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20 November 2017
Officials from the U.S., Canada and Mexico Participate in 2017 Trilateral Meeting in Washington D.C. to Discuss Antitrust EnforcementRead the Press Release
Antitrust agency heads from the United States, Canada and Mexico meet today at the Department of Justice in Washington, D.C., to discuss their ongoing work to ensure fair and effective antitrust enforcement and increased cooperation among the nations.
The meeting includes Assistant Attorney General Makan Delrahim of the U.S. Department of Justice’s Antitrust Division, Acting Chairman Maureen Ohlhausen of the U.S. Federal Trade Commission, Canadian Commissioner of Competition John Pecman, and President Alejandra Palacios of the Mexican Federal Economic Competition Commission.
The discussions will cover a wide range of topics including developments and priorities, antitrust and the digital economy, and future opportunities for cooperation and convergence on sound antitrust principles.
“Today we welcome our close partners in antitrust enforcement from Canada and Mexico. Close cooperation and convergence around sound economic principles with our international partners is a key priority for the Antitrust Division,” said Assistant Attorney General Makan Delrahim. “With increasingly interconnected markets, our working relationships with Mexico and Canada are strengthened through meetings like this, and further our efforts to effectively work together to block price fixing cartels that harm consumers, review cross-border transactions and prepare ourselves to tackle the policy challenges of tomorrow.”
“Maintaining and strengthening the already close bonds with our nearest partners is a key international priority,” said Federal Trade Commission Acting Chairman Maureen K. Ohlhausen. “We have much in common with Canada's Competition Bureau and Mexico's COFECE, including reviewing mergers with cross-border effects and sharing approaches to competition advocacy. By working together to promote good competition policy globally, we benefit consumers in all of our countries.”
The 1995 antitrust cooperation agreement between the United States and Canada, the 1999 agreement between the United States and Mexico and the 2001 agreement between Canada and Mexico laid the foundation for these meetings. The agreements commit the antirust agencies to coordinate and cooperate with each other in an effort to ensure the most consistent and effective antitrust enforcement.
Numerous Alleged Members of Narcotics Trafficking Organization Taken into CustodyRead the Press Release
BROWNSVILLE, Texas – A total of nine men have been arrested following multiple enforcement actions in Brownsville, Corpus Christi and Crowley, Louisiana, announced Acting U.S. Attorney Abe Martinez.
During enforcement actions on Thursday, law enforcement arrested Jesus Hector Garza Jr., 29, of Rancho Viejo; Gelacio Flores-Flores, 31, and Mayra Rodriguez, 39, both of Los Fresnos; and Silvia Sarai Cruz, 26, and Ramon Martin Arambula, 46, both of Brownsville. They made their initial appearances last week and will appear before U.S. Magistrate Judge Igancio Torteya on Nov. 22, 2017.
Ramon Montoya, 42, of Brownsville, was previously taken into custody in Memphis, Tennessee. Rubaldino Pecina, 36, of San Benito, was arrested in Corpus Christi, on Friday afternoon, while Juana Alcocer, 38, of Matamoros, Tamaulipas, Mexico, was taken into custody Saturday as she entered the United States at the Veterans Bridge Port of Entry from Mexico. Today, law enforcement arrested John Fontenot, 46, of Crawley, Louisiana. Those four defendants are expected to appear in Brownsville in the near future.
On Oct. 31, 2017, a federal grand jury in Brownsville returned a 14-count indictment against Montoya – allegedly the leader of the organization and the others, alleging drug trafficking crimes related to marijuana, crack cocaine and methamphetamine. They allegedly transported marijuana for resale and sold crack cocaine in Cameron County. The charges also include delivering cocaine to Houston and methamphetamine to Louisiana.
The charges carry varying terms of imprisonment up to life depending on the counts charged as well as possible fines up to $10 million.
This was an Organized Crime Drug Enforcement Task Force operation spanning two years. The FBI and the Drug Enforcement Administration led the investigation with assistance from Immigration and Customs Enforcement’s Homeland Security Investigations, U.S. Marshals Service, Border Patrol, Cameron County District Attorney’s Office, and police departments in Brownsville, Harlingen and Raymondville. Assistant U.S. Attorney Karen Betancourt is prosecuting the case.
An indictment is a formal accusation of criminal conduct, not evidence.
A defendant is presumed innocent unless convicted through due process of law.
North Country Couple Sentenced on Methamphetamine ChargesRead the Press Release
UTICA, NEW YORK – Ryan Granger, a/k/a Bubba Granger, age 38, formerly of Lewis County, New York, was sentenced to serve 108 months in prison for possessing pseudoephedrine knowing it would be used to manufacture methamphetamine, and for manufacturing and distributing methamphetamine, announced Acting United States Attorney Grant C. Jaquith, U.S. Drug Enforcement Administration (DEA) Special Agent in Charge James J. Hunt of the New York Division and New York State Police Superintendent George P. Beach II.
Between January 2015 and September 2016, Granger, together with co-defendant Megan Thomas, age 30, also of Lewis County, purchased pseudoephedrine pills with an aggregate weight of 96 grams from different drug stores in and around Lewis County. Granger and Thomas knew there were restrictions on the sale of pseudoephedrine, and to avoid scrutiny, often rotated the stores from which they bought the pills. Granger and Thomas purchased the pseudoephedrine knowing it would be used to illegally manufacture methamphetamine, distributing some of the pseudoephedrine to others for that purpose, while Granger and Thomas themselves “cooked” methamphetamine with some of the pills they had purchased. Granger and Thomas ingested the finished methamphetamine and Granger sold “user quantity” amounts of the finished methamphetamine to others.
Granger, who has been held in custody since his arrest on March 3, 2017, entered his guilty pleas on July 10, 2017, which is also the date on which Thomas pled guilty to the charges. On November 8, 2017, Thomas was sentenced to serve a term of 18 months in prison. After completing their respective terms of imprisonment, Granger and Thomas will each be placed on a term of supervised release; Granger for at least 6 years, Thomas for at least 3 years.
This case was investigated by the New York State Police (NYSP), including the NYSP Contaminated Crime Scene Emergency Response Team (CCERT), the New York State Intelligence Center (NYSIC), the Village of Lowville Police Department, the Lewis County Sheriff’s Office, the Lewis County District Attorney’s Office, and the U.S. Drug Enforcement Administration (DEA), and was prosecuted by Assistant U.S. Attorney Carl Eurenius.
Newark Non-Profit Director and Political Fundraiser Pleads Guilty to Wire Fraud and Tax EvasionRead the Press Release
NEWARK, N.J. – The former executive director of a Newark-based childcare and community program and a partner in a political fundraising and consulting company today admitted committing wire fraud and tax evasion, Acting U.S. Attorney William E. Fitzpatrick announced.
Kiburi D. Tucker, 42, of Newark, pleaded guilty before U.S. District Judge Jose L. Linares in Newark federal court to an information charging him with one count of wire fraud and four counts of tax evasion.
According to documents filed in this case and statements made in court:
As the executive director of The Centre Inc., Tucker embezzled Centre Inc. funds, through ATM, debit card and bank withdrawal transactions to fund his personal expenditures such as gambling, travel, and furnishing his home. Tucker defrauded The Centre Inc. of $332,116 from 2012 through 2015.
Tucker also intentionally under-reported the proceeds that he took from The Centre Inc. to the IRS. He intentionally under-reported the income that he received for tax year 2015 from his partnership in Elite Strategies, a political fundraising and consulting company, by filing false federal personal income tax returns. Tucker admitted that he was responsible for underreporting $177,040 in income from the above sources for the 2015 tax year, resulting in a tax loss of $56,509.
The count of wire fraud is punishable by a maximum penalty of 20 years in prison and a $250,000 fine. The count of tax evasion is punishable by a maximum penalty of five years in prison and a $250,000 fine. Sentencing is scheduled for Feb. 27, 2018.
Acting U.S. Attorney Fitzpatrick credited special agents of the FBI, under the direction of Special Agent in Charge Timothy Gallagher in Newark; IRS-Criminal Investigation, under the direction of Special Agent in Charge Jonathan D. Larsen; and the U.S. Department of Housing and Urban Development, Office of Inspector General, under the direction of Special Agent in Charge Christina Scaringi, with the investigation leading to today’s guilty plea.
The government is represented by Assistant U.S. Attorneys Jacques S. Pierre and Jihee G. Suh of the Special Prosecutions Division.
Defense counsel: Timothy M. Donohue Esq., West Orange, New Jersey
Nebraska Man Sentenced to Prison for Receipt and Possession of Child PornographyRead the Press Release
A Nebraska man was sentenced today to six years in prison for child pornography offenses, announced Acting Assistant Attorney General Kenneth A. Blanco of the Justice Department’s Criminal Division and Acting U.S. Attorney Robert C. Stuart of the District of Nebraska.
Robert Louis Bergstrom, 47, of Omaha, Nebraska, pleaded guilty on July 20, to receipt and distribution of child pornography. U.S. District Court Judge Robert F. Rossiter Jr. of the District of Nebraska sentenced Bergstrom and also ordered him to serve 10 years of supervised release.
In May 2016, law enforcement identified an IP address belonging to Bergstrom’s residence as sharing child pornography images on a peer-to-peer file sharing network. Devices seized from his home during a federal search warrant in August 2016 contained numerous videos and images constituting child pornography. When interviewed by law enforcement, Bergstrom admitted that he had specifically searched for and downloaded child pornography.
The charges are the result of an investigation by the FBI’s Internet Crimes Against Children Task Force. The matter is being prosecuted by Trial Attorney William M. Grady of the Criminal Division’s Child Exploitation and Obscenity Section (CEOS) and Assistant U.S. Attorney Michael P. Norris of the District of Nebraska. Trial Attorney Jessica L. Urban of CEOS also served as a member of the prosecution team at earlier stages of the litigation.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and CEOS, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Navajo Woman Pleads Guilty to Federal Involuntary Manslaughter ChargeRead the Press Release
ALBUQUERQUE – Bryana Agnes Henio, 30, an enrolled member of the Navajo Nation who resides in Little Water, N.M., pled guilty today in federal court in Albuquerque, N.M., to an involuntary manslaughter charge under a plea agreement with the U.S. Attorney’s Office
Henio was arrested in Oct. 2017, on a criminal complaint charging her with involuntary manslaughter. According to the complaint, Henio killed a man by hitting him with a vehicle on Sept. 8, 2017, on the Navajo Indian Reservation in McKinley County, N.M. At the time Henio ran over the victim, Henio was driving under the influence of alcohol.
During today’s proceedings, Henio pled guilty to a felony information charging her with involuntary manslaughter and admitted killing the victim by driving recklessly while under the influence of alcohol. Henio acknowledged that the alcohol rendered her incapable of exercising clear judgment and a steady hand in operating the vehicle.
At sentencing, Henio faces a maximum statutory penalty of eight years in federal prison. She remains in custody pending a sentencing hearing which has yet to be scheduled.
This case was investigated by the Navajo Nation Department of Public Safety. Assistant U.S. Attorney Joseph M. Spindle is prosecuting the case.
Mexican National Charged with Illegal Use of a Social Security NumberRead the Press Release
Acting U.S. Attorney Duane A. Evans announced that EFRAIN VARELA-TOLENTINO, age 31, a citizen of Mexico, was charged in a one-count Bill of Information for illegal use of a Social Security Number in violation of Title 42, United States Code, Section 408(a)(7)(B).
VARELA-TOLENTINO faces a maximum term of imprisonment of not more than five years, a fine of $250,000, and a mandatory special assessment of $100. Additionally, VARELA-TOLENTINO is subject to a period of supervised release after imprisonment of up to three years.
Acting U.S. Attorney Evans stated that a Bill of Information is only an allegation and that the guilt of the defendant must be proven beyond a reasonable doubt.
Acting U.S. Attorney Evans praised the work of the United States Department of Homeland Security in investigating this matter. Assistant U.S. Attorney Spiro G. Latsis is in charge of the prosecution.
Members of Coney Island Street Gang Indicted for Murder, Racketeering Conspiracy and Unlawful Use of FirearmsRead the Press Release
Four members and one associate of the West End Enterprise, a street gang based in three apartment complexes in Coney Island, New York, will be arraigned this afternoon in federal court in Brooklyn on an indictment charging them with crimes including murder in aid of racketeering, racketeering conspiracy, unlawful use of firearms, witness tampering and robbery. The 12-count superseding indictment relates to the defendants’ alleged criminal activities between 2011 and 2017. The defendants, Tysheen Cooper, also known as “Billz,” Maurice Washington, also known as “Moe” and “Flaco,” Sharod Liburd, also known as “Pop,” and Gabriale Herbert are scheduled to be arraigned this afternoon before United States Magistrate Judge Lois Bloom. The defendant Michael Liburd, also known as “Mike Mike” and “Mitty,” is scheduled to be arraigned Tuesday, November 21, 2017, before Magistrate Judge Bloom.
Bridget M. Rohde, Acting United States Attorney for the Eastern District of New York, William F. Sweeney, Jr., Assistant Director-in-Charge, Federal Bureau of Investigation, New York Field Office (FBI), Mark G. Peters, Commissioner, New York City Department of Investigation (DOI), and James P. O’Neill, Commissioner, New York City Police Department (NYPD), announced the charges.
As detailed in the superseding indictment and other filings, Cooper, Michael Liburd, Sharod Liburd and Washington were members of the West End Enterprise, a street gang composed of individuals residing in and around the Sea Rise Apartments, the Gravesend Houses and Surfside Gardens, also known as the “Mermaid Houses,” located in the western end of Coney Island. During that time, Cooper, Michael Liburd, Washington and other coconspirators allegedly engaged in narcotics distribution, witness intimidation and acts of violence, including retaliatory shootings against members of a rival gang, known as “Sex Money Murder,” and the January 17, 2016 murder of Antwon Flowers. Flowers was shot to death as he left an apartment building in the Mermaid Houses development in retaliation for the murder of a West End Enterprise leader, who had been killed in the East New York section of Brooklyn less than a day earlier. Herbert, Cooper and Sharod Liburd are also charged with a gun-point Hobbs Act robbery.
“As alleged, the defendants and other members of their street gang have subjected the residents of Coney Island to violent conduct, including murder, over a period of years,” stated Acting United States Attorney Rohde. “The indictment sends a clear message that this Office, together with our federal and local law enforcement partners, will use every available resource to rid our communities of gangs, and the crimes they commit, by prosecuting gang members to the fullest extent of the law.” Ms. Rohde extended her thanks to the Drug Enforcement Administration for its assistance in the investigation.
“People usually think of Coney Island as a fun place to ride the rides, and have a hot dog on the beach. The men charged in this case created a dirty underbelly in a family oriented place, accused of murder, violence and criminal behavior,” stated FBI Assistant Director-in-Charge Sweeney. “Not only did they allegedly commit these crimes, they did their best to make sure no one would testify against them. These dangerous gangs don’t have a place on Coney Island, or in any community, and the FBI won’t relent in pursuing cases targeting their leadership.”
“Ridding drugs, gangs and violence from New York City public housing is essential and this joint investigation resulted in just that,” stated DOI Commissioner Peters. “Public housing tenants deserve what all New Yorkers want: a safe home for themselves and their children. DOI is proud to work with our federal and city law enforcement partners to expose and stop these crimes.”
The charges in the superseding indictment are merely allegations, and the defendants are presumed innocent unless and until proven guilty. If convicted, the defendants each face a sentence of life imprisonment.
The superseding indictment is the fifth indictment in the government’s ongoing investigation into gang violence in Brooklyn’s Coney Island neighborhood. The government’s case is being handled by the Office’s Organized Crime and Gangs Section. Assistant United States Attorneys Rena Paul and Mathew S. Miller are in charge of the prosecution.
The Defendants:
TYSHEEN COOPER (“Billz”)
Age: 26
Residence: Brooklyn, New YorkGABRIALE HERBERT
Age: 20
Residence: Brooklyn, New YorkMICHAEL LIBURD (“Mike Mike” and “Mitty”)
Age: 27
Residence: Brooklyn, New YorkSHAROD LIBURD (“Pop”)
Age: 20
Residence: Brooklyn, New YorkMAURICE WASHINGTON (“Moe” and “Flaco”)
Age: 28
Residence: Brooklyn, New YorkEDNY Docket No. 17-CR-296 (PKC)
Members of Sonoma Motorcycle Gang Charged with Murder, Racketeering Conspiracy, and Related CrimesRead the Press Release
SAN FRANCISCO- A federal grand jury indicted eleven people including eight alleged associates of the Hells Angels Sonoma County chapter (HASC), one alleged associate of the Fresno Hells Angels chapter, and one alleged associate of the Salem/Boston Hells Angels chapter for their respective roles in a Racketeer Influenced and Corrupt Organizations (RICO) conspiracy and for committing numerous related crimes including murder, assault, maiming, and witness intimidation, announced United States Attorney Brian J. Stretch and Federal Bureau of Investigation (FBI) Special Agent in Charge John F. Bennett. The eleventh defendant is an alleged HASC associate who was charged with witness intimidation. The indictment, filed October 10, 2017, was unsealed today following the arrest of nine of the defendants.
The indictment describes the Hells Angels as a transnational violent outlaw motorcycle gang and the HASC as a subset of the gang whose members primarily operate in Sonoma County, Calif. According to the indictment, HASC works cooperatively with other Hells Angels chapters to engage in criminal activity including murder, narcotics distribution, assault, robbery, extortion, illegal firearms possession, and obstruction of justice.
“This week we have taken a significant step toward bringing to justice an alleged conspiracy whose aim has been to commit violent crimes,” said U.S. Attorney Stretch. “The indictment unsealed this morning describes an array of serious offenses allegedly committed by the defendants including conspiracy to commit murder, assault, maiming, home invasion robbery, extortion, and witness intimidation. This operation proves once again the value of pooling the resources of the federal government with those of our state and local law enforcement partners—it is only through this coordination that we are able to stamp out violence in our communities. I commend and thank all of our law enforcement partners for their extraordinary work in bringing this phase of the operation to a successful conclusion.”
The indictment alleges that HASC members and associates commit acts of violence to maintain and enhance membership and discipline within the gang, including violence against rival gang members, those perceived to be rival gang members, rivals in general, those who disrespect or commit violence against HASC members or other Hells Angels, friends or family, as well as HASC members and associates who violate the gang’s rules. In this case, the indictment alleges, Brian Wendt committed the murder of an unnamed victim on July 15, 2014, at the Fresno Hells Angels clubhouse. According to the indictment, co-conspirator Jonathan Nelson directed the victim to meet with Wendt and co-conspirator Russell Ott accompanied the victim from the Northern District of California to the Fresno clubhouse where Wendt committed the murder.
According to the indictment, some of the defendants were involved in the RICO conspiracy as early as July and August of 2007 when Raymond Foakes allegedly committed bank fraud and money laundering to obtain a residence in which to establish an indoor marijuana cultivation operation. Additional crimes that are alleged to have been committed as part of the conspiracy include a home invasion robbery, extortion, assault, maiming, and the illegal possession of weapons and drugs.
HASC members also are alleged to have obstructed justice by threatening, intimidating, and retaliating against witnesses whom they believed to be cooperating with law enforcement and by destroying evidence and providing false information to law enforcement. In this case, Brian Allen Burke is accused of attempting to intimidate and threaten and corruptly persuade a victim by threatening to shoot the victim with a firearm. Burke is alleged to have attempted to persuade the victim not to provide evidence in the adjudication of Foakes’ violation of the conditions of his supervised release in a federal case.
The precise charges against each defendant, as well as their ages and places of residence where known, are set out in the chart below.
Defendant
Age/Residence
Charges
Statute
JONATHAN JOSEPH NELSON a/k/a Jon Jon
41/Santa Rosa
RICO Conspiracy
18 U.S.C. § 1962(d)
Conspiracy to Commit Murder in Aid of Racketeering
18 U.S.C. § 1959(a)(5)
Maiming in Aid of Racketeering
18 U.S.C. § 1959(a)(2)
Assault With a Dangerous Weapon in Aid of Racketeering
18 U.S.C. § 1959(a)(3)
Use/Possession of a Firearm During a Crime of Violence
18 U.S.C. § 924(c)(1)(A)
RAYMOND MICHAEL FOAKES
a/k/a Ray Ray
54/ Rohnert Park
RICO Conspiracy
18 U.S.C. § 1962(d)
Maiming in Aid of Racketeering
18 U.S.C. § 1959(a)(2)
Assault With a Dangerous Weapon in Aid of Racketeering
18 U.S.C. § 1959(a)(3)
Witness Intimidation
18 U.S.C. § 1512(b)
RUSSELL ALLEN LYLES, JR.
a/k/a J.R.
36/Windsor, CA
RICO Conspiracy
18 U.S.C. § 1962(d)
Maiming in Aid of Racketeering
18 U.S.C. § 1959(a)(2)
Assault With a Dangerous Weapon in aid of Racketeering
18 U.S.C. § 1959(a)(3)
JEREMY DANIEL GREER
37/Santa Rosa
RICO Conspiracy
18 U.S.C. § 1962(d)
Hobbs Act Robbery
(3 counts)
18 U.S.C. § 1951(a)(1)
Maiming in Aid of Racketeering
18 U.S.C. § 1959(a)(2)
Assault With a Dangerous Weapon in Aid of Racketeering
18 U.S.C. § 1959(a)(3)
Use/Possession of a Firearm During a Crime of Violence
18 U.S.C. § 924(c)(1)(A)
BRIAN WAYNE WENDT
40/Tulare
RICO Conspiracy
18 U.S.C. § 1962(d)
Conspiracy to Commit Murder in Aid of Racketeering
18 U.S.C. § 1959(a)(5)
RUSSELL TAYLOR OTT, a/k/a Rusty
64/Santa Rosa
RICO Conspiracy
18 U.S.C. § 1962(d)
Conspiracy to Commit Murder in Aid of Racketeering
18 U.S.C. § 1959(a)(5)
CHRISTOPHER RANIERI
a/k/a Rain Man
49/Lynn, MA
RICO Conspiracy
18 U.S.C. § 1962(d)
Conspiracy to Commit Murder in Aid of Racketeering
18 U.S.C. § 1959(a)(5)
DAMIEN DAVID CESENA
36/Santa Rosa
RICO Conspiracy
18 U.S.C. § 1962(d)
Hobbs Act Robbery
18 U.S.C. § 1951(a)(1)
BRIAN ALLEN BURKE
a/k/a Bucky
37/ Windsor, CA
Witness Intimidation
18 U.S.C. § 1512(b)
JASON RANDALL CLIFF
a/k/a Agro
50
Maiming in Aid of Racketeering
18 U.S.C. § 1959(a)(2)
Assault With a Dangerous Weapon in Aid of Racketeering
18 U.S.C. § 1959(a)(3)
DAVID SALVATORE DIAZ, III
45
RICO Conspiracy
18 U.S.C. § 1962(d)
An indictment merely alleges that crimes have been committed, and the defendants are presumed innocent until proven guilty beyond a reasonable doubt. The maximum statutory penalties for the crimes of which the defendants have been accused are as follows:
Charge
Statute
Maximum Statutory Penalty
RICO Conspiracy
18 U.S.C. § 1962(d)
Life imprisonment, $250,000 fine, five years’ supervised release, $100 special assessment
Conspiracy to Commit Murder in Aid of Racketeering
18 U.S.C. § 1959(a)(5)
10 years’ imprisonment, $250,000 fine, three years’ supervised release, $100 special assessment
Maiming in Aid of Racketeering
18 U.S.C. § 1959(a)(2)
30 years’ imprisonment, $250,000 fine, five years’ supervised release, $100 special assessment
Assault With a Dangerous Weapon in Aid of Racketeering
18 U.S.C. § 1959(a)(3)
20 years’ imprisonment, $250,000 fine, three years’ supervised release, $100 special assessment
Use/Possession of a Firearm During a Crime of Violence
18 U.S.C. § 924(c)(1)(A)
A consecutive sentence of not less than seven years and not more than life, $250,000 fine, five years’ supervised release, $100 special assessment
Witness Intimidation
18 U.S.C. § 1512(b)
20 years’ imprisonment, $250,000 fine, three years’ supervised release, $100 special assessment
Hobbs Act Robbery
(each count)
18 U.S.C. § 1951(a)(1)
20 years’ imprisonment, $250,000 fine, three years’ supervised release, $100 special assessment
Further, additional fines, forfeitures, and restitution may be ordered; however, any sentence following conviction would 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.
Several of the defendants were arrested in Santa Rosa on Saturday, November 18, 2017, as part of a criminal enforcement operation. All the defendants except Lyles, Wendt, Foakes, and Ranieri appeared before the Honorable Maria Elena James, U.S. Magistrate Judge, on November 20, 2017. The following appearances are scheduled for the defendants before the Honorable Sallie Kim, U.S. Magistrate Judge: Russell Ott, November 21, 2017 at 9:30 a.m. for identification of counsel; Brian Burke, November 21, 2017 at 9:30 a.m. for bond hearing; Jason Cliff, November 21, 2017 for identification of counsel; Jonathan Nelson, November 21, 2017 at 9:30 a.m. for identification of counsel; Jeremy Greer, November 21, 2017 at 9:30 a.m. for identification of counsel; David Diaz, November 27, 2017 at 9:30 a.m. for detention hearing; Damien Cesena, November 29, 2017 at 9:30 a.m. for detention hearing.
Assistant U.S. Attorneys Kevin Barry and Erin Cornell are prosecuting the case. The prosecution is the result of an investigation by the FBI, the Santa Rosa Police Department, the Sonoma county Sheriff’s Department, and the California Highway Patrol.
Massachusetts Man Sentenced to Probation for Failing to Pay Child SupportRead the Press Release
Portland, Maine: United States Attorney Halsey B. Frank announced that Daniel Shertzer, 30, of Fitchburg, Massachusetts, was sentenced today in U.S. District Court by Judge George Z. Singal to five years of probation for failure to pay child support. He was also ordered to pay $57,533.75 in restitution. Shertzer pleaded guilty on July 17, 2017.
According to court documents, Shertzer is the father of three minor children, as to whom he was ordered to pay child support in 2010, 2012 and 2013, respectively. Between March 2010 and January 2017 -- except for the period between May and June 2011 when he worked in Maine -- Shertzer has lived and worked in California, Massachusetts, and New Hampshire, but rarely made any voluntary payments toward his support obligations.
In pronouncing sentence, Judge Singal admonished Shertzer that he was totally irresponsible, that his victims were innocent and vulnerable children, and that the court would supervise him closely and send him to jail if he did not fulfill those support obligations. Judge Singal scheduled the matter for a status conference in six months to ensure that Shertzer did so.
The case was investigated by the Office of Inspector General for the U.S. Department of Health and Human Services
Man Sentenced to 12 Years for Drug Trafficking and Firearms CrimesRead the Press Release
RICHMOND, Va. – A Westmoreland man was sentenced today to 12 years in prison for his participation in a drug trafficking conspiracy, including conspiracy to distribute heroin and possession of a firearm by a convicted felon.
According to court documents, Terrell Sylvester Johnson, 28, conspired with others to traffic over 1000 grams of heroin and over 400 grams of fentanyl over the last two years. During the course of the conspiracy, Johnson sold quantities of heroin ranging from gram to ounce quantities and allowed his residence in Colonial Beach to be used to distribute, use and store heroin and fentanyl. Also during the course of the conspiracy, Johnson possessed a number of firearms, which he was prohibited from doing because he had previously been convicted of a felony crime.
Johnson is the last in a line of others involved in this conspiracy to be sentenced. The others include: Lawrence Buckner, 37, of King George, sentenced to eight years on October 27; Jeffrey Dudley, 26, of Colonial Beach, sentenced to seven years on October 27; Clifton Howdershelt, 54, of King George, sentenced to 11 years on November 13; and Edward Shupe, 47, of King George, sentenced to 11 years on October 20.
Dana J. Boente, U.S. Attorney for the Eastern District of Virginia, Karl C. Colder, Special Agent in Charge for the Drug Enforcement Administration’s (DEA) Washington Field Division, and Colonel W. Steven Flaherty, Virginia State Police Superintendent, made the announcement after the sentencings by U.S. District Judge Henry E. Hudson. Assistant U.S. Attorney Olivia L. Norman 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 Nos. 3:17-cr-54, 55, and 57.
Local Man Convicted of Bank RobberyRead the Press Release
CORPUS CHRISTI, Texas - A Corpus Christi resident has entered a guilty plea to bank robbery, announced Acting U.S. Attorney Abe Martinez.
On Dec. 20, 2016, law enforcement officers responded to a bank robbery at the navy Army Community Credit Union in the 9500 block of South Padre Island Drive in Corpus Christi. After entering the bank, a male - later identified as Johnathan Samuel Borden, 32 - handed the teller a black bag and demanded money.
During the investigation, agents were able to link Borden to an additional robbery that occurred on Jan. 6, 2017, at the Texas Bridge Credit Union in the 3100 block of Holly in Corpus Christi.
Senior U.S. District Judge John Rainey accepted the plea today and has set sentencing for Feb. 20, 2018. At that time, Borden faces up to 20 years imprisonment and a possible $250,000 maximum fine.
In federal custody since his arrest, Borden will remain in custody pending that hearing.
The FBI and the Corpus Christi Police Department conducted the investigation.
Assistant U.S. Attorney Lance Watt is prosecuting the case.
Lewiston Man Pleads Guilty to Receiving Child PornographyRead the Press Release
Portland, Maine: United States Attorney Halsey B. Frank announced that Nicholas T. Richard, 39, of Lewiston, Maine, pled guilty today in U.S. District Court to receiving child pornography.
According to court records, in February of this year, Richard used the internet and peer-to-peer file-sharing software to download child pornography images. Richard was at the Auburn Public Library when he downloaded the images using the library’s wireless internet connection. Investigators seized Richard’s laptop computer and other electronic devices from him at the library and obtained a search warrant for them. The laptop contained thousands of images and videos depicting child pornography and child erotica.
Richard faces an enhanced sentence of between 15 and 40 years in prison based on a prior federal child pornography conviction. He also faces a fine of up to $250,000, and supervised release of between five years and life. He will be sentenced after the completion of a presentence investigation report by the U.S. Probation Office.
The investigation was conducted by U.S. Immigration and Customs Enforcement’s Homeland Security Investigations, the Maine State Police Computer Crimes Unit and the Auburn Police Department.
Kenyan Man Convicted of Illegally Possessing a FirearmRead the Press Release
Kevin Oscar Naholi, age 40, a Kenyan citizen previously residing in southwest Cedar Rapids, Iowa, was convicted by a federal jury today, following a one day trial, on one count of possessing a firearm as an alien unlawfully in the United States and after having been previously convicted of a misdemeanor crime of domestic violence.
Evidence presented at trial showed that at about 6:00 pm on Saturday evening, August 26, 2017, Naholi was outside his residence and pointed a .22 caliber Winchester rifle at a neighbor and her two small children who were returning home from dinner at a nearby restaurant. The neighbor and her children ran to a nearby house where she called 9-1-1. By the time police responded, Naholi had retreated into his residence and an eleven-hour standoff ensued. Cedar Rapids Police attempted to negotiate with Napoli during that time but he refused to come out of the residence. At about 4:30 a.m. on August 27, 2017, a special response unit of the Cedar Rapids Police Department safely entered the residence and took Naholi into custody. Police seized the .22 caliber rifle from a bedroom in the residence
The complaint originally filed in the case alleged that Naholi entered the United States from Kenya in 2003 on a student visa. However, when Naholi failed to register for classes as required by the visa, the visa was revoked in 2004. Naholi subsequently sought unsuccessfully to gain lawful status in the United States.
Naholi faces a possible maximum sentence of 10 years’ imprisonment, a $250,000 fine, $100 in special assessments, and 3 years of supervised release following any imprisonment. Naholi will also likely be deported from the United States.
The case was prosecuted by Assistant United States Attorney Richard L. Murphy and was investigated by Homeland Security Investigations and the Cedar Rapids Police Department.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 17-CR-00070- LRR.
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Justice Department awards nearly $2 million to hire police officers in Canton, Lima, East Cleveland and DennisonRead the Press Release
Attorney General Jeff Sessions today announced $98,495,397 in grant funding through the Department of Justice’s Office of Community Oriented Policing Services (COPS Office) COPS Hiring Program (CHP). The Attorney General announced funding awards to 179 law enforcement agencies across the nation, which allows those agencies to hire 802 additional full-time law enforcement officers.
The Justice Department has awarded nearly $2 million over three years to hire 14 officers in the Northern District of Ohio. Municipalities receiving funding are: Canton (eight officers), Lima (three officers), East Cleveland (two officers) and Dennison Village (one officer).
“Cities and states that cooperate with federal law enforcement make all of us safer by helping remove dangerous criminals from our communities,” said Attorney General Jeff Sessions. “Today, the Justice Department announced that 80 percent of this year’s COPS Hiring Program grantees have agreed to cooperate with federal immigration authorities in their detention facilities. I applaud their commitment to the rule of law and to ending violent crime, including violent crime stemming from illegal immigration. I continue to encourage every jurisdiction in America to collaborate with federal law enforcement and help us make this country safer.”
“I’m gratified we are able to continue to support the good police work taking place all across the District,” U.S. Attorney Justin Herdman said. “This money will help reduce violent crime, enhance data-driven policing and support law enforcement on the front lines of the opioid crisis.”
CHP provides grant funding directly to state, local, and tribal law enforcement agencies to support hiring additional law enforcement officers for three years to address specific crime problems through community policing strategies.
In September, the Justice Department announced additional priority consideration criteria for FY2017 COPS Office grants. Applicants were notified that their application would receive additional points in the application scoring process by certifying their willingness to cooperate with federal immigration authorities within their detention facilities. Cooperation may include providing access to detention facilities for an interview of aliens in the jurisdiction’s custody and providing advance notice of an alien’s release from custody upon request. 143 of the 179 (80 percent) awarded agencies received additional points based on their certifications of willingness to cooperate with federal immigration authorities.
The complete list of award recipients can be found here.
The COPS Office awards grants to hire community policing officers, develop and test innovative policing strategies, and provide training and technical assistance to community members, local government leaders, and all levels of law enforcement. Since 1994, the COPS Office has invested more than $14 billion to help advance community policing.
Justice Department Grant Will Help Olathe Hire PoliceRead the Press Release
KANSAS CITY, KAN. – A $500,000 grant from the justice Department will pay for four police officer positions in Olathe, U.S. Attorney Tom Beall said today.
The money comes from the COPS Hiring Program Awards announced Monday by the Justice Department’s Office of Community Oriented Policing Services. The propose of the program is provide funds to state, local and tribal law enforcement agencies to support hiring additional career law enforcement officers to address specific crime problems through community policing strategies.
Attorney General Jeff Sessions Monday announced a total of $98.4 million in COPS grants nationwide.
“Cities and states that cooperate with federal law enforcement make all of us safer by helping remove dangerous criminals from our communities,” Sessions said.
The complete list of award recipients can be found at https://www.cops.usdoj.gov/pdf/2017AwardDocs/chp/Award_List.pdf
The COPS Office awards grants to hire community policing officers, develop and test innovative policing strategies, and provide training and technical assistance to community members, local government leaders, and all levels of law enforcement. Since 1994, the COPS Office has invested more than $14 billion to help advance community policing.
Justice Department Challenges AT&T/DirecTV’s Acquisition of Time WarnerRead the Press Release
The United States Department of Justice today filed a civil antitrust lawsuit to block AT&T/DirecTV’s proposed acquisition of Time Warner Inc. The $108 billion acquisition would substantially lessen competition, resulting in higher prices and less innovation for millions of Americans.
The combination of AT&T/DirecTV’s vast video distribution infrastructure and Time Warner’s popular television programming would be one of the largest mergers in American history. Time Warner’s network offerings include TBS, TNT, CNN, Cartoon Network, HBO and Cinemax, and its programming includes Game of Thrones, NCAA’s March Madness, and substantial numbers of MLB and NBA regular season and playoff games.
According to the complaint, which was filed in the United States District Court for the District of Columbia, the combined company would use its control over Time Warner’s valuable and highly popular networks to hinder its rivals by forcing them to pay hundreds of millions of dollars more per year for the right to distribute those networks. The combined company would also use its increased power to slow the industry’s transition to new and exciting video distribution models that provide greater choice for consumers, resulting in fewer innovative offerings and higher bills for American families.
As AT&T itself has expressly acknowledged, distributors with control over popular programming “have the incentive and ability to use . . . that control as a weapon to hinder competition.” And, as DirecTV itself has explained, such vertically integrated programmers “can much more credibly threaten to withhold programming from rival [distributors]” and can “use such threats to demand higher prices and more favorable terms.” This merger would create just such a vertically integrated programmer and cause precisely such harms to competition.
“This merger would greatly harm American consumers. It would mean higher monthly television bills and fewer of the new, emerging innovative options that consumers are beginning to enjoy,” said Assistant Attorney General Makan Delrahim of the Department’s Antitrust Division. “AT&T/DirecTV’s combination with Time Warner is unlawful, and absent an adequate remedy that would fully prevent the harms this merger would cause, the only appropriate action for the Department of Justice is to seek an injunction from a federal judge blocking the entire transaction.”
“The merger would also enable the merged company to impede disruptive competition from online video distributors, competition that has allowed consumers greater choices at cheaper prices,” Delrahim further explained. As noted in the complaint, AT&T/DirecTV describes the traditional, big bundle pay-TV model as a “cash cow” and “the golden goose.” If permitted to merge, AT&T/DirecTV/Time Warner would have the incentive and ability to charge more for Time Warner’s popular networks and take other actions to discourage future competitors from entering the marketplace altogether. For example, the merged firm would likely use its control of Time Warner’s programming, which is important for emerging online video distributors, to hinder those innovative distributors. Indeed, a senior Time Warner executive has stated that they have leverage over an online video distributor, whose offering would be “[expletive] without Turner.” That leverage would only increase if the merger were allowed to proceed.
AT&T Inc. is a Delaware corporation headquartered in Dallas, Texas. In 2016, the company posted revenues of more than $163 billion dollars, making it the largest telecommunications company in the world. AT&T is also the country’s largest Multichannel Video Programming Distributor (MVPD), with more than 25 million subscribers. It has three pay-TV offerings: (1) DirecTV, a satellite-based product with almost 21 million subscribers that it acquired through a merger in 2015; (2) U-Verse, a product which uses the local AT&T fiber optic and copper network and has almost 4 million subscribers; and (3) DirecTV Now, its new online video product with almost 800,000 subscribers. It descends from the AT&T that was established in the nineteenth century and which maintained a monopoly in the provision of local telephone services until 1982, when it agreed to divest the portions of its business relating to local telephone services to settle an antitrust lawsuit filed by the Department of Justice. In 2011, AT&T attempted to purchase T-Mobile, but abandoned the transaction after the Department of Justice filed suit alleging that the merger violated the antitrust laws.
Time Warner, Inc. is a Delaware corporation headquartered in New York, New York. In 2016, its posted revenue was $29.3 billion. As of 2016, according to Time Warner, its most popular networks reach over 90 million households—of the nearly 100 million households that subscribe to traditional subscription television.
Justice Department Awards More than $3 Million to Hire Community Policing Officers in the Western District of TexasRead the Press Release
United States Attorney Richard L. Durbin, Jr., today announced $3,125,000 in grant funding through the Department of Justice’s Office of Community Oriented Policing Services (COPS Office) COPS Hiring Program (CHP). These funds have been awarded to the San Antonio Police Department and will allow for the hiring of 25 additional full-time law enforcement officers. CHP provides grant funding directly to state, local, and tribal law enforcement agencies to support the hiring of additional law enforcement officers, for three years, to address specific crime problems utilizing community policing strategies.
“Community policing is an effective tool for reducing violent crime in our neighborhoods,” said U.S. Attorney Richard L. Durbin, Jr. “With this grant, an important partner agency of ours will be able to hire and train additional officers to enhance public safety in our community.”
Earlier today, Attorney General Jeff Sessions announced that 179 law enforcement agencies across the nation were awarded $98,495,397 through the COPS Office’s CHP funding program. These awards will allow for the hiring of 802 additional full-time law enforcement officers.
The COPS Office awards grants to hire community policing officers, develop and test innovative policing strategies, and provide training and technical assistance to community members, local government leaders, and all levels of law enforcement. Since 1994, the COPS Office has invested more than $14 billion to help advance community policing.
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Justice Department Awards More Than $9 Million to Hire Community Policing Officers in the Middle District of FloridaRead the Press Release
Tampa, FL – Acting U.S. Attorney W. Stephen Muldrow today announced $9,515,210 in grant funding through the Department of Justice’s Office of Community Oriented Policing Services (COPS Office) COPS Hiring Program (CHP). These funds have been awarded to 10 law enforcement agencies throughout the Middle District of Florida and will allow for the hiring of 75 additional full-time law enforcement officers. CHP provides grant funding directly to state, local, and tribal law enforcement agencies to support the hiring of additional law enforcement officers, for three years, to address specific crime problems utilizing community policing strategies.
“Community policing is an effective tool in reducing violent crime in our neighborhoods,” said Acting U.S. Attorney Stephen Muldrow. “We are very glad that our partner agencies will be able to hire and train additional officers to engage citizens in this collective problem solving strategy to improve public safety.”
Earlier today, Attorney General Jeff Sessions announced that 179 law enforcement agencies across the nation were awarded $98,495,397 through the COPS Office’s CHP funding program. These awards will allow for the hiring of 802 additional full-time law enforcement officers.
The complete list of award recipients can be found here.
The COPS Office awards grants to hire community policing officers, develop and test innovative policing strategies, and provide training and technical assistance to community members, local government leaders, and all levels of law enforcement. Since 1994, the COPS Office has invested more than $14 billion to help advance community policing.
Middle District of Florida 2017 COPS Hiring Program Awards
Agency
Number of Officers Awarded
Award Amount
City of Casselberry
3
$325,967
City of Fort Myers
9
$1,125,000
Hendry County Sheriff’s Office
4
$771,724
Leesburg Police Department
3
$375,000
Nassau County Board of County Commissioners
4
$462,239
Ocoee Police Department
3
$375,000
Orange County Sheriff’s Office
25
$1,875,000
City of Orlando
15
$1,875,000
Sanford Police Department
7
$875,000
City of Starke
2
$205,280
Total
75
$9,515,210
Justice Department Awards $500,000 to Three Maine Law Enforcement Agencies to Hire Community Policing OfficersRead the Press Release
Portland, Maine: United States Attorney Halsey B. Frank announced that $500,000 in grant funding through the Department of Justice’s Office of Community Oriented Policing Services (COPS Office) COPS Hiring Program (CHP) was made to the Somerset County Sheriff’s Department ($250,000 for two officers), the Madawaska Police Department ($125,000 for one officer) and the Jay Police Department ($125,000 for one officer). These grants were part of $98,495,397 in grants announced today by Attorney General Jeff Sessions that were awarded to 179 law enforcement agencies across the nation, which allows those agencies to hire 802 additional full-time law enforcement officers.
“Cities and states that cooperate with federal law enforcement make all of us safer by helping remove dangerous criminals from our communities,” said Attorney General Jeff Sessions. “Today, the Justice Department announced that 80 percent of this year’s COPS Hiring Program grantees have agreed to cooperate with federal immigration authorities in their detention facilities. I applaud their commitment to the rule of law and to ending violent crime, including violent crime stemming from illegal immigration. I continue to encourage every jurisdiction in America to collaborate with federal law enforcement and help us make this country safer.”
CHP provides grant funding directly to state, local, and tribal law enforcement agencies to support hiring additional law enforcement officers for three years to address specific crime problems through community policing strategies.
In September, the Justice Department announced additional priority consideration criteria for FY2017 COPS Office grants. Applicants were notified that their application would receive additional points in the application scoring process by certifying their willingness to cooperate with federal immigration authorities within their detention facilities. Cooperation may include providing access to detention facilities for an interview of aliens in the jurisdiction’s custody and providing advance notice of an alien’s release from custody upon request. 143 of the 179 (80%) awarded agencies received additional points based on their certifications of willingness to cooperate with federal immigration authorities.
The COPS Office awards grants to hire community policing officers, develop and test innovative policing strategies, and provide training and technical assistance to community members, local government leaders, and all levels of law enforcement. Since 1994, the COPS Office has invested more than $14 billion to help advance community policing.
Johnsonville Man Pleads Guilty to Receiving and Possessing Child PornographyRead the Press Release
ALBANY, NEW YORK – Keith Bleau, age 51, of Johnsonville, New York, pled guilty today to receiving and possessing child pornography.
The announcement was made by Acting United States Attorney Grant C. Jaquith and Vadim D. Thomas, Special Agent in Charge of the Albany Field Office of the Federal Bureau of Investigation.
As part of his guilty plea, Bleau admitted that between November 1, 2016 and May 15, 2017, he used the Internet and file-sharing software to download child pornography videos. Bleau possessed about 25 video files containing child pornography.
Bleau faces at least 5 years and up to 20 years in prison, to be followed by supervised release of at least 5 years and up to life, and a maximum $250,000 fine, when he is sentenced on March 20, 2018 by United States District Judge Mae A. D’Agostino. A sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the United States Sentencing Guidelines and other factors. Bleau would also have to register as a sex offender upon his release from prison.
This case was investigated by the FBI and the New York State Police, and is being prosecuted by Assistant U.S. Attorney Rick Belliss.
This case is prosecuted as part of Project Safe Childhood, a nationwide initiative designed to protect children from online exploitation and abuse. Led by the United States Attorneys’ Offices, Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the Internet, as well as identify and rescue victims. For more information about Project Safe Childhood, please visit http://www.justice.gov/psc/.
Johnson City Woman Charged with False Tax Refund SchemeRead the Press Release
SYRACUSE, NEW YORK – Lavyette Garcia, age 39, of Johnson City, New York, was charged in an 11-count indictment alleging that she prepared and filed false federal income tax returns in an effort to fraudulently obtain refunds from the U.S. Treasury Department, announced Acting United States Attorney Grant C. Jaquith and James D. Robnett, Special Agent in Charge of the New York Field Office of the Internal Revenue Service, Criminal Investigation (IRS-CI).
The defendant was arrested by Special Agents of the IRS-CI at her home on Friday November 17, 2017, was arraigned in Syracuse, New York, before United States Magistrate Judge Therese Wiley-Dancks, and released pending a trial before Senior United States District Judge Thomas J. McAvoy on January 16, 2018.
Five of the charges in the indictment allege that the defendant filed false claims in the form of federal income tax returns, and carries a maximum sentence of up to 5 years in prison, a fine of up to $250,000, and a term of supervised release of up to 3 years. Six other charges in the indictment allege that the defendant prepared federal income tax returns containing false and fraudulent information, and carries a maximum sentence of up to 3 years and a fine of up to $100,000.00. A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines and other factors.
The charges in the indictment are merely accusations. The defendant is presumed innocent unless and until proven guilty.
This case is being investigated by Internal Revenue Service-Criminal Investigation, and is being prosecuted by Assistant U.S. Attorney Richard Southwick.
Jamestown Man Pleads Guilty to Drug ChargeRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051BUFFALO, N.Y. - U.S. Attorney James P. Kennedy Jr. announced today Barrett Johnson, 34, of Jamestown, NY, pleaded guilty to possession with intent to distribute MDA, also known as “Molly,” a Scheduled I controlled substance, before Chief U.S. District Judge Frank P. Geraci, Jr. The charge carries a maximum penalty of 20 years in prison and a fine of $1,000,000.
Assistant U.S. Attorney Michael J. Adler, who is handling the case, stated that the defendant sold MDA on multiple occasions, at location which included Johnson’s barbershop. The defendant would purchase “Molly” from co-defendant Richard Clarke and, in turn, sell the “Molly” to others, including co-defendant Joshua Castro.
Co-defendants Joshua Castro and Richard Clarke have been convicted and are awaiting sentencing.
Today’s plea is the result of an investigation by Immigration and Customs Enforcement, Homeland Security Investigations, under the direction of Special Agent-in-Charge Kevin Kelly, and the Border Enforcement Security Taskforce which includes the Ontario Provincial Police, Niagara Regional Police, Peel Regional Police and Toronto Police Services.
Sentencing is scheduled for February 8, 2018, at 2:30 p.m., before Chief Judge Geraci.
Jamestown Man Pleads Guilty to Cash SmugglingRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051BUFFALO, N.Y. - U.S. Attorney James P. Kennedy Jr. announced today Barrett Johnson, 34, of Jamestown, NY, pleaded guilty to possession with intent to distribute MDA, also known as “Molly,” a Scheduled I controlled substance, before Chief U.S. District Judge Frank P. Geraci, Jr. The charge carries a maximum penalty of 20 years in prison and a fine of $1,000,000.
Assistant U.S. Attorney Michael J. Adler, who is handling the case, stated that the defendant sold MDA on multiple occasions, at location which included Johnson’s barbershop. The defendant would purchase “Molly” from co-defendant Richard Clarke and, in turn, sell the “Molly” to others, including co-defendant Joshua Castro.
Co-defendants Joshua Castro and Richard Clarke have been convicted and are awaiting sentencing.
Today’s plea is the result of an investigation by Immigration and Customs Enforcement, Homeland Security Investigations, under the direction of Special Agent-in-Charge Kevin Kelly, and the Border Enforcement Security Taskforce which includes the Ontario Provincial Police, Niagara Regional Police, Peel Regional Police and Toronto Police Services.
Sentencing is scheduled for February 8, 2018, at 2:30 p.m., before Chief Judge Geraci.
Head of Organization Backed by Chinese Energy Conglomerate, and Former Foreign Minister of Senegal, Charged with Bribing High-Level African OfficialsRead the Press Release
A criminal complaint was unsealed today charging the head of a non-governmental organization based in Hong Kong and Virginia and the former Foreign Minister of Senegal with participating in a multi-year, multimillion-dollar scheme to bribe high-level officials in Chad and Uganda in exchange for business advantages for a Chinese oil and gas company (the “Energy Company”) in violation of the Foreign Corrupt Practices Act (FCPA).
Chi Ping Patrick Ho aka Patrick C.P. Ho, 68, of Hong Kong, China, and Cheikh Gadio, 61, of Senegal, are each charged with conspiring to violate the FCPA, violating the FCPA, conspiring to commit international money laundering, and committing international money laundering. Gadio was arrested in New York on Friday afternoon and presented on Saturday before U.S. Magistrate Judge Kevin Nathaniel Fox. Ho was arrested on Saturday afternoon and was presented today before U.S. Magistrate Judge Andrew J. Peck and ordered detained.
Acting Assistant Attorney General Kenneth A. Blanco of the Justice Department’s Criminal Division, Acting U.S. Attorney Joon H. Kim for the Southern District of New York, Assistant Director-in-Charge William F. Sweeney Jr. of the FBI New York Field Office, Special Agent in Charge James D. Robnett of the Internal Revenue Service Criminal Investigation (IRS-CI) and Special Agent in Charge Angel M. Melendez of U.S. Immigration and Customs Enforcement’s Homeland Security Investigations (HSI) New York Field Office, made the announcement.
“This alleged scheme involved bribes at the highest levels of the governments of two nations,” said Acting Assistant Attorney General Blanco. “The Criminal Division is committed to investigating and prosecuting corrupt individuals who put at risk a level playing field for corporate competitiveness, regardless of where they live or work. Their bribes and corrupt acts hurt our economy and undermine confidence in the free marketplace.”
“In an international corruption scheme that spanned the globe, Chi Ping Patrick Ho and Cheikh Gadio allegedly conspired to bribe African government officials on behalf of a Chinese energy conglomerate,” said Acting U.S. Attorney Kim. “Wiring almost a million dollars through New York’s banking system in furtherance of their corrupt schemes, the defendants allegedly sought to generate business through bribes paid to the President of Chad and the Ugandan Foreign Minister. As alleged, Ho’s Ugandan scheme was hatched in the halls of the United Nations in New York, when the country’s current Foreign Minister served as the President of the U.N. General Assembly, and then continued unabated upon his return to Uganda. International bribery not only harms legitimate businesses and fair competition, but it also destroys public faith in the integrity of government. And when this type of international corruption and bribery touches our shores and our financial system, as the alleged schemes did, federal criminal charges in an American court may very well be the end result.”
“The scheme described in this case boils down to these subjects allegedly trying to get their hands on the rights to lucrative opportunities in Africa,” said FBI Assistant Director-in-Charge Sweeney. “They were allegedly willing to throw money at the leaders of two countries to bypass the normal course of business, but didn’t realize that using the U.S. banking system would be their undoing. The FBI, our partners in the IRS and the law enforcement community work diligently day after day to protect the integrity of our financial institutions, and stop foreign entities corrupting international commerce.”
“IRS Criminal Investigation operates worldwide and has the expertise to identify bribery schemes such as alleged in the criminal complaint,” said IRS-CI Special Agent in Charge Robnett. “Our special agents are especially skilled at piecing together these financial puzzles, even those that involve such high level participants.”
“These individuals allegedly offered millions of dollars in bribes to foreign officials, disguised as charitable donations, in order to seek business advantages,” said HSI Special Agent in Charge Melendez. “One used his position with a United Nations Council to further this scheme. We will continue to aggressively investigate financial crimes committed by corrupt foreign officials while working collaboratively with our counterparts at the FBI and IRS.”
According to the allegations in the complaint, the defendants engaged in two bribery schemes to pay high-level officials of Chad and Uganda in exchange for business advantages for the Energy Company, a Shanghai-headquartered multibillion-dollar conglomerate that operates internationally in the energy and financial sectors. Defendant Ho was the head of a non-governmental organization based in Hong Kong and Virginia (the “Energy NGO”) that holds “Special Consultative Status” with the United Nations (UN) Economic and Social Council. The Energy NGO is funded by the Energy Company.
The complaint alleges that Ho, with Gadio’s assistance, caused the Energy Company to offer a $2 million bribe to the President of Chad in exchange for securing business advantages for the Energy Company in its efforts to obtain valuable oil rights from the Chadian government. In particular, in exchange for the bribe, the President of Chad provided the Energy Company with, among other things, an exclusive opportunity to obtain particular oil rights in Chad without facing international competition. Gadio, who is the former Foreign Minister of Senegal and who operated an international consulting firm, is alleged to have played an instrumental role in the scheme by, among other things, connecting Ho with the President of Chad and conveying the $2 million bribe offer to the President of Chad. Ho allegedly compensated Gadio by paying him $400,000 via wires transmitted through New York, New York.
It is further alleged that Ho caused a $500,000 bribe to be paid, via wires transmitted through New York, New York, to an account designated by the Minister of Foreign Affairs of Uganda, who had recently completed his term as the President of the UN General Assembly (the “Ugandan Foreign Minister”). Ho also allegedly provided the Ugandan Foreign Minister, as well as the President of Uganda, with gifts and promises of future benefits, including offering to share the profits of a potential joint venture in Uganda involving the Energy Company and businesses owned by the families of the Ugandan Foreign Minister and the President of Uganda. These payments and promises were allegedly made in exchange for assistance from the Ugandan Foreign Minister in obtaining business advantages for the Energy Company, including the potential acquisition of a Ugandan bank.
The charges and allegations in the complaint are merely accusations. All defendants are presumed innocent unless proven guilty in a court of law.
The investigation was jointly conducted by the FBI and IRS-CI and U.S. Immigration and Customs Enforcement’s Homeland Security Investigations (HSI) and the Criminal Division’s Office of International Affairs provided critical assistance.
This case is being prosecuted by Trial Attorneys David A. Last and Paul A. Hayden of the Criminal Division’s Fraud Section and Assistant U.S. Attorneys Douglas S. Zolkind, Thomas McKay, Daniel C. Richenthal and Shane T. Stansbury U.S. Attorney’s Office for the Southern District of New York’s Public Corruption Unit.
The Criminal Division’s Fraud Section is responsible for investigating and prosecuting all FCPA matters. Additional information about the Justice Department’s FCPA enforcement efforts can be found at www.justice.gov/criminal/fraud/fcpa.
Head of Organization Backed by Chinese Energy Conglomerate, and Former Foreign Minister of Senegal, Charged with Bribing High-Level African OfficialsRead the Press Release
Joon H. Kim, the Acting United States Attorney for the Southern District of New York, Kenneth A. Blanco, Acting Assistant Attorney General of the Criminal Division of the U.S. Department of Justice, William F. Sweeney Jr., Assistant Director-in-Charge of the New York Field Office of the Federal Bureau of Investigation (“FBI”), James D. Robnett, Special Agent in Charge of the Internal Revenue Service, Criminal Investigation (“IRS-CI”), and Angel M. Melendez, Special Agent in Charge of the New York Field Office of the Department of Homeland Security, Homeland Security Investigations (“HSI”), announced today the unsealing of a Complaint charging CHI PING PATRICK HO, a/k/a “Patrick C.P. Ho,” and CHEIKH GADIO with participating in a multi-year, multimillion-dollar scheme to bribe high-level officials in Chad and Uganda in exchange for business advantages for a Chinese oil and gas company (the “Energy Company”). HO and GADIO were charged with violations of the Foreign Corrupt Practices Act (“FCPA”), international money laundering, and conspiracy to commit both. GADIO was arrested in New York on Friday afternoon and presented on Saturday before U.S. Magistrate Judge Kevin Nathaniel Fox. HO was arrested on Saturday afternoon and was presented today before U.S. Magistrate Judge Andrew J. Peck and ordered detained.
Acting Manhattan U.S. Attorney Joon H. Kim said: “In an international corruption scheme that spanned the globe, Chi Ping Patrick Ho and Cheikh Gadio allegedly conspired to bribe African government officials on behalf of a Chinese energy conglomerate. Wiring almost a million dollars through New York’s banking system in furtherance of their corrupt schemes, the defendants allegedly sought to generate business through bribes paid to the President of Chad and the Ugandan Foreign Minister. As alleged, Ho’s Ugandan scheme was hatched in the halls of the United Nations in New York, when the country’s current Foreign Minister served as the President of the U.N. General Assembly, and then continued unabated upon his return to Uganda. International bribery not only harms legitimate businesses and fair competition, but it also destroys public faith in the integrity of government. And when this type of international corruption and bribery touches our shores and our financial system, as the alleged schemes did, federal criminal charges in an American court may very well be the end result.”
Acting Assistant Attorney General Kenneth A. Blanco said: “This alleged scheme involved bribes at the highest levels of the governments of two nations. The Criminal Division is committed to investigating and prosecuting corrupt individuals who put at risk a level playing field for corporate competitiveness, regardless of where they live or work. Their bribes and corrupt acts hurt our economy and undermine confidence in the free marketplace.”
FBI Assistant Director-in-Charge William F. Sweeney Jr. said: “The scheme described in this case boils down to these subjects allegedly trying to get their hands on the rights to lucrative opportunities in Africa. They were allegedly willing to throw money at the leaders of two countries to bypass the normal course of business, but didn’t realize that using the U.S. banking system would be their undoing. The FBI, our partners in the IRS and the law enforcement community work diligently day after day to protect the integrity of our financial institutions, and stop foreign entities corrupting international commerce.”
IRS-CI Special Agent in Charge James D. Robnett said: “IRS Criminal Investigation operates worldwide and has the expertise to identify bribery schemes such as alleged in the Criminal Complaint. Our Special Agents are especially skilled at piecing together these financial puzzles, even those that involve such high level participants.”
HSI Special Agent in Charge Angel M. Melendez said: “These individuals allegedly offered millions of dollars in bribes to foreign officials, disguised as charitable donations, in order to seek business advantages. One used his position with a United Nations Council to further this scheme. We will continue to aggressively investigate financial crimes committed by corrupt foreign officials while working collaboratively with our counterparts at the FBI and IRS.”
According to the allegations in the Complaint[1] and other statements in the public record:
Overview
This case involves two bribery schemes to pay high-level officials of Chad and Uganda in exchange for business advantages for the Energy Company, a Shanghai-headquartered multibillion-dollar conglomerate that operates internationally in the energy and financial sectors. At the center of both schemes is CHI PING PATRICK HO, a/k/a “Patrick C.P. Ho,” the head of a non-governmental organization based in Hong Kong and Virginia (the “Energy NGO”) that holds “Special Consultative Status” with the United Nations (“UN”) Economic and Social Council. The Energy NGO is funded by the Energy Company.
In the first scheme (the “Chad Scheme”), HO, with GADIO’s assistance, caused the Energy Company to offer a $2 million bribe to the President of Chad in exchange for securing business advantages for the Energy Company in its efforts to obtain valuable oil rights from the Chadian government. In particular, in exchange for the bribe, the President of Chad provided the Energy Company with, among other things, an exclusive opportunity to obtain particular oil rights in Chad without facing international competition. GADIO, who is the former Foreign Minister of Senegal and who operated an international consulting firm, played an instrumental role in the Chad Scheme by, among other things, connecting HO with the President of Chad and conveying the $2 million bribe offer to the President of Chad. HO compensated GADIO by paying him $400,000 via wires transmitted through New York, New York.
In the second scheme (the “Uganda Scheme”), HO caused a $500,000 bribe to be paid, via wires transmitted through New York, New York, to an account designated by the Minister of Foreign Affairs of Uganda, who had recently completed his term as the President of the UN General Assembly (the “Ugandan Foreign Minister”). HO also provided the Ugandan Foreign Minister, as well as the President of Uganda, with gifts and promises of future benefits, including offering to share the profits of a potential joint venture in Uganda involving the Energy Company and businesses owned by the families of the Ugandan Foreign Minister and the President of Uganda. These payments and promises were made in exchange for assistance from the Ugandan Foreign Minister in obtaining business advantages for the Energy Company, including the potential acquisition of a Ugandan bank.
The Chad Scheme
As alleged in the Complaint, the Chad Scheme began in or about October 2014, when HO and GADIO met at the UN in New York, New York. At that time, the Energy Company wanted to expand its oil operations to Chad, and to do so, it wanted to enter into a joint venture with a Chinese government-owned oil and gas company (the “Chinese State Oil Company”) that was already operating in Chad. Earlier that year, the Chinese State Oil Company had been fined $1.2 billion by the government of Chad for environmental violations. HO enlisted GADIO – who had a personal relationship with the President of Chad – to assist the Energy Company in gaining access to the President of Chad, with the initial goal of resolving the dispute between the government of Chad and the Chinese State Oil Company, and the ultimate goal of obtaining oil opportunities for the Energy Company in Chad.
GADIO successfully connected HO and the Energy Company to the President of Chad and to other Chadian officials. HO, acting on GADIO’s advice, then caused the Energy Company to pledge a $2 million bribe to the President of Chad, in what was characterized as a “donation” for charitable causes. GADIO later solicited from HO a $500,000 payment for GADIO’s firm, arguing that he should receive a percentage of the $2 million “gift” from the Energy Company to the President of Chad.
In reality, this “donation” was a bribe intended to influence the award of oil rights in favor of the Energy Company. Following this $2 million pledge to the President of Chad, the Energy Company obtained a business advantage in its negotiations to acquire oil rights in Chad, in particular, by having the exclusive opportunity to purchase particular oil rights without facing international competition. Ultimately, the Energy Company did not complete this acquisition, but instead purchased other oil rights in Chad from a Taiwanese company. In exchange for GADIO’s efforts to facilitate the bribery of the President of Chad, HO caused $400,000 to be paid to GADIO’s firm, via two wires that were transmitted through a bank in New York, New York.
The Uganda Scheme
As alleged in the Complaint, the Uganda Scheme began in or about October 2014, when HO met at the UN in New York, New York with the Ugandan Foreign Minister, who had recently begun his term as the 69th President of the UN General Assembly (“PGA”).[2] HO, purporting to act on behalf of the Energy NGO, met with the Ugandan Foreign Minister and began to cultivate a relationship with him. During the year that the Ugandan Foreign Minister served as PGA, HO and the Ugandan Foreign Minister discussed a “strategic partnership” between Uganda and the Energy Company for various business ventures, to be formed once the Ugandan Foreign Minister completed his term as PGA and returned to Uganda.
In or about February 2016 – after the Ugandan Foreign Minister had resumed his role as Foreign Minister of Uganda, and his in-law had been reelected as the President of Uganda – the Ugandan Foreign Minister solicited a payment from HO, purportedly for a charitable foundation that he wished to launch. HO caused a $500,000 payment to be wired to an account in Uganda designated by the Ugandan Foreign Minister, through a bank in New York, New York. In his communications, HO variously referred to this payment as a “donation” to the reelection campaign of the President of Uganda (who had already been reelected) and as a “donation” to “support” the Ugandan Foreign Minister.
In fact, this payment was a bribe to obtain business advantages for the Energy Company in its efforts to secure contracts and ventures in Uganda’s financial and energy sectors. HO also provided the Ugandan Foreign Minister, as well as the President of Uganda, with promises of future benefits, including proposing to partner with both officials’ family businesses in potential joint ventures. In exchange, the Ugandan Foreign Minister assisted the Energy Company in obtaining business in Uganda, including by facilitating the Energy Company’s interest in potentially acquiring a bank.
* * *
HO, 68, of Hong Kong, China, and GADIO, 61, of Senegal, are each charged with conspiring to violate the FCPA, violating the FCPA, conspiring to commit international money laundering, and committing international money laundering. The maximum penalties for these charges are as follows: five years in prison for conspiring to violate the FCPA; five years in prison for each violation of the FCPA; 20 years in prison for conspiring to commit international money laundering; and 20 years in prison for each charge of committing international money laundering. The maximum potential sentences in this case are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendants will be determined by the judge.
Mr. Kim praised the outstanding work of the FBI and IRS-CI, who jointly conducted this investigation. He also thanked the Department of Homeland Security, Homeland Security Investigations (“HSI”), and the Department of Justice, Criminal Division’s Office of International Affairs, which provided critical assistance. Mr. Kim noted that the investigation is ongoing.
This case is being prosecuted by the Office’s Public Corruption Unit and the Criminal Division’s Fraud Section. Assistant U.S. Attorneys Douglas S. Zolkind, Thomas McKay, Daniel C. Richenthal, and Shane T. Stansbury, and Trial Attorneys David A. Last and Paul A. Hayden of the Fraud Section, are in charge of the prosecution.
The charges contained in the Complaint are merely accusations, and the defendants are 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 below constitute only allegations, and every fact described should be treated as an allegation.
[2] Although the Complaint refers to the “Ugandan Foreign Minister” throughout for clarity, during the year that he served as PGA, he did not simultaneously serve as Foreign Minister of Uganda. Rather, he resumed as Foreign Minister of Uganda shortly after his term as PGA ended.
Hartford Man Sentenced to Life for 2011 MurderRead the Press Release
United States Attorney John H. Durham and Chief State’s Attorney Kevin T. Kane announced that KARL ROYE, also known as “Eagle,” 26, of Hartford, was sentenced today by U.S. District Judge Janet Bond Arterton in New Haven to a life term of imprisonment for committing the murder of Anthony Parker of Hartford in April 2011.
This matter stems from a long-term investigation into narcotics trafficking and related violent activity by members and associates of the Westhell and Team Grease groups.
At approximately 10:47 a.m. on April 6, 2011, the Hartford Police Department received a report of shots fired in the vicinity of 15 Thomaston Street in the Blue Hills Section of Hartford. Officers responding to the scene located Anthony Parker, also known as “Smooth,” 24, seated in the driver’s seat of a vehicle in the driveway of 15 Thomaston Street. Parker was unconscious and suffering from multiple gunshot wounds. Parker was transported by ambulance to Saint Francis Hospital where he ultimately succumbed to his injuries and was pronounced deceased.
According to testimony and evidence presented during a weeklong trial, ROYE and Jimel Frank, both armed with 9mm handguns, opened fire on Parker from opposite sides of the vehicle in which he was seated. ROYE and Frank were members of the Wall Street group, which later became generally known as “Team Grease.”
On August 4, 2016, a jury found ROYE guilty of one count of conspiracy to commit a violent crime in aid of racketeering and one count of committing a violent crime in aid of racketeering.
ROYE has been detained since his arrest on March 4, 2015.
Frank, also known as “30” and “Velly,” pleaded guilty on November 12, 2015, and awaits sentencing.
This investigation was conducted by the FBI’s Northern Connecticut Violent Crimes Task Force, DEA, Hartford Police Department and Cold Case Unit of the Office of the Chief State’s Attorney. The FBI Task Force includes members of the Hartford Police Department, East Hartford Police Department, Connecticut State Police and Connecticut Department of Correction. The case is being prosecuted by U.S. Attorney Durham and Assistant State’s Attorney Andrew Reed Durham, who has been cross designated as a Special Assistant U.S. Attorney in this matter.
The homicide of Anthony “Smooth” Parker was included in cold case playing cards sold to inmates in Connecticut’s state correctional facilities. Each card in the deck features a photograph and brief details about a homicide or missing person case and lists telephone, mail and e-mail contacts that inmates can use to supply information.
Hartford Man Pleads Guilty to Distributing Heroin and CrackRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, announced that KHADAFI CASTRO, 39, of Hartford, pleaded guilty today in Bridgeport federal court to one count of conspiring to possess with intent to distribute, and to distribute, heroin and cocaine base (“crack cocaine”).
According to court documents and statements made in court, between March and August 2017, investigators made eight controlled purchases of heroin, fentanyl and/or crack cocaine from CASTRO on Hungerford Street in Hartford. During the last three drug sales, all of which occurred in August 2017, CASTRO was assisted by his associate, Todd Peters.
CASTRO has been detained since his arrest on August 14. He is scheduled to be sentenced by U.S. District Judge Stefan R. Underhill on February 12, 2018, at which time he faces a maximum term of imprisonment of 20 years.
Peters, 43, of Hartford, pleaded guilty to the same charge on November 16 and awaits sentencing.
This matter has been investigated by the Hartford Police Department’s Vice and Narcotics Division, the Bureau of Alcohol, Tobacco, Firearms, and Explosives, and the Federal Bureau of Investigation’s Northern Connecticut Violent Crimes Task Force. The case is being prosecuted by Assistant U.S. Attorney Marc H. Silverman.
Grundy-led drug trafficking organization faces federal chargesRead the Press Release
26 INDIVIDUALS FACE A VARIETY OF DRUG-RELATED CHARGES
PRESS RELEASE
Indianapolis – United States Attorney Josh Minkler today announced federal criminal charges against 26 individuals reaching from Indianapolis to Phoenix, Arizona, one of which is Richard Grundy III.
“Drug dealing fuels violence and the addiction epidemic our community faces each and every day,” said Minkler. “My goal is to make Indianapolis the most inhospitable place in the country to sell illegal drugs. Violent criminals who conduct criminal activity in and around Indianapolis will feel the full force of federal law enforcement.”
Agents and officers from a number of agencies served arrest and search warrants at 24 locations in Indianapolis and Phoenix, Arizona last Friday ultimately arresting 21 individuals. During the investigation approximately 30 firearms, $100,000 in currency, and quantities of heroin, methamphetamine, marijuana, and prescription drugs were seized.
Those charged include:
Richard B. Grundy, III, 28, a/k/a White Boy, Indianapolis
Ezell Neville, 39, a/k/a Bo, Indianapolis
Gilberto Vizcarra-Millan, 31, Phoenix, AZ *
Mario Eduado Villasenor, 34, Phoenix, AZ
Emilio Mitchell, II, 40, a/k/a Loaf, Indianapolis *
Emilio Mitchell, Jr., 23, Indianapolis *
Lance L. Hatcher, Jr., 33, a/k/a Mont Mont, Indianapolis
Thomas Bullock, 19, Indianapolis
Dion G. Madison, 31, a/k/a D, Indianapolis
Frank S. Early, 22, Indianapolis *
Frankie B. Ray, 29, a/k/a Fresh, Indianapolis
Christopher D. Bradford, 24, Indianapolis
Daona Le’Ann Gholston, 19, Indianapolis
David C. Carroll, 35, Indianapolis
Michael Hyatte, 47, Indianapolis
Nathaniel Dixson, 33, a/k/a Dog, Indianapolis
Derek Atwater, 31, a/k/a Shorty, Indianapolis
Robert Lisenby, Jr., 32, a/k/a Russ, Indianapolis
Torin A. Harris, 31, Indianapolis
John E. Bell, 51, Indianapolis
Shemilah D. Crowe, 37, Indianapolis
James O. Beasley, 37, a/k/a Jake, Indianapolis
Dejuan Love, 41, Indianapolis *
Larry Ayres, 37, Indianapolis
Clinton Carter, 39, Indianapolis
Brandon Hudson, 27, Indianapolis
* remains a fugitive – pictures attached
According to the indictment, Richard B. Grundy, III, was the alleged leader of a drug trafficking organization that operated in Indianapolis. Grundy and other individuals, including Ezell Neville and David Carroll, pooled their money to obtain methamphetamine from sources in the Phoenix, Arizona area. The methamphetamine was then transported to Indianapolis, stored in “stash houses” for the Grundy organization and later distributed.
According to the indictment, throughout the conspiracy the defendants allegedly possessed firearms to safeguard members of the organization, as well as their controlled substances and drug proceeds. Further, they used telephones using code language to discuss their drug trafficking operation.
This case was investigated by the Federal Bureau of Investigation, Drug Enforcement Administration, Bureau of Alcohol, Tobacco and Firearms, Indianapolis Metropolitan Police Department, Fishers Police Department, the Marion County Sheriff’s Department, and the Indiana State Police.
“The FBI is uniquely positioned to target transnational criminal enterprises like this that use violence in the commission of their illegal activities,” said W. Jay Abbott, Special Agent in Charge of the FBI’s Indianapolis Division. “Working collaboratively with our federal, state, and local partners we are able to disrupt and dismantle these groups so they can no longer terrorize our communities.”
“Violent drug trafficking organizations are a top priority for the DEA, and we stand united with our federal, state, and local partners to protect our communities and preserve the rule of law,” said Greg Westfall, DEA Assistant Special Agent Charge.
"We do not accept violence as the norm in our cities and streets," said Trevor Velinor, ATF Special Agent in Charge. "We will continue our efforts towards a safer reality for all our residents. I recognize the committed efforts of our law enforcement partners for their cooperation and hard work to bring these individuals to justice. I would also like to thank the citizens of Indianapolis who support our collective efforts to ensure a safer community for all of us."
“The Citizens of Indianapolis have a fundamental right not to live in fear. On Friday our Federal, State, and local partners executed simultaneous warrants in an effort to remove those believed to be responsible for significant violence and pain in our community,” said Chief Roach. “Today’s announcement sends a clear message that law enforcement, and our community, will not waiver on efforts to identify and hold accountable those believed to be responsible for committing violent acts. I am grateful for the cooperative effort and continued focus on making Indianapolis a safer community.”
“We continue to see the results of collaboration among federal, state, and county agencies in this investigation. We appreciate the multi-agency cooperation aimed at pursuing those individuals who perpetuate the violence which compromises the safety of our community,” Marion County Prosecutor Terry Curry said. “In addition to the new federal charges, many of these individuals may now also face additional penalties related to their prior state felony convictions.”
According to Drug and Violent Drug Chief Bradley A. Blackington, most of the defendants face up to life imprisonment if convicted.
An indictment is merely a charge and not evidence of guilt. All defendant are considered innocent until proven guilty in federal court.
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Getaway Driver Pleads Guilty in Village West RobberyRead the Press Release
KANSAS CITY, KAN. – An Illinois man pleaded guilty Monday to being the getaway driver in a $53,000 hold up at a Verizon store in Village West, U.S. Attorney Tom Beall said. The robbers held store employees at gunpoint and bound them with zip ties.
Terry Curtis, 34, Rockford, Il., pleaded guilty to one count of commercial robbery. In his plea, he admitted that on Sept. 14, 2016, he was involved when four men robbed the Verizon Wireless store at 10621 Village West Parkway. Two of the robbers entered the store, followed two minutes later by the other two. The robbers locked the door and ordered the employees and a customer into a break room. The robbers ordered them to lay face down on the floor and tied their hands behind their backs. The robbers forced an employee to open a safe before they fled the store with phones and cash worth $53,000. Eventually, an employee managed to get loose and call police.
Investigators used surveillance photos from the robbery to tie the Kansas City robbery to a similar robbery weeks earlier at an AT&T Store in Rochester, Minn. They also received an anonymous call that led them to one of the co-defendants who was on parole in Illinois.
During the investigations, agents learned that some of the defendants in the Verizon robbery were part of a group involved in dozens of similar robberies in several states.
Curtis’ sentencing will be set for a later date. Both parties have agreed to recommend 72 months in federal prison.
Co-defendants who are awaiting trial include:
Mario Lambert, 33, Rockford, Il.
Sir T. Love, 32, Rockford, Il.
Domonique V. Walker, 26, Rockford, Il.
Sharod Pitts, 35, Chicago, Il.
Beall commended the Kansas City, Kan., Police Department, the Bureau of Alcohol, Tobacco, Firearms and Explosives and Assistant U.S. Attorney Terra Morehead for their work on the case.
In all cases, defendants are presumed innocent until and unless proven guilty. The indictments merely contain allegations of criminal conduct.
Garland, Texas, Woman Pleads Guilty to Possession of Counterfeit ObligationRead the Press Release
MUSKOGEE, OKLAHOMA – The United States Attorney’s Office for the Eastern District of Oklahoma announced that Danielle Rose Escalante, age 32, of Garland, Texas pled guilty to Possession of a Counterfeit Obligation, in violation of Title 18, United States Code, Section 472, punishable by not more than 20 years imprisonment, and up to a $250,000.00 fine or both.
The Indictment alleged that on or about December 13, 2016, in the Eastern District of Oklahoma, the Defendant, did with intent to defraud, possess a counterfeit obligation of the United States, that is: one counterfeit $100 Federal Reserve Note, serial number AB20650383P, Check Letter G, Quadrant Number 2, Face Place Number 206, Back Plate Number 25, Series 1996.
The charge arose from an investigation by the District 18 Drug and Violent Crimes Task Force, the Pittsburg County Sheriff’s Office, and the United States Secret Service.
The Honorable Kimberly E. West, U.S. Magistrate Judge in the United States District Court for the Eastern District of Oklahoma, in Muskogee, accepted the plea and ordered the completion of a presentence investigation report.
Assistant United States Attorney Melody Nelson represented the United States.
Former Wichita Restaurant Owner Sentenced for Drug TraffickingRead the Press Release
WICHITA, KAN. – A former Wichita restaurant owner was sentenced Monday to 108 months in federal prison for drug trafficking, U.S. Attorney Tom Beall said.
Gerald Beasley, 62, Wichita, Kan., the former owner of Tiara’s Place, pleaded guilty to one count of possession with intent to distribute cocaine and one count of unlawful possession of a firearm in furtherance of drug trafficking.
In his plea, Gerald Beasley admitted he stored cocaine and other narcotics in a residence in the 2400 block of North Piatt Street in Wichita. He met with buyers both at the residence and the restaurant at 1339 N. Hillside. He carried a High Standard derringer handgun to protect himself during drug transactions.
In his plea agreement, Gerald Beasley agreed to forfeit his home in Andover, his restaurant, a number of real estate properties, more than $75,000 in cash and bank accounts with a value of more than $75,000, as well as other assets.
In exchange for his guilty plea, the United States dismissed 20 additional counts against Mr. Beasley, including drug offenses, bank fraud, program fraud, money laundering, and firearm offenses.
Co-defendants include:
Antoine Beasley, 38, Wichita, who was sentenced to 63 months in federal prison.
Gerald Wilson, 46, Wichita, Kan., was sentenced to 70 months in federal prison.
Larry Reed, 59, who was sentenced to two years in federal prison.
Carlos Beasley, 43, Wichita, Kan., who was sentenced to two years on supervised probation.
Helen Beasley, 59, Wichita, who was sentenced to two years on supervised probation.
Terry Beasley, 64, Wichita, Kan., who is set for sentencing Jan. 10.
Herbert Jones, 55, Wichita, Kan., who is set for sentencing Jan. 8.
Stephen Smallwood, 69, Wichita, Kan., who is set for sentencing Dec. 6.
Brandon Smith, 46, Wichita, Kan., who is set for sentencing Dec. 6.
Beall commended the Wichita Police Department, the Sedgwick County Sheriff’s Office, the Drug Enforcement Administration, the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Internal revenue Service, the Sedgwick County District Attorney’s Office, Assistant U.S. Attorney Debra Barnett and Assistant U.S. Attorney Michelle Jacobs for their work on the case.
Former Putnam County sheriff’s deputy resentenced in federal courtRead the Press Release
Found guilty of civil rights violations, now looks at additional prison time
PRESS RELEASE
Terre Haute – United States Attorney Josh Minkler today announced the resentencing of a former Putnam County deputy who was found guilty of two counts of deprivation of civil rights under the color of law.
“Our primary goal in prosecuting and resentencing TJ Smith was that he be treated fairly. Simply put, TJ Smith should not receive favorable treatment from the criminal justice system because of his status as a law enforcement officer or his political connections in Putnam County. We are confident that the federal law was fairly enforced in this case and that Judge Magnus-Stinson’s sentence of 33 months makes that message crystal clear.”
Smith was found guilty at a jury trial in September 2014, for his role in using excessive force when arresting two individuals in Greencastle Indiana. He was sentenced by Judge William T. Lawrence in December, 2014 to 14 months’ imprisonment. The U.S. Attorney’s Office for the Southern District of Indiana appealed the sentenced to the Seventh Circuit Court of Appeal in Chicago arguing that the sentence was unreasonably low. The Seventh Circuit remanded the case to the District Court for resentencing. The case was reassigned to Judge Jane Magnus-Stinson who sentenced Smith to 33 months.
The case was prosecuted by Drug and Violent Crime Chief Bradley A. Blackington and Assistant United States Attorney MaryAnn T. Mindrum.
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Former Norwalk Resident Sentenced to Prison for Distributing Heroin Involved in Bridgeport OverdoseRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, announced that RICHARD PISKE, 34, of Manchester, was sentenced today by U.S. District Judge Jeffrey Alker Meyer in New Haven to 18 months of imprisonment, followed by three years of supervised release, for distributing heroin that contributed to an overdose death of a Bridgeport woman last year.
This prosecution is part of an ongoing statewide initiative targeting narcotics dealers who distribute heroin, fentanyl or opioids that cause death or serious injury to users.
According to court documents and statements made in court, early in the morning of June 29, 2016, Bridgeport Police and emergency medical personnel responded to Bridgeport residence on a report of an apparent overdose. At the residence, responders found a deceased 25-year-old female on the floor of a bedroom.
The Office of the Chief Medical Examiner determined that the victim died from acute heroin, cocaine and alcohol intoxication.
The investigation, which included analysis of PISKE’s cell phone and the victim’s boyfriend’s cell phone, revealed that, on June 28, 2016, the victim’s boyfriend purchased a quantity of heroin from PISKE, who was residing in Norwalk at the time. Later that day, the victim and her boyfriend ingested some of the heroin that had been purchased from PISKE.
PISKE was arrested on a criminal complaint on September 29, 2016. On August 24, 2017, he pleaded guilty to one count of distribution of heroin.
PISKE, who is released on a $25,000 bond, was ordered to report to prison on January 3, 2018.
This matter was investigated by the Drug Enforcement Administration’s New Haven Tactical Diversion Squad and the Bridgeport Police Department.
This case is being prosecuted by Assistant U.S. Attorney Michael E. Runowicz.
Former New York Law Firm Partner Admits Conspiring to Defraud Two New York Law Firms Out of More Than $7 MillionRead the Press Release
NEWARK, N.J. – A Bergen County, New Jersey, woman today admitted using bogus litigation support companies to obtain millions of dollars from two law firms where she was a partner, Acting U.S. Attorney William E. Fitzpatrick announced.
Keila Ravelo, 52, of Englewood Cliffs, New Jersey, pleaded guilty before U.S. District Judge Kevin McNulty in Newark federal court to two counts of an indictment charging her with conspiracy to commit wire fraud (Count One) and tax evasion (Count Nine).
According to documents filed in the case and statements made in court:
Ravelo worked as a partner for a company identified in the indictment as “Law Firm 1” from July 1, 2005, through October 2010. She then became partner in another law firm, identified in the indictment as “Law Firm 2,” and worked there from October 2010 through November 2014.
From 2008 through July 2014, Ravelo and her husband, Melvin Feliz, 51, conspired to defraud Law Firm 1 and Law Firm 2, forming two limited liability companies, “Vendor 1” and “Vendor 2,” which purported to provide litigation support to the firms, but in fact provided no actual services to the firms. Ravelo and Feliz controlled Vendor 1 and Vendor 2 bank accounts and submitted invoices to Law Firm 1 and Law Firm 2 for work that was never performed for the law firms or their clients. Ravelo, in her capacity as a partner at the law firms, approved payments to Vendor 1 and Vendor 2, which Ravelo and Feliz later used for personal expenses. The law firms paid Vendor 1 and Vendor 2 approximately $7.8 million. Ravelo and Feliz willfully failed to report the fraudulent earnings on their tax returns.
On Aug. 25, 2015, Feliz pleaded guilty before U.S. District Judge Kevin McNulty in Newark federal court to an information charging him with one count of conspiracy to commit wire fraud and one count of tax evasion. Feliz admitted that from 2008 through July 2014, he and Ravelo controlled the Vendor 1 and Vendor 2 bank accounts and submitted invoices to Law Firm 1and Law Firm 2 for work that was never performed for the law firms or their clients. He admitted that Ravelo, in her capacity as a partner at the law firms, approved payments to Vendor 1 and Vendor 2 that Ravelo and Feliz later used for personal expenses. Before pleading guilty for the role he played in this wire fraud and tax evasion conspiracy, Feliz pleaded guilty to an indictment which charged him and two other men with conspiring to distribute approximately 20 kilograms of cocaine.
The charge of conspiracy to commit wire fraud is punishable by a maximum potential penalty of 20 years in prison and $250,000 fine, or twice the gross gain or loss from the offense. The tax evasion charge is punishable by a maximum potential penalty of five years in prison and $250,000 fine. Sentencing for Ravelo is scheduled for March 5, 2018. Feliz is awaiting sentencing.
Acting U.S. Attorney Fitzpatrick credited law enforcement officers of IRS-Criminal Investigation, under the direction of Special Agent in Charge Jonathan D. Larsen, and law enforcement officers of the Drug Enforcement Administration, Newark Division, under the direction of Special Agent in Charge Valerie A. Nickerson, with the investigation leading to today’s plea.
This case was conducted under the auspices of the Organized Crime Drug Enforcement Task Force (OCDETF). 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.
The government is represented by Assistant U.S. Attorneys Andrew Kogan, Brian Urbano and Ronnell Wilson of the U.S. Attorney’s Office Criminal Division and Assistant U.S. Attorneys Jafer Aftab and Barbara Ward, Acting Chief of the Asset Forfeiture and Money Laundering Unit.
Defense counsel: Lawrence S. Lustberg Esq., Newark, New Jersey, and Steven H. Sadow Esq., Atlanta, Georgia
Former Marshall Man Pleads Guilty to Child Pornography, Faces 13 Years in PrisonRead the Press Release
KANSAS CITY, Mo. – Tom Larson, Acting United States Attorney for the Western District of Missouri, announced that an Arkansas man, formerly of Marshall, Mo., pleaded guilty in federal court today to possessing child pornography.
Kenneth Larrechea, 48, of Marshall, pleaded guilty before U.S. Magistrate Judge Matt J. Whitworth to possessing child pornography. Larrechea also had an apartment in Blackburn, Mo.
Larrechea was identified as one of 158 individuals who received child pornography through Kik (an instant messaging and chat application) from a New York man, who pleaded guilty in a separate case in the Northern District of New York. An FBI agent executed a search warrant at Larrechea’s Marshall residence on Dec. 8, 2015, and seized several electronic media devices, including computers, hard drives and cell phones.
Investigators discovered several images on an SD card in Larrechea’s cell phone of a child victim, approximately 10 or 11 years, getting in and out of a shower. The images were screen shots taken from a video file. The child victim told investigators she was not aware that she was being video recorded or photographed.
More than 400 videos and more than 70 images of child pornography and erotica were located on Larrechea’s cell phone and SD card.
Under the terms of today’s plea agreement, Larrechea will be sentenced to 13 years in federal prison without parole, followed by a 10-year term of supervised release. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.This case is being prosecuted by Assistant U.S. Attorney David Luna. It was investigated by the FBI and the Marshall, Mo., Police Department.
Project Safe Childhood
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc . For more information about Internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
Former Illinois Department of Corrections Officer Sentenced to Four Months in Federal Prison for Violating Inmate's Federal Civil RightsRead the Press Release
Dustin A. Fleming, 31, of DuQuoin, Illinois, formerly employed as a correctional officer by the Illinois Department of Corrections, was sentenced today in United States District Court in Benton to a term of four months in federal prison for violating an inmate’s civil rights, announced Donald S. Boyce, United States Attorney for the Southern District of Illinois. Fleming previously pled guilty on July 18, 2017, to an information charging him with assaulting and causing bodily injury to a handcuffed inmate at the Pinckneyville Correctional Center by choking, punching, kneeing, and kicking the inmate without any legal justification in violation of the United States Constitution. The offense occurred on October 15, 2016.
In addition to the term of imprisonment, Fleming was ordered to pay to the United States fines and special assessments totaling $200 and was placed on a two-year term of supervised release to follow his incarceration. Fleming’s employment with the Illinois Department of Corrections was terminated following his guilty plea.
The investigation leading to the charges and guilty plea was conducted by the Illinois State Police with the assistance of the Federal Bureau of Investigation and the Illinois Department of Corrections. The case was prosecuted by Assistant United States Attorney James M. Cutchin.
Former Charter School Principal Pleads Guilty to Federal Program TheftRead the Press Release
WILMINGTON, Del. – David C. Weiss, Acting United States Attorney for the District of Delaware, announced today that Noel Rodriguez, age 56, formerly of Dover, Del., pleaded guilty to one count of federal program theft before U.S. District Judge Richard G. Andrews. Rodriguez is scheduled to be sentenced on March 30, 2018.
According to court records and statements made in open court, over a three-year period beginning in July 2011, while serving as Principal of the Academy of Dover, a charter school in Dover, Del., Rodriguez embezzled $145,480 from the school.
Rodriguez accomplished this embezzlement in a number of ways. First, he charged personal expenses to four unauthorized credit cards he opened in the name of the school. Rodriguez also abused the State of Delaware’s voucher program, by which charter schools are permitted to submit qualified expenses for reimbursement, and the State of Delaware’s procurement card system, by which the State of Delaware issues credit cards to charter school administrators to purchase necessary school supplies. Rodriguez used the embezzled money for personal expenses such as electronics, gardening and camping equipment, automobile costs, a dog house, personal travel, and home improvement items.
During this time, the Academy of Dover received significant federal funding, which provides the basis for the federal program theft charges. The maximum penalty is ten years in prison, three years of supervised release, and a fine of $250,000.
Acting U.S. Attorney Weiss said, “Mr. Rodriguez stole from the school he was entrusted to run. He is being held accountable for his betrayal of the public trust, and his case should serve as a warning to others contemplating misappropriating public funds.”
“Mr. Rodriguez knowingly and willfully abused his position of trust to steal education funds that were supposed to be used provide services for the most innocent of victims – school children. That is unacceptable,” said Geoffrey Wood, Special Agent in Charge of the U.S. Department of Education Office of Inspector General’s Eastern Region. “I’m proud of the work of OIG Special Agents and our law enforcement colleagues for holding Mr. Rodriguez accountable for his fraudulent actions.”
This case is the result of an investigation conducted by the Federal Bureau of Investigation, the U.S. Department of Education – Office of the Inspector General, and the Delaware Attorney General’s Office, with assistance from the Delaware Office of Auditor of Accounts. Assistant U.S. Attorney Elizabeth L. Van Pelt is prosecuting the case on behalf of the United States.
Forest Heights Man Sentenced to 10 Years in Federal Prison for Robbery and Attempted RobberyRead the Press Release
FOR IMMEDIATE RELEASE Contact ELIZABETH MORSE
www.justice.gov/usao/md at (410) 209-4885
Greenbelt, Maryland – On Friday, November 17, 2017, U.S. District Judge Paula Xinis sentenced Sean Lamar Jordan, age 43, of Forest Heights, Maryland, to ten years in prison, followed by four years of supervised release on charges of Robbery, Attempted Robbery and Using, Carrying, and Brandishing of a Firearm During and in Relation to a Crime of Violence.
The sentence was announced by Acting United States Attorney for the District of Maryland Stephen M. Schenning; Special Agent in Charge Andrew W. Vale of the Federal Bureau of Investigation, Washington Field Office; Chief Douglas Holland of the Hyattsville Police Department and Chief Henry P. Stawinski III of the Prince George’s County Police.
According to his plea agreement, in June 2015, Jordan conspired with Ronnie Anthony Ingram, Jr. and William Eugene Nolan to rob cell-phone stores in Beltsville, Maryland and Hyattsville, Maryland. Among other things, Jordan provided Nolan with a loaded handgun to use during the robberies, and he also provided information to Nolan and Ingram concerning the target stores, in order to facilitate their crimes.
On June 27, 2015, Nolan and Ingram, having been armed and informed by Jordan, entered into a cell-phone store in Beltsville, Maryland, wearing black ski masks. Nolan pointed the handgun at employee and demanded to be taken to the safe, where Nolan, Ingram, and Jordan believed that certain valuable cellular telephones were located. But upon discovering that there was no safe, Nolan struck one of the employees with the gun, and he and Ingram fled from the store without taking any goods.
Later that same day, Jordan advised Nolan and Ingram of a nearby cell-phone store in Hyattsville, which Jordan believed was a good robbery target. Jordan, Nolan, and Ingram went to that store, and Jordan again provided information to facilitate the robbery. That evening, Nolan and Ingram entered that store wearing ski masks, with Nolan again bearing a gun. After threatening employees, they stole approximately 34 electronic devices, valued at approximately $20,390, and escaped in a car that they had parked nearby.
Following the successful robbery of the Beltsville store, Nolan and Ingram met with Jordan, and Nolan returned Jordan’s handgun. Nolan and Ingram also gave Jordan the majority of the stolen goods, so that Jordan and others could sell them for cash. Jordan later provided Nolan and Ingram approximately $1,700 each as payment for their roles in the robbery.
Jordan’s co-defendants have previously pleaded guilty. Ingram was sentenced to 46 months in prison followed by three years of supervised release, and Nolan was sentenced to 74 months in prison followed by three years of supervised release.
Acting United States Attorney Stephen M. Schenning praised the FBI, the Hyattsville Police, the Prince George’s County Police, and the Alexandria (Virginia) Police for their work in the investigation. Mr. Schenning thanked Assistant U.S. Attorneys Michael Packard and Thomas Sullivan who prosecuted the case.
Enfield Man Admits to Selling Heroin and Fentanyl to 2 Overdose VictimsRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, announced that JONATHAN REED, 32, of Enfield, waived his right to be indicted and pleaded guilty today before U.S. District Judge Michael P. Shea in Hartford to one count of distribution of heroin and fentanyl.
This matter stems from an ongoing statewide initiative targeting narcotics dealers who distribute heroin, fentanyl or opioids that cause death or serious injury to users.
According to court documents and statements made in court, at approximately 9:52 a.m. on August 26, 2016, Enfield Police and emergency medical personnel responded to a residence in Enfield and found an unresponsive 31-year-old male slumped over a coffee table in the upstairs bedroom of the residence. The victim was pronounced deceased. Officers searched the immediate area and seized one empty white wax fold and six full white wax folds that contained suspected heroin. Officers also seized the victim’s iPhone. An analysis of text messages revealed that the victim had ordered heroin from REED the evening before the victim died.
At approximately 8:23 p.m. on October 27, 2016, the Enfield Police Department and emergency personnel responded to another residence in Enfield and found an unresponsive 36-year-old man outside the house. The victim was transported to the hospital for medical attention and pronounced deceased. Officers were later able to recover the victim’s cell phone and 20 white wax folds that contained suspected heroin. Analysis of the victim’s cell phone revealed that the victim also had purchased heroin from REED two days before his death.
REED was arrested on a federal criminal complaint on April 27, 2017.
The charge of distribution of heroin and fentanyl carries a maximum term of imprisonment of 20 years. A sentencing date has not been scheduled.
REED is released on a $200,000 bond pending sentencing.
This matter is being investigated by the Drug Enforcement Administration and the Enfield Police Department. The case is being prosecuted by Assistant U.S. Attorney Jocelyn Courtney Kaoutzanis.
El Reno Woman Pleads Guilty to Drug ConspiracyRead the Press Release
MUSKOGEE, OKLAHOMA – The United States Attorney’s Office for the Eastern District of Oklahoma announced that Rachel Marie White, age 38, of El Reno, Oklahoma, pled guilty to Drug Conspiracy, in violation of Title 21, United States Code, Sections 846, 841(a)(1), and 841(b)(1)(B), punishable by not less than 5 years imprisonment, and up to 40 years imprisonment, and up to a $5,000,000.00 fine.
The Superseding Indictment alleged that beginning in or about July 2016 and continuing until on or about November 29, 2016, within the Eastern District of Oklahoma and elsewhere, the defendant, did knowingly and intentionally combine, conspire, confederate and agree together, and with others known and unknown to the Grand Jury, to distribute and possess with intent to distribute 5 grams or more of methamphetamine (actual).
The charges arose from a joint investigation entitled “Golden Pony” coordinated by the Organized Crime Drug Enforcement Task Force (OCDETF) of the Eastern District of Oklahoma. OCDETF is an initiative led and coordinated by the Office of the United States Attorney. The agencies involved in the investigation were the Bureau of Indian Affairs and the Drug Enforcement Administration.
The Honorable Kimberly E. West, U.S. Magistrate Judge in the United States District Court for the Eastern District of Oklahoma, in Muskogee, accepted the plea and ordered the completion of a presentence investigation report.
Assistant United States Attorney Timothy Hammer represented the United States.
Dominican National Sentenced for Illegal Reentry After DeportationRead the Press Release
BOSTON - A Dominican national was sentenced today in federal court in Springfield for illegally reentering the United States after deportation.
Reynaldo Rodriguez, 49, was sentenced by U.S. District Court Judge Mark G. Mastroianni to one year and one day in prison and will be subject to deportation upon completion of his sentence. In October 2017, Rodriguez pleaded guilty to one count of unlawful reentry of a deported alien.
Rodriguez was previously deported on June 14, 2007. In June 2017, law enforcement officers in Hampden County encountered Rodriguez and determined him to be illegally present in the United States.
Acting United States Attorney William D. Weinreb and Michael Shea, Acting Special Agent in Charge of Homeland Security Investigations in Boston, made the announcement today. Assistant U.S. Attorney Todd E. Newhouse of Weinreb’s Springfield Branch Office prosecuted the case.
Department of Justice awards Lafayette Police Department $1.2 millionRead the Press Release
LAFAYETTE, La. – Attorney General Jeff Sessions and Acting U.S. Attorney Alexander C. Van Hook announced that the Lafayette Police Department has been awarded $1,249,999 in grant funding through the Department of Justice’s Office of Community Oriented Policing Services (COPS) COPS Hiring Program (CHP).
Sessions today announced $98,495,397 in grants to 179 law enforcement agencies throughout the country for the COPS Hiring Program, which allows those agencies to hire 802 additional full-time law enforcement officers.
“Cities and states that cooperate with federal law enforcement make all of us safer by helping remove dangerous criminals from our communities,” said Attorney General Jeff Sessions. “Today, the Justice Department announced that 80 percent of this year’s COPS Hiring Program grantees have agreed to cooperate with federal immigration authorities in their detention facilities. I applaud their commitment to the rule of law and to ending violent crime, including violent crime stemming from illegal immigration. I continue to encourage every jurisdiction in America to collaborate with federal law enforcement and help us make this country safer.”
“I want to be the first to congratulate the Lafayette Police Department on being awarded this grant,” Van Hook stated. “This will allow the department to add new officers to their ranks, which will only enhance the great work that they perform on a daily basis.”
CHP provides grant funding directly to state, local and tribal law enforcement agencies to support hiring additional law enforcement officers for three years to address specific crime problems through community policing strategies.
In September, the Justice Department announced additional priority consideration criteria for FY2017 COPS grants. Applicants were notified that their application would receive additional points in the application scoring process by certifying their willingness to cooperate with federal immigration authorities within their detention facilities. Cooperation may include providing access to detention facilities for an interview of aliens in the jurisdiction’s custody and providing advance notice of an alien’s release from custody upon request. One hundred and forty three of the 179 (80 percent) awarded agencies received additional points based on their certifications of willingness to cooperate with federal immigration authorities.
The complete list of award recipients can be found here.
The COPS Office awards grants to hire community policing officers, develop and test innovative policing strategies, and provide training and technical assistance to community members, local government leaders and all levels of law enforcement. Since 1994, the COPS has invested more than $14 billion to help advance community policing.
Department of Justice Awards over $500,000 to Four Oklahoma Cities to Hire Community Policing OfficersRead the Press Release
The Department of Justice has awarded more than $500,000 to four Oklahoma cities to enhance law enforcement, announced Mark A. Yancey, U.S. Attorney for the Western District of Oklahoma, and Brian J. Kuester, U.S. Attorney for the Eastern District of Oklahoma.
The recipients are:
Dewar Police Department: $69,208
Lindsay Police Department: $99,428
City of Sallisaw: $95,569
Shawnee Police Department: $250,000
These funds will enable Dewar, Lindsay, and Sallisaw to hire one additional police officer each. Shawnee will be able to hire two additional officers. Dewar and Sallisaw are in the Eastern District of Oklahoma, while Lindsay and Shawnee are in the Western District of Oklahoma.
These grants are part of more than $98 million awarded to 179 law enforcement agencies across the United States through the Department of Justice’s Office of Community Oriented Policing Services, also known as "COPS." These funds will support hiring 802 additional full-time law enforcement officers.
The Department of Justice’s national press release on these COPS grants is available at https://www.justice.gov/opa/pr/attorney-general-sessions-announces-98-million-hire-community-policing-officers.
Defendant Convicted of Ordering 2004 Murder of Jeweler in Midtown ManhattanRead the Press Release
Joon H. Kim, the Acting United States Attorney for the Southern District of New York, announced that HECTOR RIVERA was found guilty on Friday of ordering the 2004 murder of Eduard Nektalov, a Manhattan diamond dealer. RIVERA was convicted on all counts following a six-day trial before U.S. District Judge Paul A. Engelmayer.
Acting U.S. Attorney Joon H. Kim said: “Thirteen years ago, Eduard Nektalov was shot to death on a crowded sidewalk in midtown Manhattan. For over a decade, this brazen murder was left unexplained. Now, not only has that mystery been solved, a unanimous jury has convicted Hector Rivera of ordering the execution-style murder of Eduard Nektalov over a business dispute. Rivera now faces a mandatory sentence of life in a federal prison. We hope the verdict brings some measure of closure and comfort to Eduard Nektalov’s family.”
According to the allegations in the Indictment and the evidence presented in court during the trial:
RIVERA was the leader of a violent robbery crew that operated in the diamond district in midtown Manhattan. In 2004, RIVERA commissioned the murder of Eduard Nektalov because of a business dispute between Nektalov and one of RIVERA’s criminal associates. During the evening rush hour on May 20, 2004, a hitman hired by RIVERA followed Nektalov from his jewelry store on West 47th Street. Less than a block from the store, the hitman shot Nektalov once in the head and twice in the back in the middle of a crowded sidewalk on Sixth Avenue. Nektalov was pronounced dead within 20 minutes of the shooting. RIVERA paid the hitman and another participant a combined total of $30,000 to carry out the murder.
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RIVERA, 65, was found guilty of conspiring to commit murder for hire and murder for hire, each of which carries a mandatory minimum sentence of life in prison; and using a firearm to commit murder, which carries a mandatory minimum sentence of five years in prison, which must run consecutively to the sentences imposed on all other counts. RIVERA is scheduled to be sentenced by Judge Engelmayer on April 11, 2018.
Mr. Kim praised the outstanding investigative work of the Federal Bureau of Investigation and the New York City Police Department. He also thanked the District Attorney’s Office for New York County and the District Attorney’s Office for Bronx County for their assistance with the prosecution.
The case is being prosecuted by the Office’s Violent and Organized Crime Unit. Assistant U.S. Attorneys Scott Hartman and Jordan Estes are in charge of the prosecution.
Decatur Woman to Serve 18 Months in Prison for Defrauding Home Services ProgramRead the Press Release
URBANA, Ill., -- A Decatur, Ill., woman, Charissie Davis, was sentenced this afternoon to serve 18 months in federal prison for defrauding the Home Services Program, a Medicaid waiver program. The health care benefit program provides funding to pay personal assistants who aid qualifying disabled individuals in performing household tasks and personal care. With the permission of a doctor, the personal assistant may also perform certain health care procedures.
Davis, 44, of the 2500 block of E. Prairie St., pled guilty on May 5, 2017, to submitting falsified Home Services Program time sheets for payment. Davis admitted that she filled in hours worked by her son for services that he never provided from February 2011 to February 2013, and from June 2013 to March 2014. In fact, Davis’s son did not provide personal assistant services to Davis because he was incarcerated. Davis signed the time sheets herself and forged her son’s signature. When Davis received payment, she endorsed the checks by signing her son’s name.
Davis was ordered to surrender to the federal Bureau of Prisons on Jan. 23, 2018. She was also ordered to pay restitution in the amount of $50,244.
Assistant U.S. Attorney Eugene L. Miller prosecuted the case which was investigated by the Office of Inspector General, U.S. Department of Health and Human Services.
Dallas Man Sentenced for His Role in November 2015 Armed Assault on Federal OfficersRead the Press Release
DALLAS — Edgar Solorzano, 24, of Dallas, was sentenced today before U.S. District Judge Sam A. Lindsay to 231 months in federal prison for the November 19, 2015 armed assault of two federal law enforcement officers in southwest Dallas, announced U.S. Attorney Erin Nealy Cox of the Northern District of Texas.
In April 2017, Solorzano pleaded guilty to one count of possession with intent to distribute a controlled substance, two counts of assault on a federal officer and one count of using, carrying, brandishing and discharging a firearm during in relation to a crime of violence. He has been in custody since the time of his arrest in August 2016.
Co-defendant Victor Manuel Solorzano, 32, was convicted, following a four-day trial, of one count of possession with intent to distribute methamphetamine, two counts of assault of a federal officer, and two counts of using, carrying, brandishing and discharging a firearm during and in relation to a crime of violence. Victor Solorzano was sentenced on November 2, 2017 to 567 months in federal prison.
According to documents filed in the case, on November 19, 2015, Victor and Edgar Solorzano, cousins who lived across the street from each other, fired numerous gunshots at two federal officers with the U.S. Immigrations and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) with high-powered, semi-automatic firearms, and riddled their pickup truck with bullets as the officers fled.
Officers went to install a court-ordered tracking device on Victor Solorzano’s vehicle at his residence on Wilbur Street in Dallas, Texas. Victor was under federal investigation by HSI for trafficking methamphetamine at the time. Immediately after installing the tracking device on Victor’s vehicle, Victor, armed with a pistol, confronted the officer in the street and began firing at the officer. The officer got inside the passenger’s side of a pickup as Victor and Edgar began firing numerous gunshots at the two federal officers, who did not return fire. Victor and Edgar continued firing at the federal officers as they sped away. The officer who installed the court-ordered tracking device sustained four nonfatal bullet wounds and the pickup driven by the other officer sustained numerous bullet strikes, all from the back.
After the shooting, Edgar hid the pistol in the attic of his residence and the pistol used by Victor in a neighbor’s backyard. The police searched Edgar’s residence and found the pistol hidden in the attic. The police also found in Edgar’s bedroom more than eight grams of methamphetamine, drug-distribution paraphernalia, and a variety of firearms and ammunition. The pistol used by Victor was found in the neighbor’s backyard.
The Federal Bureau of Investigation, the Dallas Police Department and U.S. Immigrations and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) investigated. Deputy Criminal Chief Assistant U.S. Attorney Gary Tromblay and Assistant U.S. Attorneys John Kull and Rachael Jones prosecuted.
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Corcoran Man Sentenced to More Than 10 Years in Prison for Multi-Million Dollar Fraud in the Bakken Oil FieldsRead the Press Release
Acting United States Attorney Gregory G. Brooker today announced the sentencing of RONALD DAVID JOHNSON, 51, to 126 months in prison for stealing more than $2.1 million from victims who were hoping to invest successfully in the North Dakota oil boom. On June 19, 2017, following a five-day trial, a jury convicted JOHNSON on nine counts of wire fraud and one count of money laundering. JOHNSON was sentenced this morning by Judge Wilhelmina M. Wright in U.S. District Court in St. Paul, Minn.
“Ronald Johnson abused the trust of his victims only to enrich himself at their expense. He promised investors he would use their money to purchase land in North Dakota and to build indoor RV parks, but it was all a lie. Johnson simply stole their money,” said Assistant U.S. Attorney Joseph Thompson. “With today’s sentence, which includes prison time, restitution and a forfeiture order, Johnson is now being held accountable for his crimes.”
“IRS Criminal Investigation remains committed to uncovering investment fraud schemes and bringing to justice those who prey on investors for their personal financial gain,” said Acting Special Agent in Charge Jeremy Shivers of the St. Paul Field Office IRS Criminal Investigation. “Those who line their pockets with profits from investment fraud schemes should know they will not go undetected and there will be detrimental consequences for this type of criminal behavior as in the case of the 126- month sentencing handed down to Ronald Johnson today.”
“The FBI together with our law enforcement partners will tirelessly pursue those responsible for investment fraud schemes,” said FBI Special Agent in Charge Richard T. Thornton, Minneapolis Division. “The sentence handed down today to include time in prison reflects the seriousness of the defendant's crimes.”
As proven at trial, JOHNSON came up with an investment idea to address the need to house oil workers in the Bakken in North Dakota and Montana. The idea, registered as Indoor RV Parks, LLC (“IRVPK”), would allow oil workers to eschew more common barracks-style housing in favor of comfortable indoor RV parks, specifically large climate-controlled warehouses where oil workers could park their RVs and have access to shared amenities like on-site storage, laundry and vending machines. Johnson promised his investors that as “members” of IRVPK, they would, based on the amount of the investment, receive a percentage of the rental income and other revenue generated by the indoor RV park. As part of his scheme, JOHNSON sent emails and letters to investors designed to lull them into a false sense of security and to postpone complaints regarding delays in the project.
As proven at trial, JOHNSON fraudulently solicited $2.1 million from four investors in IRVPK, telling the investors that their money would be used to build and manage indoor RV parks for oil workers. Instead of using the investor money to purchase land and start construction on the RV parks, JOHNSON used the funds to repay prior investors, fund his personal 51-acre cattle farm, take vacations, buy vintage Chevrolets, and purchase real estate, including a 17-acre island on Mink Lake in Maple Lake, Minn. As of today, IRVPK has not built any indoor RV Parks, has not acquired any property in North Dakota or Montana, and has a bank account that is empty.
This case is the result of an investigation conducted by the Criminal Investigation Division of the IRS and the FBI.
This case was prosecuted by Assistant U.S. Attorneys Benjamin Langner and Joseph H. Thompson.
Defendant Information:
RONALD DAVID JOHNSON, 51
Corcoran, Minn.
Convicted:
- Wire fraud, 9 counts
- Money laundering, 1 count
Sentenced:
- 126 months in prison
- Three years of supervised release
- $2,303,629 in restitution
- Forfeiture of all property derived from criminal proceeds
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United States Attorney’s Office, District of Minnesota: (612) 664-5600
Colchester Man Sentenced for Receipt of Child PornographyRead the Press Release
The Office of the United States Attorney for the District of Vermont stated that Nicholas Rodimon, 31, of Colchester, Vermont, was sentenced on November 20, 2017, in United States District Court in Burlington, Vermont, to serve 114 months in prison after his guilty plea to one count of receipt of child pornography. Chief U.S. District Judge Christina Reiss also ordered Rodimon to serve an eight (8) year term of supervised release and to pay a $100 special assessment.
According to court records and proceedings, in approximately 2014, Rodimon met a woman named Natalia on a website using the Internet. Natalia told Rodimon that she was from the country of Romania. They started communicating away from the website using Skype. Natalia began performing sex shows for Rodimon, which he viewed at his residence in Colchester, Vermont. Rodimon sent approximately $5,400 to Natalia during the time period of May 2014 to February 2016. During this period, Natalia engaged in sexual activity with her daughter for Rodimon to view over Skype. At all relevant times, the daughter was under the age of 12 years old. Rodimon viewed the sexual activity and, without telling Natalia, recorded some of the activity. On or about November 11, 2015, Rodimon saved a sexually explicit image of the daughter being transmitted to him from Natalia using the Skype over the Internet to the hard drive of his computer.
The Romanian woman, Natalia, was prosecuted in Romania. She received a sentence of 114 months imprisonment.
Acting United States Attorney Eugenia A.P. Cowles commended the efforts of the Federal Bureau of Investigation in the investigation and prosecution of Rodimon. The prosecution of Rodimon was handled by Assistant U.S. Attorney Barbara A. Masterson. Rodimon was represented by Mark Kaplan.
Chief of Maintenance Employee at Ken American Resources Paradise #9 Mine Located in Muhlenberg County, Kentucky, Sentenced for Violation of the Mine Safety and Health ActRead the Press Release
OWENSBORO, Ky. – The Chief of Maintenance at Ken American Resources Paradise #9 Mine located in Muhlenberg County, Kentucky, was recently sentenced in United Sates District Court by Chief Judge Joseph H. McKinley, Jr., to two years of supervised probation and ordered to pay a $2,000 fine for felony violations of the Mine Safety and Health Act, announced United States Attorney Russell M. Coleman.
“Falsifying safety records puts our miners at risk and will be federally prosecuted” stated U.S. Attorney Coleman. “Safety inspections of belt drives in coal mines are important because if they don’t run smoothly, fires or other catastrophes can occur in an environment with zero margin of error. We will continue to work with the Mine Safety and Health Administration to investigate those who undermine the safety of our Commonwealth’s critically important mines.”
Daniel L. Couch, Jr. entered a guilty plea on July 13, 2017, and was sentenced on November 17, 2017.
According to the indictment, Couch, whose job it was to make a weekly inspection of electric equipment, specifically of the belt drive of coal seal 11 at Paradise #9 Mine, did not in fact make the required fire suppression checks for the week of May 1 through 7, in 2016.
On about May 17, 2016, an Inspector from the United States Department of Labor, Mine Safety & Health Administration, inspected the record book for fire suppression checks conducted on the belt drives for coal seam 11, which contains seven separate belt drives at seven different locations, and found that no fire suppression checks had occurred for the week of May 1 through 7, 2016.
On or about May 19, 2016, the Inspector returned to Paradise #9 mine and re-examined the record book for inspections for the belt drive for coal seam 11, at which time the book revealed that the belt drives had been examined on May 7, 2016 by “D. Couch,” and that no hazards had been observed.
This case was prosecuted by Assistant United States Attorney Randy Ream and was investigated by the Mine Safety and Health Administration (MSHA) U.S. Department of Labor.