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8 September 2017
Honduran National Indicted for Illegal Re-EntryRead the Press Release
Acting U.S. Attorney Duane A. Evans announced that PREBERR RAMOS-PALMA, age 24, was charged yesterday in a one-count Indictment with illegal reentry of a removed alien in violation of Title 8, United States Code, Section 1326(a) & (b)(1).
According to the Indictment, RAMOS-PALMA reentered the United States after he was previously deported on April 25, 2014. If convicted, RAMOS-PALMA faces a maximum term of imprisonment of ten years, a maximum fine of $250,000, a maximum term of supervised release of three years, and a mandatory $100 special assessment.
Acting U.S. Attorney Evans reiterated that an Indictment is merely a charge and that the guilt of the defendant must be proven beyond a reasonable doubt.
Acting U.S. Attorney Evans praised the work of the United States Department of Homeland Security in investigating this matter. Assistant U.S. Attorney Spiro G. Latsis is in charge of the prosecution.
Henderson Man Convicted of Pawn Shop RobberyRead the Press Release
LAS VEGAS, Nev. – After a three-day trial, a jury convicted a man who wore a “Jason” style hockey mask during a robbery of a Las Vegas pawn shop, announced Acting U.S. Attorney Steven W. Myhre for the District of Nevada.
Jessie Mendoza, 38, of Henderson, Nev., was found guilty of one count of conspiracy to interfere with commerce by robbery and one count of interference with commerce by robbery. United States District Judge Larry R. Hicks presided over the jury trial and scheduled sentencing for Dec. 7, 2017.
According to the criminal complaint and indictment, on Sept. 12, 2016, Mendoza and his co-conspirators conspired with each other to rob an EZ Pawn store at 3010 South Valley View Blvd. in Las Vegas. During the robbery, Mendoza acted as a lookout at the front entrance to the store while his co-conspirators stole rings, jewelry, watches, gems, and other property from display cases. They stole approximately $123,000 worth of high value jewelry items and watches.
At the time of sentencing, the defendant faces a statutory maximum penalty of 20 years in prison and a $250,000 fine.
The case was investigated by the FBI’s Safe Streets Task Force, the Las Vegas Metropolitan Police Department, and the Henderson Police Department. Assistant U.S. Attorneys Cristina D. Silva and Kilby Macfadden prosecuted the case.
This case was brought as part of Project Safe Neighborhoods, a nationwide commitment by the Department of Justice to reduce gun and gang crime in America by networking local programs that target gun and gun crime and providing these programs with additional tools necessary to be successful. For more information about Project Safe Neighborhoods, visit www.justice.gov/usao-nv.
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Gloucester County, New Jersey, Man Sentenced to 78 Months in Prison for Enticing Children to Engage in Sexual ConductRead the Press Release
CAMDEN, N.J. – A Deptford, New Jersey, man was sentenced today to 78 months in prison for using a fake Facebook profile to entice children to produce sexually explicit images, Acting U.S. Attorney William E. Fitzpatrick announced.
Michael J. Mostovlyan, 33, previously pleaded guilty before U.S. District Judge Renée Marie Bumb to an information charging him with one count of online enticement of a minor to engage in criminal sexual conduct. Judge Bumb imposed the sentence today in Camden federal court.
According to documents filed in the case and statements made in court:
Mostovlyan admitted that between Jan. 1, 2016 and June 2, 2016, he communicated with children online in order to obtain sexually explicit images of those children. Using a fake female persona on Facebook in the name of “Amber Zee,” which he created using actual images of a girl, Mostovlyan was able to persuade the victims to send him sexually explicit photographs or videos.
In addition to the prison term, Judge Bumb sentenced Mostovlyan to 15 years of supervised release.
U.S. Attorney Fitzpatrick credited special agents of the FBI, under the direction Special Agent in Charge Michael Harpster in Philadelphia; the Monroe Township Police Department under the direction of Chief John McKeown; the Gloucester County Prosecutor’s Office, under the direction of Prosecutor Sean F. Dalton; and the Deptford Township Police Department, under the direction of Chief William Hanstein, with the investigation leading to today’s sentencing.
The government is represented by Assistant U.S. Attorney Justin C. Danilewitz of the U.S. Attorney’s Office in Camden.
Glenville Man Indicted for Distributing and Possessing Child PornographyRead the Press Release
ALBANY, NEW YORK – Glenn Mears, age 44, of Glenville, New York, was indicted yesterday for distributing and possessing child pornography.
The announcement was made by Acting United States Attorney Grant C. Jaquith and Special Agent in Charge Kevin Kelly of Homeland Security Investigations (HSI), Buffalo Field Office.
The indictment charges Mears with 1 count of distributing and 10 counts of possessing child pornography. As alleged in the indictment, the images and videos possessed by Mears included those of prepubescent children and children under 12 years old. The charges in the indictment are merely accusations. The defendant is presumed innocent unless and until proven guilty.
Mears was arrested on June 27, 2017 on a criminal complaint, and will be arraigned on the indictment at a later date. If convicted on all counts, Mears faces at least 5 years and up to 20 years in prison. Mears also faces a term of post-imprisonment supervised release of at least 5 years and up to life and a fine of up to $250,000. A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines and other factors.
This case is being investigated by HSI and the New York State Police, and is being prosecuted by Assistant U.S. Attorney Cyrus P.W. Rieck.
This case is prosecuted as part of Project Safe Childhood, a nationwide initiative designed to protect children from online exploitation and abuse. Led by the United States Attorneys’ Offices, Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the Internet, as well as identify and rescue victims. For more information about Project Safe Childhood, please visit http://www.justice.gov/psc/.
Garland Couple Indicted on Tax Fraud ChargesRead the Press Release
DALLAS — A federal grand jury in Dallas returned an indictment last week, charging Garland, Texas, residents, Tammy Boulyaphonh, aka “Tammy Doan” and “Tuyet Thi Doan” and Khamlor Boulyaphonh, with one count of conspiracy to defraud the United States and four counts of false statements on income tax returns, announced John Parker, U.S. Attorney for the Northern District of Texas.
Special Agents with Internal Revenue Service (IRS) Criminal Investigation (CI) and the Federal Bureau of Investigation arrested Tammy Boulyaphonh, 49, and Khamlor Boulyaphonh, 48, on those charges, and they made their initial appearance in federal court this week.
According to the indictment, which was unsealed today, the defendants owned, operated, and controlled a chiropractic business that purported to provide medical care principally to patients injured in motor vehicle accidents. The chiropractic business operated under various corporate names, including Garland Rehab Center, LLC, Chiro Care LLC, and K Spinal Rehab Center LLC (collectively, “K-Spinal”). The majority of K-Spinal’s income came from payments received from insurance companies and payments received from attorneys who had received insurance claim settlement payments on behalf of K-Spinal’s patients. In addition to the chiropractic business, Khamlor owned, operated, and controlled K and B Custom Builders (KB), a home remolding and painting business from approximately 2005 to 2009.
The indictment alleges, for tax years 2010 through 2013, the defendants did not provide all of the 1099s they received from insurance companies and did not provide records concerning payments received from attorneys in connection with their patients’ insurance claims settlements to their tax preparer. Tammy diverted significant amounts of payments made by attorneys to her personal bank account and failed to report them as income of K-Spinal.
The indictment further alleges, for each tax year, the defendants falsely inflated the amount of K-Spinal’s business expenses, claiming, for example, to have paid several thousands of dollars to KB each year for remodeling K-Spinal’s offices.
A federal indictment is an accusation by a federal grand jury, and a defendant is entitled to the presumption of innocence unless proven guilty. The conspiracy count, upon conviction, carries a maximum statutory penalty of five years in federal prison and a $250,000 fine. Each of the false statement counts carry a maximum statutory penalty of three years in federal prison and a $100,000 fine. Restitution may also be ordered.
Internal Revenue Service Criminal Investigation and the FBI are investigating. Assistant U.S. Attorney Douglas Brasher is in charge of the prosecution.
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Galena Biopharma Inc. to Pay More Than $7.55 Million to Resolve Alleged False Claims Related to Opioid DrugRead the Press Release
Galena Biopharma Inc. (Galena) will pay more than $7.55 million to resolve allegations under the civil False Claims Act that it paid kickbacks to doctors to induce them to prescribe its fentanyl-based drug Abstral, the Department of Justice announced today.
“Given the dangers associated with opioids such as Abstral, it is imperative that prescriptions be based on a patient’s medical need rather than a doctor’s financial interests,” said Acting Assistant Attorney General Chad A. Readler of the Justice Department’s Civil Division. “The Department of Justice intends to vigorously pursue those who offer and receive illegal inducements that undermine the integrity of government health care programs.”
“The conduct alleged by the government and resolved by today’s settlement was egregious because it incentivized doctors to over-prescribe highly addictive opioids,” said Acting U.S. Attorney William E. Fitzpatrick for the District of New Jersey. “This settlement constitutes another example of the Department of Justice’s ongoing efforts to battle the opioid epidemic on every front.”
The United States contends that Galena paid multiple types of kickbacks to induce doctors to prescribe Abstral, including providing more than 85 free meals to doctors and staff from a single, high-prescribing practice; paying doctors $5,000, and speakers $6,000, plus expenses, to attend an “advisory board” that was partly planned, and attended, by Galena sales team members and paying approximately $92,000 to a physician-owned pharmacy under a performance-based rebate agreement to induce the owners to prescribe Abstral. The United States also contends that Galena paid doctors to refer patients to the company’s RELIEF patient registry study, which was nominally designed to collect data on patient experiences with Abstral, but acted as a means to induce the doctors to prescribe Abstral. Galena has not marketed any pharmaceutical drug since the end of 2015.
Two of the doctors who received remuneration from Galena were tried, convicted and later sentenced to prison in the U.S. District Court for the Southern District of Alabama following a jury trial of, among other counts, offenses relating to their prescriptions of Abstral. Galena cooperated in that prosecution.
The settlement resolves a lawsuit filed by relator Lynne Dougherty under the whistleblower provisions of the False Claims Act, which permit private parties to file suit on behalf of the United States and obtain a portion of the government’s recovery. As part of today’s resolution, Ms. Dougherty will receive more than $1.2 million. The matter remains under seal as to allegations against entities other than Galena.
The settlement is the result of a coordinated effort by the Civil Division’s Commercial Litigation Branch and the U.S. Attorney’s Office for the District of New Jersey, with assistance from the Department of Health and Human Services Office of Counsel to the Inspector General, and the Food and Drug Administration Office of Criminal Investigations’ Metro Washington Field Office.
The claims settled by this agreement are allegations only; there have been no admissions of liability by Galena.
Galena Biopharma Inc. to Pay More Than $7.55 Million to Resolve Alleged False Claims Related to Opioid DrugRead the Press Release
NEWARK, N.J. – Galena Biopharma Inc. will pay more than $7.55 million to resolve allegations that it paid kickbacks to doctors to induce them to prescribe its fentanyl-based drug Abstral, Acting U.S. Attorney William E. Fitzpatrick and Acting Assistant Attorney General Chad A. Readler of the Justice Department’s Civil Division announced today. The allegations arose from a whistleblower suit filed under the False Claims Act.
“The conduct alleged by the government and resolved by today’s settlement was egregious because it incentivized doctors to over-prescribe highly addictive opioids,” Acting U.S. Attorney Fitzpatrick said. “This settlement constitutes another example of the Department of Justice’s ongoing efforts to battle the opioid epidemic on every front.”
“Given the dangers associated with opioids such as Abstral, it is imperative that prescriptions be based on a patient’s medical need rather than a doctor’s financial interests,” Acting Assistant Attorney General Readler said. “The Department of Justice intends to vigorously pursue those who offer and receive illegal inducements that undermine the integrity of government health care programs.”
The settlement follows an investigation by the U.S. Attorney’s Office for the District of New Jersey and the Commercial Litigation Branch of the Justice Department’s Civil Division.
The United States contends that Galena Biopharma paid multiple types of kickbacks to induce doctors to prescribe Abstral, including providing more than 85 free meals to doctors and staff from a single, high-prescribing practice; paying doctors $5,000 honoraria, and speakers $6,000, plus expenses, to attend an “advisory board” that was partly planned, and was attended by, Galena sales team members; and paying approximately $92,000 to a physician-owned pharmacy under a performance-based rebate agreement to induce the owners to prescribe Abstral. The United States also contends that Galena paid doctors to refer patients to the company’s RELIEF patient registry study, which was nominally designed to collect data on patient experiences with Abstral, but acted as a means to induce the doctors to prescribe Abstral.
Galena Biopharma sold Abstral in November 2015 after booking net losses on Abstral in each year that it owned the drug, beginning in June 2013. During that period, Medicare, TRICARE, and the Federal Employees Health Benefits program paid $13.6 million for Abstral prescriptions; the settlement resolves Galena’s civil liability for causing false claims to be submitted to these programs. Galena Biopharma has not marketed any pharmaceutical drug since the end of 2015. It currently has a market capitalization of roughly $21 million. The company cooperated with the government’s investigation of certain individuals in connection with the conduct that is the subject of today’s settlement agreement; it also cooperated with the U.S. Attorney’s Office for the Southern District of Alabama’s investigation that led to the February 2017 conviction of two doctors, in the U.S. District Court for the Southern District of Alabama following a jury trial, of, among other counts, offenses relating to their prescriptions of Abstral.
The settlement resolves a lawsuit filed by relator Lynne Dougherty under the whistleblower provisions of the False Claims Act, which permit private parties to file suit on behalf of the United States and obtain a portion of the government’s recovery. As part of today’s resolution, Ms. Dougherty will receive more than $1.2 million. The matter remains under seal as to allegations against entities other than Galena.
Acting U.S. Attorney Fitzpatrick credited special agents from FDA-OIG, under the direction of Special Agent in Charge Jeffrey J. Ebersole, FDA Office of Criminal Investigations’ New York Field Office, as well as investigators from the U.S. Attorney’s Office for the District of New Jersey, for the investigation leading to the settlement.
The government is represented by Assistant U.S. Attorneys Charles Graybow and Brian Urbano of the Health Care and Government Fraud Unit, and David Dauenheimer, Deputy Chief, Civil Division, of the U.S. Attorney’s Office for the District of New Jersey, and by Trial Attorney Natalie Priddy of the Department of Justice’s Civil Division.
The U.S. Attorney’s Office reorganized its health care practice in 2010 and created a stand-alone Health Care and Government Fraud Unit to handle both criminal and civil investigations and prosecutions of health care fraud offenses. Since that time, the office has recovered more than $1.36 billion in health care and government fraud settlements, judgments, fines, restitution and forfeiture under the False Claims Act, the Food, Drug and Cosmetic Act, and other statutes.
The claims settled by this agreement are allegations only; there have been no admissions of liability.
Fourth Member of New Mexico-Based Marijuana Trafficking Organization Pleads GuiltyRead the Press Release
ALBUQUERQUE – Antonio Ruelas, 33, of Algodones, N.M., pleaded guilty in federal court this morning to a felony information charging him with participating in a marijuana trafficking conspiracy. Ruelas entered the guilty plea under a plea agreement recommending a sentence not to exceed 36 months of imprisonment.
Ruelas is one of ten defendants charged as the result of a two-year investigation by the FBI and IRS Criminal Investigation into a drug trafficking organization led by Enrique Cavazos, 31, of Tijeras, N.M., that distributed high-grade marijuana throughout New Mexico and across the country. The investigation revealed that the Cavazos drug trafficking organization cultivated and purchased high-grade marijuana in California, distributed the marijuana throughout the country, and laundered its drug proceeds through a number of businesses and bank accounts in New Mexico.
Ruelas is the fourth defendant to enter a guilty plea. Ringleader Enrique Cavazos previously pled guilty on May 24, 2017, to marijuana trafficking and money laundering charges under a plea agreement that recommends a sentence within the range of 48 to 120 months of imprisonment. His wife, Lindsey A. Cavazos, 32, also pled guilty on May 24, 2017, to a money laundering charge under a plea agreement that recommends a sentence of a five-year term of probation. The Cavazos’ plea agreements also require the couple to forfeit the proceeds of their drug trafficking and money laundering activities, including real estate, vehicles, cash, weapons, and jewelry, which are valued at more than $1,883,500. A fourth defendant, Daniel Nieto, 30, of Carlsbad, N.M., pled guilty on May 25, 2017, to possessing hashish oil with intent to distribute, under a plea agreement.
These four defendants and four others (Felix Cavazos, 58, of Albuquerque, Joaquin Alaniz, 40, of Carlsbad, N.M., Eliberto Nava, 36, of Madera, Calif., Robert Moreno, 37, of Calif.) were charged in Nov. 2015, with marijuana trafficking and money laundering offenses in an indictment that alleging that they participated in a marijuana trafficking conspiracy that existed from at least Jan. 2008 through Nov. 2015, and operated in the District of New Mexico and elsewhere. According to court filings, Enrique Cavazos operated a marijuana trafficking business by directing co-conspirators to purchase large quantities of marijuana in California and distribute the marijuana in New Mexico and other destinations across the country. Lindsey Cavazos was responsible for keeping the books on businesses she and her husband established with proceeds from their marijuana trafficking activities and for the purpose of laundering their drug proceeds. The couple engaged in a money laundering conspiracy and used bank accounts in the names of several of their businesses, including a restaurant and a car dealership, to launder their drug proceeds.
The indictment was superseded in Aug. 2016, to add money laundering charges against three new defendants: Steven Becerra, 62, the owner of the Becerra Group Tax and Accounting Firm in Albuquerque, who previously was employed by the IRS for 18 years; Deborah Gutierrez, 55, who operated Automated Financial Technologies, which is no longer in business; and Glen F. Lucero, 65, a retired school teacher. superseding indictment also removed Felix Cavazos, Enrique Cavazos’s father who passed away after the original indictment was filed, from the list of defendants.
Sentencing hearings for Enrique Cavazos, Lindsey Cavazos, Nieto and Ruelas have yet to be scheduled. The remaining six defendants, who have entered not guilty pleas to the superseding indictment, are pending trial, which has yet to be scheduled. Charges in indictments are merely accusations and defendants are presumed innocent unless found guilty beyond a reasonable doubt.
The investigation of this case was designated as part of the Organized Crime Drug Enforcement Task Force (OCDETF) program, a program that combines the resources and unique expertise of federal agencies, along with their local counterparts, in a coordinated effort to disrupt and dismantle major drug trafficking organizations. It was conducted by the Albuquerque offices of the FBI and IRS Criminal Investigation. Assistant U.S. Attorney Jennifer M. Rozzoni is prosecuting the case and Assistant U.S. Attorney Stephen R. Kotz is handling the forfeiture matters.
Four Phoenix Family Members Sentenced for Real Estate Fraud and Tax EvasionRead the Press Release
PHOENIX – Yesterday, Senior U.S. District Judge Neil V. Wake sentenced Daphne Iatridis and her husband, Arthur Telles, both 59, to 30 months in prison and ordered the couple to forfeit 26 fraudulently purchased properties to the United States. Both had previously pleaded guilty to conspiracy to commit mail and wire fraud and tax evasion. The couple’s sons, Brendyn Iatridis and Spenser Iatridis, also pleaded guilty to related crimes and were sentenced to 10 months in prison and probation, respectively.
Between 2008 and 2012, the defendants engaged in an elaborate scheme to obtain more than 30 houses from the Federal National Mortgage Association (“FNMA”). Among other things, they stole others’ identities, used bogus trusts to buy the properties, and fraudulently notarized documents to facilitate the improper purchases. In addition, from at least 2010 through 2015, the defendants failed to pay taxes on their rental income from the fraudulently purchased properties.
“Real estate professionals who lie and forge documents are a scourge to the industry,” stated Acting U.S. Attorney Elizabeth A. Strange. “Our office places a high priority on investigating and prosecuting real estate fraud, and we hope that the lengthy sentences imposed in this case will send a strong message that this type of dishonesty and misconduct will be punished severely.”
"This case epitomized the greed that erodes confidence in the Realtor/Mortgage industry," said Michael DeLeon, Special Agent in Charge of the FBI Phoenix Division. "I am pleased the defendants are now being held accountable for their crimes and that the majority of the fraudulently obtained properties will be forfeited."
The investigation in this case was conducted by the Federal Housing Finance Agency’s Office of Inspector General, the Internal Revenue Service-Criminal Investigation, and the Federal Bureau of Investigation. The prosecution was handled by Kevin M. Rapp and M. Bridget Minder, Assistant U.S. Attorneys, District of Arizona, Phoenix.
CASE NUMBER: 15-CR-01062-PHX-NVW
RELEASE NUMBER: 2017-082_ Iatridis etal
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For more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az
Follow the U.S. Attorney’s Office, District of Arizona, on Twitter @USAO_AZ for the latest news.
Four More Men Convicted in Multimillion Dollar India-Based Call Center Scam Targeting U.S. VictimsRead the Press Release
HOUSTON – New Jersey, Florida, Arizona and Pennsylvania Men are the latest to plead guilty for their roles in liquidating and laundering victim payments generated through a massive telephone impersonation fraud and money laundering scheme perpetrated by a network of India-based call centers.
Acting U.S. Attorney Abe Martinez of the Southern District of Texas made the announcement along with Acting Assistant Attorney General Kenneth A. Blanco of the Justice Department’s Criminal Division, U.S. Attorney John A. Horn of the Northern District of Georgia, Acting Deputy Director Peter T. Edge of U.S. Immigration and Customs Enforcement (ICE), Inspector General J. Russell George of the U.S. Treasury Inspector General for Tax Administration (TIGTA) and Inspector General John Roth of the U.S. Department of Homeland Security Office of Inspector General (DHS-OIG)
Nisarg Patel, 26, most recently residing in Flemington, New Jersey; Dilipkumar Ramanlal Patel, 30, of Ocala, Florida; and Rajesh Kumar, 39, of Mesa, Arizona, each pleaded guilty to one count of conspiracy to commit fraud and money laundering offenses. The pleas were entered before U.S. District Judge David Hittner of the Southern District of Texas. All three men have been in federal custody since their arrests in October 2016 and will remain detained until their pending sentencing dates.
In a related case, Dipakkumar Sankalchand Patel, 38, most recently of Pennsylvania, pleaded guilty to one count of conspiracy to commit money laundering. The plea was entered before U.S. District Judge Eleanor L. Ross of the Northern District of Georgia. Dipakkumar Sankalchand Patel has been in federal custody since his arrest in May 2017 and will remain detained until his pending sentencing date.
According to admissions made in connection with their pleas, these four men and their co-conspirators perpetrated a complex scheme in which individuals from call centers located in Ahmedabad, India, impersonated officials from the IRS and U.S. Citizenship and Immigration Services (USCIS), and engaged in other telephone call scams, in a ruse designed to defraud victims located throughout the United States. Using information obtained from data brokers and other sources, call center operators targeted U.S. victims who were threatened with arrest, imprisonment, fines or deportation if they did not pay alleged monies owed to the government. Victims who agreed to pay the scammers were instructed how to provide payment, including by purchasing stored value cards or wiring money. Upon payment, the call centers would immediately turn to a network of “runners” based in the United States to liquidate and launder the fraudulently-obtained funds.
In connection with his guilty plea, Nisarg Patel admitted that beginning in or around June 2013 and continuing through December 2015, he acted as a domestic runner in the criminal scheme, liquidating victim funds for conspirators from India-based call centers and organizational co-defendant HGLOBAL. Patel communicated about the fraudulent scheme with various India-based co-defendants via telephone, email and WhatsApp text messaging. For a percentage of commission on the transactions he conducted, Patel laundered funds from victims using reloadable cards and deposited those proceeds into various bank accounts or shipped them via package carriers to others in furtherance of the scheme and at the direction of a codefendant. Patel also admitted to receiving direct payments to his personal bank accounts from victims defrauded through the scheme.
In connection with his guilty plea, Dilipkumar Ramanlal Patel admitted that beginning in or around August 2013 and continuing through February 2014, he served as a runner, liquidating victim scam funds per the instructions of conspirators from India-based call centers. Dilipkumar Ramanlal Patel communicated via phone and email in furtherance of the criminal scheme with his India-based associates, including by sending lists of reloadable card numbers to be activated and loaded with victim funds by conspirators in India. Dilipkumar Ramanlal Patel and his conspirators then used the reloadable cards containing funds derived from victims by scam callers to purchase money orders and deposit them into various bank accounts as directed, in return for cash payments or commissions.
Based on admissions in Kumar’s plea, beginning in or around September 2014, Kumar also operated as a runner, laundering scam proceeds from reloadable cards and purchasing money orders using those funds in and around south-central Arizona at the direction of both domestic and India-based co-defendants. Kumar also admitted to using fraudulent identification documents, including drivers’ licenses, to receive wire transfers of money directly from victims of the fraud scheme.
According to Dipakkumar Sankalchand Patel’s guilty plea, beginning in or around September 2014 through in or around June 2015, he served as a runner liquidating victim scam funds per the instructions of conspirators operating in the Chicago, Illinois, area and elsewhere throughout the country. Dipakkumar Sankalchand Patel communicated via WhatsApp messaging with U.S. and India-based associates about liquidating victim funds that had been consolidated on reloadable cards. He then purchased money orders and deposited them into various bank accounts as directed. Additionally, he admitted to entering the U.S. on or about March 26, 2012, through Atlanta’s Hartsfield Jackson International Airport on a fraudulent Portuguese passport that was issued to him under an alias.
To date, Nisarg Patel, Dilipkumar Ramanlal Patel, Kumar, 53 other individuals and five India-based call centers have been charged for their roles in the fraud and money laundering scheme in an indictment returned by a federal grand jury in the Southern District of Texas on Oct. 19, 2016. Dipakkumar Sankalchand Patel was charged via a separate indictment in the Northern District of Georgia on May 3. Including the pleas announced today, a total of 17 defendants have pleaded guilty thus far in relation to this investigation on various dates between April and July 2017.
The remaining defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
ICE’s Homeland Security Investigations, DHS-OIG and TIGTA led the investigation of this case. Also providing significant support were: the Criminal Division’s Office of International Affairs; Ft. Bend County, Texas, Sheriff’s Office; police departments in Hoffman Estates and Naperville, Illinois, and Leonia, New Jersey; San Diego County District Attorney’s Office Family Protection and Elder Abuse Unit; U.S. Secret Service; U.S. Small Business Administration, Office of Inspector General; IOC-2; INTERPOL Washington; USCIS; U.S. State Department’s Diplomatic Security Service; and U.S. Attorneys’ Offices in the Middle District of Alabama, Northern District of Alabama, District of Arizona, Central District of California, Northern District of California, District of Colorado, Northern District of Florida, Middle District of Florida, Northern District of Illinois, Northern District of Indiana, District of Nevada and District of New Jersey. The Federal Communications Commission’s Enforcement Bureau also provided assistance in TIGTA’s investigation.
Assistant U.S. Attorneys S. Mark McIntyre and Craig M. Feazel of the Southern District of Texas, Senior Trial Attorney Michael Sheckels and Trial Attorney Mona Sahaf of the Criminal Division’s Human Rights and Special Prosecutions , Trial Attorney Amanda Wick of the Criminal Division’s Money Laundering and Asset Recovery Section and Assistant U.S. Attorney Jessica C. Morris of the Northern District of Georgia are prosecuting these cases.
A Department of Justice website has been established to provide information about the case to already identified and potential victims and the public. Anyone who believes they may be a victim of fraud or identity theft in relation to this investigation or other telefraud scam phone calls may contact the Federal Trade Commission (FTC) via this website.
Anyone who wants additional information about telefraud scams generally, or preventing identity theft or fraudulent use of their identity information, may obtain helpful information on the IRS tax scams website, the FTC phone scam website and the FTC identity theft website.
Former Transportation Security Officer Sentenced for Workers’ Compensation FraudRead the Press Release
BOSTON – A former Transportation Security Officer pleaded guilty and was sentenced today in federal court in Boston to fraudulently obtaining over $30,000 in workers’ compensation.
Richard A. Mariani, 76, of West Dennis, pleaded guilty to one count of fraud in obtaining federal employee compensation and was sentenced by U.S. District Court Magistrate Judge M. Page Kelly to six months of probation and ordered to pay $38,052 in restitution to the Department of Labor.
From February 2002 to February 2011, Mariani was employed as a Transportation Security Officer at Barnstable Municipal Airport. After a workplace injury in 2011 that he claimed rendered him unable to work and imposed severe limitations on physical activities, Mariani began collecting workers’ compensation benefits. However, in August 2015, Mariani began providing lawn irrigation services to various clients who paid him in cash for his work. In doing so, Mariani was engaged in many of the physical activities he previously claimed to be unable to do. In addition, he lied on a form to the U.S. Department of Labor stating that he did not earn any income other than his disability benefits. For August 2015 to August 2016, Mariani fraudulently received $38,052 in federal benefits.
The charging statues provides for a sentence of no greater than one year in prison, one year of supervised release, a fine of $100,000, or twice the gross gain/loss, whichever is greater, and restitution. Sentences are imposed by a federal district court judge based on the U.S. Sentencing Guidelines and other statutory factors.
Acting United States Attorney William D. Weinreb and Thomas E. Williams, Special Agent in Charge of the Transportation Security Authority, Office of Inspection, Investigations Division, Philadelphia Field Office, made the announcement today. Assistant U.S. Attorney Eugenia M. Carris of Weinreb’s Public Corruption and Special Prosecutions Unit prosecuted the case.
Former Pulaski County Illinois Resident Pleads Guilty to Receipt of Child Pornography and Mail FraudRead the Press Release
Clint Wade Green, 42, of Paducah, Ky., pled guilty to four counts of Receipt of Child Pornography and one count of Mail Fraud, the United States Attorney for the Southern District of Illinois, Donald S. Boyce, announced today. Sentencing is set for December 12, 2017 in Benton, Illinois. Green has been ordered detained pending sentencing.
Green pled guilty to knowingly receiving materials that contained child pornography on four separate occasions in October 2015 in violation of Title 18, United States Code, Section 2252A(a)(2)(B). Green faces a prison sentence of not less than 5 years and up to 20 years on each count, a fine of up to $250,000, and up to 3 years supervised release. Green also pled guilty toMail Fraud in September of 2014 in violation of Title 18, United States Code, Section 1341. The Mail Fraud count alleged that Green did unlawfully divert, via the United States Mails, checks payable to the Pulaski County Development Association (PCDA) into his personal banking account after his service as Executive Director of the PCDA from approximately November of 2010 through November of 2013. Green faces a prison sentence of up to 20 years, up to 3 years supervised release, a fine of up to $250,000, and $51,881.60 in restitution to the PCDA.
The prosecution is the result of an investigation by the Federal Bureau of Investigation-Marion, the Department of Agriculture-OIG, and the Illinois State Police. The Paducah Kentucky Police Department also participated in this investigation. The case is being prosecuted by Assistant United States Attorney James G. Piper, Jr.
Former Member of Westminster Planning Commission Found Guilty of Accepting $15,000 Bribe to Help Obtain a Liquor LicenseRead the Press Release
SANTA ANA, California – A former member of the Planning Commission for the City of Westminster has been convicted of a federal bribery charge for soliciting and receiving a $15,000 bribe to help a person obtain a liquor license.
Dave Vo, 43, of Westminster, was found guilty by a federal jury late yesterday afternoon of one count of bribery in a program receiving federal funds.
Vo, who is an attorney, served as a Planning Commissioner in the Orange County city from early 2009 through early 2013. As a Planning Commissioner, Vo had influence over the issuance of conditional use permits.
In 2011, Vo solicited a $15,000 bribe from a confidential informant. The informant reported to the FBI that Vo had solicited a bribe in relation to the issuance of a liquor license. During August 2011, over the course of four meetings, Vo received cash payments that totaled $15,000 in exchange for pushing the liquor license through the city’s approval process.
During the three-day trial, the jury heard audio recordings of Vo soliciting the bribe, and then saw video recordings of the payments being made.
The bribery charge carries a statutory maximum penalty of 10 years in federal prison.
Vo, who is free on bond, is scheduled to be sentenced by United States District Judge James V. Selna on January 8.
The case against Vo was investigated by the Federal Bureau of Investigation.
The case is being prosecuted by Assistant United States Attorney Daniel H. Ahn of the Santa Ana Branch Office.
Former Lawrence Public School Aide Sentenced on Drug ChargesRead the Press Release
BOSTON – A former aide at a Lawrence public school was sentenced today in federal court in Boston for drug charges involving kilos of cocaine and thousands of oxycodone pills.
Reynaldo Sanchez, 26, of Lawrence, was sentenced by U.S. District Court Judge William G. Young to five years in prison and four years of supervised release. In May 2017, Sanchez pleaded guilty to attempted possession with intent to distribute oxycodone and possession with intent to distribute cocaine.
In August 2015, federal agents began investigating Sanchez for his involvement in a narcotics and money laundering organization operating in the Boston area. During the investigation, Sanchez arranged to purchase 10–15 kilograms of cocaine for $33,000 per kilogram from undercover federal agents. Between March 29, 2016, and March 31, 2016, Sanchez sought to purchase what he believed were 4,000 oxycodone pills for $12 per pill from an undercover agent posing as a drug courier. At the time of his arrest, Sanchez was carrying with him $48,000 in cash. After executing a search warrant at Sanchez’s residence, agents recovered approximately 2.2 kilograms of cocaine.
Acting United States Attorney William D. Weinreb; Matthew J. Etre, Special Agent in Charge of Homeland Security Investigations, Boston Field Office; and Colonel Richard D. McKeon, Superintendent of the Massachusetts State Police, made the announcement today. Assistance was also provided by the Middlesex County District Attorney’s Office, Massachusetts Bay Transportation Authority Police and the Lawrence, Franklin, Wareham and Dartmouth Police Departments. Assistant U.S. Attorneys David D’Addio and Kelly Begg Lawrence of Weinreb’s Criminal Division prosecuted the case.
Former Harlem Restaurant Owner Sentenced to Five Years in Prison for Engaging in A $12 Million Ponzi SchemeRead the Press Release
Joon H. Kim, the Acting United States Attorney for the Southern District of New York, announced that HAMLET PERALTA was sentenced by United States District Judge Katherine B. Forrest to five years in prison for running a multimillion-dollar Ponzi scheme to obtain money from investors by fraudulently representing that he was using their investments to further a profitable, multimillion-dollar wholesale liquor business.
Acting Manhattan U.S. Attorney Joon H. Kim said: “Hamlet Peralta swindled millions of dollars from unsuspecting investors who trusted him because of his reputation in the community as a business owner and restaurateur. Peralta deceived investor after investor through bald lies and forged documents, enticing them with high returns on investments he never made. Instead, Peralta used his victims’ money to pay earlier investors and to line his own pockets.”
According to the Complaint and Indictment filed in Manhattan federal court and today’s sentencing proceeding:
From 2013 through 2014, PERALTA solicited more than $12 million from multiple investors by falsely representing that the investors’ money would be used to engage in wholesale liquor distribution for a profit. He made these promises both orally and in written contracts. To bolster the supposed bona fides of his fictitious business, he provided investors with forged invoices and other documentation, purporting to establish the high volume of liquor he both bought from licensed wholesalers in New York and sold to wholesale and retail clients for a profit.
In truth and in fact, however, PERALTA misappropriated the millions of dollars in investments he received. He took out much of the money in cash and used some of it both to support his lifestyle and to rehabilitate a failing restaurant he owned. Because PERALTA purchased very little liquor and had no profits with which to pay back investors, he then began borrowing large sums of money from new investors on the false promise that he was investing that money in the liquor business, instead using that money to repay prior investors.
In or about 2013, for example, PERALTA told a prospective investor (“Investor-1”), who was a frequent customer at PERALTA’s restaurant and who had become friendly with PERALTA, that he (PERALTA) owned a separate business called West 125th Street Liquors and that he had been approved as an exclusive wine distributor to a major national restaurant supply company (the “Restaurant Supply Company”) that was beginning a wholesale wine business. PERALTA told the investor that he would receive significant interest on his investments, based on profits from the wholesale liquor distribution business. In truth and in fact, however, PERALTA did not own West 125th Street Liquors, and he had not been approved to be a distributor for the Restaurant Supply Company. deed, neither PERALTA nor West 125th Street Liquors had ever supplied anything to the Restaurant Supply Company. PERALTA also provided vestor-1 with fake documentation on the Restaurant Supply Company’s letterhead, falsely representing that the Restaurant Supply Company would be electronically transferring $1,826,350 to PERALTA within seven days.
Investor-1 provided PERALTA with more than $3.5 million over the course of the next year, a substantial portion of which was used to pay back other investors. Ultimately, PERALTA owed Investor-1 approximately $2 million. In all, PERALTA, who obtained approximately $12 million from investors, failed to pay back more than $5 million of that money.
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In addition to his prison term, PERALTA, 37, of the Bronx, New York, was sentenced to three years of supervised release, and ordered to forfeit $5,079,000 and to pay restitution of $5,079,000.
Mr. Kim praised the investigative work of the Federal Bureau of Investigation and the NYPD Internal Affairs Bureau.
This case is being handled by the Office’s Public Corruption Unit. Assistant United States Attorneys Kan M. Nawaday, Russell Capone, Martin S. Bell, and Lauren Schorr are in charge of the prosecution.
Former Grant County Man who Threatened Violence Against Law Enforcement Sentenced to Prison for Illegal Weapon PossessionRead the Press Release
A former resident of Grant County, Washington was sentenced today in U.S. District Court in Seattle to 27 months in prison, and three years of supervised release for possession of an unregistered firearm and possession of a machinegun, announced U.S. Attorney Annette L. Hayes. SCHUYLER PYATTE BARBEAU, 31, of Springdale, Washington, pleaded guilty after the start of his trial in June 2017. BARBEAU altered a short-barreled rifle to make it a fully automatic machinegun, and then attempted to sell it via a person who was working with law enforcement. At the sentencing hearing U.S. District Judge Richard A. Jones told him, “Your thought process became dominated by violence and a desire to take the lives of law enforcement…. You showed a willingness to put a fully automatic firearm in commerce with no idea of how it would be used and how many lives would be lost.”
“This defendant violated the law by producing a fully automatic and therefore dangerous machine gun,” said U. S. Attorney Annette L. Hayes. “What made his conduct even worse were his threats against law enforcement all made while he idolized people such as Timothy McVeigh.”
According to records filed in the case, in October 2015, BARBEAU contacted a person who was secretly working with law enforcement and indicated he wanted to sell a short-barreled rifle that he had converted to automatic operation –i.e., he made it into an illegal machine gun. In November 2015, BARBEAU brought the weapon to the person working with law enforcement and said he wanted to sell it as soon as possible. When he met with the person in December 2015, to collect the money from the ‘sale,’ BARBEAU was arrested.
At various meetings regarding the possible sale of the firearm, BARBEAU was recorded talking about his intent to shoot law enforcement if they attempted to arrest him or interfere with his activities. BARBEAU was recorded stating: “I’ve got guns and body armor and I’m going to shoot and kill and it’s gonna be a big firefight if they (FBI) do come after me.” BARBEAU also praised Oklahoma City bomber Timothy McVeigh as his hero, and served as a security guard at the armed standoff at Bundy Ranch in Nevada.
The case was investigated by the FBI with assistance from the Bureau of Alcohol, Tobacco, Firearms & Explosives (ATF). The case was prosecuted by Assistant United States Attorneys Thomas Woods, Todd Greenberg and Special Assistant United States Attorney Jessica Manca. Ms. Manca is a Deputy King County Prosecutor specially designated to prosecute firearms cases in federal court.
Former Fort Leonard Wood Man Sentenced to 30 Years for Sexually Abusing a ChildRead the Press Release
SPRINGFIELD, Mo. – Tom Larson, Acting United States Attorney for the Western District of Missouri, announced today that a Brattleboro, Vt., man has been sentenced in federal court for the aggravated sexual abuse of a 6-year-old child at Fort Leonard Wood, Mo.
Paul Kickery, Sr., 68, of Brattleboro, formerly of Fort Leonard Wood, was sentenced by U.S. District Judge M. Douglas Harpool on Thursday, Sept. 7, 2017, to 30 years and four months in federal prison without parole.
On Jan. 26, 2017, Kickery pleaded guilty to the aggravated sexual abuse of a child.
According to court documents, the victim reported that she had been sexually assaulted by Kickery multiple times over the course of approximately a year. During the time of the sexual assaults, between July 1, 2013, and July 31, 2014, both Kickery and the then-6-year-old victim were residing on the U.S. Army Military Base at Fort Leonard Wood.
When interviewed by law enforcement, Kickery admitted to sexually abusing the victim. Kickery also admitted to molesting a 15-year-old child while he lived in Vermont, and to viewing child pornography on the Internet, mainly of children between the ages of 10 and 15.
This case was prosecuted by Assistant U.S. Attorney Ami Harshad Miller. It was investigated by the FBI and the Brattleboro, Vt., Police Department.
Project Safe Childhood
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc . For more information about Internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
Former Commerce Employee Sentenced for Bribery SchemeRead the Press Release
ALEXANDRIA, Va. – A former information technology official with the Department of Commerce was sentenced today to 4 years in prison and ordered to forfeit approximately $224,500 for conspiracy to pay and receive bribes, and acceptance of bribes by a public official.
According to court records and evidence presented at trial, Raushi J. Conrad, 43, of Bristow, served as the Director of Systems Operation and Security within the Bureau of Industry and Security (BIS), a branch of the Department of Commerce. In that position, Conrad was designated to oversee and manage a project whereby computer files were transferred from an old BIS computer network that had been infected by a virus to a new, uninfected network. Conrad was also to ensure that the transferred files were free of viruses and, in some instances, retained the full functionality of the files that had resided on the old network.
According to court records and evidence presented at trial, while serving as the project manager for the data migration project, Conrad solicited and received bribes from James Bedford, a local businessman, in return for steering a lucrative subcontract and contract to perform the data migration work to companies owned in whole or in part by Bedford. One of Bedford’s companies made $208,000 in payments to a restaurant business owned by Conrad, and many of these payments were concealed through false and fictitious invoices created by Conrad. The fake invoices made it appear that Conrad’s restaurant business had performed various services for Bedford’s company, when in fact no such services had ever been provided. Bedford’s company also arranged for various employees and subcontractors to perform over $16,000 worth of free renovation work at Conrad’s residence. Bedford pleaded guilty and was sentenced on June 30 (Case number 1:16-cr-264).
Dana J. Boente, U.S. Attorney for the Eastern District of Virginia, Andrew W. Vale, Assistant Director in Charge of the FBI’s Washington Field Office, Duane E. Townsend, Special Agent in Charge of the U.S. Department of Commerce, Office of Inspector General, and Robert E. Craig, Special Agent in Charge for the Defense Criminal Investigative Service’s (DCIS) Mid-Atlantic Field Office, made the announcement after sentencing by U.S. District Judge Gerald Bruce Lee. Assistant U.S. Attorneys Matthew Burke and Jamar K. Walker prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information is located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:16-cr-169.
Five Siblings Sentenced to Prison for Armed RobberiesRead the Press Release
Gregory J. Haanstad, United States Attorney for the Eastern District of Wisconsin, announced today that five members of a Milwaukee family were sentenced to prison by the United States District Judge J.P. Stadtmueller for their involvement in several armed bank and business robberies in Milwaukee and West Allis, Wisconsin. The siblings received the following sentences:
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Bobby Mickey (25) was sentenced to 184 months in prison after pleading guilty to five robberies and one count of brandishing a firearm in connection with a crime of violence.
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Terrill Brown (29) was sentenced to 154 months in prison after pleading guilty to three robberies and one count of brandishing a firearm in connection with a crime of violence.
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Brandon Mickey (21) was sentenced to 152 months in prison after pleading guilty to four robberies and one count of brandishing a firearm in connection with a crime of violence.
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Dominique Brown (30) was sentenced to 58 months in prison after pleading guilty to aiding and abetting one bank robbery.
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Doris Brown (27) was sentenced to 48 months in prison after pleading guilty to aiding and abetting one bank robbery.
The siblings were involved in a series of bank and commercial robberies in 2015 and 2016, the purpose of which was to obtain money, liquor, and firearms. The sisters, Dominique and Doris Brown, aided and abetted the robberies by “casing” the banks and holding doors open at locked entrances to allow their brothers access to the banks.
At the sentencings, federal prosecutors discussed the emotional, life-long impact these violent crimes have on the victims, and the financial impact of these crimes on the community. At the sentencings, Judge Stadtmueller also noted that these types of violent acts “cry out” for lengthy prison terms.
According to United States Attorney Haanstad: “The United States Attorney’s Office is committed to combatting violent crime in this district and will continue to seek substantial prison sentences for those who use firearms in the commission of crimes.” Haanstad also emphasized that “the successful prosecution of this case was the result of a collaborative law enforcement effort by the Milwaukee Area Violent Crime Task Force, the Federal Bureau of Investigation, the Milwaukee Police Department, and the West Allis Police Department.”
Special Agent in Charge of the FBI Milwaukee Division, Justin Tolomeo said: “The FBI prioritizes these types of investigations and works collaboratively with MPD and local police departments to identify the offenders and bring them to justice. We all work together to make our community a safe place.”
The matter was investigated by the FBI’s Milwaukee Area Violent Crime Task Force, the Milwaukee Police Department, and the West Allis Police Department. The case was prosecuted by Assistant United States Attorney Margaret B. Honrath.
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Final Defendant Convicted in RICO Case Stemming from Bribery Scheme to ‘Fix’ Criminal and Traffic Cases in O.C. Superior CourtRead the Press Release
SANTA ANA, California – A federal jury has returned four guilty verdicts against the final defendant charged in a racketeering scheme that paid over $250,000 to a clerk in the Orange County Superior Court in exchange for him resolving hundreds of criminal cases and traffic violations without the knowledge of judges or prosecutors.
Javed Asefi, also known as “Joey,” 44, of Ladera Ranch, was found guilty late yesterday afternoon of conspiring to violate the federal Racketeer Influenced and Corrupt Organizations (RICO) Act and paying bribes. At the conclusion of a six-day trial, Asefi was also convicted of lying on a citizenship application and violating the terms of his pretrial release by sending an associate to find out if a co-defendant was cooperating against him.
The evidence presented at trial showed that Asefi participated in the scheme by providing information on 15 traffic infractions and at least one driving-under-the influence case to a middleman, who provided the data to a Superior Court clerk. With Asefi’s assistance, 11 people saw the dismissal of their traffic tickets.
The clerk at the center of the bribery scheme changed court records to falsely show that the cases had been dismissed or, in the case of the DUI charges, had been “pleaded down” to lesser charges. Asefi and others who benefited from the official actions paid bribes to the clerk through middlemen.
“At least one of the bribes collected and paid by [Asefi] was in the amount of $5,000 to $6,000 and was in exchange for pleading down a driving under the influence charge to a ‘wet-reckless’ charge,” according to court documents.
Asefi is scheduled to be sentenced by United States District Judge Josephine L. Staton on December 8. At sentencing, Asefi will face a statutory maximum sentence of 45 years in federal prison.
The former Superior Court clerk – Jose Lopez Jr., 37, of Anaheim – pleaded guilty in March to a RICO conspiracy charge. The bribes paid to Lopez’s middlemen were as high as $8,000 to “fix” cases.
When he pleaded guilty, Lopez admitted the he “improperly resolved approximately 1,034 cases, including 69 misdemeanor driving under the influence cases, 160 other misdemeanor cases and 805 traffic-related infraction cases.”
Over the course of more than five years, Lopez “resolved” cases by entering information into the court’s computers to make it appear that a defendant had pleaded guilty, paid required fees or had performed community service. In some cases, Lopez fraudulently created records that made it appear drunk driving charges had been dismissed or defendants had served mandatory jail time.
In addition to taking more than $250,000 in bribes and falsifying court records, Lopez forged the signature of a prosecutor with the Orange County District Attorney’s Office.
The conspiracy ended in the spring of 2015 when the court learned about the misconduct and took steps to correct the cases that Lopez tampered with.
Lopez is scheduled to be sentenced by Judge Staton on September 22, at which time he will face a statutory maximum sentence of 20 years in federal prison.
Yesterday’s guilty verdicts against Asefi came exactly one year after the unsealing of a 38-count indictment that outlined the bribery scheme. With Asefi’s conviction, all 12 defendants who participated in the racketeering scheme have been found guilty. Three other people who funneled bribes to Lopez pleaded guilty prior to the indictment.
Five of the defendants have been sentenced and have received terms of imprisonment of up to two years in federal prison.
This case was investigated by special agents with the Federal Bureau of Investigation and IRS Criminal Investigation.
U.S. Citizenship and Immigration Services, the Orange County Superior Court, Irvine Police Department, Homeland Security Investigations, and the Orange County District Attorney’s Office provided assistance during the investigation.
The case is being prosecuted by Assistant United States Attorneys Vib Mittal and Bradley E. Marrett of the Santa Ana Branch Office.
Eden Man Sentenced to 13 Years in Federal Prison for Sexual Offenses Involving ChildRead the Press Release
United States Attorney Randolph J. Seiler announced that an Eden, South Dakota, man convicted of two counts of Abuse Sexual Contact was sentenced on August 17, 2017, by U.S. District Judge Charles B. Kornmann.
Tyrell Redstar Eastman, age 21, was sentenced to 13 years in custody, followed by ten years of supervised release. He was also ordered to pay $200 to the Federal Crime Victims Fund.
According to the court documents, between August 15, 2014, and April 2, 2015, Eastman engaged in sexual contacts with a child. To perpetrate the sexual assault, Eastman threatened and placed the victim in fear. Such sexual contact involved the defendant’s intentional touching, either directly or through the clothing, of the victim’s genitalia, anus, groin, breast, inner thigh, and buttocks. Defendant had the intent to abuse, humiliate, harass, degrade, arouse, and gratify his sexual desires. At the time of this sexual assault, the defendant was 18 years old.
The investigation was conducted by the Federal Bureau of Investigation and the Sisseton-Wahpeton Sioux Tribe’s Law Enforcement. Assistant U.S. Attorney Jeremy R. Jehangiri prosecuted the case.
Eastman was immediately turned over to the custody of the U.S. Marshal’s Service.
Conway Man Sentenced to 100 Months in Federal Prison on Distribution of Heroin ChargesRead the Press Release
Columbia, South Carolina ---- United States Attorney Beth Drake stated today that Andrew Garcia, age 21, of Conway, was sentenced in Florence yesterday to 100 months imprisonment followed by a three-year term of supervised release. On April 18, 2017, Garcia entered a guilty plea in federal court to three counts of distribution of heroin. United States District Judge R. Bryan Harwell imposed the sentence.
The evidence presented at the guilty plea hearing and sentencing hearing established that, pursuant to a heroin trafficking investigation in Horry County, a team of law enforcement from multiple agencies conducted extensive surveillance and effected several controlled purchases of heroin from targets of the investigation. Agents made two controlled purchases of heroin from Garcia in August 2014 and a third controlled purchase of heroin in September 2014. Agents also obtained warrants to search two Myrtle Beach residences linked to Garcia where they recovered over 600 grams of heroin, nine firearms, and $68,000 in cash.
The case was investigated by agents with the Fifteenth Circuit Drug Enforcement Unit (DEU), the Horry County Police Department (HCPD), and the DEA. Assistant United States Attorney Christopher D. Taylor of the Florence office prosecuted the case.
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Colombian Man Sentenced for Escaping from Federal CustodyRead the Press Release
LUBBOCK, Texas — Juan Carlos Marin-Cardona, 47, a citizen and national of Colombia, was sentenced today by Senior U.S. District Judge Sam R. Cummings to 30 months in federal prison, which he will serve consecutively to the 70-month prison sentence imposed in 1993, for escaping from federal custody. The announcement was made today by U.S Attorney John Parker of the Northern District of Texas.
Through a diligent investigation by the United States Marshals Service (USMS), deputies located Marin-Cardona living in a foreign county under the name Alexander Rey Marin Cardona. In March 2017, USMS deputies were ultimately able to apprehend Marin-Cardona in Houston, Texas, at the airport. He has been in custody since his arrest.
According to plea documents filed in the case, on January 22, 1993, the United States District Court for the Southern District of Florida sentenced Juan Carlos Marin-Cardona to 70 months imprisonment for the felony offenses of importation of cocaine and possession with intent to distribute cocaine. Marin-Cardona was later transferred to federal custody at the Eden Detention Center in Eden, Texas.
On November 3, 1994, an Eden maintenance officer went to retrieve Marin-Cardona from the front of the institution but Marin-Cardona wasn’t there. The Eden Detention Center initiated a lockdown and emergency headcount. It was confirmed that Marin-Cardona was not in the Eden Detention Center and had left federal custody without permission. Marin-Cardona was placed on escape status.
The United States Marshal Service and the U.S. Immigrations and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) investigated the case. Assistant U.S. Attorney Jeffrey Haag prosecuted.
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Clarksburg man sentenced for firearm offensesRead the Press Release
CLARKSBURG, WEST VIRGINIA – Christopher Plaugher, of Clarksburg, Virginia, was sentenced today to 24 months incarceration for making false statements in purchasing a firearm, Acting United States Attorney Betsy Steinfeld Jividen announced.
Plaugher, age 26, pled guilty to two counts of “False Statement During the Purchase of a Firearm.” He admitted to falsely representing that he was the actual buyer of four pistols when he was actually attempting to purchase the firearms on behalf of another buyer. The crimes occurred in October 2014 and January 2015 in Harrison County.
Assistant U.S. Attorney David J. Perri prosecuted the case on behalf of the government. The Bureau of Alcohol, Tobacco, Firearms, and Explosives and the Greater Harrison Drug and Violent Crime Task Force, a HIDTA-funded initiative, investigated.
Senior U.S. District Judge Irene M. Keeley presided.
California Man Gets 63 Months in Prison for Possessing with Intent to Distribute 29 Kilograms of MethamphetamineRead the Press Release
TRENTON, N.J. – A South Gate, California, man who was arrested with 29 kilograms of methamphetamine hidden in a tractor trailer was sentenced today to 63 months in prison, Acting U.S. Attorney William E. Fitzpatrick announced.
Tomas Lopez Beltran, 46, previously pleaded guilty before U.S. District Judge Brian R. Martinotti to an information charging him with one count of possession with intent to distribute more than 500 grams or more of methamphetamine. Judge Martinotti imposed the sentence today in Trenton federal court.
According to documents filed in this case and statements in the court:
On Oct. 28, 2016, law enforcement lawfully searched a tractor trailer driven by Beltran and recovered approximately 29 kilograms of methamphetamine and $73,500 in cash from a concealed compartment located inside the cab of the trailer. Beltran admitted that he intended to distribute the methamphetamine and cash to an individual in Georgia.
In addition to the prison term, Judge Martinotti sentenced Beltran to three years of supervised release
Acting U.S. Attorney Fitzpatrick credited special agents of the Drug Enforcement Administration, under the direction of Special Agent in Charge Carl J. Kotowski in Newark, with the investigation.
The government is represented by Assistant U.S. Attorneys Elaine K. Lou and Karen D. Stringer of the U.S. Attorney’s Office Criminal Division in Newark.
Defense counsel: Eric J. Marcy Esq., Woodbridge, New Jersey
Buffalo Man Arrested on Fentanyl ChargesRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051BUFFALO, N.Y. - Acting U.S. Attorney James P. Kennedy, Jr. announced today that Luis Matias, of Buffalo, 27, was arrested and charged by criminal complaint with conspiracy to possess with intent to distribute; and to distribute, butyryl fentanyl, and possession with intent to distribute, and distribution of, butyryl fentanyl. The charges carry a maximum penalty of 20 years in prison and a $1,000,000 fine.
Assistant U.S. Attorney Timothy C. Lynch, who is handling the case, stated that according to the complaint, in July 2017, law enforcement officers developed information that the defendant was distributing large quantities of heroin in the Buffalo area. During the investigation, a confidential source and undercover officers were used to conduct controlled heroin purchases from Matias.
The criminal complaint is the culmination of an investigation by the Drug Enforcement Administration, under the direction of Special Agent-in-Charge James J. Hunt, New York Field Division; the New York State Police, under the direction of Major Edward Kennedy; and the Buffalo Police Department, under the direction of Commissioner Daniel Derenda.
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.
Bristol Man Indicted for Production of Child PornographyRead the Press Release
The Office of the United States Attorney for the District of Vermont stated that on September 7, 2017, a Federal grand jury in Burlington returned a single-count indictment, which charged Cody Clark, 26, of Bristol, Vermont, with production of child pornography. If convicted, Clark faces a mandatory minimum sentence of 15 years and up to 30 years in prison, a mandatory minimum term of five (5) years and up to life on supervised release, and fines of up to $250,000.
According to court records, the investigation into Clark began when Google sent a “Cybertip” to the National Center for Missing and Exploited Children (NCMEC) that the user of one of its platforms had uploaded images of child pornography. NCMEC forwarded the Cybertip to the Vermont Internet Crimes Against Children Task Force (ICAC), which conducted further investigation into Clark, the suspected user of the Google account. The ICAC obtained a warrant to search what it believed to be Clark’s residence. During execution of the search warrant, images of child pornography were found on Clark’s computer. The images identified in the Cybertip were among the images found on Clark’s computer. Clark told law enforcement that he produced these images of child pornography and he used them for sexual gratification.
Acting U.S. Attorney Eugenia A.P. Cowles emphasized that the indictment is an accusation only and that the defendant is presumed innocent until and unless proven guilty. If convicted, Clark’s sentence will be determined by the advisory United States Sentencing Guidelines.
Acting U.S. Attorney Cowles commended the efforts of the Vermont Internet Crimes Against Children Task Force, University of Vermont Police Services, Homeland Security Investigations, and the Vermont Attorney General’s Office. Assistant U.S. Attorney Barbara A. Masterson is handling the prosecution of Clark. Assistant Federal Public Defender Elizabeth K. Quinn represents Clark.
Acting U.S. Attorney Cowles noted that this prosecution is part of the U.S. Department of Justice's Project Safe Childhood, a nationwide initiative designed to protect children from online exploitation and abuse. Led by the U.S. Attorney's Offices, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend, and prosecute individuals who exploit children via the Internet, as well as identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
Albuquerque Felon Facing Federal Firearms Charges for Unlawfully Possessing a Firearm and AmmunitionRead the Press Release
ALBUQUERQUE – Jaime Santiesteban, 36, of Albuquerque, N.M., made his initial appearance in federal court this morning on a criminal complaint charging him with being a felon in possession of a firearm and ammunition. Santiesteban was remanded into the custody of the U.S. Marshals Service pending a preliminary hearing and a detention hearing, both of which are scheduled for Sept. 11, 2017.
Acting U.S. Attorney James D. Tierney, Special Agent in Charge John J. Durastanti, Phoenix Field Division of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), and Chief Gorden E. Eden, Jr., of the Albuquerque Police Department (APD) said that Santiesteban, whose prior criminal history includes eight prior felony convictions, will be 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.
According to the criminal complaint, APD officers arrested Santiesteban in a residential neighborhood in the northeast heights of Albuquerque on Sept. 7, 2017, after Santiesteban allegedly discharged a firearm in the direction of an officer who was conducting surveillance in connection with an ongoing law enforcement operation. Santiesteban allegedly fled from the scene of the shooting in a truck, which he later abandoned while continuing his flight by foot. Officers who had received information regarding Santiesteban’s whereabouts from officers who were tracking his flight from a helicopter arrested Santiesteban shortly thereafter.
During the investigation of this case, officers found an ammunition magazine in the truck allegedly abandoned by Santiesteban and a firearm that was missing a magazine in the backyard of a residence along Santiesteban’s alleged flight path. According to the complaint, Santiesteban was prohibited from possessing firearms and ammunition because of his status as a convicted felon. Court records reflect that Santiesteban has eight prior felony convictions, including four drug-related convictions, a firearms-related conviction, and a conviction for battery on a peace officer.
If convicted on the charge in the complaint, Santiesteban faces a statutory maximum penalty of ten years of imprisonment. If the court determines that Santiesteban should be sentenced under the Armed Career Criminal Act, he faces an enhanced sentence of not less than 15 years of imprisonment. Charges in criminal complaints are merely accusations and defendants are presumed innocent unless found guilty in a court of law.
This case was investigated by the ATF’s Albuquerque office and APD, and is prosecuted by Assistant U.S. Attorney Kimberly A. Brawley.
4 Defendants Sentenced to Prison for Refusing to Testify during Heroin TrialRead the Press Release
PITTSBURGH - A resident of Newark, New Jersey and three residents of Duquesne, Pennsylvania, each have been sentenced in federal court to nine months of incarceration and three years of supervised release on their convictions for Contempt of Court, Acting United States Attorney Soo C. Song announced today.
United States District Judge Reggie B. Walton imposed the sentence on Khayri Battle, 36, of Newark, New Jersey, Shane Brooks, 30, Victoria Morgan, 32, and Bobby Rodgers, 48, all of Duquesne, Pennsylvania.
According to information presented to the court, Battle, Brooks, Morgan and Rodgers refused to testify at the trial of Anthony Pryor and Lance Yarbough, for charges that included conspiracy to possess with intent to distribute and to distribute heroin, despite a written order compelling them to testify pursuant to a grant of immunity from United States District Court Judge Reggie B. Walton. .
Assistant United States Attorney Brendan T. Conway prosecuted this case on behalf of the government.
Acting United States Attorney Song commended the Federal Bureau of Investigation for the investigation leading to the successful prosecution of Battle, Brooks, Morgan and Rodgers.
"Real Time”: Greenville Man Found Guilty in Firearms Jury Trial Sentenced to over 25 Years in Federal PrisonRead the Press Release
Columbia, South Carolina ---- United States Attorney Beth Drake announced today that Carlton Tyrone Nash, age 37, of Greenville, was sentenced to 310 months (25.8 years) in federal prison. In April of this year, a jury returned a guilty verdict, following a two-day jury trial in federal court in Anderson, finding Nash guilty of possession by a firearm and ammunition by a felon. United States District Court Judge Timothy M. Cain, who presided over the trial, sentenced Nash yesterday in Anderson.
The government presented multiple witnesses during the course of the trial. Witness testimony and the evidence presented by the government at trial established that in the early morning hours of Tuesday, March 22, 2016, Nash, while wearing a Hillary Clinton mask, forced entry into a residence and fired a shot from the .25 caliber pistol he obtained earlier that day. The shot barely missed one of the residents of the house. Nash then dragged that resident from the home at gunpoint into the street where a fight ensued. While Nash and his initial victim were fighting, the victim’s roommate exited the house with a baseball bat, striking Nash in the head with the bat. After a blow to the head from the bat, Nash removed his now bloodied mask revealing his identity to the victims. Nash dropped the gun during the scuffle in the street and left his mask behind as he fled the scene.
After receiving a 911 call from the initial victim, members of the Greenville County Sheriff’s Office (GCSO) responded within minutes. A forensic technician from the Greenville County Forensic Division arrived shortly thereafter to process the scene and collect evidence. Experts from the Greenville County Forensics Division were able to match Nash’s DNA to the blood in the recovered mask. Based on their investigation, GCSO investigators were able to obtain an arrest warrant for Nash and arrested him just days after the offense. Working in concert with GCSO through the multi-agency initiative “Operation Real Time”, Special Agents with the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) served a federal arrest warrant on Nash shortly after his state arrest. Nash, after being advised of his Miranda rights, admitted to ATF agents that he had the mask and the gun. Nash has been detained since this incident and remains in custody.
The Nash case was expedited for federal prosecution pursuant to “Operation Real-Time.” The goal of this program is to identify individuals for federal prosecution with significant criminal histories who continue to actively possess firearms in the Upstate community. “Real Time” is a working collaboration between local, state, and federal law enforcement as well as state and federal prosecutors. Since August of 2015, the initiative has resulted in the expedited federal prosecution of over 120 defendants and seizure of over 160 firearms as well as assorted ammunition from prohibited persons in the upstate.
“ATF is extremely appreciative of our partners and this collaborative effort to make our communities safer,” said Charlotte Field Division’s Special Agent in Charge C.J. Hyman. “ATF has committed our resources to help tackle illegal firearms possession and violent crime. That commitment, combined with the cooperation of the Greenville County Sheriff’s Office and other local law enforcement agencies, our federal partners, the 13th Circuit Solicitor’s Office and the U.S. Attorney’s Office, has resulted in a very successful effort with a long-term impact on violent crime in the upstate and beyond.”
U.S. Attorney Beth Drake commended the partnership between local, state, and federal agencies that led to the Bureau of Alcohol, Tobacco and Firearms and the U.S. Attorney’s Office adopting the case. “We work best when we work together. This ‘real time’ identification of high risk offenders is smart policing and we welcome the opportunity to work alongside our state chiefs, sheriffs, and solicitors in taking violent repeat offenders out of our communities.”
The case was investigated by the Greenville County Sheriff’s Office, the Greenville County Forensic Division, the South Carolina Law Enforcement Division (SLED), and the ATF. Assistant United States Attorney William J. Watkins and First Assistant United States Attorney A. Lance Crick prosecuted the case.
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7 September 2017
York County Woman Charged with Acquiring Controlled Substances by Forgery and DeceptionRead the Press Release
HARRISBURG – The United States Attorney’s Office for the Middle District of Pennsylvania announced today that Shannon Marie Lengal, age 46, of Stewartstown, Pennsylvania, was charged in a criminal information with acquiring controlled substances by forgery and deception.
According to United States Attorney Bruce D. Brandler, the criminal information alleges that from March 2011 to March 2016, Lengal forged a physician’s signature on prescriptions for hydrocodone, a Schedule II controlled substance. Lengal then presented the prescriptions to a pharmacy for filling.
The criminal information was filed pursuant to a plea agreement, which is subject to approval by the court, wherein it is indicated that Lengal intends to plead guilty to the charges when she appears in federal court for her arraignment.
The investigation was conducted by the Drug Enforcement Administration. Assistant United States Attorney Joseph J. Terz is prosecuting the case.
Indictments and Criminal Informations are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
The maximum penalty under federal law is four years’ imprisonment, a term of three years’ supervised release following imprisonment, and a $250,000 fine. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant's educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
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White River Man Charged with Sexual Abuse of a Minor and Abusive Sexual ContactRead the Press Release
United States Attorney Randolph J. Seiler announced that a White River, South Dakota, man has been indicted by a federal grand jury for Sexual Abuse of a Minor and Abusive Sexual Contact.
Duane Mednansky, age 47, was indicted on August 16, 2017. He appeared before U.S. Magistrate Judge Mark A. Moreno on September 6, 2017, and pled not guilty to the Indictment.
The maximum penalty upon conviction is up to 15 years in custody and/or a $250,000 fine, up to life of supervised release, and $100 to the Federal Crime Victims Fund. Restitution may also be ordered.
The Indictment alleges that between on or about May 1, 2013, and September 1, 2013, Mednansky knowingly engaged in, and attempted to engage in, a sexual act with a minor female. The Indictment further alleges that between May 1, 2013, and September 1, 2014, Mednansky engaged in sexual contact with a second female without her permission.
The charges are merely accusations and Mednansky is presumed innocent until and unless proven guilty.
The investigation is being conducted by the Federal Bureau of Investigation, the South Dakota Attorney General’s Office Division of Criminal Investigation, the Mellette County Sheriff’s Office, and the Watertown Police Department. Assistant U.S. Attorney Kirk Albertson is prosecuting the case.
Mednansky was released pending trial, which is set for October 31, 2017.
Westerly Resident Indicted for Receipt, Possession and Distribution of Child PornographyRead the Press Release
PROVIDENCE – A federal grand jury in Providence today returned a three-count indictment charging Jonathan Breslin, 33, of Westerly, with receipt, possession and distribution of child pornography.
Breslin has been detained in federal custody since his arrest on August 11, 2017, following a court authorized search of his residence by agents from Homeland Security Investigations (HSI) and members of the Rhode Island State Police Internet Crimes Against Children Task Force, with the assistance of members of the Westerly and Warwick Police Departments. During the search, law enforcement seized of a computer, a digital media storage device and a cell phone allegedly containing child pornography.
The indictment of Breslin is announced by Acting United States Attorney Stephen G. Dambruch; Matthew J. Etre, Special Agent in Charge of HSI for New England; Colonel Ann C. Assumpico, Superintendent of the Rhode Island State Police; Westerly Police Chief Richard G. Silva; and Warwick Police Chief Colonel Stephen M. McCartney.
According to court documents and information presented to the court at the time of Breslin’s initial appearance in U.S. District Court, it is alleged that in late March 2016, a law enforcement officer in Saskatchewan, Canada, arrested an individual in an unrelated matter. A search of a cell phone belonging to the individual resulted in the discovery of an online mobile chat application allegedly used to discuss and share child pornography images and videos to a network of users. A review by Saskatchewan law enforcement identified 78 unique users who allegedly shared and/or communicated about child pornography.
Information developed and records obtained by Canadian law enforcement through Canadian court orders were provided to HSI agents who, through further investigation, identified IP address in the United States that were allegedly used to participate in some of the conversations, and/or to upload and view child pornography. Among the IP address identified was one allegedly belonging to Breslin.
Further investigation by an HSI agent in Rhode Island included online chats between Breslin and the agent posing as an individual interested in discussing, viewing and sharing child pornography. It is alleged that Breslin discussed viewing, possessing and attempted production of child pornography.
An indictment is merely an allegation and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
Possession of child pornography is punishable statutory penalties of up to 10 years in federal prison, a fine of $250,000 and lifetime supervised. Receiving and distribution of child pornography are each punishable by statutory penalties of 5-20 years in federal prison, a fine of $250,000 and lifetime supervised release.
The case is being prosecuted by Assistant U.S. Attorney John P. McAdams.
The Rhode Island ICAC Task Force is comprised of members of the Rhode Island State Police Computer Crimes Unit along with detectives from the Warwick, Cranston, Newport, East Providence Police, Pawtucket, North Kingstown, Portsmouth and Woonsocket Police Departments and agents from Homeland Security Investigations and United States Postal Inspection Services.
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Wanblee Man Sentenced for Second Degree Murder and Assault with a Dangerous WeaponRead the Press Release
United States Attorney Randolph J. Seiler announced that a Wanblee, South Dakota, man convicted of Second Degree Murder and Assault with a Dangerous Weapon was sentenced on September 7, 2017, by Chief Judge Jeffrey L. Viken, U.S. District Court.
Leon “Gogg” Between Lodges, a/k/a Leon Milk, age 34, was sentenced to 15 years in custody, followed by 5 years of supervised release, and ordered to pay $2,023.37 in restitution and a $100 special assessment to the Federal Crime Victims Fund on the Second Degree Murder charge. Between Lodges was sentenced to 10 years in custody, followed by 3 years of supervised release and ordered to pay a $100 special assessment to the Federal Crime Victims Fund on the Assault with a Dangerous Weapon charge. The sentences were ordered to be served concurrently.
The conviction stems from Between Lodges using a stiletto automatic knife to stab two male individuals on May 27, 2016, at Wanblee. One of these individuals was stabbed in the chest, striking his carotid artery and fatally injuring him. The second victim was stabbed in the back two times and was life-flighted to Scottsbluff, Nebraska, for treatment.
This case was investigated by the Bureau of Indian Affairs, Office of Justice Services, the Oglala Sioux Tribe Department of Public Safety, and the Federal Bureau of Investigation. Assistant U.S. Attorney Megan Poppen prosecuted the case.
Between Lodges was immediately turned over to the custody of the U.S. Marshals Service.
Wanblee Man Indicted for Assaulting a Federal OfficerRead the Press Release
United States Attorney Randolph J. Seiler announced that a Wanblee, South Dakota, man was charged in federal district court with Assault on a Federal Officer.
Shawn Ashley, age 47, was charged on August 22, 2017. He appeared before U.S. Magistrate Judge Daneta Wollmann on August 25, 2017, and pleaded not guilty to the charge. The maximum penalty upon conviction is 8 years of imprisonment and/or a $250,000 fine, 3 years of supervised release, and $100 to the Federal Crime Victims Fund. Restitution may also be ordered.
The charge relates to Ashley, while on bond in a separate criminal case, assaulting an on-duty Oglala Sioux Tribe police officer in June 2017 at Wanblee. The charge is merely an accusation and Ashley is presumed innocent until and unless proven guilty.
The investigation is being conducted by the Federal Bureau of Investigation. Assistant U.S. Attorney Ben Patterson is prosecuting the case.
Ashley was released pending trial. A trial date has not been set.
U.S. Attorney's Office Concludes Investigation into Fatal Shooting in Northeast WashingtonRead the Press Release
WASHINGTON - The U.S. Attorney’s Office for the District of Columbia announced today that there is insufficient evidence to pursue federal criminal civil rights or District of Columbia charges against an officer from the Metropolitan Police Department (MPD) who was involved in the fatal shooting on Dec. 25, 2016, of Gerald Hall in Northeast Washington.
The U.S. Attorney’s Office and the Metropolitan Police Department (MPD) conducted a comprehensive review of the incident. This included interviews of civilian and law enforcement witnesses; physical evidence recovered on the scene, including three knives; body-worn camera footage; recorded audio transmissions; autopsy, toxicology, and DNA reports; and MPD and District of Columbia Department of Forensic Sciences reports, diagrams, and photographs.
According to the evidence, the events unfolded in this manner:
On Dec. 25, 2016, at approximately 10:30 a.m., Mr. Hall was in the home of his girlfriend in the 3200 block of Walnut Street NE, when they started to argue and she told him to leave. When his girlfriend walked away, Mr. Hall turned on all of the burners on the stove and set fire to a paper towel. Shortly after 11 a.m., a 911 caller requested that police go to the house because “my neighbor’s getting beat up over there” and that she was “screaming for help.” The MPD officer and his partner arrived moments later. Mr. Hall’s girlfriend, who had no visible injuries, told police that a physical fight had not occurred and that she had called her sister and would leave with her. The MPD officer and his partner left the scene.
When the sister arrived, the two women attempted to get into the house, but Mr. Hall pushed on the door to keep it closed. When the women were finally able to get in, Mr. Hall was holding a large knife with a grey handle and he started walking towards his girlfriend’s sister, who then picked up a large knife with a black handle to defend herself. The girlfriend stepped in between the two and started tussling with Mr. Hall so that the sister could get out of the house.
As the sister left the house, Mr. Hall locked the door behind her. He then slammed down the knife with the grey handle, breaking the tip, and picked up a large carving knife with a brown handle. Immediately after being locked out, the sister dropped the knife she was holding on the landing outside the door, and called 911 at 11:22 a.m. and stated that, “my sister is locked in the house. Her boyfriend is crazy. He got a knife. He turned on the gas and I’m locked out.” At the same time, a neighbor also called 911 and reported that, “he is beating her up!” The neighbor’s son went over to the house just as Mr. Hall’s girlfriend opened the door and dropped the knife with the grey handle onto the landing.
The dispatcher sent the MPD officer and his partner back to the residence “Code 1” (lights and sirens) for the “man with a knife,” and they arrived less than five minutes later. Both officers had already activated their body-worn cameras while driving to the scene, and they kept them on throughout the duration of the incident. When the officers walked up the stairs, there were already two large knives on the landing – the one with the grey handle, once held by Mr. Hall, and the one with the black handle, once held by the girlfriend’s sister. The neighbor’s son, who was leaving the house, told the officer that Mr. Hall “got a knife on him.” The MPD officer looked through the door and saw Mr. Hall standing near his girlfriend, holding a large knife. The officer ordered Mr. Hall to “put the knife down, put the knife down, put the knife down!” as the girlfriend moved quickly towards the door saying, “he’s all right, he’s all right.” Mr. Hall then pushed his girlfriend out of the door and closed it. As the girlfriend sat down on the door stoop, a large cut was visible on her arm.
The officers yelled for the girlfriend and the neighbor to get out, and get off the door stoop. As the girlfriend stood up with her back towards the door, the door suddenly opened and Mr. Hall stood in the threshold behind her with the large knife in his right hand. The officer immediately fired his weapon four times and Mr. Hall fell to the floor just inside the door. From the time that the MPD officer first started going up the stairs until the time that Mr. Hall fell to the floor after being shot, 35 seconds elapsed.
Mr. Hall, 29, was transported to MedStar Washington Hospital Center, where he was later pronounced dead. The Office of the Chief Medical Examiner for the District of Columbia determined that Mr. Hall was shot four times, including twice in the chest.
After a careful, thorough, and independent review of the evidence, federal prosecutors have found insufficient evidence to prove beyond a reasonable doubt that the officer used excessive force under the circumstances. To the contrary, there is sufficient evidence that the officer was acting in self-defense and defense of others at the time of the shooting.
Use-of-force investigations generally
The U.S. Attorney’s Office reviews all police-involved fatalities to determine whether sufficient evidence exists to conclude that any officers violated either federal criminal civil rights laws or District of Columbia law. To prove such violations, prosecutors must be able to prove that the involved officers willfully used more force than was reasonably necessary. Proving “willfulness” is a heavy burden. Prosecutors must not only prove that the force used was excessive, but must also prove, beyond a reasonable doubt, that the officer acted with the deliberate and specific intent to do something the law forbids. A conclusion that “there is insufficient evidence” is not meant to suggest anything further about what evidence, if any, exists.
The U.S. Attorney’s Office remains committed to investigating allegations of excessive force by law enforcement officers and will continue to devote the resources necessary to ensure that all allegations of serious civil rights violations are investigated fully and completely. The Metropolitan Police Department’s Internal Affairs Division investigates all police-involved fatalities in the District of Columbia.
Two Sentenced for Cocaine DistributionRead the Press Release
Concord, N.H.— Acting United States Attorney John J. Farley announced that Celestino Nieves Vasquez, 42, was sentenced to serve 57 months in prison and Jose Hernandez Corchado, 40, was sentenced to serve 16 months in prison for their roles in distributing cocaine in Manchester, New Hampshire.
According to statements made in court and court documents, on several occasions in June and July 2016, investigators used a confidential source to purchase cocaine from Nieves Vasquez at his Manchester residence. On at least one of these occasions, Corchado was present and assisted Nieves Vasquez in the collection of money owed to complete a drug transaction. Both defendants are former residents of Manchester.
Nieves Vasquez previously pleaded guilty to conspiracy and cocaine distribution charges and Corchado previously pleaded guilty to a conspiracy charge.
“This case demonstrates the commitment of federal law enforcement officers to identifying and prosecuting those who are distributing drugs in Manchester,” said Acting U.S. Attorney Farley. “I commend that teamwork of the law enforcement officers who participated in this investigation. We will continue to work together to combat drug trafficking in Manchester and throughout our state.”
“Mr. Vasquez and Mr. Corchado profited from addictions that destroy lives and tear apart families,” said Special Agent in Charge Harold H. Shaw. “This case is another example of FBI’s ongoing commitment to rid neighborhoods in New Hampshire of drug trafficking enterprises.”
"DEA is committed to investigating and dismantling drug trafficking organizations who are responsible for distributing cocaine to the citizens of New Hampshire," said Special Agent in Charge Michael J. Ferguson. “This investigation demonstrates the strength of collaborative local, state and federal law enforcement efforts in New Hampshire."
This matter was the product of an investigation of the Organized Crime Drug Enforcement Task Force (OCDETF) and the Federal Bureau of Investigation’s Safe Streets Gang Task Force. The OCDETF program is a federal multi-agency, multi-jurisdictional task force that supplies supplemental federal funding to federal and state agencies involved in the identification, investigation, and prosecution of major drug trafficking organizations. Other and state and local authorities involved in the investigation included the Manchester Police Department, the Hudson Police Department, the New Hampshire State Police, the Nashua Police Department, and the New Hampshire Department of Corrections Probation and Parole. Investigators also received assistance from the Drug Enforcement Administration and the Bureau of Alcohol, Tobacco, Firearms & Explosives. The case was prosecuted by Assistant U.S. Attorney Charles L. Rombeau.
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Two Indicted in Seizure of 19 Kilos of Cocaine Set for Delivery in Rhode IslandRead the Press Release
PROVIDENCE – A federal grand jury in Providence today returned a two-count indictment charging two men from Florida with conspiring to traffic cocaine in connection with the seizure by law enforcement of more than 19 kilograms of cocaine allegedly shipped to Rhode Island from Puerto Rico.
Acting United States Attorney Stephen G. Dambruch; Shelly A. Binkowski, Inspector in Charge of the U.S. Postal Inspection Service, Boston Division; and Colonel Ann C. Assumpico, Superintendent of the Rhode Island State Police announce the indictment of Rinaxo M. Rufino, 33, of Miramar, FL., and Gabriel Concepcion, 27, of Kissimmee, FL., which charges them with conspiracy to possess with the intent to distribute five kilograms or more of cocaine.
Additionally, Concepcion is charged with possession of a firearm in furtherance of a drug trafficking crime.
An investigation by U.S. Postal Inspection Service (USPIS) Inspectors and members of the Rhode Island State Police High Intensity Drug Trafficking Area (HIDTA) Task Force resulted in the seizure of more than 19 kilograms of cocaine allegedly shipped from Puerto Rico to residences in Providence, Woonsocket and Central Falls. Rufino and Conception were arrested on August 26, 2017, and ordered detained in federal custody following initial appearances the next day in U.S. District Court in Providence.
According to court documents and information presented to the Court, beginning on August 7, 2017, USPIS Inspectors intercepted five shipments of cocaine in various sized packages allegedly shipped from Puerto Rico to addresses in Providence, Woonsocket and Central Falls. Each of the packages were addressed to individuals not associated with the address to which the packages were shipped. In each instance, a police K-9 detected the odor of narcotics in each package prior to delivery. The packages were seized by law enforcement.
Rinaxo M. Rufino was arrested at a Central Falls residence on August 26, moments after he allegedly took possession of a package that he believed contained approximately 3 kilograms of cocaine. Gabriel Concepcion was arrested moments later after he was stopped by a Rhode Island State Police trooper as he allegedly drove away from the area of the residence. A loaded firearm was allegedly located in Conception’s vehicle.
It is alleged in court documents that Rufino and Concepcion, who had been under law enforcement surveillance for some time, were seen surveilling the area of the Central Falls residence prior to and after the package was left on the doorstep of the residence by a U.S. Postal carrier. Prior to the delivery of the package, USPIS Inspectors had removed the cocaine.
Prior to the arrest of Rufino and Concepcion, USPIS Postal Inspectors took custody of packages allegedly containing cocaine earmarked for delivery to other residences in Providence, Central Falls and Woonsocket. In each instance, a police K-9 allegedly detected the odor of narcotics in each package.
- On August 4, USPIS Inspectors took possession of a package addressed to a residence in Providence, which allegedly containing 8.16 kilograms of cocaine.
- On August 10, USPIS Inspectors took possession of a package addressed to a residence in Woonsocket, which allegedly contained 1.2 kilograms of cocaine.
- On August 26, USPIS Inspectors took possession of a package addressed to a residence in Woonsocket, which allegedly contained 3.48 kilograms of cocaine.
- On August 26, USPIS Inspectors took possession of a package addressed to Central Falls residence, different from the residence where Rufino was arrested. The package allegedly contained 3.48 kilograms of cocaine.
According to court documents, the investigation began in April 2017, when a package mailed from Providence to Puerto Rico was intercepted by USPIS Inspectors after a police K-9 allegedly reacted positively for the presence of the odor of narcotics. Acting on a federal court authorized search warrant, postal inspectors opened the package and discovered $58,010 in cash.
An indictment is merely an allegation and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
Conspiracy to possess with the intent to distribute five kilograms or more of cocaine is punishable by statutory penalties of 10 years to life in federal prison, a fine of $4,000,000 and lifetime supervised release. Possession of a firearm in furtherance of a drug trafficking crime is punishable by statutory penalties of up to 5 years in federal prison, a fine of $250,000 and 3 years supervised release.
The case is being prosecuted by Assistant U.S. Attorney William J. Ferland.
Acting United States Attorney Stephen G. Dambruch acknowledges and thanks the Cranston Police Department and Rhode Island State Police K-9 Units for their assistance in this investigation.
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Three Men Plead Guilty in Connection to Methamphetamine ConspiracyRead 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 three defendants pleaded guilty before Chief U.S. District Judge Frank P. Geraci. Jr. for their roles in a methamphetamine conspiracy:
• Scott Kennedy, 40, of Beaver Dams, NY, pleaded guilty to conspiracy to manufacture, possess with intent to distribute, and to distribute, 500 grams or more of a mixture or substance containing methamphetamine. The defendant a faces a minimum penalty of 20 years in prison, a maximum of life and a $20,000,000 fine.
• Jared Mendez, 32, of Bradford, NY, pleaded guilty theft of anhydrous ammonia with knowledge it will be used to manufacture methamphetamine and faces eight years in prison and a $250,000 fine.
• Terry Champion, 48, of Bradford, NY, pleaded guilty to possession of a listed chemical with knowledge it will be used to manufacture a controlled substance. The defendant faces up to 10 years in prison and a $250,000 fine.Assistant U.S. Attorney Katelyn M. Hartford, who is handling the case, stated that between June 2012, and May 4, 2016, Scott Kennedy conspired with others, including Jared Mendez and Terry Champion, to manufacture and distribute methamphetamine. Kennedy distributed large amounts of methamphetamine with and to people throughout the area of Schuyler, Chemung, and Steuben Counties in New York. During this time, the defendant personally manufactured large amounts of methamphetamine at his home at 44 Campground Road in the Town of Catlin and on the property maintained by his sister Wendy Kennedy at 2200 County Route 19 in the Town of Dix.
During this time, Kennedy also received the assistance of numerous co-conspirators who provided him with supplies with the intent that he would use those supplies to manufacture methamphetamine. Between July 2015 and October 2015, Jared Mendez stole anhydrous ammonia and sold it to Kennedy.
Between January 2016, and May 4, 2016, Terry Champion obtained quantities of pseudoephedrine and sold it to Scott Kennedy. In addition, on January 22, 2016, Champion possessed approximately 182 pseudoephedrine pills for the purpose of manufacturing methamphetamine. On that date, the defendant was pulled over while driving on South Valley Road in Steuben County. During a search of the vehicle, officers located the pseudoephedrine pills.
Charges are pending against Wendy Kennedy and another co-defendant Quinton Harrison. 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.
The pleas are the result of an investigation by the New York State Police, Special Investigations Unit, Rochester; the New York State Police, CNET Southern Tier, under the direction of Major Richard Allen; the Schuyler County Sheriff’s Department, under the direction of William Yessman; and the Schuyler County District Attorney’s Office, under the direction of Joseph Fazzary.
Scott Kennedy is scheduled to be sentenced on November 20, 2017; Terry Champion on November 30, 2017; and Jared Mendez on December 1, 2017, all before Judge Geraci.
Three Indicted on Federal Bankruptcy ChargesRead the Press Release
PROVIDENCE – A federal grand jury in Providence today returned indictments charging three individuals with fraud on the U.S. Bankruptcy Court. It is alleged that the defendants provided false information under oath in order to conceal cash funds they controlled when petitioning the U.S. Bankruptcy Court for bankruptcy protection.
Acting United States Attorney Stephen G. Dambruch; Harold H. Shaw, Special Agent in Charge of the FBI Boston Division; and William Harrington, U.S. Trustee for Rhode Island, Massachusetts, Maine, and New Hampshire, announce the indictment of Marcus A. Collier, 51, of Pawtucket, with one count each of concealment of bankruptcy assets, false statements under oath and false bankruptcy declaration, and, in a separate matter, the indictment of Danys Rivera, 47 and Diana Acevedo, 51, of Providence, with one count each of concealment of bankruptcy assets, false statements under oath and false bankruptcy declaration.
In the matter of Marcus Collier, it is alleged in the indictment that, in documents filed under oath with the U.S. Bankruptcy Court, the defendant concealed $18,000 from the trustee charged with control of the debtor's property, and from the creditors and the United States Trustee.
In the matter of Diana Acevedo and Danys Rivera, an indictment alleges that the defendants failed to disclose and did conceal an insurance settlement of $61,064.43 from the trustee charged with control of the debtor's property, and from the creditors and the United States Trustee.
An indictment is merely an allegation and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
Concealment of bankruptcy assets, false statements under oath and false bankruptcy declaration are each punishable by statutory penalties of up to 5 years in federal prison, a fine of $250,000 and 3 years supervised release.
The cases, investigated by the FBI with the assistance of the U.S. Trustee, are being prosecuted by Assistant U.S. Attorney Denise M. Barton.
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Texas Restaurant Owners Indicted for Tax FraudRead the Press Release
An indictment charging the owners of several Austin, Texas area restaurants with federal tax crimes was unsealed today, announced Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division.
The indictment charges Michael Herman and his wife, Cynthia Herman, with conspiring to defraud the United States by impairing the legitimate functions of the Internal Revenue Service (IRS) and filing false individual income tax returns for tax years 2010 through 2012. Michael Herman is also charged with filing false corporate tax returns for 2010 through 2012.
According to the indictment, the Hermans owned Cindy’s Gone Hog Wild, a restaurant and bar in Travis County, Texas, which filed corporate tax returns, and two restaurants in Bastrop County, Texas, Cindy’s Downtown and Hasler Brothers Steakhouse, which reported their income and expenses on the Hermans’ personal tax returns. The indictment alleges that the Hermans deposited only a portion of the restaurants’ cash receipts into their business bank accounts and reported only those deposits to their tax return preparer. The Hermans also allegedly paid for personal expenses out of the business accounts, including repair of their swimming pool, utilities for their home and the salary of a household employee. The indictment charges that the Hermans filed false tax returns that underreported their income and falsely deducted personal expenses paid out of the corporate account as business expenses.
If convicted, the Hermans face a statutory maximum sentence of five years in prison on the conspiracy charge and three years in prison on each of the false return charges. They also face a period of supervised release, restitution and monetary penalties.
An indictment merely alleges that crimes have been committed. The defendants are presumed innocent until proven guilty beyond a reasonable doubt.
Acting Deputy Assistant Attorney General Goldberg thanked agents of the IRS Criminal Investigation, who conducted the investigation, and Trial Attorneys Robert A. Kemins and David Zisserson, who are prosecuting the case. Acting Deputy Assistant Attorney General Goldberg also thanked the U.S. Attorney’s Office for the Western District of Texas for their substantial assistance.
Additional information about the Tax Division’s enforcement efforts can be found on the division’s website.
Texas Man Pleads Guilty to Transporting Woman for Prostitution in Hobbs, New MexicoRead the Press Release
ALBUQUERQUE – Markell Quashan Sweargin, 19, of Lubbock, Tex., pled guilty this afternoon in federal court in Las Cruces, N.M., to transporting a person for the purpose of engaging in prostitution.
Sweargin was arrested in June 2017, on a criminal complaint charging him with transporting a person in interstate commerce for the purpose of forcing the person to engage in a commercial sex act. The complaint alleged that on June 14, 2017, officers of the Hobbs Police Department arrested Sweargin on state charges after responding to a domestic disturbance call from a woman (victim) who claimed that Sweargin strangled and assaulted her during an altercation arising from her refusal to engage in a sexual act with another man for money.
According to the criminal complaint, Sweargin, the victim and another person traveled from Lubbock to a hotel in Hobbs, N.M. Once in the hotel room, Sweargin attempted to coerce the victim into having sex with other men for money, and became angry when the victim refused. When Sweargin and the other person left the hotel room, a man came to the room with the expectation of having sex with the victim. After the victim refused to have sex with him, the man departed the room after telling the victim that he had come in response to an advertisement on a webpage known to advertise prostitution services. When Sweargin returned to the hotel room, he was very angry because the victim did not have sex with the man in return for money, began to hit the victim, and blocked the door to the hotel room to prevent the victim or the third person from leaving. The victim and third person fled from the room when Sweargin stepped away from the door.
During today’s proceedings, Sweargin pled guilty to a felony information charging him with transporting a person across state lines for the purpose of engaging in prostitution. In entering the guilty plea, Sweargin admitted that on June 14, 2017, he traveled from Lubbock to Hobbs with the victim with the intention of having the victim engage in prostitution in New Mexico.
At sentencing, Sweargin faces a maximum penalty of ten years in federal prison. Sweargin remains in custody pending a sentencing hearing, which has yet to be scheduled.
This case was investigated by the Homeland Security Investigations Las Cruces office and the Hobbs Police Department. Assistant U.S. Attorneys Marisa A. Ong and Aaron O. Jordan of the U.S. Attorney’s Las Cruces Branch Office are prosecuting the case.
Tampa Woman Arrested on Tax Fraud ChargesRead the Press Release
Tampa, Florida – Acting United States Attorney W. Stephen Muldrow announces the arrest and unsealing of an indictment charging Ashley Stanback with five counts of theft of government property in connection with income tax fraud. If convicted, she faces a maximum penalty of 10 years in federal prison on each count.
According to the
indictment , from October 2012 through August 2013, Stanback stole more than $1,000 in government funds in connection with fraudulent tax refunds issued in other individual’s names. The United States is also seeking forfeiture of the proceeds from these fraudulent tax refunds in excess of $38,000.An indictment is merely a formal charge that a defendant has committed one or more violations of federal criminal law, and every defendant is presumed innocent unless, and until, proven guilty.
This case was investigated by Internal Revenue Service – Criminal Investigation. It will be prosecuted by Assistant United States Attorney Kelley Howard-Allen.
St. Petersburg “Spice” Manufacturers SentencedRead the Press Release
Tampa, Florida – United States District Judge Steven D. Merryday has sentenced Fayez Abu-Aish (51)and Nedal Abu-Aish (48) to 14 years in prison each for conspiring to distribute, distribution of, and possession with the intent to distribute a substance containing XLR-11. A federal jury found them both guilty in April 2017.
Trial testimony revealed that XLR-11 is a synthetic cannabinoid, typically imported from China, that is applied to plant material to create a smokable drug often called “Spice.” On March 28, 2014, following a lengthy investigation, agents from the Drug Enforcement Administration Task Force raided a clandestine laboratory in St. Petersburg where the Abu-Aish brothers were manufacturing these smokable synthetic cannabinoids using the chemical XLR-11. Agents seized finished product, other chemicals, plant material, and packaging materials. Searches of storage units resulted in the seizure of thousands of packages containing XLR-11-laced plant material ready for distribution. Some of the brands seized included “Scooby Snax,” “OMG,” “Mr. Happy,” and “Mind Trip.”
This case was investigated by the Drug Enforcement Administration, the St. Petersburg Police Department, and the Clearwater Police Department. It was prosecuted by Assistant United States Attorney James C. Preston
St. Lawrence County Man Pleads Guilty to Clean Water Act CrimesRead the Press Release
SYRACUSE, NEW YORK - Michael J. Ward, age 54, of Gouverneur, New York, pled guilty today in federal court in Binghamton to three felony counts of violating the Clean Water Act, announced Acting United States Attorney Grant C. Jaquith; Tyler Amon, Special Agent in Charge for the Environmental Protection Agency’s Criminal Investigation Division (EPA-CID) in New York; and Joe Schneider, Director of Law Enforcement, New York State Department of Environmental Conservation (DEC).
In pleading guilty, Ward admitted that between January 2013 and September 2015, while employed as the Technical Director in charge of environmental compliance at the APC Paper Group paper mill in Norfolk, New York, he caused the paper mill to violate its Clean Water Act permit by discharging wastewater containing excessive levels of biochemical oxygen demand (“BOD”) into the Raquette River. BOD is the amount of dissolved oxygen necessary for microorganisms in the water to break down organic material. BOD levels also provide an index for measuring the effect discharged wastewater will have on the body of fresh water receiving it. In this case, the paper mill’s Clean Water Act permit restricted the amount of BOD that could be discharged through wastewater. Ward admitted in court today that he was responsible for monitoring, calculating, and reporting the paper mill’s compliance with its Clean Water Act permit. He further admitted that he hid and falsified data regarding the BOD levels in the mill’s wastewater discharges, thus allowing the mill to violate its Clean Water Act permit on a regular basis. Additionally, he repeatedly falsified monthly reports to the DEC to hide the continuing Clean Water Act violations. The defendant’s illegal conduct was discovered after he was fired by APC Paper Group for unrelated reasons in the fall of 2015.
The charges to which Ward pled guilty today carry a maximum sentence of up to 3 years in prison, a fine of up to $800,000, and a term of supervised release of up to 1 year. Ward will be sentenced in federal court in Binghamton on January 26, 2018 by Senior United States District Judge Thomas J. McAvoy. A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines and other factors.
This case was investigated by EPA-CID and the New York State DEC, Division of Law Enforcement and Bureau of Environmental Crimes Investigation Unit (BECI), and it is being prosecuted by Assistant U.S. Attorney Michael F. Perry.
St. Francis Man Sentenced for Felon in Possession of a FirearmRead the Press Release
United States Attorney Randolph J. Seiler announced that a St. Francis, South Dakota, man convicted of Felon in Possession of a Firearm was sentenced on September 5, 2017, by U.S. District Judge Roberto A. Lange.
Craig Edward Valandra, age 35, was sentenced to 24 months in prison followed by 2 years of supervised release, and a special assessment to the Federal Crime Victims Fund in the amount of $100.
Valandra was indicted by a federal grand jury on July 19, 2016. He pled guilty on March 7, 2017.
The conviction stemmed from an incident that occurred on June 20, 2016. On that date, Rosebud Sioux Tribe Police Officers responded to a report that Valandra was causing a disturbance and firing a gun outside a house in St. Francis. The officers subsequently located Valandra at a nearby house, arrested him, and seized a .357 caliber revolver and a .40 caliber pistol from his person.
Valandra was convicted of Arson in U.S. District Court in 2004, making it illegal for him to possess firearms. Valandra will forfeit ownership of the firearms seized in the case to the United States.
This case was investigated by the Rosebud Sioux Tribe Law Enforcement Services and the Bureau of Alcohol, Tobacco, Firearms, and Explosives. Assistant U.S. Attorney Kirk Albertson prosecuted the case.
Valandra was immediately turned over to the custody of the U.S. Marshals Service.
Sentencings for September 5 - 7, 2017Read the Press Release
Jose Melendez-Tarin, 31, formerly of Greeley, Colorado, was sentenced by Federal District Court Judge Alan B. Johnson on September 7, 2017, for conspiracy to distribute 500 grams or more of methamphetamine. Melendez-Tarin was arrested in Mexico City, Mexico and extradited to the United States. He received 85 months of imprisonment, to be followed by four years of supervised release, was ordered to pay a $100.00 special assessment, and is subject to deportation upon release from custody. This case was investigated by the U.S. Drug Enforcement Administration and the United States Marshals Service.
Gerardo Reyes-Salinas, 21, of Tepic, Nayarit, Republic of Mexico, was sentenced by Chief Federal District Court Judge Nancy D. Freudenthal on September 5, 2017, for illegal re-entry of a previously deported alien into the United States. Reyes-Salinas was arrested in Sweetwater County, Wyoming. He received time served, plus ten days, was ordered to pay a $100.00 special assessment, and is subject to deportation upon release from custody. This case was investigated by the U.S. Department of Homeland Security, Immigration and Customs Enforcement.
Seneca Falls Man Pleads Guilty to Filing False Tax ReturnsRead 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 James LaRock, II, 42, Seneca Falls, NY, pleaded guilty to filing a false tax return before the U.S. District Judge Charles J. Siragusa. The charge carries a maximum penalty of three years in prison and a fine of $250,000.
Assistant U.S. Attorney Tiffany H. Lee, who is handling the case, stated that for the tax years 2010-2013, the defendant, who is self-employed in the logging and firewood business, filed false personal income tax returns. Among other things, LaRock understated his gross receipts and omitted the cost of goods. In total, the defendant omitted approximately $280,470.72 in taxable income, resulting in a tax loss of $107,749 to the Internal Revenue Service.
The criminal complaint was the culmination of an investigation on the part of the Internal Revenue Service, Criminal Investigations Division, under the direction of James D. Robnett, Special Agent-in-Charge, New York Field Office.
Sentencing is scheduled for December 7, 2017, at 10:00 a.m. before Judge Siragusa.
San Diego Man Sentenced for Methamphetamine ConspiracyRead the Press Release
Donald S. Boyce, United States Attorney for the Southern District of Illinois, announced today that Mark Wilson, age 30, of San Diego, California was sentenced to 97 months’ imprisonment on September 7, 2017 for Conspiracy to Distribute Methamphetamine.
At his change of plea hearing on April 11, 2017, Wilson admitted that he helped to distribute multiple kilogram quantities of methamphetamine in the Beardstown, Illinois area between June, 2015 and August, 2016.
The investigation which resulted in Wilson’s arrest and conviction was conducted by the Drug Enforcement Administration.
The case was prosecuted by Assistant United States Attorney Robert L. Garrison.
Rochester Man Sentenced to 25 Years for Drug TraffickingRead 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 Edward Mighty, 40, of Rochester, NY, was sentenced to 25 years in prison by Chief U.S. District Judge Frank P. Geraci, Jr. Mighty was convicted of conspiracy to possess with intent to distribute and to distribute five kilograms or more of cocaine and 280 grams or more of crack cocaine, and possession of firearms in furtherance of a drug trafficking crime,
Mighty was arrested in February 2015 along with Seymour Brown, Andre Taylor a/k/a Stamma, Ricardo Bailey a/k/a Diji, Robert Wilson a/k/a Bose, and Kenneth Harper a/k/a Frenchy a/k/a Pudge, Desmond Bice a/k/a Dez, and Christopher Samuels a/k/a Cutty, all of Rochester. In addition, Winifredo Gonzales, of Brooklyn, NY, was charged by criminal complaint on February 11, 2015, with conspiracy to possess with intent to distribute five kilograms or more of cocaine and possession of firearms in furtherance of a drug trafficking crime.
Assistant U.S. Attorney Robert A. Marangola, who handled the case, stated that Mighty was one of the leaders of a Rochester-based drug trafficking organization. The defendant obtained kilogram quantities cocaine from Winifredo Gonzales in Brooklyn that were transported to Rochester. The powder cocaine was processed, re-packaged, and distributed in various quantities of both powder and crack cocaine through multiple sellers in the greater Rochester area. Mighty had several members of his drug trafficking organization utilize their cell phones to conduct the drug business. These individuals include Andre Taylor, Seymour Brown, and Ricardo Bailey. The defendant’s organization supplied numerous upper and mid-level cocaine distributors, including Robert Wilson and Wilson’s partner Kenneth Harper. Wilson further supplied, among other individuals, Desmond Bice. Christopher Samuels worked with Bice in further distributing the cocaine.
On February 10, 2015, law enforcement monitored a vehicle utilized by the organization to transport kilograms of cocaine from Brooklyn to Rochester. Shortly before 2:30 pm, surveillance officers observed the vehicle arrive at 126 New Jersey Avenue in Brooklyn and depart about 15 minutes later. As agents executed a search warrant and arrested Gonzales at 126 New Jersey Avenue, other agents monitored the vehicle as it traveled to Rochester. Inside the Brooklyn residence, law enforcement officers found 17 kilograms of cocaine in a hydraulic secret compartment behind a wall with two handguns, including an UZI 9mm pistol. Agents also seized approximately $70,000 in U.S. currency wrapped in black tape and plastic wrap from a safe.
The vehicle was monitored as it traveled from Brooklyn to 54 Strong Street in Rochester, the center of the Rochester drug distribution activities. The trap car arrived at 54 Strong Street shortly after 10:00 pm. A few minutes later, officers executed search warrants on 54 Strong Street, the trap car, and 319 Alphonso Street. At 54 Strong Street, Mighty was taken into custody along with Bailey, who was the driver of the trap car in which officers later found one kilogram of cocaine in a hydraulic compartment behind the front center vent. Andre Taylor fled on foot running through the snow-covered backyards, and was taken into custody in the vicinity of 93 Tyler Street, a short distance away. Inside 54 Strong Street, a Glock .40 caliber semi-automatic handgun loaded with 11 rounds of live ammunition, 13 rounds of live .357 caliber ammunition, Western Union receipts, multiple cell phones, drug distribution paraphernalia, and $3,941 in U.S. currency were seized.
Brown was arrested at his residence at 319 Alphonso Drive in Rochester. During the search of that location, officers seized multiple cell phones, a loaded .357 caliber handgun, and $3,147 in U.S. currency. In total, over 17 kilograms of cocaine, $145,000 in U.S. currency, 15 handguns, and 16 pounds of marijuana were seized.
All defendants charged have been convicted.Today’s sentencing is the culmination of a joint federal and state wiretap investigation on the part of the Organized Crime Drug Enforcement Task Force, the Rochester Police Department, under the direction of Chief Michael Ciminelli, the Bureau of Alcohol, Tobacco, Firearms and Explosives, under the direction of Special Agent-in- Charge Ashan Benedict, New York Field Division, and the Monroe County District Attorney's Office, under the direction of Sandra Doorley.