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12 January 2018
National Human Trafficking Prevention MonthRead the Press Release
Columbia, South Carolina ------- In recognition of January as National Slavery and Human Trafficking Prevention Month, United States Attorney Beth Drake provides the following statement:
This January, the U.S. Attorney’s Office, in conjunction with its federal, state, and local partners, renews its commitment to working to rescue and restore victims of human trafficking and to prosecuting those responsible for these human rights abuses. We cannot simply stand on our past successes as these victories have illuminated how much more work we have to do.
Last year, the U.S. Attorney’s Office prosecuted human trafficking cases from the coast to the midlands to the upstate. Each case opened one more window into this shadowy world. We have learned that many victims of human trafficking are encountering South Carolinians in their places of work and leisure, yet they remain unseen or unnoticed. Traffickers prey on men, women, and children - both foreign nationals and United States citizens, the rich and the poor, the black and the white, the young and the old, the educated and the uneducated. The exploitation of these individuals varies from the forced labor of workers in the agricultural and service industries to the forced commercial sex trade and many other forms - all yielding shameful profits to the traffickers. We each have a role to play in lifting the veil on this crime. We at the Department of Justice encourage everyone to familiarize themselves with the warning signs of human trafficking, www.polarisproject.org/human-trafficking/recognize-signs, and to report suspicious activity to law enforcement or the National Human Trafficking Hotline at 1-888-3737-888.
Congress has provided the U. S. Attorney’s Office and its partners with strong and effective tools to bring to justice those who commit these most offensive human rights violations. Through the vigorous prosecution of human traffickers working in conjunction with the FBI and DHS HSI, the U.S. Attorney’s Office will work to make South Carolina an area inhospitable to and intolerant of human trafficking.
“Human trafficking is one of the most heinous crimes investigated by Homeland Security Investigations (HSI) and our partner agencies,” said Atlanta Special Agent in Charge of Nick Annan. “HSI human trafficking investigations follow a victim-centered approach, ensuring the victims of this terrible crime are rescued and get the care they need, while at the same time investigating and seeking prosecution of the criminal perpetrators of this modern-day slavery.”
The FBI stated: “The FBI and our federal, state, and local partners have made great progress in identifying human trafficking operations, prosecuting offenders, and helping victims, but much work remains to be done. It is all our hope that as more people become aware of the magnitude of this problem, more critical information will be provided to us. Therefore, we ask anyone with information about human trafficking to contact their nearest FBI office.” (Alphonso Norris, Special Agent in Charge, FBI-Columbia Division).
In 2017, the United States Attorney’s office in conjunction with its law enforcement partners prosecuted the following noteworthy cases:
United States v. Damon Taquan Jackson, a/k/a “Daddy Frost”, et al – 2:16-cr-00054
This ten person sex trafficking conspiracy exploited its victims throughout South Carolina, North Carolina, and Georgia through the use of backpage.com. The defendants raped and beat their victims who were both adults and minors to force them to engage in commercial sex acts.
United States v. Alshura Tabil Annessa Frazier, 3:16-cr-00559
Frazier was convicted of sex trafficking of a minor and possession of a firearm during a drug trafficking crime. He was sentenced to 420 months imprisonment and supervised release for life. This case illustrates the overlap between drug trafficking organizations and commercial; sex trafficking.
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Nahant Couple Indicted on Fraud ChargesRead the Press Release
BOSTON – A Nahant couple was charged in an indictment unsealed today in connection with the “short sale” of a house in Nahant.
Gary P. DeCicco, 59, and Pamela M. Avedisian, 54, were charged in an indictment with one count of conspiracy to commit wire fraud and one count of wire fraud. DeCicco was also charged with one count of conspiracy to commit bank fraud, one count of bank fraud, four counts of wire fraud and attempted wire fraud, and six counts of engaging in unlawful monetary transactions.
DeCicco has been in federal custody since he was charged in March 2017 with attempted extortion in connection with arranging and paying for a local business owner to be assaulted. DeCicco and Avedisian made an initial appearance today in federal court in Boston and will be arraigned on Tuesday, Jan. 16, 2018.
The indictment alleges that Avedisian owned a property in Nahant that was subject to a mortgage in excess of $1 million. In October 2015, DeCicco and Avedisian allegedly conspired to defraud the mortgage holder by proposing the sale of the property for significantly less than the outstanding mortgage, in what is commonly referred to as a “short sale.” By their very nature, short sales are intended to be arms-length transactions in which the buyers and sellers are unrelated and act independently, allowing sellers to cede their ownership of the property in exchange for the short-selling bank’s agreement to release them from their unpaid mortgage debt. In order to get approval for the sale, DeCicco and Avedisian concealed their long-term romantic and business relationships from the loan servicing company and falsely represented that Avedisian could no longer make payments towards the mortgage on the property. In fact, just two months before the “short sale” closed, Avedisian purportedly received $3.5 million from the sale of another asset to DeCicco.
The indictment also alleges that from November 2015 to September 2016, DeCicco and a co-conspirator falsified rent rolls and prepared fake leases, which they then provided to financial institutions in support of their applications for a $5.5 million loan secured by a commercial building in Peabody. The indictment further alleges that between September 2016 and January 2017, DeCicco committed unlawful monetary transactions with the proceeds of the bank fraud scheme, and between February and December 2016, DeCicco engaged in a scheme to defraud multiple insurance companies using fake invoices and other documents to support his claims.
The charges of wire fraud and conspiracy, as well as bank fraud and conspiracy, provides for a sentence of no greater than 30 years in prison, three years of supervised release and a fine of $250,000. The charges of wire fraud and attempted wire fraud provides for a sentence of no greater than 20 years in prison, three years of supervised release and a fine of $250,000. The charge of engaging in unlawful monetary transactions provides for a sentence of no greater than 10 years in prison, three years of supervised release and a fine of $250,000. Sentences are imposed by a federal district court judge based on the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Andrew E. Lelling; Harold H. Shaw, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; and Joel P. Garland, Special Agent in Charge of the Internal Revenue Service’s Criminal Investigation in Boston, made the announcement today. Assistant U.S. Attorney Kristina E. Barclay of Lelling’s Public Corruption and Special Prosecutions Unit is prosecuting the case.
The details contained in the charging documents are allegations. The defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Moore County Man Pleads Guilty in Multi-State Dog Fighting ProsecutionRead the Press Release
Greensboro, N.C. – A Moore County man pled guilty to federal dog fighting and conspiracy charges yesterday, announced United States Attorney Matthew G.T. Martin and Acting Assistant Attorney General Jeffrey H. Wood of the Justice Department’s Environment and Natural Resources Division.
Brexton Redell LLOYD, 54, of Eagle Springs, North Carolina, pled guilty to one felony count of conspiracy and two felony counts of possession and training a dog intended for use in an animal fighting venture, contrary to the animal fighting provisions of the federal Animal Welfare Act. Each count carries a maximum sentence of five years in prison and a $250,000 fine.
According to documents filed with the court, LLOYD participated with Justin “Jay” Love and others in a multi-state dog fighting conspiracy. These documents describe Lloyd and Love’s attempt to set up a dog fight between Lloyd and an unknown opponent in October 2015 and LLOYD’s breeding and training activities. Court documents further note that earlier this year, agents seized thirteen pit bull-type dogs from LLOYD’s residence. Ten of the dogs were secured outdoors by excessive chains, wearing thick collars, and positioned so that each dog was out of reach of any other dog. The other dogs were housed individually in pens. The water in the dogs’ bowls was frozen. Two of the four adult dogs seized exhibited scars consistent with dog fighting, and a third adult dog had four fractured teeth. In addition to the dogs, agents seized items related to training dogs for dog fighting purposes, including: a spring pole, a dog harness, and a hanging scale. Agents also seized veterinary supplies, including: intravenous fluids, intravenous administration sets stated for “Veterinary Use Only,” injectable and other antibiotics, a 100-count package of syringes, blood clotting medications such as Blood Stop Powder, and a skin stapler.
“Organized crime has no place in North Carolina or the United States – and dog fighting of this sort is nothing short of organized crime. Our law enforcement partners at the Department of Agriculture, the Federal Bureau of Investigation, the Moore County Sheriff’s Office, and the N.C. State Highway Patrol demonstrated exceptional coordination in bringing this defendant to justice,” said United States Attorney Martin.
“Ending animal fighting ventures is a priority of our Division. We dispatch prosecutors who focus in this area to districts across the country, to join with our partners in the U.S. Attorneys’ Offices in aggressively pursuing illegal animal fighting,” said Acting Assistant Attorney General Wood. “Today’s sentence sends a message that our justice system will not tolerate the torment and death of animals in the fighting ring, all for the sake of illegal gambling.”
“The provisions of the Animal Welfare Act were designed to protect animals from being used in illegal fighting ventures, which often entail other forms of criminal activity involving drugs, firearms and gambling,” said Department of Agriculture – Office of Inspector General Special Agent-in-Charge Bethanne M. Dinkins. “Together with the Department of Justice, animal fighting is an investigative priority for USDA-OIG, and we will work with our law enforcement partners to investigate and assist in the criminal prosecution of those who participate in animal fighting ventures.”
This case is part of Operation Grand Champion, a coordinated effort across numerous federal judicial districts to combat organized dog fighting. The phrase “Grand Champion” is used by dog fighters to refer to a dog with more than five dog fighting “victories.” To date, over one hundred dogs have been rescued as part of Operation Grand Champion, and either surrendered or forfeited to the government. The Humane Society of the United States assisted with the care of the dogs seized by federal law enforcement.
This case was investigated by USDA-OIG and FBI, with assistance from the Moore County Sheriff’s Office and the North Carolina Highway Patrol, and is being prosecuted by Assistant U.S. Attorney JoAnna G. McFadden and Trial Attorney Erica H. Pencak of the Justice Department’s Environmental Crimes Section Environmental Crimes Section.
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Mobile Phone Industry Executive Sentenced in Manhattan Federal Court to 5 Years in Prison for Role in Multimillion-Dollar Consumer Fraud SchemeRead the Press Release
Geoffrey S. Berman, the United States Attorney for the Southern District of New York, announced that FRASER THOMPSON was sentenced today to five years in prison for his participation in a fraudulent scheme to charge mobile phone customers millions of dollars in monthly fees for unsolicited, recurring text messages without the customers’ knowledge or consent – a practice known as “auto-subscribing.” The fraud committed by THOMPSON and his co-conspirators resulted in the theft of over $100 million from consumers throughout the United States. THOMPSON was convicted by a jury on September 5, 2017, following a three-week trial, and was sentenced today in Manhattan federal court by the Honorable Katherine B. Forrest.
Manhattan U.S. Attorney Geoffrey S. Berman said: “This was a gross ‘main street’ fraud. Fraser Thompson and his co-defendants engaged in ‘auto-subscribing,’ forcing mobile phone users to pay for unsolicited and unwanted text messaging services. They ripped off everyday cellphone users, $10 a month, netting over $100 million in illegal profits, of which Thompson personally received over $1.5 million. Thanks to the diligence of the IRS and FBI, consumers are being safeguarded and perpetrators of large-scale criminal frauds are being arrested, prosecuted, and convicted.”
According to the Superseding Indictment filed in Manhattan federal court, the evidence presented at trial, and statements made in connection with THOMPSON’s sentencing:
THOMPSON was the Senior Vice President of Strategic Operations at Mobile Messenger, a mobile aggregation company. In the relevant time period, mobile aggregators like Mobile Messenger compiled, or “aggregated,” charges for premium text messaging services – such as monthly horoscopes, celebrity gossip, and trivia facts – on consumers’ mobile phone bills. Between 2011 and 2013, THOMPSON and others engaged in a massive scheme to defraud ordinary consumers by placing unauthorized charges for premium text messaging services on their cell phone bills, through a practice known as auto-subscribing.
The auto-subscribing scheme essentially involved two main players in the cell phone industry: mobile aggregators, such as Mobile Messenger, and content providers, which sent consumers the unwanted text messages that ultimately resulted in them being billed for services they had not authorized. Mobile Messenger worked with four different content providers in the scheme, each of which were essential to the scheme’s success. THOMPSON participated in auto-subscribing through two of those content providers, CF Enterprises and DigiMobi, which were operated by one of THOMPSON’s co-conspirators, Eugeni Tsvetnenko, a/k/a “Zhenya.”
The plan to auto-subscribe with Tsvetnenko came about in early 2012, in connection with discussions between THOMPSON and three other Mobile Messenger executives, co-conspirators Darcy Wedd, Erdolo Eromo, and Michael Pajaczkowki, a/k/a “Paj,” about how to increase revenue at Mobile Messenger in the wake of the decreasing profitability of premium text messaging services. Tsvetnenko had been kicked off Mobile Messenger’s aggregation platform in the past due to suspicious subscribing practices, including past incidents of auto-subscribing. Nevertheless, in early 2012, THOMPSON, Wedd, Eromo, and Pajaczkowski agreed to allow Tsvetnenko to establish two new content providers, CF Enterprises and DigiMobi, to conduct a scheme to auto-subscribe on Mobile Messenger’s aggregation platform.
THOMPSON, Wedd, Eromo, and Pajaczkowski agreed to a revenue split with Tsvetnenko, pursuant to which Tsvetnenko would keep approximately 70% of the auto-subscribing proceeds generated by CF Enterprises and DigiMobi, and the remaining 30% of the auto-subscribing proceeds would be divided evenly among THOMPSON, Wedd, Eromo, and Pajaczkowski. THOMPSON, Wedd, Eromo, and Pajaczkowski also devised a method of receiving and distributing the auto-subscribing money through multiple layers of shell companies, in an effort to conceal the nature and purpose of the money. These auto-subscribing activities with Tsvetnenko, which began in approximately April of 2012, and continued into 2013, resulted in hundreds of thousands of mobile phone users being auto-subscribed through Mobile Messenger. THOMPSON, moreover, personally received over $1.5 million in fraud proceeds as a result of his participation in the illegal scheme.
The auto-subscription scheme, through all of the content providers that it involved, affected millions of consumers and generated over $100 million in criminal proceeds.
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To date, seven defendants, Andrew Bachman, Lin Miao, Pajackowski, Eromo, Jonathan Murad, Francis Assifuah, and Jason Lee have pled guilty in connection with their participation in the fraud. One additional defendant, Wedd, was convicted by a jury on December 15, 2017, following a two-week trial.
In addition to the prison term, THOMPSON was sentenced to three years of supervised release, and ordered to forfeit $1,552,114.56.
Mr. Berman praised the investigative work of the Internal Revenue Service - Criminal Investigations and the Federal Bureau of Investigation, and expressed his sincere gratitude to the Federal Trade Commission for their support and assistance with the investigation.
If you believe you were a victim of this crime, including a victim entitled to restitution, and you wish to provide information to law enforcement and/or receive notice of future developments in the case or additional information, please contact the Victim/Witness Unit at the United States Attorney’s Office for the Southern District of New York, at (866) 874-8900. For additional information, go to:
http://www.usdoj.gov/usao/nys/victimwitness.html.
The prosecution of this case is being handled by the Office’s Complex Frauds and Cybercrime Unit. Assistant United States Attorneys Sarah E. Paul, Richard Cooper, and Jennifer L. Beidel are in charge of the prosecution.
Meridian Man Sentenced for Illegal Possession of a Firearm by a Convicted FelonRead the Press Release
Jackson, Miss – Kahari Scott, 24, of Meridian, Mississippi, was sentenced today by U.S. District Judge Henry T. Wingate, to serve 64 months in federal prison, followed by three years of supervised release, for possession of a firearm by a convicted felon, announced U.S. Attorney Mike Hurst and Special Agent in Charge Dana Nichols with the Bureau of Alcohol, Tobacco, Firearms and Explosives. Scott was also ordered to pay a $1,500 fine.
On September 23, 2016, Kahari Scott, was traveling west on Old Highway 80 in Meridian, Mississippi. Lauderdale County Sheriff’s Deputy Chris McFarland noticed that Scott was not wearing a seatbelt and pulled the vehicle over. Upon approaching the vehicle, Deputy McFarland noticed a handgun on the passenger seat. When asked for his driver’s license and proof of insurance, Scott stated that he did not have them on him and provided a fictitious name. When Deputy McFarland returned to his vehicle to call dispatch to check for any prior felony convictions, Scott opened the driver door and fled from the scene. Warrants were subsequently issued and Scott was arrested on November 15, 2016.
Scott has a previous conviction in the Circuit Court of Lauderdale County, Mississippi for the felony offense of possession of a stolen firearm.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Lauderdale County Sheriff’s Department. It was prosecuted by Assistant United States Attorney Keesha D. Middleton.
Man Sentenced to 39 Years in Prison for Armed RobberiesRead the Press Release
Geoffrey S. Berman, the United States Attorney for the Southern District of New York, and Ashan M. Benedict, the New York Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms, and Explosives (“ATF”), announced today that LAWRENCE BROWN was sentenced to 39 years in prison for committing two armed robberies in Orange County, New York. BROWN was convicted on March 9, 2017, after a jury trial before U.S. District Judge Nelson Stephen Román, who imposed today’s sentence.
Manhattan U.S. Attorney Geoffrey S. Berman stated: “Lawrence Brown terrorized the employees of a pharmacy and a supermarket when he robbed them at gunpoint. Not only did Brown point his gun at five different people, making them fear for their lives, he then tied them up before fleeing with thousands of dollars in cash. Today’s lengthy prison sentence sends a strong message that violent crimes and firearms offenses like these will not be tolerated.”
ATF New York Special Agent in Charge Ashan M. Benedict stated: “Lawrence Brown is a violent felon that terrorized his community through the commission of armed robberies, showing an extreme disregard for his fellow citizens. One of ATF’s Top Most Wanted Fugitives, he zip-tied his victims’ hands, brandished firearms, and held some of his victims as hostages while committing his robberies. Thanks to the efforts of local and federal law enforcement, Brown will no longer be in a position to harm his community. I would like to extend my gratitude to the United States Attorney’s Office for their work in prosecuting the case. I would also like to thank the Special Agents of ATF, as well as the City of Newburgh Police Department, and the Town of New Windsor Police Department for their investigative efforts that helped bring Brown to justice.”
According to the Indictment filed against BROWN, other court documents publicly filed in this case, and statements made in court proceedings, including today’s sentencing:
In late 2013 and early 2014, the defendant committed two terrifying robberies. In November 2013, the defendant entered a Rite Aid pharmacy in New Windsor, New York, dressed in a Pepsi deliveryman uniform, and asked to speak to the store’s manager. He then shoved a firearm into her side and forced the store manager into the manager’s office to empty money from the store’s safes, totaling $5,911, into a shopping bag. He then bound the store manager’s hands behind her back using a zip-tie and left her in the office.
Five months later, in April 2014, the defendant hid in the manager’s office of a Shop Rite supermarket in Newburgh, New York, where he lay in wait for an employee who could open that store’s safes. Over the next few hours, three store employees who did not have the combination to the safes separately entered the office, and the defendant brandished a firearm at each of them. When it became clear that each of these first three employees could not open the safes, Brown bound their hands behind their backs using zip-ties and continued to await a manager. When a manager eventually arrived, Brown pointed the firearm at the manager and ordered him to empty money totaling $20,140 into a shopping bag. The defendant then bound the manager’s hands using an electrical cord and left all four employees tied up in the office.
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In addition to the prison term, BROWN, 46, was sentenced to restitution in the amount of $26,051.89 and three years of supervised release.
Mr. Berman praised the outstanding investigative work of the ATF, the City of Newburgh Police Department, and the Town of New Windsor Police Department.
This case is being handled by the Office’s White Plains Division. Assistant United States Attorneys Anden Chow and Allison Nichols are in charge of the prosecution.
Man Indicted, Returned from Indonesia by FBI to Face Fraud Charges in OregonRead the Press Release
SAN FRANCISCO – On Friday, January 12, 2018, Richard Macadangdang Sales, 68, made his initial appearance before U.S. Magistrate Judge Maria-Elena James in the Northern District of California after FBI agents from the Bend, Oregon Residence Agency escorted him back to the U.S. from Indonesia. In December 2017, a federal grand jury in Eugene, Oregon indicted Sales on four counts of wire fraud and one count of money laundering for an alleged scheme that cheated investors of more than $900,000.
The indictment alleges that between 2011 and 2013, investors were led to believe Sales was using their investments to recover hundreds of millions of dollars’ worth of U.S. Treasury Notes located in East Asia and the Pacific. The indictment states that victims believed Sales was building humanitarian housing for victims of natural disasters as part of this recovery process and that they would see returns as high as 100 percent.
Sales had been living outside the U.S. since 2012. Working with the Indonesian National Police and Indonesian Immigration, through the FBI’s Legal Attaché office in Jakarta, FBI agents traveled to Indonesia and met Sales as he was deported on January 11, 2018. FBI agents escorted him back to the United States and arrested him after touching down on U.S. soil.
Judge James ordered Sales detained pending transfer by the U.S. Marshals Service to the District of Oregon for further court proceedings.
An indictment is only an accusation of a crime, and a defendant is presumed innocent unless and until proven guilty.
MS-13 Member Pleads Guilty to RICO Conspiracy Involving MurderRead the Press Release
BOSTON – An MS-13 member pleaded guilty today in federal court in Boston to racketeering conspiracy involving the murder of a 15-year-old boy in Lawrence.
Josue Alexis DePaz, a/k/a “Gato,” 21, a Salvadoran national formerly residing in Lawrence, pleaded guilty to conspiracy to conduct enterprise affairs through a pattern of racketeering activity, more commonly referred to as RICO conspiracy. U.S. District Court Judge F. Dennis Saylor IV scheduled sentencing for April 6, 2018.
DePaz was identified as a member of MS-13’s Everett Loco Salvatrucha (ELS) clique, which operated in the greater Boston area. When interviewed by law enforcement officers, DePaz admitted that on July 5, 2015, he was one of two men who stabbed a 15-year-old boy to death in O’Connell Park in Lawrence. In conversations recorded by law enforcement during the investigation, MS-13 members identified DePaz as one of the men who murdered the victim. DePaz was subsequently arrested in a house in Somerville with several other MS-13 members. A search warrant at the house resulted in the recovery of a firearm, several large knives, photographs of MS-13 members flashing gang signs, and a large volume of MS-13 paraphernalia, including blue and white hats, bandanas and rosary beads. According to court documents, MS-13 members frequently wear blue and white items of clothing to signify their membership in the gang.
After a three-year investigation, DePaz was one of 61 individuals named in a superseding indictment targeting the criminal activities of alleged leaders, members, and associates of MS-13 in Massachusetts. DePaz is the 28th defendant to plead guilty in this case.
DePaz faces up to life in prison, five years of supervised release, and will be subject to deportation upon the completion of his sentence. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Andrew E. Lelling; Harold H. Shaw, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; Michael Shea, Acting Special Agent in Charge of Homeland Security Investigations in Boston; Colonel Kerry A. Gilpin, Superintendent of the Massachusetts State Police; Commissioner Thomas Turco of the Massachusetts Department of Corrections; Essex County Sheriff Kevin F. Coppinger; Suffolk County Sheriff Steven W. Thompkins; Suffolk County District Attorney Daniel F. Conley; Middlesex County District Attorney Marian T. Ryan; Essex County District Attorney Jonathan Blodgett; Boston Police Commissioner William Evans; Chelsea Police Chief Brian A. Kyes; Everett Police Chief Steven A. Mazzie; Lynn Police Chief Michael Mageary; Revere Police Chief James Guido; Somerville Police Chief David Fallon; and Herndon (VA) Police Chief Maggie A. DeBoard made the announcement.
Lower Brule Man Charged with AssaultRead the Press Release
United States Attorney Ron Parsons announced that a Lower Brule, South Dakota, man has been indicted by a federal grand jury for Assaulting, Resisting, and Impeding a Federal Officer.
Tyler Harmon, age 27, was indicted on February 15, 2017. He appeared before U.S. Magistrate Judge Mark A. Moreno on January 10, 2018, and pled not guilty to the Indictment.
The maximum penalty upon conviction is up to 20 years in custody and/or a $250,000 fine, 3 years of supervised release, and $100 to the Federal Crime Victims Fund. Restitution may also be ordered.
The Indictment alleges that on November 12, 2016, Harmon forcibly assaulted, resisted, opposed, impeded, intimidated, and interfered with a lieutenant from the Bureau of Indian Affairs, while said lieutenant was engaged in the performance of his official duties.
The charge is merely an accusation and Harmon is presumed innocent until and unless proven guilty.
The investigation is being conducted by the Federal Bureau of Investigation. Assistant U.S. Attorney Meghan N. Dilges is prosecuting the case.
Harmon was released on bond pending trial, which has not been set.
Liberian National Pleads Guilty to Resisting a Federal Officer During Removal ProcessRead the Press Release
BOSTON - A Liberian national pleaded guilty today in federal court in Boston to resisting a federal officer at Logan International Airport. The defendant struck and injured deportation officers as they attempted to facilitate his removal from the United States.
Mohammed Kenneh, 35, pleaded guilty to one count of resisting a federal officer. U.S. District Court Judge George A. O’Toole Jr. scheduled sentencing for April 24, 2018.
On July 11, 2016, Kenneh was ordered removed from the United States to Liberia. Kenneh’s removal order was based in part on previous criminal convictions, which rendered him deportable. On Aug. 29, 2017, Kenneh was transported to Logan International Airport where he was met by two deportation officers assigned to accompany Kenneh to Liberia. Kenneh refused to cooperate and exit the transportation van, and he repeatedly struck both deportation officers, causing the officers physical injury. Kenneh was eventually removed from the transportation van, but continued to be uncooperative. A decision was then made to abort the removal proceedings and return Kenneh to Immigration and Customs Enforcement custody.
Kenneh faces a sentence of no greater than 20 years in prison, three years of supervised release, a fine of $250,000 and will be subject to deportation upon completion of his sentence. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Andrew E. Lelling and Christopher Cronen, Field Office Director, Enforcement and Removal Operations Boston Field Office, U.S. Immigration and Customs Enforcement, made the announcement today. Assistant U.S. Attorney Kenneth G. Shine of Lelling’s Major Crimes Unit is prosecuting the case.
Laredoans Sent to Prison for Rollover Incident that Led to DeathRead the Press Release
LAREDO, Texas – Three smugglers have been sentenced to federal prison for transporting illegal aliens that resulted in one death, announced U.S. Attorney Ryan K. Patrick. One alien died and two others received injuries resulting from a vehicle rollover.
Guillermo Venegas, 19, pleaded guilty Sept. 1, 2016, while Edgardo Diaz, 20, and Antonio Aguilar, 20, entered their pleas April 6 and June 24, 2016, respectively.
Today, U.S. District Judge Diana Saldaña ordered Venegas to serve 70 months, while Diaz and Aguilar each received 87-month-terms of federal imprisonment. Venegas, Diaz and Aguilar will also serve supervised release terms of three, five and four years, respectively, following their sentences. In handing down the sentences, Judge Saldaña noted that it was unfortunate the defendants had chosen to become involved in such a serious crime which resulted in the death of one undocumented alien and injuries to others. After statements from each defendant expressing remorse for the events, the court noted that each attempted to downplay their roles by recruiting other persons and that they demonstrated poor judgment in recruiting or involving juveniles. On several occasions, Judge Saldaña reminded the defendants that “the reality is that someone died.”
At the time of their pleas, the three admitted to conspiring to transport three aliens to Laredo. Aguilar recruited Venegas to transport the aliens. Venegas then recruited a juvenile to drive and use his parent’s van as the load vehicle.
During the early evening of Jan. 31, 2016, the three defendants set out on Mines Road in three separate vehicles to locate and pick up aliens who had just crossed from Mexico by wading the Rio Grande River. Diaz and Aguilar scouted for law enforcement in their respective vehicles, while communicating with Aguilar who was in the van providing directions to the juvenile driver.
After arriving at the pick-up location and determining the area was clear of law enforcement, Venegas and the juvenile picked up three aliens and drove towards Laredo, while Diaz and Aguilar continued to monitor contact with law enforcement.
Border Patrol (BP) agents in marked units encountered the van, but Venegas and the juvenile failed to stop, attempted to cross the median at a high rate of speed and overturned. Venegas and two alien passengers were injured, while another alien died at the scene.
The defendants have been and will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
The Webb County District Attorney’s Office prosecuted the juvenile driver and two others.
BP, Immigration and Customs Enforcement’s Homeland Security Investigations, Texas Department of Public Safety, Laredo Police Department and the Webb County Medical Examiner conducted the investigation. Assistant U.S. Attorney Homero Ramirez prosecuted the case.
Lafayette woman pleads guilty to stealing nearly $1.5 million from Broussard businessRead the Press Release
LAFAYETTE, La. – United States Attorney Alexander C. Van Hook announced that a Lafayette woman pleaded guilty Thursday to stealing almost $1.5 million from a Broussard oilfield related company.
Susan M. Benoit, 54, of Lafayette, pleaded guilty before U.S. Magistrate Judge Patrick Hanna to two counts of wire fraud. The plea will become final after it is accepted by U.S. District Judge Dee D. Drell. According to the guilty plea, Benoit worked for a Broussard, La., oilfield related company from 1998 to 2016. As the accountant and later as Chief Financial Officer, Benoit had access to the company’s bank accounts and transferred $1,490,588.70 from company accounts to her personal bank account.
Benoit faces up to 20 years in prison, three years of supervised release, restitution, forfeiture and a $250,000 fine. The court set April 10, 2018 as the sentencing date.
The FBI conducted the investigation. Assistant U.S. Attorney Kelly P. Uebinger is prosecuting the case.
Jackson Man Pleads Guilty to Illegally Possessing a FirearmRead the Press Release
Jackson, Miss. – David Calvin Beard, 54, of Jackson, pled guilty on January 11, 2017, before Chief United States District Judge Daniel P. Jordan III, to possession of a firearm by a convicted felon, announced U.S. Attorney Mike Hurst and Special Agent in Charge Dana Nichols, Bureau of Alcohol, Tobacco, Firearms and Explosives.
On December 2, 2016, while attempting to execute an arrest warrant for Beard at his home in Jackson, officers with the United States Marshal Service Gulf Coast Regional Taskforce observed shotgun ammunition in plain view inside the home. Because Beard was a convicted felon and thus prohibited from possessing firearms or ammunition, a search warrant was obtained for his home. When officers executed the search warrant on Beard’s residence, officers found a Winchester .22 caliber rifle, a Taurus .22 caliber revolver, and 1,677 rounds of assorted ammunition scattered throughout the home and garage.
Beard had been previously convicted in the United States District Court for the Western District of Missouri for the felony offense of conspiracy to possess with intent to distribute methamphetamine and in the Circuit Court of Rankin County for the felony offense of home invasion.
Beard will be sentenced in Jackson by Chief Judge Jordan on April 12, 2018, and faces a maximum penalty of 10 years in prison and a $250,000 fine.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the United States Marshal Service Gulf Coast Regional Taskforce. It is being prosecuted by Assistant United States Attorney Keesha D. Middleton.
Information: Federal Court ArraignmentsRead the Press Release
The United States Attorney’s Office announced that those persons listed below were arraigned before the U.S. Magistrate and the indictments handed down by the Grand Jury unsealed.
Appearing before U.S. Magistrate Cavan in Billings on January 11, 2018 and entering pleas of Not Guilty were:
- WILSON ALEXIS FAJARDO FAJARDO, a 28-year-old resident of Mexico, appeared on charges of illegal re-entry. If convicted of the charge contained in the indictment, FAJARDO faces 2 years in prison, $250,000 in fines an 1 year supervised release. The case was investigated by U.S. Immigration and Customs Enforcement. PACER Case Reference. 18-01
- CANDELARIO MOLINA-MOLINA, a 34-year-old resident of Mexico, appeared on charges of illegal re-entry. If convicted of the charge contained in the indictment, MOLINA-MOLINA faces 2 years in prison, $250,000 in fines and 1 year supervised release. The case was investigated by U.S. Immigration and Customs Enforcement. PACER Case Reference. 18-02
Appearing before U.S. Magistrate Johnston in Great Falls on January 11, 2018 and entering pleas of Not Guilty were:
- CLAYTON PAUL MARTELL, a 32-year-old resident of Poplar, appeared on charges of possession with intent to distribute methamphetamine, and distribution of methamphetamine. If convicted of the most serious charges contained in the indictment, MARTELL faces 40 years in prison, $5,000,000 in fines, and 4 years supervised release. The case was investigated by the Bureau of Indian Affairs. PACER Case Reference. 18-02
Appearing before U.S. Magistrate Johnston in Great Falls on January 10, 2018 and entering pleas of Not Guilty were:
- MIKKEL DERRIK SHIELDS, a 33-year-old resident of Poplar, appeared on charges of burglary. If convicted of the charge contained in the indictment, SHIELDS faces 10 years in prison, $50,000 in fines and 3 years supervised release. The case was investigated by the Federal Bureau of Investigation. PACER Case Reference. 18-03
Appearing before U.S. Magistrate Cavan in Billings on January 9, 2018 and entering pleas of Not Guilty were:
- MANUEL PAZ SANCHEZ, JR., a 31-year-old resident of Sacramento, California, appeared on charges of possession with intent to distribute methamphetamine. If convicted of the charge contained in the indictment, SANCHEZ faces life in prison, $10,000,000 in fines and 5 years supervised release. The case was investigated by the Drug Enforcement Administration. PACER Case Reference. 18-03
Appearing before U.S. Magistrate Johnston in Great Falls on January 9, 2018 and entering pleas of Not Guilty were:
- LEROY BEAUCHAMP, a 36-year-old resident of Wolf Point, appeared on charges of felony child abuse. If convicted of the charge contained in the indictment, BEAUCHAMP faces 10 years in prison, $50,000 in fines and 3 years supervised release. The case was investigated by the Federal Bureau of Investigation and Fort Peck Tribes Department of Law and Justice. PACER Case Reference. 17-78
- GEORGE LEON GOODRIE, a 44-year-old resident of Great Falls, appeared on charges of robbery affecting commerce, possession of a firearm in furtherance of a crime of violence, and prohibited person in possession of a firearm. If convicted of the most serious charges contained in the indictment, GOODRIE faces life in prison, $250,000 in fines and 5 years supervised release. The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Great Falls Police Department. PACER Case Reference. 17-81
- BOBBY LEE LAMERE, a 42-year-old resident of Great Falls, appeared on charges of prohibited person in possession of a firearm, and counterfeiting obligations or securities of the United States. If convicted of the most serious charge contained in the indictment, LAMERE faces 20 years in prison, $250,000 in fines and 3 years supervised release. The case was investigated by the U.S. Secret Service and the Great Falls Police Department. PACER Case Reference. 17-82
- NOVA BIG LEGGINS, a 28-year-old resident of Wolf Point, appeared on charges of felony child abuse. If convicted of the charge contained in the indictment, BIG LEGGINS faces 10 years in prison, $50,000 in fines and 3 years supervised release. The case was investigated by the Federal Bureau of Investigation and Fort Peck Tribes Department of Law and Justice. PACER Case Reference. 17-78
- EDWARD ANTHONY TORRES, a 22-year-old resident of Babb, appeared on charges of assault resulting in serious bodily injury. If convicted of the charge contained in the indictment, TORRES faces 10 years in prison, $250,000 in fines and 3 years supervised release. The case was investigated by the Federal Bureau of Investigation. PACER Case Reference. 18-04
Appearing before U.S. Magistrate Cavan in Billings on January 8, 2018 and entering pleas of Not Guilty were:
- CYNTHIA MIREYA LOZANO, a 25-year-old resident of Merced, California, appeared on charges of possession with intent to distribute methamphetamine, and possession with intent to distribute marijuana. If convicted of the most serious charge in the indictment, LOZANO faces life in prison, $10,000,000 in fines and 5 years supervised release. The case was investigated by the Drug Enforcement Administration and the Montana Highway Patrol. PACER Case Reference. 17-145
If any of the above cases are of interest to your media organization and the community it serves, we encourage you to monitor the progress of the case regularly through the U.S. District Court calendar and the PACER system so that you stay current and not miss any important developments in the case.
To establish a PACER account, which will allow you to review documents filed in the case, please go to, http://www.pacer.gov/register.html. To access the district court’s calendar, please go to https://ecf.mtd.uscourts.gov/cgi-bin/PublicCalendar.pl.
Independence Man Sentenced for EmbezzlingRead the Press Release
U.S. Attorney Duane A. Evans announced that JEFFERY GATLIN, age 52, of Independence, Louisiana, was sentenced yesterday after previously pleading guilty to a one-count Bill of Information charging him with embezzling Social Security disability benefits.
U.S. District Judge Nannette Jolivette Brown sentenced GATLIN to three years of probation and ordered him to pay back the $102,510.40 in disability benefits that that he stole.
According to court documents, between March 2011 and October 2016, GATLIN embezzled $102,510.40 in Social Security Title II benefit payments, knowing that he was not entitled to these funds.
U.S. Attorney Evans praised the work of the United States Social Security Administration in investigating this matter. Assistant U.S. Attorney David Howard Sinkman was in charge of the prosecution.
Illegal Immigrant Pleads Guilty to Aggravated Identity TheftRead the Press Release
Tampa, Florida – United States Attorney Maria Chapa Lopez announces that Jose Gerardo Mejia-Rangel (41, Dade City) has pleaded guilty to aggravated identity theft. He previously pleaded guilty in a separate case to illegally reentering the United States. Mejia-Rangel faces a maximum penalty of 10 years in federal prison for illegal reentry and a mandatory, consecutive two-year prison sentence for aggravated identity theft. His sentencing hearing is set for January 23, 2018.
According to court documents, Mejia-Rangel, who has been previously deported from the United States at least four times, used a California man’s name, birth certificate, and Social Security number to apply for a state of Florida identification card and driver license. Upon his arrest for domestic battery in July 2017, Mejia-Rangel presented himself under the California man’s identity. He also admitted to using the identity to avoid detection from federal immigration authorities.
This case was investigated by U.S. Immigration and Customs Enforcement, Enforcement and Removal Operations and Homeland Security Investigations. It is being prosecuted by Assistant United States Attorney Frank Murray.
Honduran National Pleads Guilty to Illegal Use of a Social Security NumberRead the Press Release
United States Attorney Duane A. Evans announced that LAZARO VILLATORO-BODDEN (“VILLATORO-BODDEN”), age 36, pleaded guilty on January 10, 2018, to a one-count Bill of Information for illegal use of a social security number in violation of Title 42, United States Code, Section 408(a)(7)(B).
According to court records, VILLATORO-BODDEN knowingly and with the intent to deceive, falsely represented that a social security number was assigned to him by the Commissioner of Social Security when, in fact, as VILLATORO-BODDEN knew, the social security number had not been assigned to him. His deception and illegal use of the social security number was done for the purpose of obtaining boat registration documents from the Louisiana Department of Wildlife and Fisheries. At sentencing, which is currently set for April 11, 2018, VILLATORO-BODDEN faces a maximum term of imprisonment of five years, a maximum fine of $250,000, a maximum term of supervised release of three years, and a mandatory $100 special assessment.
U.S. Attorney Evans praised the work of the U. S. Department of Homeland Security in investigating this matter. Assistant U. S. Attorney Michael M. Simpson is in charge of the prosecution.
Hammond Man Sentenced for Illegal Possession of FirearmsRead the Press Release
U.S. Attorney Duane A. Evans announced that CHRISTOPHER HUTTON, age 26, of Hammond, was sentenced yesterday after previously pleading guilty to one count of being a felon in possession of a firearm.
United States District Judge Carl J. Barbier sentenced HUTTON to 96 months of imprisonment, followed by 3 years of supervised release.
According to court documents, HUTTON, who had previously been convicted of a felony in Tangipahoa Parish, possessed at total of eight firearms on June 6, 2016 and June 8, 2016.
U.S. Attorney Evans praised the work of the Bureau of Alcohol, Tobacco, Firearms and Explosives in investigating this matter. The prosecution of this case was handled by Assistant U.S. Attorney Jonathan L. Shih.
Georgia Man Sentenced to Prison for Failing to Update Sex Offender Registration in New MexicoRead the Press Release
ALBUQUERQUE – Dustin Blake Otwell, 30, of Gainesville, Ga., was sentenced yesterday in federal court in Santa Fe, N.M., to 299 days in prison followed by five years of supervised release for violating the Sex Offender Registration and Notification Act (SORNA). Otwell will be required to register as a sex offender after completing his prison sentence.
SORNA, also known as the Adam Walsh Protection and Safety Act, requires that a convicted sex offender register in each jurisdiction where the offender resides, where the offender is employed, or where the offender is a student, and that the sex offender maintain current registrations.
Otwell was charged by indictment on Feb. 7, 2017, with violating SORNA by failing to update his sex offender registration from Aug. 17, 2016 through Jan. 17, 2017, in Colfax County, N.M. On June 22, 2017, Otwell pled guilty to the indictment without the benefit of a plea agreement.
This case was investigated by the U.S. Marshals Service and was prosecuted by Assistant U.S. Attorney Raquel Ruiz-Velez.
Georgia Man Sentenced to 135 Months in Federal Prison for Distributing MethamphetamineRead the Press Release
AMARILLO, Texas — An Atlanta, Georgia, man, Jaime Bowling, 28, was sentenced this week by U.S. District Judge Sidney A. Fitzwater to 135 months in federal prison for his role in the distribution of methamphetamine, announced U.S. Attorney Erin Nealy Cox of the Northern District of Texas.
Bowling has been in custody since his arrest in February 2017 on a related federal criminal complaint. He pleaded guilty in August 2016 to one count of possession with intent to distribute 500 grams or more of methamphetamine.
According to the plea agreement factual resume filed in the case, on February 10, 2017, law enforcement stopped a vehicle for speeding. The driver was identified as co-defendant Enrique R. Stoddard and the passenger was identified as Bowling. The Trooper requested a canine unit perform an air sniff test on the vehicle after noticing indicators of possible criminal activity.
Law enforcement located two plastic antifreeze bottles, containing approximately seven kilograms of liquid methamphetamine, concealed inside a piece of luggage in the trunk of the vehicle. There was liquid and dried crystalized methamphetamine on the exterior of the bottle. There were other items of luggage used to keep the bottles upright, including a black bag belonging to Bowling.
Bowling admitted that he and Stoddard had flown to Los Angeles, California and rented a car on February 8, 2017. On February 9, 2017, Bowling picked up liquid methamphetamine and was supposed to transport that liquid methamphetamine to another state.
The Drug Enforcement Administration and Texas Department of Public Safety investigated the case. Assistant U.S. Attorney Anna Bell was in charge of the prosecution.
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Four Previously Deported Aliens Charged with Illegal Re-EntryRead the Press Release
HARRISBURG – The United States Attorney’s Office for the Middle District of Pennsylvania announced today that four previously deported aliens were indicted separately on January 10, 2018, by a federal grand jury for illegal re-entry into the United States by a previously deported alien.
According to United States Attorney David J. Freed, Brayan Rebolorio-Paredes, age 29, of Guatemala, was previously deported from the United States to Guatemala in October 2014. He is alleged to have illegally re-entered the United States sometime after October 2014, and was found in the United States in Dauphin County, Pennsylvania after eluding examination or inspection by immigration officers.
Josue Sica-Pu, age 27, of Guatemala, was previously deported from the United States to Guatemala in October 2009. He is alleged to have illegally re-entered the United States sometime after October 2009, and was found in the United States in Franklin County, Pennsylvania after eluding examination or inspection by immigration officers.
Oscar Madrigal-Lupian, age 29, of Mexico, was previously deported from the United States to Mexico in June 2007. He is alleged to have illegally re-entered the United States sometime after June 2007 and was found in the United States in Adams County, Pennsylvania after eluding examination or inspection by immigration officers.
Nelson Escobar-Escobar, age 36, of El Salvador, was previously deported from the United States to El Salvador in December 2010. He is alleged to have illegally re-entered the United States sometime after December 2010, and was found in the United States in York County, Pennsylvania after eluding examination or inspection by immigration officers.
Under federal law, Rebolorio-Paredes, Sica-Pu, Madrigal-Lupian and Escobar-Escobar all face a maximum penalty of two years of imprisonment, a term of supervised release following imprisonment, and a fine.
These cases were investigated by U.S. Immigration and Customs Enforcement and Removal Operations (ERO). Special Assistant United States Attorney Brian G. McDonnell is prosecuting the cases.
Indictments and Criminal Informations are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant's educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
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Four Individuals Arrested at the Luis Muñoz Marín International Airport with Approximately 80 Kilograms of CocaineRead the Press Release
SAN JUAN, Puerto Rico – On January 10, 2018, a federal grand jury in the District of Puerto Rico returned an indictment against two defendants charged with conspiracy to possess with intent to distribute cocaine and possession with the intent to distribute cocaine, announced Rosa Emilia Rodríguez-Vélez, United States Attorney for the District of Puerto Rico.
On December 27, 2017, Puerto Rico Police Department (PRPD) agents assigned to the AirTAT located in the Luis Muñoz Marín International Airport (LMMIA) were conducting routine inspections on the luggage departing from Puerto Rico when a PRPD K-9 alerted positive to an odor of narcotics on four suitcases. Two of the checked baggage tags contained the passenger name of Christian Colón-Hernández. The other two suitcases checked baggage tags contained the passenger name of Jomar Ferrer-Mercado.
Both Colón-Hernández and Ferrer-Mercado were located in the jet bridge area and both voluntarily gave PRPD agents consent to search their suitcases. Agents opened the suitcases and discovered approximately 10 kilograms of cocaine in each suitcase for a total of approximately 43 kilograms of cocaine.
On January 9, 2018, Transportation Security Administration (TSA) was conducting routine screening scans of checked luggage at the LMMIA when the screening machine flagged a red plastic suitcase for anomalies that could be consistent with potential explosives. When a Transportation Security Officer (TSO) opened the suitcase, they observed approximately 10 kilograms of cocaine. The red plastic suitcase contained bag check tags for passenger Tiffany Nashyra Campos-Adorno.
During the same time period, PRPD agents assigned to the AirTAT were conducting routine inspections on the luggage departing from Puerto Rico when a PRPD K-9 alerted positive to an odor of narcotics on a suitcase checked with a baggage tag for passenger Tiffany Nashyra Campos-Adorno.
Campos-Adorno was located in the jet bridge area and voluntarily gave PRPD agents consent to search her suitcases. Agents opened the suitcases and discovered approximately 10 kilograms of cocaine in each suitcase for a total of approximately 22 kilograms of cocaine. Campos-Adorno was subsequently arrested and charged via federal criminal complaint with possession with the intent to distribute controlled substances.
On January 10, 2018, FBI agents were notified by AIRTAT agents that gate employees at LMMIA had reported suspicious behavior by passenger Krystal Dones-Cruz during the moments when officers intervened with Campos-Adorno. According to the gate employees, Dones-Cruz abruptly approached gate agents in the terminal and advised that her father was sick and that she had to leave the airport. According to the gate employees, Dones-Cruz left the terminal in haste, leaving behind two checked bags that were already loaded onto the flight. The FBI was later able to confirm Dones-Cruz’s behavior via video surveillance.
Agents at John F. Kennedy (JFK) Airport in New York were able to recover Dones-Cruz’s two checked bags when they arrived to JFK. Agents discovered approximately 10 kilograms of cocaine in each suitcase for a total of approximately 20 kilograms of cocaine. FBI agents were able to locate Dones-Cruz; she was subsequently arrested and charged via federal criminal complaint with possession with the intent to distribute controlled substances.
Assistant U.S. Attorney Stuart J. Zander is in charge of the prosecutions, under the supervision of Assistant U.S. Attorney Julia Díaz-Rex, Deputy Chief of the International Narcotics Unit. If convicted the defendants face a minimum sentence of 10 years up to life in prison. Indictments contain only charges and are not evidence of guilt. Defendants are presumed to be innocent until and unless proven guilty.
This case is part of the ongoing efforts of the Airport Investigations and Tactical Team (AirTAT). Originating in January 2015, AirTAT is a multi-agency initiative created to identify, locate, disrupt, dismantle, and prosecute Domestic and Transnational Criminal Organizations (DTCOs) and its operatives using the LMMIA, the Fernando Luis Rivas Dominicci Airport (the Isla Grande airport), and peripheral airports as platforms to smuggle narcotics, weapons, human cargo, counterfeit documents and illicit proceeds. These airports play a strategic role for DTCOs to conduct contraband smuggling activities inbound and outbound to the continental United States as well as international destinations.
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Former Veterans Affairs Official Agrees to Plead Guilty to Federal Charges after Taking Bribes for Years from Parking Lot OperatorRead the Press Release
LOS ANGELES – A former contract officer with the United States Department of Veterans Affairs was charged today with filing a false federal tax return and lying to VA investigators when he denied taking bribes from the operator of parking lots at the VA’s Los Angeles medical campuses.
Ralph Tillman, 58, of Whittier, who was a VA contract officer until he resigned in 2014 after being confronted by special agents with the VA’s Office of Inspector General, was named in a criminal information filed today that charges him with making false statements and subscribing to a false tax return.
In a plea agreement also filed today, Tillman agreed to plead guilty to the two felony offenses and admitted that he took well over $250,000 in bribes from the parking lot operator, Richard Scott, the owner of Westside Services LLC (WSS), which for years had a contract to operate parking lots across the VA Greater Los Angeles Healthcare System (VA GLAHS).
Scott, 58, faces charges – including conspiracy and major fraud against the United States – contained in a 15-count indictment returned by a federal grand jury last month. Scott allegedly paid bribes to Tillman to conceal a scheme in which he allegedly failed to pay the VA more than $11 million generated by his operation of parking facilities at VA GLAHS. The vast majority of the activity authorized under the WSS contract took place at the West Los Angeles VA Medical Center near Westwood.
As part of his duties at the VA, Tillman was responsible for managing contracts with “sharing partners,” such as WSS, which were required to perform services for the VA and share revenues with the agency. In his plea agreement, Tillman admitted that he approached Scott in late 2003 and solicited a bribe to pay for a family matter. One to two years later, Scott began making monthly cash payments to Tillman, with Scott personally delivering the bribes in sealed FedEx envelopes, according to the plea agreement.
In return for the cash bribes, Tillman admitted in the plea agreement that he failed to scrutinize annual statements from WSS that Tillman knew contained inaccurately reported revenues and expenses. Tillman also admitted that he knew Scott was defrauding the VA out of millions of dollars, and that he entered into a contract extension with WSS in 2011 to continue the fraud and bribery scheme.
During an interview with special agents with VA’s Office of Inspector General in September 2014, Tillman denied accepting money or anything of value from Scott. This conduct forms the basis of the false statements charge.
Tillman specifically admitted that he took $286,250 from Scott from 2003 through last year. According to the plea agreement, Tillman continue to receive money from Scott after his retirement and these payments constituted “hush money.”
Tillman failed to report the bribe payments on his federal tax returns, and he agreed to plead guilty to subscribing to a false tax return for the 2014 tax year.
Tillman has agreed to appear in United States District for an arraignment on January 31.
Once he pleads guilty to the two offenses charged in the criminal information, Tillman will face a statutory maximum sentence of eight years in federal prison.
The VA contract with WSS was terminated in early 2017 after the VA settled a lawsuit that challenged the VA’s use of its West Los Angeles campus for any purposes not specifically related to the care and housing of veterans. Pursuant to an agreement, WSS was allowed to continue to operate the parking lots until this month.
During an arraignment last month, Scott pleaded not guilty to the charges contained in the indictment. He is currently scheduled to go on trial before United States District Judge R. Gary Klausner on February 6.
An indictment contains allegations that a defendant has committed a crime. Every defendant is presumed to be innocent until and unless proven guilty in court.
The cases against Tillman and Scott are the result of an ongoing investigation being conducted by the United States Department of Veterans Affairs, Office of Inspector General; the Federal Bureau of Investigation; and IRS Criminal Investigation.
These cases are being handled by Assistant United States Attorney Ruth C. Pinkel of the Public Corruption and Civil Rights Section.
Former Stock Broker Sentenced for Microcap Stock Manipulation SchemeRead the Press Release
BOSTON – A former New Hampshire stockbroker was sentenced yesterday for his role in a market manipulation scheme which was actually part of an undercover operation.
Robert Raffa, 57, of Penacook, N.H., was sentenced by U.S. District Court Chief Judge Patti B. Saris to two years in prison and two years of supervised release. In September 2017, he pleaded guilty to one count of conspiracy to commit securities and wire fraud, one count of securities fraud, and three counts of wire fraud.
In April 2016, Raffa and a co-conspirator were arrested and charged in connection with their role in a scheme to manipulate the market for the publicly traded securities of Green Energy Renewable Solutions Inc., a penny stock company that claimed to be in the business of developing and operating waste processing and recycling facilities near Detroit.
In early 2012, the conspirators used four foreign entities to covertly acquire nearly all of Green Energy’s unrestricted stock without reporting their controlling interest as required by law. They then hired a promoter to send blast e-mails touting Green Energy to potential investors, all while selling shares without disclosing that they had orchestrated the campaign encouraging investors to buy.
The initial promotion enabled the conspirators to sell more than 1.5 million shares of Green Energy stock for proceeds of over $900,000. However, as the conspirators continued to control a substantial amount of Green Energy stock after the promotion ended, they used manipulative trading techniques to stabilize Green Energy’s stock price while they searched for another promoter to run a second touting campaign. Their search led them to a stock promoter who was secretly cooperating with federal agents and an undercover agent who claimed to have access to a network of corrupt stockbrokers who would buy their shares in exchange for kickbacks. Raffa and his co-conspirator executed a trade in which they sold 174,000 shares of their Green Energy stock to an account purportedly controlled by a corrupt broker, which was in fact controlled by federal authorities. Following the trade, the conspirators wired a $6,000 kickback payment to an account they believed to be controlled by the corrupt broker, but which was actually controlled by federal authorities.
In a parallel action, the Securities and Exchange Commission (SEC) previously charged Raffa with securities fraud in connection with the scheme.
United States Attorney Andrew E. Lelling and Harold H. Shaw, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division made the announcement. The United States Attorney’s Office received valuable assistance from the SEC. Assistant U.S. Attorney Vassili Thomadakis of Lelling’s Criminal Division and SEC Attorney Andrew Palid, who was appointed as a Special Assistant U.S. Attorney, prosecuted the case.
Former Roseville Developer Pleads Guilty to $22 Million FraudRead the Press Release
SACRAMENTO, Calif. — Abolghasseni “Abe” Alizadeh, 59, of Granite Bay, pleaded guilty today to wire fraud, bank fraud and making false statements to a federally insured financial institution, U.S. Attorney McGregor W. Scott announced.
According to court documents, Alizadeh, a Sacramento-area commercial real estate developer, restauranteur and owner of Kobra Properties, came up with a scheme to fraudulently purchase land that he planned to develop. Banks usually loan up to 60–65 percent of the loan-to-value ratio (LTV) on undeveloped commercial property. (LTV ratio is the comparison between the amount of the loan and the value of the property.) To circumvent the banks and fraudulently get a higher level of financing, Alizadeh submitted altered purchase contracts to the banks that greatly inflated the purported purchase price. The banks, which competed for Alizadeh’s business, were unaware that the purchase prices were inflated and sometimes loaned well in excess of the loan-to-value ratio. By concealing the true purchase price from the banks, Alizadeh received substantial amounts of cash, sometimes millions of dollars, at the close of escrow and avoided making the full down payment or, in some instances, any down payment.
Alizadeh was assisted in this scheme by co-defendant Mary Sue Weaver, 64, currently of Scottsdale, Arizona and formerly of Lincoln, California, who was employed at a local title company. According to the plea agreement, Alizadeh would write checks for the down payment, but because he lacked funds to cover the checks, he would call Weaver and ask her to delay depositing the checks until after escrow closed. Once escrow closed, Weaver disbursed funds from the title company’s escrow trust account to Kobra Properties. Kobra Properties then used those funds to cover its down payment and other costs. In this way, it appeared as though Alizadeh was making a substantial down payment when in fact he was not.
On April 29, 2005, Alizadeh submitted a fraudulent purchase contract to Central Pacific Bank, which induced the bank to lend him nearly $4 million for the purchase of 10.3 acres of property. This loan represented over 96 percent loan-to-value ratio. Similarly, on October 21, 2005, Alizadeh received over $22 million in funding and loans to purchase the Turtle Island property, when in actuality, the original purchase price was $10 million. In March 2006, Alizadeh also falsely claimed to Bank of Sacramento that he was paying $36 per square foot for a piece of property where he intended to build a TGI Friday’s restaurant. In reality, Alizadeh was paying only $21 per square foot. This resulted in a $650,000 inflation of the true purchase price. Alizadeh’s entire scheme, involving no fewer than six properties in the Sacramento area, resulted in a loss to various financial institutions of over $22 million.
This case is the product of an investigation by the Federal Bureau of Investigation, the Internal Revenue Service, Criminal Investigation, and the Federal Deposit Insurance Corporation, Office of Inspector General. Assistant U.S. Attorney Michael D. Anderson and Heiko P. Coppola are prosecuting the case.
Alizadeh is scheduled to be sentenced by U.S. District Judge Garland E. Burrell Jr. on March 30, 2018. Co-defendant Weaver pleaded guilty to one count of wire fraud and one count of bank fraud on December 15, 2017, and is scheduled for sentencing on March 23, 2018. Alizadeh and Weaver face a maximum statutory penalty of thirty years in prison on each count and a $1 million fine. The actual sentence, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.
Former President of Maryland-Based Transportation Company Indicted on 11 Counts Related to Foreign Bribery, Fraud and Money Laundering SchemeRead the Press Release
An indictment against a former co-president of a Maryland-based transportation company that provides services for the transportation of nuclear materials to customers in the United States and abroad, was unsealed today for his alleged role in a scheme that involved the bribery of an official at a subsidiary of Russia’s State Atomic Energy Corporation.
Acting Assistant Attorney General John P. Cronan of the Justice Department’s Criminal Division, Acting U.S. Attorney Stephen M. Schenning of the District of Maryland, Principal Deputy Inspector General April G. Stephenson of the U.S. Department of Energy’s Office of Inspector General (DOE-OIG) and Assistant Director in Charge Andew W. Vale of the FBI’s Washington, D.C. Field Office made the announcement.
Mark Lambert, 54, of Mount Airy, Maryland, was charged in an 11-count indictment with one count of conspiracy to violate the Foreign Corrupt Practices Act (FCPA) and to commit wire fraud, seven counts of violating the FCPA, two counts of wire fraud and one count of international promotion money laundering. The charges stem from an alleged scheme to bribe Vadim Mikerin, a Russian official at JSC Techsnabexport (TENEX), a subsidiary of Russia’s State Atomic Energy Corporation and the sole supplier and exporter of Russian Federation uranium and uranium enrichment services to nuclear power companies worldwide, in order to secure contracts with TENEX.
The case against Lambert is assigned to U.S. District Court Judge Theodore D. Chuang of the District of Maryland.
According to the indictment, beginning at least as early as 2009 and continuing until October 2014, Lambert conspired with others at “Transportation Corporation A” to make corrupt and fraudulent bribery and kickback payments to offshore bank accounts associated with shell companies, at the direction of, and for the benefit of, a Russian official, Vadim Mikerin, in order to secure improper business advantages and obtain and retain business with TENEX. In order to effectuate and conceal the corrupt and fraudulent bribe payments, Lambert and others allegedly caused fake invoices to be prepared, purportedly from TENEX to Transportation Corporation A, that described services that were never provided, and then Lambert and others caused Transportation Corporation A to wire the corrupt payments for those purported services to shell companies in Latvia, Cyprus and Switzerland. Lambert and others also allegedly used code words like “lucky figures,” “LF,” “lucky numbers,” and “cake” to describe the payments in emails to the Russian official at his personal email account. The indictment also alleges that Lambert and others caused Transportation Corporation A to overbill TENEX by building the cost of the corrupt payments into their invoices, and TENEX thus overpaid for Transportation Corporation A’s services.
In June 2015, Lambert’s former co-president, Daren Condrey, pleaded guilty to conspiracy to violate the FCPA and commit wire fraud, and Vadim Mikerin pleaded guilty to conspiracy to commit money laundering involving violations of the FCPA. Mikerin is currently serving a sentence of 48 months in prison and Condrey is awaiting sentencing. The indictment includes allegations against Lambert based on his role in effectuating the criminal scheme with Condrey, Mikerin, and others.
The charges in the indictment are merely allegations, and the defendant is presumed innocent unless proven guilty beyond a reasonable doubt in a court of law.
The case is being investigated by DOE-OIG and the FBI. Assistant Chiefs Ephraim Wernick and Christopher J. Cestaro and Trial Attorney Derek J. Ettinger of the Criminal Division’s Fraud Section, as well as Assistant U.S. Attorneys David I. Salem and Michael T. Packard of the District of Maryland, are prosecuting the case.
The Criminal Division’s Office of International Affairs has provided significant assistance in this matter. The Department also thanks its law enforcement colleagues in Switzerland, Latvia and Cyprus for providing valuable assistance with the investigation and prosecution of the case.
The Criminal Division’s Fraud Section is responsible for investigating and prosecuting all FCPA matters. Additional information about the Justice Department’s FCPA enforcement efforts can be found at www.justice.gov/criminal/fraud/fcpa.
Former President of Maryland-Based Transportation Company Indicted on 11 Counts Related to Foreign Bribery, Fraud and Money Laundering SchemeRead the Press Release
FOR IMMEDIATE RELEASE Contact ELIZABETH MORSE
www.justice.gov/usao/md at (410) 209-4855
Greenbelt, Maryland – An indictment against a former co-president of a Maryland-based transportation company that provides services for the transportation of nuclear materials to customers in the United States and abroad, was unsealed today for his alleged role in a scheme that involved the bribery of an official at a subsidiary of Russia’s State Atomic Energy Corporation.
Acting Assistant Attorney General John P. Cronan of the Justice Department’s Criminal Division, Acting U.S. Attorney Stephen M. Schenning of the District of Maryland, Principal Deputy Inspector General April G. Stephenson of the U.S. Department of Energy’s Office of Inspector General (DOE-OIG) and Assistant Director in Charge Andew W. Vale of the FBI’s Washington, D.C. Field Office made the announcement.
Mark Lambert, 54, of Mount Airy, Maryland, was charged in an 11-count indictment with one count of conspiracy to violate the Foreign Corrupt Practices Act (FCPA) and to commit wire fraud, seven counts of violating the FCPA, two counts of wire fraud and one count of international promotion money laundering. The charges stem from an alleged scheme to bribe Vadim Mikerin, a Russian official at JSC Techsnabexport (TENEX), a subsidiary of Russia’s State Atomic Energy Corporation and the sole supplier and exporter of Russian Federation uranium and uranium enrichment services to nuclear power companies worldwide, in order to secure contracts with TENEX.
The case against Lambert is assigned to U.S. District Court Judge Theodore D. Chuang of the District of Maryland.
According to the indictment, beginning at least as early as 2009 and continuing until October 2014, Lambert conspired with others at “Transportation Corporation A” to make corrupt and fraudulent bribery and kickback payments to offshore bank accounts associated with shell companies, at the direction of, and for the benefit of, a Russian official, Vadim Mikerin, in order to secure improper business advantages and obtain and retain business with TENEX. In order to effectuate and conceal the corrupt and fraudulent bribe payments, Lambert and others allegedly caused fake invoices to be prepared, purportedly from TENEX to Transportation Corporation A, that described services that were never provided, and then Lambert and others caused Transportation Corporation A to wire the corrupt payments for those purported services to shell companies in Latvia, Cyprus and Switzerland. Lambert and others also allegedly used code words like “lucky figures,” “LF,” “lucky numbers,” and “cake” to describe the payments in emails to the Russian official at his personal email account. The indictment also alleges that Lambert and others caused Transportation Corporation A to overbill TENEX by building the cost of the corrupt payments into their invoices, and TENEX thus overpaid for Transportation Corporation A’s services.
In June 2015, Lambert’s former co-president, Daren Condrey, pleaded guilty to conspiracy to violate the FCPA and commit wire fraud, and Vadim Mikerin pleaded guilty to conspiracy to commit money laundering involving violations of the FCPA. Mikerin is currently serving a sentence of 48 months in prison and Condrey is awaiting sentencing. The indictment includes allegations against Lambert based on his role in effectuating the criminal scheme with Condrey, Mikerin, and others.
The charges in the indictment are merely allegations, and the defendant is presumed innocent unless proven guilty beyond a reasonable doubt in a court of law.
The case is being investigated by DOE-OIG and the FBI. Assistant Chiefs Ephraim Wernick and Christopher J. Cestaro and Trial Attorney Derek J. Ettinger of the Criminal Division’s Fraud Section, as well as Assistant U.S. Attorneys David I. Salem and Michael T. Packard of the District of Maryland, are prosecuting the case.
The Criminal Division’s Office of International Affairs has provided significant assistance in this matter. The Department also thanks its law enforcement colleagues in Switzerland, Latvia and Cyprus for providing valuable assistance with the investigation and prosecution of the case.
The Criminal Division’s Fraud Section is responsible for investigating and prosecuting all FCPA matters. Additional information about the Justice Department’s FCPA enforcement efforts can be found at www.justice.gov/criminal/fraud/fcpa.
Former Hospital Owner Sentenced to over 5 Years in Prison for Orchestrating Scheme that Paid over $40 Million in Illegal Kickbacks to Doctors, Other Medical Professionals for Spinal Surgery ReferralsRead the Press Release
SANTA ANA, California – A federal judge today sentenced the former owner of Pacific Hospital in Long Beach to 63 months in prison for overseeing a 15-year-long health care fraud scheme that involved more than $40 million in illegal kickbacks paid to doctors and other medical professionals in exchange for referring thousands of patients who received spinal surgeries.
The scheme operated by Michael D. Drobot led to more than $500 million in fraudulent bills being submitted during last five years of the scheme – much of which was paid by the California worker’s compensation system.
Drobot, 73, of Corona Del Mar, was sentencing this morning by United States District Judge Josephine L. Staton, who noted that Drobot “introduced greed into the doctor-patient relationship.”
Drobot pleaded guilty in 2014 to charges of conspiracy and paying illegal kickbacks, admitting that he orchestrated a wide-ranging fraud scheme in which “[t]housands of patients received surgeries at Pacific Hospital not knowing that [Drobot] bribed their physician to perform their surgery at Pacific Hospital,” prosecutors wrote in a sentencing memorandum filed with the court. Drobot “was motivated by greed and ultimately profited millions of dollars through the scheme.”
From at least 1997 through 2013, Drobot, who owned and/or operated Pacific Hospital during this time, ran a scheme in which he billed workers’ compensation insurers hundreds of millions of dollars for spinal surgeries performed on patients who had been referred by dozens of doctors, chiropractors and others who were paid illegal kickbacks.
“The patients believed that they were receiving conflict-free medical advice when, in fact, [Drobot] illegally incentivized their physician to perform the surgery at Pacific Hospital,” prosecutors said in court documents.
The kickbacks were financed largely by money generated from Drobot’s sale of medical devices implanted into state workers’ comp patients during spinal surgeries. Drobot set up a scheme that exploited a now-repealed California law known as the spinal “pass-through” legislation, which permitted hospitals to pass on to workers’ comp insurers the full cost of medical devices implanted in spinal surgery patients.
Drobot generated the kickback money through his own medical hardware company – the Newport Beach-based International Implants (I2) – to sell hardware used in spinal surgeries performed at Pacific Hospital. I2 submitted bills to Drobot’s Hospital and tacked on an additional $250 per device knowing that the “pass-through” law required to state to pay the full amount of the invoices.
“Through the operation of I2, [Drobot] generated substantial profits that he used to pay at least $40 million dollars in kickbacks,” prosecutors wrote in court papers. “According to the former CFO of Pacific Hospital, his income, bonuses, and other compensation at the hospital was in excess of $20,000,000.”
As part of the health care fraud scheme, Drobot paid bribes to California State Senator Ronald Calderon in exchange for Calderon performing official acts to keep the spinal pass-through law on the books. Calderon is currently serving a 3½-year sentence in federal prison after admitting that he took bribes from Drobot and undercover FBI agents.
Drobot typically paid a kickback of $15,000 per lumbar fusion surgery and $10,000 per cervical fusion surgery. Some of the patients lived as much as hundreds of miles away from Pacific Hospital, and closer to other qualified medical facilities.
Drobot and his co-conspirators concealed the kickback payments by entering into bogus contracts with the doctors, chiropractors, and others who received kickbacks. In reality, the contracts merely provided a cover story for the kickback payments.
In addition to the prison term, which Drobot will begin serving on June 4, Judge Staton imposed a $500,000 criminal fine and issued an order directing Drobot to forfeit $10 million to the government. As part of the forfeiture judgment, which Judge Staton signed on Wednesday, Drobot was ordered to liquidate assets that include real estate and a 1965 Aston Martin, a 1958 Porsche, and a 1971 Mercedes Benz.
Judge Staton has scheduled a restitution hearing for May 11.
In addition to Drobot, prosecutors have charged seven other defendants in relation to the kickback scheme. The seven additional defendants – which include Drobot’s son, Michael R. Drobot – have pleaded guilty and are scheduled to be sentenced by Judge Staton over the next two months.
The ongoing investigation into the spinal surgery kickback scheme is being conducted by the Federal Bureau of Investigation; IRS Criminal Investigation; the California Department of Insurance; and the United States Postal Service, Office of Inspector General.
The case against Drobot was being handled by Assistant United States Attorneys Joseph T. McNally and Scott D. Tenley of the Santa Ana Branch Office, and Ashwin Janakiram of the Major Frauds Section.
Former Elmer postal route carrier pleads guilty to burning U.S. mailRead the Press Release
ALEXANDRIA, La. – United States Attorney Alexander C. Van Hook announced that a former U.S. Postal employee from Pitkin pleaded guilty Thursday to burning U.S. mail.
Mark Wayne Thompson, 50, of Pitkin, La. pleaded guilty before U.S. District Judge Dee D. Drell to one count of use of delay or destruction of mail by a postal employee. According to the guilty plea, Thompson took mail from his rural postal route in Elmer, La., to his residence from December 1, 2016 to May 1, 2017 where he burned it. He estimated that he burned at least 20 tubs of mail.
Thompson faces up to five years in prison, three years of supervised release and a $250,000 fine. The court set an April 6, 2018 sentencing date.
The U.S. Postal Service-Office of Inspector General conducted the investigation. Assistant U.S. Attorneys T. Forrest Phillips is prosecuting the case.
Former Cashier at U.S. Naval Base in Japan Sentenced for Theft of Nearly $100,000Read the Press Release
KANSAS CITY, Mo. – Timothy A. Garrison, United States Attorney for the Western District of Missouri, announced that a Filipino woman who fled from Japan to the United States before being arrested in Overland Park, Kan., was sentenced in federal court today for stealing the equivalent of nearly $100,000 at a U.S. Naval base in Japan.
Cynthia Lopez Creseni 60, a citizen of the Philippines, was sentenced by U.S. District Judge Beth Phillips to two years in federal prison without parole. The court also entered a judicial order of removal for Creseni to be removed to the Philippines following incarceration.
On Aug. 18, 2017, Creseni pleaded guilty to theft of public money for stealing the equivalent of $99,068 from the Morale Welfare and Recreation Center (MWR) at the Yokosuka Naval Base in Japan, in violation of 18 U.S.C. § 641.
The Naval Criminal Investigative Service (NCIS) was notified about the theft of approximately $85,500 and ¥ 1,620,000 (aggregate value of $99,068) from a safe assigned to Creseni at the MWR cash cage. Creseni, who had worked at the base in various positions since 2000, served as the lead cashier of the game/slot room at the time of the theft.
Creseni officially reported the funds missing from her assigned safe after returning from a vacation to the United States in February 2015. Creseni, who denied taking the money, was placed on administrative leave pending the outcome of an investigation.
In order to conceal her illegal behavior, Creseni secured loans from other people and a local bank in Japan to pay back the money so her thefts would not be detected by an audit. According to court documents, she also lied as to how much money she inventoried and falsified reconciliation documents that made the money appear as if it were accounted for during official audits. She spent the stolen money on plane tickets, a residence in Japan, and sent some of the money to her family in the Philippines.
According to court documents, Creseni sold her house and fled from Japan 11 days after being interviewed by NCIS. She used the stolen proceeds to finance both her return to the Philippines and her trip to the United States, where she spent the remaining $20,000 of the stolen money to pay for her living expenses.
Interviews of Creseni’s co-workers revealed that she might have had some financial problems. When investigators attempted to interview Creseni at her residence in Japan, they learned that she had vacated her home, sold it and moved to the Philippines. Efforts were made to locate Creseni in the Philippines, but were unsuccessful. Agents learned that Creseni entered the United States on July 15, 2015.
It took nearly two years for federal agents to track down Creseni, which they were able to do by obtaining subpoenas to obtain subscriber records from her Facebook and AT&T accounts. On Jan. 24, 2017, Creseni was located in Overland Park, Kan., and arrested by federal agents for immigration violations for overstaying her visa.
This case was prosecuted by Special Assistant U.S. Attorney Kim Moore and Sasha N. Rutizer of the Department of Justice Criminal Division’s Human Rights and Special Prosecutions Section. It was investigated by the Naval Criminal Investigative Service (NCIS) with assistance from Immigration and Customs Enforcement's (ICE) Homeland Security Investigations (HSI).
Florida Man Sentenced for Cocaine ConspiracyRead the Press Release
U.S. Attorney Duane A. Evans announced that ALEXANDER CASTRO, age 43, of Cape Coral, Florida, was sentenced on January 11, 2018 after previously pleading guilty to one count of conspiracy to distribute cocaine.
United States District Judge Lance M. Africk sentenced CASTRO to 84 months of imprisonment, followed by 5 years of supervised release.
According to court documents, CASTRO was stopped on Interstate 12 in Tangipahoa Parish on December 15, 2015. After searching his vehicle, law enforcement seized approximately 6.9 kilograms of cocaine from a hidden compartment. Law enforcement learned that CASTRO was transporting cocaine and drug proceeds between Florida and Texas.
U.S. Attorney Evans praised the work of the Department of Homeland Security, Homeland Security Investigations, in investigating this matter. The prosecution of this case was handled by Assistant U.S. Attorney Jonathan L. Shih.
Evergreen Man Sentenced to 20 Years in Federal Prison for Armed RobberiesRead the Press Release
Montgomery, Alabama– On Wednesday, January 10, 2018, Kelvin Carnell Golden, 32, of Evergreen, Alabama, was sentenced to 240 months in federal prison for armed robbery, announced Louis V. Franklin, Sr., U.S. Attorney for the Middle District of Alabama. There is no parole in the federal system. In addition to 20 years in prison, Golden will be subject to 5 years of supervised release when his sentence is complete.
On March 20, 2017, Golden entered the Trustmark Bank in Georgiana. He approached a teller, pointed a handgun at her and demanded large bills. The teller complied and Golden escaped with over $10,000. The break in the case came when the Georgiana Police Department received an anonymous tip from someone who saw surveillance video of the robbery on Crime Stoppers and recognized Golden.
While the Georgiana investigation was ongoing, Golden entered the Hilltop Food Mart in Greenville on April 4, 2017 and pointed a handgun at the clerk. He demanded money from the register and left with nearly $900. When surveillance footage was reviewed, investigators realized it was the same person who had robbed the Trustmark Bank in Georgiana.
Golden was ultimately apprehended by the United States Marshals in Pensacola, Florida, and confessed to both robberies. Golden’s sentence was 156 months for the robberies, with an additional 84 months for brandishing a firearm while committing a crime of violence, for a total of 240 months.
“First and foremost, we are thankful that the victims were not harmed, because this situation could have been much worse,” said U.S. Attorney Franklin. “This type of violent crime is our top priority, and I hope that this 20 year sentence sends the message that my office will prosecute offenders to the fullest extent of the law. I want to thank our law enforcement partners for their hard work, as well as the citizens who helped break this case.”
"The FBI will continue to make this type of violent crime a priority and are also thankful for the public's assistance with this offender,” stated FBI Acting Special Agent in Charge Bret Kirby. “The continued cooperation between the dedicated state and local law enforcement, the U.S. Attorney’s Office, and the FBI will continue to strengthen the ability to combat these violent offenders who defy the laws of our great country."
“I would like to thank all of our law enforcement partners for assisting in this investigation, and the U.S. Attorney’s Office for prosecuting the case,” said Georgiana Police Chief Carlton Cook. “I would also like to thank Crime Stoppers for their assistance. If not for the tip we received from them, this investigation would have taken a lot more time and resources. The individual that provided the tip did a great service for our community, and I am grateful that the community was patient while this case was being investigated.”
“This was a very dangerous individual who was committing violent felonies in multiple communities,” said Greenville Police Chief Justin Lovvorn. “I am thankful for the combined efforts of all the agencies involved. The public is safer with him off the streets”
The case was investigated by Federal Bureau of Investigation along with the Georgiana Police Department and the Greenville Police Department. Assistant U.S. Attorney Brandon Bates prosecuted this case.
Doylestown Man to Pay $307,500 to Resolve Civil False Claims Allegations That He Illegally Received Federal Disability Benefits While Concealing Substantial Other IncomeRead the Press Release
PHILADELPHIA – Richard Cundari, of Doylestown, Pennsylvania, has agreed to pay $307,500 to resolve civil fraud claims under the False Claims Act. The government’s claims concern allegations that Cundari applied for and received occupational disability annuities that he was ineligible to receive due to income earnings in excess of the applicable limits. The civil resolution was announced today by United States Attorney Louis D. Lappen.
The Railroad Retirement Act provides benefits, in the form of occupational disability annuities, for railroad workers whose permanent physical or mental condition is such that they are unable to engage in any regular employment. The occupational disability annuity program is administered by the United States Railroad Retirement Board (RRB) and is financed by taxes paid by railroad employees. To qualify for these federal benefits, a worker’s income may not exceed certain limits established by the RRB. Benefits cannot be claimed or paid for any month in which a claimant earns income in excess of these limits. Disabled railroad workers who meet the requirements of the program must disclose to the RRB any employment and income that might affect their entitlement to benefits. Prior to 2007, the monthly earnings limit was $400 after deduction of disability-related work expenses. Beginning in 2007, the monthly earnings cap for disability annuitants increased as follows: 2007 – $700; 2008 – $730; 2009 – $770.
The government alleges that defendant Richard Cundari applied for and received disability benefits for approximately nine years – from 2001 through 2009 – during which time his income vastly exceeded the limit for disability benefit eligibility. For each year during that time period, Cundari received monthly benefit checks and deposited each check into his personal bank account. Due to his substantial other income, the government alleges that Cundari was not eligible to receive disability benefits and that Cundari knew he was not eligible to receive these benefits.
The claims resolved by this settlement agreement are allegations only and there has been no determination of liability.
The allegations arose from an investigation led by Special Agent Stephen Naudasher of the Railroad Retirement Board Office of Inspector General. The case was handled by Assistant United States Attorneys David A. Degnan and Charlene Keller Fullmer
Dominican National Sentenced to 136 Months in Prison for Dealing HeroinRead the Press Release
BOSTON – A Dominican national was sentenced today in federal court in Boston for his role in a Lawrence-based heroin trafficking conspiracy.
Juan Gonzalez-Arias, 42, a Dominican national formerly residing in Lawrence, was sentenced by U.S. District Court Judge Leo T. Sorokin to 136 months in prison, five years of supervised release, and ordered to pay forfeiture of $30,088, which was seized during a search of Gonzalez-Arias’ apartment. Gonzalez-Arias will be subject to deportation upon completion of his sentence. On Jan. 9, 2017, he pleaded guilty to one count of conspiracy to possess with intent to distribute and to distribute heroin, two counts of distribution of heroin, and one count of possession with intent to distribute and distribution of heroin.
Following an investigation, search warrants were executed on July 12 and 13, 2015, at the residence of Gonzalez-Arias, where agents recovered a firearm, 1.5 kilograms of heroin and $30,088, and at the residence of Jerri Martinez-Tejeda and Yoelly Carmenatty where over $500,000 in cash was in the process of being counted and packaged; two handguns; various items for the processing and packaging of narcotics; and approximately one kilogram of what is believed to be a cutting agent, a substance used to dilute the purity of heroin prior to sale, were recovered. Additionally, ledgers appearing to be part of the drug trafficking operation were recovered. Gonzalez-Arias, Martinez-Tejeda, and Carmenatty were arrested and charged - along with seven others - for their roles in the conspiracy.
In October 2016, Martinez-Tejeda was sentenced to 292 months in prison; and in January 2017, Carmenatty was sentenced to six years in prison.
United States Attorney Andrew E. Lelling and Michael J. Ferguson, Special Agent in Charge of the Drug Enforcement Administration, made the announcement today. Assistant U.S. Attorney Thomas E. Kanwit of Lelling’s Narcotics and Money Laundering Unit prosecuted the case.
Dominican National Sentenced for Heroin and Fentanyl ConspiracyRead the Press Release
BOSTON – A Dominican national was sentenced yesterday in federal court in Boston for his role in a heroin and fentanyl trafficking conspiracy that operated in Taunton and Boston.
Wilmi Hernandez-Diaz, 22, a Dominican national residing in Boston, was sentenced by U.S. District Court Judge Indira Talwani to 30 months in prison and three years of supervised release. Hernandez-Diaz will be subject to deportation proceedings upon completion of his sentence. In October 2017, Hernandez-Diaz pleaded guilty to one count of conspiracy to distribute and possess with intent to distribute heroin and fentanyl. In February 2017, Hernandez-Diaz was arrested and charged along with approximately 20 co-conspirators.
From mid-2016 through February 2017, federal law enforcement investigated two drug trafficking organizations operating in Taunton and Boston. Fernando Hernandez, a Dominican national residing in Providence, R.I., allegedly ran a heroin and fentanyl trafficking organization in Taunton. It is further alleged that Hernandez obtained drugs from a network of suppliers that included Lugo-Guerrero, a Dominican national, who operated a drug trafficking organization in Fall River and Boston. Lugo-Guerrero was assisted by Hernandez-Diaz and approximately seven others. It is further alleged that Lugo-Guerrero and his associates obtained a significant quantity of illegal drugs by robbing other drug traffickers.
Hernandez and Lugo-Guerrero each pleaded not guilty and are awaiting trial.
United States Attorney Andrew E. Lelling; Michael Ferguson, Special Agent in Charge of the Drug Enforcement Administration, Boston Field Division; Colonel Kerry A. Gilpin, Superintendent of the Massachusetts State Police; Fall River Police Chief Daniel S. Racine; New Bedford Police Chief Joseph C. Cordeiro; Taunton Police Chief Edward James Walsh; Boston Police Commissioner William B. Evans; and Bristol Country District Attorney Thomas M. Quinn made the announcement today. Assistant U.S. Attorney Theodore B. Heinrich of Lelling’s Narcotics and Money Laundering Unit prosecuted the case.
The details contained in the charging documents are allegations. The remaining defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Crips Gang Member to Serve A Total of 28 Years in Prison for Federal and State ConvictionsRead the Press Release
Earlier today, at the federal courthouse in Central Islip, Rudy Montour, a Crips street gang member, was sentenced by United States District Judge Joanna Seybert to 15 years of imprisonment following his April 2017 plea of guilty. The charge arose out of the defendant’s participation in the Rollin’ 60s set of the Crips, a street gang based in Roosevelt, New York, that was responsible for gun violence and drug trafficking for over a decade. The sentence was imposed to run consecutive to a 13-year New York State prison term of incarceration that Montour is currently serving, thereby requiring him to serve a total of 28 years.
Richard P. Donoghue, United States Attorney for the Eastern District of New York, William F. Sweeney, Jr., Assistant Director-in-Charge, Federal Bureau of Investigation, New York Field Office (FBI), and Patrick J. Ryder, Acting Commissioner, Nassau County Police Department (NCPD), announced the sentence.
“Rudy Montour chose to kill for the Crips, and now he can serve time for the gang,” stated United States Attorney Donoghue. “This conduct will not be tolerated and today’s sentence should send a message that this Office, together with our law enforcement partners, will pursue and prosecute members of violent street gangs who seek to inflict violence and fear on our communities.” Mr. Donoghue extended his grateful appreciation to the law enforcement agencies involved in the investigation, in particular the FBI’s Long Island Gang Task Force and the Gang Investigations Squad of the NCPD.
“The investigation into the Rollin’ 60 Crips had a significant impact on the community in Nassau County, stopping years of violence and crime,” stated FBI Assistant Director-in-Charge Sweeney. “The FBI Long Island Gang Task Force worked side-by-side with our law enforcement partners to bring down this criminal enterprise, and the pressure we are putting on these gangs won’t go away.”
“Defendant Montour is a known gang member and will face severe consequences for his role in the death of Jason Crafton,” stated NCPD Acting Commissioner Ryder. “The Crips and other violent gangs are committing heinous crimes, thus destroying the fabric of our communities and is not acceptable. The Nassau County Police Department has zero tolerance for these gangs and will continue to work cohesively with our law enforcement partners to eliminate them from our communities in order to keep our families and children safe. A job well done by all of our investigative partners.”
According to court filings and statements made during the guilty plea, Montour, also known as “Sus-1,” pleaded guilty to the June 13, 2010 murder of 27-year-old Jason Crafton. Montour shot and killed Crafton outside of a house party in Uniondale, New York for disrespecting a fellow Crips gang member. In addition to the murder of Jason Crafton, Montour was responsible for several robberies committed on behalf of the Crips, including the robbery of an aspiring rapper in Roosevelt, as well as trafficking several firearms from Alabama to New York for the gang to use in its war against the rival Bloods street gang. Montour, who competed with fellow Crips member, Eric Smith, for the title of “top shooter” within the gang, is currently serving a 13-year state prison sentence for attempted murder for his involvement in a 2011 shooting directed at the home of a rival gang member in Freeport, New York.
The government’s investigation has led to the arrest and conviction of more than 20 members and associates of the Rollin’ 60s Crips, including its founder Raphael Osborne, who was sentenced in January 2017 to three life sentences plus 145 years. Eric Smith, the gang’s most violent member, was convicted of racketeering and murder in aid of racketeering, among other charges and faces a mandatory life sentence. To date, 11 defendants have been sentenced since the inception of the case:
- on June 21, 2016, Jahmani Hamilton was sentenced to a term of imprisonment of ten years;
- on August 4, 2016, Kurtis Philip was sentenced to a term of imprisonment of ten years;
- on August 5, 2016, Courtney Smith was sentenced to a term of imprisonment of ten years;
- on September 23, 2016, Merlyn Benitez was sentenced to a term of imprisonment of ten years;
- on October 13, 2016, Derick Hernandez was sentenced to a term of imprisonment of 20 years that will run consecutively to a four-year state sentence that he is presently serving;
- on October 19, 2016, Kwame Lake was sentenced to a term of imprisonment of five years that will run consecutively to an eight-year state sentence that he is presently serving;
- on November 4, 2016, Tyshawn Gitto was sentenced to 13 years’ imprisonment;
- on January 13, 2017, Branden Short was sentenced to 30 months’ imprisonment;
- on January 13, 2017, Raphael Osborne was sentenced to three life terms, plus 145 years’ imprisonment;
- on April 21, 2017, Rommel Lobban was sentenced to 15 years’ imprisonment;
- on April 25, 2017, Daquanne Nunn was sentenced to 13 years’ imprisonment; and
- the remaining defendants are pending sentence.
The government’s case is being handled by the Office’s Long Island Criminal Division. Assistant United States Attorneys Nicole Boeckmann, Christopher C. Caffarone and Michael Maffei are in charge of the prosecution.
The Defendant:
RUDY MONTOUR (also known as “Sus-1”)
Age: 30
Roosevelt, Long IslandE.D.N.Y. Docket No. 14-CR-264 (JS)
Corporation Convicted of Criminal Negligence in Grede Foundry Asbestos Exposure CaseRead the Press Release
Gregory J. Haanstad, United States Attorney for the Eastern District of Wisconsin, announced that on January 11, 2018, the corporate owner of the now shuttered Grede foundry located in Berlin, Wisconsin, paid a maximum fine of $200,000 and pled guilty to a criminal violation of Title 42, United States Code, Section 7413(c)(4), a provision of the Clean Air Act.
Under the terms of the plea agreement, Grede L.L.C. acknowledged that in January of 2012, foundry management negligently ordered numerous employees to remove asbestos-containing insulation material from the roof of an inactive industrial oven. The work on the oven released chrysotile asbestos fibers into the air. The company failed to provide the workers with adequate personal protective equipment, or follow standard asbestos abatement procedures, placing the workers in imminent danger of serious bodily injury.
In addition to the fine, Grede L.L.C. agreed to provide the eleven (11) affected workers with over $340,000 to provide for future medical monitoring for mesothelioma and similar lung conditions.
"It is well known that asbestos exposure is hazardous to human health,” said Brad Ostendorf, Assistant Special Agent in Charge of EPA’s criminal enforcement program for Region 5. “If materials containing asbestos aren’t handled safely – and legally – workers and the community can be placed at great risk. EPA and its partner agencies are committed to protecting both the environment and public health.”
The U.S. Environmental Protection Agency’s Criminal Investigation Division, the U.S. Department of Labor’s Occupational Safety and Health Administration (OSHA), and the Wisconsin Department of Natural Resources investigated this case. The U.S. Environmental Protection Agency, Region 5, and the U.S. Attorney’s Office jointly prosecuted the case for the Eastern District of Wisconsin.
# # #
For further information contact:
Activing Public Information Officer Elizabeth Makowski, 414-297-1700
Co-Conspirator Sentenced in Multi-Million Bank Fraud SchemeRead the Press Release
HOUSTON – A Houston-area man has been ordered to federal prison for perpetrating a scheme that caused a loss of more than $4 million to several local banks, announced U.S. Attorney Ryan K. Patrick. Gregory Roberson, 65, of Missouri City, pleaded guilty June 14, 2016.
Today, U.S. District Judge Gray Miller, who accepted the guilty plea, handed Roberson a 24-month sentence and ordered him to pay $3,081,942.14. The ringleader of the scheme, Andre Chenier, 44, of Houston, had previously been sentenced to 48 months in federal prison and ordered to pay more than $4.5 million in restitution. Both will also serve three years of supervised release following completion of their sentences.
From 2004 to 2012, Chenier obtained multi-million dollar commercial loans from several Houston-area banks by submitting false and fraudulent documents, including Bank of Texas and Third Coast Bank. The loan applications included falsified financial statements and fake income tax returns and were obtained using the Social Security numbers of identity theft victims. Chenier ultimately defaulted on both of these loans and others, resulting in a loss of $4,581,942. Chenier represented to banks that he owned various technology companies, when in fact the companies were fictitious and Chenier was merely living off loan proceeds.
Roberson assisted Chenier in the scheme by preparing falsified income tax forms and other documents to help Chenier obtain millions in commercial loans.
He was permitted to remain on bond pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
The FBI, Federal Deposit Insurance Corporation – Office of Inspector General and IRS – Criminal Investigation conducted the investigation. Assistant U.S. Attorney Belinda Beek is prosecuting the case.
Chico Man Pleads Guilty to Filming Sexual Abuse of a ChildRead the Press Release
SACRAMENTO, Calif. —Nathan Alexander Drury, 39, of Chico, pleaded guilty today to Production of Child Pornography, U.S. Attorney McGregor W. Scott announced.
According to court documents, between January 1, 2012, and December 1, 2014, Drury filmed a 47-second video of a nude child who was under the age of 12. The video that Drury produced shows the child being sexually abused.
This case is the product of an investigation by the U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI), the Federal Bureau of Investigation, and the Chico Police Department. Assistant U.S. Attorney Brian A. Fogerty is prosecuting the case.
Drury has been in custody since he was arrested on March 23, 2015.
Drury is scheduled to be sentenced by U.S. District Judge Garland E. Burrell Jr. on April 6, 2018. Drury faces a mandatory minimum sentence of 15 years in prison. The maximum statutory penalty is 30 years in prison and a $250,000 fine. The actual sentence, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute those who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc. Click on the “resources” tab for information about internet safety education.
Charlotte Investment Fund Operator Pleads Guilty to Securities Fraud and Tax EvasinRead the Press Release
CHARLOTTE, N.C. – Richard Wyatt Davis, Jr. 41, formerly of Cornelius, N.C., appeared before U.S. Magistrate Judge David S. Cayer today and pleaded guilty to one count of securities fraud and one count of tax evasion, announced R. Andrew Murray, U.S. Attorney for the Western District of North Carolina.
U.S. Attorney Murray is joined in making today’s announcement by Reginald DeMatteis, Special Agent in Charge of the United States Secret Service, Charlotte Field Office, and Matthew D. Line, Acting Special Agent in Charge of the Internal Revenue Service, Criminal Investigation Division (IRS-CI).
According to filed documents and today’s court proceedings, between 2010 and February 2015, Davis defrauded approximately 75 victims of $9.3 million, by inducing them to invest in investment funds Davis controlled, such as DCG Real Assets, as well as other investments, including H2O, LLC and Basalt Exploration. According to court records, Davis recruited his victim-investors by making a series of false and fraudulent representations about where their money would be invested. For example, Davis told investors that he would use their funds to invest in natural resources and assets such as real estate, gold mines, and water production, and touted these investments as a safe alternative to the stock market.
In reality, Davis used investor funds to pay for administrative and overhead expenses and to repay other investors. Davis also used some of the money to make direct and indirect payments to himself. These payments exceeded the amount he was entitled under fund materials. Court records show that Davis assured victims that their assets were growing in value despite lacking sufficient financial information to make these claims.
According to today’s plea hearing and filed court documents, Davis generally targeted investors residing in and around Charlotte. His clients included professional athletes and individuals Davis recruited through his church. Davis also spoke at events for “preppers” and survivalists, thereby targeting victim-investors who were fearful of the stock market and the banking system. Davis preyed upon these investors’ fears of traditional financial markets and took advantage of their trust into someone who shared their religious views. Court records show that a number of Davis’s victim investors had rolled over their entire retirement savings into his funds.
According to filed documents and today’s court proceedings, for tax years 2009 through 2012, Davis transferred more than $5 million of investor funds into bank accounts in his own name and in the names of Richard Davis Enterprises and Davis Financial, Inc. Davis used some of these funds, as well as funds directly out of other accounts of Davis’s businesses, on personal expenditures totaling over $2 million. However, Davis filed false tax returns for 2009 and 2011, which reflected negative total income and failed to file individual income tax returns for 2010 and 2012.
Davis is currently released on bond. The securities fraud charge carries a maximum prison term of 20 years and a $5,000,000 fine. The tax evasion charge carries a maximum prison term of 5 years and a $250,000 fine. A sentencing date for the defendant has not been set yet.
The investigation was handled by the USSS and IRS-CI. Assistant U.S. Attorney Jenny G. Sugar of the U.S. Attorney’s Office in Charlotte and Assistant U.S. Attorney Daniel Bradley of the U.S. Attorney’s Office in Asheville are in charge of the prosecution.
California Man Sentenced to Federal Prison for Distributing Child Pornography in PensacolaRead the Press Release
PENSACOLA, FLORIDA – Eladio L. Vazquez, 38, of Indio, California, was sentenced to 10 years in federal prison today, followed by 10 years of supervised release, after pleading guilty on December 26, 2017, to distribution of child pornography. As part of his sentence, Vazquez will also be required to register as a sex offender. The sentence was announced by Christopher P. Canova, United States Attorney for the Northern District of Florida.
Beginning in December 2016 and continuing for the next six months, a law enforcement officer using an undercover online account in Pensacola observed that an individual with multiple online identities was posting image and video files on social media platforms. Vazquez also used the dark web to engage in child pornography behavior. In June 2017, based upon investigative information, law enforcement officers in California executed a search warrant at Vazquez’s residence and located child pornography on Vazquez’s cellular devices and laptop. Forensically, law enforcement also located, within Vazquez’s cloud account, significant amounts of child pornography.
U.S. Attorney Canova said: “Child predators use the internet as a powerful tool to exploit innocent children, but together with our law enforcement partners, we will pursue those who seek to victimize the most vulnerable members of our society.”
“This criminal thought he had anonymity because of his use of social media,” said HSI Tampa Special Agent in Charge James C. Spero. “We want to use this child predator as a warning to those who will prey on children – we will find you and hold you accountable for your crimes.”
The case was investigated by the United States Immigration and Customs Enforcement Homeland Security Investigations, the Pensacola Police Department, the Riverside County (California) District Attorney’s Office, and the North Florida Internet Crimes Against Children Task Force. The case was prosecuted by Assistant United States Attorney David L. Goldberg.
The United States Attorney's Office for the Northern District of Florida is one of 94 offices that serve as the nation’s principal litigators under the direction of the Attorney General. To access public court documents online, please visit the U.S. District Court for the Northern District of Florida website. For more information about the United States Attorney’s Office, Northern District of Florida, visit http://www.justice.gov/usao/fln/index.html.
Brother of San Diego Man Killed Fighting for Isis Sentenced to 10 Years for Terrorism-Related Charges and Illegal Firearms PossessionRead the Press Release
Assistant U. S. Attorney Shane Harrigan (619) 546-6981 and Caroline Han (619) 546-6968
NEWS RELEASE SUMMARY – January 12, 2018
SAN DIEGO – Marchello Dsaun McCain, a convicted violent felon and the brother of Douglas McCain, the first known American who died fighting for the Islamic State of Iraq and al-Sham (ISIS), was sentenced in federal court today to 10 years in prison for his illegal possession of a cache of firearms and body armor and making false statements to federal agents involving international terrorism.
In a related case, the United States unsealed a two-count indictment charging Canadian national and former San Diego resident Abdullahi Ahmed Abdullahi with providing, and conspiring with Douglas and other individuals in the United States and Canada to provide, material support to terrorists engaged in violent activities in Syria, that is, a conspiracy to murder, kidnap and maim persons in a foreign country.
On March 9, 2014, Douglas McCain departed the U.S. and traveled to Syria where he joined and fought for ISIS. Approximately five months later, on or about August 25, 2014, Douglas McCain was killed in Syria fighting a battle against the Free Syrian Army. Following Douglas McCain’s death, Federal Bureau of Investigation Joint Terrorism Task Force (FBI-JTTF) agents interviewed Marchello McCain on several occasions from August 26, 2014 through January 23, 2015, when agents arrested him on federal firearms charges.
In January 2016, Marchello McCain, who was previously convicted of two felony crimes of violence in Minnesota involving assault with a firearm, pleaded guilty to five counts of possession of firearms and ammunition by a felon and one count of possession of body armor by a violent felon. Eight months later, in September 2016, he pleaded guilty to making false statements to FBI-JTTF agents concerning his assistance to and knowledge of individuals providing material support (personnel and money) to individuals engaged in violent terrorist activities abroad and ISIS, including Douglas McCain and Abdullahi.
As part of his guilty pleas, McCain admitted that he made material false statements to the agents about his knowledge of the purpose of his brothers’ travel abroad and the methods of payment and source of monies to fund such travel. McCain acknowledged that he possessed over nine firearms, which included a stolen firearm and several semi-automatic 9 mm pistols, an AR-15 style semi-automatic rifle and an M1 Carbine .30 caliber semi-automatic rifle with a large capacity magazine. Marchello McCain also admitted that on February 13, 2014, approximately three weeks prior to Douglas McCain’s departure to fight in Syria, Marchello McCain went to a San Diego gun range with his brother and shot firearms, including an AR-15 style semi-automatic rifle and a 12-gauge pump-action shotgun.
In imposing sentence, the court found that defendant’s obstructive conduct frustrated, delayed and thwarted the United States’ efforts to uncover the scope and membership of conspiracies to provide material support to terrorists and a foreign terrorist organization, ISIS.
“ISIS has brought the war on terror closer to home by directing and inspiring attacks in the U.S. and other countries, thereby putting American lives in danger,” said U.S. Attorney Adam Braverman. “By lying to federal agents, Marchello McCain delayed, frustrated and thwarted an investigation into a group that supplied U.S. and Canadian fighters to ISIS. We are committed to doing whatever it takes to protect American lives here and abroad.”
“Counterterrorism investigations are the highest priority investigations conducted by FBI Joint Terrorism Task Forces,” commented FBI Special Agent in Charge Eric S. Birnbaum. “When someone misleads or obstructs counterterrorism investigations, this can adversely affect investigative activity in these important cases. Today's sentence will hold Mr. McCain accountable for his actions and dissuade others from lying to law enforcement agents concerning international terrorism matters.”
The defendant’s lies, including his false statements regarding the source and means of the financing of Douglas’ travel were not only intended to prevent the United States from finding out about the involvement of Abdullahi and others, but were also intended to prevent the discovery of his own involvement.
As detailed in the United States’ pleadings, the defendant’s involvement included: agreeing to travel to Syria and join his brother in violent jihadist activities; assisting Douglas and others in traveling to Syria to engage in violent jihadist activities by taking Douglas to a gun range to target shoot semi-automatic weapons; depositing cash into his wife’s bank account and letting Douglas use his wife’s credit card to purchase plane tickets to Turkey, a known entry point for foreign fighters seeking to enter Syria, and to make hotel reservations; regularly communicating with Douglas and other individuals regarding the financial and logistical needs of foreign fighters in Syria; wiring $800 to an ISIS operative in Turkey to support Douglas and/or others engaged in violent jihadist activities; and engaging in obstructive conduct to conceal the material support conspiracies.
Notwithstanding the obstructive conduct of McCain, the United States continued its investigation of the terrorist activities of Douglas McCain, Abdullahi and others. On March 10, 2017, a federal grand jury in the Southern District of California returned a two-count sealed indictment charging Abdullahi with conspiring to provide, and providing, material support to terrorists.
On September 15, 2017, pursuant to an extradition request by the United States, Canadian authorities arrested Abdullahi. Abdullahi is currently detained in Canadian custody without bail, pending an extradition hearing scheduled for May 31, 2018. On January 3, 2018, the Abdullahi indictment was unsealed. Abdullahi is also facing charges in Canada for a January 9, 2014 armed robbery of an Edmonton jewelry store.
The Abdullahi indictment alleges that from in or about August 2013 through in or about November 2014, Abdullahi conspired with Douglas and other individuals to provide personnel and money to individuals engaged in terrorist activities in Syria, including the killing, kidnapping and maiming of persons. The charged conspiracy alleges the participation and/or assistance of Abdullahi and approximately 14 other individuals and spans four countries, the United States, Canada, Turkey and Syria.
In preparation for their travels, Douglas and other members of the conspiracy practiced with firearms in San Diego and Canada. According to the indictment, Abdullahi, Douglas and others agreed to travel to Syria to support and join terrorist fighters engaged in terrorist activity, including the killing, kidnapping and maiming of persons.
In order to raise funds to support their efforts to support and join terrorist fighters in Syria, members of the conspiracy encouraged others to commit crimes against the “kuffar” (an Arabic term meaning infidels or non-believers), such as theft. In furtherance of this material support conspiracy, the indictment alleges that on January 9, 2014, prior to the travel of Douglas and another coconspirator, Abdullahi committed an armed robbery of a jewelry store in Edmonton, Alberta, Canada, in order to finance the travel of Douglas and other members of the conspiracy to Syria. Thereafter, Abdullahi wired and caused others to wire money to other members of the conspiracy in the United States -- including approximately $3,100 to Douglas – in order to finance the travel of foreign fighters from North America to support and join terrorist fighters engaged in terrorist activities in Syria.
Additionally, members of the conspiracy, including Abdullahi, wired and caused money to be wired to third-party intermediaries in Gaziantep, Turkey (located approximately 40 miles from the Syrian border) for the purpose of supporting members of the conspiracy fighting and engaging in terrorist activity in Syria, including the killing, kidnapping, an maiming of persons.
The government alleges that because of the efforts of Abdullahi and other coconspirators, beginning in November 2013 through November 2014, five coconspirators, including Douglas McCain, traveled from North America to Syria, via Turkey, and acted as foreign fighters in Syria engaging in terrorist activity in Syria, including the murder of persons. Douglas McCain was killed in battle fighting for ISIS in August 2014. The remaining four coconspirators were all killed in Syria in mid-November 2014.
DEFENDANT Criminal Case No. 15CR0174-W
Marchello Dsaun McCain Age 35 San Diego, California
SUMMARY OF CHARGES
False Statements Involving International Terrorism – Title 18, U.S.C., Sections 1001(a)(2)
Maximum penalty: 8 years’ imprisonment and $250,000 fine (per count)
Felon in Possession of Firearms and Ammunition – Title 18, U.S.C., Sections 922(g)(1)
Maximum penalty: 10 years’ imprisonment and $250,000 fine.
Felon in Possession of Body Armor by a Violent Felon – Title 18, U.S.C., Sections 931
Maximum penalty: 3 years’ imprisonment and $250,000 fine.
DEFENDANT Criminal Case No. 17CR0622-W
Abdullahi Ahmed Abdullahi Age 33 Edmonton, Alberta, Canada
SUMMARY OF CHARGES
Conspiracy to Provide Material Support to Terrorists – Title 18, U.S.C., Sections 2339A(a)
Maximum penalty: 8 years’ imprisonment and $250,000 fine (per count)
Providing Material Support to Terrorists – Title 18, U.S.C., Sections 2339A(a)
Maximum penalty: 15 years’ imprisonment and $250,000 fine.
INVESTIGATING AGENCIES
San Diego Joint Terrorism Task Force
Federal Bureau of Investigation
Federal Air Marshal Service
Department of Homeland Security, Homeland Security Investigations
Department of Homeland Security, U.S. Border Patrol
Brother of San Diego Man Killed Fighting for ISIS Sentenced to 10 Years for Terrorism Related Charges and Illegal Firearms PossessionRead the Press Release
Marchello Dsaun McCain, a convicted violent felon and the brother of Douglas McCain, the first known American who died fighting for the Islamic State of Iraq and al-Sham (ISIS), was sentenced in federal court today to 10 years in prison for his illegal possession of a cache of firearms and body armor and making false statements to federal agents involving international terrorism.
In a related case, the United States unsealed a two-count indictment charging Canadian national and former San Diego resident Abdullahi Ahmed Abdullahi with providing, and conspiring with Douglas and other individuals in the United States and Canada to provide, material support to terrorists engaged in violent activities in Syria, that is, a conspiracy to murder, kidnap and maim persons in a foreign country.
On March 9, 2014, Douglas McCain departed the U.S. and traveled to Syria where he joined and fought for ISIS. Approximately five months later, on or about Aug. 25, 2014, Douglas McCain was killed in Syria fighting a battle against the Free Syrian Army. Following Douglas McCain’s death, Federal Bureau of Investigation Joint Terrorism Task Force (FBI-JTTF) agents interviewed Marchello McCain on several occasions from Aug. 26, 2014 through Jan. 23, 2015, when agents arrested him on federal firearms charges.
In January 2016, Marchello McCain, who was previously convicted of two felony crimes of violence in Minnesota involving assault with a firearm, pleaded guilty to five counts of possession of firearms and ammunition by a felon and one count of possession of body armor by a violent felon. Eight months later, in September 2016, he pleaded guilty to making false statements to FBI-JTTF agents concerning his assistance to and knowledge of individuals providing material support (personnel and money) to individuals engaged in violent terrorist activities abroad and ISIS, including Douglas McCain and Abdullahi.
As part of his guilty pleas, McCain admitted that he made material false statements to the agents about his knowledge of the purpose of his brothers’ travel abroad and the methods of payment and source of monies to fund such travel. McCain acknowledged that he possessed over nine firearms, which included a stolen firearm and several semi-automatic 9 mm pistols, an AR-15 style semi-automatic rifle and an M1 Carbine .30 caliber semi-automatic rifle with a large capacity magazine. Marchello McCain also admitted that on Feb. 13, 2014, approximately three weeks prior to Douglas McCain’s departure to fight in Syria, Marchello McCain went to a San Diego gun range with his brother and shot firearms, including an AR-15 style semi-automatic rifle and a 12-gauge pump-action shotgun.
In imposing sentence, the court found that defendant’s obstructive conduct frustrated, delayed and thwarted the United States’ efforts to uncover the scope and membership of conspiracies to provide material support to terrorists and a foreign terrorist organization, ISIS.
“ISIS has brought the war on terror closer to home by directing and inspiring attacks in the U.S. and other countries, thereby putting Americans lives in danger,” said U.S. Attorney Adam Braverman. “By lying to federal agents, Marchello McCain delayed, frustrated and thwarted an investigation into a group that supplied U.S. and Canadian fighters to ISIS. We are committed to doing whatever it takes to protect American lives here and abroad.”
“Counterterrorism investigations are the highest priority investigations conducted by FBI Joint Terrorism Task Forces,” commented FBI Special Agent in Charge Eric S. Birnbaum. “When someone misleads or obstructs counterterrorism investigations, this can adversely affect investigative activity in these important cases. Today's sentence will hold Mr. McCain accountable for his actions and dissuade others from lying to law enforcement agents concerning international terrorism matters.”
The defendant’s lies, including his false statements regarding the source and means of the financing of Douglas’ travel were not only intended to prevent the United States from finding out about the involvement of Abdullahi and others, but were also intended to prevent the discovery of his own involvement.
As detailed in the United States’ pleadings, the defendant’s involvement included: agreeing to travel to Syria and join his brother in violent jihadist activities; assisting Douglas and others in traveling to Syria to engage in violent jihadist activities by taking Douglas to a gun range to target shoot semi-automatic weapons; depositing cash into his wife’s bank account and letting Douglas use his wife’s credit card to purchase plane tickets to Turkey, a known entry point for foreign fighters seeking to enter Syria, and to make hotel reservations; regularly communicating with Douglas and other individuals regarding the financial and logistical needs of foreign fighters in Syria; wiring $800 to an ISIS operative in Turkey to support Douglas and/or others engaged in violent jihadist activities; and engaging in obstructive conduct to conceal the material support conspiracies.
Notwithstanding the obstructive conduct of McCain, the United States continued its investigation of the terrorist activities of Douglas McCain, Abdullahi and others. On March 10, 2017, a federal grand jury in the Southern District of California returned a two-count sealed indictment charging Abdullahi with conspiring to provide, and providing, material support to terrorists.
On Sept. 15, 2017, pursuant to an extradition request by the United States, Canadian authorities arrested Abdullahi. Abdullahi is currently detained in Canadian custody without bail, pending an extradition hearing scheduled for May 31, 2018. On January 3, 2018, the Abdullahi indictment was unsealed. Abdullahi is also facing charges in Canada for a Jan. 9, 2014 armed robbery of an Edmonton jewelry store.
The Abdullahi indictment alleges that from in or about August 2013 through in or about November 2014, Abdullahi conspired with Douglas and other individuals to provide personnel and money to individuals engaged in terrorist activities in Syria, including the killing, kidnapping and maiming of persons. The charged conspiracy alleges the participation and/or assistance of Abdullahi and approximately 14 other individuals and spans four countries, the United States, Canada, Turkey and Syria.
In preparation for their travels, Douglas and other members of the conspiracy practiced with firearms in San Diego and Canada. According to the indictment, Abdullahi, Douglas and others agreed to travel to Syria to support and join terrorist fighters engaged in terrorist activity, including the killing, kidnapping and maiming of persons.
In order to raise funds to support their efforts to support and join terrorist fighters in Syria, members of the conspiracy encouraged others to commit crimes against the “kuffar” (an Arabic term meaning infidels or non-believers), such as theft. In furtherance of this material support conspiracy, the indictment alleges that on Jan. 9, 2014, prior to the travel of Douglas and another co-conspirator, Abdullahi committed an armed robbery of a jewelry store in Edmonton, Alberta, Canada, in order to finance the travel of Douglas and other members of the conspiracy to Syria. Thereafter, Abdullahi wired and caused others to wire money to other members of the conspiracy in the United States -- including approximately $3,100 to Douglas – in order to finance the travel of foreign fighters from North America to support and join terrorist fighters engaged in terrorist activities in Syria.
Additionally, members of the conspiracy, including Abdullahi, wired and caused money to be wired to third-party intermediaries in Gaziantep, Turkey (located approximately 40 miles from the Syrian border) for the purpose of supporting members of the conspiracy fighting and engaging in terrorist activity in Syria, including the killing, kidnapping, an maiming of persons.
The government alleges that because of the efforts of Abdullahi and other co-conspirators, beginning in November 2013 through November 2014, five co-conspirators, including Douglas McCain, traveled from North America to Syria, via Turkey, and acted as foreign fighters in Syria engaging in terrorist activity in Syria, including the murder of persons. Douglas McCain was killed in battle fighting for ISIS in August 2014. The remaining four co-conspirators were all killed in Syria in mid-November 2014.
DEFENDANT Criminal Case No. 15CR0174-W
Marchello Dsaun McCain Age 35 San Diego, California
SUMMARY OF CHARGES
False Statements Involving International Terrorism – Title 18, U.S.C., Sections 1001(a)(2)
Maximum penalty: 8 years’ imprisonment and $250,000 fine (per count)
Felon in Possession of Firearms and Ammunition – Title 18, U.S.C., Sections 922(g)(1)
Maximum penalty: 10 years’ imprisonment and $250,000 fine.
Felon in Possession of Body Armor by a Violent Felon – Title 18, U.S.C., Sections 931
Maximum penalty: 3 years’ imprisonment and $250,000 fine.
DEFENDANT Criminal Case No. 17CR0622-W
Abdullahi Ahmed Abdullahi Age 33 Edmonton, Alberta, Canada
SUMMARY OF CHARGES
Conspiracy to Provide Material Support to Terrorists – Title 18, U.S.C., Sections 2339A(a)
Maximum penalty: 8 years’ imprisonment and $250,000 fine (per count)
Providing Material Support to Terrorists – Title 18, U.S.C., Sections 2339A(a)
Maximum penalty: 15 years’ imprisonment and $250,000 fine.
INVESTIGATING AGENCIES
San Diego Joint Terrorism Task Force
Federal Bureau of Investigation
Federal Air Marshal Service
Department of Homeland Security, Homeland Security Investigations
Department of Homeland Security, U.S. Border Patrol
Boston Man Sentenced to Five Years in Prison for Distributing Cocaine BaseRead the Press Release
BOSTON – A Boston man was sentenced yesterday in federal court in Boston for distributing cocaine base.
Quran Rowell, 28, was sentenced by U.S. District Court Judge Richard G. Stearns to five years in prison and four years of supervised release. In September 2017, Rowell pleaded guilty to two counts of possession with intent to distribute cocaine base.
In May 2015, law enforcement conducted surveillance after receiving information about the alleged drug dealing activities of Joseph Dyer. After the officers observed Dyer get into a vehicle, which lapped the block and immediately dropped Dyer off in the same location, officers approached Dyer, who fled on foot and was caught after a brief chase.
It is alleged that Dyer was found in possession of cocaine, heroin, and fentanyl. Officers then pursued the vehicle that Dyer had been seen getting into and out of, and the vehicle was stopped shortly after. Officers observed that Rowell, who was seated in the front passenger’s seat of the vehicle, was visibly nervous and appeared to be having uncontrolled chest compressions. Officers removed Rowell from the vehicle and conducted a search in which police recovered from Rowell approximately 36 grams of crack cocaine, 10 grams of heroin and $1,736.
Dyer pleaded not guilty. He has a hearing scheduled for May 7, 2018.
United States Attorney Andrew E. Lelling and Boston Police Commissioner William Evans made the announcement today. Assistant U.S. Attorney Leah Foley of Lelling’s Narcotics and Money Laundering Unit prosecuted the case.
The details contained in the charging documents are allegations. The remaining defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Blowing Rock , N.C. Woman Sentenced to Prison for Trafficking MethamphetamineRead the Press Release
STATESVILLE, N.C. – On Wednesday, January 11, 2018, U.S. District Judge Richard L. Voorhees sentenced Haley Raquel Rhodes, 23, of Blowing Rock, N.C. to 60 months in prison and five years of supervised release on drug trafficking charges, announced R. Andrew Murray, U.S. Attorney for the Western District of North Carolina. Rhodes pleaded guilty in September 2017 to one count of methamphetamine trafficking conspiracy and one count of possession with intent to distribute methamphetamine.
Wayne Dixie, Special Agent in Charge of the U.S. Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), Charlotte Field Division and Sheriff Len Hagaman of the Watauga County Sheriff’s Office join U.S. Attorney Murray in making today’s announcement.
According to filed court documents and statements made in court, from November 2016 to March 2017, Rhodes conspired with others to distribute methamphetamine in Mecklenburg and Watauga Counties. Court records show that law enforcement became aware that Rhodes was transporting large amounts of methamphetamine from Charlotte to Watauga County. On March 27, 2017, while Rhodes was driving her vehicle through Watauga County, law enforcement conducted a traffic stop. Prior to stopping her vehicle, law enforcement observed Rhodes throw a black case out of the driver’s window of the car. Court records show that law enforcement recovered the black case, which contained methamphetamine packaged in multiple bags. Law enforcement also seized from Rhodes’ vehicle drug paraphernalia and $5,170 in cash.
According to court records, Rhodes told law enforcement that she regularly traveled to Charlotte to pick up methamphetamine, which she then brought back to Watauga County to sell. In total, Rhodes was responsible for receiving and distributing at least 1.5 kilograms of methamphetamine.
Rhodes is currently in federal custody. She will be transferred to the custody of the Federal Bureau of Prisons upon designation of a federal facility. All federal sentences are served without the possibility of parole.
ATF and the Watauga County Sheriff’s Office investigated the case. Special Assistant U.S. Attorney Erik Lindahl prosecuted the case.
Baxter Springs, Kansas, Man Sentenced to 9 Months for Destruction of Government PropertyRead the Press Release
MUSKOGEE, OKLAHOMA – The United States Attorney’s Office for the Eastern District of Oklahoma announced that Robert Monroe Wilson III, age 48, of Baxter Springs, Kansas, was sentenced to 9 months imprisonment and 3 years supervised release for Destruction Of Government Property, in violation of Title 18, United States Code, Sections 1363 and 7(3). The Indictment alleged that on or about July 22, 2017, Wilson willfully and maliciously destroyed and injured the gate and fence at the United States District Courthouse for the Eastern District of Oklahoma.
The charge arose from an investigation by the Muskogee Police Department and the Federal Bureau of Investigation. The United States was represented by Assistant United States Attorney Kristin Harrington, and the Honorable Ronald A. White, U.S. District Judge presided over the hearing.
United States Attorney Brian J. Kuester said, “It is part of this agency’s responsibility to prosecute those that intentionally damage or destroy property of the United States Government. It is my hope that the prosecution of this case will deter Mr. Wilson and others from future criminal conduct of this nature.”
Baltimore Man Sentenced to 40 Years in Prison for Distribution of Child Pornography and Traveling to Engage in Illicit Sexual Conduct with a MinorRead the Press Release
WASHINGTON – Randy Koontz, 39, of Baltimore, Md., was sentenced today to 40 years in prison on federal charges of distribution of child pornography and traveling interstate to engage in illicit sexual conduct.
The announcement was made by U.S. Attorney Jessie K. Liu, Andrew W. Vale, Assistant Director in Charge of the FBI’s Washington Field Office, Edwin C. Roessler Jr., Chief of the Fairfax County, Va. Police Department, and Peter Newsham, Chief of the Metropolitan Police Department (MPD).
Koontz pled guilty to the charges in March 2016 in the U.S. District Court for the District of Columbia. He was sentenced by the Honorable Emmet G. Sullivan. Following completion of his prison term, he will be placed on supervised release for the rest of his life. He also will be required to register as a sex offender for the rest of his life.
Prior to his arrest in this case, Koontz was convicted in 2008 of shipment/transportation of child pornography and in 2001 of possession of child pornography. He served prison terms for those offenses and was required to register as a sex offender. He was out of prison and on supervised release for only two years before he committed the crimes in this case.
According to the government's evidence, beginning on March 8, 2015, Koontz engaged in communications with an undercover officer with the FBI's Child Exploitation Task Force, through a social network site. During the course of communications over a nearly month-long period, Koontz provided the undercover officer with videos of child pornography. Koontz also expressed interest in engaging in sexual acts with a purported female minor. During this period, Koontz arranged with the undercover officer to meet in the District of Columbia for the purpose of engaging in sexual acts with that child. On April 2, 2015, Koontz traveled from Baltimore to a pre-arranged meeting place in Washington, D.C. When he arrived at the meeting place, he was arrested. He has remained in custody ever since.
A laptop computer and two cellular phones were taken by law enforcement from Koontz at the time of his arrest. Additionally, law enforcement executed a search warrant of Koontz’s room at a boarding house in Baltimore and seized additional electronic devices. The FBI forensically examined the items seized from the defendant and discovered several thousand images and videos of child pornography.
This case was brought as part of the Department of Justice's Project Safe Childhood initiative and investigated by the FBI's Child Exploitation Task Force, which includes members of the FBI's Washington Field Office, MPD, and the Fairfax County Police Department. In February 2006, the Attorney General created Project Safe Childhood, a nationwide initiative designed to protect children from online exploitation and abuse. Led by the U.S. Attorney's Offices, Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the Internet, as well as identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
In announcing the sentence, U.S. Attorney Liu, Assistant Director Vale, Chief Roessler, and Chief Newsham praised the work of the MPD Detectives, Fairfax County, Va. Police, and Special Agents of the FBI Child Exploitation Task Force. They also commended the efforts of those who worked on the case from the U.S. Attorney’s Office, including Criminal Investigator John Marsh, Paralegal Specialists Donhue Troy Griffith and Michelle Wicker, and Assistant U.S. Attorney Andrea L. Hertzfeld, who prosecuted the matter.
Baltimore Bail Bondsman Pleads Guilty to Drug ChargesRead the Press Release
FOR IMMEDIATE RELEASE Contact ELIZABETH MORSE
www.justice.gov/usao/md at (410) 209-4855
Baltimore, Maryland – Donald Stepp, age 51, of Middle River, Maryland, pleaded guilty today to possession with the intent to distribute cocaine, heroin, and other controlled dangerous substances.
The guilty plea was announced by Acting United States Attorney for the District of Maryland Stephen M. Schenning; Special Agent in Charge Gordon B. Johnson of the Federal Bureau of Investigation, Baltimore Field Office; and Chief Terrence B. Sheridan of the Baltimore County Police Department.
According to his plea agreement, Stepp operated Double D Bail Bonds and was an associate of former Baltimore Police Department (BPD) Sergeant Wayne Earl Jenkins. Stepp admitted that from 2015-2017, he obtained significant quantities of narcotics from Jenkins and robbed citizens of their property, including drugs, cash, and watches. Stepp admitted that he participated in robberies with Jenkins and another Baltimore Police detective.
To facilitate the robberies and drug trafficking, Jenkins brought Stepp to search locations in Baltimore City and Baltimore County, and lied to other law enforcement agencies by saying Stepp was an officer with BPD. Jenkins would come to Stepp’s residence after he had robbed citizens and Stepp would store the stolen drugs in his tool shed. Stepp then sold the stolen drugs and returned hundreds of thousands of dollars in cash proceeds to BPD officers. Jenkins took a portion of the proceeds from the drug sales and paid other officers in the BPD who participated in the robberies with Jenkins and Stepp.
On December 14, 2017, law enforcement with the Baltimore County Police Department and the Federal Bureau of Investigation executed a search warrant at Stepp’s residence and recovered approximately 423 grams of crack cocaine, 262 grams of cocaine, 14 grams of heroin, 28 grams of MDMA, digital scales, packaging material, a large sum of cash, and several high-value watches.
Jenkins has pleaded guilty to one count of racketeering conspiracy, one count of racketeering, two counts of robbery, one count of destruction, alteration, or falsification of records in a federal investigation, and four counts of deprivation of rights under color of law.
Stepp faces a maximum sentence of life imprisonment. United States District Judge Catherine C. Blake has scheduled sentencing for April 6, 2018 at 2 p.m.
Acting United States Attorney Stephen M. Schenning commended the FBI and Baltimore County Police Department for their work in the investigation. Mr. Schenning thanked Assistant U.S. Attorneys Derek E. Hines and Leo J. Wise who are prosecuting these Organized Crime Drug Enforcement Task Force cases.
Alleged MS-13 Member Pleads Guilty to Unlawful Re-Entry of Deported AlienRead the Press Release
BOSTON – An alleged member of MS-13 pleaded guilty yesterday in federal court in Boston to an immigration charge.
Elenilson Gonzalez-Gonzalez, a/k/a “Siniestro,” 31, a Salvadoran national, pleaded guilty to one count of unlawful reentry of a deported alien. U.S. District Court Judge F. Dennis Saylor IV scheduled sentencing for April 5, 2018.
Following a lengthy investigation, Gonzalez-Gonzalez was one of 61 defendants named in a superseding indictment targeting the activities of alleged leaders, members, and associates of the transnational criminal organization, La Mara Salvatrucha or MS-13. Gonzalez-Gonzalez is the 27th defendant to plead guilty in this case.
In December 2015, during the course of the investigation, law enforcement encountered Gonzalez-Gonzalez near Deer Island National Park in Winthrop. Further investigation revealed that in May 2012, Gonzalez-Gonzalez had been apprehended by U.S. Customers and Border Patrol agents illegally entering the United States near Mission, Texas. At that time, Gonzalez-Gonzalez admitted that he was a Salvadoran national who had entered the country illegally and was attempting to make his way to the Boston area. He was subsequently removed from the United States in 2012 on an expedited basis. Gonzalez-Gonzalez later re-entered the United States and was charged with illegal reentry after deportation.
The charging statute provides for a sentence of no greater than two years in prison, one year of supervised release, and up to a fine of $250,000. Gonzalez-Gonzalez will also be subject to deportation upon the completion of his federal sentence. Sentences are imposed by a federal district court judge based on the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Andrew E. Lelling; Harold H. Shaw, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; Michael Shea, Acting Special Agent in Charge of Homeland Security Investigations in Boston; Colonel Kerry A. Gilpin, Superintendent of the Massachusetts State Police; Commissioner Thomas Turco of the Massachusetts Department of Corrections; Essex County Sheriff Kevin F. Coppinger; Suffolk County Sheriff Steven W. Thompkins; Suffolk County District Attorney Daniel F. Conley; Middlesex County District Attorney Marian T. Ryan; Essex County District Attorney Jonathan Blodgett; Boston Police Commissioner William Evans; Chelsea Police Chief Brian A. Kyes; Everett Police Chief Steven A. Mazzie; Lynn Police Chief Michael Mageary; Revere Police Chief James Guido; Somerville Police Chief David Fallon; and Herndon (VA) Police Chief Maggie A. DeBoard made the announcement.
Acting Boss of Bonanno Organized Crime Family and 9 Other Members of La Cosa Nostra Charged in Manhattan Federal Court with Racketeering and Related OffensesRead the Press Release
Geoffrey S. Berman, the United States Attorney for the Southern District of New York, Angel M. Melendez, Special Agent-in-Charge of the New York Field Office of the Department of Homeland Security, Homeland Security Investigations (“HSI”), Michael C. Mikulka, the Special Agent-in-Charge of the New York Regional Office of the United States Department of Labor, Office of Inspector General, (“DOL-OIG”), Charles Brandeis, Special Agent-in-Charge of the U.S. Department of State’s Diplomatic Security Service, New York Field Office (“DSS”), and James P. O’Neill, the Commissioner of the New York City Police Department (“NYPD”), announced the unsealing of an Indictment charging 10 individuals with racketeering and other offenses in connection with the activities of the organized crime families of La Cosa Nostra. The Indictment charges eight members of the Bonanno Family – Acting Boss JOSEPH CAMMARANO, JR., Consigliere JOHN ZANCOCCHIO, JOSEPH SABELLA, GEORGE TROPIANO, ALBERT ARMETTA, DOMENICK MINIERO, JOSEPH SANTAPAOLO, and SIMONE ESPOSITO – with racketeering conspiracy involving a wide range of crimes, including extortion, loansharking, wire and mail fraud, narcotics distribution, and conspiracy to commit murder. Genovese Family member ERNEST MONTEVECCHI is charged with participating in that conspiracy as well. Several of the defendants and Luchese Family member EUGENE CASTELLE are charged with conspiracy to commit extortion. ARMETTA is additionally charged with assault resulting in serious bodily injury in aid of racketeering, and aiding and abetting the same.
Of the 10 defendants charged in the Indictment, nine were taken into federal custody this morning. SANTAPAOLO was presented this morning before a United States Magistrate Judge in the Middle District of Pennsylvania. The rest of the defendants will be presented before United States Magistrate Judge Barbara Moses later today. The case has been assigned to United States District Judge Alvin K. Hellerstein.
As alleged in the Indictment unsealed today in Manhattan federal court[1]:
La Cosa Nostra (“LCN”), also known as the “Mob” or the “Mafia,” operates through entities known as “Families.” In the New York City area, there are five LCN Families, namely, the Bonanno Family, the Genovese Family, the Luchese Family, the Colombo Family, and the Gambino Family. Members and associates of one La Cosa Nostra family at times work together with other La Cosa Nostra families in jointly undertaken criminal ventures.
The Bonanno Family, like other LCN Families, operates through a group of individuals known as “crews,” each of which are led by a “capo” or “captain.” The crews are composed of “made” members, called “soldiers,” and trusted non-members called “associates.” Above the Capos are the highest-ranking members – the Boss or Acting Boss, the Underboss, and the Consigliere, or counselor – who oversee the Family.
At times relevant to the Indictment, the defendants held the following positions with their respective LCN Families: CAMMARANO was a captain and the Acting Boss of the Bonanno Family; ZANCOCCHIO was a captain and the Consigliere of the Bonanno Family; SABELLA was a captain of the Bonanno Family; TROPIANO was a soldier and an acting captain of the Bonanno Family; ESPOSITO was the Consigliere of the Bonanno Family; MINIERO, SANTAPAOLO, and ARMETTA were soldiers in the Bonanno Family; MONTEVECCHI was a soldier in the Genovese Family; and CASTELLE was a soldier in the Luchese Family.
Count One of the Indictment charges CAMMARANO, ZANCOCCHIO, SABELLA, TROPIANO, ARMETTA, MINIERO, SANTAPAOLO, ESPOSITO, and MONTEVECCHI with participating in a racketeering conspiracy. Count Two charges ARMETTA with assault resulting in serious bodily injury in aid of racketeering, and aiding and abetting the same. Count Three charges CAMMARANO, ZANCOCCHIO, SABELLA, TROPIANO, MINIERO, and CASTELLE with extortion conspiracy.
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Set forth below is a chart containing the names, ages, residences, charges, and maximum penalties for the defendants. The maximum potential sentences are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendants will be determined by the judge.
Mr. Berman praised the outstanding investigative work of HSI, DOL-OIG, DSS, NYPD, and the Special Agents of the United States Attorney’s Office for the Southern District of New York. Mr. Berman also thanked the New York City Business Integrity Commission and the Nassau County District Attorney’s Office for their assistance in the investigation.
The case is being prosecuted by the Office’s Violent and Organized Crime Unit. Assistant U.S. Attorneys Jason M. Swergold and Jessica Greenwood are in charge of the prosecution.
The charges contained in the Indictment are merely accusations, and the defendants are presumed innocent unless and until proven guilty.
United States v. Joseph Cammarano, Jr., et al., 18 Cr. 15 (AKH)
DEFENDANT
AGE
CHARGES
MAXIMUM PENALTY
JOSEPH CAMMARANO, JR., a/k/a “Joe C”
58
RICO Conspiracy; Extortion Conspiracy
20 years in prison for each count
JOHN ZANCOCCHIO, a/k/a “Porky”
60
RICO Conspiracy; Extortion Conspiracy
20 years in prison for each count
JOSEPH SABELLA, a/k/a “Joe Valet”
52
RICO Conspiracy;
Extortion Conspiracy
20 years in prison for each count
GEORGE TROPIANO, a/k/a “Grumpy”
68
RICO Conspiracy;
Extortion Conspiracy
20 years in prison for each count
ALBERT ARMETTA, a/k/a “Al Muscles”
48
RICO Conspiracy;
Assault in Aid of Racketeering
20 years in prison for each count
DOMINECK MINIERO
85
RICO Conspiracy;
Extortion Conspiracy
20 years in prison for each count
JOSEPH SANTAPAOLO, a/k/a “Joey Blue Eyes”
66
RICO Conspiracy
20 years in prison
SIMONE ESPOSITO
47
RICO Conspiracy
20 years in prison
ERNEST MONTEVECCHI, a/k/a “Butch”
72
RICO Conspiracy
20 years in prison
EUGENE CASTELLE, a/k/a “Boobsie”
57
Extortion Conspiracy
20 years in prison
[1] As the introductory phase signifies, the entirety of the text of the Indictment, and the description of the Indictment set forth herein, constitute only allegations, and every fact described should be treated as an allegation.