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28 June 2017
Federal Inmate Charged with Possessing Illegal SubstanceRead the Press Release
CORPUS CHRISTI, Texas - A 41-year-old inmate at the Three Rivers Correctional Institution has been charged with possessing a prohibited object in prison, announced Acting U.S. Attorney Abe Martinez.
A grand jury returned the one-count indictment against Alejandro Corredor today. He is expected to make his initial appearance before a U.S. magistrate judge in the near future.
The indictment alleges Corredor, of Kansas City, Missouri, possessed Suboxone, which is a prohibited object and controlled substance used to treat pain. He had been incarcerated at the prison following his conviction for his role in one of the largest cocaine trafficking rings in the Kansas City area. He was serving a 30-year-prison sentence.
If convicted of the new charges, Corredor faces up to 20 years in federal prison.
The FBI conducted the investigation. Assistant U.S. Attorney Hugo R. Martinez is prosecuting the case.
An indictment is a formal accusation of criminal conduct, not evidence.
A defendant is presumed innocent unless convicted through due process of law .
FBI Special Agent Indicted for Making False Statements and Obstruction of JusticeRead the Press Release
PORTLAND, Ore. – A federal grand jury in Portland has charged W. Joseph Astarita, a member of the FBI’s Hostage Rescue Team (HRT) based in Quantico, Va., with three counts of making false statements and two counts of obstruction of justice. Astarita was one of a number of FBI agents assigned to the armed occupation of the Malheur National Wildlife Refuge and was present during the shooting of Robert LaVoy Finicum on January 26, 2016, in Harney County, Oregon.
The indictment alleges that Astarita knowingly and willfully made false statements to FBI Supervisory Special Agents, knowing that the statements were false and material to the FBI’s decision not to investigate the propriety of an agent-involved shooting. Specifically, Astarita falsely stated he had not fired his weapon during the attempted arrest of Mr. Finicum when he knew he had in fact fired his weapon. Astarita also knowingly engaged in misleading conduct toward Oregon State Police officers by failing to disclose that he had fired two rounds during the attempted arrest.
Astarita was arraigned on June 28, 2017, in Portland. He entered pleas of not guilty to each county and was released pending future appearances.
An indictment is only an accusation of a crime, and a defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.
This case was investigated by the Department of Justice Office of the Inspector General in partnership with the United States Attorney’s Office for the District of Oregon.
A copy of the federal indictment is available via the following link.
Elmira Man Pleads Guilty to Threatening WitnessRead 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 Isaiah L. McLaurin, 27, of Elmira, NY, pleaded guilty to witness tampering before Chief U.S. District Judge Frank P. Geraci, Jr. The charge carries a maximum penalty of 20 years in prison and $250,000 fine.
Assistant U.S. Attorney Brett A. Harvey, who is handling the case, stated that on May 17, 2017, the defendant made threats against an individual that he believed was cooperating in a drug investigation in the Elmira area. McLaurin intended to prevent that person from testifying and providing information to law enforcement authorities about the drug trafficking organization.
On May 16, 2017, four individuals—Robert Ian Thatcher, Maximillian Sams, Dwayne Banks, and Carlito Rios, Jr.—were arrested and charged in a federal criminal complaint with various drug trafficking and firearms offenses including conspiracy to possess with intent to distribute, and to distribute, quantities of furanyl fentanyl, a Schedule I controlled substance, and U-47700, a Schedule I controlled substance.
On May 16, 2017, an article about the arrests and investigation was published on the website for the Star Gazette, the local newspaper in Elmira. The article was entitled “Four face federal charges in Elmira drug investigation.” A digital copy of the complaint and supporting affidavit were also published on the Star Gazette’s website with the article. In the supporting affidavit, certain confidential sources were referenced by anonymous designations (including “CC-1” and “CS-2”).
The following day, May 17, 2017, a member of law enforcement observed a series of public Facebook comments related to the investigation described in the article on a Facebook page bearing the user name “Isaiah Mclaurin” and a profile picture of Isaiah L. McLaurin. One post stated: Isaiah Mclaurin
Facts somebody better have this N**** in protective custody cause if he thinks he can just pick his daughter up from school and everything’s gonna be ok. He got it coming
In these Facebook posts, McLaurin publicly identified the individual – referred to as Individual A – that he believed is one of the confidential sources referenced in the complaint against Thatcher, Sams, Banks, and Rios, and threatened both Individual A and Individual A’s child.
The plea is the result of an investigation by the Drug Enforcement Administration, under the direction of Special Agent-in-Charge James J. Hunt, New York Field Division; the New York State Police, under the direction of Major Richard Allen; the Elmira Police Department, under the direction of Chief Joseph Kane; Immigration and Customs Enforcement, Homeland Security Investigations, under the direction of Special Agent-in-Charge James C. Spero; the Bureau of Alcohol, Tobacco, Firearms and Explosives, under the direction of Special Agent-in-Charge Ashan Benedict, New York Field Division; and the Pennsylvania State Police, under the direction of Commissioner Colonel Tyree C. Blocker.Sentencing is scheduled for September 28, 2017, at 3:00 p.m. before Chief Judge Geraci.
El Departamento de Justicia Resuelve una Denuncia de Discriminacion Relacionada con la Inmigración Contra Panda ExpressRead the Press Release
WASHINGTON, D.C. – El Departamento de Justicia anunció hoy que ha llegado a un acuerdo con Panda Restaurant Group, Inc. (Panda Express), una cadena de restaurantes con más de 1.800 locales en los Estados Unidos. El acuerdo resuelve la investigación del Departamento para determinar si Panda Express discriminó a trabajadores que no eran ciudadanos de los EE. UU. al reverificar su permiso para trabajar, en contravención de la ley de Inmigración y Nacionalidad (INA, por sus siglas en inglés).
La investigación del Departamento concluyó que Panda Express tuvo el requisito innecesario de que trabajadores que eran residentes permanentes legales reestablecieran su autorización para trabajar al vencerse sus tarjetas de residencia mientras que no solicitaron las mismas cosas de sus trabajadores que eran ciudadanos de los EE. UU. cuando los documentos de estos vencieron. Asimismo, la investigación reveló que Panda Express requirió, de forma rutinaria, que otros trabajadores no ciudadanos de los EE. UU. presentasen documentos migratorios para reverificar su autorización ininterrumpida para trabajar, a pesar de tener ya pruebas de que los mismos ya habían aportado suficiente documentación. La disposición antidiscriminatoria de la INA prohíbe tales solicitudes de documentos cuando las mismas se basan en el estatus de ciudadanía de un trabajador o en su nacionalidad de origen.
Al amparo del acuerdo, Panda Express pagará sanciones civiles que ascienden a $400.000 a los Estados Unidos, establecerá un fondo de pagos retroactivos de $200.000 para compensar a aquellos trabajadores que perdieron sueldo a causa de las prácticas de la empresa, capacitará a su personal de recursos humanos acerca de los requisitos de la disposición antidiscriminatoria de la INA y se someterá a la supervisión y requisitos de declaración del Departamento.
«Los empleadores deben asegurar que sus prácticas de reverificación cumplen con las leyes que protegen a los trabajadores de la discriminación», declaró el Fiscal General Auxiliar en funciones Tom Wheeler, de la División de Derechos Civiles. «El Departamento de Justicia felicita a Panda Express por su cooperación durante la investigación y por haberse comprometido a compensar a los trabajadores que hayan perdido sueldo por motivos de sus prácticas documentales».
Cualquier trabajador que no sea ciudadano de los EE. UU. y que cuente con autorización para trabajar y que perdió sueldo en Panda Express entre el 31 de mayo del 2014 y el 28 de junio del 2017 como resultado de las prácticas documentales de Panda Express pueden ser elegibles para recibir pagos retroactivos por el sueldo que habrían ganado. Para más información, mande un correo electrónico a [email protected].
La Sección de Derechos de Inmigrantes y Empleados (IER, por sus siglas en inglés), que anteriormente se conocía como la Oficina del Consejero Especial para Prácticas Injustas en el Empleo Relacionadas a Inmigración, que pertenece a la División, es responsable de aplicar la disposición antidiscriminatoria de la INA. Entre otras cosas, esta ley prohíbe la discriminación por motivos de estatus migratorio, ciudadanía o nacionalidad de origen en los procesos de contratación, despido o reclutamiento o recomendación por comisión; la discriminación en el proceso de verificación de la elegibilidad para trabajar; las represalias y la intimidación.
Para más información sobre protecciones contra la discriminación en el empleo en virtud de las leyes migratorias, llame a la línea directa de la IER para trabajadores al 1‑800‑255-7688 (1‑800-237-2515, TTY para personas con discapacidades auditivas); llame a la línea directa de la IER para empleadores al 1-800-255-8155 (1-800-237-2515, TTY para personas con discapacidades auditivas); matricúlese para un seminario en línea gratuito; mande un correo electrónico a [email protected] o visite la página web de la IER en inglés o español.
Aquellos postulantes o empleados que creen haber sido sometidos a otros requisitos documentales por motivos de su estatus migratorio, ciudadanía o nacionalidad de origen, o a la discriminación por motivos de su estatus migratorio, ciudadanía o nacionalidad de origen en los procesos de contratación, despido o reclutamiento o recomendación por comisión deben llamar a la línea directa de la IER para trabajadores para pedir ayuda.
Download Panda Express Settlement Agreement
Eight Associated with La Familia Cartel Sentenced to Federal Prison for Roles in Austin-Based Meth Trafficking OperationRead the Press Release
In Austin today, a judge sentenced to federal prison eight members of a drug trafficking cell associated with the LaFamilia cartel operating primarily in Austin and San Antonio announced United States Attorney Richard L. Durbin, Jr., and Drug Enforcement Administration Special Agent in Charge Joseph M. Arabit, Houston Division.
United States District Judge Lee Yeakel sentenced: Oscar Maldonado, age 32 of Austin, to 78 months imprisonment; Julio Rogel, age 20 of Austin, to 88 months imprisonment; Jose Duenas, age 35 of Austin, to 60 months imprisonment; Jorge Arellano, age 36 of Austin, to 88 months imprisonment; Javier Jaimes, age 28 of Austin, to 72 months imprisonment; Javier Alvarez, age 26 of San Antonio, to 57 months imprisonment; Jaime Carbajal, age 26 of Austin, to 42 months imprisonment; and, Hugo Rodriguez, age 31 of Austin, to 70 months imprisonment. Three additional members of the conspiracy are scheduled to be sentenced at a later date before Judge Yeakel.
According to court records, from December 2015 until September 2016, the defendants were responsible for receiving and distributing in both Austin and San Antonio large amounts of methamphetamine that had been smuggled into the United States from Mexico.
During the investigation, agents recovered 75 kilograms of methamphetamine, nine kilograms of cocaine, and approximately $175,000 in U.S. Currency attributed to this organization.
The investigation was conducted by the High Intensity Drug Trafficking Area (HIDTA) unit in Austin comprised of the Drug Enforcement Administration (DEA), Federal Bureau of Investigation (FBI), Texas Department of Public Safety, Cedar Park Police Department, Austin Police Department and the Hays County Sheriff’s Office. Assistant United States Attorney Dan Guess is prosecuting this case on behalf of the Government.
Dominican Man Indicted for Federal Tobacco Excise FraudRead the Press Release
HARRISBURG – The United States Attorney’s Office for the Middle District of Pennsylvania announced today that Jose Dominguez, age 52, a resident of the Dominican Republic, was indicted by a federal grand jury with conspiracy to defraud the United States in relation to federal tobacco excise taxes.
According to United States Attorney Bruce D. Brandler, Dominguez was owner of Victor Sinclair Cigars, a cigar manufacturer located in the Dominican Republic. The indictment alleges that beginning in 2009 through 2012, Dominguez conspired with an importer of large cigars based in East Stroudsburg, Pennsylvania, to evade the excise taxes imposed on the importation of Victor Sinclair manufactured cigars. Dominguez and the importer allegedly used fraudulent invoices to collect federal excise taxes from cigar retailers in the United States. Dominguez conspired with the importer to collect approximately $3.8 million in excise taxes. Of this amount, Dominguez and his co-conspirators, only payed $2.1 million to the government. Dominguez and the importer obtained approximately $1.8 million as a result of the scheme.
The case was investigated by the Department of Treasury, Alcohol and Tobacco Tax and Trade Bureau. Assistant U.S. Attorney Joseph J. Terz is prosecuting the case.
Indictments are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
The maximum penalty under federal law is five years of imprisonment, a term of supervised release following imprisonment, and a fine. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant's educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
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Distributor of Counterfeit Medications ArrestedRead the Press Release
HOUSTON – A 47-year-old woman appeared in federal court today for allegedly smuggling a counterfeit corticosteroid known as Diprospan into the United States and trafficking the misbranded and counterfeit drug through a store known as Naturavida, announced Acting U.S. Attorney Abe Martinez.
The criminal complaint alleges that Carolina Aguilar Rodriguez aka “Doctora” sold the counterfeit Diprospan to undercover federal agents on at least five occasions. According to the charges, Rodriguez was not licensed to dispense prescription medications in Texas, and Naturavida was not licensed as a Texas pharmacy. Rodriguez allegedly made a deal to sell 100 vials of Diprospan to an undercover federal agent in May and accepted a $1,200 deposit. However, the complaint alleges she subsequently pulled out of the deal after a police raid on another supplier.
The criminal complaint alleges the drugs came from El Salvador. Diprospan is not approved for use or sale in the United States and is not manufactured in the United States.
Immigration and Custom’s Enforcement’s Homeland Security Investigations, U.S. Food and Drug Administration - Office of Criminal Investigations and the Houston Police Department conducted the investigation. Assistant U.S. Attorney Julie Redlinger is prosecuting the case.
A criminal complaint is a formal accusation of criminal conduct, not evidence.
A defendant is presumed innocent unless convicted through due process of law.
Corpus Christi Man Charged with Possession of Child PornographyRead the Press Release
CORPUS CHRISTI, Texas – A 66-year-old Corpus Christi man has been indicted on charges of possession of child pornography, announced Acting U.S. Attorney Abe Martinez.
A grand jury returned an indictment against Bruce Harold Hendler today. He was originally arrested June 1, 2017, upon the filing of a criminal complaint. He later appeared before U.S. Magistrate Jason B. Libby, at which time he was ordered into custody pending further criminal proceedings. He is expected to make his initial appearance on the indictment in the near future.
According to the criminal complaint, Hendler was observed acting suspiciously with a child at a local church and contacted authorities. The investigation led to a search warrant conducted on his digital devices on which forensic analysis identified more than 2,000 images of child pornography, according to the charges.
If convicted, Hendler faces up to 20 years in federal prison as well as maximum fine of $250,000 fine. Upon completion of any prison term imposed, he also faces a maximum lifetime term of supervised release and he will be required to register as a sex offender.
The Corpus Christi Police Department – Internet Crimes Against Children Task Force and Immigration and Custom’s Enforcement’s Homeland Security Investigations conducted the investigation.
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."
An indictment is a formal accusation of criminal conduct, not evidence.
A defendant is presumed innocent unless convicted through due process of law .
Convicted felon sentenced to over 100 months in prisonRead the Press Release
Mathew Scott Grover, 28, of Nampa, Idaho was sentenced to a total of 102 months in Federal prison yesterday for violating conditions of supervised release and committing two new crimes: unlawful possession of ammunition and possession with intent to distribute methamphetamine, Acting U.S. Attorney Rafael Gonzalez announced. The Court sentenced Grover to 78 months of imprisonment for the new crimes and an additional 24 months of imprisonment for the supervised release violations. Grover was ordered to pay a fine of $750 and a $200 special assessment. Following his term of imprisonment, Grover will have to serve three years of supervised release. Grover pleaded guilty to the charges on March 20, 2017.
According to court documents, on October 5, 2016 Nampa Police Officers conducted a traffic stop on Grover near the intersection of Orchard Avenue and Midland Boulevard in Nampa, Idaho. Grover was arrested on a federal warrant for violating supervised release in a prior case, which involved convictions for conspiracy to participate in a racketeering enterprise and unlawful possession of a firearm. Later that day, United States Probation Officers, with the assistance of Nampa Police, searched the defendant’s residence in Nampa. Officers located $4,709 in cash and a plastic bag containing 42.09 grams of actual methamphetamine. Additionally, in the garage, officers found seven rounds of shotgun ammunition.
Grover had been previously investigated and convicted of conspiracy to participate in a racketeering enterprise and unlawful possession of a firearm in 2012. At the time, he was a member of the Brown Magic Clicka gang.
This case was investigated by the United States Probation Office, Bureau of Alcohol, Tobacco, Firearms and Explosives and the Treasure Valley Metro Violent Crime Task. The Treasure Valley Metro Violent Crime Task Force is comprised of federal, state and local agencies, including the Federal Bureau of Investigation; Bureau of Alcohol, Tobacco, Firearms and Explosives; Boise Police Department; Ada County Sheriff’s Office; Caldwell Police Department; Nampa Police Department; Meridian Police Department; Canyon County Sheriff’s Office; and Idaho Department of Probation and Parole.
Colorado Man Sentenced in New Mexico for Failing to Update Sex Offender RegistrationRead the Press Release
ALBUQUERQUE – Michael Pawletzki, 35, of Lakewood, Colo., was sentenced yesterday in federal court in Albuquerque, N.M., to 36 months in prison followed by five years of supervised release for violating the Sex Offender Registration and Notification Act (SORNA). Pawletzki will be required to register as a sex offender after completing his prison sentence.
SORNA, also known as the Adam Walsh Protection and Safety Act, requires that a convicted sex offender register in each jurisdiction where the offender resides, where the offender is employed, or where the offender is a student, and that the sex offender maintain current registrations.
Pawletzki was charged by indictment on Nov. 17, 2015, with violating SORNA by failing to update his sex offender registration. On July 1, 2016, Pawletzki pled guilty to a felony information charging him with failing to update his registration from Dec. 2014 through Nov. 2015, in Valencia County, N.M.
This case was investigated by the U.S. Marshals Service and was prosecuted by Assistant U.S. Attorney Raquel Ruiz-Velez.
Buffalo Woman Sentenced on Fentanyl 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 Brittney Ridgeway, 29, of Buffalo, NY, who was convicted of conspiracy to possess with intent to distribute, and to distribute, fentanyl, was sentenced to time served (approximately 16 months) in prison by U.S. District Richard J. Arcara.
Assistant U.S. Attorney Timothy C. Lynch, who handling the case, stated that during the course of the conspiracy, the defendant and her boyfriend, Dellsean Hamilton, sold heroin and fentanyl in the Buffalo and Cheektowaga areas. On March 25, 2015, Cheektowaga Police officers recovered $2,315 in cash and 145 envelopes containing almost four grams of fentanyl following a traffic stop of a vehicle in which Ridgeway and Hamilton were riding.
Subsequent investigation determined that Hamilton was a large volume heroin supplier in Buffalo and the surrounding area and Ridgeway assisted him in the distribution of the heroin and fentanyl. Hamilton was arrested on January 11, 2016, also on distribution charges. Following Hamilton’s arrest, law enforcement officers learned that Ridgeway continued to distribute heroin. Officers made controlled purchases of fentanyl from Ridgeway on February 4 and February 11, 2016.
Hamilton was also convicted and is scheduled to be sentenced on August 28, 2017.
Today’s sentencing 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.
Broward County School District Employee Sentenced to Three Years in Prison for Obstructing Drug InvestigationRead the Press Release
Today, a Broward County School District employee was sentenced by U.S. District Judge Donald M. Middlebrooks to three years in prison for obstructing a drug investigation.
Benjamin G. Greenberg, Acting U.S. Attorney for the Southern District of Florida, and George L. Piro, Special Agent in Charge, Federal Bureau of Investigation (FBI), Miami Field Office, made the announcement.
Porsha Session, 31, of Boynton Beach, Florida, previously pled guilty to obstructing an official proceeding, in violation of Title 18, United States Code, Section 1512(c)(2).
According to the court record, federal, state and local law enforcement agencies were investigating drug trafficking and other criminal offenses in Lauderhill, Florida. Session’s relative was one of the detectives from the Lauderhill Police Department assigned to the Lauderhill investigation. During the course of the Lauderhill investigation, law enforcement, including the defendant’s relative, received information, including details from a confidential informant, regarding individuals involved with drug trafficking, and vehicles used by and telephone numbers associated with, members of the criminal enterprise. Session obtained information provided to her relative concerning the Lauderhill investigation. Session, while working as an employee of the Broward County School District, then made a series of telephone calls to a target of the drug trafficking investigation and warned the individual that he/she and other persons were being monitored by law enforcement. Session also warned the target that an inside source, an informant, was providing details of the criminal enterprise to law enforcement. As a result of Session’s disclosure, the target changed his/her telephone number in an attempt to avoid detection by law enforcement and the confidential informant was moved for his/her safety.
Mr. Greenberg commended the FBI, U.S. Immigration and Customs Enforcement’s Homeland Security Investigations, Drug Enforcement Administration, Lauderhill Police Department, and Sunrise Police Department for their investigative assistance with this matter. This case was prosecuted by Assistant U.S. Attorney Jeffrey N. Kaplan.
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.
Bronx Man Sentenced to 65 Years in Prison for 2013 Double MurderRead the Press Release
Joon H. Kim, the Acting United States Attorney for the Southern District of New York, announced that ORANE NELSON, a/k/a “Amaze,” 28, was sentenced this morning in Manhattan federal court to a prison term of 65 years for murdering Jennifer Rivera and Jason Rivera on January 16, 2013, in the Bronx, in connection with a dispute over a drug debt, as well as for narcotics conspiracy and firearms possession charges. At the time of the murders, Jennifer Rivera was 20 years old, and Jason Rivera was 30. NELSON was sentenced by U.S. District Judge Denise L. Cote, who presided over a two-week jury trial earlier this year at which NELSON was convicted on all counts in the controlling indictment.
Acting Manhattan U.S. Attorney Joon H. Kim said: “Orane Nelson executed two people in cold blood, including a young woman who was murdered simply because she was a witness to Nelson’s crimes. For his terrible crime, Nelson has been sentenced to 65 years in federal prison. Although this prosecution and sentence will not bring the victims back to their families, we and our law enforcement partners at the FBI and the NYPD hope that it brings some measure of justice to them.”
According to court papers and evidence admitted at trial:
From 2011 to 2013, ORANE NELSON, a/k/a “Amaze,” was a crack dealer in the Bronx who also carried guns to protect his drug business. In January 2013, NELSON had a dispute with Jason Rivera over a drug debt owed by NELSON. Following the dispute, NELSON decided to murder Jason Rivera, and lured Jason Rivera out to a location in the Bronx with the promise of money to be paid for the debt owed. Jason Rivera brought along his cousin, Jennifer Rivera, who was not involved in any drug trafficking activities, to pick up the money promised by NELSON. Shortly after midnight, NELSON and an accomplice entered Jason Rivera’s vehicle, and minutes later executed both Jason Rivera and Jennifer Rivera by shooting them each in the head at close range. Jennifer was killed because she was a witness to the murder of Jason Rivera.
Acting U.S. Attorney Kim praised the FBI and the NYPD for their outstanding work in this investigation.
The case is being prosecuted by the Office’s Violent and Organized Crime Unit. Assistant U.S. Attorneys Jared Lenow and Jessica Feinstein are in charge of the prosecution.
Bristow Woman Sentenced to 24 Months Probation, $6,500 Restitution for Theft of Mail by Postal EmployeeRead the Press Release
MUSKOGEE, OKLAHOMA – The United States Attorney’s Office for the Eastern District of Oklahoma announced that RITA LOUISE FALL, age 37, of Bristow, Oklahoma, was sentenced to 2 years probation for THEFT OF MAIL BY POSTAL EMPLOYEE, in violation of Title 18, United States Code, Section 1709. Restitution in the amount of $6,500.00 was also ordered by the court.
The Indictment alleged that beginning on or about, August 19, 2016, and continuing through on or about August 29, 2016, within the Eastern District of Oklahoma, the Defendant, a United States Postal Service employee, did willfully, knowingly and intentionally steal and remove a package entrusted to her and which came into her possession to be conveyed by mail while performing her assigned duties as an employee of the United States Postal Service.
The charge arose from an investigation by the United States Postal Service Office of Inspector General.
The Honorable Ronald A. White, District Judge in the United States District Court for the Eastern District of Oklahoma, in Muskogee, presided over the hearing.
Assistant United States Attorney Shannon Henson represented the United States.
Bristol Man Sentenced to Prison for Distributing Heroin to Overdose VictimRead the Press Release
Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that KEITH ATWATER, 36, of Bristol, was sentenced today by U.S. District Judge Vanessa L. Bryant in Hartford to 12 months of imprisonment, followed by five years of supervised release, for distributing heroin that led to an overdose.
This matter stems from an ongoing statewide initiative targeting narcotics dealers who distribute heroin, fentanyl or opioids that cause death or serious injury to users.
According to court documents and statements made in court, on August 2, 2016, Bristol Police and medical personnel responded to a report of a medical emergency at a residence in Bristol. At the residence, they encountered an unresponsive 31-year-old male and pronounced him deceased shortly thereafter. Officers located and seized five empty wax folds that had contained suspected heroin, and other narcotics paraphernalia.
The investigation revealed that ATWATER had distributed the heroin consumed by the victim.
On August 23, 2016, investigators conducted a controlled purchase of heroin from ATWATER.
ATWATER was arrested on September 14, 2016. On that date, officers seized from him an additional quantity of heroin packaged for distribution.
On December 27, 2016, ATWATER pleaded guilty to one count of possession with intent to distribute heroin.
ATWATER who had been released on bond, was remanded to custody the conclusion of today’s court proceeding.
This matter was investigated by the Drug Enforcement Administration’s New Haven Tactical Diversion Squad and the Bristol Police Department. The Tactical Diversion Squad includes participants from the New Haven, Hamden, Greenwich, Shelton, Bristol, Vernon, Wilton, Milford, Monroe and Fairfield Police Departments, and the Connecticut State Police. The case was prosecuted by Assistant U.S. Attorney Amy C. Brown.
Boston Police Sergeant Detective Charged with Making False StatementsRead the Press Release
BOSTON – A Boston Police Sergeant Detective was charged today in federal court in Boston with repeatedly making false statements so that he could fly armed on personal trips and enable a friend to fly with him without being screened by security personnel at Boston’s Logan International Airport.
Bruce E. Smith, 53, of Randolph, was charged in a criminal complaint with making false statements to the Transportation Security Administration (TSA) and the Department of Homeland Security, as well as with unlawfully entering a secure airport area with intent to evade security requirements. Smith is scheduled to appear today at 2:30 p.m. before U.S. District Court Magistrate Judge Jennifer C. Boal.
According to court documents, Smith has been employed with the Boston Police Department (BPD) since 1989 and is currently a Sergeant Detective assigned to District E-13, Jamaica Plain, as a district detective supervisor.
The complaint alleges that between April 2011 and April 2017, Smith flew armed on approximately 28 separate trips departing from Logan Airport even though he was not on official business, which is a violation of federal law. On each of those trips, he falsely claimed to have obtained supervisor approval for his travel. On at least two of them, Smith also escorted or attempted to escort a friend, Leroy Ross, through Logan Airport without security screening. Smith falsely claimed that Ross was a “dignitary” under Smith’s official police escort. When questioned by TSA security personnel as to what type of dignitary Ross was, Smith falsely replied, “I am not at liberty to divulge that information.” In fact, Ross, who has a criminal record, is not a dignitary, but a mobile HIV clinic operator in Randolph. According to the complaint, Smith also fraudulently requested and received overtime pay for an intelligence meeting/event in Boston that he did not attend because he was on personal travel in North Carolina.
The charging statutes provide for a sentence of no greater than 10 years in prison, three years of supervised release, and a fine of up to $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, Boston Police Commissioner William Evans, and Mark Tasky, Special Agent in Charge of the Department of Homeland Security, Office of Inspector General, Washington Field Office, made the announcement today. The investigation was conducted jointly by BPD’s Anti-Corruption Division and DHS-OIG. The case is being prosecuted by Assistant U.S. Attorney Zachary R. Hafer of Weinreb’s Public Corruption and Special Prosecutions Unit.
Austin Pilot Pleads Guilty to Transporting Marijuana in His PlaneRead the Press Release
In Austin, 64–year-old pilot Wayne Douglas Brunet faces up to 20 years in federal prison after pleading guilty this afternoon to possession with intent to distribute between 50 and 100 kilograms of marijuana announced United States Attorney Richard L. Durbin, Jr., and Homeland Security Investigations (HSI) Special Agent in Charge Shane Folden, San Antonio Division.
On March 20, 2017, state authorities arrested Brunet at the Llano (TX) Municipal Airport after discovering approximately 206 pounds of hydroponic marijuana on board his aircraft. According to court records, HSI agents were prepared to interdict Brunet as he attempted to land at an unmanned airport in Bulverde (TX). The Department of Homeland Security Customs and Border Protection (CBP) Air and Marine Operation Center (AMOC) began tracking his single-engine plane after observing that it had a suspicious flight pattern from Medford, OR, to Texas and had landed only once in Holbrook, AZ, to refuel.
Brunet landed at the unmanned airport in Bulverde, but departed again after spotting authorities on the ground. Brunet then proceeded to the Lago Vista (TX) airport, but again, aborted his landing as he did in Bulverde when encountered by law enforcement. Brunet then proceeded to the Llano Municipal Airport where he landed at approximately midnight. After bringing the aircraft to a stop, Brunet attempted to flee on foot, but was apprehended on the tarmac by the Texas Department of Public Safety Air Unit. Authorities recovered 15 duffle bags filled with vacuum-sealed packages of marijuana along with approximately $5,400 in U.S. Currency.
Brunet remains in federal custody awaiting sentencing. No date has been set yet.
HSI agents conducted this investigation together with assistance from CBP AMOC, Texas Department of Public Safety Air Unit and the Llano County Sheriff’s Office. Assistant United States Attorney Matthew Devlin is prosecuting this case on behalf of the Government.
Albuquerque Man Pleads Guilty to Federal Heroin and Crack Trafficking ChargesRead the Press Release
ALBUQUERQUE – Christopher Garcia, 42, of Albuquerque, N.M., pled guilty on June 26, 2017, in federal court to drug trafficking charges. The plea agreement recommends that Garcia be sentenced to a term of imprisonment within the range of 180 to 240 months if the court determines that he is a career offender, and within the range of 120 to 150 months if the court determines that he is not.
Garcia was arrested on Dec. 3, 2015, on a four-count indictment charging him with drug trafficking offenses. The indictment was superseded on March 16, 2016, to include two additional charges. The superseding indictment charged Garcia with distributing heroin and crack cocaine on Aug. 7, 2015; distributing heroin on Aug. 11, 2015 and Sept. 10, 2015; possessing heroin with intent to distribute on Dec. 3, 2015; and distributing marijuana on Dec. 3, 2015. According to the superseding indictment, Garcia committed the offenses in Bernalillo County, N.M.
During the June 26, 2017, proceedings, Garcia pled guilty to three counts of distributing heroin, one count of distributing crack cocaine, and one count of possessing heroin with intent to distribute. In entering the guilty plea, Garcia admitted committing the following drug trafficking crimes:
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Selling approximately 49.6 grams of heroin and 23.96 grams of crack cocaine to an individual working with law enforcement on Aug. 7, 2015;
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Selling approximately 76.3 grams of heroin to an individual working with law enforcement on Aug. 11, 2015;
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Selling approximately 148.8 grams of heroin to an undercover law enforcement agent on Sept. 10, 2015; and
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Possessing approximately 200 grams of heroin at a relative’s house on Dec. 3, 2015, which he intended to distribute to others.
This case was investigated by the Albuquerque Division of the FBI, New Mexico Corrections Department, the Bernalillo County Sheriff’s Department and the HIDTA Regional Interagency Drug Task Force/Metro Narcotics Task Force. The case is being prosecuted by Assistant U.S. Attorneys in the U.S. Attorney’s Las Cruces Branch Office under a federal anti-violence initiative that targets “the worst of the worst” offenders for federal prosecution. Under this initiative, the U.S. Attorney’s Office and federal law enforcement agencies work with New Mexico’s District Attorneys and state, local and tribal law enforcement agencies to target violent or repeat offenders primarily based on their prior criminal convictions for federal prosecution with the goal of removing repeat offenders from communities in New Mexico for as long as possible.
The HIDTA Regional Interagency Drug Task Force/Metro Narcotics Task Force is comprised of officers from the Las Cruces Police Department, the Doña Ana County Sheriff’s Office, the FBI, HSI and the New Mexico State Police. The High Intensity Drug Trafficking Areas (HIDTA) program was created by Congress with the Anti-Drug Abuse Act of 1988. HIDTA is a program of the White House Office of National Drug Control Policy (ONDCP) which provides assistance to federal, state, local and tribal law enforcement agencies operating in areas determined to be critical drug-trafficking regions of the United States and seeks to reduce drug trafficking and production by facilitating coordinated law enforcement activities and information sharing.
The case also is being prosecuted 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.
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Albuquerque Man Pleads Guilty to Federal Bank Robbery ChargeRead the Press Release
ALBUQUERQUE – Randy K. Lovett, 34, of Albuquerque, N.M., pled guilty today in federal court to a bank robbery charge under a plea agreement with the U.S. Attorney’s Office.
Lovett was arrested in April 2017, on a criminal complaint charging him with robbing the Bank of America located at 7644 Jefferson St. NE, in Albuquerque, on April 19, 2017. According to the complaint, Lovett robbed the Bank of America by handing a bank teller a note in which he claimed to have a gun, demanded money, and informed the teller she had 30 seconds to comply. Lovett subsequently was indicted on May 9, 2017, on a bank robbery charge.
During today’s proceedings, Lovett pled guilty to the indictment. In his plea agreement, Lovett admitted presenting a demand note to a bank teller with a message that was intended to intimidate and threaten the teller into complying with his demand. The note stated that Lovett was armed and demanded cash in denominations of $50 and $100 bills.
At sentencing, Lovett faces a maximum penalty of 20 years in federal prison. Lovett remains in custody pending a sentencing hearing, which has yet to be scheduled.
This case was investigated by the Albuquerque office of the FBI and the Albuquerque Police Department. Assistant U.S. Attorney Howard Thomas is prosecuting the case.
22-Members and Associates of California’s Grape Street Crips and Memphis’ Peda Roll Mafia and Individuals with Ties to Mexican Cartel were Indicted on Federal Drug Trafficking ChargesRead the Press Release
Memphis, TN – Twenty-two members and associates of the Grape Street Crips/The Peda Roll Mafia were charged by a federal grand jury with multiple drug and money laundering offenses. Lawrence J. Laurenzi, Acting U.S. Attorney for the Western District of Tennessee, announced the unsealing of the two federal-indictments today.
The indictments allege that seventeen of the defendants are members of, or associated with, the Memphis Peda Roll Mafia, a local street gang that distributes multiple types of illegal drugs in and around the Memphis area. Law enforcement first identified the gang operating around the Bella Vista Apartment complex in Memphis. The indictment further alleges that Fred McCaster Jr., a/k/a/ the "Original Gangster," directs the activities of the Memphis gang. John Shields, O.B. Hildson, Ivory Tripplett Jr., Clyde Wade III, Rayhem Jones, Darrin Beecham, Jeremy Davis and Antonion Fisher are members of the Peda Roll Mafia, while Jerry McMaster, Jeremy Davis, Antonion Fisher and Damion Cox are associated with the Peda Roll Mafia.
Five people named in the indictments reside in California and are members or associates of the Grape Street Crips / Peda Role Mafia, a gang that engages in drug trafficking nationwide. The indictment alleges that Reginald Wright, Sr., Reginald Wright, Jr., Brandon Curcio, Donnell Tousant and Tyrell Chance are members in California. According to court papers filed in Chicago, Eric Avendano is connected to the Mexican cartels. Brothers Eric J. Avendano and Calvin Avendano are U.S. citizens.
During the investigation, law enforcement officials determined that members of the Peda Roll Mafia established a pipeline of illegal drugs throughout the Mid-South area. As members of the Grape Street Crips, they supplied heroin, marijuana, methamphetamine, cocaine and various other pharmaceutical drugs to the Peda Roll Mafia gang who then
distributed the drugs throughout the Western District of Tennessee and the Mid-South area.
The two indictments are the result of an extensive investigation by federal, state and local law enforcement officials into the Peda Roll Mafia, which began in 2013.
Larry Laurenzi, Acting U.S. Attorney, said, "Today’s arrests demonstrate the commitment of law enforcement partners to remove the violent criminal element from the Western District of Tennessee. Gang activity will not be tolerated."
"ATF along with its partners work diligently to protect the public from these senseless acts of violence. ATF will remain vigilant as we engage with the community and foster a safe environment. Support from the public is crucial as the reporting of illegal activity is encouraged through ATF’s report it phone app," said Steve Gerido, Special Agent-In-Charge.
The defendants in custody are:
• Eric J. Avendano, a/k/a "Menace"
• Reginald Wright Jr., a/k/a "Reg" a/k/a "Unc"
• Reginald Wright Sr., • Montrell Ray Bernard, a/k/a "Big Ray" a/k/a/ "Ray"
• Donnell Tousant, a/k/a/ "Don"
• Fred McCaster Jr., a/k/a "Boo Dirty" a/k/a/ "Dirty" a/k/a "OG"
• John Shields, a/k/a "John John" a/k/a "John Juan"
• Ivory Triplett Jr, a/k/a "Woodie" a/k/a "Woodie Grape"
• Jeremy Davis
• Raheym Jones
• Antonio Fisher
• Darrin Beecham
• Lucinda Sanders
• Tameka Joyner McCaster
• Brandon Curcio
• Tonja HoseyAVENDANO INDICTMENT
Count 1 charges Calvin Avendano, Eric Avendano, Montrell Ray Bernard, Donnell Tousant, Tyrell Chance, Fred McCaster, John Shields, O.B. Hildson, Clyde Wade III, Ivory Tripplett Jr., Jeremy Davis and Jerry Sherrod McCaster with conspiracy to possess with the intent to distribute one (1) kilogram of heroin.
Count 2 charges Calvin Avendano, Eric Avendano, Montrell Ray Bernard, Donnell Tousant, Tyrell Chance, Fred McCaster, John Shields, O.B. Hildson, Clyde Wade III, Ivory Tripplett Jr., Jeremy Davis, Jerry Sherrod McCaster, Raheym Jones and Antonio Fisher
with conspiracy to possess with the intent to distribute five (5) kilograms of cocaine.
Count 3 charges Calvin Avendano, Eric Avendano, Montrell Ray Bernard, Donnell Tousant, Tyrell Chance, Fred McCaster, John Shields, O.B. Hildson, Clyde Wade III, Ivory Tripplett Jr., Jeremy Davis, Jerry Sherrod McCaster, Raheym Jones and Antonio Fisher with conspiracy to possess with the intent to distribute 500 grams of methamphetamine.
Count 4 charges Calvin Avendano, Eric Avendano, Donnell Tousant and Clyde Wade III with possession with intent to distribute 500 grams of methamphetamine.
Count 5 charges Calvin Avendano, Eric Avendano and Clyde Wade III with possession with intent to distribute 500 grams of methamphetamine.
Count 6 charges Calvin Avendano, Eric Avendano, John Shields and Jeremy Davis with possession with intent to distribute one (1) kilogram of heroin.
Count 7 charges Calvin Avendano, Eric Avendano and O.B. Hildson with possession with intent to distribute 500 grams of cocaine.
Count 8 charges Calvin Eric Avendano, Montrell Ray Bernard, Tyrell Chance and Fred McCaster with possession with intent to distribute 100 grams of heroin.
Count 9 charges Calvin Avendano, Eric Avendano, Fred McCaster, John Shields, O.B. Hildson, Clyde Wade III, Jeremy Davis, Jerry Sherrod McCaster, Raheym Jones and Antonio Fisher with conspiracy to commit money laundering.
WRIGHT INDICTMENT
Count 1 charges Reginald Wright Jr., Reginald Wright Sr.,Montrell Ray Bernard, Donnell Tousant, Tyrell Chance, Fred McCaster, John Shields, O.B. Hildson, Clyde Wade III, Ivory Tripplett Jr., Jerry Sherrod McCaster, Raheym Jones, Damion Cox, Lucinda Sanders, and Antonio Fisher with conspiracy to possess with the intent to distribute marijuana.
Count 2 charges Reginald Wright Jr., Reginald Wright Sr., Montrell Ray Bernard, Donnell Tousant, Tyrell Chance, Fred McCaster, John Shields, O.B. Hildson, Clyde Wade III, Ivory Tripplett Jr., Jerry Sherrod McCaster, RaheymJones, Damion Cox, Lucinda Sanders, and Antonio Fisher with conspiracy to possess with the intent to distribute hydrocodone.
Count 3 charges Reginald Wright Jr., Reginald Wright Sr., Montrell Ray Bernard, Donnell Tousant, Tyrell Chance, Fred McCaster, John Shields, O.B. Hildson, Clyde Wade III, Ivory Tripplett Jr., Jerry Sherrod McCaster, Raheym Jones, Damion Cox, Lucinda Sanders, and Antonio Fisher with conspiracy to possess with the intent to distribute oxycodone (OxyContin).
Count 4 charges Reginald Wright Jr. and Montrell Ray Bernard with possession with the intent to distribute marijuana.
Counts 5 and 6 charge Reginald Wright Jr. and O.B. Hildson with possession with the intent to distribute marijuana.
Count 7 charges Reginald Wright Jr. and John Shields with possession with the intent to distribute marijuana.
Count 8 charges Reginald Wright Jr. and Lucinda Sanders with possession with the intent to distribute marijuana.
Count 9 charges Reginald Wright Jr., Reginald Wright Sr., Fred McCaster, John Shields, O.B. Hildson, Clyde Wade III, Ivory Tripplett Jr., Jerry Sherrod McCaster, Damion Cox, Lucinda Sanders, Darrin Beecham, Brandon Curcio and Antonio Fisher with, conspiracy to commit money laundering.
Count 10 charges Fred McCaster Jr and Tonja Hosey with, conspiracy to structure currency deposits.
The investigation resulted in the seizure of 11,950 grams of marijuana, 3,270 grams of cocaine, 2,880 grams of heroin, and 3,260 grams of methamphetamine.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF); Drug Enforcement Administration (DEA); U.S. Marshals Service; Multi-Agency Gang Unit; Memphis Police Department; and the Shelby County Sheriff’s Office. Assistant U.S. Attorneys Kevin Whitmore and Mark Erskine are prosecuting this case on the government’s behalf.
The charges and allegations in the indictment are merely accusations, and the defendants are presumed innocent unless and until proven guilty.
27 June 2017
Webster Man Convicted of Receiving Child Pornography VideosRead the Press Release
HOUSTON – A 31-year old resident of Webster has entered a guilty plea to one count of receipt of child pornography and one count of possession of child pornography, announced Acting U.S. Attorney Abe Martinez.
Jake Nicholas Luera came to the attention of law enforcement following an investigation dubbed Operation Back to School in August 2015 which targeted the online solicitation of minors. During the operation, Luera engaged in online chats with an undercover officer posing as a 15-year-old female and drove to a location where he believed he would make sexual contact with her.
Following his arrest, authorities searched his home in Webster. They discovered and seized various items of computer media which a forensic analysis revealed more than 4,000 images and 75 videos of child pornography involving young children engaged in sexually explicit conduct. These videos included children under the age of 12 involved in sadistic conduct, including bondage.
During his plea today, Luera admitted he received and saved the images and videos on multiple storage devices.
U.S. District Judge David Hittner has set sentencing for Sept. 20, 2017. At that time, Luera faces a minimum of five and up to 20 years in federal prison and a possible $250,000 fine. He will remain in custody pending that hearing.
The Houston Metro Internet Crimes Against Children Task Force conducted the investigation at Pearland Police Department in conjunction with Immigration and Customs Enforcement’s Homeland Security Investigations.
This case, prosecuted by Assistant U.S. Attorney Sherri L. Zack, 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."
Wallingford Man Admits to Stealing Bitcoins in Dark Web Phishing SchemeRead the Press Release
Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that MICHAEL RICHO, 35, of Wallingford, waived his right to be indicted and pleaded guilty today in Hartford federal court to fraud and money laundering offenses in connection with a scheme to steal bitcoins in an online phishing scheme.
According to the court documents and statements made in court, RICHO engaged in an online phishing scheme to steal bitcoins from individuals on the dark web. Bitcoins are a form of electronic currency, and online marketplaces on the dark web typically accept them as a payment method.
In pleading guilty, RICHO admitted that he posted fake links to online marketplaces on dark web forums. The links directed individuals to a fake login page that looked like the real login pages for the various online marketplaces. When individuals attempted to log in, RICHO stole his or her username and password. Once he had an individual’s username and password, RICHO monitored the individual’s bitcoin balance at the real marketplace. If the individual later deposited bitcoins with the real marketplace, RICHO withdrew the bitcoins before the individual could spend them and caused the stolen bitcoins to be deposited into his own bitcoin wallet. RICHO then sold the stolen bitcoins to others in exchange for U.S. currency, which was deposited into bank accounts that RICHO controlled or was provided to him through Green Dot Cards, Western Union transfers, and MoneyGram transfers.
In total, RICHO obtained more than $365,000 through his scheme. He also had more than 10,000 stolen usernames and passwords saved on his computer.
RICHO pleaded guilty to one count of access device fraud, an offense that carries a maximum term of imprisonment of 10 years, and one count of money laundering, an offense that carries a maximum term of imprisonment of 20 years. He is scheduled to be sentenced by U.S. District Judge Vanessa L. Bryant on September 28, 2017.
As part of his plea agreement, RICHO has agreed to forfeit various computers and electronic devices, an assortment of precious coins and metals, and up to $365,000.
Since his arrest on October 5, 2016, RICHO has been released on bond with computer monitoring conditions.
This matter is being investigated by the Federal Bureau of Investigation and is being prosecuted by Assistant U.S. Attorney Neeraj N. Patel.
U.S. Attorney's Office to Host Seventh Annual Youth Summit at Friendship Collegiate Academy in Northeast WashingtonRead the Press Release
WASHINGTON – U.S. Attorney Channing D. Phillips, the U.S. Attorney’s Office for the District of Columbia, the D.C. Project Safe Neighborhoods Task Force, and a wide variety of law enforcement and community partners are coming together once again to sponsor their 7th annual “Breaking the Silence on Youth Violence” Youth Summit on Friday, June 30, 2017, at Friendship Collegiate Academy.
At a time when the District of Columbia has been particularly devastated by a nationwide opioid epidemic, and consistent with the Justice Department’s focus on opioid abuse prevention, this year’s summit will focus on this important subject. Expert speakers will explain that heroin and other opioids are highly addictive and dangerous drugs that can lead to death. Other topics at this year’s summit include steps to prevent human trafficking and runaways, and ways in which youth can engage in peaceful protest when responding to issues in their communities.
The event will be filled with dynamic speakers, entertainment, and invaluable information and resources for our youth.
Youths from throughout the District of Columbia are invited to the free program, which will start at 10 a.m. and run until 3 p.m. Friendship Collegiate Academy, 4095 Minnesota Avenue NE, is conveniently located directly across the street from the Minnesota Avenue Metro station in order to provide accessibility for students to attend.
The summit is one of the largest events sponsored by the U.S. Attorney’s Office each year, and has drawn hundreds of youths from throughout the city. The program assembles young people from under-served neighborhoods in the District of Columbia to discuss the most pressing public safety challenges facing their communities. The goal of the program is to reach out to area youth on current public safety topics in an informative and inspiring way.
Numerous partners will be coming together to present the day’s programs. They include the U.S. Attorney’s Office; the D.C. Project Safe Neighborhood Task Force; Friendship Collegiate Academy; the Metropolitan Police Department (MPD); Foundation for a Drug Free World; Amazing Gospel Souls, Inc.; Mayor Barry Youth Leadership Institute; Hillcrest Children and Family Center; Collaborative Solutions for Communities; East of the River Family Support Collaborative; the District of Columbia Department of Parks and Recreation; the District of Columbia Office of the Chief Medical Examiner; the District of Columbia Department of Behavioral Health; Exodus Project; Black and Missing, Inc.; Go Go Fitness, Inc.; Healing Broken Wings, Inc., and the National Center for Missing and Exploited Children.
People with questions or interest in bringing a youth group to the Youth Summit may contact External Affairs Specialist Melanie Howard at the U.S. Attorney’s Office at (202)-252-6930 or [email protected].
Two Men Sentenced to Prison for Using Stolen Account Numbers at Metro East Walmart’sRead the Press Release
This morning, in federal court in East St. Louis, IL, Samirahdam E. Rolley, 25, of Stone Mountain, GA, and Michael A. Gordon, 28, also of Stone Mountain, GA, were both sentenced to more than two years in federal prison for using stolen account numbers at several Southern Illinois Walmarts, United States Attorney Donald S. Boyce announced. Rolley was ordered to serve 26 months in federal prison, followed by four months of home confinement, while Gordon was sentenced to 25 months in prison. The court also ordered both men to pay $19,939.16 in restitution to the victims of their crimes.
In February, both Rolley and Gordon pled guilty to federal charges of using unauthorized access devices, using counterfeit access devices, and aggravated identity theft. At their plea hearings, both Rolley and Gordon admitted that they travelled from Georgia to Southern Illinois in early June 2015. During their trip, Rolley and Gordon had in their possession numerous gift cards. The magnetic strips of these gift cards had been re-encoded with stolen debit card numbers. Some of these debit account numbers were for the accounts of Southern Illinois residents at a local credit union. Rolley and Gordon used the altered gift cards to make purchases at numerous Metro East Walmarts, including the stores in Cahokia, O’Fallon, Belleville, Highland, Wood River, Collinsville, Glen Carbon, Godfrey, Jerseyville, Waterloo, and Carlyle. The purchases made by
Rolley and Gordon were debited to the bank accounts of the victims whose debit account numbers had been embedded on the gift cards.
The investigation was conducted by the Springfield Division, Fairview Heights Resident Agency, of the Federal Bureau of Investigation ("FBI"). Several Metro East police departments assisted the FBI with the investigation. Those include the Carlyle, Collinsville, Glen Carbon, Jerseyville, Waterloo, and Wood River Police Departments, as well as the Madison County Sheriff’s Department. Walmart’s Global Security Department has also provided significant assistance in the investigation. The case was prosecuted by Assistant United States Attorney Scott A. Verseman.
Two Brothers Charged with Sex Trafficking of ChildrenRead the Press Release
CINCINNATI– A federal grand jury has charged two brothers, William Pierce Washington, 36, and William Pierce Washington, Jr., 47, both of Cincinnati, with conspiracy to sex traffic children and sex trafficking of children in an indictment returned in Cincinnati that was unsealed today.
Washington – who is also known as “Bam” – was arrested by the FBI this morning and will appear in federal court at 1:30pm. Washington, Jr. – also known as “Man” – was arrested on June 14, 2017.
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, Sharonville Police Chief Aaron Blasky and other members of the FBI’s child exploitation task force announced the indictment returned June 21.
According to the indictment, Sharonville Police Department officers responded to a motel in Sharonville on April 18, 2017 following the report of a distraught female in the business’s parking lot. The female, a 16-year-old, told officers she had spent several hours in a motel room smoking crack cocaine and engaged in oral sex with an adult male who physically assaulted her.
Contact with the adult male and search of his cell phone revealed sexually explicit photos with the victim and text conversations with Washington about arrangements to coordinate the sexual activity for payment to Washington.
During a forensic interview, the victim told investigators she had run away from a foster home and was living with a relative and the relative’s boyfriend, Washington, at a residence on Kinney Avenue that is owned by Washington, Jr.
While at the residence, Washington allegedly beat and raped the victim. Washington, Jr. acted as the victim’s boyfriend and the victim was allegedly forced to have sex with him.
The victim described several instances where she said she was forced to engage in prostitution, was injected with heroin and forced to smoke crack cocaine. She said she was often beaten and on one occasion had a gun held to her head while being forced to have sex with someone. Every time she was forced to engage in prostitution, Washington and Washington, Jr. allegedly arranged her transportation and had control over the transactions.
Conspiracy to sex traffic a minor is a crime punishable by up to life in prison and sex trafficking of children carries a minimum of 10 years in prison up to life.
U.S. Attorney Glassman commended the investigation of this case by the FBI and Sharonville Police Department, as well as Assistant United States Attorney Kyle J. Healey, who is prosecuting the case.
An indictment merely contains allegations, and the defendant is presumed innocent unless proven guilty in a court of law.
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Twin Sisters Plead Guilty to Conspiracy to Steal U.S. Postage StampsRead the Press Release
Oklahoma City, Oklahoma – BIRDIE JO HOAKS and BECKY JO HOAKS, both 47, of Choctaw, Oklahoma, each pled guilty today to one count of conspiracy to commit theft of postage stamps, announced Mark A. Yancey, United States Attorney for the Western District of Oklahoma.
On May 18, 2017, the Hoaks sisters, who are identical twins, were indicted on one count of conspiracy and one count each of theft of government property. The Indictment alleges that from June 2016 through February 2017, they opened personal checking accounts at various banks, using small cash deposits ranging from $5 to $200. It is alleged that, working together, they wrote dozens of bogus checks – i.e., checks backed by insufficient funds and checks written on closed accounts – at United States post offices and contract postal units throughout the Western District of Oklahoma to obtain thousands of U.S. postage stamps.
The sisters have extensive criminal histories of fraud spanning more than two decades and jurisdictions from New York to California. In May 2007, for example, they were featured in a Chicago Tribune article entitled "The Incredible True-Life (mis)Adventures of the Hoaks Sisters: Deception, Confusion, Theft, Betrayal, Foot Surgery." And in July 2012, Birdie Jo Hoaks was the subject of a Dateline NBC investigative report. These are their first federal criminal convictions.
As part of their pleas, the Hoaks sisters agreed to pay restitution to the United States Postal Service in the amount of $58,958.64 and a combined $3,034.74 to four other victims.
At sentencing, they face up to five years in prison, three years of supervised release, and a $250,000 fine. A sentencing date will be set by the court in approximately 90 days. Reference is made to the Indictment and other public filings for further information.
This case was investigated by the United States Postal Inspection Service. Assistant U.S. Attorney Amanda Maxfield Green is prosecuting the case.
Thirteen Individuals Indicted for Social Security FraudRead the Press Release
SAN JUAN, P.R. - On June 23, 2017, a Federal Grand Jury in the District of Puerto Rico returned nine separate indictments charging 13 individuals with fraud against the Social Security Administration (SSA) disability insurance benefits in Puerto Rico, announced United States Attorney for the District of Puerto Rico, Rosa Emilia Rodríguez Vélez. These cases were investigated by the Social Security-Office of Inspector General (SS-OIG) with the collaboration of Health and Human Services-Office of Inspector General, and the Puerto Rico Police Department.
The SSA is responsible for the implementation of the Disability Insurance Benefits Program. The SSA provides monetary benefits to workers with severe, long-term disabilities, who have worked in SSA covered employment for a required length of time. Spouses and dependent children of disabled workers may also be eligible to receive benefits.
Pursuant to SSA regulations, a claimant must prove to SSA that he or she is disabled by furnishing medical and other evidence with the application. The application and supporting evidence would then be evaluated by SSA to determine the individual’s medical impairments and determine the effect of the impairment on the claimant’s ability to work on a sustained basis.
The nine indictments charge thirteen individuals of theft of government property, concealment or failure to disclose work activity to SSA and false statements or representations to the SSA. These defendants knowingly and willfully embezzled, stole, and converted to their own use the Social Security Disability Insurance Benefit payments to which the defendants knew that they were not entitled.
The defendants and the Social Security Disability Insurance Benefit payments to which they knew they were not entitled to are: Damaris Marrero-Santiago and Isaias Diaz-Torres $254,100.90; Mariluz Rodríguez-Rodríguez and Juan C. Rodríguez-Miranda $82,700.90; Roberto Padilla and Ednali Ramirez-Maldonado $317,083.40; Nancy Serrano-Picón $130,493.20; Edwin Maldonado-Burgos and Consuelo Nuñez-Serrano $72,235.30; Elson Fernández $77,647.50; Arnaldo Ramos-Martir $142,096.40; Minerva Carro-Rivera $311,976.10; and Luis Álvarez-Ramos, a.k.a. “Wichy” $56,207.20. They reported during a Continuing Disability Review (CDR) that the disability beneficiary had not been able to work due to different health conditions, when in truth they were working.
Defendant Nancy Serrano-Picón was also charged with healthcare fraud. As part of her SSA disability benefits, Serrano-Picón became eligible, applied for and received benefits under the Medicare Program. Once a person is receiving SSA disability benefits for 24 months he/she automatically starts receiving Part A of the Medicare Program (hospitalizations) and they become eligible to apply for Part B and C of the Medicare Program. If they decide to apply for Part B and/or C of the Medicare Program, the monthly premium is deducted from their monthly disability benefits.
“This is a great example of ongoing efforts by the Government to deter fraud against the social security programs,” said United States Attorney Rosa Emilia Rodríguez-Vélez. The Department of Justice is committed to investigate and prosecute those who engage in fraudulent schemes. Hopefully this round of arrests will discourage more people from getting involved in these types of schemes, because we will continue investigating these crimes.”
SSA-OIG Special Agent-in-Charge John Grasso said: “Today’s arrests are the latest in our continued and ongoing effort to bring to justice all individuals who commit Social Security Disability Fraud. I am very grateful for the efforts of our law enforcement partners involved in this investigation, and for the continued commitment from the United States Attorney’s Office for the Commonwealth of Puerto Rico to aggressively pursue these important cases. I strongly encourage the public to report suspected instances of Social Security fraud to the OIG’s Fraud Hotline at 1-800-269-0271 or https://oig.ssa.gov/report.”
Special Assistant United States Attorney Vanessa D. Bonano-Rodríguez is in charge of the prosecution of these cases. If convicted, the defendants could face a maximum penalty of 10 years of imprisonment and/or fines of up to $250,000.00. Indictments contain only charges and are not evidence of guilt. Defendants are presumed to be innocent unless and until proven guilty.
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Texas “Mexikan” Mafia Members Sentenced to Long Prison TermsRead the Press Release
CORPUS CHRISTI, Texas – During sentencing hearings that occurred over the course of the last two days, several members of the Texas “Mexikan” Mafia (TMM) have been ordered to significant terms in prison for their roles in a Racketeer Influence Corrupt Organization (RICO) conspiracy, announced Acting U.S. Attorney Abe Martinez. The hearings began yesterday and concluded today before Senior U.S. District Judge John D. Rainey.
Gilberto Garcia, 37, of Corpus Christi ultimately received a sentence of 222 months in federal prison. Juan Felipe Bazan, 45, of Gregory; Rogelio Ramirez, 33, of Corpus Christi, Eusebio Castillo, 37, of Taft, and Roman Jose Zapata II, 33, of Corpus Christi, received respective sentences of 216, 110, 70, and 70 months in prison. Judge Rainey ordered Pedro Gonzales, 42, of Aransas Pass, to serve a 105-month-term, while David Gonzales, 36, of Aransas Pass, will serve 84 months.
All will also serve a three-year-term of supervised release following completion of their sentences.
“The FBI and our law enforcement partners will not allow organized criminal activities to wreak havoc our local communities,” said Special Agent in Charge Perrye K. Turner of the FBI’s Houston Field Office. “We will fight organized crime wherever it may surface and continue to hold accountable those who seek to profit through illegal means.”
All of the defendants were charged in a conspiracy involving underlying criminal activities such as narcotics distribution, extortion and money laundering from Nov. 1, 2013, through May 30, 2014.
Bazan was found to be a captain of the TMM, while Ramirez and Garcia were lieutenants. Pedro Gonzales was a sergeant. The remainder were “soldiers” or associates of TMM.
At a hearing that began last week, Judge Rainey heard testimony regarding the TMM, including its rules, which are included in the TMM “constitution.” The constitution states that the TMM is a criminal organization that deals in drugs, assassination contracts, prostitution, robbery and firearms. It also states that 10 percent of the profits from any business or interest shall be contributed to the organization, which is known as “the dime” and is the TMM’s primary source of income. The TMM collects “the dime” from members, prospective members or sympathizer. TMM members and prospective members often earn their income by threatening individuals with harm if they do not pay the TMM member for protection from other threats or by extorting others who traffic in illegal drugs. TMM members, prospective members and sympathizers also earn their income by trafficking in illegal drugs such as heroin, methamphetamine and cocaine.
Several others were previously sentenced to varying offenses in relation to the case. Their sentences ranged from 18 months to 80 months in federal prison. Other TMM members who have pleaded guilty to the RICO conspiracy include David Joe Maseda Jr., 38, of Houston; Jose Mireles, 34, of Ingleside; Robert Anthony Trevino, 52, Jose Jesus Toledo, 41, Abelardo Pena, 49, all of Victoria; and Bruce Lee Cisneros, 41, of Robstown. They, as well as Daisy Cruz Ortiz, 28, of Aransas Pass, who previously pleaded guilty to conspiring to possess with intent to distribute cocaine base (crack cocaine) with Maseda, are still pending their sentencing hearings.
With the exception of Ortiz, who had been previously released on bond, all have been and will remain in custody pending transfer to U.S. Bureau of Prisons facilities to be determined in the near future.
The FBI; Bureau of Alcohol, Tobacco, Firearms and Explosives; Drug Enforcement Administration; U.S. Marshals Service; Texas Department of Public Safety; Customs and Border Protection; Victoria County Sheriff’s Office; and police departments in Corpus Christi, Port of Corpus Christi, Victoria, Portland, Aransas Pass and Ingleside all assisted in the joint investigation. Assistant U.S. Attorney Michael Hess is prosecuting the case.
Texas Woman Indicted for MethRead the Press Release
KANSAS CITY, Mo. – Tom Larson, Acting United States Attorney for the Western District of Missouri, announced that a Texas woman traveling through Kansas City by bus was indicted by a federal grand jury today after more than five kilograms of methamphetamine was found in one of her bags.
Perla Ayerim Haro, 30, of El Paso, Texas, was charged in an indictment returned by a federal grand jury in Kansas City, Mo. Today’s indictment replaces a federal criminal complaint that was filed against Haro on June 16, 2017.
The indictment alleges that Haro possessed methamphetamine with the intent to distribute on June 15, 2017.
According to an affidavit that was filed in support of the original criminal complaint, law enforcement officers contacted Haro at a Kansas City, Mo., bus terminal on June 15, 2017. Her bus ticket indicated her trip originated in Laredo, Texas for a destination in Minneapolis, Minn. When officers searched a black duffle bag that belonged to Haro, the affidavit says, they found a rolled-up pair of pants that contained a package wrapped heavily in plastic. Officers then arrested Haro and continued searching the bag, the affidavit says, where they found a total of 10 bundles that contained a total of approximately 5.26 kilograms of methamphetamine.
Larson cautioned that the charge contained in this indictment is simply an accusation, and not evidence of guilt.
This case is being prosecuted by Assistant U.S. Attorney Emily A. Morgan. It was investigated by the Drug Enforcement Administration’s Kansas City Interdiction Task Force and the Missouri Western Interdiction Task Force (MoWIN).
Tennessee Doctor and His Wife Sentenced to Prison for Conspiring to Defraud the IRSRead the Press Release
A Brentwood, Tennessee doctor and his wife were sentenced to prison today for conspiring to defraud the Internal Revenue Service (IRS), announced Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division and Acting U.S. Attorney Jack Smith for the Middle District of Tennessee.
Jeff McCoy Jr., 70, and Andra McCoy, 68, were each sentenced to serve 36 months in prison.
According to documents filed with the court, from 2002 through 2014, Jeff and Andra McCoy conspired to defraud the IRS by impeding the collection of their income taxes. The McCoys filed 2003 through 2007 income tax returns with the IRS on which they claimed fake income tax withholding amounts and sought approximately $2,620,208 in fraudulent refunds. They submitted false documents to the IRS and placed their assets in the names of nominees and in nominee bank accounts. For example, they established a bank account for a purported nonprofit business and directed Jeff McCoy’s employer to deposit his income into the nominee account. In addition to seeking fraudulent refunds, the McCoys also failed to pay more than $500,000 in taxes owed for tax years 2001 through 2008, despite earning more than $2 million during that time.
In addition to the term of prison imposed, Jeff and Andra McCoy were also ordered to each serve three years of supervised release and to pay $913,595 in restitution to the IRS. They previously pleaded guilty in March to conspiring to defraud the United States.
Acting Deputy Assistant Attorney General Goldberg and Acting U.S. Attorney Smith commended special agents of IRS Criminal Investigation, who conducted the investigation, and Assistant U.S. Attorney Thomas Jaworski and Trial Attorney Alexander Effendi, who prosecuted the case.
Additional information about the Tax Division and its enforcement efforts may be found on the division’s website.
South Boston Woman Sentenced for Misuse of Social Security NumberRead the Press Release
BOSTON – A South Boston woman was sentenced today in federal court in Boston for using false social security numbers.
Dana Whidbee, a/k/a Dana De Alasei, 53, was sentenced by U.S. District Court Judge Rya W. Zobel to one year and one day in prison and 18 months of supervised release. In May 2017, Whidbee pleaded guilty to two counts of falsely representing a social security number.
In September 2013 and May 2014, Whidbee used two false social security numbers to apply for a job and housing, respectively. Whidbee also used one of the social security numbers to open two bank accounts in 2014.
Acting United States Attorney William D. Weinreb; Scott Antolik, Special Agent in Charge of the Social Security Administration, Office of Inspector General, Office of Investigations, Boston Field Division; Matthew Etre, Special Agent in Charge of Homeland Security Investigations in Boston; and David W. Hall, Special Agent in Charge of the U.S. Department of State, Bureau of Diplomatic Security, Boston Field Office, made the announcement today. Special Assistant U.S. Attorney Karen Burzycki of Weinreb’s Major Crimes Unit prosecuted the case.
Six Aliens Indicted on Illegal Reentry ChargesRead the Press Release
WILMINGTON – John Stuart Bruce, United States Attorney for the Eastern District of North Carolina, announces that a federal grand jury in Raleigh has returned indictments charging JOSE LUIS CRUZ-HERNANDEZ, age 33, of Honduras, LUCIO HERNANDEZ-VARGAS, age 43, of Mexico, ROBERTO MACEDA-TEQUEXTLE, age 39, of Mexico, MARIO MOTA-SERRANO, age 41, of Mexico, SANTOS DAMIAN ROBLERO-MORALES, age 34, of Mexico, and RAMON RUTILIO ROMERO-ORTIZ, age 44, of Honduras, with Illegal Reentry of a Deported Alien.
If convicted of Illegal Reentry of a Deported Alien, HERNANDEZ-VARGAS, MOTA-SERRANO, ROBLERO-MORALES, and ROMERO-ORTIZ would face maximum penalties of two years’ imprisonment, a $250,000 fine, and a term of supervised release following any term of imprisonment.
CRUZ-HERNANDEZ is alleged to have been previously deported subsequent to a felony conviction (illegal reentry of a deported alien). Therefore, if convicted, he would face a maximum imprisonment term of 10 years, a $250,000 fine, and a term of supervised release following any term of imprisonment.
MACEDA-TEQUEXTLE is alleged to have been previously deported subsequent to an aggravated felony conviction (possession with intent to sell and deliver cocaine). Therefore, if convicted, he would face a maximum imprisonment term of 20 years, a $250,000 fine, and a term of supervised release following any term of imprisonment.
The charges and allegations contained in the indictments are merely accusations. The defendants are presumed innocent unless and until proven guilty in a court of law.
The cases are being investigated by the Department of Homeland Security.
San Jose Resident Pleads Guilty to Stealing Homeless Individuals’ IDs and Using Them to Seek Fraudulent Tax RefundsRead the Press Release
SAN JOSE – Diep Vo, aka Nancy Vo, pleaded guilty to conspiring to file false claims for tax refunds, submitting false claims for tax refunds, mail fraud, and aggravated identity theft, announced U.S. Attorney Brian J. Stretch and Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division. The plea was accepted late yesterday by the Honorable Beth Labson Freeman, U.S. District Judge.
According to documents and information provided to the court, Vo, 74, of San Jose, conspired with codefendant Trong Nguyen, aka John Nguyen, to use the personal information of people, including homeless people in the San Jose Vietnamese community, to file fraudulent claims for refunds with the Internal Revenue Service (IRS). Vo went to homeless shelters and halfway houses and falsely represented to individuals that she could get them money from a government program designed to assist people who had not worked in previous years. Vo convinced people to write down their names and social security numbers and to sign blank income tax returns. Vo and Nguyen then falsified the signed returns by including bogus income and income tax withheld amounts and sought fraudulent refunds from the IRS. Vo and Nguyen directed the IRS to send the refund checks to private mailboxes they controlled. On May 18, 2017, a federal grand jury indicted Vo charging her with one count of conspiracy to file false claims, in violation of 18 U.S. C. § 286; three counts of aiding and abetting in filing false claims, in violation of 18 U.S.C. §§ 287 & 2; two counts of mail fraud, in violation of 18 U.S.C. § 1341; and two counts of aggravated identity theft, in violation of 18 U.C.S. §§ 1028A & 2. Pursuant to her plea, Vo pleaded guilty to all counts.
Nguyen previously pleaded guilty to submitting and conspiring to submit false claims for refund.
Vo’s sentencing is scheduled for Nov. 14, 2017. Vo faces a statutory maximum sentence of five years in prison on each count of conspiring to file false claims and submitting false claims for refund, 20 years in prison for each count of mail fraud, and a mandatory minimum sentence of two years in prison for aggravated identity theft. Vo also faces a period of supervised release, restitution and monetary penalties. Nguyen is scheduled to be sentenced on July 25, 2017.
U.S. Attorney Stretch and Acting Deputy Assistant Attorney General Goldberg thanked Assistant U.S. Attorney Thomas Newman and Trial Attorney Gregory Bernstein of the Tax Division, who are prosecuting the case as well as the special agents of IRS Criminal Investigation who conducted the investigation.
Sacaton Man Sentenced to 18 Years for Sexually Abusing Minors on ReservationRead the Press Release
PHOENIX – Yesterday, Anthony Erwin Jackson, Sr., 57, was sentenced by U.S. District Judge Douglas R. Rayes to 18 years in prison, followed by five years of supervised release. Jackson had previously pleaded guilty to two counts of aggravated sexual abuse of a minor.
The evidence showed that Jackson sexually abused a 9-year-old victim in 1997 and a 6-year-old victim in 1998 while living on the Gila River Indian Community. Jackson and the victims are enrolled members of the Gila River Indian Community.
Judge Rayes increased Jackson’s sentence to account for allegations that Jackson had sexually abused at least six other minor victims over a period of 30 years and his corresponding danger to the community.
The investigation in this case was conducted by the Gila River Police Department and the Federal Bureau of Investigation. The prosecution was handled by Christine Keller and Dimitra Sampson, Assistant U.S. Attorneys, District of Arizona, Phoenix.
CASE NUMBER: CR-17-00059-PHX-DLR
RELEASE NUMBER: 2017-056_Jackson
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For more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Follow the U.S. Attorney’s Office, District of Arizona, on Twitter @USAO_AZ for the latest news.
Rockford Man Sentenced to 13 Years for the Robberies of Rockford Banks and a Stamp StoreRead the Press Release
ROCKFORD — A Rockford man was sentenced today by U.S. District Judge Frederick J. Kapala to 13 years in federal prison for bank robbery, robbery affecting interstate commerce, and a related firearm charge.
DAVID J. SANDERS, 34, was sentenced to 96 months for the robbery of BMO Harris Bank, 1480 South Alpine Rd., in Rockford, on May 31, 2016, and the robbery of Rockford Coin and Stamps, 4402 Center Terrace, in Rockford, on June 11, 2016, to be served concurrently. In addition, the Court sentenced Sanders to serve a consecutive term of 60 months’ imprisonment for using and carrying a firearm in furtherance of the robbery on June 11, 2016. After serving his sentence in federal prison, Sanders will be placed on three years of supervised release.
Sanders pleaded guilty to the charges on March 1, 2017. According to the written plea agreement, on May 31, 2016, Sanders attempted to rob a different BMO Harris Bank branch, located at 2510 South Alpine Rd. in Rockford. Sanders approached the branch manager and pulled a note out of his pocket that stated he had a gun and demanded money. However, when a bank employee came out of a door into the lobby, Sanders took the note and walked out.
A short time later, Sanders entered the BMO Harris Bank at 1480 South Alpine, approached the teller counter and was greeted by the bank manager. Sanders handed the bank manager a note that stated, “I have a gun give me 1000.” The bank manager said she could not give Sanders money, and when she attempted to keep the note, Sanders took it away from the manager and said, “I want $1,000.” The manager opened the teller drawer and gave Sanders $2,260. Sanders then left the bank.
Sanders further admitted in the plea agreement that on June 11, 2016, he entered Rockford Coin and Stamps, 4402 Center Terr., in Rockford. Sanders admitted he walked behind the display counter and obtained a Remington pistol-grip shotgun with five live shells attached to the side of it. Sanders admitted that while holding the shotgun he demanded money. An employee gave Sanders approximately $500. Sanders then fled with the money and the shotgun.
Sanders also stipulated and admitted in the plea agreement to robbing PNC Bank, 4615 East State St., in Rockford, of approximately $3,010, on June 14, 2016.
As part of his sentence, Sanders was also ordered to pay restitution of $2,260 to BMO Harris Bank, $500 to Rockford Coin and Stamps, and $3,010 to PNC Bank.
The sentencing was announced by Joel R. Levin, Acting United States Attorney for the Northern District of Illinois; Michael J. Anderson, Special Agent-in-Charge of the Chicago Office of Federal Bureau of Investigation; and Dan O’Shea, Chief of the Rockford Police Department. The investigation was conducted under the auspices of the FBI Safe Streets Task Force, which includes representatives from the FBI, ATF, Loves Park Police Department, Winnebago County Sheriff’s Department, and Rockford Police Department.
The government was represented by Assistant U.S. Attorney Joseph C. Pedersen.
Republic Man, Ava Woman Sentenced for Mail Theft, Bank Fraud SchemeRead the Press Release
SPRINGFIELD, Mo. – Tom Larson, Acting United States Attorney for the Western District of Missouri, announced that a Republic, Mo., man and an Ava, Mo., woman were sentenced in federal court today for their roles in a conspiracy to cash checks that were stolen from mailboxes.
D.J. Gideon, 26, of Republic, and Katelyn Elizabeth Emrick, 22, of Ava, were sentenced in separate appearances before U.S. District Judge Roseann Ketchmark. Gideon was sentenced to 11 years in federal prison without parole. Emrick was sentenced to six years and three months in federal prison without parole. The court also ordered Gideon and Emrick to pay $23,945 in restitution, for which they are jointly and severally liable.
Gideon and Emrick engaged in a mail theft and bank fraud scheme that, over five months, victimized 15 households, 24 businesses, 16 financial institutions, a church and a charity organization across three states. Additionally, they engaged in high-speed police chases, including one in which they injured a law enforcement officer.
Gideon and Emrick each pleaded guilty to participating in a conspiracy to commit bank fraud from June 18 to Nov. 6, 2015. They each also pleaded guilty to one count of bank fraud and one count of aggravated identity theft.
Gideon and Emrick attempted to obtain approximately $40,535 from victims’ bank accounts by stealing checks from business and residential mailboxes and unlawfully using their victims’ personal identification information to cash or deposit the stolen checks, or use them to make purchases. Gideon and Emrick actually cashed and deposited nine fraudulent checks totaling $6,120. They purchased approximately $17,322 worth of merchandise and goods with 38 fraudulent checks.
Checks were stolen from the mailboxes of the Springfield Muscular Dystrophy Association, two businesses in Greene and Wright County, and a number of individuals. One of the stolen checks was from a West Plains, Mo., church. Some of the stolen checks were blank checks that were mailed to bank account holders, and some of the checks were written to other individuals or organizations. Gideon and Emrick altered the payee and the amounts payable on the checks and forged the signatures of their victims.
On Oct. 7, 2015, Gideon and Emrick stole a check in Wright County, Mo., and altered it to be payable to Casey’s General Store in the amount of $47.44, which they presented to the Casey’s store in Seymour, Mo. Store employees recognized Gideon and called the police. Officers arrived at the store as Gideon was walking out. Police Chief Ron Wright instructed Gideon to “come here,” but Gideon instead ran to his vehicle (a Dodge Grand Caravan). Gideon got into the driver’s seat and Chief Wright reached into the window and grabbed his arm in an attempt to take custody of him. Gideon put the van in drive and accelerated, pulling Chief Wright a few feet before he was able to pull his arms out of the window. Chief Wright recognized Emrick in the passenger seat of the van.
Gideon’s van sped out of the parking lot with its tires squealing and officers pursued them. Several vehicles in and around the entrance to Casey’s had to take evasive action to avoid being struck by Gideon’s van. Gideon ran a red light, fled west bound and escaped the pursuit of the officers. Chief Wright sustained bruising and swelling to his right arm and a back strain from being pulled by the van.
On Oct. 27, 2015, Gideon and Emrick attempted to cash a check at the drive-through of American Bank in Baxter Springs, Kan. Bank employees called the police. When officers arrived, the van accelerated out of the bank drive thru and an officer activated the emergency lights and siren of his patrol vehicle. Gideon and Emrick continued to flee, driving in the middle turn lane of a street and reaching speeds of over 80 miles per hour on a 35-miles-per-hour street. The officer pursued them into Oklahoma, where the pursuit was taken over by Oklahoma law enforcement at the Quapaw city limits.
The pursuit continued into Oklahoma and then crossed back over into Kansas, where Baxter Springs officers resumed their pursuit. While in Kansas, Gideon drove the van off the road and abandoned it on foot. During the pursuit, the van caught on fire and was on fire when Gideon abandoned it. Officers arrested Emrick but Gideon escaped.
During the pursuit, Gideon and Emrick threw several pieces of mail out of their vehicle’s window. That mail was recovered by officers, as well as stolen mail, checkbooks and checks, and receipts found inside the van.
Gideon was arrested on Nov. 6, 2015, after unsuccessfully attempting to pass a stolen check at the Orscheln’s Farm & Home in Marshfield, Mo. Marshfield police officers found Gideon in a men’s bathroom stall of a nearby McDonald’s restaurant. He was holding a paper bag that contained a check book and other items related to the mail theft from two victims in Oklahoma.
This case was prosecuted by Assistant U.S. Attorney Casey Clark. It was investigated by the U.S. Postal Inspection Service; the Missouri State Highway Patrol; the police departments of Aurora, Marshfield, Seymour, Springfield and West Plains, Mo., Baxter Springs, Kan., and Quapaw,Okla.; and the sheriff’s departments of Christian, Greene, Howell and Stone County in Missouri, Cherokee County, Kan., and Ottawa County, Okla.
Puerto Rican Man Plead Guilty to Drug 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 Alberto Rosado-Leon, 36, of Puerto Rico, pleaded guilty to conspiracy to distribute 500 grams or more of cocaine before U.S. District Judge Lawrence J. Vilardo. The charge carries a minimum penalty of five years in prison, a maximum of 40 years, and a $5,000,000 fine.
Assistant U.S. Attorney Michael P. Felicetta, who is handling the case, stated that the defendant, along with co-defendants Wendell Delgado-Sanchez and Figuerora Suarez, conspired to distribute cocaine from an apartment located on Dearborn Street in Buffalo, New York. On March 5, 2015, law enforcement officers executed a search warrant at the apartment and recovered 1,368 grams of cocaine in a safe and a 9mm pistol.Officers also recovered a surveillance video system from inside the apartment that displayed the activities inside the apartment from February 27, 2015, through March 5, 2015. A review of the video demonstrates that during that time period, all three defendants were present weighing, mixing, and packaging cocaine for distribution. The video also depicts occasions when the defendants completed drug transactions with customers.
Wendell Delgado-Sanchez has been convicted and is awaiting sentencing. Figuerora Suarez was convicted and sentenced to 60 months in prison.
Today’s plea is the result of an investigation by the Drug Enforcement Administration, under the direction of Special Agent-in-Charge James J. Hunt, New York Field Division.
Sentencing is scheduled for October 18, 2017 at 9:30 a.m. before Judge Vilardo.
Prison Escapee Charged with Collecting Social Security Under Assumed NameRead the Press Release
William Lewis, 90, of Philadelphia, Pennsylvania, was charged by Indictment, unsealed today, with two counts of mail fraud, two counts of wire fraud, one count of theft of government funds, and one count of social security fraud, announced Acting United States Attorney Louis D. Lappen. According to the Indictment1, the defendant escaped from prison in Maryland in 1970 and has lived under an assumed name ever since. During the defendant’s time as an escapee, he collected Social Security benefits in violation of Social Security regulations. The defendant’s alleged actions resulted in a loss to the government of approximately $457,771.20.
If convicted, defendant William Lewis faces a sentence of incarceration, a period of supervised release, full restitution to the government of $457,771.20, a fine, and a special assessment.
The case was investigated by the Social Security Administration, Office of Inspector General, and is being prosecuted by Special Assistant United States Attorney Christopher E. Parisi.1 An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Physician and Wife to Pay $1.2 Million to Settle False Claims Act Allegations that They Billed Medicare and Medicaid for Unapproved DrugsRead the Press Release
Dr. Anindya Sen and Patricia Posey Sen will pay $1.208 million to resolve state and federal False Claims Act allegations that their medical practice billed Medicare and Tennessee Medicaid (TennCare) for anticancer and infusion drugs that were produced for sale in foreign countries and not approved by the U.S. Food and Drug Administration (FDA) for marketing in the United States, the Department of Justice announced today. Dr. Sen owns and operates East Tennessee Cancer & Blood Center and East Tennessee Hematology Oncology and Internal Medicine located in Greeneville and Johnson City, Tennessee. Mrs. Sen managed Dr. Sen’s medical practice from 2009 through 2012.
“Billing for foreign drugs that are not approved by the FDA undermines federal health care programs and could potentially risk patient safety,” said Acting Assistant Attorney General Chad A. Readler of the Justice Department’s Civil Division. “The Department of Justice is committed to maintaining the integrity of the health care system and ensuring that patient safety, not physician misconduct, determines health care decisions.”
“Medical providers and practitioners that distribute and disseminate unapproved and potentially unsafe drugs—especially those used in cancer treatment—put at risk the health and safety of the American consumer,” said U.S. Attorney Nancy Stallard Harr for the Eastern District of Tennessee. “This settlement reflects our ongoing commitment to safeguard the federal health care programs and vital care that they provide.”
The United States alleged that the unapproved drugs that the Sens provided to patients and billed to Medicare and TennCare were not reimbursable under those programs. The United States further alleged that the Sens purchased unapproved drugs because they were less expensive than the drugs approved by FDA for marketing in the United States. The Sens thus allegedly profitted by administering the cheaper unapproved drugs.
The United States’ investigation was a coordinated effort by the Civil Division’s Commercial Litigation Branch, the U.S. Attorney’s Office for the Eastern District of Tennessee, the Department of Health and Human Services Office of General Counsel, the Food and Drug Administration Office of Criminal Investigations and Office of Chief Counsel, the FBI’s Knoxville Division and the Tennessee Bureau of Investigation.
claims settled by this agreement are allegations only; there has been no determination of liability.
Physician and Wife to Pay $1.2 Million to Settle False Claims Act Allegations for Billing Medicare and Medicaid for Unapproved DrugsRead the Press Release
GREENEVILLE, Tenn. – Dr. Anindya Sen and Patricia Posey Sen will pay $1.208 million to resolve state and federal False Claims Act allegations that their medical practice billed Medicare and Tennessee Medicaid (TennCare) for anticancer and infusion drugs that were produced for sale in foreign countries and not approved by the U.S. Food and Drug Administration (FDA) for marketing in the United States, the Department of Justice announced today. Dr. Sen owns and operates East Tennessee Cancer & Blood Center and East Tennessee Hematology Oncology and Internal Medicine located in Greeneville and Johnson City, Tennessee. Mrs. Sen managed Dr. Sen’s medical practice from 2009 through 2012.
“Billing for foreign drugs that are not approved by the FDA undermines federal health care programs and could potentially risk patient safety,” said Acting Assistant Attorney General Chad A. Readler of the Justice Department’s Civil Division. “The Department of Justice is committed to maintaining the integrity of the health care system and ensuring that patient safety, not physician misconduct, determines health care decisions.”
“Medical providers and practitioners that distribute and disseminate unapproved and potentially unsafe drugs—especially those used in cancer treatment—put at risk the health and safety of the American consumer,” said U.S. Attorney Nancy Stallard Harr. “This settlement reflects our ongoing commitment to safeguard the federal health care programs and vital care that they provide.”
“When healthcare providers cut corners to make a profit, it is the patient that suffers,” Attorney General Herbert H. Slatery III said. “We will continue to work with the U.S. Attorney’s Office to hold individuals and companies accountable when they jeopardize the health of Tennesseans.”
The United States alleged that the unapproved drugs that the Sens provided to patients and billed to Medicare and TennCare were not reimbursable under those programs. The United States further alleged that the Sens purchased unapproved drugs because they were less expensive than the drugs approved by FDA for marketing in the United States. The Sens thus allegedly profited by administering the cheaper unapproved drugs.
This investigation was a coordinated effort by the Civil Division’s Commercial Litigation Branch, U.S. Attorney’s Office for the Eastern District of Tennessee, Department of Health and Human Services Office of General Counsel, Food and Drug Administration Office of Criminal Investigations and Office of Chief Counsel, FBI’s Knoxville Division and Tennessee Bureau of Investigation.
The claims settled by this agreement are allegations only; there has been no determination of liability.
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Philadelphia Man Charged with Theft of Government FundsRead the Press Release
Oliver Burke, 56, of Philadelphia, Pennsylvania, was charged by Information with one count of theft of government funds and one count of theft from an employee pension plan, announced Acting United States Attorney Louis D. Lappen. According to the Information[1], the defendant received Social Security and pension benefits intended for his mother-in-law, after his mother-in-law’s death in April 2013, until the fraud was discovered in March 2016. The defendant’s alleged actions resulted in a loss to the government of approximately $69,026.25.
If convicted, the defendant faces a maximum sentence of 15 years’ imprisonment, a 3‑year period of supervised release, restitution to the government of $69,026.25, a fine of up to $500,000, and a $200 special assessment.
The case was investigated by the Social Security Administration, Office of Inspector General, and the Department of Labor, Office of Inspector General; and is being prosecuted by Assistant United States Attorney Amanda R. Reinitz.
[1] An Information is an accusation. A defendant is presumed innocent unless and until proven guilty.
Panama City Beach Man Charged with Attempted Enticement of a MinorRead the Press Release
PANAMA CITY, FLORIDA – Michael Shawn Garrett, 44, of Panama City Beach, was arraigned yesterday in the U.S. District Court in Panama City after a federal grand jury returned an indictment charging him with attempted enticement of a minor for sex. The indictment was announced by Christopher P. Canova, United States Attorney for the Northern District of Florida.
The indictment alleges that, in May 2017, Garrett attempted to entice a minor under the age of 18 to engage in sexual activity. The trial is scheduled for August 21, 2017, at 8:15 a.m.
The case is being investigated by the Federal Bureau of Investigation, the Panama City Beach Police Department, and the North Florida Internet Crimes Against Children Task Force. The case is being prosecuted by Assistant United States Attorney Christopher J. Thielemann.
An indictment is merely an allegation by a grand jury that a defendant has committed a violation of federal criminal law and is not evidence of guilt. All defendants are presumed innocent and entitled to a fair trial, during which it will be the government’s burden to prove guilt beyond a reasonable doubt in a court of law.
The United States Attorney's Office for the Northern District of Florida is one of 94 offices that serve as the nation’s principal litigators under the direction of the Attorney General. To access public court documents online, please visit the U.S. District Court for the Northern District of Florida website. For more information about the United States Attorney’s Office, Northern District of Florida, visit http://www.justice.gov/usao/fln/index.html.
Operator of Unlawful Bitcoin Exchange Sentenced to More Than 5 Years in Prison for Leading Multimillion-Dollar Money Laundering and Fraud SchemeRead the Press Release
Joon H. Kim, the Acting United States Attorney for the Southern District of New York, announced that ANTHONY R. MURGIO was sentenced today by U.S. District Judge Alison J. Nathan to 66 months in prison for charges associated with operating Coin.mx, an internet-based Bitcoin exchange, through which MURGIO processed more than $10 million in illegal Bitcoin transactions. MURGIO pled guilty on January 9, 2017, to conspiring to operate an unlicensed money transmitting business, conspiring to commit wire fraud and bank fraud, and conspiring to obstruct an examination of the Helping Other People Excel Federal Credit Union (“HOPE FCU”) by the National Credit Union Administration (“NCUA”) in furtherance of the illegal Coin.mx scheme.
Acting U.S. Attorney Joon H. Kim said: “Anthony Murgio’s criminal business model consisted of a phony front company hiding an illegal internet Bitcoin exchange. Murgio laundered money, lied to banks, and took over a federal credit union to further his scheme. Murgio’s was an age-old fraud by new age means. And for his crimes, the court has sentenced him to over five years in federal prison.”
According to the Superseding Indictment to which MURGIO pled guilty, statements made during the plea and sentencing proceedings, and evidence admitted at a trial of two co-defendants:
The Unlawful Bitcoin Exchange
Between 2013 and July 2015, MURGIO knowingly operated Coin.mx, an unlawful internet-based Bitcoin exchange that he had founded, in violation of federal anti-money laundering laws and regulations, including those requiring money services businesses like Coin.mx to meet state licensing and federal registration requirements set forth by the United States Treasury Department. MURGIO and his co-conspirators engaged in substantial efforts to evade detection of their unlawful Bitcoin exchange by operating through a phony front company called the “Collectables Club.” MURGIO used the Collectables Club to open financial accounts in order to trick financial institutions into believing the unlawful Bitcoin exchange was simply a members-only association of individuals who discussed, bought, and sold collectible items and memorabilia.
In addition to lying to banks to open accounts, MURGIO and his co-conspirators deceived financial institutions by deliberately misidentifying and miscoding Coin.mx customers’ credit and debit card transactions, in violation of bank and credit card company rules and regulations. MURGIO and his co-conspirators also instructed Coin.mx customers to mislead banks about the nature of the credit and debit card transactions the customers executed through Coin.mx. For example, MURGIO and his co-conspirators caused customers to mislead banks by reporting that the transactions in which they engaged with Coin.mx were for collectibles items, when in reality they were for Bitcoin. Through the illegal Coin.mx scheme, MURGIO and his co-conspirators caused more than $10 million in Bitcoin-related transactions to be processed illegally through financial institutions.
The Federal Credit Union Scheme
In 2014, in an effort further to evade scrutiny from financial institutions about the nature of the business engaged in by Coin.mx, MURGIO and his co-conspirators gained control of HOPE FCU, a federal credit union in New Jersey with primarily low-income members. After making more than $150,000 in illegal bribes at the direction of Trevon Gross, the then-chairman and CEO of HOPE FCU, MURGIO and his co-conspirators took control of HOPE FCU. With Gross’s assistance, MURGIO installed various co-conspirators on HOPE FCU’s board of directors and transferred Coin.mx’s banking operations to HOPE FCU. Gross also ceded operational control of the credit union to the board members installed by MURGIO. Thereafter, MURGIO and others worked to process tens of millions of dollars of Automated Clearing House (“ACH”) transactions through the credit union without adequate controls, thus putting its financial condition at risk.
MURGIO and his co-conspirators also obstructed an examination of HOPE FCU by the NCUA and made false statements to the NCUA in order to perpetuate MURGIO’s control of the credit union. These included deliberately failing to disclose the bribe payments; misrepresenting the location of Coin.mx-affiliated businesses, including the “Collectables Club,” so as to claim that they were eligible to be members of the credit union and to serve as Board members; and manipulating the accounting at HOPE FCU so as to hide its true financial condition and the fact that it was processing tens of millions of dollars of transactions without adequate controls. HOPE FCU was operated as a captive bank by MURGIO and his co-conspirators until the end of 2014.
In October 2015, the NCUA placed HOPE FCU into conservatorship, and subsequently liquidation.
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In addition to the prison sentence, MURGIO, 33, of Tampa, Florida, was sentenced to three years of supervised release.
All five of MURGIO’s co-defendants have been convicted and have been sentenced or are awaiting sentence by Judge Nathan.
Jose M. Freundt pled guilty on October 13, 2016, to operating an unlicensed money transmitting business, conspiring to operate an unlicensed money transmitting business, making corrupt payments to an officer of a financial institution, conspiring to make corrupt payments to an officer of a financial institution, wire fraud, and conspiring to commit wire fraud. Freundt is scheduled to be sentenced on September 15, 2017.
Michael J. Murgio pled guilty on October 27, 2016, to conspiring to obstruct an NCUA examination of a financial institution, and was sentenced on January 27, 2017, to one year of probation and a $12,000 fine.
Ricardo Hill pled guilty on January 17, 2017, to operating an unlicensed money transmitting business; conspiring to operate an unlicensed money transmitting business; making corrupt payments to an officer of a financial institution; conspiring to make corrupt payments to an officer of a financial institution, to receive corrupt payments by an officer of a financial institution, to obstruct an NCUA examination of a financial institution, and to make false statements to the NCUA; wire fraud; bank fraud; and conspiring to commit wire fraud and bank fraud. Hill is scheduled to be sentenced on July 17, 2017.
Trevon Gross and Yuri Lebedev were convicted after trial by a jury on March 17, 2017, of conspiring to make corrupt payments to an officer of a financial institution, to receive corrupt payments by an officer of a financial institution, to obstruct an NCUA examination of a financial institution, and to make false statements to the NCUA. Gross was also convicted of the receipt of corrupt payments by an officer of a financial institution. Lebedev was also convicted of making corrupt payments to an officer of a financial institution, wire fraud, bank fraud, and conspiring to commit wire fraud and bank fraud. Gross and Lebedev are scheduled to be sentenced on September 1, 2017.
Mr. Kim praised the outstanding investigative work of the Federal Bureau of Investigation and the United States Secret Service. He also thanked the NCUA for its assistance with the investigation and prosecution.
This case is being handled by the Office’s Complex Frauds and Cybercrime Unit. Assistant U.S. Attorneys Eun Young Choi, Daniel S. Noble, and Won S. Shin are in charge of the prosecution.
Oklahoma Man Sentenced to Prison for Federal Narcotics Trafficking Conviction in New MexicoRead the Press Release
ALBUQUERQUE – Ruben Fuentes, Jr., 38, of Oklahoma City, Okla., was sentenced today in federal court in Albuquerque, N.M., to 70 months in prison followed by three years of supervised release for his conviction on a methamphetamine trafficking charge. The conviction arose out of a seizure of more than 13 pounds of methamphetamine during a traffic stop.
Fuentes was arrested on March 22, 2016, on a criminal complaint charging him with possession of methamphetamine with intent to distribute. The criminal complaint alleged that Fuentes committed the crime on March 10, 2016, in Quay County, N.M. According to the criminal complaint, New Mexico State Police (NMSP) officers found approximately 13.45 pounds of methamphetamine in Fuentes’ vehicle during a traffic stop on eastbound Interstate 40 near mile marker 327. Fuentes was subsequently indicted on the same charge on April 12, 2016.
On Sept. 28, 2016, Fuentes pled guilty to a felony information charging him with possession of methamphetamine with intent to distribute. In entering the guilty plea, Fuentes admitted that on March 10, 2016, when he was stopped by the NMSP in Quay County, he was in possession of methamphetamine which he intended to distribute to others.
This case was investigated by the Albuquerque office of Homeland Security Investigations and the NMSP. Assistant U.S. Attorney Letitia C. Simms prosecuted the case.
North Hills Man Admits Defrauding InvestorsRead the Press Release
PITTSBURGH - A resident of Allison Park, Pennsylvania pleaded guilty in federal court to a charge of wire fraud, Acting United States Attorney Soo C. Song announced today.
Cameron Howat, 57, of Allison Park pleaded guilty to one count before United States District Judge David Stewart Cercone.
In connection with the guilty plea, the court was advised that Howat solicited investment funds from friends and acquaintances for the purpose of investing those funds in the foreign exchange market. Howat represented to the investors that his compensation for making the investments on their behalf would be to take fifty percent of the profits from the investments. Instead of investing all of the funds, as promised to the investors, Howat took some of their money and used it to pay for personal expenses.
Judge Cercone scheduled sentencing for November 3, 2017 at 10 a.m. The law provides for a total sentence of 20 years in prison, a fine of $250,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offense and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Shaun E. Sweeney is prosecuting this case on behalf of the government.
The Federal Bureau of Investigation conducted the investigation that led to the prosecution of Howat.
North Carolina Man Sentenced to Life in Prison for Attempting to Commit an Act of Terrorism Transcending National BoundariesRead the Press Release
Justin Nojan Sullivan, 21, of Morganton, North Carolina, was sentenced today to life in prison for attempting to commit an act of terrorism transcending national boundaries, in support of the Islamic State of Iraq and al-Sham (ISIS). Sullivan pleaded guilty to the charge on Nov. 29, 2016.
Acting Assistant Attorney General for National Security Dana J. Boente, U.S. Attorney Jill Westmoreland Rose of the Western District of North Carolina and Special Agent in Charge John A. Strong of the FBI’s Charlotte, North Carolina Division, made the announcement. U.S. District Judge Martin Reidinger presided over the sentencing.
“Sullivan is a convicted terrorist who plotted with now-deceased Syria-based terrorist Junaid Hussain to execute acts of mass violence in the United States in the name of ISIS,” said Acting Assistant Attorney General Boente. “Counterterrorism remains our highest priority and we will continue to identify and hold accountable those who seek to commit acts of terrorism within our borders. I want to thank the many agents, analysts and prosecutors who are responsible for this result.”
“Sullivan was actively planning the mass killing of innocent people with an attack designed to inflict maximum casualties and maximum pain in the name of ISIS, a sworn enemy of our nation. Sullivan’s allegiance to ISIS did not stop there. He also planned to film and send a video of his deadly attack to now-deceased Junaid Hussain, a prominent ISIS member based in Syria, and further expressed his wish to create a new branch of the so-called Islamic State in the United States. The life sentence imposed on Sullivan reflects the seriousness of his crimes, protects the public from the danger he poses, and serves as a deterrent to others who wish to harm civilians within our borders. Our fight against terrorism continues whether against those who commit crimes on behalf of ISIS or any other foreign terrorist organization,” said U.S. Attorney Rose.
“Identifying a terrorist before an attack happens is one of the most difficult tasks we face in the FBI. We compare it to finding a needle in a stack of needles. But that is exactly what we did to stop Justin Sullivan from carrying out his murderous plot in the name of ISIL. It took an incredible level of cooperation and collaboration between local, state and federal law enforcement agencies. Today’s life in prison sentence is the result of the hard work of the FBI’s Joint Terrorism Task Force working around the clock to protect this country from those who seek to do us harm,” said Special Agent in Charge Strong.
Federal Terrorism Charges
According to information contained in court documents, starting no later than September 2014, Sullivan sought out and downloaded violent ISIS attacks on the Internet, such as beheadings, and collected them on his laptop computer. Court records indicate that Sullivan openly expressed support for ISIS in his home and destroyed religious items that belonged to his parents.
As Sullivan previously admitted in plea related documents filed with the court and at his plea hearing, beginning no later than June 7, 2015, Sullivan conspired with Junaid Hussain, an ISIS member responsible for online recruitment and providing directions and inspiration for terrorist plots in Western countries, to plan mass shooting attacks in North Carolina and Virginia. Sullivan discussed those plans on social media with an undercover FBI employee (UCE), who Sullivan attempted to recruit to join in such attacks.
Court documents indicate that Sullivan told the UCE via social media that it was better to remain in the U.S. to support ISIS than to travel. Sullivan suggested that the UCE obtain weapons and told the UCE that he was planning to buy a semi-automatic AR-15 rifle at an upcoming gun show in Hickory, North Carolina. On or about June 20, 2015, Sullivan attempted to purchase hollow point ammunition to be used with the weapon(s) he intended to purchase.
According to court records, Sullivan had researched on the Internet how to manufacture firearm silencers and asked the UCE to build functional silencers that they could use to carry out the planned attacks. Court records show that Sullivan told the UCE he planned to carry out his attack in the following few days at a concert, bar or club, where he believed as many as 1,000 people would be killed using the assault rifle and silencer.
Filed documents indicate that over the course of Sullivan’s communications with Junaid Hussain, Hussain had asked Sullivan to make a video of his planned terrorist attack, to which Sullivan had agreed.
On or about June 19, 2015, the silencer, which was built according to Sullivan’s instructions, was delivered to him at his home in North Carolina, where Sullivan’s mother opened the package. Sullivan took the silencer from his mother and hid it in a crawl space under his house. When Sullivan’s parents questioned him about the silencer, Sullivan, believing that his parents would interfere with his plans to carry out an attack, offered to compensate the UCE to kill them.
Sullivan previously admitted that he took substantial steps towards carrying out terrorist attacks in North Carolina and Virginia by: (1) recruiting the UCE; (2) obtaining a silencer from the UCE; (3) procuring the money that would have enabled him to purchase the AR-15; (4) trying to obtain a specific type of ammunition that he believed would be the most “deadly”; (5) identifying separate gun shows where he and the UCE could purchase AR-15s; and (6) obtained a coupon for the gun shows he planned for himself and the UCE to attend on June 20 or 21, 2015.
The Court’s Findings
The Court announced its reasons for accepting the agreed life sentence. The Court noted that Sullivan’s plan to murder innocent civilians at a social gathering was similar to the Orlando nightclub attack in 2016. According to the Court, Sullivan’s plan, however, was more sinister because he planned to use stealth – including a mask to hide his identity and a silencer to kill as many as possible, with the hope to escape and kill again. The Court found that Sullivan’s offense was cold and calculating.
In making today’s announcement, Acting Assistant Attorney General Boente and U.S. Attorney Rose praised the investigative efforts of the FBI, the Burke County Sheriff’s Office and the North Carolina State Bureau of Investigation. Acting Assistant Attorney General Boente and U.S. Attorney Rose also thanked the U.S. Postal Inspection Service’s Charlotte Division, the FBI’s Washington Field Office, the U.S. Attorney’s Office for the Eastern District of Virginia, the U.S. Customs and Border Protection in Charlotte, the North Carolina Highway Patrol and the Hickory Police Department for their assistance in this investigation.
The case is being prosecuted by Assistant U.S. Attorney Michael E. Savage of the Western District of North Carolina and Trial Attorney Gregory R. Gonzalez of the National Security Division’s Counterterrorism Section.
North Carolina Man Sentenced to Life in Prison for Attempting to Commit an Act of Terrorism Transcending National BoundariesRead the Press Release
ASHEVILLE, N.C. – Justin Nojan Sullivan, 21, of Morganton, North Carolina, was sentenced today to life in prison for attempting to commit an act of terrorism transcending national boundaries, in support of the Islamic State of Iraq and al-Sham (ISIS). Sullivan pleaded guilty to the charge on Nov. 29, 2016.
Acting Assistant Attorney General for National Security Dana J. Boente, U.S. Attorney Jill Westmoreland Rose of the Western District of North Carolina and Special Agent in Charge John A. Strong of the FBI’s Charlotte, North Carolina Division, made the announcement. U.S. District Judge Martin Reidinger presided over the sentencing.
“Sullivan is a convicted terrorist who plotted with now-deceased Syria-based terrorist Junaid Hussain to execute acts of mass violence in the United States in the name of ISIS,” said Acting Assistant Attorney General Boente. “Counterterrorism remains our highest priority and we will continue to identify and hold accountable those who seek to commit acts of terrorism within our borders. I want to thank the many agents, analysts and prosecutors who are responsible for this result.”
“Sullivan was actively planning the mass killing of innocent people with an attack designed to inflict maximum casualties and maximum pain in the name of ISIS, a sworn enemy of our nation. Sullivan’s allegiance to ISIS did not stop there. He also planned to film and send a video of his deadly attack to now-deceased Junaid Hussain, a prominent ISIS member based in Syria, and further expressed his wish to create a new branch of the so-called Islamic State in the United States. The life sentence imposed on Sullivan reflects the seriousness of his crimes, protects the public from the danger he poses, and serves as a deterrent to others who wish to harm civilians within our borders. Our fight against terrorism continues whether against those who commit crimes on behalf of ISIS or any other foreign terrorist organization,” said U.S. Attorney Rose.
“Identifying a terrorist before an attack happens is one of the most difficult tasks we face in the FBI. We compare it to finding a needle in a stack of needles. But that is exactly what we did to stop Justin Sullivan from carrying out his murderous plot in the name of ISIL. It took an incredible level of cooperation and collaboration between local, state and federal law enforcement agencies. Today’s life in prison sentence is the result of the hard work of the FBI’s Joint Terrorism Task Force working around the clock to protect this country from those who seek to do us harm,” said Special Agent in Charge Strong.
Federal Terrorism Charges
According to information contained in court documents, starting no later than September 2014, Sullivan sought out and downloaded violent ISIS attacks on the Internet, such as beheadings, and collected them on his laptop computer. Court records indicate that Sullivan openly expressed support for ISIS in his home and destroyed religious items that belonged to his parents.
As Sullivan previously admitted in plea related documents filed with the court and at his plea hearing, beginning no later than June 7, 2015, Sullivan conspired with Junaid Hussain, an ISIS member responsible for online recruitment and providing directions and inspiration for terrorist plots in Western countries, to plan mass shooting attacks in North Carolina and Virginia. Sullivan discussed those plans on social media with an undercover FBI employee (UCE), who Sullivan attempted to recruit to join in such attacks.
Court documents indicate that Sullivan told the UCE via social media that it was better to remain in the U.S. to support ISIS than to travel. Sullivan suggested that the UCE obtain weapons and told the UCE that he was planning to buy a semi-automatic AR-15 rifle at an upcoming gun show in Hickory, North Carolina. On or about June 20, 2015, Sullivan attempted to purchase hollow point ammunition to be used with the weapon(s) he intended to purchase.
According to court records, Sullivan had researched on the Internet how to manufacture firearm silencers and asked the UCE to build functional silencers that they could use to carry out the planned attacks. Court records show that Sullivan told the UCE he planned to carry out his attack in the following few days at a concert, bar or club, where he believed as many as 1,000 people would be killed using the assault rifle and silencer.
Filed documents indicate that over the course of Sullivan’s communications with Junaid Hussain, Hussain had asked Sullivan to make a video of his planned terrorist attack, to which Sullivan had agreed.
On or about June 19, 2015, the silencer, which was built according to Sullivan’s instructions, was delivered to him at his home in North Carolina, where Sullivan’s mother opened the package. Sullivan took the silencer from his mother and hid it in a crawl space under his house. When Sullivan’s parents questioned him about the silencer, Sullivan, believing that his parents would interfere with his plans to carry out an attack, offered to compensate the UCE to kill them.
Sullivan previously admitted that he took substantial steps towards carrying out terrorist attacks in North Carolina and Virginia by: (1) recruiting the UCE; (2) obtaining a silencer from the UCE; (3) procuring the money that would have enabled him to purchase the AR-15; (4) trying to obtain a specific type of ammunition that he believed would be the most “deadly”; (5) identifying separate gun shows where he and the UCE could purchase AR-15s; and (6) obtained a coupon for the gun shows he planned for himself and the UCE to attend on June 20 or 21, 2015.
The Court’s Findings
The Court announced its reasons for accepting the agreed life sentence. The Court noted that Sullivan’s plan to murder innocent civilians at a social gathering was similar to the Orlando nightclub attack in 2016. According to the Court, Sullivan’s plan, however, was more sinister because he planned to use stealth – including a mask to hide his identity and a silencer to kill as many as possible, with the hope to escape and kill again. The Court found that Sullivan’s offense was cold and calculating.
In making today’s announcement, Acting Assistant Attorney General Boente and U.S. Attorney Rose praised the investigative efforts of the FBI, the Burke County Sheriff’s Office and the North Carolina State Bureau of Investigation. Acting Assistant Attorney General Boente and U.S. Attorney Rose also thanked the U.S. Postal Inspection Service’s Charlotte Division, the FBI’s Washington Field Office, the U.S. Attorney’s Office for the Eastern District of Virginia, the U.S. Customs and Border Protection in Charlotte, the North Carolina Highway Patrol and the Hickory Police Department for their assistance in this investigation.
The case is being prosecuted by Assistant U.S. Attorney Michael E. Savage of the Western District of North Carolina and Trial Attorney Gregory R. Gonzalez of the National Security Division’s Counterterrorism Section
North Carolina Defense Contractor Pleads Guilty to $15 Million FraudRead the Press Release
NORFOLK, Va. – A Fayetteville defense contractor pleaded guilty today to his role in multiple conspiracies to overbill the federal government by more than $15 million on government contracts.
According to the statement of facts filed with the plea agreement, Philip A. Mearing, 48, is the owner of Global Services Corporation (Global). In 2004, Mearing, along with co-conspirators Kenneth Bricker and Ken Deines, entered into an agreement whereby fraudulent payments were made by Global to Bricker’s two straw corporations, Tempo and BPM, regarding hundreds of invoices for work and services on behalf of Global that were never performed by Tempo and BPM. As part of their agreement with Global, Mearing, Deines, and Bricker normally retained five percent of the fraudulent payments made by Global to Tempo and BPM. Shortly thereafter, Bricker transferred the remaining 95 percent of these fraudulent payments to Mearing and to DeShas, an Ohio LLC controlled by Mearing. From 2004 to 2014, Bricker received approximately $13.6 million in fraudulent payments from Global, retained approximately $558,000 for his personal use, and subsequently issued checks totaling approximately $13 million to DeShas or to Mearing.
In a separate conspiracy to defraud the government, Mearing, Deines, and William Hutsenpiller, the former Comptroller for Norfolk Ship Support Activity (NSSA), knowingly and willfully conspired to submit false claims to the government via false and/or fictitious invoices that resulted in a loss of approximately $1.8 million. The combined loss amount to the Government from the two separate conspiracies is $15,413,029.76.
Mearing pleaded guilty to conspiracy to commit wire fraud, and faces a maximum penalty of five years in prison when sentenced on September 29. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.
Dana J. Boente, U.S. Attorney for the Eastern District of Virginia; Martin Culbreth, Special Agent in Charge of the FBI’s Norfolk Field Office; Robert E. Craig, Special Agent in Charge for the Defense Criminal Investigative Service’s (DCIS) Mid-Atlantic Field Office; and Cliff Everton, Special Agent in Charge of the Naval Criminal Investigative Service (NCIS) Norfolk Field Office, made the announcement after U.S. Magistrate Judge Lawrence R. Leonard accepted the plea. Assistant U.S. Attorneys Alan M. Salsbury and Stephen W. Haynie are prosecuting the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information is located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 2:17-cr-94.
New York Entrepreneur Sentenced to 41 Months in Prison for Defrauding Investors Out of More Than $3 MillionRead the Press Release
NEWARK, N.J. - A New York man was sentenced today to 41 months in prison for a two-year scheme in which he defrauded multiple victims who believed they were investing in businesses that offered a popular fitness training program, Acting U.S. Attorney William E. Fitzpatrick announced.
Joshua Bryce Newman, 37, previously pleaded guilty before U.S. District Judge William H. Walls to an information charging him with one count of wire fraud. Judge Walls imposed the sentence today in Newark federal court.
According to documents filed in this case and statements made in court:
Newman was a self-styled entrepreneur who engaged in a variety of business ventures, including venture capital work, a film production company, and, more recently, in businesses offering a popular fitness training program. By 2011 and 2012, Newman found himself with mounting legal and financial troubles largely as a result of judgments and liens filed against him and his film production company, Cyan Pictures, relating to their failed film project that was meant to produce and distribute a film about the New York Yankees entitled “Keeper of the Pinstripes.”
From 2012, Newman made material misrepresentations to solicit investments and loans purportedly for various fitness business ventures he was working on, when his true intent was to use the money for his own purposes, including repaying others who had invested in one of his prior projects.
Newman often supplied his victims with doctored or bogus documentation in order to obtain the investment capital and loans. He then lulled his victims into believing that their investment money was safe or that he was in a position to repay their loans by making further misrepresentations and supplying them with additional phony documents. The false documents he used included doctored operating agreements, false statements of ownership percentages held by various individuals, and bogus documents purporting to show the amount of annual partnership gains or losses reported to the IRS.
Newman also misrepresented to his potential partners, purported investors, and lenders in one of his business ventures that he had raised millions of dollars in funding for the project, when he knew that no such funds had been raised.
When investors raised concerns about their investments, Newman typically gave them false assurances and agreed to return the funds. In reality, he often had no funds to return, and so he would make various excuses, including that he had sent wires that had been delayed in the banking system when no such wire had been sent. He often stalled for time by giving his victims checks drawn on accounts with insufficient funds to cover the amount of the checks.
On at least one occasion, Newman sent a picture of the purported wire transfer order for $165,000 to an investor who had threatened legal action and told the investor that the funds were on the way, even though Newman knew that no such funds had been or would be furnished to the investor. Newman defrauded approximately 30 victims of approximately $3 million.
In addition to the prison term, Judge Walls sentenced Newman to three years of supervised release and ordered him to pay restitution of $3,118,165.82.
Acting U.S. Attorney Fitzpatrick credited special agents of the FBI, under the direction of Special Agent in Charge Timothy Gallagher in Newark, for the investigation leading to today’s sentencing.
The government is represented by Assistant U.S. Attorney Paul A. Murphy, Chief of the U.S. Attorney’s Office’s Economic Crimes Unit.
Defense counsel: Priya Chaudhry Esq., New York; Eric Kanefsky Esq., Newark
National Director of Anti-Corruption in Colombia Charged with Conspiracy to Launder Money in Order to Promote Foreign BriberyRead the Press Release
A criminal complaint was unsealed today in connection with the arrest of the National Director of Anti-Corruption in Colombia who is charged with conspiracy to launder money with the intent to promote foreign bribery.
Benjamin G. Greenberg, Acting United States Attorney for the Southern District of Florida and Adolphus P. Wright, Special Agent in Charge, United States Drug Enforcement Administration (DEA), Miami Field Division, made the announcement.
Luis Gustavo Moreno Rivera, 35, the National Director of Anti-Corruption in Colombia and Leonardo Pinilla Gomez, 31, an attorney practicing in Colombia, were charged on June 23, 2017 by criminal complaint in the Southern District of Florida. The complaint charges the defendants with one count of conspiracy to launder money in order to promote foreign bribery. Both Rivera and Pinilla were arrested in Colombia pursuant to an Interpol Red Notice.
According to the criminal complaint, beginning in November 2016, a cooperating source of information (CS) was approached by Moreno and Pinilla who attempted to entice a bribe from the CS. Specifically, in exchange for 100 million Colombian pesos, Moreno and Pinilla offered to give the CS copies of sworn statements taken from cooperators who had testified against the CS. In June 2017, Moreno and Pinilla traveled to Miami, Florida and met with the CS who, under the direction of the DEA, provided Moreno and Pinilla with a $10,000 deposit of the bribe money. Recorded conversations revealed that Moreno and Pinilla discussed Moreno’s ability to control the investigation into the CS and that Moreno could inundate his prosecutors with work so that they would be unable to focus on the CS’s investigation. In exchange, Moreno and Pinilla were asking for a 400 million Colombian peso payment with an additional $30,000 to be paid prior to Moreno’s leaving the United States.
A criminal complaint further alleges that several of the $100 bills from the $10,000 paid to Moreno and Pinilla were found on Moreno and his family as they boarded their flight back to Bogota from Miami.
A criminal complaint merely contains allegations and a defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Mr. Greenberg commends the DEA for their investigative assistance with this case. Mr. Greenberg also thanked the Criminal Division’s Office of International Affairs and Office of Judicial Attache in Colombia along with the DEA Bogota Country Office; the Internal Revenue Service, Criminal Investigations (IRS-CI), Miami Field Office and Attache Office in Colombia; U.S. Immigration and Customs Enforcement, Homeland Security Investigations (ICE-HSI), Miami Field Office and Attache Office in Colombia; U.S. Customs and Border Protection, Miami Office of Field Operations; and Federal Bureau of Investigation (FBI), Legal Attache Office in Colombia, for their assistance in this matter. Assistant U.S. Attorneys Juan Antonio Gonzalez and Lynn M. Kirkpatrick of the International Narcotics and Money Laundering Section in the Southern District of Florida are prosecuting the case.
The U.S. Attorney’s Office and our federal partners commend the Attorney General of Colombia and the Cuerpo Tecnico de Investigacion (CTI) for their cooperative efforts in this investigation.
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.