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16 August 2017
Twenty-Five Walton County Residents Charged in Eight Drug and Firearms IndictmentsRead the Press Release
Twenty-five Walton County residents have been charged in eight indictments filed in the Middle District of Georgia, Athens Division, announced United States Attorney G. F. “Pete” Peterman, III. All of the indictments were returned on August 9, 2017, by a federal Grand Jury sitting in Macon, Georgia, and result from a two year investigation by the Federal Bureau of Investigation (FBI) and the Monroe, Georgia, Police Department. Twenty-two of the defendants charged in these indictments were taken into custody earlier today, with initial appearances for those arrested scheduled to begin this afternoon in Macon.
Anthony J. Johnson, 39, Anthony L. Smith, 51, his sons, Emmanuel B. Smith, 31 and Lachievous Smith, 29, Kristy Davis-Smith, 30, and Brittney Porter, 27, all of Monroe, Georgia, were named in a twenty-one count indictment charging them with drug conspiracy and distribution charges involving firearms and drugs in Monroe, Walton County, Georgia.
According to allegations in the indictment, the defendants conspired to distribute cocaine base, also known as crack cocaine, Alprazolam pills and marijuana for over four years in Monroe, Georgia. Conviction of participation in this conspiracy carries a maximum sentence of a mandatory minimum of ten years to life imprisonment, a fine of up to $10,000,000 and up to five years of supervised release.
Cardia Wright, 28, John T. Chapman, 26, Casey Watts, 31, Chris Rivers, 25 and John Henry Wilson, 53, all of Monroe, Georgia are charged in a twenty-one count indictment which alleges a drug conspiracy and distribution of drugs and possession of firearms in furtherance of a drug crime. According to the allegations in the indictment, over a four year period the defendants conspired to distribute cocaine base, also known as crack cocaine, methamphetamine, marijuana, and Alprazolam and Oxycodone pills. Conviction of participation in this conspiracy carries a minimum mandatory sentence of five years to a maximum sentence of forty years, a fine of up to $5,000,000.00 and up to four years supervised release.
Vernon X. Cooper, 36, Carl L. Brown, 26 and Craig Towler, 34, all from Monroe, Georgia are charged in an eleven count indictment alleging a drug conspiracy and distribution of drugs and possession of firearms in furtherance of a drug crime. According to the allegations in the indictment, the defendants conspired to distribute Cocaine base, also known as crack cocaine, methamphetamine, marijuana, and Oxycodone pills. Conviction of participation in the conspiracy carries a minimum mandatory sentence of five years to a maximum of forty years, a fine of up to $5,000,000.00 and up to four years supervised release.
Kendarious Gaither, 21, Quadarriaus Little, 20, Jermaine Davis, 33 and his wife, Clarissa Strong-Davis, 27, Shantrell Porter, 20 and Miquavious Flanigan, 25, all from Monroe, Georgia are charged in a fifteen count indictment alleging conspiracy to distribute cocaine base, also known as crack cocaine and marijuana, distribution of drugs and possession of firearms in furtherance of a drug crime. Conviction of participation in the conspiracy carries a minimum mandatory sentence of five years to a maximum sentence of forty years, a fine of up to $5,000,000.00 and supervised release of four years.
Devontae Durden, 23 and Darius O. Vinson, 22 from Monroe, Georgia are charged in a two-count indictment, alleging distribution of cocaine base, also known as crack cocaine and possession of a firearm in furtherance of a drug crime. Conviction of these charges carries a maximum sentence of twenty years, a fine of $1,000,000.00, supervised release of three years on Count One, followed by a consecutive sentence of five years minimum mandatory to Life, $250,000.00 and supervised release of 3 years on Count Two of the indictment.
Hunter, 45, from Monroe Georgia, was charged in a one count indictment of distribution of methamphetamine. Conviction of the charge carries a sentence of up to twenty years, a fine of $1,000,000.00 and 3 years supervised release.
Chauncey Brantley, 22 from Monroe, Georgia, was charged in a five-count indictment, alleging distribution of methamphetamine and possession of firearms in furtherance of a drug crime. Conviction of the charges carries a minimum sentence of 5 years to a maximum of forty years, $1,000,000.00 and supervised release of 3 years for the drug offenses, followed by consecutive sentence of a minimum mandatory sentence of five years to a maximum of life, $250,000.00 fine and 3 years supervised release for the firearms charges.
Jammahl Fewquay, 23, from Monroe, Georgia, was charged in a count one of an indictment with distribution of marijuana and in count two with possession of a firearm in furtherance of a drug crime. Conviction of count one carries a maximum sentence of five years, a fine of $250,000.00 and 1 year supervised release and count two of the indictment mandates a consecutive five years to life, $250,000.00 fine and 3 years supervised release.
Copies of the indictments are attached.
The arrests of the defendants were achieved with assistance and coordination with the FBI, Monroe Police Department, U.S. Marshals Service, Georgia Bureau of Investigation, Walton County, Barrow County and Gwinnett County Sheriffs’ Offices, the U. S. Drug Enforcement Administration, Georgia State Patrol , Georgia Department of Corrections, Georgia Department of Community Supervision, Athens-Clarke County and Norcross Police Departments and the investigators from the Alcovy Judicial Circuit District Attorney’s Office.
The charges contained in an indictment are merely accusations, and a defendant is presumed innocent unless and until proven guilty.
The case is being investigated by the FBI and the Monroe Police Department. Assistant U.S. Attorney Tamara Jarrett is prosecuting the case for the Government.
Questions concerning this case should be directed to Pamela Lightsey, Public Information Officer, United States Attorney’s Office, at (478) 621-2603.
Tulsa Man Sentenced to Time Served, $83,000 Restitution for Health Care FraudRead the Press Release
MUSKOGEE, OKLAHOMA – The United States Attorney’s Office for the Eastern District of Oklahoma announced that STEVEN WILLIAM DELIA, age 62, of Tulsa, Oklahoma, was sentenced to imprisonment, time served, 3 years supervised release, and ordered to pay $83,769.27 in restitution to the Oklahoma Health Care Authority for HEALTH CARE FRAUD, in violation of Title 18, United States Code, Section 1347.
The defendant was found guilty of Health Care Fraud by a federal trial jury on September 29, 2016. The Indictment alleged that beginning on February 1, 2010 and continuing through November 9, 2010, within the Eastern District of Oklahoma and elsewhere the defendant, knowingly and willfully, with the intent to defraud, devised and executed a scheme to defraud the Oklahoma Medicaid program by causing the filing of false claims and receiving Medicaid payments for medical services not rendered by a qualified medical professional.
The Information further alleged that on or about the February 1, 2010 and continuing through November 9, 2010 in the Eastern District of Oklahoma, the defendant, knowingly and willfully executed and attempted to execute the above-described scheme and artifice to defraud money and property owned by and under the custody and control of the Oklahoma Health Care Authority, a health benefit program as defined in Title 18, United States Code, Section 24(b), in connection with the payment for health care benefits, items and services.
In preparation for deployment to Afghanistan with the U.S. Army Reserves, the defendant pre-signed approximately 9,000 blank prescriptions for his unsupervised physician's assistant and nursing staff to disseminate Schedule II narcotics during his absence from the Delia Medical Clinic in Sallisaw, Oklahoma. A percentage of those office visits and prescriptions were billed to Medicaid, causing the filing of false claims and receiving Medicaid payments for medical services not rendered by a qualified medical professional.
The charge arose from an investigation by the Defense Criminal Investigative Service and the Department of Health and Human Services - Office of Inspector General. The Honorable James H. Payne, District Judge in the United States District Court for the Eastern District of Oklahoma, in Muskogee, presided over the sentencing. Assistant United States Attorney Melody Nelson represented the United States.
Three Correction Officers at Private Detention Facility for Federal Inmates Arrested for Taking Bribes to Smuggle Contraband into JailRead the Press Release
Joon H. Kim, the Acting United States Attorney for the Southern District of New York, announced today the unsealing of a Complaint in Manhattan federal court charging correction officers SAQUAN WILLIAMS a/k/a “Will,” JABAR ALLEN, and SHAWN PETTIGREW with taking bribes in exchange for smuggling contraband into a private detention facility in Queens, New York, which houses federal inmates pursuant to a contract with the United States Marshals Service (the “Jail”). PETTIGREW was arrested Tuesday night. WILLIAMS and ALLEN were arrested this morning.
Acting Manhattan U.S. Attorney Joon H. Kim said: “As alleged, these correction officers abused the public power entrusted to them by taking bribes to smuggle contraband, including drugs, into a jail that housed federal inmates. Corruption of those who work within our criminal justice system, including officers at a private detention facility, cannot be tolerated and must be rooted out, as it undermines the public faith in the system and betrays the trust of all fellow officers who dedicate themselves to the proper administration of justice.”
According to the allegations in the Complaint[1] unsealed today in Manhattan federal court:
WILLIAMS, ALLEN, and PETTIGREW are all correction officers at the Jail. As alleged, WILLIAMS, ALLEN, and PETTIGREW took bribes from numerous inmates at the Jail in exchange for smuggling contraband, including smokeable synthetic cannabinoids (“K2”), marijuana, alcohol, tobacco, and other items into the Jail for the inmates. The bribes were funneled to WILLIAMS, ALLEN, and PETTIGREW by non-incarcerated friends and relatives of the inmates either in cash or by wire transfer. For example, on at least three occasions in 2017, WILLIAMS received bribes from an inmate (“Inmate-1”) in exchange for smuggling K2, marijuana, and cigarettes into the Jail. On at least two occasions in 2016, ALLEN also took bribes from Inmate-1 in exchange for smuggling marijuana and cigarettes into the Jail. On approximately 10 occasions in 2017, PETTIGREW received bribes from an inmate (“Inmate-2”) in exchange for smuggling K2, marijuana, cigarettes, and cellular telephones into the Jail. ALLEN also took a bribe from Inmate-2 in exchange for smuggling, among other things, K2 into the Jail. When Inmate-2 later approached WILLIAMS about bribing him in exchange for contraband, WILLIAMS told Inmate-2 that WILLIAMS and ALLEN were on the “same team.” On Thanksgiving Day 2016, WILLIAMS, after losing a bet with another inmate, agreed to smuggle marijuana, cigarettes, and alcohol into the Jail. WILLIAMS met with an inmate’s non-incarcerated friend near the Jail during one of WILLIAMS’s breaks from work to pick up the contraband, which he then smuggled into the Jail approximately one week later.
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SAQUAN WILLIAMS, 34, of Queens, New York, JABAR ALLEN, 26, of Queens, New York, and SHAWN PETTIGREW, 31, of Queens, New York, have each been charged in the Complaint with one count of conspiracy to commit bribery and to introduce contraband into prison, which carries a maximum prison term of five years, and one count of bribery, which carries a maximum prison term of 15 years.
Mr. Kim thanks the Department of Justice’s Office of the Inspector General, for their assistance in the investigation.
This case is being handled by the Office’s Public Corruption Unit. Assistant U.S. Attorneys Thomas McKay and Max Nicholas are in charge of the prosecution.
[1] As the introductory phrase signifies, the entirety of the text of the Complaint and the description of the Complaint set forth herein constitute only allegations, and every fact described should be treated as an allegation.
Texas Man Sentenced to Prison for Federal Drug Trafficking Conviction in New MexicoRead the Press Release
ALBUQUERQUE – Marc Wren, 49, of Odessa, Texas, was sentenced today in federal court in Albuquerque, N.M., to 87 months in prison followed by four years of supervised release for his methamphetamine trafficking conviction.
Wren was charged by a criminal complaint filed on April 20, 2016, with possession of methamphetamine with intent to distribute on March 26, 2016, in Bernalillo County, N.M. Wren subsequently was indicted on that same charge on May 10, 2016.
According to court documents, Wren was arrested following a traffic stop after law enforcement officers determined that there was an outstanding arrest warrant for him in Texas. During a search incident to the arrest, the officers learned that Wren was in possession of approximately 107.6 grams of methamphetamine, which Wren had concealed in his pant leg.
On May 30, 2017, Wren pled guilty to the indictment and admitted that on March 26, 2016, he was in possession of methamphetamine, which he intended to distribute to others.
This case was investigated by the Albuquerque office of the DEA and the Bernalillo County Sheriff’s Office and was prosecuted by Assistant U.S. Attorney Letitia C. Simms.
Suffolk Man Pleads Guilty to Terrorism ChargesRead the Press Release
NORFOLK, Va. – A Suffolk man pleaded guilty today to attempting to provide material support to the Islamic State of Iraq and al-Sham (ISIS), a designated foreign terrorist organization.
According to the statement of facts filed with the plea agreement, Lionel Williams, 27, attempted to send money to a person he believed was an ISIS financier on two occasions, believing the money would be used to kill. In court documents, Williams admitted his interest in ISIS began in 2014. On Dec. 3, 2015, the day after the San Bernardino terrorist attack, he bought an AK-47 assault rifle. In March 2016, he publicly declared his support for ISIS on social media, described his hope that ISIS would take over the United States, and stated he would decapitate any law enforcement agents he caught surveilling him. After donating money to an individual he believed to be an ISIS financier - but was actually a persona adopted by an FBI employee - Williams was told his donation had helped purchase a rocket-propelled grenade. He responded with an Arabic phrase meaning, “Praise be to Allah, and Allah is the Greatest.” Later in 2016, Williams began discussing plans for a martyrdom operation with a woman living outside the United States, asked an FBI confidential source to send him specific types of AK-47 ammunition, and told an FBI employee that his plan was for a “local” operation. Williams was arrested and charged shortly thereafter. After his arrest, he told agents he supported ISIS and believed he was part of a “holy war.”
As part of the plea agreement, Williams agreed that he will receive the statutory maximum of 20 years in prison when sentenced on December 20.
Dana J. Boente, Acting Assistant Attorney General for National Security and U.S. Attorney for the Eastern District of Virginia, Martin Culbreth, Special Agent in Charge of the FBI’s Norfolk Field Office, and Thomas E. Bennett, Chief of Suffolk Police, made the announcement after U.S. District Judge Arenda Wright Allen accepted the plea. Assistant U.S. Attorneys Joseph E. DePadilla and Andrew C. Bosse, and Trial Attorneys Alicia H. Cook and Joshua D. Champagne of the National Security Division’s Counterterrorism Section are prosecuting the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information is located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 2:17-cr-1.
St. Louis Man Sentenced on Social Security Fraud ChargesRead the Press Release
St. Louis, MO – Lawrence Jerel Higgins, 29, St. Louis, MO, was sentenced to 54 months in prison on multiple charges of using social security numbers of others to conceal his criminal history while obtaining employment with information technology companies.
According to court documents, Higgins had been convicted of fraud prior to January 16, 2016. In order to conceal his criminal history from prospective employers, Higgins used fictitious social security numbers as well as the social security number and date of birth of his brother to obtain employment with two information technology (IT) companies.
As early as January 16, 2016, Higgins used his brother’s social security number and date of birth to obtain employment with an IT company. Since he and his brother have similar names, Higgins use of his brother’s identifying information concealed Higgins’ criminal history in the company’s routine background check. Higgins also used a social security card with his brother’s number to fulfill the federal government’s employment verification requirements. During his employment, the company had problems using the identifying information Higgins provided. Higgins responded to their queries by falsely claiming that he made a mistake when he wrote the number ending in 8776, and his number ended in 8777. When a problem arose with the new number, Higgins made another false statement saying that his number ended in 8775 rather than 8776 or 8777. Higgins failed to return to work after providing the third social security number.
After abandoning the first employment, Higgins applied with another IT company using the number ending in 8775. After they offered him employment, Higgins claimed that he had mistakenly used the wrong number on his application. Since the background checks was based upon the false information, the second employer was unaware of Higgins’ criminal history.
Lawrence Jerel Higgins pled guilty in April to four counts of social security fraud and three counts of aggravated identity theft. He appeared today for sentencing United States District Judge Catherine D. Perry.
This case was investigated by the Social Security Administration Office of Inspector General. Assistant United States Attorney Tracy Berry handled the case for the U.S. Attorney’s Office.
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South Jersey Postal Service Employee and Three Others Charged with Fraud Involving Stolen Blank Postal Money OrdersRead the Press Release
CAMDEN, N.J. – A U.S. Postal Service (USPS) employee and three others were charged in connection with a $100,000 fraud involving numerous stolen blank money orders, Acting U.S. Attorney William E. Fitzpatrick announced today.
Marc Saunders, 39, of Sicklerville, New Jersey, is charged by complaint with stealing a money order imprinting machine and over 180 blank USPS money orders and defrauding the USPS by presenting them and providing them to others, knowing that they were issued unlawfully.
Anthony J. Bell, 38, Andre M. Sutton, 39, both of Philadelphia, and Eugene J. Bowen, 35, of Knoxville, Tennessee, are charged by complaint with defrauding the USPS by presenting the stolen money orders and providing them to others, knowing that they were issued unlawfully.
Saunders, Bell, and Sutton were arrested today and will appear this afternoon before U.S. Magistrate Judge Joel Schneider in Camden federal court. Bowen is still at large.
According to the complaints:
In 2014, Saunders worked at the New Lisbon, New Jersey, USPS branch. In late 2016, law enforcement learned that a money order imprinting machine and more than 180 blank money orders previously issued to that branch were missing. Beginning in 2015, some of the stolen blank money orders surfaced after having been imprinted with dollar amounts and cashed at different USPS branches in the Philadelphia area. About 130 of those stolen money orders were cashed through the end of 2016.
The investigation uncovered alleged links between people who cashed some of those money orders and middlemen Bell, Bowen, and Sutton, and links between the middlemen and Saunders. Saunders was linked to the middlemen through Facebook posts, telephone records, and other evidence. A number of the stolen money orders were cashed in the Knoxville area right after Bowen visited Saunders in New Jersey and returned to Tennessee.
The count of stealing a money order imprinting machine and blank postal money orders carries a maximum penalty of 10 years in prison and a $250,000 fine. The count of defrauding the USPS carries a maximum penalty of five years in prison and a $250,000 fine.
Acting U.S. Attorney Fitzpatrick credited special agents of the U.S. Postal Service, Office of the Inspector General, under the direction of Special Agent in Charge Monica Weyler, with the investigation.
The government is represented by Assistant U.S. Attorney Howard Wiener of the U.S. Attorney’s Office Criminal Division in Camden.
Sex Trafficking Defendants Plea Guilty in Federal CourtRead the Press Release
OXFORD, Miss. – Acting United States Attorney Robert H. Norman and Christopher Freeze, Special Agent in Charge at the Federal Bureau of Investigation announced today that Ricky Robertson a.k.a. “Slick Rick” and Ladarius Jackson, a.k.a. “Dee Don” entered pleas of guilty today on sex trafficking charges before Chief U.S. District Judge Sharion Aycock in Aberdeen, Mississippi. Robertson entered a guilty plea on Count One of the Indictment – Sex Trafficking Conspiracy – in violation of Title 18 United States Code Section 1594(c) and faces a maximum of life in prison, up to a $250,000 fine, and not more than five (5) years supervised release. The prosecution agreed to recommend that the sentence not exceed twenty (20) years in prison, subject to acceptance by the Court. Jackson entered a guilty plea to Count Three of the Indictment – Travelling in Interstate Commerce to Engage in Prostitution – in violation of Title 18, United States Code Section 2421. Jackson faces a maximum of ten (10) years in prison, up to a $250,000 fine and up to three (3) years supervised release. Both Robertson and Jackson admitted to transporting prostitutes from Memphis, Tennessee to Oxford, Mississippi in order to engage in commercial sex acts. Robertson admitted to trafficking the prostitutes through fraud and coercion by controlling the money they earned from commercial sex.
Robertson and Jackson are currently scheduled to be sentenced on December 6, 2017 in U.S. District Court in Aberdeen, Mississippi.
"Human trafficking is modern day slavery, and will not be tolerated in Mississippi," said Christopher Freeze, Special Agent in Charge of the FBI in Mississippi. "Human trafficking is believed to be the third largest criminal activity in the world. We will continually seek out those who traffic women, children and the underprivileged for illicit gain. We appreciate the strong partnerships with local and state law enforcement that make cases like this successful."
“As with any major case that comes through our area we are always grateful for the partnerships we have with the Lafayette County Sherriff’s Office, our U.S. Attorney and the FBI. Most importantly I am proud that we were all able to work together to solve this case. Human trafficking is a serious problem and we want to make sure would-be criminals know we will not tolerate it in our area.” - Joey East, Chief of Police.
This matter is being prosecuted by the United States Attorney’s Office for the Northern District of Mississippi and investigated by the Federal Bureau of Investigation, the Oxford Police Department and the Lafayette County Sheriff’s Department.
Seven Aliens Indicted on Illegal Reentry Charges and Illegal Possession of FirearmRead the Press Release
RALEIGH – John Stuart Bruce, United States Attorney for the Eastern District of North Carolina, announces that a federal grand jury in Raleigh has returned indictments charging LUIS FERNANDO CANO-ACOSTA, age 40, of Mexico, DAVID LOPEZ-DIAZ, 26, of Mexico, GABRIEL MELO-CANALES, age 37, of Mexico, MARIO MENDOZA-CANO, age 44, of Mexico, BRYAN ARIEL VELASQUEZ-FUENTES, age 26, of Honduras, and LUIS LAURO ZAMORA-ESPIRIQUETA, age 52, of Mexico, with Illegal Reentry of a Deported Alien.
Additionally, a federal grand jury in Raleigh has returned an indictment charging ERICK GALEANA-PIEDRA, age 27, of Mexico, with Illegal and Unlawful Alien in Possession of a Firearm.
If convicted of Illegal Reentry of a Deported Alien, CANO-ACOSTA, found in Wake County, LOPEZ-DIAZ, found in New Hanover County, MELO-CANALES, found in New Hanover County, VELASQUEZ-FUENTES, found in Wake County, and ZAMORA-ESPIRIQUETA, found in Wake County, would face maximum penalties of two years’ imprisonment, a $250,000 fine, and a term of supervised release following any term of imprisonment.
MENDOZA-CANO, found in New Hanover County, is alleged to have been previously deported subsequent to an aggravated felony conviction (possession with intent to sell or deliver cocaine). Therefore, if convicted, he would face a maximum imprisonment term of 20 years, a $250,000 fine, and a term of supervised release following any term of imprisonment.
If convicted of Illegal and Unlawful Alien in Possession of a Firearm, GALEANA-PIEDRA, found in Johnston County, would face maximum penalties of ten years’ imprisonment, a $250,000 fine, and a term of supervised release following any term of imprisonment.
The charges and allegations contained in the indictments are merely accusations. The defendants are presumed innocent unless and until proven guilty in a court of law.
The cases are being investigated by ICE’s Enforcement Removal Operations and Homeland Security Investigations.
Rhode Island Physicians Group Employee Indicted on Extortion ChargesRead the Press Release
Randy Lutz Indictment PROVIDENCE – Randy Lutz, 35, of Providence, a former employee of a non-profit physicians group located in Providence, R.I., was indicted by a federal grand jury on Tuesday on charges that he allegedly demanded $25,000 in extortion payments for the return of digital media devices onto which he downloaded and took home private patient data and employee data belonging to the physicians group, without the knowledge and authorization of the physicians group.It is alleged in the indictment that Lutz’s extortion demands were made in a series of emails, text messages and telephone calls to executives, board members and employees of the physicians group after his employment with the physicians group was terminated on May 3, 2017.
The indictment of Randy Lutz is announced by Acting United States Attorney Stephen G. Dambruch and Harold H. Shaw, Special Agent in Charge of the Federal Bureau of Investigation Boston Division.
On July 20, 2017, during an investigation by the FBI and the United States Attorney’s Office into this matter, FBI agents and FBI Task Force officers executed a court authorized search of Lutz’s residence. During the search, several thumb drives, a laptop computer and cell phone were seized. Some of the devices allegedly contained private patient data and employee data belonging to the physicians group.
According to information presented to the court, it is alleged that after the search of Lutz’s residence was completed and members of law enforcement left the residence, Lutz telephoned an officer of the physicians group and emailed a high-ranking officer at Lifespan to further discuss the matter.
An indictment is merely an allegation and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
Lutz was charged in this matter by way of a federal criminal complaint on July 24, 2017.
The case is being prosecuted by Assistant U.S. Attorney Terrence P. Donnelly.
Acting United States Attorney Stephen G. Dambruch and Harold H. Shaw, Special Agent in Charge of the Federal Bureau of Investigation Boston Division acknowledge and thank the Providence Police Department for their assistance in the investigation of this matter.
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Rachel Yasser to Lead the District of Maryland’s Opioid-Related Healthcare Fraud UnitRead the Press Release
FOR IMMEDIATE RELEASE Contact ELIZABETH MORSE
www.justice.gov/usao/md at (410) 209-4885
Baltimore, Maryland –Acting United States Attorney for the District of Maryland Stephen M. Schenning announces the appointment of Rachel Yasser to lead the District’s project targeting opioid-related health care fraud. Yasser, 38, graduated from Columbia University in 2001 and Northwestern School of Law in 2004. She has been an Assistant U.S. Attorney in Maryland since 2008.
On August 2, 2017, Attorney General Jeff Sessions announced the formation of the Opioid Fraud and Abuse Detection Unit, a new Department of Justice pilot program to attack the opioid crisis that has ravaged communities across the country and has led to an epidemic of fatal overdoses. The unit will use data on the manufacture, delivery and sale of prescription medications to identify persons, including doctors, medical professionals and pharmacists, who further the opioid epidemic for financial gain. These individuals will be targeted for healthcare fraud and other federal charges.
As part of the program, the Department of Justice is funding twelve experienced prosecutors nation-wide who will focus exclusively on investigating and prosecuting healthcare fraud related to prescription opioids, including pill mill schemes and pharmacies that unlawfully divert or dispense prescription opioids. Maryland was one of twelve federal Districts selected to participate in the program.
In 2010, Maryland public health officials reported that 504 people had died from heroin or opioid overdoses. By 2015, that number had more than doubled, with 1089 people dead from heroin and/or opioid overdoses. These 1089 lost lives do not represent the totality of the problem, as many more persons suffer non-fatal overdoses. Additionally, for every life lost to heroin or opioid abuse, the families and communities of those lost are also impacted. The heroin/opioid problem is among the greatest, and most rapidly increasing, public health and criminal justice problems facing Maryland today.
As head of the Maryland program, Yasser will coordinate with investigators from the FBI, DEA and HHS, as well as state and local agencies, to analyze data that discloses which physicians are prescribing, and which pharmacies are dispensing, unusually large quantities of opioids. The data can also be analyzed to disclose other patterns, such as the number of physicians’ patients that have died within 60 days of an opioid prescription, the average age of patients receiving opioid prescriptions, and the geographical distribution of patients’ residences. The costs for these opioids are often charged to insurance companies or federally funded health insurance programs, charges that are fraudulent if the prescriptions lack medical justification.
The opioid epidemic encompasses not only prescription drug abuse but also increased use of drugs that were never in the legitimate medical supply system, such as heroin and imported fentanyl. According to data from the DEA, the explosion in the of use of heroin and fentanyl is closely related to the prescription drug abuse problem. The DEA reports that 80% of heroin addiction starts with prescription drug addiction. People addicted to prescription opioids such as Percocet or OxyContin often move on to heroin and fentanyl, which are less expensive and more potent. Doctor-run “pill mills” and pharmacies that are unlawfully diverting and dispensing prescription opioids manufacture the next generation of heroin and fentanyl users.
By focusing on opioid-related healthcare fraud, Yasser and her team of investigators and prosecutors will attack the root cause of the opioid epidemic in the District of Maryland.
Pleasants County man admits to selling methamphetamineRead the Press Release
CLARKSBURG, WEST VIRGINIA – A St. Marys, West Virginia man pled guilty today to a methamphetamine distribution charge, Acting United States Attorney Betsy Steinfeld Jividen announced.
Dale Wesley Jenkins, Jr., also known as Buddy, age 56, pled guilty to one count of “Distribution of Methamphetamine.” Jenkins admitted to selling methamphetamine in November 2016 in Pleasants County, West Virginia.
Jenkins faces up to 20 years incarceration and a fine of up to $1,000,000. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.Assistant U.S. Attorney Stephen D. Warner prosecuted the case on behalf of the government. The West Virginia State Police and the Pleasants County Sheriff’s Office investigated.
U.S. Magistrate Judge John Michael Aloi presided.
Pittsburgh Felon Charged with Illegally Possessing a GunRead the Press Release
PITTSBURGH – One resident of Pittsburgh, Pennsylvania, has been indicted by a federal grand jury in Pittsburgh on a violation of the federal firearms laws, Acting United States Attorney Soo C. Song announced today.
The one-count indictment named Melvin Russaw, age 35.
According to the Indictment, on or about June 6, 2017, Russaw illegally possessed a firearm. Russaw has previously been convicted of a felony and is prohibited from possessing a firearm.
For possessing a firearm as a convicted felon, the law provides for a maximum sentence of up to ten (10) years in prison, a fine of up to $250,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offense and the prior criminal history of the defendant.
This case is being prosecuted under Project Safe Neighborhoods, a collaborative effort by federal, state and local law enforcement agencies, prosecutors and communities to prevent, deter and prosecute gun crime.
The Bureau of Alcohol, Tobacco, Firearms and Explosives, and the Pittsburgh Bureau of Police conducted the investigation leading to the indictment in this case. Assistant United States Attorney Timothy Lanni is prosecuting this case on behalf of the government.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Pennsylvania Man Gets 90 Months in Prison for Trafficking Guns into South JerseyRead the Press Release
CAMDEN, N.J. – A Carbon County, Pennsylvania, man was sentenced today to 90 months in prison for conspiring to illegally traffic over 20 firearms – including assault rifles and other high-capacity weapons – into the Camden area, Acting U.S. Attorney William E. Fitzpatrick announced.
Darnel Johns, 49, of Albrightsville, Pennsylvania, previously pleaded guilty before U.S. District Judge Robert B. Kugler to an information charging him with one count of conspiracy to deal in firearms without a federal firearms license and one count of possession of firearms by a convicted felon. Judge Kugler imposed the sentence today in Camden federal court.
According to documents filed in this and related cases and statements made in court:
Johns admitted that in the Fall and Winter of 2014, he conspired with co-defendant David Potts, 45, of Camden, to illegally sell at least 22 guns. The firearms included a sawed-off shotgun, multiple high-capacity assault-style rifles, and a high-capacity assault-style pistol with a 30-round magazine. Several of the firearms were stolen and had obliterated serial numbers.
In addition to the prison term, Judge Kugler sentenced Johns to three years of supervised release.
Potts previously pleaded guilty to his role in the conspiracy and was sentenced on April 10, 2017 to 121 months in prison.
Acting U.S. Attorney Fitzpatrick credited special agents of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), under the direction of Special Agent in Charge John B. Devito, Newark Field Division, and Essam Rabadi, Special Agent in Charge of ATF’s Philadelphia Field Division, with the investigation. He additionally credited special agents of the Drug Enforcement Administration, Camden Resident Office, under the direction of Special Agent in Charge Carl J. Kotowski; the ATF Charlotte Field Division under the direction of Special Agent in Charge C. J. Hyman; investigators with the Camden County Prosecutor’s Office, under the direction of Prosecutor Mary Eva Colalillo; detectives of the Camden County Police Department, under the direction of Chief Scott J. Thomson; the Newark Division of Public Safety’s Ballistics Laboratory; and the Bergen County Sheriff’s Office Ballistics Laboratory, with the investigation.
He additionally credited the U.S. Marshals Service, under the direction of U.S. Marshal Juan Mattos, Jr.; investigators under the Camden High Intensity Drug Trafficking Area; the New Jersey State Police’s Metro South Unit, under the direction of Superintendent Col. Rick Fuentes; the New Jersey State Parole Board, under the direction of Chairman James T. Plousis; the Camden County Sheriff’s Office, under the direction of Sheriff Gilbert L. Wilson; and the Cherry Hill, Pennsauken and Maple Shade Police Departments.
The government is represented by Assistant U.S. Attorney Sara A. Aliabadi of the U.S. Attorney’s Office Criminal Division in Camden.
This investigation was coordinated through the Camden County Crime Collaboration (“C-4”). Every federal, state and local law enforcement agency and prosecutor’s office responsible for combating drug trafficking, gang activity and violent crime in Camden has come together in one location to share intelligence, develop strategies and support the investigative and prosecutorial efforts of its partners. C-4 has merged the individual missions of the various law enforcement agencies into a single strategic attack on drug trafficking and drug-related violent crime. Such intense coordination greatly enhances the law enforcement community’s ability to correctly identify and successfully prosecute Camden’s most dangerous criminals.
Defense counsel: Thomas Young Esq., Assistant Federal Defender, Philadelphia
Pawtucket Resident Indicted on Heroin Trafficking, Firearm ChargesRead the Press Release
PROVIDENCE – A federal grand jury in Providence returned a 15-count indictment charging Leoner J. Leonardo, 21, of Pawtucket, with conspiracy, trafficking heroin, possession of a firearm in furtherance of drug trafficking, possession of a firearm with an obliterated serial number; and being a felon in possession of a firearm.
An investigation into Leonardo’s alleged drug trafficking activities was launched by the Pawtucket Police Department as the result of citizen complaints of alleged drug trafficking in the neighborhood in which Leonardo resided.
The indictment, returned on Tuesday, is announced by Acting United States Attorney Stephen G. Dambruch; Pawtucket Acting Police Chief Tina Goncalves; Michael J. Ferguson, Special Agent in Charge of the Drug Enforcement Administration’s (DEA) New England Field Division.; and Mickey D. Leadingham, Special Agent in Charge of the Boston Field Division of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF).
It is alleged that on at least 10 occasions between June 2 and July 7, 2017, during an investigation into Leonardo’s alleged drug trafficking activities, an undercover law enforcement officer made purchases of between 6.5 and .67 grams of heroin from Leonardo.
On July 11, 2017, Pawtucket Police along with task force officers from the DEA and ATF executed a court authorized search of Leonardo’s residence and seized nearly 19 grams of heroin, various items used in the packaging and distribution of heroin, $113 in cash, and a loaded .25 caliber hand gun with the safety lever off and the hammer cocked back ready to use. The serial number on the firearm had been obliterated.
According to court records, Leonardo has two previous convictions in Rhode Island state court for drug offenses.
An indictment is merely an allegation and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
The case is being prosecuted by Assistant U.S. Attorney Ronald R. Gendron.
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Orange County Man Guilty of West Orange Drug TraffickingRead the Press Release
BEAUMONT, Texas – A 36-year-old Vidor, Texas man has pleaded guilty to federal drug trafficking violations in the Eastern District of Texas, announced Acting U.S. Attorney Brit Featherston today.
Jonathan Derick Hickey pleaded guilty to possession with intent to distribute methamphetamine today before U.S. Magistrate Judge Keith Giblin.
According to information presented in court, on Jan. 17, 2017, law enforcement officers observed Hickey meet with the driver of another vehicle in the parking lot of the Wal-Mart in West Orange, Texas and then move to the Wendy’s parking lot. Deputies observed what they believed to be a drug transaction between the two drivers. The driver of the other vehicle was pulled over and a drug dog was called to the scene. The dog gave a positive alert signifying there were illegal drugs in the vehicle. A search revealed approximately one ounce of methamphetamine in the console. The driver advised that he had just received the methamphetamine from Hickey and that Hickey had another eight ounces of marijuana in his vehicle. Hickey was then stopped and a search of the vehicle revealed cash, a meth pipe, approximately 12 ounces of methamphetamine, marijuana and other pills. A search a Hickey’s residence in Vidor also revealed a firearm and additional drug paraphernalia. Hickey was indicted by a federal grand jury on Apr. 5, 2017.
Under federal statutes, Hickey faces a minimum of 10 years and up to life in federal prison at sentencing. The maximum statutory sentence prescribed by Congress is provided here for information purposes, as the sentencing 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 U.S. Probation Office.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Orange County Sheriff’s Office and prosecuted by Assistant U.S. Attorney Michelle S. Englade.
Operation “REAL-TIME”: Anderson Man Enters Guilty Plea in Federal Court on Firearms and Ammunition ChargesRead the Press Release
Columbia, South Carolina ---- United States Attorney Beth Drake stated today that Elijah Muhammad Davis-Barton, age 23, of Anderson, pled guilty in federal court in Greenville to felon in possession of a firearm and ammunition. United States District Judge Bruce H. Hendricks accepted the plea and will impose sentence after United States Probation prepares a pre-sentence report. Davis-Barton faces a statutory maximum sentence of 10 years in federal prison.
Evidence presented at the change of plea hearing established that on March 28, 2017, a deputy with the Anderson County Sheriff’s Office (ACSO) conducted a traffic stop on a car driven by Davis-Barton. During the stop, after Davis-Barton told law enforcement that there was a firearm in the center console of the vehicle, ACSO recovered a loaded Lorcin .380 caliber pistol with an unidentifiable serial number from the center console. Davis-Barton, prior to his possession of the loaded pistol, had previously been convicted of crimes prohibiting him from possessing firearms or ammunition.
Davis-Barton’s case was expedited for federal prosecution pursuant to “Operation Real-Time.” The goal of this program is to identify individuals for federal prosecution with significant criminal histories who continue to actively possess firearms in the Upstate community. In addition to ACSO and ATF, Real Time’s core partners include the Greenville Police Department, the Greenville County Sheriff’s Office, the Anderson Police Department, the South Carolina Department of Probation, Parole, and Pardon Services, the South Carolina Highway Patrol, United States Probation, the Department of Homeland Security, FBI, DEA, , the 13th Circuit Solicitor’s Office, 10th Circuit Solicitor’s Office, 7th Circuit Solicitor’s Office, and the U.S. Attorney’s Office. Since August of 2015, the initiative has resulted in the expedited federal prosecution of over 120 defendants and seizure of over 160 firearms as well as assorted ammunition from prohibited persons.
U.S. Attorney Beth Drake commended the partnership between the state and federal agencies that led to the Bureau of Alcohol, Tobacco and Firearms and the U.S. Attorney’s Office adopting the case, “We work best when we work together. This ‘real time’ identification of high risk offenders is smart policing, and we welcome the opportunity to work alongside our state chiefs and sheriffs in taking violent repeat offenders out of our communities.”
The Anderson County Sheriff’s Office along with the ATF investigated the case. Assistant United States Attorney Max Cauthen is prosecuting the case.
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Operation “REAL-TIME”: Anderson Felon Enters Guilty Plea in Federal Court on Gun ChargesRead the Press Release
Columbia, South Carolina ---- United States Attorney Beth Drake stated today that Tyler Scott Gurley, age 26, of Anderson, pled guilty in federal court in Greenville to felon in possession of a firearm. United States District Judge Bruce H. Hendricks accepted the plea and will impose sentence after United States Probation prepares a pre-sentence report. Gurley faces a statutory maximum sentence of 10 years in federal prison.
Evidence presented at the change of plea hearing established that on January 11, 2017, a deputy with the Anderson County Sheriff’s Office (ACSO) conducted a traffic stop on a car driven by Gurley. A subsequent search of the vehicle resulted in the seizure of a Glock 9mm caliber pistol along with a clear, crystal like substance that field-tested positive for methamphetamine. Gurley told ACSO that the suspected methamphetamine and the pistol belonged to him.
Gurley was arrested federally as part of “Operation Real-Time.” The goal of this program is to identify individuals for federal prosecution with significant criminal histories who continue to actively possess firearms in the Upstate community. In addition to ACSO and ATF, Real Time’s core partners include the Greenville Police Department, the Greenville County Sheriff’s Office, the Anderson Police Department, the South Carolina Department of Probation, Parole, and Pardon Services, the South Carolina Highway Patrol, United States Probation, the Department of Homeland Security, FBI, DEA, the 13th Circuit Solicitor’s Office, the 10th Circuit Solicitor’s Office, the 7th Circuit Solicitor’s Office, and the U.S. Attorney’s Office. Since August of 2015, the initiative has resulted in the expedited federal prosecution of over 120 defendants and seizure of over 160 firearms as well as assorted ammunition from prohibited persons.
U.S. Attorney Beth Drake commended the partnership between the state and federal agencies that led to the Bureau of Alcohol, Tobacco and Firearms and the U.S. Attorney’s Office adopting the case, “We work best when we work together. This ‘real time’ identification of high risk offenders is smart policing, and we welcome the opportunity to work alongside our state chiefs and sheriffs in taking violent repeat offenders out of our communities.”
The Anderson County Sheriff’s Office and ATF investigated the case. Assistant United States Attorney Max Cauthen is prosecuting the case.
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Nigerian Man Sentenced to Prison for Hacking and Fraud SchemeRead the Press Release
UTICA, NEW YORK – Obinna Obioha, age 31, and a citizen of Nigeria, was sentenced today to serve 51 months in prison for operating a fraud scheme that stole millions of dollars from businesses in the United States and other countries.
The announcement was made by Acting United States Attorney Grant C. Jaquith and Vadim D. Thomas, Special Agent in Charge of the Albany Field Office of the Federal Bureau of Investigation.
“Obioha, working from Nigeria, was a central figure in a fraud scheme using digital disguises and deceit to bilk businesses out of millions of dollars. We will continue to track down and bring to justice cyber criminals like Obioha no matter where they operate. I thank the FBI for its terrific work in this case identifying and apprehending Obioha,” said Acting United States Attorney Grant C. Jaquith.
FBI Special Agent in Charge Vadim D. Thomas said: “These schemes can rob individuals and businesses of their livelihood. Cyber-crime is a serious threat and the FBI is prepared to go to any lengths to apprehend those like Obioha.”
As part of his guilty plea to wire fraud in April 2017, Obioha admitted that, while in Nigeria, he worked with and instructed others to hack into computers and email accounts used by dozens of victims in the United States and around the world. The organization infiltrated victims’ computers and email accounts using malicious software (“malware”). After monitoring victims’ information to identify imminent commercial transactions, Obioha and his associates created knockoff email addresses that appeared similar to – but varied slightly from – victims’ legitimate email addresses.
Obioha and his associates used those bogus email accounts to send fraudulent invoices to victims, instructing them to wire funds to bank accounts controlled by Obioha and his associates, under the pretense that the wires were payments for actual deals that had been previously negotiated by the victims. Obioha admitted that between January and September 2016, he was involved in at least 50 wire transfers, and that about $6.5 million was sent by wire to bank accounts that he and his associates controlled. The accounts received money from fraud victims in New York, Florida, Illinois, Ohio, and Texas, among other places.
During today’s sentencing, U.S. District Judge Donald N. Hurd described Obioha as “right in the middle of the action” in “very sophisticated criminal activity” designed to achieve “millions of dollars in illegal funds.”
Obioha was arrested on October 6, 2016, after flying from Lagos, Nigeria, to JFK International Airport. He has been in custody since that time.
This case was investigated by the FBI and prosecuted by Assistant U.S. Attorney Wayne A. Myers.
To learn how to avoid becoming a victim of a business email compromise scheme, please visit this FBI resource page: https://www.fbi.gov/news/stories/business-e-mail-compromise-on-the-rise.
New Orleans Meth Dealer Sentenced to 8 Years ImprisonmentRead the Press Release
Acting U.S. Attorney Duane A. Evans announced that ROBERT CASE, age 47, of New Orleans, was sentenced today after previously pleading guilty to conspiracy to distribute and to possess with the intent to distribute five hundred (500) grams or more of a mixture or substance containing a detectable amount of methamphetamine.
U.S. District Judge Kurt D. Engelhardt sentenced CASE to 100 months imprisonment, followed by 5 years of supervised release.
According to court documents, CASE was arrested on January 9, 2015 when a United States Postal Inspector intercepted two packages sent through the Postal Service found to contain methamphetamine. The Inspector posed as a letter carrier to deliver the packages to the suspect’s uptown apartments and then executed a search warrant on the residence, finding additional drugs and drug paraphernalia.
Acting U.S. Attorney Evans praised the work of the United States Postal Inspection Service and the Drug Enforcement Administration for investigating this matter. Assistant United States Attorneys James S. C. Baehr, Matthew Payne and Special Assistant United States Attorney Ryan McLaren were in charge of the prosecution.
Mexican Citizen Arrested in Saratoga Springs, NY Sentenced for Illegal Re-entryRead the Press Release
ALBANY, NEW YORK – Arturo Guzman-Martinez, 23, of Mexico, was sentenced today to time served (63 days in jail), for illegally re-entering the United States.
The announcement was made by Acting United States Attorney Grant C. Jaquith and Immigration and Customs Enforcement (ICE), Enforcement and Removal Operations (ERO), acting Field Office Director Thomas P. Brophy, Buffalo, New York Field Office.
As part of his guilty plea, Guzman-Martinez admitted that he was an alien, a citizen of Mexico, and that he illegally returned to the United States after he was removed to Mexico on September 18, 2015.
On June 14, 2017, Guzman-Martinez was encountered and arrested by ICE officers in Saratoga Springs, New York.
Following the sentencing, Guzman-Martinez was remanded to the custody of the Department of Homeland Security, which will place him into removal proceedings.
The case was investigated by United States Immigration and Customs Enforcement, Albany, NY, and prosecuted by Assistant U.S. Attorney Edward P. Grogan.
Men indicted for robbing banks in Summit County this summerRead the Press Release
Two men were indicted for allegedly robbing banks in Summit County this summer, said Acting U.S. Attorney David A. Sierleja and FBI Special Agent in Charge Stephen D. Anthony.
A federal grand jury returned a three-count indictment charging Jacob K. Onusic, 23, of Barberton, and Devonne Jacobs, 23, of Akron, with bank robbery.
Onusic, robbed the PNC Bank in Tallmadge, Ohio on June 23, according to the indictment.
Onusic robbed the Fifth Third Bank in Fairlawn on June 28, according to the indictment.
Onusic and Jacobs robbed the Fifth Third Bank in Stow on July 8, according to the indictment.
If convicted, the defendants’ sentences will be determined by the Court after review of factors unique to this case, including the defendant’s prior criminal record, if any, the defendant’s role in the offense and the characteristics of the violations. In all cases, the sentence will not exceed the statutory maximum and, in most cases, it will be less than the maximum.
The investigation preceding the indictment was conducted by the Federal Bureau of Investigation, the Tallmadge Police Dept., the Fairlawn Police Dept., the Stow Police Dept., and the Akron Police Depart. The matter is being prosecuted by Assistant U.S Attorney David M. Toepfer.
An indictment is only a charge and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
Member of Newark’s ‘South Side Cartel’ Gang Gets 315 Months in Prison for Racketeering, Carjacking, Robbery and Drug ChargesRead the Press Release
NEWARK, N.J. – A Newark man was sentenced today to 315 months in prison for his role in a violent and long-running racketeering conspiracy perpetuated by the “South Side Cartel,” a set of the Bloods Street gang based in Newark, Acting U.S. Attorney William E. Fitzpatrick announced.
Malik Lowery, a/k/a “Leek,” 36, previously pleaded guilty before U.S. District Judge Esther Salas to multiple counts of a second superseding indictment charging him with racketeering, racketeering conspiracy, carjacking, Hobbs Act Robbery and conspiracy to distribute, and to possess with intent to distribute, one kilogram or more of heroin and 280 grams or more of crack cocaine. Judge Salas imposed the sentence today in Newark federal court.
According to documents filed in this case and statements made in court:
As part of the racketeering charges, Lowery admitted his role in the Oct. 20, 2007 murder of a member of the South Side Cartel that took place on Bragaw Avenue in Newark. Lowery also admitted to committing an armed carjacking with fellow South Side Cartel members on Jan. 3, 2008 and to the robbery of a drug dealer on Feb. 3, 2008, among other acts.
Originally a neighborhood-based gang whose main activities were selling drugs and committing violent acts to aid the drug trafficking business, many of the gang's members were officially brought into the Bloods gang in 2002 and 2003. The gang’s center of activities were apartments located inside buildings dubbed the “Twin Towers,” located at 496-500 Hawthorne Avenue, the location of repeated narcotics and gun arrests by local law enforcement between 2002 and 2010. Many of the South Side Cartel members had tattoos showing these buildings and the logo of “SSC” representing the gang’s initials.
At its peak, the South Side Cartel had about 20 members or associates, many of whom have since been killed in gang-related murders or who are serving prison sentences in state and federal prisons for gang-related crimes. The South Side Cartel was generally known among law enforcement and the FBI as the most violent street gang operating in Newark, committing numerous murders, shootings, robberies and other violent acts in furtherance of the enterprise.
In addition to the prison term, Judge Salas sentenced Lowery to 10 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; police officers and detectives of the Newark Department of Public Safety, under the direction of Director Anthony A. Ambrose; and prosecutors and detectives of the Essex County Prosecutor’s Office, under the direction of Acting Prosecutor Robert D. Laurino, with the investigation.
The government is represented by Assistant U.S. Attorneys Robert Frazer and Courtney Howard of the Organized Crime/Gangs Unit in Newark.
Defense counsel: John Azzarello Esq., Morristown, New Jersey, Anthony Ricco, New York,
Man Indicted for Armed Bank Robbery and CarjackingRead the Press Release
LAS VEGAS, Nev. – A man who allegedly stole approximately $18,120 from a credit union, then took three people hostage during a carjacking made his initial appearance in federal court today, announced Acting U.S. Attorney Steven W. Myhre for the District of Nevada.
William C. Etheridge, 54, was indicted on Aug. 9, 2017, with one count of bank robbery and one count of carjacking.
According to allegations in the criminal complaint and indictment, on July 25, 2017, Etheridge entered a WestStar Credit Union, located at 110 East Harmon Avenue, in Las Vegas, brandished a semi-automatic pistol, and demanded money from four bank tellers. He then demanded a ride in one of the victim tellers’ personal vehicles to avoid law enforcement apprehension. When none of the tellers volunteered to provide him with a ride, he instructed one of the bank tellers to leave the bank with him. Etheridge stole approximately $18,120. Upon exiting the bank, Etheridge used force and violence to carjack a vehicle with two victims inside. At Etheridge’s request, the victims dropped him off at a Harley Davidson dealership to purchase a getaway vehicle with the stolen money so he could leave the area. Law enforcement arrested Etheridge at the dealership.
If convicted, Etheridge faces the mandatory minimum penalty of 10 years in prison and a $250,000 fine for the bank robbery charge and 15 years in prison and a $250,000 fine for the carjacking charge.
The case is being investigated by the FBI and the Las Vegas Metropolitan Police Department. The case is being prosecuted by Assistant U.S. Attorneys Kilby Macfadden and Nicholas Dickinson.
An indictment is merely an allegation and a defendant is presumed innocent unless and until proven guilty in a court of law.
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Man Arrested for Possession with Intent to Distribute CocaineRead the Press Release
St. Thomas, USVI- Kenneth James, 51, of Dominica, made his initial appearance today before U.S. Magistrate Judge George W. Cannon after being charged in a criminal complaint with conspiracy and possession with intent to distribute cocaine, Acting United States Attorney Joycelyn Hewlett announced. James was detained pending preliminary and detention hearings set for August 17, 2017.
According to the complaint, on August 15, 2017, James attempted to sell to an individual approximately 12 kilograms of a white powdery substance that tested positive for cocaine.
Conspiracy and possession with the intent to distribute in excess of five kilograms of cocaine carries a sentence of not less than 10 years in prison or more than life and a $10,000,000 fine.
The case is being investigated by the U.S. Drug Enforcement Administration. It is being prosecuted by Assistant United States Attorney Sigrid M. Tejo-Sprotte.
Acting United States Attorney Hewlett reminds the public that a complaint is merely a formal charging document and is not evidence of guilt. Every defendant is presumed innocent until and unless proven guilty.
Lexington County Man Pleads to Being a Felon in Possession of Firearm and Ammunition and Possession of a Firearm with an Obliterated Serial NumberRead the Press Release
Columbia, South Carolina ---- United States Attorney Beth Drake stated that Jake Rupert, age 33, of Lexington, plead guilty in federal court to being a felon in possession of a firearm and ammunition and to being in possession of a firearm with an obliterated serial number, all in violation of Title 18, United States Code, Sections 922(g)(1) and 922(k). Senior United States District Judge Cameron McGowan Currie, of Columbia, accepted the guilty plea and will impose sentence after she has reviewed the presentence report, which will be prepared by the U.S. Probation Office.
Evidence presented in court established on April 19, 2017, a trooper with the South Carolina Highway Patrol was on patrol on Boy Scout Road in Lexington County when he observed a male (later identified as Rupert) and a female trying to take a tire off a Dodge Charger on the side of the road. The two individuals advised that they were trying to get the Charger out of the dirt for a friend and that their vehicle was the Lexus parked across the road. The trooper noticed that the tag on the Lexus was expired and the male and female both provided false names to the trooper, so he called for backup from the Gaston Police Department. During this time, Rupert paced back and forth nervously until the trooper advised him to have a seat on the ground next to the Lexus. After learning Rupert’s true identity, the trooper patted Rupert down and found a loaded Jimenez Arms 9mm handgun in the front waistband of his pants. The serial number on the handgun had been obliterated. The trooper also found a black bag containing additional 9mm ammunition in the area where Rupert had been sitting. Rupert admitted to recently being released from state prison and to being a gang member. Rupert was placed under arrest for state charges. At the detention center, officers also found a small amount of marijuana in Rupert’s wallet. The female was also arrested on outstanding warrants. Rupert later made bond on the state charges.
During the federal investigation, ATF learned that Rupert was the individual being sought by local law enforcement after accidentally discharging a shotgun inside Dutch Square on April 22, 2017, three days after the above incident. After advise of rights, Rupert admitted to ATF that he had a sawed-off shotgun in a bag inside the mall and that when he sat the bag down, the gun accidentally discharged. Rupert advised that he then fled the scene.
Rupert is prohibited under federal law from possessing firearms and ammunition based upon his prior state convictions for conspiracy to manufacture methamphetamine, possession with intent to distribute methamphetamine, burglary 2nd degree, grand larceny (4 counts), and possession of stolen motor vehicle. At the time of the incident, Rupert was on supervised re-entry release from the South Carolina Department of Corrections after being released March 31, 2017.
Rupert faces a maximum of 10 years imprisonment, a fine of $250,000, and 3 years of supervised release on the felon in possession of a firearm and ammunition charge. Rupert faces maximum of 5 years imprisonment, a fine of $250,000, and 3 years of supervised release on the possession of a firearm with an obliterated serial number chargeThe case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF), the South Carolina Highway Patrol, and the Gaston Police Department and was prosecuted as part of the joint federal, state and local Project CeaseFire initiative, which aggressively prosecutes firearm cases. Assistant United States Attorney Stacey D. Haynes of the Columbia office handled the case.
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Leader of Trenton Drug Trafficking Organization Pleads Guilty to Heroin Distribution Conspiracy, Unlawful Firearms PossessionRead the Press Release
Co-Defendant Sentenced to 42 Months in Prison
TRENTON, N.J. – One Trenton man was convicted and another sentenced to prison today for their roles in a drug trafficking organization that distributed hundreds of grams of heroin in the Trenton area, Acting U.S. Attorney William E. Fitzpatrick announced.
Ishmael Abdullah, a/k/a “Ish,” a/k/a “Gangsta,” a/k/a “Papi,” 27, pleaded guilty today before U.S. District Judge Freda L. Wolfson in Trenton federal court to an information charging him with one count of conspiracy to distribute and possess with intent to distribute 100 grams or more of heroin and one count of unlawful possession of a firearm by a convicted felon.
Bernadino Guervil, 29, a/k/a “BG,” was sentenced today to 42 months in prison and three years of supervised release. Guervil previously pleaded guilty before Judge Wolfson to an information charging him with conspiracy to distribute and possess with intent to distribute heroin.
In December 2016, Abdullah and nine other members of a drug trafficking organization operating in Trenton were charged by criminal complaint with conspiracy to distribute heroin. The complaint referred to the drug trafficking organization as the “Abdullah DTO” after the organization’s leader. Abdullah is the sixth of the 10 defendants to plead guilty.
According to documents filed in this case and statements made in court:
From May 2015 through December 2016, Abdullah and others participated in a drug trafficking organization that operated in the area of Spring and Passaic Streets in the Trenton.
Through the authorized interception of telephone calls and text messages, controlled purchases of heroin, the use of confidential sources of information, and other investigative means, law enforcement learned that Ishmael Abdullah was a leader of the Abdullah DTO, and was responsible for obtaining significant quantities of heroin from multiple suppliers, including Jose Joaquin Torres-Mezquita and Ileana Sanchez. Ishmael Abdullah and Keith Hunter coordinated the organization’s distribution of heroin through themselves and other conspirators, including Guervil. Members of the Abdullah DTO used temporary prepaid phones, stash houses and cars, and spoke in code to avoid detection by law enforcement.
During his plea hearing, Abdullah admitted that he conspired with others to distribute at least 400 grams of heroin. Abdullah, who is a previously convicted felon, also admitted knowingly possessing a SCCY Industries CPX-2 firearm.
The conspiracy charge to which Abdullah pleaded guilty carries a mandatory minimum sentence of five years in prison, a maximum potential sentence of 40 years in prison, and a $5 million fine. The firearms charge carries a maximum potential sentence of 10 years in prison and a $250,000 fine. Sentencing is scheduled for Nov. 27, 2017.
Acting U.S. Attorney Fitzpatrick credited agents and officers with the Greater Trenton Safe Streets Task Force, including special agents of the FBI, Newark Division, Trenton Resident Agency, under the direction of Special Agent in Charge Timothy Gallagher; special agents of the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF), Newark Division, Trenton Field Office, under the direction of Special Agent in Charge John B. Devito; officers of the Trenton Police Department, under the direction of Director Ernest Parrey Jr.; officers of the Princeton Police Department, under the direction of Chief Nicholas Sutter; officers of the Ewing Police Department, under the direction of Chief John P. Stemler III; and detectives of the Mercer County Prosecutor’s Office, under the direction of Prosecutor Angelo J. Onofri, with the investigation.
He also thanked special agents of the FBI’s Philadelphia Field Office, under the direction of Special Agent in Charge Michael Harpster; special agents of Homeland Security Investigations, under the direction of Acting Special Agent in Charge Debra Parker; officers of the N.J. State Police, under the direction of Superintendent Col. Joseph R. Fuentes; and officers of the Mercer County Sheriff’s Office, under the direction of Sheriff John A. Kemler, for their assistance in the case.
The government is represented by Assistant U.S. Attorney J. Brendan Day of the U.S. Attorney’s Office’s Criminal Division in Trenton.
The charges and allegations against the remaining defendants are merely accusations, and those defendants are presumed innocent unless and until proven guilty.
Latin Kings Gang Member Pleads Guilty to Drug DistributionRead the Press Release
BOSTON – A member of the Latin Kings street gang pleaded guilty today to distributing drugs in New Bedford.
Virgilio Adorno a/k/a “Trigga” a/k/a “Goyo,” 30, of New Bedford, pleaded guilty to one count of distribution of cocaine base, also known as crack cocaine. U.S. District Court Judge Allison D. Burroughs scheduled sentencing for Nov. 2, 2017.
In March 2017, federal authorities charged Adorno along with Rafael Reyes, Jonathan Garcia, and Avimael Ortiz in a series of cases brought following a long-term investigation into drug trafficking in the New Bedford area. Among other things, the investigation revealed that the Bonneau Court area of New Bedford had been overwhelmed by drug dealing and violent crime. Latin Kings gang members and associates were observed regularly using a section of Bonneau Court known as “The Pit” as a site for drug trafficking and other illegal activity. As part of the investigation, Adorno was caught selling crack cocaine to a cooperating witness in the Bonneau Court area. A subsequent search warrant executed at Adorno’s residence resulted in the seizure of additional crack cocaine.
Garcia and Ortiz previously pleaded guilty and are awaiting sentencing. Reyes has pleaded not guilty and is awaiting trial. He is presumed to be innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
The charge of distribution of cocaine base provides for a sentence of no greater than 20 years in prison, a minimum of three years and up to a lifetime of supervised release, and a fine of up to $1 million. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
Acting United States Attorney William D. Weinreb; Mickey D. Leadingham, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms & Explosives, Boston Field Division; New Bedford Police Chief Joseph C. Cordeiro; and Bristol County District Attorney Thomas Quinn made the announcement today. Assistant U.S. Attorneys Kunal Pasricha and Glenn A. MacKinlay of Weinreb’s Organized Crime & Gang Unit are prosecuting the case.
Justin Wayne Pierce Sentenced Following Guilty Plea to a Federal Fiream ChargeRead the Press Release
Acting United States Attorney Steve Butler of the Southern District of Alabama announces today that Justin Wayne Pierce of Semmes, Alabama was sentenced to 63 months imprisonment. Pierce’s sentencing followed entry of a April 2017 guilty plea to a charge of prohibited person in possession of a firearm. In imposing the sentence Chief United States District Court Judge Kristi K. Dubose found that Pierce was in the highest criminal history category due to his prior criminal convictions. Pierce’s criminal history includes prior convictions in Mobile County for Possession/Receipt of a Controlled Substance, Breaking and Entering a Motor Vehicle, and Burglary, Second Degree. Pierce’s guilty plea included his admission that on September 12, 2016, he was in knowing possession of three firearms which had been recently stolen in a residential burglary.
Possession of a firearm by a prohibited person, in this instance a convicted felon, is a violation of Title 18, United States Code Section 922(g)(1). Pierce’s term of imprisonment will be followed by a three (3) year term of supervised release.
This case arose from a collaborative investigation by the Jackson, Alabama Police Department, the Clarke County Sheriff’s Office, and the Mobile Field Office of the Bureau of Alcohol, Tobacco, Firearms & Explosives. The case was prosecuted by the United States Attorney’s Office for the Southern District of Alabama.Jefferson County Man Guilty of Beaumont Drug TraffickingRead the Press Release
BEAUMONT, Texas – A 36-year-old Beaumont man has pleaded guilty to federal drug trafficking violations in the Eastern District of Texas, announced Acting U.S. Attorney Brit Featherston today.
Kevin Lee Husband pleaded guilty to possession with intent to distribute methamphetamine today before U.S. Magistrate Judge Keith Giblin.
According to information presented in court, on Mar. 7, 2017, law enforcement officers pulled over Husband in Beaumont for a traffic violation. During the traffic stop, Husband provided consent to search the vehicle which resulted in officers discovering a fully loaded firearm, methamphetamine, marijuana, and over $5000 in cash. Husband admitted the firearm was his and told officers there was an additional eight ounces of marijuana and another firearm at his residence. Deputies obtained a search warrant for the residence where they found the drugs and gun. Husband was indicted by a federal grand jury on July 6, 2017 and charged with federal gun and drug violations.
Under federal statutes, Husband faces a minimum of 10 years and up to life in federal prison at sentencing. The maximum statutory sentence prescribed by Congress is provided here for information purposes, as the sentencing 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 U.S. Probation Office.
This case was investigated by the Bureau of Alcohol, Tobacco, and Firearms and the Jefferson County Sheriff’s Office and prosecuted by Assistant U.S. Attorney Michelle S. Englade.
Isleta Pueblo Man Sentenced for Assaulting an Indian Woman and a Federal OfficerRead the Press Release
ALBUQUERQUE – Jonathan Abeita, 24, an enrolled member of the Isleta Pueblo who resides in Albuquerque, N.M., was sentenced today in federal court in Santa Fe, N.M., to 17 months in prison followed by three years of supervised release for his conviction on assault charges, including an assault on a federal officer charge.
Abeita was arrested on March 8, 2017, on an indictment charging him with assault resulting in serious bodily injury and assault on a federal officer. According to the indictment, Abeita committed the crimes on Aug. 13, 2016, on Isleta Pueblo in Valencia County, N.M.
On May 19, 2017, Abeita pled guilty to the indictment. In his plea agreement, Abeita admitted that on Aug. 13, 2016, he assaulted one victim, an Indian woman, by threatening her and punching her, causing her bottom teeth to become loose. Abeita also admitted that when tribal police officers responded to a call from the victim, he assaulted a tribal police officer who was commissioned as a Special Federal Officer by the BIA with a hatchet.
This case was investigated by the Isleta Pueblo Tribal Police Department and is being prosecuted by Special Assistant U.S. Attorney Lucy B. Solimon as part of the Tribal Special Assistant U.S. Attorney (Tribal SAUSA) Pilot Project in the District of New Mexico, which is sponsored by the Justice Department’s Office on Violence Against Women under a grant administered by the Pueblo of Laguna. The Tribal SAUSA Pilot Project seeks to train tribal prosecutors in federal law, procedure and investigative techniques to increase the likelihood that every viable violent offense against Native American women is prosecuted in either federal court or tribal court, or both. The Tribal SAUSA Pilot Project was largely driven by input gathered from annual tribal consultations on violence against women, and is another step in the Justice Department's on-going efforts to increase engagement, coordination and action on public safety in tribal communities.
Indictment: Child Pornography Found on Employee’s Company PhoneRead the Press Release
KANSAS CITY, KAN. - A federal grand jury returned an indictment today charging a Kansas City, Kan., man with producing child pornography, U.S. Attorney Tom Beall said.
Ronny D. Peters, 39, Kansas City, Kan., is charged with two counts of producing child pornography. According to court records, the investigation began when Peters’ former employers called the FBI to report finding child pornography on a company cell phone Peters turned in after he was fired. The phone belonged to Pop-A-Lock, a locksmith company based in Lafayette, La. The company has franchise operations across the United States and Canada, including Kansas City.
The indictment alleges Peters sexually exploited a minor child to produce videos that investigators found on the phone.
If convicted, he faces not less than 15 years in federal prison and a fine up to $250,000 on each count. The FBI investigated. Assistant U.S. Attorney Scott Rask is prosecuting.
OTHER INDICTMENTS
Kenneth William Clark, III, 35, Scott City, Kan., is charged with receipt and possession of stolen mail. The crime is alleged to have occurred Aug. 2, 2016, in Sedgwick County.
The indictment alleges Clark possessed stolen mail from senders including Discover Financial, Gold MasterCard, H&R Block, Bank of America, Intrust Bank, Fidelity Bank, the Kansas Department of Revenue and others. The stolen mail was addressed to recipients in Wichita and Park City.
If convicted, he faces up to five years in federal prison and a fine up to $250,000. The Sedgwick County Sheriff’s Office investigated. Assistant U.S. Attorney Alan Metzger is prosecuting.
Ran Wells, 39, Wichita, Kan., is charged with one count of counterfeiting U.S. currency. The crime is alleged to have occurred in March and April 2017 in Sedgwick County, Kan.
If convicted, he faces up to 20 years in federal prison and a fine up to $250,000. The U.S. Secret Service investigated. Assistant U.S. Attorney Alan Metzger is prosecuting.
Ronald L. Phillips, 25, Wichita, Kan., is charged with one count of possession with intent to distribute marijuana, one count of unlawful possession of a firearm in furtherance of drug trafficking and one count of unlawful possession of a firearm following a felony conviction. The crimes are alleged to have occurred July 27, 2017, in Sedgwick County, Kan.
If convicted, he faces up to 20 years in federal prison and a fine up to $1 million on the marijuana charge, up to 10 years on the charge of felon in possession of a firearm and not less than five years on the charge of possessing a firearm in furtherance of drug trafficking. The FBI and the Wichita Police Department investigated. Assistant U.S. Attorney Lanny Welch is prosecuting.
Jose A. Hernandez-Diaz, 23, Lucio Cabanas, Mexico, is charged with one count of possession with intent to distribute approximately six pounds of methamphetamine and one count of possession with intent to distribute approximately two pounds of heroin. The crime is alleged to have occurred July 14, 2017, in Ford County, Kan.
If convicted, he faces not less than10 years and a fine up to $10 million on the methamphetamine charge and not less than five years and a fine up to $5 million on the heroin charge. The Kansas Highway Patrol and the Drug Enforcement Administration investigated. Assistant U.S. Attorney Mona Furst is prosecuting.
Anthony Carrasco, 40, Wichita, Kan., is charged with one count of unlawful possession of a firearm following a felony conviction. The crime is alleged to have occurred April 6, 2017, in Sedgwick County, Kan.
If convicted, he faces up to 10 years in federal prison and a fine up to $250,000. The Bureau of Alcohol, Tobacco, Firearms and Explosives investigated. Assistant U.S. Attorney David Lind is prosecuting.
Carlos Salas-Lopez, 45, Kansas City, Kan., is charged with one count of misusing a Social Security number, one count of possessing a counterfeit Permanent Resident card, and one count of making a false statement on an I-9 employment eligibility verification form. The crimes are alleged to have occurred June 8, 2016, in Johnson County, Kan.
If convicted, he faces up to five years and a fine up to $250,000 on the Social Security count, 10 years and a fine up to $250,000 on the document fraud count, and five years and a fine up to $250,000 on the false statement count. Immigration and Customs Enforcement investigated. Assistant U.S. Attorney Chris Oakley is prosecuting.
Habraham Altamirano-Jeronimo, 29, a citizen of Mexico, is charged with one count of unlawfully re-entering the United States after being deported. He was found July 14, 2017, in Lawrence, Kan.
If convicted he faces up to two years in federal prison and a fine up to $250,000. Immigration and Customs Enforcement investigated. Assistant U.S. Attorney Leon Patton is prosecuting.
Oscar Vallejo-Tolentino, 25, Hays, Kan., a citizen of Mexico who has been living in Hays, Kan., is charged with five counts of unlawful possession of a firearm or ammunition by an alien illegally in the United States. The crime is alleged to have occurred in 2017 and 2015 in Ellis County, Kan.
If convicted, he faces up to 10 years in federal prison and a fine up to $250,000 on each count. Immigration and Customs Enforcement’s Enforcement and Removal Operations investigated. Assistant U.S. Attorney Brent Anderson is prosecuting.
Juan Carlos Jimenez-Caraveo, 26, a citizen of Mexico, is charged with unlawfully re-entering the United States after being deported. He was found July 28, 2017, in Sedgwick County, Kan.
If convicted he faces up to two years in federal prison and a fine up to $250,000. Immigration and Customs Enforcement’s Enforcement and Removal Operations investigated. Assistant U.S. Attorney Brent Anderson is prosecuting.
Clay Don McElroy, 40, is charged with one count of possession with intent to distribute methamphetamine and one count of possession with intent to distribute marijuana. The crimes are alleged to have occurred April 16 2017, in Finney County, Kan.
If convicted, he faces not less than five years and not more than 40 years and a fine up to $5 million on the methamphetamine charge, and up to five years and a fine up to $250,000 on the marijuana charge. The Garden City Police Department investigated. Special Assistant U.S. Attorney Kimberly Rodebaugh is prosecuting.
In all cases, defendants are presumed innocent until and unless proven guilty. The indictments merely contain allegations of criminal conduct.
Indictment Charges Former Attorney with Defrauding Clients, Family Members, FriendsRead the Press Release
Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that a grand jury sitting in New Haven returned an indictment today charging THOMAS M. MURTHA, 61, of Newtown, Connecticut, and Birmingham, Michigan, with four counts of wire fraud. MURTHA previously operated a law practice in Bridgeport.
As alleged in the indictment, between approximately November 2011 and April 2017, MURTHA fraudulently obtained and converted hundreds of thousands of dollars from his victims, including clients of his law practice, family members and friends. MURTHA falsely represented to client-victims that he had safeguarded and disbursed the proceeds from legal representations when, in fact, he had used their money for his own benefit, including making payments to other victims. In furtherance of the fraud, MURTHA used false and forged documents, including at least one mortgage and a trust document.
It is alleged that MURTHA used some of the stolen funds to purchase a $725,000 house in Michigan, a 2.11 carat diamond engagement ring, and other items.
If convicted, MURTHA faces a maximum term of imprisonment of 20 years on each count of the indictment.
The indictment seeks the forfeiture of the Michigan house and the engagement ring, as well as a money judgment of at least $1,991,628.83, which constitutes proceeds of the alleged fraud scheme.
MURTHA was arrested on a criminal complaint on April 5, 2017, and is released on a $10,000 bond. His arraignment is not yet scheduled.
In September 2016, MURTHA resigned from the bar after three grievance complaints were filed against him.
U.S. Attorney Daly stressed that an indictment is not evidence of guilt. Charges are only allegations, and a defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.
U.S. Attorney Daly noted that the investigation is ongoing. Anyone with information that may be helpful to the investigation, or those who believe they have been victimized by this alleged scheme, are encouraged to contact Detective Robert McKiernan at (203) 382-6660.
This matter is being investigated by the Federal Bureau of Investigation and the Greenwich Police Department. This case is being prosecuted by Assistant U.S. Attorneys Jennifer Laraia and David Huang.
Hyannis Man Sentenced for Firearm OffenseRead the Press Release
BOSTON – A Hyannis man was sentenced today in federal court in Boston for conspiring to possess a firearm in furtherance of a drug trafficking crime.
Benjamin Roderick, 21, was sentenced by U.S. District Court Chief Judge Patti B. Saris to 14 months in prison and two years of supervised release. In September 2016, Roderick pleaded guilty to conspiracy to possess a firearm in furtherance of a drug trafficking crime.
Roderick was one of 19 members and associates of the Cape Cod-based Nauti Block gang named in an October 2016 superseding indictment with various drug trafficking, money laundering and firearms offenses.
On March 7, 2016, during an investigation into the gang’s operations, federal investigators intercepted telephone calls and text messages in which Roderick was planning to supply co-defendant Christopher Wilkins with a .38 caliber firearm in exchange for approximately 10 grams of heroin. Law enforcement officers followed Roderick and stopped his vehicle as he went to meet Wilkins to conduct the trade. The officers arrested Roderick and seized the firearm loaded with five rounds of ammunition.
In May 2017, Wilkins pleaded guilty to 15 counts of drug, money laundering, and firearm offenses and is scheduled to be sentenced on Sept. 18, 2017.
Acting United States Attorney William D. Weinreb; Mickey D. Leadingham, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms & Explosives, Boston Field Division; Michael J. Ferguson, Special Agent in Charge of the Drug Enforcement Administration, New England Field Division; Cape and Islands District Attorney Michael O’Keefe; and Barnstable Police Chief Paul MacDonald made the announcement today. Assistant U.S. Attorneys Eric S. Rosen and Miranda Hooker of Weinreb’s Narcotics and Money Laundering Unit prosecuted the case.
Houston Residents Sentenced to Federal Prison for Trafficking Cocaine into Southern IllinoisRead the Press Release
Two more Houston residents were sentenced to federal prison on Friday, August 11, 2017, for their roles in a drug trafficking conspiracy resulting in the seizure of $1.2 million dollars in cash, $72,000 in jewelry, and several kilos of cocaine.
United States Attorney Donald S. Boyce announced the sentence for the Southern District of Illinois. Defendant Nahum Shibeshi, 29, was sentenced to 48 months in prison, four years of supervised release, a $1500 fine, and a $200 special assessment. Dana Bell, 51, was sentenced to 87 months in prison, 3 years supervised release, a $750 fine, and a $100 special assessment.
An indictment filed on February 18, 2016, charged Shibeshi and Bell as drug couriers who transported drugs for other suppliers. The indictment charged eight co-defendants for participating in a conspiracy to distribute large amounts of cocaine into the Southern District of Illinois from Texas. In addition to the drug crimes, the indictment sought forfeiture of $1,212,934 in U.S. currency seized on December 2 and 3, 2015, along with jewelry appraised at $72,000.
Earlier this summer, co-defendants Sammy Monroe and Rodney Smith were sentenced to prison for 168 months and 147 months, respectively, after it was determined that they were responsible for trafficking approximately 120 kilos of cocaine into Southern Illinois.
Houston Pair Charged with Intent to Distribute MethamphetamineRead the Press Release
Norma Ibarra-Gonzalez, age 48, of Houston, Texas, and Marta Ibarra-Castillo, age 36, of Houston, Texas, were charged today by Indictment with possession with intent to distribute 500 grams or more of methamphetamine on July 2, 2017. The case involves the seizure of approximately 13 pounds of methamphetamine announced Acting United States Attorney Louis D. Lappen.
If convicted the defendants face a mandatory minimum sentence of at least 10 years in prison and a maximum of life in prison, a special assessment of $100, at least 5 years of supervised release and a potential fine.
The case was investigated by the Federal Bureau of Investigation, Immigration and Customs Enforcement, and the Philadelphia Police Department, and is being prosecuted by Assistant United States Attorney Jonathan B. Ortiz.
An Indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Georgia Man Admits Illegally Possessing a Gun and Ammo at Beaver County Movie TheaterRead the Press Release
PITTSBURGH - A resident of Covington, Georgia, pleaded guilty in federal court to a charge of violating federal firearms laws, Acting United States Attorney Soo C. Song announced today.
William D. Gossett, 22, pleaded guilty yesterday to one count before United States District Judge Nora Barry Fischer.
In connection with the guilty plea, the court was advised that on July 23, 2016, William D. Gossett, a convicted felon, was in possession of a Phoenix Arms, .25 caliber, semi-automatic handgun, that had been reported stolen from Columbiana, Ohio, and ammunition. On July 23, 2016, officers from the Center Township Police Department were called to the Cinemark Theater where their attention was drawn to a young male wearing full length and full sleeved army fatigues and carrying a large backpack. It was approximately 94 degrees outside that day. The young man had been wandering around the theater for about two hours. As officers began to approach him, he quickly ducked into the restroom. An officer was able to make contact with him there, and to obtain consent to search his backpack. The male, who identified himself as William Glanton, but was later identified by Law Enforcement as William Gossett, had a ticket for the movie, “The Purge”, which was to begin in 20 minutes. The officer pulled out all of the items in the backpack and located the following: a firearm, a box of .25 caliber ammunition, four knives, a painter’s respirator mask, multiple handkerchiefs, two first-aid kits, paracord rope, gloves, black spray paint, multiple small rations of food, and a few articles of clothing. Gossett stated that he found the box of ammunition “on the road” and that he received the firearm from his uncle four weeks prior. Gosseet has a prior felony conviction for Identity Theft Fraud. Federal law prohibits persons who have been convicted of a crime punishable by imprisonment for more than one year from possessing ammunition or firearms.
Judge Fischer scheduled sentencing for December 14, 2017 at 9 a.m. The law provides for a total sentence of not more than 10 years in prison, a fine of $250,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offense and the prior criminal history of the defendant.
Assistant United States Attorney Amy L. Johnston is prosecuting this case on behalf of the government.
The Federal Bureau of Investigation, the Bureau of Alcohol, Tobacco, Firearms, and Explosives, and the Center Township Police Department conducted the investigation that led to the prosecution of William D. Gossett.
Fredericksburg Gas Station Owner Sentenced for Cigarette TraffickingRead the Press Release
RICHMOND, Va. – A Fredericksburg man was sentenced today to two years in prison, ordered to pay $3 million in restitution, and ordered to forfeit $1.42 million for participating in a conspiracy to traffic contraband cigarettes.
According to the statement of facts filed with the plea agreement, Bernard Ekelemu, 60, directed another individual to purchase a Gulf gas station in Fredericksburg in November 2013. Ekelemu then registered a Virginia corporation to operate that gas station, and obtained a “Certificate of Registration for the Collection of Virginia Sales and Use Tax” that exempted Ekelemu from paying the Virginia sales and use tax when making business purchases. Ekelemu opened business memberships at various wholesale clubs and with wholesale cigarette distributors in Virginia, and subsequently used those business memberships to make sales-tax-free purchases of more than $7.1 million worth of Virginia-stamped cigarettes between March 2014 and November 2016. Ekelemu stored those cigarettes at several locations, to include storage units in Fredericksburg and Springfield, where Ekelemu would sell those cigarettes to cigarette traffickers. The traffickers thereafter smuggled the cigarettes to New York State (among other locations), where they were sold as contraband cigarettes on the black market.
Dana J. Boente, U.S. Attorney for the Eastern District of Virginia, and Michael B. Boxler, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms and Explosives’ (ATF) Washington Field Division, made the announcement after sentencing by U.S. District Judge M. Hannah Lauck. Assistant U.S. Attorney Thomas A. Garnett prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information is located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 3:17-cr-46.
Four Charged in Fentanyl Analogue Distribution SchemeRead the Press Release
PITTSBURGH, Pa. – Three residents of Pittsburgh, Pa., and one resident of Mercer County, have been indicted by a federal grand jury in Pittsburgh on a charges of violating the federal narcotics laws, Acting United States Attorney Soo C. Song announced today.
The four-count indictment named Lynell Guyton, age 27, of Pittsburgh; Calvin Armstrong, age 31, of Pittsburgh; Anthony Lozito, age 38, of Pittsburgh; and Kristen Shearer, age 22, of Mercer County.
According to the indictment, Guyton, Armstrong, Lozito and Shearer conspired to distribute and possess with intent to distribute 10 grams or more of an analogue of fentanyl, from August 8, 2017 to August 9, 2017, and possessed with intent to distribute the same. According to a criminal complaint filed prior to the indictment, U.S. Immigration and Customs Enforcement’s (ICE)/ Homeland Security Investigations (HSI), assisted by the United States Postal Inspection Service, the Pennsylvania State Police and the Pittsburgh Bureau of Police, including the Pittsburgh Police SWAT Team, executed a federal search warrant at 7 Bond Street in Pittsburgh’s West End. Upon arrival, Pittsburgh SWAT made entry into the home and observed Anthony Lozito attempting to exit the residence through a back window. During the entry, a table located near where the individuals were present inside the residence was overturned causing the powder narcotics to become airborne.
In the kitchen of the residence, law enforcement located a plate with a significant quantity of white power on it and a number of packaged stamp bags and empty stamp bags. Officers observed stamp bags bearing both the “Ferrari” stamp and the “Louis Vuitton” stamp.
In addition, the indictment charges that Guyton possessed with intent to distribute a fentanyl analogue on July 20, 2017, and that he attempted to possess with intent to distribute 10 grams or more of a fentanyl analogue on June 1, 2017.
The law provides for a maximum total sentence of not less than five and up to 40 years in prison, a fine of $5,000,000 or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant. All four individuals are currently detained pending resolution of these charges.
Assistant United States Attorney Rachael L. Dizard is prosecuting this case on behalf of the government.
The U.S. Immigration and Customs Enforcement’s (ICE)/ Homeland Security Investigations (HSI), assisted by the United States Postal Inspection Service, the Pennsylvania State Police and the Pittsburgh Bureau of Police, including the Pittsburgh Police SWAT Team, conducted the investigation leading to the indictment in this case.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Former Springfield YMCA Employee Indicted for Child PornographyRead the Press Release
SPRINGFIELD, Mo. – Tom Larson, Acting United States Attorney for the Western District of Missouri, announced today that a former Springfield YMCA employee has been indicted by a federal grand jury for receiving and distributing child pornography over the Internet.
Benjamin Goodwin, 28, of Springfield, was charged in an indictment returned by a federal grand jury in Springfield on Tuesday, Aug. 15, 2017. Goodwin, an employee of the Springfield YMCA at the time of the offense, was arrested this morning.
The federal indictment alleges that Goodwin received and distributed child pornography over the Internet between June 11, 2016, and Aug. 3, 2017.
Larson cautioned that the charge contained in this indictment is simply an accusation, and not evidence of guilt.
This case is being prosecuted by Assistant U.S. Attorney James J. Kelleher. It was investigated by Immigration and Customs Enforcement's (ICE) Homeland Security Investigations (HSI) and the Southwest Missouri Cybercrimes Task Force.
Project Safe Childhood
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc . For more information about Internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
Former Secret Service Agent Pleads Guilty to Money LaunderingRead the Press Release
A former Special Agent with the U.S. Secret Service pleaded guilty on Tuesday to charges of money laundering, announced Acting Assistant Attorney General Kenneth A. Blanco of the Justice Department’s Criminal Division, U.S. Attorney Brian Stretch of the Northern District of California, Special Agent in Charge Kimberly A. Lappin of the IRS-Criminal Investigation (IRS-CI) Washington, D.C. Field Office Cyber Crimes Unit, Special Agent in Charge John F. Bennett of the FBI’s San Francisco Division, and Special Agent in Charge David Green of the Department of Homeland Security Office of Inspector General, Houston Field Office.
Shaun W. Bridges, 35, of Laurel, Md., pleaded guilty to one count of money laundering before U.S. District Court Judge Richard Seeborg of the Northern District of California. Sentencing has been set for November 7.
Bridges had been a Special Agent with the U.S. Secret Service for approximately six years in the Baltimore Field Office. Between 2012 and 2014, he was assigned to the Baltimore Silk Road Task Force, a multi-agency group investigating illegal activity on the Silk Road, a covert online marketplace for illicit goods, including drugs. Bridges’ responsibilities included, among other things, conducting forensic computer investigations in an effort to locate, identify and prosecute targets of the Silk Road Task Force, including Ross Ulbricht, aka “Dread Pirate Roberts,” who ran the Silk Road from the Northern District of California. In 2015, Bridges pleaded guilty to one count of money laundering and one count of obstruction of justice related to his theft and diversion of over $800,000 in digital currency over which he gained control as part of his role on the Baltimore Silk Road Task Force. In December 2015, Bridges was sentenced to 71 months in prison on those charges.
Prior to reporting to prison to begin serving his sentence for the 2015 conviction, Bridges was arrested and taken into custody on new charges related to another theft of approximately 1,600 bitcoin, valued at the time of the theft at approximately $359,005, from a digital wallet belonging to the U.S. government. According to admissions made in connection with his guilty plea in this case, Bridges admitted to using a private key to access a digital wallet belonging to the U.S. government, and subsequently transferring the bitcoin to other digital wallets at other bitcoin exchanges to which only he had access. As part of his plea, Bridges agreed to turn over the stolen bitcoin to U.S. agents.
The case is being investigated by the FBI’s San Francisco Division, the IRS-CI’s Washington, D.C. Field Office Cyber Crimes Unit and the Department of Homeland Security Office of the Inspector General, Houston Field Office. The case is being prosecuted by Assistant U.S. Attorney William Frentzen of the Northern District of California and Trial Attorney Richard B. Evans of the Criminal Division’s Public Integrity Section. Assistant U.S. Attorney David Countryman is handling the Asset Forfeiture aspects of the case.
Former School Janitor Pleads Guilty to Felony Charge in 2005 Sexual Assault of 12-Year-Old GirlRead the Press Release
WASHINGTON – Mandell L. Whitted, 50, of Capitol Heights, Md., pled guilty today to a felony charge stemming from the sexual abuse of a 12-year-old girl, which took place in 2005 while he was a janitor at an elementary school in Southeast Washington, U.S. Attorney Channing D. Phillips announced.
Whitted pled guilty in the Superior Court of the District of Columbia to a charge of attempted first-degree child sexual abuse. The plea, which is contingent upon the Court’s approval, calls for an agreed-upon sentence of five years in prison. Following his release, Whitted will be required to register as a sex offender for 10 years. The Honorable Hiram E. Puig-Lugo scheduled sentencing for Nov. 16, 2017.
According to a proffer of facts submitted at today’s hearing, Whitted worked in 2005 as a janitor at J.C. Nalle Elementary School, in the 200 block of 50th Street SE. During the summer between her fifth grade at that school and her sixth grade at another school, the 12-year-old girl worked at J.C. Nalle Elementary on a cleaning crew. Then, in the fall of 2005, she returned to the school to work at an after-school program. In the period between May 2005 through November 2005, according to the proffer, Whitted sexually assaulted the girl on numerous occasions at various locations, including the janitor’s office.
Whitted was arrested in February 2017, following an investigation by the Metropolitan Police Department (MPD). He has been in custody ever since.
In announcing the plea, U.S. Attorney Phillips commended the work of those who investigated the case from the Metropolitan Police Department. He also expressed appreciation for the efforts of those who worked on the case from the U.S. Attorney’s Office, including Victim/Witness Advocate Supervisor Dr. Lorraine Chase, Paralegal Specialist T.J. McPhail, and Assistant U.S. Attorney Stuart D. Allen, who investigated and prosecuted the matter.
Former Credit Union Employee Convicted of TheftRead the Press Release
GALVESTON, Texas – A former employee of Electrical Workers 527 Federal Credit Union in Texas City has entered a guilty plea to bank fraud, announced Acting U.S. Attorney Abe Martinez.
As part of her plea today, Susan Margaret Garza, 60, of Galveston, admitted she issued a credit union check on Sept. 9, 2001, which was debited from the account of a credit union member without that person’s consent. Garza made the check payable to her landlord’s daughter.
Garza was employed at the Electrical Workers 527 Federal Credit Union in Texas City from February 1996 through on or about April 24, 2013. During that time, Garza devised and executed a scheme to defraud the credit union by making unauthorized withdrawals from credit union members’ accounts and also making unauthorized loans in the names of credit union members.
U.S. District Judge George C. Hanks accepted the plea today and has set sentencing for Oct. 25, 2017. At that time, she faces up to 30 years in federal prison and a possible $1 million maximum fine.
She was permitted to remain on bond pending that hearing.
The FBI conducted the investigation. Assistant U.S. Attorney John Braddock is prosecuting the case.
Florida Man Pleads Guilty to Hate Crime and Weapons of Mass Destruction Charges for Attempting to Attack Florida SynagogueRead the Press Release
James Gonzalo Medina pleaded guilty today to a federal hate crime for attempting to attack an Aventura, Florida synagogue, and to a charge of attempting to use a weapon of mass destruction, announced Attorney General Jeff Sessions and Acting U.S. Attorney Benjamin G. Greenberg for the Southern District of Florida.
During the plea proceedings, Medina admitted that in March and April 2016, he planned to conduct a firearms or explosives attack on the Aventura Turnberry Jewish Center. Medina took steps to prepare for this attack including conducting surveillance of the Jewish Center. On April 29, 2016, Medina took possession of what he believed to be an explosive device, obtained from a Southern Florida Joint Terrorism Task Force agent, and approached the Jewish Center on foot with the device in hand, intending to commit the attack.
"Acts of bigotry and hatred are evil and have no place in our society," Attorney General Sessions said. "One of the top priorities of this Department of Justice is reducing violent crime, and you can be sure that this includes hate crime. We will not tolerate this repugnant lawlessness, and we will be vigilant in prosecuting hate crime offenders to the fullest extent of the law. I want to thank the Federal Bureau of Investigation, the Southern Florida Joint Terrorism Task Force, and all of the Department of Justice attorneys and staff who worked to bring this criminal to justice, and I assure every American that the Department of Justice is committed to protecting their rights."
“Today’s guilty plea demonstrates how hate often motivates acts of domestic terror,” stated Acting U.S. Attorney Greenberg for the Southern District of Florida. “Prosecuting terrorism and violent crimes inspired by a victim’s race, religion, ethnicity, sexual preference, or gender identity remains a top priority for the U.S. Attorney’s Office for the Southern District of Florida and our dedicated partners at the Federal Bureau of Investigation.”
A sentencing hearing has not yet been set.
This matter was investigated by the Federal Bureau of Investigation and Southern Florida Joint Terrorism Task Force. It is being prosecuted by Assistant U.S. Attorneys Marc Anton and Michael Thakur of the Southern District of Florida, with the assistance of the Civil Rights Division’s Special Litigation Counsel Steve Curran and National Security Division’s Trial Attorney Taryn Meeks.
Florida Man Pleads Guilty to Hate Crime and Weapons of Mass Destruction Charges for Attempting to Attack Florida SynagogueRead the Press Release
WASHINGTON – James Gonzalo Medina pleaded guilty today to a federal hate crime for attempting to attack an Aventura, Florida synagogue, and to a charge of attempting to use a weapon of mass destruction, announced Attorney General Jeff Sessions and Acting U.S. Attorney Benjamin G. Greenberg for the Southern District of Florida.
During the plea proceedings, Medina admitted that in March and April 2016, he planned to conduct a firearms or explosives attack on the Aventura Turnberry Jewish Center. Medina took steps to prepare for this attack including conducting surveillance of the Jewish Center. On April 29, 2016, Medina took possession of what he believed to be an explosive device, obtained from a Southern Florida Joint Terrorism Task Force agent, and approached the Jewish Center on foot with the device in hand, intending to commit the attack.
"Acts of bigotry and hatred are evil and have no place in our society," Attorney General Sessions said. "One of the top priorities of this Department of Justice is reducing violent crime, and you can be sure that this includes hate crime. We will not tolerate this repugnant lawlessness, and we will be vigilant in prosecuting hate crime offenders to the fullest extent of the law. I want to thank the Federal Bureau of Investigation, the Southern Florida Joint Terrorism Task Force, and all of the Department of Justice attorneys and staff who worked to bring this criminal to justice, and I assure every American that the Department of Justice is committed to protecting their rights."
“Today’s guilty plea demonstrates how hate often motivates acts of domestic terror,” stated Acting U.S. Attorney Greenberg for the Southern District of Florida. “Prosecuting terrorism and violent crimes inspired by a victim’s race, religion, ethnicity, sexual preference, or gender identity remains a top priority for the U.S. Attorney’s Office for the Southern District of Florida and our dedicated partners at the Federal Bureau of Investigation.”
A sentencing hearing has not yet been set.
This matter was investigated by the Federal Bureau of Investigation and Southern Florida Joint Terrorism Task Force. It is being prosecuted by Assistant U.S. Attorneys Marc Anton and Michael Thakur of the Southern District of Florida, with the assistance of the Civil Rights Division’s Special Litigation Counsel Steve Curran and National Security Division’s Trial Attorney Taryn Meeks.
Five Individuals Indicted in August 2017 Federal Grand JuryRead the Press Release
MUSKOGEE, OKLAHOMA – The United States Attorney’s Office announced today the results of the August 2017 Federal Grand Jury.
“The following named individuals have been charged with a federal crime or crimes by the return of an indictment by the Grand Jury. A grand jury Indictment does not constitute evidence of guilt. A grand jury Indictment is a method of bringing formal charges against the defendant. A defendant is presumed innocent of the charges and may not be found guilty unless evidence establishes guilt beyond a reasonable doubt. United States Sentencing Guidelines may be considered, upon conviction, by the sentencing court. Federal prison sentences are non-parolable.”
CAROL LYNN BEEN, age 59, of Henryetta, Oklahoma
Credit Union Theft, Embezzlement, And MisapplicationThe Indictment alleges that from in or about 2014, the exact date unknown to the Grand Jury, until on or about June 18, 2017, in the Eastern District of Oklahoma, defendant CAROL LYNN BEEN, being an officer, director, agent, or employee of, or connected in a capacity with, OSU-IT Federal Credit Union of Okmulgee, Oklahoma, a credit union whose deposits are insured by the National Credit Union Administration, with intent to injure and defraud the said OSU-IT Federal Credit Union of Okmulgee, Oklahoma, willfully misapplied, embezzled, abstracted, and purloined more than $1,000.00 of the moneys, funds, assets or securities entrusted to the custody or care of OSU-IT Federal Credit Union of Okmulgee, Oklahoma, in that the defendant withdrew cash from the vault of the credit union and misapplied, embezzled, abstracted and purloined the funds, in violation of Title 18, United States Code, Section 657, punishable by no more than 30 years imprisonment, a fine up to $1,000,000.00 or both.
The charge arose from an investigation by the Federal Bureau of Investigation.
Acting United States Attorney Douglas A. Horn
ROBERT MONROE WILSON III, age 48, of Baxter Springs, Kansas
Destruction Of Government PropertyThe Indictment alleges that on or about the July 22, 2017, in the Eastern District of Oklahoma, the defendant, ROBERT MONROE WILSON III, at a place within the special maritime and territorial jurisdiction of the United States, namely the United States District Courthouse for the Eastern District of Oklahoma, willfully and maliciously did destroy and injure the gate and fence at the United States District Courthouse for the Eastern District of Oklahoma, in violation of Title 18, United States Code, Sections 1363 and 7(3), punishable by no more than 5 years imprisonment.
The charge arose from an investigation by the Muskogee Police Department, and the Federal Bureau of Investigation.
Assistant United States Attorney Kristin Harrington
BLAKE ALAN MILLER, age 34, of Muskogee, Oklahoma
Possession With Intent To Distribute Methamphetamine
Possession Of A Firearm In Furtherance Of A Drug Trafficking Crime
Felon In Possession Of A Firearm
Possession Of Unregistered Firearm (Sawed-Off Shotgun)The Indictment alleges that on or about March 7, 2017, within the Eastern District of Oklahoma, the defendant, BLAKE ALAN MILLER, did knowingly and intentionally possess with intent to distribute in excess of 50 grams of a mixture or substance containing a detectable amount of methamphetamine, a Schedule II controlled substance, in violation of Title 21, United States Code, Sections 841(a)(1) and 841(b)(1)(B), punishable by not less than 5 years imprisonment, a fine up to $5,000,000.00 or both.
The Indictment further alleges that on or about March 7, 2017, within the Eastern District of Oklahoma, the defendant, BLAKE ALAN MILLER, did knowingly possess a firearm in furtherance of a drug trafficking crime for which he may be prosecuted in a court of the United States, that is, Possession with Intent to Distribute Methamphetamine as alleged in Count One, in violation of Title 18, United States Code, Section 924(c)(1)(A) and 924(c)(1)(B), punishable by not less than 5 years imprisonment, a fine up to $250,000.00 or both.
The Indictment further alleges that on or about March 7, 2017, within the Eastern District of Oklahoma, the defendant, BLAKE ALAN MILLER, having been convicted of a crime punishable by imprisonment for a term exceeding one year, did knowingly possess in and affecting commerce, a firearm which had been shipped and transported in interstate commerce, in violation of Title 18, United States Code, Sections 922(g)(1) and 924(a)(2), punishable by not more than 10 years imprisonment, a fine up to $250,000.00 or both.
The Indictment further alleges that on or about March 7, 2017, within the Eastern District of Oklahoma, the defendant, BLAKE ALAN MILLER, did knowingly possess a shotgun having a barrel less than 18 inches in length, which is a firearm, as defined in Title 26, United States Code, Section 5845, not registered to him in the National Firearms Registration and Transfer Record, in violation of Title 26, United States Code, Sections 5861(d), 5841, 5845(a) and 5871, punishable by not more than 10 years imprisonment, a fine up to $250,000.00 or both.
The charges arose from an investigation by the Muskogee Police Department, the United States Marshal’s Service, and the Bureau of Alcohol, Tobacco, Firearms and Explosives.
Assistant United States Attorney Dean Burris
DENISE TAYLOR, age 55, of Ardmore, Oklahoma
Embezzlement And Theft From Indian Tribal OrganizationThe Indictment alleges that from on or about March 19, 2017, to on or about March 29, 2017, in the Eastern District of Oklahoma, the defendant, DENISE TAYLOR, did steal, embezzle and knowingly and willfully convert to her own use moneys, funds and assets, with a value in excess of $1,000.00, which had been entrusted to her custody and care as an employee of the Chickasaw Nation’s Ardmore Smoke Shop # 1, an Indian tribal organization, in violation of Title 18, United States Code, Section 1163, punishable by no more than 5 years imprisonment, a fine up to $250,000.00 or both.
The charge arose from an investigation by the Bureau of Indian Affairs.
Assistant United States Attorney Edward Snow
JOHN CARL BERRYHILL, age 53, of Okmulgee, Oklahoma
Possession Of Certain Material Involving Sexual Exploitation Of Minors
Attempted Distribution Of Certain Material Involving Sexual Exploitation Of MinorsThe Superseding Indictment alleges that between on or about January 8, 2014 to on or about February 2, 2017, in the Eastern District of Oklahoma, the defendant, JOHN CARL BERRYHILL, did knowingly possess, attempt to possess and access with intent to view, matters which contained visual depictions, as that term is defined in Title 18, United States Code, Section 2256(5), which said visual depictions involved the use of minors engaging in sexually explicit conduct, as that term is defined in Title 18, United States Code, Sections 2256(2)(A)-(B), and said visual depictions were of such sexually explicit conduct and had been transported in interstate commerce by computer, in violation of Title 18, United States Code, Sections 2252(a)(4)(B) and 2252(b)(2), punishable by up to 10 years imprisonment, a fine up to $250,000.00 or both.
The Superseding Indictment further alleges that between on or about September 14, 2015, and on or about October 8, 2015, in the Eastern District of Oklahoma, the defendant, JOHN CARL BERRYHILL, did knowingly attempt to distribute, by a means or facility of interstate commerce, matters which contained visual depictions, as that term is defined in Title 18, United States Code, Section 2256(5), which said visual depictions involved the use of minors engaging in sexually explicit conduct, as that term is defined in Title 18, United States Code, Sections 2256(2)(A)-(B), and said visual depictions were of such sexually explicit conduct and had been transported in interstate commerce, in violation of Title 18, United States Code, Sections 2252(a)(2) and 2252(b)(1), punishable by not less than 5 years imprisonment, a fine up to $250,000.00 or both.
The charges arose from an investigation by the Federal Bureau of Investigation.
Assistant United States Attorney Edward Snow
Five Individuals Charged with Participating in Three Insider Trading Schemes Generating More Than $5 Million in Profits on Inside Information Misappropriated from an Investment BankRead the Press Release
Joon H. Kim, the Acting United States Attorney for the Southern District of New York, and William F. Sweeney Jr., the Assistant Director-in-Charge of the New York Field Office of the Federal Bureau of Investigation (“FBI”), announced the arrest of MICHAEL SIVA, ROBERTO RODRIGUEZ, RODOLFO SABLON, a/k/a “Rudy,” JHONATAN ZOQUIER, and JEFFREY ROGIERS for their roles in three overlapping insider trading schemes based on material, nonpublic information (the “Inside Information”) misappropriated from an investment bank (the “Investment Bank”) by a corporate insider. These schemes resulted in more than $5 million in illicit profits between August 2014 and April 2017.
In a 54-count Indictment unsealed today, SIVA, RODRIGUEZ, SABLON, ZOQUIER, and ROGIERS were each charged with conspiracy, wire fraud, and multiple counts of securities fraud and fraud in connection with a tender offer. In addition, Mr. Kim announced the unsealing of guilty pleas on August 9, 2017, by DANIEL RIVAS and JAMES MOODHE, who admitted to their own involvement in the fraudulent schemes and are cooperating with the Government in this investigation. RIVAS, the corporate insider who exploited his role as a technology consultant at the Investment Bank to misappropriate Inside Information, pled guilty before the Honorable Valerie E. Caproni. MOODHE, who received Inside Information from RIVAS, pled guilty before Magistrate Judge Ronald Ellis. Both RIVAS and MOODHE pled guilty to conspiracy, securities fraud, fraud in connection with a tender offer, wire fraud, and making false statements to law enforcement officials.
SIVA was arrested this morning in West Orange, New Jersey. ZOQUIER was arrested this morning in Englewood, New Jersey. SIVA and ZOQUIER are expected to be presented this afternoon in federal court in Manhattan before United States Magistrate Judge Barbara Moses.
RODRIGUEZ and SABLON were arrested this morning in Miami, Florida, and are expected to be presented later today in federal court in the Southern District of Florida.
ROGIERS was arrested this morning in Oakland, California, and is expected to be presented later today in federal court in the Northern District of Califorina.
The case is before United States District Judge Alison J. Nathan.
In a separate action, the SEC filed civil charges against RIVAS, MOODHE, SIVA, RODRIGUEZ, SABLON, ZOQUIER, and ROGIERS.
Acting Manhattan U.S. Joon H. Kim said: “As alleged, the defendants took advantage of an insider at an investment bank to make millions in illegal profits, trading over 50 times in advance of confidential corporate information. The defendants allegedly used code words and encrypted messages to try to avoid law enforcement detection. But despite their efforts to hide their crimes, the defendants’ insider trading schemes have been exposed, and two have already pled guilty federal crimes. Those who seek to cheat the markets by trading on stolen inside information corrupt the integrity of our nation’s securities markets, and we are committed to stopping them and holding them accountable.”
FBI Assistant Director-in-Charge William F. Sweeney Jr. said: “In an industry where confidentiality is key, the defendants allegedly showed no regard. During the years they allegedly passed inside information from one person to another, they tried to work under the radar, but their illegal activity did not go unnoticed. These arrests show our commitment to investigating illicit schemes and bringing conspirators to justice.”
According to the allegations contained in the indictment (the “Indictment”):[1]
The Investment Bank and the Insider
From in or about August 2013 through in or about May 2017, RIVAS was employed as a technology consultant in the Research and Capital Markets Technology Group of the Investment Bank. In this role, RIVAS had access to an internal, proprietary system maintained by the Investment Bank (the “Deal Tracking System”) containing Inside Information about potential and unannounced merger and acquisition transactions, including tender offers, involving the Investment Bank. The Investment Bank’s written policies prohibited the unauthorized disclosure of confidential information, which included the Inside Information. RIVAS had a duty, among other obligations, to maintain the confidentiality of all of the Investment Bank’s confidential information, including the Inside Information. During his tenure at the Investment Bank, RIVAS reviewed and certified his duties of loyalty and confidentiality to the Investment Bank.
Overview of Insider Trading Schemes
From at least August 2014 through at least in or about April 2017, RIVAS violated the duties of confidentiality he owed to the Investment Bank by serially misappropriating material, nonpublic information from the Investment Bank’s Deal Tracking System and passing that information along to friends so that they could utilize it to make profitable trades. On more than 50 occasions between August 2014 and April 2017, RIVAS provided Inside Information about contemplated but unannounced merger and acquisition (“M&A”) transactions and tender offer transactions involving clients and prospective clients of the Investment Bank to friends who used that information to purchase and sell securities. In total, the insider trading based on Inside Information misappropriated by RIVAS resulted in illicit profits of more than $5 million through trading in more than two dozen securities. The Inside Information was passed through three tipping chains.
Tipping Chain Number 1: Moodhe-Siva Insider Trading
Until June 2017, MOODHE worked as the treasurer and assistant controller for a global interdealer brokerage firm. MOODHE has three adult children, including a daughter not identified by name herein (the “Daughter”). In or about 2013, the Daughter, who at the time lived with MOODHE, entered into a romantic relationship with RIVAS. As the romantic relationship between the Daughter and RIVAS became more serious, MOODHE also developed a close relationship with RIVAS. For more than a decade, SIVA has worked as a broker and financial adviser for a global commercial and investment bank headquartered in Manhattan, New York (the “New York Bank”). By 2014, SIVA and MOODHE had known each other for more than a decade and had a close relationship. In approximately June 2016, MOODHE moved his brokerage accounts to the New York Bank and SIVA became MOODHE’s broker. Prior to that date, MOODHE maintained or controlled several self-directed online brokerage accounts.
Between at least in or about 2014 and 2017, RIVAS repeatedly provided MOODHE with Inside Information misappropriated from the Investment Bank so that MOODHE could execute profitable trades, which MOODHE repeatedly did. RIVAS shared the Inside Information with MOODHE because of their close relationship, including their shared connection with the Daughter. Beginning in at least January 2015, MOODHE began sharing the Inside Information he received from RIVAS with SIVA so that SIVA could execute profitable trades on behalf of his financial advisory clients and himself, which he repeatedly did. Throughout 2015 and 2016, and up through April 2017, MOODHE continued to pass Inside Information he obtained from RIVAS onto SIVA. Throughout this time, SIVA understood that the source of the stock tips provided by MOODHE was a corporate insider at an investment bank with whom MOODHE was friends. In order to keep their scheme from being exposed, including by the New York Bank, MOODHE and SIVA developed code phrases to use on the telephone so that MOODHE could surreptitiously provide SIVA with updated Inside Information. MOODHE and SIVA also began going to various diners outside of New York City so that MOODHE could provide stock tips to SIVA in person. During these meetings, MOODHE read from pieces of paper provided to him by RIVAS, which contained detailed information about confidential impending deals, including ticker symbols, deal values, and expected announcement dates. After SIVA officially became MOODHE’s broker, in June 2016, SIVA instructed MOODHE to mark his illicit trades as “solicited” in the New York Bank’s online trading platform, so that it would appear that SIVA had directed the trades as opposed to the suggestion coming from MOODHE. On occasion, SIVA also instructed MOODHE to wait to trade on a tip from RIVAS until SIVA could first trade in the security on behalf of his financial advisory clients, thereby making it look like SIVA had originated the idea.
SIVA and MOODHE’s illicit trading generated in excess of $3 million in profits. SIVA also earned thousands of dollars in commissions on the illegal trades entered on behalf of his clients.
Tipping Chain Number 2: Rivas to Rodriguez and Sablon Insider Trading
RODRIGUEZ and RIVAS were childhood friends in New York City and have maintained a close relationship as adults. Since at least 2014, RODRIGUEZ lived and worked in Miami, Florida, with SABLON, with whom he was also friends. In or about 2015, RODRIGUEZ introduced RIVAS to SABLON. RIVAS and SABLON then communicated with each other directly and developed an independent relationship.
In or about the fall of 2015, RIVAS disclosed to RODRIGUEZ that RIVAS had access to Inside Information by virtue of his position as a corporate insider at the Investment Bank. At RODRIGUEZ’s request, RIVAS also agreed to share Inside Information with SABLON. While RIVAS had originally agreed to divulge Inside Information to RODRIGUEZ because of their history of friendship, RIVAS also learned that RODRIGUEZ and SABLON intended to start an investment fund with the proceeds of the insider trading scheme. RIVAS understood that in exchange for the Inside Information RIVAS was providing to RODRIGUEZ and SABLON, RIVAS would be invited to join the investment fund as a partner once it was successfully launched.
At first, RIVAS communicated with RODRIGUEZ and SABLON primarily via phone and text message. As the scheme progressed, however, so did the methods used by RODRIGUEZ and SABLON to hide their illegal activity. On several occasions, RIVAS met personally with RODRIGUEZ and/or SABLON in Miami, Florida, in order to provide them with Inside Information. RIVAS also provided RODRIGUEZ and SABLON with Inside Information using an encrypted mobile messaging application (the “Messaging App”), which allows users to set a timer to messages to irretrievably “self-destruct.”
In order to maximize the illicit profits that could be earned using RIVAS’s Inside Information, RODRIGUEZ and SABLON, in consultation with RIVAS, initiated an aggressive strategy of purchasing short-term, out-of-the-money call options. In total, from at least in or about 2015 through at least in or about April 2017, RODRIGUEZ and SABLON earned more than $2 million in illicit profits through insider trading in more than two dozen securities based on Inside Information divulged by RIVAS.
Tipping Chain Number 3: Zoquier-Rogiers Insider Trading
For at least the last several years, RIVAS and ZOQUIER, who lives and works in New Jersey, have had a close relationship. ROGIERS lived and worked in California as a computer and network security analyst and had a close relationship with ZOQUIER. In or about 2013, ZOQUIER introduced RIVAS to ROGIERS. Between at least in or about March 2016 and in or about April 2017, RIVAS repeatedly provided ZOQUIER with Inside Information misappropriated from the Investment Bank so that ZOQUIER could execute profitable trades, which ZOQUIER repeatedly did. ZOQUIER was aware that RIVAS was employed by the Investment Bank and had access to Inside Information by virtue of this position. RIVAS shared the Inside Information with ZOQUIER because of their close personal friendship. Beginning in approximately March 2016, ZOQUIER began sharing the Inside Information he received from RIVAS with his close friend ROGIERS so that ROGIERS could execute profitable trades for himself. Throughout the time that ROGIERS was obtaining Inside Information from ZOQUIER, ROGIERS understood that RIVAS was the source of the Inside Information, to which RIVAS had access as a result of his position as a corporate insider at an Investment Bank. In fact, previously, in or about 2015, at ZOQUIER’s request, RIVAS agreed to meet with ROGIERS and explain the nature of the Inside Information to which he had access. ROGIERS understood that RIVAS was supplying the Inside Information to ZOQUIER because they were friends.
ROGIERS also caused other individuals to execute profitable trades based on Inside Information. In total, ZOQUIER and/or ROGIERS caused trades generating nearly $500,000 based on RIVAS’s Inside Information.
* * *
Mr. Kim praised the investigative work of the FBI, and thanked the Securities and Exchange Commission for their assistance. Mr. Kim also thanked the Investment Bank for their assistance during the course of the investigation. He added that the investigation is continuing.
This case is being handled by the Office’s Securities and Commodities Fraud Task Force. Assistant U.S. Attorney Andrea M. Griswold is in charge of the prosecution.
The allegations contained in the Indictment are merely accusations, and the defendants are presumed innocent unless and until proven guilty.
Defendants and Charges
SIVA, RODRIGUEZ, SABLON, ZOQUIER, and ROGIERS are charged with the following offenses, which carry the maximum prison terms listed below:
Count
Defendants
Charge
Maximum Prison Term
One
SIVA
Conspiracy to Commit Securities Fraud and Fraud in Connection with a Tender Offer
5 years
Two
SIVA
Conspiracy to Commit Wire Fraud
20 years
Three
SIVA
Securities Fraud: Thoratec
20 years
Four
SIVA
Securities Fraud: ADT
20 years
Five
SIVA
Securities Fraud: St. Jude
20 years
Six
SIVA
Securities Fraud: Monsanto
20 years
Seven
SIVA
Securities Fraud: Cabela’s
20 years
Eight
SIVA
Securities Fraud: Mead Johnson
20 years
Nine
SIVA
Securities Fraud: NPS Pharma
20 years
Ten
SIVA
Securities Fraud: ZS Pharma
20 years
Eleven
SIVA
Securities Fraud: AUSPEX
20 years
Twelve
SIVA
Securities Fraud: Diamond Resorts
20 years
Thirteen
SIVA
Securities Fraud: Outerwall
20 years
Fourteen
SIVA
Securities Fraud: Raptor
20 years
Fifteen
SIVA
Fraud In Connection with a Tender Offer: NPS Pharma
20 years
Sixteen
SIVA
Fraud In Connection with a Tender Offer: ZS Pharma
20 years
Seventeen
SIVA
Fraud In Connection with a Tender Offer: AUSPEX
20 years
Eighteen
SIVA
Fraud In Connection with a Tender Offer: DRII
20 years
Nineteen
SIVA
Fraud In Connection with a Tender Offer: Outerwall
20 years
Twenty
SIVA
Fraud In Connection with a Tender Offer: Raptor
20 years
Twenty-One
RODRIGUEZ and SABLON
Conspiracy to Commit Securities Fraud and Fraud in Connection with a Tender Offer
5 years
Twenty-Two
RODRIGUEZ and SABLON
Conspiracy to Commit Wire Fraud
20 years
Twenty-Three
RODRIGUEZ and SABLON
Securities Fraud: Monsanto
20 years
Twenty-Four
RODRIGUEZ and SABLON
Securities Fraud: Twitter
20 years
Twenty-Five
RODRIGUEZ and SABLON
Securities Fraud: Brocade
20 years
Twenty-Six
RODRIGUEZ and SABLON
Securities Fraud: LifeLock
20 years
Twenty-Seven
RODRIGUEZ and SABLON
Securities Fraud: Mead Johnson
20 years
Twenty-Eight
RODRIGUEZ and SABLON
Securities Fraud: Panera
20 years
Twenty-Nine
RODRIGUEZ and SABLON
Securities Fraud: Diamond Resorts
20 years
Thirty
RODRIGUEZ and SABLON
Securities Fraud: Outerwall
20 years
Thirty-One
RODRIGUEZ and SABLON
Securities Fraud: Medivation
20 years
Thirty-Two
RODRIGUEZ and SABLON
Securities Fraud: Raptor
20 years
Thirty-Three
RODRIGUEZ and SABLON
Securities Fraud: Nimble
20 years
Thirty-Four
RODRIGUEZ and SABLON
Fraud In Connection with a Tender Offer: Diamond Resorts
20 years
Thirty-Five
RODRIGUEZ and SABLON
Fraud In Connection with a Tender Offer: Outerwall
20 years
Thirty-Six
RODRIGUEZ and SABLON
Fraud In Connection with a Tender Offer: Medivation
20 years
Thirty-Seven
RODRIGUEZ and SABLON
Fraud In Connection with a Tender Offer: Raptor
20 years
Thirty-Eight
RODRIGUEZ and SABLON
Fraud In Connection with a Tender Offer: Nimble
20 years
Thirty-Nine
ZOQUIER and ROGIERS
Conspiracy to Commit Securities Fraud and Fraud in Connection with a Tender Offer
5 years
Forty
ZOQUIER and ROGIERS
Conspiracy to Commit Wire Fraud
20 years
Forty-One
ZOQUIER
Securities Fraud: St. Jude
20 years
Forty-Two
ZOQUIER
Securities Fraud: Twitter
20 years
Forty-Three
ROGIERS
Securities Fraud: Cabelo
20 years
Forty-Four
ROGIERS
Securities Fraud: Macy’s
20 years
Forty-Five
ZOQUIER
Securities Fraud: Diamond Resorts
20 years
Forty-Six
ZOQUIER
Securities Fraud: Outerwall
20 years
Forty-Seven
ROGIERS
Securities Fraud: Outerwall
20 years
Forty-Eight
ZOQUIER
Securities Fraud: Medivation
20 years
Forty-Nine
ROGIERS
Securities Fraud: Medivation
20 years
Fifty
ZOQUIER
Fraud In Connection with a Tender Offer: Diamond Resorts
20 years
Fifty-One
ZOQUIER
Fraud In Connection with a Tender Offer: Outerwall
20 years
Fifty-Two
ROGIERS
Fraud In Connection with a Tender Offer: Outerwall
20 years
Fifty-Three
ZOQUIER
Fraud In Connection with a Tender Offer: Medivation
20 years
Fifty-Four
ROGIERS
Fraud In Connection with a Tender Offer: Medivation
20 years
[1] The charges contained in the Indictment are merely accusations and the defendants are presumed innocent unless and until proven guilty.
Federal Judge Dismisses Negligence Case Brought Against the United StatesRead the Press Release
Spokane– Joseph H. Harrington, Acting United States Attorney for the Eastern District of Washington, announced that, on August 16, 2017, District Judge Rosanna Malouf Peterson dismissed a lawsuit brought by a logging truck driver injured in a motor vehicle accident on the Yakama Indian Reservation.
According to information disclosed during the court proceedings, on January 27, 2014, Plaintiff Jose Vera was driving a logging truck on the Signal Peak Road on the Yakama Indian Reservation when he failed to negotiate a curve and his logging truck went off the road and down an embankment. A passenger in the logging truck was killed in the accident. Vera alleged that the United States, through the Bureau of Indian Affairs, improperly designed the road, failed to maintain the road, and failed to properly erect warning signs or guardrails.
The United States asked the Court to dismiss the case, arguing that the United States had no duty to maintain a road that was located in the Closed Area of the Yakama Indian Reservation. Court records showed that the area where the accident occurred had been closed by the Yakama Nation since at least the early 1990’s and that since the mid-1990’s, the Yakama Nation had taken over complete control of the roads in the Closed Area of the Reservation.
Judge Peterson found that despite the fact that the land on which the accident occurred is owned by the Federal Government and held in trust for the Yakama Nation, control of the Signal Peak Road had been turned over to the Yakama Nation. Judge Peterson concluded “ownership of the land under the circumstances present here does not amount to control or any responsibility for the relevant roadway, or give rise to the duties that Plaintiff alleges.”
This case was defended by Rudy J. Verschoor, Assistant United States Attorney in the Civil Division of the United States Attorney’s Office for the Eastern District of Washington.
Federal Indictments Result in Charges against 32 in Jefferson CountyRead the Press Release
BEAUMONT, Texas – Acting U.S. Attorney Brit Featherston announced today that 32 individuals have been charged in federal firearms related cases this month in the Eastern District of Texas.
A federal grand jury in Beaumont returned 26 federal indictments on Aug. 9, 2017. Law enforcement agencies began arresting defendants today. The following 16 defendants are in custody and will make initial appearances before federal magistrate judges in Beaumont:
-
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Robert Lee Johnson, 43, of Port Arthur, Texas
-
Desmond Harper, 31, of Beaumont, Texas
-
Carlos Rodriguez-Torres, 35, of Lumberton, Texas
-
Ernest Gatlin, 38, of Beaumont, Texas
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Harvey Davis, 38, of Bon Weir, Texas
-
David Wells, 38, of Lumberton, Texas
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Kionte Hawkins, 29, of Beaumont, Texas
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Damon Hargrave, 37, of Beaumont, Texas
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Jakorian Sanderson, 20, of Beaumont, Texas
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LeeJaray Smith, 40, of Beaumont
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Joseph Carter, 39, of Beaumont, Texas
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Dwayne Morgan, 25, of Vidor, Texas
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Dacqure Holmes, 38, of Port Arthur, Texas
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Corey Stone, 35, of Beaumont, Texas
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Arne Koenig, 43, of Buna, Texas; and
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Eric Martin, 32, of Port Arthur, Texas
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The defendants are alleged to have participated in multiple violent crimes in Southeast Texas, including Jefferson, Hardin, Orange, and Jasper counties. Those crimes include bank robbery, firearms violations, drug trafficking violations, money laundering, immigration violations, and conspiracy to commit robberies interfering with interstate commerce. Many defendants are also alleged to have gang affiliations. If convicted, they face penalties of from five years to Life in federal prison.
These cases are being investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives, the Beaumont Police Department, the U.S. Drug Enforcement Administration, the Federal Bureau of Investigation, the Port Arthur Police Department, the Orange Police Department, the Jasper County Sheriff’s Office and the Jefferson County Sheriff’s Office.
A grand jury indictment is not evidence of guilt. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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Federal Indictment Handed Down in Clandestine Pill Laboratory CaseRead the Press Release
Columbia, South Carolina ---- United States Attorney Beth Drake stated that Eric Hughes, 35, of Bluffton, South Carolina; Taylor Place, 23, of Bluffton, South Carolina; and Willie Rice, 25, of Bluffton, South Carolina were charged in a five-count indictment, alleging conspiracy to: a.) distribute U-47700; b.) to distribute Alprazolam, c.) rent property to manufacture counterfeit pills, and d.) manufacturing a controlled substance with reckless disregard for human life, all in violation of Title 21, United States Code, 846.
Hughes and Place are also charged with conspiracy to commit money laundering, a violations of Title 18, United States Code, Section 1956(h); and possessing a firearm in furtherance of a drug trafficking crime, in violation of Title 18, United States Code, Section 924(c). Additionally, Place is charged with felon in possession of a firearm, in violation of Title 18, United States Code, Section 922(g). Hughes and Place face a maximum of life in prison while Rice faces a maximum penalty of up to twenty years.
The case was investigated by agents of the DEA in South Carolina and Georgia. Assistant United States Attorney Jim May is assigned to prosecute the case.
The United States Attorney stated that all charges in these Indictments are merely accusations and that all defendants are presumed innocent until and unless proven guilty.
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