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Friday 19 May 2017
Erie Man Pleads Guilty to Sex Trafficking Two Minor VictimsRead the Press Release
ERIE, Pa. - A former resident of Erie, Pennsylvania, pleaded guilty in federal court to charges of sex trafficking of a child and conspiracy to commit sex trafficking, Acting United States Attorney Soo C. Song announced today.
Devonte Lamonte Lucas, 22, pleaded guilty to two counts before United States District Judge David S. Cercone.
In connection with the guilty plea, the court was advised that from March 2015 to October 2015, Lucas and a co-defendant knowingly recruited, enticed, harbored, transported, provided, advertised and maintained two minor victims who engaged in commercial sex acts at the behest of Lucas and his co-defendant. Lucas’ illegal activity was ultimately stopped when members of the Millcreek Police Department observed Lucas transport a minor female to a Millcreek motel after the Millcreek officers, acting in an undercover capacity, had set up a meeting at the motel with the victim via an Internet advertisement that had been placed by Lucas’ co-defendant.
Judge Cercone scheduled sentencing for September 11, 2017. The law provides for a total sentence of life in prison, a fine of $500,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Christian A. Trabold is prosecuting this case on behalf of the government.
The Federal Bureau of Investigation, and the Millcreek Police Department conducted the investigation that led to the prosecution of Lucas.
Erie Man Admits Illegally Possessing Gun and AmmunitionRead the Press Release
ERIE, Pa. - A former resident of Erie, Pennsylvania, pleaded guilty in federal court to charges of violating federal firearms laws, Acting United States Attorney Soo C. Song announced today.
Adam John Carlson, 34, pleaded guilty to two counts before United States District Judge David S. Cercone.
In connection with the guilty plea, the court was advised that Carlson possessed a firearm and numerous rounds of ammunition which he was precluded from possessing because of an active protection from abuse order.
Judge Cercone scheduled sentencing for September 11, 2017 at 11:30 a.m. The law provides for a total sentence of twenty years in prison, a fine of $500,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Marshall J. Piccinini is prosecuting this case on behalf of the government.
The Erie Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives conducted the investigation that led to the prosecution of Carlson.
Eagle Butte Woman Sentenced for Distribution of a Controlled MethamphetamineRead the Press Release
United States Attorney Randolph J. Seiler announced that an Eagle Butte, South Dakota, woman convicted of Distribution of a Controlled Substance, was sentenced on May 15, 2017, by U.S. District Judge Roberto A. Lange.
Jorie Malcolm Cavanaugh, age 27, was sentenced to 6 months of home confinement at her parent’s home in Eagle Butte, or at another home or shelter outside of the Cheyenne River Sioux Tribe Indian Reservation, to commence within 30 days of the Court’s Judgment Order. She also received 4 years of probation, a $500 fine, and the $100 mandatory special assessment to the Federal Crime Victims' Fund.
Cavanaugh was indicted by a federal grand jury on December 14, 2016. She pled guilty on February 21, 2017.
Cavanaugh admitted to distributing methamphetamine, a Schedule II Controlled Substance, on three occasions in Eagle Butte; twice on July 7, 2016, and once on July 8, 2016.
This case was investigated by the Cheyenne River Sioux Tribe Law Enforcement Services Narcotics Division. Assistant U.S. Attorney SaraBeth Donovan prosecuted the case.
Cavanaugh was released following sentencing.
Eagle Butte Woman Charged with Perjury, False Declaration Before a Court, and Criminal ContemptRead the Press Release
United States Attorney Randolph J. Seiler announced that an Eagle Butte, South Dakota, woman has been indicted by a federal grand jury for Perjury, False Declaration Before a Court, and Criminal Contempt.
Demi Marie Gunville, age 24, was indicted on May 16, 2017. She appeared before U.S. Magistrate Judge Veronica L. Duffy on May 18, 2017, and pled not guilty to the Indictment.
The maximum penalty upon conviction is up to 5 years in custody and/or a $250,000 fine, 3 years of supervised release, and up to $210 to the Federal Crime Victims’ Fund. Restitution may also be ordered.
The Indictment alleges that on January 27, 2017, Gunville, after having taken an oath before a competent tribunal, to testify truthfully, made false statements to a U.S. Magistrate Judge. The Indictment also alleges that Gunville willfully and unlawfully disobeyed and resisted a process, order, decree, and command of the U.S. District Court, in that she failed to comply with an order and command issued by a U.S. Magistrate Judge.
The charges are merely accusations and Gunville is presumed innocent until and unless proven guilty.
The investigation is being conducted by the Cheyenne River Sioux Tribe Law Enforcement Services. Assistant U.S. Attorney SaraBeth Donovan is prosecuting the case.
Gunville was released on bond pending trial. A trial date has not been set.
Drug Dealer Sentenced to Prison for Meth DistributionRead the Press Release
ALEXANDRIA, Va. – Robert Mason Wildes, 35, of Dunn Loring, was sentenced today to 136 months in prison for distribution of 50 grams or more of methamphetamine.
Wildes pleaded guilty on February 3. According to court documents, Wildes regularly drove to meet with his customers in the Washington D.C., area to distribute ounce to half-pound quantities of methamphetamine. On Dec. 6, 2016, law enforcement seized approximately 4.8 kilograms of methamphetamine and drug proceeds from Wildes’s vehicle and home in Dunn Loring. During a search of his home, law enforcement also seized fraudulent identification cards, packaging materials, and other items consistent with Wildes operating a sophisticated distribution operation.
The case was investigated by the DEA and U.S. Postal Inspection Service as part of the Organized Crime Drug Enforcement Task Forces (OCDETF), Ring of Ice. The OCDETF program is a federal multi-agency, multi-jurisdictional task force that supplies supplemental federal funding to federal and state agencies involved in the identification, investigation, and prosecution of major drug trafficking organizations. The principal mission of the OCDETF program is to identify, disrupt and dismantle the most serious drug trafficking, weapons trafficking and money laundering organizations, and those primarily responsible for the nation’s illegal drug supply.
Dana J. Boente, U.S. Attorney for the Eastern District of Virginia; Karl C. Colder, Special Agent in Charge for the Drug Enforcement Administration’s (DEA) Washington Field Division; and Robert B. Wemyss, Inspector in Charge of the Washington Division of the U.S. Postal Inspection Service, made the announcement after sentencing by Senior U.S. District Judge T.S. Ellis III. Assistant U.S. Attorney Carina A. Cuellar prosecuted the case.
A copy of this press release may be found on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information may be found on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:17-cr-17.
Dorchester Man Pleads Guilty to Federal Gun OffenseRead the Press Release
Michael Browne, 49, of Dorchester, pleaded guilty today in federal court in Boston to knowingly selling a firearm and ammunition to a felon. United States District Court Judge Leo T. Sorokin scheduled sentencing for Sept. 1, 2017.
On Oct. 4, 2010, Browne sold a .357 caliber Smith and Wesson revolver and four bullets for $700 to an individual Browne knew had been previously convicted of a felony offense.
The charging statute provides for a sentence of up to 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; Mickey D. Leadingham, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms & Explosives, Boston Field Division; and Boston Police Commissioner William Evans made the announcement today. Assistant U.S. Attorney David G. Tobin is prosecuting the case.
District Man Sentenced to 22 Months in Prison for Possession of a Firearm by a FelonRead the Press Release
WASHINGTON – Pierre Mercer, 31, of Washington, D.C., has been sentenced to 22 months in prison on a federal firearms offense for carrying a semi-automatic handgun in Southeast Washington, announced U.S. Attorney Channing D. Phillips and Peter Newsham, Chief of the Metropolitan Police Department (MPD).
Mercer pled guilty in July 2016, in the U.S. District Court for the District of Columbia, to a charge of unlawful possession of a firearm and ammunition by a person convicted of a crime punishable by imprisonment for a term exceeding one year. He was sentenced on May 18, 2017, by the Honorable Ketanji Brown Jackson. Following his prison term, Mercer will be placed on two years of supervised release.
According to the government’s evidence, on Sept. 22, 2015, officers from the Metropolitan Police Department’s Criminal Interdiction Unit went to an apartment in the 1300 block of Savannah Street SE to serve a search warrant. Officers were in full uniform and were operating unmarked police vehicles. Upon arrival, officers observed three individuals at the rear of the location, within several feet from the door. Additionally, officers recognized one of the individuals as Mercer.
Officers stopped the three individuals and conducted protective pat downs of them. As Mercer was being patted down, he began to struggle and actively resist by not allowing officers to conduct a thorough pat down of him. During the struggle, Mercer bit an officer on her right middle finger, causing a minor cut to the affected area. Mercer than spontaneously stated, “Okay, I got a gun on me.” Officers lifted up Mercer’s shirt, revealing an elastic band around his stomach area concealing a black and silver handgun.
The firearm recovered from the defendant was a .40-caliber Smith and Wesson semi-automatic handgun. There were 10 .40 caliber bullets in the magazine of the handgun, with no rounds in the chamber. Ammunition, a bullet-resistant vest, an ID bracelet for Pierre Mercer, and other items were recovered in a search of the residence.
In an earlier case, Mercer was sentenced in March 2004 to a seven-year prison term after pleading guilty in the Superior Court of the District of Columbia to conspiracy and armed robbery charges.
In announcing the sentence, U.S. Attorney Phillips and Chief Newsham commended the work of those who investigated the case from the Metropolitan Police Department. They also expressed appreciation for the efforts of those who worked on the case from the U.S. Attorney’s Office, including Paralegal Specialists Jeannette Litz and Teesha Tobias. Finally, they commended the work of Assistant U.S. Attorney Emory V. Cole, who prosecuted the case.
Detroit One Collaboration Leads Gang Leader Sentenced to Nearly 20 Years in Prison for Gang-Related Violence and Shootings in Northwest DetroitRead the Press Release
A leader of the Band Crew street gang was sentenced to nearly 20 years in prison for his role in gang-related attempted murders, robberies, and shootings. An associate of the Band Crew street gang was also sentenced yesterday to nearly seven years in prison for his role in the gang’s criminal activities. Corey Deandre Mapp, a/k/a Lil Corey, 23, and Mario Perkins, a/k/a Rio, both of Detroit, were sentenced following their guilty pleas to RICO conspiracy, assault with a dangerous weapon in aid of racketeering, and use and carry of a firearm during and in relation to a crime of violence. Mapp and Perkins both pleaded guilty in late 2016, before Chief U.S. District Judge Denise Page Hood of the Eastern District of Michigan.
Acting U.S. Attorney Daniel L. Lemisch of the Eastern District of Michigan, Special Agent in Charge Robin Shoemaker of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) Detroit Field Division, and Chief James Craig of the Detroit Police Department made the announcement.
“These convictions and sentences are particularly important since Mr. Mapp was a leader of the gang, participated in shootings, and encouraged this violence to occur, which included Mr. Perkins participation in gang-related shootings and violence” said Acting U.S. Attorney Lemisch. “We believe these sentences send a strong message of deterrence to those who may want to pursue the gang lifestyle.”
“These sentences are the culmination of countless hours of dedicated work by ATF agents and our law enforcement partners,” said Special Agent in Charge Shoemaker. “ATF will continue to aggressively target and dismantle criminal enterprises threatening the safety of Detroit’s citizens.”
According to court documents, Band Crew was an association comprised of smaller gangs, including Constantly Making Hundreds (CMH), Young N Crispy (YNC), Pushit (or Pusha) Boy Family (PBF), and Family Over Everything Love is Forever (FOE Life). Band Crew operated in northwest Detroit, and the gang’s members claimed this area as their territory by “tagging” buildings with gang-related graffiti, including markings such as “#22 BandCrew,” “BAND CREW,” “22 BAND CREW,” “YNCMH” and “PBF.” Band Crew members and associates worked to defend their territory, to promote and maintain the status and reputation of the gang, and to engage in or threaten violence in retaliation for perceived wrongs. Band Crew’s specific base of operation in northwest Detroit was in the area in and around Seven Mile Road, with Southfield Freeway to the west, West McNichols Road to the south, Eight Mile Road to the north, and Greenfield Road to the east. The gang members claimed this area as “Band Crew Territory.”
Mapp, Perkins, and their co-defendants were responsible for a multitude of crimes that took place in and around Northwest Detroit. Mapp and Perkins, according to plea agreements and court documents, directly participated or encouraged acts of assault with intent to murder, home invasions, aggravated assaults, shootings in public places, drug dealing, and robberies. Mapp’s criminal conduct spanned the duration from Band Crew’s inception until he and his co-defendants were arrested in the fall of 2015.
All defendants charged in the indictment have been convicted. In addition to Mapp and Perkins, six other members, leaders, and associates of the Band Crew, all of Detroit, have pleaded guilty to charges related to racketeering, assault a dangerous weapon in aid of racketeering, or other weapons offenses. The remaining Band Crew members are scheduled to be sentenced over the next three months.
A very important component to the federal prosecution was earlier successful state prosecutions by the Wayne County Prosecutor’s Office of a number of Band Crew members for specific violent state felony offenses that served as a foundation to the federal Racketeering Conspiracy.
The arrests and convictions in this case are, in part, the result of the Detroit One Initiative, a collaborative effort between law enforcement and the community to reduce homicide and other violent crime in Detroit. Through the lead efforts of the Comprehensive Violence Reduction Partnership Task Force, which consists of representatives of the ATF, Detroit Police Department, Michigan State Police, Michigan Department of Corrections and FBI, law enforcement authorities linked various acts of violence in Detroit to the Band Crew street gang, and identified the leaders and key members of the gang, who now have been held accountable. This prosecution was also part of a larger coordinated effort to address ongoing gang violence in Northwest Detroit. During the time of the Band Crew investigation, federal law enforcement and the U.S. Attorney’s Office also investigated, prosecuted, and convicted members of the RTM street gang, chief rival to the Band Crew.
The ATF and Detroit Police Department investigated the case. Assistant U.S. Attorney John N. O’Brien of the Eastern District of Michigan and Assistant U.S. Attorney Jeremy R. Jehangiri of the District of South Dakota prosecuted the case.
Court Sentences Convicted Felon to 70 Months for the Illegal Possession of a WeaponRead the Press Release
Acting United States Attorney Steve Butler of the Southern District of Alabama announces that United States District Court Chief Judge Kristi K. DuBose sentenced Thomas Jefferson Laffitte on May 19, 2017 to serve a term of imprisonment of 70 months followed by 3 years of supervised release for illegally possessing a firearm in Mobile, Alabama on July 23, 2016 in violation of 18 USC § 922(g)(1). The defendant, who had an extensive criminal history entered a guilty plea before the Court on February 15, 2017.
This case was investigated by the United States Marshals Service-Gulf Coast Regional Fugitive Task Force, and the Mobile County Sheriff’s Office. The case was prosecuted by Assistant United States Attorney Lawrence J. Bullard for the United States Attorney’s Office for the Southern District of Alabama.
Corry Area Schools Federal Credit Union Manager Sentenced to Prison for Embezzling $741,362Read the Press Release
ERIE, Pa. - A resident of Bear Lake, Pennsylvania, has been sentenced in federal court to 24 months in jail, to be followed by 5 years of supervised release, and was ordered to make restitution in the amount of $696,273.72 on her conviction of embezzlement of credit union funds, Acting United States Attorney Soo C. Song announced today.
United States District Judge David S. Cercone imposed the sentence on Karen Schenck, 50.
According to information presented to the court, from January 2008 through August 2015, while employed as the Office Manager/CEO for the federally insured Corry Area Schools Federal Credit Union in Corry, Ms. Schenck embezzled approximately $741,362.00. Ms. Schenck successfully embezzled the funds in a variety of ways. She made $268,402.25 in unauthorized or fictitious loans in the names of her family members, the proceeds of which she used for her personal benefit or to conceal out of balance conditions in various general ledger accounts. Ms. Schenck made over sixty fictitious deposits into her own account or the accounts of family members totaling approximately $317,897.00, which she used for her personal benefit. Ms. Schenck withdrew approximately $51,035.03 and $44,572.47 from two accounts without the authorization of the account holders. Ms. Schenk created approximately $42,118.07 in loans to herself and fabricated loan underwriting documentation to give the appearance that she would have qualified for the loans. Finally, Ms. Schenck used the embezzled credit union funds to pay off personal credit card balances and engaged in unauthorized credit card limits causing approximately $17.338.00 in losses to the credit union.
Assistant United States Attorney Marshall J. Piccinini prosecuted this case on behalf of the government.
Acting United States Attorney Song commended the Federal Bureau of Investigation for the investigation leading to the successful prosecution of Schenck.
Convicted Russian Cyber Criminal Roman Seleznev faces charges in AtlantaRead the Press Release
ATLANTA – Roman Seleznev, of Vladivostok, Russia, has been arraigned on federal cyber fraud charges associated with the 2008 hack and theft of banking credentials from RBS Worldpay, a payment processing company located in Atlanta, Georgia. Seleznev was indicted by a federal grand jury on December 22, 2014.
“In 2008, an American credit card processor was hacked in what was then the most sophisticated and organized computer fraud attack ever conducted,” said U. S. Attorney John Horn. “Using banking credentials stolen during the hack, a team of hackers and cashers in 280 cities around the world stole over $9 million dollars in only 12 hours from 2,100 ATMs worldwide. The defendant is alleged to have stolen over $2,000,000 as part of that scheme.”
“We must continue to impose real costs on criminals who believe they are protected by geographic boundaries and can prey on the American people and institutions with impunity. This arraignment highlights the benefits of global cooperation among the United States and international law enforcement. It further demonstrates the FBI’s long-term commitment to identifying and pursuing cyber criminals world-wide, and serves as a strong deterrent to others targeting America’s financial institutions,” said David J. LeValley, Special Agent in Charge, FBI Atlanta Field Office.
“The Secret Service worked closely with the Department of Justice and the FBI to share information and resources that ultimately brought these cyber criminals to justice,” said Kenneth Cronin, Special Agent in Charge of the Secret Service's Atlanta Field Office. “Our longstanding role in transnational cyber investigations and network intrusions was crucial in combatting this complex hacking ring and today’s arraignment proves that there is no such thing as anonymity for those engaging in data theft and fraudulent schemes.”
According to U.S. Attorney Horn, the charges and other information presented in court: During November 2008, a team of hackers, including Estonian national Sergei Tšurikov and others, obtained unauthorized access into the computer network of RBS WorldPay, what was then the U.S. payment processing division of the Royal Bank of Scotland Group PLC, located in Atlanta, Georgia.
The group used sophisticated hacking techniques to compromise the data encryption that was then used by RBS WorldPay to protect customer data on payroll debit cards. Payroll debit cards are used by various companies to pay their employees. By using a payroll debit card, employees are able to withdraw their regular salaries from an ATM.
Once the encryption on the card processing system was compromised, the hacking ring raised the account limits on compromised accounts to amounts exceeding $1,000,000. The hackers then provided a network of cashers with 44 counterfeit payroll debit cards, which were used to withdraw more than $9 million from over 2,100 ATMs in at least 280 cities worldwide, including cities in the United States, Russia, Ukraine, Estonia, Italy, Hong Kong, Japan and Canada. The $9 million loss occurred within a span of less than 12 hours.
The hackers then sought to destroy data stored on the card processing network in order to conceal their hacking activity. The cashers were allowed to keep 30 to 50 percent of the stolen funds, but transmitted the bulk of those funds back to Tšurikov and his co-defendants. Upon discovering the unauthorized activity, RBS WorldPay immediately reported the breach, and has substantially assisted in the investigation.
Throughout the duration of the cashout, Tšurikov and another hacker monitored the fraudulent ATM withdrawals in real-time from within the computer systems of RBS WorldPay.
Roman Seleznev, 32, a Russian national from Vladivosotk, was arraigned before U.S. Magistrate Judge Linda Walker. He is alleged to have been responsible for cashing out $2,178,349 associated with five hacked debit card numbers.
To date, the U.S. Attorney’s Office for the Northern District of Georgia has charged 14 individuals involved in the hack and cashout, including Russian nationals Viktor Pleschuk, Evgeniy Anikin, and Roman Seleznev; Estonian nationals Sergei Tsurikov, Igor Grudijev, Ronald Tsoi, Eveilyn Tsoi, and Mikhail Jevgenov; Moldovan national Oleg Covelin; Ukranian nationals Vladimir Valeyrich Tailar and Evgeny Levitskyy; Nigerian national Ezenwa Chukukere; American national Sonya Martin; and Vladislav Horohorin, who is citizen of Russia, Israel, and Ukraine.
On April 21, 2017, Seleznev was sentenced by the U.S. District Court for the Western District of Washington to 27 years in prison for other computer hacking crimes that caused more than $169 million in damage to small businesses and financial institutions. Seleznev is also charged in a separate indictment in the District of Nevada with participating in a racketeer influenced corrupt organization (RICO) and conspiracy to engage in a racketeer influenced corrupt organization, as well as two counts of possession of 15 or more counterfeit and unauthorized access devices.
Members of the public are reminded that the indictment only contains charges. The defendant is presumed innocent of the charges and it will be the government’s burden to prove the defendant’s guilt beyond a reasonable doubt at trial.
This case is being investigated by the Federal Bureau of Investigation and United States Secret Service.
Assistant U.S. Attorney Kamal Ghali is prosecuting the case. Assistance was provided by the U.S. Attorney’s Office for the Western District of Washington, the Justice Department’s Office of International Affairs, and the Criminal Division’s Computer Crime and Intellectual Property Section.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga
Convicted Felon Sentenced for Illegally Purchasing and Selling 16 GunsRead the Press Release
RICHMOND, Va. – A convicted felon who illegally purchased firearms in Virginia and trafficked them to Maryland for re-sale was sentenced today to 87 months in prison.
Devon Kennedy, 23, of Waldorf, Maryland, pleaded guilty on February 16. According to the statement of facts filed with the plea agreement, Kennedy, a convicted felon, traveled to the Richmond area repeatedly between April 28 and May 23, 2016, where he directed his cousin to purchase 16 firearms and several extended magazines. Kennedy provided his cousin with the cash to purchase the firearms, as well as instructions on the types of firearms he wanted his cousin to buy. After supervising his cousin’s purchases, Kennedy took possession of the weapons and then transported those firearms back north to Maryland, where he sold them on the street to various buyers. Kennedy was arrested in Prince George County on May 26, 2016, three days after his most recent trip to Richmond, carrying one of three pistols his cousin had purchased on his behalf. Kennedy had already sold the other two firearms.
Dana J. Boente, U.S. Attorney for the Eastern District of Virginia; Michael B. Boxler, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms and Explosives’ (ATF) Washington Field Division, made the announcement after sentencing by U.S. District Judge Henry E. Hudson. Assistant U.S. Attorney Thomas A. Garnett prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information is located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 3:16-cr-154.
Clarksburg woman admits to mail fraudRead the Press Release
CLARKSBURG, WEST VIRGINIA – A Clarksburg, West Virginia woman pled guilty today to mail fraud, Acting United States Attorney Betsy Steinfeld Jividen announced.
Chasity Costilow, age 38, pled guilty to one count of “Mail Fraud.” Costilow admitted to taking part in a staged vehicular accident in September 2012 in Marion County. She also admitted to faking injuries from said accident and filing a false insurance claim, from which she received a settlement of approximately $60,000.
Costilow faces up to twenty years and a $250,000 fine. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendants.
Assistant U.S. Attorney Andrew R. Cogar is prosecuting the case on behalf of the government. The West Virginia Insurance Commission Office of Inspector General and the United States Postal Inspection Service are investigating.
U.S. Magistrate Judge Michael John Aloi presided.
Chinese National Pleads Guilty to Economic Espionage and Theft of a Trade Secret from U.S. CompanyRead the Press Release
Today, Xu Jiaqiang, 31, formerly of Beijing, China, pleaded guilty to economic espionage and theft of a trade secret, in connection with Xu’s theft of proprietary source code from Xu’s former employer, with the intent to benefit the National Health and Family Planning Commission of the People’s Republic of China. Xu pleaded guilty to all six counts with which he was charged.
The announcement was made by Acting Assistant Attorney General for the National Security Dana Boente and Acting U.S. Attorney Joon H. Kim for the Southern District of New York. The pleas were entered before U.S. District Judge Kenneth M. Karas in White Plains, New York federal court.
“Today, Xu pleaded guilty to stealing trade secrets from his former employer for his own profit and intending to benefit the People’s Republic of China,” said Acting Assistant Attorney General Boente. “The Economic Espionage Act is a key tool in protecting our economic and security interests. The National Security Division will pursue and prosecute any individual who steals intellectual property from American businesses to benefit a foreign government.”
“Xu Jiaqiang admitted and pled guilty today to stealing high tech trade secrets from a U.S. employer, intending to benefit the Chinese government. What Xu did was not only a federal crime, but a threat to our national security and the American spirit of innovation. Our Office is committed to finding, arresting and holding accountable those who take advantage of American businesses by engaging in economic espionage.”
According to the allegations contained in the Complaint and the Superseding Indictment filed against Xu, as well as statements made in related court filings and proceedings:
From November 2010 to May 2014, Xu worked as a developer for a U.S. company (the “Victim Company”). As a developer, Xu enjoyed access to certain proprietary software (the “Proprietary Software”), as well as that software’s underlying source code (the “Proprietary Source Code”). The Proprietary Software is a clustered file system developed and marketed by the Victim Company in the U.S. and other countries. A clustered file system facilitates faster computer performance by coordinating work among multiple servers. The Victim Company took significant precautions to protect the Proprietary Source Code as a trade secret. Among other things, the Proprietary Source Code is stored behind a company firewall and can be accessed only by a small subset of the Victim Company’s employees. Before receiving Proprietary Source Code access, Victim Company employees must first request and receive approval from a Victim Company official. Victim Company employees must also agree in writing at both the outset and the conclusion of their employment that they will maintain the confidentiality of any proprietary information. The Victim Company took these and other precautions in part because the Proprietary Software and the Proprietary Source Code are economically valuable, which value depends in part on the Proprietary Source Code’s secrecy.
In May 2014, Xu voluntarily resigned from the Victim Company. Xu subsequently communicated with one undercover law enforcement officer (“UC-1”), who posed as a financial investor aiming to start a large-data storage technology company, and another undercover law enforcement officer (“UC-2”), who posed as a project manager, working for UC-1. In these communications, Xu discussed his past experience with the Victim Company and indicated that he had experience with the Proprietary Software and the Proprietary Source Code. On March 6, 2015, Xu sent UC-1 and UC-2 code, which Xu stated was a sample of Xu’s prior work with the Victim Company. A Victim Company employee (“Employee-1”) later confirmed that the code sent by Xu included proprietary Victim Company material that related to the Proprietary Source Code.
Xu subsequently informed UC-2 that Xu was willing to consider providing UC-2’s company with the Proprietary Source Code as a platform for UC-2’s company to facilitate the development of its own data storage system. Xu informed UC-2 that if UC-2 set up several computers as a small network, then Xu would remotely install the Proprietary Software so that UC-1 and UC-2 could test it and confirm its functionality.
In or around early August 2015, the FBI arranged for a computer network to be set up, consistent with Xu’s specifications. Files were then remotely uploaded to the FBI-arranged computer network (the “Xu Upload”). Thereafter, on or about Aug. 26, 2015, Xu and UC-2 confirmed that UC-2 had received the Xu Upload. In September 2015, the FBI made the Xu Upload available to a Victim Company employee who has expertise regarding the Proprietary Software and the Proprietary Source Code (“Employee-2”). Based on Employee-2’s analysis of technical features of the Xu Upload, it appeared to Employee-2 that the Xu Upload contained a functioning copy of the Proprietary Software. It further appeared to Employee-2 that the Xu Upload had been built by someone with access to the Proprietary Source Code who was not working within the Victim Company or otherwise at the Victim Company’s direction.
On Dec. 7, 2015, Xu met with UC-2 at a hotel in White Plains, New York (the “Hotel”). Xu stated, in sum and substance, that Xu had used the Proprietary Source Code to make software to sell to customers, that Xu knew the Proprietary Source Code to be the product of decades of work on the part of the Victim Company, and that Xu had used the Proprietary Source Code to build a copy of the Proprietary Software, which Xu had uploaded and installed on the UC Network (i.e., the Xu Upload). Xu also indicated that Xu knew the copy of the Proprietary Software that Xu had installed on the UC Network contained information identifying the Proprietary Software as the Victim Company’s property, which could reveal the fact that the Proprietary Software had been built with the Proprietary Source Code without the Victim Company’s authorization. Xu told UC-2 that Xu could take steps to prevent detection of the Proprietary Software’s origins – i.e., that it had been built with stolen Proprietary Source Code – including writing computer scripts that would modify the Proprietary Source Code to conceal its origins.
Later on Dec. 7, 2015, Xu met with UC-1 and UC-2 at the Hotel. During that meeting, Xu showed UC-2 a copy of what Xu represented to be the Proprietary Source Code on Xu’s laptop. Xu noted to UC-2 a portion of the code that indicated it originated with the Victim Company as well as the date on which it had been copyrighted. Xu also stated that Xu had previously modified the Proprietary Source Code’s command interface to conceal the fact that the Proprietary Source Code originated with the Victim Company and identified multiple specific customers to whom Xu had previously provided the Proprietary Software using Xu’s stolen copy of the Proprietary Source Code.
In connection with the economic espionage counts charged in the Superseding Indictment, Xu stole, duplicated, and possessed the Proprietary Source Code with the intent to benefit the National Health and Planning Commission of the People’s Republic of China.
Xu pleaded guilty to three counts of economic espionage, each of which carries a maximum sentence of 15 years in prison, and three counts of theft of a trade secret, each of which carries a maximum sentence of 10 years in prison. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes. If convicted of any offense, the sentencing of the defendant will be determined by the court based on the advisory Sentencing Guidelines and other statutory factors.
Xu’s sentencing is scheduled for October 13.
Mr. Kim praised the FBI’s outstanding investigative efforts. He also thanked the U.S. Department of Justice’s National Security Division.
The case is being handled by the Office’s Terrorism and International Narcotics Unit and its White Plains Division. The prosecution is being handled by Assistant U.S. Attorneys Benjamin Allee, Ilan Graff and Shane T. Stansbury for the Southern District of New York, with assistance from Trial Attorney David Aaron of the National Security Division’s Counterintelligence and Export Control Section.
Chinese National Pleads Guilty to Economic Espionage and Theft of A Trade Secret from U.S. CompanyRead the Press Release
Joon H. Kim, the Acting United States Attorney for the Southern District of New York, and Dana Boente, Acting Assistant Attorney General for National Security, announced today that XU JIAQIANG pled guilty to economic espionage and theft of a trade secret, in connection with XU’s theft of proprietary source code from XU’s former employer, with the intent to benefit the National Health and Family Planning Commission of the People’s Republic of China. XU pled guilty earlier today to all six counts with which he was charged, before the U.S. District Judge Kenneth M. Karas in White Plains federal court.
Acting U.S. Attorney Joon H. Kim said: “Xu Jiaqiang admitted and pled guilty today to stealing high tech trade secrets from a U.S. employer, intending to benefit the Chinese government. What Xu did was not only a federal crime, but a threat to our national security and the American spirit of innovation. Our Office is committed to finding, arresting and holding accountable those who take advantage of American businesses by engaging in economic espionage.”
Acting Assistant Attorney General Dana Boente said: “Today, Xu pleaded guilty to stealing trade secrets from his former employer for his own profit and intending to benefit the People’s Republic of China. The Economic Espionage Act is a key tool in protecting our economic and security interests. The National Security Division will pursue and prosecute any individual who steals intellectual property from American businesses to benefit a foreign government.”
According to the allegations contained in the Complaint and the Superseding Indictment filed against XU, as well as statements made in related court filings and proceedings:
From November 2010 to May 2014, XU worked as a developer for a particular U.S. company (the “Victim Company”). As a developer, XU enjoyed access to certain proprietary software (the “Proprietary Software”), as well as that software’s underlying source code (the “Proprietary Source Code”). The Proprietary Software is a clustered file system developed and marketed by the Victim Company in the United States and other countries. A clustered file system facilitates faster computer performance by coordinating work among multiple servers. The Victim Company takes significant precautions to protect the Proprietary Source Code as a trade secret. Among other things, the Proprietary Source Code is stored behind a company firewall and can be accessed only by a small subset of the Victim Company’s employees. Before receiving Proprietary Source Code access, Victim Company employees must first request and receive approval from a particular Victim Company official. Victim Company employees must also agree in writing at both the outset and the conclusion of their employment that they will maintain the confidentiality of any proprietary information. The Victim Company takes these and other precautions in part because the Proprietary Software and the Proprietary Source Code are economically valuable, which value depends in part on the Proprietary Source Code’s secrecy.
In May 2014, XU voluntarily resigned from the Victim Company. XU subsequently communicated with one undercover law enforcement officer (“UC-1”), who posed as a financial investor aiming to start a large-data storage technology company, and another undercover law enforcement officer (“UC-2”), who posed as a project manager, working for UC-1. these communications, XU discussed his past experience with the Victim Company and indicated that he had experience with the Proprietary Software and the Proprietary Source Code. On March 6, 2015, XU sent UC-1 and UC-2 a code, which XU stated was a sample of XU’s prior work with the Victim Company. A Victim Company employee (“Employee-1”) later confirmed that the code sent by XU included proprietary Victim Company material that related to the Proprietary Source Code.
XU subsequently informed UC-2 that XU was willing to consider providing UC-2’s company with the Proprietary Source Code as a platform for UC-2’s company to facilitate the development of its own data storage system. XU informed UC-2 that if UC-2 set up several computers as a small network, then XU would remotely install the Proprietary Software so that UC-1 and UC-2 could test it and confirm its functionality.
In or around early August 2015, the FBI arranged for a computer network to be set up, consistent with XU’s specifications. Files were then remotely uploaded to the FBI-arranged computer network (the “Xu Upload”). Thereafter, on or about August 26, 2015, XU and UC-2 confirmed that UC-2 had received the Xu Upload. In September 2015, the FBI made the Xu Upload available to a Victim Company employee who has expertise regarding the Proprietary Software and the Proprietary Source Code (“Employee-2”). Based on Employee-2’s analysis of technical features of the Xu Upload, it appeared to Employee-2 that the Xu Upload contained a functioning copy of the Proprietary Software. It further appeared to Employee-2 that the Xu Upload had been built by someone with access to the Proprietary Source Code who was not working within the Victim Company or otherwise at the Victim Company’s direction.
On December 7, 2015, XU met with UC-2 at a hotel in White Plains, New York (the “Hotel”). XU stated, in sum and substance, that XU had used the Proprietary Source Code to make software to sell to customers, that XU knew the Proprietary Source Code to be the product of decades of work on the part of the Victim Company, and that XU had used the Proprietary Source Code to build a copy of the Proprietary Software, which XU had uploaded and installed on the UC Network (i.e., the Xu Upload). XU also indicated that XU knew the copy of the Proprietary Software that XU had installed on the UC Network contained information identifying the Proprietary Software as the Victim Company’s property, which could reveal the fact that the Proprietary Software had been built with the Proprietary Source Code without the Victim Company’s authorization. XU told UC-2 that XU could take steps to prevent detection of the Proprietary Software’s origins – i.e., that it had been built with stolen Proprietary Source Code – including writing computer scripts that would modify the Proprietary Source Code to conceal its origins.
Later on December 7, 2015, XU met with UC-1 and UC-2 at the Hotel. During that meeting, XU showed UC-2 a copy of what XU represented to be the Proprietary Source Code on XU’s laptop. XU noted to UC-2 a portion of the code that indicated it originated with the Victim Company as well as the date on which it had been copyrighted. XU also stated that XU had previously modified the Proprietary Source Code’s command interface to conceal the fact that the Proprietary Source Code originated with the Victim Company and identified multiple specific customers to whom XU had previously provided the Proprietary Software using XU’s stolen copy of the Proprietary Source Code.
* * *
XU, 31, formerly of Beijing, China, pled guilty to three counts of economic espionage, each of which carries a maximum sentence of 15 years in prison, and three counts of theft of a trade secret, each of which carries a maximum sentence of 10 years in prison. The maximum potential sentences in this case are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendant will be determined by the judge.
Xu's sentencing is scheduled for October 13, 2017.
Mr. Kim praised the FBI’s outstanding investigative efforts. He also thanked the U.S. Department of Justice’s National Security Division.
The case is being handled by the Office’s Terrorism and International Narcotics Unit and its White Plains Division. Assistant U.S. Attorneys Benjamin Allee, Ilan Graff, and Shane T. Stansbury, with assistance from Trial Attorney David Aaron of the National Security Division’s Counterintelligence and Export Control Section, are in charge of the prosecution.
Carter Lake Iowa Man Sentenced for Possession of Child PornographyRead the Press Release
COUNCIL BLUFFS, IA - On May 19, 2017, Mitchell Eugene Obrechtheather Jean Reekr, a 41 year-old resident of Carter Lake, was sentenced by United States District Court Judge Rebecca Goodgame Ebinger to 97 months in prison for possession of child pornography, announced United States Attorney Kevin E. VanderSchel. Obrecht will be required to serve 10 years of supervised release following his imprisonment.
On January 30, 2017, Obrecht pleaded guilty to an indictment charging him with possession of child pornography on or about September 18, 2015. The charge resulted from an investigation into the posting of a video and an image, each depicting child pornography, on a social networking site. Law enforcement followed up with a search warrant of Obrecht’s residence and located two computers that contained over 1,000 of images of child pornography.
The Iowa Division of Criminal Investigation’s Internet Crimes Against Children Task Force, Carter Lake Iowa Police Department, and Douglas County Nebraska Sheriff’s Office conducted the investigation. This case was prosecuted by the United States Attorney’s Office for the Southern District of Iowa.
-END-
Learn more about this release by calling Rachel J. Scherle at 515-473-9300, or by emailing her at [email protected].
Buffalo Woman Pleads Guilty to Drug 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 Tashaira Vazquez, 30, both of Buffalo, NY, pleaded guilty to obtaining controlled substances through fraud, before U.S. District Judge Richard J. Arcara. The charge carries a maximum penalty of four years in prison and a $250,000 fine.
Assistant U.S. Attorney Michael J. Adler, who is handling the case, stated that between July 2013 and May 2015, co-defendant Brandon Coburn, a licensed nurse practitioner who was legally authorized to prescribe controlled substances, provided prescriptions that were not issued for legitimate medical purposes to Vazquez and nine others. Vasquez and the others filled the prescriptions, and then sold the drugs, which included fentanyl, oxycodone, oxymorphone, and amphetamine, on the street in the Buffalo area. Vazquez filled a total of 28 prescriptions.
To date, six defendants charged in this investigation 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 Drug Enforcement Administration, under the direction of James J. Hunt, Special Agent-in-Charge, New York Field Division.
Sentencing is scheduled for August 23, 2017, at 1:00 p.m. before Judge Arcara.
Buffalo Man Pleads Guilty to Heroin ChargeRead 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 Dellsean Hamilton, 27, of Buffalo, NY, pleaded guilty before U.S. District Judge Richard J. Arcara to possession with intent to distribute, and distribution of, heroin and being a felon in possession of a firearm. The charges carry a maximum penalty of 20 years in prison and a $1,000,000 fine.
Assistant U.S. Attorney Timothy C. Lynch, who is handling the case, stated that between March 2015, and February 29, 2016, the defendant conspired with Brittney Ridgeway and others to sell heroin. During the course of the conspiracy, Hamilton and Ridgeway regularly sold heroin, fentanyl, and butyryl fentanyl in the Buffalo and Cheektowaga areas. On March 25, 2015, Cheektowaga Police conducted a traffic stop of a vehicle occupied by Ridgeway, the defendant and a juvenile and recovered $2,315 in cash. Ridgeway was found with 141 envelopes containing nearly four grams of fentanyl.
On July 15, 2015, the Erie County Sheriff’s Narcotics Unit executed warrants at two residences linked to Hamilton. At 16 Dash Street, deputies seized drug paraphernalia, including wax envelopes commonly used to package heroin. At 75 Edison Street, they seized approximately 2,000 wax envelopes containing approximately 50 grams of heroin, additional envelopes containing more than a gram of a mixture of heroin, fentanyl, and butyryl fentanyl, three firearms, and a digital scale.
Hamilton was arrested on state charges and while on bail, the defendant and Ridgeway continued their narcotics trafficking activities. On December 11, 18 and 23, 2015, Hamilton sold butyryl fentanyl to a confidential source working with the Drug Enforcement Administration and the Cheektowaga Police Department. This resulted in a federal search warrant and arrest warrant. On January 11, 2016, the defendant was arrested and found in possession of a large amount of cash and baggies containing approximately a gram of fentanyl. Inside of Hamilton’s vehicle, which was occupied by Ridgeway, officers seized approximately $5,000 in cash. During a subsequent search of Hamilton’s residence at 1150 East Lovejoy in Buffalo, officers seized a semi-automatic pistol and ammunition.
While incarcerated on the federal charges, Hamilton continued his drug trafficking activities with Ridgeway. Specifically, during a recorded jail call between the two, Hamilton instructed Ridgeway not to consent to the search of a residence again. Ridgeway then continued trafficking heroin as Hamilton had done prior to his incarceration. On February 4 and 11, 2016, Ridgeway sold butryrl fentanyl and fentanyl, respectively, to a confidential source working with DEA and the Cheektowaga Police Department.
Brittney Ridgeway has been convicted and is awaiting sentencing.
The plea is the culmination of an investigation by the Cheektowaga Police Department, under the direction of Chief David Zack; the Erie County Sheriff’s Department, under the direction of Sheriff Timothy Howard; and the Drug Enforcement Administration, under the direction of Special Agent in Charge James J. Hunt, New York Field Division.
Sentencing is scheduled for August 28, 2017, at 12:30 p.m. before Judge Arcara.
Berlin Man Sentenced to 36 Years in Federal Prison for Production of Child PornographyRead the Press Release
Baltimore, Maryland – U.S. District Judge Ellen L. Hollander sentenced David Edward Weatherholtz, age 57, of Berlin, Maryland today to 36 years in prison, followed by a lifetime of supervised release, for production of child pornography. Judge Hollander also ordered that Weatherholtz pay a total of $105,471.12 in restitution to the victims and ordered that Weatherholtz forfeit certain property, including his interest in the commercial real estate property located at 12600 Marjan Lane, Ocean City, MD 21842.
The sentence was announced by Acting United States Attorney for the District of Maryland Stephen M. Schenning; Special Agent in Charge Andre R. Watson of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI); Worcester County Sheriff Reggie T. Mason, Sr.; Worcester County State’s Attorney Beau Oglesby; and Colonel William M. Pallozzi, Superintendent of the Maryland State Police.
According to his plea agreement, from at least August 1990 through his arrest in 2015, Weatherholtz had sexual contact and/or sexual intercourse with at least four minors.
On December 3, 2014, an undercover detective with the Worcester County Sheriff’s Office responded to a sexually explicit ad placed on an internet website. Records obtained from the website identified Weatherholtz as the person who posted the advertisement and further indicated that the ad was one of many posted by Weatherholtz from 2009 to December 2014 for the purpose of meeting young males interested in sex.
Weatherholtz and the undercover detective exchanged emails and text messages, in which the detective identified himself as a 13-year-old deaf white male who lived with his aunt in Snow Hill. Weatherholtz sent the detective two video files by text messages. In the first video file Weatherholtz depicted himself greeting the purported 13-year-old deaf male, and in the second video file he pretended to be the 13-year-old deaf male greeting Weatherholtz.
Weatherholtz arranged to meet the purported 13-year-old male at a restaurant in Snow Hill on December 16, 2014, and indicated that he would bring the boy back to his residence. When Weatherholtz arrived at the meeting location, he was taken into custody. A search warrant was also executed at his home and law enforcement seized numerous computers, hard drives, and other media storage devices. Subsequent forensic analysis of those items recovered numerous still photographs and a video of Weatherholtz engaged in sexually explicit conduct with a minor male victim.
On August 17, 2016, an employee at a building formely owned by Weatherholtz found a box on the property that was addressed to “Aaron Weatherholtz” – the defendant’s dog. Inside the box were photos of minor males engaged in sex acts; sheets of paper called “official progress charts” that depicted dated, hand-traced outlines of erect male penises; CDs and DVDs; and two VHS-compatible camcorder cassette tapes. A review of that material revealed three other minor male victims engaged in sexually explicit conduct.
Acting United States Attorney Stephen M. Schenning commended HSI Baltimore, Worcester County Sheriff’s Office, Worcester County State’s Attorney’s Office, Maryland State Police, and the Internet Crimes Against Children Task Force for their work in the investigation. Mr. Schenning thanked Assistant U.S. Attorneys Ayn B. Ducao and Paul A. Riley, who prosecuted the case.
Arizona Woman Pleads Guilty to Federal Drug Trafficking Charge Arising Out of Seizure of Five Pounds of HeroinRead the Press Release
ALBUQUERQUE – Tabitha Marie Ochoa, 29, of Nogales, Ariz., pled guilty today in federal court in Albuquerque, N.M., to a heroin trafficking charge.
Tabitha Marie Ochoa and co-defendant Maryhelen Princess Ochoa, 32, also of Nogales, Ariz., were arrested in Feb. 2017, after law enforcement officers found nine bundles of heroin weighing 2387 grams (5.26 pounds) in their vehicle during a routine traffic stop. According to the complaint, the traffic stop took place on Jan. 30 and 31, 2017, in Cibola County, N.M.
During today’s proceedings, Tabitha Marie Ochoa pled guilty to an information charging her with possession of heroin with intent to distribute. In entering the guilty plea, Tabitha Marie Ochoa admitted possessing the heroin seized from the vehicle in which she was traveling on Jan. 31, 2017. Tabitha Marie Ochoa admitted that she was being paid to deliver the heroin to another person.
At sentencing, Tabitha Marie Ochoa faces a maximum penalty of 20 years in federal prison. She remains in custody pending a sentencing hearing, which has yet to be scheduled.
Maryhelen Princess Ochoa remains in custody pending presentation of the case against her to a grand jury. Charges in criminal complaints are merely accusations and defendants are presumed innocent unless found guilty in a court of law.
This case was investigated by the Albuquerque office of Homeland Security Investigations and the New Mexico State Police. Assistant U.S. Attorney Elaine Y. Ramirez is prosecuting this case as part of the New Mexico Heroin and Opioid Prevention and Education (HOPE) Initiative. The HOPE Initiative was launched in January 2015 by the UNM Health Sciences Center and the U.S. Attorney’s Office in response to the national opioid epidemic, which has had a disproportionately devastating impact on New Mexico. Opioid addiction has taken a toll on public safety, public health and the economic viability of our communities. Working in partnership with the DEA, the Bernalillo County Opioid Accountability Initiative, Healing Addiction in our Community (HAC), the Albuquerque Public Schools and other community stakeholders, HOPE’s principal goals are to protect our communities from the dangers associated with heroin and opioid painkillers and reducing the number of opioid-related deaths in New Mexico.
The HOPE Initiative is comprised of five components: (1) prevention and education; (2) treatment; (3) law enforcement; (4) reentry; and (5) strategic planning. HOPE’s law enforcement component is led by the Organized Crime Section of the U.S. Attorney’s Office and the DEA in conjunction with their federal, state, local and tribal law enforcement partners. Targeting members of major heroin and opioid trafficking organizations for investigation and prosecution is a priority of the HOPE Initiative. Learn more about the New Mexico HOPE Initiative at http://www.HopeInitiativeNM.org.
Anthony Weiner Pleads Guilty in Manhattan Federal Court to Transferring Obscene Material to A MinorRead the Press Release
Joon H. Kim, the Acting United States Attorney for the Southern District of New York and William F. Sweeney Jr., the Assistant Director-in-Charge of the New York Office of the Federal Bureau of Investigation (“FBI”) announced that ANTHONY WEINER was charged with, and pled guilty to, transferring obscene material to a minor. WEINER surrendered to the FBI in New York this morning, pled guilty before United States District Judge Loretta A. Preska, and was released on bail pending sentencing. Sentencing has been scheduled for September 8, 2017, at 11 a.m.
Acting Manhattan U.S. Attorney Joon H. Kim said: “Today, former Congressman Anthony Weiner admitted and pled guilty to sending sexually explicit images and directions to engage in sexual conduct to a girl he knew to be 15 years old. Weiner’s conduct was not only reprehensible, but a federal crime, one for which he is now convicted and will be sentenced. We thank the FBI and the NYPD for their work in this investigation.”
FBI Assistant Director in Charge William F. Sweeney Jr. said: “We work every day in the FBI and law enforcement to stop adults from preying on vulnerable children. Our partnership with the NYPD cannot be stressed enough in this case, and we would like to thank the Special Victims Unit for all the work and effort they put into this investigation.”
According to the Information filed in Manhattan federal court today and statements made in Court during today’s plea proceeding, between in or about January and March 2016, WEINER used online messaging and video chat applications to communicate with a minor girl he knew to be 15 years old (the “Minor Victim”). In the course of those communications, WEINER transferred obscene material to the Minor Victim, including directions to engage in sexual conduct and sexually explicit images.
* * *
WEINER, 52, of New York, New York, has pled guilty to one count of transferring obscenity to a minor, which carries a maximum sentence of 10 years in prison. The maximum potential sentence is prescribed by Congress and is provided here for informational purposes only, as any sentencing of the defendant will be determined by the Judge.
Mr. Kim praised the investigative work of the Federal Bureau of Investigation and the Special Victims Division of the New York City Police Department.
The case is being handled by the Office’s General Crimes unit. Assistant United States Attorneys Amanda Kramer and Stephanie Lake are in charge of the prosecution.
Anchorage Man Found Guilty of Attempting to Spend Counterfeit Money at Anchorage International AirportRead the Press Release
Anchorage, Alaska – Acting U.S. Attorney Bryan Schroder announced that an Anchorage man was found guilty yesterday of attempting to pass a counterfeit $100 bill at the Anchorage International Airport. Abdikhaliq Hussein, 28, of Anchorage, was convicted by Chief U.S. District Judge Timothy M. Burgess after a two-day bench trial. Sentencing is scheduled for Aug. 8, 2017. The maximum potential penalty is 20 years imprisonment and a fine of $250,000.
According to Assistant U.S. Attorney Jonas Walker, Hussein went to the Anchorage International Airport on Jan. 14, 2017, and made a reservation for a one-way trip to San Francisco. In attempting to pay for the ticket, Hussein handed seven counterfeit $100 bills to an airline employee. The employee immediately noticed that the bills were counterfeit due to their texture and appearance, including Chinese text in bright pink and red on both sides of the bills. The Chinese text translates as “training coupon, sample, for practice only, no circulation.”
Two airline employees explained to Hussein that the bills were not valid United States currency. The employees tested the fake funds with a counterfeit-detection marker and showed Hussein the resulting dark mark. After the airline employees explained to Hussein that the bills were false, Hussein tried to use an identical counterfeit $100 bill to pay for $7 worth of drinks and snacks from Starbucks located in the terminal. Police contacted Hussein shortly thereafter and found that the total amount of counterfeit currency he possessed was $11,220. At trial, Hussein testified that he found the money in a plastic bag along an Anchorage street and believed it was real. However, Judge Burgess found that Hussein was deliberately indifferent to the money being counterfeit and that he intended to deceive the Starbucks employee.
Acting U.S. Attorney Schroder commends the Anchorage International Airport Police and Fire Department, the Anchorage Police Department, the Federal Bureau of Investigation, the Secret Service, and the Department of Homeland Security for their cooperation in investigating this offense.
The U.S. Attorney’s Office cautions the community that federal law prohibits spending counterfeit currency as if it were authentic, even by a person who did not print it. A photo of the counterfeit $100 is attached.
Albuquerque Felon Pleads Guilty to Federal Drug Trafficking and Firearms ChargesRead the Press Release
ALBUQUERQUE – Carlos Vasquez, 47, of Albuquerque, N.M., pled guilty today in federal court to drug trafficking and firearms charges under a plea agreement with the U.S. Attorney’s Office
Vasquez was arrested during an ATF-led investigation that resulted in the filing of 59 federal indictments and a federal criminal complaint charging 104 Bernalillo County residents with federal firearms and narcotics trafficking offenses. The investigation began in mid-April 2016, when ATF personnel from throughout the country joined forces with federal, state, county and local law enforcement agencies in New Mexico to combat the high rate of violent crime in the Albuquerque metropolitan area. The investigators utilized a number of investigative techniques, including undercover operations, historical investigation and targeting of multi-convicted felons in possession of firearms.
The investigation was undertaken in support of a federal anti-violence initiative that targets “the worst of the worst” offenders for federal prosecution. Under this initiative, the U.S. Attorney’s Office and federal law enforcement agencies collaborate with New Mexico’s District Attorneys and state, local and tribal law enforcement agencies to target violent or repeat offenders for federal prosecution primarily based on their prior criminal convictions with the goal of removing repeat offenders from communities in New Mexico for as long as possible.
Vasquez was charged in a three-count indictment filed on June 14, 2016, with distribution of cocaine and methamphetamine on May 26, 2016 and being a felon in possession of a firearm and ammunition on June 1, 2016. According to the indictment, Vasquez committed the crimes in Bernalillo County. In June 2016, Vasquez was prohibited from possessing firearms or ammunition because he previously had been convicted of aggravated battery on a household member, attempted armed robbery, and abandonment or abuse of a child.
During today’s proceedings, Vasquez pled guilty to possessing methamphetamine with intent to distribute and being a felon in possession of a firearm and ammunition. In entering the guilty plea, Vasquez admitted that on May 26, 2016, he sold methamphetamine to an individual working with law enforcement. Vasquez also admitted that on June 1, 2016, he gave a firearm and ammunition to an undercover law enforcement agent. Vasquez acknowledged that he was prohibited from possessing firearms or ammunition because of his status as a convicted felon.
At sentencing, Vasquez faces a maximum penalty of 20 years in federal prison. Vasquez remains in custody pending a sentencing hearing, which has yet to be scheduled.
To date, 50 of the 104 defendants have entered guilty pleas, and 18 have been sentenced. The remaining defendants have entered not guilty pleas. Charges in indictments are merely accusations and defendants are presumed innocent unless found guilty in a court of law.
These cases were investigated by the Albuquerque office of ATF. This case is being prosecuted by Assistant U.S. Attorney Eva Fontanez.
Air Force Engineer Pleads Guilty to Making False Statement About Unreported Foreign 'Romantic Liaisons'Read the Press Release
DAYTON – Michael Volf Ol, 44, of Xenia, Ohio pleaded guilty today in U.S. District Court to one count of making a false statement.
Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, Angela L. Byers, Special Agent in Charge, Federal Bureau of Investigation (FBI), Cincinnati Field Office, and Randall Pendleton, Commander of the Air Force Office of Investigation, Field Investigation Squadron at Wright-Patterson Air Force Base, announced the plea entered into before U.S. District Judge Thomas M. Rose.
According to the Statement of Facts in this case, Ol had been employed as a civil service aeronautical engineer at Wright-Patterson Air Force Base since September 1993. In 2014, Ol knowingly lied on a background questionnaire for national security positions, stating that he had not had any close contacts with any foreign nationals within the previous seven years. In actuality, the defendant had multiple romantic contacts in October and December 2012 with a female foreign national in France and in Ohio, Pennsylvania, New York, New Jersey and Virginia – all while on official Air Force sponsored trips.
As part of the plea, Ol has agreed to resign from his civil service position with the United States Department of the Air Force. The parties involved in the case recommended a three-year term of probation and $5,000 fine as part of the plea agreement as well, which Judge Rose will consider at a future sentencing hearing.
U.S. Attorney Glassman commended the investigation of this case by the FBI and Air Force Office of Investigation, as well as Assistant United States Attorney Dwight Keller, who is representing the United States in this case.
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37 San Antonio-Based Texas Mexican Mafia Members and Associates Indicted on Federal Drug Trafficking, Extortion and Firearms ChargesRead the Press Release
Today, federal, state and local authorities arrested 26 individuals, including “TMM General” Raul Ramos, and are looking for four others in connection with a heroin/cocaine trafficking operation in the San Antonio area announced United States Attorney Richard L. Durbin, Jr.; Federal Bureau of Investigation (FBI) Special Agent in Charge Christopher Combs, San Antonio Division; Drug Enforcement Administration (DEA) Special Agent in Charge Joseph M. Arabit, Houston Division; and, District Attorney Daniel Kindred, 38th Judicial District Attorney’s Office.
A federal grand jury this week returned an indictment against a total of 37 defendants (listed below): 26 arrested today, eight who were already in custody, and, three who remain fugitives. Charges contained in a federal grand jury indictment unsealed this afternoon in San Antonio are: conspiracy to interfere with Commerce by threats or violence (Count 1); conspiracy to distribute controlled substances (Count 2); possession with intent to distribute a controlled substance (Count 3); use, carrying, or discharging a firearm in relation to a drug trafficking crime (Count 4).
The indictment alleges that the defendants are responsible for distributing heroin and methamphetamine since January 2015 as well as collecting the “dime,” a ten percent tax imposed by the TMM on non-members who distribute narcotics. The indictment states that failure to pay the tax could result in serious bodily injury, robbery or death.
The defendants face up to 20 years in federal prison upon conviction of the extortion conspiracy charge. The defendants face between five and 40 years in federal prison upon conviction of the drug conspiracy charge or drug possession charge. The defendants face a mandatory ten years in federal prison consecutive to any other prison time assessed upon conviction of the firearms charge. Those defendants arrested today remain in federal custody awaiting detention hearings in federal court next week.
This indictment resulted from an Organized Crime Drug Enforcement Task Force (OCDETF) investigation conducted by the FBI and the DEA together with Homeland Security Investigations (HSI), the San Antonio Police Department, Texas Department of Public Safety, Bexar County Sheriff’s Office, New Braunfels Police Department, Medina County Sheriff’s Office, Hondo Police Department, and the District Attorney’s Office for the 38th Judicial District. Since October 2016, the 38th Judicial District DA's Office in Hondo, TX, has obtained over 50 state indictments of TMM members and their associates in the Hondo area related to this investigation.
The principal mission of the OCDETF program is to identify, disrupt and dismantle the most serious drug trafficking, weapons trafficking and money laundering operations, and those primarily responsible for the nation’s illegal drug supply.
It is important to note that an indictment is merely a charge and should not be considered as evidence of guilt. The defendants are presumed innocent until proven guilty in a court of law.
U.S. v. Ramos, et al. defendants
SA17cr391
** Already in custody prior to today
Name, Age, Residence, Charges
Raul Ramos (aka Alto, aka Naranjo, aka GQ), age 51 of San Antonio, Counts 1,2
Victor Garcia (aka Café, aka Pelon, aka BF), age 48 of San Antonio, Counts 1,2
Angel Cantu Garcia (aka Mad, aka Che), age 53 of San Antonio, Counts 1,2Robert M. Cantu (aka Rock, aka Aguila), age 52 of San Antonio, Counts 1,2
Mariano Valdez III (aka Huesos, aka Rage), age 48 of San Antonio, Counts 1,2
**Fernando Gonzales (aka Nando, aka Sunny), age 37 of San Antonio, Counts 1,2
**Richard Gamez (aka Richio, aka Mack), age 40 of San Antonio, Counts 1,2
Arthur Gallegos (aka Teflon, aka Llano), age 41, of San Antonio, Count 1
Daniel Garza (aka Yogi), age 46 of San Antonio, Counts 1,2
Ricky Escobedo (aka Striker, aka Richio, aka Guero), age 41 of San Antonio, Counts 1,2
Jimmy Lee Zuniga (aka Goon),age 30 of San Antonio, Count 1
**Miguel Hernandez (aka Mikio), age 35 of San Antonio, Count 2
Ramiro R. Carrizales (aka Rudy C), age 45 of San Antonio, Counts 1,2
Abel Joseph Guerrero (aka Sandman, aka Plex), age 29 of San Antonio, Counts 1,2
Joe Perez III (aka JJ), age 31 of San Antonio, Counts 1,2
Julian Rosas Garza (aka Juju), age 26 of San Antonio, Counts 1,2
Juan Jose Gonzales (aka Wedo), age 38 of San Antonio, Counts 1,2,3,4
Roman Gabriel Gonzales (aka Roman), age 44 of San Antonio, Counts 1,2
**Joe Angel Arredondo (aka Porkchop), age 36 of San Antonio. Counts 2,3,4
**Johnny Ray Morales (aka Chone), age 29 of San Antonio, Counts 1,2,3,4
**Mario Vega (aka Chore), age 39 of San Antonio, Count 1
Alfred Garansuay (aka Alfred), age 45 of San Antonio, Counts 1,2
Fran Marie Gonzales (aka China), age 38 of San Antonio, Counts 1,2
Roberto Hernandez (aka Bobby), age 72 of San Antonio, Counts 1,2
Albert Guerra Mata (aka Pajaro), age 45 of San Antonio, Counts 1,2
Jimmy Perez (aka Turtle, aka Reaper), age 40 of San Antonio, Counts 1,2
Robert Rodriguez (aka Chino), age 43 of San Antonio, Count 1
Johnny Ramon Fonseca (aka Mad Cow, aka MC), age 44 of San Antonio, Count 1
Pedro Torrez (aka Infamous), age 34 of Floresville, TX, Counts 1,2
Jesus Rodriguez (aka Texas), age 29 of San Antonio, Counts 1,2
Frederick Rocha (aka Lil Mac), age 38 of San Antonio, Count 1
Oscar Martinez (aka Pelon), age 70 of Laredo, TX, Count 2
**Jose Luis Cortez (aka Listo, aka T-Bone), age 40 of San Antonio, Count 1
**Marc Thomas Reyes (aka Panda), age 29 of San Antonio, Counts 1,2
Thursday 18 May 2017
“Dino the Casino” of Los Angeles Pleads Guilty to Operating Statewide Illegal Gambling Business and Distributing CocaineRead the Press Release
SACRAMENTO, Calif. — Nive Hagay, 31, of Los Angeles, pleaded guilty today to conducting an illegal gambling business and distributing cocaine, U.S. Attorney Phillip A. Talbert announced.
According to court documents, starting in 2008 until November 2016, Hagay, who also went by the name “Dino the Casino,” installed and maintained video slot machines in smoke shops, convenience stores and other small businesses from Bakersfield to Sacramento. Hagay then laundered the proceeds from the illegal gambling business through clothing companies in Los Angeles, as well as by making large purchases with the cash proceeds, such as a $202,000 cash transaction for a 2014 Audi R8.
Finally, on October 15, 2016, at a smoke shop in Sacramento, Hagay sold approximately one ounce of a mixture that tested positively for cocaine. The sale was recorded, and in the video, Hagay is seen pulling the bag of the substance from his pocket and taking the resulting money. In the recording, he discusses the quality of the cocaine, describes where he got it and offers to get more and of higher quality in the future.
As a part of his plea agreement, Hagay has agreed to forfeit assets acquired from proceeds of the illegal gambling business, including a 2010 Aston Martin Rapide, a 2016 Mercedes Benz AMG GT, several Ducati motorcycles, hundreds of thousands of dollars in cash seized from his home, the illegal slot machines, and various bank accounts.
This case is the product of an investigation by the Federal Bureau of Investigation and the California Department of Justice – Bureau of Gambling Control. Assistant United States Attorney Matthew M. Yelovich is prosecuting the case.
Hagay is scheduled to be sentenced by U.S. District Judge Morrison C. England Jr. on August 24, 2017. Hagay faces a maximum statutory penalty of five years in prison and a $250,000 fine for the illegal gambling offense and 20 years in prison and a $1 million fine for the cocaine distribution charge. 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.
Youth Organizer Charged with Production of Child PornographyRead the Press Release
CORPUS CHRISTI, Texas – A teen mentor and founder of a nonprofit youth organization has been charged in a federal criminal complaint for sexual exploitation of a child, otherwise known as production of child pornography, announced Acting U.S. Attorney Abe Martinez.
Kevin Ray McMillan, 37, of Corpus Christi, is a teen mentor with the Boys and Girls Club of Corpus Christi and founder of Texas Youth Entrepreneurs, which is a nonprofit youth organization that mentors aspiring young future business owners, according to the charges.
He was taken into custody last night as he was traveling to allegedly engage in sexual activity with a minor. A federal criminal complaint was filed this afternoon. He is expected to make his initial appearance before U.S. Magistrate B. Janice Ellington at 2:00 p.m. tomorrow.
The charges allege McMillan had been sending sexually-explicit text messages via cellular telephone to a juvenile female. According to information in the complaint, McMillan also engaged in sexual activity with the young girl which was photographed via cellular telephone.
If convicted, he faces a minimum of 15 and up to 30 years in federal prison as well as a possible $250,000 fine.
Immigration and Customs Enforcement’s Homeland Security Investigations conducted the investigation with the assistance of the Corpus Christi Police Department - Internet Crimes Against Children Task Force.
This case, prosecuted by Assistant U.S. Attorney Hugo R. Martinez, was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to locate, apprehend and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc. For more information about internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
A criminal complaint is a formal accusation of criminal conduct, not evidence.
A defendant is presumed innocent unless convicted through due process of law.
Wisconsin man sentenced to more than four years in prison for falsely claiming he was a Navy SEAL wounded in Vietnam to get benefitsRead the Press Release
A Wisconsin man was sentenced to more than four years in prison for crimes related to his false claims that he was a Navy SEAL wounded four times in Vietnam, said David A. Sierleja, Acting U.S. Attorney for the Northern District of Ohio, and Gavin McClaren, Resident Agent in Charge of the Department of Veterans Affairs Office of Inspector General’s Cleveland office.
Kenneth E. Jozwiak, 68, of Kenosha, Wisconsin, previously pleaded guilty to unlawfully exhibiting a military discharge certificate, theft of government money, making false statements to federal agents, and attempting to obstruct an official proceeding.
“This defendant’s lies about his service are an affront to those who saw combat and those wounded fighting on behalf of our nation,” Sierleja said. “This defendant did neither, and falsely inflated his service record in an effort to get additional benefits.”
“Falsifying service records to defraud taxpayers and plagiarize other veterans valorous service will not be tolerated,” McClaren said.
Jozwiak in 2014, exhibited a DD-214 (military discharge certificate) that claimed, in part, that Jozwiak was a highly decorated Vietnam War veteran, that he was a four-time recipient of the Purple Heart, and that he was a Navy SEAL -- all entries Jozwiak knew were totally false, according to court documents.
Additionally, Jozwiak defrauded the Department of Veterans Affairs of $2,289 through veteran’s entitlements he received between August and December 2014. In January 2015, Jozwiak made several false statements to federal agents about his fraudulent activities and his military service, and that he attempted to obstruct an official proceeding by tampering with a material witness, according to court documents.
The case is being prosecuted by Assistant U.S. Attorney David M. Toepfer following an investigation by the Department of Veterans Affairs Office of Inspector General—Criminal Investigative Division.
West Virginia Man Pleads Guilty in Two Western PA Pharmacy RobberiesRead the Press Release
PITTSBURGH - A resident of Fairmont, West Virginia, pleaded guilty in federal court to charges of conspiracy to commit robbery of a pharmacy, robbery of a pharmacy, brandishment of a firearm in relation to a crime of violence, and possession with the intent to distribute Schedule II controlled substances, Acting United States Attorney Soo C. Song announced today.
Dana Lee Shipley, 51, pleaded guilty to four counts before Senior United States District Judge Donetta W. Ambrose.
In connection with the guilty plea, the court was advised that on March 11, 2016, Palmer's Pharmacy located in Russellton, (Allegheny County) Pennsylvania, was robbed by two individuals armed with firearms and wearing masks. The suspects stole approximately 10,000 dosage units of prescription drugs, including Oxycodone and Fentanyl, with an estimated street value of approximately $235,000. As a result of their comprehensive and extensive investigation, the Drug Enforcement Administration (DEA) and West Deer Police Department developed a general description of at least one suspect.
On April 28, 2016, Keystone Pharmacy located in New Alexandria Boro, (Westmoreland County) Pennsylvania, was robbed by two individuals wearing masks. One suspect had a gun and the other had pepper spray. The assailants placed employees on the ground and handcuffed them. Investigators determined that between 15,000 - 20,000 dosage units were stolen. Noting the similarities between both robberies, DEA then coordinated its investigation with that of the Pennsylvania State Police to identify and arrest the individuals in question. After locating and interviewing one suspect, agents secured a full confession. Immediately thereafter, the other suspect, Dana Shipley, was identified and arrested. When he was arrested, Shipley had a backpack containing a large amount of pills, money from the New Alexandria robbery and both masks used in the New Alexandria robbery. Shipley also had a .32 caliber firearm used in the commission of the crime concealed in his pocket. Shipley has an extensive criminal history and had recently been released from prison after serving time for armed robbery.
Judge Ambrose scheduled sentencing for October 2, 2017. The law provides for a maximum total sentence of twenty years in prison, a fine of up to $250,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Pending sentencing, Judge Ambrose ordered that the defendant remain detained.
Assistant United States Attorney Shanicka L. Kennedy is prosecuting this case on behalf of the government.
The Drug Enforcement Administration, the Pennsylvania State Police and the West Deer Township Police Department conducted the investigation leading to the prosecution of Shipley.
Wareham Man Pleads Guilty to Cocaine TraffickingRead the Press Release
BOSTON – A Wareham man pleaded guilty today in federal court in Boston in connection with trafficking cocaine.
Aaron Mott-Frye, 27, pleaded guilty to conspiracy to distribute cocaine and possession of cocaine with the intent to distribute. U.S. District Court Chief Judge Patti B. Saris scheduled sentencing for Sept. 28, 2017.
Mott-Frye was a cocaine supplier to Christopher Wilkins and Christian Chapman, members of the Nauti-Block gang that operated on Cape Cod. On June 14-15, 2016, Mott-Frye distributed cocaine to a cooperating witness.
Christian Chapman and Christopher Wilkins previously pleaded guilty to heroin trafficking charges, amongst other crimes, and will be sentenced on July 12, 2017, and Aug. 16, 2017, respectively. Denzel Chisholm, who is alleged to have been a leader of the Nauti-Block gang, and co-defendant Molly London, have pleaded not guilty to the charges against them and are scheduled for trial on June 5, 2017.
The charges provide for a sentence of no greater than 20 years in prison, three years to life of supervised release and a fine of up to $1 million. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
Acting United States Attorney William D. Weinreb; Mickey D. Leadingham, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms & Explosives, Boston Field Division; Michael J. Ferguson, Special Agent in Charge of the Drug Enforcement Administration, Boston Field Division; Cape and Islands District Attorney Michael O’Keefe; and Barnstable Police Chief Paul MacDonald, made the announcement today. Assistant U.S. Attorneys Eric S. Rosen and Miranda Hooker of Weinreb’s Narcotics and Money Laundering Unit are prosecuting the case.
The details contained in the charging documents are allegations. The remaining defendants are presumed to be innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Two Men Sentenced for Trafficking in FirearmsRead the Press Release
St. Thomas, USVI – Mohammed Jubran, 27, of St. Thomas, was sentenced today to 21 months in prison, and co-defendant, Raji Yusuf, 30, of Puerto Rico, was sentenced to 27 months in prison, both for trafficking in firearms, Acting United States Attorney Hewlett announced. District Court Judge Curtis V. Gomez also sentenced each of the two men to serve three years of supervised release, pay a $100 special assessment, and perform 350 hours of community service.
On November 8 and 18, 2016, Jubran and Yusuf pleaded guilty to trafficking in firearms. According to the plea agreements, between October 15, 2015 and February 10, 2016, Yusuf provided an AK-47 to Jubran that Jubran sold to an individual in St. Thomas. Neither Jubran nor Yusuf is a federally licensed firearms dealer, and neither is licensed under Virgin Islands law to possess firearms.
This case was a joint investigation by the Federal Bureau of Investigation, the U.S. Drug Enforcement Administration and the Bureau of Alcohol, Tobacco, Firearms and Explosives. It was prosecuted by Assistant United States Attorney Sigrid Tejo-Sprotte.
Thomas Allan Scarbrough Sentenced to 70 Months in Prison for Possessing Child PornographyRead the Press Release
KNOXVILLE, Tenn. - On May 17, 2017, Thomas Allan Scarbrough, 46, of Rockwood, Tennessee, was sentenced by the Honorable Leon Jordan, Senior U.S. District Judge, to serve 70 months in prison for possession of child pornography. Upon his release from prison, Scarbrough will serve 10 years under the supervision of the U.S. Probation Office. Additionally, pursuant to the federal Sex Offender Registration and Notification Act, he will be required to register as a sex offender anywhere he resides, is employed, or is a student.
Following an undercover investigation, a federal search warrant was obtained to seize computers in Scarbrough’s possession. A forensic examination of his computer revealed that he possessed a large cache of digital child pornography that he had downloaded from the Internet. In addition to his prison sentence and supervised release outlined above, Judge Jordan ordered Scarbrough to forfeit his computer and pay $4,500.00 to the victims whose images were found on the computer.
This case was brought as part of Project Safe Childhood (PSC), 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, PSC 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 PSC, please visit www.usdoj.gov/psc. For more information about internet safety education, please visit www.usdoj.gov/psc and click on the tab “resources.”
The Federal Bureau of Investigation, Knoxville Police Department’s Internet Crimes Against Children Task Force and U.S. Postal Inspection Service conducted this investigation. Assistant U.S. Attorney Matthew T. Morris represented the United States.
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Tampa Man Pleads Guilty to Theft and Identity Theft for Selling Stolen Tax Refund ChecksRead the Press Release
Tampa, FL – Acting United States Attorney W. Stephen Muldrow announces that Giday Kidane (34, Tampa) has pleaded guilty to theft of government property and aggravated identity theft. He faces a maximum penalty of 10 years in federal prison for the theft count and a mandatory consecutive term of two years in federal prison for the aggravated identity theft count.
According to the
plea agreement , between November 2016 and January 2017, Kidane, posing as “Anwar,” sold and offered to sell stolen U.S. Treasury checks to a Confidential Informant (CI) in exchange for half of the face value in cash. On one occasion, Kidane presented the CI with two stolen U.S. Treasury checks for sale: one for $4,583, and a second check for $20,679. The pair agreed that the CI would pay Kidane $7,200 for both checks, plus an additional amount after the larger check had been successfully deposited.This case was investigated by the Internal Revenue Service - Criminal Investigation. It is being prosecuted by Assistant United States Attorneys Mandy Riedel and Eric Gerard.
Tad Cummins Indicted by Federal Grand JuryRead the Press Release
A federal grand jury sitting in Nashville, Tenn. today, returned a two- count indictment charging Tad Cummins, 50, of Columbia, Tenn., with transporting a minor across state lines for the purpose of engaging in criminal sexual conduct and obstruction of justice, announced Acting U.S. Attorney Jack Smith of the Middle District of Tennessee
Cummins was initially charged in a criminal complaint on April 20, 2017, after being located in Cecilville, Calif. with the 15-year-old female victim. As alleged in the complaint, Cummins and the 15-year old had been the subject of a nationwide search by law enforcement, after leaving the Columbia, Tenn. area on March 13, 2017.
Cummins was served with an arrest warrant by FBI agents on Friday, April 21, 2017, while in the custody of the Siskiyou County, Calif. Sheriff. He appeared before a U.S. Magistrate in Sacramento, Calif. on April 24, 2017, and waived a detention hearing and was ordered transferred to the Middle District of Tennessee for further proceedings.
Cummins was returned to the Middle District of Tennessee on May 9, 2017, and appeared for a preliminary and detention hearing before U.S. Magistrate Judge Barbara Holmes on May 12, 2017. Cummins was ordered to be held in custody to await action by the grand jury.
If convicted, Cummins faces a mandatory minimum sentence of 10 years in prison, up to life.
This case was investigated by the FBI and the Tennessee Bureau of Investigation. The case is being prosecuted by Assistant U.S. Attorneys Phillip Wehby and Sara Beth Myers.
An indictment merely an accusation. The defendant is presumed innocent unless and until proven guilty in a court of law.
Surgical Practice Office Manager Sentenced to 3 ½ Years in Prison for $1 million Theft from EmployerRead the Press Release
BIRMINGHAM – A federal judge on Wednesday sentenced the office manager of a Birmingham surgical practice to more than three years in prison for stealing from her employer and ordered her to repay nearly $1 million. Acting U.S. Attorney Robert O. Posey, FBI Special Agent in Charge Roger C. Stanton and Internal Revenue Service, Criminal Investigation, Acting Special Agent in Charge James E. Dorsey.
U.S. District Court Judge Karon O. Bowdre sentenced ANNTWINE MOSS, 51, of Bessemer, to three years and five months in prison on five counts of wire fraud and four counts of tax evasion for stealing from Thoracic and Cardiovascular Surgery of Alabama between 2006 and 2013. Moss pleaded guilty to the charges early last year.
Judge Bowdre ordered Moss to pay $987,375 in restitution to the practice and to forfeit the same amount to the government as proceeds of illegal activity.
“Businesses necessarily depend on their management and accounting personnel to act honestly and safeguard the financial health of the company,” Posey said. “Moss violated this trust and helped herself to $1 million that should have supported the surgical practice.”
“Anntwine Moss’ actions can be appropriately described as deceitful and motivated by greed,” Dorsey said. “She compromised her integrity and enriched herself at the expense of her employers. Moss chose the life of theft and fraud and now she has to face her punishment.”
“Ms. Moss misused her trusted position of authority to steal from her employer and enrich herself, and now she pays the price for her greed,” Stanton said.
Moss’ boyfriend at the time, ANTHONY T. MICHAEL, 43, of Jackson, Miss., pleaded guilty in March to conspiracy, bank fraud and aggravated identity theft charges in the case. According to his plea agreement, he is to pay about $1.2 million in restitution and forfeit that same amount. Michael’s sentencing is scheduled July 12 before U.S. District Court Judge Madeline H. Haikala.
- to court documents, Moss stole from the surgical practice by using her authority as office manager to write unauthorized checks to herself and to Michael, make unauthorized direct deposits into her account, and use the company's credit cards for unauthorized personal purchases. Moss had authority over several key functions at the surgical practice including payroll, accounting, bookkeeping and managing the office's budget. She falsified her personal tax returns for several years by failing to report to the IRS the illicit income she stole from the practice.
The FBI and IRS investigated the case, which Assistant U.S. Attorney Xavier O. Carter Sr. is prosecuting.
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Superseding Indictment Handed Down in Alternatives Living, Inc. for Conspiracy and Theft of Federal FundsRead the Press Release
Acting U.S. Attorney Duane A. Evans announced that RICKEY ROBERSON, age 47, and ADA CRAIGE-ROBERSON, age 43, both of New Orleans, were indicted today in a twelve-count Superseding Indictment for conspiracy and theft of federal funds.
According to the Superseding Indictment, from at least 2009 to the present, ROBERSON and CRAIGE-ROBERSON operated Alternatives Living, Inc., a non-profit that received federal funds from the United States Department of Housing and Urban Development (HUD) in the form of Community Development Block Grants (CDBG). Alternatives Living provided affordable housing to the elderly, families who were homeless, and individuals suffering from mental disabilities. As a condition to receiving federal funds, Alternatives Living agreed to comply with applicable rules and regulations governing the manner and use of the CDBG funds. Applicable program rules, including OMB Circular No. A-122, prohibited the use of CDBG funds for entertainment purposes (i.e., social activities and tickets to shows and sporting events), fundraising, personal tuition costs, and costs of goods or services for personal use. Rules allowed reimbursement for travel costs and conferences only if those costs were related to the mission of the organization and consistent with those costs normally allowed.
Count 1 of the Superseding Indictment alleges that beginning at a time unknown, but prior to in or around January 2009 and continuing through July 2015, in the Eastern District of Louisiana and elsewhere, ROBERSON and CRAIGE-ROBERSON, and others did knowingly and willfully combine, conspire, confederate, and agree to embezzle, steal or knowingly convert to their own use or the use of another, any money or thing of value of the United States or of any department or agency thereof in excess of $1,000. Some of the conduct charged in Count 1 includes allegations that ROBERSON and CRAIGE-ROBERSON conspired to use federal funds to pay their children’s cellular phone charges, personal travel, satellite radio, concert tickets, medical bills for their children, cruise tickets, repairs to a personal Cadillac Escalade and Audi TT, and pet expenses. The Superseding Indictment alleges that the defendants stole more than $110,000.00 in federal funds directed to Alternatives Living, Inc.
Count 2 charges ROBERSON with using federal funds to purchase a 2011 New Orleans Saints season ticket package totaling more than $1,000.
Counts 3 through 12 allege that ROBERSON and CRAIGE-ROBERSON used federal funds for specific personal expenses including:
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2012 Carnival Cruise costs, totaling $1,395;
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their daughter’s Sprint cellular phone bill, totaling $5,735;
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a 2012 New Orleans Hornets season ticket package, totaling $4,554.80;
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a 2012 New Orleans Saints season ticket package, totaling $3,804;
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expenses related to a 2012 fundraiser aboard the Creole Queen totaling $12,430;
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repairs to their personal vehicle, an Audi TT, totaling $1,914;
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repairs to their personal vehicle, a Cadillac Escalade, totaling $3,300;
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a 2013 New Orleans Saints season ticket package, totaling $3,804;
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a 2013 New Orleans Pelicans season ticket package, totaling, $1,560; and
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expenses related to a 2013 fundraiser aboard the Creole Queen, totaling $1,560.
If convicted of the conspiracy to steal federal funds alleged in Count 1 of the Superseding Indictment, ROBERSON and CRAIGE-ROBERSON face a maximum penalty of 5 years imprisonment, a maximum fine of $250,000 and a special assessment of $100.00. ROBERSON, who is charged with theft of federal funds in Count 2, faces a maximum penalty of 10 years imprisonment, a maximum fine of $250,000 and a special assessment of $100.00. ROBERSON and CRAIG-ROBERSON, are charged with theft of federal funds in Counts 3 through 12, each face a maximum penalty of 10 years imprisonment, a maximum fine of $250,000 and a special assessment of $100.00 as to each count.
Acting U.S. Attorney Evans reiterated that the Superseding Indictment is merely a charge and that the guilt of the defendants must be proven beyond a reasonable doubt. U.S. District Judge Kurt D. Engelhardt set trial for August 28, 2017.
Acting U.S. Attorney Evans praised the work of the Federal Bureau of Investigation, the United States Department of Housing and Urban Development, Office of Inspector General, and the Office of State Inspector General for investigating this matter and thanked the Louisiana Legislative Auditor’s Office for its assistance. Assistant U. S. Attorneys Sharan E. Lieberman and Brian M. Klebba, both of the Fraud Section, are in charge of the prosecution.
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Stockton Woman Sentenced to over 3 Years in Prison in Credit Card Fraud and Identity Theft SchemeRead the Press Release
SACRAMENTO, Calif. — Sequoia Valverde, 33, of Stockton, was sentenced today by U.S. District Judge Troy L. Nunley to three years and one month in prison for conspiracy to commit credit card fraud in connection with a scheme aimed at Target REDcard account holders across the United States, U.S. Attorney Phillip A. Talbert announced.
According to court documents, between March 2014 and September 2014, Valverde and eight co-conspirators operated a scheme to make and use unauthorized access devices, primarily Target department store’s REDcard. Valverde and others stole victims’ personal identification information through various methods and used that information to create REDcard accounts and manufacture credit cards with magnetic strips. They used the credit cards to buy large amounts of electronics, prepaid gift cards, and other goods at Target locations throughout the Sacramento area, Northern California, and elsewhere. During the conspiracy, Valverde personally conducted at least 69 fraudulent transactions using the account information of at least 32 victims.
In all, more than 300 counterfeit and unauthorized access devices were created and over 1,000 victims have been identified to date as having had their identities compromised as a result of the conspiracy. The conspiracy resulted in more than $248,000 in losses. Six of Valverde’s eight co-defendants have pleaded guilty and await sentencing.
This case is the product of an investigation by the United States Postal Inspection Service and the Stockton Police Department. Assistant United States Attorneys André M. Espinosa and Rosanne L. Rust are prosecuting the case.
Springfield Man Sentenced to 50 Years for Producing Child PornographyRead the Press Release
SPRINGFIELD, Mo. – Tom Larson, Acting United States Attorney for the Western District of Missouri, announced that a Springfield, Mo., man was sentenced in federal court today for producing and distributing child pornography.
Christopher Peck, 40, of Springfield, was sentenced by U.S. District Judge M. Douglas Harpool to 50 years in federal prison without parole. Peck was sentenced to 30 years for producing child pornography, which is the statutory maximum penalty, and to a consecutive 20 years for receiving and distributing child pornography, which is also the statutory maximum penalty. The court also sentenced Peck to a term of supervised release for the rest of his life following incarceration.
Peck, who pleaded guilty on Nov. 17, 2016, admitted that he used two minors, identified in court documents as Jane Doe #1 and John Doe #1, to produce child pornography between Nov. 1, 2014, and Jan. 8, 2016. Peck also admitted that he received and distributed child pornography during that time.
Co-defendant Tracy Ann Smith, 42, of Springfield, was sentenced to 50 years in federal prison without parole on Dec. 20, 2016.
Smith pleaded guilty on May 10, 2016, to one count of the sexual exploitation of a child and one count of receiving and distributing child pornography. Smith admitted that she used a minor, identified in court documents as Jane Doe #1, to produce child pornography between Nov. 1, 2014, and Jan. 8, 2016. Smith also admitted that she received and distributed child pornography during that time.
This case was prosecuted by Assistant U.S. Attorney James J. Kelleher. It was investigated by the Springfield, Mo., Police Department and the FBI.
Project Safe Childhood
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc . For more information about Internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
Springfield Man Sentenced for Meth ConspiracyRead the Press Release
SPRINGFIELD, Mo. – Tom Larson, Acting United States Attorney for the Western District of Missouri, announced that a Springfield, Mo., man was sentenced in federal court today for his role in a conspiracy to distribute large quantities of methamphetamine.
Jeffrey L. Hatch, 47, of Springfield, was sentenced by U.S. District Judge M. Douglas Harpool to 12 years in federal prison without parole.
On Oct. 18, 2016, Hatch pleaded guilty to participating in the drug-trafficking conspiracy that lasted from June 1, 2013, to Nov. 29, 2014. Hatch also pleaded guilty to possessing a firearm in furtherance of a drug-trafficking crime.
Beginning in 2012, the Drug Enforcement Administration, assisted by other agencies, investigated a large-scale methamphetamine distribution network in southwest Missouri involving several sources of supply. The investigation resulted in the indictment of 28 co-defendants.
Law enforcement officers executed a search warrant at Hatch’s residence on April 24, 2014, following two drug transactions between Hatch and a confidential source. Officers found approximately 131 grams of methamphetamine in the residence and $1,000 in Hatch’s wallet. Officers also found a Springfield Armory semi-automatic 9mm handgun in a safe, along with drug paraphernalia.
Hatch admitted that he purchased methamphetamine from Daniel Harmon, who was indicted in the Eastern District of Missouri and pleaded guilty to possessing methamphetamine with the intent to distribute and to being a felon in possession of a firearm. After Daniel Harmon’s arrest, Hatch purchased methamphetamine from his co-defendant and Harmon’s wife, Kenna Harmon, who has pleaded guilty to being a leader in the drug-trafficking conspiracy as well as a money-laundering conspiracy and to being a felon in possession of a firearm.
On May 22, 2014, another undercover drug transaction was made by a confidential source who purchased 27 grams of methamphetamine from Hatch for $1,300.
On May 28, 2014, Hatch was arrested during a traffic stop in the parking lot of a Springfield hotel. He was carrying a ziplock bag containing methamphetamine and $1,390. Officers also searched his hotel room and found additional baggies of methamphetamine and drug paraphernalia. In total, officers seized 18 grams of methamphetamine from Hatch that day.
In total, the Harmon drug-trafficking organization was responsible for the distribution of over 45 kilograms of methamphetamine. According to court documents, Hatch purchased ¼ to ½ pounds of methamphetamine per day from the Harmon drug-trafficking organization and during the course of the conspiracy, approximately 150 grams of methamphetamine were seized from him.
This case is being prosecuted by Assistant U.S. Attorneys Randall D. Eggert, Nhan D. Nguyen and Cynthia J. Hyde. It was investigated by the Drug Enforcement Administration, IRS-Criminal Investigation, the Missouri State Highway Patrol, the Springfield, Mo., Police Department and Immigration and Customs Enforcement's (ICE) Homeland Security Investigations (HSI).
Sex Trafficker ConvictedRead the Press Release
BATON ROUGE, LA – Acting United States Attorney Corey R. Amundson announced that UDRAKA ROBERTS-BEY, age 26, of New Orleans, Louisiana, pled guilty yesterday before U.S. District Judge Shelly D. Dick to conspiring to engage in sex trafficking of a minor, in violation of Title 18, United States Code, Section 1594(c).
During yesterday’s guilty plea hearing, ROBERTS-BEY admitted that, in June 2016, he conspired with others to knowingly provide, maintain, and solicit a 15-year-old to engage in commercial sex acts. He specifically admitted to having arranged on multiple occasions for the minor victim to engage in commercial sex acts with individuals who offered to pay for the sex acts. He also admitted to transporting the minor victim from Baton Rouge to New Orleans and then back to Baton Rouge to make the minor victim available to engage in commercial sex acts.
A federal grand jury indicted ROBERTS-BEY in July 2016. The indictment resulted from a coordinated federal, state, and local law enforcement operation involving representatives of the Middle District of Louisiana Human Trafficking Task Force who had identified ROBERTS-BEY’s prostitution enterprise and successfully rescued the victim from a Baton Rouge hotel.
Acting U.S. Attorney Amundson stated, “Human trafficking serves as a reminder of the evil and dangers that exist in our world. Predators who engage in such activity in this district should count on facing the unrelenting and aggressive attention of my office, state prosecutors, the FBI, the U.S. Department of Homeland Security, and our other federal, state, and local law enforcement partners. Through the Middle District of Louisiana Human Trafficking Task Force, our coordinated efforts will continue to focus on rescuing victims and ensuring that justice is done in whatever venue – federal or state – will ensure the most appropriate outcome.”
FBI Special Agent-in-Charge Jeff Sallet stated, “Human trafficking, particularly involving juveniles, is a heinous crime targeting the most vulnerable among us. The FBI will continue to work with our federal, state and local partners to identify, target and stop those engaged in exploiting children.”
This matter is being handled by the U.S. Attorney’s Office for the Middle District of Louisiana, the FBI New Orleans Division, East Baton Rouge Sheriff’s Office, and Louisiana State Police, with assistance from the East Baton Rouge District Attorney’s Office and U.S. Department of Homeland Security – Homeland Security Investigations. This case is being prosecuted by Assistant United States Attorney Paul L. Pugliese.
Sacramento Man Sentenced to Nearly 3 Years in Prison for Failing to Register as a Sex OffenderRead the Press Release
SACRAMENTO, Calif. — Timothy Donald Fialdini, 52, of Sacramento, was sentenced today by U.S. District Judge Morrison C. England Jr. to two years and 11 months in prison, followed by three years of supervised release, for failure to register as a sex offender, U.S. Attorney Phillip A. Talbert announced.
According to court documents, in August 2015, Fialdini moved to Sacramento from the state of Nevada and intentionally did not register as a sex offender under the Sex Offender Registration and Notification Act (SORNA) as was required based on his multiple convictions in Nevada for open and gross lewdness. Among the convictions, in 2009, Fialdini was convicted of committing sexual battery upon a female victim and an intentional sex act in public.
On November 30, 2015, Fialdini indecently exposed himself to an adult female in Sacramento. On March 8, 2016, Fialdini was arrested in a Sacramento County park by deputy U.S. Marshals with the assistance of state and local law enforcement.
This case was the product of an investigation by the U.S. Marshals Service and the Sacramento County Sheriff’s Sex Assault Felony Enforcement (SAFE) Team. The SAFE Team is a multi-agency task force operating in Northern California that monitors sex offenders and conducts investigations regarding sex offender registration violations. Assistant U.S. Attorney Michelle Rodriguez prosecuted the case.
Roman Sentenced to Life Plus 80 Years in Prison Following Conviction for Killing Local Law Enforcement Officer Engaged in Performance of Official DutiesRead the Press Release
SALT LAKE CITY – Roberto Miramontes Roman, 44, an armed drug dealer who boasted he would kill a law enforcement officer to stay out of jail, will serve life plus 80 years in federal prison for killing a deputy sheriff in Millard County during a traffic stop in 2010 . U.S. District Chief Judge David Nuffer imposed the sentence Thursday morning in Salt Lake City. Roman was in the country illegally. He reentered the country illegally after having been previously convicted of felony drug offenses and deported.
“Deputy Sheriff Fox sacrificed her life trying to keep our country safe, and we must never forget that. I am grateful to the investigators and prosecutors who brought her killer to justice no matter how long it took. This case also demonstrates that we must enforce the rule of law along our southwest border, and confront the scourge of drug trafficking,” said Attorney General Jeff Sessions. “During this National Police Week, and every day of the year, we must continue to stand behind our brave law enforcement officers, who do a dangerous job day in and day out.”
“An illegal-alien drug dealer, who killed a deputy sheriff to avoid prosecution for federal offenses, is a threat to our communities that cannot be overstated,” U.S. Attorney John W. Huber said. “The United States Attorney’s Office will use every resource at our disposal to protect and deliver justice for those who honorably serve as law enforcement officers in our state. These crimes clearly merit the lifetime of imprisonment imposed by Chief Judge Nuffer today, and will ensure this defendant will never again have the opportunity to victimize our communities. Deputy Josie Greathouse Fox faithfully and bravely performed her law enforcement duties. During this National Police Week and always, may we remember her and others like her who have offered the ultimate sacrifice on our behalf.”
“Several organizations worked tirelessly to achieve justice for Deputy Fox. It is immensely satisfying to know that ATF could help put her killer behind bars for the remainder of his life,” said ATF Special Agent in Charge Debora Livingston. “Although today’s sentence cannot possibly fill the hole left by Deputy Josie Fox’s senseless death, I sincerely wish her family, friends, and colleague can find peace and resolution going forward.”
“The sentencing today of Roberto Roman for the murder of Josie Greathouse Fox and related crimes comes at the end of a taxing seven-year journey. Throughout all of these years, our thoughts have never turned from her, her family, or her community. None of us will ever be completely the same,” Millard County Sheriff Robert Dekker said. “First and foremost, we recognize this justice as justice served for Josie. We are extremely grateful to the United States Attorney’s Office and the federal prosecution team that so diligently chose to task themselves with this labor of respect and professionalism. The long-sought closing of this chapter now provides for more peaceful recollections of our time together with Josie. She will never be forgotten.”
Millard County Deputy Sheriff Josie Greathouse Fox stopped Roman on a rural road in Millard County for suspicion of drug trafficking on Jan. 5, 2010. He had just sold methamphetamine and was armed with a handgun and a semi-automatic rifle. To avoid apprehension, Roman shot and killed Deputy Fox. She is the first female law enforcement officer in Utah to be killed in the line of duty.
A federal grand jury returned an 11-count indictment in September 2013 charging Roman with three drug trafficking crimes, intentionally killing a local law enforcement officer to avoid apprehension for a felony drug crime, one count of possession of a firearm in furtherance of a drug trafficking offense, two counts of carrying a firearm during and in relation to a drug trafficking offense, and one count of use, carry and discharge of a firearm during and in relation to a crime of violence. Roman was also charged with possession of firearms by a restricted person, possession of firearms by a person unlawfully in the United States and illegally reentering the country after a previous deportation.
Prior to trial, Roman elected to plead guilty to possession of firearms by a restricted person, possession of firearms by a person unlawfully in the United States and illegally reentering the country after a previous deportation. A jury found him guilty of the remaining eight counts following a trial earlier this year.
Roman faced a guideline range of life imprisonment for intentionally killing a local law enforcement officer engaged in the performance of her official duties. He also faced consecutive mandatory minimum sentences totaling 80 years for the four charges involving possession of or carrying a firearm in furtherance of a drug trafficking offense and use, carry, and discharge of a firearm during and in relation to a crime of violence. Based on the aggravating circumstances of this case, federal prosecutors recommended Chief Judge Nuffer impose the maximum sentence authorized by law.
Federal prosecutors in the U.S. Attorney’s Office in Salt Lake City prosecuted the case. The case was investigated by the Utah County Sheriff’s Office and special agents of the ATF. The Millard County Sheriff’s Office also contributed to the investigation.
Resident Alien Sentenced to Federal Prison for Iowa-Minnesota Meth ConspiracyRead the Press Release
A man was sentenced May 17, 2017, to more than five years in federal prison for conspiracy to distribute methamphetamine.
Daniel Perez-Heredia, 29, from Worthington, MN received the prison term after a guilty plea on February 15, 2017, to conspiracy to distribute methamphetamine.
At his guilty plea hearing, Perez-Heredia admitted his involvement in a conspiracy that distributed at least 500 grams of mixed methamphetamine which contained at least 150 grams of actual (pure) methamphetamine from 2015 through September 2016 in Minnesota and Iowa. In 2015 and 2016, Perez-Heredia: (1) purchased up to one-ounce quantities of methamphetamine from Rogelio Garcia Jimenez for redistribution; (2) traded marijuana for methamphetamine for redistribution on multiple occasions; (3) sent money (about $1,000 one time) by wire transfer to sources of supply; and (4) often “middled” (distributed) methamphetamine received from another individual to customers.
Perez-Heredia was sentenced in Sioux City by United States District Court Chief Judge Leonard T. Strand. Perez-Heredia was sentenced to 67 months’ imprisonment. A special assessment of $100 was imposed. He must also serve a 4-year term of supervised release after the prison term. Perez-Heredia is being held in the United States Marshal’s custody until he can be transported to a federal prison.
The case was prosecuted by Assistant United States Attorney Shawn S. Wehde and was investigated as part of the Organized Crime Drug Enforcement Task Force (OCDETF) program of the United States Department of Justice through a cooperative effort of the Drug Enforcement Administration; Iowa Department of Narcotics Enforcement; Minnesota Bureau of Criminal Apprehension; South Dakota Division of Criminal Investigation; Buffalo Ridge Task Force; and Internal Revenue Service.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 17-4084. Follow us on Twitter @USAO_NDIA.
Red Lake Man Sentenced to 41 Months in Prison for Violent AssaultRead the Press Release
Acting United States Attorney Gregory G. Brooker announced the sentencing of DREW WILLIAM GRAVES, 29, to 41 months in federal prison for a violent assault committed on the Red Lake Indian Reservation. GRAVES, who pleaded guilty on December 29, 2016, was sentenced on May 17, 2017, before Senior Judge Paul A. Magnuson in U.S. District Court in
St. Paul, Minn.
According to the defendant’s guilty plea and documents filed in court, on March 25, 2016, GRAVES violently assaulted a female victim within the exterior boundaries of the Red Lake Indian Reservation. GRAVES broke the victim’s arm by slamming a car door on it, threw her to the ground and kicked her several times.
To learn more about the Justice Department’s Tribal Safety program, visit http://www.justice.gov/tribal/.
This case resulted from an investigation conducted by the Red Lake Tribal Police Department and the FBI Headwaters Safe Trails Task Force.
The case was prosecuted by Assistant U.S. Attorney Clifford B. Wardlaw.
Defendant Information:
DREW WILLIAM GRAVES, 29
Red Lake, Minn.
Convicted:
- Assault resulting in serious bodily injury, 1 count
Sentenced:
-
41 months in prison
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Three years of supervised release
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United States Attorney’s Office, District of Minnesota: (612) 664-5600
Queens Man Pleads Guilty to Stealing from the GovnermentRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051ROCHESTER, N.Y.- Acting U.S. Attorney James P. Kennedy, Jr. announced today that Charles Novak, 29, of Queens, NY, pleaded guilty to theft of government money before U.S. District Judge Elizabeth Wolford. The charge carries a maximum penalty of 10 years in prison and a $250,000 fine.
Assistant U.S. Attorney Kyle Rossi, who is handling the case, stated that Novak conspired with others to cash multiple, forged U.S. Postal money orders in the Rochester and Syracuse, NY areas in 2016. The money orders had been altered and fraudulently raised in value from $1.51 to $1,000 each. During the scheme, Novak and others stole more than $48,000 from the United States Postal Service.
The defendant was identified when he presented a forged money order to a clerk at the Jefferson Road Post Office in Henrietta, NY. When a Postal Inspector approached Novak, he fled from the scene. During the ensuing chase, the defendant dropped a cell phone, which Postal Inspectors recovered and searched. The phone was logged on to the defendant’s Facebook account and Postal Inspectors retrieved his name and photograph. Novak was taken into custody in New York City in August 2016.
The plea is the result of an investigation by the United States Postal Inspection Service, under the direction of Inspector-in-Charge Shelly Binkowski of the Boston Division; and the Monroe County Sheriff’s Office, under the direction of Patrick O’Flynn.
Sentencing is scheduled for August 18, 2017, before Judge Wolford.
Pottawattamie County Man Sentenced to 180 Months in Prison for Receipt and Possession of Child PornographyRead the Press Release
COUNCIL BLUFFS, IA - On May 17, 2017heather Jean Reekr, Kevin Timothy Morrissey, a 60 year-old resident of Oakland, Iowa, was sentenced by Chief United States District Court Judge John A. Jarvey to 180 months in prison following his convictions on receipt and possession of child pornography, announced United States Attorney Kevin E. VanderSchel. Morrissey was ordered to serve 10 years of supervised release following his imprisonment and to pay a $15,000 fine.
A jury convicted Morrissey on December 21, 2016, finding him guilty of both counts of receipt and possession of child pornography. In January of 2016, law enforcement discovered, during a routine home visit, Morrissey was accessing the internet in violation of his parole supervision conditions. Subsequent examination of electronic devices seized from Morrissey’s Oakland residence revealed numerous images and one video of child pornography.
The Federal Bureau of Investigation’s Child Exploitation Task Force, Iowa Division of Criminal Investigation - Iowa Internet Crimes Against Children Task Force, Iowa Probation and Parole Office for the 4th Judicial District, and Pottawattamie County Sheriff’s Office conducted the investigation. This case was prosecuted by the United States Attorney’s Office for the Southern District of Iowa.
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Learn more about this release by calling Rachel J. Scherle at 515-473-9300, or by emailing her at [email protected].
Port St. Lucie Resident Sentenced to 30 Months in Prison for Running Fraudulent Tax Preparation BusinessRead the Press Release
A Port St. Lucie resident was sentenced to 30 months in prison, to be followed by one year of supervised release, after pleading guilty to assisting in the preparation of false tax returns and filing false tax returns, in violation of Title 26, United States Code, Sections 7206(2) and (1).
Benjamin G. Greenberg, Acting United States Attorney for the Southern District of Florida, and Kelly R. Jackson, Special Agent in Charge, Internal Revenue Service, Criminal Investigation (IRS-CI), made the announcement.
Dianne Mowatt, 39, of Port St. Lucie, was charged in a fifty-two count indictment with running a fraudulent tax preparation business in order to file fraudulent tax returns on behalf of her clients and for filing false individual returns on her own behalf. She had pleaded guilty to five of the counts on March 6, 2017.
According to the indictment and factual proffer in support of the guilty plea, from tax years 2011 through 2014, Mowatt owned, operated, or otherwise provided services to Mowatt Financial Services and Proven Tax Services, both being tax return preparation businesses located in Port Saint Lucie and Miami, Florida. Mowatt prepared and submitted individual tax returns (Forms 1040), with accompanying schedules, to the IRS on behalf of taxpayers claiming false deductions and credits for tax years 2011 through 2014. Mowatt also filed false individual returns for herself for the tax years 2010 and 2011 by falsely claiming five different people as her dependents.
Mr. Greenberg commended the investigative efforts of IRS-CI. The case was prosecuted by Assistant U.S. Attorney Marton Gyires.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.
Philadelphia Man Charged with Receipt, Distribution and Possession of Child PornographyRead the Press Release
Grant Shea, 30, of Philadelphia, Pennsylvania was charged today by Indictment with receipt, distribution, and possession of child pornography announced Acting United States Attorney Louis D. Lappen. Shea is currently pending trial for the same exact charges which were the result of an earlier Indictment filed on July 14, 2016.
The May 18, 2017 Indictment alleges that on certain dates in the month of January 2017, Shea received and distributed child pornography over the Internet. The Indictment further alleges that on January 30, 2017, Shea possessed child pornography. The alleged criminal activity took place while Shea was on pretrial release.
If convicted the defendant faces a maximum possible sentence 60 years imprisonment, a mandatory minimum term of 5 years, a minimum 5 year term up to lifetime of supervised release, a $750,000 dollar fine, mandatory restitution, and a $300 special assessment, and a Justice for Trafficking Victims additional assessment of $15,000.
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 Federal Bureau of Investigations. The case is being prosecuted by Assistant United States Attorney Priya T. De Souza.
Passaic County, New Jersey, Man Admits Robbing BankRead the Press Release
NEWARK, N.J. – A Passaic County, New Jersey, man today admitted robbing a TD Bank in Hawthorne, New Jersey, in February 2016, Acting U.S. Attorney William E. Fitzpatrick announced.
Robert Somers, 45, of Little Falls, New Jersey, pleaded guilty before U.S. District Judge Susan D. Wigenton in Newark federal court to an information charging him with one count of bank robbery.
According to documents filed in this case and statements made in court:
On Feb.17, 2016, Somers robbed the TD Bank in Hawthorne, New Jersey, by handing a teller a note that read: “this is a hold up,” and demanding cash. The teller handed Somers cash. Somers demanded more money, and a second teller handed him additional cash. Somers fled the bank in a car driven by another individual.
The bank robbery charge carries a maximum penalty of 20 years in prison and a $250,000 fine or twice the gain to the defendant or loss to any victims. Sentencing is scheduled for Sept. 5, 2017.
Acting U.S. Attorney Fitzpatrick credited special agents of the FBI, under the direction of Special Agent in Charge Timothy Gallagher in Newark; the Hawthorne Police Department, under the direction of Chief Richard McAuliffe; the Pennsylvania State Police, under the direction of Col. Tyree C. Blocker; and the Passaic County Prosecutor’s Office, under the direction of Prosecutor Camelia M. Valdes, with the investigation leading to the charges.
The government is represented by Assistant U.S. Attorneys Jihee G. Suh and Karen D. Stringer of the U.S. Attorney’s Office Criminal Division in Newark.
Defense counsel: Gary Cutler Esq., Newark
Oregon Woman Charged with Embezzling Approximately $300,000 from a Tribal Organization in AlaskaRead the Press Release
Anchorage, Alaska – Acting U.S. Attorney Bryan Schroder announced today that an Oregon woman has been charged with four counts of embezzlement.
Delia Commander, 63, of Oregon, is charged in a four-count indictment with embezzling approximately $300,000 from the Skagway Traditional Council, which is a federally recognized tribal organization.
According to Assistant U.S. Attorney Aunnie Steward, who presented the case against Delia Commander to the grand jury, from at least 2010 to 2014, the defendant embezzled approximately $300,000 from the Skagway Traditional Council. During that time, Commander was the Tribal Administrator. Commander embezzled the money by using the tribal credit card to make unauthorized cash advances at casinos and other locations, and by making unauthorized purchases with tribal funds. The purchases included paying for personal travel, online university courses, personal vehicle maintenance, and personal shopping, among other things.
The law provides for a maximum sentence of 10 years in prison and a $250,000 fine or both. Under federal sentencing statutes, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
The Department of Interior Office of Inspector General, assisted by the FBI, conducted the investigation leading to the indictment in the case.
An indictment is only a charge and is not evidence of guilt. A defendant is presumed innocent and is entitled to a fair trial at which the government must prove guilty beyond a reasonable doubt.