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Tuesday 22 August 2017
Armed Bank Robber from Grand Rapids Sentenced to 14 Years in PrisonRead the Press Release
GRAND RAPIDS, MICHIGAN - Joseph Allen Ellsworth, 32, of Grand Rapids, Michigan, was ordered to serve 14 years in federal prison for bank robbery, Acting U.S. Attorney Andrew Birge announced today. In addition to the prison term, U.S. District Judge Paul Maloney ordered Ellsworth to serve four years of supervised release following his release from prison, and pay restitution of $7,318.
On July 20, 2016, at about 2:00 pm, Ellsworth wore an orange ski mask, entered the Fifth Third Bank on 54th street in Wyoming, Michigan, racked what appeared to be a semi-automatic pistol, pointed it at a teller, and demanded money.
Ellsworth made off with $7,318. Hidden in the cash was a dye pack. Ellsworth left by foot and ran west to the Inter-Urban Trail, where he recovered a bike and rode south. During their search, police eventually saw Ellsworth, causing him to drop the bike to the ground and flee into nearby woods. Police recovered the bike, which was stained from the dye pack and had Ellsworth’s DNA on its handlebars. A subsequent search of Ellsworth’s phone revealed pictures of dye-stained money.
The U.S. Attorney’s office pursued charges against Ellsworth with the July 20th robbery as well as a robbery committed in an identical fashion at the same bank nine days earlier. On April 6, 2017, a jury convicted Ellsworth of the July 20th robbery but acquitted on the earlier offense.
One of the three victimized tellers spoke at Ellsworth’s sentencing saying, "I know I will forever struggle with the emotional and mental effects of these crimes. I am not sure I will ever fully recover." The victim teller went on to detail that she initially moved away from the Grand Rapids area due to the fear the robbery instilled in her. However, she also hoped to turn that fear around and use it to help other bank robbery victims: "I do hope that one day I can use my traumatic experiences to help others who were unwillingly put in a situation like I was."
Judge Maloney stated that the 14-year sentence was necessary to reflect the impact Ellsworth’s actions had on the victim tellers, and to deter Ellsworth and others from committing similar crimes. Judge Maloney also noted that Ellsworth repeatedly took advantage of others to get what he wanted, and that Ellsworth committed three home invasions in the period leading up to the bank robbery.
The Wyoming Police Department investigated the case with assistance from the Federal Bureau of Investigation. Assistant U.S. Attorneys Davin M. Reust and Timothy P. VerHey prosecuted and tried the case.
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Anthony Vita Sentenced in Fentanyl-Laced Heroin DeathRead the Press Release
SYRACUSE, NEW YORK - Anthony Vita, 37, of Syracuse, New York, was sentenced today to serve 15 years in prison for distributing a controlled substance, announced Acting United States Attorney Grant Jaquith and James J. Hunt, Special Agent in Charge of the New York Field Division of the Drug Enforcement Administration (DEA). The fentanyl-laced heroin sold by Vita led to the November 7, 2015 death of the victim, a 24-year old woman who was five months pregnant. The defendant’s sentence also included a 15-year term of supervised release following his term of imprisonment.
As part of his guilty plea on March 28, 2017, Vita admitted that on November 7, 2015, he sold seven bags of heroin laced with fentanyl to the victim. Before the sale, the victim told Vita that she had not used heroin in five months and asked him to provide her with a syringe. As requested, he delivered a syringe and seven bags of the heroin/fentanyl mixture. She injected the mixture and died due to acute opiate intoxication.
“Today’s sentence holds the defendant accountable for killing a 24-year-old pregnant woman by selling her a deadly mix of heroin laced with fentanyl when she had not used heroin for five months. For 15 years, there will be no more victims of the heroin hawked by Anthony Vita. However, this victim’s family will always have to endure the loss of a beloved daughter and an unborn child. We hope dealers will see the danger of death in their distribution of opioids and those suffering from addiction will seek and find the support and assistance they need to stop using them. We will continue to bring federal charges against those who peddle this poison, to pursue just punishments and prevent future tragedies,” said Acting United States Attorney Grant Jaquith.
DEA Special Agent in Charge James Hunt stated, “This sentence is significant because not only has it put a drug trafficker behind bars, but it is a reminder to the public of how dangerous heroin is today. As evident in this case, it has become common practice among drug traffickers to mix heroin with fentanyl, which has resulted in a significant increase of drug overdoses nationwide. I commend the United States Attorney’s Office for the Northern District of New York and the DEA Syracuse Resident Office on their tireless efforts throughout this investigation.”
The case was investigated by the U.S. Drug Enforcement Administration (DEA), Syracuse Resident Office (with Assistance from DEA Norfolk, Virginia Resident Office), the Onondaga County Sheriff’s Department and the Town of Camillus (New York) Police Department, and was prosecuted by Assistant U.S. Attorneys Carla Freedman and Tamara Thomson.
15 Defendants Arrested for Trafficking Heroin, Fentanyl and Crystal Methamphetamine in Brooklyn and CaliforniaRead the Press Release
Earlier today, 13 defendants were arrested in Brooklyn, New York and two were arrested in Harrisburg, Pennsylvania, in a coordinated federal and state takedown of a large-scale opioid and crystal methamphetamine distribution ring. Eight federal defendants are scheduled to make their initial appearances this afternoon before United States Magistrate Judge Ramon E. Reyes, Jr., at the federal courthouse in Brooklyn. The two defendants arrested in Pennsylvania will make their initial appearance later today in federal court in Harrisburg, Pennsylvania for removal proceedings to the Eastern District of New York. Two additional federal defendants remain fugitives. Five defendants were arrested on related drug trafficking charges by the New York City Police Department, and they will be arraigned on state charges this afternoon in Brooklyn Criminal Court.
The charges were announced by 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), Eric Gonzalez, Acting District Attorney, Kings County District Attorney’s Office (KCDA), and James P. O’Neill, Commissioner, New York City Police Department (NYPD).
As alleged in the complaint, the defendants were members of a large-scale drug distribution operation in Brooklyn. Between at least September 2016 and July 2017, the defendants regularly transported, repackaged and distributed heroin, cocaine, methamphetamine and prescription pills, which they referred to in coded language such as “doggy food.” On at least two occasions, members of the conspiracy also sold pure fentanyl, which they represented to the buyer as potent heroin. The conspiracy involved the distribution of over 100 grams of heroin. Co-conspirators also distributed at least 50 grams of crystal methamphetamine, which they shipped from California to Brooklyn for sale.
“As alleged, the defendants trafficked in dangerous narcotics, including heroin, fentanyl and crystal methamphetamine to line their pockets with cash, despite the potentially lethal consequences to those using the drugs and to our community at large,” stated Acting United States Attorney Rohde. “This Office and our partners at the FBI and NYPD will continue to investigate and prosecute those who contribute to the tragic opioid crisis by trafficking these deadly drugs.”
“The details laid out in this case prove dealers pushing their wares aren’t honest about what they’re selling to an unsuspecting public,” stated Assistant Director-in-Charge Sweeney. “Pure fentanyl and drugs laced with the drug have proven deadly in hundreds of cases all over the country. Users buying the drugs are playing a dangerous game of chance with their lives because they don’t know what they’re putting in their bodies. The FBI and our law enforcement partners are aggressively targeting pushers and their supply chains to stop the epidemic wreaking havoc in communities all over our area.”
“These defendants allegedly peddled heroin on the streets of Brooklyn, concerned only with their lucrative profits, despite the devastation they cause in the communities where they operate,” said Acting Brooklyn District Attorney Gonzalez. “I am committed to continuing to fight this scourge and work with our federal law enforcement partners to do so.”
“The defendants in this case are accused of operating a large-scale drug operation that distributed heroin, fentanyl and other deadly drugs in Brooklyn,” said Police Commissioner O’Neill. “While the opioid crisis cannot be solved with arrests alone, the NYPD remains committed to holding accountable those who engage in the trade in deadly drugs, ensuring they are prosecuted to the fullest extent of the law. I commend the local and federal authorities who collectively brought this case to its successful outcome.”
The charges announced today are allegations, and the defendants are presumed innocent unless and until proven guilty.
The government’s case is being handled by the Office’s International Narcotics and Money Laundering Section. Assistant United States Attorney Jennifer M. Sasso is in charge of the prosecution.
The Defendants:
TIMOTHY GREENE
Age: 44
Brooklyn, New York
MATTHEW GREENE
Age: 23
Brooklyn, New York
SAMUEL LIRIANO
Age: 33
Brooklyn, New York
CARLOS BERMUDEZ, also known as “Carlito”
Age: 55
Brooklyn, New York
TANIA AGUILAR
Age: 41
Brooklyn, New York
DONALD LNU, also known as “Dot”
Brooklyn, New York
FNU LNU #2, also known as “Ray Banger”
Brooklyn, New York
PALAYOTIS LAMPRINOS, also known as “Peter”
Age: 30
Brooklyn, New York
KYLE SAMMUT
Age: 30
Brooklyn, New York
GEORGE ECONOMOS
Age: 52
Brooklyn, New York
E.D.N.Y. Docket No. 17-M-735
14 Members of Bronx Drug Trafficking Organization Charged in Manhattan Federal Court with Narcotics and Firearms OffensesRead the Press Release
Joon H. Kim, the Acting United States Attorney for the Southern District of New York, James J. Hunt, the Special Agent in Charge of the Drug Enforcement Administration (“DEA”), James P. O’Neill, the Police Commissioner of the City of New York (“NYPD”), and George P. Beach II, the Superintendent of the New York State Police (“NYSP”), today announced the unsealing of an Indictment charging 14 members of a drug trafficking organization (“DTO”) that sold large amounts of heroin, cocaine, and crack cocaine in and around the Bronx, New York.
A total of 11 defendants were taken into custody today; three remain at large. During the arrests and execution of various search warrants earlier today, law enforcement officers recovered a significant amount of currency, as well as firearms and narcotics. The 11 defendants who were arrested will be presented and arraigned before U.S. Magistrate Judge Henry Pitman later today. The case is assigned to U.S. District Judge Kimba M. Wood. An initial conference is scheduled for September 12, 2017.
Acting U.S. Attorney Joon H. Kim said: “Today, we charge 14 members of a drug trafficking organization allegedly responsible for trafficking large amounts of heroin, cocaine, and crack cocaine in the Bronx. As alleged, this case demonstrates the close connection between drug dealing and gun crimes. We remain committed, along with our partners at the DEA, NYPD, and the New York State Police, to ridding New York’s neighborhoods of drug trafficking.”
Special Agent in Charge James J. Hunt said: “The alleged crimes committed by this organization show the inescapable connection between drug trafficking and violence. This organization allegedly ran rampant throughout New York City, distributing kilogram quantities of cocaine and heroin. Allegedly supplying drugs to other trafficking organizations throughout the Northeast, they made a profit by feeding on others’ drug addiction.”
State Police Superintendent George P. Beach II said: “I am proud of the dedicated efforts of our members and law enforcement partners which resulted in the indictments of these individuals, seizures of drugs and firearms, and the end of this organization’s alleged operations. New York State will not tolerate the sale of these drugs, or the violent crimes that are associated with narcotics distribution. This sends a strong message of our dedication to clearing our communities of these dangerous substances.”
According to the allegations contained in the Indictment[1] and other documents in the public record, and statements made in court:
Between August 2016 and August 2017, GABRIEL GUILLEN, a/k/a “Toti,” EDWARD JIMENEZ, a/k/a “Buzzy,” ZORAIDA RAMIREZ, WILSON GUILLEN, JOEL TAPIA, a/k/a “Emelio Vasquez,” MATTHEW VASQUEZ, a/k/a “Cabeza,” YEISON SALDANA, a/k/a “Jay,” JASON LLANES, a/k/a “Jay Murder,” GABRIEL CARRION, a/k/a “Gaby,” MOISES SUERO, RICHARD JOSE, a/k/a “Kiki,” JHOAN PICHARDO, a/k/a “Flaco,” RAFAEL RODRIGUEZ, a/k/a “Rafi, and CARLOS PEREZ, a/k/a “Los,” conspired to distribute and possess with intent to distribute one kilogram and more of mixtures and substances containing a detectable amount of heroin, five kilograms and more of mixtures and substances containing a detectable amount of cocaine, and 280 grams and more of mixtures and substances containing a detectable amount of crack cocaine in the Bronx and elsewhere. The defendants also used and possessed, or aided and abetted each other in using and possessing, firearms in furtherance of their drug trafficking crimes.
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GABRIEL GUILLEN, 33, JIMENEZ, 27, RAMIREZ, 49, WILSON GUILLEN, 35, TAPIA, 40, VASQUEZ, 25, SALDANA, 27, LLANES, 30, CARRION, 24, SUERO, 33, JOSE, 38, PICHARDO, 27, RODRIGUEZ, 47, and PEREZ, 25, are each charged in one count of distributing and possessing with intent to distribute one kilogram and more of heroin, five kilograms and more of cocaine, and 280 grams and more of crack cocaine, which carries a maximum sentence of life in prison and a mandatory minimum sentence of 10 years in prison; and one count relating to the use and possession of firearms during and in relation to their drug trafficking crimes, which carries a maximum sentence of life in prison and a mandatory minimum sentence of five years in prison.
The maximum potential sentences in this case are prescribed by Congress and are provided here for informational purposes only, as any sentencings of the defendants will be determined by a judge
Mr. Kim praised the investigative work of the DEA, the NYPD, and the State Police, and thanked the United States Marshals Service, U.S. Probation, and the NYPD Narcotics Bureau Bronx for their assistance.
The case is being prosecuted by the Office’s Violent and Organized Crime Unit. Assistant United States Attorneys Jessica Fender and Margaret Graham are in charge of the prosecution.
The charges contained in the Indictment are merely accusations, and the defendants are presumed innocent unless and until proven guilty.
[1] As the introductory phrase signifies, the entirety of the text of the Indictment and the description of the Indictment set forth below constitute only allegations, and every fact described should be treated as an allegation.
Monday 21 August 2017
Williamson drug dealer sentenced to over eight years in federal prison for heroin crimeRead the Press Release
CHARLESTON, W.Va. – A Williamson man was sentenced today to eight years and four months in federal prison for a heroin charge, announced United States Attorney Carol Casto. Jerome Anthony Smith, 42, previously pleaded guilty to distribution of heroin.
Smith admitted that from May to August 2014, during the course of several controlled purchases, he distributed both heroin and crack to a confidential informant working with law enforcement. The drug deals took place in the Williamson area. As part of the plea agreement, Smith admitted to all of the charged drug trafficking conduct, as well as additional drug deals.
The investigation was conducted by the U.S. Route 119 Drug Task Force and the Mingo County Sheriff’s Office. Assistant United States Attorney Jennifer Rada Herrald is responsible for the prosecution. United States District Judge Thomas E. Johnston imposed the sentence.
This case was brought as part of an ongoing effort led by the United States Attorney’s Office for the Southern District of West Virginia to combat the illicit sale and misuse of prescription drugs and heroin. The U.S. Attorney’s Office, joined by federal, state and local law enforcement agencies, is committed to aggressively pursuing and shutting down illegal pill trafficking, eliminating open air drug markets, and curtailing the spread of opiate painkillers and heroin in communities across the Southern District.
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Wayne County man pleads guilty to federal oxycodone chargeRead the Press Release
HUNTINGTON, W.Va. – A Wayne County man who assisted others in distributing oxycodone in the Fort Gay area in 2015 and 2016 pleaded guilty today to a federal drug crime, announced United States Attorney Carol Casto. Dennis Ransbottom, Jr., 32, entered his guilty plea to conspiracy to distribute oxycodone.
Between November 2015 and November 2016, Ransbottom participated in the conspiracy with others, including an oxycodone source from Detroit. During the conspiracy, the source frequently transported oxycodone pills from Michigan to Fort Gay to distribute, and would notify Ransbottom upon arrival in West Virginia. Ransbottom agreed to introduce individuals to the source, or otherwise arrange for customers to meet the source to buy pills. On November 29, 2016, Ransbottom was arrested along with another individual while they were meeting outside of the Pit Stop gas station in Fort Gay. Investigators located and seized a total of 382 thirty mg oxycodone tablets during the arrest.
Ransbottom faces up to 20 years in federal prison when he is sentenced on November 20, 2017.
The Drug Enforcement Administration and the Wayne County Sheriff’s Department conducted the investigation. Assistant United States Attorney Joseph F. Adams is handling the prosecution. The plea hearing was held before Chief United States District Judge Robert C. Chambers.
This case was brought as part of an ongoing effort led by the United States Attorney’s Office for the Southern District of West Virginia to combat the illicit sale and misuse of prescription drugs and heroin. The U.S. Attorney’s Office, joined by federal, state and local law enforcement agencies, is committed to aggressively pursuing and shutting down illegal pill trafficking, eliminating open air drug markets, and curtailing the spread of opiate painkillers and heroin in communities across the Southern District.
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United States Recovers More Than $12 Million in False Claims Act Settlements for Alleged Kickback SchemeRead the Press Release
Acting United States Attorney Gregory G. Brooker today announced that Sightpath Medical, Inc. (n/k/a Sightpath Medical, LLC) (“Sightpath”), TLC Vision Corporation (n/k/a TLC Vision (USA, LLC)) (“TLC”) (collectively the “Sightpath Entities”) and their former CEO, JAMES TIFFANY, have agreed to pay more than $12 million to the United States to resolve kickback allegations under the False Claims Act (“FCA”). The United States also intervened in an underlying lawsuit against the Cameron-Ehlen Group, Inc. d/b/a Precision Lens (“Precision Lens”), Precision Lens’ owner PAUL EHLEN, and JITENDRA SWARUP.
“Medicare beneficiaries depend on their physicians to make decisions based on sound medical judgment,” said Assistant U.S. Attorney Chad Blumenfield. “Our office will take decisive action to address allegations that medical providers are receiving improper financial benefits that could influence medical decision making. We are grateful to our law enforcement partners for their excellent work in investigating this matter.”
“This settlement is an outstanding result and represents the third major False Claims Act case successfully handled by this Office in the last three months. These types of cases remain a top priority of our Office, I applaud the hard work and dedication of the Civil Frauds Unit and the agencies involved in the case,” said Acting U.S. Attorney Gregory Brooker.
“The FBI together with our law enforcement partners aggressively investigate companies and individuals who engage in kickback schemes at the expense of Medicare and other federal health care programs,” said FBI Special Agent in Charge Richard T. Thornton of the Minneapolis Division. “Those who seek to exploit the nation’s health care system through fraud will be held accountable.”
According to the complaint, brought by a whistleblower, Sightpath and Precision Lens supply intraocular lenses, as well as ophthalmic surgical equipment and services to medical facilities. These products and services are used by ophthalmologists in connection with eye surgeries, including cataract surgeries performed in Ambulatory Surgical Centers and hospitals for which federal payers, such as Medicare, provide reimbursements. The complaint alleges that Precision Lens, EHLEN and the Sightpath Entities paid kickbacks to physicians in various forms, including travel, entertainment and improper consulting agreements. The complaint identifies multiple examples of trips including luxury skiing vacations and high-end fishing, golfing and hunting trips. The complaint also alleges that these various items of value were provided in order to induce the physicians to use Precision Lens’ and the Sightpath Entities’ products and services.
According to the settlement agreements, the United States contends that between January 1, 2006 and January 1, 2015, the Sightpath Entities provided physicians items of value to induce the use of Sightpath Entities’ products and services, which resulted in the submission of false claims to the United States for ophthalmological products and services. These items of value included hunting, skiing, fishing, and golf trips. Additionally, the Sightpath Entities entered into consulting agreements with physicians and physician practices for services that were never performed or not properly tracked, resulting in payments in excess of fair market value.
According to the settlement agreements, the United States further alleged that TIFFANY directed much of the conduct at issue, particularly between 2010 and 2013 when he was CEO of Sightpath and TLC, and that TIFFANY was directly involved in setting up and participating in several of the trips with physicians who were either Sightpath customers or potential customers. In addition, TIFFANY directly participated in establishing and continuing the lucrative consulting agreements with physicians and physician practices. The United States contends that by providing these items of value, the Sightpath Entities and TIFFANY knowingly induced physicians to utilize the Sightpath Entities’ products and services and submit false claims to the federal government. The claims were false because they were tainted by illegal kickbacks to the physicians, in violation of the Anti-Kickback Statute and the False Claims Act.
These settlements resolve allegations filed in a civil lawsuit originally brought by a whistleblower under the qui tam provisions of the False Claims Act, which allow private parties to bring suit on behalf of the government for false claims and to share in any recovery. The government often relies on whistleblowers to bring fraud schemes to light that might otherwise go undetected. The whistleblower in this matter, Kipp Fesenmaier, will receive 19.5 percent of the amounts recovered in connection with the settlement agreements.
As part of the FCA Agreement and in exchange for a release of OIG’s permissive exclusion authority, Sightpath has agreed to enter into a 5-year corporate integrity agreement (CIA) with OIG. Although not a signatory to the CIA, TLC is participating in the CIA as a “covered person.”
The United States has declined to intervene in the case against the other defendants named in the complaint. The claims resolved by these settlements are allegations only; there has been no determination of liability or wrongdoing.
The case was handled by Assistant U.S. Attorney Chad A. Blumenfield of the Civil Frauds Unit of the U.S. Attorney’s Office for the District of Minnesota with assistance from the Office of Inspector General of the U.S. Department of Health and Human Services and the Federal Bureau of Investigation.
The case is United States ex rel. Fesenmaier v. Sightpath Medical, Inc. TLC Vision Corporation, The Cameron Ehlen Group, Inc. dba Precision Lens, et al., Civil No. 13-CV-3003 (RHK/FLN).
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Two defendants headed to federal prison for participation in heroin conspiracyRead the Press Release
HUNTINGTON, W.Va. – A Detroit man and Huntington woman who participated with others distributing heroin in the Huntington area between 2014 and 2016 were sentenced to federal prison today, announced United States Attorney Carol Casto. Derrick C. Morris, 27, was sentenced to six years in federal prison after previously pleading guilty to conspiracy to distribute 100 grams or more of heroin. Dorothy D. Pannell, 23, was sentenced to a year and a day in federal prison after previously pleading guilty to conspiracy to distribute heroin.
Between November 2014 and June 8, 2016, Morris conspired with others, including Mark Bush, to distribute heroin that was transported to Huntington from the Detroit area. During the conspiracy, Morris received heroin that he would distribute in Huntington. Morris subsequently provided proceeds from the distributions back to individuals in Detroit. Morris also enlisted the aid of multiple individuals to conduct wire transfers of cash from Huntington to the Detroit area. At today’s hearing, the Court found that Morris was responsible for the distribution of over a kilogram of heroin in the Huntington area.
Pannell previously admitted she participated in the conspiracy during April and May of 2016. During this period, Pannell allowed Bush to store heroin in her residence located at 729 Oxford Drive in Huntington. Pannell further allowed Bush to retrieve heroin from her residence on various occasions to make distributions in Huntington. On May 23, 2016, agents with the Huntington FBI Drug Task Force executed a search warrant at Pannell’s residence. During the search, agents seized approximately 85 grams of heroin and three firearms.
Bush was sentenced to 17 and a half years in federal prison for his involvement in the conspiracy.
The Huntington FBI Drug Task Force conducted the investigation. Assistant United States Attorney Joseph F. Adams handled the prosecutions. Chief United States District Judge Robert C. Chambers imposed the sentences.
These prosecutions were brought as part of an ongoing effort led by the United States Attorney’s Office for the Southern District of West Virginia to combat the illicit sale and misuse of prescription drugs and heroin. The U.S. Attorney’s Office, joined by federal, state and local law enforcement agencies, is committed to aggressively pursuing and shutting down illegal pill trafficking, eliminating open air drug markets, and curtailing the spread of opiate painkillers and heroin in communities across the Southern District.
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Treasure Coast and Palm Beach Smash and Grab Burglars and Robbers Plead GuiltyRead the Press Release
South Florida residents, including D’Angelo Figueroa, 21, of Port St. Lucie, Victoria Mia DeJesus, 20, of West Palm Beach, Jose Anibal Valentine, 22, of Latana, and Shay Jackson Flores, 26, of Orlando pleaded guilty in federal court for their involvement in a string of burglaries and robberies.
Benjamin G. Greenberg, Acting United States Attorney for the Southern District of Florida; Peter J. Forcelli, Special Agent in Charge, Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), Miami Field Division; John A. Bolduc, Chief, Port St. Lucie Police Department; Ric Bradshaw, Sheriff, Palm Beach County Sheriff’s Office (PBSO); and Jeffrey S. Katz, Chief, Boynton Beach Police Department, made the announcement.
On August 16, 2017, Figueroa pleaded guilty to: theft from a federal firearms licensee and receipt of stolen firearms, in violation of Title 18, United States Code, Sections 922(u) and 2; interference with commerce by threats or violence (robbery), in violation of Title 18, United States Code, Sections 1951(a) and 2; distribution of a controlled substance (heroin), in violation of Title 21, United States Code, Sections 841(a)(1) and 2; and brandishing a firearm furtherance of a drug trafficking crime, in violation of Title 18, United States Code, Sections 924(c)(1)(A)(i) and 2.
On August 17, 2017, DeJesus pleaded guilty to receiving stolen firearms, in violation of Title 18, United States Code, Sections 922(j) and 2; and two counts of interference with commerce by threats or violence.
On August 1, 2017, Valentine pleaded guilty to receipt of stolen firearms; interference with commerce by threats or violence (robbery); and discharging of a firearm in furtherance of a crime of violence, in violation of Title 18, United States Code, Sections 924(c)(1)(A)(iii) and 2.
On July 20, 2017, Flores pleaded guilty to receipt of stolen firearms.
According to the court record:
On July 19, 2016, Figueroa struck a female victim in the face with a handgun and threatened to shoot her. Figueroa robbed the victim of her wallet and jewelry.
On July 20, 2016, Figueroa and DeJesus used a pickaxe to shatter the entrance door of a Dunkin Donuts in Boynton Beach. Inside the store, DeJesus and Figueroa broke into the office, where the manager was hiding and demanded money, while holding the pickaxe.
On July 23, 2016, Figueroa and another male used a concrete cinder block to break through the back door of Bayshore Pawn, a Federal Firearms Licensee (FFL) business that sold firearms in Port St Lucie. The males took 16 firearms, jewelry valued at $15,000, and approximately $1,400 in United States Currency.
On July 29, 2016, PBSO deputies arrested Figueroa in a hotel room registered to DeJesus and recovered a firearm.
On August 17, 2016, DeJesus and another female used a pickaxe to break open the front door of Jupiter Donuts in Boynton Beach. DeJesus carried the pickaxe and demanded money while the other female grabbed one of the workers and walked her around the business, attempting to locate a cash register or a business safe. Both fled the business after being told that there was no safe or money in the store.
On August 26, 2016, two victims were attacked outside of a residence in West Palm Beach, by Valentine and three other males armed with firearms demanding money and marijuana. After taking the victims’ belongings, the robbers forced their way into the house and continued to demand money and drugs, while pointing firearms at the victims. Valentine fired his weapon, after saying "do what I say or everyone will die."
During the course of the investigation law enforcement identified evidence, including photographs and recovered items that connected Flores, Valentine, Figueroa and DeJesus to the string of burglaries and robberies.
Flores is scheduled to be sentenced before United States District Court Judge Donald M. Middlebrooks in West Palm Beach on September 28, 2017, Valentine, Figueroa and DeJesus are scheduled to be sentenced on November 8, 2017.
The defendants’ respective charges of conviction are subject to statutory maximum terms of imprisonment to include: 10 years in prison for theft from a federal firearms licensee and receipt of stolen firearms; 20 years in prison for interference with commerce by threats or violence and distribution of a controlled substance, as well as a mandatory consecutive 7 years for brandishing a firearm in furtherance of a drug trafficking crime and 10 years consecutive for discharging of a firearm in furtherance of a crime of violence.
Mr. Greenberg commended the investigative efforts of the ATF, Port St. Lucie Police Department, PBSO, Boynton Beach Police Department, and the Indian River County Sheriff’s Office, for their work with this matter. This case was prosecuted by Assistant U.S. Attorney Carmen Lineberger.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.
Third Pinon Brother Sentenced for Violent Assault on JuvenileRead the Press Release
PHOENIX – Today, Roneldo James, 28, of Pinon, Ariz., was sentenced by U.S. District Judge G. Murray Snow to eight years of imprisonment, to be followed by three years of supervised release. James had previously pleaded guilty to assault with a dangerous weapon. James committed the offense with his two brothers, Delfred Lee and Milfred James, who were previously sentenced to seven and six years of imprisonment, respectively, for their roles in the offense.
On Dec. 1, 2015, James and his brothers held a juvenile victim and others at gunpoint against their will in a Pinon, Ariz. residence on the Navajo Nation Indian Reservation. All parties involved are members of the Navajo Nation. All three brothers are affiliated with the Red Nation Warriors street gang.
The investigation in this case was conducted by the Federal Bureau of Investigation. The prosecution was handled by Assistant U.S. Attorney Alexander Samuels, District of Arizona, Phoenix.
CASE NUMBER: CR-16-8167-PCT-GMS
RELEASE NUMBER: 2017-078_James
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Rochester Man Arrested for Selling Counterfeit CoinsRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051ROCHESTER, N.Y.- Acting U.S. Attorney James P. Kennedy, Jr. announced today that Timothy Meacham, 32, of Rochester, NY, was arrested and charged by criminal complaint with fraudulently selling counterfeit coins. The charge carries a maximum penalty of 15 years prison and a $250,000 fine.
Assistant U.S. Attorney Kyle Rossi, who is handling the case, stated that according to the complaint, in May 2017, Meacham posted an ad on Craigslist advertising the sale of two genuine United States gold collector coins. The defendant used a false name and concealed his phone number in the ad in order to hide his identity. The victim, a Pennsylvania man, contacted Meacham and traveled to Rochester on May 15, 2017, at which time he purchased the counterfeit coins for $5,000.00 cash.
As part of the fraud, Meacham falsely represented that the coins were authentic and had been passed to Meacham from his deceased grandfather. The defendant also falsely represented that he needed to sell the coins in order to pay for funeral expenses related the unexpected death of a family member. Upon his return to Pennsylvania, the victim discovered that the coins were counterfeit and contacted the United States Secret Service in Rochester.
The defendant made an initial appearance today before U.S. Magistrate Judge Marian W. Payson and was released on conditions.
The criminal complaint is the result of an investigation by the United States Secret Service, under the direction of Special Agent-in-Charge Lewis Robinson.
The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
Repeat Offender from Albuquerque Pleads Guilty to Federal Methamphetamine Trafficking ChargeRead the Press Release
ALBUQUERQUE – Michael Gerard Smith, 56, of Albuquerque, N.M., pled guilty today in federal court to a methamphetamine trafficking charge under a plea agreement with the U.S. Attorney’s Office.
Smith is being prosecuted under a federal anti-violence initiative that targets “the worst of the worst” offenders for federal prosecution. Under this initiative, the U.S. Attorney’s Office and federal law enforcement agencies work with New Mexico’s District Attorneys and state, local and tribal law enforcement agencies to target violent or repeat offenders primarily based on their prior criminal convictions for federal prosecution with the goal of removing repeat offenders from communities in New Mexico for as long as possible. Court records reflect that Smith’s criminal history includes more than ten prior felony convictions including four for drug trafficking offenses.
Smith was arrested on Feb. 3, 2017, and was charged by criminal complaint with methamphetamine and heroin trafficking offenses, and with being a felon in possession of a firearm. According to the criminal complaint, APD officers seized approximately 94.5 grams of methamphetamine, 34.9 grams of heroin, a handgun, and cash in denominations consistent with street level drug trafficking while executing a search warrant at ’s residence.
Smith subsequently was indicted on Feb. 28, 2017, and was charged with possessing methamphetamine and heroin with intent to distribute, possessing a firearm in relation to a drug trafficking crime, and being a felon in possession of a firearm. According to the indictment, Smith committed the crimes on Feb. 2, 2017, in Bernalillo County, N.M. At the time, Smith was prohibited from possessing firearms or ammunition because of his status as a convicted felon.
During today’s proceedings, Smith pled guilty to Count 1 of the indictment charging him with possession of a mixture and substance containing methamphetamine with intent to distribute. In entering the guilty plea, Smith admitted that on Feb. 2, 2017, he possessed more than 50 grams of methamphetamine with the intention of distributing the drugs to others.
At sentencing, Smith faces a statutory mandatory minimum penalty of five years and a maximum of 40 years in federal prison. Smith remains in custody pending a sentencing hearing, which has yet to be scheduled.
The case against Smith was investigated by the Albuquerque office of the DEA and the APD, and is being prosecuted by Assistant U.S. Attorney Norman Cairns.
Real Estate Developer Sentenced to Three Years in Federal Prison for Defrauding Banks and the City of ChicagoRead the Press Release
CHICAGO — A federal judge today sentenced a Chicago real estate developer to three years in prison in connection with a fraud scheme related to a $105 million line of credit secured by city and suburban properties, including the Streets of Woodfield Mall in Schaumburg.
The fraud perpetrated by LAURANCE H. FREED, the president of Joseph Freed & Associates LLC, also involved the theft of millions of dollars from his business partner, Kimco Realty Corp. Freed also fraudulently obtained more than $575,000 in publicly funded loans from the city of Chicago, and attempted to fraudulently obtain an additional $1 million from the city.
A federal jury last year convicted Freed, 54, of Chicago, on three counts of bank fraud, one count of mail fraud, and four counts of making a false statement to a financial institution. In addition to the 36-month prison term, U.S. District Judge Robert M. Dow also fined Freed $250,000, and ordered him to pay $575,759 in restitution to a victim bank.
The sentence was announced by Joel R. Levin, Acting United States Attorney for the Northern District of Illinois; Michael J. Anderson, Special Agent-in-Charge of the Chicago Office of the Federal Bureau of Investigation; and Joseph M. Ferguson, Inspector General for the City of Chicago.
“These were serious offenses that merit serious punishment,” Assistant U.S. Attorney Matthew F. Madden argued in the government’s sentencing memorandum. “The defendant was at the heart of this scheme to defraud and the lies told in furtherance of it.”
The investigation also resulted in the conviction of JFA’s vice president, CAROLINE WALTERS. Walters, of Palatine, pleaded guilty last year to one count of making a false statement to a financial institution. Judge Dow previously sentenced Walters to six months in prison.
According to evidence at Freed’s trial, the city of Chicago in 2002 issued two Tax Increment Financing notes to Uptown Goldblatts Venture LLC, a company formed by JFA to redevelop the former Goldblatt’s store in the Chicago’s Uptown neighborhood. The TIF notes had a combined principal of $6.7 million, and Freed pledged one of the notes to Cole Taylor Bank as collateral.
Four years later, JFA-affiliated entities entered into agreements with a bank consortium for a revolving line of credit worth up to $105 million. Uptown Goldblatts became a borrower under the revolving loan agreement through a subsequent deal with LaSalle Bank, which was one of the banks in the consortium and had recently been acquired by Bank of America. In the LaSalle deal, Uptown Goldblatts pledged the two TIF notes as collateral and also represented that the notes were owned free of other secured interests. The deal did not mention that one of the notes had already been pledged to Cole Taylor.
Evidence at trial also revealed that in 2009 and 2010 Freed signed false affidavits seeking to obtain more than $1.5 million in TIF payments from the city, knowing that he was not entitled to the payments.
As Freed’s business experienced financial difficulties, he withdrew more than $7 million from the Streets of Woodfield partnership without the knowledge and consent of his business partner Kimco, which owned 45% of the venture. Freed fraudulently recorded the money as “loans.”
Pinellas Park Man Pleads Guilty to Drug ChargeRead the Press Release
Tampa, Florida – Acting United States Attorney W. Stephen Muldrow announces that Ramon Green (35, Pinellas Park) today pleaded guilty to possessing with the intent to distribute marijuana and cocaine. He faces a maximum penalty of 30 years in federal prison. A sentencing date has not yet been set.
According to the plea agreement, in February 2017, officers from the St. Petersburg Police Department responded to a 911 call reporting shots fired in a St. Petersburg neighborhood and found Green, covered in blood, standing outside a residence. Green told the officers that he had been inside the house when he heard a gunshot and then found his girlfriend outside the backdoor bleeding from a gunshot wound to her chest. He also told the officers that he had dropped his girlfriend off at the hospital and then returned to the house to lock it up.
Further investigation revealed a large pool of blood outside the backdoor of the home. The officers also confirmed that Green’s girlfriend was in the hospital with a gunshot wound to her chest. The officers smelled a strong odor of marijuana coming from inside the home. A search of the house revealed approximately 15 pounds of marijuana, several ounces of cocaine, drug packaging materials, and a variety of personal items and paperwork indicating that the house belonged to Green. A bullet was also found in the wall near the pool of blood, outside the backdoor. Although Green denied shooting his girlfriend, his hands tested positive for gunshot residue.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, the St. Petersburg Police Department, and the Pinellas County Sheriff’s Office. It is being prosecuted by Assistant United States Attorney Taylor G. Stout.
Niagara Falls Man Arrested on Gun ChargeRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051
BUFFALO, N.Y.- Acting U.S. Attorney James P. Kennedy, Jr. announced today that Antonio Carr, 24, of Niagara Falls, NY, was arrested and charged by criminal complaint with being a felon in possession of a firearm. The charge carries a maximum penalty of 10 years prison and a $250,000 fine.Assistant U.S. Attorney Michael J. Adler, who is handling the case, stated that according to the complaint, on July 28, 2017, Niagara County Probation Officers performed a home visit for a woman living at 1224 Niagara Avenue, Upper Apartment, in Niagara Falls. As they entered the residence, officers observed the defendant, the probationer's boyfriend, in the bedroom of the apartment. Carr attempted to leave the apartment, telling officers he needed to go and get his children who were in the lower apartment. An officer accompanied the defendant, who was holding a blue jacket in his hand, to the lower apartment. Carr knocked on the door and handed the blue jacket to the occupant of the lower apartment. The officer witnessed the occupant of the lower apartment take the blue jacket down a hallway and place it on a staircase. When the officer asked the occupant of the lower apartment for the blue jacket, they denied having it. The occupant eventually turned it over. The officer discovered a .380 caliber pistol in the right inside pocket of the jacket.
Carr has a previous felony conviction in Niagara County Court and is legally prohibited from possessing a firearm.
The defendant made an initial appearance today before U.S. Magistrate Judge Jeremiah J. McCarthy and is being held pending a detention hearing on August 22, 2017, at 2:00 p.m.
The criminal complaint is the result of an investigation by the Niagara County Probation Office, under the direction of Director John Cicchetti; the Niagara Falls Police Department, under the direction of Chief Bryan DalPorto; and the Bureau of Alcohol, Tobacco. Firearms, and Explosives, under the direction of Special Agent-in-Charge Ashan Benedict, New York Field Division.
The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
Newport News Man Pleads Guilty to Hampton CarjackingRead the Press Release
NEWPORT NEWS, Va. – A previously convicted felon pleaded guilty today to his role in a violent carjacking.
According to the statement of facts filed with the plea agreement, Mark Anthony Johnson, 35, arrived at a convenience store on Shell Road in Hampton with two other vehicles in the evening of Nov. 20, 2016. Johnson got out of his car and brandished an AR-15 assault rifle at two individuals as he approached the store. He entered the store, brandished his rifle at the store clerk, then exited the store. After he exited the store, he pointed his rifle at the carjacking victim. Another vehicle that arrived with Johnson blocked the victim’s vehicle from exiting the parking lot. Johnson removed the victim from the victim’s vehicle at gunpoint, and struck the man with his rifle. The victim was forced to the ground, and a group of individuals, including Johnson, kicked the victim. The passenger of Johnson’s vehicle drove off in the victim’s car.
Johnson, who is currently on federal supervised release, pleaded guilty to carjacking and brandishing a firearm in furtherance of a crime of violence. He will be sentenced on December 4, and faces a maximum penalty of 15 years for the carjacking, and a mandatory minimum of 7 years and a maximum penalty of life for brandishing the firearm in furtherance of a crime of violence. The latter sentence will be served consecutive to the former. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.
Dana J. Boente, U.S. Attorney for the Eastern District of Virginia, Michael B. Boxler, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms and Explosives’ (ATF) Washington Field Division, and Terry L. Sult, Chief of Hampton Police Division, made the announcement after Senior U.S. District Judge Robert G. Doumar accepted the plea. Assistant U.S. Attorney Megan M. Cowles is prosecuting the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information is located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 4:17-cr-51.
New Britain Man Sentenced to 66 Months in Prison for Distributing FentanylRead the Press Release
Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that RODNEY KINCAID, 36, formerly of New Britain, was sentenced today by U.S. District Judge Stefan R. Underhill in Bridgeport to 66 months of imprisonment, followed by three years of supervised release, for distributing fentanyl and other controlled substances.
According to court documents and statements made in court, in late December 2015, the DEA’s Hartford Task Force and New Britain Police Department received information that Kyle Petersen, of New Britain, was selling fentanyl powder, prescription pills and marijuana. DEA Task Force Officers and the New Britain Police Department Special Services Unit initiated an investigation and made multiple controlled purchases of fentanyl from Petersen. The investigation, which included court-authorized wiretaps, revealed that John Casadei, of Morris, used the darknet, an internet network that can only be accessed through the use of specific software or authorizations, to purchase large quantities of fentanyl that were shipped from China. Casadei also obtained and distributed various prescription pills, including Xanax and oxycodone. Casadei then supplied fentanyl and various prescription pills to Jared McBriarty, of Bristol, who in turn supplied them to Petersen. Petersen distributed the drugs to other individuals, including KINCAID, who sold them throughout central Connecticut.
On April 18, 2016, KINCAID was arrested on related state charges after he purchased approximately 28 grams of fentanyl from Petersen.
Petersen, Casadei, McBriarty and other individuals involved in this narcotics distribution ring were arrested on May 19, 2016. On that date, law enforcement searched a New Britain residence that Petersen used as a stash location and seized approximately $740,000 in cash, approximately 3.2 kilograms of MDMA (commonly known as “ecstasy”), and more than 40,000 Xanax pills. A search of Petersen’s residence revealed additional quantities of narcotics and more than $11,000 in cash. Law enforcement subsequently seized approximately $80,000 from Petersen’s bank account.
KINCAID has been detained since his arrest.. On April 26, 2017, he pleaded guilty to one count of conspiracy to distribute, and to possess with intent to distribute, fentanyl.
Petersen, Casadei and McBriarty pleaded guilty to related charges. On July 19, Petersen was sentenced to 120 months of imprisonment. Casadei and McBriarty await sentencing.
The Drug Enforcement Administration’s Hartford Task Force includes personnel from the DEA Hartford Resident Office and the Bristol, Hartford, East Hartford, Manchester, New Britain, Rocky Hill, Wethersfield, Windsor Locks and Willimantic Police Departments. Agencies assisting the investigation include the U.S. Marshals Service, U.S. Postal Inspection Service, Homeland Security Investigations, New Britain State’s Attorney’s Office and Connecticut State Police.
This case is being prosecuted by Assistant U.S. Attorney S. Dave Vatti.
Navajo Man Pleads Guilty to Federal Voluntary Manslaughter ChargeRead the Press Release
ALBUQUERQUE – Larry June, 58, an enrolled member of the Navajo Nation who resides in Shiprock, N.M., pled guilty today in federal court in Albuquerque, N.M., to a voluntary manslaughter charge. Under the terms of his plea agreement, June will be sentenced to 97 months in prison followed by a term of supervised release to be determined by the court.
The FBI and Navajo Nation Division of Public Safety arrested June in Nov. 2016, on a criminal complaint charging him with killing a Navajo woman by stabbing her with a knife on Nov. 25, 2016, on the Navajo Indian Reservation in San Juan County, N.M. June was subsequently indicted on Dec. 20, 2016, and was charged with second-degree murder.
During today’s proceedings, June pled guilty to a felony information charging him with voluntary manslaughter. In entering the guilty plea, June admitted that on Nov. 25, 2016, he stabbed the victim multiple times with a knife during a heated argument, and that the victim died as the result of the injuries she sustained. June remains in custody pending a sentencing hearing, which has yet to be scheduled.
This case was investigated by the Farmington office of the FBI and the Shiprock office of the Navajo Nation Division of Public Safety. Assistant U.S. Attorneys Niki Tapia-Brito and Michael D. Murphy are prosecuting the case as part of the Tribal Special Assistant U.S. Attorney (Tribal SAUSA) Pilot Project in the District of New Mexico which is sponsored by the Justice Department’s Office on Violence Against Women under a grant administered by the Pueblo of Laguna. The Tribal SAUSA Pilot Project seeks to train tribal prosecutors in federal law, procedure and investigative techniques to increase the likelihood that every viable violent offense against Native women is prosecuted in either federal court or tribal court, or both. The Tribal SAUSA Pilot Project was largely driven by input gathered from annual tribal consultations on violence against women, and is another step in the Justice Department's on-going efforts to increase engagement, coordination and action on public safety in tribal communities.
Naturalized U.S. Citizen from Bosnia Guilty of Fraudulently Obtaining CitizenshipRead the Press Release
Charged with having obtained citizenship by telling a series of lies in naturalization process, Defendant admits that he intentionally failed to disclose murder charges during 1990’s Bosnian Conflict
GRAND RAPIDS, MICHIGAN — Alexander KNEGINICH, 57, of Crown Point, Indiana, was convicted on August 18, 2017, of having fraudulently obtained his U.S. citizenship by falsely denying, during the immigration and naturalization process, that he had ever been charged with or jailed for a crime. During a guilty-plea hearing conducted earlier in August, KNEGINICH admitted under oath that he had repeatedly claimed never to have been charged with a crime or held in custody, when in fact he had been charged with the 1994 murders of two Muslim civilians – a husband and wife – while serving in a Serbian militia unit during the 1990’s Bosnian conflict. Those charges remain pending in Bosnia-Herzegovina, which is actively seeking KNEGINICH’s extradition for trial. KNEGINICH told these lies to U.S. immigration authorities in the course of obtaining authority to enter the United States as a refugee, subsequently obtaining permanentresident status, and ultimately obtaining U.S. citizenship in January 2007 in Grand Rapids, Michigan.
“Mr. Kneginich never rightly secured the blessings and freedom of citizenship and lawful status in this great country of ours,” said Acting U.S. Attorney Andrew B. Birge. “He snuck into this country by fleeing charges that he is a murderer. For his deceit, he faces the irony of up to ten years behind locked, iron doors before the process for sending him back even begins.”
“The United States will never be a safe haven for those seeking to distance themselves from their past,” said Special-Agent-in-Charge Steve Francis, Homeland Security Investigations, Detroit Field Office (HSI). “This conviction now paves the way for Mr. Kneginich's ultimate removal from the United States.”
KNEGINICH’s sentencing is scheduled for November 14, 2017, in front of U.S. District Judge Janet T. Neff. KNEGINICH faces up to ten years in federal prison; in addition, revocation of his U.S. citizenship is mandated by Federal law based on the conviction. KNEGINICH also faces eventual deportation and/or extradition back to Bosnia and Herzegovina, where murder charges remain pending. KNEGINICH remains in the custody of the U.S. Marshal’s Service pending his sentencing.
The case is being jointly prosecuted by Trial Attorney Jamie Perry, of the Justice Department’s Human Rights and Special Prosecutions Section (HRSP), and Assistant U.S. Attorney Hagen W. Frank of the U.S. Attorney’s Office, Western District of Michigan. The case was investigated by HSI’s Grand Rapids Office, assisted by the Justice Department’s Office of International Affairs and the Government of Bosnia and Herzegovina.
END
Justin E. Herdman sworn in as United States Attorney for the Northern District of OhioRead the Press Release
Justin E. Herdman has taken the oath of office to become the United States Attorney for the Northern District of Ohio. Herdman was nominated by President Donald Trump on June 12 and confirmed by the U.S. Senate on Aug. 3. He took the oath of office from U.S. District Court Judge Patricia Gaughan.
“I am humbled and honored to be returning to an office that I love,” Herdman said. “I am excited to work with the men and women of the U.S. Attorney’s Office to seek justice every day for the people who live in Northern Ohio. We face serious challenges in our region, including the opioid epidemic and violent crime, but we will endeavor daily to make our community safer.”
As U.S. Attorney, Herdman supervises the prosecution of federal crimes in the district, including crimes related to terrorism, public corruption, child exploitation, firearms, and narcotics. The office also defends the United States in civil cases and collects debts owed to the United States. The office covers Ohio’s northern 40 counties, which includes Cleveland, Toledo, Akron and Youngstown. Herdman oversees a staff of approximately 160 employees.
Herdman, of Chagrin Falls, was an Assistant United States Attorney from 2006 through 2013, serving as Deputy Chief of the National Security, Human Rights, and Organized Crime Unit. He was responsible for investigating and prosecuting national security crimes, including the successful trial and appeal of a homegrown terror cell that sought to support al Qaeda. He was also part of the prosecution team of five self-proclaimed anarchists convicted of attempting to use explosives to blow up a Cleveland-area bridge.
Immediately prior to becoming U.S. Attorney, Herdman was a partner at Jones Day, where he represented businesses and individuals under investigation.
Before returning home to the Cleveland area, Mr. Herdman was an Assistant District Attorney in New York City, working for the legendary District Attorney for the borough of Manhattan, Robert M. Morgenthau, where Mr. Herdman prosecuted a wide range of violent crime and identity theft cases.
He serves as a Judge Advocate in the United States Air Force Reserve and is a former intelligence officer in the United States Navy Reserve. He is a graduate of Kenston High School. He earned his B.A. from Ohio University, his M.Phil. from the University of Glasgow, and his J.D. from Harvard Law School.Jefferson County Woman Pleads Guilty to Sexually Exploiting Three Children Between 2001 and 2008Read the Press Release
SYRACUSE, NEW YORK – Tammy M. Martin, 48, of Carthage, New York, pled guilty today to three counts of sexual exploitation of a child, announced Acting United States Attorney Grant C. Jaquith and Homeland Security Investigations-Buffalo Field Office, Special Agent in Charge Kevin Kelly.
In entering her guilty plea today in United States District Court, Martin admitted that she, together with another person, engaged three minor children in sexually explicit conduct and produced images of the abuse for a period of years.
As part of her guilty plea, Tammy Martin admitted that on at least four separate occasions in 2002, she and another person engaged the first of the three victims in sexually explicit conduct for the purpose of producing visual depictions of that conduct, and produced at least 30 separate files depicting the child engaged in sexually explicit conduct. These depictions, Martin admitted, included at least one instance in which Martin is shown pressing her mouth to the child’s nude anus when the child was approximately six years old.
Tammy Martin further admitted that on at least fourteen separate occasions between 2001 and 2007, during which time the second victim was ages 4 – 10, she and the other person engaged the second child in sexually explicit conduct and produced at least 104 separate files depicting that abuse. These depictions include a video file depicting the defendant performing oral sex on the child, and a video depicting the defendant directing the child to rub her nude breast.
Finally, Tammy Martin admitted that on at least twenty-six occasions from 2004 through 2008, she and the other person engaged the third of their victims in sexually explicit conduct, producing at least 211 separate files of that abuse. These depictions, Martin admitted, include an image file depicting Martin performing oral sex on this child when the child was approximately nine months old, an image file depicting Martin penetrating the child’s vagina with a sex toy when she was approximately three years old, and an image file depicting Martin performing oral sex on the child when she was approximately four years old.
Senior United States District Judge Hon. Norman A. Mordue will sentence Martin on January 8, 2018. She faces a mandatory minimum term of 15 years imprisonment on each count, with a maximum penalty of 30 years imprisonment per count. She will be required to serve a term of supervised release of a minimum of 5 years, and up to life, following her term of imprisonment. Martin will also be required to register as a sex offender.
Martin’s case was investigated by the New York State Police, and Homeland Security Investigations. The case is being prosecuted by Assistant U.S. Attorneys Lisa Fletcher, Project Safe Childhood Coordinator for the Northern District of New York, and Carina Schoenberger.
Launched in May 2006 by the Department of Justice, Project Safe Childhood is led by United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section (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 https://www.justice.gov/psc.
Houston Man Charged with Attempting to Damage Hermann Park StatueRead the Press Release
HOUSTON – A 25-year-old man has been taken into custody for attempting to maliciously damage or destroy property receiving federal financial assistance, announced Acting U.S. Attorney Abe Martinez.
A criminal complaint was filed in Houston federal court today charging Andrew Schneck, of Houston. He made his initial appearance before U.S. Magistrate Judge Mary Milloy this morning, at which time he was temporarily ordered into custody upon the government’s request pending a detention hearing set for Thursday, Aug. 24 at 2:00 p.m.
According to the complaint, on the evening of Aug. 19, 2017, a Houston park ranger observed Schneck kneeling among the bushes in front of the General Dowling Monument located in Hermann Park in Houston. Schneck was allegedly holding two small boxes with various items inside to include what appeared to be duct tape and wires. After placing the boxes on the ground per the ranger’s request, Schneck then allegedly took a drink from plastic bottle but immediately spit it on the ground. The ranger then noticed a timer and wires in the box and notified the Houston Police Department (HPD), according to the complaint.
The clear liquid was field tested as was a white powdery substance found in a small, black aluminum tube which revealed they were most likely nitroglycerin and Hexamethylene triperoxide diamine (HMTD), respectively, according to the charges. HMTD is a high explosive organic compound used as an initiating, or primary explosive. Nitroglycerin has been used as an active ingredient in the manufacture of explosives. ln its pure form, nitroglycerin is a contact explosive, with physical shock causing it to explode, which degrades over time to even more unstable forms. Nitroglycerin is highly dangerous to transport or use. ln its undiluted form, it is one of the world's most powerful explosives.
Authorities believe the items in Schneck’s possession on Aug. 19 were capable to produce a viable explosive device, according to the charges.
The complaint further alleges that Schneck conducts “chemistry experiments” at his Houston residence.
The City of Houston receives federal financial assistance for maintenance of Hermann Park where the General Dowling Monument is located.
If convicted, Schneck faces a minimum of five and up to 40 years in federal prison and a possible $250,000 maximum fine.
The FBI and HPD are conducting the investigation. Assistant U.S. Attorneys S. Mark McIntyre and Ted Imperato are prosecuting the case.
A criminal complaint is a formal accusation of criminal conduct, not evidence.
A defendant is presumed innocent unless convicted through due process of law.
Hobbs Man Sentenced to Five Years for Federal Methamphetamine Trafficking ConvictionRead the Press Release
ALBUQUERQUE – Enrique Miramontes, 43, of Hobbs, N.M., was sentenced today in federal court in Las Cruces, N.M., to 60 months in prison for his conviction on a methamphetamine trafficking charge. Miramontes will be on supervised release for three years after completing his prison sentence.
Miramontes was arrested on June 8, 2016, and was charged by criminal complaint with possession of methamphetamine with intent to distribute and possession of firearms in furtherance of a drug trafficking crime. According to the complaint, on June 7, 2016, in Lea County, N.M., law enforcement officers executed a search warrant at Miramontes’ residence in Hobbs, and seized approximately 462 grams of methamphetamine, two firearms and ammunition.
On Oct. 5, 2016, Miramontes pled guilty to a felony information charging him with possession of methamphetamine with intent to distribute. In entering the guilty plea, Miramontes admitted that on June 7, 2016, law enforcement officers, who were executing a search warrant at his residence, found methamphetamine and two firearms in a shed at his residence.
This case was investigated by the Las Cruces office of Homeland Security Investigations and the Lea County Drug Task Force. Assistant U.S. Attorney Terri J. Abernathy of the U.S. Attorney’s Las Cruces Branch Office prosecuted the case.
The Lea County Drug Task Force is comprised of officers from the Lea County Sheriff’s Office, Hobbs Police Department, Lovington Police Department, Eunice Police Department the Tatum Police Department and the Jal Police Department, and is part of the NM HIDTA Region VI Drug Task Force. The High Intensity Drug Trafficking Areas (HIDTA) program was created by Congress with the Anti-Drug Abuse Act of 1988. HIDTA is a program of the White House Office of National Drug Control Policy (ONDCP) which provides assistance to federal, state, local and tribal law enforcement agencies operating in areas determined to be critical drug-trafficking regions of the United States and seeks to reduce drug trafficking and production by facilitating coordinated law enforcement activities and information sharing.
Harrison County man sentenced for drug possessionRead the Press Release
CLARKSBURG, WEST VIRGINIA – Eric Scott Barker, of Mount Clare, West Virginia, was sentenced today to 120 months incarceration for drug possession, Acting United States Attorney Betsy Steinfeld Jividen announced.
Barker, age 37, pled guilty to one count of “Attempted Possession with Intent to Distribute Para-Fluorofentanyl” in June 2017. The crime took place in Doddridge County on September 15, 2016.
Assistant U.S. Attorney Andrew M. Cogar prosecuted the case on behalf of the government. The United States Postal Inspection Service, the West Virginia State Police, and the Greater Harrison Drug and Violent Crime Task Force, a HIDTA-funded initiative, investigated.
Senior U.S. District Judge Irene M. Keeley presided.
Gainesville Physician Sentenced for 162 Counts of Health Care FraudRead the Press Release
GAINESVILLE, FLORIDA – Ona M. Colasante, 60, a physician who formerly practiced in Gainesville, was sentenced Friday afternoon to 12 months in prison and ordered to pay a $1,134,000 fine and more than $1 million in restitution after being convicted on May 2, 2016, of 162 counts of health care fraud. As part of the sentence, the Court ordered that more than $1 million be forfeited to the government. Colasante was also ordered to perform 1,200 hours community service while serving a term of 3 years of supervised release. The sentence was announced by Christopher P. Canova, United States Attorney for the Northern District of Florida.
Colasante owned and operated medical businesses known as the Hawthorne Medical Center in Hawthorne, Florida, between 1998 and March 2009, and the Colasante Clinic in Gainesville, Florida, between January 2010 and January 2013. Through these businesses, Colasante defrauded Medicare, Medicaid, and Blue Cross Blue Shield of Florida through a series of false billing schemes. During the five-week trial, the government presented evidence that Colasante, and employees acting at her direction, ordered non-FDA approved drugs at a drastically reduced price, administered them to unsuspecting patients, and then fraudulently billed insurance companies for the cost of FDA-approved drugs. The evidence showed that Colasante also billed insurance companies for medically unnecessary tests and submitted false diagnosis codes in support of her fraudulent claims for reimbursement.
In addition, Colasante billed insurance companies for counseling, treatment, and training that was never performed. Her businesses repeatedly submitted fraudulent billings for smoking-cessation treatment purportedly administered to patients who were non-smokers.
United States Attorney Canova praised the work of the Department of Health and Human Services Office of Inspector General, the Internal Revenue Service – Criminal Investigation, the Florida Attorney General’s Medicaid Fraud Control Unit, the United States Food and Drug Administration, and the Federal Bureau of Investigation, whose joint investigation led to the convictions in this case.
The case was prosecuted by Assistant United States Attorneys Tiffany H. Eggers and J. Ryan Love.
“Health care programs and patients depend on ethical practices by medical providers,” said United States Attorney Canova. “I commend the diligent investigators and prosecutors who uphold our federal laws and bring to justice those who abuse their positions of trust.” The United States Attorney's Office for the Northern District of Florida is one of 94 offices that serve as the nation’s principal litigators under the direction of the Attorney General. For more information about the United States Attorney’s Office, Northern District of Florida, visit http://www.justice.gov/usao/fln/index.html.
For more information, contact:
Amy Alexander, Public Information Officer
(850) 216-3854, [email protected]Former Eagle Pass City Manager Sentenced to Federal Prison for Lying to FBI in Connection with Investigation into “Pay-To-Play” Bribery Scheme Involving Maverick County ContractsRead the Press Release
In Del Rio this morning, United States District Judge Alia Moses sentenced 68-year-old former Eagle Pass City Manager Hector Chavez, Sr., to 42 months in federal prison followed by three years of supervised release for lying to FBI agents during their investigation into a “pay-to-play” scheme involving Maverick County contracts, announced United States Attorney Richard Durbin, Jr., and FBI Special Agent in Charge Christopher Combs, San Antonio Division.
On March 30, 2017, Chavez pleaded guilty to one count of making a false statement to a federal agent. By pleading guilty, Chavez admitted that on June 25, 2015, he knowingly gave false statements to agents regarding his response to a federal grand jury subpoena, his work on Maverick County contracts, and a personal consulting services contract with an engineering firm.
According to court records, on May 4, 2015, a federal grand jury subpoena was issued to Chace Management, a company owned by the defendant, for all records regarding any subcontracting work done for Hejl, Lee and Associates. Chavez, admittedly, lied to authorities about creating a fraudulent, hand-written personal services agreement he provided in response to the subpoena. Chavez also claimed to have received approximately $24,000 for services rendered to Hejl, Lee and Associates when in fact, the work listed in the agreement never took place.
This investigation was conducted by the FBI and the Texas Department of Public Safety Criminal Investigations Division together with the Customs and Border Protection Office of Internal Affairs. Assistant United States Attorneys Katherine Griffin, Daniel Lee and Todd Keagle prosecuted this case on behalf of the Government.
Former Compliance Officer for National Labor Relations Board Pleads Guilty to Stealing More Than $400,000 from AgencyRead the Press Release
WASHINGTON – Hector Martinez, a former compliance officer with the National Labor Relations Board (NLRB), pled guilty today to federal charges stemming from a scheme in which he stole more than $400,000 from the agency.
The guilty plea was announced by U.S. Attorney Channing D. Phillips, Andrew Vale, Assistant Director in Charge of the FBI’s Washington Field Office, and David P. Berry, Inspector General for the National Labor Relations Board.
Martinez, 53, of Pico Rivera, Calif., pled guilty in the U.S. District Court for the District of Columbia to charges of wire fraud and aggravated identity theft. Under federal sentencing guidelines, he faces a likely range of 33 to 41 months in prison for wire fraud and an additional mandatory two-year prison term for aggravated identity theft. He also has agreed to pay $434,823 in restitution to the NLRB and is subject to a forfeiture money judgment. The Honorable Randolph D. Moss scheduled sentencing for Nov. 6, 2017.
The NLRB is an independent federal agency. Among its responsibilities, the NLRB acts to prevent and remedy unfair labor practices committed by private sector employers and unions. Employees, union representatives, and employers who believe that their rights under the National Labor Relations Act have been violated may file charges alleging unfair labor practices at their nearest NLRB regional office. When the NLRB successfully litigates or settles a case on behalf of aggrieved workers (litigants known as “discriminatees”), monetary damages are paid by the employer or union, or through the NLRB. The NLRB refers to such payments as “back pay.”
According to the government’s evidence, Martinez carried out his scheme from December 2010 and continued it through October 2015, when he was placed on administrative leave by the agency and ultimately discharged. During that time, he was a compliance officer at the NLRB’s Region 21 office in downtown Los Angeles. In that role, his responsibilities included disbursing back pay to discriminatees in the Los Angeles area.
As part of the scheme, Martinez created fictitious discriminatees in real cases in which back pay was owed. He invented names for the discriminatees and paired the fabricated names with real Social Security numbers for other people. Then he created fictitious amounts of back pay and diverted this money to his own personal bank accounts. In order to generate the money, Martinez diverted the full amount of money due to legitimate discriminatees, who received nothing, or skimmed money from legitimate discriminatees, reducing the amount paid to them.
All told, in his guilty plea, Martinez admitted that he diverted back pay funds that nine employers paid to the NLRB and that he should have paid to victims. The NLRB has since engaged in remedial efforts.
In announcing the plea, U.S. Attorney Phillips, Assistant Director in Charge Vale, and Inspector General Berry commended the work of those who investigated the case from the FBI’s Washington Field Office and the NLRB’s Office of the Inspector General. They also expressed appreciation for the efforts of those who worked on the case from the U.S. Attorney’s Office, including Assistant U.S. Attorney Diane Lucas, who handled forfeiture issues, and Paralegal Specialists Jessica Mundi and Christopher Toms. Finally, they commended the work of Assistant U.S. Attorney Denise A. Simmonds, who investigated and prosecuted the matter.
Former Bakersfield Union Officer Sentenced to 21 Months for EmbezzlementRead the Press Release
Bakersfield, Calif. —Edward Padilla, 56, of Bakersfield, was sentenced today to 21 months in prison for his embezzlement of union funds, U.S. Attorney Phillip A. Talbert announced.
Chief U.S. District Judge Lawrence J. O’Neill also ordered Padilla to pay $168,780.22 in restitution to the union.
According to court documents, from at least September 2012 to on or about December 31, 2014, while Padilla was the Secretary Treasurer/Business Manager of the Bakersfield office of a construction workers’ union, he embezzled approximately $168,780.22 from the union in the form of unearned salary checks, unauthorized sick leave payments, and personal expenditures on his union credit cards.
This case was the product of an investigation by the United States Department of Labor, Office of Labor-Management Standards. Assistant United States Attorney Angela Scott prosecuted the case.
Former Aide at Prince George’s County Elementary School Sentenced to 75 Years in Federal Prison for Production of Child PornographyRead the Press Release
FOR IMMEDIATE RELEASE Contact ELIZABETH MORSE
www.justice.gov/usao/md at (410) 209-4885
Greenbelt, Maryland – US District Judge Deborah K. Chasanow sentenced Deonte Carraway, age 23, of Glenarden, Maryland, to 75 years in federal prison followed by a lifetime of supervised release for 15 counts of sexual exploitation of a minor to produce child pornography, involving 12 minor victims ranging in age from nine to 13 years old. According to court documents, Carraway was an assistant at Judge Sylvania Woods Elementary School in Prince George’s County.
The sentence was announced by Acting United States Attorney for the District of Maryland Stephen M. Schenning; Special Agent in Charge Gordon Johnson of the Federal Bureau of Investigation, Baltimore Field Office; Chief Henry P. Stawinski III of the Prince George’s County Police Department; and Prince George’s County State’s Attorney Angela D. Alsobrooks.
According to the 15-count superseding indictment, from October 11, 2015 through February 1, 2016, Carraway coerced and persuaded multiple children to engage in sexually explicit conduct in order to produce videos of that conduct. According to the plea agreement, the videos produced include Carraway engaging in sexual activity with victims, as well as the victims engaging in sexually explicit conduct at Carraway’s direction.
According to court documents, Carraway met several of the victims at the school where he worked, and other victims reported that Carraway recruited them from his choir group. Prince George’s County Police arrested Carraway on February 4, 2016, and he has been detained since his arrest.
This case was investigated by the FBI Maryland Child Exploitation Task Force (MCETF), created in 2010 to combat sex crimes involving children. The task force consists of members from ten state and federal law enforcement agencies.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc. For more information about internet safety education, please visit www.justice.gov/psc and click on the "resources" tab on the left of the page.
Acting United States Attorney Stephen M. Schenning commended the FBI, the Prince George’s County Police Department, and the Prince George’s County State’s Attorney’s Office for their work in the investigation. Mr. Schenning thanked Assistant U.S. Attorneys Kristi N. O’Malley and Daniel C. Gardner who prosecuted the case.
Eleventh Circuit Affirms Conviction and Sentence of Pinellas County Man for Terrorist PlotRead the Press Release
Tampa, Florida – Acting United States Attorney W. Stephen Muldrow announces that the United States Court of Appeals for the Eleventh Circuit has affirmed the conviction and sentence of Sami Osmakac (30, Pinellas Park) for attempted use of weapons of mass destruction and possession of a fully automatic firearm. A federal jury found him guilty in June 2014. In November 2014, U.S. District Judge Mary S. Scriven sentenced Osmakac to 40 years’ imprisonment.
According to testimony and evidence presented at trial, on January 7, 2012, as part of a terrorist plot, Osmakac attempted to use weapons of mass destruction, including a car bomb, grenades, and a suicide explosive, at two locations in the Tampa Bay area, specifically; MacDinton’s Irish Pub and the Seminole Hard Rock Casino. Additionally, on January 7, 2012, Osmakac possessed a machinegun without the firearm being registered to him on the National Firearms Registration and Transfer Record.
On appeal, Osmakac argued that his surveillance under the Foreign Intelligence Surveillance Act (FISA) had violated the law, that a misstatement by the government during closing arguments had made his trial unfair, and that the district court should have imposed a lower sentence based on the government’s purported sentencing-factor manipulation.
The United States Court of Appeals for the Eleventh Circuit rejected each of these arguments. The evidence at trial, the Court observed, had established that, as early as December 2010, Osmakac had “demonstrated a commitment to Islamic extremism.” As to the FISA argument, the Court held that the surveillance of Osmakac pursuant to FISA had been proper and constitutional. The Court also held that the government’s misstatement in closing argument had been corrected by the district court and had been counteracted by the “substantial evidence of Osmakac’s guilt.” Finally, the Court held that the district court had correctly rejected Osmakac’s sentencing-factor manipulation argument because Osmakac, not the government, had “initiated and greatly escalated the planned terrorist attack by asking” to use weapons of mass destruction as part of his violent plot. The Court further noted that, even though Osmakac had “multiple chances” to decline to use a car bomb, “he never did, even after multiple warnings.”
This case was investigated by the Federal Bureau of Investigation. It was prosecuted in the district court by Assistant United States Attorney Sara C. Sweeney and Trial Attorney Clement McGovern from the National Security Division at the Department of Justice. The appeal was handled by Assistant United States Attorneys Cherie L. Krigsman, David P. Rhodes, and Sara C. Sweeney.
District Man Pleads Guilty to Sexually Assaulting WomanRead the Press Release
WASHINGTON – Darnell Franklin, 27, of Washington, D.C., pled guilty today to a charge of third-degree sexual abuse for groping a stranger after pushing her into the back seat of a car, announced U.S. Attorney Channing D. Phillips.
Franklin pled guilty in the Superior Court of the District of Columbia under what is known as the Alford doctrine. Under an Alford plea, the defendant does not admit the allegations but agrees that the government has enough evidence to secure a conviction. The Honorable Hiram E. Puig-Lugo scheduled sentencing for Oct. 27, 2017. Once released from prison, Franklin will be required to register as a sex offender for a 10-year period and will be on supervised release for three years.
According to the government’s evidence, on April 22, 2017, at about 7 p.m., Franklin approached the victim – a total stranger – inside a store at 35th and Clay Streets NE, where he tried to engage her in small talk and told her that she was pretty. The victim told Franklin that she had a boyfriend, concluded her business in the store, and left.
Franklin then followed the victim outside, to a car-for-hire that was waiting to drive her home. As the victim was getting into the back seat of that car, Franklin pushed her in, got in beside her and began fondling her as she tried to fight him off. The driver saw what was going on and got out of the car to come to the victim’s aid. As the driver neared the back door of his car, Franklin fled down the street. The driver and the victim saw some nearby officers with the Metropolitan Police Department (MPD) and told them what had happened.
The MPD officers spotted Franklin, and with other officers, chased and caught him.
In announcing the plea, U.S. Attorney Phillips praised the work of officers from MPD’s Sixth District and from MPD’s Sexual Assault Unit. He also acknowledged the efforts of those who worked on the case from the U.S. Attorney’s Office, including Paralegal Specialist Brenda C. Williams and Victim/Witness Advocate Veronica Vaughan. Finally, U.S. Attorney Phillips commended Assistant U.S. Attorney Peter V. Taylor, who investigated and prosecuted this case.
Diamond Bar Man Sentenced to 3 Months in Federal Prison for Smuggling ED Drugs Sold as ‘Herbal Enhancement’ Products Without PrescriptionsRead the Press Release
LOS ANGELES – A Diamond Bar man who illegally imported the active ingredients used in erectile dysfunction drugs such as Viagra and Cialis and repackaged the drugs for sale as herbal sexual enhancement products was sentenced today to three months in federal prison followed by six months of home detention.
Joseph Jinn, also known as Tzong Hwan Jinn, 60, was sentenced this afternoon by United States District Judge Christina A. Synder for conspiring to bring the drugs into the United States by means of false statements. Judge Snyder agreed with the government that a custodial sentence was warranted because of the problem posed by the importation of the pharmaceuticals from China, which defendant brought into the U.S. marketplace undetected and unregulated.
According to court documents, Jinn admitted being part of a scheme that imported Tadalafil, Sildenafil and Dapoxetine – the active ingredients in pharmaceutical medications such as Viagra and Cialis – by means of false claims to customs officials that the multi-kilogram shipments were “cooked powder and tools,” “Chinese bread baking mixture,” and other innocuous materials. U.S. Customs and Border Protection officers intercepted some of the shipments, which had a cumulative value of nearly $550,000.
Jinn admitted in court that he and his co-conspirators repackaged and sold the illegally imported drugs as “herbal supplement sexual enhancers.” The products were sold without the necessary prescriptions required by regulations enforced by the U.S. Food and Drug Administration, which had previously warned Jinn’s company that it was engaged in illegal sales.
According to the plea agreement, the FDA “issued public warnings regarding these sexual supplements because they contain ingredients that can interact with other drugs in dangerous ways and may lower blood pressure to unsafe levels.”
The products marketed by Jinn and his co-conspirators were sold in storefronts and over the internet.
As part of his plea agreement, Jinn agreed to forfeit to the United States approximately $105,000 that was seized from three bank accounts during the investigation.
The FDA has warned consumers about numerous over-the-counter products that claim to be “herbal,” but in fact contain hidden active ingredients.
The investigation in this case was conducted by U.S. Immigration and Customs Enforcement’s Homeland Security Investigations; the Food and Drug Administration, Office of Criminal Investigations; the Los Angeles Police Department; and U.S. Customs and Border Protection.
The case was prosecuted by Assistant United States Attorneys Vicki Chou and Jennie L. Wang of the Cyber and Intellectual Property Crimes Section.
Denton County Man Sentenced to 50 years for Child Exploitation ViolationsRead the Press Release
PLANO, Texas — A 29-year-old Denton, Texas man has been sentenced to 50 years in federal prison for child exploitation violations in the Eastern District of Texas, announced Acting U.S. Attorney Brit Featherston today.
Joel Linden pleaded guilty on Apr. 20, 2017 production and distribution of child pornography and was sentenced to 50 years in federal prison on Aug. 18, 2017, by U.S. District Judge Marcia Crone.
According to information presented in court, on Nov. 6, 2016, law enforcement officers executed a search warrant at Linden’s residence after receiving information that someone from the residence was sending child pornography using an internet application. During the execution of the search warrant, agents seized a number of items of digital media, many of which were found to contain child pornography. Some of the images and videos of child pornography were produced by Linden and depicted the sexual abuse of a child under the age of 12 years old. The investigation also revealed Linden had distributed the images and videos to individuals with whom he was communicating online.
“This is another horrendous case of child exploitation,” said Acting U.S. Attorney Brit Featherston. “We will leave no stone unturned to find those who commit these terrible crimes…as a warning to others, we will find and punish you. My heart breaks for the victims and my appreciation goes out to those men and women who relentlessly investigate and prosecute these cases.”
Linden was sentenced to 360 months in federal prison for the production of child pornography and 240 months in federal prison for distributing child pornography. The sentences were ordered to be served consecutively for a total of 600 months in federal prison.
This case was prosecuted 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 United States Attorneys’ Offices and the Criminal Division's Child Exploitation and Obscenity Section (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.projectsafechildhood.gov.
This case was investigated by Homeland Security Investigations and the Flower Mound Police Department and prosecuted by Assistant U.S. Attorney Marisa Miller.
Contractor for Division of Highways and Former Division of Highways employee sentenced for their roles in pay-to-play schemeRead the Press Release
WHEELING, WEST VIRGINIA – A contractor for Division of Highways and former Division of Highways employee were sentenced today their roles in a pay-to-play scheme, Acting United States Attorney Betsy Steinfeld Jividen announced.
Mark Rudolph Whitt, 52, of Winfield, West Virginia, was sentenced today to three years probation for wire fraud. Whit was also ordered to pay $250,000 in restitution to the State of West Virginia.
Whitt was the president and owner of Bayliss and Ramey, Inc., which was awarded the statewide signal maintenance contract in 2009. Whitt admitted in December 2016 that he used the contract to funnel construction work to Dennis Corporation. He benefited financially for helping to conceal the illegal flow of funds from the Division of Highways to Dennis Corporation. He pled guilty to one count of “Wire Fraud Conspiracy.”
Debarment proceedings have been initiated against Whitt and his former company to preclude their further involvement in any State contracts. In addition, the investigation resulted in the recovery of over a quarter million dollars illegally obtained by Whitt, which the United States is returning to the State of West Virginia.
“Among the prosecution priorities of cases such as this one are the exposure of corruption by public officials and restitution to victims,” said Acting United States Attorney Betsy C. Jividen. Jividen stated that the United States Attorney’s Office will continue to aggressively investigate and prosecute cases of public corruption against public servants who enrich themselves at the expense of the public they are sworn to serve.
In a related case, James Travis Miller, 40, of Hurricane, West Virginia, was sentenced today to three years probation for laundering money.
Miller worked for the Division of Highways before leaving to work for Dennis Corporation. He admitted in December 2016 that he delivered covert payments to a West Virginia Divisions of Highways employee in exchange for official actions that were done in favor of Dennis Corporation. He pled guilty to one count of “Conspiracy to Launder Monetary Instruments.”
Assistant U.S. Attorneys Jarod J. Douglas and Sarah W. Montoro prosecuted the case on behalf of the government. The case was investigated by the U.S. Attorney’s Public Corruption Unit, which includes the Federal Bureau of Investigation, the West Virginia Commission on Special Investigations, Internal Revenue Service-Criminal Investigation, and the West Virginia State Police.
Citizens with information regarding public corruption in their community are encouraged to call the West Virginia Public Corruption Hotline at 855-WVA-FEDS (855-982-3337), or to send an email to [email protected].
Senior U.S. District Judge Frederick P. Stamp, Jr. presided.
Charleston dentist pleads guilty to health care fraudRead the Press Release
CHARLESTON, W.Va. – A Charleston dentist who falsely billed West Virginia Medicaid and West Virginia Medicaid Managed Care Organizations (MCOs) for more than $700,000 pleaded guilty today, announced United States Attorney Carol Casto. Antoine Skaff, 58, entered his guilty plea to health care fraud. Skaff also entered into a civil settlement today with the U.S. Attorney’s Office, the Office of Inspector General for the U.S. Department of Health and Human Services, the West Virginia Department of Health and Human Resources (DHHR), DHHR’s Bureau for Medical Services, and the West Virginia Medicaid Fraud Control Unit, in which he agreed to pay treble damages of $2.2 million, or three times the loss suffered by West Virginia Medicaid.
Skaff, a dentist, admitted that he fraudulently billed West Virginia Medicaid and Medicaid MCOs for dental procedures that he did not actually perform on Medicaid recipients. Skaff’s scheme to defraud Medicaid and its MCOs lasted more than five years and involved upcoding and double billing.
First, Skaff admitted that he falsely inflated his billings, a practice commonly known as upcoding, often by falsely claiming reimbursement for procedures involving impacted teeth. Typically, only wisdom teeth are impacted. However, Skaff admitted that he upcoded billings for tooth extractions by falsely informing Medicaid and its MCOs that he performed more complex procedures, such as extractions of impacted teeth, when he had actually performed simple extractions. Because Skaff upcoded these extractions, Medicaid and its MCOs paid Skaff $172 per extraction of each tooth, rather than $80 per tooth for a simple extraction. Skaff additionally admitted that he falsely upcoded at least 7,490 tooth extractions, billing more than $1.3 million for those procedures. He further admitted that if those extractions were medically necessary, and if had actually performed the procedures he claimed, then he should have been paid only $599,200.
Next, Skaff admitted that he submitted false bills and received payment twice for removing the same teeth from the same patients. Skaff first billed and received payments from Medicaid for the extraction of patients’ specific teeth. He then falsely billed and received payment again from Medicaid MCOs for extraction of the same teeth. Skaff admitted that he received $56,930 from his false double billings.
Skaff faces up to 10 years in federal prison when he is sentenced on November 13, 2017. As part of his plea agreement, Skaff agreed to pay $738,067 in restitution.
Skaff also entered into a civil settlement agreement today in which he agreed to pay $2.2 million as a result of his fraud. Skaff further agreed to be excluded from Medicare and Medicaid programs for 13 years, which means he will not be able to bill Medicare and Medicaid during this time period.
“This case demonstrates the good that comes when federal and state agencies work together to identify, investigate and prosecute health care fraud,” stated United States Attorney Carol Casto. “Through the civil, criminal and administrative processes brought to bear, the Medicaid program will be made whole, Dr. Skaff will be punished, and we will protect federal health care dollars in the future by securing his exclusion from these programs.”
“Collaboration between agencies is the key to continued reduction and prevention of health care fraud and abuse in the state,” said Bill J. Crouch, West Virginia Department of Health and Human Resources Cabinet Secretary. “DHHR and its specially-trained, nationally-recognized Medicaid Fraud Control Unit work daily with our federal and state partners to resolve these issues for the benefit of our citizens and the Medicaid program.”
The West Virginia Medicaid Fraud Control Unit, the FBI, the Office of Inspector General for the U.S. Department of Health and Human Services, and the Affirmative Civil Enforcement investigator from the U.S. Attorney’s Office conducted the investigation. Assistant United States Attorney Meredith George Thomas is in charge of the criminal prosecution. Assistant United States Attorney Jennifer Mankins is responsible for the civil settlement. The plea hearing was held before United States District Judge Joseph R. Goodwin.
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California Man Sentenced to Prison for Perpetrating Trademark ScamRead the Press Release
A California man was sentenced to prison today for his role as the mastermind of a $1.66 million mass mailing scam aimed at trademark holders. The former manager of a Wells Fargo branch in Glendale, California, and his associate were also sentenced to prison today for their roles in laundering the scam’s proceeds.
Acting Assistant Attorney General Kenneth A. Blanco of the Justice Department’s Criminal Division, Acting U.S. Attorney Sandra R. Brown of the Central District of California, Inspector in Charge Nichole Cooper of the U.S. Postal Inspection Service’s (USPIS) Los Angeles Division and Special Agent in Charge Damon Rowe of IRS Criminal Investigation’s (IRS-CI) Los Angeles Field Office made the announcement. The sentences were issued by U.S. District Court Judge Stephen V. Wilson.
Artashes Darbinyan, 37, of Glendale, was sentenced to 96 months in prison and was ordered to pay $1,557,979 in restitution. Orbel Hakobyan, 42, of Glendale, was sentenced to 24 months in prison and was ordered to pay $1,218,024 in restitution. Albert Yagubyan, 37, of Burbank, California, was sentenced to 18 months in prison and was ordered to pay $1,048,069 in restitution. In December 2016, Darbinyan pleaded guilty to one count of mail fraud and one count of conspiracy to launder monetary instruments, and Hakobyan pleaded guilty to one count of conspiracy to launder monetary instruments. Following a jury trial in March 2017, Yagubyan was convicted of one count of conspiracy to launder monetary instruments, four counts of concealment money laundering and one count of false bank entries.
As part of his guilty plea, Darbinyan admitted that from September 2013 to September 2015 he ran a mass mailing scam under the names Trademark Compliance Center (TCC) and Trademark Compliance Office (TCO), which targeted small businesses that had recently applied for trademark protection with the U.S. Patent & Trademark Office. The scam involved fraudulent offers of a service in which TCC and TCO promised to monitor an applicant’s trademark for infringing marks and to register the trademark with U.S. Customs and Border Protection (CBP), which offers a real service that screens imports for possibly infringing trademarks. The offers were made via mail solicitations and claimed the services would be provided for $385. Darbinyan never monitored or registered, nor ever intended to monitor or register, any of the trademarks with CBP for the customers who paid the fee, he admitted.
Darbinyan also admitted to concealing his control over the scam through elaborate measures in which he illegally used the identities of other people to open accounts at virtual office centers in the Washington, D.C., area, which received and then forwarded victims’ payments to other virtual office centers in the Los Angeles area. Using those same illicit identities, Darbinyan then, with co-conspirators’ assistance, opened bank accounts at Wells Fargo through which he laundered the proceeds of the scam. To further avoid detection, Darbinyan paid virtual office fees with money orders; used bogus email accounts, which he would only log into using prepaid wireless modems; and regularly changed cell phone numbers.
As part of his guilty plea, Hakobyan admitted to helping launder the proceeds of the trademark scam. Specifically, Hakobyan deposited victims’ checks into bank accounts at Wells Fargo that had been opened under false names. Hakobyan misrepresented his identity to withdraw funds from the accounts at Wells Fargo in the form of cash and cashier’s checks, which he then used to purchase gold, he admitted. In total, he admitted to helping launder approximately $1.29 million of the scam’s proceeds.
According to evidence presented at Yagubyan’s trial, from June 27, 2014 to Sept. 18, 2015, Yagubyan, in his role as manager of a large Wells Fargo branch in Glendale, helped launder victims checks paid to the TCC and TCO. Yagubyan laundered the illegal funds by instructing subordinates at the bank to open bogus bank accounts, into which the illicit proceeds of the TCC and TCO scam were deposited, and to process fraudulent withdrawals, wire transfers and cashier’s checks for co-conspirators Darbinyan and Hakobyan, the evidence showed. The cashier’s checks and wire transfers were made out to gold dealers, turning the victims’ checks into cash and gold that the co-conspirators could spend without being traced back to their fraud scheme. The bank accounts were opened using the identities of individuals from Eastern Europe who were not in the U.S. at the time the accounts were opened. The evidence at trial further showed that Darbinyan paid Yagubyan a percentage of the laundered proceeds and that Yagubyan, in turn, made payments and promises of promotion to subordinates to induce them to conduct the fraudulent transactions.
In total, according to Darbinyan’s guilty plea and the evidence presented at trial, the trademark scam defrauded approximately 4,446 victims of $1.66 million.
USPIS and IRS-CI investigated the case. Trial Attorneys William E. Johnston and Alison L. Anderson of the Fraud Section of the Justice Department’s Criminal Division are prosecuting the case.
Battle Creek Hotel Owner Ordered to Pay Restitution of $150,500 to EmployeesRead the Press Release
GRAND RAPIDS, MICHIGAN — Acting U.S. Attorney Andrew Birge announced today that Mehul Chandubhai Patel, a/k/a "Mike Patel," 31, of Battle Creek, Michigan, was ordered to pay restitution of $150,500 to his former employees. The restitution order is the last stage of Patel’s sentence for lying to Labor Department investigators during their probe into his violation of minimum wage laws while operating two hotels operated by him, in Battle Creek and Coldwater, Michigan. Patel is currently serving a 60-day sentence imposed in U.S. District Court on May 24, 2017 for the offense.
On February 2, 2017, Patel appeared in federal court and pled guilty to violating 18 U.S.C. 1001(a)(1), a federal statute that prohibits anyone from concealing a material fact from the federal government when obligated to disclose it. He admitted that during 2005, the Department of Labor ("DOL") had found him to be in violation of minimum wage laws by underpaying his hotel employees. He thereafter signed an agreement promising to repay his employees. When requested to provide proof that he had done so, Patel sent DOL checks indicating that back wages had been repaid. However, he concealed the fact that he required his employees to return the money to him immediately after cashing them.
U.S. District Judge Paul Maloney delayed imposing restitution at the sentencing hearing, advising the parties that he would decide the matter in August if they could not reach an agreement on the amount of restitution. On August 18, 2017, the U.S. Attorney’s Office reached an agreement with Patel that he would immediately pay $150,500 to the Department of Labor, for disbursement to his former employees. This will result in no further action against him for back wages, either in criminal or civil court.
Acting U.S. Attorney Birge commented that "Putting Patel in jail for cheating his financially distressed employees was important, but so is making sure they are paid what they are owed. This settlement allows them to be repaid right away, rather than waiting months or years." Birge praised the help provided by the Chicago Office of the Department of Labor for its help in reaching a settlement that satisfied both criminal restitution and civil damages issues.
Prosecution of the matter was assigned to Timothy VerHey, Assistant U.S. Attorney. The matter was investigated by the US Department of Labor, Office of Inspector General, Homeland Security Investigations, and the Battle Creek Police Department.
END
Saturday 19 August 2017
Syracuse Attorney Pleads Guilty to Calling in a Bomb Threat to Federal BuildingRead the Press Release
SYRACUSE, NEW YORK – Jacqueline Jones, 47, of Fayetteville, New York, pled guilty today to Falsely Reporting an Incident in the Third Degree, a misdemeanor offense, in connection to her telephoning an anonymous bomb threat on February 20, 2015 to the Children’s Beginnings Daycare in the James Hanley Federal Building in Syracuse, New York, announced 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 (FBI).
Following her guilty plea today, Jacqueline Jones was sentenced to a one-year term of probation, a $20,000.00 fine and 250 hours of community service.
As part of her guilty plea, Jacqueline Jones, an attorney for over 20 years, admitted that she anonymously made the threatening call from the Regional Transportation Center in Syracuse in an effort to avoid appearing in Federal Court in the James Hanley Federal Building on a civil case that had become contentious. She later wrote a letter to the Federal Judge presiding over that case containing false statements about the reasons for her failure to appear.
This case was investigated by FBI, the United States Marshals Service, the Syracuse Police Department, and the Federal Protective Service Police, and was prosecuted by Assistant U.S. Attorney Richard Southwick.
Friday 18 August 2017
Wethersfield Woman Pleads Guilty to Money Laundering OffenseRead the Press Release
Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that URMILA SRI THAKUR, also known as Urmila Buddhu-Thakur and Indro Buddhu-Thakur, 72, of Wethersfield, pleaded guilty today in New Haven federal court to a money laundering offense stemming from a fraudulent debt elimination scheme.
According to court documents and statements made in court, from 2009 to June 2012, THAKUR, her former husband, Deowraj “Deo” Buddhu and their daughter, Sunita Buddhu, sold a debt elimination “program” to vulnerable individuals through various businesses, including Paradise Consulting Service, Hema, Inc., and Secured Redemption. In exchange for substantial fees, Deo Buddhu told victims about a little-known government fund that could be used to pay off their mortgages and other debts. In fact, no such fund exists. Buddhu instructed his victims to stop making payments on their mortgages, credit cards and other debts, and to stop paying their property taxes. He also provided his victims with fictitious promissory notes, which he called “bonds,” as well as other frivolous documentation, and advised his victims to use them to pay their debts.
On June 12, 2012, the day after Deo Buddhu’s arrest, THAKUR withdrew $75,000 from a certificate of deposit account that contained funds from the scheme. She also obtained several cashier’s checks, including one for $50,000 made payable to THAKUR, which she thereafter negotiated using accounts in the name of SDK SYS Solutions and TRK Consulting Services.
THAKUR pleaded guilty to one count of money laundering, which carries a maximum term of imprisonment of 10 years. She is scheduled to be sentenced by U.S. District Judge Alvin W. Thompson in Hartford on November 20, 2017.
As part of her plea, THAKUR has agreed to pay restitution in the amount of $335,072, which is the amount attributable to the underlying fraudulent debt elimination scheme.
THAKUR is released on a $250,000 bond pending sentencing.
Deo Buddhu and Sunita Buddhu were previously convicted in Hartford federal court.
This matter is being investigated by the Internal Revenue Service – Criminal Investigation Division and the U.S. Department of Housing and Urban Development – Office of Inspector General. The case is being prosecuted by Assistant U.S. Attorneys John T. Pierpont, Jr. and Liam Brennan.
Weatherby Lake Police Chief Honored for Law Enforcement CareerRead the Press Release
KANSAS CITY, Mo. – Tom Larson, Acting United States Attorney for the Western District of Missouri, announced today that Weatherby Lake, Mo., Police Chief Gary McMullin has received the Award for Lifetime Achievement.
McMullin was honored on Thursday, Aug. 17, 2017, during the 15th Annual LECC Training Seminar in Springfield, Mo. The award was presented by Les Kerr, who leads the U.S. Attorney’s Office Law Enforcement Coordinating Committee.
McMullin has served the Weatherby Lake community for 44 years, making him the second-longest-serving chief of police in the state of Missouri. Throughout his service, noted Kerr, McMullin has created an enduring impact on local law enforcement. His leadership and commitment to policing have created a standard of professionalism and a legacy of learning. He set high standards for safety and protocol not commonly seen in small organizations.
After a stint in the U.S. Air Force, McMullin began his career in 1968. This included brief stops at Jackson County, North Kansas City and Lake Waukomis. On Jan. 1, 1974, he became chief of police and continues to serve in this capacity. He attended Kansas City Missouri Auxiliary Police Advanced Training Academy, Missouri State Highway Patrol Academy and the Regional Justice Center for Criminal Justice.
McMullin has received numerous certificates of commendation and appreciation. He was awarded the “Outstanding Young Police Officer Award” in 1977, was the recipient of the prestigious John Edgar Hoover Memorial Gold Award for Distinguished Public Service in 1987 and the Clarence M. Kelly Award in 2013. The National Rifle Association has recognized him as a Distinguished Expert in the field of firearms.
Early in his career, McMullin introduced the concept of community policing to foster a dramatic increase in the community’s trust and faith in his police department that still exists today. He was influential in the growth of his agency. He was the only full time officer when hired; the department supplemented staff with volunteer reserve officers. He was successful in getting the city to move them from volunteer status to receiving a stipend and then to receiving a decent hourly wage. Once again he persuaded the city to move them from reserves to part-time officers, and finally expand to its current force of five full-time and 10 part-time officers.
One of his defining characteristics is his leadership style, which fosters mutual trust, good morale and creates a quality work environment. He has utilized these leadership skills by serving on the board of directors of the Missouri Peace Officers Association of which he was awarded a lifetime membership. He also was granted a Life Member Certificate in the International Association of Chiefs of Police. He is a member of the Missouri Police Chiefs Association, Metropolitan Chiefs and Sheriffs Association, National Rifle Association and Police Marksmen Association. He is a founding member of the Northland Investigators Association, formed to promote collaboration and information sharing among federal, state and local law enforcement.
McMullin has worked tirelessly to obtain skills and equipment that benefit not only his officers but also the community he serves. In the late 70’s with a volunteer staffed ambulance service providing slow response times to his community, he ensured that his officers obtained emergency medical training so they could attend to medical emergencies of his residents. Due to his tireless work seeking funding through donations and community organizations, his agency was one of the first in the area to receive in-car audio/video recording systems, AED’s and body worn camera systems. The significance of this is that many smaller agencies are not able to provide these tools for their officers. He made high standards, officer safety and transparency to his community a priority.
To support the members of the United States Military, he helped form SWAT (Supporting Weatherby Lakes Adopted Troops). Through fundraising efforts and community support, SWAT afforded assistance and encouragement to the adopted troops stationed at Fort Riley, especially during their multiple deployments to Iraq and Afghanistan. SWAT honors these heroes on the Fourth of July, supplies care packages while deployed and hosts functions to create memories with their families when they return.
McMullin is a 32nd degree Mason in the Scottish Rite and a practicing member of the Ararat Shrine.
Wanblee Man Charged with Failure to Register as a Sex OffenderRead the Press Release
United States Attorney Randolph J. Seiler announced that a Wanblee, South Dakota, man has been indicted by a federal grand jury for Failure to Register as a Sex Offender.
Rydell Iron Rope, age 44, was indicted on August 16, 2017. He appeared before U.S. Magistrate Judge Mark A. Moreno on August 17, 2017, and pled not guilty to the Indictment.
The maximum penalty upon conviction is up to 10 years in custody and/or a $250,000 fine, a mandatory minimum of at least 5 years of supervised release, and $100 to the Federal Crime Victims Fund. Restitution may also be ordered.
The Indictment alleges that between April 28, 2017, and August 16, 2017, Iron Rope, a person required to register under the Sex Offender Registration and Notification Act, and a sex offender by reason of a conviction under federal law, knowingly failed to register and update his registration.
The charge is merely an accusation and Iron Rope is presumed innocent until and unless proven guilty.
The investigation is being conducted by the U.S. Marshals Service. Assistant U.S. Attorney Jay Miller is prosecuting the case.
Iron Rope was remanded to the custody of the U.S. Marshals Service pending trial. A trial date has not been set.
USPS Agent Honored for $8 Million International Fraud InvestigationRead the Press Release
KANSAS CITY, Mo. – Tom Larson, Acting United States Attorney for the Western District of Missouri, announced that today that a an agent for the U.S. Postal Inspection Service and a detective with the Kansas City, Mo., Police Department have received the 2017 Guardian of Justice Award.
U.S. Postal Inspector Matthew Murrow and Kansas City, Mo., Police Detective Sarah Throckmorton were honored on Thursday, Aug. 17, 2017, during the 15th Annual LECC Training Seminar in Springfield, Mo. Murrow was honored for his investigation into an $8 million fraud scheme led by a St. Robert, Mo., woman who conspired with sources in Nigeria to defraud more than 1,000 victims. Throckmorton was honored for her investigation of one of the most egregious stalking and cyberstalking cases ever prosecuted by the Jackson County Prosecutor’s Office.
U.S. Postal Inspector Matthew Murrow
Postal Inspector Matthew Murrow led a four-year investigation into an international fraud scheme in which more than 1,000 victims and approximately $8 million in actual and attempted losses were identified. Murrow’s investigation resulted in the successful prosecution of five defendants and a 12-year prison sentence for the leader, Lisa Barwick-Majeski of St. Robert, Mo.
Barwick-Majeski was the ringleader of a group involved in the distribution of counterfeit US Postal Service (USPS) money orders and counterfeit cashier’s checks. Barwick-Majeski organized the activities of the group, including her mother, neighbors, and friends as they mailed the counterfeit money orders and checks to victims and received wire transfers from the victims, whom Barwick-Majeski had contacted online regarding Craig’s List purchases or Secret Shopper jobs. Many of the victims were disabled or low income and were attempting to work from home when they fell victim to Barwick-Majeski.
Barwick-Majeski communicated with individuals in Nigeria and received victim contact information from people outside of the United States. She also received counterfeit USPS money orders from overseas. Barwick-Majeski wired the money they received from victims to multiple individuals in Nigeria.
In presenting the Guardian of Justice Award to Murrow, Larson noted the extensive searches, surveillance and travel required for the investigation. Murrow coordinated with multiple federal agencies in an effort to identify and prosecute the suspects in Nigeria, but was unable to pursue those charges.
Murrow’s investigation, however, didn’t end with Barwick-Majeski’s conviction. When Barwick-Majeski arrived at the federal courthouse in Springfield, Mo., for her sentencing hearing on August 19, 2016, Murrow observed that she appeared to be faking an injury. She was dramatically struggling with a walking aid, which Murrow had never seen her use before. Barwick-Majeski’s sentencing was continued to Nov. 10, 2016. On that date, Barwick-Majeski again arrived at the courthouse using the walker and struggling dramatically to enter the courthouse. While entering the courthouse, she attempted to fall near one of the court security officers. She then went into the women’s restroom, where she was later found lying on the floor and requesting an ambulance. She was transported by ambulance to the hospital and her sentencing was cancelled.
Murrow, believing this was a ploy by Barwick-Majeski to avoid being sentenced, conducted surveillance at the hospital and observed Barwick-Majeski leaving the hospital with a friend. Murrow observed the friend pull up to the hospital entrance driving Barwick-Majeski’s vehicle. Barwick-Majeski stood up from a wheel chair unassisted and walked to the vehicle. After Barwick-Majeski got into the passenger seat of the vehicle, her friend drove to another part of the hospital parking lot and Barwick-Majeski, without any assistance or limited movement, exited the passenger seat, walked around the vehicle to the driver’s seat, and drove away. Murrow captured this activity on camera, and later recovered the hospital surveillance video as well as the courthouse surveillance video. This information was presented to the court at her Dec. 2, 2016, sentencing hearing to show that Barwick-Majeski had continued her fraud activities, and she was immediately taken into federal custody to begin serving her prison sentence.
KCPD Detective Sarah Throckmorton
Detective Sarah Throckmorton of the Kansas City, Mo., Police Department investigated one of the most egregious stalking and cyberstalking cases ever prosecuted by the Jackson County Prosecutor’s Office. As a result of her investigation, defendant Shelia Wallis was convicted at a bench trial and sentenced to 18 years in prison.
In January 2012, a victim had a six-month relationship with Wallis. After he stopped dating her, Wallis began stalking him, cyberstalking him, and harassing everyone around him, including children. The stalking began with threatening notes, and harassing anonymous text messages. When the frequency and harassment worsened, the victim obtained an order of protection. The victim received a doctored sonogram purporting to show that Wallis was pregnant. Friends of the victim, the victim’s mother, and his new girlfriend all started receiving e-mails or packages. Wallis sent a message to the new girlfriend’s minor daughter. The victim had screws in his tires. Over the next few months, the messages got more personal, and showed Wallis had been watching him. The victim lost several new girlfriends who left him due to the harassment. For example, a former girlfriend had strange men coming to her house because they saw an ad on Craigslist that had been posted by Wallis.
Nine months after the breakup, the victim was still getting harassing messages. Wallis was seen following the victim several times. The victim even caught Wallis going through his trash in the middle of the night. The victim broke his arm when he chased her and fell as she sped away in her car. This harassment continued for months and through the holidays. Several fake e-mail accounts were used by Wallis. Wallis was observed lurking around and following him; she was seen at his daughter’s soccer game. Child custody papers were taped to his neighbor’s fence. New girlfriends had “SLUT” written on glass doors at their home or gates broken, and pizzas repeatedly delivered to their houses. The victim’s new and ex-girlfriends obtained orders of protection.
Wallis was observed following the victim’s minor son walking from the bus stop. The victim’s friends started to get the same treatment — vulgarity written on their homes, messages to their employers, accusations of cheating, threats or messages to their children. Fliers were sent to the victim’s son’s elementary school, accusing the victim of being a sex offender.
In presenting the Guardian of Justice Award to Throckmorton, Larson noted that she not only persisted through many difficulties and led a very challenging investigation, but became a victim herself in the process. E-mails and other messages were sent to her workplace by Wallis. Throckmorton had to move and take other safety precautions.
Working with the U.S. Attorney’s Office and the FBI’s Regional Computer Forensic Laboratory, Throckmorton was able to put her investigation together with the digital evidence obtained from social media services. This helped her identify Wallis’s location and the computers she was using so that a search warrant was obtained for Wallis’s residence. When law enforcement searched Wallis’s home, they found a goldmine of frightening evidence, which led to her being charged in Jackson County in January 2015. This new evidence included the home address of Throckmorton, who herself had now become a target for Wallis. Examiner Mark Johnson at the RCFL found a diary, which detailed step-by-step what Wallis had been doing for years. It was a log of the stalking and harassment, from putting chemicals in the irrigation system of the victim (to kill his lawn), to her repeated following him and his friends and family, to the numerous fake accounts she used to send her messages.
Cyberstalking and stalking cases are difficult to prosecute, Larson noted. This case had a profound impact on these victims, yet individual incidents were difficult to prove and by themselves misdemeanors. However, when Throckmorton was able to paint the complete picture, the true nature of this case became clear.
Guardian of Justice Award
The annual Guardian of Justice Award recognizes a state or local officer as well as a federal agent for investigative excellence, selfless collaboration, tireless trial support, commendable diligence and professionalism, and noteworthy assistance to prosecution. The prestigious law enforcement award is presented by the U.S. Attorney’s Office each year during the law enforcement training conference.
Two Women Sentenced for Conspiracy in Scheme to Steal Feeding Program FundsRead the Press Release
LITTLE ROCK—Patrick C. Harris, Acting United States Attorney for the Eastern District of Arkansas, announced today that Erica Warren, 38, of Little Rock, and Alexis Young, 38, of Bryant, were sentenced to federal prison for conspiring to commit mail fraud. The charge relates to a conspiracy to fraudulently obtain United States Department of Agriculture (USDA) program funds intended to feed children in low income areas during the school year.
Today’s sentencing hearings took place in Little Rock before Chief United States District Judge Brian S. Miller.
The USDA funds the Child and Adult Care Feeding Program (CACFP), which includes an at-risk after school component. In Arkansas, the feeding programs are administered by the Arkansas Department of Human Services (DHS). Sponsors who want to participate in the feeding programs must submit an application to DHS for approval. Once approved, they can provide meals as part of the feeding program and be reimbursed based on the number of eligible meals they serve.
Warren operated as a sponsor for a feeding program through an organization called “Write of Passage.” At times during the period charged in the Information, Warren had sites in Little Rock. Young worked for DHS, and part of her job was to determine eligibility of sponsors to participate in the feeding programs. Young was responsible for reviewing and approving Warren’s sites.
Warren and Young admitted that they conspired to form “Write of Passage” to obtain funds fraudulently from the feeding program. This was done by inflating the number of children fed on claims submitted to DHS. “Write of Passage” was paid $253,817.44. Warren and Young both shared in the proceeds from these inflated claims as Warren paid Young cash and indirectly by checks made payable to one of Young’s relatives.
Warren and Young were both sentenced to 18 months’ imprisonment, to be followed by two years supervised release. They were ordered to pay restitution, joint and several with each other, in the amount of $253,817.44.
The statutory penalty for conspiracy to commit wire fraud is not more than 20 years imprisonment, not more than a $250,000 fine, or both, and not more than three years supervised release.
The investigation is ongoing and is being conducted by the USDA–Office of Inspector General, Federal Bureau of Investigation, Internal Revenue Service–Criminal Investigations, and United States Marshals Service. The case is being prosecuted by Assistant United States Attorneys Jana Harris and Allison W. Bragg. If you are aware of any fraudulent activity regarding these feeding programs, please email that information to [email protected].
Two More Members of Violent “Hobos” Street Gang Sentenced to Life in Prison on Federal Racketeering ChargesRead the Press Release
CHICAGO — Two Chicago men today became the fifth and sixth members of the violent “Hobos” street gang to be sentenced to life in prison on federal racketeering charges.
The Hobos were a criminal enterprise in Chicago that dealt narcotics, robbed from other drug dealers, retaliated against rival gangs, and violently prevented witnesses from cooperating with law enforcement. For nearly a decade the gang committed murders, attempted murders and robberies, primarily on the city’s south and west sides. All ten Hobos charged in the federal investigation were either convicted by a jury or pleaded guilty prior to trial. An eleventh Hobo died shortly before charges were brought.
DERRICK VAUGHN and WILLIAM FORD today became the fifth and sixth members of the gang to receive life sentences. Three others previously received sentences ranging from seven to 40 years in prison. One defendant, RODNEY JONES, cooperated with the government and will be sentenced later this year.
The sentencings were announced by Joel R. Levin, Acting United States Attorney for the Northern District of Illinois; Michael J. Anderson, Special Agent-in-Charge of the Chicago Office of the Federal Bureau of Investigation; Eddie T. Johnson, Chicago Police Superintendent; and Gabriel L. Grchan, Special Agent-in-Charge of the Chicago Office of the Internal Revenue Service Criminal Investigation Division. The Illinois State Police, Illinois Department of Corrections and Illinois Secretary of State Police provided assistance.
Federal, state and local authorities uncovered the gang activity through an extensive investigation conducted by the Organized Crime Drug Enforcement Task Force (OCDETF) and the FBI Chicago Safe Streets Gang Unit. The Task Forces have been responsible for disrupting some of the Chicago area’s most sophisticated drug-trafficking organizations.
Evidence at the 15-week trial last year revealed that the Hobos were comprised of former members of other gangs that were once rivals. The Hobos allied together in order to more profitably distribute narcotics and establish control of territories on the south and west sides of Chicago. The Hobos were violent and ruthless, often using high-powered guns and assault rifles. From 2004 to 2013 the Hobos engaged in narcotics trafficking, home invasions and armed robberies, often of rival drug dealers. Members of the gang shared the wealth with each other, buying luxury items and taking trips to Hawaii and Florida.
In addition to today’s sentencings of Ford and Derrick Vaughn, U.S. District Judge John J. Tharp Jr. previously sentenced four other Hobos to life in prison on racketeering conspiracy charges: ARNOLD COUNCIL, PARIS POE, GABRIEL BUSH, and BYRON BROWN, all of Chicago. Judge Tharp previously sentenced GREGORY CHESTER, of Richton Park, to 40 years in prison; STANLEY VAUGHN, of Chicago, to 20 years in prison, which must be served consecutively to a 23-year prison term previously imposed in a separate case; and Gregory Chester’s cousin, GARY CHESTER, of Chicago, to seven years in prison.
The sentencing for Jones, of Chicago, is set for Nov. 20, 2017, before Judge Tharp. The eleventh Hobo, Byron Brown’s twin brother, BRANDON BROWN, was identified in the indictment as a coconspirator, but he died before the charges were brought.
Although the Hobos lacked a traditional hierarchy, Gregory Chester was recognized as its leader. When the Hobos learned that individuals were cooperating with law enforcement, the gang resorted to murder in order to prevent it. In 2006 Council and Poe fatally shot Wilbert Moore, whose cooperation with Chicago Police had led to state gun and drug charges against Council. In 2013 Poe shot and killed Keith Daniels after Daniels cooperated with the federal investigation that led to these convictions.
The government is represented by Assistant U.S. Attorneys Patrick Otlewski, Derek Owens and Timothy Storino.
Two Aryan Brotherhood Members Sentenced to Federal Prison for 2016 Burleson County CarjackingRead the Press Release
In Austin today, a federal judge sentenced Aryan Brotherhood members Roy Ates, Jr., and Chad Ryan Smith, to 180 months and 160 months in federal prison, respectively, for their roles in a 2016 Burleson County (TX) carjacking that resulted in the serious bodily injury to the owner of the vehicle announced United States Attorney Richard L. Durbin, Jr., and Federal Bureau of Investigation Special Agent in Charge Perrye K. Turner, Houston Division.
In addition to the prison term, United States District Judge Sam Sparks ordered that Ates, age 40 of College Station, TX, and Smith, age 32 of Somerville, TX, be placed on supervised release for a period of three years after completing their prison terms.
According to court records, the victim in this case, an African American, drove to a residence in Somerville on July 2, 2016. Upon his arrival, the defendants ambushed him and began assaulting him while the victim was still inside his vehicle. During the physical altercation, Ates brandished a large knife and cut the victim’s hand, which required multiple stitches. Claiming they needed it to get to Austin to catch a bus to Missouri, the defendants the took control of the victim’s vehicle and drove to a remote area in Lee County where they forced the victim to exit the vehicle. Instead of going to Austin, the defendants returned to Burleson County in the victim’s vehicle.
“The United States Attorney’s Office is committed to identifying, apprehending and prosecuting violent criminals in an effort to deter crime and protect the citizens of our communities,” stated United States Attorney Richard L. Durbin, Jr. “As the Attorney General has directed, we will continue our aggressive efforts in using the tools available to us to hold violent criminals accountable for their actions and ensure appropriate sanctions under federal law.”
“The FBI remains committed to investigating those who pose a threat to society and violate the most basic civil liberties of the American people. Violent crimes inflicted upon our citizens erode the trust that is inherent in a law abiding society,” stated FBI Special Agent in Charge Perrye K. Turner, Houston Division. “The FBI will continue to combine our resources with our local, state, and federal partners to mitigate this prevalent threat in an efficient and effective manner.”
On April 25, 2107, federal authorities arrested the defendants in Burleson County. They have since remained in federal custody.
The Burleson County Sheriff’s Office, Texas Rangers, Burleson County District Attorney’s Office and the FBI Safe Streets Task Force out of the FBI Resident Agency Office in Bryan, TX, investigated this case. Assistant United States Attorney Grant Sparks prosecuted this case on behalf of the Government.
St. Augustine Pharmacist Pleads Guilty to $2 Million Compound Pharmacy Fraud SchemeRead the Press Release
Jacksonville, FL – Acting United States Attorney W. Stephen Muldrow announces that Dino Ajloni (40, St. Augustine) has pleaded guilty to healthcare fraud in connection with his role in a fraudulent compound pharmacy scheme. He faces a maximum penalty of 10 years in federal prison.
According to the plea agreement, Ajloni was the operator of Wellness Pharmacy in St Augustine. He performed various jobs, including marketing prescriptions, recruiting physicians to write and fill prescriptions at Wellness Pharmacy, and other jobs.
Ajloni also relied on marketers to help recruit patients to get prescriptions filled at his pharmacy. One of these marketers brought his family in to become “patients” of Wellness Pharmacy. The pharmacy filled numerous prescriptions for the marketer’s family and received nearly $200,000 in government reimbursement. Ajloni admitted paying the marketer almost $50,000 for the referral of work, in violation of the Anti-Kickback statute.
Ajloni also recruited patients himself. For example, he offered patients access to “anything in the store” if they agreed to receive compound prescription drugs. At other times, he offered gift baskets, with chocolate, deodorant, nuts, and other accessories, to patients that accepted compounded prescriptions.
In 2016, TRICARE developed suspicions regarding the legitimacy of these compound prescriptions. Because the vast majority of Wellness Pharmacy’s claims were purportedly written by a doctor who had never separately billed for these patient visits, TRICARE asked Wellness Pharmacy to complete an audit. During the course of the audit, Ajloni and others made a variety of false and misleading statements. Among other things, Ajloni noted that all patients paid co-pays, no patient was offered anything of value to receive prescriptions, and that Wellness Pharmacy called the doctor prior to dispensing the prescriptions.
Ajloni received $1,916,206.97 in healthcare reimbursement that he was not otherwise entitled to receive.
This case was investigated by the Federal Bureau of Investigation and the Defense Criminal Investigative Service. It is being prosecuted by Assistant United States Attorney Jason Mehta.
Southern Illinois Residents Sentenced for Methamphetamine OffensesRead the Press Release
On August 17, 2017, Marshall W. Duty, 58, of Dongola, IL, and Kiristien M. Joyner, 28, of Carbondale, IL, were sentenced to federal prison for methamphetamine offenses, United States Attorney for the Southern District of Illinois, Donald S. Boyce, announced today.
Duty, who had previously pled guilty to conspiracy to manufacture and distribute more than 50 grams of methamphetamine and distribution of methamphetamine from a public housing apartment, was sentenced to 120 months of imprisonment, to be followed by six years of supervised release. Joyner, who had previously pled guilty to conspiracy to manufacture and distribute more than 50 grams of methamphetamine and distribution of methamphetamine, was sentenced to 120 months of imprisonment, to be followed by three years of supervised release. Additionally, Duty and Joyner were each fined $300.00. Evidence at the plea and sentencing hearings established that, between 2013, and October 3, 2016, Duty and Joyner were involved with each other and others in the manufacture and distribution of methamphetamine in Union, Jackson, and Williamson Counties. At sentencing, the district court found that Duty and Joyner were responsible for the distribution of 226.56 grams of methamphetamine. Duty was also found responsible for the possession of 288.9 grams of pseudoephedrine.
South Bend Man Sentenced to 125 Months ImprisonmentRead the Press Release
SOUTH BEND - Acting United States Attorney Clifford D. Johnson announced that Anthony Huey, 34, of South Bend, Indiana was sentenced before District Court Judge Jon E. DeGuilio for Transportation of a Minor with Intent to Engage in Prostitution.
Huey was sentenced to 125 months of imprisonment and 2 years of supervised release. Restitution to the minor victim, if any, will be decided within the next 30 days.
According to documents in this case, from on or about October 3, 2014 to on or about October 6, 2014, Huey transported Jane Doe, whom he knew to be under the age of 18, from Indiana to Illinois, with the purpose that she engage in prostitution.
This case was investigated by the Federal Bureau of Investigation and handled by Assistant U.S. Attorney John M. Maciejczyk.
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Sinaloa Cartel Associate ArrestedRead the Press Release
Assistant U.S. Attorney Adam Braverman (619) 546-6717
NEWS RELEASE SUMMARY – August 18, 2017
SAN DIEGO – Alvaro Lopez-Nunez – brother of Sinaloa Cartel leader Damaso Lopez-Nunez, aka Licenciado, and uncle of Sinaloa Cartel cell leader Damaso Lopez-Serrano, aka Mini Lic – was taken into custody by Drug Enforcement Administration agents at the Nogales, Arizona Port of Entry on August 17, 2017. His arrest follows on the heels of Lopez-Serrano’s July 27, 2017, self-surrender in the Southern District of California.
A federal grand jury in San Diego returned an indictment on August 19, 2016, charging Damaso Lopez-Serrano, Alvaro Lopez-Nunez and four of their close associates, including Nahum Sicairos-Montalvo, aka Kinceanero, with Conspiracy to Distribute Controlled Substances Intended for Importation and Conspiracy to Import Controlled Substances. That same day, the Clerk of the Court issued sealed warrants for their arrests. Sicairos-Montalvo was subsequently arrested by Mexican law enforcement officials. The remaining defendants are fugitives.
On August 18, 2017, Alvaro Lopez-Nunez made his initial appearance in federal court in Tucson, Arizona and was arraigned on the San Diego indictment.
The arrest marks the continued efforts by the Southern District of California to target the Sinaloa Cartel in Operation Narco Polo. This case is the result of ongoing efforts by the Organized Crime Drug Enforcement Task Force (OCDETF), a partnership that brings together the combined expertise and unique abilities of federal, state and local law enforcement agencies. The principal mission of the OCDETF program is to identify, disrupt, dismantle and prosecute high-level members of drug trafficking, weapons trafficking and money laundering organizations and enterprises.
DEFENDANT Case Number 16CR1896-DMS
Alvaro Lopez-Nunez Age: 38 Culiacan, Mexico
SUMMARY OF CHARGES
Conspiracy to Distribute Controlled Substances for Purpose of Unlawful Importation, in violation of Title 21 U.S.C. §§ 959, 960 and 963; Term of custody including a mandatory minimum 10 years and up to life imprisonment, $10,000,000 fine and 5 years supervised release.
Conspiracy to Import Controlled Substances, in violation of Title 21 U.S.C. §§ 952, 960 and 963. Term of custody including a mandatory minimum 10 years and up to life imprisonment, $10,000,000 fine and 5 years supervised release.
AGENCIES
Drug Enforcement Administration
Customs and Border Protection Office of Field Operations
Customs and Border Protection Office of Border Patrol
Department of Justice, Organized Crime Drug Enforcement Task Forces
Department of Justice, Office of Enforcement Operations
*An indictment or complaint is not evidence that the defendants committed the crimes charged. The defendants are presumed innocent until the Government meets its burden in court of proving guilt beyond a reasonable doubt.
Sex Trafficking Operation Results in ArrestsRead the Press Release
PIERRE, S.D. - Attorney General Marty Jackley, United States Attorney Randolph J. Seiler, Rapid City Police Chief Karl Jegeris, and Pennington County Sheriff Kevin Thom announce that the Division of Criminal Investigation, the South Dakota Internet Crimes Against Children (ICAC) Task Force, and Homeland Security Investigations have conducted investigations into sex trafficking during the Motorcycle Rally.
“It is important that we protect our children with law enforcement operations that focus on removing sexual predators from our streets. Our operations continue to protect children and send a message that South Dakota is off-limits to anyone seeking to harm our children,” said Jackley.
“Despite the intense publicity and focus on human trafficking these past few years, these undercover operations serve as a somber reminder that some people will throw caution to the wind and succumb to their perverted instincts,” said U.S. Attorney Randy Seiler. “I’m proud of the joint collaboration displayed by law enforcement and our united efforts to bring sex traffickers to justice.”
The investigation resulted in the following felony arrests and indictments for sex crimes:
Eric Carl Afrank, 22, Rapid City, SD, Enticement of a Minor Using the Internet (18 USC 2422(b))
Joshua Aschwege, 33, Black Hawk, SD, Attempted Commercial Sex Trafficking of a Minor - 18 USC 1591(a) and 1594 (a) and Enticement of a Minor using the Internet USC 2422(b)
Donald Scott Baker, 45, Independence, MO, Attempted Commercial Sex Trafficking of a Minor - 18 USC 1591(a) and 1594 (a) and Enticement of a Minor using the Internet USC 2422(b)
Kevin J. Carney, 30, Portland CT, Enticement of a Minor Using the Internet (18 USC 2422(b))Jimmy Rudy Custodio, 39, Edina MN, Attempted Commercial Sex Trafficking of a Minor - 18 USC 1591(a) and 1594 (a) and Enticement of a Minor Using the Internet (18 USC 2422(b))
Erik Glenn Dahlquist, 29, Rapid City, SD, Attempted Commercial Sex Trafficking of a Minor - 18 USC 1591(a) and 1594 (a) and Enticement of a Minor Using the Internet (18 USC 2422(b))
Abdurrahman Keskin, 26, Silvan, Turkey, Enticement of a Minor Using the Internet (18 USC 2422(b))
Carlocito Slim, 31, Lake Jackson, TX, Attempted Commercial Sex Trafficking of a Minor - 18 USC 1591(a) and 1594 (a) and Enticement of a Minor Using the Internet (18 USC 2422(b))Daniel David Wasner, 31, St. Cloud, MN, Enticement of a Minor Using the Internet (18 USC 2422(b))
The mandatory minimum penalty upon conviction for Attempted Enticement of a Minor Using the Internet is 10 years in prison, up to life imprisonment. For Commercial Sex Trafficking of a Minor under 14, the charge carries a mandatory minimum term of 15 years in federal prison and up to life imprisonment. If the minor is over 14 years of age, it is 10 years mandatory minimum.
All these individuals are presumed innocent until such time as proven guilty.
The cases are being federally prosecuted by Assistant U.S. Attorney Sarah Collins.