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6 September 2017
Arizona Woman Sentenced for Federal Larceny Conviction in New MexicoRead the Press Release
ALBUQUERQUE – Sabrina Morgan, 39, of Jeddito, Ariz., was sentenced today in federal court in Albuquerque, N.M., to five years of probation for her conviction on a larceny charge. The charge arose out of her stealing cash from a commercial business in Naschitti, N.M. Morgan also was ordered to pay $4,800.00 in restitution to the victim of her criminal conduct, and was ordered to perform 40 hours of community service.
Morgan was charged in an indictment filed on March 14, 2017, with stealing money belonging to the Red Mesa Trading Company, which is located on the Navajo Indian Reservation in San Juan County, N.M. At the time she committed the crime, Morgan was employed as the district supervisor of the Trading Company.
On April 26, 2017, Morgan entered a guilty plea to the indictment without the benefit of a plea agreement.
This case was investigated by the Farmington office of the FBI and was prosecuted by Assistant U.S. Attorney Michael D. Murphy.
Another Former Correctional Officer Pleads Guilty to Beating of Handcuffed and Shackled Inmate at Louisiana State Penitentiary at AngolaRead the Press Release
Officer Conspired to Cover Up Beating By Falsifying Records and Lying to Investigators
Acting United States Attorney Corey Amundson and Acting Assistant Attorney General John Gore of the Justice Department’s Civil Rights Division announced that a former supervisory correctional officer at Louisiana State Penitentiary in Angola, Louisiana, pleaded guilty today to participating in the beating of a handcuffed and shackled inmate, conspiring to cover up his misconduct by falsifying official records and lying to internal investigators about what happened.
John Sanders, 30, of Marksville, Louisiana, admitted during his plea hearing that he punched the inmate repeatedly in the head in retaliation for an earlier incident; that he witnessed other officers use excessive force against the inmate and failed to intervene; that he conspired with other officers to cover up the beating by engaging in a variety of obstructive acts; and that he personally falsified official prison records in order to cover up the beating.
Scotty Kennedy, 48, of Beebe, Arkansas, pled guilty in November 2016 for his role in the beating and cover up. Two co-defendants, Daniel Davis and James Savoy, remain scheduled for trial in January of 2018.
“A former correctional supervisor has admitted abusing a person in state custody and then lying to cover up his on-duty misconduct,” said Acting Assistant Attorney General John Gore of the Civil Rights Division. “The Justice Department will continue to vigorously prosecute correctional officers who use their official position to commit and to cover up violations of federal criminal law.”
Acting U.S. Attorney Corey Amundson stated, “Our office remains committed to prosecuting violations of the federal criminal civil rights laws whenever sufficient evidence exists to do so. No one is above the law.”
This case is being investigated by the FBI’s Baton Rouge Resident Office and is being prosecuted by Assistant U.S. Attorney Frederick A. Menner, Jr. of the Middle District of Louisiana and Trial Attorney Christopher J. Perras of the Civil Rights Division’s Criminal Section.
Another Former Correctional Officer Pleads Guilty to Beating of Handcuffed and Shackled Inmate at Louisiana State Penitentiary at AngolaRead the Press Release
BATON ROUGE, LA – Acting United States Attorney Corey Amundson and Acting Assistant Attorney General John Gore of the Justice Department’s Civil Rights Division announced that a former supervisory correctional officer at Louisiana State Penitentiary in Angola, Louisiana, pleaded guilty today to participating in the beating of a handcuffed and shackled inmate, conspiring to cover up his misconduct by falsifying official records, and lying to internal investigators about what happened.
John Sanders, 30, of Marksville, Louisiana, admitted during his plea hearing that he punched the inmate repeatedly in the head in retaliation for an earlier incident; that he witnessed other officers use excessive force against the inmate and failed to intervene; that he conspired with other officers to cover up the beating by engaging in a variety of obstructive acts; and that he personally falsified official prison records in order to cover up the beating.
Scotty Kennedy, 48, of Beebe, Arkansas, pled guilty in November 2016 for his role in the beating and cover up. Two co-defendants, Daniel Davis and James Savoy, remain scheduled for trial in January 2018.
Acting U.S. Attorney Corey Amundson stated, “Our office remains committed to prosecuting violations of the federal criminal civil rights laws whenever sufficient evidence exists to do so. No one is above the law.”
“Another former correctional supervisor has admitted abusing a person in state custody and then lying to cover up his on-duty misconduct,” said Acting Assistant Attorney General John Gore of the Civil Rights Division. “The Justice Department will continue to vigorously prosecute correctional officers who use their official position to commit and to cover up violations of federal criminal law.”
This case is being investigated by the FBI’s Baton Rouge Resident Office and is being prosecuted by Assistant U.S. Attorney Frederick A. Menner, Jr. of the Middle District of Louisiana and Trial Attorney Christopher J. Perras of the Civil Rights Division’s Criminal Section.
Albuquerque Man Sentenced to Five Years for Conviction on Federal Drug Trafficking and Firearms ChargesRead the Press Release
ALBUQUERQUE – Alex Bernard Fletcher, 41, of Albuquerque, N.M., was sentenced today in federal court to 60 months in prison for his conviction on methamphetamine trafficking laws and firearms charges. Fletcher will be on supervised release for five years after completing his prison sentence and will be required to perform 50 hours of community service.
Fletcher was arrested on Nov. 5, 2015, on a criminal complaint charging him with drug trafficking and firearms offenses. The criminal complaint charged Fletcher with distributing approximately 51 grams of methamphetamine to an undercover law enforcement officer on Oct. 28, 2015, in Bernalillo County, N.M. As officers were closing in to make the arrest, they observed Fletcher reach into his waistband and throw a firearm to the ground in an attempt to conceal it from the officers.
Fletcher was indicted on Dec. 2, 2015, and was charged with being a felon in possession of a firearm and ammunition, distributing methamphetamine, and using and carrying a firearm in relation to a drug trafficking crime. According to the indictment, in late Oct. 2015, Fletcher was prohibited from possessing firearms or ammunition because he previously had been convicted of several felony offenses.
On Aug. 30, 2016, Fletcher pled guilty to a two-count information charging him with distribution of methamphetamine, and using and carrying a firearm in relation to a drug trafficking crime. In entering the guilty plea, Fletcher admitted selling 51 grams of methamphetamine to an undercover officer. Fletcher also admitted that he possessed a firearm during the drug deal in order to assist him facilitate his drug trafficking crime. Fletcher acknowledged that as a convicted felon, he was prohibited from possessing firearms or ammunition.
This case was investigated by Albuquerque office of Homeland Security Investigations and APD’s Central Narcotics Unit. Assistant U.S. Attorney Rumaldo R. Armijo prosecuted the case.
5 September 2017
Youngstown man admits to trafficking cocaineRead the Press Release
WHEELING, WEST VIRGINIA – Dennis Lee Artis, of Youngstown, Ohio admitted today to distributing cocaine, Acting United States Attorney Betsy Steinfeld Jividen announced.
Artis, age 52, pled guilty to one count of “Distribution of Cocaine Base within 1,000 Feet of a Protected Location.” Artis admitted to selling cocaine near Allison Elementary School in Hancock County on April 5, 2017.
Assistant U.S. Attorney Stephen L. Vogrin prosecuted the case on behalf of the government. The Hancock/Brooke/Weirton Drug & Violent Crime Task Force, a HIDTA-funded initiative, investigated.
Senior U.S. District Judge Frederick P. Stamp, Jr. presided.
U.S. Attorney's Office Launches Online Messaging Campaign to Highlight the Importance of Law Enforcement WellnessRead the Press Release
The U.S. Attorney’s Office for the District of Connecticut will implement an online messaging campaign in September during National Suicide Prevention Awareness Month to highlight the importance of law enforcement wellness and suicide prevention. According to Badge of Life, more officers die of suicide than from gunfire and traffic accidents combined. The Police Suicide Study estimates that an average of 130 law enforcement suicides occur per year, which is more than ten per month.
“The hard truth is that every year far more police officers take their own lives than are killed in the line of duty by criminals,” said U.S. Attorney Deirdre M. Daly. “This is not surprising when we consider the relentless demands and undeniable toll of the job. Police work draws people of exceptional courage and humility. But far too many officers suffer in silence unable to seek the help they need. We need to do everything we can to prioritize the well-being of all law enforcement officers.”
Over the course of the month, the U.S. Attorney’s Office will disseminate messages via social media using the hashtag #OfficerWellness.
U.S. Attorney and Police Chiefs Issue Statement on Project LongevityRead the Press Release
In 2012, federal, state and local officials combined to launch an innovative anti-violence initiative in New Haven. We called it Project Longevity in recognition of our goal to provide longevity to the lives of urban black males – who too often are cut down by gun violence – and because we aspired to instill the program’s core concepts in our police departments as an enduring way of “doing business.” Within the year, Bridgeport and Hartford were also up and running.
Project Longevity has lived up to its name. Now in its fifth year, it continues to bring together law enforcement, community members and service providers to collectively address violent crime. The budget for Project Longevity has included the salaries for a Statewide Manager, three city Project Managers, and three Service Coordinators. These seven individuals are the backbone of the operation. They have worked hard to forge partnerships between law enforcement, social service providers and members of violent groups to help those who want to step away from dangerous associations toward a new, law abiding life. This is not easy work, as it requires overcoming challenges involving employment, housing, addiction, anger management and transportation. Through the unwavering commitment of our Project Longevity leaders, they have earned the trust of both community members and violent offenders.
The Project Longevity leaders’ diligence has also led to remarkable relationships amongst all of our law enforcement partners. The police departments of our state’s three largest cities are working hand-in-hand with our Statewide Coordinator and their city’s Program Manager. Some departments insist that their special units meet and share intelligence on a daily or weekly basis. In New Haven, we have meetings four days a week, with representatives from the NHPD intel unit, shooting task force, homicide, robbery/burglary, and detective units, District Managers, SROs, Narcotics, Bureau of Identification, ATF, FBI, DEA, DOC, West Haven and Hamden Police Departments, adult probation, adult parole, juvenile prosecutor’s office, juvenile probation, and juvenile parole, federal probation, State’s Attorney’s Office, United States Attorney’s Office and the Project Longevity Project Manager in attendance. The group’s sole aim is to reduce, prevent and solve violent crime by quickly and resolutely responding to the latest group to act violently. Their success is boldly reflected in the dramatic decline in violent crime in New Haven since Project Longevity’s inception in 2012.
Taxpayers benefit directly from Project Longevity in the form of averted medical, law enforcement, and criminal justice expenses that otherwise are incurred by the government. Taking the yearly cost of the entire program, one study suggests that Connecticut taxpayers benefit from almost $5 million in net savings. But in light of Connecticut’s fiscal crisis, our Statewide Coordinator, three Project Managers and three Service Coordinators are working without pay or assurance they will receive retroactive remuneration. Each year, our project managers conduct at least three Call-Ins, participate in hundreds of Custom Notifications, deliver anti-violence presentations to community groups and schools, and spearhead food and clothing drives. Although this small team has not been paid for months, they have not stopped working to make our communities safer. Their dedication to Project longevity does not depend on a paycheck. We hope we can keep our promises to these faithful professionals.
U.S. Attorney Deirdre M. Daly
Bridgeport Police Chief Armando J. Perez
Hartford Police Chief James C. Rovella
New Haven Police Chief Anthony CampbellTopeka Man Pleads Guilty to Driving Getaway Car during RobberyRead the Press Release
TOPEKA, KAN. – A Topeka man pleaded guilty Tuesday to driving the getaway car during an armed robbery, U.S. Attorney Tom Beall said.
Jermaine Tyrell Patton, 29, Topeka, Kan., pleaded guilty to one count of aiding and abetting a commercial robbery and one count of aiding and abetting an armed robbery.
In his plea, Patton admitted taking part in a Nov. 5, 2016, robbery at Oakmark Convenience Store at 2518 N.E. Seward Avenue in Topeka. Patton’s accomplice, who was carrying a firearm, entered the store and demanded money. Patton was behind the wheel of a blue PT Cruiser when he and the robber fled the scene. When police stopped the car, both men fled on foot. Patton was quickly arrested.
The other man, Christopher Curtis Harris of Topeka, was arrested and charged in Shawnee County District Court with shooting Topeka Police Detective Brian Hill when Hill tried to arrest him.
Patton is set for sentencing Nov. 27. Both parties have agreed to recommend a sentence of not less than five years and not more than 15 years. Beall commended the Topeka Police Department, the FBI and Assistant U.S. Attorney Jared Maag for their work on the case.
Stark County man sentenced to more than three years in prison for dumping wastewater in Tuscarawas RiverRead the Press Release
A North Lawrence man was sentenced to more than three years in prison for dumping wastewater into tributaries of the Tuscarawas River.
Adam D. Boylen, 46, previously pleaded guilty to four counts of violating the Clean Water Act by making unpermitted discharges. U.S. District Judge Sara Lioi sentenced him to 42 months in prison and ordered him to pay $85,338 in restitution.
“This defendant intentionally dumped waste into a tributary of the Tuscarawas River, killing fish and other aquatic life,” said U.S. Attorney Justin E. Herdman. “We will always protect our waterways and environment.”
“Protecting our water is critical, both for the health and safety of our citizens and our wildlife,” Ohio Attorney General Mike DeWine said. “We will continue to assist in this case and others like it to protect Ohio.”
“The defendant's deliberate and illegal dumping of wastewater killed thousands of fish and wildlife and harmed the quality of local waterways,” said Scot Adair, Acting Special Agent in Charge of EPA’s criminal enforcement program in Ohio. “Today's sentence reinforces EPA's commitment to work with its law enforcement partners to pursue egregious environmental crimes and the individuals who commit them.”
“Today’s sentencing concludes a successful investigation and prosecution of the multiple discharges into waters of the state, which violated the federal Clean Water Act,” said Ohio EPA Director Craig W. Butler. “We will continue to work with our partners at the local, state and federal agencies to make sure that public health and the environment is protected and responsible parties are held accountable.”
Boylen was a driver employed by an Ohio-based trucking company. Boylen’s job was to load wastewater generated from corporate facilities into a tanker truck and to drive the wastewater to a designated facility located in Pennsylvania for proper disposal. The wastewater contained surfactants capable of killing vegetation and fish, according to court documents.
Instead of delivering the wastewater to Pennsylvania, Boylen drove the tanker truck to remote locations in Tuscarawas County and central-eastern Ohio and emptied the wastewater containing surfactants into waters of the United States, according to court documents.
Boylen is charged with dumping the wastewater into two different tributaries of the Tuscarawas River, a wetland adjacent to the Tuscarawas River, and the Beach City Reservoir, on numerous occasions between April 18 and May 4, 2016.
White foam flowed down tributaries and streams as a result of Boylen’s actions. In one instance, the foam traveled four miles downstream from the location where the tanker truck was emptied. Vegetation was killed at all the locations. Approximately 709 fish were killed in one of the tributaries, and collectively, approximately 3,231 minnows, crayfish, frogs, and tadpoles were killed, according to court documents.
The case is being prosecuted by Assistant U.S. Attorney Brad J. Beeson. The case was investigated by the United States and Ohio Environmental Protection Agencies, the Ohio Attorney General’s Bureau of Criminal Investigation, the Stark County Sheriff’s Offices, the Tuscarawas County Sheriff’s Offices, the Ohio Department of Natural Resources, and the Ohio Department of Rehabilitation and Correction.
Son of the Former President of Honduras Sentenced to 24 Years in Prison for Conspiring to Import Cocaine into the United StatesRead the Press Release
Joon H. Kim, the Acting United States Attorney for the Southern District of New York, announced today that FABIO PORFIRIO LOBO was sentenced to 288 months in prison for conspiring to import cocaine into the United States. LOBO pled guilty on May 16, 2016, before U.S. District Judge Lorna G. Schofield, who imposed today’s sentence. LOBO’s father, Porfirio Lobo, served as president of Honduras between 2010 and 2014.
Acting Manhattan U.S. Attorney Joon H. Kim said: “By his own admission, Fabio Lobo conspired to import huge quantities of cocaine into the U.S. To assist traffickers and enrich himself, Lobo used his father’s position and his own connections to bring drug traffickers together with corrupt police and government officials. Now, Fabio Lobo has been sentenced to the substantial prison term his crimes merit.”
According to the Indictment, other court filings, evidence presented during a sentencing hearing held on March 6 and 16, 2017, and statements made during other court proceedings:
Before and while LOBO’s father was president of Honduras, LOBO used his and his father’s reputation and political network to broker corrupt connections between large-scale Honduran drug traffickers and individuals within the Honduran government, including high-level officials such as sitting Honduran congressmen as well as customs, military, and law enforcement personnel. By managing security and what LOBO described during a recorded meeting as “logistics” for these criminals, LOBO facilitated and participated in extensive cocaine trafficking with strong support from multiple elements of the Honduran government.
LOBO’s participation in drug trafficking began as early as 2009. During that year, while LOBO’s father was running for president of Honduras, LOBO’s father began receiving bribes from members of a drug-trafficking organization known as the Cachiros, which was a prolific and violent criminal syndicate that relied on connections to politicians, military personnel, and law enforcement to transport cocaine to, within, and from Honduras. The leaders of the Cachiros paid Porfirio Lobo over approximately $500,000 in exchange for, among other things, political protection from law enforcement investigations, prevention of extradition to the United States, and awards of contracts by Honduran government agencies to money-laundering front companies controlled by the Cachiros.
LOBO was introduced to the Cachiros initially as an individual who was willing to facilitate the award of Honduran government contracts to the Cachiros’ front companies, which were used to increase the appearance of their legitimacy and to launder drug proceeds. LOBO soon began protecting and supporting the Cachiros by acting as a conduit to Honduran officials capable of preventing interference with their drug trafficking operations. Between five and eight times, the Cachiros provided LOBO with advance notice of incoming drug loads so that LOBO would be available in the event of any interference with the shipments.
In 2012, LOBO participated more directly in the violent drug trafficking of the Cachiros. LOBO proposed to the Cachiros receiving cocaine-laden aircraft at locations in the Olancho Department of Honduras, and he personally helped escort two loads of drugs with an aggregate quantity of approximately 1.4 metric tons of cocaine. In connection with the transportation of those cocaine shipments, LOBO brought members of the Honduran military, who were armed with an AR-15 machine gun as well as pistols, for security, and LOBO personally rode with one of the leaders of the Cachiros so that LOBO would be able to place calls to Honduran officials in the event of any law enforcement interference. For his participation, LOBO received, among other things, approximately $70,000 in cash, an armored vehicle, and an AR-15 machine gun.
LOBO also assisted drug traffickers other than the Cachiros. In approximately 2012, LOBO assisted a maritime drug trafficking venture at Puerto Cortes, a large commercial port on the north coast of Honduras near the Honduras-Guatemala border, involving Fredy Renan Najera Montoya (a Honduran congressman), a Honduran customs official, a high-ranking member of Mexico’s Sinaloa Cartel, Carlos Lobo (another Honduran drug trafficker who is not related to LOBO), and others. LOBO made at least approximately $50,000 for participating in meetings regarding the shipments. LOBO also used his political access to protect and assist Carlos Lobo by helping him try to recover seized assets in exchange for approximately $100,000.
Beginning in or about 2013, the Drug Enforcement Administration (“DEA”) captured some of LOBO’s drug trafficking activities on tape after the leaders of the Cachiros started to covertly provide information and assistance to the United States government. Following public financial sanctions and asset seizures targeting the Cachiros in September 2013, LOBO stepped in to help coordinate on behalf of the Cachiros the receipt, protection, and transportation of a multi-ton load of cocaine for purported representatives of now-detained alleged Mexican kingpin Joaquin Archivaldo Guzman Loera, a/k/a “El Chapo.” Expecting to make millions of dollars for a shipment of approximately 3,000 kilograms of cocaine, LOBO met with confidential sources acting at the direction of the DEA (the “CSes”), agreed to provide military and “logistics” support to these purported drug traffickers, and facilitated introductions to at least two Honduran military officials.
LOBO also introduced the CSes to Honduran police officials who agreed to participate in the cocaine transaction by providing security and logistical support for the transportation of the cocaine through Honduras (the “Honduran National Police Defendants”). In June 2014, LOBO, the CSes, and six of the Honduran National Police Defendants participated in a recorded meeting in Honduras. During the meeting, the Honduran National Police Defendants placed a map of Honduras on a table and described to LOBO and the CSes the Honduran law enforcement presence along potential shipment routes for the cocaine. In exchange for their assistance, the Honduran National Police Defendants requested new phones for communications, vehicles to use, a pool of $200,000 for bribes to other officials, and bribes of $100,000 per person for themselves. Later in 2015, in consensually recorded calls and emails between LOBO and one of the Cachiros, LOBO agreed to travel to Haiti for the purpose of receiving payment from the proceeds of the cocaine transaction with the CSes. LOBO subsequently traveled to Haiti in May 2015 and was arrested.
Seven of the Honduran National Police Defendants, including, among others, MARIO GUILLERMO MEJIA VARGAS (“VARGAS”), CARLOS JOSE ZAVALA VELASQUEZ (“VELASQUEZ”), and VICTOR OSWALDO LOPEZ FLORES (“FLORES”), were subsequently indicted by a grand jury in the Southern District of New York for firearms and/or drug trafficking offenses. On July 11, 2016, Vargas, Velasquez, and Flores waived extradition in Honduras and surrendered voluntarily in Manhattan. FLORES, VELASQUEZ, and VARGAS have since pled guilty in federal court to conspiring to import cocaine into the United States, and they await sentencing by Judge Schofield.
* * *
In addition to the prison term, LOBO, 46, was ordered to pay a $50,000 fine and to forfeit $266,667, which represents the proceeds he received from his drug trafficking offense.
Mr. Kim praised the outstanding efforts of the Special Operations Division of the DEA Bilateral Investigations Unit, New York Strike Force, and Tegucigalpa Country Office. Mr. Kim also thanked the DEA’s Port-au-Prince Country Office, the Government of the Republic of Haiti and its Bureau de Lutte Contre le Trafic Illicite de Stupefiants, and the U.S. Department of Justice’s Office of International Affairs for their ongoing assistance.
This case is being handled by the Office’s Terrorism and International Narcotics Unit. Assistant U.S. Attorneys Emil J. Bove III and Matthew J. Laroche are in charge of the prosecution.
The charges against Honduran National Police defendants Ludwig Criss Zelaya Romero, Juan Manuel Avila Meza, and Carlos Alberto Valladares Zuniga are merely accusations, and these defendants are presumed innocent unless and until proven guilty.
Several Local Residents Slammed with Significant Sentences in Hostage Taking ConspiracyRead the Press Release
McALLEN, Texas – Several men who resided in the Mission area have been ordered to prison for their involvement in an illegal alien hostage taking scheme, announced Acting U.S. Attorney Abe Martinez.
Luis Aguilar Jr., 19; brothers Alhan Sanchez, 20, and Aaron Sanchez, 21, and Ricardo Renteria, 26, all of Mission; and Renteria’s nephew Ricardo Renteria-Rivera, 23, a Mexican citizen illegally present in the United States, all pleaded guilty to a conspiracy to commit hostage taking.
In handing down the sentences, U.S. District Judge Micaela Alvarez said that a strong message needs to be sent and ordered Aguilar to serve 350 months in federal prison. Brothers Alhan and Aaron Sanchez were sentenced to 324 and 195 months, respectively. Renteria-Rivera was ordered to serve a 290-month-sentence, while his uncle will serve a sentence of 300 months imprisonment.
Aguilar Jr.’s father, Luis Aguilar, 64, and Jose Luis Rodriguez-Melchor, 30, both pleaded guilty to being an illegal alien unlawfully present in the United States after deportation and to harboring an illegal alien and were sentenced to 97 and 105 months, respectively. They and Renteria-Rivera are expected to face deportation proceedings following their release from prison, while the remaining defendants were further ordered to serve three years of supervised release following their release from prison.
The investigation revealed that a group of illegal aliens had been held at a stash house awaiting further transportation north. On the night of May 2, 2016, a home invasion crew that included an armed Aguilar Jr. came into the stash house and demanded the aliens leave with them. The caretaker of the stash house was on the ground with a gun to his head. The aliens were then taken to another location where their cell phones and most of their belongings were taken from them.
Some of the undocumented aliens were taken to Aguilar Jr.’s residence which he shared with his father. While there, Aguilar Jr. told them that their initial smuggling arrangements were no good anymore and they had to make new arrangements with him. Aguilar Jr. held them at gunpoint and demanded the aliens give him the names and phone numbers of family members whom he then called to demand $2,000 for their release.
After receiving the money, Aguilar Jr. turned the aliens over to Rodriguez-Melchor to arrange smuggling the aliens further north. Instead, however, Rodriguez-Melchor sold the aliens to Renteria-Rivera for $200 each. Again, family members were called and told they must send additional monies to secure their release. The Renterias carried weapons and threatened to shoot the aliens if anyone tried to escape. Renteria helped pick up the money and then took the aliens to a parking lot in McAllen where they were supposed to sneak into the air dams of tractor-trailers.
Instead of doing so, three of the aliens turned themselves in to Border Patrol. On May 18, 2016, authorities executed three search warrants. At that time, they seized firearms from the Aguilar, Sanchez and Renteria residences. All of the defendants were eventually located and arrested.
All have been in federal custody since their arrests and will remain in custody pending their transfer to the Bureau of Prisons facility to be determined in the near future.
Immigration and Customs Enforcement’s Homeland Security Investigations and Border Patrol conducted the investigation. Assistant U.S. Attorney Joseph Leonard is prosecuting the case.
Salinas Resident Sentenced to 54 Months in Prison for Identity Theft and Preparing False Tax ReturnsRead the Press Release
SAN JOSE - Elizabeth Calderon was sentenced today to 54 months years in prison for filing false tax returns, aggravated identity theft, and making false statements to federally insured institution, announced United States Attorney Brian J. Stretch and Internal Revenue Service, Criminal Investigation, Special Agent in Charge Michael T. Batdorf. The sentence was handed down by the Honorable Beth Labson Freeman, U.S. District Judge, following Calderon’s September 12, 2016, guilty plea in which she admitted to committing the crimes.
According to court filings, Calderon, 41, a resident of Salinas, Calif., admitted she assisted in preparing and filing more than 4,000 federal income tax returns in 2010 through 2013, many of which were materially false because they improperly reported false credits, false expenses or deductions; they reported false filing status; or they contained some combination of these false reports. In addition, Calderon concealed the profit she earned through assisting in the filing of fraudulent tax returns. She concealed this profit by omitting hundreds of thousands of dollars from her own income tax returns, and by purchasing a home in the name of a “straw” buyer. Calderon also prepared and filed fraudulent tax returns using stolen identities, and stole the resulting refunds. This conduct resulted in a loss of more than $1,000,000 to the government.
A federal grand jury indicted Calderon on October 1, 2015, charging her with filing false tax returns and aiding or advising in the filing of false tax returns, in violation of 26 U.S.C. §§ 7206(1) and 7206(2); theft of government funds, in violation of 18 U.S.C. § 641; aggravated identity theft, in violation of 18 U.S.C. § 1028A; making false statements to a federally insured institution, in violation of 18 U.S.C. § 1014; and conspiracy, in violation of 18 U.S.C. § 371. Calderon pleaded guilty on September 12, 2016, to one count each of filing a false tax return, aggravated identity theft, and making a false statement to a federally insured institution.
In addition to the prison term, Judge Freeman also ordered Calderon to pay $1,036,547 in restitution, to forfeit $167,381, and to serve three years of supervised release. Judge Freeman also ordered Calderon, among other things, to refrain from preparing or filing tax returns for anyone else during her period of supervised release. The defendant will begin serving the sentence on October 25, 2017.
Assistant U.S. Attorney Michael G. Pitman is prosecuting the case. The prosecution is the result of an investigation by the Internal Revenue Service, Criminal Investigation.
Sacramento Man Convicted of Traveling to the Philippines to Have Sex with Minors, Conspiring to Produce Child Pornography, and Buying ChildrenRead the Press Release
SACRAMENTO, Calif. — A federal jury today found Michael Carey Clemans, 57, of Sacramento, guilty of attempted travel and travel with intent to engage in illicit sexual conduct, conspiracy to travel with intent to engage in illicit sexual conduct, and buying of children, U.S. Attorney Phillip A. Talbert announced. On the first day of trial, Clemans pleaded guilty to three additional counts: conspiracy to produce child pornography, attempted production and production of child pornography, and receipt of child pornography.
According to court documents, beginning in June 2014, Clemans conspired with a woman in the Philippines to produce child pornography. During much of the conspiracy, Clemans was temporarily residing in Bangkok, Thailand, where he worked as an airline pilot. In April 2015, Clemans returned to his Sacramento residence and continued his overseas conspiracy using his online account to chat with the Filipino woman. In these chats, Clemans discussed various strategies to obtain minor girls whom he could rape. Clemans instructed the Filipino woman on how to find vulnerable victims, directing her to look for orphans and victims of typhoons. Clemans paid nearly $6,000 to the woman so she could buy photographic equipment and find discreet locations to conduct sexually explicit photo shoots of the victims, who were as young as seven. He gave her explicit instructions on how to photograph their naked bodies so he could determine which ones he would come to the Philippines to rape. He indicated in the chats with the Filipino woman that he was particularly interested in very young virgins. On multiple occasions, Clemans paid a co-conspirator to obtain temporary custody of the children in the Philippines and produce child pornography for him.
According to evidence introduced at trial, Clemans engaged in another scheme with separate individuals in November 2013, in which he traveled from the United States to Manila for the purpose of engaging in illicit sexual conduct with minors, including an 11-year-old girl, after requesting and receiving pornographic images of minors whom he expected to rape.
This case is the product of an investigation by the Federal Bureau of Investigation and the Philippine National Bureau of Investigation. Assistant U.S. Attorneys André M. Espinosa and Colleen M. Kennedy are prosecuting the case.
Clemans is scheduled to be sentenced on December 12, 2017, by U.S. District Judge John A. Mendez. Clemans faces a mandatory minimum sentence of 30 years in prison for the “buying children” charge, a maximum statutory penalty of life in prison, and a $250,000 fine. The actual sentence, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.
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 those who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc. Click on the “resources” tab for information about internet safety education.
Passaic County Man Gets 54 Months in Prison for Bank RobberyRead the Press Release
NEWARK, N.J. – A Little Falls, New Jersey, man was sentenced today to 54 months in prison for robbing a TD Bank in Hawthorne, New Jersey, in February 2016, Acting U.S. Attorney William E. Fitzpatrick announced.
Robert Somers, 45, previously pleaded guilty before U.S. District Judge Susan D. Wigenton to an information charging him with one count of bank robbery. Judge Wigenton imposed the sentence today in Newark federal court.
According to documents filed in this case and statements made in court: On Feb.17, 2016, Somers robbed the TD Bank in Hawthorne by handing a teller a note that read: “this is a hold up,” and demanding cash. The teller handed Somers cash. Somers demanded more money, and a second teller handed him additional cash. Somers then fled the bank in a car driven by another individual.
In addition to the prison term, Judge Wigenton sentenced Somers to three years of supervised release.
Acting U.S. Attorney Fitzpatrick credited special agents of the FBI, under the direction of Special Agent in Charge Timothy Gallagher in Newark; the Hawthorne Police Department, under the direction of Chief Richard McAuliffe; the Pennsylvania State Police, under the direction of Col. Tyree C. Blocker; and the Passaic County Prosecutor’s Office, under the direction of Prosecutor Camelia M. Valdes, with the investigation.
The government is represented by Assistant U.S. Attorneys Jihee G. Suh and Karen D. Stringer of the U.S. Attorney’s Office Criminal Division in Newark.Opening Doors to Possibilities of Federal EmploymentRead the Press Release
PROVIDENCE – The United States Attorney’s Office today announced that the Federal Interagency Reentry Council and the Office of Personnel Management has created three free online virtual training presentations that will offer step-by-step instruction for identifying and applying for Federal employment opportunities via www.USJOBS.GOV. The training, open to anyone interested in seeking Federal employment, may be of particular interest to individuals reentering to the community from prison.
Employment opportunities, housing and medical services are among the most important resources necessary to help ensure that an individual is a productive member of their community. For the past several years, the United States Attorney’s Office, working collaboratively with the federal and state judiciaries, government agencies and community-based organizations, have identified and promoted key resources and services available to individuals returning to the community, after having completed their term of incarceration.
Beginning on Wednesday, September 6, 2017, free online virtual training programs to help identify Federal job opportunities, preparing resumes and job interviewing skills will be available, accessible via any computer.
“Employment, housing and medical care help form the basic foundation for a person becoming a productive member of their community. These free online training programs offer a terrific opportunity for individuals returning to their community from prison to start to build that foundation. Individuals who return from prison and become productive members of their community are a key component to reducing recidivism and making our communities safer,” said Acting United States Attorney Stephen G. Dambruch.
On Thursday, September 7 and on Wednesday, September 27, a 90-minute training session will be provided on searching for Federal jobs on www.USJOBS.GOV, creating your account and profile, managing your account, reviewing Job Opportunity Announcements (JOA), submitting your applications, and following up on your application status.
To register for either class, click one of the links below:
Thursday, September 7, 2017 @ 10:00am –11:30am https://www.eventbrite.com/e/navigating-usajobs-find-apply-sept-7th-tickets-31278538952
Wednesday, September 27, 2017 @ 10:00am –11:30am https://www.eventbrite.com/e/navigating-usajobs-find-apply-sept-27th-tickets-37011121260
On Wednesday, September 13 and again on September 25, training will be provided on a three-part process to assist applicants in writing their Federal resume. Participants will be shown a real JOA and walked through reviewing the JOA to determine qualifications and interest, identifying the important requirements and then tailoring their resumes with that JOA. Lastly, it will provide a quick overview of the resume builder on USAJOBS.GOV.
To register for either class, click one of the links below:
Wednesday, September 13, 2017 @ 10:00am –11:30pm https://writingyourfederalresumesept13morning.eventbrite.com
Monday, September 25, 2017 @ 3:00pm –4:30pm https://writingyourfederalresumesept25.eventbrite.com
On Wednesday, September 6 and on Monday, September 11, 2017, participants will receive training on the interview process. The training explains the types of interviews (structured/unstructured), different delivery methods, types of common questions, responding utilizing the S.T.A.R (Situation/Task, Action, Result) method and how to also prepare for an interview.
To register for either class, click one of the links below:
Wednesday, September 6, 2017 @ 3:00pm – 4:00pm
https://www.eventbrite.com/e/interview-techniques-tickets-31677107080
Monday, September 11, 2017 @ 3:00pm – 4:00pm https://www.eventbrite.com/e/interview-techniques-tickets-36998314956
Novo Nordisk Agrees to Pay $58 Million for Failure to Comply with FDA-Mandated Risk ProgramRead the Press Release
Pharmaceutical Manufacturer Novo Nordisk Inc. will pay $58.65 million to resolve allegations that the company failed to comply with the FDA-mandated Risk Evaluation and Mitigation Strategy (REMS) for its Type II diabetes medication Victoza, the Justice Department announced today. The resolution includes disgorgement of $12.15 million for alleged violations of the Federal Food, Drug, and Cosmetic Act (FDCA) from 2010 to 2012 and a payment of $46.5 million for alleged violations of the False Claims Act (FCA) from 2010 to 2014. Novo Nordisk is a subsidiary of Novo Nordisk U.S. Holdings Inc., which is a subsidiary of Novo Nordisk A/S of Denmark. Novo Nordisk’s U.S. headquarters is in Plainsboro, New Jersey.
“Today’s resolution demonstrates the Department of Justice’s continued commitment to ensuring that drug manufacturers comply with the law,” said Acting Assistant Attorney General Chad A. Readler of the Justice Department’s Civil Division. “When a drug manufacturer fails to share accurate risk information with doctors and patients, it deprives physicians of information vital to medical decision-making.”
In a civil complaint filed today in the U.S. District Court for the District of Columbia asserting claims under the FDCA, the government alleged that, at the time of Victoza’s approval in 2010, the Food and Drug Administration (FDA) required a REMS to mitigate the potential risk in humans of a rare form of cancer called Medullary Thyroid Carcinoma (MTC) associated with the drug. The REMS required Novo Nordisk to provide information regarding Victoza’s potential risk of MTC to physicians. A manufacturer that fails to comply with the requirements of the REMS, including requirements to communicate accurate risk information, renders the drug misbranded under the law.
As alleged in the complaint, some Novo Nordisk sales representatives gave information to physicians that created the false or misleading impression that the Victoza REMS-required message was erroneous, irrelevant, or unimportant. The complaint further alleges that Novo Nordisk failed to comply with the REMS by creating the false or misleading impression about the Victoza REMS-required risk message that violated provisions of the FDCA and led some physicians to be unaware of the potential risks when prescribing Victoza.
As alleged in the government’s complaint, after a survey in 2011 showed that half of primary care doctors polled were unaware of the potential risk of MTC associated with the drug, the FDA required a modification to the REMS to increase awareness of the potential risk. Rather than appropriately implementing the modification, the complaint alleges that Novo Nordisk instructed its sales force to provide statements to doctors that obscured the risk information and failed to comply with the REMS modification. Novo Nordisk has agreed to disgorge $12.15 million in profits derived from its unlawful conduct in violation of the FDCA.
“Novo Nordisk’s actions unnecessarily put vulnerable patients at risk,” said U.S. Attorney Channing D. Phillips for the District of Columbia. “We are committed to holding companies accountable for violating the integrity of the FDA’s efforts to ensure that doctors and patients have accurate information that allows them to make appropriate decisions about which drugs to use in their care. Working with the FDA and other law enforcement partners, we have sent a strong signal to the drug industry today.”
“Novo Nordisk Inc. sales representatives misled physicians by failing to accurately disclose a potential life threatening side effect of a prescription drug, and needlessly increased risks to patients being treated with this drug,” said Assistant Director in Charge Andrew W. Vale of the FBI’s Washington Field Office. “The FBI is committed to ensuring that the private industry provides honest and accurate risk information to the public and will continue to work closely with our law enforcement partners to investigate companies who do not comply with FDA-mandated policies.”
“We need to trust that pharmaceutical companies truthfully represent their products’ potential risks,” said Special Agent in Charge Nick DiGiulio for the U.S. Department of Health and Human Services Office of the Inspector General (HHS-OIG). “We will continue to work with our partners to ensure federal health care dollars are spent only on drugs that are marketed honestly.”
Novo Nordisk will pay an additional $46.5 million to the federal government and the states to resolve claims under the FCA and state false claims acts. This portion of the settlement resolves allegations that Novo Nordisk caused the submission of false claims from 2010 to 2014 to federal health care programs for Victoza by arming its sales force with messages that could create a false or misleading impression with physicians that the Victoza REMS-required message about the potential risk of MTC associated with Victoza was erroneous, irrelevant, or unimportant and by encouraging the sale to and use of Victoza by adult patients who did not have Type II diabetes. The Food and Drug Administration (FDA) has not approved Victoza as safe and effective for use by adult patients who do not have Type II diabetes.
As a result of today’s FCA settlement, the federal government will receive $43,129,026 and state Medicaid programs will receive $3,320,963. The Medicaid program is funded jointly by the state and federal governments.
The FCA settlement resolves seven lawsuits filed under the whistleblower provision of the federal FCA, which permits private parties to file suit on behalf of the United States for false claims and share in a portion of the government’s recovery. The civil lawsuits are captioned as follows: United States, et al. ex rel. Kennedy, v. Novo A/S, et al., No. 13-cv-01529 (D.D.C.), United States, et al. ex rel. Dastous, et al. v. Novo Nordisk, No. 11-cv-01662 (D.D.C), United States, et al., ex rel. Ferrara and Kelling v Novo Nordisk, Inc., et al., No. 1:11-cv-00074 (D.D.C.), United States, et al., ex rel. Myers v. Novo Nordisk, Inc., No. 11-cv-1596 (D.D.C.), United States, et al. ex rel Stepe v. Novo Nordisk, Inc., No. 13-cv-221 (D.D.C.), United States et al. ex rel Doe, et al. v. Novo Nordisk, Inc., et al., No. 1:17-00791 (D.D.C.), and United States ex rel. Smith, et al. v. Novo Nordisk, Inc., Civ. Action No. 16-1605 (D.D.C.). The amount to be recovered by the private parties has not been determined.
The settlements were the result of a coordinated effort among the U.S. Attorney’s Office for the District of Columbia and the Civil Division’s Consumer Protection Branch and Commercial Litigation Branch, with assistance from the FDA’s Office of Chief Counsel. The investigation was conducted by the FDA’s Office of Criminal Investigations, the FBI, HHS-OIG, the Defense Criminal Investigative Service and the Office of Personnel Management, Office of the Inspector General.
For more information about the Consumer Protection Branch and its enforcement efforts, visit its website at http://www.justice.gov/civil/consumer-protection-branch. For more information on the Commercial Litigation Branch’s Fraud Section, visit https://www.justice.gov/civil/fraud-section. For more information about the U.S. Attorney’s Office for the District of Columbia, visit https://www.justice.gov/usao-dc.
Novo Nordisk Agrees to Pay $58 Million for Failure to Comply with FDA-Mandated Risk ProgramRead the Press Release
WASHINGTON – Pharmaceutical Manufacturer Novo Nordisk Inc. will pay $58.65 million to resolve allegations that the company failed to comply with the FDA-mandated Risk Evaluation and Mitigation Strategy (REMS) for its Type II diabetes medication Victoza, the Justice Department announced today. The resolution includes disgorgement of $12.15 million for alleged violations of the Federal Food, Drug, and Cosmetic Act (FDCA) from 2010 to 2012 and a payment of $46.5 million for alleged violations of the False Claims Act (FCA) from 2010 to 2014. Novo Nordisk is a subsidiary of Novo Nordisk U.S. Holdings Inc., which is a subsidiary of Novo Nordisk A/S of Denmark. Novo Nordisk’s U.S. headquarters is in Plainsboro, New Jersey.
“Today’s resolution demonstrates the Department of Justice’s continued commitment to ensuring that drug manufacturers comply with the law,” said Acting Assistant Attorney General Chad A. Readler of the Justice Department’s Civil Division. “When a drug manufacturer fails to share accurate risk information with doctors and patients, it deprives physicians of information vital to medical decision-making.”
“Novo Nordisk’s actions unnecessarily put vulnerable patients at risk,” said U.S. Attorney Channing D. Phillips for the District of Columbia. “We are committed to holding companies accountable for violating the integrity of the FDA’s efforts to ensure that doctors and patients have accurate information that allows them to make appropriate decisions about which drugs to use in their care. Working with the FDA and other law enforcement partners, we have sent a strong signal to the drug industry today.”
In a civil complaint filed today in the U.S. District Court for the District of Columbia asserting claims under the FDCA, the government alleged that, at the time of Victoza’s approval in 2010, the Food and Drug Administration (FDA) required a REMS to mitigate the potential risk in humans of a rare form of cancer called Medullary Thyroid Carcinoma (MTC) associated with the drug. The REMS required Novo Nordisk to provide information regarding Victoza’s potential risk of MTC to physicians. A manufacturer that fails to comply with the requirements of the REMS, including requirements to communicate accurate risk information, renders the drug misbranded under the law.
As alleged in the complaint, some Novo Nordisk sales representatives gave information to physicians that created the false or misleading impression that the Victoza REMS-required message was erroneous, irrelevant, or unimportant. The complaint further alleges that Novo Nordisk failed to comply with the REMS by creating the false or misleading impression about the Victoza REMS-required risk message that violated provisions of the FDCA and led some physicians to be unaware of the potential risks when prescribing Victoza.
As alleged in the government’s complaint, after a survey in 2011 showed that half of primary care doctors polled were unaware of the potential risk of MTC associated with the drug, the FDA required a modification to the REMS to increase awareness of the potential risk. Rather than appropriately implementing the modification, the complaint alleges that Novo Nordisk instructed its sales force to provide statements to doctors that obscured the risk information and failed to comply with the REMS modification. Novo Nordisk has agreed to disgorge $12.15 million in profits derived from its unlawful conduct in violation of the FDCA.
“Novo Nordisk Inc. sales representatives misled physicians by failing to accurately disclose a potential life threatening side effect of a prescription drug, and needlessly increased risks to patients being treated with this drug,” said Assistant Director in Charge Andrew W. Vale of the FBI’s Washington Field Office. “The FBI is committed to ensuring that the private industry provides honest and accurate risk information to the public and will continue to work closely with our law enforcement partners to investigate companies who do not comply with FDA-mandated policies.”
“We need to trust that pharmaceutical companies truthfully represent their products’ potential risks,” said Special Agent in Charge Nick DiGiulio for the U.S. Department of Health and Human Services Office of the Inspector General (HHS-OIG). “We will continue to work with our partners to ensure federal health care dollars are spent only on drugs that are marketed honestly.”
Novo Nordisk will pay an additional $46.5 million to the federal government and the states to resolve claims under the FCA and state false claims acts. This portion of the settlement resolves allegations that Novo Nordisk caused the submission of false claims from 2010 to 2014 to federal health care programs for Victoza by arming its sales force with messages that could create a false or misleading impression with physicians that the Victoza REMS-required message about the potential risk of MTC associated with Victoza was erroneous, irrelevant, or unimportant and by encouraging the sale to and use of Victoza by adult patients who did not have Type II diabetes. The Food and Drug Administration (FDA) has not approved Victoza as safe and effective for use by adult patients who do not have Type II diabetes.
As a result of today’s FCA settlement, the federal government will receive $43,129,026 and state Medicaid programs will receive $3,320,963. The Medicaid program is funded jointly by the state and federal governments.
The FCA settlement resolves seven lawsuits filed under the whistleblower provision of the federal FCA, which permits private parties to file suit on behalf of the United States for false claims and share in a portion of the government’s recovery. The civil lawsuits are captioned as follows: United States, et al. ex rel. Kennedy, v. Novo A/S, et al., No. 13-cv-01529 (D.D.C.), United States, et al. ex rel. Dastous, et al. v. Novo Nordisk, No. 11-cv-01662 (D.D.C), United States, et al., ex rel. Ferrara and Kelling v Novo Nordisk, Inc., et al., No. 1:11-cv-00074 (D.D.C.), United States, et al., ex rel. Myers v. Novo Nordisk, Inc., No. 11-cv-1596 (D.D.C.), United States, et al. ex rel Stepe v. Novo Nordisk, Inc., No. 13-cv-221 (D.D.C.), United States et al. ex rel Doe, et al. v. Novo Nordisk, Inc., et al., No. 1:17-00791 (D.D.C.), and United States ex rel. Smith, et al. v. Novo Nordisk, Inc., Civ. Action No. 16-1605 (D.D.C.). The amount to be recovered by the private parties has not been determined.
The settlements were the result of a coordinated effort among the U.S. Attorney’s Office for the District of Columbia and the Civil Division’s Consumer Protection Branch and Commercial Litigation Branch, with assistance from the FDA’s Office of Chief Counsel. The investigation was conducted by the FDA’s Office of Criminal Investigations, the FBI, HHS-OIG, the Defense Criminal Investigative Service and the Office of Personnel Management, Office of the Inspector General.
For more information about the Consumer Protection Branch and its enforcement efforts, visit its website at http://www.justice.gov/civil/consumer-protection-branch. For more information on the Commercial Litigation Branch’s Fraud Section, visit https://www.justice.gov/civil/fraud-section. For more information about the U.S. Attorney’s Office for the District of Columbia, visit https://www.justice.gov/usao-dc.
New London Restaurant Owner Sentenced to 5 Years in Federal Prison for Trafficking CocaineRead the Press Release
Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that PAUL MOTT, 29, of Groton, was sentenced today by U.S. District Judge Jeffrey Alker Meyer in New Haven to 60 months of imprisonment, followed by four years of supervised release, for trafficking cocaine.
According to court documents and statements made in court, an investigation by the FBI Northern Connecticut Safe Streets Task Force, Norwich Police Department, Waterford Police Department and Groton Town Police revealed that in the summer of 2016, MOTT conspired with others to obtain and distribute cocaine. MOTT regularly took orders for cocaine from his co-conspirators and then drove to his supplier in the Bronx, New York, to obtain the drug. When he returned to Connecticut, MOTT provided the cocaine to his co-conspirators for further distribution. Some of MOTT’s narcotics trafficking activity occurred his restaurant, Caribbean American Kitchen to Go, located on Truman Street in New London.
MOTT was arrested on August 8, 2016, after he was found in possession of approximately 319 grams of cocaine that he obtained in New York and transported to southeastern Connecticut to redistribute. On that date, a search of a hotel room in Groton, where MOTT was residing, revealed an additional quantity of cocaine, as well as items used to process and package the drug.
As part of his sentence, MOTT was ordered to forfeit a 2013 Toyota 4Runner and approximately $3,494 that was seized from him at the time of his arrest.
MOTT has been detained since his arrest. On May 11, 2017, he pleaded guilty to one count of conspiracy to possesses with intent to distribute 500 grams or more of cocaine.
This case is being prosecuted by Assistant U.S. Attorney Patricia Stolfi Collins.
New Hampshire Residents Plead Guilty to Conspiracy Involving Misbranded DrugsRead the Press Release
CONCORD, N.H. – Acting United States Attorney John J. Farley announced that two residents of New Ipswich, New Hampshire have pleaded guilty to charges that they conspired to distribute misbranded drugs that they obtained from India.
John Hayes, 53, pleaded guilty today to conspiring to introduce misbranded drugs into interstate commerce. His wife, Plabplueng Hayes, 50, pleaded guilty to the same charge on August 23, 2017.
According to court documents and statements in court, the defendants conspired with an unindicted co-conspirator in India, and with John Hayes’ brother (James Hayes) and sister-in-law Shannon Hayes) in North Carolina to receive shipments from India (often three to five shipments per week) that contained, in the aggregate, hundreds of thousands of pills. These pills were then sold to various customers. James Hayes and Shannon Hayes have each pleaded guilty to related charges in North Carolina.
During the course of the conspiracy, United States Customs and Border Protection (CBP), seized more than 60 shipments from India addressed to John Hayes for delivery at his residence and at multiple Post Office boxes in southern New Hampshire and northern Massachusetts. Those seized shipments were found to contain more than 100,000 pills. The pills were all packaged in blister packs with no packaging that a person would recognize as retail-type packaging, and with no directions under which a layman could use a drug safely and for the purposes for which it was intended. Testing showed that thousands of the pills were prescription drugs and controlled substances. In addition, CBP sent letters to John Hayes at the Hayes residence advising him that the seizures occurred because the drugs were imported contrary to federal regulations that prohibit the importation of controlled substances without the express authorization of the United States Drug Enforcement Administration (DEA).
Postal Service and PayPal records also showed that an email account that was used by both defendants sent more than 5,000 packages to locations throughout the United States, including outside of New Hampshire, between February 2012 and September 2013. The email account also was used by both defendants to manage and confirm the receipt of drugs from India, to receive and track customer orders for drugs, and to coordinate payments.
A search warrant executed at the Hayes residence in New Ipswich resulted in the seizure of more than 100,000 pills, including prescription drugs and controlled substances, as well as shipping labels and empty shipping containers, and other documents. Among these documents were two letters from the Food and Drug Administration (FDA) informing John Hayes that tramadol tablets shipped to him were being refused entry into the United States because the drugs appeared to be unapproved and misbranded.
Plabplueng Hayes will be sentenced on November 28, 2017 and John Hayes will be sentenced on December 12, 2017.
“The importation and sale of misbranded drugs presents a serious threat to the community,” said Acting U.S. Attorney Farley. “Consumers who purchase such drugs cannot be confident that the products that they are using have been manufactured under appropriate and sanitary conditions. Ingesting such pills can lead to unexpected and dangerous consequences. I appreciate the hard work of the law enforcement agents in this case who identified and dismantled this dangerous operation.”
“Sending illegal prescription drugs into the U.S. marketplace puts consumers’ health at risk,” said Jeffrey J. Ebersole, Special Agent in Charge, FDA Office of Criminal Investigations’ New York Field Office. “We will continue to pursue and bring to justice those who jeopardize the public’s health.”
This case was investigated by FDA’s Office of Criminal Investigations, the U.S. Department of Homeland Security, the U.S. Postal Inspection Service, and the Federal Bureau of Investigation. The case is being prosecuted by Assistant U.S. Attorney Arnold Huftalen and Special Assistant U.S. Attorney Sarah Hawkins, who is Senior Counsel, Office of Chief Counsel, U.S. Food and Drug Administration.
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National Dental Clinic Chain to Pay $1.3 Million to Resolve Allegations of Overbilling MedicaidRead the Press Release
BOSTON – The U.S. Attorney’s Office and the Massachusetts Attorney General’s Office announced today that Dental Dreams, LLC, a national dental chain with locations in Massachusetts, has agreed to pay $1.375 million to resolve allegations that it improperly billed the Massachusetts Medicaid program (MassHealth) for unnecessary and unjustifiable dental procedures.
“Dental Dreams enriched itself at taxpayer expense by improperly billing Medicaid,” said Acting U.S. Attorney William D. Weinreb. “We will continue to work with our law enforcement partners to ensure that federal and state health care dollars are spent properly.”
“This dental chain’s extensive improper billing violated state regulations and cost our state’s Medicaid program more than a million dollars,” said Massachusetts Attorney General Maura Healey. “As a result of this joint investigation, today’s settlement provides restitution to MassHealth and ensures that these funds are properly used to benefit its members.”
“Medicaid is designed to provide health care services to some of the most vulnerable members of our society and it’s our agency’s mission to ensure government health funds are spent properly,” said Special Agent in Charge Phillip M. Coyne of the U.S. Department of Health and Human Services Office of Inspector General. “Working with our Federal and State partners, we will continue to hold accountable any medical professional who, just to enrich themselves, bills Medicaid for more intensive and expensive services than those actually provided.”
“The company took advantage of a vulnerable patient population when it submitted claims to MassHealth for medically unnecessary and unreasonable dental procedures,” said Harold H. Shaw, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division. “Today’s settlement underscores the FBI’s commitment to investigate health care providers who overbill federal and private health insurance programs to maximize profits. We urge anyone with information regarding overbilling practices to contact us.”
The settlement resolves allegations that Dental Dreams overbilled the Massachusetts Medicaid program for surgical extractions of teeth and for a specific kind of oral examination.
The settlement resolves a lawsuit filed by a former employee under the whistleblower provisions of the False Claims Act, which permits private parties to sue on behalf of the government for false claims for government funds and to receive a share of any recovery.
Acting U.S. Attorney Weinreb, Massachusetts Attorney General Healey, HHS-OIG SAC Coyne and FBI SAC Shaw made the announcement today. The case was handled by Assistant U.S. Attorneys Michelle Leung, Sonya Rao, and Kriss Basil of Weinreb’s Civil Division and Assistant Attorney General Stephany Collamore of Healey’s Medicaid Fraud Division.
Man Sentenced to 27 Years in Prison for 2010 Armed RobberiesRead the Press Release
A St. Louis man will serve 27 years in federal prison for robbing two convenience stores and shooting a customer in 2010. Derek Marshall, 24, was sentenced on August 31, 2017, in the U.S. District Court to 27 years in prison for his role in the June 17, 2010 armed robbery and shooting that occurred at the Best Stop convenience store in Cahokia, Illinois and the July 8, 2010 robbery and shooting that occurred at D&D’s MiniMart, also located in Cahokia, Illinois, the United States Attorney for the Southern District of Illinois, Donald S. Boyce, announced today.
Documents filed in the U.S. District Court establish that on June 17, 2010, Derek Marshall, Leslie Woods, McGee and James Smith robbed the Best Stop convenience store partially masked and armed with a rifle and two handguns, one of which was a .40 caliber pistol Marshall had stolen during a burglary of a St. Louis gun store earlier in June. The four of them drove to the store in a car they had stolen during a carjacking in South St. Louis earlier in the day. Woods waited in the car while Marshall, McGee and Smith went into the store, ordered a customer to the ground, pointed a gun to the owner’s head and took over $11,000 from the cash register. As they fled the store, Marshall shot the customer laying on the floor with a .40 caliber pistol and then fired four shots toward a woman sitting in her car parked outside the business.
Three weeks later, on July 8, 2010, Derek Marshall, Leslie Woods, Terrell McGee, James Smith and Reshon Farmer robbed D&D’s Minimart partially masked and armed with two rifles and two handguns. The crew drove to the store in a minivan they had stolen in North St. Louis earlier that day. Farmer waited in the van while Marshall,Woods, McGee and Smith went into the store and pointed their guns at the two employees behind the counter. While the male clerk was trying to open the register, Woods shot him with a .30 caliber rifle, causing him to fall on top of the female clerk who was lying on the ground.Woods then fired two more shots at both employees. As the two employees laid motionless on the floor, Marshall, Woods, and Smith took the cash register and a .40 caliber handgun that belonged to the storeowner. As a result of the shooting, the male clerk suffered severe injuries and has permanent loss of use of his right arm.
Several police officers from North St. Louis who knew Woods, Marshall, Smith and Farmer viewed the video surveillance of D&D’s MiniMart robbery and identified Marshall, Woods and Smith as three of the gunmen. They also identified Farmer as the getaway driver. During an interview with law enforcement officers, Smith and Farmer confessed to their involvement in the D&D’s MiniMart robbery and identified Marshall, Woods and McGee as the three other gunmen.
In 2015, McGee was arrested and interviewed about his involvement in the two robberies. McGee admitted that he was one of the three gunmen in the Best Stop robbery. He also admitted that he was one of the four gunmen in the D&D’s MiniMart robbery.
Marshall, Woods and McGee plead guilty to all charges in federal court in April 2017. Woods was sentenced to 30 years in prison and McGee was sentenced to 25 years in prison earlier this month. After completion of the 27-year term of imprisonment, Marshall will then serve three years of federal supervised release. He was also ordered to pay $727,070 in restitution to the victims and a $600 special assessment. Smith and Farmer were prosecuted for these offenses by the St. Clair County State’s Attorney’s Office.
The case was investigated by the Cahokia Police Department, the St. Louis County Police Department, the Illinois State Police, and the Federal Bureau of Investigation. The case was prosecuted by Assistant United States Attorneys Ali Summers, Dan Kapsak and James Piper, Jr..
Lubbock, Tex., Woman Pleads Guilty to Federal Wire Fraud ChargeRead the Press Release
ALBUQUERQUE – Selma Morales, 53, of Lubbock, Tex., pleaded guilty in federal court in Albuquerque, N.M., to a wire fraud charge arising from a scheme that defrauded her employer of more than $550,000. The guilty plea was announced by Acting U.S. Attorney James D. Tierney and Special Agent in Charge Terry Wade of the Albuquerque division of the FBI.
A federal grand jury charged Morales with committing wire fraud in an indictment filed on July 27, 2017. According to the indictment, from May 2009 through May 2015, Morales engaged in a scheme to defraud her employer, a law firm headquartered in Lubbock with offices in Albuquerque, Hobbs and Las Cruces, N.M., of more than $550,000, which she used for unauthorized personal charges and expenditures. At the time, Morales was the law firm’s financial manager and bookkeeper.
During today’s change of plea hearing, Morales pled guilty to the indictment and admitted abusing her position as a trusted, high-level employee who managed the law firm’s day-to-day finances. In her plea agreement, Morales acknowledged having access to the law firm’s bank accounts and credit cards and traveling to the firm’s locations in Albuquerque, Hobbs and Las Cruces in connection with her employment. Morales admitted using four of the law firm’s credit cards to pay for personal expenses, including meals, groceries, car repairs, car and home insurance, property taxes, funeral expenses for a relative, clothing, sports apparel and equipment, designer products, jewelry, and plastic surgery. Morales also used the law firm’s credit cards to pay for family vacations and travel (including trips to San Francisco, Calif., Seattle, Wash., and Las Vegas, Nev.), entertainment (including season tickets to college athletic events, concerts and NBA playoff tickets), apartment rental payments, and college tuition payments. Morales admitted using her position as well as information about her employer to conceal her fraudulent activity.
The plea agreement recommends that Morales be sentenced to a term of imprisonment not to exceed 24 months. It also requires that Morales make restitution to her former employer. Morales remains on conditions of release pending her sentencing hearing, which has yet to be scheduled.
This case was investigated by the Albuquerque office of the FBI and is being prosecuted by Assistant U.S. Attorney Margaret M. Vierbuchen.
morales_indictment.pdfLocal Man Sentenced to 60 Months for Failing to Register as a Sex OffenderRead the Press Release
Spokane– Joseph H. Harrington, Acting United States Attorney for the Eastern District of Washington, announced that Daniel Herrera Gonzales was sentenced after having previously pleaded guilty on May 17, 2017 to the charge of failing to register as a sex offender. Senior United States District Judge Wm. Fremming Nielsen sentenced Gonzales to a five-year term of imprisonment, to be followed by a five-year term of court supervision after he is released from Federal prison. Upon release from prison, Gonzales will continue to be required to register as a sex offender.
According to information disclosed during the court proceedings, Gonzales was required to register as a sex offender because of a 2011 conviction for third degree assault (sexual motivation) in Douglas County, Washington. That conviction was his third for sexually assaulting children. Gonzales absconded from Washington State Department of Corrections supervision in May 2016. Deputy U.S. Marshals tracked down Gonzales in Wellpinit, Washington last November.
At today’s sentencing hearing, Senior Judge Nielsen found that Gonzales’ criminal history was under-represented by the Sentencing Guidelines. For this reason, the Judge departed upward from the Guidelines and imposed the 60-month sentence.
Acting United States Attorney Harrington said, “The sentence handed down today provides just punishment for this offense. The United States Attorney’s Office for the Eastern District of Washington prosecutes the crime of failure to register as a sex offender with great fervour, particularly when an offender’s prior sex conviction(s) involves vulnerable young victims.” Harrington went on to add, “This case is an outstanding example of the dedication and tireless efforts exhibited by the U.S. Marshals Service day in and day out.”
This case was pursued as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the United States 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. The Project Safe Childhood Initiative (“PSC”) has five major components:
• Integrated federal, state, and local efforts to investigate and prosecute child exploitation cases, and to identify and rescue children;
• Participation of PSC partners in coordinated national initiatives;
• Increased federal enforcement in child pornography and enticement cases;
• Training of federal, state, and local law enforcement agents; and
• Community awareness and educational programs.
For more information about Project Safe Childhood, please visit www.usdoj.gov/psc. For information about internet safety education, please visit www.usdoj.gov/psc and click on the tab “resources.”
The United States Marshals Service conducted this investigation. Scott T. Jones, an Assistant United States Attorney for the Eastern District of Washington, prosecuted the case.
Justice Department and Bensalem Township Settle Lawsuit over Alleged Religious Land Use and Institutionalized Persons Act ViolationsRead the Press Release
The Justice Department today announced an agreement with Bensalem Township, Pennsylvania, to resolve allegations that the Township violated the Religious Land Use and Institutionalized Persons Act of 2000 (RLUIPA) when the Township denied zoning approval to allow the Bensalem Masjid to build a mosque on three adjoining parcels of land in the Township.
“Federal law protects the rights of all religious communities to build places of worship free from discrimination,” said Acting Assistant Attorney General John Gore, head of the Justice Department’s Civil Rights Division. “This agreement ensures that all citizens of Bensalem Township may freely exercise this important civil right.”
The agreement resolves a lawsuit that the Department filed in July 2016. A separate agreement resolving a similar lawsuit brought by the Bensalem Masjid against Bensalem Township has also been reached.
The United States’ complaint alleged that the Bensalem Township’s denial of a variance imposed a substantial burden on the Bensalem Masjid’s religious exercise, treated the Bensalem Masjid less favorably than the township treated nonreligious assemblies and discriminated against the Bensalem Masjid on the basis of religion. The complaint also alleged that the township placed unreasonable limitations on religious assemblies generally through its land use regulations.
As part of the agreement, the Bensalem Masjid will be permitted to use the three adjoining properties for the purpose of building a mosque. The Township has also agreed to review and amend its zoning ordinance to comply with the requirements of RLUIPA. Additionally, the Township has agreed that it will advise its officials and employees about the requirements of RLUIPA, among other remedial measures.
RLUIPA contains multiple provisions prohibiting religious discrimination and protecting against unjustified burdens on religious exercise. Persons who believe they have been subjected to discrimination in land use or zoning decisions may contact the U.S. Attorney’s Office Civil Rights Hotline at (855) 281-3339 or the Civil Rights Division Housing and Civil Enforcement Section at (800) 896-7743.
More information about RLUIPA, including questions and answers about the law and other documents, may be found at http://www.justice.gov/crt/about/hce/rluipaexplain.php.
Jefferson City Man Pleads Guilty to Cocaine ConspiracyRead the Press Release
JEFFERSON CITY, Mo. – Tom Larson, Acting United States Attorney for the Western District of Missouri, announced that a Jefferson City, Mo., man pleaded guilty in federal court today to his role in a conspiracy to distribute at least five kilograms of cocaine.
Mario Alberto De La Cruz, 43, of Jefferson City, pleaded guilty before U.S. Magistrate Judge Willie J. Epps to the charge contained in a June 15, 2016, federal indictment.
By pleading guilty today, De La Cruz admitted that he participated in a conspiracy to distribute cocaine in Columbia, Mo., and elsewhere from Aug. 2 to Nov. 10, 2015. De La Cruz also admitted that he engaged in several controlled transactions in which he sold cocaine to a confidential law enforcement informant in 2015.
On Aug. 28, 2015, the confidential informant contacted De La Cruz and arranged to purchase two ounces of cocaine. The confidential informant sent a text to De La Cruz stating, “Hey bud leaving for a bachelor party in an hour totally forgot to text yesterday bout 20 of us headed our camping could use 2 big loads of wood (two ounces of cocaine) asap!!!!Leaving in an hour.” The confidential informant was provided with $1,900 in investigative funds. De La Cruz met the confidential informant and exchanged 56 grams of cocaine for the cash.
Under federal statutes, De La Cruz is subject to a mandatory minimum sentence of 10 years in federal prison without parole, up to a sentence of life in federal prison without parole. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes, as the sentencing of the defendant will be determined by the court based on the advisory sentencing guidelines and other statutory factors. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
This case is being prosecuted by Assistant U.S. Attorney Jim Lynn. It was investigated by the Drug Enforcement Administration and the Jefferson City, Mo., Police Department.
Honduran National Sentenced for Illegal ReentryRead the Press Release
Acting U.S. Attorney Duane A. Evans announced that HUGO TURCIO-CRUZ, age 35, a citizen of Honduras, was sentenced today after previously pleading guilty to a one-count Bill of Information charging him with illegal reentry of a removed alien.
U.S. District Judge Susie Morgan sentenced TURCIO-CRUZ to time served, a $100 special assessment, and no fine or supervised release. TURCIO-CRUZ was turned over to ICE to be deported.
According to court documents, TURCIO-CRUZ reentered the United States on or about May 4, 2017, after having been previously removed therefrom on or about October 27, 2006.
Acting U.S. Attorney Evans praised the work of the United States Department of Homeland Security, Immigration and Customs Enforcement in investigating this matter. Assistant United States Attorney Irene González was in charge of the prosecution.
Gardnerville Man Pleads Guilty to Sexual Exploitation of A MinorRead the Press Release
RENO, Nev. – A Gardnerville, Nevada man pleaded guilty today to child sexual exploitation, announced Acting U.S. Attorney Steven W. Myhre for the District of Nevada.
Stephan L. DeGraffenreid, 26, pleaded guilty to one count of sexual exploitation of a minor and two counts of attempted sexual exploitation of a minor. United States District Judge Howard D. McKibben accepted the guilty plea and scheduled sentencing for Nov. 29, 2017. DeGraffenreid faces a mandatory minimum penalty of 15 years in prison for each charge.
According to the criminal complaint and plea agreement, law enforcement discovered child pornography on an Apple iPod Touch that was found at the Children’s Ski School at Heavenly Ski Resort. During the investigation, it was discovered the iPod belonged to DeGraffenreid who was formerly an employee at the ski school. On Jan. 26, 2017, during the execution of a search warrant at DeGraffenreid’s residence, officers with the Northern Nevada Online Child Exploitation Task Force located a thumb drive that contained explicit images of children in a childcare facility restroom in Gardnerville. DeGraffenreid admitted to taking the sexually explicit photos of the children found on the thumb drive.
The case is being investigated by the Northern Nevada Child Exploitation Task Force, which is comprised of members of the FBI, the Reno Police Department, the Washoe County Sheriff’s Office, and the Nevada Attorney General’s Office. The Douglas County Sheriff’s Office and the El Dorado County Sheriff’s Office also assisted with the investigation. The case is being prosecuted by Assistant U.S. Attorney Shannon M. Bryant.
To report child sexual exploitation, contact the FBI’s Las Vegas Office at (702) 385-1281 or the National Center for Missing and Exploited Children at 1-800-THE-LOST (1-800-843-5678).
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 and for information about internet safety education, visit www.usdoj.gov/psc.
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Former Ohio Man Sentenced to 5 Years in Federal Prison for Burglarizing Uniontown PharmacyRead the Press Release
PITTSBURGH – A former resident of Columbus, Ohio, has been sentenced in federal court to 60 months in jail, to be followed by three years of supervised release on his convictions for burglary of a pharmacy and conspiracy to possess with intent to distribute a Schedule IV controlled substance, Acting United States Attorney Soo C. Song announced today.
United States District Judge Nora Barry Fischer imposed the sentence on Travis Russell Maynard, 38.
According to information presented to the court, on December 7, 2015, Maynard used a crowbar to break into Nickman’s Pharmacy in Uniontown, Pennsylvania, and proceeded to steal over 3,000 Schedule IV pills from the Pharmacy.
Assistant United States Attorney Timothy M. Lanni prosecuted this case on behalf of the government.
Acting United States Attorney Song commended the Drug Enforcement Administration and the Pennsylvania State Police for the investigation leading to the successful prosecution of Maynard.
Former New York Resident Pleads Guilty in Nearly $10 Million Fraud SchemeRead the Press Release
PITTSBURGH –A former resident of Wappingers Falls, New York, has pleaded guilty in federal court to charges of wire fraud and access device fraud, Acting United States Attorney Soo C. Song announced today.
Nicolas Frank Sucich, aka Francisco Javier Alavarez-Johnson, 48, of Cuidad de Tuxpan, Veracruz, pleaded guilty to two counts before United States District Judge David S. Cercone.
In connection with the guilty plea, the court was advised that between November 2007 and February 2011, Sucich conspired with others to defraud Liberty Travel and Scotiabank through the purchase of millions of dollars in airline travel packages and point of sale transactions throughout the U.S. using an unauthorized Scotiabank Mastercard. According to the information presented to the court, Sucich and others accumulated nearly $10 million in debit card charges, principally in the purchase of discount travel packages he purchased for himself and others using a business name of FCO Travels, located in Veracruz, Mexico, where Sucich had been living as a fugitive since approximately 1996.
Judge Cercone scheduled sentencing for January 5, 2018. The law provides for a maximum total sentence of not more than 30 years in prison, and fine of $1,500,000. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant. Sucich is being held in custody pending his sentencing.
Assistant United States Attorney Gregory C. Melucci is prosecuting this case on behalf of the government.
The U.S. Immigration Customs Enforcement, Homeland Security Investigations, conducted the investigation that led to the prosecution of Nicolas Frank Sucich.
Former Military Service Member Sentenced to 23 Years in Prison for Sexual Abuse of a MinorRead the Press Release
A former member of the military was sentenced today in U.S. District Court in Tacoma to 23 years in prison for two counts related to sexual molestation of a young child on two different military bases in Washington and Louisiana, announced U.S. Attorney Annette L. Hayes. KENNETH PAUL DESCOTEAUX, 42, was arrested in April 2016, after the minor victim disclosed to authorities that DESCOTEAUX had been sexually molesting the victim since 2011. At the sentencing hearing today, U.S. District Judge Benjamin H. Settle called DESCOTEAUX’s crimes “monstrous.”
According to records filed in the case, the victim disclosed the abuse while residing in Wyoming. The Cheyenne Police Department worked closely with the FBI and law enforcement at Joint Base Lewis-McChord (JBLM) and the Fort Polk Military Installation to investigate the crimes that occurred when the victim and DESCOTEAUX resided on those military installations. DESCOTEAUX was indicted both in federal court in the Western District of Louisiana, and in the Western District of Washington since both military bases are exclusive federal enclaves where criminal cases are prosecuted in federal court. The criminal conduct in Louisiana occurred between 2011 and 2014, when the victim was ages 7-10. The crimes on JBLM occurred between 2014 and 2015 when the victim was 11-years-old. In addition to the sexual abuse, the victim was also repeatedly struck in the head by DESCOTEAUX, at one point causing hearing loss. The minor victim’s mother was a deployed service member periodically serving overseas at the time of DESCOTEAUX’s crimes.
DESCOTEAUX will be required to register as a sex offender after he is released from prison and will be on federal supervision for the rest of his life.
The case was investigated by the Cheyenne Police Department, the FBI, and JBLM- Criminal Investigation Division (CID). The U.S. Attorney’s Office for the Western District of Louisiana provided substantial assistance.
The case is being prosecuted by Assistant United States Attorney Grady J. Leupold, who serves as the Military Liaison for the U.S. Attorney’s Office.
Former Federal Corrections Officer Pleads Guilty to Accepting Bribes from InmatesRead the Press Release
CONCORD, N.H. – A former federal corrections officer, Latoya Sebree, 37, pleaded guilty today to accepting bribes and providing contraband to federal inmates, announced Acting United States Attorney John J. Farley.
According to statements made in court, Sebree, while employed as a corrections officer, provided cellular telephones, tobacco, marijuana and other contraband to inmates at the Federal Correctional Institution in Berlin, New Hampshire, in exchange for money. While investigating the case, law enforcement agents examined cell phones in the possession of inmates that contained numerous text messages that revealed evidence of bribes inmates paid to Sebree.
After viewing that evidence, the law enforcement agents monitored communications between Sebree and an inmate’s girlfriend, who was cooperating with the authorities. In the communications, Sebree agreed to deliver a cellular telephone and a quantity of tobacco to an inmate for $2000 in cash. The cash was mailed to a Post Office box that Sebree rented. After the transaction was completed, $2000 in cash, a quantity of tobacco in various stages of packaging, a heat sealer, three Samsung phones in heat sealed packaging, a Samsung Galaxy phone with a battery and charger, a package of Suboxone, and a VISA gift card were recovered during a search of Sebree’s home in Milan, New Hampshire.
Sebree is scheduled to be sentenced on December 12, 2017. She faces a prison sentence of up to 15 years and a fine of up to $250,000 on the bribery charge. She faces up to five years in prison and a fine of up to $250,000 for providing contraband to inmates.
“The United States Attorney’s Office is committed to identifying and prosecuting corrupt public employees,” said Acting U.S. Attorney Farley. “Smuggling contraband into prisons creates hazards for both inmates and corrections officers. We will work closely with our law enforcement partners to prevent contraband from getting into prisons and to ensure that corrections officers do not engage in unlawful activities or seek to profit from their positions.”
The U.S. Department of Justice, Office of Inspector General and the Federal Bureau of Investigation investigated the case. Assistant United States Attorney Robert Kinsella is prosecuting the case.
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Former Executive Director Pleads Guilty to Defrauding Kankakee Valley Park District, Park FoundationRead the Press Release
URBANA, Ill. – Roy Collins, former executive director of the Kankakee Valley Park District, entered pleas of guilty this afternoon to defrauding the park district and a related not-for-profit organization for his personal benefit. Collins appeared before U.S. District Judge Colin S. Bruce, who scheduled sentencing on Jan. 19, 2018. Collins was allowed to remain on bond.
Collins, 47, of Kankakee, Ill., was employed as the Executive Director of the Kankakee Valley Park District from 2011 to 2016. Collins also served as treasurer for a related not-for-profit organization known as the Kankakee Valley Park Foundation.
Collins pled guilty to using park district equipment, labor, and funds, and other park district and foundation resources to build and maintain a pond on his personal property. Collins admitted that he issued a park foundation check in the amount of $3,008., to purchase a tarp or pond liner, and that he kept and used a mower that belonged to the park district at his personal property.
Collins also admitted that he converted park district and park foundation funds intended for annual “BBQ Fest” events to his personal use. The scheme included his demand and receipt of approximately $6,000 from an individual hired in connection with the 2014 and 2015 BBQ Fests. In addition, Collins admitted that he used the park district’s credit card to make unauthorized personal purchases.
The charges are the result of investigation by the Illinois State Police, the Federal Bureau of Investigation, and the Federal Deposit Insurance Corporation Office of Inspector General. The case is being prosecuted by Assistant U.S. Attorney Katherine V. Boyle.
Each count of wire and mail fraud (one count each) carries a maximum statutory penalty of 20 years in prison and fines of up to $250,000. The maximum statutory penalty for each offense is prescribed by Congress and is provided for informational purposes, as sentencing is determined by the court based on the advisory Sentencing Guidelines and other statutory factors.
Firearms Crime ReportRead the Press Release
Terrence Akins, 25, St. Louis, was indicted by a federal grand jury for felon in possession of a firearm.
Israel Campos, 21, St. Louis, was indicted by a federal grand jury for interfering with commerce by threat of force or violence and possession of a firearm in furtherance of a crime of violence.
Deandre Jackson, 25, St. Louis, was indicted by a federal grand jury for carjacking; discharging a firearm in furtherance of a crime of violence; brandishing a firearm in furtherance of a crime of violence; and felon in possession of a firearm.
Alonzo Morris, 24, St. Louis, was indicted by a federal grand jury for felon in possession of a firearm.
Virgil Pruitt, 41, St. Louis, was indicted by a federal grand jury for felon in possession of a firearm.
Warren Turner, 26, St. Louis, was indicted by a federal grand jury for felon in possession of a firearm.
Marvin Woolfolk, 33, St. Louis, was indicted by a federal grand jury for felon in possession of a firearm; possession with intent to distribute cocaine base (crack), cocaine and fentanyl; and possession of a firearm in furtherance of a drug trafficking crime.
Lamont Brison, 26, St. Louis, was indicted by a federal grand jury for felon in possession of a firearm.
Frank Hart, 43, Jennings, was indicted by a federal grand jury for felon in possession of a firearm.
Andrew Henderson, 29, St. Louis, was indicted by a federal grand jury for felon in possession of a firearm.
Michael Payne, 33, St. Louis, was indicted by a federal grand jury for felon in possession of a firearm.
Kalin Malik Anderson, 20, Hannibal, MO, pled guilty to one felony count of felon in possession of a firearm.
Terrence Bevly, 32, St. Louis, pled guilty to one felony count of felon in possession of a firearm.
Kelvin Miller, 37, St. Louis, pled guilty to one felony count of felon in possession of a firearm.
Jevon Harris, 23, St. Louis, pled guilty to one felony count of felon in possession of a firearm.
Rico Jones, 42, St. Louis, pled guilty to one felony count of felon in possession of a firearm.
Deshawn Denton, 27, Joilet, IL, was sentenced to 240 months in prison for brandishing a firearm in furtherance of a crime of violence and kidnapping.
Brandon Knighten, 26, St. Louis, was sentenced to 21 months in prison for felon in possession of a firearm.
Felon from Roswell Sentenced to Ten Years for Illegally Possessing Firearms and AmmunitionRead the Press Release
ALBUQUERQUE – Michael Dalton, 34, of Roswell, N.M., was sentenced today in federal court in Las Cruces, N.M., to 120 months in prison for unlawfully possessing firearms and ammunition. Dalton will be on supervised release for three years after completing his prison sentence.
Dalton, who has seven prior felony convictions, was prosecuted as part of 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 for federal prosecution with the goal of removing repeat offenders from communities in New Mexico for as long as possible.
The Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) arrested Dalton was arrested on June 7, 2016, on a federal criminal complaint after he was transferred to federal custody from state custody where he was detained on related state charges. The state charges subsequently were dismissed in favor of federal prosecution.
The criminal complaint charged Dalton with illegally possessing firearms and ammunition on Aug. 28, 2015, in Chaves County, N.M. Dalton was indicted on the same charge on June 30, 2016. The indictment was superseded on Oct. 25, 2016, to add a second offense charging Dalton with being a drug addict unlawfully in possession of firearms and ammunition on Aug. 28, 2015, in Chaves County. According to court documents, Dalton was prohibited from possessing firearms or ammunition because he had prior felony convictions for burglary, breaking and entering, forgery, aggravated fleeing from a law enforcement officer, possessing burglary tools, tampering with evidence, larceny, and possession of a controlled substance.
Dalton proceeded to trial on the two-count superseding indictment on Jan. 23, 2017, and the jury returned a guilty verdict on both counts on Jan. 25, 2017. The evidence at trial established that on Aug. 28, 2015, officers of the Roswell Police Department responded to Dalton’s residence in response to a call from Dalton’s neighbor. The neighbor testified that she called the police after hearing Dalton threaten to shoot his girlfriend in the head during a fight between the couple that occurred outside Dalton’s residence. The neighbor also testified that Dalton attempted to run over his girlfriend with his car before going into his residence with his three-year-old child. The neighbor then heard gunshots coming from Dalton’s residence.
Dalton barricaded himself in his residence, requiring a SWAT team to be dispatched to coax Dalton out of the residence. After an hour-long standoff, came out of the residence and he was identified as a convicted felon, leading the officers to obtain a search warrant for his residence. While executing the search warrant, the officers seized two rifles, a handgun and approximately 240 rounds of ammunition from ’s residence. The evidence at trial also established that in addition to being a convicted felon, was a methamphetamine addict.
This case was investigated by the Las Cruces office of the ATF and the Roswell Police Department. Assistant U.S. Attorneys Alexander B. Shapiro and Marisa A. Ong of the U.S. Attorney’s Las Cruces Branch Office prosecuted the case.
East Tennessee-Based Home Health Providers Agree to Pay U.S. $1.8 Million to Settle False Claims Act LiabilityRead the Press Release
KNOXVILLE, Tenn. – Affiliated home health entities Home Health Care of East Tennessee, Inc.; Home Health Care of West Tennessee, Inc.; Home Health Care Services, Inc.; Home Health Care Services II, Inc.; Health Care Staffing of Tennessee, Inc.; and Home Health Care Support Services, Inc. (collectively “Home Health”) have agreed to pay the United States $1,800,000, to settle False Claims Act liability. Each of the Home Health entities is based in Chattanooga, Tennessee.
The United States contends that Home Health billed Medicare for home health services and, in some cases, hospice services that were not properly payable due to compensation or other financial arrangements with certain referring physicians which either violated or failed to meet the requirements of the Ethics in Patient Referrals Act (also known as the “Stark law”). The United States also contends that certain other billed services were not properly payable because they failed to meet Medicare coverage and payment requirements due to false or invalid certifications. The conduct giving rise to the allegations occurred over a period of time ranging from as early as 2002 to 2013.
Medicare home health providers and hospice providers are required to obtain written physician certifications of eligibility for each home health or hospice beneficiary upon the start of care and periodically throughout the beneficiary’s period of care. Medicare requires these certifications prior to billing in order to help ensure that home health or hospice care is medically necessary. Moreover, home health and hospice providers are required to comply with the Ethics in Patient Referrals Act, which requires that compensation and other financial arrangements with referring physicians meet requirements designed to ensure that physicians make patient referral decisions based on the patients’ best interests, without undue influence from payments or financial benefits received from healthcare providers competing for the physicians’ referrals. The law also serves to protect the integrity of government-funded healthcare programs.
In November 2010, Home Health initiated a voluntary disclosure to the U.S. Attorney’s Office, disclosing that it had uncovered potential violations of the Stark law during the course of an ongoing internal audit. Home Health supplemented its voluntary disclosure from time to time as its internal investigation continued, reporting additional violations. The settlement announced today resulted from the companies’ voluntary disclosures.
“This is an excellent example of how a health care provider can self-report Medicare compliance concerns and avoid costly litigation,” said Nancy Stallard Harr, U.S. Attorney for the Eastern District of Tennessee. “We encourage voluntary disclosures and welcome the opportunity to work with providers to resolve issues such as this and protect the Medicare Trust Fund.”
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Colleyville Businessman Sentenced to 84 Months in Federal Prison for Role in a Ponzi Oil and Gas Fraud SchemeRead the Press Release
FORT WORTH, Texas — James VanBlaricum, 78, of Colleyville, Texas, was sentenced today before Senior U.S. District Judge Terry R. Means to 84 months in federal prison and ordered to pay $32,222,291 in restitution for participating in a Ponzi oil and gas fraud scheme, announced U.S. Attorney John Parker of the Northern District of Texas.
VanBlaricum, who operated Signal Oil and Gas Company (SOG) and Texas Energy Management, which later became Texas Energy Mutual (TEM), pleaded guilty in February 2017 to one count of mail fraud. He has been in custody since his arrest in mid-August 2016.
According to plea documents, VanBlaricum formed SOG and TEM, ostensibly for the purpose of investing in mineral leases, and oil and gas production and earning a profit from those investments. VanBlaricum ran the fraud scheme from approximately January 2007 to August 2016, from office locations in Grapevine, Texas and Bedford, Texas, as well as from his residence and home office located in Colleyville, Texas, where many of the acts and transactions alleged in the indictment took place. VanBlaricum raised millions of dollars from investors by various means, including selling securities in the form of joint ventures in “programs” offered by SOG and TEM.
VanBlaricum employed sales agents who worked on his behalf to raise money, by selling limited partnership interests in these “programs” offered by SOG and TEM. Both personally and through investors, VanBlaricum deceived investors and potential investors by representing that investors would earn an “assured” rate of return on their initial investment, and they would receive a full refund of their initial investment amount after a defined period of time. He also represented that he intended to use a certain percentage of investors’ money to purchase mineral leases, and oil and gas well projects, when in fact, he intended to spend a substantially smaller percentage on the leases and oil and gas well projects and use a substantial part of investors’ money for purposes they did not authorize or even know about, including paying purported investment returns to other investors, commissions to sales agents, and paying his personal expenses as well as personal expenses for family members, friends, and business associates.
VanBlaricum also represented that he had purchased certain assets, or was in the process of purchasing them, when in fact, he had not purchased the assets and was not in the process of purchasing them. He also represented that the oil and gas well projects were productive and profitable, when in fact, most were “dry holes,” produced oil for a short period of time, or had not been drilled.
When VanBlaricum made promises about the use of investor funds, he failed to state that he had made the same promises to other investors and then used those investors’ funds for purposes they did not authorize or even know about, including paying purported investment returns to other investors, commissions to sales agents, and payment of personal expenses for VanBlaricum and his family, friends, and business associates.
VanBlaricum, according to plea documents, identified himself to investors using a false name. VanBlaricum deposited investors’ funds into, and withdrew and expended investors’ funds, from accounts he controlled in the names of entities he controlled. He caused funds to be transferred to, withdrawn from, and deposited into various accounts to create the appearance of business operations and revenue that he knew did not exist. He also caused “lulling” payments to be paid to investors, ostensibly as returns on investment, when he knew the funds came from other investors rather than from business operations.
VanBlaricum secretly, and without authorization, took and spent money entrusted to him by investors for advertising; vacations and international travel; rent payments; automobile purchases; and payroll and commissions for employees and sales agents.
The U.S. Postal Inspection Service with assistance from U.S. Immigration and Customs Enforcement (ICE) Homeland Security Investigations (HSI) investigated, and additional assistance was provided by the Securities and Exchange Commission. Assistant U.S. Attorney Douglas A. Allen prosecuted.
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Co-Owner of Trash Company Sentenced for FraudRead the Press Release
BOSTON – The co-owner of a trash company was sentenced today in federal court in Boston in connection with defrauding the operator of the Fall River Landfill out of approximately $463,000 in disposal fees.
Stephen P. Aguiar Jr, 47, of Westport, was sentenced by U.S. District Court Judge F. Dennis Saylor IV to one year and one day in prison, two years of supervised release and ordered to pay restitution in the amount of $463,407. In April 2017, Aguiar pleaded guilty to three counts of mail fraud.
Aguiar was one of the owners and operators of Cleanway Disposal & Recycling, Inc., a trash removal and recycling company, and JS Aguiar Enterprises, Inc., a construction and equipment rental company, which were both located in Westport. Aguiar contracted with the company operating the Fall River Landfill to dispose of trash collected from his private clients in Fall River for one rate, and to dispose of trash collected from his private clients outside of Fall River for a higher rate. Aguiar also contracted with the City of Fall River to collect trash from the Fall River Housing Authority (FRHA) and dispose of the trash at the landfill. The company operating the landfill allowed the City of Fall River to dispose of trash collected from FRHA properties at no charge. Between 2009 and 2014, Aguiar misrepresented the origin of a significant portion of the trash he disposed at the landfill. In some instances, Aguiar claimed he was disposing trash from the FRHA, when in fact he was disposing trash collected from his private clients. In other instances, Aguiar claimed he was disposing trash collected from private clients inside of Fall River, when in fact he was disposing trash collected from private clients outside of Fall River. Aguiar thereby defrauded the operator of the Fall River Landfill of approximately $463,000 in revenue.
Acting United States Attorney William D. Weinreb; Harold H. Shaw, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; Massachusetts Inspector General Glenn A. Cunha; and Christina Scaringi, Special Agent in Charge of the U.S. Department of Housing and Urban Development, Office of the Inspector General, Northeast Regional Office made the announcement today. Assistant U.S. Attorney Kristina E. Barclay of Weinreb’s Public Corruption Unit prosecuted the case.
Charleston woman sentenced to federal prison for drug crimeRead the Press Release
CHARLESTON, W.Va. – A Charleston woman was sentenced today to a year and a day in federal prison for a drug charge, announced United States Attorney Carol Casto. Terri Mitchell, 26, previously pleaded guilty to possession with the intent to distribute crack.
Mitchell admitted that in March 2015, law enforcement executed a search warrant at her Charleston residence and discovered approximately 80 grams of cocaine and over 60 grams of crack in her bedroom, along over $7,600 in cash. Mitchell further admitted that in May 2015, law enforcement executed another search warrant at her residence in Charleston. While searching Mitchell’s residence, officers found that Mitchell was in possession of approximately 2.7 grams of crack, which was concealed in the pockets of her pants.
The case against Mitchell was investigated by the Charleston Police Department’s Special Enforcement Unit. Assistant United States Attorney Timothy D. Boggess is responsible for the prosecution. Chief United States District Judge Thomas E. Johnston imposed the sentence.
This prosecution is part of an ongoing effort led by the United States Attorney’s Office for the Southern District of West Virginia to combat the illicit sale and misuse of illegal drugs. The U.S. Attorney’s Office, joined by federal, state and local law enforcement agencies, is committed to aggressively pursuing and shutting down pill trafficking, eliminating open air drug markets, and curtailing the spread of illegal drugs in communities across the Southern District.
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California man sentenced to federal prison for methamphetamine chargeRead the Press Release
HUNTINGTON, W.Va. – A California man caught receiving a shipment of crystal methamphetamine in Huntington earlier this year was sentenced today to three years and a month in federal prison, announced United States Attorney Carol Casto. Christian Duran, 34, of San Jose, previously pleaded guilty to attempted possession with intent to distribute 50 grams or more of methamphetamine.
On January 13, 2017, members of the DEA Task Force conducted a controlled delivery of approximately 25 pounds of marijuana and 150 grams of crystal methamphetamine to Duran and Sean Bradsher at a residence on 4th Avenue in Huntington. The drugs were intercepted by agents the previous day after being sent from California to Huntington. When Duran and Bradsher took possession of the drugs, agents executed a search warrant at the residence and recovered the marijuana and methamphetamine, along with $13,842 in cash. Duran admitted that he intended to distribute the methamphetamine, and Bradsher admitted that he allowed Duran to use the residence to receive the methamphetamine from California. As part of the plea agreement, Duran admitted to all the drug trafficking activity charged in the indictment.
Bradsher previously pleaded guilty to aiding and abetting the attempted possession with intent to distribute 50 grams or more of methamphetamine. He is scheduled to be sentenced on October 30, 2017.
The investigation was conducted jointly by the DEA Task Force, the West Virginia State Police, and the Putnam County Sheriff’s Department. Assistant United States Attorney Joseph F. Adams handled the prosecution. United States District Judge Robert C. Chambers imposed the sentence.
This case is part of an ongoing effort led by the United States Attorney’s Office for the Southern District of West Virginia to combat the illicit sale and misuse of illegal drugs, including methamphetamine. The U.S. Attorney’s Office, joined by federal, state and local law enforcement agencies, is committed to aggressively pursuing and shutting down pill trafficking, eliminating open air drug markets, and curtailing the spread of illegal drugs in communities across the Southern District.
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Business Owner Arraigned Following Indictment on Fraud, Perjury and Election-Related OffensesRead the Press Release
WASHINGTON – Keith D. Forney, 58, of Clinton, Md., was arraigned today on charges of engaging in corrupt election practices, second-degree fraud, perjury, making campaign contributions in excess of legal limits, and making campaign contributions through other persons, announced U.S. Attorney Channing D. Phillips, Andrew Vale, Assistant Director in Charge of the FBI’s Washington Field Office, and Kimberly Lappin, Special Agent in Charge of the Internal Revenue Service-Criminal Investigation (IRS-CI) Washington D.C. Field Office.
Forney pled not guilty in the Superior Court of the District of Columbia and remains free on personal recognizance. He also recently pled not guilty at his arraignments in the U.S. District Court for the District of Columbia on federal charges in two indictments returned against him there. In the federal cases, Forney is accused of participating in a contract fraud scheme against the Maryland Administrative Office of the Courts and filing fraudulent federal tax returns.
In the Superior Court case, Forney was indicted on Aug. 16, 2017, on two counts of engaging in corrupt election practices; three counts of second-degree fraud; two counts of perjury, three counts of exceeding campaign contribution limitations, and eight counts of making campaign contributions through other persons.
According to the Superior Court indictment, Forney claimed for years that a rental property he owned in the District of Columbia was his sole primary residence, when he actually was residing in Clinton, Md. Forney also filed federal and District of Columbia tax returns using the D.C. address. Additionally, he obtained a District of Columbia driver’s license and registered as a D.C. voter while having a license and being registered to vote in Maryland. By documenting that he resided in the District of Columbia, Forney’s construction business, Forney Enterprises, Inc., (FEI) could qualify as a resident owned business in the District of Columbia and receive preferences in bidding on District of Columbia government contracts. The company got those designations in 2006, 2008, 2010, 2012, 2014 and 2016.
Additionally, under District of Columbia law, individuals may not contribute more than $1,000 in support of a candidate for an at-Large seat on the Council of the District of Columbia and may not contribute more than $500 for a candidate seeking a ward seat. Individuals also may not make or cause contributions to made in the name of others. According to the indictment, Forney violated those laws with contributions to three candidates in the 2012 election.
Both of the federal indictments were returned on Aug. 10, 2017.
In one federal case, Forney and a co-defendant, Riad M. Sleit, were indicted on two counts of fraud stemming from an alleged scheme involving Forney’s company, FEI, and payments it received as a minority business enterprise. Forney was also charged with two counts of money laundering.
The scheme allegedly involved a series of contracts awarded by the Maryland Administrative Office of the Courts to Sharp Business Systems (SBS) for work on copiers throughout the state’s court system. Under contracts issued in 2009, 2010, and 2011, SBS was to meet a requirement that 20 percent of its sub-contracting work be performed by a minority business enterprise, which, in this case, was to be FEI. Sleit was the president of the metropolitan Washington, D.C. branch of SBS and was involved in the contract, the indictment alleges.
However, according to the indictment, FEI never performed any work or provided any services. Forney, Sleit, and an SBS consultant, John N. Vassos, caused SBS to pay $689,800 to FEI from 2009 to 2013 for its purported work. Forney then turned over the money that FEI received from SBS to Vassos.
In addition to his work at FEI, Forney and a business partner owned Stadium Club, an establishment in Southeast Washington. In May 2010, according to the indictment, Vassos provided approximately $2 million to Forney and his partner to finance the purchase of the property where Stadium Club was located. Additionally, from 2011 until 2014, Vassos loaned hundreds of thousands of dollars to Forney and his partner.
Sleit, 60, of Sarasota, Fla., has entered a not guilty plea. Vassos, 55, of Bethesda, Md., pled guilty in June 2017 to one count of conspiracy to commit mail fraud, one count of tax fraud, and one count of conspiracy to commit wire fraud. He is awaiting sentencing.
In the other federal case, Forney was indicted on two counts of tax fraud for allegedly under-reporting his income on federal income tax returns for the 2009 and 2010 calendar years.
An indictment is merely a formal charge that a defendant has committed a violation of criminal laws and every defendant is presumed innocent until, and unless, proven guilty.
The FBI’s Washington Field Office and the Internal Revenue Service-Criminal Investigation (IRS-CI) Washington D.C. Field Office are investigating the cases. The cases are being prosecuted by Assistant U.S. Attorneys Anthony Saler and Michael Marando. Assistance has been provided by Paralegal Specialists C. Rosalind Pressley, Toni Anne Donato, Aisha Keys, and Jessica Mundi; Financial Analyst Bryan J. Snitselaar; Litigation Technology Specialist Kimberly Smith; and former Criminal Investigators Juan Juarez and Stephen Cohen, of the U.S. Attorney’s Office.
Bronx Man Sentenced in Manhattan Federal Court to 168 Years in Prison on Charges Stemming from His Sexual Exploitation of Minors and False Statements to Government AgentsRead the Press Release
Joon H. Kim, the Acting United States Attorney for the Southern District of New York, announced that DAVID KEITH, a/k/a “David Wright,” a/k/a “David Lee Keith,” a/k/a “David Lee,” a/k/a “Lee David,” was sentenced today in Manhattan federal court to 168 years in prison on five counts stemming from his sexual exploitation of minors, related child pornography offenses, and making false statements to a federal agent concerning his abuse of children. KEITH, 39, of the Bronx, New York, pled guilty on November 29, 2016, before United States District Judge Alison J. Nathan, who also imposed today’s sentence.
Acting Manhattan U.S. Attorney Joon H. Kim said: “For his predatory crimes that included luring a girl as young as 9 years old into his van to make sexually explicit videos and even threatening to harm another if she reported his sexual assault, David Keith has received a lengthy prison sentence. Protecting children from sexual exploitation is, and will remain, one of the most important missions of this Office.”
According to the allegations contained in the Complaint, the Indictment filed against KEITH, and statements made in court filings and proceedings in open court:
On at least one occasion in 2013, KEITH produced child pornography during his sexual abuse of a child. Specifically, on October 13, 2013, KEITH approached three girls on the street in Queens, each of whom was approximately 12 years old, falsely presented himself as part of the entertainment industry, and encouraged the girls to model for him. KEITH induced one of the girls to enter his vehicle, where he video-recorded, among other things, himself engaging in coercive sexual conduct with her. KEITH threatened to harm the victim if she reported the assault, and told her that he had been watching her.
Just one day earlier, on or about October 12, 2013, KEITH video-recorded another young girl, approximately 8 or 9 years old, in his vehicle as he caused her to remove some of her clothing so that he could record her exposed genitals.
In addition, for a period of at least two years, KEITH downloaded and possessed thousands of images and videos depicting child pornography.
During the investigation, KEITH made statements to federal agents claiming that he had been elsewhere on October 12 and 13, 2013, and was not the individual who abused the children. Those statements were proven false.
* * *
Mr. Kim praised the extraordinary investigative work of the Federal Bureau of Investigation, and thanked the New York City Police Department Special Victims Unit and the Town of Poughkeepsie Police Department for invaluable assistance in the investigation.
This case is being handled by the Office’s General Crimes Unit. Assistant United States Attorneys Matthew Podolsky and Stephen Ritchin are in charge of the prosecution.
Bluefield pain pill dealer sentenced to federal prison for hydromorphone crimeRead the Press Release
BLUEFIELD, W.Va. – A Bluefield drug dealer was sentenced today to two years in federal prison for selling pain pills, announced United States Attorney Carol Casto. Timothy Jordan, 48, previously pleaded guilty to distribution of hydromorphone.
Jordan admitted that on December 2, 2015, he distributed hydromorphone in Bluefield to an individual cooperating with law enforcement authorities.
The Southern Regional Drug and Violent Crime Task Force conducted the investigation. Assistant United States Attorney John File is in charge of the prosecution. Senior United States District Judge David A. Faber imposed the sentence.
This case was brought under the Bluefield Pill Initiative, part of an ongoing effort led by the United States Attorney’s Office for the Southern District of West Virginia to combat the illicit sale and misuse of prescription drugs and heroin. The U.S. Attorney’s Office, joined by federal, state and local law enforcement agencies, is committed to aggressively pursuing and shutting down illegal pill trafficking, eliminating open air drug markets, and curtailing the spread of opiate painkillers and heroin in communities across the Southern District.
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Bank Robber Sentenced to 115 Months in Federal PrisonRead the Press Release
PORTLAND, Ore. – On Tuesday, September 5, 2017, United States District Court Judge Michael H. Simon sentenced Wes Edward Hamman, 46, to 115 months in federal prison followed by 3 years of supervised release. Hamman has also been ordered to pay $2,210 in restitution. On January 24, 2017, a federal jury found Hamman guilty of bank robbery in violation of 18 U.S.C. § 2113(a).
According to court documents, on April 20, 2016, Hamman robbed a Key Bank on SE Hawthorne Boulevard in Portland. Wearing a black hat, sunglasses and a surgical mask, Hamman approached the victim teller and demanded cash. The teller gave him $2,210 that included five bait bills and a tracking device. After the robbery, the Portland Police Bureau (PPB) received tracking information that Hamman was in a taxicab near SE 39th Avenue and SE Hawthorne Boulevard. PPB officers stopped the cab and arrested Hamman. Officers recovered a demand note and $2,140 that included all five bait bills and the tracking device.
While awaiting trial, Hamman engaged in two known attempts to escape custody. The first occurred on April 26, 2016 while Hamman was undergoing a medical evaluation at the Oregon Health and Sciences University (OHSU). During the evaluation, the defendant was shackled to a hospital bed. A Multnomah County Sheriff Deputy observed Hamman intentionally spill a cup of coffee onto the ground. When the deputy entered the room, Hamman lurched his body forward and put both hands on the deputy’s handgun. After disengaging from Hamman, the deputy order him to remain on the floor until additional officers arrived.
The second attempt occurred in June 2016, when Hamman mailed a letter to his son asking him to take part in an elaborate escape attempt. In the letter, Hamman proposed that he arrange to be transported back to the hospital where his son, donning a medical disguise and armed with a fake gun, would confront law enforcement officers and aid in his father’s escape. The letter was given to law enforcement officials and nothing became of Hamman’s plot, which would have resulted in a violent confrontation with law enforcement.
Hamman has four prior robbery convictions. In 2001, he was convicted of armed robbery in Nevada after walking into a cigarette store, pointing a firearm at the clerk and demanding money. Hamman was sentenced to 10 years in prison, but released on parole in 2003. In 2008,
Hamman committed three robberies and attempted a fourth in Washington State. He was convicted and sentenced to 87 months in prison.
"This defendant demonstrated a continuous pattern of violent action across three states before his latest arrest here in Oregon," said Billy J. Williams, United States Attorney for the District of Oregon. "His actions caused severe emotional trauma for his victims and endangered the community. I applaud the multi-agency investigative effort," continued U.S. Attorney Williams, "that resulted in the defendant’s swift apprehension and conviction."
"The sentence imposed on the defendant reflects the serious nature of bank robbery," said Loren Cannon, Special Agent in Charge for the FBI in Oregon. "The FBI is proud of the relationship with its law enforcement partners and working together we are able to get violent offenders off of our streets and make our community a safer place for all."
This case was investigated by the FBI, PPB and the United States Attorney’s Office for the District of Oregon and was prosecuted by Scott M. Kerin, Assistant United States Attorney for the District of Oregon.
Arlington Man Sentenced to 180 Months in Federal Prison for the Attempted Enticement of a MinorRead the Press Release
FORT WORTH — Marquis Konrad Streaty, 32, of Arlington, Texas, was sentenced today before U.S. District Judge Reed C. O’Connor to 180 months in federal prison for the attempted enticement of an individual Streaty believed to be a 13-year-old female, announced U.S. Attorney John Parker of the Northern District of Texas.
Streaty was convicted in May 2017, following a three-day jury trial, on one count of enticement of a child. He has been into custody since the trial verdict.
“Anyone who attempts to entice a child to engage in sexual activity commits a serious crime and will face serious consequences,” said U.S. Attorney Parker. “That’s the law and this office will enforce it.”
The government presented evidence at trial that on March 2, 2017, through March 9, 2017, Streaty attempted to persuade, induce, and entice a person who had not attained the age of eighteen years, to engage in sexual activity.
On March 2, 2017, Streaty posted an advertisement to an Internet message board website in a section that is commonly used to solicit sexual activity. Part of the advertisement stated, “Just a VERY, VERY discreet early 30’s attractive black male here just looking for a family with a kinky side.” A law enforcement special agent working in an undercover capacity replied to the message asking if Streaty “had any hangups with age.” The agent also stated “Ive got a stepdaughter who likes to play and might be up for a new friend.” Streaty replied “No I don't have any hung ups on age” and “I am interested.” The agent proceeds to tell Streaty “And she is 13, so I get it if that’s too young for you.” Streaty replied, “I am interested in meeting her and you.”
The undercover agent and Streaty continued to email and eventually begin to communicate via text messages. In these communications they discussed meeting during the purported minor’s spring break from school, what kind of sexually explicit acts would take place and the purported minor’s sexual preferences. In a later communication Streaty and the purported stepfather agreed to meet at a hotel located along Interstate 30 in Fort Worth, Texas. Streaty also agreed to split the cost of the hotel room with the stepfather.
On March 9, 2017 Streaty traveled from his residence in Arlington, Texas, to the hotel in Fort Worth, Texas. Upon Streaty’s arrival at the hotel, Streaty was intercepted by law enforcement and placed under arrest.
U.S. Immigrations and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI), with assistance from the Tarrant County Criminal District’s Office, Digital Forensic and Technical Services Division, investigated the case. Assistant U.S. Attorneys Nancy Larson and Megan Fahey prosecuted.
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Arkansas Man Facing Federal Firearms Charges for Illegally Selling Handguns and Semi-Automatic Rifles in the Chicago AreaRead the Press Release
CHICAGO — An Arkansas man was charged today with federal firearms violations for illegally selling numerous handguns, rifles and a shotgun in Chicago and nearby suburbs.
KLINT KELLEY brought the firearms from Arkansas to Chicago and illegally sold them to a convicted felon, according to a criminal complaint and affidavit filed today in federal court in Chicago. Kelley sold the guns to the felon on three occasions this year, including over the Fourth of July and Labor Day weekends, the complaint states. The most recent sale occurred Sunday in Chicago Ridge, after which authorities arrested Kelley.
Kelley, 27, of Malvern, Ark., is charged with three counts of dealing firearms without a license and across state lines, and one count of selling firearms to a known felon. An initial court appearance is scheduled for today at 1:30 p.m., before U.S. Magistrate Judge M. David Weisman in Chicago.
The charges were announced by Joel R. Levin, Acting United States Attorney for the Northern District of Illinois; and Celinez Nunez, Special Agent-in-Charge of the Chicago Field Division of the U.S. Bureau of Alcohol, Tobacco, Firearms and Explosives. The Chicago Police Department and Illinois State Police participated in the investigation.
The complaint describes the three occasions when Kelley allegedly sold firearms to the felon. On April 3, 2017, in a residence in southwest suburban Frankfort, Kelley sold the felon five handguns and three semi-automatic rifles in exchange for $4,750 in cash, the complaint states. On July 3, 2017, near the United Center on Chicago’s West Side, Kelley sold the felon four handguns and one semi-automatic rifle in exchange for $3,000 in cash, the complaint states. On Sept. 3, 2017, in a commercial area of southwest suburban Chicago Ridge, Kelley sold the felon four semi-automatic rifles, three handguns and one semi-automatic shotgun in exchange for $7,000 in cash, the complaint states.
Kelley grew up in Illinois and moved to Arkansas several years ago, the complaint states.
The public is reminded that a complaint is not evidence of guilt. The defendant is presumed innocent and entitled to a fair trial at which the government has the burden of proving guilt beyond a reasonable doubt.
The charge of dealing firearms without a license and across state lines is punishable by a maximum sentence of five years in prison, and the charge of selling firearms to a known felon is punishable by a maximum sentence of ten years in prison. If convicted, the Court must impose a reasonable sentence under federal statutes and the advisory U.S. Sentencing Guidelines.
The government is represented by Assistant U.S. Attorney Tobara Richardson.
4 September 2017
18 Defendants Facing Federal Charges for Drug TraffickingRead the Press Release
AGENTS SEIZE OVER 30 KILOGRAMS OF DRUGS AND APPROXIMATELY A MILLION DOLLARS ONE DEFENDANT SHOT DURING TAKE DOWN
GRAND RAPIDS, MICHIGAN – Acting U.S. Attorney Andrew Birge announced that his office sought, and U.S. Magistrate Judge Phillip J. Green issued last Friday and earlier today, arrest warrants for eighteen separate defendants charged by criminal complaint with conspiring to distribute heroin and cocaine in the areas of Grand Rapids and Benton Harbor, Michigan. The affidavit filed in support of the complaint alleges that the drugs were trafficked into West Michigan by semi-tractor trailer from California.
During the arrests of the defendants and execution of associated searches, federal, state and local investigators seized over 30 kilograms of heroin and cocaine, multiple pounds of marijuana, two kilogram presses, approximately $1,000,000, a bullet-proof vest, three handguns and an assault rifle with an extended magazine. One defendant suffered a gunshot wound in the course of the execution of the arrests and searches. He will appear for proceedings as his condition allows.
Further details of the allegations may be found in the attached complaint and 185-page supporting affidavit, which were unsealed at the initial appearance of eleven of the defendants today. A twelfth defendant, Phillip Nelson, made his initial appearance in Chicago, in the Northern District of Illinois.
The charges are the result of a multi-agency Federal, State and local law enforcement investigation into the conspiracy. The Drug Enforcement Administration (DEA), Internal Revenue Service (IRS), Federal Bureau of Investigation (FBI), Vice Unit of the Grand Rapids Police Department (GRPD), Kent County Sheriff’s Department (KCSD), Wyoming Police Department, Michigan State Police (MSP), Kent Area Narcotics Enforcement Team (KANET), Metropolitan Enforcement Team (MET), U.S. Secret Service (USSS), Bureau of Alcohol Tobacco and Firearms (ATF), Kalamazoo Valley Enforcement Team (KVET), Albion P.D., Calhoun County Sheriff Department, and South West Enforcement Team (SWET) have all supported the investigation.
The charges in the complaint, which carry varying maximum penalties of up to 20 years or life in prison, depending on the allegations against the individual defendant, are merely accusations and are not evidence of guilt. The defendants are presumed innocent unless and until proven guilty in a court of law. The government has the burden of proving guilt beyond a reasonable doubt.
The image below shows items recovered through the law enforcement operation.
The complaint charges the following individuals: Name
Age
Residence
YUSEF LATEEF PHILLIPS, aka "Sef"
40
Grand Rapids, MI
RAY ANTHONY LEE, aka "Rudy Ray"
46
Grand Rapids, MI
DEMETRIUS DEWAYNE GAINES
41
Wyoming, MI
CAZEMBIE SOKONI BASKIN, aka "Doe-Boy"
44
Grand Rapids, MI
JESSE MARTELL PHILLIPS
34
Previously in custody
RETISHA MAE PEGRAM, aka "Blackie"
36
Grand Rapids, MI
PHILLIP NELSON
39
Chicago, IL
BRANDON KENYEN PARKS
27
Grand Rapids, MI
MICHAEL YADELL NELSON
37
Grand Rapids, MI
MICHAEL GOULD
36
Grandville, MI
KAYODE MOYO-JOMOKE MARSHALL
42
Grand Rapids, MI
SOLON TATUM
40
Grand Rapids, MI
TONY KIRKLAND
55
Kentwood, MI
The DEA requests the public’s assistance in locating the following defendants charged with conspiracy to distribute controlled substances:
Pictures of fugitives Demetrius Gaines, Retisha Pegram, Brandon Parks, and Etrevion Murphy
1 September 2017
United States Attorney’s Office Launches Online Messaging Campaign to Highlight the Importance of Law Enforcement WellnessRead the Press Release
The United States Attorney’s Office will implement an online messaging campaign in September during National Suicide Prevention Awareness Month to highlight the importance of law enforcement wellness and suicide prevention. According to Badge of Life, more officers die of suicide than from gunfire and traffic accidents combined. The Police Suicide Study estimates that an average of 130 law enforcement suicides occur per year, which is more than ten per month.
Acting United States Attorney William D. Weinreb said, “Law enforcement officers and first responders routinely encounter life-threatening situations, horrific violence, disturbing crime scenes, motor vehicle accidents, child abuse, and other stressful situations that take a psychological toll. We should reward their courage and selflessness by encouraging them to prioritize their psychological wellness and helping them to achieve it.”
Over the course of the month, the U.S. Attorney’s Office will disseminate specific messages via social media using the hashtag #OfficerWellness.
Two men sentenced for child pornography crimesRead the Press Release
ATLANTA - Brandon Otoupal and Franklin Lee Clark Gilmore have been sentenced to federal prison, in separate court proceedings, for child pornography offenses. Otoupal both produced child pornography and posted a video on a website. Gilmore collected a library of child pornography files and shared them on the Internet in order to access more child pornography.
“These two men took perverse pleasure in the sexual abuse of children,” said U.S. Attorney John Horn. “Otoupal went a step further and bullied a teenage girl into producing child pornography for his own enjoyment. These two cases show that the Internet remains a thriving marketplace for the worst victimization of our children, as well as our commitment to doing everything we can to stop it.”
“Child pornography production is, bluntly, recording the sexual exploitation of innocent children, and those who encourage its production are directly responsible for promoting and encouraging child sex abuse,” said HSI Atlanta Special Agent in Charge Nick S. Annan. “As this case shows, no matter where or how these criminals may seek out their illegal acts, ICE Homeland Security Investigations is committed to investigating and seeking prosecution of child exploitation cases as one the agency’s highest priorities.”
According to U.S. Attorney Horn, the charges and other information presented in court: In July 2015, special agents with Homeland Security Investigations received information that a person had posted on a foreign website a file of a young child being sexually abused by an adult. Based on further investigation, the agents determined that the video was uploaded to the website from a house in Carrollton. When special agents executed a federal search warrant on August 17, 2015, they found that Branden Otoupal not only possessed numerous images of child pornography, but he had also produced child pornography. Specifically, he used a cell phone app to coerce a teenage girl to produce child pornography of herself and send it to him for his own sexual enjoyment.
The charges and other information presented in court show that Franklin Lee Clark Gilmore had been downloading child pornography from the Internet beginning around June 2014. He collected files of very young girls being sexually abused on cell phones, tablets and computers. Eventually, to manage his collection, he transferred it to the cloud. He chatted with numerous men online where he gave them links to his collection, and they in turn gave him additional child pornography.
Brandon Otoupal, 27, of Carrollton, Georgia, was sentenced to 16 years in prison to be followed by 20 years of supervised release. Otoupal was convicted of these charges on April 11, 2017, after he pleaded guilty.
Franklin Lee Clark Gilmore, 26, of Cartersville, Georgia, was sentenced to 12 years, four months in prison to be followed by 15 years of supervised release. Gilmore was convicted of these charges on June 9, 2017, after he pleaded guilty. There is no parole in the federal system. Both Otoupal and Gilmore will be required to register as sex offenders upon their release from prison.
These two cases were investigated by the U.S. Immigration and Customs Enforcement’s Homeland Security Investigations.
Assistant U.S. Attorney Paul R. Jones prosecuted the cases.
This case is being brought as part of Project Safe Childhood. In February 2006, the Attorney General launched Project Safe Childhood, a nationwide initiative designed to protect children from online exploitation and abuse. Led by the United States Attorney’s Offices around the country, Project Safe Childhood marshals federal, state and local resources to apprehend and prosecute individuals who exploit children. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Tennessee Woman Pleads Guilty to Aiding and Abetting an Attempt to Kidnap Judge and Sheriff in One-Count Criminal InformationRead the Press Release
Memphis, TN – Patricia Parsons, 49, of Brighton, Tennessee, pleaded guilty to a one-count criminal information charging her with aiding and abetting solicitation to commit kidnapping. Lawrence J. Laurenzi, Acting U.S. Attorney for the Western District of Tennessee, announced the guilty plea today.
According to the facts revealed during the plea hearing and alleged in the criminal information, from February 2017 through May 2017, Parsons conspired with Suzanne Holland, a self-appointed Chief Justice of the Universal Supreme Court of the Tsilhqot’in Nation in Canada, to kidnap a Tipton County judge and a Nebraska sheriff.
On January 10, 2017, Michael Parsons (the defendant’s husband) was scheduled to appear in state court in Tipton County, Tennessee on two counts of being a felon in possession of a firearm. Mr. Parsons did not show up for court, removed his ankle monitor and fled the jurisdiction. Two days later, he was located and arrested in a small airport in Arapahoe, Nebraska after flying himself there in a plane.
On February 16, 2017, FBI New Orleans received information that Suzanne Holland, self-appointed Chief Justice of the Universal Supreme Court of the Tsilhqot’in Nation in Canada, was attempting to hire a bounty hunter to kidnap Sheriff Kurt Kapperman of Furnas County, Nebraska and Judge Joseph Walker of Tipton County, Tennessee and to break Mr. Parsons out of jail. Ms. Holland contacted an FBI Confidential Source in New Orleans, Louisiana and solicited the source to execute what were purported to be duly-issued "arrest warrants" for the sheriff and judge issued by the Tsilhqot’in Nation. Holland emailed "arrest warrants" to the source along with an "order to release Michael Parsons from jail." Further investigation revealed that the Tsilhqot’in Nation was a Sovereign Citizen group located on an Indian reservation in British Columbia, Canada.
On February 17, 2017, Ms. Holland provided a telephone number for the source to facilitate further discussions. FBI Memphis determined this number to be that of Mr. Parsons’ wife, defendant Patricia Parsons.
Based on initial telephone conversations, Ms. Holland and the source agreed to draft a contract, signed by both parties, describing duties and payments. A final negotiated price of $250,000 was agreed upon for the arrest of the sheriff and judge and the facilitating release of Mike Parsons from jail. Mike Parsons was described as an Associate Justice of the Tshilhqot’in Nation.
On February 23, 2017, the source and Ms. Holland agreed on an initial payment of $5,000 to begin arranging all travel and other details related to the operation. Holland told the source that Patricia Parsons would have the money and be available to meet in Memphis. On March 6, 2017, the source advised Holland that a business associate would meet Patricia Parsons to coordinate the payment. An amended contract was drawn up and signed by both parties. The source then contacted Patricia Parsons to discuss the transaction.
On March 3, 2017, Ms. Holland requested the source to accept a Corvette in lieu of the $5,000 payment. The Corvette was owned by the Parsons and located on Patricia Parsons’ property in Brighton, Tennessee. In telephone conversations, Patricia Parsons advised that the Corvette had some problems but was worth approximately $7,000. Three days later, during a series of phone calls, the source advised the defendant that an associate was traveling to the Parson’s property to complete the payment transaction.
Further the source explained to Parsons what the overall operation would entail, including: selling the vehicle to help fund the operation; breaking Mr. Parsons out of jail; kidnapping the Tennessee judge (who was scheduled to preside over her husband’s impending trial) and the Nebraska sheriff; using the plane to transport the abducted individuals to Holland in Canada; and using 30 operatives divided into two teams to accomplish these objectives.
During these calls, defendant Parsons advised that her phone was tapped by the FBI and agreed to call the source on another phone. The defendant called on a different line and indicated that she was ok with the source taking the vehicle and using the plane in Nebraska "as long as the FBI don’t come knockin at my door again." The source explained that the operatives would need to go to Canada because "once we kidnap a judge and a sheriff, our heads are gonna be on the choppin block… and once we do what we gotta do we can never come back." After these discussions, the defendant agreed to meet one of the operatives to complete payment transaction.
On March 6, 2017, an undercover FBI employee posing as an associate of the source exchanged phone calls with the defendant and subsequently met at her residence in Brighton, Tennessee to obtain the Corvette. Due to the fact that the Corvette was inaccessible at the resident, the defendant agreed to provide the associate a 1991 Ford Ranger truck as the down payment for the operation. Parsons could not find the title but signed a note transferring ownership of the vehicle and gave the associate keys to the truck.
Between March 11 and March 15, 2017, the associate made three separate telephone calls to Parsons in order to gain further information on Tipton County Judge Joseph Walker. The associated asked about an address and photo of the judge’s house. The defendant responded that she did not know the specific address but that the judge’s name was "Joseph Walker III" and advised that he was located in Ripley, Tennessee in Lauderdale County. She also agreed to find out more information on the judge. On another call, the defendant advised the associate about a Ripley P.O. Box for the judge and stated he presided over courts in Tipton, Lauderdale, Hardeman, Fayette and one other county. At no time did Parsons attempt to notify any authorities of the impending plot to kidnap a sheriff and judge and free Mr. Parsons’ from jail.
Parsons faces a maximum penalty of 20 years’ imprisonment, a $125,000 fine and five years of supervised release. Sentencing is scheduled for December 1, 2017, before United States District Judge Sheryl H. Lipman.
This case was investigated by the FBI. Assistant U.S. Attorney Stephen Hall is prosecuting this case on the government’s behalf.
Tampa Man Sentenced to More Than Four Years in Federal Prison for Credit Card Fraud and Identity TheftRead the Press Release
Tampa, Florida – U.S. District Judge James D. Whittemore today sentenced Yuneski Perdomo (35, previously of Tampa) to four years and ten months in federal prison for conspiracy to commit access device (credit card) fraud and aggravated identity theft. The Court also entered a money judgment in the amount of $31,016.32, the proceeds of the credit card fraud.
Perdomo pleaded guilty on June 1, 2017.
According to court documents, in 2013, Perdomo was the ringleader of a conspiracy that included co-defendants Edel Gomez, Tonysbell Calero-Alvarez, and Jorge Duran-Blanco. The conspirators obtained stolen credit and debit account numbers that they then used to create or purchase counterfeit or cloned credit cards. The true owners of the accounts remained in possession of the cards, so they did not know to report them stolen. The conspirators then spent hours each day traveling around Florida, making purchases at various retail stores using the counterfeit credit cards. They purchased cigarettes and gift cards, among other things, that could be sold for cash, and shared the proceeds. In one instance, at Perdomo’s direction, Gomez, Calero-Alvarez, and Duran-Blanco used counterfeit credit cards at approximately 14 different Walmart locations in the Tampa Bay area over a 24-hour period. Agents identified $30,000 in actual losses and approximately $148,000 in intended losses attributable to the fraud, and they determined that more than 40 individuals’ stolen account information had been used.
Gomez, Calero-Alvarez, and Duran-Blanco pleaded guilty for their roles in this case and were sentenced in 2014 to 36 months’ imprisonment, 44 months’ imprisonment, and 5 years’ probation, respectively. Perdomo was a fugitive from late 2013 until late 2016.
This case was investigated by the Florida Department of Law Enforcement, the U.S. Secret Service (USSS), the U.S. Postal Inspection Service, and the Tampa Police Department, all of whom are members of the USSS’s credit card fraud and identity theft task force. It was prosecuted by Assistant United States Attorney Mandy Riedel.