID-19 pandemic response. The PRAC’s 20 member Inspectors General identify major risks that cross program and agency boundaries to detect fraud, waste, abuse, and mismanagement in the more than $5 trillion in COVID-19 spending, including spending via the Paycheck Protection Program (PPP), and Economic Injury Disaster Loan (EIDL) program. This case was also supported by the PRAC’s Pandemic Analytics Center of Excellence, which applies the latest advances in analytic and forensic technologies to help OIGs and law enforcement pursue data-driven pandemic relief fraud investigations.
On April 7, 2026, the Department of Justice announced the creation of the National Fraud Enforcement Division (“Fraud Division”). The Fraud Division is laser-focused on investigating and prosecuting those who commit fraud against the American people. The Department’s work to combat fraud supports President Trump’s Task Force to Eliminate Fraud, a whole-of-government effort chaired by Vice President J.D. Vance to eliminate fraud, waste, and abuse within Federal benefit programs.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 2:26-cr-81.
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United States Attorney’s Office for the Eastern District of Michigan Joins DOJ Fraud Division, SBA, and SBA OIG in Surge Takedown Exceeding $245 Million in COVID-era Loan FraudRead the Press Release
DETROIT, MI – The United States Attorney’s Office for the Eastern District of Michigan today announced charges, pleas and sentences as part of a nationwide enforcement action led by the Justice Department’s National Fraud Enforcement Division, the Small Business Administration (SBA), and the SBA Office of Inspector General targeting fraud in the SBA’s Paycheck Protection Program (PPP). The Eastern District of Michigan was a key participant in this surge effort.
From June 12 to September 1, 2026, federal prosecutors across the country facilitated fraud enforcement actions spanning over 160 criminal defendants, including approximately 80 newly charged defendants, reaching approximately $245 million dollars in intended loss to American taxpayers.
“With every fraud against the government, these criminals steal from the pockets of the American taxpayer. With every prosecution, we bring justice and return money to those same Americans,” said U.S. Attorney Jerome F. Gorgon Jr.
“Pandemic loan relief was meant to keep American small businesses alive during government lockdowns—not line the pockets of fraudsters,” said Attorney General Todd Blanche. “The defendants charged during our summer surge allegedly fabricated businesses, submitted false payroll and revenue claims, stole identities, and concealed foreign ties on their applications— but they will now be prosecuted to the fullest extent of the law.”
“This summer surge shows what is possible when dedicated public servants across the country work together with a single purpose,” said Assistant Attorney General Colin M. McDonald of the National Fraud Enforcement Division. “Our mission is clear: protect taxpayer funds, safeguard the integrity of federal relief programs, and deliver justice to those who exploited them. We will remain steadfast every day—standing shoulder‑to‑shoulder with our partners—to identify fraud, pursue those responsible, and restore confidence in the programs meant to help American small businesses thrive.”
“Today’s announcement represents the largest-ever action against perpetrators of SBA fraud, with 870,000 suspended borrowers tied to $39 billion in suspected fraudulent PPP and COVID EIDL activity. In partnership with Vice President Vance and the White House Task Force to Eliminate Fraud, we’re putting fraudsters on notice: the federal government will no longer turn a blind eye to those who stole from taxpayers and exploited programs designed to sustain small businesses during the pandemic,” said SBA Administrator Kelly Loeffler. “With demand letters going out to suspected fraudsters, we’re also sending a clear message that they must repay their debts or face Treasury collections and possible federal law enforcement. Under this Administration, the free ride is over. We are restoring accountability, recovering taxpayer dollars, and protecting SBA programs for the legitimate small businesses they were created to serve.”
“Operation No Doze brings a focused and coordinated approach to pursuing fraud in SBA’s pandemic relief programs,” said SBA Inspector General William Kirk. “By concentrating our investigative resources and working closely with SBA and our law enforcement partners, we are strengthening our ability to identify fraud, recover taxpayer funds, and hold accountable those who exploited programs created to help small businesses in a time of extraordinary need. This initiative makes clear that the passage of time does not diminish our commitment to accountability.”
U.S. Attorney Gorgon Jr. announced that six defendants were included in the takedown involving approximately $8,200,000 in alleged losses. The takedown included the following cases:
United States v. Valente and United States v. Toma (26-cr-20534 and 26-cr-20385)
Peter Valente, and his then wife, Angela Toma, were indicted and charged with offenses involving a scheme to defraud the SBA. Using inactive companies to perpetrate the fraud, Valente and Toma successfully defrauded the SBA and other lenders of over $2,600,000. On June 30, 2026, Toma pleaded guilty Conspiracy to Commit Wire Fraud, and she is awaiting sentencing. On August 19, 2026, Valente was indicted for Conspiracy to Commit Wire Fraud, multiple counts of Wire Fraud, Money Laundering Conspiracy, and Tampering with Documents and Proceedings. Both Toma and Valente are facing up to 30 years’ imprisonment.
United States v. Patrick McNulty et al. (26-cr-20507)
Patrick McNulty and Joseph Gastorf were charged in an Information with Conspiracy to Commit Wire Fraud. The object of the conspiracy was to cause the SBA and other third-party lenders to issue improper PPP loans and Economic Injury Disaster Loans (EIDLs) through false and fraudulent representations, then divert those proceeds for their own personal use. The defendants are alleged to have submitted 36 fraudulent PPP and EIDL loan applications for several companies, obtaining a total of 18 fraudulent loans for 9 different companies. The Information alleges over $2,700,000 in losses.
United States v. Tauheed Wilder (25-cr-20779)
Wilder executed a scheme that caused the Michigan Unemployment Insurance Company to issue unemployment insurance benefits based on false applications he filed or caused to be filed using the names and social security numbers of individuals without their consent or knowledge. In the span of approximately six months during height of the pandemic, Wilder submitted approximately 150 fraudulent unemployment insurance claims using the stolen Personally Identifiable Information, many using the same fraudulent tax form. During the same period, Wilder obtained two fraudulent PPP loans from the SBA. Wilder’s action resulted in a total loss of approximately $1,959,281. Following his guilty plea to Wire Fraud in April 2026, Wilder was sentenced on July 30, 2026, to 72 months’ in federal prison. He was also ordered to pay restitution as follows: $1,875,149.00 to the Michigan Unemployment Insurance Agency, and $84,132.00 to the U.S. Small Business Administration.
United States v. Karl Fultz (25-cr-20358)
In this case, defendant Karl Fultz made false misrepresentations to induce the SBA and lenders to issue an improper PPP loan in the amount of $866,688 for a business Fultz owned called Wheel Effects. In the application, Fultz made or caused to be made false and fraudulent claims that Wheel Effects had 41 employees and an average monthly payroll of nearly $350,000. Both figures were inflated to fraudulently increase the loan amount that Wheel Effects was eligible to receive. Fultz later used the ill-gotten gains for personal expenditures. On July 28, 2026, Fultz pleaded guilty to Conspiracy to Commit Wire Fraud and faces a statutory maximum penalty of up to 30 years’ imprisonment.
These cases are being investigated by multiple agencies including Department of Labor Office of Inspector General, The Internal Revenue Service-Criminal Investigations, and the Department of Homeland Security Investigations. The cases are being prosecuted by Assistant United States Attorneys Ryan Particka, Andrew Yahkind, and K. Craig Welkener.
On April 7, the Department of Justice announced the creation of the National Fraud Enforcement Division (“Fraud Division”). The Fraud Division is laser-focused on investigating and prosecuting those who commit fraud against the American people. The Department’s work to combat fraud supports President Trump’s Task Force to Eliminate Fraud, a whole-of-government effort chaired by Vice President J.D. Vance to eliminate fraud, waste, and abuse within Federal benefit programs.
An indictment, information, or complaint is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of lawU.S. Attorney’s Office in Chicago Joins DOJ Fraud Division, SBA, and SBA OIG in Announcing Enforcement Surge That Exceeded $245 Million in Covid-Related Loan FraudRead the Press Release
CHICAGO — Andrew S. Boutros, United States Attorney for the Northern District of Illinois, today announced a criminal indictment and a guilty plea as part of a nationwide enforcement action led by the Justice Department’s National Fraud Enforcement Division, the Small Business Administration, and the SBA Office of Inspector General targeting fraud in the SBA’s Paycheck Protection Program (PPP).
From June 12, 2026, to Sept. 1, 2026, federal prosecutors across the country facilitated fraud enforcement actions spanning more than 160 criminal defendants, including approximately 80 newly charged defendants, reaching approximately $245 million in intended loss to American taxpayers. Consistent with the Administration’s priorities to identify, investigate, and prosecute criminal fraud in the federal government entitlement and benefit programs, the Chicago U.S. Attorney’s Office for the past year and a half has been taking a fresh look at Covid-related fraud.
“Pandemic loan relief was meant to keep American small businesses alive during government lockdowns—not line the pockets of fraudsters,” said Attorney General Todd Blanche. “The defendants charged during our summer surge allegedly fabricated businesses, submitted false payroll and revenue claims, stole identities, and concealed foreign ties on their applications—but they will now be prosecuted to the fullest extent of the law.”
“This summer surge shows what is possible when dedicated public servants across the country work together with a single purpose,” said Assistant Attorney General Colin M. McDonald of the National Fraud Enforcement Division. “Our mission is clear: protect taxpayer funds, safeguard the integrity of federal relief programs, and deliver justice to those who exploited them. We will remain steadfast every day—standing shoulder-to-shoulder with our partners—to identify fraud, pursue those responsible, and restore confidence in the programs meant to help American small businesses thrive.”
“When individuals exploit government programs for personal gain, they do more than steal taxpayer dollars—they undermine public trust and divert resources from the people who need them the most,” said U.S. Attorney Boutros. “Prosecuting Covid‑related fraud is an important way to preserve the integrity of government assistance programs and ensure that relief funds reach their intended recipients. The Chicago U.S. Attorney’s Office is committed to holding accountable those who sought to profit from the pandemic, protecting both taxpayers and the vital institutions that support our communities.”
“Today’s announcement represents the largest-ever action against perpetrators of SBA fraud, with 870,000 suspended borrowers tied to $39 billion in suspected fraudulent PPP and Covid EIDL activity,” said SBA Administrator Kelly Loeffler. “In partnership with Vice President Vance and the White House Task Force to Eliminate Fraud, we’re putting fraudsters on notice: the federal government will no longer turn a blind eye to those who stole from taxpayers and exploited programs designed to sustain small businesses during the pandemic. With demand letters going out to suspected fraudsters, we’re also sending a clear message that they must repay their debts or face Treasury collections and possible federal law enforcement. Under this Administration, the free ride is over. We are restoring accountability, recovering taxpayer dollars, and protecting SBA programs for the legitimate small businesses they were created to serve.”
“Operation No Doze brings a focused and coordinated approach to pursuing fraud in SBA’s pandemic relief programs,” said SBA Inspector General William Kirk. “By concentrating our investigative resources and working closely with SBA and our law enforcement partners, we are strengthening our ability to identify fraud, recover taxpayer funds, and hold accountable those who exploited programs created to help small businesses in a time of extraordinary need. This initiative makes clear that the passage of time does not diminish our commitment to accountability.”
In the Northern District of Illinois, COSETTE DEAL, 37, of Oak Park, Ill., was indicted on federal wire fraud charges. The indictment accuses Deal of submitting fraudulent PPP loan applications on behalf of businesses purportedly owned and operated by Deal and others, including purported sole proprietorships in the performing arts. The applications contained materially false statements and misrepresentations concerning, among other things, the purported entities’ number of employees, gross income, payroll, and existence of ongoing operations, the indictment states. Deal allegedly caused a loss of at least approximately $440,000. Deal has pleaded not guilty to the charges and is awaiting trial. Assistant U.S. Attorney Edward A. Liva, Jr. of the Northern District of Illinois is prosecuting the case. The public is reminded that an indictment contains only charges and is not evidence of guilt. Deal is presumed innocent until proven guilty beyond a reasonable doubt.
In another case in the Northern District of Illinois, WILLIAM FREDERICK REED, of Hazel Crest, Ill., pleaded guilty to false statement and tax offenses. Reed admitted in a plea agreement that he submitted fraudulent PPP loans on behalf of his sole proprietorship, Off Duty Security. Among other things, Reed falsified his business’s payroll numbers, gross receipts, and net profits so that the business would appear as eligible to receive PPP loans, even though Reed knew it would otherwise not have been eligible. Reed caused a loss of $17,584. Reed’s sentencing hearing has not yet been scheduled. Assistant U.S. Attorneys Hayley Altabef and Elie Zenner of the Northern District of Illinois are prosecuting the case.
On April 7, 2026, the Department of Justice announced the creation of the National Fraud Enforcement Division. The Fraud Division is laser-focused on investigating and prosecuting those who commit fraud against the American people. The Department’s work to combat fraud supports President Trump’s Task Force to Eliminate Fraud, a whole-of-government effort chaired by Vice President J.D. Vance to eliminate fraud, waste, and abuse within Federal benefit programs. In the Northern District of Illinois, Assistant U.S. Attorney Vincenza Tomlinson serves as District Fraud Counsel for the Fraud Division.
U.S. Attorney’s Office for the Western District of North Carolina Joins DOJ Fraud Division, SBA, and SBA OIG in Surge Takedown Exceeding $245 Million in COVID-era Loan FraudRead the Press Release
CHARLOTTE, N.C. – The U.S. Attorney’s Office in the Western District of North Carolina today announced criminal prosecutions as part of a nationwide enforcement action led by the Justice Department’s National Fraud Enforcement Division, the Small Business Administration (SBA), and the SBA Office of Inspector General (SBA-OIG) targeting fraud in the SBA’s Paycheck Protection Program (PPP).
From June 12 to September 1, federal prosecutors across the country facilitated fraud enforcement actions spanning over 160 criminal defendants, including approximately 80 newly charged defendants, reaching approximately $245 million dollars in intended loss to American taxpayers.
“The point of pandemic relief funds was to keep businesses afloat and people employed during the COVID pandemic,” said U.S. Attorney Russ Ferguson. “As you can see from this extraordinary coordination among law enforcement agencies to identify and hold these fraudsters accountable, we will stop at nothing to protect taxpayer dollars.”
“Pandemic loan relief was meant to keep American small businesses alive during government lockdowns—not line the pockets of fraudsters,” said Attorney General Todd Blanche. “The defendants charged during our summer surge allegedly fabricated businesses, submitted false payroll and revenue claims, stole identities, and concealed foreign ties on their applications— but they will now be prosecuted to the fullest extent of the law.”
“This summer surge shows what is possible when dedicated public servants across the country work together with a single purpose,” said Assistant Attorney General Colin M. McDonald of the National Fraud Enforcement Division. “Our mission is clear: protect taxpayer funds, safeguard the integrity of federal relief programs, and deliver justice to those who exploited them. We will remain steadfast every day—standing shoulder-to-shoulder with our partners—to identify fraud, pursue those responsible, and restore confidence in the programs meant to help American small businesses thrive.”
“Today’s announcement represents the largest-ever action against perpetrators of SBA fraud, with 870,000 suspended borrowers tied to $39 billion in suspected fraudulent PPP and COVID EIDL activity. In partnership with Vice President Vance and the White House Task Force to Eliminate Fraud, we’re putting fraudsters on notice: the federal government will no longer turn a blind eye to those who stole from taxpayers and exploited programs designed to sustain small businesses during the pandemic,” said SBA Administrator Kelly Loeffler. “With demand letters going out to suspected fraudsters, we’re also sending a clear message that they must repay their debts or face Treasury collections and possible federal law enforcement. Under this Administration, the free ride is over. We are restoring accountability, recovering taxpayer dollars, and protecting SBA programs for the legitimate small businesses they were created to serve.”
“Operation No Doze brings a focused and coordinated approach to pursuing fraud in SBA’s pandemic relief programs,” said SBA Inspector General William Kirk. “By concentrating our investigative resources and working closely with SBA and our law enforcement partners, we are strengthening our ability to identify fraud, recover taxpayer funds, and hold accountable those who exploited programs created to help small businesses in a time of extraordinary need. This initiative makes clear that the passage of time does not diminish our commitment to accountability.”
In Western North Carolina, U.S. Attorney Ferguson announced that the following defendants have pleaded guilty or have been sentenced for PPP and other pandemic-related fraud:
U.S. vs. Robert Dailey – Dailey, 54, of Charlotte and a former resident of Fort Mill, South Carolina, has pleaded guilty to wire fraud and money laundering for defrauding the SBA and SBA-approved lenders of more than $4.6 million in PPP and Economic Injury Disaster Loans (EIDL) funds. From 2020 to 2023, Dailey submitted materially false and fraudulent loan applications on behalf of himself and other businesses. Dailey owned and controlled RemeDy Financial Services, LLC (RemeDy Financial), as well as Roma Capital LLC (Roma Capital). Roma Capital served as an agent and consultant to assist clients in obtaining relief funds. As part of the scheme, Dailey obtained almost $2 million in fraudulently obtained relief funds by submitting PPP and EIDL loan applications and supporting documentation for RemeDy Financial and other businesses that he had a personal association with that contained materially false statements and misrepresentations. In addition, Dailey received loan preparation fees for submitting fraudulent PPP loan and EIDL applications and supporting documents on behalf of other clients. This resulted in at least $2.7 million in fraudulently obtained relief funds to be disbursed to Dailey’s clients.
U.S. v. Glynn Hubbard, Jr. – Hubbard, Jr., 49, of Charlotte, was sentenced to 30 months in prison and three years of supervised release after pleading guilty to wire fraud and money laundering for obtaining more than $1.2 million in fraudulent COVID-19 relief funds for himself and his customers. From March to August 2020, Hubbard, Jr. submitted fraudulent PPP and EIDL loan applications to the SBA and SBA-approved lenders, seeking to obtain relief funds for himself and for his customers’ businesses. To obtain the relief funds, Hubbard, Jr. falsified the loan applications and supporting documentation by including false financial information, fake employment data, and fraudulent tax returns. Of the $1.2 million in relief funds disbursed as a result of the scheme, Hubbard, Jr. received more than $570,000 for himself, and over $660,000 was disbursed to his customers. Hubbard, Jr. promoted the fraudulent scheme through personal referrals and in social media posts where he advertised that he was a PPP loan/EIDL consultant. Hubbard, Jr. received improper loan preparer fees for his consulting services totaling more than $150,000.
U.S. vs. Marquise Highsmith and Tatiana Vazquez - A couple formerly living in Midland, N.C., has been sentenced to prison for stealing millions of dollars in COVID-19 relief funds by defrauding the SBA and the Internal Revenue Service (IRS) after pleading guilty to wire fraud conspiracy affecting a financial institution and conspiracy to defraud the government. Marquise Highsmith, 42, was sentenced to 27 months in prison followed by two years of supervised release and was ordered to pay $2,329,497.94 in restitution. Tatiana Vazquez, 39, was ordered to serve 18 months in prison followed by two years of supervised release and to pay $1,379,425.28 in restitution. From May 2020 to January 2022, Highsmith and Vazquez submitted multiple fraudulent applications to financial institutions and to the SBA to obtain PPP and EIDL loans for several purported businesses that they or other co-conspirators controlled. These applications contained fraudulent information related to the businesses’ tax filings, number of employees, and other fabricated financial information. As a result, Highsmith and Vazquez personally received hundreds of thousands of dollars in relief funds. After receiving the funds, the defendants filed loan forgiveness applications that also contained misrepresentations, and as a result some of the loans were subsequently forgiven. In addition, from July 2022 to February 2023, Highsmith and Vazquez engaged in a separate but related conspiracy to fraudulently obtain COVID-19 relief funds through other federal programs administered by the IRS, including the Employee Retention Credit (ERC) program and the Sick Leave and Family Leave Credit (SFLC) program. The defendants and their coconspirators defrauded the IRS by preparing and filing fraudulent forms that falsely millions of dollars in tax credits and other corresponding tax refunds. As a result, the defendants and their coconspirators improperly received more than $1 million in relief funds. (Ryan/Bozin)
U.S. vs. Richard Metz – Metz, 59, of Charlotte, was ordered to pay $520,832 in restitution and sentenced to 14 months of probation with 12 months to be served in home detention, after pleading guilty to wire fraud for fraudulently obtaining $520,832 in pandemic relief funds. According to court records, in August 2021, Metz submitted a PPP loan application that contained materially false and fraudulent representations regarding his purported business’s revenues and other information. Metz obtained $20,832 in PPP funds as a result of the fraudulent application. In addition, in September 2020, Metz and another individual submitted a fraudulent EIDL loan application for another company that contained fraudulent information. Based on the false financial information and fraudulent loan application, Metz obtained $500,000 in EIDL funds.
In making the announcement, U.S. Attorney Ferguson credited the agencies that investigated the cases, including the SBA, SBA-OIG, IRS-Criminal Investigation, U.S. Treasury Inspector General for Tax Administration, U.S. Postal Inspection Service, U.S. Postal Service Office of the Inspector General, Homeland Security Investigations, and the Charlotte Mecklenburg Police Department.
The cases are being prosecuted by Assistant U.S. Attorneys Caryn Finley, William Bozin, Daniel Ryan, and Graham Billings.
On April 7, the Department of Justice announced the creation of the National Fraud Enforcement Division (“Fraud Division”). The Fraud Division is laser-focused on investigating and prosecuting those who commit fraud against the American people. The Department’s work to combat fraud supports President Trump’s Task Force to Eliminate Fraud, a whole-of-government effort chaired by Vice President J.D. Vance to eliminate fraud, waste, and abuse within Federal benefit programs.
U.S. Attorney’s Office for the Middle District of Florida Joins DOJ Fraud Division, SBA, and SBA OIG in Surge Takedown Exceeding $245 Million in COVID-era Loan FraudRead the Press Release
Tampa – U.S. Attorney Gregory W. Kehoe announces criminal charges, pleadings, and sentencings as part of a nationwide enforcement action led by the Justice Department’s National Fraud Enforcement Division, the Small Business Administration (SBA), and the SBA Office of Inspector General targeting fraud in the SBA’s Paycheck Protection Program (PPP)and its Economic Injury Disaster Loan (EIDL) program. The Middle District of Florida was a key participant in this surge effort.
From June 12 to September 1, federal prosecutors across the country facilitated fraud enforcement actions spanning over 160 criminal defendants, including approximately 80 newly charged defendants, reaching approximately $245 million dollars in intended loss to America taxpayers.
“Middle District of Florida prosecutors, investigators, and law enforcement partners are part of an integrated team dedicated to protecting our citizens and their hard-earned dollars from criminals,” said U.S. Attorney Gregory W. Kehoe. “When individuals set out to deliberately defraud government programs for personal gain and profit, they compromise the solvency of programs and services designed to provide critical assistance to legitimate businesses and individuals in times of need. This criminal activity will not be tolerated.”
“Pandemic load relief was meant to keep American small businesses alive during government lockdowns – not line the pockets of fraudsters,” said Attorney General Todd Blanche. “The defendants charged during our summer surge allegedly fabricated businesses, submitted false payroll and revenue claims, stole identities, and concealed foreign ties on their applications – but they will now be prosecuted to the fullest extent of the law.”
“This summer surge shows what is possible when dedicated public servants across the country work together with a single purpose,” said Assistant Attorney General Colin M. McDonald of the National Fraud Enforcement Division. “Our mission is clear: protect taxpayer funds, safeguard the integrity of federal relieve programs, and deliver justice to those who exploited them. We will remain steadfast ever day – standing shoulder-to-shoulder with our partners – to identify fraud, pursue those responsible, and restore confidence in programs meant to help American small businesses thrive.”
“Today’s announcement represents the largest-ever action against perpetrators of SBA fraud, with 870,000 suspended borrowers tied to $39 billion in suspected fraudulent PPP and COVID EIDL activity. In partnership with Vice President Vance and the White House Task Force to Eliminate Fraud, we’re putting fraudsters on notice: the federal government will no longer turn a blind eye to those who stole from taxpayers and exploited programs designed to sustain small businesses during the pandemic,” said SBA Administrator Kelly Loeffler. “With demand letters going out to suspected fraudsters, we’re also sending a clear message that they must repay their debts or face Treasury collections and possible federal law enforcement. Under this Administration, the free ride is over. We are restoring accountability, recovering taxpayer dollars, and protecting SBA programs for the legitimate small businesses they were created to serve.”
“Operation No Doze brings a focused and coordinated approach to pursuing fraud in SBA’s pandemic relief programs,” said SBA Inspector General William Kirk. “By concentrating our investigative resources and working closely with SBA and our law enforcement partners, we are strengthening our ability to identify fraud, recover taxpayer funds, and hold accountable those who exploited programs created to help small businesses in a time of extraordinary need. This initiative makes clear that the passage of time does not diminish our commitment to accountability.”
The following cases are being prosecuted in the Middle District of Florida as part of the national surge:
Jared Eakes (34, Jacksonville) pleaded guilty to wire fraud and bank fraud and was sentenced to six years and six months in federal prison. He was also ordered to forfeit $7,340,742.20 and pay restitution to victims in the total amount of $5,101,200.92. According to court documents, between January 2019 and February 2020, Eakes portrayed himself as an investment advisor and stole approximately $2.7 million from victim investors’ retirement and investment accounts by withdrawing the funds in cash, using investor funds to pay personal expenses, transferring investor funds to a Las Vegas-based casino company, and by engaging in unauthorized options trading in a personal brokerage account. Additionally, between March 2020 and November 2021, Eakes fraudulently obtained four PPP loans totaling $4,752,270 for different shell companies he controlled, including two of the entities involved in the scheme to defraud investors. Once he obtained the PPP loans, Eakes used the funds to engage in options trading or withdrew them in cash. This case was prosecuted by Assistant United States Attorney David B. Mesrobian. The forfeiture was handled by Assistant United States Attorney Clint J. Locke.
Shawn Michael Simmerer (50, Winter Haven) was sentenced to seven years in federal prison for conspiracy to commit wire fraud and wire fraud. Simmerer and his co-conspirator, Seth Downes (31, Portland, MI), submitted fraudulent PPP loan applications on behalf of multiple companies, including Simmerer’s “leadership training” company, claiming nonexistent employees, payroll, and falsified tax records. They obtained more than $344,000 in PPP loan proceeds and later secured forgiveness of those loans using additional false documentation. Simmerer also filed fraudulent tax returns seeking COVID-related Employee Retention Credits and Sick and Family Leave Credits, ultimately obtaining more than $680,000 in IRS refunds. Simmerer was ordered to forfeit $334,300 and pay more than $1 million in restitution. Downes received three years of probation and was ordered to forfeit $194,000 and pay more than $195,000 in restitution. This case was prosecuted by Assistant United States Attorneys Richard Varadan and Noah P. Dorman. The forfeiture was handled by Assistant United States Attorney Nicole Andrejko.
Michael Harvey (43, Tampa) has been charged with conspiracy to commit wire fraud and money laundering. According to court documents, between March and June 2020, Harvey engaged in a scheme to fraudulently obtain a PPP loan for himself and EIDL loans for his company from the SBA. Harvey caused PPP and EIDL applications to be submitted that overstated gross monthly payroll, gross monthly income, gross annual revenues, and the number of employees. These misstatements, and others, fraudulently induced the SBA and PPP lenders to fund the loans. Harvey obtained $679,487 in proceeds from his illegal scheme, which he used for his own personal enrichment, including the purchase of a home in Tampa. This case is being prosecuted by Assistant U.S. Attorney Ross Roberts. The forfeiture is being handled by Assistant United States Attorney Suzanne Nebesky.
Earlisha Louis (45, Newnan, GA) and her husband Somoza Louis (46, Newnan, GA) were sentenced to 37 months and 24 months of imprisonment, respectively, for their roles in attempting to steal more than $2 million in COVID relief funds. Additionally, the court entered a final order of forfeiture for their residence. According to court records, the Louises filed over 22 fraudulent loan applications for businesses they claimed to own and operate during the COVID pandemic. However, every application they submitted contained false information regarding the number of employees, payroll costs, and business operating expenses. Instead of using the funds for their intended purpose, the Louises spent the majority of the funds gambling at casinos and towards the purchase of a new house. This case was prosecuted by Assistant United States Attorney Merrilyn Hoenemeyer. The forfeiture was handled by Assistant United States Attorney James Muench.
Rashard Hutcherson (32 Wimauma), Chevell Hallback (55, Plant City), and Antonio Tinsley (47, Riverview) were each sentenced to probation for fraudulently receiving a PPP loan in the amount of $20,832. According to court records, Hutcherson, Hallback, and Tinsley were United States Postal Service employees at the time they submitted a false PPP loan application claiming to be a sole proprietor of a business. However, none of them actually owned the businesses they claimed on their applications and they spent all of the funds on personal expenses. These cases were prosecuted by Assistant United States Attorney Merrilyn Hoenemeyer. The forfeiture for each case was handled by Assistant United States Attorney Suzanne Nebesky.
Neil Bryant (46, Winter Haven) pleaded guilty to fraudulently receiving a $52,500 EIDL for his business BOE Entertainment. Bryant’s application fraudulently claimed that BOE was a legitimate business with 12 employees, and that he would use the funds to keep his business open during the pandemic. Bryant spent the funds on paying off a car loan, paying for dental procedures, purchasing jewelry, and cash withdrawals. This case is being prosecuted by Assistant United States Attorney Merrilyn Hoenemeyer. The forfeiture is being handled by Assistant United States Attorney Suzanne Nebesky.
Raymond Carvil (61, Miami) pleaded guilty to fraudulently receiving a PPP loan in the amount of $97,500. According to court records, Carvil, with the help of others, submitted a fraudulent application for his business E & S Security. His application not only included false information, but also altered bank statements to make it appear his business was profitable. Once Carvil received his loan, he kicked back a portion of the funds to the co-conspirator that had helped him submit the application. This case is being prosecuted by Assistant United States Attorney Merrilyn Hoenemeyer. The forfeiture is being handled by Assistant United States Attorney Suzanne Nebesky.
Edward Malone (52, Jacksonville) has been charged with two counts of wire fraud affecting a financial institution. If convicted, he faces up to 30 years in federal prison on each count. According to court documents, Malone completed fake rental agreements in order to obtain money from the federal Emergency Rental Assistance Program (ERAP), a program designed to help struggling renters pay their rent during the COVID pandemic. Malone allegedly filled out nine fraudulent landlord applications directly, or through his company Rags II Riches Consulting Inc., which resulted in payment of approximately $54,100 in ERAP funds. This case is being prosecuted by Assistant United States Attorney John Cannizzaro. The forfeiture is being handled by Assistant United States Attorney Clint J. Locke.
Marcus Eichelberger (47, Jacksonville), formerly a church pastor, pleaded guilty to two counts of wire fraud and aiding and abetting wire fraud. According to court records, between March 2021 and February 2022, Eichelberger directed another individual, who was a congregant at Eichelberger’s church, to fraudulently complete and submit applications for PPP loans, purportedly on behalf of a catering business that did not exist. Eichelberger, in conjunction with the other individual, then fraudulently applied for forgiveness of the loans causing $49,999 in loss. Eichelberger and the individual retained the proceeds for their personal use. In addition, Eichelberger, in conjunction with another former church congregant, fraudulently applied for an EIDL, resulting in another $129,900 in loss. Eichelberger used the second congregant’s information to fraudulently apply for an additional EIDL to which he was not entitled, leading to another $129,900 in loss. In total, Eichelberger’s actions resulted in over $300,000 in loss. This case is being prosecuted by Assistant United States Attorney Kelli Swaney. The assert forfeiture was handled by Assistant United States Attorney Clint Locke.
Justin Burns (36, formerly of Jacksonville) pleaded guilty to wire fraud and aiding and abetting wire fraud. Burns, in conjunction with another individual, fraudulently applied for an EIDL and an EIDL advance, purportedly on behalf of a business which did not exist. Ultimately, the EIDL was charged off by the SBA due to non-repayment, resulting in a total loss of $129,900. Burns and the individual retained the proceeds for their personal use. This case is being prosecuted by Assistant United States Attorney Kelli Swaney. The assert forfeiture was handled by Assistant United States Attorney Clint Locke.
The Middle District of Florida worked with the following law enforcement agencies to investigate and prosecute the cases filed during the Surge: the Federal Bureau of Investigation, the Federal Housing Finance Agency – Office of Inspector General, the Internal Revenue Service – Criminal Investigation, the U.S. Secret Service, the Small Business Administration – Office of Inspector General, the U.S. Postal Service – Office of Inspector General, the Department of Veterans Affairs - Office of Inspector General, the City of Jacksonville Office of Inspector General, and the Tampa Police Department.
On April 7, the Department of Justice announced the creation of the National Fraud Enforcement Division (“Fraud Division”). The Fraud Division is laser-focused on investigating and prosecuting those who commit fraud against the American people. The Department’s work to combat fraud supports President Trump’s Task Force to Eliminate Fraud, a whole-of-government effort chaired by Vice President J.D. Vance to eliminate fraud, waste, and abuse within Federal benefit programs.
An indictment, information, or complaint is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Report Fraud:
Contact the FBI at 1-800-CALL-FBI (225-5324), or online at TIPS.FBI.GOV.
If you are reporting cyber-enabled crime, to include online scams, email hoaxes, or other internet-enabled crimes, please submit a tip to the Internet Crime Complaint Center at IC3.GOV.
U.S. Attorney’s Office for Western District of Pennsylvania Joins DOJ Fraud Division, SBA, and SBA OIG in Surge Takedown Exceeding $245 Million in COVID-era Loan FraudRead the Press Release
PITTSBURGH, Pa. - The U.S. Attorney’s Office for the Western District of Pennsylvania today announced the conviction of two defendants as part of a nationwide enforcement action led by the Justice Department’s National Fraud Enforcement Division, the Small Business Administration (SBA), and the SBA Office of Inspector General targeting fraud in the SBA’s Paycheck Protection Program (PPP).
From June 12 to September 1, federal prosecutors across the country facilitated fraud enforcement actions spanning over 160 criminal defendants, including approximately 80 newly charged defendants, reaching approximately $245 million dollars in intended loss to American taxpayers.
“Small Business Administration-related fraud harms not only U.S. taxpayers, but the many small businesses and owners who play by the rules and are legitimately entitled to these funds,” said United States Attorney Troy Rivetti. “As demonstrated by this nationwide enforcement surge, this type of fraudulent activity was prevalent and is still being uncovered and prosecuted years after the COVID-19 pandemic. Our office is committed to working with our law enforcement partners to ensure that this extremely serious criminal conduct continues to be prosecuted to the fullest extent in our district.”
“Pandemic loan relief was meant to keep American small businesses alive during government lockdowns—not line the pockets of fraudsters,” said Attorney General Todd Blanche. “The defendants charged during our summer surge allegedly fabricated businesses, submitted false payroll and revenue claims, stole identities, and concealed foreign ties on their applications—but they will now be prosecuted to the fullest extent of the law.”
In the Western District of Pennsylvania, United States Attorney Rivetti announced that two defendants have been convicted—one by jury trial—for PPP-related fraud during the takedown period, involving a total of nearly $1 million in alleged losses.
On July 8, 2026, April Jones-Munnerlyn, 51, of Pittsburgh, Pennsylvania, pleaded guilty in federal court to one count of conspiracy to defraud the government with respect to claims. In connection with the guilty plea, the Court was advised that, with the help of a co-conspirator, Jones-Munnerlyn caused the filing of false employment tax returns for her business and a business owned by her husband. The returns falsely reported that the businesses paid wages to employees when they did not, and that the businesses were accordingly entitled to the employee retention credit, even though they were not. As a result, the defendant received more than $400,000 in fraudulently obtained refunds.
Jones-Munnerlyn also caused the submission of a false and fraudulent PPP loan application on behalf of her business, in response to which she received $20,833 to which she was not actually entitled. The defendant faces a sentence of up to 10 years of imprisonment, a fine, or both, and agreed-upon restitution to the Internal Revenue Service (IRS) of $411,731.18 and to the SBA of $20,833. The IRS Criminal Investigation conducted the investigation that led to the prosecution of Jones-Munnerlyn.
On August 28, 2026, Jason Youngdahl, 44, of Brockway, Pennsylvania, was convicted on all charges—two counts of wire fraud, two counts of money laundering, and one count of theft of government money—by a federal jury in the Western District of Pennsylvania pertaining to his pandemic fraud. The evidence presented during the two-day trial established that Youngdahl fraudulently obtained more than $540,000 from the United States SBA in Economic Injury Disaster Loans (EIDL), which were funds intended to provide small businesses with relief from the COVID-19 pandemic. Youngdahl fraudulently obtained loan funds on five different occasions, each time representing that he would use the money for the small business he operated when, in fact, he planned to and did use the funds for personal purchases, including a personal vehicle and residence. The defendant faces a sentence of up to 20 years in prison, a fine of up to $250,000, or both. The Federal Bureau of Investigation and United States Postal Inspection Service conducted the investigation that led to the prosecution of Youngdahl.
“This summer surge shows what is possible when dedicated public servants across the country work together with a single purpose,” said Assistant Attorney General Colin M. McDonald of the National Fraud Enforcement Division. “Our mission is clear: protect taxpayer funds, safeguard the integrity of federal relief programs, and deliver justice to those who exploited them. We will remain steadfast every day—standing shoulder-to-shoulder with our partners—to identify fraud, pursue those responsible, and restore confidence in the programs meant to help American small businesses thrive.”
“Today’s announcement represents the largest-ever action against perpetrators of SBA fraud, with 870,000 suspended borrowers tied to $39 billion in suspected fraudulent PPP and COVID EIDL activity. In partnership with Vice President Vance and the White House Task Force to Eliminate Fraud, we’re putting fraudsters on notice: the federal government will no longer turn a blind eye to those who stole from taxpayers and exploited programs designed to sustain small businesses during the pandemic,” said SBA Administrator Kelly Loeffler. “With demand letters going out to suspected fraudsters, we’re also sending a clear message that they must repay their debts or face Treasury collections and possible federal law enforcement. Under this Administration, the free ride is over. We are restoring accountability, recovering taxpayer dollars, and protecting SBA programs for the legitimate small businesses they were created to serve.”
“Operation No Doze brings a focused and coordinated approach to pursuing fraud in SBA’s pandemic relief programs,” said SBA Inspector General William Kirk. “By concentrating our investigative resources and working closely with SBA and our law enforcement partners, we are strengthening our ability to identify fraud, recover taxpayer funds, and hold accountable those who exploited programs created to help small businesses in a time of extraordinary need. This initiative makes clear that the passage of time does not diminish our commitment to accountability.”
On April 7, the Department of Justice announced the creation of the National Fraud Enforcement Division (Fraud Division). The Fraud Division is laser-focused on investigating and prosecuting those who commit fraud against the American people. The Department’s work to combat fraud supports President Trump’s Task Force to Eliminate Fraud, a whole-of-government effort chaired by Vice President J.D. Vance to eliminate fraud, waste, and abuse within Federal benefit programs.
U.S. Attorney Seeks Forfeiture of $61 Million in Cryptocurrency from the Iranian Military’s Black-Market Oil SalesRead the Press Release
Deputy United States Attorney for the Southern District of New York, Sean S. Buckley, and Assistant Director in Charge of the New York Field Office of the FBI, James C. Barnacle, Jr., announced the filing of a civil forfeiture Complaint against approximately $61 million in cryptocurrency as the proceeds of black-market sales of sanctioned Iranian crude oil and petroleum products, intended to finance the Government of Iran and Iranian military components, including Iran’s Islamic Revolutionary Guard Corps (“IRGC”), a designated terrorist organization.
“Today’s action demonstrates our determination to deprive the Government of Iran and its terrorist proxies of the illegal money they rely on to threaten the lives and safety of the citizens of the United States and elsewhere,” said Deputy U.S. Attorney Sean S. Buckley. “The Government of Iran relies on black-market sales of sanctioned crude oil to fund its military and foster terrorism in the Middle East and around the world, along with other malign efforts to develop a nuclear program and ballistic missiles capable of delivering nuclear payloads. As alleged in the complaint filed today, the Government of Iran used a network of cryptocurrency actors in China and elsewhere to launder more than $1.5 billion in illicit oil money intended to benefit the Iranian military and the terror-designated IRGC. Today we are seizing and seeking to forfeit more than $61 million of the Government of Iran’s money, which otherwise would have promoted hostile military action and terrorist attacks against the U.S. and our allies.”
“Today’s complaint demonstrates the FBI’s ability to follow the money, root out illicit schemes, and halt the stream of cryptocurrency to any government attempting to evade sanctions or committing terrorist activities,” said FBI Assistant Director in Charge James C. Barnacle, Jr. “By cutting off funds raised by the black-market sale of crude oil, the Iranian military and terrorists are weakened. The FBI will not relent in its resolve to drain the funds from dangerous foreign actors.”
According to the allegations contained in the Complaint:(1)
Two Chinese companies, Blessed Trust and Hexa Whale, used trading accounts at the UAE-based cryptocurrency exchange Binance to launder the proceeds of black-market sales of Iranian oil, funneling the illicit funds to the Government of Iran, its agents, and/or its proxies, where they were used to finance terrorist and other activities of the Iranian government. Though Blessed Trust represents itself to financial services and cryptocurrency services providers as a wealth management or virtual asset custodial services firm, in fact it received and transferred the proceeds of sales of Iranian crude oil and petroleum products and provided “on-ramp” services to convert fiat currency into cryptocurrency, including through the use of U.S.-based cryptocurrency issuers. Hexa Whale similarly holds itself out as a commodities brokering company, but in fact provided similar services as Blessed Trust, working in concert with Blessed Trust and its affiliates. Blessed Trust and Hexa Whale’s clients include companies in China’s petroleum and petroleum products sector.
A series of interrelated unhosted cryptocurrency addresses, termed the “Entity A” addresses, have received and distributed more than approximately $1.5 billion of proceeds of the illicit sale of Iranian oil. Entity A has funneled Iranian oil money to IRGC-related money services businesses, IRGC-related cryptocurrency addresses, and an Iranian cryptocurrency exchange. These transfers of Iranian oil proceeds were facilitated in large part by Blessed Trust, Hexa Whale, and individuals associated with those entities, through transactions and cryptocurrency addresses designed and executed to obfuscate the nature, source, and ownership of the funds involved. Blessed Trust and Hexa Whale have also used the U.S. financial system to send or receive tens of millions of dollars as part of this scheme.
* * *
Mr. Buckley praised the outstanding work of the FBI New York Counterintelligence and Espionage Division. Mr. Buckley also thanked the Counterterrorism Section and the Counterintelligence and Export Control Section of the Department of Justice’s National Security Division and the Money Laundering, Narcotics, and Forfeiture Section of the Department of Justice’s Criminal Division for their assistance and support for the investigation and today’s forfeiture action.
This case is being handled by the Office’s Illicit Finance and Money Laundering Unit and National Security and International Narcotics Unit. Assistant U.S. Attorneys Christopher Brumwell, Jane Chong, David Markewitz, and Juliana N. Murray are in charge of the prosecution.
A civil forfeiture complaint is merely an allegation that money or property was involved in or represents the proceeds of a crime. These allegations are not proven until a court awards a judgment in favor of the United States.
^
As the introductory phrase signifies, the entirety of the text of the Complaint and the description of the Complaint set forth herein constitute only allegations, and every fact described should be treated as an allegation.
U.S. Attorney Matthew L. Harvey Inducted into West Virginia Boys and Girls Club Hall of FameRead the Press Release
MORGANTOWN, WEST VIRGINIA – U.S. Attorney Matthew L. Harvey has been named a West Virginia Boys & Girls Club Hall of Fame recipient for 2026.
U.S. Attorney Harvey was selected because of his contributions to Clubs in the Eastern Panhandle and his previous work with the West Virginia First Foundation, which has awarded grant funding to Clubs across the state. He served on the Boys & Girls Club of the Eastern Panhandle’s Board of Directors from 2012–2016, assisting the chapter in its work with children across the region.
“I am deeply honored and humbled by this recognition,” said U.S. Attorney Matthew L. Harvey. “Thousands of children benefit from the services the Boys & Girls Club provides every year. They are making a true difference, shaping future generations in the Mountain State.”
The West Virginia Boys & Girls Club Hall of Fame is in its fifth year, honoring Board Members and Alumni who have made an impact on Clubs across West Virginia. Recipients from the Eastern Panhandle include Board Members U.S. Attorney Matthew L. Harvey, Gail Shade, and Andy DiMagno; Alumni Vicky Bullett; and Alumni Pat Murphy, who founded and volunteered with the photography program for more than 50 years.
Boys & Girls Clubs of America is a national nonprofit that delivers evidence-informed programs supporting academic success, character and leadership development, health and well-being, and workforce readiness. The organization operates through a network of more than 5,500 local Clubs reaching more than 4 million young people annually. Clubs nationwide offer after-school and summer programs for youth ages 6–18 and also support community engagement and college scholarships.
The ceremony was held in Morgantown, West Virginia, on September 10, 2026.
Two New Yorkers, Who Are Chinese Nationals, Plead Guilty to Racketeering Conspiracy Involving the Interstate Transportation of Stolen Used Cooking OilRead the Press Release
DES MOINES, Iowa – Two New York men who are Chinese Nationals have pleaded guilty to racketeering conspiracy and money laundering.
As alleged in the Indictment, 19 Defendants were charged with charges involving the theft of used cooking oil, which can be refined into biodiesel fuel and re-sold. Defendants drove trucks to restaurants and stole and attempted to steal used cooking oil from oil collection tanks located at restaurants throughout Iowa, Tennessee, Minnesota, Indiana, Ohio, Alabama, Illinois, Nebraska, Missouri, and Kentucky. Defendants then collected the stolen used cooking oil to warehouses throughout the United States including:
- Nevada and Ankeny, Iowa;
- Lewisburg, Tennessee;
- Dora, Alabama; and
- Tipp City, Ohio;
- Decatur, Illinois
Defendants subsequently sold the stolen used cooking oil, which was transported across state lines, and proceeds were laundered.
On September 9, 2026, Tianzhu Chen, 33, of Flushing, New York, and a Chinese National, pleaded guilty to Racketeering Conspiracy and Money Laundering and Yong Chen, 33, of Brooklyn, New York and a Chinese National, pleaded guilty to Racketeering Conspiracy. Sentencing is set for January 29, 2027. Each offense carries a maximum sentence of 20 years in prison. A federal district court judge will determine any sentence after considering the United States sentencing guidelines and other statutory factors.
Trial for the remainder of the defendants is scheduled to begin on April 12, 2027.
United States Attorney David C. Waterman of the Southern District of Iowa made the announcement. The Central Iowa Gang Task Force of the FBI Des Moines Resident Agency of the Omaha Field Office is investigating this case, with assistance from the: Polk County Sheriff’s Office; Story County Sheriff’s Office; Des Moines Police Department; West Des Moines Police Department; Iowa Department of Public Safety; Iowa Department of Transportation; Tennessee Bureau of Investigations; Gahanna, Ohio Police Department; Cullman, Alabama Police Department; Springfield, Illinois, Police Department; 18th Judicial District Drug Task Force in Tennessee; FBI Dayton Resident Agency of the Cincinnati Field Office; FBI Lexington Resident Agency of the Springfield Field Office; FBI Oklahoma City Field Office; FBI New York City Field Office; FBI Birmingham Field Office; FBI Amarillo Resident Agency of the Dallas Field Office; FBI Language Services; and the Environmental Protection Agency.
Two Indicted in Webster Parish Scheme for False Voter Registration and Alien VotingRead the Press Release
SHREVEPORT – On September 9, 2026, a federal grand jury returned an indictment charging Bridget Johnson, 53, of Cotton Valley, with Fraudulent Voter Registration and Voting by an Alien, and Michael Wedderburn, 52, of Jamaica, with Voting by an Alien. If convicted, Johnson faces a maximum penalty of five years in prison and Wedderburn faces a maximum penalty of one year, along with additional financial penalties.
“Protecting the integrity of Louisiana’s elections—and our national elections—is essential to protecting our constitutional republic,” said United States Attorney Zachary A. Keller. “The right to vote is sacred. When individuals undermine that process through fraud or abuse, they threaten the public’s confidence in a fair and lawful election system. Our Office will continue to safeguard the sanctity of the vote and hold accountable those who violate our laws.”
According to court documents, Johnson was a resident of Webster Parish and a candidate in the 2024 election for mayor of Cotton Valley. Wedderburn is a non‑citizen alien in the United States and was ineligible to vote in Louisiana elections.
On July 14, 2024, Johnson allegedly completed and electronically submitted a Louisiana voter registration application in Wedderburn’s name, falsely stating that he was a United States citizen. The indictment also alleges that Wedderburn went on to vote illegally in the November 5, 2024, election for a federal office, and in the Cotton Valley mayoral race.
U.S. Attorney Zachary A. Keller for the Western District of Louisiana made the announcement.
The Federal Bureau of Investigation investigated this case with assistance from the Louisiana Secretary of State’s Office. It is being prosecuted by Assistant U.S. Attorneys Seth D. Reeg and Alexandra Porubsky with assistance from Legal Assistant Ginger Green.
An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
You may find a copy of this press release (and any updates) on the website of the United States Attorney’s Office for the Western District of Louisiana at www.justice.gov/usao-wdla.
Related court documents and information may be found on the website of the District Court for the Western District of Louisiana at www.lawd.uscourts.gov or at https://www.lawd.uscourts.gov/cmecf-pacer. The case number for this matter is currently pending assignment.
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CONTACT: Public Affairs: [email protected]
United States Attorney’s Office: www.justice.gov/usao-wdla
X: @USAO_WDLA
Facebook: USAO_WDLA
(337) 262-6704Two Companies Agree to Pay $3.9 Million to Resolve False Claims Act Allegations Relating to Paycheck Protection Program LoansRead the Press Release
WILMINGTON, Del. – Glow Networks, Inc. (“Glow Networks”), a Delaware corporation with its principal place of business in Texas, and Secova, Inc. (“Secova”), a Delaware corporation with its principal place of business in New Jersey, have agreed to pay $3,869,102.68 to resolve allegations that they improperly obtained Paycheck Protection Program (“PPP”) loans from the U.S. Small Business Administration (“SBA”) for which they were not eligible.
PPP was an emergency loan program established by Congress in March 2020 under the Coronavirus Aid, Relief, and Economic Security Act, and administered by the SBA. The program was created to support small businesses and to help them continue to pay employees and meet other business expenses during the COVID-19 pandemic. A second round of loans was authorized in early 2021. To be eligible for these Second Draw PPP loans, a business was required to certify that it had no more than 300 employees, including employees of all domestic and foreign affiliates.
Glow Networks applied for a $2,000,000 Second Draw PPP loan. Secova applied for a $184,097 Second Draw PPP loan. On their respective Second Draw loan applications, Glow Networks and Secova certified that they, together with their affiliates, had fewer than 300 employees. Glow Networks and Secova subsequently applied for (and ultimately received) forgiveness of their Second Draw loans. However, Glow Networks and Secova, together with their domestic and foreign affiliates, had more than 300 employees.
U.S. Attorney Benjamin L. Wallace announced the settlement. Assistant U.S. Attorney Claudia L. Pare handled the case.
The civil settlement includes the resolution of claims brought under the qui tam or whistleblower provisions of the False Claims Act. Under those provisions, a private party—known as a relator—can file an action on behalf of the United States and receive a portion of any recovery. In this case, the relator will receive a share of the settlement.
Individuals with information about allegations of fraud involving COVID-19 are encouraged to report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
On April 7, the Department of Justice announced the creation of the National Fraud Enforcement Division (“Fraud Division”). The Fraud Division is investigating and prosecuting those who commit fraud against the American people. The Department’s work to combat fraud supports President Trump’s Task Force to Eliminate Fraud, a whole-of-government effort chaired by Vice President J.D. Vance to eliminate fraud, waste, and abuse within Federal benefit programs.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the District of Delaware. The settlement agreement is attached to this press release. Related court documents and information are located on the website of the District Court for the District of Delaware or on PACER by searching for Case No. 25-cv-513-GBW.
The claims resolved by the settlement are merely allegations. There has been no determination of liability.
secova_settlement_agreement.pdfTwo Canadian men plead guilty to attempting to illegally export firearms from the U.S. to Dubai and ColumbiaRead the Press Release
BUFFALO, N.Y.-U.S. Attorney Michael DiGiacomo announced today that Guy Deland a/k/a Mark a/k/a Security Prime, 68, and Charan Singh, 56, both from Quebec, Canada, pleaded guilty before U.S. District judge Richard J. Arcara to conspiracy to violate the Arms Export Control Act, which carries a maximum penalty of five years in prison and a fine of $250,000.
Between November 2016 and April 2017, Deland and Singh conspired with others, including Aydan Sin, to export defense articles on the United States Munitions List (USML) in violation of United States law.
In November 2016, Singh began communicating with an undercover law enforcement agent (UCA), inquiring about whether the UCA could export firearms from the United States to the United Arab Emirates. During the communications, Singh, Deland, and Sin were advised by the UCA that a license was required from the United States Department of State in order to legally export the firearms. The defendants acknowledged the illegality of the attempted exports, provided an encrypted Blackberry device to the UCA for the purpose of secure, covert communications, and wired approximately $70,000 USD from Canada to the United States as a 50% down payment for the export of the goods.
On December 7, 2016, Sin, through telephone and email, requested the gun order include 9mm handguns and Uzi machine guns. On December 9, 2016, Sin told the UCA that rather than get an export license, he wanted the UCA to export the firearms “the wrong way.”
Subsequently, on January 10, 2017, the UCA emailed two revised invoices to Deland and Sin. One invoice was for the export to Dubai of three new Glock 9mm firearms, six magazines, two used Mini Uzi submachine guns, two suppressors, and 1,000 rounds of 9mm ammunition for the firearms, for a total cost of $20,575. The second invoice was for the export to Colombia (thru Panama) of 37 new Glock 9mm firearms, 74 magazines, 13 used Mini Uzi submachine guns, 13 suppressors, and 3,000 rounds of 9mm ammunition for the firearms, for a total cost of $121,175. Both invoices contained language stating that exporting these products was prohibited by law without an export license. On February 6 and 7, 2017, an undercover bank account, located in the Western District of New York, received two bank wire transfers from a bank account in Canada, each in the amount of $34,990 USD, representing 50% of the total purchase price of the firearms, suppressors, and ammunition.
On March 10, 2017, Sin contacted the UCA and asked if the shipment of guns to Columbia would occur in a few days. On March 20, 2017, the UCA used existing sea freight shipment tracking numbers and told Sin and Deland that the firearms, suppressors, and ammunition were shipped to Jebel Ali, United Arab Emirates, and the shipment of guns to Columbia would occur on March 29, 2017. The UCA also provided them with tracking information.
The case was prosecuted by Assistant U.S. Attorney Aaron J. Mango and Trial Attorney Beaudre Barnes from the Counterintelligence & Export Control Section of the National Security Division at the Department of Justice. The pleas are the result of an investigation by Homeland Security investigations, under the direction of Acting Special Agent-in-Charge Anthony Patrone. Additional assistance was provided by the Royal Canadian Mounted Police.
Deland is scheduled to be sentenced on December 18, 2026, at 11:00 a.m., Singh on January 16, 2027, at 11:00 a.m., both before Judge Arcara.
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Truck driver transporting more than 4,700 pounds of methamphetamine sentenced to 15 years and 8 months in prisonRead the Press Release
FRESNO, Calif. — Ruben Saenz, 38, of Los Angeles, was sentenced today by U.S. District Judge Jennifer L. Thurston to 15 years and eight months in prison for conspiring to distribute methamphetamine, U.S. Attorney Eric Grant announced.
According to court documents, Saenz played a central role in a Mexico‑based drug‑trafficking organization responsible for moving thousands of pounds of methamphetamine, cocaine, and fentanyl into the United States. The FBI dismantled the network in June 2024 during “Operation Toxic Waste.”
The organization transported powdered and liquid methamphetamine, cocaine, and fentanyl—both pills and powder—across the border using cars and semitrucks. Drugs were stashed in gas tanks, tucked inside projectors and batteries, and buried among produce. The traffickers tracked their shipments with GPS devices hidden in the loads.
Saenz served as a key player in the group’s semitruck operation. As early as February 2023, he purchased vegetable boxes later packed with narcotics destined for transport across the border. On September 22, 2023, he helped facilitate one of the organization’s largest shipments: a semitruck loaded with methamphetamine. After meeting the truck with a rented Penske vehicle, Saenz oversaw the transfer of the hidden cargo. Just after midnight, law enforcement stopped the Penske truck he was driving and discovered more than 4,700 pounds of methamphetamine inside.
Saenz pleaded guilty on March 16, 2026.
The Federal Bureau of Investigation conducted the investigation with assistance from Homeland Security Investigations, the U.S. Postal Inspection Service, the Bureau of Alcohol, Tobacco, Firearms and Explosives, the U.S. Customs and Border Protection, the U.S. Marshals Service, the California Department of Corrections and Rehabilitation, the San Bernardino County Sheriff’s Inland Regional Narcotics Enforcement Team, the Merced Area Gang and Narcotics Enforcement Team, and the Los Angeles Strike Force. Assistant U.S. Attorneys Justin J. Gilio and Cody S. Chapple are prosecuting the case.
This case is part of the Homeland Security Task Force (HSTF) initiative established by Executive Order 14159, Protecting the American People Against Invasion. The HSTF is a whole-of-government partnership dedicated to eliminating criminal cartels, foreign gangs, transnational criminal organizations, and human smuggling and trafficking rings operating in the United States and abroad. Through historic interagency collaboration, the HSTF directs the full might of United States law enforcement towards identifying, investigating, and prosecuting the full spectrum of crimes committed by these organizations, which have long fueled violence and instability within our borders. In performing this work, the HSTF places special emphasis on investigating and prosecuting those engaged in child trafficking or other crimes involving children. The HSTF further utilizes all available tools to prosecute and remove the most violent criminal aliens from the United States. The Central Valley HSTF comprises agents and officers from the Federal Bureau of Investigation, Homeland Security Investigations, the U.S. Marshals Service, and IRS Criminal Investigation with the prosecution being led by the United States Attorney’s Office for the Eastern District of California.
This case is part of Operation Synthetic Opioid Surge (S.O.S.) a program designed to reduce the supply of deadly synthetic opioids in high impact areas as well as identifying wholesale distribution networks and international and domestic suppliers. In July 2018, the Justice Department announced the creation of S.O.S., which is being implemented in the Eastern District of California and nine other federal districts.
Three Methamphetamine Traffickers Sentenced to Federal PrisonRead the Press Release
BOISE – U.S. Attorney Bart M. Davis announced the results of three separate drug trafficking prosecutions in Southern Idaho.
Christopher Lee Hatcher, 68, of California, was sentenced to 120 months in federal prison for possession with intent to distribute methamphetamine. U.S. District Judge Amanda K. Brailsford also ordered Hatcher to serve five years of supervised release following his prison sentence. According to court records, Hatcher transported several pounds of methamphetamine from California to Idaho for distribution.
In a separate case, Ricky Dee Sedlacek, 63, of Caldwell, Idaho, was sentenced to 87 months in federal prison for distribution of methamphetamine. According to court records, Sedlacek sold more than a quarter pound of methamphetamine over multiple transactions in Oregon and Idaho. Investigators contacted Sedlacek during a traffic stop as he was on his way back from Oregon to pick up a supply of drugs. Investigators found a pound of methamphetamine in his possession, which he had tried to conceal during the traffic stop.
In a third case, Steven Lyle Ressler, 52, of Pendleton, Oregon, was sentenced to 77 months in federal prison for possession with intent to distribute methamphetamine. According to court records, investigators became aware that Ressler was selling drugs in Oregon and the Treasure Valley. Investigators intercepted Ressler as he crossed the border from Oregon to Idaho. During the traffic stop, investigators located approximately a pound of methamphetamine in Ressler’s vehicle.
U.S. District Judge Davd C. Nye also ordered both Ressler and Sedlacek to serve four years of supervised release following each of their respective prison sentences.
U.S. Attorney Davis commended the collaborative effort of the federal, state, and local law enforcement agencies to disrupt drug trafficking organizations that threaten the safety of our community.
The cases involving Sedlacek and Ressler were investigated by the Drug Enforcement Administration, the Nampa Police Department Special Investigations Unit, the City County Narcotics Unit, the Idaho State Police Department, the Oregon High Desert Drug Task Force, and the Oregon State Police. Assistant U.S. Attorney David Morse prosecuted the cases.
These investigations were supported by the Oregon-Idaho High-Intensity Drug Trafficking Area (HIDTA) program, which is a multi-jurisdictional narcotics task force that identifies, disrupts, and dismantles local, multi-state, and international drug trafficking organizations using an intelligence-driven, multi-agency prosecutor-supported approach.
The case involving Hatcher was investigated by the Idaho State Police, Owyhee County Sherriff’s Office, and Boise Police Department, with assistance from the Owyhee County Prosecutor’s Office and the Treasure Valley Metro Violent Crimes Task Force. This case was prosecuted by Kelsey Manweiler, who was a Special Assistant U.S. Attorney hired by the Treasure Valley Partnership, Canyon County Prosecutor’s Office, and the State of Idaho to address gang crimes.
The Treasure Valley Partnership is comprised of a group of elected officials in southwest Idaho dedicated to regional coordination, cooperation, and collaboration on creating coherent regional growth.
The Treasure Valley Metro Violent Crimes Task Force is comprised of federal, state, and local agencies, including the Federal Bureau of Investigation; Bureau of Alcohol, Tobacco, Firearms and Explosives; Drug Enforcement Administration; United States Postal Inspector Services; Department of Homeland Security Investigations; Caldwell Police Department; Canyon County Sheriff’s Office; and the Idaho Department of Correction – Probation and Parole.
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Thornton Man Indicted for Making Online Threats to Kill Federal, State, and Local Law Enforcement OfficersRead the Press Release
DENVER – The United States Attorney’s Office for the District of Colorado announces that Kevin Lee Tompkins, age 40, of Thornton, Colorado, has been charged by a federal grand jury with four counts of making interstate threats to kill federal, state, and local law enforcement officers.
According to the indictment and documents filed in the case, Tompkins made serious threats to kill police officers, FBI employees, Muslim Americans, judges, prosecutors, and others on a major video sharing website in June and July 2026. The indictment also charged Tompkins with being a felon in possession of ammunition after boxes of ammunition were found in his home along with a book about the manufacture of explosives. The web search history on Tompkins’ phone showed that, despite being prohibited from possessing firearms, he regularly visited websites through which guns are bought and sold in private transactions.
The charges contained in the indictment are allegations, and the defendant is presumed innocent unless and until proven guilty.
The investigation is being conducted by the FBI Denver Field Office.
The Cybercrime and National Security Section of the United States Attorney’s Office in the District of Colorado is handling the prosecution.
Case Number: 26-cr-0202-RMR
Theodore Bland of Stowe, Vermont Sentenced to Life Imprisonment for Murdering Two Men During and in Relation to Drug TraffickingRead the Press Release
BURLINGTON – The United States Attorney’s Office for the District of Vermont stated that on September 14, 2026, Theodore Bland, 31, of Stowe, Vermont, was sentenced by United States District Judge William K. Sessions III to two consecutive sentences of life imprisonment after his guilty plea to causing the deaths of two men while carrying and using a firearm during and in relation to drug trafficking, and concurrent sentences of imprisonment for various federal drug and firearm charges. Judge Sessions also required Bland to pay restitution of $12,504.92 to the Vermont Center for Crime Victim Services.
According to court records, on the morning of October 12, 2023, Bland walked into the back bedroom of a mobile home in Lowell, Vermont and murdered two men by shooting them. Bland murdered the men so that he could obtain cocaine base and fentanyl that he knew that they had in their possession to further his own drug distribution conspiracy. Bland shot the men in broad daylight, in the presence of numerous witnesses, and in the hours and days that followed, bragged to others about the way he had killed the men. Bland also used the drugs and weapons that he had obtained from the killings to persuade a number of people to assist him in moving the men’s bodies to a wooded area in Eden, Vermont, and attempting to conceal the murders. Bland also traded one of the firearms he stole from one of the victims to a drug supplier in exchange for quantities of cocaine base and fentanyl that Bland intended to distribute. At the time of the murders, Bland was on state conditions of release for a March 17, 2023 armed assault in South Burlington, Vermont.
First Assistant United States Attorney Jonathan A. Ophardt commended the collaborative investigatory efforts of the Vermont State Police, the Federal Bureau of Investigation, the Morristown Police Department, and the Drug Enforcement Administration. Ophardt added: “Theodore Bland committed two depraved, violent murders to secure greater illicit profits in the drug trade. This case is a chilling reminder of the extreme danger posed by the combination of drug trafficking and firearms. I am grateful to the family and friends of the victims who spoke at today’s sentencing hearing. Their words were powerful reminders of the true toll of Bland’s crimes. As they made clear, two consecutive life sentences will never erase the harm and pain caused by Bland’s violence.”
“Mr. Bland was responsible for trafficking deadly narcotics on the streets in Vermont,” said Craig Tremaroli, Special Agent in Charge of the Federal Bureau of Investigation’s Albany Field Office. “His decision to escalate to cold-blooded murder has landed him in federal prison for the rest of his life. This case and subsequent sentence illustrates the FBI’s unwavering commitment to working with our Department of Justice colleagues and our partners at every level of law enforcement to leverage our resources and ensure that criminals who terrorize our communities through vicious acts of violence and the sale of dangerous drugs and weapons are held accountable to the fullest extent of the law.”
“This crime shocked Vermont in its callousness and left the families of two young men with a grief that will never end,” said Major Ashley Barnes, commander of the Vermont State Police Criminal Division. “We extend our sincere thanks to our law-enforcement partners at the federal, state and local level who joined together to locate the victims, identify the perpetrator, and ensure he faced justice.”
The case was prosecuted by Assistant U.S. Attorneys Jason M. Turner and Dana E. Hill. Bland was represented by David C. Sleigh, Esq., Bren E. Newton, Esq., Bruce D. Koffsky, Esq., and Francis L. O’Reilly, Esq.
Project Safe Neighborhoods (PSN) is the Department of Justice’s nationwide initiative that brings federal, state, local, and tribal law enforcement, prosecutors, and other public safety partners together to coordinate efforts to combat violent crime and make communities safe. Coordinated by U.S. Attorneys’ offices in each of the 94 federal districts, PSN is tailored to particular communities to strategically address specific violent crime and public safety challenges. As a key component of Operation Take Back America, PSN serves a central role in the Department’s commitment to make our country safe. PSN emphasizes three core principles: rapid federal response to violent crime and criminal offenders; strong, strategic partnerships among law enforcement at all levels; and accountability and deterrence through the prosecution of the most serious, readily provable offenses and other strategies. These efforts complement and strengthen President Trump’s Homeland Security Task Forces, ensuring a comprehensive federal response to the most pressing public safety issues facing communities.
The USAO-KS Joins DOJ Fraud Division, SBA, and SBA OIG in COVID-Era Loan Takedown Exceeding $245 Million in FraudRead the Press Release
KANSAS CITY, KAN. – The U.S. Attorney’s Office – District of Kansas (USAO-KS) today announced indictments as part of a nationwide enforcement action led by the Justice Department’s National Fraud Enforcement Division, the Small Business Administration, and the SBA Office of Inspector General targeting fraud in the SBA’s Paycheck Protection Program (PPP). USAO-KS was a key participant in this surge effort.
From June 12 to September 1, federal prosecutors across the country facilitated fraud enforcement actions spanning over 160 criminal defendants, including approximately 80 newly charged defendants, reaching approximately $245 million in intended loss to American taxpayers.
“Over the years we have convicted schemers who illegally secured PPP loans then went on shopping sprees on the federal government’s dime, but we’re not done. The Justice Department has a very long memory, and the statute of limitations has been extended for this type of fraud,” said U.S. Attorney Ryan A. Kriegshauser. “To those who lied on applications and haven’t yet had the law show up at your door, don’t be surprised when we come knocking with an arrest warrant in hand.”
“Pandemic loan relief was meant to keep American small businesses alive during government lockdowns—not line the pockets of fraudsters,” said Attorney General Todd Blanche. “The defendants charged during our summer surge allegedly fabricated businesses, submitted false payroll and revenue claims, stole identities, and concealed foreign ties on their applications— but they will now be prosecuted to the fullest extent of the law.”
In the District of Kansas, U.S. Attorney Ryan A. Kriegshauser announced that four defendants, including a husband and wife, have been charged with PPP-related fraud involving approximately $182,000 in alleged losses.
According to the indictments:
• Greg Wegenka, 74, of Wakarusa, is accused of providing false IRS documents to receive a PPP loan for a small business then allegedly using loan proceeds for impermissible purposes.
Loss: $29,000 Maximum Sentence If Convicted: 20 years in prison• Laurie Wegenka, 66, of Wakarusa, is accused of applying for and receiving PPP loans for a small business using false IRS forms.
Loss: $115,000 Maximum Sentence If Convicted: 20 years in prison• Vanesha Whisonant, 25, of Kansas City, Kansas, is accused of receiving a PPP loan for a home-based business after allegedly filing an application with false information about the number of employees and payroll.
Loss: $18,000 Maximum Sentence If Convicted: 20 years in prison• Dominic Williams, 35, of Kansas City, Kansas, is accused of receiving a PPP by falsely claiming to be a sole proprietor business with $100K in proceeds and allegedly submitting false bank statements to receive loans and to receive loan forgiveness.
Loss: $20,832 Maximum Sentence If Convicted: 20 years in prisonThese case are being investigated by the Small Business Administration – Office of Inspector General (SBA- OIG) and prosecuted by Assistant U.S. Attorney Christopher Oakley.
On April 7, the Department of Justice announced the creation of the National Fraud Enforcement Division (Fraud Division). The Fraud Division is laser-focused on investigating and prosecuting those who commit fraud against the American people. The Department’s work to combat fraud supports President Trump’s Task Force to Eliminate Fraud, a whole-of-government effort chaired by Vice President J.D. Vance to eliminate fraud, waste, and abuse within Federal benefit programs.
An indictment, information, or complaint is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
###The U.S. Attorney’s Office for the Western District of Missouri Joins DOJ’s Fraud Division, SBA and SBA OIG in COVID-Era Loan Takedown Targeting $245 Million in COVID Loan Fraud NationwideRead the Press Release
KANSAS CITY, Mo. – The U.S. Attorney’s Office for the Western District of Missouri has filed charges, secured pleas and sentences, and obtained civil judgments against 15 defendants, involving more than $60 million in actual or intended losses, with restitution nearing $800,000, as part of a nationwide enforcement action led by the Justice Department’s National Fraud Enforcement Division, the Small Business Administration (SBA), and the SBA Office of Inspector General (SBA-OIG), targeting fraud in the SBA’s Paycheck Protection Program (PPP). The Western District of Missouri was a key participant in this surge effort.
From June 12 to September 1, 2026, SBA-OIG and federal prosecutors in the Fraud Division and across over 40 U.S. Attorney’s Offices, with assistance from various partners, obtained felony charges against nearly 80 fraud defendants responsible for approximately $100 million dollars in intended loss to the United States. These charges target a range of individuals who allegedly exploited COVID-era SBA loan programs at the height of the pandemic.Beyond newly charged defendants, as part of Operation No Doze, approximately 43 defendants pleaded guilty to SBA-related COVID fraud, reaching approximately $44 million in intended loss. And approximately 40 defendants were sentenced for SBA-related COVID fraud, reaching nearly $100 million in intended loss. Together, this targeted surge resulted in fraud enforcement actions spanning over 160 criminal defendants and involved approximately $245 million dollars in intended loss to American taxpayers.
Operation No Doze is a direct result of President Donald J. Trump’s creation of the National Fraud Enforcement Division at the DOJ, the first new division in the DOJ in twenty years.
“For the past two and a half months, we have been engaged in an all-out effort to combat fraudsters and scammers who steal from hardworking American taxpayers. These fraudsters harm individuals, families, businesses, and communities that rely on these programs,” said R. Matthew Price, U.S. Attorney for the Western District of Missouri. “Today’s announcement exemplifies what it means to stand united on the front lines of this fight. Working alongside our partners as one team, we will bring criminals to justice and return funds to the hands of the people who need and deserve them.”
“Pandemic loan relief was meant to keep American small businesses alive during government lockdowns—not line the pockets of fraudsters,” said Attorney General Todd Blanche. “The defendants charged during our summer surge allegedly fabricated businesses, submitted false payroll and revenue claims, stole identities, and concealed foreign ties on their applications— but they will now be prosecuted to the fullest extent of the law.”
“This summer surge shows what is possible when dedicated public servants across the country work together with a single purpose,” said Assistant Attorney General Colin M. McDonald of the National Fraud Enforcement Division. “Our mission is clear: protect taxpayer funds, safeguard the integrity of federal relief programs, and deliver justice to those who exploited them. We will remain steadfast every day—standing shoulder‑to‑shoulder with our partners—to identify fraud, pursue those responsible, and restore confidence in the programs meant to help American small businesses thrive.”
“Today’s announcement represents the largest-ever action against perpetrators of SBA fraud, with 870,000 suspended borrowers tied to $39 billion in suspected fraudulent PPP and COVID EIDL activity. In partnership with Vice President Vance and the White House Task Force to Eliminate Fraud, we’re putting fraudsters on notice: the federal government will no longer turn a blind eye to those who stole from taxpayers and exploited programs designed to sustain small businesses during the pandemic,” said SBA Administrator Kelly Loeffler. “With demand letters going out to suspected fraudsters, we’re also sending a clear message that they must repay their debts or face Treasury collections and possible federal law enforcement. Under this Administration, the free ride is over. We are restoring accountability, recovering taxpayer dollars, and protecting SBA programs for the legitimate small businesses they were created to serve.”
“Operation No Doze brings a focused and coordinated approach to pursuing fraud in SBA’s pandemic relief programs,” said SBA Inspector General William Kirk. “By concentrating our investigative resources and working closely with SBA and our law enforcement partners, we are strengthening our ability to identify fraud, recover taxpayer funds, and hold accountable those who exploited programs created to help small businesses in a time of extraordinary need. This initiative makes clear that the passage of time does not diminish our commitment to accountability.”
“We are proud to stand with our federal and state partners in rooting out criminal activity of all kinds, especially defrauding the public,” said Missouri Governor Mike Kehoe. “Fraud is not a victimless crime. Every dollar stolen is a dollar taken from hardworking taxpayers or from someone who depends on the programs those dollars are meant to support. In Missouri, we will continue working at every level to hold fraudsters accountable and protect those they seek to exploit.”
The following cases in the Western District of Missouri involved defendants who targeted government programs, attempting to divert funds intended to help Americans in need:
- Jaylen Bates, of Cass County Missouri. According to court records, while charged with felony distribution of a controlled substance, Bates fraudulently obtained $41,666 in SBA-PPP money, claiming to operate two businesses that did not exist.
- Jeffrey Christopher Benton, of Taney County, Missouri. Benton fraudulently obtained $125,308 in SBA-PPP money, according to court records. He claimed the money for a business that did not exist and spent funds on personal expenses.
- DeZhon Byrd, of Jackson County, Missouri. Byrd is alleged to have fraudulently obtained $20,832 in SBA-PPP money and claimed the funds for a business that did not exist. He spent the money on personal expenses.
- Brandon A. Garrett, of Jackson County, Missouri. Garrett fraudulently obtained $48,000 in SBA-PPP money, claiming the money was for two businesses that did not exist, court records show.
- D’Mario Gray, of Jackson County, Missouri. Gray allegedly set up a “foundation” in his name, with the sole purpose of obtaining $48,750 in SBA-PPP money by fraudulently claiming his foundation had been adversely impacted by COVID-19. The money went to personal expenses, including trips to Miami and Houston.
- Jamie William Gray, of Dade County, Missouri. Gray allegedly claimed to operate 19 separate businesses, including businesses focused on the pet industry. In total, Gray sought to fraudulently obtain $55,931.875.00 in SBA-PPP funds by filing 29 PPP and EIDL loans on the 19 businesses claiming that they were in operation prior to the COVID-19 pandemic. In every instance but one, none of the businesses claimed to be owned by Mr. Gray were in operation or existed. Gray effectively stole this company’s identity. Gray received $820,000 in SBA-PPP money because of the fraudulent activity.
- Matthew and Shasta Head of Texas County, Missouri allegedly claimed to run an outdoor service company, and grossly overinflated the number of employees they had. The Heads received $2,462.871 in fraudulent SBA-PPP funds.
- Dylan Gregory Neely, of Jasper County, Missouri created two businesses which paid no taxes, according to court documents. Neely listed employees who never worked for him, and the social security numbers that he listed were not associated with the people he listed as employees. Neely fraudulently obtained $399,308.93 in SBA-PPP funds.
- Sydney R. Washington, of Jackson County, Missouri fraudulently obtained $13,538 in PPP money, and the loan was later forgiven by the SBA, according to court documents.
- Justin Williams, of Jackson County, Missouri, is alleged to have fraudulently obtained $20,832 in SBA PPP money.
- Gregory Burns, of Jackson County, Missouri, allegedly admitted to working with two other people to fraudulently obtain $487,600 in SBA-PPP loans. Burns used his portion of the money to pay for personal expenses.
- Waylen Leslie, of Buchanan County, Missouri, admitted to fraudulently obtaining $471,100 in SBA-PPP loans. Leslie allegedly used the money to purchase crypto currency and other personal items.
- Aviance Shepard, of Jackon County, Missouri and Shawneasha Watson, of Jackson County, Missouri were sentenced and ordered to pay more than $20,000 each in restitution for fraudulent SBA-PPP loans.
- A settlement was reached with William Patrick Vogt and By the Blade, LLC. The defendants agreed to pay the sum of nearly $750,000 for fraudulently obtaining an SBA-PPP loan. Vogt applied for and received the PPP Loan and later applied for and received full forgiveness of the PPP Loan despite knowing that he was ineligible for the loan because he had previously pleaded guilty to a federal offense of felony tax fraud in the United States District Court for the Western District of Missouri.
Operation Show-Me the Money
To expand the state of Missouri’s collective ability to identify, investigate, and prosecute fraud, the Western District of Missouri, alongside Missouri Governor Mike Kehoe, Attorney General Catherine Hanaway, Secretary of State Denny Hoskins, and State Auditor Scott Fitzpatrick, announced the launch of Operation Show-Me the Money. This unprecedented collaborative effort between the State of Missouri and the Department of Justice will focus on protecting taxpayer dollars by prosecuting individuals and entities that defraud state benefit programs.
The focus of the initiative will be on state programs that distribute the $11.5 billion in federal funds Missouri receives to individuals and entities entitled under the law. The goal of Operation Show-Me the Money is to ensure taxpayer dollars reach the people and programs they were intended to support, while staying out of the hands of fraudsters.National Fraud Enforcement Division
On April 7, the Department of Justice announced the creation of the National Fraud Enforcement Division (“Fraud Division”). The Fraud Division is laser-focused on investigating and prosecuting those who commit fraud against the American people. The Department’s work to combat fraud supports President Trump’s Task Force to Eliminate Fraud, a whole-of-government effort chaired by Vice President J.D. Vance to eliminate fraud, waste, and abuse within Federal benefit programs.
An indictment, information, or complaint is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.- Jaylen Bates, of Cass County Missouri. According to court records, while charged with felony distribution of a controlled substance, Bates fraudulently obtained $41,666 in SBA-PPP money, claiming to operate two businesses that did not exist.
Six Gainesville Men Indicted for Dog Fighting OffensesRead the Press Release
Gainesville, Florida – Taurean Jaquan Servance, 24, Jarrett Abram Servance, 45, Jarrett Abram Servance Jr., 25, Terry Lajace Lee, 44, Christopher Eugene Thompson, 56, and Clinton Thomas, 43, all of Gainesville, Florida, have been indicted in federal court for conspiracy to violate the Animal Welfare Act. In addition, Thompson has been indicted on 13 counts of possession of fighting dogs; Thomas has been indicted on 12 counts of possession of fighting dogs; Taurean Servance and Jarrett Servance Jr. have been indicted on 11 counts of possession of fighting dogs; and Jarrett Servance has been indicted on 6 counts of possession of fighting dogs. John P. Heekin, United States Attorney for the Northern District of Florida, announced the charges.
Jury trial for all defendants is scheduled for October 21, 2026, before Chief District Court Judge Allen C. Winsor in Gainesville, Florida.
The penalty for each count charged is a maximum of 5 years’ imprisonment.
The case was jointly investigated by the United States Department of Agriculture – Office of Inspector General, the Gainesville Police Department, Alachua County Sherriff’s Office, and Alachua County Animal Resources. The case is being prosecuted by Assistant United States Attorney Adam Hapner.
An indictment is merely an allegation by a grand jury that a defendant has committed a violation of federal criminal law and is not evidence of guilt. All defendants are presumed innocent and entitled to a fair trial, during which it will be the government’s burden to prove guilt beyond a reasonable doubt at trial.
The United States Attorney’s Office for the Northern District of Florida is one of 94 offices that serve as the nation’s principal litigators under the direction of the Attorney General. To access public court documents online, please visit the U.S. District Court for the Northern District of Florida website. For more information about the United States Attorney’s Office, Northern District of Florida, visit https://www.justice.gov/usao-ndfl.
Six Charged in California, Kansas, and Louisiana for Illegally Voting, Fraudulent Voter Registration, and Identity FraudRead the Press Release
Last week, an individual in California was arrested and two others were charged for paying people on Skid Row in downtown Los Angeles to sign petitions using stolen identities of registered voters to qualify initiatives on ballots in California elections. Two aliens living in Kansas, and Louisiana were charged for illegally voting. And an individual in Louisiana was charged with fraudulently registering to vote an ineligible voter.
“If you are gaming the election system, voting illegally, or committing voter fraud, you are breaking the law, and the Department will ensure such individuals cannot corrupt future elections,” said Attorney General Todd Blanche. “The integrity of our elections is fundamental to our democracy, and those who seek to undermine it will be charged accordingly.”
“Protecting election integrity for the American people is one of the top priorities for this FBI,” said FBI Director Kash Patel. “Every American citizen has a right to free and fair elections — and we will not hesitate to use all available resources to investigate every credible allegation of election fraud and illegal voting.”
“Two aliens in Kansas and Louisiana are charged with illegally voting,” said Secretary of Homeland Security Markwayne Mullin. “Voter fraud is already a serious problem, but non-citizens voting is even worse. Every time a non-citizen casts a ballot, it steals a vote from an American citizen. Thanks to our partners at the Department of Justice, these aliens and other suspects accused of voter fraud will face justice and can no longer poison our election processes. Only Americans should be allowed to decide America’s future and elect America’s leaders.”
“These defendants are charged with using stolen identities of registered voters to manufacture signatures on ballot petitions used to shape California law,” said First Assistant U.S. Attorney Bill Essayli for the Central District of California. “They allegedly used people, including members of Skid Row’s vulnerable homeless population, to try to cover up their tracks. The charged conduct undermines the confidence voters have in our election systems, and we will vigorously investigate and charge anyone involved.”
“The Department of Justice remains committed to protecting election integrity and is actively investigating and prosecuting these cases,” said U.S. Attorney Ryan A. Kriegshauser for the District of Kansas. “With another election looming, the Department’s effort serves as a stark reminder to individuals who are not legally authorized to vote not to engage in this conduct. Should individuals be determined by a court of law to have illegally claimed U.S. citizenship and voted or attempted to vote in federal elections, they will face serious criminal consequences.”
“Protecting the integrity of Louisiana’s elections — and our national elections — is essential to protecting our constitutional republic,” said U.S. Attorney Zachary A. Keller for the Western District of Louisiana. “The right to vote is sacred. When individuals undermine that process through fraud or abuse, they threaten the public’s confidence in a fair and lawful election system. Our Office will continue to safeguard the sanctity of the vote and hold accountable those who violate our laws.”
Central District of California
James Brass, 47, also known as “Lord,” of Victorville, California, was arrested last week on a federal grand jury indictment charging him and two other defendants with paying people on Skid Row in downtown Los Angeles to sign petitions using stolen identities of registered voters to qualify initiatives on ballots in California elections.
Also charged in the two-count indictment were two petition circulators who worked for Brass: Courtney Price, 49, of Jacksonville, Florida, and Jateisha Herron, 33, of Boron, California.
All three defendants were charged with one count of conspiracy to commit identity fraud in furtherance of a state felony. Brass and Price were charged with an additional count of identity fraud in furtherance of a state felony.
According to court documents, California’s constitution contains a process for direct democracy in which state voters can bypass the California State Legislature and enact laws or constitutional amendments directly through the ballot initiative process.
To qualify an initiative for inclusion on a ballot in 2026, an initiative’s proponent was required to submit 546,651 signatures to place a proposed statute on the ballot, and 874,641 signatures to place a proposed constitutional amendment on the ballot. An initiative’s proponent had up to 180 days to gather these signatures and needed to submit them no later than 130 days before the date of an election.
Given the large number of signatures required in such a short period of time, proponents of initiatives typically hired petition management companies to gather the signatures. These companies charge significant fees and set a price for each signature gathered, contracting with outside individuals to collect signatures.
According to the indictment that a federal grand jury returned yesterday, Brass managed a team of signature collectors and collected signatures himself while Price and Herron were signature collectors who worked for Brass. From February to August, the defendants used a database to identify registered California voters. On Skid Row, Brass and Price handed out these voters’ stolen identities and paid petition signers to copy the voters’ personal information onto ballot initiative petitions and fraudulently sign the petitions in those voters’ names.
After the petitions were signed, Brass and Herron signed declarations at the bottom of the petitions, falsely declaring under penalty of perjury that they personally witnessed the named registered voters sign the petitions and that each signature was, to the best of their knowledge, “the genuine signature of the person whose name it purports to be.”
Brass and Herron then turned in the bogus petitions to several petition coordinators, knowing the false representations regarding the signatures’ authenticity would result in false and fraudulent signatures being counted in connection with the effort to place the initiative at issue on the ballot.
Brass further knew the false representations about the signatures’ authenticity would result in payments to him from a petition management company.
In total, Brass received approximately $41,600 from coordinators working with one such petition management company.
If convicted, Brass, Price, and Herron each face a maximum penalty of five years in prison for each count.
The FBI is investigating this matter with assistance from special agents of the U.S. Attorney’s Office for the Central District of California.
Assistant U.S. Attorneys Nandor F.R. Kiss and Michael G. Wheat for the Central District of California are prosecuting this case.
District of Kansas
A federal grand jury in Wichita, Kansas, returned an indictment charging Mariana Alexandra Dewey, 24, a Peruvian national and permanent resident of the United States, with multiple criminal offenses arising from allegedly voting in a federal election despite not being a U.S. citizen.
According to court documents, Dewey was charged with one count of false claim of citizenship, one count of false claim of United States citizenship in order to vote, one count of fraudulent election conduct, and one count of voting by an alien in a federal election.
In November 2024, Dewey allegedly falsely represented herself to be a U.S. citizen to register to vote in an election that included federal, state, and local offices. She is further accused of casting a ballot that included candidates for U.S. President, Vice President, Senate, and House of Representatives after falsely certifying that she was a U.S. citizen and eligible to vote.
Dewey’s initial court appearance is scheduled for today.
Homeland Security Investigations (HSI) is investigating the case.
Assistant U.S. Attorney Larry Fadler for the District of Kansas is prosecuting the case.
Western District of Louisiana
Last week, a federal grand jury returned an indictment charging Bridget Johnson, 53, of Cotton Valley, Louisiana, with Fraudulent Voter Registration and Voting by an Alien, and Michael Wedderburn, 52, of Jamaica, with Voting by an Alien.
According to court documents, Johnson was a resident of Webster Parish and a candidate in the 2024 election for mayor of Cotton Valley. Wedderburn is a non‑citizen alien in the United States and was ineligible to vote in Louisiana elections.
On July 14, 2024, Johnson allegedly completed and electronically submitted a Louisiana voter registration application in Wedderburn’s name, falsely stating that he was a U.S. citizen. The indictment also alleges that Wedderburn subsequently voted illegally in the Nov. 5, 2024, election for a federal office, and in the Cotton Valley mayoral race.
U.S. Attorney Zachary A. Keller for the Western District of Louisiana made the announcement.
The FBI investigated this case with assistance from the Louisiana Secretary of State’s Office.
Assistant U.S. Attorneys Seth D. Reeg and Alexandra Porubsky are prosecuting the case with assistance from Legal Assistant Ginger Green.
If convicted, Johnson faces a maximum penalty of five years in prison and Wedderburn faces a maximum penalty of one year in prison as well as additional financial penalties.
An indictment merely contains accusations. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Significant federal prison sentence handed down for drug-related chargesRead the Press Release
SAVANNAH, Georgia: A Georgia man has been sentenced to prison following a drug-related plea agreement.
The sentence was imposed by U.S. District Court Chief Judge R. Stan Baker and announced by Margaret E. “Meg” Heap, U.S. Attorney for the Southern District of Georgia.
Kurtis Narada Jones, 46, of Riceboro, Georgia, was sentenced to 120 months in prison followed by three years of supervised release after pleading guilty to Possession with Intent to Distribute 248 grams of MDMA (3,4-methylenedioxymethamphetamine).
There is no parole in the federal system.
According to court documents and testimony, investigators with Homeland Security Investigations, acting in conjunction with the U.S. Postal Investigation Service, conducted a search of Jones’s residence where large quantities of cocaine, methamphetamine and MDMA were discovered. Additionally, evidence of narcotics distribution was also present in the defendant’s bedroom, including pill presses, narcotics cutting agents, digital scales, plastic bags, and a vacuum sealer.
“The agencies involved in this investigation should be commended for their roles in identifying this drug trafficking operation that endangered our communities,” said U.S. Attorney Heap. “Let this message be clear: Those who traffic narcotics in our communities will be identified, prosecuted and brought to justice.”
Homeland Security Investigations, U.S. Postal Investigation Service, U.S. Customs and Border Protection, and Liberty County Sheriff’s Office assisted in the investigation of this case.
“Drug trafficking organizations exploit every opportunity to push dangerous narcotics into our communities, and this sentence demonstrates the serious consequences awaiting those who do,” said Ellen Johnson, Acting Special Agent in Charge of HSI in Georgia and Alabama. “HSI is proud to work alongside our federal, state, and local partners to identify, investigate, and dismantle criminal networks that threaten public safety.”
“The sentencing demonstrates the commitment by Postal Inspectors and our law enforcement partners to dismantle criminal enterprises trying to utilize the mail system for illegal activities,” said Rodney M. Hopkins, Inspector in Charge of the Atlanta Division. “We are committed to hold individuals accountable for poisoning communities with dangerous drugs.”
This case was prosecuted for the United States by Southern District of Georgia Assistant U.S. Attorney Ryan Bondura and Special Assistant U.S. Attorney Lauren C. Olsen.
September Federal Grand Jury 2026-A Indictments AnnouncedRead the Press Release
United States Attorney Christopher J. Nassar today announced the results of the September Federal Grand Jury 2026-A Indictments.
The following individuals have been charged with violations of United States law in indictments returned by the Grand Jury. The return of an indictment is a method of informing a defendant of alleged violations of federal law, which must be proven in a court of law beyond a reasonable doubt to overcome a defendant’s presumption of innocence.
Dorryien Laron Adams. Felon in Possession of a Firearm and Ammunition. Adams, 20, of Tulsa, is charged with possessing a firearm and ammunition, knowing he was previously convicted of a felony. The Bureau of Alcohol, Tobacco, Firearms and Explosives and the Tulsa Police Department are the investigative agencies. Assistant U.S. Attorney Augustus Forster is prosecuting the case. 26-CR-325
Alexander Blanchard. Robbery in Indian Country (Count 1 & 3); Assault with Intent to Commit a Felony in Indian Country (Count 2); Carrying, Using, and Brandishing a Firearm During and in Relation to a Crime of Violence (Count 4). Blanchard, AGE, of Broken Arrow and a member of the Ponca Tribe of Indians of Oklahoma, is charged with taking property of value by force, violence, and intimidation from the victim and in front of a minor child. He assaulted a minor child with intent to commit a felony and knowingly brandished a firearm during a crime of violence. The Tulsa Police Department is the investigative agency. Assistant U.S. Attorney Stephen Flynn is prosecuting the case. 26-CR-326
Maddox Isaiah Cummings. False Statement to Acquire a Firearm. Cummings, 21, of Las Vegas, Nevada, is charged with attempting to purchase a firearm while claiming that he was not currently under indictment and had never been convicted of a felony, when in fact those statements were false. The Bureau of Alcohol, Tobacco, Firearms and Explosives is the investigative agency. Assistant U.S. Attorney John W. Dowdell is prosecuting the case. 26-CR-338
Jacob Kyle Davis. Coercion and Enticement of a Minor Child. Davis, 45, of Tahlequah, is charged with knowingly attempting to persuade and entice a minor child to engage in sexually explicit activity. The FBI and the United Keetoowah Band Lighthorse Tribal Police are the investigative agencies. Assistant U.S. Attorney Stephanie Ihler is prosecuting the case. 26-CR-327
Ana Yuridia Garcia Dominguez. Unlawful Reentry of a Removed Alien. Garcia Dominguez, 41, a Mexican national, is charged with unlawfully reentering the United States after having been previously removed in 2005. Homeland Security Investigations is the investigative agency. Assistant U.S. Attorney Jack Osborn is prosecuting the case. 26-CR-328
Bermain Hernandez Mendez. Unlawful Reentry of a Removed Alien. Hernandez Mendez, 37, a Mexican national, is charged with unlawfully reentering the United States after having been previously removed in 2013 and twice in 2014. Homeland Security Investigations is the investigative agency. Assistant U.S. Attorney Jorge Diaz-Guma is prosecuting the case. 26-CR-339
Oscar Anibal Hernandez Ramos. Unlawful Reentry of a Removed Alien. Hernandez Ramos, 31, a Guatemalan national, is charged with unlawfully reentering the United States after having been previously removed in 2015 and 2016. Homeland Security Investigations is the investigative agency. Assistant U.S. Attorney Kevin Keller is prosecuting the case. 26-CR-332
Eliakin Hernandez Santiago. Unlawful Reentry of a Removed Alien. Hernandez Santiago, 30, a Mexican national, is charged with unlawfully reentering the United States after having been previously removed in 2024. Homeland Security Investigations is the investigative agency. Assistant U.S. Attorney Jorge Diaz-Guma is prosecuting the case. 26-CR-333
Devion Ronte Long. Assault Resulting in Serious Bodily Injury in Indian Country; Assault by Striking, Beating, and Wounding in Indian Country (Misdemeanor). Long, 25, of Tulsa and a member of the Seminole Nation of Oklahoma, is charged with assaulting the victim in Feb. 2026, which resulted in serious bodily injury. He is additionally charged with assaulting and wounding the victim in Mar. 2026. The FBI, the Owasso Police Department, and the Tulsa Police Department are the investigative agencies. Assistant U.S. Attorney Chris Kelly is prosecuting the case. 26-CR-331
Jesus Eden Lopez Guerreo. Unlawful Reentry of a Removed Alien. Lopez Guerro, 42, a Mexican national, is charged with unlawfully reentering the United States after having been previously removed in 2023. Homeland Security Investigations is the investigative agency. Assistant U.S. Attorney Trevion Freeman is prosecuting the case. 26-CR-330
Joshua Breyden Perales. Attempted Coercion and Enticement of a Minor; Travel with Intent to Engage in Illicit Sexual Conduct; Possession of Child Pornography. Perales, 24, of Siloam Springs, Arkansas, is charged with attempting to coerce and entice a person he believed was under 18 years old to engage in sexually explicit conduct. He is additionally charged with traveling from Arkansas to Tulsa to engage in illicit sexual conduct. Additionally, Perales is charged with knowingly possessing images and videos depicting the sexual abuse of children under 12 years old. Homeland Security Investigations and the Broken Arrow Police Department are the investigative agencies, with assistance from the Siloam Springs Police Department. Assistant U.S. Attorney Ashley Robert is prosecuting the case. 26-CR-340
Oscar Manuel Sanchez Garcia. Unlawful Reentry of a Removed Alien. Sanchez Garcia, 37, a Mexican national, is charged with unlawfully reentering the United States after having been previously removed in 2012. Homeland Security Investigations is the investigative agency. Assistant U.S. Attorney Kevin Keller is prosecuting the case. 26-CR-329
Abraham James Yahv Simmers, II. Assault with a Dangerous Weapon with Intent to do Bodily Harm in Indian Country; Destruction of Property Within Indian Country; Carrying, Using, Brandishing, and Discharging a Firearm During and in Relation to a Crime of Violence. Simmers, 22, of Tulsa and a member of the Muscogee Creek Nation, is charged with assaulting the victim with a firearm and with intent to do bodily injury. He maliciously and willfully destroyed and damaged real property belonging to the victim. Further, Simmers is charged with discharging a firearm during a crime of violence. The FBI and the Tulsa Police Department are the investigative agencies. Assistant U.S. Attorney Aaron Jolly is prosecuting the case. 26-CR-341
Christopher Ryan Stafford. Kidnapping in Indian Country; Assault of a Spouse, Intimate Partner, and Dating Partner by Strangling in Indian Country; Witness Tampering by Use and Threat of Physical Force. Stafford, 33, of Tulsa and a member of the Muscogee Creek Nation, is charged with unlawfully seizing and confining the victim against her will and strangling her. He knowingly used physical force and threats to prevent the victim from communicating with law enforcement or the judge in federal proceedings. The FBI and the Tulsa Police Department are the investigative agencies. Assistant U.S. Attorney Blithe Cravens is prosecuting the case. 26-CR-334
Ramiro Vergara Urquiza. Alien Unlawfully in the United States in Possession of Firearms; Unlawful Reentry of a Removed Alien; Drug Conspiracy; Maintaining a Drug-Involved Premises (superseding). Vergara Urquiza, 52, a Mexican national, is charged with possessing a firearm, knowing he was unlawfully residing in the United States. He is charged with unlawfully reentering the United States after previously being removed in March 2023. Vergara Urquiza is charged with conspiring to distribute methamphetamine and knowingly maintaining a home for the purpose of drug distribution. Homeland Security Investigations and the Bureau of Alcohol, Tobacco, Firearms and Explosives are the investigative agencies. Assistant U.S. Attorney Niko Boulieris is prosecuting the case. 26-CR-142
Slayton Derek Vincent. Possession of Child Pornography in Indian Country. Vincent, 28, of Locust Grove, is charged with possessing visual images and videos depicting the sexual abuse of children under 12 years old. Homeland Security Investigations and the Cherokee Nation Marshal Service are the investigative agencies. Assistant U.S. Attorney Ashley Robert is prosecuting the case. 26-CR-335
Camille Jordan Winchester; Torrey Leann Cantrell; Shawn Richard Christie. Production of Child Pornography (Counts 1 & 4); Possession of Child Pornography (Count 2); Sexual Abuse of a Minor in Indian Country (Count 3); Aggravated Sexual Abuse of a Minor Under 12 Years of Age in Indian Country (Count 5); Child Neglect in Indian Country (Count 6) (second superseding). Winchester, 36, of Mounds and a member of the Cherokee Nation, and Cantrell, 33, of Mounds, are charged with using a minor child to engage in sexually explicit conduct for the purpose of producing a visual depiction of child sexual abuse material. Additionally, Winchester is charged with possessing visual images and videos depicting the sexual abuse of children and knowingly engaging in a sexually explicit act with a child under 12 years old. Cantrell is additionally charged with engaging in a sexual act with a minor child under 12 years old. Christie, 36, of Mounds and a member of the Cherokee Nation, is charged with willfully neglecting the health, safety, and welfare of a minor child. The FBI and the Tulsa Police Department are the investigative agencies. Assistant U.S. Attorney Alicia Hockenbury is prosecuting the case. 26-CR-183
Seattle man who recruited and armed juveniles for a string of marijuana dispensary robberies sentenced to 17-years in prisonRead the Press Release
Seattle – A 26-year-old Seattle man was sentenced late Friday September 11th, in U.S. District Cout in Seattle to 17 years in prison for armed bank robbery, robbery, and conspiracy to commit robbery, announced First Assistant U.S. Attorney Charles Neil Floyd. Michael Keylon Miller-Jimerson pleaded guilty in February 2026 to a leadership role in a series of violent marijuana dispensary robberies and bank robberies between December 2021 and June 2022. In one of the marijuana shop robberies a worker was killed when he was shot by one of the juveniles that Miller-Jimerson was working with. At the sentencing hearing U.S. District Judge Lauren King said, “You and others went on a violent crime spree, terrorizing the community for your own personal gain. You used juveniles… to commit the most dangerous part of the offenses. And you didn’t stop after a man lost his life. A lengthy sentence is needed to protect the community.”
“This defendant recruited juveniles to do his dirty work, perhaps in the mistaken belief that it would insulate him from criminal responsibility – clearly it did not,” said First Assistant U.S. Attorney Neil Floyd. “His actions caused terror for store clerks and bank tellers and cost one young man his life. A 17-year federal sentence is needed to protect the public and hold him accountable.”
“For almost six months, Miller-Jimerson and his armed co-conspirators stormed through businesses around the Puget Sound region," said W. Mike Herrington, Special Agent in Charge of the FBI Seattle field office. "By recruiting vulnerable children, arming them, and training them to commit dangerous crimes, Miller-Jimerson and another adult co-conspirator sought to minimize their own criminal liability while they shared in the proceeds, including tens of thousands of dollars of stolen cash. This conduct was epitomized on March 19, 2022, when Miller-Jimerson waited in a vehicle outside as an employee of a marijuana dispensary in Tacoma, Washington lay dying, shot by a 15-year-old co-conspirator during a robbery gone wrong. This sentencing sends a clear message: adults who exploit juveniles to act on their behalf will be targeted for federal prosecution. Together with our partners, FBI Seattle will continue to combat violent crime in its many forms.”
According to records filed in the case, On December 24, 2021, Miller-Jimerson, Shannon Hartfield, and Danesxy Ortega robbed Greenworks and Greenfire marijuana dispensaries in Seattle, Washington. Miller-Jimerson was the getaway driver for these armed, take-over style robberies. A series of other marijuana dispensary robberies followed with Miller-Jimerson and Hartfield picking targets, recruiting juvenile robbers, and acting as the getaway drivers. On January 21, 2022, they robbed Zips Dispensary in Tacoma, on March 11, Miller-Jimerson provided a firearm to a juvenile for the robbery of Lucid Cannabis in Auburn and the West Seattle Dispensary. On March 19, Miller-Jimerson had armed juveniles rob the Bakeree dispensary in Seattle. One of the juveniles fired a shot in the air in that robbery. Miller-Jimerson traveled with the robbery crew to Tacoma where the juveniles robbed World of Weed. Miller-Jimerson waited outside as the getaway driver. An employee of the World of Weed was shot and killed during the robbery.
Following that shooting, Miller-Jimerson switched from robbing dispensaries to robbing banks. In June 2022, Miller-Jimerson and his coconspirator Hartfield sent juveniles into a Seattle Chase Bank branch. They were unsuccessful in robbing that bank, so they went to the Salal Credit Union, brandished guns and forced employees to unlock safes. The final robbery in the string was June 17, 2022, of a Chase branch again in Seattle.
Coconspirator Shannon Hartfield was convicted in May 2026 of 17 federal felonies from the bank robbery scheme.
In asking for a 17-year-sentence Assistant United States Attorney Kristine Foerster wrote to the court, “Miller-Jimerson and others went on a violent crime spree, robbing multiple marijuana dispensaries and banks throughout the end of 2021 and the first half of 2022. Miller-Jimerson and Shannon Hartfield used juveniles to commit many of their crimes, finding the juveniles easy to control and believing that the juveniles would face lower penalties. During each robbery, Miller-Jimerson knew that his accomplices were armed with firearms and that they intended to use them. He knew that the juveniles and young adults he sent in to commit these robberies would brandish the guns, threatening the victims while demanding money. And even after a man lost his life during one of these robberies, Miller-Jimerson didn’t stop.”
Miller-Jimerson’s federal time will run concurrently with the 15-year sentence he received in Pierce County Superior Court.
Judge King imposed five years of supervised release to follow prison and ended her sentencing hearing addressing the victims:
“The defendants not only stole marijuana and the victims’ tip money, but they also left victims with lasting emotional consequences. Many of these individuals continue to cope with fear, anxiety, and the disruption to their lives caused by the defendants. The impact of these crimes is likely to remain with the victims for years to come… But I want to emphasize that it’s very meaningful to the Court that various victims have shared their experiences with the victim witness coordinator, spoke with law enforcement about the crimes, and summoned the courage necessary to testify at trial…. By taking these actions, the victims have helped ensure that these kinds of crimes are prevented from happening to others, not just at the hands of the various defendants who have been prosecuted in state and federal courts for these crimes with the help of victim statements, but also in the form of deterring other would-be offenders from engaging in these types of crimes.”
The case was investigated by the FBI with significant assistance from Seattle Police Department, Tacoma Police Department, Tukwila Police Department, Kent Police Department, King County Sherriff’s Office, and Auburn Police Department.
The case is being prosecuted by Assistant United Stats Attorney’s Kristine Foerster and Amanda McDowell.
Santa Maria Man Pleads Guilty to Bombing Santa Barbara County Courthouse in Retaliation for Law Enforcement Seizing His FirearmsRead the Press Release
RIVERSIDE, California – A Santa Barbara County man pleaded guilty today to detonating a bomb at a Santa Maria courthouse in 2024, an attack that injured three people, damaged the building, and was intended to kill law enforcement officers in retaliation for local law enforcement seizing his firearms earlier that year.
Nathaniel James McGuire, 22, of Santa Maria, pleaded guilty to one count of use of a weapon of mass destruction and one count of malicious destruction of a building using an explosive.
McGuire has been in federal custody since September 2024.
“This defendant’s brazen act of terror resulted in physical, structural, and emotional harm, and could have had tragic consequences,” said First Assistant United States Attorney Bill Essayli. “Individuals who use bombs against law enforcement officials, judges, and other government personnel must be held accountable and face severe punishment for their actions.”
“McGuire launched a vicious, terroristic assault on a court of law with the intent to kill law enforcement officers and a judge,” said Assistant Attorney General for National Security John A. Eisenberg. “His attack injured three people and, were it not for the quick action of court security and law enforcement, it could have been far worse. McGuire will now face the consequences of his actions.”
“Using violence to persuade others is never the answer,” said Patrick Grandy, the Assistant Director in Charge of the FBI’s Los Angeles Field Office. “Innocent lives were put at risk when this brazen act of domestic terrorism was perpetrated. I’m proud of the work of our investigators and prosecutors in this case and am confident this will serve as a deterrent to anyone contemplating similar vicious acts.”
According to his plea agreement, on September 24, 2024, McGuire intentionally detonated a bomb in the Santa Maria courthouse, which serves the Santa Barbara County Superior Court.
McGuire walked in the door of the courthouse and threw a backpack containing an explosive device past the courthouse’s security screening device and towards Santa Barbara County sheriff’s deputies. The bomb slid between a victim’s legs and detonated in the building outside a courtroom. Five people were hospitalized and released the same day. The bomb resulted in personal injuries to three victims.
McGuire admitted in his plea agreement that he detonated the bomb with the intent to kill the sheriff’s deputies.
After the bomb exploded, McGuire left to retrieve from his vehicle two long guns and 10 Molotov cocktails and intended to re-enter the courthouse to kill sheriff’s deputies and “splatter” (kill) a judge. A courthouse security guard and several law enforcement officers stopped McGuire at his vehicle.
McGuire admitted to maliciously damaging the courthouse, which sustained approximately $35,000 in damage and had to be closed for several days.
He also admitted to detonating the bomb at the courthouse in retaliation for various alleged government wrongs, including Santa Barbara County sheriff’s deputies seizing his firearms earlier that year.
A search of McGuire’s residence resulted in the seizure of other materials related to his bomb making.
United States District Judge Jesus G. Bernal scheduled a March 1, 2027, sentencing hearing, at which time McGuire will face a statutory maximum sentence of life in federal prison.
The FBI’s Joint Terrorism Task Force, the Santa Barbara County Sheriff’s Office, and Santa Maria Police Department are investigating this matter.
Assistant United States Attorneys Mark P. Takla of the Orange County Office, and Kathrynne N. Seiden of the National Security Division are prosecuting this case with substantial assistance from Assistant United States Attorney Alexander Su of the Asset Forfeiture and Recovery Section, and Trial Attorney Patrick Cashman of the Counterterrorism Section in the Department of Justice’s National Security Division.
Russian National Pleads Guilty to Smuggling U.S. Aerospace Goods to RussiaRead the Press Release
Andrei Samuilovski, 32, who has citizenship in Estonia, Switzerland, and Russia, pleaded guilty today in connection with a scheme to illegally export U.S.-origin aviation and aerospace parts to Russia in violation of U.S. sanctions.
Samuilovski pleaded guilty before Judge Carl J. Nichols to a one count information charging him with conspiracy to violate the Export Control Reform Act. A sentencing date is scheduled for Jan. 13, 2027. Samuilovski faces a maximum penalty of 20 years in prison.
According to court documents, beginning in or around early 2022 and continuing through September 2024, Samuilovski and others conspired to supply prohibited Russian end users with aerospace-related components without first obtaining the required licenses from the Department of Commerce’s Bureau of Industry and Security (BIS). BIS regulates the export of U.S.-origin technologies, including aerospace parts and other items controlled for national security, regional stability, and anti-terrorism reasons. A license from BIS was required to export the aerospace commodities to Russia.
Samuilovski was a co-founder of ITC Middle East FZ-LLC (ITC). ITC was officially established in March of 2022, approximately four weeks after Russia’s invasion of Ukraine, which led to increased Russian export restrictions and sanctions imposed by the United States, European Union, and other countries.
Between the founding of ITC and September 2024, there were dozens of shipments from various U.S. companies to ITC, as well as other shipments of U.S.-origin goods to ITC. The U.S.-origin items exported or reexported consisted primarily of export-controlled aerospace-related commodities with a cumulative value of nearly $2,000,000. These items were ultimately reexported to Russia.
Assistant Attorney General for National Security John A. Eisenberg, U.S. Attorney Jeanine Ferris Pirro for the District of Columbia, and Assistant Director Roman Rozhavsky of the FBI’s Counterintelligence and Espionage Division made the announcement.
The investigation was conducted by the FBI and the BIS.
The matter is being prosecuted by Assistant U.S. Attorney Steven Wasserman for the District of Columbia and Deputy Chief Sean Heiden and Trial Attorney Brett Ruff of the Justice Department’s National Security Division.
Russian National Pleads Guilty to Smuggling U.S. Aerospace Goods to RussiaRead the Press Release
WASHINGTON — Andrei Samuilovski, 32, who has citizenship in Estonia, Switzerland and Russia, pleaded guilty today in connection with a scheme to illegally export U.S.-origin aviation and aerospace parts to Russia in violation of U.S. sanctions.
Samuilovski pleaded guilty before Judge Carl J. Nichols to a one count information charging him with conspiracy to violate the Export Control Reform Act. A sentencing date is scheduled for Jan. 13, 2027. Samuilovski faces a maximum penalty of 20 years in prison.
According to court documents, beginning in or around early 2022 and continuing through September 2024, Samuilovski and others conspired to supply prohibited Russian end users with aerospace-related components without first obtaining the required licenses from the Department of Commerce’s Bureau of Industry and Security (BIS). BIS regulates the export of U.S.-origin technologies, including aerospace parts and other items controlled for national security, regional stability, and anti-terrorism reasons. A license from BIS was required to export the aerospace commodities to Russia.
Samuilovski was a co-founder of ITC Middle East FZ-LLC (ITC). ITC was officially established in March of 2022, approximately four weeks after Russia’s invasion of Ukraine, which led to increased Russian export restrictions and sanctions imposed by the United States, European Union, and other countries.
Between the founding of ITC and September 2024, there were dozens of shipments from various U.S. companies to ITC, as well as other shipments of U.S.-origin goods to ITC. The U.S.-origin items exported or reexported consisted primarily of export-controlled aerospace-related commodities with a cumulative value of nearly $2,000,000. These items were ultimately reexported to Russia.
Assistant Attorney General for National Security John A. Eisenberg, U.S. Attorney Jeanine Ferris Pirro for the District of Columbia, and Assistant Director Roman Rozhavsky of the FBI’s Counterintelligence and Espionage Division made the announcement.
The investigation was conducted by the FBI and the BIS.
The matter is being prosecuted by Assistant U.S. Attorney Steven Wasserman for the District of Columbia and Deputy Chief Sean Heiden and Trial Attorney Brett Ruff of the Justice Department’s National Security Division.
26-cr-188
Registered Sex Offender Sentenced to 10 Years in Federal Prison for Attempted Online Coercion and Enticement of a MinorRead the Press Release
CHARLESTON, S.C. — Robert W. Nazzaro, 70, of Charleston, has been sentenced to 10 years in federal prison for attempted online coercion and enticement of a minor.
Evidence obtained in the investigation revealed that in July and August of 2023, Nazzaro identified two purported minors on Craigslist and began chatting with them. Those purported minors, identified online as a 13-year-old boy and a 14-year-old girl, were undercover law enforcement officers. Nazzaro acknowledged each of the purported minors’ ages and had sexually explicit conversations with them through email and text messages. He explained sexual concepts and discussed sexual preferences, asked for explicit photographs of each of the minors, and discussed the potential of meeting in the future. Nazzaro sent nude photographs to each purported minor as well as numerous links to pornography.
While engaged in this conduct, Nazzaro was a registered sex offender stemming from an April 2023 state conviction for sexual exploitation of a minor and dissemination of obscene material to a minor.
United States District Judge Bruce Howe Hendricks sentenced Robert W. Nazzaro to 120 months’ imprisonment, to be followed by a life term of court-ordered supervision. There is no parole in the federal system.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys' Offices and CEOS, Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit Justice.gov/PSC.
This case was investigated by Homeland Security Investigations, Charleston County Sheriff’s Office, and the South Carolina Attorney General’s Internet Crimes Against Children (ICAC) Task Force with assistance from the Charleston Police Department and Mount Pleasant Police Department. Assistant U.S. Attorney Dean H. Secor prosecuted the case.###
Perry Man Sent Back to Federal Prison for Second Drug Trafficking ConvictionRead the Press Release
Tallahassee, Florida – Nicholas Michael Freeman, 48, of Perry, Florida, was sentenced to 57 months in federal prison for possession with intent to distribute five grams or more of methamphetamine, cocaine, and cocaine base. The sentence was announced by John P. Heekin, United States Attorney for the Northern District of Florida.
U.S. Attorney Heekin said: “This repeat offender clearly did not learn his lesson from his prior stint in federal prison, so my office has sent him back behind bars to ensure he can’t continue to peddle deadly drugs on our streets. We will continue to aggressively prosecute any and all drug dealers operating in the Northern District of Florida to deliver on the promise of Operation Take Back America that our citizens deserve to live in safe, drug-free communities.”
Court documents reflect that a Perry Police Department officer speaking with a group of individuals around a burn barrel observed the defendant manipulating a plastic baggie commonly used for street sales of narcotics, containing what the officer believed to be a pill. The officer handcuffed the defendant removed the baggie from his pocket and determined that it actually contained a piece of crack cocaine. The defendant was arrested and officers searched the fanny pack he had been wearing, finding 57 small baggies containing methamphetamine, 99 small baggies containing crack and powder cocaine, and 25 small baggies and nine large sandwich style bags containing synthetic cannabinoids.
“Freeman has been engaged in serious criminal activity for more than three decades, with a lengthy history that includes convictions for lewd assault/sexual battery involving a victim under 16, cocaine sale and distribution offenses, and other drug-related crimes,” said Perry Police Department Chief James N. Cruse Jr. “This case is another example of the outstanding work performed every day by Perry Police Department officers. The patrol officer involved recognized what he was observing, acted lawfully and professionally, and conducted a thorough investigation that directly led to Freeman’s arrest and subsequent federal conviction. I commend the officer and all personnel involved for their attention to detail and commitment to protecting our community.”
The defendant’s federal sentence will begin after he serves a 30-month state sentence for violation of probation.
This is the second time the defendant has been sentenced to federal prison. The defendant was previously convicted in 2013 of possession with intent to distribute cocaine and cocaine base and sentenced to 84 months in federal prison.
“This repeat offender continues to traffic illicit and dangerous substances in Florida Pan Handle communities,” said DEA Special Agent in Charge Daniel Escobar, Tampa Field Division. “This area is a point of emphasis for our agents, which is reflected in the number of criminals we’ve brought to justice.”
The case involved an investigation by the Perry Police Department and the Drug Enforcement Administration. The case was prosecuted by Assistant United States Attorneys James A. McCain and Eric W. Welch.
This case is part of Operation Take Back America, a nationwide initiative that marshals the full resources of the Department of Justice to repel the invasion of illegal immigration, achieve the total elimination of cartels and transnational criminal organizations (TCOs), and protect our communities from the perpetrators of violent crime.
The United States Attorney’s Office for the Northern District of Florida is one of 94 offices that serve as the nation’s principal litigators under the direction of the Attorney General. To access public court documents online, please visit the U.S. District Court for the Northern District of Florida website. For more information about the United States Attorney’s Office, Northern District of Florida, visit https://www.justice.gov/usao-ndfl.
Oklahoma Pastor Pleads Guilty to Diverting Church Funds and Failing to Pay TaxesRead the Press Release
TULSA, Okla. – An Information was unsealed today, and former Senior Pastor Keith Rydell Mayes, Sr., 63, of Tulsa, pleaded guilty to Bank Fraud and Tax Evasion.
Mayes was hired as Senior Pastor of the historic Tulsa-based church, Vernon AME Church, in October 2021. Mayes was responsible for various church functions, including overseeing church finances and managing church donations, collections, and disbursements of funds. Shortly after joining the church, Mayes opened a new account at the bank titled, “Administrative Expenses.” He was the only authorized signer on the bank account and used his personal residence as the mailing address. Mayes then solicited, obtained, and deposited voluntary donations by others, including church members and charitable organizations, into the Administrative Expenses account.
In one instance, a church donor and the donor’s financial advisor contacted Mayes regarding a stock donation to the Church. After the conversation, Mayes opened a new brokerage account in the Church's name to enable receipt of the intended donation. Court documents show that Mayes received $365,000 in stock transfers from that donor in 2021 and 2022. Mayes then liquidated the proceeds, deposited the funds into the Church’s bank account, and embezzled most of the proceeds for his personal use.
From at least March 2022 through at least November 2025, Mayes embezzled more than $504,000. Court documents show that he used the money to support his gambling habits, pay personal expenses, and to purchase firearms. Mayes did not report this illegal income to the Internal Revenue Service, leaving him owing more than $205,000 in unpaid taxes.
The plea agreement filed today shows that Mayes agreed to forfeit the firearms and ammunition purchased with the fraudulent funds, and to repay $504,313.88 for all of his embezzlement activities, including $205,765.60 to the Internal Revenue Service.
After Mayes's appearance in court today, the judge released him on bond, where he is supervised by the United States Probation and Pretrial Service. A federal district court judge will schedule Mayes’ sentencing hearing for a later date.
The Federal Bureau of Investigation and the Internal Revenue Service Criminal Division are investigating the case. Assistant U.S. Attorney David D. Whipple is prosecuting the case.
Northern District of Florida Joins DOJ Fraud Division, SBA, and SBA OIG in Surge Takedown Exceeding $245 Million in COVID-era Loan FraudRead the Press Release
Joint national takedown: 40 U.S. Attorney’s Offices, along with 20 federal and state investigative agencies, participate in two-month enforcement surge.
Pensacola, Florida – The U.S. Attorney’s Office for the Northern District of Florida today announced an indictment as part of a nationwide enforcement action led by the Justice Department’s National Fraud Enforcement Division, the Small Business Administration (SBA), and the SBA Office of Inspector General targeting fraud in the SBA’s Paycheck Protection Program (PPP). The Northern District of Florida was a key participant in this surge effort.
From June 12 to September 1, federal prosecutors across the country facilitated fraud enforcement actions spanning over 160 criminal defendants, including approximately 80 newly charged defendants, reaching approximately $245 million dollars in intended loss to American taxpayers.
U.S. Attorney John P. Heekin said: “The Justice Department’s National Fraud Enforcement Division is answering the call to action issued by President Donald J. Trump and Vice President J.D. Vance to fulfill the fiduciary duty owed to the U.S taxpayer by our federal government. As evidenced by this indictment, my office is committed to zealously prosecuting frauds of all sizes through both criminal and civil enforcement as we restore the zero-tolerance threshold for fraud, waste, and abuse within federal programs.”
“Pandemic loan relief was meant to keep American small businesses alive during government lockdowns—not line the pockets of fraudsters,” said Attorney General Todd Blanche. “The defendants charged during our summer surge allegedly fabricated businesses, submitted false payroll and revenue claims, stole identities, and concealed foreign ties on their applications— but they will now be prosecuted to the fullest extent of the law.”
“This summer surge shows what is possible when dedicated public servants across the country work together with a single purpose,” said Assistant Attorney General Colin M. McDonald of the National Fraud Enforcement Division. “Our mission is clear: protect taxpayer funds, safeguard the integrity of federal relief programs, and deliver justice to those who exploited them. We will remain steadfast every day—standing shoulder-to-shoulder with our partners—to identify fraud, pursue those responsible, and restore confidence in the programs meant to help American small businesses thrive.”
“Today’s announcement represents the largest-ever action against perpetrators of SBA fraud, with 870,000 suspended borrowers tied to $39 billion in suspected fraudulent PPP and COVID EIDL activity. In partnership with Vice President Vance and the White House Task Force to Eliminate Fraud, we’re putting fraudsters on notice: the federal government will no longer turn a blind eye to those who stole from taxpayers and exploited programs designed to sustain small businesses during the pandemic,” said SBA Administrator Kelly Loeffler. “With demand letters going out to suspected fraudsters, we’re also sending a clear message that they must repay their debts or face Treasury collections and possible federal law enforcement. Under this Administration, the free ride is over. We are restoring accountability, recovering taxpayer dollars, and protecting SBA programs for the legitimate small businesses they were created to serve.”
“Operation No Doze brings a focused and coordinated approach to pursuing fraud in SBA’s pandemic relief programs,” said SBA Inspector General William Kirk. “By concentrating our investigative resources and working closely with SBA and our law enforcement partners, we are strengthening our ability to identify fraud, recover taxpayer funds, and hold accountable those who exploited programs created to help small businesses in a time of extraordinary need. This initiative makes clear that the passage of time does not diminish our commitment to accountability.”
In the Northern District of Florida, U.S. Attorney John P. Heekin announced that Ray Pearson has been charged with PPP-related fraud involving approximately $20,142.00 in alleged losses. As alleged in the indictment, the defendant submitted falsified 2019 tax information that materially misrepresented the gross income of a construction business in order to fraudulently obtain and attempt to obtain a loan from the Small Business Administration Paycheck Protection Program. If convicted, the defendant faces up to 20 years’ imprisonment and forfeiture of assets.
This case is being investigated by the United States Air Force, Office of Special Investigations. The case is being prosecuted by Assistant United States Attorneys Jessica S. Etherton and Walter E. Narramore.
An indictment is merely an allegation by a grand jury that a defendant has committed a violation of federal criminal law and is not evidence of guilt. All defendants are presumed innocent and entitled to a fair trial, during which it will be the government’s burden to prove guilt beyond a reasonable doubt at trial.
On April 7, the Department of Justice announced the creation of the National Fraud Enforcement Division (“Fraud Division”). The Fraud Division is laser-focused on investigating and prosecuting those who commit fraud against the American people. The Department’s work to combat fraud supports President Trump’s Task Force to Eliminate Fraud, a whole-of-government effort chaired by Vice President J.D. Vance to eliminate fraud, waste, and abuse within Federal benefit programs.
The United States Attorney’s Office for the Northern District of Florida is one of 94 offices that serve as the nation’s principal litigators under the direction of the Attorney General. To access public court documents online, please visit the U.S. District Court for the Northern District of Florida website. For more information about the United States Attorney’s Office, Northern District of Florida, visit https://www.justice.gov/usao-ndfl.
New Orleans Man Guilty of Conspiracy to Distribute 500 Grams or More of CocaineRead the Press Release
NEW ORLEANS, LOUISIANA – RAYNELL PEARSON (“PEARSON”), age 48, a resident of New Orleans, pled guilty on September 10, 2026 to conspiracy to distribute, and possess with the intent to distribute, 500 grams or more of cocaine, in violation of Title 21, United States Code, Sections 841(a)(1), (b)(1)(B), and 846, announced U.S. Attorney David I. Courcelle.
PEARSON faces a mandatory minimum term of 60 months imprisonment and a maximum term of imprisonment of 40 years, a fine up to $5,000,000.00, at least 4 years supervised release after his term of imprisonment, and a mandatory assessment fee of $100.00. According to court documents, the Government and PEARSON, however, entered into an 11(c)(1)(C) plea agreement, the terms of which call for an agreed upon sentence of 60 months imprisonment.
U.S. District Judge Carl J. Barbier will sentence PEARSON on December 17, 2026.
According to court documents, PEARSON was developed as a target after reviewing extensive phone evidence from another related drug trafficking investigation. The phone evidence contained extensive text messages, from February 10, 2022, to January 12, 2023, between PEARSON and a source of supply, which document the sale of 500 grams or more of cocaine to PEARSON by the source of supply during that period. PEARSON admitted that he intended to resell the cocaine to others.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives and the Jefferson Parish Sheriff’s Department. It is being prosecuted by Assistant United States Attorney Elizabeth Privitera of the Violent Crime Unit.
Project Safe Neighborhoods (PSN) is the Department of Justice’s nationwide initiative that brings federal, state, local, and tribal law enforcement, prosecutors, and other public safety partners together to coordinate efforts to combat violent crime and make communities safe. Coordinated by U.S. Attorneys’ offices in each of the 94 federal districts, PSN is tailored to particular communities to strategically address specific violent crime and public safety challenges. As a key component of Operation Take Back America, PSN serves a central role in the Department’s commitment to make our country safe. PSN emphasizes three core principles: rapid federal response to violent crime and criminal offenders; strong, strategic partnerships among law enforcement at all levels; and accountability and deterrence through the prosecution of the most serious, readily provable offenses and other strategies. These efforts complement and strengthen President Trump’s Homeland Security Task Forces, ensuring a comprehensive federal response to the most pressing public safety issues facing communities.
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New Jersey Woman Sentenced to 24 Months in Prison for Role in $9.1 Million COVID-19 Relief Fraud SchemeRead the Press Release
WILMINGTON, Del. – A New Jersey woman was sentenced on July 14, 2026, to 24 months in prison for conspiracy to commit bank fraud and conspiracy to commit money laundering. U.S. District Judge Jennifer L. Hall imposed the sentence.
According to court documents, Brigette Miller-Levy, 62, of Piscataway, NJ, owned a purported business called Royal Marketing Services, Inc. Miller-Levy conspired with Jady Solano and Carl Lawrence to submit a fraudulent application for a Paycheck Protection Program loan, a COVID‑19 relief program designed to safeguard jobs during the pandemic. The application falsely claimed that Royal Marketing Services employed 14 people with an average monthly payroll of over $120,000 and relied on a fabricated Internal Revenue Service (“IRS”) tax form reporting more than $1.4 million in fictitious wages.
Rather than stopping with her own illegal payout, Miller-Levy expanded the fraud ring by recruiting co-defendants Amber Baldwin and Anthony McKinzy into the scheme, connecting them to Lawrence and Solano to obtain similar fraudulent loans. In total, Miller-Levy’s actions caused a loss of $882,777.70 to the American taxpayer. She personally gained $329,100, which included her own loan proceeds and kickbacks from Baldwin and McKinzy. To conceal the theft, Miller-Levy and her co-conspirators laundered the stolen proceeds, funneling thousands of dollars in kickbacks to the scheme’s coordinators. In total, the scheme in which Miller-Levy and the individuals she recruited participated, led by Solano and Lawrence, fraudulently obtained approximately $9.1 million in pandemic relief funds.
“Congress established the Paycheck Protection Program to provide critical financial relief, keeping workers employed and small businesses afloat during an unprecedented crisis,” said U.S. Attorney Benjamin L. Wallace. “Rather than using these funds to sustain a real workforce, Brigette Miller-Levy treated the program as a personal windfall and recruited others into the conspiracy. Those who steal taxpayer dollars and recruit others to do so will spend time in federal prison. We are grateful to the FBI and IRS Criminal Investigation, for their diligent work in uncovering this network.”
“Brigette Miller-Levy’s greed and deceit are unconscionable. She and her coconspirators stole millions from American taxpayers by exploiting pandemic relief programs intended to help in an unprecedented crisis,” said FBI Baltimore Special Agent in Charge Jimmy Paul. “The FBI will continue to work closely with our partners to uncover these schemes and ensure those who abuse public trust are held accountable.”
“Bridgette Miller-Levy, in concert with others, engaged in a scheme to unlawfully exploit the Payroll Protection Program—a federal initiative designed to support small businesses during a national emergency,” said Yury Kruty, Special Agent in Charge of IRS-Criminal Investigation, Philadelphia Field Office. “The imposed sentence underscores our commitment to ensuring that individuals who defraud the government for personal gain are held fully accountable. We are honored to have collaborated with our federal law enforcement partners and the U.S. Attorney’s Office to bring this case to a successful resolution.”
Upon Miller-Levy’s release from prison, she will be required to serve three years of supervised release. The Court also ordered restitution in the amount of $882,777.70.
Agents of IRS Criminal Investigation, and the FBI Baltimore Field Office’s Wilmington Resident Agency investigated the case. U.S. Attorney Wallace and Assistant U.S. Attorney Bryan C. Williamson prosecuted the case.
On April 7, the Department of Justice announced the creation of the National Fraud Enforcement Division (“Fraud Division”). The Fraud Division is investigating and prosecuting those who commit fraud against the American people. The Department’s work to combat fraud supports President Trump’s Task Force to Eliminate Fraud, a whole-of-government effort chaired by Vice President J.D. Vance to eliminate fraud, waste, and abuse within Federal benefit programs.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the District of Delaware. Related court documents and information are located on the website of the District Court for the District of Delaware or on PACER by searching for Case No. 1:24-cr-109-JLH.
Months-Long, ATF-Led Operation in Louisville Results in Dozens of Indictments with Significant Firearms and Narcotics SeizuresRead the Press Release
Louisville, KY – Following an approximately two-month-long, ATF-led operation involving multiple state and federal agencies, dozens of defendants were recently arrested on federal and state charges. In addition, significant amounts of narcotics and numbers of firearms were seized and taken off the streets of Louisville.
U.S. Attorney Kyle G. Bumgarner of the Western District of Kentucky, Jefferson County Commonwealth’s Attorney Gerina D. Whethers, Special Agent in Charge John Nokes of the ATF Louisville Field Division, Special Agent in Charge Jim Scott of the DEA Louisville Field Division, Chief Paul L. Humphrey of the Louisville Metro Police Department, and U.S. Marshal Gary B. Burman of the of the U.S. Marshal Service for the Western District of Kentucky made the announcement.
This summer, Louisville ATF led a violent crime reduction initiative in Louisville. The Louisville ATF-led operation was in partnership with the U.S. Attorney’s Office for the Western District of Kentucky, the Jefferson County Commonwealth Attorney’s Office, the Louisville Metro Police Department, the Louisville DEA Field Division, the Louisville United States Marshal Service for the Western District of Kentucky, the Kentucky Attorney General’s Office, the Kentucky State Police, the Jeffersontown Police Department, the Shively Police Department, the Louisville Metro Department of Corrections and the Oldham County Department of Corrections.
The initiative focused on targeting gun traffickers who are selling guns to gang members and violent criminals and who also dispose of weapons used in violent crimes. The initiative also focused on drug traffickers working in neighborhoods with high violent crime rates.
This summer initiative was wildly successful. The initiative resulted in 43 federal indictments and 10 state indictments. Nearly 50 defendants were arrested as part of this initiative. Collectively, the defendants charged have well over 200 prior felony convictions, including multiple prior homicide convictions. Many of the charged defendants also have gang affiliations. The initiative seized 160 firearms from Louisville’s streets, including 42 machine-gun conversion devices which serve to convert a semi-automatic handgun into a machine-gun. This initiative also seized 10 kilograms of
illegal drugs, primarily including significant amounts of fentanyl and methamphetamine. Tragically, fentanyl and methamphetamine lead to death and destruction of individual lives and destroy communities.
“The amount of effort and coordination it took to plan and execute this violent crime reduction initiative cannot be understated. I want to extend my heartfelt gratitude to Louisville ATF for leading what was an incredibly successful violent crime reduction initiative. I also want to express a special thanks to Chief Paul Humphrey and the men and women of the Louisville Metro Police Department who willingly and effectively collaborated with ATF and our other federal law enforcement partners. I also want to voice my appreciation to Jefferson County Commonwealth Attorney Gerina Whethers and her prosecutors. We have such a strong partnership with Ms. Whethers’ office and that partnership is making Louisville a safer city. Simply put, the level of coordination and mutual respect between federal and local law enforcement in Louisville is unprecedented and it is paying significant dividends in reducing Louisville’s violent crime.” said U.S. Attorney Kyle G. Bumgarner. “We have more work to do but, as this initiative shows, we are willing to think outside the box and put in the long hours to make this community safe.”
ATF Special Agent in Charge John Nokes stated, “I am proud of the men and women of ATF’s Louisville Field Division and our federal and local law enforcement partners for all they accomplished in such a short period of time. By targeting individuals responsible for driving the violence in our communities, we are sending a clear message that those who threaten our neighborhoods will be held accountable. This operation is an example of what can be accomplished when we all work together for a common goal.”
“Drugs don't simply represent a public health or quality-of-life concern; illegal drug markets create environments where violence takes root,” said DEA Special Agent in Charge Jim Scott. “We know there is no single operation, arrest, or seizure that will solve every problem, but every successful joint effort sends an important message: our communities are not going to be abandoned, and those who profit from drugs and violence will face a coordinated response.”
LMPD Chief Paul L. Humphrey stated, “An operation of this magnitude required months of preparation, relentless investigative work, and incredible coordination with our local and federal partners. Together, we identified and arrested dozens of criminals and took dangerous drugs and guns used in crimes off our streets. This is what effective collaboration looks like, and it makes our entire community safer.”
This case is part of Operation Take Back America a nationwide initiative that marshals the full resources of the Department of Justice to repel the invasion of illegal immigration, achieve the total elimination of cartels and transnational criminal organizations (TCOs), and protect our communities from the perpetrators of violent crime.
An indictment or complaint is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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Miramar Man Pleads Guilty to Federal Child Exploitation ChargesRead the Press Release
Gainesville, Florida – Arthur Young, 23, of Miramar, Florida pleaded guilty in federal court to the sexual exploitation of children, producing child pornography, and possession of child pornography. John P. Heekin, United States Attorney for the Northern District of Florida, announced the plea today.
U.S. Attorney Heekin said: “Our children face unprecedented threats online from sexual predators seeking to sexually exploit and victimize them. It is vitally important for parents to be aware of those threats and what their kids are doing online to prevent them from being victimized. Keeping our kids safe, both online and in our communities, is a top priority for my office, and we will continue to aggressively prosecute these crimes to ensure predators, like this defendant, are locked away behind bars where they belong.”
Court documents reflect that between at least May 2024 and September 2024, the defendant communicated with a twelve-year-old child he met online. The defendant initiated multiple live video calls with her and, during these calls, used, induced, and persuaded her to engage in sexually explicit conduct. After the minor’s family reported the defendant’s misconduct to law enforcement, the subsequent investigation revealed that the defendant communicated online with over thirty other minors across multiple social media platforms. Law enforcement also recovered numerous files of child pornography on the defendant’s electronic devices.
Young faces a minimum term of fifteen years’ imprisonment, a maximum term of fifty years’ imprisonment, and a lifetime on supervised release.
Sentencing is scheduled before Chief United States District Judge Allen C. Winsor, in Gainesville, Florida on November 23, 2026, at 1:00 p.m.
The case was jointly investigated by Homeland Security Investigations, the Gainesville Police Department, and the Westminster (Colorado) Police Department. Assistant United States Attorney Adam Hapner is prosecuting the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys' Offices and CEOS, Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit Justice.gov/PSC.
The United States Attorney’s Office for the Northern District of Florida is one of 94 offices that serve as the nation’s principal litigators under the direction of the Attorney General. To access public court documents online, please visit the U.S. District Court for the Northern District of Florida website. For more information about the United States Attorney’s Office for the Northern District of Florida, visit https://www.justice.gov/usao-ndfl.
Manassas man sentenced to over two years in prison for $3.5M fraud schemeRead the Press Release
ALEXANDRIA, Va. – A Manassas man was sentenced on Sept. 11 to two years and nine months in prison for orchestrating a multi-year fraud scheme that defrauded approximately 100 victims of more than $3.5 million.
According to court documents, Alexander A. Olave, 35, operated AO Elite, a company that falsely advertised a “done-for-you” e-commerce business model, claiming the company had built hundreds of online storefronts that generated $112 million in revenue for clients, and could produce guaranteed profit margins. None of these representations were true. Olave also falsely bolstered AO Elite’s credibility by directing prospective customers to a testimonial video that had been filmed for an unrelated company.
Olave collected up-front fees from victims who sought to launch online businesses, in exchange for his promise to build and maintain their e-commerce storefronts. Victims never received the storefronts they were promised. Olave used customer funds to pay himself a salary and to lease luxury homes and vehicles. When victims inquired about the progress of their storefronts, Olave made false representations to delay refunds and conceal the fraud. After AO Elite ceased operations, Olave created two additional companies using the same fraudulent business model.
Theophani K. Stamos, First Assistant U.S. Attorney for the Eastern District of Virginia, and Jeffrey L. Tyler, Special Agent in Charge of the FBI Washington Field Office's Criminal Division, made the announcement after sentencing by Senior U.S. District Judge Anthony J. Trenga.
Assistant U.S. Attorney Robert McManigal prosecuted the case.
Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:26-CR-102.
Man Living Illegally in the U.S. Sentenced for Assaulting a Federal OfficerRead the Press Release
SAN DIEGO – Roberto Galeana-Guatemala, a Mexican national who was previously deported and living illegally in the U.S., was sentenced in federal court Friday to 33 months in prison for driving his vehicle into federal law enforcement officers and seriously injuring one officer while they attempted to arrest him.
The defendant pleaded guilty on June 18, 2026, to Assaulting a Federal Officer and Deported Alien Found in the United States. According to his plea agreement, Galeana-Guatemala admitted that he used his automobile to seriously injure a Task Force Officer when they attempted to arrest him for being found in the United States after previously being deported on February 6, 2024.
According to the court records, at about 4:25 a.m. on November 12, 2025, federal agents from the Homeland Security Task Force (HSTF) attempted to execute a court-authorized federal arrest warrant for Galeana-Guatemala outside an apartment complex in National City. Agents had positioned their vehicles in front of Galeana-Guatemala’s vehicle and identified themselves as police before Galeana-Guatemala attempted to flee in his car.
Law enforcement agents, wearing patches and insignia identifying themselves as law enforcement, pursued his car on foot while verbally shouting “Stop!” and “Police” at Galeana-Guatemala. Galeana-Guatemala attempted to maneuver his vehicle around the law enforcement vehicles but stopped approximately one foot away from the front bumper of one of the blocking vehicles.
According to the complaint, agents approached the driver side window and shouted, “Police, don't move!” multiple times. Galeana-Guatemala momentarily paused before accelerating towards them, forcing them to scatter to avoid being hit. Galeana-Guatemala steered his vehicle directly toward three agents, hitting one who was thrown onto the street and underneath adjacent parked vehicles. The agent was hospitalized with serious bodily injuries, including a fracture to his sternum.
After Galeana-Guatemala struck the agent, he continued to flee, hitting another law enforcement vehicle in the process. When the defendant was found by law enforcement later in the day, he attempted to run away on foot but was apprehended.
“Our law enforcement agents and officers have our backs every day,” said U.S. Attorney Adam Gordon. “We will hold accountable through federal prosecution anyone who puts them in harm’s way.”
“Law enforcement works every day to protect our communities and uphold the laws of our country. Violence and targeted attacks against those who serve will not be tolerated. We will continue to investigate and pursue justice against all criminal organizations and individuals who assault or attempt to harm to any law enforcement official.” said Kevin Murphy, Special Agent in Charge for Homeland Security Investigations. “The sentencing of Roberto Galeana-Guatemala to 33 months of federal custody sends a clear message that attacks against law enforcement are unacceptable and have significant consequences.”
This case is being prosecuted by Assistant U.S. Attorney Sean Van Demark and former Special Assistant U.S. Attorney Mark Lauricella.
DEFENDANT Case Number 25cr4733-CAB
Roberto Carlos Galeana-Guatemala Age: 21 Mexico
SUMMARY OF CHARGES
Assault on a Federal Officer – Title 18, U.S.C., Sections 111 (a)(1) and (b)
Maximum penalty: Twenty years in prison and $250,000 fine
Deported Alien Found in the United States – Title 8, U.S.C., Section 1326
Maximum penalty: Two years in prison and $250,000 fine
INVESTIGATING AGENCIES
Homeland Security Investigations – Marine Task Force
U.S. Border Patrol
U.S. Customs and Border Protection – Air and Marine Operations
Man Extradited from Peru Pleads Guilty to Laundering More than $72 Million in Drug ProceedsRead the Press Release
SAN DIEGO – Frank Mahonri Cruz-Marentes, a Mexican national who was extradited to the United States from Peru in November 2025, pleaded guilty this morning to laundering more than $72 million in drug proceeds between January 2019 and April 2021.
According to court records, Cruz-Marentes secured contracts with drug trafficking organizations in Mexico to pick up drug proceeds in cities throughout the United States, including Baltimore, Detroit, Los Angeles, Philadelphia, Boston, Denver, Chicago, New York, and numerous others.
Once he received a contract, Cruz-Marentes communicated with an Imperial Valley-based network of couriers and bank account holders using burner phones and code phrases to coordinate bulk cash deposits into fictitious funnel business bank accounts.
The couriers travelled from San Diego to cities throughout the country to receive the bulk cash after using photographs and codes to verify the meeting details. The bulk cash was typically concealed in trash bags, duffel bags, or shoe boxes. After the illicit cash proceeds were deposited into the fictitious funnel bank accounts, the monies were wired to personal bank accounts in Mexico where the money was then dispersed to the drug trafficking organizations.
Cruz-Marentes is scheduled to be sentenced by U.S. District Judge Gonzalo P. Curiel on December 18, 2026.
This case is being prosecuted by Assistant U.S. Attorneys Blanca Quintero and Keith D. Ellison.
DEFENDANT Case Number 20cr2682-GPC
Frank Mahonri Cruz-Marentes Age: 37 Sinaloa, Mexico
SUMMARY OF CHARGE
Money Laundering Conspiracy – Title 18, U.S.C., Section 1956(h)
Maximum penalty: Twenty years in prison and $500,000 fine or twice the value of the monetary instrument or funds involved.
INVESTIGATING AGENCIES
Homeland Security Investigations
Drug Enforcement Administration, Narcotics Task Force
Internal Revenue Service - Criminal Investigation
Customs and Border Protection, Office of Field Operations
San Diego Sheriff’s Department
This case was investigated and prosecuted by the California Homeland Security Task Force (HSTF) as part of Operation Take Back America. HSTFs, which were established by President Trump in Executive Order 14159, Protecting the American People Against Invasion, are joint operations led by the Department of Justice and the Department of Homeland Security. Operation Take Back America is a nationwide federal initiative that marshals the full resources of the Department of Justice to repel the invasion of illegal immigration, achieve the total elimination of cartels and transnational criminal organizations (TCOs), and protect our communities from the perpetrators of violent crime. Operation Take Back America streamlines efforts and resources from the Department’s Organized Crime Drug Enforcement Task Forces (OCDETFs) and Project Safe Neighborhood (PSN).
Las Vegas Man Pleads Guilty to Anabolic Steroid Trafficking and Firearm ChargesRead the Press Release
BOSTON – A Las Vegas man, formerly of Northborough, Mass., pleaded guilty on Sept. 10, 2026 in federal court in Worcester for conspiring to distribute and to possess with intent to distribute large quantities of anabolic steroids and methamphetamine. The defendant also pleaded guilty to firearms charges.
Mark Taslakian, 52, pleaded guilty to one count of conspiracy to possess with intent to distribute, and to distribute schedule III anabolic steroids, one count of possession with intent to distribute 50 grams or more of methamphetamine and anabolic steroids, and one count of being a felon in possession of seven firearms. U.S. District Court Judge Margaret R. Guzman scheduled sentencing for Jan. 11, 2027.
According to court documents, Taslakian and others formulated a plan to order multi-kilogram quantities of raw steroid powders from China which they then synthesized into injectable and oral products. Taslakian came up with the idea of marketing/distributing their own brand name of anabolic steroids under the pseudonym “Nex-Gen Pharma.” During a search of Taslakian’s former residence in Northborough, over $500K in cash, a gold bar, jewelry, significant quantities of anabolic steroids and methamphetamine, packaging materials, ledgers and seven firearms in a basement safe were seized.
The charge of conspiracy to possess with intent to distribute, and to distribute schedule III anabolic steroids provides for a sentence of up to 10 years in prison, at least two years of supervised release and a fine of up to $500,000. The charge of possession with intent to distribute 50 grams or more of methamphetamine and anabolic steroids provides for a sentence of no less than five years up to 40 years in prison, at least four years of supervised release and a fine of up to $5million. The charge of felon in possession of a firearm provides a sentence of up to 10 years in prison, three years of supervised release and a $250,000 fine. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.
United States Attorney Leah B. Foley; Jarod A. Forget, Special Agent in Charge of the Drug Enforcement Administration, New England Field Division; and Justin Page, Acting Inspector in Charge of the U.S. Postal Inspection Service’s Boston Division made the announcement today. Assistant U.S. Attorney Danial E. Bennett of the Worcester Branch Office is prosecuting the case.
Las Cruces Man Sentenced for Pioneer Bank RobberyRead the Press Release
ALBUQUERQUE – A Las Cruces man was sentenced to 37 months in federal prison for robbing a Pioneer Bank branch in August 2025 and fleeing with more than $3,500.
There is no parole in the federal system.
According to court records, on August 4, 2025, Jacob Ezekiel Martinez, 32, entered Pioneer Bank on University Avenue in Las Cruces wearing dark clothing and a mask partially covering his face. Martinez approached a teller and handed her a handwritten note threatening violence if his demands were not followed. The teller gave Martinez $3,513 in cash, and he left the bank with the money.
Las Cruces Police Department investigators identified Martinez from bank surveillance footage, including a distinctive tattoo on his right hand that matched photographs from a previous booking. The following morning, law enforcement found Martinez in the back seat of a vehicle parked outside a Las Cruces residence and arrested him. Martinez, who had shaved his head since the robbery, had arrived at the residence the previous night and told others there that he had $3,500 in cash.
Martinez pleaded guilty to bank robbery. Upon his release from prison, he will be subject to three years of supervised release.
First Assistant U.S. Attorney Ryan Ellison and Special Agent in Charge Justin A. Garris of the Federal Bureau of Investigation’s Albuquerque Field Office made the announcement today.
The Las Cruces Resident Agency of the FBI’s Albuquerque Field Office investigated this case with assistance from the Las Cruces Police Department. Assistant United States Attorney Grant B. Gardner prosecuted the case.
Las Cruces Man Sentenced for Attempted Bank RobberyRead the Press Release
ALBUQUERQUE – A Las Cruces man was sentenced to 63 months in federal prison for attempting to rob a local bank while armed with a hatchet.
There is no parole in the federal system.
According to court records, on February 26, 2026, Zachary Michael Clay, 42, entered First New Mexico Bank in Deming, New Mexico, with a hatchet around his waist and handed a teller a handwritten note demanding large bills. The teller told Clay to wait and walked away under the pretense of retrieving money while another employee called 911.
While waiting, Clay approached a second teller and handed over the same note. When the teller told him that he was already being assisted, Clay displayed the hatchet that was on his waist. Clay then entered the office of the bank’s assistant vice president and asked whether there was money in the office—and again brandished the hatchet.
Shortly afterwards, Clay heard the approaching sirens and left the bank without obtaining any money. Luna County Sheriff’s Office deputies immediately arrested him as he exited the bank.
Clay pleaded guilty to attempted bank robbery. Upon his release from prison, he will be subject to three years of supervised release.
First Assistant U.S. Attorney Ryan Ellison and Special Agent in Charge Justin A. Garris of the Federal Bureau of Investigation’s Albuquerque Field Office made the announcement today.
The Las Cruces Resident Agency of the FBI’s Albuquerque Field Office investigated this case with assistance from the Luna County Sheriff’s Office. Assistant United States Attorney Grant B. Gardner prosecuted the case.
Illegal Alien Pleads Guilty to Unlawful ReentryRead the Press Release
BOSTON – An Ecuadorian national unlawfully residing in Milford, Mass. pleaded guilty on Sept. 8, 2026 in federal court in Worcester to illegally reentering the United States after deportation. The defendant was previously deported from the United States and arrested four times for driving under the influence in Massachusetts.
Luis Rolando Clavijo Tacuri, 31, pleaded guilty to one count of unlawful reentry of a deported alien. U.S. District Court Judge Margaret R. Guzman scheduled sentencing for Oct. 20, 2026. Tacuri was charged in August 2026.
Tacuri was first encountered by immigration officials in October 2015, while he was incarcerated on charges of operating under the influence in Holliston, Mass. At the time, it was Tacuri’s third operating under the influence offense. Tacuri was subsequently placed into removal proceedings and deported to Ecuador in December 2016.
Sometime after his removal, Tacuri illegally reentered the United States. On May 27, 2024, Tacuri was arrested in Milford, Mass., for allegedly operating under the influence.
The charge of unlawful reentry of a deported alien provides for a sentence of up to two years in prison, one year of supervised release and a fine of up to $250,000. The defendant is subject to deportation upon completion of any sentence imposed. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.
United States Attorney Leah B. Foley; Jeff Grimming, Acting Special Agent in Charge of Homeland Security Investigations in New England; and David T. Wesling, Acting Field Office Director of U.S. Immigration and Customs Enforcement’s Enforcement and Removal Operations in Boston made the announcement. Assistant U.S. Attorney Brendan O’Shea of the Worcester Branch Office is prosecuting the case.
Huntington Man Pleads Guilty to Selling Methamphetamine That Caused Fatal Overdose of 15-Year-OldRead the Press Release
HUNTINGTON, W.Va. – Tony Eldon Lee Jr., 40, of Huntington, pleaded guilty today to distribution of a mixture and substance containing methamphetamine resulting in death.
According to court documents and statements made in court, on July 19, 2025, Lee sold approximately 1.8 grams of methamphetamine to the 15-year-old son of his girlfriend, with whom he resided in Huntington, in exchange for $30. As part of his guilty plea, Lee admitted that he conducted the transaction after exchanging text messages with the teen, identified as “B.M.” Lee further admitted that B.M. died as a result of methamphetamine intoxication shortly after he ingested the methamphetamine that Lee sold to him, and that the methamphetamine was an independently sufficient cause of B.M.’s death.
Lee is scheduled to be sentenced on February 1, 2027, and faces a mandatory minimum of 20 years and up to life in prison, at least three years of supervised release, and a fine of up to $1 million.
“A child lost their life because of this defendant’s actions. Those who flood our communities with illicit drugs show no regard for the lives they impact, devastate, and — tragically, in this case — destroy,” said United States Attorney Moore Capito. “I commend the Huntington Police Department for their exemplary work in ensuring this defendant was brought to justice. We must remain steadfast and unrelenting in our efforts to remove from our communities those who inflict harm through drug trafficking.”
“This heartbreaking case highlights the devastating impact that illicit drugs have on our children,” said Huntington Police Chief Phil Watkins. “Our officers are dedicated to holding dealers accountable for the lives they destroy. I am grateful for the tireless work of our detectives and to the U.S. Attorney's Office for their partnership in securing this conviction.”
United States District Judge Robert C. Chambers presided over the hearing. Assistant United States Attorneys Joseph F. Adams and Stephanie Taylor are prosecuting the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 3:26-cr-65.
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