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Thursday 1 June 2017
Philadelphia Pair Charged with Hobbs Act RobberiesRead the Press Release
A superseding indictment[1] was filed today charging Montanez Adams, 22, and Robert Holmes, 19, both of Philadelphia, Pennsylvania with two counts each of Hobbs Act robbery, and two counts each of using, carrying, and brandishing a firearm during a crime of violence, and aiding and abetting, and Adams was also charged with one count of possession of a firearm by a convicted felon, announced Acting United States Attorney Louis D. Lappen. The superseding indictment alleges that the defendants committed two armed robberies of GameStop stores located at 6406 Sackett Street and 4600 Roosevelt Boulevard in Philadelphia, PA on or about January 2 and 7, 2017, respectively.
If convicted the defendants face maximum possible sentences of life imprisonment.
The case was investigated by the Philadelphia Police Department with the Bureau of Alcohol, Tobacco, Firearms and Explosives and is being prosecuted by Assistant United States Attorney Katherine Driscoll.
[1] An Indictment or Information is an accusation. A defendant is presumed innocent unless and until proven guilty.
Pasco Man Sentenced to over 8 Years for Conspiring to Defraud the Government and to Commit Wire FraudRead the Press Release
Spokane, WA – Joseph H. Harrington, Acting United States Attorney for the Eastern District of Washington, announced that Scott Johnson, age 43, of Pasco, Washington, was sentenced, after having previously pled guilty on November 24, 2015, to Conspiracy to Defraud the Government and Conspiracy to Commit Wire Fraud. United States District Judge Salvador Mendoza, Jr. sentenced Johnson to a 97-month term of imprisonment, to be followed by a three-year term of court supervision after he is released from Federal prison. In addition, Judge Mendoza ordered Johnson to pay $9,517,412.50 in restitution to the United States taxpayers and an additional $6,175,929.17 in restitution to the victims of his fraud.
According to information disclosed during the court proceedings, Johnson was a member of a conspiracy involving Gen-X Energy Group, Inc. (Gen-X), a renewable energy company formerly located in Pasco and Moses Lake, Washington. Between October of 2012 and April of 2015, Johnson and his co-conspirators falsely claimed the production of more than 72,000,000 marketable renewable energy credits, which they then sold for more than $57,000,000, and filed false claims with the IRS for $9,517, 412.50 in excise credit refunds. Throughout this period, much of the renewable fuel claimed to be produced at the Gen-X facilities was either not produced or re-processed multiple times.
Acting United States Attorney Harrington stated, “The United States Attorney’s Office for the Eastern District of Washington is, and will continue to be, committed to prosecuting aggressively and seeking appropriate punishment for white collar crimes.
I commend the tenacious and thorough efforts of the IRS-Criminal Investigation and the Environmental Protection Agency’s Criminal Investigation Division."
“American taxpayers and the biofuels industry were defrauded more than $65 million as a result of this massive and elaborate scheme,” said Jeanne M. Proctor, Special Agent in Charge of EPA’s criminal program in Washington State. Proctor went on to state: “EPA is committed to ensuring a level playing field for biofuels companies that play by the rules and pursuing those that blatantly disregard the law.”
"This is a classic case of an individual who allowed his own unfettered greed to guide his duplicitous actions," stated Special Agent in Charge Darrell Waldon of IRS Criminal Investigation. Waldon also commented that: "When that greed turns into fraud to the degree perpetrated by Scott Johnson and his co-conspirators, IRS CI stands ready with our law enforcement partners to serve as the guardians of economic equity and social justice."
This investigation was conducted by the Internal Revenue Service-Criminal Investigation, the Environmental Protection Agency’s Criminal Investigation Division, and the United States Secret Service, with assistance from the Washington State Patrol.
The case was prosecuted by Scott T. Jones, an Assistant United States Attorney for the Eastern District of Washington; Karla G. Perrin, EPA Regional Criminal Enforcement Counsel and Special Assistant United States Attorney for the Eastern District of Washington; and Adam Cullman and Thomas Franzinger, Trial Attorneys, Environmental Crimes Section, United States Department of Justice.
Parkersburg felon pleads guilty to federal gun crimeRead the Press Release
CHARLESTON, W.Va. – A Parkersburg man pleaded guilty today to a federal gun crime, announced United States Attorney Carol Casto. Tyrese Antonio McMillon, 32, entered his guilty plea to being a felon in possession of a firearm.
McMillon admitted that on May 27, 2016, in Parkersburg, he possessed a Lorcin .380 pistol. McMillon was prohibited from possessing any firearm under federal law because of a 2006 felony conviction in Cabell County Circuit Court for possession with intent to deliver a controlled substance.
McMillon faces up to 10 years in federal prison when he is sentenced on August 24, 2017.
The Parkersburg Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives conducted the investigation. Assistant United States Attorney Joshua C. Hanks is in charge of the prosecution. The plea hearing was held before United States District Judge Joseph R. Goodwin.
This case was brought as part of Project Safe Neighborhoods. Project Safe Neighborhoods is a nationwide commitment to reduce gun crime in the United States by networking existing local programs targeting gun crime.
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Owner of Defunct Food Distribution Business Pleads Guilty to Defrauding Restaurant GroupsRead the Press Release
Deirdre M. Daly, United States Attorney for the District of Connecticut, today announced that MARK BERLIN, 63, of Boca Raton, Florida, waived his right to be indicted and pleaded guilty yesterday in Bridgeport federal court to one count of wire fraud related to his defrauding three restaurant groups of more than $3.5 million.
According to court documents and statements made in court, BERLIN owned and operated Fairfield Food Services, LLC, a Bridgeport-based food distribution business that bought meat, fish and other foods from wholesale vendors and then sold the items to restaurants and retail food distributors (“retail victims”). On a routine basis, BERLIN met with representatives for the retail victims to pitch them specific sales opportunities. Between April 2012 and April 2015, BERLIN made various misrepresentations to secure the sales, including claiming that he had arrangements with wholesale suppliers to obtain “futures contracts” from the wholesalers, and that the retail victims could “lock in” low prices if they paid for products in advance with delivery at a later date. BERLIN regularly told the retail victims that he had a “great deal” on particular products and the customers had to pay him fast in order to obtain the deals. BERLIN provided the retail victims with “Bill and Hold” invoices purportedly reflecting specific monies to be paid to the wholesale suppliers for products at the prices indicated. The retail victims then paid the “Bill and Hold” invoices in full with an understanding that the products or the futures contracts for products were being purchased from the suppliers.
The investigation revealed that BERLIN did not have “locked in” prices or “futures contracts” with wholesale suppliers, and BERLIN frequently used retail victims’ payments simply to cover his business’s immediate cash flow needs. In fact, instead of paying wholesalers before products were delivered, BERLIN typically did not pay the wholesalers for 30 or 60 days after products were delivered.
By April 2015, BERLIN was unable to keep the scheme afloat and stopped providing products to the retail victims. Shortly thereafter, Fairfield Food Services declared bankruptcy and closed its business. The Fairfield Food Services’ bankruptcy filing lists a total of approximately $5.3 million owed to three restaurant groups that paid BERLIN in advance for products, and hundreds of thousands of dollars owed to wholesale suppliers for products for which Fairfield Food Services had already taken delivery.
In pleading guilty, BERLIN contends that not all of the approximately $5.3 million owed to his retail victims was obtained by fraud. The government’s position is that BERLIN obtained at least $3.5 million and as much as $5.3 million by fraud.
BERLIN is scheduled to be sentenced by U.S. District Judge Stefan R. Underhill on August 25, 2017, at which time he faces a maximum term of imprisonment of 20 years.
This matter is being investigated by the Federal Bureau of Investigation and is being prosecuted by Assistant U.S. Attorney Christopher W. Schmeisser.
Ossipee Man Sentenced to Eight Years in Prison for Fentanyl ConspiracyRead the Press Release
CONCORD, N.H. – John J. Farley, Acting United States Attorney for the District of New Hampshire, announced that Jeffrey Lamarche, 39, of Ossipee, was sentenced to serve eight years in federal prison for his role in a conspiracy to possess with intent to distribute fentanyl.
According to court documents and statements in court, on May 24, 2016, Lamarche was a passenger in a vehicle stopped by a New Hampshire State Police trooper. After making various observations about Lamarche, the trooper asked if he would consent to a search. Lamarche consented. When the trooper asked the defendant to squat and stand up, seven cellophane packages fell from his right pant leg. Lab results later confirmed that the packages contained 44.6 grams of fentanyl and 5.8 grams of cocaine.
“The United States Attorney’s Office is committed to working with all of our law enforcement partners to stop the distribution of fentanyl,” Acting U.S. Attorney Farley said. “Those who choose to sell dangerous substances are jeopardizing the lives of the people in our communities. While people suffering from addiction need treatment, we will continue to target and prosecuted individuals involved in drug trafficking.”
The case was investigated by the New Hampshire State Police and was prosecuted by Assistant United States Attorney Georgiana L. Konesky.
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New Milford Man Involved in Extortion Scheme Sentenced to 30 Months in Federal PrisonRead the Press Release
Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that HOWARD HAMMER, 45, of New Milford, was sentenced today by U.S. District Judge Janet Bond Arterton in New Haven to 30 months of imprisonment, followed by three years of supervised release, for his role in an extortion scheme.
According to court documents and statements made in court, in late December 2015 to early January 2016, James Broderick, of New Milford, lent an individual approximately $1,500 with an understanding that the individual was required to pay Broderick $1,500, plus an additional $500 in interest, within four days of the initial loan. When the individual failed to pay the loan within four days, Broderick asked HAMMER to assist him in collecting on the loan. HAMMER then sent text messages to the victim that threatened harm to the victim if he failed to pay his debt. HAMMER took screen shots of the threatening text messages and forwarded them to Broderick. HAMMER and Broderick also discussed taking the victim’s car either as payment for the debt or as punishment for failure to pay the debt.
On January 25, 2016, members of the New Milford Police Department received a 911 call and responded to a local hotel where they found the victim of this extortion scheme, beaten and bloodied, in a room at the hotel. The victim had been stabbed eight times in back, causing internal injuries, and had suffered severe fractures to his skull and facial bones. The investigation revealed that members of the Hells Angels motorcycle club had stabbed the victim and beaten him with a hammer in connection with this extortion scheme.
HAMMER has been detained since his arrest on May 27, 2016. On December 2, 2016, he pleaded guilty to one count of conspiracy to participate in the collection and attempted collection of an extension of credit by extortionate means.
Broderick pleaded guilty to the same charge on December 7, 2016. He awaits sentencing.
This matter has been investigated by the FBI Violent Crime Task Force, New Milford Police Department and Connecticut State Police Western District Major Crime Squad. The case is being prosecuted by Assistant U.S. Attorney Michael J. Gustafson.
Michigan Man Pleads Guilty to Federal Meth Trafficking Charge in New MexicoRead the Press Release
ALBUQUERQUE – Marcus Bernard Harris, 22, of Detroit, Mich., pled guilty today in federal court in Albuquerque, N.M., to a methamphetamine trafficking charge under a plea agreement with the U.S. Attorney’s Office.
Harris and his codefendants Lewayne Deray Jennings, 28, of Southfield, Mich., and Jerrell Leveine Whitman-Crutcher, II, 31, of Warren, Mich., were arrested on Dec. 28, 2016, and charged with methamphetamine trafficking offenses after the DEA and New Mexico State Police (NMSP) seized a total of 9.8 kilograms (21.6 pounds) of methamphetamine during an interdiction investigation at the Greyhound Bus Station. The methamphetamine was allegedly concealed in various bundles inside luggage.
Harris and his codefendants were subsequently indicted on Jan. 24, 2017, and charged with conspiracy and possession of methamphetamine with intent to distribute on Dec. 28, 2016, in Bernalillo County, N.M.
During today’s proceedings, Harris pled guilty to a felony information charging him with possession of methamphetamine with intent to distribute and admitted transporting methamphetamine to Albuquerque on a Greyhound bus by concealing the methamphetamine in his luggage.
At sentencing, Harris faces a maximum penalty of 20 years in federal prison. A sentencing hearing has yet to be scheduled.
Jennings and Whitman-Crutcher have entered pleas of not guilty to the charges against them. Criminal charges are merely accusations, and defendants are presumed innocent unless proven guilty beyond a reasonable doubt.
This case was investigated by the Albuquerque office of the DEA and the New Mexico State Police. Assistant U.S. Attorney David M. Walsh is prosecuting the case.
Men Sentenced in Multi-State Drug Trafficking and Money Laundering OperationRead the Press Release
PENSACOLA, FLORIDA – Benjamin Guerrero-Lantz, 21, of Destin, was sentenced yesterday to 65 months in prison. In March, he pled guilty to conspiracy to distribute and possess with intent to distribute more than 100 kilograms of marijuana, as well as conspiracy to commit money laundering. Co-defendant Andres A. Barrios, 27, also of Destin, was sentenced on May 18, 2017, to 120 months in prison. In March, he pled guilty to both conspiracy charges and possession of a firearm by a convicted felon. The sentences were announced by Christopher P. Canova, United States Attorney for the Northern District of Florida.
Barrios and Guerrero-Lantz were funneling proceeds of a California-based drug trafficking operation through at least eight bank accounts containing more than $350,000, and illicitly obtained dozens of $500 money orders and multiple vehicles under nominee names.
In July 2016, law enforcement officers searched Guerrero-Lantz’s condominium after receiving complaints about the smell of marijuana. They found $17,000 in cash, handwritten ledgers recording drug debts, marijuana, vacuum-sealed bags, money order receipts, and vehicle titles. Guerrero-Lantz’s vehicle contained additional money order receipts and a bank transaction receipt for $9,000.
In December 2016, Guerrero-Lantz and others were stopped in Jackson, Mississippi, with more than $10,000 in cash, bank deposit slips, money orders, and cellular telephones. Law enforcement searched a Destin residence where they found Barrios. Inside, they found 13 one-pound bags of marijuana, more than $10,000 in cash, and other evidence of the drug trafficking conspiracy. Barrios also possessed a firearm and body armor.
This case resulted from an investigation by the Internal Revenue Service – Criminal Investigation; the Drug Enforcement Administration; the Bureau of Alcohol, Tobacco, Firearms and Explosives; the Pensacola Police Department; and the Okaloosa County Sheriff’s Office. Assistant United States Attorney David L. Goldberg prosecuted the case.
The United States Attorney’s Office for the Northern District of Florida is one of 94 offices that serve as the nation’s principal litigators under the direction of the Attorney General. To access public court documents online, please visit the U.S. District Court for the Northern District of Florida website. For more information about the United States Attorney’s Office, Northern District of Florida, visit http://www.justice.gov/usao/fln/index.html.
Memphis Man Sentenced to 484 Months in Federal Prison for Robbing Multiple BusinessesRead the Press Release
Memphis, TN – Terry Farris was sentenced to 484 months in federal prison for armed robbery affecting interstate commerce. Lawrence J. Laurenzi, Acting U.S. Attorney for the Western District of Tennessee, announced the sentence today.
According to information presented in court, during the month of January 2016, Eugene Cox, 23, and Squantivia S. Patterson, 23, both of Memphis; and Terry Farris, 38, of Millington, participated in multiple armed robberies of seven Memphis businesses: Shoney’s, Family Dollar, Krystal’s, Circle K, Church’s, Subway and Beauty and Beyond.
The guilty verdict followed a jury trial before the Honorable Sheryl Lipman, U.S. District Judge. Evidence at trial showed Terry Farris, along with Eugene Cox and Squantivia Patterson, committed two robberies together.
On January 13, 2016, the trio robbed the Shoney’s at 308 Covington Pike. Later that evening, the men robbed Circle K at 6133 Macon. Cox and Patterson were captured on surveillance video inside the Circle K, while Farris remained outside of the business and served as the lookout. After the robbery of Circle K, the men parted ways.
On January 14, 2016, Farris robbed Family Dollar at 2711 Getwell and Krystal’s at 3675 Lamar. On January 16, 2016, he robbed Church’s at 925 Poplar. That same day, Cox and Patterson robbed Subway at 2938 Covington Pike. While committed on the same day, the robberies were unrelated. Cox and Patterson committed their last robbery on January 23, 2016, at the Beauty and Beyond beauty supply, 9024 Covington Pike.
As a result of the Memphis Police Department’s investigation, latent prints lifted from the crime scene at Family Dollar were determined to be the same inked impressions belonging to Farris. The investigation also yielded surveillance video from Family Dollar, Krystal’s and Church’s along with victims’ identification of Farris from photo line-ups.
The case was investigated by detectives from the Memphis Police Department’s Safe Streets Task Force. Assistant U.S. Attorneys Karen Hartridge and Kevin Whitmore prosecuted this case on the government’s behalf.
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Member of Grant County Methamphetamine Trafficking Ring Sentenced to PrisonRead the Press Release
ALBUQUERQUE – Gary Lee Romero, 32, of Santa Clara, N.M., was sentenced today in federal court in Las Cruces, N.M., to 63 months in federal prison followed by four years of supervised release for his methamphetamine trafficking conviction.
Romero is one of twelve defendants charged with methamphetamine trafficking offenses as the result of a multi-agency investigation targeting a drug trafficking organization led by Daniel Lee Jacquez, 35, of Silver City, that distributed methamphetamine in Grant County, N.M. The investigation concluded in April 2015 with the filing of a 34-count indictment against Romero, Jacquez and nine co-defendants.
The indictment charged the 12 defendants with participating in a drug trafficking conspiracy and committing a series of substantive drug trafficking offenses and a firearms offense. According to the indictment, the defendants conspired to distribute methamphetamine in Grant County from March 2014 through April 2015. Eight counts charged certain defendants with distributing or possessing with intent to distribute methamphetamine and 24 counts charge certain defendants with using communications devices (telephones) to facilitate drug trafficking crimes. The indictment also charged one defendant with being a felon in possession of a firearm.
Romero pled guilty on July 13, 2016, to a felony information charging him with participating in a methamphetamine trafficking conspiracy, and admitted working with his co-defendants to distribute approximately 500 grams to 1.5 kilograms of methamphetamine in Silver City between March 2015 and April 2015.
All of Romero’s co-defendants, including Jacquez, have entered guilty pleas. Jacquez was sentenced on April 27, 2017, to 108 months in prison followed by four years of supervised release; Crystal Medina Gomez, 51, of Silver City, was sentenced on March 29, 2017, to 30 months in prison followed by three years of supervised release; and Anthony R. Davila, 26, of Santa Clara, was sentenced on Feb. 21, 2017, to 60 months in prison followed by three years of supervised release. The remaining co-defendants are currently awaiting sentencing hearings.
The case was investigated by the Las Cruces offices of the DEA, HSI and FBI with assistance from the U.S. Marshals Service and the New Mexico State Police. Assistant U.S. Attorney Richard C. Williams of the U.S. Attorney’s Las Cruces Branch Office is prosecuting this case.
The investigation leading to the filing of charges in this case was designated as part of the Organized Crime Drug Enforcement Task Force (OCDETF) program, a nationwide Department of Justice program that combines the resources and unique expertise of federal agencies, along with their local counterparts, in a coordinated effort to disrupt and dismantle major drug trafficking organizations.
Medicare Fraudster Given Maximum Prison SentenceRead the Press Release
HOUSTON – A Houston woman and a California man have been ordered to federal prison for conspiring to defraud Medicare through so-called diagnostic testing labs in the Houston area, announced Acting U.S. Attorney Abe Martinez. Zaven “George” Sarkisian, 55, of Fresno, California, and Konna Hanks, 48, of Houston, pleaded guilty Dec. 9 and 2, 2015, respectively.
Today, U.S. District Judge Keith P. Ellison ordered Sarkisian to the serve the statutory maximum of 10 years in prison. In handing down the sentence, Judge Ellison imposed enhancements for obstruction of Medicare’s administrative investigation, leadership role, abuse of Medicare’s trust, sophisticated means and loss to a federal health care program of more than $1 million. The court noted Sarkisian’s conspiracy was plotted over a long period of time and was “extremely serious.” For her role, Hanks will serve a total of 37 months in prison. As part of their pleas, Sarkisian and Hanks acknowledged they caused actual losses in the amounts of $4,412,944 and $2,569,530, respectively. Both defendants were also ordered to pay full restitution to Medicare.
“The sentence imposed today demonstrates the gravity of Sarkisian’s actions,” said Martinez. “He created an elaborate scheme and used others to bilk millions out of Medicare even after they attempted to cut his federal funding.”
From 2012 to August 2014, Sarkisian formed 11 diagnostic testing “clinics” that the conspirators used to fraudulently bill Medicare for services and diagnostic tests that were not actually performed or were medically unnecessary. Hanks worked with Sarkisian at seven of the clinics and recruited and paid Medicare beneficiaries to attend his clinics.
Marketers such as Hanks paid Medicare beneficiaries to attend the clinics so they could use their Medicare numbers to fraudulently bill Medicare. Sarkisian paid these marketers $80 to $100 cash, knowing they would keep part of this fee and pay the rest to the beneficiary.
Sarkisian told co-conspirators to order ultrasounds, allergy tests and pulmonary function tests for each beneficiary, regardless of circumstances. He also instructed others to ensure every beneficiary had poor circulation, shortness of breath, heart problems and allergies written in their chart.
Medicare eventually put Sarkisian’s first clinic on pre-payment review, thus drastically slowing down the flow of Medicare payments. He then recruited others to form new clinics and to open bank accounts in their names even though Sarkisian would actually be the owner of the clinics and who received proceeds.
Sarkisian was taken into custody following the sentencing today where he will remain pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future. Hanks had been previously on bond but was later ordered into custody for violating her conditions of release.
Two others - Darryl Johnson, 33, of Richmond, and Hmyak “Hamlet” Samsonyan, 47, of Katy, also pleaded guilty and are awaiting sentencing.
The FBI Health Care Fraud Task Force, Texas Attorney General’s Medicaid Fraud Control Unit and the Department of Health and Human Services - Office of Inspector General, Office of Investigations conducted the investigation. Assistant U.S. Attorneys Michael Chu and Jason Smith are prosecuting the case.
Maryland State Senator Indicted for Accepting Payments in Exchange for Official ActionsRead the Press Release
Baltimore, Maryland – A federal grand jury has indicted Maryland State Senator Nathaniel Thomas Oaks, age 70, of Baltimore, Maryland, with wire fraud, honest services wire fraud, and violations of the Travel Act for allegedly accepting illegal payments in exchange for using his official position or influence to benefit an individual on business-related matters. The indictment was returned on May 31, 2017.
The indictment 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 to the affidavit in support of the criminal complaint filed previously, and the nine-count indictment returned on May 31, 2017, Oaks was a Maryland State Delegate representing District 41 (Baltimore City) from 1994 until being appointed to the Maryland Senate in February 2017, representing the same District.
The affidavit alleges that on September 21, 2015, a cooperating individual (the Cooperator) introduced Oaks to an FBI confidential human source (the CHS) who portrayed himself as an out-of-town businessperson interested in obtaining contracts in the City of Baltimore through a minority-owned business (the Company). The Company is a real business that is operated by a different cooperating defendant who is assisting the FBI with the investigation. The meeting took place at a restaurant in Pikesville, Maryland, and was consensually recorded by the Cooperator and the CHS. During the meeting, Oaks offered to assist the CHS with business development in Maryland.
During the months following the September 21, 2015 meeting between the CHS and Oaks, the CHS consensually recorded numerous telephone and in-person conversations with Oaks during which they discussed possible development and business-related opportunities that may be available to the CHS in Maryland. One such opportunity was a United States Department of Housing and Urban Development (HUD) project (the Project) that the CHS told Oaks that he was interested in developing in the City. Oaks told the CHS that he wanted to help with the HUD project.
According to the indictment, between the months of April 2016 and July 2016, Oaks issued two letters on his official House of Delegates letterhead to a person whom he believed to be a HUD official which contained materially false and fraudulent representations in order to assist the CHS in obtaining federal grant funds from HUD. The CHS paid Oaks $10,300 for his assistance.
Further, the indictment alleges that on September 22, 2016, the CHS paid Oaks $5,000 in exchange for Oaks’ agreement to file a bond bill request with the Maryland Department of Legislative Services (DLS) seeking $250,000 in state funds for the Project. Oaks filed the bill request with DLS later that day. On November 21, 2016, Oaks forwarded an email to the CHS that had been sent to him by DLS. The email attached the draft of the bill to establish a $250,000 bond to be used for the project.
All the money paid to Oaks by the CHS was supplied by the FBI and the meetings were recorded using audio/video recording equipment.
Oaks faces a maximum sentence of 20 years in prison for each count of wire fraud; 20 years in prison for honest services wire fraud; and five years in prison for each count of the Travel Act. An initial appearance has not yet been been scheduled in U.S. District Court in Baltimore.
An indictment is not a finding of guilt. An individual charged by indictment is presumed innocent unless and until proven guilty at some later criminal proceedings.
Acting United States Attorney Stephen M. Schenning commended the FBI for its work in the investigation. Mr. Schenning thanked Assistant U.S. Attorneys Kathleen O. Gavin and Leo J. Wise, who are prosecuting the case.
Mansfield man indicted for having child pornographyRead the Press Release
Dennis J. Northover, II, 27, of Mansfield, was charged with one count of receiving and distributing visual depictions of minors engaged in sexually explicit conduct, said Acting U.S. Attorney David A. Sierleja
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 record, 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 case is being prosecuted by Assistant U.S. Attorney Brian M. McDonough following an investigation by the FBI Child Exploitation Task Force.
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.
Man Sentenced to 60 Months in Prison for Drug Conspiracy and Possession of Cocaine with Intent to DistributeRead the Press Release
St. Thomas, USVI – Rhasheel Charles, 30, of St. Thomas, was sentenced today to 60 months in prison and five years of supervised release for drug conspiracy and possession with intent to distribute cocaine, Acting United States Attorney Joycelyn Hewlett announced. District Judge Curtis V. Gomez also ordered Charles to pay a $100 special assessment and complete 400 hours of community service.
On January 31, 2017, Charles pleaded guilty to drug conspiracy and possession with intent to distribute cocaine. According to the plea agreement filed with the court, Charles was attempting to carry 3.55 kilograms of cocaine in a bag onboard an American Airlines flight to Miami, Fla., when a Customs and Border Protection canine alerted to the drugs in the bag.
The case was investigated by U.S. Immigration and Customs Enforcement’s Homeland Security Investigations. The case was prosecuted by Assistant U.S. Attorney Sigrid Tejo-Sprotte.
Man Sentenced to 24 Years' Imprisonment for Armed RobberyRead the Press Release
Columbia, South Carolina ---- United States Attorney Beth Drake stated today that Jordan Akeem McDaniel, 28, of St. Stephen, South Carolina, was sentenced to a total of two hundred and eight-eight months imprisonment for the armed robbery of Orvin’s Insurance Agency in St. Stephens. McDaniel pled guilty in November 2015, to one count of Robbery Affecting Interstate Commerce and one count of Brandishing a Firearm in Furtherance of a Crime of Violence. The Robbery charge carries up to 20 years imprisonment; the Brandishing charge carries a mandatory sentence of 7 years imprisonment, to be served consecutive to any other sentence.
Information presented at McDaniel’s guilty plea established that McDaniel waited outside Orvin’s Insurance Agency around closing time, and when an employee exited the business McDaniel forced him back in at gunpoint. There, he forced the employee to the floor and held other employees at gunpoint. McDaniel then took cash and checks that were kept at the business. Information at McDaniel’s sentencing established that McDaniel had been released from prison in June 2012. Three months after his release, McDaniel committed Voluntary Manslaughter in September 2012, and then two months later, in December 2012, committed the armed robbery of Orvin’s Insurance Agency. United States District Judge Richard M. Gergel imposed the sentence.
The conviction and sentence are the result of an investigation conducted by the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) and the Berkeley County Sheriff’s Office. Assistant United States Attorney Nathan Williams of the Charleston office prosecuted the case.
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Mail carrier indicted for stealing contents of 74 letters addressed to homes in TwinsburgRead the Press Release
A U.S Postal Service mail carrier was indicted for allegedly stealing the contents 74 letters addressed to homes in Twinsburg, said David A. Sierleja, Acting U.S. Attorney for the Northern District of Ohio.
Condrick E. Womack, Sr., 38, of Euclid, was indicted on one count of theft of mail matter by officer or employee.
From at least June 2016 through on or about September 14, 2016, Womack, did knowingly embezzle letters, packages and other items entrusted to him and which came into his possession intended to be conveyed by mail, and carried or delivered by any carrier, messenger, agent, or other person employed in any department of the Postal Service, to wit: the contents of approximately 74 first class letters in envelopes addressed to or sent by multiple individuals at addresses in the Twinsburg area, according to the indictment.
If convicted, a defendant’s sentence will be determined by the Court after review of factors unique to this case, including the defendant’s prior criminal record, if any, the defendant’s role in the offense and the
characteristics of the violations. In all cases, the sentence will not exceed the statutory maximum and, in most cases, it will be less than the maximum.
The investigation preceding the indictment was conducted by the Gates Mills Police Department, the Twinsburg Police Department, and the U.S. Postal Service – Office of Inspector General. The case is being prosecuted by Assistant U.S. Attorney Henry F. DeBaggis.
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.
Limington Man Sentenced to 12 Years for Distributing MethadoneRead the Press Release
Portland, Maine: Acting United States Attorney Richard W. Murphy announced that Alfred McIntosh, Jr., a/k/a “Bim,” 45, of Limington, Maine, was sentenced today in U.S. District Court by Judge D. Brock Hornby to 12 years in prison to be followed by 3 years of supervised release for distributing methadone.
According to court records, on June 1, 2012, McIntosh burglarized the residence of a family member and stole methadone. On June 7, 2012, he distributed some of the stolen methadone to Drew Conners who consumed some of it and passed away on June 8, 2012 from acute methadone toxicity.
This case results from an investigation conducted by the U.S. Drug Enforcement Administration; the Buxton, Windham and Portland Police Departments, and the Cumberland County Sheriff’s Office.
Lawrence Man Pleads Guilty to Drug and Firearm OffensesRead the Press Release
BOSTON – A Lawrence man pleaded guilty today in federal court in Boston to drug and firearm charges.
Melvin Difo, 31, pleaded guilty to one count of possession with intent to distribute cocaine, heroin, and oxycodone; one count of conspiracy to distribute and possess with intent to distribute oxycodone; and one count of possession of a firearm by a felon. U.S. District Court Judge Douglas P. Woodlock scheduled sentencing for Sept. 6, 2017.
In the fall of 2015, federal investigators learned that Difo was receiving oxycodone from a supplier. Investigators arranged to have two sources make numerous controlled purchases of narcotics from Difo. In August 2016, two federal search warrants were executed, one at Difo’s home where a firearm was recovered, and one at his business, where approximately 40 grams of heroin, 100 grams of cocaine, and 860 oxycodone pills were recovered.
The charge of possession with intent to distribute provides for a sentence of no greater than 20 years in prison, a minimum of three years and up to a lifetime of supervised release, and a fine of $1 million. The charge of conspiracy provides for a sentence of no greater than 20 years in prison, a minimum of three years and up to five years of supervised release, and a fine of $1 million. The firearm charge provides for a sentence of no greater than 10 years in prison, three years of supervised release, and a fine of $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
Acting United States Attorney William D. Weinreb and Michael J. Ferguson, Special Agent in Charge of the Drug Enforcement Administration, New England Field Division, made the announcement today. The Massachusetts State Police and Lawrence Police Department provided valuable assistance with the investigation. Assistant U.S. Attorney Eric Rosen of Weinreb’s Narcotics and Money Laundering Unit is prosecuting the case.
Las Vegas Man Sentenced for Coercion and Enticement of Two Girls to Travel from Oregon to Nevada to Work as ProstitutesRead the Press Release
LAS VEGAS, Nev. – A Las Vegas man was sentenced today to 75 months in prison for coercing and enticing two girls to travel from Oregon to Nevada to work as prostitutes, announced Acting U.S. Attorney Steven W. Myhre for the District of Nevada.
Anthony Antonio Lewis, 20, pleaded guilty on March 7, 2017, to one count of coercion and enticement. Co-defendant Johnny Le Andrew Hudson, 19, pleaded guilty on Feb. 2, 2017, to coercion and enticement, and he was sentenced on May 2, 2017, to 87 months in prison. United States District Judge Andrew P. Gordon presided over both of the sentencing hearings.
According to the plea agreement, Lewis admitted that, from Jan. 22 to 27, 2016, he coerced and enticed two minor girls to travel from Oregon to California and to Nevada to engage in prostitution. Lewis told one of the girls that by working as a prostitute she would be able to buy her own car, and that when she returned to Oregon, she would be able to get her own place to live. He advertised the girl through backpage.com, a website known for prostitution advertisements. The girl would give the money obtained through prostitution committed in California and Nevada to Hudson and Lewis.
The case was investigated by the FBI. The case was prosecuted by Assistant U.S. Attorneys Elham Roohani and Christopher Burton.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals, federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood and for information about internet safety education, visit www.usdoj.gov/psc.
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Lake County Middle School Teacher Arrested for Attempting to Entice A Minor to Engage in Sexual ActivityRead the Press Release
Orlando, Florida – Acting United States Attorney W. Stephen Muldrow announces the arrest and filing of a criminal complaint charging Andres Fernando Cabezas (33, Lake County) with attempting to entice a minor to engage in sexual activity. If convicted, he faces a minimum mandatory penalty of 10 years, up to life, in federal prison. Cabezas is employed as a teacher at Carver Middle School in Leesburg.
According to the
criminal complaint , between May 25 and May 30, 2017, Cabezas used his cellphone to communicate via e-mail and text messaging with a child he believed to be 12 years old, in an attempt to entice the girl to engage in sexual activity. On May 30, 2017, he traveled from Clermont to a restaurant in Lake Mary where he intended to meet the child. Upon arriving at the restaurant, Cabezas was arrested by FBI agents.Cabezas later confessed that he intended to have sex with the child and then give her an emergency contraceptive pill that agents had recovered from his vehicle. He also stated that he had visited the dark web to view videos of toddlers and young children engaged in sexual acts with adults.
A criminal complaint is merely an allegation 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 the Federal Bureau of Investigation. It will be prosecuted by Assistant United States Attorney Ilianys Rivera Miranda.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to 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.
Lackawanna Man Pleads Guilty to Drug and Retaliation ChargesRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051BUFFALO, N.Y.-Acting U.S. Attorney James P. Kennedy, Jr. announced today that Sharon Thompson, 25, of Lackawanna, NY, pleaded guilty to possession with intent to distribute, and distribution of, crack cocaine within 1000 feet of a public housing property, and conspiracy to retaliate against an informant, before Senior U.S. District Judge William M. Skretny. The charges carry a maximum penalty of 40 years in prison and a $2,000,000 fine.
Assistant U.S. Attorney George C. Burgasser, who is handling the case, stated that on May 7, 2014, the defendant sold crack cocaine to a confidential informant working with the Lackawanna Police Department. The purchase occurred within 1000 feet of the Gates Housing Projects in Lackawanna. On October 11, 2014, Thompson and another individual assaulted another individual who they believed was cooperating with law enforcement officers. In addition, they stole case and a cell phone from the victim while the victim was unconscious.
Thompson is one of 18 defendants arrested in a large scale drug trafficking operation that operated in and near the Gates Housing Project. To date, eight defendants have been convicted. The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
The plea is the result of an investigation by the Federal Bureau of Investigation, under the direction of Adam S. Cohen, Special Agent-in-Charge.Sentencing is scheduled for September 20, 2017, at 9:00 a.m. before Judge Skretny.
KC Man Sentenced to 19 Years for PCP ConspiracyRead the Press Release
KANSAS CITY, Mo. – Tom Larson, Acting United States Attorney for the Western District of Missouri, announced that a Kansas City, Mo., man was sentenced in federal court today for his role in a conspiracy to distribute PCP.
Ronnie Barrett, 46, of Kansas City, was sentenced by U.S. District Judge Gary A. Fenner to 19 years in federal prison without parole.
On Nov. 22, 2016, Barrett pleaded guilty to participating in a conspiracy to distribute PCP from Jan. 1, 2014, to May 21, 2015, and to aiding and abetting money laundering. Barrett admitted he was a mid-level PCP dealer and obtained multiple-ounce quantities of PCP to distribute in PCP-dipped cigarettes called “sticks,” half-ounce bottles, and full ounce bottles. Barrett possessed and distributed more than a kilogram of PCP.
Barrett also admitted that he aided and abetted an uncharged accomplice to launder drug-trafficking proceeds. Money obtained from the PCP conspiracy was used to purchase a 2006 Maserati Quattroporte at a car dealership in Kansas City, Mo., for $25,000, with the intent to conceal the ownership of the unlawful proceeds. The Maserati was purchased by Barrett but the vehicle was titled in the name of the uncharged accomplice.
Barrett is the final defendant among 11 defendants who have pleaded guilty and been sentenced in this case.
This case was prosecuted by Assistant U.S. Attorney Brent Venneman. It was investigated by the Kansas City, Mo., Police Department and the FBI.
Justice Department Settles Disability-Based Housing Discrimination Lawsuit with City of Jacksonville, FLRead the Press Release
The Justice Department today announced a settlement with the city of Jacksonville, Florida, to resolve allegations that the city violated the Fair Housing Act and the Americans with Disabilities Act when it refused to all ow the development of permanent supportive housing for individuals with disabilities in its Springfield neighborhood.
The settlement, which must still be approved by the U.S. District Court for the Middle District of Florida, resolves a lawsuit the department filed in December 2016. That lawsuit was consolidated with similar ones brought by Ability Housing, Inc. and Disability Rights Florida, which were resolved in a separate settlement with the city.
“Federal law protects the right of individuals with disabilities to live in communities of their choice without facing discrimination,” said Acting Assistant Attorney General Tom Wheeler of the Justice Department’s Civil Rights Division. “Through this settlement, the city of Jacksonville has taken steps to ensure that its residents can exercise this right.”
“The Fair Housing Act and the Americans with Disabilities Act protect against official adoption of community discrimination,” said Acting U.S. Attorney W. Stephen Muldrow, of the Middle District of Florida. “We commend the city of Jacksonville’s willingness to rectify its past actions, and we look forward to continuing to work with the city to ensure that individuals with disabilities in Jacksonville are afforded the same opportunities as those without disabilities.”
As part of the city’s settlement with the department, the city has amended its zoning code to better comply with federal anti-discrimination laws, including removing restrictions that apply to housing for persons with disabilities and implementing a reasonable accommodation policy. The city also agreed to rescind the written interpretation that prevented Ability Housing from providing the housing at issue, designate a fair housing compliance officer, provide Fair Housing Act and Americans with Disabilities Act training for city employees, and pay a civil penalty to the government of $25,000. In the separate settlement, the city agreed to pay $400,000 to Ability Housing and $25,000 to Disability Rights Florida, and to establish a $1.5 million grant to develop permanent supportive housing in the city for people with disabilities.
The department’s suit alleged that in 2014, Ability Housing received a $1.35 million grant from Florida to revitalize a 12-unit apartment building and create permanent supportive housing for “chronically homeless” individuals in Jacksonville who, by definition, have at least one disability. Ability Housing specifically intended to provide this housing to veterans and to connect them with optional support services. The city had previously certified that Ability Housing’s development of the property was consistent with the city’s zoning code but, as alleged in the department’s complaint, reversed itself in response to intense community pressure based on stereotypes about the disabilities of the expected residents. As a result, Ability Housing lost the grant and the property. The department conducted an independent investigation and subsequently filed this lawsuit.
Fighting illegal housing discrimination is a top priority of the Justice Department. The Fair Housing Act prohibits discrimination in housing on the basis of race, color, religion, sex, familial status, national origin, and disability. Title II of the Americans with Disabilities Act prohibits discrimination on the basis of disability by public entities. More information about the Civil Rights Division and the laws it enforces is available at www.justice.gov/crt. Individuals who believe that they may have been victims of housing discrimination can call the Justice Department at 1-800-896-7743, email the Justice Department at [email protected] or contact HUD at 1-800-669-9777.
Justice Department Settles Disability-Based Housing Discrimination Lawsuit with City of JacksonvilleRead the Press Release
Jacksonville, FL – The Justice Department today announced a settlement with the city of Jacksonville, to resolve allegations that the city violated the Fair Housing Act and the Americans with Disabilities Act when it refused to allow the development of permanent supportive housing for individuals with disabilities in its Springfield neighborhood.
The settlement, which must still be approved by the U.S. District Court for the Middle District of Florida, resolves a lawsuit the department filed in December 2016. That lawsuit was consolidated with similar ones brought by Ability Housing, Inc. and Disability Rights Florida, which were resolved in a separate settlement with the city.
“Federal law protects the right of individuals with disabilities to live in communities of their choice without facing discrimination,” said Acting Assistant Attorney General Tom Wheeler of the Justice Department’s Civil Rights Division. “Through this settlement, the city of Jacksonville has taken steps to ensure that its residents can exercise this right.”
“The Fair Housing Act and the Americans with Disabilities Act protect against official adoption of community discrimination,” said Acting U.S. Attorney W. Stephen Muldrow, of the Middle District of Florida. “We commend the city of Jacksonville’s willingness to rectify its past actions, and we look forward to continuing to work with the city to ensure that individuals with disabilities in Jacksonville are afforded the same opportunities as those without disabilities.”
As part of the city’s settlement with the department, the city has amended its zoning code to better comply with federal anti-discrimination laws, including removing restrictions that apply to housing for persons with disabilities and implementing a reasonable accommodation policy. The city also agreed to rescind the written interpretation that prevented Ability Housing from providing the housing at issue, designate a fair housing compliance officer, provide Fair Housing Act and Americans with Disabilities Act training for city employees, and pay a civil penalty to the government of $25,000. In the separate settlement, the city agreed to pay $400,000 to Ability Housing and $25,000 to Disability Rights Florida, and to establish a $1.5 million grant to develop permanent supportive housing in the city for people with disabilities.
The department’s suit alleged that in 2014, Ability Housing received a $1.35 million grant from Florida to revitalize a 12-unit apartment building and create permanent supportive housing for “chronically homeless” individuals in Jacksonville who, by definition, have at least one disability. Ability Housing specifically intended to provide this housing to veterans and to connect them with optional support services. The city had previously certified that Ability Housing’s development of the property was consistent with the city’s zoning code but, as alleged in the department’s complaint, reversed itself in response to intense community pressure based on stereotypes about the disabilities of the expected residents. As a result, Ability Housing lost the grant and the property. The department conducted an independent investigation and subsequently filed this lawsuit.
Fighting illegal housing discrimination is a top priority of the Justice Department. The Fair Housing Act prohibits discrimination in housing on the basis of race, color, religion, sex, familial status, national origin, and disability. Title II of the Americans with Disabilities Act prohibits discrimination on the basis of disability by public entities. More information about the Civil Rights Division and the laws it enforces is available at www.justice.gov/crt. Individuals who believe that they may have been victims of housing discrimination can call the Justice Department at 1-800-896-7743, email the Justice Department at [email protected] or contact HUD at 1-800-669-9777.
Justice Department Reaches Settlement Agreement with Washington State Public Transit System on Behalf of Washington Army National Guard MemberRead the Press Release
The Department of Justice announced today that it has reached a settlement agreement with Pierce County Transportation Benefit Area Corporation of Pierce County, Washington. The settlement resolves allegations that Pierce Transit violated the employment rights of Washington Army National Guard Member Lieutenant Colonel C. Van Sawin guaranteed by the Uniformed Services Employment and Reemployment Rights Act. USERRA safeguards the rights of uniformed servicemembers to retain their civilian employment following absences due to military service obligations.
Pierce Transit, headquartered in Lakewood, Washington, is a municipal corporation and an operator of public transit in Pierce County, Washington, located south of Seattle. According to allegations brought by LTC Sawin, and independently investigated by the DOJ, Pierce Transit violated USERRA by failing to reemploy LTC Sawin in September 2016 after he returned from active duty military service. Pierce Transit worked cooperatively with DOJ during its investigation and worked to reach a settlement that addressed the USERRA violation found by the Department.
LTC Sawin is a United States Military Academy graduate, who served on active duty as a U.S. Army Battalion Maintenance Officer. LTC Sawin has also served as a reservist and, between 2005 and 2006, deployed to Iraq in support of Operation Iraqi Freedom. LTC Sawin was hired by Pierce Transit in 2007 and rose to become its Business Development Officer. In November 2015, LTC Sawin was activated to help lead the Washington National Guard’s earthquake readiness exercise, code named “Evergreen Tremor” – a weeklong exercise involving more than 1000 Washington National Guard soldiers and airmen across the state, as well as local, state and federal emergency response agencies. The drill took place in the Summer of 2016. Following the drill, LTC Sawin re-applied for his position in September 2016. Pierce Transit declined to re-employ LTC Sawin, stating that, while he was on active duty (in March 2016), it had laid him off following a reorganization that eliminated his position.
Under the terms of the settlement agreement, which is not an admission of liability by Pierce Transit, Pierce Transit must pay LTC Sawin $105,000 to compensate him for lost and/or reduced wages and benefits, and other damages. Additionally, the settlement seeks to reduce the likelihood of future USERRA violations by requiring Pierce Transit to adopt a USERRA policy, to provide training to its high-level officials and human resources staff on the USERRA rights and obligations of employers and covered employees, and to report allegations of violations of USERRA and certify its compliance therewith to the DOJ for a period of two years. Pierce Transit also agreed to resolve any dispute about the agreement in the United States District Court for the Western District of Washington.
“Failure to reemploy a person who leaves their job because of military deployment, service, or training is a violation of the law,” said Acting Assistant Attorney General Tom Wheeler of the Justice Department’s Civil Rights Division. “The Justice Department will ensure that service members like LTC Sawin, who was called away from his job in order to serve the country in the National Guard, can complete their military obligations without fear that by doing so, they will lose their civilian jobs.”
“We are fortunate to have many National Guard servicemen and women who live in western Washington who are prepared to sacrifice time with their families and civilian jobs to serve our country,” said U.S. Attorney Annette L. Hayes. “Our job in the United States Attorney’s Office is to protect the rights of these citizen soldiers and to hold accountable employers who fail to meet their duties under the law.”
Subject to certain conditions, USERRA requires employers to promptly reemploy returning service members in the positions they would have held had their employment been not interrupted by military service, or in a position of like seniority, status and pay. Following a referral from the Department of Labor, the United States Department of Justice is authorized to bring claims on behalf of the men and women of our nation’s Armed Forces and veterans to recover employment rights including back pay, benefits and injunctive relief.
The matter was investigated and resolved by Assistant U.S. Attorney and Civil Rights Program Coordinator, J. Michael Diaz and Assistant U.S. Attorney Sarah Morehead in the U.S. Attorney’s Office for the Western District of Washington, in collaboration with Andrew Braniff, USERRA/USAO Program Coordinator, in the Employment Litigation Section of the Civil Rights Division of the Justice Department.
The Justice Department’s Civil Rights Division have given a high priority to the enforcement of service members’ rights under USERRA. Additional information about USERRA can be found on the Justice Department’s websites at www.usdoj.gov/crt/emp and www.servicemembers.gov, as well as on the Labor Department’s website at www.dol.gov/vets/programs/userra/main.htm.
Justice Department Reaches Settlement Agreement with Washington State Public Transit System on Behalf of Washington Army National Guard MemberRead the Press Release
The Department of Justice announced today that it has reached a settlement agreement with Pierce County Transportation Benefit Area Corporation of Pierce County, Washington. The settlement resolves allegations that Pierce Transit violated the employment rights of Washington Army National Guard Member Lieutenant Colonel C. Van Sawin guaranteed by the Uniformed Services Employment and Reemployment Rights Act. USERRA safeguards the rights of uniformed servicemembers to retain their civilian employment following absences due to military service obligations.
Pierce Transit, headquartered in Lakewood, Washington, is a municipal corporation and an operator of public transit in Pierce County, Washington, located south of Seattle. According to allegations brought by LTC Sawin, and independently investigated by the DOJ, Pierce Transit violated USERRA by failing to reemploy LTC Sawin in September 2016 after he returned from active duty military service. Pierce Transit worked cooperatively with DOJ during its investigation and worked to reach a settlement that addressed the USERRA violation found by the Department.
LTC Sawin is a United States Military Academy graduate, who served on active duty as a U.S. Army Battalion Maintenance Officer. LTC Sawin has also served as a reservist and, between 2005 and 2006, deployed to Iraq in support of Operation Iraqi Freedom. LTC Sawin was hired by Pierce Transit in 2007 and rose to become its Business Development Officer. In November 2015, LTC Sawin was activated to help lead the Washington National Guard’s earthquake readiness exercise, code named “Evergreen Tremor” – a weeklong exercise involving more than 1000 Washington National Guard soldiers and airmen across the state, as well as local, state and federal emergency response agencies. The drill took place in the Summer of 2016. Following the drill, LTC Sawin re-applied for his position in September 2016. Pierce Transit declined to re-employ LTC Sawin, stating that, while he was on active duty (in March 2016), it had laid him off following a reorganization that eliminated his position.
Under the terms of the settlement agreement, which is not an admission of liability by Pierce Transit, Pierce Transit must pay LTC Sawin $105,000 to compensate him for lost and/or reduced wages and benefits, and other damages. Additionally, the settlement seeks to reduce the likelihood of future USERRA violations by requiring Pierce Transit to adopt a USERRA policy, to provide training to its high-level officials and human resources staff on the USERRA rights and obligations of employers and covered employees, and to report allegations of violations of USERRA and certify its compliance therewith to the DOJ for a period of two years. Pierce Transit also agreed to resolve any dispute about the agreement in the United States District Court for the Western District of Washington.
“Failure to reemploy a person who leaves their job because of military deployment, service, or training is a violation of the law,” said Acting Assistant Attorney General Tom Wheeler of the Justice Department’s Civil Rights Division. “The Justice Department will ensure that service members like LTC Sawin, who was called away from his job in order to serve the country in the National Guard, can complete their military obligations without fear that by doing so, they will lose their civilian jobs.”
“We are fortunate to have many National Guard servicemen and women who live in western Washington who are prepared to sacrifice time with their families and civilian jobs to serve our country,” said U.S. Attorney Annette L. Hayes. “Our job in the United States Attorney’s Office is to protect the rights of these citizen soldiers and to hold accountable employers who fail to meet their duties under the law.”
Subject to certain conditions, USERRA requires employers to promptly reemploy returning service members in the positions they would have held had their employment been not interrupted by military service, or in a position of like seniority, status and pay. Following a referral from the Department of Labor, the United States Department of Justice is authorized to bring claims on behalf of the men and women of our nation’s Armed Forces and veterans to recover employment rights including back pay, benefits and injunctive relief.
The matter was investigated and resolved by Assistant U.S. Attorney and Civil Rights Program Coordinator, J. Michael Diaz and Assistant U.S. Attorney Sarah Morehead in the U.S. Attorney’s Office for the Western District of Washington, in collaboration with Andrew Braniff, USERRA/USAO Program Coordinator, in the Employment Litigation Section of the Civil Rights Division of the Justice Department.
The Justice Department’s Civil Rights Division have given a high priority to the enforcement of service members’ rights under USERRA. Additional information about USERRA can be found on the Justice Department’s websites at www.usdoj.gov/crt/emp and www.servicemembers.gov, as well as on the Labor Department’s website at www.dol.gov/vets/programs/userra/main.htm.
Jamaican National Pleads Guilty to False Claim of U.S. CitizenshipRead the Press Release
St. Thomas, USVI- Ewart Henry, 71, of Jamaica, pleaded guilty today in federal court on St. Thomas to making a false claim of United States citizenship, Acting United States Attorney Joycelyn Hewlett announced. District Judge Curtis V. Gomez detained Henry pending further proceedings. Sentencing is set for October 5, 2017.
According to the plea agreement filed with the court, Henry admitted that he knowingly gave a U.S. Customs and Border Protection (CBP) officer a Connecticut state identification card to falsely represent that he was a United States citizen.
Henry faces a maximum sentence of three years in prison and a $250,000 fine. This case was investigated by CBP and U.S. Immigration and Customs Enforcement’s Homeland Security Investigations . It was prosecuted by Assistant United States Attorney Sigrid M. Tejo-Sprotte.
Jacksonville Gang Founder Sentenced to 10 Years for Possessing A FirearmRead the Press Release
Jacksonville, Florida – U.S. District Judge Timothy J. Corrigan has sentenced Maurice Phillip Mitchell (32, Jacksonville) to 10 years in federal prison for possessing a firearm after having been convicted of a felony. A federal jury found him guilty on February 7, 2017. During his sentencing hearing, Mitchell was identified as the founder of the violent gang “Cut Throat Committee,” which operates throughout Florida’s prison system.
According to court documents, Mitchell was operating a minivan in the Lackawanna area of Jacksonville on February 29, 2016, when he was encountered by a patrol officer with the Jacksonville Sheriff’s Office (JSO). The officer observed signs of intoxication and pursued Mitchell, who led the officer on a high-speed chase and ultimately crashed the vehicle into a tree. Mitchell then exited the vehicle and fled on foot. A second JSO patrol officer, who had responded to assist, apprehended Mitchell a short time later, after finding him hiding under an SUV in a nearby parking lot. Upon returning to the scene of the crash, officers found a firearm on the dashboard of the minivan. As a previously convicted felon, Mitchell is prohibited from possessing a firearm or ammunition under federal law.
At the sentencing hearing, the United States presented evidence that Mitchell had attempted to obstruct justice by paying a third party to falsely testify on his behalf and by attempting to intimidate a witness during trial. He received a sentencing enhancement based on this evidence. He also received an additional sentencing enhancement for reckless endangerment during his flight from police.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives, with assistance from the Jacksonville Sheriff’s Office and the Florida Department of Law Enforcement. It was prosecuted by Assistant United States Attorneys Laura Cofer Taylor and Kelly Karase.
This is another case prosecuted as a part of the Department of Justice’s “Project Safe Neighborhoods” Program - a nationwide, gun-violence reduction strategy. Acting United States Attorney Muldrow, along with Daryl R. McCrary, Special Agent in Charge, ATF, is coordinating the Project Safe Neighborhoods effort here in the Middle District of Florida in cooperation with federal, state, and local law enforcement officials.
Illegal Alien Indicted for Possession of Firearms and Felony Assault on A Federal OfficerRead the Press Release
Orlando, Florida – Acting United States Attorney W. Stephen Muldrow announces the return of an indictment charging Oniel Christopher Russell, a/k/a OG Russell (39), a Jamaica national, with being an illegal alien in possession of a firearm and felony assault on a federal officer. If convicted on all counts, he faces a maximum penalty of 18 years in federal prison.
According to court documents, Russell last entered the United States on October 29, 2008, as a non-immigrant visitor for pleasure with subsequent authorization to remain within the United States until January 3, 2009. However, he failed to depart and remained in the country without any lawful immigration status. On August 24, 2013, deputies from the Orange County Sheriff’s Office found Russell in possession of a Ruger firearm. In October 2016, Russell threatened to kill an employee with U.S. Citizenship and Immigration Services over the telephone, after posting a video of himself called “cop killer” on YouTube. When officers with ICE subsequently attempted to execute an administrative warrant for his arrest, Russell attempted to flee back into a residence. As the deportation officer was attempting to handcuff him and place him under arrest, Russell pulled the officer into a wall and started dragging him towards the house. Russell was eventually taken into custody.
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 Custom Enforcement’s Enforcement and Removal Operations, the Bureau of Alcohol, Tobacco, Firearms and Explosives, and the Orange County Sheriff’s Office. It will be prosecuted by Special Assistant United States Attorney Christina R. Downes, who is on assignment from ICE’s Office of the Principal Legal Advisor.
Houston Man Admits Hacking and Damaging Computers of Pittsburgh-area Health Care FacilityRead the Press Release
PITTSBURGH - A resident of Houston, Texas, entered pleas of guilty in Pittsburgh to charges of Intentional Damage to a Protected Computer and Wire Fraud, Acting United States Attorney Soo C. Song announced today.
Brandon A. Coughlin, of Houston, Texas, pleaded guilty before Chief United States District Court Judge Joy Flowers Conti.
In connection with the guilty plea, the Court was advised that Coughlin intentionally hacked and damaged 13 servers operated by a local healthcare facility and engaged in a scheme to defraud that healthcare facility by using its purchase card to order merchandise from Staples. On January 16, 2013, Coughlin was hired by the healthcare facility as an in-house computer systems administrator.
On February 4, 2013, he resigned from that position at the request of the management of the local healthcare facility. Using the administrative passwords he knew from his employment, Coughlin on September 18, 2013 hacked the computer network of the healthcare facility. He disabled all administrative accounts needed to control any and all of the computer servers of the healthcare facility, and deleted users’ network shares, business data, and patient health information and data, including patient medical records. He caused a financial loss of approximately $60,000.00. He caused the local healthcare facility to cease its medical treatment of patients until its system was restored.
Coughlin also admitted committing wire fraud when he attempted fraudulently to purchase online iPad Air tablets on the Staples account of the local healthcare facility. As part of the fraud, Coughlin breached the email server of the healthcare facility. He directed that email server to delete email from Staples before it was routed to the purchasing supervisor who handled the Staples account for the healthcare facility. He then monitored email communications between officials of the healthcare facility and others including the FBI through 2014. Coughlin admitted that he listened in on phone conferences between the FBI and the officials of the healthcare facility without their knowledge.
The law provides for a maximum total sentence of 30 years in prison, a fine of $500,000 or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offense and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Paul E. Hull is prosecuting this case on behalf of the government.
The Federal Bureau of Investigation conducted the investigation leading to the prosecution of Brandon A. Coughlin.
Former Detroit Public Schools Principal Sentenced on Bribery ChargesRead the Press Release
A former Detroit Public Schools principal was sentenced to 24 months in federal prison and was ordered to pay restitution to the Detroit Public Schools in the amount of $45,775, as a result of having been convicted by a federal jury in an illegal bribery and kickback scheme, announced Acting United States Attorney Daniel L. Lemisch.
Joining Lemisch in the announcement were David P. Gelios, Special Agent in Charge of the Detroit Field Office of the Federal Bureau of Investigation, and Manny Muriel, Special Agent in Charge of the Internal Revenue Service-Criminal Investigation.
Josette Buendia, 51, of Garden City, Michigan, the principal at Bennett Elementary School, was found guilty on all three charges of conspiracy to commit bribery and bribery charges, after a five-day jury trial before U.S. District Judge George Caram Steeh.
According to the evidence presented at trial, Buendia conspired with Norman Shy, 75, owner of Allstate Sales, a vendor of school supplies. From November 2011 through January 2015, Buendia knowingly certified and submitted fraudulent invoices to DPS, causing DPS to pay Shy for materials that the school did not receive, or that the school only received a portion of the materials. Invoiced supplies included supplemental teaching materials and raised line paper. In exchange, Shy paid bribes and kickbacks to Buendia in the form of gift cards and cash, using a portion of the payments he received from DPS from the fraudulent invoices. The bribes and kickback Buendia received totaled approximately $46,000.
"Following years of investigation, the FBI’s Detroit Area Public Corruption Task Force was able to expose and end a disturbing culture of corrupt activity involving 13 Detroit Public School Principals to include an Assistant Superintendent, said David P. Gelios, Special Agent in Charge, Detroit Division of the FBI. “These principals, including an Assistant Superintendent, used their positions as educators and leaders to enrich themselves at the expense of their students and the Detroit Public Schools system. Today’s sentencing of Principal Josette Buendia, the last in this investigation, should provide a sense of closure for the parents, students and the honest and dedicated DPS employees and underscores this community’s commitment to integrity in the operation of our schools”.
Manny Muriel, Special Agent in Charge of the Internal Revenue Service-Criminal Investigation stated, “No matter what your position, it is unacceptable to help yourself to other people’s money and violate their trust. If you commit a crime, status as an educator or leader will not protect you from federal prosecution. Today's action demonstrates our collective efforts to enforce the law and ensure public trust.”
This case was investigated by agents of the FBI and IRS-CI. This case is being prosecuted by Assistant United States Attorneys J. Michael Buckley and Frances Carlson.
The FBI Detroit Area Corruption Task Force (DACTF) is led by the FBI Detroit Field Office, and consists of Special Agents and law enforcement officers with the FBI Detroit; the Detroit Police Department; the Michigan State Police; the Michigan Attorney General’s Office; the Internal Revenue Service – Criminal Investigation Division; the U.S. Department of Housing and Urban Development–Office of Inspector General; the U.S. Environmental Protection Agency–Office of Inspector General; the U.S. Department of Transportation–Office of Inspector General; the U.S. Department of Homeland Security–Office of Inspector General; the U.S. Department of Education–Office of Inspector General; and the U.S. Department of Labor–Office of Inspector General, Office of Labor Racketeering and Fraud Investigations
Former Congressional Candidate Pleads Guilty to Making False Statements to Federal AgentsRead the Press Release
SACRAMENTO, Calif. — Karen Mathews Davis, 68, of Lodi, pleaded guilty today to making false statements to federal agents during the course of a criminal investigation into the mailing of threatening letters, U.S. Attorney Phillip A. Talbert announced.
According to court documents, between December 23, 2013, and February 12, 2015, Davis falsely claimed to federal law enforcement agents that she had received two letters in the mail from unknown individuals threatening her with death. At the time she received the letters, she was running for a U.S. Congressional seat. Davis provided information to federal law enforcement agents about three individuals who she suggested could have mailed the two threatening letters. In actuality, Davis wrote both letters, placing the first in her own mailbox and mailing herself the second.
This case is the product of an investigation by the U.S. Department of Treasury Inspector General for Tax Administration and the Federal Bureau of Investigation. Assistant United States Attorney Heiko P. Coppola is prosecuting the case.
Davis is scheduled to be sentenced by U.S. District Judge Troy L. Nunley on September 28, 2017. Davis faces a maximum statutory penalty of five years in prison. 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.
Florida Salesman Pleads Guilty to Evading Taxes on More Than $1.5 Million in IncomeRead the Press Release
A Fort Lauderdale, Florida resident pleaded guilty today to tax evasion, announced Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division.
According to documents filed with the court, Thomas Daly, 53, admitted that he evaded paying taxes on more than $1.5 million in income that he earned from 2002 to 2015. Daly further admitted that, except for the 2007 tax year, he has not filed an income tax return since 2002. Daly worked for a Fort Lauderdale company selling hurricane-resistant windows to residential homeowners in South Florida. In August 2009, the Internal Revenue Service (IRS) notified Daly of its intent to levy his wages because of his failure to pay taxes. To obstruct the IRS’s collection efforts, Daly established his own business, South Florida Home Marketing Inc. (SFHM), and changed his employment status from an employee to an independent contractor. Daly listed himself as the director of SFHM and opened a business bank account in its name. Due to Daly’s change in employment status, his employer paid SFHM directly and the IRS’s attempts to levy Daly’s wages were thwarted.
From approximately August 2009 through April 2017, Daly used SFHM’s bank account to pay for personal expenses, including rent, cigars, international travel, entertainment, his girlfriend’s cosmetic surgery, jewelry and a boat. He also falsely classified numerous personal expenses as business expenses on the memo line of the checks drawn on the SFHM bank account. Daly admitted that he made these false entries with the intent to claim false business expense deductions and evade the assessment of his income taxes. Daly admitted that his actions caused a tax loss of more than $351,241.
Sentencing is scheduled for Aug. 18. Daly faces a statutory maximum sentence of five years in prison, a period of supervised release, restitution and monetary penalties.
Acting Deputy Assistant Attorney General Goldberg commended special agents of IRS–Criminal Investigation, who conducted the investigation, and Trial Attorneys Charles M. Edgar, Jr. and Michael C. Boteler of the Tax Division, who are prosecuting the case with assistance from the U.S. Attorney’s Office for the Southern District of Florida.
Additional information about the Tax Division and its enforcement efforts may be found on the division’s website.
Five Plead Guilty in $6 million DOD FraudRead the Press Release
PITTSBURGH - Five defendants have pleaded guilty in federal court in Pittsburgh to major fraud against the U.S. Department of Defense, tax violations and illegal gratuities, Acting U.S. Attorney Soo C. Song announced today.
Thomas G. Buckner, 66, of Gibsonia, Pennsylvania, and his brother, John P. Buckner, 68, of Lyndora, Pennsylvania, pleaded guilty to one count of defrauding U.S. Army Tank-Automotive and Armaments Command (TACOM), and two counts of income tax evasion.
In connection with the guilty pleas, the court was informed that the Buckner brothers were 50/50 owners of Ibis Tek, LLC (hereinafter Ibis Tek). Ibis Tek’s main office was located at 912 Pittsburgh Street, Butler, Pennsylvania 16002, and it had an office at Ibis Tek Victory Road facility, 220 South Noah Drive, Saxonburg, PA 16056. Ibis Tek manufactured both military and commercial products but specialized in the development of transparent armor and accessory products for tactical and military combat vehicles. Ibis Tek itself was not charged with any violations.
TACOM, located in Warren, Michigan, was responsible for letting and overseeing contracts on behalf of the U.S. Department of Defense, including contracts concerning High Mobility Multipurpose Wheeled Vehicle (hereinafter Humvees). Ibis Tek had a subcontract to produce Vehicle Emergency Escape Window (VEE Window) Kits for Humvees. The Buckners inflated Ibis Tek’s costs to manufacture the VEE Window kits by creating Alloy America, LLC, (Alloy) a company that was co-located at Ibis Tek that the Buckner brothers controlled, by using Alloy to purchase the frames in China for $20 per frame, and by using false invoices from Alloy to make it appear that Ibis Tek paid $70 per frame. In addition, the Buckner brothers sold scrap aluminum collected in the manufacturing process but failed to credit that money to TACOM. The losses to TACOM were $6,085,709. Both Buckner brothers pleaded guilty to income tax evasion for 2009 and 2010 for not reporting the cash from sales of scrap aluminum, and for taking unallowable business deductions described below.
Harry H. Kramer, 52, of Wexford, Pennsylvania, pleaded guilty to one count of fraud for his role as CFO of Ibis Tek in the above described scheme against TACOM, and to filing false returns for Ibis Tek for 2009 and 2010.
David S. Buckner, of Warren, Michigan, (no relation to Thomas or John Buckner) pleaded guilty to a one-count Information charging him with impeding the IRS by acting as a financial intermediary who received and then paid out money to Anthony Shaw, for the purpose of concealing that the monies were income of Shaw, concealing the true source of the monies, David Buckner owned D & B Cycle Parts and Accessories.
Anthony A. Shaw, 55, of Rochester Hills, Michigan, pleaded guilty to a five-count Information. Shaw, formerly a civilian employee at TACOM, was a Deputy Project Manager responsible for directing development of and managing government contracts for combat vehicle systems such as Humvees. Shaw pleaded guilty to demanding and receiving a total of $1,055,500 of illegal gratuities paid by checks, cash and wire transfers by Thomas Buckner to and through D & B Cycle Parts and Accessories for Shaw. Shaw also pleaded guilty to income tax evasion for 2009 and 2010 for not reporting payments from Thomas and John Buckner totaling in excess of $1,000,000. Finally, Shaw pleaded guilty to making false statements when he denied that he had socialized with Thomas Buckner and John Buckner, and denied that he had traveled in a car, boat and an airplane owned by Thomas Buckner or John Buckner.
“These guilty pleas demonstrate the Defense Criminal Investigative Service’s (DCIS) ongoing commitment to ensuring the integrity of the U.S. Defense Department’s procurement process,” said Leigh-Alistair Barzey, Special Agent in Charge, DCIS Northeast Field Office. “Fraudulent schemes, such as those identified in this successful investigation, endanger U.S. military forces, waste valuable resources and erode public confidence. DCIS will continue to work with its law enforcement partners and federal prosecutors to protect the American taxpayer and Warfighter.”
Acting IRS-CI Special Agent in Charge Greg Floyd added, “The guilty pleas entered in this case should serve as a strong reminder to all of those who engage in deliberate acts to defraud the U.S. Government and the taxpaying citizens of our country, that they will be held accountable for their actions. We will partner with other agencies to ferret out and unravel the schemes that these individuals concoct, and they will face justice.”
United States District Judge Arthur J. Schwab scheduled the sentencings for Thomas and John Buckner for October 10, 2017; for Anthony Shaw on October 12, 2017; for David Buckner on October 17, 2017, and for Kramer on October 18, 2017. For Thomas and John Buckner, the law provides for a maximum total sentence of 20 years in prison, a fine of $1,500,000, or both. For Kramer, the law provides for a maximum total sentence of 16 years in prison, a fine of $1,500,000, or both. For David Buckner, the law provides for a maximum total sentence of 3 years in prison, a fine of $250,000, or both. For Shaw, the law provides for a maximum total sentence of 19 years in prison, a fine of $1,250,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offense and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Nelson P. Cohen is prosecuting this case on behalf of the government.
Special Agents of the Department of Defense, Defense Criminal Investigation Service, the Internal Revenue Service, Criminal Investigation, and the U.S. Army Criminal Investigation Division conducted the investigation that led to the prosecution of these defendants.
Ferndale Man Convicted of Conspiracy, Mail Fraud, Identity Theft and Money LaunderingRead the Press Release
A resident of Ferndale, Michigan, was convicted by a jury last month on numerous counts of conspiracy, mail fraud, aggravated identity theft, and engaging in illegal monetary transactions, Acting U.S. Attorney Daniel L. Lemisch announced today.
Joining Lemisch in the announcement was Manny Muriel, Special Agent in Charge of the Detroit Office of the Internal Revenue Service – Criminal Investigation.
Durand L. Micheau, aka Durand Micheau-El and Gamba Mwenye El, 47, was convicted following a one-week trial conducted before U.S. District Judge Judith Levy. Micheau is scheduled to be sentenced on October 11.
At an earlier trial, Micheau’s wife and two brothers-in-law, Sharon Gandy-Micheau, Anthony Gandy, and Christopher Gandy, were convicted by a jury on the same charges. Sharon is scheduled to be sentenced on August 28, and Anthony and Christopher, her brothers, are scheduled to be sentenced on August 21.
The evidence presented at the trials established that the defendants participated in a scheme to defraud the federal government that centered on the filing of over 20 fraudulent Forms 1041, U.S. Income Tax Returns for Estates and Trusts. The returns requested over $1.4 million in refunds based on tax withholdings that never occurred. The returns resulted in the IRS’s mailing 14 income tax refund checks to the defendants that were payable to the trusts and totaled $940,000. To facilitate the scheme, the defendants obtained employer identification numbers (EINs) for the trusts from the IRS, opened post office boxes, and opened bank accounts in the names of the trusts. The trusts did not exist. The U.S. Treasury refund checks were either deposited into the bank accounts, followed shortly thereafter by large cash withdrawals, or cashed at local check-cashing stores.
In addition, the scheme used the names and identification information of a number of individuals whose purses or wallets had been lost or stolen, and it depended on the assistance of some of the defendants’ friends.
“These defendants attempted to steal taxpayer money, and they did so by using the identities of innocent victims,” Lemisch said. “This case should signal the ability of IRS investigators to detect fraud and bring offenders to justice.”
IRS-Criminal Investigation Special Agent in Charge Manny Muriel said, “Investigating refund fraud and identity theft remains a priority for IRS Criminal Investigation. Today’s guilty verdicts should send a clear message to would-be criminals that IRS – Criminal Investigation will continue to pursue those who prey on innocent victims and steal from the American tax system.”
The case was investigated by agents of the Internal Revenue Service – Criminal Investigation. It was prosecuted by Assistant U.S. Attorneys Stephen Hiyama and Ross MacKenzie, with the assistance of paralegal Carol Oliver.
Federal Jury Finds St. Cloud Man Guilty of Attempting to Sell Fake HeroinRead the Press Release
Orlando, Florida– Acting United States Attorney W. Stephen Muldrow announces that a federal jury has found Danny Anthony Collado Nieves (25, St. Cloud) guilty of attempting to possess with the intent to distribute a controlled substance. His sentencing hearing is scheduled for September 15, 2017; he faces a maximum penalty of 20 years in federal prison.
According to evidence presented at trial, on November 2, 2016, Collado Nieves attempted to sell over 100 grams of a substance that he believed to be heroin to an undercover police officer for $11,000. Although lab results later confirmed that the “heroin” was not a controlled substance, testimony and evidence showed that he had intended to sell real heroin on that date.
This case was investigated by the Drug Enforcement Administration. It is being prosecuted by Assistant United States Attorneys Sean P. Shecter and Vincent Chiu.
Federal Judge Sentences Asheville Area Cattle Farm and Its Owner for Discharging Cow Feces into French Broad River in Violation of the Clean Water ActRead the Press Release
ASHEVILLE, N.C. – U.S. District Judge Martin Reidinger sentenced today Crowell Farms, Inc. (Crowell Farms) located in Asheville, and its owner, Michael Alexander Crowell, 65, also of Asheville, on felony violations of the Clean Water Act, announced Jill Westmoreland Rose, U.S. Attorney for the Western District of North Carolina.
Michael Crowell was ordered to serve six months of house arrest during his three-year term of probation and to pay $10,000 in fines. Crowell Farms was ordered to pay an additional $40,000 in fines, offset by any fines paid to the State of North Carolina, and to serve a three-year term of probation during which it will have to abide by an environmental compliance program.
U.S. Attorney Rose is joined in making today’s announcement by Special Agent in Charge Andy Castro of the U.S. Environmental Protection Agency, Criminal Investigation Division (EPA-CID), Atlanta Area Office; and John Keane, Acting Special Agent in Charge of the State Bureau of Investigations’ Diversion and Environmental Crimes Unit (SBI/ DECU).
According to court filings and today’s sentencing hearings, Crowell Farms is in the beef cattle farming business, maintaining more than 150 cows and managing more over 200 acres of agricultural fields. In the annual course of its operations, Crowell Farms disposes of thousands of pounds of solid and liquid animal waste, which are considered pollutants under the Clean Water Act. Court records show that Michael Crowell is the Operator Responsible-in-Charge (ORC) for the permitted waste disposal system at Crowell Farms. As the ORC, Michael Crowell is responsible for ensuring that animal waste is properly disposed into the farm’s waste management system, namely in solids waste lagoons.
According to court records, from in or about November 2015 through at least December 2015, Michael Crowell had installed bypasses at the farm’s waste lagoons, which were discharging liquid animal waste into a tributary of the French Broad River. Crowell Farms did not have a permit to discharge liquid waste to waters, and was permitted only to discharge the waste to an on-site land application system. Filed court documents indicate that Michael Crowell had installed the bypasses himself, because he had trouble managing Crowell Farms’ waste management system. Filed documents also show that Michael Crowell previously told inspectors he was aware that he had done “the wrong thing.” State inspectors further discovered that Crowell Farms did not own the proper land application equipment.
In November 2016, Michael Crowell and Crowell Farms pleaded guilty to one count of criminal violation of the Clean Water Act.
The Clean Water Act is a federal law enacted to prevent, reduce and eliminate pollution, and to restore and maintain the chemical, physical, and biological quality of the Nation’s waters for the protection and propagation of fish and aquatic life and wildlife, for recreational purposes, and for the use of such waters for public drinking water, agricultural, and industrial purposes. The French Broad River supplies drinking water to more than one million people and is frequently used for recreational water activities, such as swimming and kayaking. It is also protected because it supports secondary recreation, including fishing, fish consumption, and agriculture.
The investigation was led by the EPA’s Criminal Investigation Division and SBI’s DECU, with significant and substantial assistance from the North Carolina Department of Environmental Quality, Division of Water Resources – Asheville Regional Office. Assistant United States Attorney Steven R. Kaufman of the U.S. Attorney’s Office in Charlotte prosecuted the case.
Fall River Man Found Guilty of Violating Conditions of Supervised ReleaseRead the Press Release
Boston - A Fall River man was found guilty and sentenced today in federal court in Boston for violating the terms and conditions of his supervised release.
Scott Baptista, 42, was found to have violated his conditions of supervised release by United States District Court Judge Denise J. Casper by allegedly raping a woman and taking an un-prescribed suboxone pill. Baptista admitted to having sex with the victim, claiming that it was consensual. The victim died nine days after the incident of a drug overdose, and because the victim could not testify, the Commonwealth had to dismiss the related state criminal charges against Baptista. Revocation proceedings require that the government only prove that the alleged violation occurred by a preponderance of the evidence.
Judge Casper revoked Baptista’s supervised release and sentenced Baptista to two years in prison, the maximum period permitted by statute for his supervised release violation, and 12 months of supervised release to follow. In July of 2012, Baptista pleaded guilty to selling a stolen firearm and was sentenced to 55 months in federal prison followed by 36 months of supervised release.
Acting United States Attorney William D. Weinreb made the announcement today. Assistant U.S. Attorney Thomas Kanwit of Weinreb’s Narcotics and Money Laundering Unit prosecuted the case.
Drug Dealer Charged with Heroin Overdose Deaths in the Bronx and New RochelleRead the Press Release
Joon H. Kim, the Acting United States Attorney for the Southern District of New York, James P. O’Neill, the Commissioner of the New York City Police Department (“NYPD”), and Patrick Carroll, the Commissioner of the New Rochelle Police Department (“NRPD”), announced the arrest of and unsealing of an indictment against FRANKIE BEQIRAJ charging him with conspiracy to distribute heroin, cocaine, oxycodone, and alprazolam. The indictment alleges that heroin distributed by BEQIRAJ and his co-conspirators resulted in the deaths of Robert Vivolo and Leonides Madrid.
BEQIRAJ was presented in federal court in Manhattan before U.S. Magistrate Judge Barbara C. Moses today and ordered detained. The case has been assigned to U.S. District Judge Richard M. Berman.
Acting U.S. Attorney Joon H. Kim stated: “As alleged in the Indictment, Frankie Beqiraj worked with others to sell a whole range of drugs, including heroin, cocaine, oxycodone, and alprazolam. As alleged, two young people are dead, victims of Beqiraj’s alleged heroin dealing and of the opioid epidemic that is sweeping the country. Thanks to the exceptional work of our partners at the New York City Police Department, the New Rochelle Police Department, and the Westchester County District Attorney’s Office, Beqiraj will be held accountable for the drugs he allegedly peddled and the tragic deaths that resulted.”
NYPD Commissioner James P. O’Neill stated: “The defendant in this case faces a mandatory minimum sentence of 20 years in prison – and a maximum of life behind bars – after investigators linked the heroin that he distributed to two overdose deaths, one in the Bronx and one in New Rochelle. It is the latest example of our commitment to holding drugs dealers criminally responsible. I want to thank the NYPD and the New Rochelle PD investigators, as well as the Southern District, for their work on this case.”
NRPD Commissioner Patrick Carroll stated: “The arrest and indictment of Frankie Beqiraj, holding him accountable for the death of New Rochelle resident Leonides Madrid, is an example of the New Rochelle Police Department’s commitment to fight against the opioids epidemic that our community faces today. Working collaboratively with our law enforcement partners, the NYPD, the Westchester County District Attorney’s Office, and the United States Attorney sends a strong message to drug dealers that we will do all we can to arrest and prosecute those selling drugs in our community.”
As alleged in the Indictment against BEQIRAJ [1]:
From July 2016 up to January 2017, in the Southern District of New York and elsewhere, FRANKIE BEQIRAJ and others conspired to sell one kilogram and more of heroin, as well as cocaine, oxycodone, and alprazolam. The use of heroin distributed by BEQIRAJ and his co-conspirators resulted in the deaths of Robert Vivolo, 25, of the Bronx, New York, on October 21, 2016, and of Leonides Madrid, 28, of New Rochelle, New York, on January 9, 2017.
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FRANKIE BEQIRAJ, 27, faces a maximum sentence of life in prison, and a mandatory sentence of 20 years in prison.
The statutory maximum sentence is prescribed by Congress and is provided here for information purposes only, as any sentencing of the defendant would be determined by the judge.
Mr. Kim praised the outstanding investigative work of the NYPD, the NRPD, and the Westchester County Overdose Response Initiative. Mr. Kim thanked the Westchester County District Attorney’s Office for its assistance in the investigation.
This matter is being handled by the Office’s Narcotics Unit. Assistant United States Attorneys David W. Denton Jr. and Elizabeth Hanft are in charge of the prosecution.
The charges contained in the Indictment are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
[1] As the introductory phrase signifies, the entirety of the text of the Indictment, and the description of the Indictment set forth herein, constitute only allegations, and every fact described should be treated as an allegation.
Coushatta man sentenced to 83 months in prison for drug, firearm chargesRead the Press Release
SHREVEPORT, La. – Acting U.S. Attorney Alexander C. Van Hook announced that a Coushatta man was sentenced Wednesday to 83 months in prison for illegally possessing methamphetamine and firearms.
Aaron Joseph Clark, 66, of Coushatta, La., was sentenced by U.S. District Judge Elizabeth E. Foote on one count of possession with intent to distribute methamphetamine and one count of possession of a firearm in furtherance of drug trafficking. He was also sentenced to three years of supervised release. According to the February 2, 2017 guilty plea, law enforcement agents identified Clark as a suspect in a drug case and conducted a search of his temporary residence on January 26, 2016 in Ringgold, La. They found a gram of methamphetamine, two grams of marijuana and nine Xanax pills. They also found digital scales, baggies, syringes and pipes. Additionally, agents located ammunition and a number of loaded weapons including: three revolvers, two derringers, four pistols, four rifles, three shotguns and a weapon made from a shotgun with no serial number. Two of the shotguns were sawed off, and at least six silencers were also found among his possessions. Two days later, agents found 20 grams of methamphetamine hidden in an ammo bag.
This investigation and prosecution is part of Project Safe Neighborhoods, which is a Department of Justice initiative to promote firearm safety and to reduce firearm crimes by preventing the possession and use of firearms by dangerous and persistent felons and others not authorized to possess a firearm.
The ATF, Bienville Parish Sheriff’s Office, Red River Parish Sheriff’s Office and Tri-Parish Drug Task Force conducted the investigation. Assistant U.S. Attorney Mary J. Mudrick prosecuted the case.
Convicted Felon Pleads Guilty to Federal Firearms ChargesRead the Press Release
Tampa, Florida – Acting United States Attorney W. Stephen Muldrow announces that Raymond Adams (29, St. Petersburg) has pleaded guilty to being a felon in possession of a firearm and carrying a firearm during a drug trafficking offense. He faces a minimum mandatory penalty of five years, up to life, in federal prison. A sentencing date has not yet been set.
According to the plea agreement, Adams and others planned to break into a St. Petersburg residence to steal marijuana and later distribute it. Adams was armed with a 9-mm handgun during the attempted burglary and, when detected by law enforcement officers, he fled with his associates in a vehicle that later crashed. Adams then fled on foot and discarded the gun. Officers later recovered that firearm from a trash can.
At the time of the incident, Adams was a felon whose prior criminal history included a 2010 manslaughter conviction. As such, he is prohibited from possessing a firearm or ammunition under federal law.
This case was investigated by the St. Petersburg Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives. It is being prosecuted by Assistant United States Attorney James C. Preston, Jr.
This is another case prosecuted as a part of the Department of Justice’s “Project Safe Neighborhoods” Program - a nationwide, gun-violence reduction strategy. Acting United States Attorney W. Stephen Muldrow, along with Daryl R. McCrary, Special Agent in Charge, ATF, is coordinating the Project Safe Neighborhoods effort here in the Middle District of Florida in cooperation with federal, state, and local law enforcement officials. It is also a part of the St. Petersburg Violent Crime Reduction Initiative.
Cleveland man sentenced to jail and ordered to repay $205,000 stolen from taxpayersRead the Press Release
A Cleveland man was sentenced to nine months in jail after illegally receiving more than $205,000 in Veterans Affairs benefits over a decade, said Acting U.S. Attorney David A. Sierleja and Gavin McClaren, Resident Agent in Charge of the Department of Veterans Affairs, Office of Inspector General’s Cleveland office.
Leon Pinckney, 62, was issued a Social Security Number (SSN) in 1969, which he used to obtain a driver’s license and enlist in the military. In 1984, he fraudulently obtained a second SSN, which he used to obtain another driver’s license.
In 2005, Pinckney used the first SSN to apply for pension benefits from the U.S. Department of Veterans Affairs. He was awarded benefits based on his false statement that he was unable to work and had no income. However, from 2005 through 2012, Pinckney continued to work, using the second SSN. In October 2012, he applied for and was approved for Social Security disability benefits under the second SSN, according to court documents.
Overall, Pinckney stole approximately $205,534 from the VA by concealing the other income he was receiving under the second SSN. U.S. District Judge Christopher Boyko ordered Pinckney to repay the full amount.
“This defendant deserves to be locked up after more than a decade of stealing from the public,” Sierleja said.
“Pension fraud takes money from vulnerable veterans, leaving taxpayers with the bill,” McClaren said.
The U.S. Department of Veterans Affairs Office of the Inspector General and the Social Security Administration Office of the Inspector General conducted the investigation. The case is being prosecuted by Special Assistant U.S. Attorney Lisa J. Sanniti.
Chesterfield Township Supervisor and Macomb Township Trustee Plead Guilty to Demanding and Taking BribesRead the Press Release
Two elected officials pleaded guilty today on charges of demanding and taking bribes in exchange for their official acts in connection with a municipal contract, Acting United States Attorney Daniel Lemisch announced.
Lemisch was joined in the announcement by FBI Special Agent in Charge David P. Gelios and Manny J. Muriel, Special Agent in Charge, Internal Revenue Service-Criminal Investigation, Detroit Field Office.
Pleading guilty were former Chesterfield Township Supervisor Michael Lovelock, 57, of New Baltimore, and former Macomb Township Trustee Clifford Freitas, 43, of Macomb Township.
According to court records Lovelock, from approximately 2010 through 2016, demanded and accepted money from a municipal vendor in exchange for using his official position as Chesterfield Supervisor to (1) secure an extension of a contract the vendor had with the township, (2) put past due accounts of the vendor on the Chesterfield tax rolls so as to assist the vendor in getting paid by township residents, (3) obtain payment from Macomb County for the vendor for its work on flood damage that occurred in August 2014; and (4) provide a favorable reference for the vendor for other municipalities and so that Lovelock would not speak negatively about the vendor. In total, Lovelock accepted over $30,000 in cash from the vendor’s representative. In addition, Lovelock accepted two other bribe payments totaling $4,000 in cash from an undercover agent of the FBI and an individual cooperating in the investigation.
Clifford Freitas pleaded guilty to demanding and accepting money in exchange for his official acts as a Macomb Township Trustee. According to court records, Freitas demanded and accepted money from a municipal vendor in exchange for using his official position as a Trustee to get the vendor a municipal contract and to secure favorable terms for the company. In July 2015, Macomb Township put out a request for proposal for a municipal contract. Soon thereafter, Freitas approached a representative of a prospective vendor, and Freitas demanded money in return for Freitas’ support as a Trustee. Freitas agreed to accept $7,500 from the vendor in return for his assistance in getting the contract. Through his position as a Trustee, Freitas obtained sensitive bid information on the municipal contract in order to help the vendor, telling the vendor what bid was needed to beat out competing contractors. After the vendor was awarded the contract by Macomb Township, Freitas demanded an additional $35,000 from the company representative for his additional assistance as a public official relating to the contract.
Each face a statutory maximum penalty of ten years in prison and a fine of up to $250,000. Sentencing has been set for October 5, 2017 at 1:30 pm in Port Huron
This investigation is being conducted by the FBI Detroit Area Corruption Task Force, a multiagency task force led by the FBI Detroit Division and comprised of the Internal Revenue Service – Criminal Investigation Division, Michigan State Police, Michigan Attorney General’s Office, and several other local and federal law enforcement agencies. It is being prosecuted by Assistant United States Attorneys R. Michael Bullotta and David A. Gardey.
Charleston man pleads guilty to possessing child pornographyRead the Press Release
CHARLESTON, W.Va. – A Charleston man faces up to 20 years in federal prison after pleading guilty today to a child pornography crime, announced United States Attorney Carol Casto. Jason Lee Smith, 39, entered his guilty plea to possession of child pornography.
Smith admitted that he possessed over 600 images and videos of minors engaged in sexual acts. Many of the images and videos depict prepubescent minors. The images and videos were located in Charleston on his personal computer. The investigation revealed that Smith was using a peer-to-peer file sharing program to download, receive, and distribute child pornography.
“We have no tolerance for those who put the safety of our children at risk,” stated United States Attorney Casto. “Crimes involving the exploitation and abuse of children result in serious charges that carry severe consequences. We will use every tool at our disposal to track down these sexual predators and prosecute them to the fullest extent of the law.”
The sentencing is scheduled for August 24, 2017.
The West Virginia State Police, the West Virginia Internet Crimes Against Children Task Force, and the Parkersburg Police Department conducted the investigation. Assistant United States Attorney Lisa G. Johnston is in charge of the prosecution. The plea hearing was held before United States District Judge Joseph R. Goodwin.
This case is being prosecuted as part of an ongoing initiative of the United States Attorney’s Office to combat child sexual exploitation and abuse in the Southern District of West Virginia.
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Chairman and CEO of Purported Oil and Gas Company Charged in Manhattan Federal Court with $300 Million International Fraud SchemeRead the Press Release
Joon H. Kim, the Acting United States Attorney for the Southern District of New York, announced that RAHEEM J. BRENNERMAN, a/k/a “Jefferson R. Brennerman,” a/k/a “Ayodeji Soetan,” has been charged with conspiracy to commit bank and wire fraud, bank fraud, wire fraud, and visa fraud in connection with a wide-ranging international scheme to fraudulently obtain multimillion-dollar business loans for several companies controlled by BRENNERMAN, including The Blacksands Pacific Group, Inc. BRENNERMAN was arrested yesterday in New Jersey, presented today before United States District Judge Richard Sullivan, and ordered detained.
Acting Manhattan U.S. Attorney Joon H. Kim said: “As alleged, for years Raheem J. Brennerman conned financial institutions and investors into extending loans to his phony businesses. Instead of using that money on actual business deals, Brennerman spent millions on himself, paying personal expenses including on international travel, luxury hotels and fine jewelry. Having perpetrated this multi-million dollar fraud, Brennerman allegedly took elaborate steps to cover it up. We thank our law enforcement partners for their excellent work in uncovering this fraud.”
According to the allegations in the Indictment[1] unsealed today in Manhattan federal court:
BRENNERMAN, from at least in or about 2011, has orchestrated a scheme to defraud financial institutions through his operation of a purported oil and gas company called The Blacksands Pacific Group, Inc. (“Blacksands Pacific”), as well as several subsidiaries and associated corporate entities. BRENNERMAN sought financing for purported business deals by falsely representing that Blacksands Pacific had significant worldwide involvement in the exploration and development of oil and gas reserves, produced over 10,000 barrels of oil per day, had over $1 billion in long-term assets and over 100 million barrels of proved oil reserves, and employed approximately 100 employees, when, in fact, BRENNERMAN knew that Blacksands Pacific lacked any long-term assets, and had, at most, a few employees and minimal involvement in the oil and gas industry. As part of the fraudulent scheme, BRENNERMAN also lied about his name, place of birth, citizenship, and finances, and invented fake employees. Once BRENNERMAN received financing from victims based on his false statements, BRENNERMAN used significant amounts of the money to pay his own personal expenses, including the lease of a luxury condominium in Las Vegas, Nevada, and stays at expensive hotels (including thousands of dollars’ worth of in-room dining service), as well as the purchase of international flights to Europe, chartered car services, fine jewelry, high-end designer clothing, and spa treatments. In total, BRENNERMAN attempted to defraud financial institutions of more than $300 million.
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BRENNERMAN, 39, of Las Vegas, Nevada, is charged with one count of conspiracy to commit bank and wire fraud and one count of bank fraud, each of which carries a maximum sentence of 30 years in prison; one count of wire fraud, which carries a maximum sentence of 20 years in prison; and one count of visa fraud, which carries a maximum sentence of 10 years in prison. The maximum potential sentences are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendant will be determined by the judge.
Mr. Kim praised the outstanding investigative work of the Criminal Investigators for the United States Attorney’s Office for the Southern District of New York. He also thanked the United States Department of State’s Diplomatic Security Service, United States Immigration and Customs Enforcement’s Homeland Security Investigations, the United States Postal Inspection Service, the United States Attorney’s Office for the Central District of California, and the United States Attorney’s Office for the District of Nevada for their assistance.
On March 3, 2017, BRENNERMAN and Blacksands Pacific were charged in a separate case in Manhattan federal court with criminal contempt of court. That case is pending before United States District Judge Lewis A. Kaplan and is scheduled for trial on September 7, 2017.
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If you have any information regarding BRENNERMAN, please report it by phone at 212-637-2267 or by email at [email protected].
This case is being handled by the Office’s General Crimes Unit. Assistant United States Attorneys Nicolas Landsman-Roos and Robert B. Sobelman are in charge of the prosecution.
The charges contained in the Indictment are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
[1] As the introductory phrase signifies, the entirety of the text of the Indictment and the description of the Indictment set forth herein constitute only allegations, and every fact described should be treated as an allegation.
Cedarcreek Man Sentenced to 15 Years for Illegal FirearmRead the Press Release
SPRINGFIELD, Mo. – Tom Larson, Acting United States Attorney for the Western District of Missouri, announced that a Cedarcreek, Mo., man was sentenced in federal court today for illegally possessing a firearm and ammunition.
Sean L. Myers, 49, of Cedarcreek, was sentenced by U.S. District Judge M. Douglas Harpool to 15 years in federal prison without parole. Myers was sentenced as an armed career criminal due to his prior felony convictions. The court ordered today’s sentence to be served consecutively to his 1991 Camden County convictions for first degree assault and armed criminal action (a sentence of 50 years) and his 2010 Taney County conviction for distributing and manufacturing a controlled substance (a sentence of 15 years).
On Nov. 15, 2016, Myers pleaded guilty to being a felon in possession of a firearm and ammunition.
After law enforcement was contacted by a person who reported that Myers had attempted to shoot someone, a Missouri State Highway Patrol trooper conducted a traffic stop of a vehicle driven by Myers on Feb. 1, 2016. During the traffic stop, Myers acted as if he were hiding an item. Troopers observed a loaded Ruger .22-caliber rifle on the front passenger seat of the vehicle. Troopers also located an aluminum can wedged between the passenger seat and the center console. The can contained a dried substance that field tested positive for methamphetamine.
Investigators later determined that the rifle was registered to Myers’s mother. When law enforcement contacted Myers’s mother, she indicated that the rifle found in Myers’s possession belonged to her and he did not obtain her permission before taking the firearm.
Under federal law, it is illegal for anyone who has been convicted of a felony to be in possession of any firearm or ammunition. Myers has seven prior felony convictions for stealing, as well as prior felony convictions for assault, armed criminal action, attempted manufacture of a controlled substance and burglary.
This case was prosecuted by Assistant U.S. Attorney Patrick Carney. It was investigated by the Missouri State Highway Patrol and the Bureau of Alcohol, Tobacco, Firearms and Explosives.
Camden Man Pleads to Felon in Possession of Firearm and Ammunition ChargeRead the Press Release
Columbia, South Carolina ---- United States Attorney Beth Drake stated that Richard Herman Roach, III, age 28, of Camden, plead guilty in federal court to being a felon in possession of a firearm and ammunition, in violation of Title 18, United States Code, Sections 922(g)(1) and 924(a)(2). Senior United States District Judge Cameron McGowan Currie, of Columbia, accepted the guilty plea and will impose sentence after she has reviewed the presentence report, which will be prepared by the U.S. Probation Office.
Evidence presented in court during the guilty plea hearing established that at approximately 2:35 am on July 2, 2016, a deputy with the Kershaw County Sheriff’s Department tried to stop a speeding vehicle on Highway 34. The vehicle failed to stop and a chase ensued during which the vehicle reached speeds up to 100 mph. After the driver lost control trying to make a turn and the vehicle ended up in a ditch, the deputy approached and noticed Roach, the driver and sole occupant, reaching underneath the seat. After removing Roach from the vehicle, the deputy found a loaded Ruger .45 caliber pistol in the front area of the vehicle and a small bag of marijuana in Roach’s front pants pocket. Roach was placed under arrest for state charges. While in transport to the detention center, Roach escaped from deputies, but was apprehended shortly thereafter using a K-9 tracking team.
Roach is prohibited under federal law from possessing firearms and ammunition based upon his prior federal conviction for conspiracy to possess with intent to distribute and to distribute 500 grams or more of cocaine and 5 grams or more of crack cocaine and his prior state conviction for forgery. At the time of the incident, Roach was on supervised release for the federal drug conspiracy conviction after previously serving time.
Roach faces a maximum of ten years imprisonment, a fine of $250,000, and three years of supervised release on the felon in possession of a firearm and ammunition charge. Roach also faces a revocation of his federal supervised release sentence.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) and the Kershaw County Detention Center and was prosecuted as part of the joint federal, state and local Project CeaseFire initiative, which aggressively prosecutes firearm cases. Assistant United States Attorney Stacey D. Haynes of the Columbia office handled the case.
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Buffalo Men Plead Guilty in Heroin Trafficking ConspiracyRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051BUFFALO, N.Y.-Acting U.S. Attorney James P. Kennedy announced today that Mark Gonzalez, 22, and Michael Perez, 21, both of Buffalo, NY, pleaded guilty to conspiracy to possess with intent to distribute and distribution of heroin before U.S. District Judge Richard J. Arcara. The charge carries a maximum penalty of 20 years in prison, and a $5,000,000 fine.
Assistant U.S. Attorney George C. Burgasser, who is handling the case, stated that between September 2014 and September 28, 2015, the defendants conspired with Hector Carattini and others to distribute heroin on the West Side of Buffalo. The investigation utilized court ordered wiretaps as well as undercover purchases conducted by the New York State Police Community Narcotics Enforcement Team (CNET) and the Buffalo Police Department.
The 10 defendants charged in this case were street-level distributors or “runners” in a heroin trafficking ring operated by Daniel Molina-Rios who was arrested in June 2015 along with Orlando Rios, Luis Montanez and Jose Andujar. The organization acquired heroin from the New York City area for distribution in Buffalo but also had an alternate heroin source locally.
A total of 14 defendants have been indicted in this case. Gonzalez and Perez are the fourth and fifth to be convicted. Charges are pending against the remaining defendants. The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
The plea is the result of an investigation by the Drug Enforcement Administration, under the direction of Special Agent-in-Charge James J. Hunt, New York Field Division; the New York State Police Community Narcotics Enforcement Team (CNET), under the direction of Major David Krause and Lieutenant Kevin Reyes, CNET West Commander; and the Buffalo Police Department, under the direction of Commissioner Daniel Derenda.
Gonzalez is scheduled to be sentencing on September 8, 2017, at 1:30 p.m., Perez on September 11, 2017 at 12:30 p.m., both before Judge Arcara.
Buffalo Man Indicted on Fentanyl and Heroin ChargesRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051BUFFALO, N.Y. - Acting U.S. Attorney James P. Kennedy, Jr. announced today that a federal grand jury has returned an indictment charging Shawn Woods, 25, of Buffalo, NY, with possession with intent to distribute fentanyl, butyryl fentanyl, furanyl fentanuyl, and heroin; maintaining a drug involved premises; and possession of a firearm in furtherance of drug trafficking activity. The charges carry a mandatory minimum penalty of 10 years in prison, a maximum of 40 years, and a $5,000,000 fine.
Assistant U.S. Attorney Paul C. Parisi, who is handling the case, stated that according to the indictment, on February 1, 2017, the defendant possessed large quantities of fentanyl, butyryl fentanyl, furanyl fentanuyl, and heroin, which were intended for distribution in the Buffalo area.
Woods was arraigned this afternoon before U.S. Magistrate Judge H. Kenneth Schroeder and is being detained.
The indictment is the result of an investigation by the Federal Bureau of investigation, under the direction of Special Agent-in-Charge Adam S. Cohen; the Buffalo Police Department, under the direction of Commissioner Daniel Derenda; and Erie County Sheriff’s Office, under the direction of Sheriff Timothy Howard.
The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
Bucks County Man Sentenced to 30 Years in Prison for Producing Child Pornography with 3-Year-Old ChildRead the Press Release
PHILADELPHIA – Norman Ridgeway, 27, of Croydon, Pennsylvania, was sentenced today to 30 years in prison as a result of his production of child pornography with a 3-year-old child, his distribution of that same child pornography over the internet, and his possession of a massive trove of videos and images containing child pornography.
Defendant Ridgeway pleaded guilty on February 9, 2017, to counts one through three of an indictment charging him with production of child pornography, transportation of child pornography, and possession of child pornography. Defendant Ridgeway’s crimes involved the production of child pornography with a 3-year-old child, and his subsequent distribution of that child pornography over the internet. Separately, defendant Ridgeway was caught possessing approximately 1,886 images containing child pornography, and 225 videos containing child pornography. When federal and local law enforcement attempted to arrest the defendant, he fled in a vehicle, during which time he destroyed additional evidence containing child pornography. Subsequently, while detained at the Federal Detention Center, Defendant Ridgeway attempted to obstruct justice by calling an associate and ordering that associate to locate and destroy additional evidence containing child pornography that the defendant had secretly stored in his wallet on a digital memory card.
Defendant Ridgeway was sentenced by U.S. District Judge Eduardo C. Robreno to a 30-year term of incarceration, 20 years of supervised release, a $2,000 fine, and a special assessment of $300. “The crimes that this defendant committed against the three-year old victim in this case, and numerous other children, are an abomination,” said Acting United States Attorney Louis D. Lappen. “We are pleased with today’s outcome, and we remain dedicated to working on behalf of the victims of child sexual abuse and exploitation to prosecute and incarcerate for lengthy periods of time those who exploit the most vulnerable members of our community.”
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
The case was investigated by the FBI and the Washington, D.C. Metropolitan Police Department, with assistance provided by the Bensalem Township Police Department, the Warminster Township Police Department, the Middletown Township Police Department, and the Bristol Township Police Department. It was prosecuted by Assistant United States Attorney James Petkun.