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1 August 2017
Manhattan U.S. Attorney Announces Arrest in Scheme to Defraud Investors in Purported Medical and Pharmaceutical BusinessesRead the Press Release
Joon H. Kim, the Acting United States Attorney for the Southern District of New York, and William F. Sweeney Jr., Assistant Director-in-Charge of the New York Field Office of the Federal Bureau of Investigation (“FBI”), announced today the unsealing of a criminal Complaint charging PATRICK MURACA with wire fraud, in connection with a scheme to defraud investors in purported medical and pharmaceutical companies owned and controlled by MURACA. MURACA was arrested this morning in Pittsfield, Massachusetts, and is expected to be presented in federal court in Springfield, Massachusetts, later today.
Acting U.S. Attorney Joon H. Kim said: “Patrick Muraca promised investors their money would be used to expand his businesses, but as alleged, he instead used those funds to line his pockets. Thanks to the investigative work of the FBI, Muraca must now answer for his fraud.”
FBI Assistant Director-in-Charge William Sweeney said: “The prevalence of fraud in today’s society is simply troubling. Misappropriating investor funds for one’s own indulgences will never be taken lightly, and fraud of any kind will be thoroughly investigated.”
According to the allegations in the Complaint[1] unsealed today in Manhattan federal court:
MURACA, the former President of Nuclea Biotechnologies, Inc., which filed for bankruptcy in August 2016, founded two new businesses in 2016: NanoMolecularDX LLC (“NanoMolecular”) and MetaboRx LLC (“Metabo”). In sworn testimony during a deposition conducted by the Securities and Exchange Commission (“SEC”) in April 2017, MURACA stated that NanoMolecular’s primary business is to develop medical diagnostic tests and that Metabo is a pharmaceutical company.
From at least in or about May 2016 up to and including in or about June 2017, MURACA solicited and received a total of more than approximately $1 million from investors by making false and misleading representations that the investors’ money would be used to expand the business of NanoMolecular and Metabo. MURACA then misappropriated hundreds of thousands of dollars of these investors’ funds and used the misappropriated money for personal expenses. For example, MURACA spent tens of thousands of dollars of investor funds on rent, utilities, and food distributor expenses related to the operation of a restaurant owned by his fiancée. In addition, MURACA wrote approximately $176,000 in checks to himself from the bank accounts associated with NanoMolecular and Metabo, and he used investor funds to make purchases of hundreds of dollars each at a cigar store, an online ticket retailer, and a tattoo and piercing establishment, among other businesses.
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MURACA, of Pittsfield, Massachusetts, is charged in the Complaint with one count of wire fraud, which carries a maximum sentence of 20 years in prison. The maximum potential sentence is prescribed by Congress and is provided here for informational purposes only, as any sentencing of the defendant will be determined by the judge.
Mr. Kim praised the investigative work of the FBI in this case, and thanked the SEC, which has filed civil charges in a separate action.
The case is being prosecuted by the Office’s Complex Frauds and Cybercrime Unit. Assistant United States Attorney David Abramowicz is in charge of the prosecution.
The charge contained in the Complaint is merely an accusation, and the defendant is presumed innocent unless and until proven guilty.
[1] As the introductory phase 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.
Kansas City Man Sentenced in Leawood Bank RobberyRead the Press Release
KANSAS CITY, KAN. - A Kansas City man was sentenced Monday to more than five years in federal prison for bank robbery, U.S. Attorney Tom Beall said.
Terry Lovelady, 58, Kansas City, Mo., was sentenced to 70 months. Lovelady pleaded guilty to one count of bank robbery. He admitted that on Aug. 24, 2016, he robbed the Central Bank of the Midwest at 4801 Town Center Drive in Leawood and fled in a getaway car driven by a co-defendant. The robbers led police on a high-speed chase, running red lights and cutting off other drivers. Eventually, the getaway car jumped a curb, rolled down a hill and came to a stop in a parking lot at St. Joseph Medical Center in Missouri. The robbers fled the car on foot and were soon arrested.
Co-defendant Chad English, 43, Kansas City, Mo., was sentenced in May to 52 months.
Beall commended the FBI, the Leawood Police Department, the Kansas City, Mo., Police Department and Assistant U.S. Attorney Leon Patton for their work on the case.
Justice Department Continues Aggressive Prosecutions of Transnational Criminal Organizations and Their SubsidiariesRead the Press Release
The Department of Justice today released a report detailing the convictions of members of transnational criminal organizations during the third quarter of the Fiscal Year 2017. The report highlights this Administration and the Justice Department’s aggressive pursuit of criminal groups seeking to cause Americans harm.
On Feb. 9, 2017, President Donald J. Trump issued an Executive Order on Enforcing Federal Law with Respect to Transnational Criminal Organizations and Preventing International Trafficking. The Department of Justice is working together in partnership with the Department of State, Department of Homeland Security, and the Office of the Director of National Intelligence to implement Executive Order 13773.
Included in the report are 506 convictions in cases targeting transnational criminal organizations in the third quarter, together with additional reporting from the Organized Crime Drug Enforcement Task Forces for the second quarter. This brings the number of convictions in the second quarter to 754. In all, the Department of Justice has reported 1,260 convictions of members of transnational criminal organizations and their subsidiaries since Jan. 1, 2017.
“At a time when homicide rates are up in 27 of our 35 biggest cities and violent crime is rising, the Trump administration has made it a top priority to deter and reduce violent crime through enforcing our laws,” said Attorney General Jeff Sessions. “One of the gravest threats we face is from transnational criminal organizations, and the Department of Justice is taking on this threat, convicting more than 1,260 gang members already this year. These convictions send a clear message to gang members and would-be criminals through this country: we will find you and bring you to justice.”
The accompanying report, provided in accordance with Section 3 (g) of the Executive Order, provides information pertaining to the number of convictions in investigations involving transnational criminal organizations as reported by the Department of Justice, for the period beginning April 1, 2017 and ending June 30, 2017.
Highland Heights man faces likely sentence of 12 years in prison for selling fentanyl that killed Cleveland teenRead the Press Release
A Highland Heights man pleaded guilty to selling furanyl fentanyl that resulted in the fatal overdose of a Cleveland teen, said Acting U.S. Attorney David A. Sierleja and Cleveland Police Chief Calvin Williams.
Alec J. Steinberger, 22, is scheduled to be sentenced Oct 31. Under the terms of his plea agreement, he faces a likely sentence of 12 years in prison.
Steinberger pleaded guilty to distribution of a controlled substance the resulted in death, possession of a controlled substance with intent to distribute, attempted possession of a controlled substance with intent to distribute and use of a communication facility in furtherance of a drug offense.
“We continue to go after drug dealers who sell opioids that kill our children, friends and neighbors,” Sierleja said. “Aggressive prosecution, combined with increased treatment, prevention and changes in prescribing practices are key to turning the tide on the heroin and opioid epidemic.”
“Investigators of the Heroin Death Investigation Team are trained to investigate heroin overdose cases and link the victims back to the dealers,” said Cleveland Division of Police Chief Calvin D. Williams. “It is through the combined efforts of law enforcement, at the local, state and federal levels, and prosecutors of the U.S. Attorney’s Office that these indictments are secured and convictions are won. It is the hope that these examples will deter others from continuing this deadly cycle.”
Beginning on Jan. 30, 2016, Steinberger received Alprazolam (also known as Xanax) and furanyl fentanyl for distribution. Furanyl fentanyl is a potent synthetic opioid. These drugs came to Steinberger through the mail, according to the indictment.
On Feb. 23, 2016, Steinberger texted an associated: “I just got a pack bro.” He then informed several people that he had drugs for sale, including a man identified in the indictment only as L.H.
Steinberger texted L.H. repeatedly the next day. Messages included: “bro I did it last night any my pupils got so small they disappeared and then I was nodding for 18 hrs,” “Bro this is uncut from the road” and “this is uncut from china,” according to the indictment.
Steinberger then repeatedly texted L.H. if he knew anyone that could cut or dilute the drugs and repackage it for sale. Steinberger texted: “We gonna chill tmr” “and go to the hood and give samples” and “try and find out how to cut and re rock,” according to the indictment.
Shortly after midnight on Feb. 25, Steinberger texted L.H.: “Find me customers and tell them you’re the plug and I’ll get it to you and then sell it and cut u in a tiny bit and throw u a free (Klonopin) and dope,” according to the indictment.
On Feb. 25, L.H. fatally overdosed on furanyl fentanyl he bought from Steinberger, according to the indictment.
This case is being prosecuted by Assistant U.S. Attorney Matthew J. Cronin following an investigation by the U.S. Postal Inspection Service and Cleveland Division of Police.
Garland Couple Who Stole/Unlawfully Obtained Patient Identification Information Sentenced to Federal Prison TermsRead the Press Release
DALLAS — A former employee at Parkland Health and Hospital System in Dallas (Parkland), Viju Mathew, and his wife, Mariamma Viju, a registered nurse who worked at Baylor University Medical at Dallas (Baylor), who pleaded guilty to federal charges stemming from their theft/unlawfully obtaining patient identification information, were sentenced today by U.S. District Judge Jane J. Boyle, announced U.S. Attorney John Parker of the Northern District of Texas.
Viju Mathew, 52, and his wife, Mariamma Viju, also 52, were sentenced to 30 months imprisonment and ordered to pay $297,957.89 in restitution to Medicare. Mathew pleaded guilty in November 2014 to one count of fraud and related activity in connection with identification documents, authentication features and information (identity theft) and Viju pleaded guilty in May 2016 to one count of wrongful disclosure of individually identifiable health information (HIPAA violation). Both defendants reside in Garland, Texas. Judge Boyle ordered they surrender to the Bureau of Prisons on August 30, 2017.
According to plea documents filed in the cases and the evidence produced during the sentencing hearing, which spanned four days, Mathew and Viju both stole patient identities from their jobs at local hospitals and used the stolen patient information to solicit patients for the home health care agency they jointly owned and operated, Dallas Home Health. Mathew worked as a registration specialist at Parkland, where he was responsible for entering patient information into Parkland’s computer system. Mathew used his position to obtain confidential information for more than 3,000 patients, including patients’ names, telephone numbers, dates of birth, participation in the Medicare program, and government-issued health insurance claim numbers. Mathew admitted that he knowingly removed the confidential information intending to use it to gain an economic benefit by contacting prospective patients for his home health care business, Dallas Home Health.
Viju worked as a registered nurse at Baylor until she was terminated in October 2012. While employed at Baylor, she surreptitiously collected Baylor patient identification information, specifically, identifying health information, to recruit them as patients of Dallas Home Health, where she served as Director of Nursing.
The evidence also showed that Dallas Home Health obtained patient certifications from a number of doctors who have been convicted or charged in other health care fraud cases in the Northern District of Texas including Nicholas Padron (Case No. 3:12-CR-310), Jacques Roy (3:12-CR-054-L), and Hector Molina (Case No. 3:15-CR-163-K).
The FBI, Department of Health and Human Services Office of Inspector General, and the Texas Attorney General’s Medicaid Fraud Control Unit investigated. Assistant U.S. Attorney Doug Brasher prosecuted the cases.
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Former Pastor of St. Mary’s County Church Sentenced to 18 Months Home Confinement for Federal Bank Fraud ChargesRead the Press Release
FOR IMMEDIATE RELEASE Contact ELIZABETH MORSE
www.justice.gov/usao/md at (410) 209-4855
Greenbelt, Maryland – U.S. District Judge Deborah K. Chasanow sentenced John S. Mattingly, age 71, of Charlotte Hall, Maryland, to 3 years supervised release that includes 18 months of home confinement for bank fraud in connection with a scheme to steal funds from St. Francis Xavier Catholic Church, while he was the pastor. Judge Chasanow also ordered Mattingly to pay $400,000 in restitution, which Mattingly paid prior to the sentencing hearing.
The sentence was announced by Acting United States Attorney for the District of Maryland Stephen M. Schenning; Special Agent in Charge Gordon B. Johnson of the Federal Bureau of Investigation, St. Mary’s County Sheriff Tim Cameron, and St. Mary’s County State’s Attorney Richard Fritz.
According to his plea agreement, Mattingly was ordained as a Roman Catholic priest in 1972 and was the pastor of St. Francis Xavier Catholic Church (St. Francis), in Leonardtown, Maryland, from 1994 until September 1, 2010, when he resigned. While serving as a parish priest, Mattingly was paid a salary and stipend by St. Francis.
From September 2006 through September 2010, Mattingly fraudulently deposited checks from parishioners made payable to St. Francis and to the St. Vincent de Paul Society, which were intended by the St. Francis parishioners to be charitable donations, into a bank account he controlled. In order to conceal the scheme, Mattingly falsely represented that that the checks he deposited into his bank account would be used for charitable purposes and/or church maintenance and renovations. Mattingly did not use the charitable contributions from the St. Francis parishioners for their intended purposes, but instead transferred the fraudulently obtained funds from his bank account to his personal individual retirement account. He also wrote unauthorized checks from the St. Francis bank account payable to himself and deposited those checks into his personal individual retirement account.
Mattingly fraudulently deposited more than 500 checks, totaling at least $400,000, written by more than 135 parishioners and made payable to St. Francis or the St. Vincent de Paul Society, and not to Mattingly.
Acting United States Attorney Stephen M. Schenning commended the FBI, St. Mary’s County Sheriff’s Office, and St. Mary’s County State’s Attorney’s Office for their work in the investigation. Mr. Schenning thanked Assistant U.S. Attorney Bryan E. Foreman, who prosecuted the case.
Former Ft. Myers Housing Director Pleads Guilty to Embezzling ThousandsRead the Press Release
Fort Myers, Florida – Acting United States Attorney W. Stephen Muldrow announces that Twaski Jackson (38, Lee County) today pleaded guilty to a two count information charging him with stealing and embezzling thousands of dollars from the City of Fort Myers Housing Authority and the Lee County Housing Authority. Both agencies receive federal funds to further their mission of providing affordable housing to low income families. Jackson faces a maximum penalty of 10 years in federal prison for each count. A sentencing date has not yet been set.
According to the
plea agreement , Jackson served as the Director of Client Services for both housing authorities from 2012 until 2016. As part of his position, he had the authority to approve credit card disbursements and checks written on behalf of the agencies. Jackson used that authority to approve expenditures that benefited himself and his friends. Various personal charges were made, including payments of his own college tuition and personal trips. He also improperly paid a “vendor” (actually Jackson’s friend) who performed no services for the agencies, without authorization. The two then split the money.Over a three-year period, Jackson bilked the agencies for over $86,000. Jackson’s plea agreement requires him to forfeit the proceeds of his crime and to repay his victims.
This case was investigated by the U.S. Department of Housing and Urban Development. It is being prosecuted by Assistant United States Attorney Michael V. Leeman.
Former Executive Director of Jersey City Child Development Centers Gets 18 Months in Prison for Stealing More Than $250,000Read the Press Release
NEWARK, N.J. - A Jersey City, New Jersey, man was sentenced today to 18 months in prison for stealing more than $250,000 from the Jersey City Child Development Centers Inc. (JCCDC), an organization that provided early childhood development services and education to under-privileged children, Acting U.S. Attorney William E. Fitzpatrick announced.
Robert E. Mays, 40, previously pleaded guilty before U.S. District Judge Susan D. Wigenton to an information charging him with one count of wire fraud. Judge Wigenton imposed the sentence today in Newark federal court.
According to documents filed in this case and statements made in court:
Mays was the executive director of JCCDC from Sept. 2013 to May 2014. Mays admitted that he stole more than $250,000 from JCCDC by unilaterally increasing his annual salary from $96,500 to $155,000 after being employed by JCCDC for only two months. He also admitted that he created false board of director’s minutes to give the impression JCCDC authorized the salary increase.
In addition, Mays admitted he withdrew funds from a JCCDC bank account to pay for unauthorized personal expenses, including a 2007 Maserati Quattroporte and a fur coat worth thousands of dollars.
In addition to the prison term, Judge Wigenton sentenced Mays to three years of supervised release and ordered him to pay restitution of $257,418.20.
Acting U.S. Attorney Fitzpatrick credited special agents of the FBI, under the direction of Special Agent in Charge Timothy Gallagher, and special agents of the U.S. Department of Health and Human Services, Office of the Inspector General, under the direction of Special Agent in Charge Scott J. Lampert, with the investigation. He also thanked the Hudson County Prosecutor’s Office, under the direction of Prosecutor Esther Suarez, for its assistance.
The government is represented by Assistant U.S. Attorney Mark J. McCarren of the U.S. Attorney’s Office Special Prosecutions Division and Sarah Devlin of the Office’s Asset Forfeiture and Money Laundering Unit in Newark.
Defense counsel: Alexander W. Booth Jr., Union City, New Jersey
Former Deputy Executive Director of USAID Contractor Sentenced for Theft of Grant FundsRead the Press Release
WASHINGTON – Eugene Sickle, the former deputy executive director of a South African research institute, was sentenced today to seven months of incarceration and ordered to pay $206,250 in restitution for a scheme in which he stole grant funds originating with the U.S. Agency for International Development (USAID).
The sentencing, in the U.S. District Court for the District of Columbia, was announced by Channing D. Phillips, U.S. Attorney for the District of Columbia, and Jonathan Schofield, Special Agent in Charge for the USAID Office of Inspector General, Office of Investigations.
Sickle, 47, a chemist and a citizen of South Africa, pled guilty in May 2017 to a charge of theft concerning programs receiving federal funds. The plea, which was contingent upon the Court’s approval, called for an agreed-upon sentence of six months to 12 months and a day of incarceration. The Honorable Ketanji Brown Jackson accepted the plea today and sentenced Sickle accordingly. In addition to the restitution order, the judge issued a forfeiture money judgment of $206,250. Following his release, Sickle will be subject to deportation proceedings.
Based in Washington, D.C., USAID is a U.S. government agency that provides international development assistance and humanitarian aid worldwide. It implements and administers foreign assistance programs and funds, including those supporting global health, from dedicated offices (“missions”) around the world. USAID’s South Africa mission is one such office that works with local organizations in that country. USAID’s Office of Inspector General bases investigators in 11 countries outside the United States, including South Africa, and provides oversight of USAID programs and operations around the world.
According to a statement of offense, signed by the defendant as well as the government, Sickle was deputy executive director of the Wits Reproductive Health and HIV Institute, a South African research institute focusing on sexual and reproductive health as well as vaccine-preventable diseases. Its primary source of funding is USAID, and Sickle administered grant funds for projects. One such project involved a mobile electronic device software application, in connection with the South African National Department of Health, which would help facilitate safer childbirth deliveries in South Africa.
On Oct. 2, 2015, according to the statement of offense, Sickle and the institute’s chief executive officer signed a contract with a company called Alzar Consulting Services Ltd. to develop the childbirth app. Likewise, an individual named “Dr. Carla Das Neves” Alzar’s purported director, signed the contract. Pursuant to this contract, the institute made two payments to Alzar totaling $206,250. However, the childbirth app has never been developed.
Subsequent investigation revealed that Sickle created Alzar in the British Virgin Islands. Unbeknownst to anyone at the research institute, he was the sole owner of the company. Sickle also created e-mail accounts for Alzar and fake Alzar employees, including “Carla Das Neves.” He created a fake LinkedIn page for “Carla Das Neves,” which had a beach scene for a picture, and falsely claimed that “Carla Das Neves” was a trained expert in aid/relief work.
Sickle shepherded the research institute’s contract with Alzar through the approval and compliance process. He signed the contract both as himself and also as “Carla Das Neves.”
According to the statement of offense, Sickle did not perform any of the work required under the contract, nor did anyone else. None of the USAID money was used for its intended purpose to facilitate safer childbirth in South Africa. Instead, Sickle diverted the money to himself personally, and an associate.
Sickle resigned from his position last year. Agents with the USAID Inspector General’s Office arrested him in Washington, D.C., in February 2017. He has been in custody ever since.
This case was investigated by the U.S. Agency for International Development Office of Inspector General. It was prosecuted by Assistant U.S. Attorneys John P. Marston and Denise Simmonds and Special Assistant U.S. Attorney Vesna Harasic-Yaksic of the U.S. Attorney’s Office for the District of Columbia.
Former City of Vallejo Employee Pleads Guilty to Accepting a BribeRead the Press Release
SACRAMENTO, Calif. — Donald Burton, 51, of Vallejo, pleaded guilty today for his part in a bribery scheme involving city contracts, U.S. Attorney Phillip A. Talbert announced.
According to court documents, Burton was previously employed in the Public Works Engineering Division of the City of Vallejo as the landscape manager. In that position, Burton regularly contracted with local landscape companies to provide services for Vallejo. The City of Vallejo received substantial federal funding, including over $500,000 in Community Development Block Grants from the U.S. Department of Housing and Urban Development.
In the Spring of 2017, Burton solicited a bribe from the owner of a company that provides maintenance services, requesting a 10 percent kickback in exchange for steering contracts to that company. The business owner complained to the Federal Bureau of Investigation and assisted in the investigation by meeting with Burton in an undercover capacity. During those meetings, Burton directed that additional days of work be added to contracted jobs so that Burton and the owner could divide up the profit. Burton stated that the excess amount in the contracts would generally add up to $5,000, and that Burton would take $2,000.
According to the plea agreement, the business owner provided the written contracts that inflated the number of days required to do a job from 10 days to 15, and Burton approved and signed the contracts. On June 7, 2017, the business owner met with Burton and gave him the $2,000 bribe payment. Burton was arrested after taking the payment.
This case is the product of an investigation by the Federal Bureau of Investigation. Assistant U.S. Attorney Jared C. Dolan is prosecuting the case.
Burton is scheduled to be sentenced by U.S. District Judge John A. Mendez on November 7, 2017. Burton faces a maximum statutory penalty of 10 years in prison and a $250,000 fine. The actual sentence, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.
Former Bullitt County Sheriff’s Special Deputy Sentenced to 36 Months in Prison for Money Laundering, Trafficking in Meth and MarijuanaRead the Press Release
Co-defendants admitted to concealing the criminal activities from law enforcement
LOUISVILLE, Ky. – United States Attorney John E. Kuhn, Jr. today announced the sentencing of a former Bullitt County, Kentucky, Special Sheriff’s Deputy, to 36 months in prison, followed by a five year period of supervised release, and ordered to pay a $10,000 fine, by United States District Judge David J. Hale, for trafficking in marijuana and methamphetamine and concealing the financial proceeds (money laundering). Two co-defendants admitted to concealing the criminal activities from law enforcement during a 15 month period.
Christopher A. Mattingly, 40, of Shepherdsville, Kentucky, admitted that between March 2014 and June 2015, he conspired with other named defendants to knowingly and intentionally distributing more than 1000 kilograms but less than 3000 kilograms of marijuana imported from California and distributed in the Western District of Kentucky and elsewhere. At trial, the United States would have proved these facts by introducing recordings of conversations between the defendant and a co-conspirator, and between the defendant and a reliable confidential informant, wherein the defendant makes statements probative of knowledge and intent to distribute large quantities of marijuana.
Additionally, Mattingly admitted that between March 2014 and June 2015, he conspired with the other named defendants to conduct financial transactions with monetary proceeds derived from trafficking in marijuana, by depositing some proceeds in the bank and by using other proceeds to pay for marijuana shipments. The United States would have proven these facts by introducing the defendant’s bank records and eliciting testimony from a reliable confidential informant.
Finally, Mattingly admitted that between February 2015 and June 2015, he conspired with other persons to knowingly and intentionally distributing more than 500 grams but less than 1.5 kilograms of a substance containing a detectable amount of methamphetamine. The United States would have proven these facts by eliciting testimony from unindicted co-conspirators and from a reliable confidential informant.
Ronald A. Shewmaker and Eddie Whitfill, both from Bullitt County, previously admitted to concealing their knowledge of Mattingly’s illegal activities from law enforcement between March 2014 and June 2015. They were sentenced to probation. Co-defendants Hector Renato Orozco Landa and Raymond Carillo remain at large. Both are charged with conspiracy to distribute marijuana and money laundering.
This case was prosecuted by Assistant United States Attorney Larry E. Fentress and was investigated by DEA and the Bullitt County Sheriff’s Department.
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Former BP Agent Sentenced for Attempting to Entice a ChildRead the Press Release
LAREDO, Texas – A 50-year-old former Border Patrol (BP) agent has been ordered to federal prison for attempting to entice a minor to engage in sexual activity, announced Acting U.S. Attorney Abe Martinez. Salvador Contreras pleaded guilty March 7, 2017.
Today, U.S. District Judge Marina Garcia Marmolejo ordered Contreras to federal prison for 132 months. He will also serve 15 years of supervised release following completion of his prison term, during which time he will have to comply with numerous requirements designed to restrict his access to children and the Internet. He will further be ordered to register as a sex offender.
In handing down the sentence, Judge Marmolejo referenced the defendant's claim that this was all part of a fantasy, noting he travelled a very long way to make the fantasy a reality. She further commented that she did not sense any real empathy from Contreras for what he was going to do and mentioned that some of his comments at the hearing were troubling. Contreras called himself a sex addict and that he was just "looking for his next high."
Contreras was arrested Dec. 2, 2016, in Cotulla. Prior to that, he had been in contact with an undercover agent whom he believed had an eight and 14-year-old daughters. During their conversations, Contreras transmitted numerous images of child pornography. He then travelled from Del Rio to Cotulla believing he would be engaging in sexual activity with both minor females. He was arrested upon his arrival and resigned shortly thereafter.
Customs and Border Protection - Office of Inspector General and Immigration and Customs Enforcement’s Homeland Security Investigations conducted the investigation with the assistance of the United States Attorney’s Office for the Western District of Texas. Assistant U.S. Attorney Alfredo De La Rosa prosecuted the case.
Firearms Smuggler Pleads GuiltyRead the Press Release
LAREDO, Texas – A 27-year-old Laredoan has entered a guilty plea for his role in recruiting and leading a firearms smuggling ring, announced Acting U.S. Attorney Abe Martinez.
Between March 2016 and November 2016, Juan Diego Madrid recruited several individuals, including two of his brothers, to purchase civilian variants of firearms currently issued to military forces from various local firearms dealers. Madrid then conspired to smuggle the firearms into Mexico.
The straw purchasers Madrid recruited bought at least 36 AR-15 and AK-47-type semiautomatic rifles, Beretta 92FS and DPMS AR-type rifles from Academy and Kirkpatrick Guns & Ammo stores in Laredo and San Antonio. Madrid would purchase the firearms from the straw purchasers and then re-sell them at a profit to a co-conspirator who would then arrange for the firearms to be smuggled into Mexico. Madrid, already a convicted felon, is prohibited from purchasing, owning or possessing firearms.
Madrid will be sentenced before United States District Court Judge Diana Saldana at a date to be determined in the near future. He was permitted to remain on bond pending that hearing.
The Bureau of Alcohol, Tobacco, Firearms and Explosives and Immigration and Customs Enforcement’s Homeland Security Investigations conducted the investigation. Assistant U.S. Attorney (AUSA) Homero Ramirez and Special AUSA Lisa Ezra are prosecuting the case.
- Firearms Crime Report
Federal Inmate Charged with Possession of A WeaponRead the Press Release
WILLIAMSPORT - The United States Attorney’s Office for the Middle District of Pennsylvania announced today that Dejuan Leonard, age 23, a prisoner at Federal Correctional Institution, Allenwood (FCI Allenwood) was indicted on July 27, 2017, by a federal grand jury for possessing a weapon in prison.
According to United States Attorney Bruce D. Brandler, the indictment alleges that Leonard was found in possession of a homemade sharpened piece of plastic, commonly referred to as a “shank,” during a search conducted on May 4, 2017.
The charges stem from an investigation by FCI Allenwood and the Federal Bureau of Investigation. Assistant United States Attorney Alisan VanFleet is prosecuting the case.
Indictments are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
The defendant is facing a maximum of five years’ imprisonment and a $250,000 fine. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant's educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
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Federal Grand Jury Indicts 18 in Methamphetamine Distribution ConspiracyRead the Press Release
GREENEVILLE, Tenn. – On July 11, 2017, a federal Grand Jury in Greeneville returned a 49-count indictment against the following individuals for their roles in the distribution of methamphetamine:
David Byron Jones, 60, of Chatsworth, Georgia;
Jonathan Delph, 50, of Rogersville, Tennessee;
Clay Seals, Jr., 50, of Surgoinsville, Tennessee;
Stephanie Bailey, 49, of Hawkins County, Tennessee;
Donna Strong, 53, a.k.a. Donna Dunbar, of Surgoinsville, Tennessee;
Curtis Carpenter, 42, of Whitesburg, Tennessee;
Jerry Robinette, 49, of Rogersville, Tennessee;
Edward Smith, 51, of Rogersville, Tennessee;
Tyler Delph, 24, of Rogersville, Tennessee;
Scottie Delph, 48, of Rogersville, Tennessee;
James Michael Whitaker, 54, of Rogersville, Tennessee;
Paul Bledsoe Jr., 43, of Morristown, Tennessee;
William West, 57, a.k.a. Bump, of Rogersville, Tennessee;
Frankie Benton, 33, of Hawkins County, Tennessee;
James Dwayne Byington, 49, of Rogersville, Tennessee;
Leonard Brad Eidson, 42, of Bull’s Gap, Tennessee;
Phillip Burton, 48, a.k.a. Burger, of Rogersville, Tennessee; and
Toby Jones, 39, of Chatsworth, Georgia.
Trial before the Honorable J. Ronnie Greer, U.S. District Court Judge, has not yet been set.
The indictment, on file with the U.S. District Court, alleges that each of these individuals was involved in a conspiracy to distribute 50 grams or more of methamphetamine in the Eastern District of Tennessee and elsewhere. Carpenter, Robinette, Smith, Burton, Tyler Delph, and Seals were also each charged with one count of possession of a firearm in furtherance of a drug trafficking crime. The indictment also alleges other charges related to the distribution and possession with the intent to distribute methamphetamine as well as the unlawful possession firearms.
If convicted of the methamphetamine conspiracy charge, each faces a minimum mandatory prison term of at least 10 years and up to life, at least five years of supervised release, a fine of up to $10,000,000, any applicable forfeiture, and a $100 special assessment. The punishment for the firearm charges returned against Carpenter, Robinette, Smith, Burton, Tyler Delph, and Seals is a minimum mandatory term of at least five years and up to life in prison, which must be served consecutively to any other prison term imposed, up to five years supervised release, a fine of up to $250,000, and a $100 special assessment.
The on-going investigation leading to the indictment was the product of a partnership between Hawkins County Sheriff’s Department, Third Judicial Drug Task Force, Hamblen County Sheriff’s Department, Tennessee Highway Patrol, Tennessee National Guard Counterdrug Task Force, Conasauga (Georgia) Safe Streets Task Force, U.S. Marshal Service, Bureau of Alcohol, Tobacco, Firearms and Explosives, and Federal Bureau of Investigation. Assistant U.S. Attorney J. Christian Lampe will represent the United States.
Members of the public are reminded that an indictment constitutes only charges and that every person is presumed innocent until his or her guilt has been proven beyond a reasonable doubt.
The investigation is a result of the Department of Justice’s Organized Crime and Drug Enforcement Task Force (OCDETF) program, the centerpiece of the Department of Justice’s drug supply reduction strategy. OCDETF was established in 1982 to conduct comprehensive, multi-level attacks on major drug trafficking and money laundering organizations. Today, OCDETF combines the resources and expertise of its member federal agencies in cooperation with state and local law enforcement. The principal mission of the OCDETF program is to identify, disrupt, and dismantle the most serious drug trafficking and money laundering organizations and those primarily responsible for the nation’s drug supply.
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Ellicott City Man Sentenced to Four Years in Prison for $4.4 Million Insurance Fraud SchemeRead the Press Release
FOR IMMEDIATE RELEASE Contact ELIZABETH MORSE
www.justice.gov/usao/md at (410) 209-4885
Baltimore, Maryland – U.S. District Judge George L. Russell sentenced Glenn R. Fischer, age 70, of Ellicott City, Maryland, to four years in prison, followed by three years of supervised release, for wire fraud and aggravated identity theft arising from a scheme to defraud businesses seeking insurance. Fischer admitted that he fraudulently collected more than $4.4 million in insurance premiums, which he did not remit to an insurance company, causing losses in that amount to the victims who thought they were insured.
The sentence was announced by Acting United States Attorney for the District of Maryland Stephen M. Schenning and Special Agent in Charge Gordon B. Johnson of the Federal Bureau of Investigation, Baltimore Field Office.
According his plea agreement, from 2002 to about 2014, Fischer was a partner at TriArc Financial Services, Inc. (TriArc Services), which provided automotive and mortgage insurance products, including residual value insurance. Residual Value Insurance (“RVI”) helped companies leasing vehicles to consumers to manage the risk from decreases in the value of the vehicle during the term of an auto lease. RVI typically provided for payments to the owner of a leased vehicle if the value of the vehicle at the end of the lease was less than a certain amount specified in the terms of the insurance coverage when the lease began. In the early 2000s, RVI policies were widely issued by insurance companies and TriArc Services generated substantial revenue for the company and its partners, including Fischer, who served as insurance brokers for RVI products. In 2008 and 2009, in conjunction with the financial recession and changes in consumers’ desires for used automobiles, many insureds suffered substantial losses under RVI insurance policies.
Fischer admitted that from 2009 until 2014, he persuaded victim businesses to purchase RVI insurance coverage, which Fischer knew did not exist, so that Fischer could use a substantial portion of the victims’ insurance premiums for his personal benefit. Specifically, in the summer of 2009, Fischer created a Nevada corporation called TriArc Marketing Solutions (TriArc Solutions) and opened bank accounts for TriArc Solutions. During the course of the scheme, Fischer caused prospective insureds to believe that he that he was authorized to issue RVI policies on behalf of TriArc Services, a multinational property and casualty insurance company specializing in coverage for small to medium sized businesses, and one of that business’ subsidiaries. Fischer also concealed the creation and use of TriArc Solutions from his partners at TriArc Services.
Fischer created and sent false insurance coverage documents, fraudulent emails, premium invoices, lists of covered vehicles, and other documents to victim companies, causing them to falsely believe that they had purchased RVI insurance through Fischer. Fischer used the identity of an employee of a multinational property and casualty insurance company in furtherance of the fraud, including his name, title and purported signature on the declaration pages of the fake insurance policies. Fischer concealed from the employee and the company that Fischer was pretending to issue RVI insurance policies on behalf of the company.
Fischer collected more than $4.4 million in RVI insurance premiums from the victims, which he deposited into the TriArc Solutions bank accounts. Fischer and his relatives used the proceeds of the insurance premium payments for their personal benefit.
Fischer also admitted that he failed to report a significant portion of the money he obtained from the fraud on his annual tax returns for the 2009 through 2014 calendar years. The total income Fischer received, but did not report to the IRS for these tax years exceeded $3.3 million, which generated a substantial tax loss to the United States.
As part of his plea agreement, Fischer will be required to forfeit all property constituting, derived from, or traceable to the proceeds of the fraud, in the amount of $4.4 million. In addition, Fischer was ordered to pay $3,823,529.00 in restitution.
Today’s sentence is part of the efforts undertaken in connection with the President’s Financial Fraud Enforcement Task Force. The task force was established to wage an aggressive, coordinated and proactive effort to investigate and prosecute financial crimes. With more than 20 federal agencies, 94 U.S. attorneys’ offices, and state and local partners, it’s the broadest coalition of law enforcement, investigatory and regulatory agencies ever assembled to combat fraud. Since its formation, the task force has made great strides in facilitating increased investigation and prosecution of financial crimes; enhancing coordination and cooperation among federal, state and local authorities; addressing discrimination in the lending and financial markets; and conducting outreach to the public, victims, financial institutions and other organizations. Since fiscal year 2009, the Justice Department has filed over 18,000 financial fraud cases against more than 25,000 defendants. For more information on the task force, please visit www.StopFraud.gov.
Acting United States Attorney Stephen M. Schenning commended the FBI for its work in the investigation. Mr. Schenning thanked Assistant U.S. Attorneys Harry M. Gruber and David Metcalf, who prosecuted the case.
Elk City Man Sentenced to Five Years for Theft and Gun CrimesRead the Press Release
Oklahoma City, Oklahoma – JACOB SHANE McCAIN, 28, of Elk City, Oklahoma, was sentenced on July 27, 2017, to 60 months in prison for transporting stolen property across state lines and being a felon in possession of a firearm, announced Mark A. Yancey, United States Attorney for the Western District of Oklahoma.
On September 6, 2016, McCain pled guilty to two separate crimes: transporting stolen goods across state lines and possessing a firearm as a convicted felon. According to court filings, McCain rented a 2012 skid steer valued at $73,000 from Warren Caterpillar in Oklahoma City in February 2015. A few days later, he sold the skid steer to an individual in Kansas for $10,000. Warren Caterpillar promptly reported the theft to the Oklahoma City Police Department, and the skid steer was recovered and returned. Further investigation determined that McCain had pawned two firearms in the summer of 2015. Because he had two felony convictions out of Beckham County, Oklahoma, he committed a federal felony when he possessed these weapons.
On July 27, 2017, U.S. District Judge Timothy D. DeGiusti sentenced McCain to 60 months in the custody of the Federal Bureau of Prisons. After his prison term, McCain will serve three years on supervised release. McCain was also ordered to pay $258,616 in restitution, based in part on similar crimes he committed.
This case is the result of an investigation by the Oklahoma State Bureau of Investigation and the Federal Bureau of Investigation’s Major Theft Task Force, which consists of partners from Oklahoma City FBI, OSBI, the Garvin County Sheriff’s Office, and the Oklahoma Department of Agriculture, Food & Forestry. The Tulsa Police Department also provided investigative assistance. Assistant U.S. Attorney Edward J. Kumiega prosecuted the case.
Dennehotso Man Sentenced to 13 Months for Assault on a Navajo Nation Police OfficerRead the Press Release
PHOENIX– Yesterday, Reed O’Brien Thomas, Jr., 27, from Dennehotso, Ariz., was sentenced by U.S. District Judge G. Murray Snow to 13 months in prison, followed by three years of supervised release. Thomas had previously pleaded guilty to assaulting a federal officer.
The investigation revealed that on August 17, 2016, Navajo Nation police officers responded to a domestic dispute on the Navajo Indian Reservation. Thomas fought with the officers, and during the struggle, one of the officers sustained a broken finger. Thomas is an enrolled member of the Navajo Nation. The officers at the time were delegated authority to enforce federal law.
The investigation in this case was conducted by the Federal Bureau of Investigation. The prosecution was handled by Dimitra H. Sampson, Assistant U.S. Attorney, District of Arizona, Phoenix.
CASE NUMBER: CR-16-08219-PCT-GMS
RELEASE NUMBER: 2017-070_Thomas
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For more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Follow the U.S. Attorney’s Office, District of Arizona, on Twitter @USAO_AZ for the latest news.
Crystal Methamphetamine Smuggler Ordered to PrisonRead the Press Release
LAREDO, Texas – A 23-year-old man has been ordered to federal prison following his conviction for importing and possessing with the intent to distribute crystal methamphetamine, announced Acting U.S. Attorney Abe Martinez. Manual Alfredo Mancillas, of Seattle, Washington, pleaded guilty April 4, 2017, to conspiracy to import, conspiracy to possess with intent to distribute, possession with intent to distribute and importing methamphetamine.
Today, U.S. District Judge Marina Garcia Marmolejo handed Mancillas a total sentence of 84 months in federal prison followed by three years of supervised release.
In January 2017, Mancillas travelled from his home in Seattle to San Antonio. He then boarded a bus bound for Mexico, where he took possession of a small pick-up truck that had crystal methamphetamine hidden in the vehicle’s oil pan.
On Jan. 19, 2017, Mancillas applied for entry into the United States from Mexico at the Lincoln Juarez International Bridge in Laredo. At that time, Customs and Border Protection officers discovered the crystal methamphetamine, which had a weight of four kilograms.
Mancillas has been and will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
Immigration and Customs Enforcement’s Homeland Security Investigations conducted the investigation. Assistant U.S. Attorney Giselle S. Guerra prosecuted the case.
Council Bluffs Man Sentenced to 42 Months in Prison for Possession with Intent to Distribute MethamphetamineRead the Press Release
COUNCIL BLUFFS, IA - On July 28, 2017, Francisco Javier Ledesma Santa Cruz, 27, from Council Bluffs, Iowa, was sentenced by United States District Court Judge Rebecca Goodgame Ebinger to 42 months in prison for possession with intent to distribute methamphetamine, announced United States Attorney Kevin E. VanderSchel. Ledesma Santa Cruz will serve one year of supervised release following his imprisonment.
On February 24, 2017, Ledesma Santa Cruz pleaded guilty and admitted he aided and abetted the possession of over one kilogram of methamphetamine with the intent to distribute in Council Bluffs during August of 2016. Co-defendant Ramon Cisneros Aguilera was sentenced to 135 months imprisonment in April of 2017. The charge was the result of a drug trafficking investigation conducted by law enforcement in both Sioux City and Council Bluffs.
The Southwest Iowa Narcotics Enforcement Task Force, Sioux City Police Department, Council Bluffs Police Department, Omaha Police Department in Nebraska, Pottawattamie County Sheriff’s Office, and United States Drug Enforcement Administration conducted the investigation. This case was prosecuted by the United States Attorney’s Office for the Southern District of Iowa.
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Learn more about this release by calling Rachel J. Scherle at 515-473-9300, or by emailing her at [email protected].
Chinle Woman Sentenced to 20 Years for Killing Her Infant Daughter on the Navajo ReservationRead the Press Release
PHOENIX – Yesterday, Ashley Attson, 23, of Chinle, Ariz., an enrolled member of the Navajo Nation, was sentenced by U.S. District Judge David C. Campbell to 20 years in prison, followed by five years of supervised release, for killing her 17-month-old daughter.
Attson previously pleaded guilty to second-degree murder. The facts showed that she put her child in a stroller, pushed her into the desert, and left the child for four days and nights. Over the next few days, she met friends for ice cream and posted pictures of herself on Facebook. When she returned, the child was dead. Two days after finding her deceased child, Attson returned for the body, put it into a trash bag, and buried it in an animal hole. The child was born with methamphetamine in her system and had been in the custody of tribal social services throughout most of her life. Attson regained custody of her child approximately two months before the homicide.
When announcing the 20-year sentence, Judge Campbell said that this was an “intentional, cold-hearted, horrendous killing of an innocent child.”
The investigation in this case was conducted by the Federal Bureau of Investigation and Navajo Nation Department of Law Enforcement. The prosecution was handled by Sharon K. Sexton and Christine Keller, Assistant U.S. Attorneys, District of Arizona, Phoenix.
CASE NUMBER: CR-16-08234-DGC-PCT
RELEASE NUMBER: 2017-069_Attson
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For more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Follow the U.S. Attorney’s Office, District of Arizona, on Twitter @USAO_AZ for the latest news.
California Resident Sentenced to Prison in Fraudulent Refund and Stolen Treasury Check SchemeRead the Press Release
A Los Angeles, California woman was sentenced to 65 months in prison for her role in a conspiracy to cash stolen and fraudulently obtained U.S. Treasury checks, announced Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division and U.S. Attorney Brian J. Stretch for the Northern District of California.
Janel McDonald, 38, was convicted in March of conspiring to commit theft of public money, theft of public money and aggravated identity theft. McDonald was charged, along with 10 co-defendants, in November 2015. According to the indictment and evidence presented at trial, from August 2013 through April 2015, McDonald’s co-conspirators stole deceased individuals’ personal identifying information from California death records and used it to file federal tax returns seeking refunds. They also obtained social security and refund checks that were stolen from the U.S. mail system. McDonald provided fake California IDs to her co-conspirators who used them to cash the stolen and fraudulently obtained U.S. Treasury checks. McDonald caused a tax loss of approximately $471,000.
In addition to the term of prison imposed, U.S. District Court Judge Jeffrey White ordered McDonald to serve three years of supervised release and to pay $471,961 in restitution to the Internal Revenue Service (IRS).
Acting Deputy Assistant Attorney General Goldberg and U.S. Attorney Stretch thanked special agents of the IRS Criminal Investigation, who conducted the investigation, and Assistant U.S. Attorney Thomas Newman and Assistant U.S. Attorney Jose Olivera and Trial Attorney Gregory Bernstein of the Tax Division, who are prosecuting the case.
Additional information about the Tax Division’s enforcement efforts can be found on the division’s website.
California Resident Sentenced to Prison in Fraudulent Refund and Stolen Treasury Check SchemeRead the Press Release
SAN FRANCISCO – A Los Angeles woman was sentenced to 65 months in prison for her role in a conspiracy to cash stolen and fraudulently obtained U.S. Treasury checks, announced U.S. Attorney Brian J. Stretch and Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division. The sentence was handed down by Jeffrey S. White, U.S. District Judge, following McDonald’s conviction after a jury trial.
Janel McDonald, 38, was convicted in March of conspiring to commit theft of public money, theft of public money, and aggravated identity theft. McDonald was charged, along with 10 co-defendants, in November 2015. According to the indictment and evidence presented at trial, from August 2013 through April 2015, McDonald’s co-conspirators stole deceased individuals’ personal identifying information from California death records and used it to file federal tax returns seeking refunds. They also obtained social security and refund checks that were stolen from the U.S. mail system. McDonald provided fake California IDs to her co-conspirators who used them to cash the stolen and fraudulently obtained U.S. Treasury checks. McDonald caused a tax loss of approximately $471,000.
In addition to the term of prison imposed, Judge White ordered McDonald to serve three years of supervised release and to pay $471,961 in restitution to the Internal Revenue Service (IRS).
U.S. Attorney Stretch and Acting Deputy Assistant Attorney General Goldberg thanked the attorneys prosecuting the case, Assistant U.S. Attorneys Thomas Newman and Jose Olivera, and Trial Attorney Gregory Bernstein of the Tax Division, as well as the special agents of the IRS Criminal Investigation who conducted the investigation.
California Man Arrested for Alleged Scheme to Smuggle Export-Controlled Rifle Scopes and Tactical Equipment to SyriaRead the Press Release
Rasheed Al Jijakli, 56, the chief executive officer of an Orange County, California check cashing business, was arrested this morning on federal charges that accuse him of procuring and illegally exporting rifle scopes, laser boresighters and other tactical equipment from the U.S. to Syria, in violation of the International Emergency Economic Powers Act (IEEPA). Jijakli is expected to be arraigned this afternoon in the U.S. District Court for the Central District of California, on a three-count indictment that was returned by a federal grand jury on July 14. The indictment was unsealed this morning after Jijakli was taken into custody without incident by law enforcement authorities.
Acting Assistant Attorney General for National Security Dana J. Boente and Acting U.S. Attorney Sandra R. Brown for the Central District of California made the announcement.
The indictment accuses Jijakli, a naturalized U.S. citizen, of violating IEEPA, which authorizes the President of the U.S. to impose economic sanctions on a foreign country in response to an unusual or extraordinary threat to the national security, foreign policy or economy of the U.S. In accordance with that authority, the President issued an executive order that included broad restrictions on exports to Syria. The U.S. Department of Commerce subsequently issued corresponding regulations restricting exports to Syria of items subject to the Export Administration Regulations. Jijakli also faces charges of conspiring to violate IEEPA and smuggling.
From January 2012 through March 2013, Jijakli and three other individuals purchased and smuggled export-controlled items to Syria without obtaining licenses from the Department of Commerce. Jijakli and others allegedly hand-carried the items through Istanbul, Turkey and provided them to fighters in Syria. Those items allegedly included day-and night-vision rifle scopes, laser boresighters (tools used to adjust sights on firearms for accuracy when firing), flashlights, radios, a bulletproof vest and other tactical equipment.
An indictment contains allegations that a defendant has committed a crime. Every defendant is presumed to be innocent until and unless proven guilty in court. If convicted of all three charges in the indictment, Jijakli would face a statutory maximum penalty of 50 years in prison. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes. If convicted of any offense, the defendant’s sentence will be determined by the court after considering the advisory Sentencing Guidelines and other statutory factors.
This case is the result of an ongoing investigation being conducted by the FBI, U.S. Immigration and Customs Enforcement’s Homeland Security Investigations, the U.S. Department of Commerce’s Office of Export Enforcement and IRS Criminal Investigation.
This case is being prosecuted by Assistant U.S. Attorney Mark Takla of the Terrorism and Export Crimes Section of the Central District of California, and Trial Attorney Christian Ford of the Counterintelligence and Export Control Section of the Justice Department’s National Security Division.
Bushkill Man Sentenced to Prison for Violations at Delaware Water GapRead the Press Release
WILKES-BARRE- The United States Attorney’s Office for the Middle District of Pennsylvania announced today that Joseph Marcoux, age 25, of Bushkill, Pennsylvania, was sentenced on July 31, 2017, by United States Magistrate Court Judge Joseph F. Saporito, Jr. to a three-month prison term, followed by three months of home confinement and one year of supervised release for possession of drug paraphernalia. The charges stem from a traffic stop in December 2016, at the Delaware Water Gap National Recreational Area in Bushkill.
According to United States Attorney Bruce D. Brandler, Marcoux pleaded guilty on February 16, 2017, to misdemeanor charges of possession of drug paraphernalia, fictitious plates, and driving while operating privileges are suspended. Several other violations were dismissed pursuant to the plea agreement. Magistrate Judge Saporito also ordered Marcoux to pay fines, assessments, fees, and restitution for a door Marcoux damaged while in a holding cell, totaling $1,516.
The case was investigated by the National Park Service and was prosecuted by Assistant U.S. Attorney Sean A. Camoni.
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Bucks County Public Officials Face Additional ChargesRead the Press Release
John I. Waltman, 59, of Trevose, Pennsylvania, Robert P. Hoopes, 70, of Doylestown, Pennsylvania, and Bernard T. Rafferty, 62, of Langhorne, Pennsylvania were charged in a Superseding Indictment[1] with one count of conspiracy to commit money laundering, three counts of money laundering, one count of honest services wire fraud, three counts of honest services mail fraud, and Hobbs Act extortion under color of official right, announced Acting United States Attorney Louis D. Lappen.
Hoopes was also charged with one count of witness tampering. In addition, the Superseding Indictment added Kevin M. Biederman, 34, who is charged with one count of conspiracy to commit money laundering, three counts of money laundering, and one count of bank bribery.
From 2011 to December 2016, Waltman was a Magisterial District Judge in Bucks County, Pennsylvania. From February 2016 to December 2016, Hoopes was the Director of Public Safety in Lower Southampton, Pennsylvania. In this position, Hoopes had authority over all police, fire, and emergency operations in the township. Hoopes previously operated a legal practice in Doylestown, Pennsylvania. From 1998 to December 2016, Rafferty was a Deputy Constable in Bucks County. Rafferty controlled Raff’s Consulting LLC, a corporation registered with the Pennsylvania Department of State on May 30, 2011.
According to the Superseding Indictment, in November 2016, Waltman, Hoopes, and Rafferty accepted a bribe of $1,000, as well as the promise of other fees, in exchange for Waltman, Hoopes, and Rafferty to use their positions as public officials to “fix” a traffic case before Waltman in Bucks County Magisterial District Court. In January 2017, Hoopes allegedly tried to influence a witness to falsely testify before the federal grand jury regarding the disposition of this $1,000 bribe.
In addition, according to the Superseding Indictment, from June 2015 to November 2016, Waltman, Hoopes, Rafferty, and Biedmeran conspired to launder funds represented to be proceeds from health care fraud, illegal drug trafficking, and bank fraud. Moreover, from June 2016 to August 2016, Waltman, Hoopes, Rafferty, and Biederman laundered $400,000 in cash, represented to be proceeds from health care fraud and illegal drug trafficking, and took money laundering fees totaling $80,000 in cash.
Further, according to the superseding indictment, in June 2015, Biederman, who was then an employee of Philadelphia Federal Credit Union (“PFCU”), solicited and accepted a bribe of $1,600 in exchange for agreeing to influence PFCU’s approval of a loan.
“As alleged in today’s superseding indictment, we have uncovered another instance of public officials -- who should be serving the public good -- subverting justice in order to serve themselves,” said Acting United States Attorney Louis D. Lappen. “Our office is committed to investigating and prosecuting public corruption cases at every level. In addition, we will continue to hold accountable anyone who attempts to improperly influence the federal grand jury process or the testimony of witnesses.”
"They must've thought they had a pretty good thing going," said Michael Harpster, Special Agent in Charge of the FBI's Philadelphia Division. "As alleged in the indictments, these three public officials padded their income with ease, turning a tidy profit as part-time money-launderers. Ostensibly in the service of drug dealers and other crooks, they took steps to conceal the origins of piles of 'dirty money.' Add the allegations of bribery, extortion, witness-tampering -- and you've practically got a playbook of the varied ways to violate the public trust. The FBI is committed to investigating public corruption cases, and bringing corrupt officials to justice."
“The laws of the land apply to everyone, even public and banking officials. The public place a great deal of trust in these officials, and that trust is broken when they commit crimes,” said IRS Criminal Investigation Acting Special Agent in Charge Gregory Floyd. "Today's superseding indictment again emphasizes IRS, Criminal Investigation, FBI, HSI and the U.S. Attorney’s office will continue their aggressive pursuit of public and banking officials who use fraudulent methods in an attempt to corrupt our nation."
"Homeland Security Investigations is pleased to have teamed with our federal and local law enforcement partners to hold accountable public officials who betray the trust of the community they are sworn to serve by engaging in criminal behavior. The public places an enormous amount of trust in public officials and activities like those allegedly committed by the defendants in this case erodes the fabric of public trust," said Marlon V. Miller, special agent in charge of HSI Philadelphia. "HSI special agents will continue to vigorously pursue those who think the law does not apply to their criminal acts."
If convicted, Waltman and Rafferty each face a maximum possible sentence of 180 years in prison, three years of supervised release, a $2.25 million fine, and a $900 special assessment.
If convicted, Hoopes faces a maximum possible sentence of 200 years in prison, three years of supervised release, a $2.5 million fine, and a $1,000 special assessment.
If convicted, Biederman faces a maximum possible sentence of 110 years in prison, five years of supervised release, a $2 million fine, and a $500 special assessment
The case was investigated by the Federal Bureau of Investigation, Internal Revenue Service – Criminal Investigations, U.S. Immigration and Customs Enforcement's (ICE) Homeland Security Investigations (HSI) and the Pennsylvania State Police. It is being prosecuted by Assistant United States Attorney Vineet Gauri.
[1] An Indictment, Information, or Criminal Complaint is an accusation. A defendant is presumed
innocent unless and until proven guilty.
Attorney General Jeff Sessions Announces General Mark S. Inch as New Federal Bureau of Prisons DirectorRead the Press Release
Today Attorney General Jeff Sessions announced the selection of General Mark S. Inch as the director of the Federal Bureau of Prisons (BOP).
"General Mark Inch has served this country at home and abroad for 35 years," Attorney General Jeff Sessions said. "As a military policeman for nearly a quarter of a century and as the head of Army Corrections for the last two years, General Inch is uniquely qualified to lead our federal prison system. My confidence that he will be a highly effective leader of the Federal Bureau of Prisons is second only to my gratitude for his willingness to continue his service to this great country in this critical role."
General Inch most recently served as the Provost Marshal General and Commanding General of the Criminal Investigation Command and Army Corrections at Headquarters for the Department of the Army. In that position General Inch was the principal military advisor to the Secretary of the Army and Chief of Staff of the Army on all policing matters. In that role he was also responsible for developing and executing strategy, policies, plans and programs for the Army’s policing organizations.
General Inch previously held the role of Commanding General of the Combined Joint Interagency Task Force 435 in Kabul, Afghanistan where he was responsible for Detainee Operations and Rule of Law Development within the Army’s Security Sector.
Allentown Man Guilty of Heroin Trafficking ConspiracyRead the Press Release
SCRANTON—The United States Attorney’s Office for the Middle District of Pennsylvania announced that Jesus Santos, age 37, of Allentown, Pennsylvania, pleaded guilty today to conspiracy to distribute more than 100 grams of heroin before Senior U.S. District Court Judge James M. Munley.
According to United States Attorney Bruce D. Brandler, Santos admitted to conspiring with others to obtain and distribute between 400 and 700 grams of heroin (which equals approximately between 16,000 and 28,000 retail bags of heroin) in the Schuylkill-Luzerne County areas of Pennsylvania, during 2012 through 2016. Santos admitted to being a sub-distributor of heroin for Rhashean Strange, a/k/a “Chicago,” who headed-up the conspiracy. Strange previously pleaded guilty and is awaiting sentencing. Eleven people have been charged in the case. Eight have entered guilty pleas.
Judge Munley scheduled sentencing for September 5, 2017.
Santos was indicted by a federal grand jury in May 2016, as a result of an investigation by agents of the Federal Bureau of Investigation, investigators from the Pennsylvania State Police, and Shenandoah Police. Assistant U.S. Attorney Francis P. Sempa is prosecuting the case.
This case was brought as part of a district wide initiative to combat the nationwide epidemic regarding the use and distribution of heroin. Led by the United States Attorney’s Office, the Heroin Initiative targets heroin traffickers operating in the Middle District of Pennsylvania and is part of a coordinated effort among federal, state and local law enforcement agencies.
A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
The maximum penalty under federal law is 40 years in prison, a term of supervised release following imprisonment, and a fine. There is also a mandatory minimum sentence of five years in prison. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant's educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
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Albuquerque Real Estate Broker Sentenced to 27 Months for Federal Bank Fraud ConvictionRead the Press Release
ALBUQUERQUE – Yesterday afternoon, Robert O. Moore, 68, of Albuquerque, N.M., was sentenced in federal court for his bank fraud conviction. Moore was sentenced to a 27-month term of imprisonment followed by three years of supervised release. Moore also was ordered to pay $150,535.10 in restitution to the victim of his criminal conduct.
On April 26, 2016, a federal grand jury filed an indictment charging Moore, a licensed real estate broker, with bank fraud and aggravated identity theft. According to the indictment, between April 2014 and Sept. 2014, Moore perpetuated a scheme to defraud a loan and finance business that was involved in real estate closings and settlement out of more than $150,000, and facilitated the scheme by using the identification of another person.
On Nov. 10, 2016, Moore entered a guilty plea to a felony information charging him with bank fraud. In entering the guilty plea, Moore admitted fraudulently transferring the ownership of a house that he was leasing to himself by presenting fraudulent documents to a financial institution so that he could obtain a mortgage against the house. Moore admitted that he used the name of an actual person as the notary public on the warranty deed without authorization.
The case was investigated by the Albuquerque office of the FBI and was prosecuted by Assistant U.S. Attorney Nicholas Jon Ganjei.
Akron man indicted for firearms crimeRead the Press Release
An Akron man was indicted on federal firearms charges.
Quincey T. Smith, 26, was indicted on one count of being a felon in possession of a firearm and ammunition.
The indictment alleges that on or about June 28, 2017, Smith did knowingly possess in and affecting interstate and foreign commerce, a 9mm pistol, along with ammunition.
If convicted, the defendant’s sentence will be determined by the Court after review of factors unique to this case, including the defendant’s prior criminal records, if any, the defendant’s role in the offense and the characteristics of the violation. 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 Bureau of Alcohol, Tobacco, Firearms and Explosives, and the Akron Police Department. The case is being prosecuted by Assistant United States Attorney Linda H. Barr.
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.
31 July 2017
Two Men Sentenced for Separate Credit and Debit Card Fraud SchemesRead the Press Release
BOISE – Juwuan Demilo Gordon, 27, of Westland, Michigan, and Yulian Cruz Santa Cruz, 23, of Las Vegas, Nevada, were sentenced on July 27 and July 28, respectively, by Chief U.S. District Judge B. Lynn Winmill in the United States District Court in Boise on charges arising from credit and debit card fraud, Acting U.S. Attorney Rafael Gonzalez announced.
Gordon was sentenced to 27 months in prison followed by three years of supervised release for conspiracy to commit wire fraud. Judge Winmill also ordered Gordon to pay $7,299.33 in restitution. Gordon pleaded guilty to conspiracy to commit wire fraud on April 24, 2017.
According to the plea agreement, Gordon and co-defendant Devin Searcy agreed to travel to Idaho, Colorado, Utah, and Oklahoma to make fraudulent purchases of gift cards and prepaid debit cards from retail stores. Gordon and Searcy used stolen credit card numbers embossed onto counterfeit credit and debit cards that they obtained in Michigan. Law enforcement recovered at least twelve counterfeit credit cards and 105 gift cards and prepaid debit cards from Gordon and Searcy. Searcy also pleaded guilty to conspiracy to commit wire fraud. He will be sentenced in August.
Santa Cruz was sentenced to four months in prison, in addition to two months already served, followed by three years of supervised release for wire fraud. Judge Winmill also ordered Santa Cruz to pay $15,277.89 in restitution. Santa Cruz pleaded guilty to the charge on April 27, 2017.
According to the plea agreement, co-defendants Santa Cruz and Yaniel Villafana Febles traveled from Nevada to Idaho and used stolen debit card numbers to buy merchandise and gift cards from Walmart stores in the Treasure Valley. When Santa Cruz and Febles were apprehended, they had in their possession 74 pre-paid debit cards that had been re-encoded with stolen account numbers. Santa-Cruz admitted to perpetrating this fraud scheme in Idaho on at least one prior occasion. Febles pled guilty to wire fraud and was sentenced in June to six months in prison and three years of supervised release.
Both cases were investigated by the Boise Police Department and the United States Secret Service.
Tampa Investment Scheme Mastermind Sentenced to More Than Nine Years in Federal PrisonRead the Press Release
Tampa, Florida – U.S. District Judge James D. Whittemore today sentenced Anthony J. Klatch II (36, previously of Tampa) to nine years and seven months in federal prison for wire fraud. The Court also ordered that he serve this sentence consecutive to a 39-month sentenced imposed in December 2016, in the Southern District of Florida for access device fraud and identity theft. Klatch also must pay $516,754.94 in restitution to the victims of his investment scheme.
According to court documents, in or around 2011, Klatch pleaded guilty to federal charges of conspiracy, securities fraud, wire fraud, and money laundering in the Southern District of Alabama. In December 2014, after his release from federal prison, he began serving a term of supervised release in Tampa.
While on supervised release, Klatch directed the establishment of and controlled a company called Assurance Capital Management, LLC (“ACM”) and maintained a bank account opened in that name. Between June 2015 and September 2015, Klatch used ACM to represent to investors and potential investors that ACM was a company with over $18 million in client assets under management and that ACM and those working for ACM engaged in profitable online stock trading on behalf of its investors. In truth, ACM was a shell company used by Klatch to induce and defraud investors.
In executing his scheme, Klatch would often disguise his true identity and tell investors that his name was “Larry Heim,” ACM’s fund manager. Klatch, often posting as “Larry Heim,” provided investors and potential investors false and fraudulent financial statements and other investment materials showing that ACM was profitable and had more than $18 million in online trading accounts and that its funds were profitably traded. In reality, ACM had few if any funds “under management,” and the funds ACM did have were either lost by Klatch during trading or used by him for personal expenditures. In total, Klatch defrauded investors out of more than $516,000.
In early 2016, while serving a nine-month sentence for violating his supervised release in the Alabama case, but before being charged in this case, Klatch absconded from a halfway house. He was rearrested approximately six months later in Miami. At the time of his arrest, he had approximately eight stolen identities in his possession that he had used to generate counterfeit credit cards to purchase such things as luxury automobiles and resort memberships.
This case was investigated by the Federal Bureau of Investigation, with assistance from the Commodities Futures Trading Commission. It was prosecuted by Assistant United States Attorney Mandy Riedel.
Tahlequah Man Pleads Guilty to Sexual Exploitation of Children, Possession of MaterialRead the Press Release
MUSKOGEE, OKLAHOMA – The United States Attorney’s Office for the Eastern District of Oklahoma announced that BILLY HERSHELL SMITH II, age 48, of Tahlequah, Oklahoma, pled guilty to SEXUAL EXPLOITATION OF CHILDREN, in violation of Title 18, United States Code, Section 2251(a), punishable by up to 30 years imprisonment, and up to a $250,000.00 fine or both; and to POSSESSION OF CERTAIN MATERIAL INVOLVING THE SEXUAL EXPLOITATION OF MINORS, in violation of Title 18, United States Code, Sections 2252(a)(4)(B) and 2252(b)(2), punishable by up to 10 years imprisonment, and up to a $250,000.00 fine or both.
The Indictment alleged that, from between a date uncertain in 2014 to on or about August 15, 2016, in the Eastern District of Oklahoma and elsewhere, the defendant, BILLY HERSHELL SMITH II, employed, used, persuaded, induced, enticed, and coerced V.C., a person under the age of eighteen years, to engage in sexually explicit conduct, as that term is defined in Title 18, United States Code, Sections 2256(2)(A)-(B), for the purpose of producing any visual depiction of such conduct, and the defendant, BILLY HERSHELL SMITH II knew and had reason to know such visual depiction would be transported in interstate commerce, and any such visual depiction was produced using materials that have been mailed, shipped, and transported in interstate and foreign commerce, and any such visual depiction had actually been transported in interstate commerce.
The Indictment further alleged that from on or about July 23, 2015, to on or about August 15, 2016, in the Eastern District of Oklahoma and elsewhere, the defendant, BILLY HERSHELL SMITH II, 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), the production of 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.
The charges arose from an investigation by the Federal Bureau of Investigation.
The Honorable Kimberly E. West, U.S. Magistrate Judge in the United States District Court for the Eastern District of Oklahoma, in Muskogee, accepted the plea and ordered the completion of a presentence investigation report.
Assistant United States Attorney Edward Snow represented the United States.
South-Central Kentucky Men Sentenced for Their Roles in A Conspiracy to Distribute More Than 50 Grams of Crystal MethamphetamineRead the Press Release
Illegal activity transpired in Simpson County, involved three co-defendants, and approximately
one and a half pounds of crystal methamphetamine
BOWLING GREEN, Ky. – Three South-Central Kentucky men have been sentenced to prison terms, in United States District Court, by District Judge Greg N. Stivers, for conspiring to knowingly and intentionally possess with the intent to distribute fifty grams or more of methamphetamine, announced United States Attorney John E. Kuhn, Jr. There is no parole in the federal prison system.
Howell Dean O’Bryan, 42, of Allensville, located in Todd County, Kentucky, was sentenced today to serve 90 months in prison followed by five years of supervised release. Jordan Dale Wallace, 30, of Morgantown, was sentenced on July 20, 2017, to 120 months in prison followed by five years of supervised release and Danny Neal Stokes, 62, of Russellville, was sentenced on July 24, 2017, to 180 months in prison followed by five years of supervised release, for their roles in the drug conspiracy. All three defendants remain in federal custody.
According to court records, law enforcement officials learned of the criminal activity on May 15, 2015, during a drug-interdiction effort in Franklin, Kentucky. The Kentucky State Police located Howell Dean O’Bryan, who at the time was suspected to be involved in a meth trafficking organization. Once the law enforcement officials realized O’Bryan was at a local motel, they set up surveillance. When O’Bryan left the motel, law enforcement officials followed him to a local shopping center and made contact. They used a state police K-9 that alerted on O’Bryan’s vehicle for the presence of narcotics. When law enforcement officials searched O’Bryan’s vehicle, they found one pound of suspected methamphetamine, two AR-15 semi-automatic rifles, and one semi-automatic handgun under the driver's seat.
O’Bryan admitted he was selling the one pound of crystal methamphetamine to Wallace for $14,500.00. Wallace owed O’Bryan for an additional ounce of crystal methamphetamine that he had previously given to him. According to O’Bryan, Wallace should have had approximately $16,000.00 for the pound and previous ounce of crystal methamphetamine. O’Bryan and Wallace had just talked by phone when Wallace stated he was on his way with the money. During a monitored phone call to Wallace, Wallace confirmed that he was on his way to meet O’Bryan and had what he was supposed to bring. The two talked about having to weigh it out once Wallace arrived and agreed on a meeting location.
That same day, May 15, 2015, Wallace travelled to Simpson County, Kentucky, to pay for approximately one pound of crystal methamphetamine. The actual amount of methamphetamine, according to laboratory analysis was 459.3 grams of pure methamphetamine.
During a traffic stop of Wallace’s vehicle, Kentucky State Police Troopers identified Wallace as the driver. The Troopers asked for consent to search the vehicle, which Wallace declined. The Troopers asked Wallace if he had any drugs, weapons or large sums of money in the vehicle and Wallace stated no. Trooper Wesley and his K-9 partner conducted an open air search of the vehicle and the K-9 gave a positive indication on the vehicle. Troopers searched the vehicle and recovered $16,194.00 in United States currency. Wallace initially stated that he intended to use the money to purchase a car, but could provide no details. After his arrest several months later, Wallace admitted that the money was to be used to pay the co-conspirator for methamphetamine.
On July 25, 2015, in Simpson County, Kentucky, Stokes knowingly and intentionally possessed with the intent to distribute fifty grams or more of methamphetamine. The actual amount of methamphetamine, according to laboratory analysis was 162.5 grams of pure methamphetamine (roughly six ounces). Law enforcement officials found the methamphetamine in a bag with $184,597.00 in United States currency following a traffic stop of the vehicle Stokes was driving.
Assistant United States Attorney Jo E. Lawless prosecuted the case. The Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) and Kentucky State Police (including its Vehicle Enforcement Division), conducted the investigation.
Richmond Man Sentenced to 33 Months for EmbezzlementRead the Press Release
LEXINGTON, Ky. – A Richmond, Ky., man, who previously admitted to embezzling money from several related commercial real estate companies in Lexington, has been sentenced to 33 months in federal prison.
Today, U.S. District Court Judge Joseph M. Hood sentenced 65-year-old Robert K. Chaffins for four counts of mail fraud. Chaffins was Vice President of the Asset Management Division of a conglomerate of related entities, namely Lex/108, LLC, Leestown Distribution, LLC, Melbourne Distribution Center, LLC, and 801 Realty, LLC. In this role, Chaffins was responsible for collecting various payments from tenants renting business space from these entities. Knowing some of the fees provided for in the leases were not being collected, he set up bank accounts in the name of these entities, billed the tenants for particular fees through the U.S. Mail, and deposited payments into the bank accounts for his personal use.
In total, from February of 2007 until January 28, 2016, Chaffins deposited $1,064,522.36 in checks intended for Lex/108, LLC, Leestown Distribution, LLC, Melbourne Distribution Center, LLC, and 801 Realty, LLC, into bank accounts he controlled. He used this money to make payments on a second home, a Mercedes Benz, investment and retirement accounts, and dozens of other personal expenses.
Chaffins pleaded guilty to the mail fraud charges in March 2017. Under federal law, he must serve 85% of his prison sentence and will be under the supervision of the United States Probation Office for three years following his term of incarceration.
Carlton S. Shier, IV, Acting United States Attorney for the Eastern District of Kentucky; Jon Oldham, Resident Agent in Charge, United States Secret Service, Lexington Resident Office; and Chief Mark Barnard, Lexington Police Department, jointly announced the sentence.
The United States Secret Service and the Lexington Police Department conducted the investigation and Assistant United States Attorney Kathryn Anderson represented the United States.
Rapid City Man Indicted for Assault and Child Abuse ChargesRead the Press Release
United States Attorney Randolph J. Seiler announced that a Rapid City, South Dakota, man has been indicted by a federal grand jury for Assault by Strangulation and Suffocation and Child Abuse.
Gary Hacker, III, age 27, was indicted on July 11, 2017. He appeared before U.S. Magistrate Judge Mark A. Moreno on July 24, 2017, and pled not guilty to the Indictment.
The maximum penalty upon conviction for Assault is up to 10 years in custody and/or a $250,000 fine, and 3 years supervised release, the maximum penalty upon conviction for Child Abuse is 15 years in custody and/or a $250,000 fine, and 3 years supervised release. Both charges could result in a $100 assessment to the Federal Crime Victims Fund and restitution.
The Indictment alleges that on June 12, 2017, Hacker assaulted an individual with the intent to do bodily harm. The Indictment further alleges that Hacker abused, exposed, tortured, tormented, and cruelly punished a child on that date.The charges are merely accusations and Hacker is presumed innocent until and unless proven guilty.
Hacker was released on bond pending trial. A trial date has not been set.
The investigation is being conducted by the Rosebud Sioux Tribe Law Enforcement Services. Assistant U.S. Attorney Kirk Albertson is prosecuting the case.Queens Resident Sentenced to 14 Months in Prison for Trafficking EcstasyRead the Press Release
Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that PHILLIP STEWART, 46, a citizen of Jamaica last residing in Queens, N.Y., was sentenced today by Chief U.S. District Judge Janet C. Hall in New Haven to 14 months of imprisonment for distributing ecstasy.
According to court documents and statements made in court, STEWART conspired with Collin Fletcher and others to sell ecstasy to customers in Connecticut, New York and elsewhere. On October 27, 2016, and again on November 1, 2016, investigators made two controlled purchases of ecstasy from Fletcher.
STEWART and Fletcher were arrested on November 18, 2016, after they attempted to sell approximately 10,000 capsules of ecstasy to an undercover officer. The capsules had a combined weight of approximately 923 grams of MDA.
MDA (Methylenedioxyamphetamine) is an analogue of MDMA (Methylenedioxymethamphetamine), and they are both commonly known as “ecstasy.”
On March 29, 2017, STEWART pleaded guilty to one count of conspiracy to distribute, and to possess with intent to distribute, MDA and MDMA.
STEWART faces immigration proceedings when he completes his prison term.
Fletcher, a citizen of Jamaica last residing in Bridgeport, pleaded guilty to the same charge and, on May 12, 2017, was sentenced to 20 months of imprisonment. He also faces immigration proceedings when he completes his prison term.
This matter was investigated by the Drug Enforcement Administration’s New Haven Tactical Diversion Squad, which includes officers from the Bristol, Greenwich, Hamden, Milford, New Haven, Shelton, Vernon and Wilton Police Departments. The case was prosecuted by Assistant U.S. Attorney Avi Perry.
Pub Owner Pleads Guilty to Wire Fraud in Scheme Defrauding PatronsRead the Press Release
Michael Hoffner, Sr., 52, of Voorhees, New Jersey, entered a guilty plea today before the Honorable Mitchell S. Goldberg to 40 counts of wire fraud, announced Acting United States Attorney Louis D. Lappen.
According to the superseding indictment, Hoffner owned the Brown Street Pub in Philadelphia, Pennsylvania. Hoffner admitted that on 40 occasions between September and December 2012, Hoffner used a stolen credit number to make charges at the pub to credit and debit cards issued by American Express, Navy Federal Credit Union, USAA, ACNB, and the State Employees Credit Union of Maryland. The average fraudulent charge was more than $2,000. The cardholders were not aware of and did not authorize these transactions. The proceeds of these transactions, more than $87,000, and went into an account that Hoffner controlled.
The defendant faces a maximum possible sentence of 800 years in prison, a $10,000,000 fine, and three years of supervised release. The Court has not yet set a sentencing date.
The case was investigated by the United States Secret Service, the Internal Revenue Service-Criminal Investigation Division, and the Federal Deposit Insurance Corporation Office of Inspector General, and is being prosecuted by Assistant United States Attorneys David J. Ignall and Christopher J. Mannion.Orlando Men Plead Guilty to Armed RobberyRead the Press Release
Orlando, Florida – Acting United States Attorney W. Stephen Muldrow announces that Julis Denson (Orlando, 30), Marquis Denson (Orlando, 31), Capree Patterson (Orlando, 26), Alvin Kendrick (Orlando, 42), and Isaac Tolbert (Orlando, 38) have pleaded guilty to robbery and brandishing a firearm in relation to the robbery of a Cash America Pawn store in Orlando. In addition to the armed robbery, Marquis Denson has also pleaded guilty to being a felon in possession of a firearm. Each faces a maximum penalty of life in federal prison. The sentencing dates have not yet been set.
According to the plea agreement, on December 7, 2016, Kendrick drove Marquis Denson, Julis Denson, Patterson, and Tolbert to the Cash America Pawn store in the Pine Hills area of Orlando. Marquis Denson took a .45 caliber pistol into the store, brandished it, and demanded that the employees empty the cash registers. Meanwhile, Patterson used a sledgehammer to break the glass display cases so that he, Julis Denson, and Tolbert could take the jewelry. Shortly after, Marquis Denson, Julis Denson, Patterson, and Tolbert exited the store with 99 pieces of jewelry, worth nearly $35,000, and $949 cash. They then jumped into the car that Kendrick had waiting and fled to a home several miles away. Law enforcement officers arrived at the home shortly after and arrested Patterson and Marquis Denson as they fled on foot. The remaining individuals were arrested several days later.
This case was investigated by the Orange County Sheriff’s Office and the Bureau of Alcohol, Tobacco, Firearms, and Explosives. It is being prosecuted by Assistant United States Attorney Shawn P. Napier.
Orlando Man Charged with Two Counts of Enticement of A MinorRead the Press Release
Orlando, Florida – Acting United States Attorney W. Stephen Muldrow announces the unsealing of an indictment charging Andy William Bosch (42, Orlando) with two counts of enticement of a minor. If convicted, he faces a minimum mandatory sentence of 10 years, up to life, in federal prison.
According to the indictment, between March 10 and March 16, 2016, Bosch enticed a minor to travel from the Philippines to the United States to engage in sexual activity. Then, from October 20, 2016, to February 15, 2017, he used a cellphone to coerce the same minor into engaging in sexual activity. Bosch also has pending state charges for interference of custody and providing false information to a law enforcement officer, stemming from the same alleged incident.
An indictment is merely a formal charge that a defendant has committed one or more violations of federal criminal law, and every defendant is presumed innocent unless, and until, proven guilty.
This case was investigated by U.S. Immigration and Customs Enforcement’s Homeland Security Investigations, U.S. Border Patrol, U.S. Citizenship and Immigration Services, with assistance from the U.S. Marshals Service and the Osceola County Sheriff’s Office. It will be prosecuted by Special Assistant United States Attorney Christina R. Downes, on assignment from the Office of Principal Legal Advisor, ICE.
It is another case 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 United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Ohio Man Sentenced to Thirty-Five Years for Bombing of Oneida County, New York Victim in May of 2016Read the Press Release
SYRACUSE, NEW YORK – Keith Seppi, 59, of Conneaut, Ohio, was sentenced today in United States District Court to serve thirty-five (35) years in prison, following his guilty plea to using a destructive device in relation to a crime of violence, and possessing a destructive device in furtherance of a crime of violence, announced Acting United States Attorney Grant C. Jaquith and U.S. Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) Special Agent in Charge Ashan M. Benedict. In imposing sentence, the Hon. Brenda K. Sannes also ordered the defendant to serve a term of five (5) years of supervised release following his term of incarceration.
As part of his guilty plea, Seppi admitted that he built a bomb at his Ohio home that was to be activated by motion and disguised to look like a standard parcel package. Seppi transported the bomb from Ohio to Floyd, New York, where he put it in the victim’s (Alan Dobransky) driveway near midnight on May 28, 2016, intending that it would explode when it was moved. The next morning, the victim attempted to pick up the bomb causing it to detonate, resulting in his sustaining severe injuries and burns. Alan Dobransky survived the explosion but was hospitalized for several weeks.
As part of his plea agreement, the defendant also admitted that in May of 2016 he learned that the bomb victim (Alan Dobransky) had accused Seppi’s sister-in-law of stealing money from Dobransky’s mother and had threatened to report the alleged thefts to law enforcement authorities in Ohio. Alan Dobransky’s mother had been living with and cared for by Seppi’s sister-in-law in her Conneaut, Ohio residence. Shortly after learning of the theft accusations against his sister-in-law, and the threat to report the alleged thefts to local law enforcement authorities in Ohio, Seppi constructed the bomb and later planted it in Alan Dobransky’s driveway in New York.
“Keith Seppi’s cold, calculating, and cowardly crime earned a sentence that will put him in prison for the next thirty-five years. The coordination and dedication of federal, state, and local law enforcement agencies from New York to Ohio pinpointed the perpetrator of this abominable attack and his accomplices and resulted in their convictions in county and federal court. We wish the victim strength and improvement in his recovery, and hope this measure of justice affords some solace,” said Acting U.S. Attorney Grant C. Jaquith.
Special Agent in Charge Ashan M. Benedict said, “Today’s sentence is effectively a life sentence for Keith Seppi. It is an appropriate punishment for his brazen, cowardly, and violent attack on Mr. Dobransky. Though Seppi was able to strike at his intended target, he ignored the extreme danger in the device’s transportation, and the indiscriminate nature of the explosive device once it was left in Mr. Dobranky’s driveway. The package bomb could have easily been picked up by an unintended victim, or others could have been near the device when it initiated. These possibilities were entirely outside the control of Seppi once the device was planted. The plot to silence Mr. Dobrasnky failed, but the disguised bomb left Mr. Dobransky with serious injuries requiring weeks of hospitalization. We continue to wish Mr. Dobransky a full recovery, and would like to extend our gratitude to the criminal investigators and prosecutors for their superb efforts in speedily bringing Seppi to justice.”
Oneida County District Attorney Scott McNamara said, “I would first like to recognize the victim, Alan Dobransky, as we all continue to wish him a full and speedy recovery from the injuries sustained as a result of this bombing.
I would like to thank all of the members of local, state and federal law enforcement who spent countless hours to identify the perpetrators of this heinous attack and bring them to justice. In particular I would like to thank the Oneida County Sheriff's Office, New York State Police, New York State Department of Corrections and Community Supervision, Office of Special Investigations, City of Utica Police Department, U.S. Bureau of Alcohol, Tobacco, Firearms and Explosives, FBI, Ashtabula Sheriff and Prosecutor (OH), Conneaut Police (OH).
I would also like to thank former U.S. Attorney Rick Hartunian, Acting U.S. Attorney Grant Jaquith, and the U.S. Attorney’s Office, particularly Assistant U.S. Attorneys Steve Green and Nico Commandeur for taking the lead on the investigation of federal charges against Keith Seppi and sending the strong and clear message that persons involved in the production and deployment of improvised explosive devices will be prosecuted to the fullest extent of our laws.
I would also like to recognize First Assistant District Attorney Dawn Lupi and Bureau Chief Assistant District Attorney, and Special Assistant U.S. Attorney, Grant Garramone for all of the hard work that went into securing convictions for Keith Seppi, Cindy Shields and Donna Seppi in Oneida County Court for violations of New York State law. The success of this investigation is the direct result of the cooperation that occurred between all of the law enforcement agencies involved.”
Oneida County Sheriff Robert Maciol said, “Although the incident was extremely concerning on many levels, all those involved in the response and investigation, leading to the apprehension of the suspect, worked together flawlessly. This case truly displayed the effectiveness of collaboration between law-enforcement agencies at its best. The members of law-enforcement directly involved in this incident should be given all the credit for the precision and the expedience that brought closure to this matter. We are thankful the victim of this attack is recovering and that he will receive justice through the works of everyone involved.”
New York State Police Superintendent George P. Beach II said, “This case should send a strong message that we will not tolerate these kinds of pre-meditated, violent acts, and they will be prosecuted to the full extent of the law. This defendant admitted to carrying out the plot that left a state correction officer with serious injuries. I am proud of the outstanding work done by our members and law enforcement partners in bringing this case to justice.”
This case was investigated by the U.S. Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF), the Oneida County Sheriff’s Office and the New York State Police and was prosecuted by Assistant U.S. Attorneys Stephen C. Green and Nicolas Commandeur.
Mission Man Charged with Assaulting a Federal OfficerRead the Press Release
United States Attorney Randolph J. Seiler announced that a Mission, South Dakota, man has been indicted by a federal grand jury for Assaulting, Resisting, and Impeding a Federal Officer.
Roger Watts, age 34, was indicted on February 15, 2017. He appeared before U.S. Magistrate Judge Mark A. Moreno on July 20, 2017, and pled not guilty to the Indictment.
The maximum penalty upon conviction is up to 8 years in custody and/or a $250,000 fine, 3 years of supervised release, and $100 to the Federal Crime Victims Fund. Restitution may also be ordered.
The Indictment alleges that on or about January 20, 2017, Watts assaulted a federal law enforcement officer.
The charge is merely an accusation and Watts is presumed innocent until and unless proven guilty.
The investigation is being conducted by the Rosebud Sioux Tribe Law Enforcement Services. Assistant U.S. Attorney Kirk Albertson is prosecuting the case.Watts was remanded to the custody of the U.S. Marshals Service pending trial. A trial date has not been set.
Mexican National Pleads Guilty to Importing Cocaine and MethRead the Press Release
LAREDO, Texas – A Mexican man has pleaded guilty to a conspiracy charge for his role in importing cocaine and methamphetamine into the United States, announced Acting U.S. Attorney Abe Martinez.
Rafael Hernandez-Arrioja admitted during his re-arraignment hearing today that he knowingly imported 2.09 kilograms of cocaine and 2.34 kilograms of methamphetamine within the plastic engine manifold cover of his Volkswagen Golf. At the time of his arrest, he claimed to have no knowledge of the drugs. He initially stated he was driving to the outlet malls in San Marcos for the purpose of buying clothes.
Sentencing will be set at a later date before U.S. District Judge Diana Saldana. At that time, Hernandez faces a mandatory minimum sentence of 10 years and up to life in federal prison and a possible $10 million fine. He will remain in custody pending that hearing.
Immigration and Customs Enforcement’s Homeland Security Investigations (HSI) conducted the investigation. Assistant U.S. Attorney Christopher A. dos Santos is prosecuting the case.
Local Man Heads to Prison for Armed Drug Trafficking of Synthetic NarcoticsRead the Press Release
VICTORIA, Texas - A 21-year-old Victoria man has been ordered to federal prison for possessing a firearm during a drug trafficking offense, announced Acting U.S. Attorney Abe Martinez. Terry Ray White Jr. pleaded guilty May 1, 2017 to conspiracy to possess with intent to distribute a synthetic cannabinoid and possession of a firearm in furtherance of a drug trafficking crime.
Today, Senior U.S. District Judge John Rainey sentenced White to 36 months for the drug offense followed by a consecutive 60 months for possessing the firearm. The total 96-month sentence will be immediately followed by three years of supervised release. In handing down the sentence, the court acknowledged the significant danger of synthetic narcotics and remarked that repeated possession of firearms with drugs was an aggravating factor.
During the conspiracy, law enforcement had stopped White for traffic violations and found him in possession of large quantities of synthetic cannabinoid packages as well as several handguns. The investigation revealed White was connected to the distribution of the synthetic cannabinoids between Houston and Victoria. Laboratory analysis confirmed the presence of a scheduled substance, AB-CHMINACA, and 5F-MDMB-PINACA and FUB-AMB, controlled under the Controlled Substance Analog Act.
Synthetic cannabinoids aka “Spice” or “K2” pose a nationwide health concern that is on the rise and posing a serious threat to public health and safety. The effects of these drugs have been described as unpredictable, with wide-ranging physiological effects to include possible kidney damage and gastrointestinal distress to possible seizures and even psychosis. The drugs are often made in unsafe and dirty environments in which they are created, to include inconsistent batches blended in cement mixers and similar equipment. This can result in “hot spots” in which one sample could have a significantly greater amount of harmful chemical than another. They are often packaged attractively to appeal to teenagers and young adults.
White has been in federal custody since his arrest March 21, 2017. He will remain there pending transfer to a U.S. Bureau of Prisons facility to be designated in the near future.
The Bureau of Alcohol, Tobacco, Firearms and Explosives, Texas Department of Public Safety and Port Lavaca Police Department conducted the investigation. Assistant U.S. Attorney Lance Watt is prosecuting the case.
Leader of Cocaine Trafficking Ring Sentenced to 19 ½ YearsRead the Press Release
CHARLOTTE, N.C. – Today, Chief U.S. District Judge Frank D. Whitney sentenced the leader of a cocaine trafficking ring to 235 months in prison, announced Jill Westmoreland Rose, U.S. Attorney for the Western District of North Carolina. In addition to the prison term imposed, Florencio Apreza-Guerrero, 38, of Mexico, was also sentenced to five years of supervised release.
U.S. Attorney Rose is joined in making today’s announcement by John A. Strong, Special Agent in Charge of the Federal Bureau of Investigation (FBI), Charlotte Division and Eddie Cathey of the Union County Sheriff’s Office.
According to filed documents and court proceedings, from 2013 to 2016, Apreza-Guerrero was the leader of a drug conspiracy responsible for trafficking large amounts of cocaine into Union and Mecklenburg Counties. Court records indicate that, over the course of the investigation, law enforcement seized approximately 35 kilograms of cocaine, seven firearms, and $138,000 in cash. Court records also show that Apreza-Guerrero’s drug network was responsible for trafficking 40 to 50 kilograms of cocaine per month. In March 2017, Apreza-Guerrero pleaded guilty to one count of drug trafficking conspiracy and one count of money laundering conspiracy.
Apreza-Guerrero’s co-conspirators have already been sentenced as follows:
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Pedro Valle-Barrera, 38, of Mexico, was sentenced to 135 months, followed by five years of supervised release.
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Ivan Ortiz Lezama, also known as Tomas Barajas-Rodriguez, 30, of Mexico, was sentenced to 120 months, followed by five years of supervised release.
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Juan Cesar Valle-Barrera, 33, of Mexico, was sentenced to 78 months, followed by one year of supervised release.
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Alberto Manuel Arreola, 38, of Mexico, was sentenced to 66 months, followed by two years of supervised release.
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Hever Garcia-Delgado, 33, of Monroe, NC, was sentenced to 45 months, followed by three years of supervised release.
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Alfonso Guevera-Garcia, 23, of Monroe, NC, was sentenced to 24 months, followed by two years of supervised release.
Apreza-Guerrero is currently in federal custody and will be transferred to the custody of the Federal Bureau of Prisons upon designation of a federal facility. All federal sentences are served without the possibility of parole. Apreza-Guerrero and his co-conspirators will also be subject to deportation proceedings upon the completion of their federal sentences.
This case is the result of the Organized Crime Drug Enforcement Task Force (OCDETF). OCDETF is a joint federal, state and local cooperative approach to combat drug trafficking and is the nation’s primary tool for disrupting and dismantling major drug trafficking organizations, targeting national and regional drug trafficking organizations and coordinating the necessary law enforcement entities and resources to disrupt or dismantle the targeted criminal organization and seize their assets.
In making today’s announcement U.S. Attorney Rose thanked the FBI and UCSO which led the investigation.
Assistant U.S. Attorney Steven R. Kaufman, of the U.S. Attorney’s Office in Charlotte, prosecuted the case.
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Lab Technician Sentenced to Two Years in Prison for Stealing Patient's Parent's Information and Using It to Apply for Credit CardsRead the Press Release
LAS VEGAS, Nev. – A Las Vegas woman who worked as a laboratory technician at a local pediatric medical practice was sentenced today to 24 months in prison for unlawfully obtaining the personal identifying information of a patient’s parent and using it to apply for personal credit cards, announced Acting U.S. Attorney Steven W. Myhre for the District of Nevada. United States District Judge Jennifer A. Dorsey also sentenced her to one year of supervised release.
Sherice Joan Williams, 42, pleaded guilty on Feb. 21, 2017, to aggravated identity theft. During the time the crime occurred, she was employed as a laboratory technician at Children’s Heart Center, a large pediatric cardiology practice in Las Vegas.
According to admissions made in the plea agreement, between about Dec. 1, 2014 and Jan. 27, 2015, Williams accessed the personal identifying information of a patient’s parent, then using this information, she applied for personal credit cards without authorization. She submitted a credit card application online from an IP address registered to her employer.
The case was investigated by the FBI and Henderson Police Department. The case was prosecuted by Assistant U.S. Attorney Patrick Burns.
If you are a victim of identity theft, visit www.IdentityTheft.gov or call 1-877-438-4338 to report and recover from identity theft.
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Justice Department and EPA Enter into Settlement with Harcros Chemicals to Improve its Accident Prevention and Fire Protection MeasuresRead the Press Release
The U.S. Department of Justice and the U.S. Environmental Protection Agency (EPA) today announced that Harcros Chemicals Inc. has entered into a proposed agreement to settle claims that Harcros violated provisions of the Clean Air Act aimed at preventing accidental releases of chemicals that can have serious consequences for public health, safety and the environment. Under the proposed agreement, Harcros will assure that its accident prevention program complies with all applicable requirements.
Headquartered in Kansas City, Kan., Harcros maintains and operates 31 facilities in 19 states that manufacture, blend, repackage, and distribute a wide variety of commercial chemicals, including extremely hazardous substances.
“This resolution ensures that Harcros complies with important Clean Air Act requirements that seek to prevent catastrophic releases of hazardous chemicals to the environment,” said Acting Assistant Attorney General Jeffrey H. Wood of the Justice Department’s Environment and Natural Resources Division. “Today’s action shows that DOJ and EPA are serious about enforcing compliance with the Clean Air Act and protecting American workers and their communities from risks associated with accidental releases of hazardous substances. We also appreciate the positive cooperation that we received from Harcros during the resolution of this matter.”
“This important agreement will improve chemical safety and minimize the risk of accidental releases at Harcros’ facilities nationwide,” said Acting Assistant Administrator Larry Starfield of the EPA’s Office of Enforcement and Compliance Assurance. “It is a priority for EPA to ensure that companies properly manage risks posed by chemicals in a way that protects communities from accidental releases.”
Under the proposed settlement, Harcros will audit 28 of its facilities to identify and correct any potential violations of its risk management program and comply with Clean Air Act requirements that facilities adequately assess hazards, undertake measures to prevent accidents, and be prepared to effectively address such accidents when they do occur. Harcros will correct any violations identified in the audits according to a schedule set forth in the agreement. The settlement agreement also requires Harcros to pay a $950,000 penalty.
Also, as part of today’s agreement, Harcros will install foam-based sprinkler systems at eight of its facilities. The enhanced fire suppression system is expected to minimize the impacts of an accident by enhancing the speed and effectiveness of the facilities’ ability to extinguish the flames and prevent spread of chemicals.
The proposed settlement reflects the fact that Harcros Chemicals initially brought these violations to the attention of the EPA. In addition, Harcros cooperated fully with the Justice Department and the EPA during the negotiation of the consent decree.
The proposed consent decree was lodged with the United States District Court for the District of Kansas and will be subject to a 30-day public comment period following its publication in the Federal Register. A copy of the consent decree lodged today is available on the Department of Justice website at: http://www.justice.gov/enrd/Consent_Decrees.html.
For more information about today’s agreement, visit: https://www.epa.gov/enforcement/harcros-chemicals-inc-clean-air-act-settlement.
Judge Sentences U.K. Citizen and City of Austin Employee in Marriage Fraud SchemeRead the Press Release
In Waco last week, a federal judge sentenced Nancy Chan, a 39-year-old citizen of the United Kingdom and City of Austin employee, for perpetrating a marriage fraud scheme announced United States Attorney Richard L. Durbin, Jr., and Special Agent in Charge Javier Enriquez, Customs and Border Protection Office of Professional Responsibility, El Paso Division.
On January 19, 2017, a federal jury convicted Chan of one count of conspiracy to commit marriage fraud and one count of conspiracy to commit mail fraud. On July 27, 2017, United States District Judge Alia Moses sentenced Chan to 12 months imprisonment on each count. Both sentences are to run concurrent. In addition, Chan also was sentenced to a 3-year supervised release term after she completes her prison sentence.
During Chan’s two-day trial, two co-defendants entered guilty pleas for their roles in the scheme. Isabel Metzler, a 46-year-old former Customs and Border Protection officer at the Eagle Pass Port of Entry, pleaded guilty to conspiracy to commit marriage fraud. Metzler’s husband, Luis Morales, a 37-year-old former Customs and Border Protection officer at the Eagle Pass Port of Entry, pleaded guilty to one count of making a false statement to a federal agent.
Testimony during trial revealed that after discussing her immigration status with her friend, Isabel Metzler, Nancy Chan entered into a fraudulent marriage agreement with a person known to Metzler and Morales for the purpose of becoming a lawfully permanent resident. On March 2, 2011, in Maverick County, Chan married the U.S. citizen. In 2014, Chan and her legal spouse submitted false documentation to obtain Lawfully Admitted Permanent Resident (LAPR) status for Chan and to seek naturalization. Chan and her spouse were subsequently interviewed separately by an officer of the United States Citizenship and Immigration Services to determine the validity of their marriage. Their answers to questions posed by the officer contained numerous inconsistencies, which revealed that the marriage was a sham.
By pleading guilty, Metzler admitted to her role in setting up and attempting to conceal the fraudulent marriage scheme. Morales admitted that on February 9, 2016, he lied to Customs and Border Protection Office of Professional Responsibility investigators about his knowledge of the marriage fraud scheme and for convincing the spouse to maintain the marriage charade to authorities.
Metzler faces up to five years in federal prison for conspiracy to commit marriage fraud. Morales faces up to five years in federal prison for making a false statement to authorities. Metzler and Morales remain on bond pending sentencing scheduled for October 17, 2017.
This case was investigated by the Customs and Border Protection Office of Professional Responsibility together with the U.S. Citizenship and Immigration Services, Federal Bureau of Investigation and the Austin Police Department. Assistant United States Attorneys Patrick Burke, Todd Keagle, and Chris Blanton are prosecuting this case on behalf of the government.
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Jicarilla Apache Woman Sentenced for Federal Child Abuse ConvictionRead the Press Release
ALBUQUERQUE – Audrina Veneno, 23, an enrolled member of the Jicarilla Apache Nation who resides in Dulce, N.M., was sentenced today in federal court in Albuquerque, N.M., to fourteen-months of imprisonment prison followed by one year of supervised release for her conviction on a child abuse charge.
Veneno was arrested in March 2015, on an indictment charging her with assaulting the victim, a child under the age of 16 years. The indictment alleged that Veneno committed the crime on Nov. 6, 2014, on the Jicarilla Apache Indian Reservation in Rio Arriba County, N.M.
On July 27, 2017, Veneno pled guilty to an information charging her with child abuse. In entering the guilty plea, Veneno admitted that on Nov. 6, 2014, she recklessly permitted the victim, an eight-month old infant, to be placed in a situation that endangered the victim’s life or health. Veneno further admitted that the victim suffered swelling and bruising to the victim’s face.
This case was investigated by the Farmington office of the FBI and the Jicarilla Apache Tribal Police Department. Assistant U.S. Attorney Raquel Ruiz-Velez prosecuted the case.