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20 December 2017
Randallstown Man Indicted for Possession and Production of Child PornographyRead the Press Release
FOR IMMEDIATE RELEASE Contact ELIZABETH MORSE
www.justice.gov/usao/md at (410) 209-4885
Baltimore, Maryland - A federal grand jury has indicted John Michael Fowler, age 27, of Randallstown, Maryland, today on charges relating to the production and possession of child pornography.
The indictment was announced by Acting United States Attorney for the District of Maryland Stephen M. Schenning; Special Agent in Charge Gordon B. Johnson of the Federal Bureau of Investigation, and Commissioner Kevin Davis of the Baltimore Police Department and Baltimore State’s Attorney Marilyn Mosby.
According to the five-count indictment, between 2013 and 2014 Fowler produced images of prepubescent minors engaged in sexually explicit conduct with an adult male. In addition, Fowler is being charged with one count of possession of child pornography.
Fowler faces a possible sentence of 30 years in prison for each count of production of child pornography and 20 years in prison for possession of child pornography.
An initial appearance is scheduled for 2:45 p.m. today in U.S. District Court in Baltimore before U.S. Magistrate Judge Beth P. Gesner.
An indictment is not a finding of guilt. An individual charged by indictment is presumed innocent unless and until proven guilty at some later criminal proceedings.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc. For more information about internet safety education, please visit www.justice.gov/psc and click on the "resources" tab on the left of the page.
Acting United States Attorney Stephen M. Schenning commended the FBI, the Baltimore Police Department and the Baltimore City State’s Attorney’s Office for their work in the investigation. Mr. Schenning thanked Assistant U.S. Attorney Paul Budlow who is prosecuting the case.
Raleigh Investment Adviser Indicted on Charges of Fraud, Money Laundering, and Attempting to Corruptly Influence the Securities and Exhange CommissionRead the Press Release
RALEIGH – United States Attorney Robert J. Higdon, Jr. announced that STEPHEN CONDON PETERS, 44, of Raleigh, North Carolina, has been charged by a federal grand jury in a sixteen-count Indictment. The Indictment includes one count of Investment Advisor Fraud; one count of Fraud in the Sale of Unregistered Securities; nine counts of Wire Fraud; four counts of Engaging in Monetary Transactions in Criminally Derived Property; and one count of Corruptly Endeavoring to Influence a Federal Agency. The indictment also includes a lengthy forfeiture notice.
PETERS is scheduled for an initial appearance on the charges before United States Magistrate Judge Robert T. Numbers, II at 10:00 am on Thursday, December 21, 2017, at the United States District Court in Raleigh.
If convicted, the maximum punishment for committing Investment Advisor Fraud is not more than 5 years imprisonment. The maximum penalty for committing Fraud in the Sale of Unregistered Securities is five years imprisonment. The maximum penalty for Wire Fraud is twenty years imprisonment per count. The maximum penalty for Engaging in Monetary Transactions in Criminally Derived Property is ten years per count. The maximum penalty for Corruptly Endeavoring to Influence a Federal Agency is five years imprisonment. Each of the foregoing offenses also carry a maximum fine of up to $250,000 per count, a term of supervised release, and restitution if ordered.
An Indictment is an allegation of a crime. The defendant is presumed under the law to be innocent until proven guilty.
The investigation of this case was conducted by the Federal Bureau of Investigation and the Internal Revenue Service Criminal Investigation with the assistance of the United States Securities and Exchange Commission. Assistant United States Attorney William M. Gilmore represents the United States.
Postal Worker Arrested for Stealing Valuable Items from U.S. MailRead the Press Release
Joon H. Kim, the Acting United States Attorney for the Southern District of New York, and Special Agent-in-Charge Eileen Neff of the Northeast Area Field Office, U.S. Postal Service Office of Inspector General (“USPS-OIG”), announced the arrest of JOSEFINA SALAS, an employee of the U.S. Postal Service for over eighteen years, on charges of mail theft. SALAS was presented yesterday in Manhattan federal court before the Honorable Sarah Netburn.
Acting U.S. Attorney Joon H. Kim said: “During the holiday season when the spirit of giving abounds, Josefina Salas, a postal employee, was allegedly interested only in taking and stealing. Salas allegedly used her access to U.S. mail to steal valuable items from people who trusted their mail would be delivered safely. We thank the U.S. Postal Service for their work to halt postal theft and insure the integrity of the mail.”
Special Agent-in-Charge of USPS-OIG Eileen Neff said: “If an employee of the Postal Service abuses their position and the public’s trust, as alleged in this matter, OIG agents thoroughly and vigorously investigate to resolve the situation.”
According to the allegations in the Complaint sworn out in Manhattan federal court:[1]
Over the course of approximately a year, SALAS, who was employed as an elevator operator at the USPS Processing and Distribution Center (“PDC”) located at 341 Ninth Avenue in New York, New York, stole various items from the United States mail, including cash, gift cards, jewelry, clothing, and a phone. SALAS was previously captured on video using a box-cutter to open mail packages and then stealing the contents of those packages. SALAS was arrested yesterday at the end of her shift at the PDC.
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SALAS, 66, of the Bronx, New York, is charged with one count of mail theft by a U.S. Postal Service employee, which carries a maximum sentence of 5 years in prison. The maximum potential sentence in this case is prescribed by Congress and is provided here for informational purposes only, as any sentencing of the defendant will be determined by the judge.
Mr. Kim praised the outstanding investigative work of the USPS-OIG.
If you believe you were a victim of this crime, including a victim entitled to restitution, and you wish to provide information to law enforcement and/or receive notice of future developments in the case or additional information, please contact Wendy Olsen-Clancy, the Victim Witness Coordinator at the United States Attorney’s Office for the Southern District of New York, at (866) 874-8900, or [email protected]. For additional information, go to: http://www.usdoj.gov/usao/nys/victimwitness.html. The USPS OIG Hotline can be reached by phone 888-USPS-OIG and online at www.uspsoig.gov.
This case is being handled by the Office’s General Crimes Unit. Assistant United States Attorney Samuel S. Adelsberg is in charge of the prosecution.
The charge contained in the Complaint is merely an accusation, and the defendant is presumed innocent unless and until proven guilty.
[1] As the introductory phrase signifies, the entirety of the text of the Complaint and the description of the Complaint set forth herein constitute only allegations, and every fact described should be treated as an allegation.
Plainfield Man Pleads Guilty to Producing Child PornographyRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, announced that RYAN STONE, 30, of Plainfield, pleaded guilty today in Hartford federal court to one count of production of child pornography.
According to court documents and statements made in court, between March 30 and April 1, 2017, STONE took sexually explicit photographs and video of a six-year-old girl.
STONE is scheduled to be sentenced by U.S. District Judge Vanessa L. Bryant on March 21, 2018, at which time he faces a mandatory minimum term of imprisonment of 15 years and a maximum term of imprisonment of 30 years.
STONE has been in state custody since April 19 when he was arrested for criminal trespass in the first degree and criminal violation of a restraining order.
This matter is being investigated by Homeland Security Investigations and the Plainfield Police Department. The case is being prosecuted by Assistant U.S. Attorney Nancy V. Gifford.
Pittsburgh Man Charged with Possession of Heroin and Synthetic OpioidsRead the Press Release
PITTSBURGH - A resident of the City of Pittsburgh has been indicted by a federal grand jury in Pittsburgh on charges of distributing and possessing with intent to distribute heroin and synthetic opioids, Acting United States Attorney Soo C. Song announced today.
The two-count Indictment named Shawn B. Nichols, aka Smitty, 26, of Pittsburgh, Pennsylvania, as the sole defendant.
According to the indictment presented to the court, Nichols distributed and possessed with intent to distribute quantities of a mixture containing detectable amounts of furanyl fentanyl, and/or U-47700, and/or heroin, which are Schedule I controlled substances, on or about August 11, 2017, and August 14, 2017.
The law provides for a maximum total sentence of up to 30 years in prison, a fine of $2,000,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Special Assistant United States Attorney Jerome A. Moschetta is prosecuting this case on behalf of the government.
Task Force Officers with the Drug Enforcement Administration, as well as members of the Canonsburg Police Department, Washington County Sheriff’s Department, and Washington County District Attorney’s Office Drug Task Force, conducted the investigation leading to the Indictment in this case.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Phoenix Woman Sentenced to Prison for Defrauding Local CharitiesRead the Press Release
PHOENIX – This week, U.S. District Judge G. Murray Snow sentenced Mary Bauer (aka Mary Almassy) to 33 months in federal prison, followed by three years of supervised release. Bauer was also ordered to pay more than $1 million in restitution. Bauer had previously pleaded guilty to wire fraud.
Bauer defrauded nearly two dozen local and national charities out of more than a million dollars in consulting fees. Bauer held herself out as an experienced fundraiser who could help charities get large donations from wealthy philanthropists. Bauer falsely claimed that she and her employees and associates had special access to certain out-of-state donors who wanted to make large charitable gifts. Those donors did not exist. Bauer made up the fictitious donors, as well as fictitious employees and associates, and fabricated numerous documents to conceal her fraud and lull her victims into continuing to pay her large monthly fees. Bauer’s victims include charities dedicated to curing debilitating diseases, educating Arizona’s schoolchildren, and rehabilitating injured wildlife.
“Frauds against charities are far-reaching, because they hurt not only the organizations, but the people the charities seek to serve, and the persons who have given to support the cause,” stated Elizabeth A. Strange, First Assistant U.S. Attorney. “Our office will continue to aggressively prosecute anyone who targets charitable organizations.”
“A prison sentence is very appropriate for someone who defrauded organizations dedicated to charitable causes and especially someone that took numerous steps to try to conceal her fraudulent activity,” said Ismael Nevarez Jr., Special Agent in Charge of the Phoenix Field Office of IRS-Criminal Investigation.
The investigation in this case was conducted by the Internal Revenue Service-Criminal Investigation. The prosecution was handled by Bridget Minder, Frank Galati, and Monica Klapper, Assistant U.S. Attorneys, District of Arizona, Phoenix.
CASE NUMBER: CR-16-001157-GMS
RELEASE NUMBER: 2017-125_Bauer
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For more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Follow the U.S. Attorney’s Office, District of Arizona, on Twitter @USAO_AZ for the latest news.
Paterson Man Pleads Guilty to Robbing Two Passaic County BanksRead the Press Release
NEWARK, N.J. – A Paterson, New Jersey, man today admitted robbing a TD Bank in Paterson in June 2017 and an Investors Bank in Clifton, New Jersey, in July 2017, Acting U.S. Attorney William E. Fitzpatrick announced.
James M. Chestnut, 62, pleaded guilty before U.S. District Judge William H. Walls in Newark federal court to an information charging him with two counts of bank robbery.
According to the documents filed in this case and statements made in court:
On June 30, 2017, Chestnut entered a TD Bank in Paterson and handed a teller a note stating “Put 100s and 50s in the envelope. No dye pack.”
On July 5, 2017, Chestnut entered an Investors Bank in Clifton and approached a teller, this time brandishing what appeared to be a firearm. He told the teller to “Open your drawer. Give me your money. All the 100s. Don’t call the cops or I’ll shoot you.”
During the plea, Chestnut also admitted attempting to rob a Chase Bank in Saddle Brook, New Jersey, on July 3, 2017.
Both bank robbery counts carry a maximum potential penalty of 20 years in prison and a $250,000 fine, or twice the gross gain or loss from the offense. Sentencing is scheduled for March 21, 2018.
Acting U.S. Attorney Fitzpatrick credited special agents of the FBI, under the direction of Special Agent in Charge Timothy Gallagher in Newark, with the investigation leading to today’s guilty plea. He also thanked the Paterson Police Department, under the direction of Director Jerry Speziale; the Saddle Brook Police Department, under the direction of Chief Robert Kugler; the Clifton Police Department, under the direction of Chief Mark Centurione; and the Passaic Police Department, under the direction of Chief Luis A. Guzman, for their assistance.
In addition, the investigation was aided by the FBI Violent Crime Task Force, which is comprised of law enforcement personnel from the Bergen County Prosecutor’s Office, the Passaic County Prosecutor’s Office, the Roxbury Police Department, the Paterson Police Department, and the N.J. State Police.
The government is represented by Assistant U.S. Attorney Elaine K. Lou of the U.S. Attorney’s Office Criminal Division in Newark.
Defense counsel: Patrick McMahon Esq., Assistant Federal Public Defender, Newark
Parsons Woman Pleads Guilty to $5 Million EmbezzlementRead the Press Release
WICHITA, KAN. – A Parsons woman pleaded guilty Monday to embezzling $5 million from a credit union where she worked, U.S. Attorney Tom Beall said.
Nita Rae Nirschl, 66, Parsons, Kan., pleaded guilty to one count of embezzlement, one count of money laundering and one count of attempted tax evasion. In her plea, she admitted the crimes occurred while she was an officer and employee of Parsons Pittsburg Credit Union headquartered in Parsons, Kan. She withdrew money from the assets of the credit union and deposited the money into accounts she controlled. She used the stolen money to buy a car, a house and other items.
Sentencing is set for March 5, 2018. Both parties have agreed to recommend a sentence of five years in federal prison and an order of restitution.
Beall commended the FBI, the Internal Revenue Service and Assistant U.S. Attorney Lanny Welch for their work on the case.
Owner of East Bay Shipping Company Pleads Guilty to Felony Transportation of Hazardous MaterialsRead the Press Release
SAN FRANCISCO – Peiwen Zhou, pleaded guilty in federal court in San Francisco today to illegally transporting hazardous materials and failing to properly declare imports of toxic substances, announced United States Attorney Brian J. Stretch, Environmental Protection Agency Special Agent in Charge Jay Green, and U.S. Department of Transportation Office of the Inspector General Regional Special Agent in Charge William Swallow. The plea was accepted by the Honorable James Donato, U.S. District Judge.
In pleading guilty, Zhou, 55, of Palo Alto, admitted he did not adequately train employees at his company, AK Scientific, Inc., currently located in Union City, Calif., on the requirements of the Hazardous Materials Transportation Act, or HMTA. Zhou further admitted that as a result of his failure, he caused AK Scientific employees to ship hazardous materials on a number of occasions without properly labeling, marking, and identifying the packages as containing such materials, in violation of the HMTA. Zhou also admitted that he caused AK Scientific employees to fail to comply with the rules and regulations set forth in the Toxic Substances Control Act, or TSCA. Specifically, Zhou admitted that he caused AK Scientific employees to not file TSCA import certifications on a number of occasions when the company imported chemical substances into the United States, including on one occasion when the chemical substance 1,2-dibromoethane was shipped to AK Scientific from China under a different name. In sum, Zhou and AK Scientific each were charged by superseding information with one count of violating the HMTA, in violation of 49 U.S.C. § 5124, and one count of violating the TSCA, in violation of 18 U.S.C. § 2.
As part of today’s agreement, Zhou pleaded guilty to a felony violation of the HMTA and a misdemeanor violation of TSCA. He also agreed to step down as CEO of AK Scientific and to play no role in the company’s shipping or regulatory functions. The company, meanwhile, entered into a deferred prosecution agreement in which it agreed to pay a $100,000 fine and retain an independent monitor to oversee compliance. Pursuant to the deferred prosecution agreement, the charges against the company will be dismissed if AK Scientific abides by the terms of the agreement for three years, including by maintaining compliance with safety and labelling requirements.
“The rules and regulations the defendant violated are designed to keep the public safe from hazardous materials and toxic substances, and we are committed to prosecuting those who flaunt them,” said U.S. Attorney Stretch.
“Americans must be protected from those who skirt laws designed to protect workers and the public from mismanagement of toxic substances,” said EPA Administrator Scott Pruitt. “The illegal importation and shipment of toxic substances in this case represents a clear threat to public safety and we will hold the responsible parties accountable under the law.”
"The plea agreement reached today demonstrates that ensuring the safety of the Nation's transportation systems remains a high priority for both the Office of Inspector General (OIG) and the Department of Transportation (DOT)," said William Swallow, DOT-OIG Regional Special Agent-in-Charge. "Working with our law enforcement and prosecutorial partners, we will continue our efforts to prevent and punish those who seek to compromise the integrity and safe transportation of hazardous materials."
Judge Donato scheduled Zhou’s sentencing hearing for April 18, 2018. The maximum statutory penalty for Zhou for violating the HMTA is five years in prison and a fine of up to $250,000; the maximum statutory penalty for Zhou for violating TSCA is up to one year in prison and a fine of up to $50,000 for each day of violation. However, any sentence will be imposed by the court only after consideration of the U.S. Sentencing Guidelines and the federal statute governing the imposition of a sentence, 18 U.S.C. § 3553.
The prosecution is the result of an investigation by the U.S. Environmental Protection Agency’s Criminal Investigation Division, the U.S. Department of Transportation’s Office of Inspector General, and the U.S. Department of Homeland Security’s Homeland Security Investigations.
Northeast Ohio couple indicted for monthlong armed robbery spreeRead the Press Release
A 15-count indictment was filed charging a couple from Northeast Ohio for four armed bank robberies and armed robberies of several other stores this fall, said U.S. Attorney Justin E. Herdman and FBI Special Agent in Charge Stephen D. Anthony.
Casey Layne Liberty, 30, of Amherst, and Daniel T. Begin, 32, of Cleveland, were indicted on one count of conspiracy to commit bank robbery, four counts of bank robbery, conspiracy to commit Hobbs Act robbery and nine counts related to Hobbs Act robbery.
Liberty wore a disguise and robbed banks and stores while Begin acted as the getaway driver. They used the proceeds of the robberies to purchase drugs and food and to pay for hotel rooms, according to the indictment.
“This pair went on a monthlong crime spree in which they robbed banks and stores to feed their drug habit,” Herdman said. “It’s a miracle no one was killed, and we’re gratified this duo will likely be off the street for years to come.”
“This pair posed a danger to people doing their banking or simply picking up lunch,” Anthony said. “The fine work of the FBI agents, along with nearly a dozen police departments, has made our community safer.”
The pair are charged with the following bank robberies: Andover Bank in Conneaut on Sept. 19, Chase Bank in Medina on Sept. 28, First National Bank in Beachwood on Oct. 4 and the Chase Bank in Fairlawn on Oct. 12.
They are also charged with robbing a Subway in Findlay on Sept. 26, a Seven Eleven in Brunswick on Sept. 28, a Gamestop in Elyria on Oct. 7, a Domino’s Pizza in Madison on Oct. 10, a Mr. Hero in Canton on Oct. 11, a Subway in Avon on Oct. 15, a Subway in Elyria on Oct. 16, a Mr. Hero in Perkins Township on Oct. 19, a Domino’s Pizza in North Olmsted on Oct. 22 and a Mr. Hero in Berea on Oct. 22.
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.
This case is being prosecuted by Assistant U.S. Attorneys Ranya Elzein and Robert J. Patton following an investigation by the FBI and the police department of Conneaut, North Olmsted, Medina, Beachwood, Avon, Elyria, Findlay, Perkins Township, Madison, Berea and North Ridgeville.
An indictment is only a charge and is not evidence of guilt. The defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
Nigerian Nationals Charged with Operating Business Compromise SchemeRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, and Patricia M. Ferrick, Special Agent in Charge of the New Haven Division of the Federal Bureau of Investigation, today announced that two Nigerian nationals have been charged with various federal offenses stemming from a business e-mail compromise scheme.
OLUMUYIWA YAHTRIP ADEJUMO, also known as “Ade,” “Slimwaco,” “Waco,” “Waco Jamon,” “Hade” and “Hadey,” 32, was arrested on a federal criminal complaint on November 16, 2017, in Toledo, Ohio, where he was living as a lawful permanent resident of the U.S. The complaint charges ADEJUMO with conspiracy to commit wire fraud, and wire fraud. ADEJUMO, who has been detained since his arrest, made his initial appearance in the District of Connecticut today before U.S. Magistrate Judge Sarah A. L. Merriam in New Haven.
ADEYEMI ODUFUYE, also known as “Micky,” “Micky Bricks,” “Yemi,” “GMB,” “Bawz,” and “Jefe,” 31, was arrested in the United Kingdom on December 19, 2016. ODUFUYE had been residing in Sheffield, England, where he was a student at Sheffield Hallam University. On December 20, 2016, a federal grand jury in New Haven returned a seven-count indictment charging ODUFUYE and another individual with one count of conspiracy, five counts of wire fraud, and one count of aggravated identity theft. ODUFUYE was extradited from the U.K. to the U.S. and is detained while awaiting trial. The other individual in the indictment has not been apprehended, and his identity has not been publicly revealed.
As alleged in court documents, the FBI has been investigating a business compromise scheme in which ADEJUMO, ODUFUYE and others targeted CEOs, CFOs, controllers and others at U.S. businesses using sophisticated cyber techniques to defraud the businesses of millions of dollars. As part of this scheme, in late 2015, ADEJUMO, ODUFUYE and others sent or caused to be sent dozens of e-mails to the controller of a company in Torrington, Connecticut. In the e-mails, ODUFUYE posed at the real CEO of the victim company and instructed the controller to send multiple wire transfers exceeding a total of $1 million from the company’s accounts to various individuals and purported entities. Because of these fraudulent emails, the company sent five wire transfers totaling more than $500,000 to accounts in Virginia, Florida, Washington, D.C., and Hong Kong. The investigation has revealed that ADEJUMO and ODUFUYE controlled multiple e-mail and social media accounts used in the scheme.
It is further alleged that the co-conspirators sent e-mails and attachments containing malware to the intended recipients.
It is alleged that ODUFUYE and others also targeted a company headquartered in Waterbury, Connecticut, as part of this scheme.
To date, the FBI has identified 36 wire confirmations in e-mail accounts utilized by the alleged co-conspirators from September 2015 to May 2016, totaling more than $1.6 million. This figure does not include the more than $500,000 in wire transfers from the victim company in Connecticut.
Each charge of wire fraud and conspiracy to commit wire fraud carries a maximum term of imprisonment of 20 years. Aggravated identity theft carries a mandatory consecutive term of imprisonment of at least two years.
U.S. Attorney Durham stressed that a complaint is only a charge and is not evidence of guilt. Charges are only allegations, and the defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt.
This matter is being investigated by the Federal Bureau of Investigation and the Connecticut Cyber Task Force. The case is being prosecuted by Assistant U.S. Attorney David T. Huang.
U.S. Attorney Durham thanked the Department of Justice’s Office of International Affairs, the United Kingdom’s National Crime Agency, and the United Kingdom’s Metropolitan Police for their assistance in this case.
To contact the Connecticut Cyber Task Force, please call the FBI in New Haven at 203-777-6311.
Monroe woman gets more than six years in prison for submitting fake titles on stolen vehiclesRead the Press Release
MONROE, La. – Acting U.S. Attorney Alexander C. Van Hook announced that two Monroe women were sentenced Monday for a scheme to issue new titles for stolen automobiles.
Ashley Owens, 31, of Monroe, La., was sentenced by U.S. District Judge S. Maurice Hicks Jr. to 76 months in prison on one count of conspiracy to commit mail fraud and three years’ supervised release. Felicia Simpson, 40, of Monroe, La., was sentenced to five years’ probation on one count of misprision of felony, and Quinetta Grant, 45, of Suwanee, Ga., will be sentenced at a later date. According to the guilty pleas, from November 2014 to June 2015, the defendants illegally provided new titles to customers who possessed stolen automobiles. Owens would receive the titles from Grant and then deliver them to Simpson who worked for a private title processing business in Monroe. Altogether, 104 fraudulent titles were processed involving high-end late model luxury vehicles including Mercedes, BMW, Bentley and Lamborghini.
The FBI, Louisiana State Police, Miami Dade Police Department, Douglas County Sheriff’s Office in Georgia and the Monroe Police Department conducted the investigation. Assistant U.S. Attorney Earl M. Campbell prosecuted the case.
Mission Man Sentenced for AssaultRead the Press Release
United States Attorney Randolph J. Seiler announced that a Mission, South Dakota, man convicted of Assault by Striking, Beating, or Wounding was sentenced on December 19, 2017, by U.S. District Judge Roberto A. Lange.
Dace Lunderman, age 33, was sentenced to 319 days in prison, followed by 1 year of supervised release, and a special assessment to the Federal Crime Victims Fund in the amount of $25.
Lunderman was indicted by a federal grand jury on February 15, 2017. He pled guilty on December 19, 2017.
The conviction stemmed from an incident that occurred in the White Horse Community near Mission, in the early morning hours of January 6, 2017. Lunderman had been drinking at home and began arguing with a family member. He then picked up a knife and chased after two other individuals that were trying to depart the house. He ran into them near the doorway and cut one of them on the arm with the knife.
This case was investigated by the Rosebud Sioux Tribe Law Enforcement Services. Assistant U.S. Attorney Kirk Albertson prosecuted the case.
Lunderman was ordered to surrender to the U.S. Marshals Service by noon on December 27, 2017.
Milwaukee Man Sentenced to 30 years in Federal Prison for Sex TraffickingRead the Press Release
Gregory J. Haanstad, United States Attorney for the Eastern District of Wisconsin, announced that on December 20, 2017, United States District Judge J.P. Stadtmueller sentenced Jaboree Williams (age: 31) to 30 years in federal prison for sex trafficking.
On September 1, 2017, a jury found Williams guilty of 18 counts related to sex trafficking, interstate transportation of a victim for purposes of prostitution, conspiracy to distribute heroin, obstruction of justice, witness intimidation and witness tampering, contempt of court, and sending an extortionate threat.
The trial evidence established that Williams enticed and recruited victims into sex trafficking through force, fraud, and coercion. Multiple victims testified that Williams forced them to perform sex acts with “customers” for Williams’ benefit and to turn over all of the money they received to Williams. The evidence established that Williams trafficked his victims using a particular website and forced the victims to travel to locations outside of Wisconsin, including Illinois, Minnesota, Indiana, Georgia, Ohio, Pennsylvania, and Washington D.C. The victims further explained that if they broke Williams’ rules, he would severely beat them.
The trial evidence also established that during the investigation, Williams attempted to intimidate witnesses, directed witnesses to provide false testimony to a grand jury, and directed witnesses to destroy evidence. Despite a no-contact order entered by a federal magistrate judge, Williams also gained access to the internet from jail and used social media to threaten and intimidate witnesses and victims.
United States Attorney Haanstad commended the efforts of law enforcement in bringing Williams to justice, noting, “Jaboree Williams not only subjected his victims to extraordinary levels of violence and brutality but also attempted to use threats of additional violence to intimidate witnesses and obstruct this investigation. The United States Attorney’s Office, the FBI, and our state and local law enforcement partners are committed to working relentlessly to protect the community from these types of violent and predatory offenses.”
This case was investigated by the FBI’s Human Trafficking Task Force and the Racine Police Department, and with the assistance of the Oshkosh Police Department. The case was prosecuted by Assistant United States Attorneys Karine Moreno-Taxman and Laura S. Kwaterski.
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Middletown Man Charged with $6.5MM Wire Fraud Scheme, Money Laundering, False Statement and Tax Evasion OffensesRead the Press Release
WILMINGTON, Del. – David C. Weiss, Acting United States Attorney for the District of Delaware, announced that an Indictment was been handed down by a federal grand jury yesterday charging Michael Boyce, currently of Ocean City, New Jersey and formerly of Middletown, Delaware, with wire fraud, money laundering, false statement and tax evasion offenses. The defendant faces up to 20 years in prison on the wire fraud and money laundering charges, up to 30 years on the false statement charges, and five years on the tax evasion offenses.
The Indictment alleges that, between 2004 and 2016, Boyce, who was employed in the information technology department of a manufacturing company located in New Castle County, submitted purchase orders for more than $6.5 million of supplies that were never provided to the victim company. Boyce submitted or caused others to submit fake invoices to the company and forged the necessary approvals on the accompanying purchase orders. In order to secure payment of those invoices, Boyce also falsified documents verifying receipt of the phantom supplies. Based on this fraudulent documentation, the victim company paid the two suppliers listed on the invoices. Those suppliers, in turn, gave more than 85% of those payments back to Boyce.
While Boyce declared some of his illegal income on his taxes, for tax years 2012-2015, he omitted at least $1.4 million of that income, resulting in a failure to pay an additional amount of tax totaling more than $579,000. Also according to the Indictment, in connection with two different mortgage applications, Boyce falsely represented that at least some of his illegal income was, in fact, legitimate business income.
Acting U.S. Attorney Weiss gave the following comment, “I want to thank both the IRS and the FBI for their hard work in seeing this case to indictment. These investigative efforts insure that those who abuse their positions to enrich themselves will eventually be brought to justice. We remain committed to prosecuting those who betray not only the private trust of their employer, but also defraud the United States government.”
"Fulfilling individual tax obligations is a legal requirement. Those who willfully evade that responsibility undermine our democracy and therefore will be prosecuted," said Edward Wirth Acting SAC, Philadelphia field office. "IRS Criminal Investigation special agents are doing their job to ensure that honest individuals do not have to pick up the tab of those people not filing tax returns or filing false tax returns."
“Today’s indictment is significant and highlights the FBI’s collaboration with our partner agencies in Delaware as we hold this defendant accountable for illegal financial transactions and embezzlement,” said Special Agent in Charge Gordon B. Johnson of the FBI’s Baltimore Division. "The FBI and the IRS will continue to use all available tools to detect corporate fraud and to protect victim companies from those who pose an insider threat to their financial well-being.”
This case is the result of an investigation conducted by the IRS, Criminal Investigation and the FBI. The prosecution is being handled by Assistant United States Attorney Lesley Wolf.
The charges in the Indictment are only allegations. The defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
Miami-Dade County Residents Sentenced for Conspiracy to Illegally Export Prohibited Articles to Syria in Violation of U.S. Export Control LawsRead the Press Release
Three Miami-Dade residents were sentenced today for their roles in a conspiracy to defraud the United States and to illegally export aviation parts and equipment to Syria, contrary to comprehensive U.S. economic sanctions against Syria, in violation of Title 18, United States Code, Section 371 and the International Emergency Economic Powers Act (IEEPA), Title 50, United States Code, Sections 1701-1706. The exports were sent to Syrian Arab Airlines, a/k/a “Syrian Air” (Syrian Air). Syrian Air had been designated as a Specially Designated National (SDN) by the U.S. Department of Treasury, Office of Foreign Assets Control (OFAC), meaning that U.S. persons and entities were prohibited from doing business with Syrian Air without a license.
Benjamin G. Greenberg, Acting United States Attorney for the Southern District of Florida, Dana J. Boente, Acting Assistant Attorney General for the Justice Department’s National Security Division, Robert F. Lasky, Special Agent in Charge, Federal Bureau of Investigation (FBI), Miami Field Office, Robert Luzzi, Special Agent in Charge, U.S. Department of Commerce’s Office of Export Enforcement (DOC), Miami Field Office, and the members of the South Florida Joint Terrorism Task Force, made the announcement.
Ali Caby, a/k/a “Alex Caby”, 40, was sentenced by U.S. District Court Judge Beth Bloom to 24 months in prison, followed by two years of supervised release. Co-defendant Arash Caby, a/k/a “Axel Caby”, 43, was sentenced to 24 months in prison, followed by two years of supervised release and a $10,000 fine. Co-defendant Marjan Caby, 34, was sentenced to 12 months and one day in prison, followed by two years of supervised release. The defendants had previously pled guilty to the charged conspiracy to violate IEEPA by exporting dual-use goods, that is, articles that have both civilian and military application, without a license to Syrian Air, the Syrian government’s airline, which is an entity designated and blocked by OFAC for transporting weapons and ammunition to Syria in conjunction with Hizballah, a terrorist organization, and the Iranian Revolutionary Guard Corps (IRGC).
Ali Caby ran the Bulgaria office of AW-Tronics, a Miami export company that was managed by Arash Caby, and which shipped and exported various aircraft parts and equipment to Syrian Arab Airlines. Ali Caby and Arash Caby closely supervised and encouraged subordinate employees of AW-Tronics in the willful exportation of the parts and equipment to SDN Syrian Air, whose activities have assisted the Syrian government’s violent crackdown on its people. Marjan Caby, as AW-Tronics’ export compliance officer and auditor, facilitated these exports by submitting false and misleading electronic export information to federal agencies.
Mr. Greenberg and Mr. Boente commended the investigative efforts of the FBI, DOC, Department of Homeland Security (HSI), Defense Criminal Investigative Service, U.S. Customs and Border Protection and the South Florida Joint Terrorism Task Force. The case is being prosecuted by Assistant U.S. Attorneys Ricardo Del Toro and Michael Thakur and Trial Attorney Matthew Walczewski of the Counterintelligence and Export Control Section of the Department of Justice’s National Security Division.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.
Marijuana and Cocaine Smuggler Ordered to PrisonRead the Press Release
LAREDO, Texas – A 34-year-old man has been ordered to federal prison following his conviction for smuggling marijuana and cocaine and for possessing a firearm in furtherance of a drug trafficking crime, announced Acting U.S. Attorney Abe Martinez. Andy Gomez, a legal permanent resident from Cuba who resided in Laredo, pleaded guilty Oct. 6, 2016.
Today, U.S. District Judge Diana Saldaña handed Gomez a total sentence of 120 months in federal prison followed by four years of supervised release. At the hearing, Judge Saldaña noted that the defendant caused this situation by his own actions.
On July 18, 2016, agents with Immigration and Customs Enforcement’s Homeland Security Investigations (HSI) conducted surveillance on a home in North Laredo and witnessed Gomez and another individual leave the residence in two separate vehicles. They were later stopped, at which time authorities discovered more than 500 pounds of marijuana in the two vehicles. Gomez was also in possession of .380 Smith and Wesson pistol.
The investigation led agents to search a storage unit where they located more than 10 pounds of cocaine, more than 100 pounds of marijuana, a money counting machine and a credit card embosser machine.
Previously released on bond, Gomez was permitted to remain on bond and voluntarily surrender to a U.S. Bureau of Prisons facility to be determined in the near future.
HSI conducted the investigation. Assistant U.S. Attorney Christopher S. Coker prosecuted the case.
Mansfield Man Pleads Guilty to Federal Child Pornography OffenseRead the Press Release
DALLAS — Thomas Adam Lewis, 37, of Mansfield, Texas, appeared yesterday in federal court before U.S. Magistrate Judge Renee Harris Toliver and pleaded guilty to one count of attempted production of child pornography. Lewis, who has been in federal custody since his arrest in September on related charges, faces a maximum statutory penalty of not less than 15 years and up to 30 years in federal prison, a $250,000 fine, and a lifetime of supervised release. Sentencing is scheduled for April 5, 2018. U.S. Attorney Erin Nealy Cox of the Northern District of Texas made the announcement today.
According to the plea agreement factual resume filed in the case, on August 4, 2017, a Grand Prairie Police Department detective began an undercover investigation, posing as a thirteen year old boy, targeting adults who were soliciting minors on the internet through the use of a third party messaging application.
Lewis using the screen name “Twinks only 33” (“Twinks33”), contacted the Detective and asked the Detective for pictures of himself. After receiving an image of a minor male wearing jeans, a white tank top, and a baseball cap, Lewis replied, “Um you are sexy,” and asked the Detective if he had any shirtless pictures. During the next few days, Lewis repeatedly asked the Detective to take shirtless and nude pictures of himself and send the child pornography images to him.
The conversations continued, according to the factual resume, and Lewis asked, “when can we meet?” Sporadically over a few days Lewis and the Detective discussed meeting and on the afternoon of August 29, 2017, Lewis arrived at a designated apartment complex in Grand Prairie and was arrested. Lewis provided law enforcement with the passcode to his cellular device. Upon review of the phone, law enforcement located the communications between Twinks33 and the Detective. Lewis was using other social networking applications and was engaged in additional communications entailing the sexual exploitation of minors. Law enforcement contacted resource officers at two area high schools in an attempt to identify possible victims and located a 15-year-old boy who had also chatted with Lewis. The conversations were sexually explicit and Lewis attempted to entice the boy to have sex with him.
The case was brought as part of Project Safe Childhood, a nationwide initiative launched in 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorney’s Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood leverages federal, state and local resources to better investigate, apprehend and prosecute individuals who sexually exploit children. Project Safe Childhood also prioritizes identifying and rescuing victims. For more information about Project Safe Childhood, please visit http://www.justice.gov/psc/. For more information about internet safety education, please visit http://www.justice.gov/psc/ and click on the tab “resources.”
The case was investigated by the Federal Bureau of Investigation and the Grand Prairie Police Department. Assistant U.S. Attorney Camille Sparks is in charge of the prosecution.
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Man Sentenced for Attempting to Provide Material Support to ISISRead the Press Release
NORFOLK, Va. – A Suffolk man was sentenced today to 20 years in prison for attempting to provide material support to the Islamic State of Iraq and al-Sham (ISIS), a designated foreign terrorist organization.
“Lionel Williams planned to conduct a lone-wolf style terror attack,” said Dana J. Boente, U.S. Attorney for the Eastern District of Virginia. “He adhered to a radicalized version of Islam, publically declared his allegiance to ISIS on social media, and ordered an AK-47 assault rifle the day after the San Bernardino terrorist attack. What started with radicalized internet postings escalated to attempts to help ISIS buy weapons and ammunition, and ended with a plan to kill law enforcement officers here in Virginia. I want to thank the FBI’s Norfolk Field Office and the Suffolk Police Department for their extraordinary work on this case.”
According to court documents, Lionel Williams, 27, attempted to send money to a person he believed was an ISIS financier on two occasions, believing the money would be used to kill. In court documents, Williams admitted his interest in ISIS began in 2014. On Dec. 3, 2015, the day after the San Bernardino terrorist attack, he bought an AK-47 assault rifle. In March 2016, he publicly declared his support for ISIS on social media, described his hope that ISIS would take over the United States, and stated he would decapitate any law enforcement agents he caught surveilling him. After donating money to an individual he believed to be an ISIS financier - but was actually a persona adopted by an FBI employee - Williams was told his donation had helped purchase a rocket-propelled grenade. He responded with an Arabic phrase meaning, “Praise be to Allah, and Allah is the Greatest.” Later in 2016, Williams began discussing plans for a “martyrdom operation” with a woman living outside the United States, asked an FBI confidential source to send him specific types of AK-47 ammunition, and told an FBI employee that his plan was for a local operation. Williams was arrested and charged shortly thereafter. After his arrest, he told agents he supported ISIS and believed he was part of a “holy war.”
In addition to his prison sentence, Williams was also ordered to serve a lifetime of supervised release.
Dana J. Boente, Acting Assistant Attorney General for National Security and U.S. Attorney for the Eastern District of Virginia, Martin Culbreth, Special Agent in Charge of the FBI’s Norfolk Field Office, and Thomas E. Bennett, Chief of Suffolk Police, made the announcement after sentencing by U.S. District Judge Arenda Wright Allen. Assistant U.S. Attorneys Joseph E. DePadilla and Andrew C. Bosse, and Trial Attorneys Alicia H. Cook and Joshua D. Champagne of the National Security Division’s Counterterrorism Section prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information is located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 2:17-cr-1.
Man Sentenced to 21 Months in Prison for Kidnapping His Children to Saudi ArabiaRead the Press Release
Joon H. Kim, the Acting United States Attorney for the Southern District of New York, and William F. Sweeney Jr., the Assistant Director-in-Charge of the Federal Bureau of Investigation in New York (“FBI”), announced that FAYCAL TAHIRI was sentenced yesterday to 21 months in prison for international parental kidnapping. TAHIRI pled guilty on July 17, 2017, before Chief U.S. District Judge Colleen McMahon, who imposed yesterday’s sentence.
Acting Manhattan U.S. Attorney Joon H. Kim said: “Faycal Tahiri, a naturalized U.S. citizen and practicing doctor, kidnapped his own children in order to keep them from their mother. For more than two years, in defiance of court orders from both U.S. and Moroccan courts, he moved from country to country to prevent his young sons from seeing their mother. We are committed to prosecuting all those who, like Tahiri, unlawfully interfere with a parent’s right to be with her child.”
According to the Superseding Indictment filed against TAHIRI, other court documents publicly filed in this case, and statements made in court proceedings, including yesterday’s sentencing:
Between June 2010 and November 2015, TAHIRI kept his two American-born sons outside of the United States and away from their mother, moving between Morocco, Europe, and Saudi Arabia. TAHIRI kidnapped his children to Saudi Arabia in December 2012, and lied to the children’s mother, the FBI, the Moroccan authorities, and an American court about the children’s whereabouts. TAHIRI kept his children out of contact with their mother for approximately two years, and the children were located and returned to the United States thanks to the efforts of their mother and the FBI. The two boys were eight and ten years old when they reunited with their mother.
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In addition to the prison term, TAHIRI, 42, of Bay Shore, New York, was sentenced to one year of supervised release.
Mr. Kim praised the outstanding investigative work of the FBI, and expressed gratitude for the efforts of the FBI’s Child Exploitation Task Force.
This case is being handled by the Office’s General Crimes Unit. Assistant United States Attorneys Catherine Geddes and Danielle R. Sassoon are in charge of the prosecution.
Man Arrested on Fraud Charges for Posing as a DoctorRead the Press Release
NEWPORT NEWS, Va. – A Glen Allen man was arrested late yesterday in Kansas on charges of fraud, false statements, and identity theft.
According to allegations in the indictment, Vishal J. Patel, 30, used the personal identifying information of licensed physicians to pose as a doctor in online employment applications to medical staffing companies. Patel falsely claimed in such applications to be licensed to practice medicine in the Commonwealth of Virginia. To support this claim, Patel created and submitted false diplomas and certificates concerning his education, training, certifications, and licenses in which he included registration and licensing numbers belonging to various licensed physicians. To obtain access to their information, Patel posed as the physicians when contacting various oversight entities, including the Drug Enforcement Administration. Patel directed those entities to alter the physicians’ licensing records so that they appeared to be associated with Patel. He then directed these entities to mail him copies of the altered records. Through the scheme, Patel fraudulently induced various medical staffing companies to employ him as an independent contractor. Patel obtained employment through at least one company at a free clinic in Newport News, where he saw nearly two dozen patients before he was terminated due to the clinic’s inability to verify his credentials.
Patel has been charged with wire fraud, furnishing false information in a DEA record, mail fraud, and aggravated identity theft. He faces a maximum penalty of 20 years, along with a mandatory consecutive term of two years in prison, if convicted. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.
Dana J. Boente, U.S. Attorney for the Eastern District of Virginia, Robert B. Wemyss, Inspector in Charge of the Washington Division of the U.S. Postal Inspection Service, Karl C. Colder, Special Agent in Charge for the Drug Enforcement Administration’s (DEA) Washington Field Division, and Michael C. Grinstead, Acting Chief of Newport News Police, made the announcement. Assistant U.S. Attorneys Kaitlin C. Gratton and Brian J. Samuels are prosecuting the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information is located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 4:17-cr-125.
An indictment contains allegations that a defendant has committed a crime. Every defendant is presumed to be innocent until and unless proven guilty in court.
Louisiana Company Pleads Guilty to Transporting and Dumping Hazardous Waste in Savannah NeighborhoodRead the Press Release
Savannah, GA – Boasso America, Inc., headquartered in New Orleans, Louisiana, and with a facility in Garden City, Georgia was sentenced to 5 years of organizational probation last week by United States District Court Judge William T. Moore, Jr. for its actions in the illegal transportation and dumping of hazardous waste. Additionally, Boasso was ordered to pay full restitution, including cleanup costs; to pay the maximum criminal fine penalty of $500,000; and to establish, implement, and enforce an effective environmental compliance plan, so that future dumping incidents do not happen.
Boasso pled guilty to a felony violation of the Resource Conservation and Recovery Act (RCRA), a law regulating the storage and transportation of hazardous waste. Boasso’s conviction follows the convictions of two of its former employees, Ray Mitchell, 52, of Pooler, Georgia, and Maurice Miller, 40, of Savannah, for their individual roles in the illegal transportation and dumping of hazardous waste. Earlier this year, Miller was sentenced to 28 months in federal prison. Mitchell was sentenced to 20 months in federal prison.
According to evidence presented during multiple guilty plea and sentencing hearings, Boasso provides transportation services for tank containers containing hazardous wastes. Boasso’s Garden City facility stored and transported its customers’ tanks containing hazardous waste. In 2015, rather than properly transporting and safely disposing of drums and totes at its Garden City facility that contained the hazardous chemical naphthalene, Boasso employees Mitchell and Miller illegally transported and dumped a significant amount of naphthalene into the ground of a nearby Savannah neighborhood. Exposure to amounts of naphthalene, a main ingredient found in mothballs, can cause serious health issues. Once discovered, law enforcement and environmental officials quickly removed the hazardous waste before it caused any health concerns. Further investigation by law enforcement officials uncovered that Boasso employees fabricated invoices in an effort to hide their illegal dumping of hazardous waste.
United States Attorney Bobby L. Christine said, “The Southern District of Georgia is an historic and beautiful land. Companies doing business in our great District will be held accountable for any and all harm they cause and we will continue to work with our law enforcement partners to enforce our federal laws and keep Savannah beautiful.”
“The actions of the defendants in this case resulted in hazardous waste being illegally dumped in Savannah’s Carver Village community,” said Andy Castro, Special Agent in Charge of EPA’s criminal enforcement program for Georgia. “This case shows that EPA and its law enforcement partners will prosecute those who put public health at risk by avoiding the cost of handling or disposing of dangerous chemicals properly.”
The investigation of this case was led by the United States Environmental Protection Agency, with assistance from the Georgia Department of Natural Resources, the Savannah-Chatham Metropolitan Police Department, and the Savannah Fire Department. Assistant United States Attorneys Tania D. Groover and Charlie Bourne prosecuted the case on behalf of the United States. For any questions, please contact Appellate Chief R. Brian Tanner at (912) 652-4422.
Lawrence Woman Sentenced for Role in Heroin and Fentanyl RingRead the Press Release
BOSTON – A Lawrence woman was sentenced yesterday in federal court in Boston for her role in a heroin and fentanyl trafficking ring operating in southeastern Massachusetts.
Miguelina Mejia Ruiz, a/k/a Doris, 43, was sentenced by U.S. District Court Judge George A. O’Toole Jr. to two years in prison and three years of supervised release. In June 2017, Mejia Ruiz pleaded guilty to conspiracy to possess with intent to distribute and to distribute heroin and fentanyl.
Mejia Ruiz was the wife of Eric Matos, who was charged with supplying heroin and fentanyl to a drug trafficking organization led by Dedwin Cruz-Rivera. The investigation revealed that Cruz-Rivera obtained large quantities of heroin and fentanyl from drug suppliers, including co-defendant Matos, which he then resold in the Fall River, New Bedford and Providence, R.I., communities. Mejia Ruiz delivered drugs and collected money on behalf of Matos. Mejia Ruiz was caught delivering almost 300 grams of fentanyl and 200 grams of heroin in separate incidents.
The investigation culminated with the arrests and charges of Mejia Ruiz and 24 others in connection with Cruz-Rivera’s heroin and fentanyl trafficking operation; an April 2016 superseding indictment brought the number of defendants charged in the case to 26.
On July 27, 2017, Mejia Ruiz’s husband, Matos, from whom she is separated, was sentenced to 121 months in prison. Cruz-Rivera pleaded guilty and is scheduled to be sentenced on Jan. 16, 2018.
Acting United States Attorney William D. Weinreb and Michael J. Ferguson, Special Agent in Charge of the Drug Enforcement Administration, New England Field Division, made the announcement. Assistant U.S. Attorney Thomas E. Kanwit, formerly of Weinreb’s Narcotics and Money Laundering Unit, prosecuted the case, along with Assistant U.S. Attorneys Karen Beausey, Katherine Ferguson and Ann Taylor.
Lancaster Man Sentenced to 10 Years’ Imprisonment for Trafficking Crack CocaineRead the Press Release
HARRISBURG - The United States Attorney’s Office for the Middle District of Pennsylvania announced today that on December 19, 2017, Senior U.S. District Court Judge William W. Caldwell sentenced Jameil O. Jackson, age 38, of Lancaster, Pennsylvania, to 120 months’ imprisonment for conspiracy to distribute and possess with the intent to distribute cocaine base.
According to United States Attorney David J. Freed, Jackson engaged in a conspiracy to sell between 196 and 280 grams of cocaine base, also known as “crack cocaine,” in the Middle District of Pennsylvania between June 2014 and October 2014. Co-defendants Randy Smith, Marc Singleton, Carlos Burgos-Melendez, Benny Jackson, Darnell Jackson and Eric Tittel have pleaded guilty and were sentenced for their roles in this drug trafficking organization.
Jackson has been in the custody of the U.S. Marshals since his bond was revoked on October 28, 2015, at the U.S. Attorney’s Office request.
This case was investigated by the Drug Enforcement Administration and was prosecuted by Assistant U.S. Attorney Meredith A. Taylor.
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Justice Department Welcomes Tribal Nations Leadership CouncilRead the Press Release
The Department of Justice welcomed representatives of the Tribal Nations Leadership Council (TNLC) to the department Monday and Tuesday for a series of discussions on how the United States and Tribal Nations can best work together to strengthen public safety and the government-to-government relationship.
On Tuesday, the TNLC met with Deputy Attorney General Rod Rosenstein, Associate Attorney General Rachel Brand, and Office of Tribal Justice Director Tracy Toulou, capping a two-day conference on a wide range of issues facing Indian Country.
“It is an honor to welcome the Tribal Nations Leadership Council, and to discuss ways to improve the lives of American Indians and Alaska Natives,” said Deputy Attorney General Rod Rosenstein. “We are working to support them and reduce the violent crime and drug abuse that is devastating communities across our nation.”
During a two-day conference on Monday and Tuesday, the Council covered a range of issues, including drug trafficking, prosecution and treatment, cooperation across jurisdictions, data collection and access to data, violence against women, civil rights and hate crimes. The group met with the U.S. Attorney from the District of Montana and representatives from the Office of Tribal Justice, Executive Office on U.S. Attorneys, Office on Violence Against Women, the Civil Rights Division, the Office of Justice Programs, the Environment and Natural Resources Division, the Office of Community Oriented Policing Services, the Drug Enforcement Administration, and the Federal Bureau of Investigation. The Bureau of Indian Affairs’ Office of Justice Services also participated in several sessions.
The TNLC is composed of tribal leaders representing American Indian tribes and Alaska Native villages from regions around the country. The TNLC was created in 2010 and meets periodically to confer with top officials in the department and discuss issues of mutual concern.
Jury Convicts Man of Kidnapping Woman in Las VegasRead the Press Release
LAS VEGAS, Nev. – A Texas man was convicted by a jury Tuesday of kidnapping and driving a woman against her will from Nevada to New Mexico, announced Acting U.S. Attorney Steven W. Myhre for the District of Nevada.
Jack William Morgan, 32, of Texas, was found guilty of one count of conspiracy to commit kidnapping and one count of kidnapping. United States District Judge Kent J. Dawson presided over the trial and scheduled sentencing for March 20, 2018. Morgan faces the statutory maximum penalty of life in prison and a $250,000 fine.
According to the indictment, on Jan. 30, 2017, Morgan and a co-defendant conspired together to use force and violence to kidnap a woman in Las Vegas. They abducted the woman, chained her to the floor of a vehicle, and drove her from Nevada to New Mexico. Law enforcement rescued the victim and arrested Morgan and his co-defendant in New Mexico.
The case is being investigated by the Federal Bureau of Investigation. Assistant U.S. Attorneys Susan Cushman and Kathryn Newman are prosecuting the case.
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Juan Thompson Sentenced in Manhattan Federal Court to 60 Months in Prison for Cyberstalking and Making Hoax Bomb Threats to JCCs and Other Victim OrganizationsRead the Press Release
Joon H. Kim, the Acting United States Attorney for the Southern District of New York, announced that JUAN THOMPSON was sentenced today by U.S. District Judge P. Kevin Castel to 60 months in prison for cyberstalking and making hoax bomb threats as part of THOMPSON’s campaign to harass and intimidate a particular woman (“Victim-1”). Over a period of months in 2016 and 2017, THOMPSON, among other things, communicated at least 12 threats to Jewish Community Centers (“JCCs”) and other Victim Organizations in Victim-1’s name and his own name and made false allegations about Victim-1 to Victim-1’s employer. THOMPSON was arrested by the Federal Bureau of Investigation (“FBI”) on March 3, 2017, and pled guilty before Judge Castel on June 13, 2017.
Acting U.S. Attorney Joon H. Kim said: “Today, Juan Thompson was held to account and justly punished for his efforts to harass an ex-girlfriend by sending disturbing and dangerous hoax threats to Jewish Community Centers and other organizations across the country in her name. Thompson’s harassment and threats caused severe distress to both his victim and to Jewish communities around the country. We thank our partners at the FBI for their excellent work on this important case.”
According to the Complaint, the Information, and statements made at sentencing:
In July 2016, THOMPSON began a months-long campaign of harassment targeting Victim-1 after Victim-1 ended their relationship. THOMPSON’s conduct culminated with a series of hoax threats, including hoax bomb threats, targeting JCCs, organizations that provide service to and on behalf of the Jewish community, schools, and police departments.
THOMPSON started his campaign of harassment of Victim-1 in 2016. In July of that year, an email was sent to Victim-1’s employer, which made false allegations about Victim-1, including that she had broken the law, using an internet protocol (“IP”) address that THOMPSON had previously used to access his social media account. On October 15, 2016, an IP address that traced back to THOMPSON’s residence was used to falsely report that Victim-1 possessed child pornography. When confronted by law enforcement on November 22, 2016, THOMPSON claimed that his email account had been hacked a few weeks earlier.
THOMPSON also made at least 12 hoax threats targeting JCCs. For instance, on February 21, 2017, the Anti-Defamation League (“ADL”) received an emailed threat at their midtown Manhattan office that indicated that “[Victim-1’s name and birthdate] is behind the bomb threats against jews. She lives in nyc and is making more bomb threats tomorrow.” The next day, the ADL received a phone call claiming that explosive material had been placed in the ADL’s midtown Manhattan office.
Some of THOMPSON’s threats were made in his own name, as part of an apparent effort to claim that Victim-1 was trying to frame THOMPSON for a crime. For instance, on or about February 7, 2017, a JCC in Manhattan received an emailed bomb threat from an anonymous email account, which stated: “Juan Thompson [THOMPSON’s birthday] put two bombs in the office of the Jewish center today. He wants to create Jewish newtown tomorrow.” The email’s use of the phrase “Jewish newtown” appeared to refer to a December 2012 school shooting in Newtown, Connecticut, in which a gunman murdered 26 victims.
In February 2017, a Twitter account used by THOMPSON (the “Thompson Twitter Account”) was used to accuse Victim-1 of responsibility for the JCC Threats and claim that Victim-1 was trying to frame THOMPSON for her crimes. For instance, on February 24, 2017, the Thompson Twitter Account posted: “[s]he [Victim-1], though I can’t prove it, even sent a bomb threat in my name to a Jewish center, which was odd given her antisemitic statements. I got a visit from the FBI. So now I’m battling the racist FBI and this vile, evil, racist white woman.” On February 26, 2017, the Thompson Twitter Account posted: “The hatred of Jews goes across all demos. Ask NYC’s [Victim-1’s employer]. They employ a filthy anti-Semite in [Victim-1]. These ppl are evil.”
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In addition to the prison term, THOMPSON, 32, of St. Louis, Missouri, was sentenced to three years of supervised release.
Mr. Kim praised the outstanding investigative work of the FBI, and thanked the United States Secret Service, New York City Police Department, and Saint Louis Police Department for their ongoing investigative assistance.
The prosecution is being handled by the Office’s Terrorism & International Narcotics Unit. Assistant U.S. Attorneys Jacob Warren and Andrew DeFilippis are in charge of the prosecution.
Jewelry Distributor Pleads Guilty in Multi-Million Dollar Fraud SchemeRead the Press Release
PROVIDENCE – A Rhode Island jewelry distributor pleaded guilty today to federal charges that he orchestrated a long-running fraud scheme that defrauded a debtor finance company of more than $3.6 million dollars.
Appearing before U.S. District Court Chief Judge William E. Smith, Gerald Kent, 52, of Groton, CT, owner and operator of Kent Jewelry, formerly located in Johnston, RI., admitted that he executed the fraud scheme while selling his company’s jewelry on the internet, primarily using websites such as Groupon.com and Zulily.com.
Acting United States Attorney Stephen G. Dambruch; Brian Deck, Resident Agent in Charge of the Providence Office of the U.S. Secret Service; and Harold H. Shaw, Special Agent in Charge of the Federal Bureau of Investigation Boston Division announced Kent’s guilty plea to one count each of wire fraud and aggravated identity theft.
At the time of his guilty plea, Kent admitted to the Court that he submitted fraudulent invoices to a factoring (debtor finance) company based in Chicago, Ill., mostly from Groupon and Zulily, which resulted in payments to him of nearly $5 million dollars. Kent admitted that he created hundreds of fraudulent invoices which were submitted to the factoring company for which he received payment; created and used a fraudulent clone of Groupon, Inc.’s website; enlisted coconspirators to pose as Groupon employees; and opened bank accounts in the names of Groupon and Zulily, Inc., in order to deceive the debtor finance company into believing it was receiving payments from these companies.
Factoring is a financial transaction and a type of debtor finance in which a business sells its accounts receivable (i.e., invoices) to a third party (called a factor) at a discount. Factoring companies work with businesses to provide working capital in order to grow their businesses without having to wait for outstanding accounts receivables to be paid.
Kent was first charged in this matter by way of a criminal complaint filed on July 17, 2017. He was ordered released on $50,000 unsecured bond on July 26, 2017. He is scheduled to be sentenced on March 9, 2018.
Wire fraud is punishable by statutory penalties of up to 20 years imprisonment; a fine of $250,000 or twice the pecuniary gain or loss resulting from the offense, whichever is greater; and a term of supervised release of 3 years. Aggravated identity theft is punishable by statutory penalties of up to a mandatory minimum consecutive sentence of 2 years imprisonment; a fine of $250,000; and a term of supervised release of 3 years.
The case is being prosecuted by Assistant U.S. Attorneys Lee H. Vilker and John P. McAdams.
The matter was investigated by agents from the United States Secret Service and the Federal Bureau of Investigation.
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Jalil Ibn Ameer Aziz Sentenced for Conspiracy to Provide Material Support and Resources to a Designated Foreign Terrorist Organization and Transmitting a Communication Containing a Threat to InjureRead the Press Release
Acting Assistant Attorney General for National Security Dana J. Boente, U.S. Attorney David J. Freed for the Middle District of Pennsylvania and Special Agent in Charge Michael Harpster of the FBI’s Philadelphia Division announced today that Jalil Ibn Ameer Aziz, 21, a U.S. citizen and resident of Harrisburg, Pennsylvania, was sentenced to 160 months of imprisonment and 12 of years of supervised release by Chief United States District Court Judge Christopher C. Conner for conspiracy to provide material support and resources to a designated foreign terrorist organization and transmitting a communication containing a threat to injure. Chief Judge Conner also ordered Aziz to pay $6,635.79 in restitution to the service members he threatened.
According to court documents, from July 2014 to December 2015, Aziz engaged in a concerted and prolonged effort to support the Islamic State of Iraq and al-Sham (“ISIL” or “ISIS”), by knowingly conspiring to provide material support, including personnel and services, to ISIS. Aziz was steadfast and outspoken in his support for ISIS. Aziz pledged his allegiance to the leader of ISIS and used at least 72 different Twitter accounts to advocate violence against the United States and its citizens, to disseminate ISIS propaganda, and to espouse pro-ISIS views.
On at least three occasions, Aziz used his Twitter accounts and other electronic communication services to assist persons seeking to travel to and fight for ISIL. In one instance, Aziz acted as an intermediary between a person in Turkey and several well-known members of ISIS. Aziz passed location information, including maps and a telephone number, between the person in Turkey and the ISIS member.
Aziz also used one of his Twitter accounts to threaten approximately 100 U.S. service members. He disseminated a “kill list” that contained the names, addresses, photographs and military branches of the service members. A well-known ISIS member compiled the list, which commanded ISIS supporters to “kill the [service members] in their own lands, behead them in their own homes, stab them to death as they walk their street thinking that they are safe.”
A court-authorized search of a tactical/military style backpack located in Aziz’s closet identified five loaded M4-style high-capacity magazines, a modified straight edge knife, a thumb drive, medication, flashlights, a toothbrush, sunflower seeds, a lighter, nail clippers, fingerless gloves, a pocket watch and a black balaclava, which is a type of mask frequently worn by ISIS fighters and supporters.
On December 22, 2015, Aziz was charged in an indictment with conspiring and attempting to provide material support to the Islamic State of Iraq and the Levant (ISIL), a designated foreign terrorist organization. A superseding indictment was returned on May 18, 2016, which added solicitation to commit a crime of violence and transmitting a communication containing a threat to injure. On January 30, 2017, Aziz pled guilty to conspiracy to provide material support and resources to a designated foreign terrorist organization and transmitting a communication containing a threat to injure.
“Jalil Ibn Ameer Aziz conspired to provide material support to ISIS by aiding individuals in their pursuit of traveling overseas to join the designated foreign terrorist organization and by using social media to propagate ISIS’s threats to injure U.S. service members,” said Acting Assistant Attorney General Boente. “The National Security Division’s highest priority is counterterrorism, and we will remain vigilant in our efforts to hold accountable those who seek to provide material support to foreign terrorist organizations and threaten members of our military.”
United States Attorney David J. Freed said, “We in law enforcement know that the fight against terrorism is not limited to far-away battlefields. This sentence should serves as ample notice that we will cede the security of our community to no one. The outstanding work of the investigators and attorneys in this case has brought to justice an individual who provided real, material support to terrorist groups and who attempted to spread hate and destruction in our community and abroad. We will remain ever vigilant to protect the security of our citizens.”
"Mr. Aziz shared ISIL propaganda via social media, helping the terrorists' twisted worldview spread further, faster," said Michael Harpster, Special Agent in Charge of the FBI's Philadelphia Division. "Spewing violent jihadist beliefs, this young man – an American citizen – called for the murder of U.S. service members, and aided other radicalized individuals seeking to travel and take up arms alongside ISIL fighters. The dangers he posed are clear, and chilling. FBI Philadelphia's Joint Terrorism Task Force will never stop working to detect and disrupt the activities of terrorists and those who assist them."
The case was investigated by the Federal Bureau of Investigation’s Joint Terrorism Task Force (JTTF), which includes the Pentagon Force Protection Agency and the Pennsylvania State Police, with assistance from the Harrisburg Bureau of Police. Assistant United States Attorney Daryl F. Bloom and Trial Attorneys Robert Sander and Adam L. Small of the National Security Division’s Counterterrorism Section prosecuted the case.Jalil Ibn Ameer Aziz Sentenced for Conspiracy to Provide Material Support and Resources to A Designated Foreign Terrorist Organization and Transmitting A Communication Containing A Threat to InjureRead the Press Release
HARRISBURG – Acting Assistant Attorney General for National Security Dana J. Boente, United States Attorney David J. Freed for the Middle District of Pennsylvania and Special Agent in Charge Michael Harpster of the FBI’s Philadelphia Division announced today that Jalil Ibn Ameer Aziz, age 21, a U.S. citizen and resident of Harrisburg, Pennsylvania, was sentenced to 160 months of imprisonment and 12 of years of supervised release by Chief United States District Court Judge Christopher C. Conner for conspiracy to provide material support and resources to a designated foreign terrorist organization and transmitting a communication containing a threat to injure. Chief Judge Conner also ordered Aziz to pay $6,635.79 in restitution to the service members he threatened.
According to U.S. Attorney David J. Freed, from July 2014 to December 2015, Aziz engaged in a concerted and prolonged effort to support the Islamic State of Iraq and al-Sham (“ISIL” or “ISIS”), by knowingly conspiring to provide material support, including personnel and services, to ISIS. Aziz was steadfast and outspoken in his support for ISIS. Aziz pledged his allegiance to the leader of ISIS and used at least 72 different Twitter accounts to advocate violence against the United States and its citizens, to disseminate ISIS propaganda, and to espouse pro-ISIS views.
On at least three occasions, Aziz used his Twitter accounts and other electronic communication services to assist persons seeking to travel to and fight for ISIL. In one instance, Aziz acted as an intermediary between a person in Turkey and several well-known members of ISIS. Aziz passed location information, including maps and a telephone number, between the person in Turkey and the ISIS member.
Aziz also used one of his Twitter accounts to threaten approximately 100 U.S. service members. He disseminated a “kill list” that contained the names, addresses, photographs and military branches of the service members. A well-known ISIS member compiled the list, which commanded ISIS supporters to “kill the [service members] in their own lands, behead them in their own homes, stab them to death as they walk their street thinking that they are safe.”
A court-authorized search of a tactical/military style backpack located in Aziz’s closet identified five loaded M4-style high-capacity magazines, a modified straight edge knife, a thumb drive, medication, flashlights, a toothbrush, sunflower seeds, a lighter, nail clippers, fingerless gloves, a pocket watch and a black balaclava, which is a type of mask frequently worn by ISIS fighters and supporters.
On December 22, 2015, Aziz was charged in an indictment with conspiring and attempting to provide material support to the Islamic State of Iraq and the Levant (ISIL), a designated foreign terrorist organization. A superseding indictment was returned on May 18, 2016, which added solicitation to commit a crime of violence and transmitting a communication containing a threat to injure. On January 30, 2017, Aziz pled guilty to conspiracy to provide material support and resources to a designated foreign terrorist organization and transmitting a communication containing a threat to injure.
“Jalil Ibn Ameer Aziz conspired to provide material support to ISIS by aiding individuals in their pursuit of traveling overseas to join the designated foreign terrorist organization and by using social media to propagate ISIS’s threats to injure U.S. service members,” said Acting Assistant Attorney General Boente. “The National Security Division’s highest priority is counterterrorism, and we will remain vigilant in our efforts to hold accountable those who seek to provide material support to foreign terrorist organizations and threaten members of our military.”
United States Attorney David J. Freed said, “We in law enforcement know that the fight against terrorism is not limited to far-away battlefields. This sentence should serves as ample notice that we will cede the security of our community to no one. The outstanding work of the investigators and attorneys in this case has brought to justice an individual who provided real, material support to terrorist groups and who attempted to spread hate and destruction in our community and abroad. We will remain ever vigilant to protect the security of our citizens.”
"Mr. Aziz shared ISIL propaganda via social media, helping the terrorists' twisted worldview spread further, faster," said Michael Harpster, Special Agent in Charge of the FBI's Philadelphia Division. "Spewing violent jihadist beliefs, this young man – an American citizen – called for the murder of U.S. service members, and aided other radicalized individuals seeking to travel and take up arms alongside ISIL fighters. The dangers he posed are clear, and chilling. FBI Philadelphia's Joint Terrorism Task Force will never stop working to detect and disrupt the activities of terrorists and those who assist them."
The case was investigated by the Federal Bureau of Investigation’s Joint Terrorism Task Force (JTTF), which includes the Pentagon Force Protection Agency and the Pennsylvania State Police, with assistance from the Harrisburg Bureau of Police. Assistant United States Attorney Daryl F. Bloom and Trial Attorneys Robert Sander and Adam L. Small of the National Security Division’s Counterterrorism Section prosecuted the case.
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Indictment: Scott Tucker Failed to Report Millions in IncomeRead the Press Release
KANSAS CITY, KAN. – A professional racecar driver who lives in Leawood was indicted Wednesday on federal charges of failing to report millions in income from payday lending business he owned, U.S. Attorney Tom Beall said. The defendant’s accountant was indicted, too.
Scott Tucker, 55, Leawood, Kan., is charged with one count of filing a false tax return, and W. Brett Chapin, 46, Shawnee, Kan., is charged with aiding in the filing of a false tax return.
The indictment alleges that in 2008 Tucker orchestrated a sham sale of his company CLK Management to the Miami tribe for $120,000. In fact, Tucker continued to control CLK and a new entity, AMG Services, Inc.
After the sale, other people and entities were listed as owners of Tucker’s payday lending businesses. In fact, Tucker controlled the daily operations of those business. He was the source of funds being lent and he bore the risk of loans not being repaid.
Tucker’s payday lending businesses included Ameriloan, Cash Advance, One Click Cash, Preferred Cash Loans, United Cash Loans, US FastCash, 500 FastCash, Advantage Cash Services and Star Cash Processing.
Chapin was a CPA who prepared Tucker’s tax returns for 2008, 2009, 2010, and 2011. On Oct. 19, 2009, Tucker signed a 2008 tax return prepared by Chapin that failed to report more than $42.5 million in income from Tucker’s payday lending businesses. On Oct. 20, 2011, Tucker signed a 2010 tax return prepared by Chapin that failed to report more than $75 million in income from Tucker’s payday lending businesses.
Upon conviction, the crimes carry the following penalties:
Conspiracy: Up to five years in federal prison and a fine up to $250,000.
Filing a false tax return: Up to three years and a fine up to $250,000.
Aiding and abetting the filing of a false tax return: Up to three years and a fine up to $250,000.
The Internal Revenue Service investigated. Assistant U.S. Attorney Chris Oakley and Assistant U.S. Attorney Scott Rask are prosecuting.
OTHER INDICTMENTS
Richard Armenta, 57, Overland Park, Kan., is charged with one count of bank robbery.
The indictment that on Nov. 24, 2017, Armenta robbed Capitol Federal Savings Bank at 9001 E. Santa Fe in Overland Park, Kan.
If convicted he faces up to 20 years in federal prison and a fine up to $250,000.
The Overland Park Police Department and the FBI investigated. Assistant U.S. Attorney Kim Flannigan is prosecuting.
Anois Coronado-Floriano, 31, Kansas City, Kan., Idania Daniela Ortiz, 37, Kansas City, Kan., and Carlos Coronado, 26, Kansas City, Kan., are charged with one count of conspiracy to distribute methamphetamine and one count of possession with intent to distribute methamphetamine. The crimes are alleged to have occurred Dec. 6, 2017, in Wyandotte County, Kan.
If convicted, they face a penalty of not less than 10 years in federal prison and a fine up to $10 million. The Drug Enforcement Administration investigated. Assistant U.S. Attorney Chris Oakley is prosecuting.
Esteban Muniz-Torres, 50, a citizen of Mexico, is charged with unlawfully re-entering the United States after being deported. He was found Dec. 1, 2017, in Johnson County Kan.
If convicted, he faces up to 20 years in federal prison and a fine up to $250,000. Immigration and Customs Enforcement investigated. Assistant U.S. Attorney Jabari Wamble is prosecuting.
Dennis Bowen, 46, Ottawa, Kan., is charged with escaping from federal custody. The crime is alleged to have occurred Nov. 6, 2017, in Leavenworth County, Kan.
If convicted, he faces up to five years in federal prison and a fine up to $250,000. The Kansas Bureau of Investigation investigated. Assistant U.S. Attorney David Zabel is prosecuting.
In all cases, defendants are presumed innocent until and unless proven guilty. The indictments merely contain allegations of criminal conduct.
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Indianapolis businessman sentenced to four years in federal prisonRead the Press Release
PRESS RELEASE
Indianapolis-United States Attorney Josh J. Minkler announced today the sentencing of an Indianapolis man for his role in an elaborate scheme to defraud local business. James D. Victery, 58, Indianapolis, was sentenced to 48 months’ imprisonment by U.S. District Judge Michael Reagan after being found guilty in a jury trial in September of this year. At trial, Victery was found guilty of two counts of wire fraud and two counts of money laundering.
“Mr. Victery’s greed cost local businesses and the government nearly $600,000 in losses,” said Minkler. “Let’s call white collar crime, what it really is; stealing, and those who do will be held accountable for their actions.”
Victery represented himself as a person who was in the business of providing a variety of services to contractors who were considering bidding on government jobs. Those services included acting as an escrow agent, providing bonds, and loans, through a company called TEAM (Tripartite Escrow Agreement Management). The victim-business was a factoring agent that agreed to pay contractors’ invoices before the government was ready to pay, giving the contractors’ prompt access to money to fund their construction projects. Victery purported to his victim-business that he would serve as an escrow agent, holding in trust the money exchanged between the victim-business and the contractors. Victery provided written agreements and emails memorializing the arrangement.
Victery submitted invoices to the victim-business for work that was never performed by the contractors. The evidence at trial revealed Victery had misrepresented himself to the contractors as a provider of bonds, and to the victim-business as an escrow agent. The victim-business paid almost $600,000 to Victery on the fraudulent invoices, and Victery squandered the money on personal business interests and debt in a few months’ time.
This case was investigated by the Federal Bureau of Investigation and the Internal Revenue Service Criminal Investigation.
“This sentence highlights the partnership of the FBI and IRS and our mission to dedicate investigative resources to rooting out such corrupt business practices and hold people accountable for their financial fraud,” said W. Jay Abbott, Special Agent in Charge of the FBI’s Indianapolis Division. “These criminals are motivated by greed and a desire to see how much they can get away with without care or concern for the consequences and it won’t be tolerated.”
Gabriel Grchan, Special Agent in Charge of IRS Criminal Investigation stated, “IRS-CI does not tolerate corrupt business practices that put taxpayers’ dollars at risk. This investigation compliments the many other IRS-CI successes of 2017, announced last week in the IRS-CI Annual Report. We are committed to identifying and stopping financial frauds.”
According to Cindy Cho and Winfield Ong who prosecuted this case for the government, Victery must make restitution of $404,000 and serve three years supervised released release after his sentence.
In October 2017, United States Attorney Josh J. Minkler announced a Strategic Plan designed to shape and strengthen the District’s response to its most significant public safety challenges. This prosecution demonstrates the office’s firm commitment to utilize and partner with the District’s law enforcement agencies to detect and prosecute matters involving complex fraud schemes. See United States Attorney’s Office, Southern District of Indiana Strategic Plan Section 5.1.
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Illegal Alien Sentenced to 15 Months in Federal PrisonRead the Press Release
Columbia, South Carolina ---- United States Attorney Beth Drake stated today that Olvin Humberto Matute-Lopez, a/k/a “Humberto Lopez-Barralaga,” a/k/a “Fernando Dolero-Juarez,” a/k/a “Juan Carlos Matute,” a/k/a “Juan Lopez,” a/k/a “Humberto Lopez,” age 36, of Myrtle Beach, South Carolina, was sentenced in federal court in Florence, South Carolina, for Illegal Re-entry into the United States after Deportation. United States District Judge Bryan Harwell, of Florence, sentenced Matute-Lopez to 15 months in federal prison with 1 year of supervised release to follow.
Evidence presented at the guilty plea hearing established that on May 13, 2017, Immigration and Customs Enforcement – Enforcement and Removal Operations (ICE-ERO) Officers in Charleston, SC, discovered that Olvin Humberto Matute-Lopez, a native and citizen of Honduras, had been arrested by the Horry County Police Department for Driving Under the Influence and other traffic violations. In 2008, Matute-Lopez was deported from the United States back to Honduras. A records check revealed that Matute-Lopez had not received permission to enter, re-enter, or remain in the United States.
The case was investigated by agents of the Immigration and Customs Enforcement – Enforcement and Removal Operations (ICE-ERO) and the Horry County Police Department. Assistant United States Attorney Lauren Hummel of the Florence office prosecuted the case.
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Huntsville Woman Pleads Guilty to Stealing $107,707 in Government Funds Through Fraudulent Tax ReturnsRead the Press Release
BIRMINGHAM – A Huntsville woman pleaded guilty today in federal court to stealing more than $107,000 from the government by filing fraudulent income tax returns, announced U.S. Attorney Jay E. Town and Internal Revenue Service, Criminal Investigation, Special Agent in Charge Thomas J. Holloman.
JOAN MARIE CHANDLER, 42, also known as Joan Marie Robinson, pleaded guilty before U.S. District Judge R. David Proctor to one count of theft of government funds. The judge scheduled her sentencing April 10.
“Today’s guilty plea by Ms. Chandler again emphasizes that the U.S. Attorney’s Office and IRS-Criminal Investigation will continue to aggressively pursue those who attempt to defraud America’s tax system,” Town said. “Those who threaten the integrity of the tax system, and cheat the public treasury, will pay their fair share, one way or another.”
“Stealing from the government is not a way to earn a living,” Holloman said. “Refund fraud results in major loss of revenue to the United States Government. Every taxpaying citizen is affected when tax dollars are stolen. IRS Criminal Investigation will continue our efforts to investigate similar schemes and recover the stolen funds.”
According to Chandler’s plea agreement, the U.S. Treasury deposited numerous electronic refund payments into accounts held by Chandler at three banks in the Huntsville area between February 2015 and April 2015.
An investigation revealed two Treasury Refund Electronic Transfer of Funds deposited into Chandler’s account at Branch Banking and Trust, six electronic refund deposits into her account at PNC Bank, and two electronic refund deposits into her account at Wells Fargo Bank, according to the plea agreement.
The 10 refund transfers totaled $107,707. PNC seized $38,608 from Chandler’s account and returned that money to the U.S. Treasury, according to the plea agreement.
The maximum penalty for theft of government funds is 10 years in prison and a $250,000 fine.
IRS-CI investigated the case, which Assistant U.S. Attorney David Estes is prosecuting
Honeywell to Restore Onondaga Lake Natural Resources Under Proposed Agreement with the United States and the State of New YorkRead the Press Release
The Departments of Justice and the Interior joined with the New York State Office of the Attorney General (NYSOAG) and Department of Environmental Conservation (NYSDEC) today to announce a proposed settlement with Honeywell International Inc. (Honeywell) and Onondaga County related to contamination of Onondaga Lake, portions of its tributaries, and surrounding wetlands and uplands.
The proposal would resolve claims brought under the federal Superfund law for damages to natural resources stemming from releases of mercury and other hazardous substances from facilities owned and operated by Honeywell (formerly Allied-Signal) and Onondaga County at the Onondaga Lake Superfund Site in Syracuse, New York.
As part of its operations over many years, Honeywell contributed hazardous substances that resulted in the contamination of Onondaga Lake, portions of its tributaries, and surrounding wetlands and uplands. Hazardous substances from Onondaga County’s operations made their way into Onondaga Lake as well. Federal Superfund law seeks to make the environment and public whole for injuries to natural resources and ecological and recreational services resulting from releases of hazardous substances to the environment.
The proposed settlement requires Honeywell to implement and maintain 20 restoration projects to restore and protect wildlife habitat and water quality, and increase recreational opportunities at Onondaga Lake. Honeywell will also pay over $6 million allocated to restoration and preservation programs overseen by the federal and state trustees, Department of Interior, and the Commissioner of Environmental Conservation acting through NYSDEC.
Onondaga County will operate, repair, maintain, and monitor five of these restoration projects located on or adjacent to County parklands for 25 years. The settlement terms are outlined in a proposed consent decree filed in federal court in Syracuse, New York today. The total value of this proposed settlement is $26 million.
“This settlement will help restore the precious natural resources of the Onondaga Lake watershed, bringing lasting benefits for future generations of Central New Yorkers to enjoy,” said Acting Assistant Attorney General Jeff Wood for the Department of Justice Environment and Natural Resources Division. “This joint action with the Department of Interior and the State of New York is yet another testament to the value and effectiveness of cooperative federalism, and I am grateful to all of our partners for the efforts that brought us this resolution.”
“With this proposed settlement, the communities of Onondaga Lake are one step closer to reclaiming this resource for the people and wildlife that live here,” said New York Field Supervisor David Stilwell for the U.S. Fish and Wildlife Service. “These funds would support both habitat restoration and protection for the benefit of fish and wildlife, as well as improved opportunities for people to enjoy Onondaga Lake and all that it could offer. We look forward to continuing collaboration with the state, county, Honeywell, and surrounding communities.”
“This settlement marks a critical step toward returning Onondaga Lake to the community that surrounds it – requiring the investment of millions to restore and protect water quality, wildlife, and recreation,” said Bureau Chief Lem Srolovic for the Environmental Protection Bureau of the Office of the New York Attorney General. “We encourage members of the community to review the settlement during the comment period, and look forward to continuing to work in partnership to ensure the restoration of this remarkable natural resource.”
“This proposed agreement is another significant step in the remarkable restoration of Onondaga Lake,” said Commissioner Basil Seggos of the New York State Department of Environmental Conservation. “DEC looks forward to the successful implementation of these projects and working with the community on the development of additional restoration work available under the settlement. The input from the public on the recovery of Onondaga Lake has been invaluable, and implementation of this restoration plan will return this unique natural resource to the surrounding community for use and enjoyment that has been unavailable for decades.”
This past August, the trustees, through U.S. Fish and Wildlife Service and the State of New York, issued a final restoration plan and environmental assessment plan outlining these 20 restoration projects to restore the Lake and wildlife habitat and improve recreational resources. This plan also included responses to oral and written comments received from the public on the draft plan during a 90-day public comment period, which included four public meetings and one public hearing held throughout Syracuse during the spring 2017.
Since 2008, Honeywell and the trustees have worked together to assess and identify potential restoration projects to benefit natural resources affected by releases of mercury and other hazardous substances. Some of the damaged natural resources include fish, birds, reptiles, amphibians, and mammals. Recreational fishing opportunities were also impacted by mercury contamination.
Today’s proposed settlement, lodged with the U.S. District Court for the Northern District of New York, is subject to a 30-day public comment period to begin following notification in the Federal Register. The settlement is subject to final approval by the court. To view the proposed consent decree, visit the department’s website: www.justice.gov/enrd/Consent_Decrees.html.
More information about the Onondaga Lake Natural Resource Damage Assessment is online at https://www.fws.gov/northeast/nyfo/ec/onondaga.htm.
Heroin Dealer Sentenced to Life for Two Overdose DeathsRead the Press Release
NEWPORT NEWS, Va. – A Hampton Roads man was sentenced today to life in prison for distributing heroin in Hampton and Newport News that caused two overdose deaths.
According to court documents, Terry Glenn Williams, Jr., 33, pleaded guilty to drug trafficking conspiracy, distribution of heroin resulting in death, possession of a firearm in furtherance of a drug trafficking crime and money laundering. During the course of his drug trafficking, Williams was involved in four heroin overdoses – two fatal and two nonfatal. Williams’ drug-trafficking organization operated in Hampton and Newport News by moving to and from various hotels, moving in excess of a kilogram of heroin and 280 grams of cocaine base. In addition to drug trafficking, Williams used drug addicts as prostitutes, at times using the prostitutes to distribute heroin for him after he used their addiction to keep them with him in his prostitution business.
The case was investigated by the DEA as part of the Organized Crime Drug Enforcement Task Forces (OCDETF), Operation Raw Sugar. The OCDETF program is a federal multi-agency, multi-jurisdictional task force that supplies supplemental federal funding to federal and state agencies involved in the identification, investigation, and prosecution of major drug trafficking organizations. The principal mission of the OCDETF program is to identify, disrupt and dismantle the most serious drug trafficking, weapons trafficking and money laundering organizations, and those primarily responsible for the nation’s illegal drug supply.
Dana J. Boente, U.S. Attorney for the Eastern District of Virginia, and Karl C. Colder, Special Agent in Charge for the Drug Enforcement Administration’s (DEA) Washington Field Division, made the announcement after sentencing by U.S. District Judge Arenda Wright Allen. Assistant U.S. Attorneys Howard J. Zlotnik and Lisa R. McKeel prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information is located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 4:17-cr-16.
Hazelton Man Indicted for Heroin TraffickingRead the Press Release
SCRANTON- The United States Attorney’s Office for the Middle District of Pennsylvania announced today that Felix Silva, age 49, of Hazelton, Pennsylvania, was indicted on December 19, 2017, by a federal grand jury on drug trafficking charges.
According to United States Attorney David J. Freed, the indictment alleges that Silva, also known as “Carlos Santana” and “Hector Borero,” possessed with the intent to distribute over 100 grams of heroin on December 9, 2017, in Sugarloaf Township, Pennsylvania. One hundred grams of heroin is the equivalent of approximately 4,000 individual doses of heroin.
The case was investigated by the U.S. Drug Enforcement Administration (DEA) and the Pennsylvania State Police and is being prosecuted by Assistant U.S. Attorney Sean A. Camoni.
This case was brought as part of a district wide initiative to combat the nationwide epidemic regarding the use and distribution of heroin. Led by the United States Attorney’s Office, the Heroin Initiative targets heroin traffickers operating in the Middle District of Pennsylvania and is part of a coordinated effort among federal, state and local law enforcement agencies to locate, apprehend, and prosecute individuals who commit heroin related offenses.
Indictments are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
The maximum penalty under federal law for this offense is 40 years of imprisonment, 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.
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Harwich Man Pleads Guilty to Fentanyl ConspiracyRead the Press Release
BOSTON – A Harwich man pleaded guilty today in federal court in Boston to fentanyl conspiracy.
Dean Viprino, 45, pleaded guilty to one count of conspiracy to possess with intent to distribute 40 grams or more of fentanyl. U.S. District Court Judge Douglas P. Woodlock scheduled sentencing for March 20, 2018.
Viprino was a customer of Alex Fraga, one of four people arrested as part of a drug ring that shipped large quantities of fentanyl, cocaine and heroin from Boston to Cape Cod, where it was then redistributed. In mid-August 2017, Alex Fraga and his brother Kevin Fraga were arrested by federal investigators after large quantities of fentanyl, heroin and cocaine were seized from them. Wiretap interceptions and surveillance indicated that Viprino had been purchasing fentanyl from Alex Fraga for personal use and distribution.
The charge provides for a mandatory minimum sentence of five years and up to 40 years in prison, a minimum of four years and up to a lifetime of supervised release, and a fine of up to $5 million. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
Acting United States Attorney William D. Weinreb and Michael J. Ferguson, Special Agent in Charge of the Drug Enforcement Administration, New England Field Division, made the announcement today. Assistant U.S. Attorney Eric Rosen of Weinreb’s Criminal Division is prosecuting the case.
Hartford Man Charged with Robbery and Firearm OffensesRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, today announced that on November 30, 2017, a federal grand jury in Hartford returned a six-count indictment charging ISAIAH HALLIDAY, 18, of Hartford, with robbery and firearm offenses stemming from a scheme that victimized several individuals who sought to purchase items over mobile classifieds web apps.
HALLIDAY has been detained since his arrest on November 17. He appeared today before U.S. Magistrate Judge Sarah A. L. Merriam in New Haven, entered a plea of not guilty to the charges, and was ordered detained.
According to court documents and statements made in court, between September and November 2017, more than a dozen robberies have occurred in Hartford during which individuals lured would-be customers with real or nonexistent items posted to mobile classifieds web apps, such as Offer Up, Letgo and Craigslist, through the use of a fake account. Upon arrival, the customers were robbed of money and cell phones. In all of the robberies, assailants brandished what victims described to be a firearm.
It is alleged that on November 11, 2017, Hartford Police officers responded to a location on Blue Hills Avenue in response to a report of a male suffering from a gunshot wound. Upon arrival, the victim stated that he had traveled to Mansfield Street in Hartford to meet with an individual he contacted on Offer Up to purchase an iPhone. When he arrived, an individual, who was subsequently identified as HALLIDAY, approached the front passenger door of his vehicle and pointed a black handgun at him. After the victim attempted to drive away, HALLIDAY fired one round at him, striking him in the right forearm.
The indictment charges HALLIDAY with two counts of interference with commerce by robbery, for robberies that occurred on September 19 and October 16; one count of attempt to interfere with commerce by robbery and one count of use of a firearm in relation to a crime of violence, for the robbery that occurred on November 11 describe above; one count of attempt to interfere with commerce by robbery for another attempted robbery on November 11, and one count of attempt to interfere with commerce by robbery on November 17.
Each of the robbery offenses carries a maximum term of imprisonment of 20 years, and the firearm offenses carries a consecutive term of imprisonment of at least 10 years and a maximum term of imprisonment of life.
U.S. Attorney Durham stressed that an indictment is not evidence of guilt. Charges are only allegations, and a defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.
This matter is being investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, and the Hartford Police Department. The case is being prosecuted by Assistant U.S. Attorney Geoffrey M. Stone.
Greenwood Man Pleads Guilty to Possession of a FirearmRead the Press Release
Columbia, South Carolina ---- United States Attorney Beth Drake stated today that Victor G. Dearing, age 35, of Greenwood, pled guilty in federal court in Anderson, to possession of a firearm by a felon, a violation of Title 18, United States Code, Section 922(g). United States District Judge Timothy M. Cain, of Anderson, accepted the plea and will impose sentence after he has reviewed the presentence report which will be prepared by the U.S. Probation Office.
Evidence presented at the change of plea hearing established that on May 25, 2017, Greenwood City police officers received a tip that there was a subject with a gun selling heroin on Marion Avenue. They went to investigate and saw Dearing in the immediate area. They approached Dearing to speak with him and he ran. The officers pursued him and noticed that he appeared to being reaching for something inside his coat pocket. Dearing eventually got tangled in briars and underbrush as he tried to escape in the woods. The officers detained him and discovered that Dearing had a 9 mm handgun and ammunition as well as marijuana and 8.8 grams of heroin.
Ms. Drake stated the maximum penalty Dearing can receive is a fine of $250,000 and/or imprisonment for 10 years, three years of supervised release, plus a special assessment of $100.
The case was investigated by agents of the Greenwood City Police Department and the Federal Bureau of Investigation. Assistant United States Attorney Bill Watkins of the Greenville office handled the case.
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Greenville Felon Pleads Guilty to Multiple Armed Robberies Outside of Upstate HotelRead the Press Release
Greenville, South Carolina ---- United States Attorney Beth Drake stated that Dominique Romando Turner, age 24, of Greenville, South Carolina, entered a guilty plea in federal court to “Conspiracy to Carry a Firearm During a Crime of Violence,” a violation of 18 U.S.C. § 924(o); “Felon in Possession of Firearm,” in violation of 18 U.S.C. § 922(g); “Conspiracy to Commit Hobbs Act Robbery,” in violation of 18 U.S.C. § 1951(a); “Hobbs Act Robbery,” in violation of 18 U.S.C. § 1951(a); and “Possessing a Firearm During a Crime of Violence,” in violation of 18 U.S.C. § 924(c). United States District Judge Timothy M. Cain of Anderson 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 April 23, 2016, Turner conspired with Trevis Bland, a/k/a/ “HellRell,” and another co-conspirator to rob a prostitute he solicited from backpage.com with a Technicorp .22 caliber revolver outside an Upstate hotel. Turner set up the date with the victim and met her at the car. The co-conspirators pointed a gun at the victim, forced her out of the car, and took her money. Bland carjacked the victim’s car.
Again, on April 27, 2016, Turner and Bland robbed three victims at gunpoint outside of the same hotel. One individual was hit on the back of the head with a hard object, and the co-conspirators took their money. The co-conspirators drove away in a truck. The getaway truck was recovered, and many of the victims’ items were found. The firearm had initially belonged to Turner, but Turner sold it to Bland. Both Turner and Bland have prior felony convictions that prohibited them from possessing firearms. Bland previously pled guilty before Judge Cain to conspiracy, armed robberies, carjacking, brandishing a firearm in furtherance of a crime of violence, and possession of a firearm by a convicted felon involving these facts.
Mrs. Drake stated the maximum penalty for these offenses is life imprisonment, and a fine of $250,000. The case was investigated by agents of ATF, the Greenville Police Department, the Greenville County Sheriff's Office, and the Easley Police Department. Assistant United States Attorney Jamie Lea Schoen of the Greenville USAO is prosecuting the case.
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Geneseo Man Sentenced to Eight Months in Prison for Stolen Valor OffensesRead the Press Release
ROCK ISLAND, Ill. – U.S. District Judge Sara L. Darrow today ordered William R. Jones, 68, of Geneseo, Ill., to serve eight months in federal prison for theft of government funds and making false statements about his military service to the U.S. Department of Veterans Affairs. Jones was also ordered to pay a fine of $40,000 and to pay restitution in the amount of $71,472 to the Department of Veterans Affairs. Jones was ordered to remain on supervised release for a term of three years following his release from prison.
Jones had entered pleas of guilty on Aug. 22, 2017, to the offenses. During court hearings and according to court documents, the government established that Jones entered service in the armed forces of the United States in 1971 via the Air National Guard. Thereafter, Jones served in various Reserve or National Guard components. Jones retired from the military in 2002 as a Lieutenant Colonel. At no time did Jones ever serve in the Southeast Asia or Republic of Vietnam (RVN) theater of combat operations or in any other theater of combat operations.
In 2003, after retirement, Jones sought disability benefits, based on claims in statements to the VA that he was suffering from post-traumatic stress disorder attendant to combat service in the RVN. Jones falsely claimed that he had been a Special Operations air crewman on an AC-130 Spectre gunship and was shot down and wounded. Jones claimed that he had been awarded a Bronze Star Medal with V for Valor and a Purple Heart for RVN service. The VA denied the claims after checking Jones’ military service records and determining that he was never in RVN.
Jones, however, continued to press for claims for disability based on combat service, submitting a false DD-214 to the VA and causing the American Legion and public officials to petition or write the VA in support of the defendant based on Jones’s false representations. As a result of his false representations, Jones received $71,472 from the VA for combat-related disability.
On Oct. 31, 2013, Jones caused the American Legion to submit to the VA on his behalf a new claim with supporting documents that included a copy of an article from the Geneseo, Ill., newspaper. The article was based on false information provided by Jones about his purported combat service, including copies of several false certificates for combat awards, a false certificate from MACV SOG (Vietnam Special Operations Group) attesting to Jones’s purported SOG service, a false certificate representing that “Staff Sergeant Jones” had received an Enlisted Aircrew badge in November 1971, and a letter dated 2008 from then-U.S. Senator Barack Obama stating that the defendant was a RVN veteran.
In addition, on July 16, 2013, Jones submitted to the office of U.S. Senator Richard J. Durbin a “Privacy Act Release” form that contained false information indicating that Jones had served in combat in Vietnam in 1972; that Jones had been assigned to Special Operations in Vietnam; and, that Jones was shot down in enemy territory but rescued by U.S. Marines three weeks later. In fact, as Jones well knew, he never served in Vietnam; was never assigned to Special Operations in Vietnam, and, was never shot down and rescued by U.S. Marines. As a result of these false statements to Senator Durbin, the Senator conveyed the false statements to the VA in support of the defendant’s claim for disability benefits.
The case was prosecuted by Assistant U.S. Attorney Don Allegro. The charges resulted from an investigation by the Office of the Inspector General of the U.S. Department of Veterans Affairs.
Franklin County Resident Charged with Methamphetamine OffensesRead the Press Release
A federal grand jury in Benton, Illinois, has charged a Franklin County, Illinois, resident with methamphetamine related offenses. The United States Attorney for the Southern District of Illinois, Donald S. Boyce, announced the charges today. Carl L. Darnell was charged in a nine-count indictment with possessing pseudoephedrine pills intending that they be used to manufacture methamphetamine. If convicted, Darnell faces up to 20 years imprisonment and a $250,000 fine as to each count. Darnell appeared in Court and was ordered held without bond after the Court advised him of his rights and at the completion of a detention hearing.
An indictment is a formal charge against a defendant. Under the law, a defendant is presumed to be innocent of a charge until proven guilty beyond a reasonable doubt to the satisfaction of a jury.
The investigation in this case was conducted by, the Illinois State Police, Southern Illinois Drug Task Force, the Sesser, Illinois, Police Department, the Franklin County Sheriff=s Office, the Energy, Illinois Police Department, the West Frankfort, Illinois, Police Department, and the Drug Enforcement Administration.
Franconia Woman Pleads Guilty to Fentanyl TraffickingRead the Press Release
CONCORD, N.H. - Cassandra Chandler, 25, of Franconia, pleaded guilty in federal court to possession of fentanyl with intent to distribute, Acting United States Attorney John J. Farley of the announced today.
According to court documents and statements made in court, on March 18, 2017, after an investigation of Chandler's possession of drugs, law enforcement officers from the Franconia, Littleton, and Sugar Hill, New Hampshire police departments executed a search warrant for Chandler's apartment in Franconia, New Hampshire. In Chandler’s bedroom, within arm's reach of her bed, officers found approximately 48 grams of fentanyl.
Chandler is scheduled to be sentenced on March 29, 2018.
“Fentanyl and other deadly drugs are causing tremendous harm in New Hampshire,” said Acting U.S. Attorney Farley. “I commend the work of the police officers in this case. By getting this fentanyl off the streets, they may have saved several lives.”
This matter was investigated by the Franconia Police Department, with the assistance of the Littleton and Sugar Hill Police Departments. The case is being prosecuted by Assistant U.S. Attorney Anna Dronzek.
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Four Men Convicted of Participating in A Large Heroin and Crack Cocaine Distribution Ring Out of South PhiladelphiaRead the Press Release
PHILADELPHIA – Yesterday a federal jury returned guilty verdicts on all counts against four men from Philadelphia, Basil Bey, 28, Reginald White, 31, Tyrik Upchurch, 30, and Amin Wadley, 26, in connection with their participation in a large heroin and crack cocaine distribution group. Bey, White, Upchurch, and Wadley were each convicted of one count of conspiracy and one count of distribution of a controlled substance. Bey and White were also each convicted of one count of distributing a controlled substance within 1,000 feet of a playground.
As presented at trial, from at least April 2015 through December 2016, Bey was the leader of a narcotics distribution group that sold heroin and crack cocaine nearly 24 hours a day, seven days a week to customers in South Philadelphia. The group, which included White, Upchurch, and Wadley as members, sold its customers narcotics by use of a cellular telephone, which would result in the delivery of narcotics by vehicle. Members of the group worked shifts in order to serve their narcotics customers day or night. Bey, Upchurch, and Wadley also maintained residences around Philadelphia in order to store and package the narcotics for distribution. Due to the dedicated efforts of law enforcement in this case, approximately thirty-five controlled purchases of heroin and/or crack were made from this drug group—all captured on video. Law enforcement also lawfully obtained a wiretap that captured some of the group’s activities on its telephone.
Basil Bey and Amin Wadley each face a mandatory minimum term of 10 years’ imprisonment, with a maximum statutory sentence of life in prison and other penalties. Tyrik Upchurch and Reginald White each face a mandatory minimum of 20 years’ imprisonment, with a maximum statutory sentence of life in prison and other penalties. U.S. District Court Judge Gerald McHugh has not yet scheduled sentencing hearings for the four men.
Five other coconspirators of Bey, White, Upchurch, and Wadley have already pleaded guilty and await sentencing. Jerome Lyles, 33, of Philadelphia, was also indicted* as part of this narcotics distribution group, and a reward is being offered by the Federal Bureau of Investigation for information that leads to his arrest.
The case was investigated by the Federal Bureau of Investigation, the Drug Enforcement Administration, and the Philadelphia Police Department. The case is being prosecuted by Assistant United States Attorneys Jason Bologna and Kevin Jayne.
* An Indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Former Washington State Auditor Convicted of Nine Criminal Counts for Fraud Relating to Business He Operated Prior to Statewide Elective OfficeRead the Press Release
Former Washington State Auditor TROY X. KELLEY was convicted today in U.S. District Court in Tacoma of possession of stolen property, making false declarations in a court proceeding, and tax fraud announced U.S. Attorney Annette L. Hayes. The jury deliberated for two days following a five-week trial. The charges stem from a business KELLEY operated before being elected to statewide office. KELLEY is scheduled for sentencing on March 30, 2018.
“Troy Kelley stole money from thousands of homeowners, then tried to hide it by passing it through a variety of accounts – ultimately he committed tax fraud to try to hide the theft and keep as much of the ill-gotten gain as he could,” said U.S. Annette L. Hayes. “I commend the investigators and the trial team that worked diligently to present a complex case, and the jury who carefully reviewed all the evidence before returning this verdict.”
According to testimony at trial, between 2003 and 2008, KELLEY operated a business that was paid by real estate title companies to track documents related to real estate sales and refinancing. KELLEY had agreements with those companies that he would charge a flat $15 or $20 for each of the title documents his employees tracked on county websites. While the title companies withheld $100-$150 on each loan to pay the fee and any other potential costs, unneeded money was to be returned to the borrower. But beginning in 2005, in virtually every case, KELLEY kept the entire amount withheld on each loan resulting in nearly $3 million in stolen money. When the fees became the subject of class action litigation in 2008, KELLEY moved the stolen money through various bank accounts to hide it. One of the title companies sued KELLEY for the fees and he settled the case by paying more than $1 million. KELLEY was convicted of possession of stolen property, two counts of making false declarations, and six counts of tax fraud. The jury found him not guilty on five counts of money laundering.
In closing arguments, prosecutors said TROY KELLEY “had found the perfect crime,”… because no one was watching what was happening to the money that should have been refunded to homeowners. Prosecutors said, “Kelley engaged in ten years of lies to steal millions of dollars and to hide the money he had stolen.”
This is the second trial on these charges. The first trial in March 2016 ended with the jury able to reach a verdict on only one count, acquitting KELLEY on lying to the Internal Revenue Service agent who questioned him about his scheme in 2013.
Possession and concealment of stolen property is punishable by up to ten years in prison. False declarations and false statements are punishable by up to 5 years in prison. The remaining charges are punishable by up to three years in prison.
The case was investigated by the Internal Revenue Service Criminal Investigation (IRS-CI) and the FBI.
The case is being prosecuted by Assistant United States Attorneys Arlen Storm, Andrew Friedman, Seth Wilkinson and Katheryn Frierson. Appellate attorney Michael Morgan provided significant assistance.
Former SunTrust Bank Employee Sentenced to More Than Six Years in Federal Prison for Embezzling Almost $600,000Read the Press Release
Ocala, Florida – United States District Judge Roy B. Dalton, Jr. today sentenced Connie Moorman Willis (52, Morriston) to six years and three months in federal prison for mail fraud, aggravated identity theft, embezzlement by a bank employee, and access device (credit card) fraud. She pleaded guilty on July 14, 2017.
According to the plea agreement, Willis worked at SunTrust Bank as a business banker with wide-ranging authority over customer accounts. Beginning in February 2013, she stole the identities of two customers by using their personal information to create a fraudulent bank account. She had all written correspondence for this account mailed to her home address in order to keep the customers from learning of her activities. Willis subsequently transferred large amounts of money from other customers, without their permission, into this fraudulent account. She then used the stolen funds to pay for her personal expenses.
Willis’s victims included customers who were elderly or in poor health. In one instance, investigators learned that Willis had opened two fraudulent credit card accounts and had taken out a $140,000 mortgage in the name of an elderly relative. She then used stolen funds to pay off the mortgage and to make payments on the fraudulent credit cards.
Once Willis’s fraud was discovered, she texted one of her customers and admitted that she had “made a big mistake.” In total, Willis stole $591,545.33.
This case was investigated by the United States Postal Inspection Service and the City of Ocala Police Department. It was prosecuted by Assistant United States Attorney Robert E. Bodnar, Jr.
Former Rutland Man Sentenced to 21 Months in Prison for Conspiracy to Distribute Crack Cocaine and Ordered to Forfeit $8,000 in Drug ProceedsRead the Press Release
The Office of the United States Attorney for the District of Vermont stated today that Javon Wright (a.k.a. “Ace”), 32, previously of Rutland, Vermont, was sentenced by U.S. District Court Judge Geoffrey W. Crawford to 21 months imprisonment for the crime of conspiracy to distribute crack cocaine in the Rutland area. Wright had previously pled guilty to this offense. Judge Crawford also sentenced Wright to three years of supervised release by the United States Probation Office, which begins after Wright serves his term of imprisonment.
As part of the plea agreement, the parties agreed to the 21-month sentence and the forfeiture of the $8,294 in drug proceeds, which the Bennington Police Department seized from Wright after a traffic stop in Bennington on March 15, 2016. According to the Government’s allegations, in and around March 2016, Wright paid persons in the Rutland area crack cocaine to allow him to stay at their residence and also to help him transport and sell his drugs. Judge Crawford accepted the parties’ recommendation of a 21-month sentence, in part, because of Wright’s drug addiction issues.
This case was investigated by the Vermont State Police Drug Task Force, the Rutland City Police Department, and the Federal Bureau of Investigation. Assistant U.S. Attorney Joseph Perella prosecuted this case on behalf of the United States. Wright is represented by Robert Sussman, Esq., of Burlington, Vermont.
Former Marion County, Kentucky, Resident Guilty of Conspiracy to Manufacture and Possess Marijuana with the Intent to DistributeRead the Press Release
Johnny Boone pled guilty, with sentencing to follow on March 15, 2017
LOUISVILLE, Ky. – United States Attorney Russell M. Coleman today announced the guilty plea, by John Robert Boone, in United States District Court, before Senior Judge Charles R. Simpson III, to a single count of a Superseding Information on December 19, 2017.
John Robert Boone a/k/a Johnny Boone, formerly of Marion County, Kentucky, has remained in the custody of the United States Marshals Service after being deported from Montreal, Canada in April of 2017.
Yesterday afternoon, Boone pled guilty to a Superseding Information containing a single charge. Boone admitted yesterday that on May 27, 2008, in Washington County, Kentucky, he conspired with other persons to possess more than 1000 marijuana plants, intending to cultivate and grow the plants and distribute the marijuana when the plants were harvested. In furtherance of the conspiracy, Boone watered and fertilized the plants, and concealed them on a farm in Washington County on Walker Lane near his residence.
According to the plea agreement, Boone faces a maximum prison term of five years, a fine of $250,000, and a possible three-year term of supervised release. Sentencing is scheduled for March 15th at 2:30, in Louisville, before Senior Judge Simpson.
This case is being prosecuted by Assistant United States Attorney Larry Fentress.
boone_-_superseding_information_002.docx boone_-_plea_agreement_002.docxFormer Manhattan City Attorney Sentenced on Child Porn ChargesRead the Press Release
WICHITA, KAN. - A former city attorney of Manhattan, Kan., was sentenced Tuesday to 210 months in federal prison on child pornography charges, U.S. Attorney Tom Beall said.
Bill Raymond, 55, Andover, Kan., pleaded guilty to three counts of transporting child pornography and one count of possessing child pornography. Raymond admitted that he emailed child pornography to himself using a cellular telephone and a computer on Nov. 9, 2014, Feb. 28, 2015 and May 17, 2015. He also admitted that on July 30, 2015, he possessed child pornography.
The crimes occurred in Butler and Riley counties. Raymond became the city attorney in Manhattan after serving as an assistant county counselor in Sedgwick County.
Beall commended the FBI and Assistant U.S. Attorney Jason Hart for their work on the case.