Latest Records
Newest first across public DOJ and U.S. Attorney press releases.
11 January 2018
Willard man indicted for child pornography crimesRead the Press Release
Karl J. Rogers, 33, of Willard, was indicted on one count of receipt and distribution of child pornography, said U.S. Attorney Justin E. Herdman.
Rogers knowingly received numerous images of minors engaged in sexually explicit conduct. This took place between October and December 2017, according to the indictment.
If convicted, the defendant’s sentence will be determined by the Court after reviewing factors unique to this case, including the defendant’s prior criminal record, if any, the defendant’s role in the offense and the characteristics of the violation. In all cases the sentence will not exceed the statutory maximum and in most cases it will be less than the maximum.
The investigating agency in this case is the Federal Bureau of Investigation. The case is being handled by Assistant U.S. Attorney Tracey Ballard Tangeman.
An indictment is only a charge and is not evidence of guilt. Defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
Westbrook Man Convicted for SNAP and WIC Trafficking ConspiracyRead the Press Release
Portland, Maine: United States Attorney Halsey B. Frank announced that Abdulkareem Daham, 22, of Westbrook, Maine, was convicted today following a three-day jury trial in U.S. District Court of conspiracy to defraud and to commit offenses against the United States. The charges arise out of the defendant’s employment at Ahram Halal Market on Forest Avenue in Portland.
The Supplemental Nutrition Assistance Program (“SNAP”) is a federal government program, formerly known as the Food Stamp Program, designed to raise the level of nutrition among low-income households. The Special Supplemental Nutrition Program for Women, Infants and Children (“WIC”) is a federal program that provides supplemental food, health care referrals and nutrition for certain low-income women, and to infants and children up to age five who were found to be nutritionally at risk.
According to court records, from 2011 through April 2016, the defendant conspired with his brother, Ali Ratib Daham, to give cash to customers at Ahram in exchange for SNAP or WIC benefits plus a fee, in violation of the rules of these programs and federal law. During that period, Ahram received over $4 million in SNAP and WIC receipts, at least $1.4 million of which were obtained illegally.
The defendant faces up to five years in prison and a $250,000 fine. He will be sentenced after the completion of a presentence investigation report by the U.S. Probation Office. Ali Ratib Daham pleaded guilty on November 28, 2017 to SNAP and WIC trafficking conspiracy, money laundering and theft of federal MaineCare funds and awaits sentencing.
The case was investigated by the Federal Bureau of Investigation; the U.S. Department of Agriculture, Office of Inspector General; the Internal Revenue Service-Criminal Investigation; and the Maine Department of Health and Human Services, Fraud Investigation and Recovery Unit.
Wendell Woman Sentenced to Federal Prison for Gun CrimeRead the Press Release
BOISE – Sara Lee DeLaCruz, 34, of Wendell, Idaho, was sentenced yesterday to 12 months and one day in prison by Chief U.S. District Court Judge B. Lynn Winmill, U.S. Attorney Bart M. Davis announced.
On August 2, 2017, DeLaCruz pleaded guilty to unlawfully possessing a firearm. On April 3, 2017, a person reported to police that DeLaCruz was in possession of marijuana and had been selling marijuana for several years. Law enforcement agents obtained a search warrant for DeLaCruz’s residence in Wendell. During the search of her residence, police found over three and one-half pounds of marijuana in a backpack along with a Hi-Point .40 caliber pistol. Police also found a digital scale in the bedroom. DeLaCruz admitted that the marijuana and firearm were hers. DeLaCruz was prohibited from possessing the firearm because she had previously been convicted of the felony crime of transporting an illegal alien in United States District Court in the Southern District of Texas on November 17, 2005.
Judge Winmill also ordered DeLaCruz to serve three years of supervised release upon her release from federal prison.
The case was investigated by the Gooding County Sheriff’s Office and the Bureau of Alcohol, Tobacco, Firearms and Explosives.
The case was brought as part of Project Safe Neighborhoods, a nationwide initiative originally launched in May 2001 and reinvigorated in 2017 by the Department of Justice to combat gun violence in the United States. Project Safe Neighborhoods marshals federal, state, and local resources to target and prosecute those who commit gun crimes. For more information about Project Safe Neighborhoods, visit https://www.bja.gov.
Washington County Man Sentenced to over 13 Years in Federal Prison for Distribution of Cocaine and Cocaine BaseRead the Press Release
Charles E. Peeler, United States Attorney for the Middle District of Georgia, announces that Scotty Hagans, age 49, of Harrison, Georgia, was sentenced to serve thirteen years and four months in federal prison for possession with intent to distribute cocaine and cocaine base (crack cocaine). The sentence was handed down on January 10, 2018, by the Honorable Marc T. Treadwell, United States District Judge in Macon.
There is no parole in the federal system.
Mr. Hagans entered a plea of guilty on October 20, 2017, admitting to possessing with the intent to distribute both cocaine and cocaine base on May 6, 2016. At his plea, the United States stated that had the case gone to trial, it could have proved that on May 6, 2016, law enforcement executed a search warrant at Mr. Hagans’ residence in Harrison, Washington County, Georgia. Upon entering the residence, officers located Mr. Hagans and told him they were there to execute a search warrant and were looking for illegal drugs. Mr. Hagans then told the officers that he would make it easy for them and stated the drugs were in the top right kitchen cabinet. Officers thereafter located cocaine and cocaine base (commonly called crack cocaine) within a kitchen cabinet of Mr. Hagans’ residence.
Mr. Hagans has several prior convictions involving the distribution of cocaine. He was convicted of three counts of sale of cocaine on June 1, 1992, in Washington County, Georgia; one count of sale of cocaine on June 8, 1993, in Washington, County, Georgia; and one count of trafficking in cocaine on July 16, 2007, in Morgan County, Georgia.
“It is obvious from his record that the only thing that keeps Mr. Hagans from selling cocaine on the streets of our community is incarceration; fortunately, Judge Treadwell’s sentence today will do just that for more than a decade,” said United States Attorney Peeler.
The case was investigated by the Drug Enforcement Administration and Washington County Sheriff’s Office. Assistant United States Attorney Beth Howard prosecuted the case for the United States.
Questions concerning this case should be directed to Pamela Lightsey, Public Information Officer, United States Attorney’s Office, at (478) 621-2603.
Warwick Man Sentenced to 16 Years in Prison for Enticing Minors to Engage in Sexual ActivityRead the Press Release
Geoffrey S. Berman, the United States Attorney for the Southern District of New York, announced today that ROBERT GARNEAU was sentenced to 16 years in prison for his enticement of three minors to engage in sexual activity. GARNEAU pled guilty plea to three counts of enticement of a minor on May 25, 2017, before United States District Judge Nelson Román, who imposed today’s sentencing.
Manhattan U.S. Attorney Geoffrey S. Berman said: “Robert Garneau’s crimes are the nightmare of every modern parent. Using everyday social media websites, Garneau exploited minors for his own sexual gratification. As today’s sentencing underscores, we will continue to use every tool available to law enforcement to prosecute and punish those who sexually exploit children.”
According to documents filed in this case and statements made in related court proceedings:
From September 2014 to December 1, 2014, GARNEAU, a registered sex offender, communicated online via Instagram and Kik with a then 12-year-old minor (“Victim-1”) in California, and convinced Victim-1 to take and send sexually explicit photographs of Victim-1 to GARNEAU. On August 10, 2015, and July 18, 2015, GARNEAU engaged in the same type of activity with two more minors (“Victim-2” and “Victim-3”).
During his communications with his victims, GARNEAU utilized the screen names “Raptorr427,” “BobbySixx,” “Allison Denario,” and/or “Giannafitz81.” While communicating with his victims, GARNEAU posed as a minor and threatened his victims that if they did not send additional photos and/or videos, they would be arrested for the photos and/or videos they had already sent. With respect to Victim-2, GARNEAU also threatened to show the photos and videos to Victim-2’s Instagram followers.
* * *
In addition to the prison term, GARNEAU, 23, of Warwick, New York, was sentenced to 15 years of supervised release.
Mr. Berman praised the efforts of the U.S. Immigration and Customs Enforcement’s Homeland Security Investigations, Long Island University, the Nassau County Police Department, and the Vacaville Police Department in Vacaville, California, in connection with this investigation.
The prosecution is being handled by the Office’s White Plains Division. Assistant United States Attorney Marcia S. Cohen is in charge of the prosecution.
Vallejo Man Indicted for Possessing Cocaine for Distribution and Carrying a Firearm During a Drug-Trafficking CrimeRead the Press Release
SACRAMENTO, Calif. — A federal grand jury returned a three-count indictment today against Andres Leonardo Melgarejo, 26, of Vallejo, charging him with possessing cocaine for distribution, possessing a firearm as a felon, and possessing a firearm in furtherance of a drug-trafficking crime, U.S. Attorney McGregor W. Scott announced.
According to court documents, on December 4, 2017, Vallejo Police officers stopped Melgarejo for a traffic violation and found that he was driving on a suspended license. A search of the vehicle revealed powder cocaine, marijuana, and a Glock .40-caliber pistol. The pistol was fully loaded with an extended magazine and a round in the chamber. Melgarejo cannot lawfully possess firearms because he has previously been convicted of a felony offense.
This case is the product of an investigation by the Vallejo Police Department and the Federal Bureau of Investigation’s Solano County Violent Crimes Task Force.
If convicted of possessing cocaine for distribution, Melgarejo faces a maximum statutory penalty of 20 years in prison and a $1 million fine. If convicted of possessing a firearm as a felon, Melgarejo faces a maximum statutory penalty of 10 years in prison and a $250,000 fine. If convicted of possessing a firearm in furtherance of a drug-trafficking crime, Melgarejo faces a mandatory minimum penalty of five years in prison and a maximum statutory penalty of life in prison and a $250,000 fine. Any sentence would be determined at the discretion of the district court after considering any applicable statutory factors and the Federal Sentencing Guidelines. The charges are only allegations; the defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
U.S. Attorney's Office and Charlotte Metropolitan Human Trafficking Task Force Sponsor Training to Support Victims of Human TraffickingRead the Press Release
CHARLOTTE, N.C. – Today, the U.S. Attorney’s Office and the Charlotte Metropolitan Human Trafficking Task Force (CMHTTF) co-sponsored a one-day event, focusing on training workers and volunteers who provide support services to victims of human trafficking, announced R. Andrew Murray, U.S. Attorney for the Western District of North Carolina.
January 11th is Human Trafficking Awareness Day. The President also has designated January as National Slavery and Human Trafficking Prevention Month.
“Human trafficking exploits the most vulnerable members of our society. The perpetrators of this heinous crime are depraved criminals who inflict terrible pain and trauma upon their victims and rob them of their dignity. Even after rescued, victims of human trafficking experience a long and difficult healing process,” said U.S. Attorney Murray in making today’s announcement. “I want to thank the members of the task force for partnering with my office to offer this valuable training opportunity to our local service providers. Human trafficking affects all of us. No community is immune from this criminal activity. Working together with our law enforcement partners and community organizations we will continue to raise awareness and educate the public about this terrible crime.”
Today’s training was developed by the Justice Department’s Office for Victims of Crime Training and Technical Assistance Center (OVC TTAC). The objective of the training was the proper implementation of trauma-informed and victim-centered service provision to victims of human trafficking. More than 140 participants from local community organizations received instruction and information in four key areas: 1) understanding trauma-informed and victim-centered approaches when providing services to sex and labor trafficking victims; 2) conducting appropriate and meaningful needs assessments that ensure victim safety and meet ethical standards of care; 3) identifying and utilizing tools, resources, methods, and approaches that consider polyvictimization, trauma recovery, and short- and long-term needs; and 4) understanding gaps in service provision and creating strategies to close those gaps.
In addition to today’s training, the U.S. Attorney’s office, in partnership with the task force, has conducted trainings for law enforcement officers, hospital workers, health care providers, hospitality industry workers, social workers and various community and volunteer groups.
In January 2017, the U.S. Attorney’s Office’s anti-trafficking efforts resulted in a 40-year prison sentence for Kenwaniee Vontorian Tate, following his conviction at trial for sex trafficking of a minor, sex trafficking by fraud, and committing sex trafficking of a minor while being required to register as a sex offender. In April 2017, a Charlotte man, Zerrell Ross Fuentes, his wife, Brianna Leshay Wright, and his mother, Tanya Marie Fuentes were charged with federal sex trafficking offenses for engaging in a conspiracy to sex traffic three minor victims. The case is still pending.
In making today’s announcement, U.S. Attorney Murray thanked the First Presbyterian Church for hosting today’s event.
For more information on human trafficking and victim services, including a video series and resource guide to raise awareness about human trafficking in the United States, please visit the Justice Department’s Office for Victims of Crime website at https://ovc.ncjrs.gov/humantrafficking/
If you are the victim of a human trafficking or may have information about a potential trafficking situation, call the National Human Trafficking Resource Center (NHTRC) at 1-888-373-7888. NHTRC is a national, toll-free hotline, with specialists available to answer calls from anywhere in the country, 24 hours a day, seven days a week, every day of the year related to potential trafficking victims, suspicious behaviors, and/or locations where trafficking is suspected to occur. To submit a tip to the NHTRC online please visit https://humantraffickinghotline.org/report-trafficking.
You can also contact ICE-Homeland Security Investigations at 1-866-DHS-2-ICE (1-866-347-2423) or the Charlotte Office of the FBI at 704-672-6100.
Two from Northwest Ohio indicted for firearms offensesRead the Press Release
Two men from Northwest Ohio were indicted on firearms charges, said U.S. Attorney Justin E. Herdman.
Indicted are: Shaquile R. Bulls, 23, of Lima and Dylon E. Ridgeway, 25, of Sandusky. Their cases are unrelated.
Bulls is charged with being a felon in possession of a firearm. Bulls, on Nov. 24, 2017, had a Glock .40-caliber pistol despite a previous conviction for robbery, according to the indictment.
Ridgeway is charged with being a felon in possession of a firearm. Ridgeway, on Nov. 16, 2017, possessed a Springfield Armory 9 mm pistol despite prior convictions for heroin trafficking, having a weapon under disability and felonious assault, according to the indicment
If convicted, the defendant’s sentence will be determined by the Court after reviewing factors unique to this case, including the defendant’s prior criminal record, if any, the defendant’s role in the offense and the characteristics of the violation. In all cases the sentence will not exceed the statutory maximum and in most cases it will be less than the maximum.
These cases were investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives, the Lima Police Department (Bulls) and the Sandusky Police Department (Ridgway) They are being handled by Assistant U.S. Attorneys Thomas P. Weldon and Guillermo J. Rojas.
This case is being prosecuted as part of "Project Safe Neighborhoods," a gun violence reduction program administered by the Department of Justice, U.S. Attorney's Office for the Northern District of Ohio. The program targets armed criminals for federal prosecution.
An indictment is only a charge and is not evidence of guilt. The burden of proof is always on the government to prove a defendant guilty beyond a reasonable doubt.
Two Pharmacy Robbery Defendants SentencedRead the Press Release
DAYTON – Two Indianapolis men were sentenced today in U.S. District Court for conspiring to rob a Middletown pharmacy of morphine and oxycodone on April 29, 2017 for the purpose of selling the drugs on the street.
Eric Lamont Bates, 20, was sentenced to 96 months in prison and Yasar Jamal Burnett, 18, was sentenced to 72 months in prison. Each had pleaded guilty to one count of aiding and abetting the robbery and possessing with the intent to distribute morphine and oxycodone.
Bates and Burnett are two of 11 total defendants in three current federal pharmacy robbery indictments in Dayton.
Benjamin C. Glassman, U.S. Attorney for the Southern District of Ohio, Angela L. Byers, Special Agent in Charge, Federal Bureau of Investigation (FBI), Cincinnati Division and Middletown Police Chief Rodney Muterspaw announced the sentences handed down today by U.S. District Judge Walter H. Rice.
In May 2017, a federal grand jury returned indictments charging individuals with robbing two Middletown pharmacies and stealing prescription drugs including morphine, oxycodone and hydrocodone for the purpose of selling the drugs on the street.
The grand jury charged two Dayton men, Calvin Cavonte Tribble and Savon Anthony Davis, with attempted robbery of a pharmacy in Middletown on April 18, 2017 and robbing the pharmacy on April 19.
In a separate indictment, the grand jury charged Bates and Burnett.
In July, a 10-count superseding indictment added six defendants who also allegedly conspired to rob pharmacies between March and June 2017 in Fairfield, Middletown, Franklin, Hamilton, Westerville, Trotwood, Dayton, Oakwood, Kettering, Beavercreek, Moraine, Vandalia, Union Township and Cincinnati.
It was part of the alleged conspiracy that defendants would approach the pharmacy counter at CVS, Walgreens, Rite Aid and Best Pharmacy locations as if to turn in a prescription to be filled. In actuality, the slip of paper included a note that this was an armed robbery and the pharmacist would be harmed if they did not comply. The note demanded pharmacy employees to fill two bags with a list of controlled substances identified by name, amount and prescription dosage.
Those charged in the superseding indictment include Martez Henderson, Tiwonne Montgomery, Kenneth Evans, Jr., Brandon Freeman, David Harris and Jamar Warren.
In September, Jamie Deandre Williams was charged in a five-count indictment for allegedly robbing CVS pharmacies in Beavercreek, Sidney, Moraine, Cincinnati and Dayton between February and June 2017.
“This offense was an attempt by Bates and Burnett to make quick money,” U.S. Attorney Glassman said. “The defendants were in and out of the Rite Aid Pharmacy in less than five minutes. During the course of those few minutes, though, they used physical force and fear to ensure compliance from their victims, manhandling three female employees of the store to obtain narcotics that they could sell on the street. I hope the sentences they received today serve as a warning to others that the quick cash isn’t worth it. Offenders will be caught. They will be prosecuted. And they will be punished.”
U.S. Attorney Glassman commended the cooperative investigation of this case by the Middletown Police and the FBI, as well as Assistant U.S. Attorneys Amy M. Smith and Brent Tabacchi, who are representing the United States in the case.
# # #
Three from Toledo indicted for armed robberies of Happy's Pizza and Metro PCSRead the Press Release
Three Toledo residents were indicted in federal court for armed robberies of Happy’s Pizza and Metro PCS, said U.S. Attorney Justin E. Herdman, ATF Special Agent in Charge Trevor Velinor and Toledo Police Chief George Kral.
Named in the five-count indictment are: Donell Davis, 22; Tyron Parker, 19, and Leeza Parker, 21.
Davis is charged with two counts of interference with commerce through threats of violence, two counts of brandishing a firearm in furtherance of a crime of violence and one count of being a felon in possession of a firearm. Leeza Parker is charged with two counts of interference with commerce through threats of violence and Tyron Parker is charged with one count of interference with commerce through threats of violence.
Davis and the Parkers robbed the Happy’s Pizza on Dorr Street on Sept. 22, 2017, during which time Davis brandished a firearm. Davis and Leeza Parker robbed the Metro PCS on West Bancroft Street on Oct. 12, 2017, during which time Davis brandished a firearm, according to the indictment.
Davis possessed a firearm on Sept. 22 and Oct. 17, despite the fact that he was forbidden from having a firearm because of previous convictions for aggravated assault, participation in a criminal gang and attempted failure to comply with police, according to the indictment.
“These defendants endangered hard-working Toledo residents who were just trying to do their jobs and raise their families,” Herdman said. “Those who use firearms to prey on others belong in prison. The ATF and Toledo Police Department should be commended for locking up this trio.”
“ATF will continue to work with the Toledo Police Department to combat violent crime in the community,” Velinor said. “We have a strong, cooperative relationship with our local counterparts, and we share one goal of making Toledo safer for all of its citizens.”
“The Toledo Police Department continues to work with our federal partners to arrest and prosecute those who use firearms in the commission of violent crimes,” Kral said. “I am proud of our detectives and ATF special agents for their work in this case. No doubt, the citizens of Toledo are safer with these suspects in custody.”
If convicted, the defendants’ sentences will be determined by the Court after reviewing factors unique to this case, including the defendants’ prior criminal record, if any, the defendants’ role in the offense and the characteristics of the violation. In all cases the sentence will not exceed the statutory maximum and in most cases it will be less than the maximum.
The investigating agency in this case is the Bureau of Alcohol, Tobacco, Firearms, and Explosives and the Toledo Police Department. The case is being handled by Assistant U.S. Attorney Michael J. Freeman.
An indictment is only a charge and is not evidence of guilt. Defendants are entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
Textile importer resolves False Claims Act allegationsRead the Press Release
ATLANTA - The U.S. Attorney’s Office for the Northern District of Georgia has reached a settlement agreement with textile importer American Dawn, Inc. and its executives Habib Rawjee, Mahmud Rawjee, and Adnan Rawjee (collectively, “American Dawn”) to resolve False Claims Act allegations that American Dawn intentionally misclassified goods imported into the United States in order to pay lower tariff rates. American Dawn agreed to pay $2,338,879 to resolve these allegations.
“Importers have an obligation to correctly classify imported goods for tariff purposes,” said U.S. Attorney Byung J. “BJay” Pak. “American Dawn falsely classified goods which gave them an unfair advantage over other similarly situated importers. Their actions caused them to pay high damages and penalties under the False Claims Act.”
“Trying to profit by falsely claiming imported products are of a lower value than they are is a costly risk,” said ICE HSI Atlanta Acting Special Agent in Charge Gregory Wiest. “Companies are required to properly identify imports and pay the appropriate tariffs.”
“This settlement agreement is another example of CBP’s day to day collaborative efforts between U.S. Customs and Border Protection Officers at ports of entry, Import Specialists with the Centers of Excellence and Expertise, and Immigration & Customs Enforcement Homeland Security Investigations to protect the American public and the U.S. economy.” said Donald F. Yando, Director, Atlanta Field Office U.S. Customs and Border Protection.
The U.S. Attorney’s Office initiated an investigation after a former employee of American Dawn filed a qui tam, or whistleblower, complaint in the Northern District of Georgia under the False Claims Act. The False Claims Act permits a private individual, called a relator, to sue on behalf of the government for false claims and to share in any recovery.
The relator in this case alleged that American Dawn intentionally misclassified certain textiles, such as bath towels and shop towels, as polishing cloths in order to pay a lower tariff rate. The U.S Attorney’s Office, in conjunction with agents from the Atlanta offices of U.S. Customs and Border Protection and the Department of Homeland Security, investigated the allegations and determined that American Dawn had misclassified several categories of goods. These misclassifications resulted in American Dawn paying lower than appropriate tariffs on numerous imports. As a result of the whistleblower suit and the government’s investigation, American Dawn has agreed to pay $2,338,879. The relator will receive approximately 17% of this settlement.
Assistant U.S. Attorney Emily Shingler is representing the United States in this matter. The claims resolved by this settlement are allegations only, and there has been no determination of liability.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the home page for the U.S. Attorney’s Office for the Northern District of Georgia Atlanta Division is http://www.justice.gov/usao-ndga.
Texas Man Pleads Guilty to Interstate StalkingRead the Press Release
Bangor, Maine: United States Attorney Halsey B. Frank announced that Donald Cain, 49, of Conroe, Texas, and formerly Columbia, South Carolina, pleaded guilty on Tuesday in U.S. District Court to interstate stalking.
According to the indictment and evidence introduced at the plea hearing, Cain was married in August 2014 to a resident of Aroostook County. When they met, he worked in Calais, Maine, but soon relocated to San Antonio, Texas. His wife remained in Maine. Between November 2014 and December 2015, the defendant used a telephone to call and send threatening text messages which caused substantial emotional distress to his wife.
Cain faces up to five years in prison and a $250,000 fine. He will be sentenced after completion of a presentence investigation report by the U.S. Probation Office.
The investigation was conducted by the Houlton Police Department, the San Antonio, Texas Police Department, the Maine Computer Crimes Task Force and the Federal Bureau of Investigation in Maine and South Carolina.
Synthetic Narcotics and Firearms Charges Result in Significant Prison SentencesRead the Press Release
CORPUS CHRISTI, Texas - Five members of a local drug trafficking organization have been ordered to federal prison following their varying convictions on drug and/or firearms charges, announced U.S. Attorney Ryan K. Patrick. Sentences ranged from 138-420 months in federal prison.
Longino Castillo, 27, and Isaiah Martinez, 20, both pleaded guilty to conspiracy to possess with intent to distribute methamphetamine and possession of a firearm in furtherance of a drug trafficking crime. Castillo was also convicted of possession of a machine gun conversion device. Michael Molina, 25, Justin Ray Flores, 36, and Manuel Garcia, 31, all pleaded guilty to conspiracy to possess with intent to distribute a synthetic cannabinoid. Molina further admitted to possession of a firearm in furtherance of a drug trafficking crime and felon in possession of a firearm. All are residents of Corpus Christi.
At a hearing that concluded late Wednesday, Jan. 10, Senior U.S. District Judge Hayden Head sentenced all five defendants to federal prison.
Castillo was ordered to serve a total of 420 months in prison. He received a 360 months for the methamphetamine conspiracy and 120 months possessing the machine gun conversion device to run concurrently. The court also imposed a 60-month sentence for possession of a firearm in furtherance of a drug trafficking crime which will run consecutive to the other terms imposed.
Martinez was sentenced to a total of 240 months in prison - 180 months for the methamphetamine conspiracy in addition to a consecutive 60 months for the firearms charge.
Molina received a 78-month sentence for the conspiracy to possess with intent to distribute a synthetic cannabinoid as well as a 60-month consecutive term for possession of a firearm in furtherance of a drug trafficking crime for a total of 138 months in prison.
Flores and Garcia received respective terms of 138 and 144 months in federal prison.
At the hearing, the court heard testimony regarding the manner in which authorities handle newly emerging synthetic narcotics, the adverse effects of those substance and imminent hazard they present to the public safety. Further testimony was provided about the large number of firearms and other items that were seized as a result of the investigation, some of which include an unregistered machine gun conversion device, several homemade suppressors, explosive devices, ammunition and body armor. In addition, the court heard about the impact synthetic cannabinoids have on the local community.
In handing down the sentence, Judge Head noted that the common practice of referring to synthetic cannabinoids as “legal” or “synthetic marijuana” misleads the public about the true dangers of the substances. The court further acknowledged the significant impact of synthetic narcotics, specifically the burden it places on law enforcement and the community.
Between May 2016 and May 2017, local law enforcement officers and federal agents conducted numerous search warrants at several residences and area hotels related to the distribution of narcotics by a group of individuals identifying themselves in online social media as “Team GoHard.” The investigation revealed that the group would frequently rent hotel rooms and move from place to place as a way to distribute the narcotics and evade law enforcement.
At each of the locations, law enforcement seized different types and quantities of controlled substances as well as multiple firearms. Laboratory analysis confirmed the presence of scheduled substances, methamphetamine, heroin, cocaine base and marijuana. In addition, laboratory analysis confirmed the presence of 5F-MDMB-PINACA and FUB-AMB which are controlled under the Controlled Substance Analog Act.
In custody since their arrests, each defendant will remain in custody and serve their sentences at a U.S. Bureau of Prisons facility to be designated in the near future.
Immigration and Customs Enforcement’s Homeland Security Investigations, the Bureau of Alcohol, Tobacco, Firearms and Explosives, and the Corpus Christi Police Department conducted the investigation. Assistant U.S. Attorney Lance Watt is prosecuting the case.
Suspended New Jersey Attorney Sentenced to Three Years’ Probation for Failing to Pay TaxesRead the Press Release
NEWARK, N.J. – A suspended Essex County, New Jersey, lawyer was sentenced today to three years’ probation, including 10 months of home confinement, for failing to pay personal and employment payroll taxes, U.S. Attorney Craig Carpenito announced.
Richard Roberts, 80, of Bloomfield, New Jersey, previously pleaded guilty before U.S. District Judge U.S. District Judge Esther Salas to an information charging him with one count of failing to pay payroll taxes and one count of failing to pay personal income taxes. Judge Salas imposed the sentence today in Newark federal court.
According to documents filed in the case and statements made in Court:
Roberts was the sole owner of legal practice he operated out of a law office in Newark. He maintained at least one employee, besides himself, and managed all aspects of the law office. Roberts was required to deduct and withhold federal income and insurance taxes from his employees’ wages. He was required to prepare and file quarterly forms that reported to the IRS the total amount of wages paid by an employer to all employees (Forms 941). Roberts was required to pay the employer’s portion of the payroll tax to the IRS. For the 12 quarters of the tax years 2009 through 2011, Roberts failed to make any payroll tax payment to the IRS. In each quarter, Roberts either failed to file a Form 941 or failed to pay the payroll tax reflected on the form.
Roberts has not paid personal income taxes since at least 2000. On June 24, 2012, Roberts filed a tax return for the tax years 2007 through 2010, listing the amount of tax due on each return. For example, on the 2010 tax return, Roberts listed a tax due of $20,361, but he has to date failed to pay the tax for tax years 2007 through 2010.
In addition to the probationary term, Judge Salas sentenced Roberts to 100 hours of community service and ordered him to pay $224,962 in restitution.
U.S. Attorney Carpenito credited special agents of IRS-Criminal Investigation, under the direction of Special Agent in Charge Jonathan D. Larsen, and investigators of the U.S. Attorney’s Office with the investigation leading to today’s sentencing.
The government is represented by Assistant U.S. Attorney Andrew Kogan of the U.S. Attorney’s Office Economic Crimes Unit.
Defense counsel: Lisa Mack Esq., Assistant Federal Public Defender, Newark
Springdale Man Sentenced to over 6 Years in Federal Prison for Drug TraffickingRead the Press Release
Fayetteville, Arkansas - Duane (DAK) Kees, United States Attorney for the Western District of Arkansas, announced that Rudy Mancia (aka Rudy Espinoza), age 31, of Springdale, was sentenced today to 78 months in federal prison followed by three years of supervised release on one count of Distribution of Methamphetamine. The Honorable Timothy L. Brooks presided over the sentencing hearing in the United States District Court in Fayetteville.
According to court records, in the summer of 2015, the Drug Enforcement Administration (DEA) learned that methamphetamine was being distributed in Northwest Arkansas by Mancia. In February of 2017, the DEA arranged and conducted a controlled purchase of methamphetamine from Mancia. The substance purchased was sent to the DEA South Central Laboratory for testing. The lab determined that the substance contained 27.19 grams of actual methamphetamine.
Mancia was indicted by a federal grand jury in June 2017 and entered a guilty plea in August 2017.
This case was investigated by the Drug Enforcement Administration (DEA). Assistant United States Attorney Kim Harris prosecuted the case for the United States.
Six Individuals Indicted for Conspiracy ChargesRead the Press Release
MUSKOGEE, OKLAHOMA – The United States Attorney’s Office for the Eastern District of Oklahoma announced that Nicole Marie Harring, age 42, of Mead, Oklahoma; Ksenia Ura Gubareva, age 38, of McLoud, Oklahoma; Nathan Paul Parker, age 38, of Durant, Oklahoma; Alvin Arley Potts II, age 38, of Durant, Oklahoma; Bobby Joecephus Medina, age 38, of Durant, Oklahoma; and Damon Lee Damron, age 29, of Durant, Oklahoma, were each indicted for Conspiracy, in violation of Title 18, United States Code, Section 371, punishable by not less than 5 years imprisonment, and up to a $250,000.00 fine or both, and numerous other violations of federal law. A copy of the full indictment can be found online at /media/929731/dl?inline.
The Indictment alleges that from on or about November 28, 2016, to on or about June 9, 2017, in the Eastern District of Oklahoma and elsewhere, Harring, Gubareva, Parker, Potts, Medina, and Damron, conspired: to knowingly and willfully, with intent to deceive, make, utter and possess counterfeit securities consisting of checks purporting to be drawn on banks which operate in or the activities of which affect interstate commerce, in violation of 18 U.S.C. ' 513(a); to obtain money and property by means of materially false pretenses, representations and promises, in violation of 18 U.S.C. § 1343; and to knowingly possess without lawful authority a means of identification of another person, to-wit: D.M., with the intent to commit, aid or abet in the commission of unlawful activity, in violation of 18 U.S.C. ' 1028(a)(7).
The charges arose from an investigation by the Durant Police Department, the District 19 District Attorney’s Office, the Chickasaw Nation Tribal Police, the Bureau of Indian Affairs, and the United States Secret Service. Assistant United States Attorney Melody Nelson will be prosecuting the case on behalf of the United States.
United States Attorney Brian J. Kuester said, “This investigation is the result of dedicated law enforcement professionals from local, state, tribal and federal jurisdictions working together to serve and protect our communities. This team effort by many different agencies is a wonderful example of the effectiveness of multi-jurisdictional efforts to investigate criminal activity.” Kuester added, “Indictments are only accusations and are not evidence of guilt. Each defendant is entitled to a fair trial, during which it will be the government’s burden to prove guilt beyond a reasonable doubt.”
Sentencings for January 4 - January 10, 2018Read the Press Release
Christopher Lee Martinez, 27, of Cheyenne, Wyoming, was sentenced by Chief Federal District Court Judge Nancy D. Freudenthal on January 10, 2018, for attempting to entice a minor in illegal sexual activity. Martinez was arrested in Cheyenne, Wyoming. He received 120 months of imprisonment, to be followed by five years of supervised release, and was ordered to pay a $100.00 special assessment and a $500.00 fine. This case was investigated by the Wyoming Division of Criminal Investigation Internet Crimes Against Children Task Force.
Michael Telesforo Flores, 39, of Green River, Wyoming, was sentenced by Federal District Court Judge Alan B. Johnson on January 9, 2018, for conspiracy to distribute methamphetamine. Flores received 71 months of imprisonment, to be followed by five years of supervised release, and was ordered to pay a $100.00 special assessment and $500.00 in restitution. This case was investigated by the Sweetwater County Sheriff’s Office and the Wyoming Division of Criminal Investigation.
Christopher Roy Bretas, 41, of Cheyenne, Wyoming, was sentenced by Chief Federal District Court Judge Nancy D. Freudenthal on January 8, 2018, for conspiracy to distribute methamphetamine. Bretas was arrested in Cheyenne, Wyoming. He received 151 months of imprisonment, to be followed by five years of supervised release, and was ordered to pay a $100.00 special assessment. This case was investigated by the Cheyenne Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives.
Camden Mourer, 25, of Boulder, Wyoming, was sentenced by Chief Federal District Court Judge Nancy D. Freudenthal on January 8, 2018, for possession of child pornography. Mourer was arrested in Boulder, Wyoming. He received 60 months of imprisonment, to be followed by 10 years of supervised release, and was ordered to pay a $100.00 special assessment and $5,000.00 in restitution. This case was investigated by the Wyoming Division of Criminal Investigation Internet Crimes Against Children and the U.S. Department of Homeland Security.
Samuel Cardona, 38, of Casper, Wyoming, was sentenced by Federal District Court Judge Scott W. Skavdahl on January 8, 2018, for counterfeiting and forging obligations or securities of the United States and aiding and abetting. Cardona was arrested in Casper, Wyoming. He received 27 months of imprisonment, to be followed by three years of supervised release, and was ordered to pay a $100.00 special assessment and $170.00 in restitution. This case was investigated by the Casper Police Department and the U.S. Secret Service.
William Kenneth Stoner, a/k/a Kenneth Stone, 57, of Cody, Wyoming, was sentenced by Federal District Court Judge Scott W. Skavdahl on January 4, 2018, for unlawful taking of threatened species under the Endangered Species Act, namely a grizzly bear, and for being a felon in possession of a firearm. He received 60 months of probation and was ordered to pay a $110.00 special assessment, a $5,000.00 fine and $25,000.00 in restitution. This case was investigated by the Wyoming Game and Fish Department, the U.S. Fish and Wildlife Service and the Bureau of Alcohol Tobacco Firearms and Explosives.
Second Conspirator Pleads Guilty in Fraudulent Medical Device SchemeRead the Press Release
A second individual pleaded guilty yesterday in connection with a scheme to defraud consumers by selling light-emitting devices as a treatment for more than 200 different diseases and disorders, the Department of Justice announced today.
Irina Kossovskaia, 63, of Ontario, Canada, pleaded guilty in the District of South Dakota to one count of conspiracy to introduce misbranded medical devices into interstate commerce with the intent to defraud and mislead. Kossovskaia faced charges along with Robert “Larry” Lytle and Fredretta Eason relating to her involvement with the devices, known as the “QLaser System.” A fourth individual, Ronald D. Weir, Jr., pleaded guilty to his role in the conspiracy last February.
According to documents filed with the U.S. District Court for the District of South Dakota, Kossovskaia and co-conspirators including Lytle and Weir marketed and distributed QLaser devices by falsely claiming that the devices could safely and effectively treat a panoply of medical conditions at home, including cancer, diabetes, autism, HIV, and heart disease. No published clinical or scientific studies supported the use of QLaser devices to treat such serious conditions, and the U.S. Food and Drug Administration (FDA) never approved the devices for such use.
As part of her plea agreement, Kossovskaia admitted that she and Lytle made false claims about the QLasers’ curative powers to mislead consumers into purchasing the devices, which sold for over $4,000 per unit. Kossovskaia further admitted to assisting Lytle by smuggling hundreds of QLaser devices out of Rapid City to her facility in upstate New York after a federal court ordered Lytle to stop selling the devices. Kossovskaia continued to sell the devices until 2017 and funneled tens of thousands of dollars in proceeds to Lytle, even though he was under court order to refund consumers for every QLaser purchase made since 2001.
“Fraudulent medical device scams exploit vulnerable citizens,” said Acting Assistant Attorney General Chad A. Readler of the Justice Department’s Civil Division. “The Department of Justice will continue its efforts to protect people from those who knowingly peddle ineffective and potentially dangerous products as treatments for serious illnesses.”
“Deplorable schemes involving unproven, ineffective and worthless medical devices take advantage of people who are impaired by chronic, debilitating pain and disease. The U.S. Postal Inspection Service is committed to ensuring that these types of schemes are investigated aggressively,” said U.S. Postal Inspector in Charge Dana Carter of the Denver Division, which covers multiple states including South Dakota. “It is imperative that we continue to protect those vulnerable individuals who unknowingly fall prey to these schemes in their time of need. We cannot allow fraudsters like these to utilize the U.S. mail to further their schemes.”
U.S. District Judge Karen E. Schreier accepted Kossovkaia’s plea. In addition to fines, Kossovskaia faces a maximum statutory sentence of five years’ imprisonment. A sentencing date has not yet been set.
The U.S. Postal Inspection Service investigated this case. Trial Attorney Ross S. Goldstein of the Justice Department’s Consumer Protection Branch and Assistant U.S. Attorney Kevin Koliner of the U.S. Attorney’s Office for the District of South Dakota are prosecuting the case.
Additional information about the Consumer Protection Branch and its enforcement efforts may be found at http://www.justice.gov/civil/consumer-protection-branch. For more information about the U.S. Attorney’s Office for the District of South Dakota, visit its website at https://www.justice.gov/usao-sd.
Rock Island Man Sentenced to 10 Years in Prison for Attempted Possession of CocaineRead the Press Release
Rock Island, Ill. – U.S. District Judge Sara L. Darrow today sentenced Jeffrey Terrell Moore, 31, of Rock Island, Ill., to 10 years in federal prison for attempting to possess cocaine. Moore entered his guilty plea to the drug charge on Sept. 7, 2017.
According to court documents, several weeks prior to May 4, 2017, Moore discussed opportunities to purchase multi-kilogram quantities of cocaine with an individual who, unbeknownst to Moore, was a law enforcement informant. On May 4, the informant contacted Moore to tell him that the cocaine was available for purchase. Moore agreed to pay the informant for three kilograms of cocaine and to purchase three additional kilograms on credit, all at a cost of $32,000 per kilogram.
Moore met the informant in Rock Island on May 4, at the agreed location and further discussed the terms of the purchase, including the amount of drugs and cost per kilogram. Moore left the location and indicated that he would return with the money. About one-half hour later, Moore returned and gave the informant $33,750 in cash in payment for cocaine. At that time, Moore was arrested by law enforcement agents. At a nearby residence, agents recovered an additional $23,340 in cash belonging to Moore.
Assistant U.S. Attorney Don Allegro prosecuted the case. The investigation was conducted by the Rock Island Police Department and the Quad Cities Metropolitan Enforcement Group.
Repeat Offender Convicted of Illegal Firearms Possession and Conspiracy to Obstruct JusticeRead the Press Release
A repeat offender who previously served ten years for plotting to use a pipe-bomb to blow up a motel, was convicted today of four federal felonies related to his ongoing illegal weapon possession, announced U.S. Attorney Annette L. Hayes. ROBERT A. STANARD, 41, of Stanwood, Washington was convicted of illegally possessing two firearms, illegal possession of ammunition, illegal possession of an unregistered silencer and conspiracy to obstruct justice. The jury deliberated two hours following a three-day jury trial. Chief U.S. District Judge Ricardo S. Martinez set sentencing for April 13, 2018.
According to records in the case and testimony at trial, STANARD repeatedly directed his wife in person and via text message to purchase firearms for his use. The weapons included an AR-15 assault rifle and a Ruger .380 handgun. STANARD ordered more than 1,000 rounds of ammunition from online sources, as well as gun parts. He directed his wife to purchase ammunition as well. His wife was confused at the gun stores and in a series of text messages and pictures consulted STANARD about every purchase. STANARD used items he ordered online to construct a silencer for one of the weapons. STANARD was arrested in October 2016, following reports of domestic violence. While incarcerated at Snohomish County Jail and later at the Federal Detention Center, STANARD send coded emails and spoke in code on telephone calls to get a family member to retrieve a third pistol that was hidden in his pick-up truck. The conspirators called the gun a “CD player” and the family member confirmed he had retrieved it and was secreting it from law enforcement.
STANARD was prohibited from possessing firearms due to multiple prior convictions including two federal felonies. In 2004 STANARD was sentenced to ten years in prison for two unrelated crimes. In March of 2001 in Utah, STANARD illegally possessed an unregistered firearm and, while in an argument with his cousin, he fired the gun with the bullet passing through the wall of an apartment. While on pretrial release for that crime, STANARD traveled to Washington where he first pistol whipped a man in Port Angeles, and then plotted to use a pipe bomb to blow up the man’s long stay motel. But for the work of an alert Sequim Police officer who stopped STANARD’s car due to a broken tail light, the bombing could have killed many innocent people.
At trial STANARD tried to claim he had no access to the guns that his wife kept them locked away in gun safes. Text messages show that she had provided him with the lock code for one safe, and various witnesses testified that they saw STANARD accessing the safes and with the guns at his disposal. Prosecutors said in closing arguments “Stanard hid behind his wife and family to own guns.”
STANARD faces up to ten years in prison for being a felon in possession of a firearm.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms & Explosives (ATF), the Snohomish County Sheriff’s Office and the Washington State Patrol.
The case was prosecuted by Assistant United States Attorneys Andrew Friedman and Joshua Ferrentino.
Prior Sex Offender from Taos Sentenced to Five Years for Federal Child Pornography ConvictionRead the Press Release
ALBUQUERQUE –Timothy J. Martin, 33, of Taos, N.M., was sentenced this morning in federal court in Santa Fe, N.M., to 60 months in federal prison followed by five years of supervised release for his child pornography conviction. Martin will be required to register as a sex offender after completing his prison sentence.
Martin, who has a prior child pornography conviction, was prosecuted under a federal anti-violence initiative that targets “the worst of the worst” offenders for federal prosecution. Under this initiative, the U.S. Attorney’s Office and federal law enforcement agencies work with New Mexico’s District Attorneys and state, local and tribal law enforcement agencies to target violent or repeat offenders primarily based on their prior criminal convictions for federal prosecution with the goal of removing repeat offenders from communities in New Mexico for as long as possible.
Martin was arrested on July 29, 2016, on a criminal complaint alleging that he possessed, received and distributed visual depictions of minors engaged in sexually explicit activity between Jan. 2016 and July 2016, in Taos County, N.M. According to the criminal complaint, the investigation into Martin began in Sept. 2015, when HSI agents received a report identifying a shared network that was being used to share child pornography files. On Jan. 3, 2016, investigators identified an IP address subscribed to Martin at Martin’s residential address that was being used to download child pornography files. On July 28, 2016, law enforcement authorities seized a laptop computer that contained child pornography while executing a search warrant at Martin’s residence.
Martin subsequently was charged in a two-count indictment filed on Aug. 23, 2016, with receiving child pornography on Jan. 3, 2016, and possessing child pornography from July 23, 2015 through July 28, 2016. According to the indictment, Martin committed the crimes in Taos County.
On Oct. 31, 2017, Martin pled guilty to receiving child pornography. In entering the guilty plea, Martin admitted that on Jan. 3, 2016, he downloaded a video depicting child pornography from the internet onto his laptop computer.
This case was investigated by the Albuquerque office of HSI with assistance from the New Mexico State Police and the Taos Police Department. Assistant U.S. Attorney Jeremy Pena is prosecuting the case as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice (DOJ) to combat the growing epidemic of child sexual exploitation and abuse. Led by United States Attorneys’ Offices and DOJ’s Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit http://www.justice.gov/psc/.
The case also was brought as a part of the New Mexico ICAC Task Force’s mission, which is to locate, track, and capture Internet child sexual predators and Internet child pornographers in New Mexico. There are 86 federal, state and local law enforcement agencies associated with the New Mexico ICAC Task Force, which is funded by a grant administered by the New Mexico Office of the Attorney General. Anyone with information relating to suspected child predators and suspected child abuse is encouraged to contact federal or local law enforcement.
Pittsburgh Heroin Dealer Sentenced to 5 Years in Federal PrisonRead the Press Release
PITTSBURGH - A resident of Pittsburgh, Pennsylvania, has been sentenced in federal court to five years’ incarceration, followed by four years of supervised release, on his conviction of violating the federal drug laws, United States Attorney Scott W. Brady announced today.
United States District Judge Mark R. Hornak imposed the sentence on Carlos M. White, Jr., age 29, of Pittsburgh, Pennsylvania.
According to information presented to the court, from in and around December 2013, and continuing to in and around March 2014, in the Western District of Pennsylvania and elsewhere, White conspired with others to distribute and to possess with the intent to distribute more than 100 grams, but less than 400 grams, of heroin. Also, on May 22, 2014, White possessed with intent to distribute 100 grams or more of heroin.
Assistant United States Attorneys Troy Rivetti and Tonya Sulia Goodman prosecuted this case on behalf of the government.
United States Attorney Brady commended the Federal Bureau of Investigation, the FBI Greater Pittsburgh Safe Streets Task Force, Wilkinsburg Police Department, Allegheny County Sheriff’s Office, Pennsylvania Office of the Attorney General, Munhall Police Department, Duquesne Police Department, Monroeville Police Department, Allegheny County Police Department, West Mifflin Police Department, Bellevue Police Department, and the Pittsburgh Police Department for the investigation leading to the successful prosecution of Carlos M. White, Jr.
The investigation was funded by the federal Organized Crime Drug Enforcement Task Force Program (OCDETF). The OCDETF program supplies critical federal funding and coordination that allows federal and state agencies to work together to successfully identify, investigate, and prosecute major interstate and international drug trafficking organizations and other criminal enterprises.
Palm Coast Man Pleads Guilty to Drug and Firearms ChargesRead the Press Release
Jacksonville, Florida –United States Attorney Maria Chapa Lopez announces that Jason Dixon (32, Palm Coast) today pleaded guilty to distributing “crack” cocaine and possessing a firearm as a convicted felon. He faces up to 30 years in federal prison. A sentencing date has not yet been set.
According to the plea agreement, Dixon provided crack cocaine to a confidential informant (CI) and an undercover ATF agent on multiple occasions. He bragged about his access to firearms and told the CI and the agent that he could sell them a gun “with no bodies on it.” During a meeting on June 30, 2017, Dixon sold the undercover agent a semi-automatic pistol and 47 rounds of ammunition.
As a previously convicted felon, Dixon is prohibited from possessing firearms or ammunition under federal law.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives. It is being prosecuted by Assistant United States Attorney Michael J. Coolican.
This is another case prosecuted as part of the Department of Justice’s “Project Safe Neighborhoods” Program (PSN), which is a nationwide, crime reduction strategy aimed at decreasing violent crime in communities. It involves a comprehensive approach to public safety — one that includes investigating and prosecuting crimes, along with prevention and reentry efforts. In the Middle District of Florida, U.S. Attorney Maria Chapa Lopez coordinates PSN efforts in cooperation with various federal, state, and local law enforcement officials.
Owner of Virginia Auto Repair Shop Indicted for Employment Tax FraudRead the Press Release
The owner of a Virginia auto repair shop was indicted for failing to account for and pay over employment taxes, announced Principal Deputy Assistant Attorney General Richard E. Zuckerman of the Justice Department’s Tax Division and U.S. Attorney Dana J. Boente for the Eastern District of Virginia.
According to the indictment, Michael Ragsdale resided in Ashburn, Virginia, and owned and operated Foreign Service Auto (FSA), an auto repair business located in McLean, Virginia. The indictment alleges that Ragsdale had decision-making authority over the business’s activities and controlled the business’s finances. He was allegedly responsible for withholding employment taxes from FSA’s employees, paying the taxes over to the Internal Revenue Service (IRS), and filing its employment tax returns. According to the indictment, from approximately the end of 2011 through 2014, Ragsdale did not file employment tax returns for FSA and did not pay approximately $112,000 in employment taxes.
If convicted, Ragsdale faces a statutory maximum sentence of five years in prison for each count of failing to collect, account for and pay over employment taxes. He also faces a period of supervised release, restitution, and monetary penalties.
An indictment merely alleges that crimes have been committed. The defendant is presumed innocent until proven guilty beyond a reasonable doubt.
Principal Deputy Assistant Attorney General Zuckerman and U.S. Attorney Boente commended special agents of IRS Criminal Investigation, who conducted the investigation, and Trial Attorney Melanie Smith of the Tax Division and Assistant U.S. Attorney Matthew Burke, who are prosecuting this case.
Additional information about the Tax Division and its enforcement efforts may be found on the division’s website.
Owner of U.S. Energy Partners, Inc. of Bowling Green, Kentucky, Convicted of Wire Fraud, Securities Fraud, and Money LaunderingRead the Press Release
Fraudulent Investment scam resulted in loss exceeding $1,000,000 for eleven partners
BOWLING GREEN, Ky. – The owner of U.S. Energy Partners, Inc. of Bowling Green, Kentucky, was convicted of wire fraud, securities fraud, and money laundering today in United States District Court, for creating a scheme that defrauded investors of $1,175,000 announced United States Attorney Russell M. Coleman.
“At the end of the day, white collar fraudsters are still just thieves preying on the trusting,” stated United States Attorney Russell M. Coleman. “Now that the jury has returned this verdict against Shelton, the US Attorney’s Office will aggressively pursue restitution to seek to make the victims whole again.”
The jury deliberated less than two hours before convicting Clay Shelton, 48, of Bowling Green, on all submitted counts, for devising a scheme that fraudulently obtained money from eleven investors. Shelton was taken into custody and is scheduled for sentencing before District Judge Greg N. Stivers on April 9, 2018 at 9:30am.
According to testimony presented during the four day trial, between March 2011 and September 2012, Shelton created Monterey Pipeline Partners, LLC, purportedly to purchase the Monterey Pipeline in Tennessee. Shelton also operated Escrow 2011 LP, an investment partnership he created to fund an escrow account to purchase and operate the Monterey (gas) Pipeline. Further, Shelton operated Brakaw Energy Management LLC, which was created by Shelton to manage and operate the Monterey Pipeline once he completed the purchase.
From March 2011 through September 2012, Shelton solicited in excess of $1,000,000 from eleven investors for the purchase of the Monterey Pipeline. He fraudulently represented to the investors that their funds would be held in escrow as a down payment until he was able to complete financing to purchase the Monterey Pipeline (about 60 days). Once the loan closed, investors would receive either a 25 percent return on their investment or Monterey Pipeline would buy their interest in any Tennessee well program they previously purchased through U.S. Energy Partners. Investors were, therefore, assured they would receive their investment back in at least 60 days and that their investment would be held in escrow.
Shelton misappropriated $1,000,000 of investor funds, which were wired into Escrow 2011, by investing the majority in collateralized mortgage obligations. Additional funds from investors were used to pay operating and business expenses, including his own salary.
Shelton could be sentenced to no more than 20 years, fined, ordered to pay restitution, and serve a period of supervised release.
This case was prosecuted by Assistant United States Attorneys Bryan Calhoun and Nute Bonner, with paralegal assistance from Jane Bauer and Mary Kennedy. This case was investigated by the IRS Criminal Investigation Division and the Kentucky Department of Financial Institutions.
Oklahoma Man Sentenced to over 40 Years in Federal Prison for Aggraveted Sexual Abuse of A MinorRead the Press Release
Fayetteville, Arkansas – Duane (DAK) Kees, United States Attorney for the Western District of Arkansas, announced that Brandon Jackson, age 32, of Proctor, Oklahoma, was sentenced today to 480 months in federal prison followed by twenty years of supervised release on one count of Aggravated Sexual Abuse of a Minor. The Honorable Timothy L. Brooks presided over the sentencing hearing in the United States District Court in Fayetteville.
According to court records, in June of 2017, an 11-year old male living in Northwest Arkansas disclosed to his mother that JACKSON had been molesting him. The subsequent investigation determined that over an approximate three year period, Jackson transported the minor victim to and from his Oklahoma residence, where he would then force the minor to engage in sexual activity. In July of 2017, JACKSON was arrested in Washington County, Arkansas. During a post-Miranda statement, he admitted to sexually abusing the minor victim. JACKSON was indicted in July 2017 on federal charges and plead guilty in September 2017.
“This sentencing is an excellent example of how the combined efforts of federal and state partners is used to combat the heinous crimes committed against our children,” said Thomas M. Annello “HSI continues to work with our partner law enforcement agencies to take those who would harm our children off the streets.”
Annello is the Acting Special Agent in Charge of the New Orleans field office of Homeland Security Investigations with responsibility for Arkansas, Alabama, Louisiana, Mississippi, and Tennessee.
This case was investigated by the Washington County Sheriff’s Office, the Arkansas State Police, the Northwest Arkansas Internet Crimes Against Children Taskforce, and the Department of Homeland Security. Assistant United States Attorney Dustin Roberts prosecuted the case for the United States.
Nurse Practitioner from Texas Pleads Guilty to Unlawful Dispensing of Controlled Substances in New MexicoRead the Press Release
ALBUQUERQUE – Sophia Ann Villalobos, 42, of Lubbock, Texas, pled guilty this week in federal court in Las Cruces, N.M., to unlawfully dispensing controlled substances. Under the terms of her plea agreement, Villalobos will be sentenced to a maximum of 12 months in prison.
Villalobos entered her guilty plea to a felony information on Jan. 9, 2018, that charged her with unlawfully dispensing a controlled substance, Oxycodone Hydrochloride, outside the usual course of medical practice and without any legitimate medical purpose. According to the information, Villalobos committed the crime on April 21, 2015, in Eddy County, N.M.
According to court documents, in 2015, Villalobos was a licensed Nurse Practitioner who had a medical practice in Carlsbad, N.M. In entering her guilty plea, Villalobos admitted that in early 2015, she wrote prescriptions for controlled substances for an individual without a valid medical reason. More specifically, Villalobos admitted that on April 21, 2015, she issued a prescription to an individual for 120 tablets of 30 mg Oxycodone Hydrochloride outside the usual course of medical practice and without any legitimate medical purpose.
According to court documents, on July 9, 2015, Villalobos surrendered her medical license and registration with the DEA, and is no longer authorized to dispense or prescribe controlled substances.
After entering the guilty plea, Villalobos was released under the supervision of the U.S. Probation Services and other conditions of release pending her sentencing hearing, which has yet to be scheduled.
This case was investigated by the DEA, New Mexico State Police and the Pecos Valley Drug Task Force. The Pecos Valley Drug Task Force is comprised of officers from the Eddy County Sheriff’s Office, Carlsbad Police Department and Artesia Police Department and is part of the HIDTA Region VI Drug Task Force. The High Intensity Drug Trafficking Areas (HIDTA) program was created by Congress with the Anti-Drug Abuse Act of 1988. HIDTA is a program of the White House Office of National Drug Control Policy (ONDCP) which provides assistance to federal, state, local and tribal law enforcement agencies operating in areas determined to be critical drug-trafficking regions of the United States and seeks to reduce drug trafficking and production by facilitating coordinated law enforcement activities and information sharing.
Assistant U.S. Attorneys Richard C. Williams and Sarah Davenport of the U.S. Attorney’s Las Cruces Branch Office are prosecuting the case pursuant to the New Mexico Heroin and Opioid Prevention and Education (HOPE) Initiative. The HOPE Initiative was launched in January 2015 by the UNM Health Sciences Center and the U.S. Attorney’s Office in response to the national opioid epidemic, which has had a disproportionately devastating impact on New Mexico. Opioid addiction has taken a toll on public safety, public health and the economic viability of our communities. Working in partnership with the DEA, the Bernalillo County Opioid Accountability Initiative, Healing Addiction in our Community (HAC), the Albuquerque Public Schools and other community stakeholders, HOPE’s principal goals are to protect our communities from the dangers associated with heroin and opioid painkillers and reducing the number of opioid-related deaths in New Mexico.
The HOPE Initiative is comprised of five components: (1) prevention and education; (2) treatment; (3) law enforcement; (4) reentry; and (5) strategic planning. HOPE’s law enforcement component is led by the Organized Crime Section of the U.S. Attorney’s Office and the DEA in conjunction with their federal, state, local and tribal law enforcement partners. Targeting members of major heroin and opioid trafficking organizations for investigation and prosecution is a priority of the HOPE Initiative. Learn more about the New Mexico HOPE Initiative at http://www.HopeInitiativeNM.org.
Nine have been sentenced in a Mexico-based methamphetamine and cocaine trafficking operationRead the Press Release
ATLANTA – Elmer Uriel Moreno-Armas, Leonardo Garcia Castro, Guillermo Rios, Jorge Alberto Barajas Govea, Pedro Oseguera Ramirez, Hugo Leon-Mendez a/k/a Guero, Warren Ferguson, Stephan Sessoms, and Tyler Owens have been sentenced for their respective roles in trafficking more than 58 gallons of liquid methamphetamine, 28 kilograms of methamphetamine, or “ice,” and 5 kilograms of cocaine. All nine were active participants in a Mexico-based drug trafficking operation.
“These defendants are responsible for a significant amount of dangerous narcotics hitting the streets. Their actions undoubtedly fueled addictions which have ravaged many families and communities of this district,” said U. S. Attorney Byung J. “BJay” Pak. “Through the dedicated work of law enforcement, these defendants were stopped before they could manufacture any more of this poison destined for our streets.”
“Methamphetamine continues to wreak havoc in our communities. Rest assured DEA and our federal, state and local partners along with our U.S Attorney’s Office are committed to ensuring drug traffickers like these face well deserved justice,” said Atlanta Drug Enforcement Administration Special Agent in Charge Robert J. Murphy.
According to U.S. Attorney Pak, the charges and other information presented in court: Defendants Elmer Uriel Moreno-Armas, Leonardo Garcia Castro, Guillermo Rios, Jorge Alberto Barajas Govea, Pedro Oseguera Ramirez, Hugo Leon-Mendez a/k/a Guero, Warren Ferguson, Stephan Sessoms, and Tyler Owens participated in a drug trafficking operation that involved converting liquid methamphetamine to crystal methamphetamine at various residences throughout the metropolitan Atlanta area and also distributing methamphetamine and cocaine.
In particular, Elmer Uriel Moreno-Armas worked at a residence used by this drug trafficking operation to convert liquid methamphetamine to crystal methamphetamine. On March 25, 2015, law enforcement was executed a search warrant at the residence where approximately 16 kilograms of methamphetamine and approximately 27 gallons of liquid methamphetamine was seized. Later that same day law enforcement executed a search warrant at a second residence on the same street. The traffickers used the home to store liquid methamphetamine and distribute methamphetamine.
At the second residence, law enforcement seized more than 3.5 kilograms of methamphetamine, approximately 27 gallons of liquid methamphetamine, $34,914, as well as a firearm. Surveillance footage from a security camera at that residence showed Moreno-Armas assisting with the transport of five-gallon buckets full of liquid methamphetamine in the two weeks leading up to March 25, 2015 search warrant execution. In addition, Moreno-Armas sold approximately one kilogram of methamphetamine to a customer in the parking lot of a retail store in Norcross, Georgia, on May 26, 2015.
Leonardo Garcia Castro and Guillermo Rios lived at a College Park, Georgia, residence that this trafficking operation used to convert liquid methamphetamine to crystal methamphetamine. On November 29, 2016, law enforcement executed a search warrant at this residence. While there, they noted both Garcia and Rios were covered in methamphetamine residue. Law enforcement seized approximately six kilograms of methamphetamine that had not been destroyed by Garcia and Castro prior to law enforcement’s entry into the residence.
Jorge Alberto Barajas Govea and Pedro Oseguera Ramirez lived at a Jonesboro, Georgia, property that was being used by the traffickers to convert liquid methamphetamine to crystal methamphetamine. On November 29, 2016, law enforcement executed a search warrant at this property and seized just over five kilograms of methamphetamine, approximately 4.5 gallons of liquid methamphetamine, approximately one kilogram of cocaine, and $12,284 in cash.
Hugo Leon-Mendez a/k/a Guero routinely visited each of the residences the traffickers used to convert liquid methamphetamine and bought supplies to assist in the methamphetamine conversion process. He also met at least one of the tractor-trailers that traveled from Texas, likely transporting liquid methamphetamine for conversion at the Jonesboro property. Leon-Mendez also used his Atlanta residence to store narcotics and conduct narcotics transactions.
On July 23, 2015, Leon-Mendez sold one kilogram of methamphetamine to an undercover agent, half of which he retrieved from his Atlanta residence. Then in November 2016, he distributed at least five kilograms of methamphetamine to various customers from his residence. On November 29, 2016, law enforcement executed a search warrant at Leon-Mendez’s Palmetto, Georgia, residence and seized four firearms and $11,178 in cash.
Warren Ferguson, Stephan Sessoms, and Tyler Owens, together, distributed methamphetamine and cocaine for this drug trafficking operation. Through traffic stops and an undercover operation, law enforcement seized approximately 25 kilograms of methamphetamine and five kilograms of cocaine between April 2015 and March 2016.
During a traffic stop on March 15, 2016, in particular, law enforcement seized approximately ten kilograms of methamphetamine and a loaded firearm from Sessoms. Just prior to the stop, Sessoms and Owens had met with other participants of this drug trafficking operation.
All nine defendants were sentenced by U.S. District Court Judge Timothy C. Batten, Sr. to the following sentences:
-
- Elmer Uriel Moreno-Armas, 31, of Mexico, was sentenced to seven years and seven months in prison, followed by five years of supervised release. In addition, the Court ordered Moreno-Armas to be turned over to Immigration officials for removal proceedings after serving his custodial sentence. Moreno-Armas pleaded guilty to conspiracy to possess with the intent to distribute 50 grams or more of methamphetamine on June 14, 2017.
-
- Leonardo Garcia Castro, 27, of College Park, Georgia, was sentenced to seven years and seven months in prison, followed by five years of supervised release. Garcia Castro pleaded guilty to conspiracy to possess with the intent to distribute methamphetamine on May 16, 2017.
-
- Guillermo Rios, 28, of Mexico, was sentenced to eight years and four months in prison, followed by five years of supervised release. In addition, the Court ordered Rios to be turned over to Immigration officials for removal proceedings after serving his custodial sentence. Rios pleaded guilty to conspiracy to possess with the intent to distribute methamphetamine on May 19, 2017.
-
- Jorge Alberto Barajas Govea, 37, of Mexico, was sentenced to seven years and seven months in prison, followed by five years of supervised release. In addition, the Court ordered Barajas Govea to be turned over to Immigration officials for removal proceedings after serving his custodial sentence. Barajas Govea pleaded guilty to conspiracy to possess with the intent to distribute 50 grams or more of methamphetamine on June 14, 2017.
-
- Pedro Oseguera Ramirez, 28, of Mexico, was sentenced to eight years in prison, followed by five years of supervised release. In addition, the Court ordered Oseguera Ramirez to be turned over to Immigration officials for removal proceedings after serving his custodial sentence. Oseguera Ramirez pleaded guilty to conspiracy to possess with the intent to distribute methamphetamine on July 7, 2017.
-
- Hugo Leon-Mendez, a/k/a Guero, 28, of Mexico, was sentenced to 19 years in prison, followed by five years of supervised release. In addition, the Court ordered Leon-Mendez to be turned over to Immigration officials for removal proceedings after serving his custodial sentence. Leon-Mendez pleaded guilty to conspiracy to possess with the intent to distribute 500 grams or more of methamphetamine on May 16, 2017.
-
- Warren Ferguson, a/k/a Weezy, 37, of Lithonia, Georgia, was sentenced to 18 years in prison, followed by five years of supervised release. Ferguson pleaded guilty to conspiracy to possess with the intent to distribute 500 grams or more of methamphetamine on April 28, 2017.
-
- Stephan Sessoms, 36, of Decatur, Georgia, was sentenced to 15 years in prison, followed by five years of supervised release. Sessoms pleaded guilty to conspiracy to possess with the intent to distribute 500 grams or more of methamphetamine and possession of a firearm in furtherance of a drug trafficking offense on May 19, 2017.
-
- Tyler Owens, a/k/a Unc, 43, of East Point, Georgia, was sentenced to 15 years in prison, followed by five years of supervised release. Owens pleaded guilty to conspiracy to possess with the intent to distribute 500 grams or more of methamphetamine and possession of a firearm in furtherance of a drug trafficking offense on August 9, 2017.
This case was investigated by the Drug Enforcement Administration.
Assistant U.S. Attorney DeLana Jones prosecuted the case.
The U.S. Attorney’s Office in Atlanta recommends parents and children learn about the dangers of drugs at the following web site: www.justthinktwice.gov.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
-
Niagara Falls Mans Sentenced on Gun ChargeRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051BUFFALO, N.Y.—U.S. Attorney James P. Kennedy, Jr. announced today that Julius Hall, Jr., 32, Niagara Falls, NY, who was convicted of possession of a firearm in furtherance of drug trafficking, was sentenced to 60 months in prison by U.S. District Judge Lawrence J. Vilardo.
Assistant U.S. Attorney Laura A. Higgins, who handled the case, stated that on November 10, 2016, during the execution of a search warrant at 303 38th Street, Apartment 2, in Niagara Falls, law enforcement officers found the defendant in the living room. A .40 caliber Glock pistol with a loaded 15-round magazine was found inside a zippered bag in the defendant’s bedroom closet. In addition, four plastic bags containing cocaine and crack cocaine were recovered from various locations within the apartment. One plastic bag containing green vegetable matter, two digital scales with white powder residue on the surface, and $578 in U.S. currency were also found within the apartment.
The sentencing is the culmination of an investigation on the part of the Drug Enforcement Administration, under the direction of Special Agent-in-Charge James J. Hunt, New York Field Division, and the Niagara Falls Police Department, under the direction of Superintendent Bryan DalPorto.
New Orleans Man Charged with Bank RobberyRead the Press Release
NEW ORLEANS –U.S. Attorney Duane A. Evans announced that EDDIE JAMES, age 40, of New Orleans, was charged last week in a one-count Bill of Information with bank robbery.
According to the Bill of Information, JAMES robbed the Fidelity Homestead Bank at 1201 S. Carrollton Avenue in New Orleans on November 2, 2017.
If convicted, JAMES faces a sentence of up to twenty years in prison, a fine of up to $250,000, and up to three years supervised release.
U.S. Attorney Evans reiterated that a Bill of Information is merely a charging document and that the guilt of the defendant must be proven beyond a reasonable doubt.
U.S. Attorney Evans praised the work of the Federal Bureau of Investigation in investigating this matter. Assistant U.S. Attorney David Haller is in charge of the prosecution.
Milwaukee Man Sentenced to 21 Years in Prison for Sex Trafficking and Forced LaborRead the Press Release
Defendant forced multiple young women and girls to engage in commercial sex and to perform at exotic dance clubs on Indian reservations in Northern Wisconsin
WASHINGTON – Paul Carter, 47, of Milwaukee was sentenced today to 21 years in prison, reduced by three years for time served, after pleading guilty on Oct. 6, 2017, to four counts of sex trafficking by force, fraud, or coercion and one count of conspiracy to commit forced labor and sex trafficking, announced Acting Assistant Attorney General John Gore of the Justice Department’s Civil Rights Division, U.S. Attorney Gregory Haanstad of the Eastern District of Wisconsin, and Homeland Security Investigations (HSI) Special Agent in Charge James M. Gibbons.
According to documents filed in court and in connection with the defendant’s guilty plea, for over a decade, from 2001 to 2013, the defendant recruited young women and girls to dance at clubs using false promises of money and a better life. He then used a combination of physical violence, isolation, emotional manipulation, sexual assault, and threats to harm the victims’ families to exert control over the victims and compel them to engage in commercial sex acts.
For example, on one occasion, the defendant used a heated wire hanger to brand a “P” on a victim’s buttock to demonstrate his ownership of her. When he learned that another victim was considering leaving, he put the barrel of a gun in her mouth and threatened to “blow her head off.”
On another occasion, the defendant, believing that a victim had hidden money from him, responded by searching her genitals and then forcing her to engage in sexual intercourse with him. In another instance, the defendant required her to choose between two punishments: drowning or jumping out of a window. After the victim jumped out of the window and fell to the ground, the defendant kicked her several times in the head, threw the victim to the ground, and stepped on her head hard enough to break her teeth.
President Donald J. Trump recently January 2018 as National Slavery and Human Trafficking Prevention Month, which culminates on February 1, 2018 with the annual celebration of National Freedom Day. In February 2017, President Trump signed an Executive Order, which directed the Attorney General to dismantle transnational criminal organizations, including those involved in human trafficking.
“Combatting sex trafficking—a heinous crime that often times preys on the youngest and most vulnerable members of our society—is one of the highest priorities of the Justice Department,” said Associate Attorney General Rachel Brand. “We will continue to work tirelessly to vindicate the civil rights of victims of human trafficking.”
“Sex traffickers target and prey upon some of the most vulnerable members of our society, threatening victims and subjecting them to extraordinary levels of violence,” said U.S. Attorney Gregory Haanstad of the Eastern District of Wisconsin. “Sex traffickers use violence not only to coerce victims into engaging in commercial sex acts, but also as a way to keep victims from cooperating with trafficking investigations and prosecutions. The United States Attorney’s Office remains committed to working with our federal, state, and local law enforcement partners to vindicate the rights of sex trafficking victims and to protect citizens from these violent and predatory offenses.”
“This case is an example of the ruthlessness of human traffickers who are willing to do anything, including victimizing women and girls, to make money,” said HSI Special Agent in Charge James M. Gibbons. “Human trafficking is modern-day slavery and HSI will continue to collaborate with community partners to bring justice to those impacted by this terrible crime.”
Two of Carter’s co-defendants previously pleaded guilty. Defendant David Moore pleaded guilty on October 27, 2015, to conspiracy to commit sex trafficking and trafficking with respect to forced labor. Sentencing is scheduled for January 30, 2018. Defendant Najee Moore pleaded guilty to conspiracy to commit sex trafficking and use of an interstate facility to promote a prostitution business enterprise on June 9, 2014, and was sentenced to 10 years in prison on December 22, 2016.
This prosecution is the result of the joint investigation by the Eastern District of Wisconsin’s Human Trafficking Task Force and cooperative efforts of the U.S. Immigration and Customs Enforcement’s Homeland Security Investigations, the State of Wisconsin Department of Justice, the Milwaukee Police Department, the FBI, the U.S. Attorney’s Office for the Eastern District of Wisconsin and the Civil Rights Division’s Human Trafficking Prosecution Unit.
The case was prosecuted by Assistant U.S. Attorneys Karine Moreno-Taxman and Laura Kwaterski of the Eastern District of Wisconsin and Trial Attorney Vasantha Rao of the Civil Rights Division’s Human Trafficking Prosecution Unit.
# # #
Michigan man pleads guilty to federal oxymorphone crimeRead the Press Release
BECKLEY, W.Va. - A Michigan man pleaded guilty today to a federal drug charge, announced United States Attorney Mike Stuart. Tremaine Dean Pool, Jr., 22, of Romulus, entered his guilty plea to possession with intent to distribute oxymorphone.
Pool admitted that on December 2, 2016, law enforcement found a loaded 9mm handgun and a bag containing 68 forty milligram oxymorphone pills in his proximity in a residence in Lewisburg. Pool also admitted that he possessed the gun and that he possessed the pain pills with intent to distribute. Pool further admitted that he conspired and worked with codefendants Joshua Adam Smith and Nicole Lee Honaker to distribute pain pills in Greenbrier County during November and December 2016, and that approximately 300 forty milligram oxymorphone pills were distributed or possessed with the intent to distribute during this drug trafficking activity.
Pool faces up to 20 years in federal prison when he is sentenced on April 18, 2018. Smith and Honaker each face up to 20 years in federal prison for drug crimes associated with this investigation when they are sentenced on January 24, 2018.
U.S. Attorney Mike Stuart commended the Greenbrier Valley Drug and Violent Crime Task Force for the investigation. Assistant United States Attorney John File is responsible for the prosecution. United States District Judge Irene C. Berger is presiding over these cases.
These cases are being prosecuted under the Greenbrier Valley Heroin and Pill Initiative, part of an ongoing effort led by the United States Attorney’s Office for the Southern District of West Virginia to combat the illicit sale and misuse of prescription drugs and heroin. The U.S. Attorney’s Office, joined by federal, state and local law enforcement agencies, is committed to aggressively pursuing and shutting down illegal pill trafficking, eliminating open air drug markets, and curtailing the spread of opiate painkillers and heroin in communities across the Southern District.
- Follow us on Twitter: SDWVNews
Michigan Clinic Office Manager Pleads Guilty to $131 Million Health Care Fraud Scheme Involving Unnecessary Prescription of Controlled SubstancesRead the Press Release
A Michigan clinic office manager pleaded guilty today for his role in a health care fraud scheme that involved the unnecessary prescription of controlled substances and that resulted in a $131 million loss to Medicare.
Attorney General Jeff Sessions, Acting Assistant Attorney General John P. Cronan of the Justice Department’s Criminal Division, U.S. Attorney Matthew Schneider of the Eastern District of Michigan, Special Agent in Charge David P. Gelios of the FBI’s Detroit Division, Special Agent in Charge Lamont Pugh III of the U.S. Department of Health and Human Services Office of Inspector General’s (HHS-OIG) Chicago Regional Office and Special Agent in Charge Manny Muriel of Internal Revenue Service-Criminal Investigation (IRS-CI) made the announcement.
Yasser Mozeb, 35, of Oakland County, Michigan, the office manager of the Tri-County Network, based in Detroit, Michigan, pleaded guilty to one count of conspiracy to commit health care fraud and one count of conspiracy to defraud the United States and pay and receive health care kickbacks, before U.S. District Judge Denise Page Hood of the Eastern District of Michigan. Sentencing has been scheduled for May 31 at 2 pm EST before Judge Hood.
“With one American dying of a drug overdose every nine minutes, we are facing the deadliest drug crisis in American history,” said Attorney General Sessions. “Sadly, some have chosen to take advantage of this crisis and exploit vulnerable patients for profit. At the Department of Justice we’ve taken a number of new steps this past year to fight opioid-related fraud. Today we have won another victory in this fight and I want to thank our FBI agents, DOJ attorneys, and everyone else who helped us bring the defendant to justice.”
“Prescribing unneeded drugs in exchange for kickbacks are not just crimes of greed, they are crimes that make Michigan’s opioid crisis even worse — and that is why our office will relentlessly pursue these cases,” said U.S. Attorney Matthew Schneider.
“Healthcare fraud schemes involving the prescribing of unnecessary prescription drugs, performing of extraneous medical procedures, and fraudulent billing practices continue to plague southeastern Michigan communities,” said FBI Special Agent in Charge Gelios. “Today’s guilty plea underscores the level of commitment that the FBI and its federal partners devote in holding accountable those responsible, along with their co-conspirators.”
“It is unconscionable that Mozeb and his coconspirators would put patients’ health at risk and potentially exacerbate the opioid epidemic,” said HHS-OIG Special Agent in Charge Pugh. “We, along with our law enforcement partners, will work tirelessly to hold these criminals accountable.”
As part of his guilty plea, Mozeb admitted that he conspired with the owner of the Tri-County Network, Mashiyat Rashid, to pay illegal kickbacks and bribes to Medicare beneficiaries, co-conspirator patient recruiters and others, in order to obtain patients for the Tri-County Network. Mozeb also admitted that he participated in a scheme with Rashid and other co-conspirators to prescribe medically unnecessary controlled substances, which allegedly included oxycodone, hydrocodone and oxymorphone, to Medicare beneficiaries, many of whom were addicted to narcotics. He admitted that in furtherance of the conspiracy, coconspirators also directed physicians to require Medicare beneficiaries to undergo medically unnecessary facet joint injections if the beneficiaries wished to obtain prescriptions for controlled substances.
Mozeb admitted that he and Rashid conspired with physicians in the Tri-County Network to refer Medicare beneficiaries to specific third party home health agencies, laboratories and diagnostic providers in exchange for illegal kickbacks and bribes even though those referrals were medically unnecessary.
Mozeb was part of a conspiracy that submitted or caused the submission of false and fraudulent claims to Medicare in excess of $131 million, he admitted.
Mozeb is the fifth defendant who has pleaded guilty in connection with the Tri-County investigation. Mozeb was charged along with Mashiyat Rashid, 37, of West Bloomfield, Michigan; Spilios Pappas, 61, of Monclova, Ohio; Abdul Haq, 72, of Ypsilanti, Michigan; Joseph Betro, 57, of Novi, Michigan; Tariq Omar, 61, of West Bloomfield, Michigan; and Mohammed Zahoor, 51 of Novi, Michigan, in an indictment unsealed on July 6, 2017. Rashid, Pappas, Betro, Omar and Zahoor are awaiting trial.
An indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
This case was investigated by the FBI, HHS-OIG and IRS-CI. Trial Attorney Jacob Foster of the Criminal Division’s Fraud Section is prosecuting the case.
The Fraud Section leads the Medicare Fraud Strike Force, which is part of a joint initiative between the Department of Justice and HHS to focus their efforts to prevent and deter fraud and enforce current anti-fraud laws around the country. The Medicare Fraud Strike Force operates in nine locations nationwide. Since its inception in March 2007, the Medicare Fraud Strike Force has charged over 3,500 defendants who collectively have falsely billed the Medicare program for over $12.5 billion.
Mexican National Sentenced to Twelve Years for Federal Drug Trafficking ConvictionRead the Press Release
ALBUQUERQUE – Luis Mendoza-Alarcon, 46, a Mexican national illegally in the United States, was sentenced today in federal court in Albuquerque, N.M., to 144 months of imprisonment for his conviction on federal cocaine trafficking and illegal reentry charges. Mendoza-Alarcon will be deported after completing his prison sentence.
Mendoza-Alarcon and co-defendant Giovanni Montijo-Dominguez, 37, also a Mexican national, were arrested on Oct. 7, 2014, and were charged by criminal complaint with cocaine trafficking offenses. They were indicted on Nov. 5, 2014, and both were charged with cocaine trafficking offenses, while Montijo-Dominguez also was charged with illegal reentry to the United States. Mendoza-Alarcon and Montijo-Dominguez subsequently were charged in a superseding indictment on June 30, 2016. The superseding indictment charged Mendoza-Alarcon and Montijo-Dominguez with conspiracy to possess cocaine with intent to distribute from Oct. 3, 2014 through Oct. 7, 2014; Mendoza-Alarcon with carrying a firearm in relation to a drug trafficking crime on Oct. 7, 2014; and Montijo-Dominguez with illegal reentering the United States on Oct. 7, 2014. According to the superseding indictment, the defendants committed the offenses in Bernalillo County, N.M.
On June 2, 2017, after a two-week trial, a federal jury convicted Mendoza-Alarcon and Montijo-Dominguez of conspiring to possess at least five kilograms of cocaine with intent to distribute it to others.
The evidence at trial established that between Oct. 3, 2014 and Oct. 7, 2014, Mendoza-Alarcon negotiated the sale of approximately six kilograms of cocaine from an undercover law enforcement agent. On Oct. 7, 2014, Mendoza-Alarcon and Montijo-Dominguez arrived in a white Chevrolet Tahoe in the parking lot of a store in southwest Albuquerque to meet with undercover agents. Although Mendoza-Alarcon expressed concern to the undercover agents that the parking lot might be occupied by law enforcement, the defendants proceeded with the sale by presenting the undercover agents with a large sum of cash in order to buy six kilograms of cocaine. Law enforcement agents testified that, once the signal to arrest Mendoza-Alarcon and Montijo-Dominguez was given, Montijo-Dominguez attempted to run away, but was quickly caught and arrested. The agents searched the defendants’ white Chevrolet Tahoe, and found a functional firearm loaded with live ammunition.
On July 27, 2017, Montijo-Dominguez pled guilty to Count 3 of the superseding indictment charging him with illegally reentering the United States. Montijo-Dominguez was sentenced on Dec. 12, 2017 to 120 months in prison. He will be deported following his prison sentence.
This case was investigated by the Albuquerque office of Homeland Security Investigations and was prosecuted by Assistant U.S. Attorneys Samuel A. Hurtado and Paul Mysliwiec.
Meth Importer Heads to PrisonRead the Press Release
LAREDO, Texas – A Nuevo Laredo man has been sentenced to federal prison for attempting to import methamphetamine into the United States, announced U.S. Attorney Ryan K. Patrick. Edgar Contreras, 22, pleaded guilty Sept. 7, 2017.
Today, U.S. District Judge Marina Garcia Marmolejo ordered he serve 72 months in federal prison. Not a U.S. citizen, he is expected to face deportation proceedings following his release from prison. In handing down the sentence, the court noted his youth, lack of criminal history and his minor role in the offense.
At the time of his plea, Contreras admitting he conspired to import and imported nearly 18 kilograms of methamphetamine from Mexico. The drugs were being smuggled in bottles of motor oil.
On July 4, 2017, Contreras arrived at the Lincoln/Juarez Port of Entry in Laredo driving a Chrysler Sebring. He was referred to secondary inspection, at which time authorities discovered 15 bottles of motor oil inside the vehicle behind the front seats. Authorities recognized the bottles from previous seizure attempts as well as inconsistencies with the bottles themselves. They were field tested and found to contain 17.80 kilograms of liquid methamphetamine.
At first, Contreras claimed to have no knowledge of the narcotics, but later admitted he had been hired to transport the liquid methamphetamine to Laredo for delivery to an unknown associate in exchange for $2,000.
He has been and will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
Immigration and Customs Enforcement’s Homeland Security Investigations conducted the investigation. Assistant U.S. Attorney José Angel Moreno prosecuted the case.
Mendocino County Resident Indicted for Illegally Importing Leopard Hunting Trophy from South AfricaRead the Press Release
OAKLAND - A federal grand jury indicted Adam Thatcher Lawrence today with importing wildlife contrary to law and mislabeling wildlife intended for importation, announced Acting United States Attorney Alex G. Tse and United States Fish and Wildlife Service Office of Law Enforcement Region 8 Assistant Special Agent in Charge Daniel Crum.
According to the indictment, Lawrence, 38, of Willits, Calif., traveled to the Republic of South Africa in August 2011, where he hunted and killed a leopard. Leopards are a protected species under both the Endangered Species Act, 16 U.S.C. § 1531 et seq., and the Convention on International Trade in Endangered Species of Wild Fauna and Flora, an international treaty to which the United States, South Africa, and Mozambique are signatories.
The indictment alleges Lawrence did not have the required permits to kill the leopard in South Africa, or to bring the leopard back into the United States. Lawrence allegedly secretly transported the leopard’s skin and skull into the Republic of Mozambique in May 2012 and thereafter falsely claimed to the U.S. Fish and Wildlife Service that he had hunted and killed the leopard in Mozambique in 2012. Lawrence then allegedly applied for permit paperwork from Mozambique, South Africa, and the United States in order to import the leopard skin and skull into the United States; each document falsely stated that the leopard was killed in Mozambique. The indictment alleges that in April 2013, Lawrence imported the leopard parts into the United States based on his false statements. In sum, Lawrence was charged with one count of importing wildlife contrary to law, in violation of 18 U.S.C. § 545 and 18 U.S.C. § 2(b), and one count of mislabeling wildlife intended for importation, in violation of 16 U.S.C. §§ 3372(d) and 18 U.S.C. § 2(b).
Lawrence is scheduled to make his initial appearance in federal court in Oakland on January 18, 2018.
An indictment merely alleges that crimes have been committed, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt. If convicted, Lawrence faces a maximum sentence of twenty years’ imprisonment, and a fine of $250,000, plus restitution, for a violation of 18 U.S.C. § 545 and a maximum sentence of five years’ imprisonment, and a fine of $250,000, plus restitution, for a violation of 16 U.S.C. §§ 3372(d). However, any sentence following conviction would be imposed by the court after consideration of the U.S. Sentencing Guidelines and the federal statute governing the imposition of a sentence, 18 U.S.C. § 3553.
Assistant U.S. Attorney Katherine Lloyd-Lovett is prosecuting the case with the assistance of Vanessa Quant. The prosecution is the result of a three-year investigation by the United States Fish and Wildlife Service Office of Law Enforcement.
Maurice man pleads guilty to fraudulently obtaining more than $1.6 million from Abbeville bankRead the Press Release
LAFAYETTE, La. – United States Attorney Alexander C. Van Hook announced that a man from Maurice pleaded guilty Wednesday to submitting false receipts in order to draw more than $1.6 million from a bank line of credit.
Richard J. Viator Jr., 52, of Maurice, La., pleaded guilty before U.S. Magistrate Judge Patrick Hanna to one count of bank fraud. The plea will become final after it is accepted by U.S. District Judge Dee D. Drell. According to the guilty plea, Viator was the owner/president of the oilfield company Safety Analysis Team Inc. located in Abbeville, La. Viator had a revolving line of credit for $2 million at an Abbeville bank. In order to access the credit, he was required to submit receipts. From November 4, 2010 to February 23, 2011, Viator received 11 draws or payments from the line of credit totaling $1,673,304.85 based on false and fraudulent invoices, which purported to be accounts receivable from various companies for work performed by Safety Analysis Team.
Viator faces up to 30 years in prison, five years of supervised release, restitution and a $1 million fine. The court set April 10, 2018 as the sentencing date.
The FBI conducted the investigation. Assistant U.S. Attorneys Jamilla A. Bynog and Kelly P. Uebinger are prosecuting the case.
Manhattan U.S. Attorney Announces Fraud and Bribery Charges Against Former Director of Financial Aid of Graduate SchoolRead the Press Release
Geoffrey S. Berman, the United States Attorney for the Southern District of New York, and Debbi Mayer, Assistant Special Agent in Charge of the U.S. Department of Education Office of Inspector General, Northeastern Regional Office (“ED-OIG”), announced today the unsealing of a criminal complaint charging four individuals, including the former Director of Financial Aid of a graduate school receiving federal funds (the “Graduate School”) and three students, with fraudulently obtaining hundreds of thousands of dollars from the Graduate School, bribery, and kickback scheme. MELANIE WILLIAMS-BETHEA, the former Director of Financial Aid, and student ANNICE KPANA were arrested this morning and presented today before U.S. Magistrate Judge Barbara Moses. Student CARMEN CANTY was arrested this morning in the Middle District of North Carolina, and student KYLA THOMAS, a/k/a “Kyla Britt,” was arrested this morning in the District of South Carolina; both are expected to be presented in those districts today.
U.S. Attorney Geoffrey S. Berman said: “As alleged, for years, these four defendants took advantage of a federal program intended to assist those who need financial aid to make higher education a reality. The defendants’ alleged falsification of documents to show extreme financial hardship enabled the student defendants cumulatively to pocket hundreds of thousands of dollars for which they did not qualify. A substantial portion of this stolen money was allegedly kicked back to Williams-Bethea. Student loan fraud ultimately affects all students and taxpayers with increased fees and interest rates.”
ED-OIG Assistant Special Agent in Charge Debbi Mayer said: “Today’s action alleges that Melanie Williams-Bethea knowingly and willfully abused her position of trust for personal gain and recruited others to assist her in a fraud scheme that targeted the very students she was supposed to help. OIG Special Agents will continue to aggressively pursue those who seek to enrich themselves at the expense of our nation’s students. America’s students, their families, and taxpayers deserve nothing less.”
According to the Complaint[1] unsealed today in Manhattan federal court:
From 2008 through 2017, WILLIAMS-BETHEA, KPANA, CANTY, and THOMAS engaged in fraud and bribery schemes resulting in the loss of hundreds of thousands of dollars from the Graduate School. WILLIAMS-BETHEA, who was employed by the Graduate School as the Director of Financial Aid during the relevant time period, perpetrated the scheme by approving aid payments to KPANA, CANTY, and THOMAS (collectively, the “Students”) well in excess of their need, and then obtaining kickback payments from the students of portions of the unjustified aid.
Specifically, WILLIAMS-BETHEA approved excessive “cost of attendance” figures for the Students that did not comport with their actual needs or costs of living, which had the effect of increasing the amount of financial aid they were eligible to receive, and by then approving stipends for the Students up to – and at times exceeding – these inflated amounts. To facilitate some of the stipends, WILLIAMS-BETHEA created fraudulent stipend request forms for financial awards to the Students, which gave the appearance that professors or other administrators had requested stipends for KPANA, CANTY, and THOMAS, when in fact they had not, and then approved the fraudulently requested stipends herself.
After WILLIAMS-BETHEA facilitated these awards of unjustified financial aid, KPANA, CANTY, and THOMAS paid WILIAMS-BETHEA more than $350,000 in kickbacks.
* * *
WILLIAMS-BETHEA, 47, of Springfield Gardens, New York, KPANA, 35, of Valley Stream, New York, CANTY, 39, of Winston-Salem, North Carolina, and THOMAS, 39, Greer, South Carolina, each are charged with one count of conspiracy to commit bribery and fraud in connection with federal student aid, which carries a maximum sentence of five years in prison; one count of conspiracy to commit wire fraud, which carries a maximum sentence of 20 years in prison; and one count of bribery, which carries a maximum sentence of 10 years in prison. WILLIAMS-BETHEA, CANTY, and THOMAS are each also charged with one count of fraud in connection with federal student aid, which carries a maximum sentence of five years in prison.
The statutory maximum penalties are prescribed by Congress and are provided here for informational purposes only, as any sentencings of the defendants would be determined by the judge.
Mr. Berman praised the investigative work of the Department of Education Office of Inspector General in this investigation, and thanked the Graduate School for its cooperation with the investigation.
This case is being handled by the Office’s Public Corruption Unit. Assistant U.S. Attorneys Thomas McKay and Alex Rossmiller are in charge of the prosecution.
[1] As the introductory phase signifies, the entirety of the text of the Complaint, and the description of the Complaint set forth herein, constitute only allegations, and every fact described should be treated as an allegation.
Lockport Man Pleads Guilty in Conspiracy to Traffic MethamphetamineRead the Press Release
U.S. Attorney Duane A. Evans announced that JAMES SIGLAR, age 40, of Lockport, pled guilty yesterday to conspiracy to distribute and to possess with intent to distribute methamphetamine.
On August 25, 2016, SIGLAR and his codefendant, DAMIEN CLARK, had been charged in a five-count Indictment with conspiring to distribute and possess with intent to distribute methamphetamine, possessing with intent to distribute methamphetamine, and using cell phones in furtherance of their drug operation. On October 4, 2017, Clark pled guilty to conspiring to distribute and possess with intent to distribute methamphetamine. Clark is scheduled for sentencing on March 14, 2018.
SIGLAR is facing a maximum sentence of 20 years’ imprisonment, as well as a possible fine of up to $1,000,000. U.S. District Judge Martin L.C. Feldman will sentence SIGLAR on April 18, 2018.
U.S. Attorney Evans praised the work of the United States Postal Inspection Service, the Houma Police Department, and the Terrebonne Parish Sheriff’s Office. Assistant U.S. Attorneys James S.C. Baehr and Brandon S. Long are in charge of the prosecution.
Local Contractor Charged with Tax FraudRead the Press Release
NEW ORLEANS – U.S. Attorney Duane A. Evans announced that WADE YBARZABAL, age 56, of Mandeville, was charged by way of a Bill of Information with one count of filing a false tax return.
According to the charging document, YBARZABAL failed to pay the appropriate amount of taxes for the 2012 tax year. YBARZABAL faces up to three years of incarceration, a fine of up to $250,000, and one year of supervised release.
U.S. Attorney Evans reiterated that a Bill of Information is merely a charging document and that the guilt of the defendant must be proven beyond a reasonable doubt.
The U.S. Attorney’s Office praised the work of the Internal Revenue Service-Criminal Investigation Division in investigating this matter. Assistant United States Attorney Edward J. Rivera and Trial Attorney for the Department of Justice, Tax Division Grace Albinson are in charge of the prosecution.
Ladson Man Pleads Guilty to Distribution of Fentanyl Resulting in DeathRead the Press Release
Charleston, South Carolina ---- United States Attorney Beth Drake stated today that Robert Bryan Mansfield, age 61, of Ladson, South Carolina, entered a guilty plea in federal court in Charleston, to distribution of fentanyl resulting in death. United States District Judge David C. Norton, of Charleston, accepted the guilty plea and will impose sentence after he has reviewed the presentence report which will be prepared by the U.S. Probation Office.
Evidence presented at the change of plea hearing established that on February 2, 2017, Special Agents with ICE-Homeland Security Investigations seized over a kilogram of fentanyl that had been shipped from Hong Kong and was destined for Mansfield at his residence in Ladson. Special Agents with ICE-Homeland Security Investigations in Charleston obtained and executed a search warrant at Mansfield’s residence and recovered over 100 grams of fentanyl, numerous other controlled substances, and items associated with the distribution and trafficking of narcotics. That same day, Postal Inspectors with the United States Postal Inspection Service also recovered 10 packages of fentanyl that Mansfield attempted to mail to various locations across the United States.
During the investigation into Mansfield, Special Agents with the Drug Enforcement Administration were able to identify Mansfield as the source of fentanyl that led to one individual’s overdose death in December 2016. Further investigation showed that Mansfield used the “dark web” to purchase fentanyl and other controlled substances from sources in Hong Kong and other foreign locations. He then sold fentanyl and other controlled substances through the “dark web” and used the United States Postal Service to ship packages to customers throughout the country.
U.S. Attorney Drake stated that Mansfield faces a mandatory minimum of twenty years imprisonment and a maximum penalty of life imprisonment.
The case was investigated by agents of the Drug Enforcement Administration, ICE-Homeland Security Investigations, the United States Postal Inspection Service, and the Summerville Police Department. Assistant United States Attorney Nick Bianchi of the Charleston office is prosecuting the case.
#####
Kanawha County man sentenced to over six years in federal prison for receiving child pornographyRead the Press Release
CHARLESTON, W.Va. - A Kanawha County man was sentenced today to six years and three months in federal prison for a child pornography crime, announced United States Attorney Mike Stuart. Stephen Lee Rhodes, 40, of Clendenin, previously pleaded guilty to receiving child pornography. United States District Judge John T. Copenhaver, Jr., imposed the sentence. Rhodes was also ordered to serve 20 years on federal supervised release after completion of his prison term. Additionally, Rhodes will be required to register as a sex offender.
Rhodes admitted that on June 4, 2015, he received a video on his computer of a prepubescent minor engaged in sexually explicit conduct. Rhodes also admitted to possessing a large collection of child pornography images and videos contained on computers at his Clendenin residence. The investigation uncovered that Rhodes was using a peer-to-peer file sharing program to download, receive, and distribute child pornography images and videos. Agents with the Federal Bureau of Investigation seized computers and other digital media storage devices containing child pornography from his residence before arresting Rhodes in March 2017.
U.S. Attorney Mike Stuart commended the Federal Bureau of Investigation, the West Virginia State Police, the West Virginia Internet Crimes Against Children Task Force, the Parkersburg Police Department, and the Bureau of Alcohol, Tobacco, Firearms and Explosives for their work on this investigation.
“This office remains dedicated to prosecuting child predators who search the Internet targeting innocent children,” stated U.S. Attorney Stuart. “We will continue working tirelessly with our law enforcement partners to seek out and bring to justice those who mercilessly exploit children.”
Assistant United States Attorney Lisa G. Johnston is in charge of the prosecution.
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 Attorney’s Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute those who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
- Follow us on Twitter: SDWVNews
Jury Convicts Local Man in Drug and Money Laundering ConspiracyRead the Press Release
CORPUS CHRISTI, Texas – A 54-year-old Robstown resident has been found guilty of conspiracy to possess with intent to distribute cocaine and heroin as well as conspiracy to launder narcotics proceeds, announced U.S. Attorney Ryan K. Patrick. A jury returned the verdicts today against Rolando Hinojosa following approximately an hour of deliberation and two days of trial.
The jury heard that an undercover officer had begun purchasing heroin from the organization in April 2016. Members of the conspiracy testified that the organization was involved in two types of narcotics trafficking - local, large-scale heroin distribution in Nueces County and interstate distribution of kilogram quantities of cocaine. Hinojosa was the source of supply for both types of narcotics.
The evidence included approximately $60,000 in illegal narcotics currency which authorities discovered in Hinojosa’s work truck when he was arrested Oct. 4, 2017. On the same date, agents also found approximately $36,000 in illegal narcotics currency in his home.
The jury further heard testimony regarding a pre-paid telephone found on Hinojosa’s bedside table which demonstrated the trail of cocaine from Hinojosa to a Kentucky distributor. From further phone analysis, authorities discovered a narcotics courier who had been arrested in August 2017 returning from Kentucky with $76,000 in narcotics currency intended for Hinojosa.
That courier testified at trial that he successfully delivered several kilograms of cocaine to Kentucky in August 2017 after receiving it from Hinojosa.
Hinojosa’s defense was that the government had not proven its case beyond a reasonable doubt. The jury disagreed and found him guilty on all counts.
Senior U.S. District Court Judge Janis Graham Jack presided over the trial and set sentencing for April 9, 2018. At that time, Hinojosa faces up to life in prison on the drug charges and a possible $10 million fine, while the money laundering conspiracy carries a maximum of 20 years and a $500,000 fine. Previously released on bond, he was ordered into custody following the verdict where he will remain pending that hearing.
The Drug Enforcement Administration and the Texas Department of Public Safety conducted the investigation. Assistant U.S. Attorney Jon Muschenheim is prosecuting the case.
Jury Convicts Boston Man of Dealing FirearmsRead the Press Release
BOSTON – A Boston man was found guilty yesterday by a federal jury in Boston of dealing firearms.
Deon Young, 33, of Hyde Park, was convicted of one count of conspiracy to sell firearms without a license and one count of dealing in firearms without a federal license. U.S. District Court Judge Douglas P. Woodlock scheduled sentencing for April 10, 2018.
On Sept. 19, 2016, without being licensed to do so, Young and co-conspirator Troy Armstrong sold a Colt .45 caliber semi-automatic pistol to a cooperating witness working with federal law enforcement. On Oct. 4, 2016, Young and Armstrong again sold a firearm - a Hi-Point model, .45 caliber semi-automatic pistol - to the same cooperating witness. Both illegal transactions took place in the Bunker Hill Housing Authority neighborhood of Charlestown and were captured on covert surveillance cameras.
In September 2017, Armstrong was sentenced to three years in prison after pleading guilty to being a felon in possession of a firearm and ammunition.
The charges of conspiracy and dealing in firearms without a federal license each provide for a sentence of no greater than five years in prison, three years of supervised release and a fine of $250,000. 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 Mickey D. Leadingham, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms and Explosives, Boston Field Division, made the announcement. Assistant U.S. Attorneys Lori Holik, Chief of Lelling’s Major Crimes Unit, and Nicholas Soivilien, also of the Major Crimes Unit, are prosecuting the case.
Judge Sentences Pharmacy Robber to 18 Years in Federal PrisonRead the Press Release
PITTSBURGH - A former resident of West Virginia has been sentenced in federal court to 216 months imprisonment, followed by six years of supervised release on charges of conspiracy to commit robbery of a pharmacy, robbery of a pharmacy, brandishment of a firearm in relation to a crime of violence, and possession with the intent to distribute Schedule II controlled substances, United States Attorney Scott W. Brady announced today.
Senior United States District Judge Donetta W. Ambrose imposed the sentence on Dana Lee Shipley, age 53, formerly of Fairmont, West Virginia.
According to information presented to the court, on March 11, 2016, Palmer's Pharmacy located in Russellton, Pennsylvania, was robbed by two individuals armed with firearms and wearing masks. The suspects stole approximately 10,000 dosage units of prescription drugs, including Oxycodone and Fentanyl, with an estimated street value of approximately $235,000. As a result of their comprehensive and extensive investigation, the Drug Enforcement Administration (DEA) and West Deer Police Department developed a general description of at least one suspect.
Then on April 28, 2016, Keystone Pharmacy located in New Alexandria Boro, Pennsylvania, was robbed by two individuals wearing masks. One suspect had a gun and the other had pepper spray. The assailants placed employees on the ground and handcuffed them. Investigators determined that between 15,000 - 20,000 dosage units were stolen. Noting the similarities between both robberies, DEA then coordinated its investigation with that of the Pennsylvania State Police to identify and arrest the individuals in question. After locating and interviewing one suspect, agents secured a full confession. Immediately thereafter, the other suspect, Dana Shipley, was identified and arrested. When he was arrested, Shipley had a backpack containing a large amount of pills, money from the New Alexandria robbery and both masks. Shipley also had a .32 caliber firearm, that had been used in the commission of the crime, concealed in his pocket. Shipley has an extensive criminal history and had recently been released from prison after serving time for armed robbery.
Assistant United States Attorney Shanicka L. Kennedy prosecuted this case on behalf of the government. The Drug Enforcement Administration, the Pennsylvania State Police and the West Deer Township Police Department conducted the investigation leading to the prosecution of Shipley.
Josephine Joann Quintanilla Sentenced for Federal Firearm and Drug CrimesRead the Press Release
SHAWN N. ANDERSON, United States Attorney for the Districts of Guam and the Northern Mariana Islands (NMI), announced that defendant JOSEPHINE JOANN QUINTANILLA, age 37, from Mangilao, was sentenced in the District Court of Guam to 46 months imprisonment for the crimes of Drug User in Possession of Firearms and Ammunition, in violation of 18 U.S.C. § 922(g), and Possession with Intent to Distribute Methamphetamine, in violation of 21 U.S.C. §§ 846 and 841(a)(1). The Court also ordered three years of supervised release following defendant’s term of imprisonment, in addition to the forfeiture of seven firearms and 98 rounds of ammunition. Additionally, defendants convicted of a federal drug offense may no longer qualify for certain federal benefits.
On May 31, 2017, defendant Quintanilla pleaded guilty to two counts in an Indictment charging her with Drug User in Possession of Firearms and Ammunition and Possession with Intent to Distribute Methamphetamine. The investigation showed that Quintanilla was a regular user of methamphetamine hydrochloride throughout 2016. A search of her home also revealed drug paraphernalia and scales used to weigh the drug. During this same period, federal agents learned that Quintanilla possessed and sold firearms and ammunition. Quintanilla also traveled to California to mail 28.24 grams of methamphetamine to Guam.
The investigation was conducted by the U.S. Postal Service Inspection and the Bureau of Alcohol, Tobacco, Firearms and Explosives. The case was prosecuted by Rosetta San Nicolas, Assistant
U.S. Attorney.
Honduran National Sentenced for Illegal Re-EntryRead the Press Release
U.S. Attorney Duane A. Evans announced that RENE AMAYA-RAMOS, age 40, a citizen of Honduras, was sentenced yesterday after previously pleading guilty to a one-count Indictment for illegal re-entry of removed alien.
U.S. District Judge Susie Morgan sentenced AMAYA-RAMOS to 24 months’ imprisonment.
According to the court documents, on December 6, 2016, AMAYA-RAMOS was found in the United States after having been deported previously on December 13, 2012.
U.S. Attorney Evans praised the work of the Immigration and Customs Enforcement in investigating this matter.
Historian Pleads Guilty to Theft of Government Records from the National ArchivesRead the Press Release
FOR IMMEDIATE RELEASE Contact Elizabeth Morse www.justice.gov/usao/md at (410) 209-4885
Greenbelt, Maryland –Antonin DeHays, age 33, of College Park, Maryland, pleaded guilty today to theft of government property stemming from the theft of government records from the National Archives and Records Administration.
The plea was announced by Acting United States Attorney for the District of Maryland Stephen M. Schenning and Assistant Inspector General for Investigations Jason Metrick of the National Archives and Records Administration - Office of Inspector General.
According to the plea agreement, beginning in December 2012, and continuing through in or about June 2017, DeHays stole and knowingly converted for his own use U.S. service members’ dog tags and other records from the public research room at the National Archives at College Park, Maryland. Specifically, DeHays stole at least 291 U.S. service members’ dog tags and at least 134 other records from the National Archives at College Park. Some of these dog tags bore evidence of damage, such as dents and charring due to fire sustained during the crashes.
For example, on or about December 9, 2016, DeHays visited the National Archives at College Park and stole two dog tags, one silver and one brass, issued to a downed Tuskegee Airman, who died when his fighter plane crashed in Germany on September 22, 1944. DeHays gave the brass dog tag to a military aviation museum in exchange for the opportunity to sit inside a Spitfire airplane. On a different occasion, DeHays stole two dog tags that were linked together with a wire loop. One of the dog tags was issued to a U.S. serviceman who served in World War II, and the other dog tag was issued to his father, who had served in World War I.
DeHays stole other records, in addition to dog tags, from the National Archives at College Park, including identification cards, personal letters, photographs, a bible, and pieces of downed U.S. aircraft.
Although DeHays kept some of the stolen U.S. dog tags and other stolen records for himself and gave others as gifts, he sold the majority of the stolen items on eBay and elsewhere. Before selling the dog tags, DeHays sometimes removed from the dog tags markings made in pencil which could have been used to identify the dog tags as having been stolen from the National Archives. On one occasion, DeHays sent a text message to a potential buyer stating that certain dog tags for sale were “burnt and show some stains of fuel, blood . . . very powerful items that witness the violence of the crash.” On a different occasion, DeHays sent a text message to a potential buyer stating that a dog tag for sale was “salty” (bearing the signs of war-related damage) and that an officer ID and American Red Cross ID for sale were “partially burned.”
DeHays faces a maximum sentence of 10 years in prison. A sentencing date has been set for April 4, 2018 at 9:30 a.m. at the United States District Court in Greenbelt.
Acting United States Attorney Stephen M. Schenning commended the National Archives – Office of Inspector General for their work in the investigation. Mr. Schenning also thanked Assistant United States Attorney Nicolas A. Mitchell, who is prosecuting the case.
Harrisburg Man Indicted for Possession of Firearms and Distribution of Crack CocaineRead the Press Release
HARRISBURG- The United States Attorney’s Office for the Middle District of Pennsylvania announced today that Emerson Miller, age 31, of Harrisburg, Pennsylvania, was indicted on January 10, 2018, with four counts of distribution of crack cocaine, two counts of possession of a firearm by a felon, and one count of possessing a firearm with an obliterated serial number.
According to United States Attorney David J. Freed, the indictment alleges that Miller possessed a firearm on September 29, 2016 and a second firearm, this one with an obliterated serial number, on July 30, 2017. The indictment also alleges that Miller distributed and possessed with the intent to distribute, crack cocaine on April 10, 2017, April 20, 2017, May 4, 2017 and May 18, 2017.
The case was investigated by the Harrisburg Police Department, the Pennsylvania Attorney Generals Office, and the Bureau of Alcohol, Tobacco, Firearms, and Explosives. Assistant U.S. Attorney Scott R. Ford is prosecuting the case
This case was brought as part of the Violent Crime Reduction Partnership (“VCRP”), a district wide initiative to combat the spread of violent crime in the Middle District of Pennsylvania. Led by the United States Attorney’s Office, the VCRP consists of federal, state and local law enforcement agencies whose mission is to locate, apprehend, and prosecute individuals who commit violent crimes with firearms.
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.
The maximum penalty under federal law is life in prison, a term of supervised release following imprisonment, and a fine. 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.
# # #
Grand Jury Charges Additional Crimes and Adds One Defendant in Case Involving Bakersfield’s West Side Crips GangRead the Press Release
BAKERSFIELD, Calif. — In a case that is the product of the 10-month investigation into the Bakersfield criminal street gang known as the West Side Crips (WSC), a federal grand jury returned a superseding indictment today against alleged WSC member Jarvis Thomas, 32, charging him with conspiracy to distribute methamphetamine, as well as possession with intent to distribute methamphetamine, U.S. Attorney McGregor W. Scott announced.
An additional narcotics charge was also included against alleged WSC member Tommie Thomas, who was previously charged in the underlying indictment.
According to court documents, on November 1, 2017, alleged WSC members Jarvis Thomas, Tommie Thomas and Augustus Crawford (now deceased) conspired to purchase, and did purchase, at least four pounds of methamphetamine from Luis Fernandez, another co‑defendant charged in the original indictment.
This case is the product of an investigation by the Federal Bureau of Investigation, the California Department of Justice, the Bakersfield Police Department and the Drug Enforcement Administration. Assistant U.S. Attorneys Angela Scott and Vincenza Rabenn are prosecuting the case.
If convicted, Jarvis Thomas, Tommie Thomas and Luis Fernandez face a maximum statutory penalty of life in prison and a $10 million fine. Any sentence, however, would 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. The charges are only allegations; the defendants are presumed innocent until and unless proven guilty beyond a reasonable doubt.