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Tuesday 2 May 2017
Federal Jury Convicts Imperial Beach Man in Fatal Stabbing of his Texas BoyfriendRead the Press Release
Assistant U. S. Attorneys Alexandra Foster (619) 546-6735 and Robert Ciaffa (619) 546-7748
NEWS RELEASE SUMMARY – May 2, 2017
SAN DIEGO – On the second anniversary of his victim’s death, David Enrique Meza of Imperial Beach was convicted by a federal jury this morning of fatally stabbing his boyfriend 24 times, slashing his throat twice and dumping his body in a ravine near Rosarito Beach, Mexico in order to inherit the boyfriend’s estate.
After two weeks of trial and seven days of deliberations, the jury found Meza guilty of murdering Texas retiree Jake Clyde Merendino in the early morning hours of May 2, 2015 in Mexico. Merendino’s body was found next to the highway between Rosarito and Ensenada in an area known as Los Arenales.
Meza was convicted of both charges, including one count of Interstate or Foreign Domestic Violence Resulting in Murder and one count of Conspiracy to Obstruct Justice. U.S. District Judge Jeffrey T. Miller, who presided over the trial, set sentencing for August 7, 2017 at 9 a.m.
“David Meza took the life of a man who cared for him, lavished him with expensive gifts and who wanted to create a life with him,” said Acting U.S. Attorney Alana W. Robinson. “On this day, the second anniversary of Jake Merendino’s death, we salute the jury for delivering justice to a greedy killer who will now have to answer for his cruelty.”
“The greed, lies, and brutality of this crime were stark,” said FBI Special Agent in Charge Eric S. Birnbaum. “Every day, the FBI works tirelessly, utilizing all resources, expertise and lawful methods to find justice for victims of crime. Today’s guilty verdict brings a measure of justice for Jake Merendino.”
According to evidence presented at trial, Meza, then 23, and Merendino, then 49, met online in June 2013 and were involved in a romantic relationship thereafter. At the same time, Meza was also involved in a long-term romantic relationship with Taylor Marie Langston, a Chula Vista High graduate who was pregnant with his child at the time of the murder. Prosecutors said Meza was living a double life.
Merendino’s death came two days after he closed escrow on a luxury oceanfront condominium at Palacio del Mar in Rosarito. Meza was the beneficiary. Within days of the murder, Meza produced a handwritten will written on hotel stationery that made him sole heir to Merendino’s estate.
Langston was also charged in the indictment, returned by a grand jury in December 2015. She pleaded guilty in February to obstruction of justice for her role in the cover-up. She admitted that she and Meza agreed to lie to law enforcement agents about her and Meza’s whereabouts on the night of the murder.
According to evidence presented at trial, Meza and Merendino drove to Mexico on April 30, 2015, so Merendino could close on his $273,000 ocean-view condominium at Palacio Del Mar in Rosarito
The next day, on May 1, Meza and Merendino returned to Baja, this time with Merendino driving his Range Rover and Meza following on a motorcycle (a 2014 Christmas gift from the victim). The new condo was not yet ready for occupancy, so they checked in to a room at Bobby’s by the Sea, a hotel nearby.
Meza went down to the lobby between 7 p.m. and 8 p.m. to open a bottle of wine. Then, at about 10:30 p.m., the hotel manager heard a motorcycle leaving the hotel parking lot, and Meza was captured on a border camera entering the U.S. at about 11 p.m.
Merendino was last seen alive in the early morning hours of May 2, when he drove out of Bobby’s by the Sea parking lot, telling the hotel security guard that he needed to help a friend stranded on the road. His body was found at around 3 a.m. by Mexican police officers. At 3:57 a.m. Meza crossed into the United States on his motorcycle; Langston crossed 25 minutes later, at 4:22 a.m. in a black SUV.
At 7 p.m. the same day as the murder, Meza and Langston returned to the Bobby’s by the Sea hotel in the black SUV. Meza told hotel staff he was there to pick up his personal items from the room he had shared with Merendino.
After the slaying, one of the victim’s friends filed probate paperwork for a will Merendino drew up in 1998 in Galveston, Texas. A few days later, Meza, through his lawyers, contested the 1998 will and filed the handwritten will on letterhead from the Hercor Hotel in Chula Vista, which he claimed was executed by Merendino in December of 2014, and left Meza “everything.”
Acting U.S. Attorney Robinson thanked law enforcement counterparts from Procuraduría General de Justicia del Estado - the Attorney General’s office in the state of Baja California - for their assistance in the investigation and prosecution of these crimes.
She also noted that in certain circumstances, the United States has legal jurisdiction to prosecute crimes committed in other countries when U.S. citizens are victimized. “The United States will use every tool at its disposal to investigate and prosecute offenders who prey on U.S. citizens abroad.”
DEFENDANT Case Number: 15CR3175-JM
David Enrique Meza Age: 25
SUMMARY OF CHARGES
Count One
Interstate or Foreign Domestic Violence Resulting in Murder, in violation of Title 18 United States Code, Section 2261 (a) (1).
Maximum Penalty: Life in prison
Count Two
Conspiracy to Obstruct Justice, in violation of Title 18, United States Code, Section 1512 (k).
Maximum Penalty: 20 years’ imprisonment
AGENCY
Federal Bureau of Investigation
Federal Grand Jury in Oakland Charges Eight Defendants in Sixty-Four Count Indictment Alleging Interstate Gun Trafficking SchemeRead the Press Release
OAKLAND – A 64-count second superseding indictment was unsealed today charging eight defendants for their respective roles in an interstate firearms trafficking conspiracy announced United States Attorney Brian J. Stretch and Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) Special Agent in Charge Jill Snyder. Two of the defendants were also charged with conspiracy to commit robbery affecting interstate commerce, and the use of firearms in furtherance of a crime of violence. Additionally, one defendant was charged with drug trafficking crimes.
The defendants are Oakland residents Andre Martel Winn, 31, and Edgar De La Cruz, 19; Reno, Nev. residents Richard Straight, 27, Jenna Jeanne Allec, 26, Jonathan Salevao, 28, and Kaleka Mile Kam, 23; Elko, Nev. resident Kenneth Lee Kemp, 32; and Sparks, Nev. resident Daniel Taylor Taufi, 24. According to the indictment, all eight defendants conspired to engage in a scheme to purchase dozens of firearms in Nevada and have them transported to and sold in California. The indictment alleges that Allec, Kemp, Kam, and Taufi purchased the firearms from licensed Nevada salespersons and then negotiated with Salevao and Straight to sell the arms to Winn and De La Cruz. Further, according to the indictment, Winn and De La Cruz traveled from Oakland to Reno to retrieve the firearms. Winn and De La Cruz then transported the firearms to the San Francisco Bay Area where they were sold, mostly in exchange for cash or drugs. A number of the firearms trafficked during the conspiracy have been recovered in Oakland and elsewhere in the Bay Area by local police officers in the course of law enforcement operations. The indictment further alleges Winn and Straight were prohibited from possessing or receiving firearms in light of previous criminal convictions. Listed in the indictment is an array of transactions from March of 2015 through October of 2016 by which dozens of firearms allegedly were illegally purchased, transported, and sold in violation of federal firearms laws.
Moreover, in addition to the firearms charges, the indictment charges De La Cruz with possession with the intent to distribute cocaine and marijuana, and charges both De La Cruz and Winn with robbery affecting interstate commerce and conspiracy to commit robbery affecting interstate commerce, and brandishing firearms during the robbery. The indictment alleges that Winn and De La Cruz brandished firearms during an armed heist at a gas station on High Street in Oakland in 2015.
“The indictment unveiled today is the result of hard work and coordination by the Bureau of Alcohol, Tobacco, Firearms and Explosives and local law enforcement agencies across California and Nevada,” said U.S Attorney Stretch. “We appreciate the efforts of the many law enforcement officials whose selfless dedication has brought an end to this gun running scheme. The removal from our neighborhoods of illegal firearms will remain a priority of this office.”
“One of the missions of the Bureau of Alcohol, Tobacco, Firearms and Explosives or ATF is to protect our communities from the illegal use and trafficking of firearms,” said Special Agent in Charge Jill Snyder. “ATF's Crime Gun Intelligence Center or CGIC identifies firearms trafficking trends and patterns. As with this case, ATF is then able to utilize that information and take action to prevent firearms from going into the hands of prohibited and potentially dangerous people. ATF would like to thank the San Leandro Police Department, Oakland Police Department, Reno Police Department, Sparks Police and the U.S. Attorneys Office. It's through partnerships that law enforcement agencies across the board are able to continue to make our neighborhoods a safer place daily.”
In sum, the defendants have been charged with the following crimes and face the following maximum statutory sentences:
Defendant
Charge
Statute
Maximum Sentence
(Each Count)
Andre Martel Winn
Conspiracy to Commit Robbery (Interference with Commerce by Robbery
18 U.S.C. § 1951(a)
20 years in prison
$250,000 fine
3 years supervised release
Robbery (Interference with Commerce by Robbery), and Aiding and Abetting
18 U.S.C. §§ 195l(a) and 2
20 years in prison
$250,000 fine
3 years supervised release
Possessing/Brandishing a Firearm in Furtherance of a Crime of Violence, and Aiding and Abetting
18 U.S.C. §§ 924(c)(l)(A)
and 2
Life in prison
(7 years mandatory minimum, consecutive to sentence imposed on any other count
$250,000 fine
5 years supervised release
Felon in Possession of a Firearm
18 U.S.C. § 922(g)(l)
10 years in prison
$250,000 fine
3 years supervised release
Conspiracy to Deal in Firearms Without a License
18 U.S.C. § 371
5 years in prison
$250,000 fine
3 years supervised release
Dealing in Firearms Without a License
(54 counts)
18 U.S.C. §§ 922(a)(l)(A)
and 2
5 years in prison
$250,000 fine
3 years supervised release
Traveling Interstate to Promote Illegal Firearms Trafficking
(two counts)
8 U.S.C. §§ 924(n) and 2
10 years in prison
$250,000 fine
3 years supervised release
Edgar De La Cruz
Conspiracy to Commit Robbery (Interference with Commerce by Robbery
18 U.S.C. § 1951(a)
20 years in prison
$250,000 fine
3 years supervised release
Robbery (Interference with Commerce by Robbery), and Aiding and Abetting
18 U.S.C. §§ 195l(a) and 2
20 years in prison
$250,000 fine
3 years supervised release
Possessing/
Brandishing a Firearm in Furtherance of a Crime of Violence, and Aiding and Abetting
8 U.S.C. §§ 924(c)(l)(A)
and 2
Life in prison
(7 years mandatory minimum, consecutive to sentence imposed on any other count)
$250,000 fine
5 years supervised release
Possession with Intent to Distribute Cocaine
(two counts)
21 U.S.C. §§ 84l(a)(l) and (b)(l)(C)
20 years in prison
$1 million fine
Supervised release for life
Possession with Intent to Distribute Marijuana
21 U.S.C. §§ 84l(a)(l) and (b)(l)(D)
20 years in prison
$250,000 fine
Supervised release for life
Conspiracy to Deal in Firearms Without a License
18 U.S.C. § 371
5 years in prison
$250,000 fine
3 years supervised release
Dealing in Firearms Without a License
(54 counts)
18 U.S.C. §§ 922(a)(l)(A)
and 2
5 years in prison
$250,000 fine
3 years supervised release
Traveling Interstate to Promote Illegal Firearms Trafficking
(two counts)
8 U.S.C.
§§ 924(n) and 2
10 years in prison
$250,000 fine
3 years supervised release
Richard Straight
Conspiracy to Deal in Firearms Without a License
18 U.S.C. § 371
5 years in prison
$250,000 fine
3 years supervised release
Dealing in Firearms Without a License
(39 counts)
18 U.S.C.
§§ 922(a)(l)(A)
and 2
5 years in prison
$250,000 fine
3 years supervised release
Traveling Interstate to Promote Illegal Firearms Trafficking
8 U.S.C. §§ 924(n) and 2
10 years in prison
$250,000 fine
3 years supervised release
Jenna Leanne Allec
Conspiracy to Deal in Firearms Without a License
18 U.S.C. § 371
5 years in prison
$250,000 fine
3 years supervised release
Dealing in Firearms Without a License
(18 counts)
18 U.S.C.
§§ 922(a)(l)(A)
and 2
5 years in prison
$250,000 fine
3 years supervised release
Kenneth Lee Kemp
Conspiracy to Deal in Firearms Without a License
18 U.S.C. § 371
5 years in prison
$250,000 fine
3 years supervised release
Dealing in Firearms Without a License
(21 counts)
18 U.S.C.
§§ 922(a)(l)(A)
and 2
5 years in prison
$250,000 fine
3 years supervised release
Jonathan Salevao
Conspiracy to Deal in Firearms Without a License
18 U.S.C. § 371
5 years in prison
$250,000 fine
3 years supervised release
Dealing in Firearms Without a License
(15 counts)
18 U.S.C.
§§ 922(a)(l)(A)
and 2
5 years in prison
$250,000 fine
3 years supervised release
Traveling Interstate to Promote Illegal Firearms Trafficking
8 U.S.C.
§§ 924(n) and 2
10 years in prison
$250,000 fine
3 years supervised release
Kaleka Mile Kam
Conspiracy to Deal in Firearms Without a License
18 U.S.C. § 371
5 years in prison
$250,000 fine
3 years supervised release
Dealing in Firearms Without a License
(six counts)
18 U.S.C.
§§ 922(a)(l)(A)
and 2
5 years in prison
$250,000 fine
3 years supervised release
Daniel Taylor Taufi
Conspiracy to Deal in Firearms Without a License
18 U.S.C. § 371
5 years in prison
$250,000 fine
3 years supervised release
Dealing in Firearms Without a License
(nine counts)
18 U.S.C.
§§ 922(a)(l)(A)
and 2
5 years in prison
$250,000 fine
3 years supervised release
An indictment merely alleges that crimes have been committed, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt. Additional fines, forfeitures, and special assessments also could be imposed. However, any sentence following conviction would be imposed by the court only after consideration of the U.S. Sentencing Guidelines and the federal statute governing the imposition of a sentence, 18 U.S.C. § 3553.
Six of the eight defendants are currently in law enforcement custody in various jurisdictions, including in the custody of the United States Marshals Service. Winn, De La Cruz, Allec, and Kam are scheduled to appear May 8, 2017, 9:30 am before U.S. Magistrate Judge Vadas in Oakland for arraignment on the second superseding indictment. The remaining defendants are scheduled to appear tomorrow in Reno to be arraigned.
The prosecution is the result of an investigation by the ATF Crime Gun Intelligence Center, San Francisco Field Division (SFFD). The U.S. Attorney for the Northern District of California thanks the Reno Office of the U.S. Attorney’s Office for the District of Nevada for its assistance.
Fayetteville Man Sentenced for Drug and Firearm OffensesRead the Press Release
RALEIGH – The United States Attorney’s Office for the Eastern District of North Carolina announced that in federal court today, Chief United States District Judge James C. Dever, III, sentenced DARIUS JEROME BRADLEY, 28, of Fayetteville, NC to 204 months of imprisonment followed by 5 years of supervised release.
BRADLEY was named in a three-count Indictment filed on August 2, 2016. On October 25, 2016, BRADLEY pled guilty to possession with intent to distribute a quantity of marijuana and possession of a firearm in furtherance of a drug trafficking crime.
On January 10, 2016, officers with the Fayetteville Police Department (FPD) responded to an anonymous call from a concerned citizen regarding individuals smoking marijuana. When officers arrived at the scene and approached the vehicle, they noticed the strong smell of marijuana and observed BRADLEY exit the driver’s side. Upon searching the vehicle, officers seized 10 grams of marijuana, a loaded .380 caliber handgun, a digital scale, and a box of plastic bags used for distribution. BRADLEY was arrested, but subsequently released on bond on January 11, 2016.
On February 3, 2016, FPD officers again responded to a citizen’s complaint of suspected drug activity from a vehicle in a residential section of Fayetteville. Officer initiated blue lights and siren for a car matching the description given. Eventually BRADLEY stopped the car that he was driving, but remained in the driver’s seat. Officers approached the car. BRADLEY then started the vehicle, put the car in reverse, and began backing up at a high rate of speed. One of the officers was forced to jump out of the way to avoid being struck by BRADLEY’s vehicle. BRADLEY crashed his vehicle into a nearby tree. When the defendant exited the vehicle, a struggle ensued until he was apprehended. BRADLEY was found in possession of cocaine and of cocaine base. There were two other adults and one juvenile in BRADLEY’s car. Upon searching the vehicle, officers seized 12 grams of marijuana from the driver’s floorboard.
This case was part of the Project Safe Neighborhoods (PSN) initiative which encourages federal, state, and local agencies to cooperate in a unified “team effort” against gun crime, targeting repeat offenders who continually plague their communities.
The Fayetteville Police Department and the Bureau of Alcohol Tobacco Firearms and Explosives (ATF) conducted the criminal investigation of this case. Assistant United States Attorney S. Katherine Burnette handled the prosecution of this case for the government.
Eight Members and Associates of Violent Narcotics Trafficking Organization Charged in Manhattan Federal Court with Six Murders and Racketeering OffensesRead the Press Release
Joon H. Kim, the Acting United States Attorney for the Southern District of New York, Philip R. Bartlett, Inspector in Charge of the New York Office of the U.S. Postal Inspection Service (“USPIS”), Adolphus P. Wright, the Special Agent in Charge of the Miami Field Division of the Drug Enforcement Administration (“DEA”), James J. Hunt, the Special Agent in Charge of the New York Field Division of the DEA, Peter Forcelli, Special Agent in Charge of the Miami Field Division and Puerto Rico Field Office of the Bureau of Alcohol, Tobacco, Firearms and Explosives (“ATF”), Angel M. Melendez, the Special Agent-in-Charge of the New York Field Office of the U.S. Immigration and Customs Enforcement’s Homeland Security Investigations (“HSI”), James P. O’Neill, the Commissioner of the New York City Police Department (“NYPD”), and George P. Beach II, the Superintendent of the New York State Police (“NYSP”), announced the unsealing today of an Indictment charging eight members and associates of La Organizacion de Narcotraficantes Unidos (“La ONU”) with various racketeering, drug trafficking, and firearms offenses, including six murders.
Five of the defendants are already in custody for other offenses. The remaining three defendants – OSCAR VALDES-GARCIA, a/k/a “Pony,” WILLIAM VASQUEZ-BAEZ, and RALPH LABOY – will be presented today in the District of Puerto Rico before U.S. Magistrate Judge Silvia Carreno-Coll. VASQUEZ-BAEZ was an active member of the Puerto Rico Police Department when he allegedly committed the May 9, 2007, murder of Anthony Castro-Carrillo, as charged in Counts 13 and 14 of the Indictment. LABOY had recently resigned from the Puerto Rico Police Department when he allegedly committed the Castro-Carillo murder. The case has been assigned to United States District Judge Jesse M. Furman in Manhattan.
All eight defendants are charged with murder. In connection with the racketeering conspiracy and a narcotics conspiracy, members and associates of La ONU are charged in the Indictment with committing the following murders in Puerto Rico:
- The April 9, 2005, murder of Crystal Martinez-Ramirez.
- The June 23, 2006, double murder of Ken Gonzalez-Rodriguez and Jean Adorno-Caballero.
- The December 28, 2006, murder of Israel Crespo-Cotto.
- The May 9, 2007, murder of Anthony Castro-Carrillo.
- The March 20, 2009, murder of Carlos Barbosa.
Acting U.S. Attorney Joon H. Kim said: “Members and associates of a violent drug trafficking organization, La ONU, allegedly committed six ruthless murders to further a drug trade that funneled massive quantities of cocaine from Puerto Rico to New York. Frighteningly, one of those six murders allegedly was committed by an active and a former member of the Puerto Rico Police Department. As alleged, when police officers, sworn to protect the citizens they serve, instead kill to protect drug trafficking profits, that tears at the very fabric of civilized society. Such alleged lawlessness simply cannot be left unchecked. We thank all of our federal and local law enforcement partners for their tireless investigative work to bring these defendants to justice in a court of law.”
USPIS Inspector in Charge Philip R. Bartlett said: “This criminal enterprise stopped at nothing to allegedly move drugs from Puerto Rico to the Bronx; it was all about money. They didn’t care who or what got in their way, and based on the indictment, they ‘got rid’ of their perceived obstacles. Fortunately, members of this criminal enterprise underestimated the power of interagency cooperation and collaboration. These individuals will be brought to justice for their alleged heinous crimes against the community and the misuse of the US Mail to facilitate the transport of illegal drugs into the United States.”
DEA Special Agent in Charge Adolphus P. Wright said: “Through this collaborative effort with our law enforcement partners, drug traffickers committing not only drug violations, but also other equally egregious and violent crimes, have been taken off the streets. We remain committed to pursuing their prosecution to the fullest extent of the law.”
DEA Special Agent in Charge James J. Hunt said: “A 2013 investigation grew legs into something much more dangerous than a local drug distribution organization operating out of a daycare center in the Bronx. It led investigators to identifying the organization’s alleged source of supply comprising corrupt cops and violent thugs who were arrested today in Puerto Rico. This is a great example of collaborative law enforcement efforts.”
ATF Special Agent in Charge Peter Forcelli said: “For years, ATF has made combatting violent crime its top priority and this case is a perfect example of our commitment to making our communities safer. We will work tirelessly with our state, local, and federal partners to identify, investigate, and prosecute those who use or traffic in illegal firearms, regardless of where they engage in criminal activity. This case is a clear example of interagency teamwork and collaboration across several jurisdictions and I’m proud of the work that was done here.”
Superintendent George P. Beach II said: “This investigation is yet another example of law enforcement partners working collaboratively to get dangerous individuals and drugs off our streets. The expertise and dedication of our law enforcement colleagues charges eight individuals in multiple murders in Puerto Rico. Two of the individuals were police officers, trusted with enforcing the law, and were instead breaking it and causing terror in communities. I thank all of our law enforcement partners for their hard work, professionalism and commitment to making our neighborhoods safer.”
As alleged in the Indictment[1] unsealed today in Manhattan federal court and in other court papers:
La ONU was a criminal enterprise involved in the trafficking of cocaine from Puerto Rico to the Bronx, New York. The cocaine was distributed in New York, including out of a daycare center in the Bronx, New York. Members and associates of La ONU engaged in acts of violence, including murder, to protect and expand the enterprise’s criminal operations and in connection with rivalries with other criminal organizations. In particular, members of the enterprise shot and killed suspected rival drug trafficking members.
Count One of the Indictment charges JULIO MARQUEZ ALEJANDRO, a/k/a “Chino Montero,” LUIS BLONDET, a/k/a “Cabezon,” OSCAR VALDES-GARCIA, a/k/a “Pony,” JASON DONES-GONZALEZ, a/k/a “Jason,” a/k/a “Arrabal,” JOSE VICTOR PELLOT CARDONA, a/k/a “Vitito,” and REINALDO CRUZ-FERNANDEZ with participating in a racketeering conspiracy for criminal involvement in La ONU.
Counts Two and Three of the Indictment charge LUIS BLONDET with the murder of Crystal Martinez-Ramirez in aid of racketeering, and a related firearms offense.
Counts Four, Five, and Six of the Indictment charge JULIO MARQUEZ ALEJANDRO and OSCAR VALDES-GARCIA with the murder of Jean Adorno-Caballero in aid of racketeering and in connection with a drug crime, as well as a related firearms offense.
Counts Seven, Eight, and Nine of the Indictment charge JULIO MARQUEZ ALEJANDRO and OSCAR VALDES-GARCIA with the murder of Ken Gonzalez-Rodriguez in aid of racketeering and in connection with a drug crime, as well as a related firearms offense.
Counts 10, 11, and 12 of the Indictment charge JULIO MARQUEZ ALEJANDRO and OSCAR VALDES-GARCIA with the murder of Israel Crespo-Cotto in aid of racketeering and in connection with a drug crime, as well as a related firearms offense.
Counts 13 and 14 of the Indictment charge RALPH LABOY and WILLIAM VASQUEZ-BAEZ with the murder of Anthony Castro-Carrillo in connection with a drug crime, as well as a related firearms offense.
Counts 15, 16, and 17 of the Indictment charge JULIO MARQUEZ-ALEJANDRO, JASON DONES-GONZALEZ, JOSE VICTOR PELLOT-CARDONA, and REINALDO CRUZ-FERNANDEZ with the murder of Carlos Barbosa in aid of racketeering and in connection with a drug crime, as well as a related firearms offense.
* * *
Charts containing the names, ages, charges, and maximum penalties for the defendants are set forth below. The maximum potential sentences in this case are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendants will be determined by the judge.
Mr. Kim praised the outstanding investigative work of USPIS, the DEA, the ATF, and the NYPD. He also thanked the United States Attorney’s Office for the District of Puerto Rico, U.S. Attorney’s Office for the Middle District of Pennsylvania, the Office of the Special Narcotics Prosecutor for the City of New York, and the Puerto Rico Police Department for their support in this ongoing investigation.
This case is being handled by the Office’s Narcotics Unit. Assistant United States Attorneys Jordan Estes, Dina McLeod, Andrew Thomas, and Lara Pomerantz are in charge of the prosecution.
The charges contained in the Indictment are merely accusations, and the defendants are presumed innocent unless and until proven guilty.
COUNT
CHARGE
DEFENDANTS
MAX. PENALTIES
1
Racketeering conspiracy
18 U.S.C. § 1962(d)
JULIO MARQUEZ-ALEJANDRO (age 47)
LUIS BLONDET (age 42)
OSCAR VALDES-GARCIA (age 35)
JASON DONES-GONZALEZ (age 37)
JOSE VICTOR PELLOT-CARDONA (age 38)
REINALDO CRUZ-FERNANDEZ (age 43)
Life in prison
2
Murder in aid of racketeering activity
18 U.S.C. § 1959(a)(1)
LUIS BLONDET
Death penalty, or life in prison
3
Use of a firearm for murder
18 U.S.C. § 924(j)(1)
LUIS BLONDET
Death penalty, or life in prison
4
Murder in aid of racketeering activity
18 U.S.C. § 1959(a)(1)
JULIO MARQUEZ-ALEJANDRO
OSCAR VALDES-GARCIA
Death penalty, or life in prison
5
Murder in connection with a drug crime
21 U.S.C. § 848(e)(1)(A)
JULIO MARQUEZ-ALEJANDRO
OSCAR VALDES-GARCIA
Death penalty, or life in prison
6
Use of a firearm for murder
18 U.S.C. § 924(j)(1)
JULIO MARQUEZ-ALEJANDRO
OSCAR VALDES-GARCIA
Death penalty, or life in prison
7
Murder in aid of racketeering activity
18 U.S.C. § 1959(a)(1)
JULIO MARQUEZ-ALEJANDRO
OSCAR VALDES-GARCIA
Death penalty, or life in prison
8
Murder in connection with a drug crime
21 U.S.C. § 848(e)(1)(A)
JULIO MARQUEZ-ALEJANDRO
OSCAR VALDES-GARCIA
Death penalty, or life in prison
9
Use of a firearm for murder
18 U.S.C. § 924(j)(1)
JULIO MARQUEZ-ALEJANDRO
OSCAR VALDES-GARCIA
Death penalty, or life in prison
10
Murder in aid of racketeering activity
18 U.S.C. § 1959(a)(1)
JULIO MARQUEZ-ALEJANDRO
OSCAR VALDES-GARCIA
Death penalty, or life in prison
11
Murder in connection with a drug crime
21 U.S.C. § 848(e)(1)(A)
JULIO MARQUEZ-ALEJANDRO
OSCAR VALDES-GARCIA
Death penalty, or life in prison
12
Use of a firearm for murder
18 U.S.C. § 924(j)(1)
JULIO MARQUEZ-ALEJANDRO
OSCAR VALDES-GARCIA
Death penalty, or life in prison
13
Murder in connection with a drug crime
21 U.S.C. § 848(e)(1)(A)
RALPH LABOY (age 36)
WILLIAM VASQUEZ-BAEZ (age 48)
Death penalty, or life in prison
14
Use of a firearm for murder
18 U.S.C. § 924(j)(1)
RALPH LABOY
WILLIAM VASQUEZ-BAEZ
Death penalty, or life in prison
15
Murder in aid of racketeering activity
18 U.S.C. § 1959(a)(1)
JULIO MARQUEZ-ALEJANDRO
JASON DONES-GONZALEZ
REINALDO CRUZ-FERNANDEZ
JOSE VICTOR PELLOT-CARDONA
Death penalty, or life in prison
16
Murder in connection with a drug crime
21 U.S.C. § 848(e)(1)(A)
JULIO MARQUEZ-ALEJANDRO
JASON DONES-GONZALEZ
REINALDO CRUZ-FERNANDEZ
JOSE VICTOR PELLOT-CARDONA
Death penalty, or life in prison
17
Use of a firearm for murder
18 U.S.C. § 924(j)(1)
JULIO MARQUEZ-ALEJANDRO
JASON DONES-GONZALEZ
REINALDO CRUZ-FERNANDEZ
JOSE VICTOR PELLOT-CARDONA
Death penalty, or life in prison
[1] As the introductory phrase signifies, the entirety of the text of the Indictment constitutes only allegations, and every fact described herein should be treated as an allegation.
Executive Director of New York City Non-Profit Organization and His Wife Found Guilty in Manhattan Federal Court of Corruption OffensesRead the Press Release
Joon H. Kim, the Acting United States Attorney for the Southern District of New York, announced that KWAME INSAIDOO, the former executive director of United Block Association (“UBA”), a New York-based non-profit organization, and his wife ROXANNA INSAIDOO, were found guilty in Manhattan federal court of embezzlement from a federally funded program, money laundering, and defrauding their mortgage lender. KWAME INSAIDOO was also found guilty of defrauding the City of New York in connection with UBA’s contracts to operate senior centers in Upper Manhattan. The jury convicted KWAME and ROXANNA INSAIDOO on all counts in the superseding indictment following a one-week trial before U.S. District Judge Valerie E. Caproni.
Acting U.S. Attorney Joon H. Kim said: “As a unanimous jury found today, Kwame Insaidoo and his wife Roxanna Insaidoo stole hundreds of thousands of dollars from a government-funded non-profit organization that operated senior centers in Manhattan, and used that money to pay for luxury cars and personal expenses. The defendants’ brazen theft deprived some of the City’s neediest residents of public money for healthy meals and senior citizen programs. Despite efforts to hide their schemes, including the use of a fake charity, the outstanding investigative work of our partners at the New York City Department of Investigation exposed the defendants’ conduct, and the jury swiftly convicted them.”
According to the Indictment, other filings in Manhattan federal court, and the evidence admitted at trial:
UBA is a non-profit organization headquartered in New York, New York, that was controlled by KWAME INSAIDOO, its former Executive Director. UBA received funding from New York City’s Department for the Aging to operate and provide healthy meals and programming at four senior centers in Upper Manhattan. From in or about July 2008 through March 2015, the Department for the Aging paid UBA more than $8,700,000 in federal, state, and local funds to provide such services.
As found by the jury, KWAME INSAIDOO, with the assistance of his wife ROXANNA INSAIDOO, abused his authority as UBA’s executive director by embezzling over $580,000 from UBA. KWAME INSAIDOO and ROXANNA INSAIDOO, who were both signatories on a UBA bank account that was not subject to audits by the City, wrote hundreds of checks from that UBA account to themselves, their son, and a fake charity they used to launder some of the money. The defendants used the stolen funds to pay for personal expenses, including their home mortgage, the purchase of a Mercedes Benz and a Cadillac, and telephone bills and other personal utilities. They also wired more than $300,000 abroad.
In addition, KWAME INSAIDOO repeatedly lied to the Department for the Aging in an effort to evade scrutiny for these unauthorized payments and to maintain UBA’s funding.
In 2011, KWAME and ROXANNA INSAIDOO also engaged in a scheme to defraud their mortgage lender, in connection with a modification of their mortgage under the federally sponsored Home Affordable Modification Program, by underreporting their income and assets. This scheme led to a write-off of almost $200,000 from KWAME and ROXANNA INSAIDO’s home mortgage.
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KWAME INSAIDOO, 60, and ROXANNA INSAIDOO, 63, both of Bay Shore, Long Island, were each found guilty of embezzlement from a federally funded program, conspiracy to commit money laundering, wire fraud of their mortgage lender, and conspiracy to commit wire fraud of their mortgage lender, each of which carries a maximum penalty of 20 years in prison, and also each was found guilty of conspiracy to embezzle from a federally funded program, which carries a maximum penalty of five years in prison. KWAME INSAIDOO was also found guilty of one count of defrauding the City of New York, which carries a maximum penalty of 20 years in prison. Their sentencings are set for August 11, 2017, before the Honorable Valerie E. Caproni.
The maximum potential sentences in this case are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendants will be determined by the judge.
Acting U.S. Attorney Kim praised the outstanding investigative work of the New York City Department of Investigation and the Criminal Investigators of the United States Attorney’s Office for the Southern District of New York.
The case is being prosecuted by the Office’s Public Corruption Unit. Assistant U.S. Attorneys Eli J. Mark, David Zhou, and Tatiana Martins are in charge of the prosecution.
Dr. Jian Dong Sentenced to Seventy Months for Grant FraudRead the Press Release
Contact Person: Eric Klumb (843) 727-4381
Columbia, South Carolina ---- United States Attorney Beth Drake stated today that Dr. Jian Yun Dong, aka John Dong, was sentenced to seventy months imprisonment for multiple fraud-based convictions and ordered to pay over three million dollars in restitution. GenPhar Inc. and Vaxima Inc, corporations Dong founded, were fined a total of $12,846,399.32. Dr. Dong, GenPhar Inc., and Vaxima Inc. went to trial in federal court in June of 2015. All three were convicted on charges of conspiracy to commit grant fraud, wire fraud, theft of government property and providing false statements, theft of government funds, as well as twenty-two counts of wire fraud.
Testimony at trial established that federal grant money was obtained by GenPhar and Vaxima for purposes of biodefense research and vaccine development, but was used for other purposes, specifically to construct a commercial office building and pay lobbyists and others who were seeking to secure federal funding for the defendants. Testimony further established that a total of approximately $6 million dollars was spent on the construction, which included approximately at least $3 million dollars of improperly diverted grant money.
"Justice is finally served against Dr. John Dong and his companies with these sentences," stated Special Agent in Charge John F. Khin of the Defense Criminal Investigative Service (DCIS), Southeast Field Office. "Throughout this lengthy and extensive joint investigation with our law enforcement partners, DCIS steadfastly pursued recoupment of millions of dollars in stolen and diverted funds that were critically needed for research and development of vaccines against the world's most deadly diseases."
“Diverting funds meant for critical vaccine research is reprehensible and illegal,” said Special Agent in Charge Derrick L. Jackson of the U.S. Department of Health and Human Services, Office of Inspector General (HHS-OIG) in Atlanta. “We will continue to work with our law enforcement partners to root out all forms of waste, fraud, and abuse in federal grant programs."
Ms. Drake stated, “The real tragedy in this case is that millions of dollars intended for desperately needed vaccine research was diverted into a commercial real estate project. Most of the dedicated and accomplished scientists receiving these grants can be trusted to spend the funds on research, but those that seek to divert the funds to their own benefit need to know that we will pursue charges against them like any other fraudster.”
The conviction and sentence are the result of an investigation conducted by the Department of Health and Human Services Office of Inspector General, the Defense Criminal Investigative Service, the Federal Bureau of Investigation, the U.S. Army Criminal Investigation Command, and the Naval Criminal Investigative Service. Assistant United States Attorneys Eric Klumb and Nathan Williams of the Charleston office prosecuted the case.
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District Woman Sentenced to 12 Years in Prison for Attacking Ex-Boyfriend with Knife, Sulfuric AcidRead the Press Release
WASHINGTON – Linda Washington, 53, of Washington, D.C., was sentenced today to 12 years in prison in connection with a pair of attacks she carried out last summer against her ex-boyfriend, including one with a knife and one with sulfuric acid, announced U.S. Attorney Channing D. Phillips.
Washington pled guilty in March 2017, in the Superior Court of the District of Columbia, to one count of assault with a dangerous weapon (knife) and one count of aggravated assault while armed (chemical substance). She was sentenced by the Honorable Marisa Demeo. Following her prison term, she will be placed on five years of supervised release.
According to the government’s evidence, late in the evening on July 24, 2016, Washington drove to the Northeast Washington home of her ex-boyfriend to retrieve hedge trimmers that she had loaned him. During a verbal confrontation in the alley behind his home, Washington pulled out a butcher’s knife and ran toward the victim with it. In fear, the victim ran away and jumped over a side fence into his neighbor’s yard. Washington then entered the victim’s house, where the victim’s daughter was sleeping, and took his house keys. She left with the knife. The victim’s home security camera captured the incident.
Early on September 1, 2016, Washington again approached her ex-boyfriend, this time in a parking lot outside Washington’s residence in Southeast Washington. As he attempted to enter his vehicle, Washington threw a plastic cup full of El Diablo drain cleaner on him, covering his face, neck, chest, and arm. An FBI chemist determined that the bulk of the liquid contained sulfuric acid. The victim suffered devastating injuries—including lifelong disfigurement—and spent nearly a month at The Burn Center at MedStar Washington Hospital Center.
Judge Demeo sentenced Washington to two years of incarceration for the July 24th knife attack, and a consecutive ten years for the September 1st sulfuric acid attack.
In announcing the sentence, U.S. Attorney Phillips praised the work of those who investigated the case from the Metropolitan Police Department. He expressed appreciation for the assistance provided by the FBI Laboratory and The Burn Center at Medstar Washington Hospital Center. He acknowledged the efforts of those who worked on the case from the U.S. Attorney’s Office, including Victim/Witness Advocate Elsa Maltese, and Paralegal Specialists Tiffany Jones and D’Yvonne Key. Finally, he commended the work of Assistant U.S. Attorneys John Timmer and J. Matt Williams, who prosecuted the case.
Detroit Resident Pleads Guilty to Illegally Acquiring a FirearmRead the Press Release
A 30-year-old Detroit man pleaded guilty today to a charge of buying a firearm through a straw purchaser, Acting United States Attorney Daniel L. Lemisch announced today.
Lemisch was joined in the announcement by Special Agent in Charge David P. Gelios, Federal Bureau of Investigation, Detroit Division.
Sebastian Gregerson pleaded guilty before United States District Judge Arthur J. Tarnow in Detroit.
According to court records, on February 16, 2014, defendant Gregerson purchased a Glock 31 .357 caliber gun through a straw purchaser in Virginia. The defendant accompanied another individual to a gun show in Virginia where the individual purchased the gun for Gregerson. Gregerson gave cash to the individual to make the gun purchase and identified the gun he wanted the individual to purchase. At the time of the transaction, the individual completed a federal firearms form indicating that he was the buyer of the gun, when, in fact, Gregerson was the actual buyer. Gregerson was present during the transaction and took possession of the gun after the purchase. The gun was recovered from defendant Gregerson’s residence at the time of his arrest in July, 2016.
Defendant Gregerson previously pled guilty, on March 17, 2017, to possession of unregistered destructive devices based on his purchase, through an FBI employee acting in an undercover capacity (UCE), of grenade bodies containing high explosives, as well as grenade fuses. Those components constituted a combination of parts that were designed or intended for use in M67 fragmentation grenades and from which M67 fragmentation grenades could be readily assembled. The destructive devices were not registered to defendant Gregerson in the National Firearms Registration and Transfer Record.
According to the court records, Gregerson’s social media site, as well as conversations with an undercover FBI employee, indicated his support for the Islamic State of Iraq and Levant (ISIL), a designated foreign terrorist organization and statements relating to committing violent acts.
Gregerson was arrested on August 1, 2016, by FBI agents and remains in custody pending his sentencing which has been scheduled for June 30, 2017 in both cases. Gregerson faces a term of up to 10 years in federal prison for the straw purchase of the firearm.
Defendant Sentenced to 14 Years in Federal Prison on Methamphetamine Distribution ConvictionRead the Press Release
AMARILLO, Texas — Juan Daniel Mares, 40, of Amarillo, Texas, was sentenced this morning by U.S. District Judge Sidney A. Fitzwater to 168 months in federal prison on a methamphetamine distribution conviction, announced John Parker, U.S. Attorney for the Northern District of Texas.
Mares pleaded guilty in January 2017 to one count of possession with intent to distribute 50 grams or more of methamphetamine. He has been in custody since his arrest on September 13, 2016.
According to documents filed in the case, on September 10, 2015, Mares agreed to meet with an undercover Texas Department of Public Safety agent, at a Walmart store in Canton, Texas, and sell him one pound of methamphetamine.
After the undercover agent arrived at the parking lot of the Walmart store, Mares got into the agent’s vehicle and gave the agent a shoebox containing 446 grams of methamphetamine, the agent in turn gave Mares $6,100.
The Texas Department of Public Safety, U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI), Drug Enforcement Administration, Amarillo Police Department, Potter County Sheriff’s Office, and Randall County Sheriff’s Office investigated. Assistant U.S. Attorneys Joshua Frausto and Sean Taylor prosecuted.
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Damariscotta Dentist Agrees to Pay $90,000 to Settle Civil Health Care Fraud CaseRead the Press Release
Contact: Sheila W. Sawyer
Assistant United States Attorney
Tel: (207) 780-3257
Portland, Maine: Acting United States Attorney Richard W. Murphy today announced that Joseph W. Griffin, D.M.D. (“Dr. Griffin”) has entered into a civil settlement agreement with the United States and the State of Maine in which he will pay $90,000 to resolve allegations that he submitted false claims to MaineCare (Maine’s Medicaid program) from July 1, 2014 through July 1, 2015. MaineCare is primarily funded by the United States which pays about two-thirds of all claims submitted to MaineCare.According to a civil complaint, Dr. Griffin was alleged to have violated the state and federal False Claims Acts by submitted claims totaling $164,972 to MaineCare for dental services that were not rendered, were medically unnecessary, or were so inadequately documented in the patient’s medical record as to be unreviewable, all in violation of the requirements of the MaineCare Program. The settlement amount reflected Dr. Griffin’s inability to repay the full amount improperly billed and his retirement from his dentistry practice.
The case was investigated by the U.S. Department of Health & Human Services, Office of Inspector General and Maine Attorney General’s Health Care Crimes Unit. The civil action is docketed United States and the State of Maine v. Joseph W. Griffin, D.M.D., 2:17-cv-00162-JAW (D. Me.).Cramer Chennaux Sentenced to Prison in Ice Trafficking CaseRead the Press Release
Today, SHAWN N. ANDERSON, Acting United States Attorney for the Districts of Guam and the Northern Mariana Islands, announced that defendant CRAMER CHENNAUX, age 30, was sentenced in District Court to 57 months imprisonment, to be followed by three of supervised release, and 100 hours of community service. The Court also ordered CHENNAUX to pay a mandatory $100 assessment fee. In addition, defendants convicted of a federal drug offense may no longer qualify for certain federal benefits.
On May 25, 2016, CHENNAUX was charged by Indictment with Possession of Methamphetamine with Intent to Distribute. On July 27, 2016, CHENNAUX entered a guilty plea to an Information charging him with Possession of Methamphetamine with Intent to Distribute, in violation of 21 U.S.C. §§ 846, 841(a)(1) and (b)(1)(C). Law enforcement had received information that CHENNAUX was in possession of a large amount of methamphetamine at a hotel room. They subsequently seized over 122 grams of methamphetamine, with a 99 percent purity level. Officers also discovered $7,200.00 during the search. The money was administratively forfeited.
The investigation was conducted by DEA, Superior Court of Guam Marshals Division, Guam Superior Court Probation Office, Guam Police Department, and the U.S. Marshals Service. The case was prosecuted by Clyde Lemons, Jr., Assistant U.S. Attorney.
Convicted Felon Admits Trafficking Guns in the Camden AreaRead the Press Release
CAMDEN, N.J. – A Carbon County, Pennsylvania, man today admitted conspiring to illegally traffic over 20 firearms – including assault rifles and other high-capacity weapons – in the South Jersey area, Acting U.S. Attorney William E. Fitzpatrick announced.
Darnel Johns, 49, of Albrightsville, Pennsylvania, pleaded guilty before U.S. District Judge Robert B. Kugler in Camden federal court to an information charging him with one count of conspiracy to deal in firearms without a federal firearms license and one count of possession of firearms by a convicted felon. Johns had previously turned himself into law enforcement in late 2016 after several months as a fugitive.
According to documents filed in this and related cases and statements made in court:
Johns admitted that in the Fall and Winter of 2014, he conspired with co-defendant David Potts, 45, of Camden, to illegally sell at least 22 guns. The firearms included a sawed-off shotgun, multiple high-capacity assault-style rifles, and a high-capacity assault-style pistol with a 30-round magazine. Several of the firearms were stolen and had obliterated serial numbers.
Potts previously pleaded guilty to his role in the conspiracy and was sentenced on April 10, 2017 to 121 months in prison.
The illegal firearms dealing count to which Johns pleaded guilty carries a maximum potential penalty of five years in prison and a $250,000 fine. The possession of firearms by a convicted felon count carries a maximum potential penalty of 10 years in prison and a $250,000 fine. Sentencing is scheduled for Aug. 4, 2017.
This case was initiated as part of a wide-ranging set of gun trafficking arrests that took place on March 4, 2015. Acting U.S. Attorney Fitzpatrick credited special agents of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), under the direction of Acting Special Agent in Charge Scott C. Curley, Newark Division, and Essam Rabadi, Special Agent in Charge of ATF’s Philadelphia Field Division, with the investigation. He additionally credited special agents of the Drug Enforcement Administration, Maple Shade Resident Office, under the direction of Special Agent in Charge Carl J. Kotowski; the ATF Charlotte Field Division under the direction of Special Agent in Charge C. J. Hyman; investigators with the Camden County Prosecutor’s Office, under the direction of Prosecutor Mary Eva Colalillo; detectives of the Camden County Police Department, under the direction of Chief Scott J. Thomson; the Newark Division of Public Safety’s Ballistics Laboratory; and the Bergen County Sheriff’s Office Ballistics Laboratory, with the investigation.
He additionally credited the U.S. Marshals Service, under the direction of U.S. Marshal Juan Mattos, Jr.; investigators under the Camden High Intensity Drug Trafficking Area; the New Jersey State Police’s Metro South Unit, under the direction of Superintendent Col. Rick Fuentes; the New Jersey State Parole Board, under the direction of Chairman James T. Plousis; the Camden County Sheriff’s Office, under the direction of Sheriff Gilbert L. Wilson; and the Cherry Hill, Pennsauken and Maple Shade Police Departments.
The government is represented by Assistant U.S. Attorney Sara A. Aliabadi of the U.S. Attorney’s Office Criminal Division in Camden.
This investigation was coordinated through the Camden County Crime Collaboration (“C-4”). Every federal, state and local law enforcement agency and prosecutor’s office responsible for combating drug trafficking, gang activity and violent crime in Camden has come together in one location to share intelligence, develop strategies and support the investigative and prosecutorial efforts of its partners. C-4 has merged the individual missions of the various law enforcement agencies into a single strategic attack on drug trafficking and drug-related violent crime. Such intense coordination greatly enhances the law enforcement community’s ability to correctly identify and successfully prosecute Camden’s most dangerous criminals.
Defense counsel: Thomas Young Esq., Assistant Federal Defender, Philadelphia
Concert Promoter Arrested on Federal Fraud Charges that Allege He Solicited Investment Money that Was Never Used for Music EventsRead the Press Release
LOS ANGELES – A concert promoter with operations in Dallas, Texas and West Hollywood has been arrested on federal wire fraud charges in a case that alleges he defrauded investors in connection with concerts and other events.
Gabriel Martin Reed, 46, a former Malibu resident who recently relocated to Las Vegas, Nevada, was arrested by special agents with the Federal Bureau of Investigation on Saturday afternoon in McKinney, Texas.
Reed, who does business under the name Gabe Reed Productions, was arrested pursuant to a criminal complaint filed on April 19 in United States District Court in Los Angeles. The case against Reed was announced today after the complaint was unsealed during Reed’s first court appearance. The complaint charges Reed with wire fraud and aggravated identity theft.
Over an 8½-year period, Reed represented himself as a promoter and organizer of hard rock music events, as well as wrestling matches for World Wrestling Entertainment. According to the affidavit in support of the criminal complaint, Reed solicited investors in concert events by touting longstanding relationships with well-known musicians, showing props from alleged previous tours, and, in some instances, creating fabricated financial records related to music events.
The complaint alleges that Reed falsely told investors that musical artists had agreed to participate in events and that their funds would be used to provide up-front financing for the events. However, in many instances, the musical artists had not agreed to participate and, rather than using the funds for the events, Reed allegedly used the investors’ funds for personal expenses.
One Los Angeles investor agreed to put $100,000 into a concert tour Reed was calling “Titans of Rock.” However, many of the promised artists had not agreed to participate in the tour. An FBI review of bank records showed the victim’s money was used to pay for Reed’s personal expenses, including child support, costs related to a birthday, and meals at Ruth’s Chris Steakhouse and Mr. Chow in Beverly Hills, according to the affidavit. Over the course of several months in 2015, the $100,000 “had been depleted,” due in part to ATM withdrawals, and the FBI was “unable to identify the payment of any expenses related to a concert or tour,” the affidavit states.
The complaint alleges that Reed solicited money from at least 15 victims who suffered losses of at least $1.4 million.
Reed made his initial court appearance this morning in United States District Court in Sherman, Texas. Reed has agreed to appear in federal court Los Angeles at a date to be determined. He remains in custody until a detention hearing set for Friday in Texas.
Reed is charged with wire fraud for allegedly bilking the Titans of Rock investor and aggravated identity theft in relation to another promoter whose name Reed allegedly used in connection with the wire fraud.
A criminal complaint contains allegations that a defendant has committed a crime. Every defendant is presumed to be innocent until and unless proven guilty in court.
If he is convicted of the charges, Reed would face a statutory maximum sentence of 20 years in federal prison for the wire fraud count and a mandatory, consecutive two-year sentence for the aggravated identity theft charge.
Investors who provided money to Reed and believe they were defrauded should contact the FBI’s Los Angeles Field Office at (310) 477-6565.
The case against Reed is being investigated by the FBI.
This case is being prosecuted by Assistant United States Attorney Poonam Kumar of the Major Frauds Section.
Concert Promoter Arrested on Federal Fraud Charges that Allege He Solicited Investment Money that Was Never Used for Music EventsRead the Press Release
LOS ANGELES – A concert promoter with operations in Dallas, Texas and West Hollywood has been arrested on federal wire fraud charges in a case that alleges he defrauded investors in connection with concerts and other events.
Gabriel Martin Reed, 46, a former Malibu resident who recently relocated to Las Vegas, Nevada, was arrested by special agents with the Federal Bureau of Investigation on Saturday afternoon in McKinney, Texas.
Reed, who does business under the name Gabe Reed Productions, was arrested pursuant to a criminal complaint filed on April 19 in United States District Court in Los Angeles. The case against Reed was announced today after the complaint was unsealed during Reed’s first court appearance. The complaint charges Reed with wire fraud and aggravated identity theft.
Over an 8½-year period, Reed represented himself as a promoter and organizer of hard rock music events, as well as wrestling matches for World Wrestling Entertainment. According to the affidavit in support of the criminal complaint, Reed solicited investors in concert events by touting longstanding relationships with well-known musicians, showing props from alleged previous tours, and, in some instances, creating fabricated financial records related to music events.
The complaint alleges that Reed falsely told investors that musical artists had agreed to participate in events and that their funds would be used to provide up-front financing for the events. However, in many instances, the musical artists had not agreed to participate and, rather than using the funds for the events, Reed allegedly used the investors’ funds for personal expenses.
One Los Angeles investor agreed to put $100,000 into a concert tour Reed was calling “Titans of Rock.” However, many of the promised artists had not agreed to participate in the tour. An FBI review of bank records showed the victim’s money was used to pay for Reed’s personal expenses, including child support, costs related to a birthday, and meals at Ruth’s Chris Steakhouse and Mr. Chow in Beverly Hills, according to the affidavit. Over the course of several months in 2015, the $100,000 “had been depleted,” due in part to ATM withdrawals, and the FBI was “unable to identify the payment of any expenses related to a concert or tour,” the affidavit states.
The complaint alleges that Reed solicited money from at least 15 victims who suffered losses of at least $1.4 million.
Reed made his initial court appearance this morning in United States District Court in Sherman, Texas. Reed has agreed to appear in federal court Los Angeles at a date to be determined. He remains in custody until a detention hearing set for Friday in Texas.
Reed is charged with wire fraud for allegedly bilking the Titans of Rock investor and aggravated identity theft in relation to another promoter whose name Reed allegedly used in connection with the wire fraud.
A criminal complaint contains allegations that a defendant has committed a crime. Every defendant is presumed to be innocent until and unless proven guilty in court.
If he convicted of the charges, Reed would face a statutory maximum sentence of 20 years in federal prison for the wire fraud count and a mandatory, consecutive two-year sentence for the aggravated identity theft charge. Investors who provided money to Reed and believe they were defrauded should contact the FBI’s Los Angeles Field Office at (310) 477-6565.
The case against Reed is being investigated by the FBI. This case is being prosecuted by Assistant United States Attorney Poonam Kumar of the Major Frauds Section.
Carlisle Man Sentenced to 11 Years’ Imprisonment for Two Bank RobberiesRead the Press Release
HARRISBURG - The United States Attorney’s Office for the Middle District of Pennsylvania announced today that Jeffrey Turns, age 33, of Carlisle, Pennsylvania, was sentenced on May 1, 2017, before United States District Court Judge John E. Jones, III, to 132 months’ imprisonment for committing two bank robberies and federal firearms charges.
According to United States Attorney Bruce D. Brandler, Turns robbed two banks in August 2015, a Fulton Bank in Dillsburg, Pennsylvania, on August 12, 2015, and a Santander Bank in Mechanicsburg, Pennsylvania, on August 27, 2015. During the Santander Bank robbery, Turns threatened the tellers by brandishing a firearm. Turns was apprehended just after the August 27, 2015, bank robbery through a cooperative effort by Upper Allen Township Police Department, Camp Hill Police Department, Lower Allen Township Police Department, and the Pennsylvania State Police. When taken into custody, Turns was fleeing from the bank in a stolen car with the firearm in his waistband, and nine additional stolen firearms in the back of the car.
As a part of his sentence, Judge Jones ordered Turns to serve a term of three years of supervised release at the conclusion of his prison sentence. Turns must also pay restitution in the amount of $3,471 to Fulton Bank. Officers recovered the money that Turns had stolen from Santander Bank from Turns at the time of his arrest.
This case was investigated by the Federal Bureau of Investigation, the Mechanicsburg Police Department, and the Carroll Township Police Department. This case is being prosecuted by Assistant United States Attorney Meredith A. Taylor.
This case was brought as part of the Violent Crime Reduction Partnership (“VCRP”), a district wide initiative to combat the spread of violent crime in the Middle District of Pennsylvania. Led by the United States Attorney’s Office, the VCRP consists of federal, state and local law enforcement agencies whose mission is to locate, apprehend, and prosecute individuals who commit violent crimes with firearms.
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Career Offender Sentenced to More Than 18 Years for Armed Drug TraffickingRead the Press Release
Tampa, FL – U.S. District Judge Charlene E. Honeywell has sentenced Michael D. Richardson, Jr. (25, Hillsborough County) to 18 years and 4 months in federal prison for possessing with the intent to distribute 50 grams or more of a mixture of methamphetamine and for possessing a firearm in furtherance of a drug-trafficking crime. He pleaded guilty on November 2, 2016.
According to court documents, in May 2015, law enforcement officers arrested Richardson after he was seen driving a stolen car. The officers recovered distribution quantities of crack cocaine and methamphetamine from inside the car. In July 2015, as officers approached Richardson in another stolen car, he fled on foot. The officers ultimately arrested Richardson who was carrying a bag containing multiple baggies of methamphetamine. Officers recovered more methamphetamine, hydrocodone (a prescription opiate), and a loaded handgun from inside the stolen car. Between his May and July arrests, Richardson possessed with the intent to distribute 24.6 grams of crack cocaine, 60 hydrocodone pills, and 203 grams of methamphetamine. At the time of his arrest, Richardson had multiple prior felony convictions including robbery, robbery with a firearm, and battery.
This case was investigated by the Drug Enforcement Administration, the Hillsborough County Sheriff’s Office, and the Plant City Police Department. It was prosecuted by Assistant United States Attorney Gregory T. Nolan.
California Woman Pleads Guilty to Federal Meth Trafficking Charge in New MexicoRead the Press Release
ALBUQUERQUE – Natalie Orozco, 30, of Los Angeles, Calif., pled guilty today in federal court in Albuquerque, N.M., to a methamphetamine trafficking charge. The plea agreement recommends that Orozco be sentenced to ten years of imprisonment followed by a term of supervised release to be determined by the court. The guilty plea was announced by Acting U.S. Attorney James D. Tierney and Special Agent in Charge Will R. Glaspy of the DEA’s El Paso Division.
The DEA arrested Orozco in May 2016, after seizing approximately 1.4 kilograms (3.08 pounds) of methamphetamine from her during an interdiction investigation at the Amtrak Train Station in Albuquerque. During a post-arrest statement, Orozco acknowledged that she was transporting the methamphetamine to Indianapolis, Ind., in exchange for money.
Orozco subsequently was indicted on May 25, 2016, and charged with possession of methamphetamine with intent to distribute on May 9, 2016, in Bernalillo County, N.M.
During today’s proceedings, Orozco pled guilty to the indictment and admitted possessing methamphetamine concealed inside a backpack while traveling to Albuquerque on an Amtrak Train on May 9, 2016. Orozco also admitted that she was transporting the methamphetamine for money. Orozco remains in custody pending a sentencing hearing, which has yet to be scheduled.
This case was investigated by the Albuquerque office of the DEA and is being prosecuted by Assistant U.S. Attorney Eva Fontanez.
Brockton Man Sentenced on Fentanyl and Firearms ChargesRead the Press Release
BOSTON – A Brockton man was sentenced yesterday in federal court in Boston for trafficking fentanyl and possession of a firearm.
Luis DaCosta, 23, aka “Jesse” and “Slu,” a Legal Permanent Resident, was sentenced by U.S. District Court Judge William G. Young to 106 months in prison and five years of supervised release, during which time he will be prohibited from associating with his co-conspirators and certain other Brockton gang members. DaCosta is subject to immigration proceedings, including deportation, after serving his sentence.
In January 2017, DaCosta pleaded guilty to conspiracy to possess with intent to distribute fentanyl and possession of a firearm during and in relation to a drug trafficking crime. In April 2016, DaCosta was arrested and charged in a criminal complaint, and in May 2016, he and six others were indicted on drug and firearm-related charges.
On numerous occasions from December 2015 to March 2016, DaCosta sold fentanyl in the Brockton area. On April 5, 2016, law enforcement seized a loaded Smith and Wesson 9mm handgun and more than 30 grams of fentanyl from the hotel room in which DaCosta and co-defendant Seidica Monteiro were staying. According to court documents, DaCosta has a violent history and gang associations. Specifically, DaCosta had been released on bail from Rhode Island state court after he allegedly shot a person on March 19, 2016. In addition, in February 2016, DaCosta sold fentanyl to a person that overdosed, but later recovered.
Monteiro pleaded guilty in January 20127 and is scheduled to be sentenced on July 10, 2017.
This case was brought as part of the federal response to the opioid abuse epidemic in Massachusetts. Fentanyl is a powerful synthetic opiate that is 50 to 100 times more potent than morphine, and is responsible for the increased number of overdose deaths in Massachusetts. In 2016, 75 percent of those who unintentionally overdosed had fentanyl in their systems, an increase of nearly 25 percent from the prior year.
Acting United States Attorney William D. Weinreb; Harold H. Shaw, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; Michael Ferguson, Special Agent in Charge of the Drug Enforcement Administration, New England Field Division; Colonel Richard D. McKeon, Superintendent of the Massachusetts State Police; Plymouth County District Attorney Timothy Cruz; and Brockton Police Chief John Crowley, made the announcement today. The case was investigated by the Federal Bureau of Investigation, the Massachusetts State Police assigned to the Plymouth Country District Attorney’s Office, MSP CAT Team, the Southeastern Massachusetts Gang Task Force, the New England High Intensity Drug Trafficking Area (HIDTA), and Brockton Police Department. Assistant U.S. Attorneys Glenn A. MacKinlay and Timothy Moran of Weinreb’s Organized Crime and Gang Unit prosecuted the case.
Bowie Woman Convicted of Fraud Scheme and ID TheftRead the Press Release
ALEXANDRIA, Va. – A Bowie, Maryland, woman was convicted today of bank fraud, mail fraud, and aggravated identity theft.
According to court records and evidence presented at trial, Tonia Latrice Lewis, 47, obtained the identities of dozens of victims and used those identities to open bank accounts and apply for loans in the names of the victims, without their knowledge or consent. Lewis submitted over 30 applications to open accounts and get access to funds from various financial institutions, including Pentagon Federal Credit Union, Lafayette Federal Credit Union, U.S. Postal Service Federal Credit Union, Interior Federal Credit Union, D.C. Teachers Federal Credit Union, M&T Bank, and others. Lewis’ scheme included fabricating driver’s licenses and falsifying records submitted in support of these applications. Lewis used the proceeds from the fraud in part to purchase jewelry, items of clothing, and to gamble at a casino in West Virginia.
Lewis faces a maximum penalty of 30 years in prison and a fine of $1 million for the bank fraud, 30 years in prison and a fine of $1 million for the mail fraud, and mandatory minimum penalty of two years in prison for the aggravated identity theft when sentenced on August 18. 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; Robert B. Wemyss, Inspector in Charge of the Washington Division of the U.S. Postal Inspection Service; J. Thomas Manger, Montgomery County Chief of Police, made the announcement after a bench trial before Senior U.S. District Judge Claude M. Hilton. Assistant U.S. Attorney Katherine L. Wong and Michael Culhane Harper of the Criminal Division’s Fraud Section are prosecuting the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information is located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:17-cr-25.
Blood Testing Laboratory to Pay $6 Million to Settle Allegations of Kickbacks and Unnecessary TestingRead the Press Release
Contact Person: Office of Public Affairs (202) 514-2007
WASHINGTON – Quest Diagnostics Inc. has agreed to pay $6 million to resolve a lawsuit by the United States alleging that Berkeley HeartLab Inc., of Alameda, California, violated the False Claims Act by paying kickbacks to physicians and patients to induce the use of Berkeley for blood testing services and by charging for medically unnecessary tests. Quest, which is headquartered in Madison, New Jersey, acquired Berkeley in 2011, and ended the conduct that gave rise to the settlement.
“We rely on doctors to provide honest, independent recommendations regarding clinical testing,” said Acting Assistant Attorney General Chad A. Readler of the Justice Department’s Civil Division. “Companies that pay kickbacks to referring doctors corrupt those doctors’ independence, leaving patients vulnerable to expensive and unnecessary testing.”
Physicians refer their patients to independent laboratories like Berkeley to conduct tests on blood samples. According to the government’s complaint, Berkeley paid kickbacks to referring physicians disguised as “process and handling” fees. The complaint also alleged that Berkeley paid kickbacks to patients by routinely waiving copayments owed by certain patients who were legally required to pay for part of their tests. Allegedly, Berkeley paid the kickbacks to induce both the physicians and patients who received them to choose Berkeley over other laboratories. The government’s complaint further alleged that these illegal practices resulted in medically unnecessary cardiovascular tests being charged to federal healthcare programs.The Anti-Kickback Statute prohibits offering, paying, soliciting or receiving remuneration to induce referrals of items or services covered by federally funded programs. The Anti-Kickback Statute is intended to ensure that a physician’s medical judgment is not compromised by improper financial incentives and is instead based on the best interests of the patient. The Anti-Kickback Statute also prohibits routinely waiving patient copayments to ensure that patients are appropriately incentivized to refuse unnecessary tests.
“The South Carolina U.S. Attorney’s Office has dedicated considerable resources to pursuing fraud cases that divert federal tax payer dollars from important programs, like health care and defense contracting,” said U.S. Attorney Beth Drake of the District of South Carolina. “The goal for our qui tam unit is to protect taxpayers, patients, and soldiers by ensuring that important decisions are made according to medical science and engineering, and not based on dollar signs.”
“This settlement is part of the government’s ongoing efforts to address conduct that allows medical decisions to be influenced by money rather than the best interests of patients,” said U.S. Attorney Channing D. Phillips of the District of Columbia. “Our office is pleased to defend the integrity of our healthcare system and to demand the return of ill-gotten gains.”
“We will not allow laboratories to provide financial incentives to induce physicians to steer patients their way,” said Special Agent in Charge Derrick L. Jackson of the U.S. Department of Health and Human Services, Office of Inspector General (HHS-OIG) in Atlanta. “The Office of Inspector General will continue to work aggressively to eliminate this type of behavior which ultimately drives up healthcare costs and eliminates fair competition.”
The lawsuit was initially filed by Dr. Michael Mayes under the qui tam, or whistleblower, provisions of the False Claims Act. Under the act, private citizens can bring suit on behalf of the government for false claims and share in any recovery. The act permits the United States to intervene in and take over a whistleblower suit. The United States partially intervened in this and two related actions on March 31, 2015, and is continuing to pursue claims against the remaining defendants: Latonya Mallory, the former CEO of Health Diagnostics Laboratory Inc., and marketing company BlueWave Healthcare Consultants Inc. and its owners, Floyd Calhoun Dent III and Robert Bradford Johnson. Dr. Mayes’ share of the settlement with Quest has not been determined.
On April 9, 2015, the United States announced settlements with two other laboratories - Health Diagnostics Laboratory Inc. of Richmond, Virginia, and Singulex Inc., of Alameda, California - for engaging in conduct similar to that resolved in the settlement with Quest.
The government’s intervention in this matter illustrates the government’s emphasis on combating health care fraud. One of the most powerful tools in this effort is the False Claims Act. Tips and complaints from all sources about potential fraud, waste, abuse, and mismanagement, can be reported to the Department of Health and Human Services, at 800-HHS-TIPS (800-447-8477).
This matter was investigated by the Civil Division’s Commercial Litigation Branch, the U.S. Attorney’s Offices for the District of South Carolina and the District of Columbia, FBI’s Columbia Field Office and the FBI Healthcare Fraud Unit Major Provider Response Team (MPRT), HHS-OIG, the U.S. Office of Personnel Management’s Office of Inspector General, and the Department of Defense’s Office of Inspector General Defense Criminal Investigative Service.
The cases is captioned United States ex rel. Mayes v. Berkeley HeartLab Inc., et al., Case No. 9:11-CV-01593-RMG (D.S.C.). The claims settled by these agreements and asserted against these companies and individuals are allegations only, and there has been no determination of liability.
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Baltimore, Maryland Man Sentenced to 8 Years in Federal Prison for His Role in Six Year Scam Using Fake Companies and False Documentation to Defraud Car Dealers and LendersRead the Press Release
Baltimore, Maryland – On May 1, 2017, U.S. District Judge Catherine C. Blake sentenced Sean Stanley Jackson, age 44, of Baltimore, Maryland to eight years in federal prison, followed by three years of supervised release, for conspiracy to commit wire fraud and money laundering charges as the leader of a scheme to defraud auto dealers in Anne Arundel, Howard, Baltimore and Montgomery counties and nation-wide financial lenders. Judge Blake also ordered Jackson to pay forfeiture and restitution in the amount of $692,587.63.
The sentence was announced by Acting United States Attorney for the District of Maryland Stephen M. Schenning; Special Agent in Charge Kimberly Lappin of the Internal Revenue Service - Criminal Investigation, Washington, D.C. Field Office; Chief Terrence B. Sheridan of the Baltimore County Police Department; and Commissioner Kevin Davis of the Baltimore Police Department.
According to his plea agreement, from January 2010 to February 2016, Jackson, and his co-Defendants Erika P. Ryles, and Walter J. Perry, III conspired to make false representations on loan applications to lenders in order to obtain loans to purchase vehicles from dealers, for which they were not financially qualified. Jackson and his co-conspirators organized and registered shell entities, including The Black Group LLC, which they used to make false representations in loan applications. For example, the conspirators falsely represented that The Black Group was a legitimate, thriving business with millions of dollars in annual revenues. To support their false representations, the defendants created fake documents, including paystubs, bank account statements, utility bills and corporate tax returns and schedules for the shell entities, which they submitted with auto loan applications, and to banks and other lenders.
On December 5, 2013, Jackson sent a message to Ryles asking her to create a fake bank account statement showing specific deposits and balance, which she did. Jackson and another co-conspirator, who was an elderly family member, then used the fraudulent bank statement to apply for loans on behalf of The Black Group on two different 2014 Ford F450 trucks, a Chevrolet Express Van, and a 2009 Audi A8. After obtaining more than $246,349 to purchase the four vehicles, Jackson and the co-conspirator defaulted on the loans, causing losses to the lender. In June 2014, Ryles again prepared false bank statements at Jackson’s request. Jackson and the co-conspirator then used the false bank statement in support of a loan application to purchase a 2006 5900i International Dump Truck. After receiving the financing to purchase the dump truck, Jackson and the co-conspirator again defaulted on the loan, causing a loss to the lender.
Jackson also used The Black Group to launder proceeds he obtained from the sale of a 2012 Chevrolet Avalanche. On May 10, 2012, Jackson submitted a false loan application and obtained $63,067.38, to finance the purchase of a 2012 Chevrolet Avalanche. After a few months, Jackson stopped making payments on the loan and the lender attempted to repossess the vehicle, but was unsuccessful since Jackson did not live at the address he provided on the loan application. Jackson continued using the vehicle. On November 29, 2014, Jackson went to a title shop in Maryland and presented a Mississippi title for the Avalanche which reflected that the vehicle had been sold to The Black Group on November 24, 2014, by the original owner, Thomas Mack, and that the vehicle did not have any outstanding liens. In order to conceal the true ownership of the vehicle, Jackson used the Mississippi title to obtain a Maryland MVA title on the Avalanche in the name of The Black Group. On December 15, 2014, Jackson, acting as a representative of The Black Group, sold the Avalanche to a car dealership in Maryland for $34,000, receiving a check in that amount made payable to The Black Group.
The next day, Jackson directed Perry to open two bank accounts representing that Perry owned a company called “Black Group,” and had Perry deposit the check from the sale of the Avalanche into one of those accounts. On December 18, 2014, at Jackson’s direction, Perry use the funds in that account to purchase three cashiers’ checks totaling $23,000, each made payable to Jackson. In addition, Perry withdrew $8,000 in cash and gave the money to Jackson. On January 9, 2015, Jackson had Perry purchase the Avalanche from the dealership where he’d sold it. At Jackson’s direction, Perry applied for a loan to purchase the vehicle, falsely stating that he was president of the Black Group LLC. Jackson provided Perry with two fake pay stubs, which Perry used as part of his loan application.
Acting United States Attorney Stephen M. Schenning commended the IRS - Criminal Investigation and Baltimore County and City Police Departments for their work in the investigation. Mr. Schenning thanked Assistant U.S. Attorneys Phil Selden and Dana J. Brusca, who prosecuted the case.
Baltimore Sex Offender Sentenced to 35 Years in Federal Prison for Production of Child PornographyRead the Press Release
Baltimore, Maryland – U.S. District Judge Ellen L. Hollander sentenced Louis Frances Bradley, age 66, of Baltimore, Maryland today to 35 years in prison, followed by a lifetime supervised release, for production of child pornography. Bradley has four previous state convictions on charges related to the sexual exploitation of children.
The sentence was announced by Acting United States Attorney for the District of Maryland Stephen M. Schenning; Special Agent in Charge Gordon B. Johnson of the Federal Bureau of Investigation, Baltimore Field Office; and Commissioner Kevin Davis of the Baltimore Police Department.
According to his plea agreement, between 2014 and 2016, Bradley paid numerous women in the Philippines to take sexually explicit photos of prepubescent females and send the images to Bradley using social media. Bradley also paid the women to expose their genitals to Bradley using video streaming programs.
Bradley created two social media accounts and used the accounts to become “friends” with hundreds of young women who lived in the Philippines. Many of the women “friended” by Bradley had prepubescent children or access to prepubescent children. Bradley asked the women to send sexually explicit images of prepubescent females under their care in exchange for money. Bradley admitted that he sent 120 payments to at least 17 payees in the Philippines, totaling $8,291. At least six of the recipients sent Bradley images or videos of children engaged in sexually explicit conduct in exchange for the payments.
As part of his plea agreement, Bradley must continue to register as a sex offender in the place where he resides, where he is an employee, and where he is a student, under the Sex Offender Registration and Notification Act (SORNA).
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc. For more information about internet safety education, please visit www.justice.gov/psc and click on the "resources" tab on the left of the page.
Acting United States Attorney Stephen M. Schenning commended the FBI and Baltimore Police Department for their work in the investigation. Mr. Schenning thanked Assistant U.S. Attorney Paul E. Budlow, who prosecuted the case.
Austin Man Indicted on Federal Firearms ChargeRead the Press Release
In Austin today, a federal grand jury returned an indictment against 50-year-old Steven Thomas Boehle for possession of a firearm by a prohibited person announced United States Attorney Richard L. Durbin, Jr.; and Federal Bureau of Investigation (FBI) Special Agent in Charge Christopher Combs, San Antonio Division.
The indictment alleges that on April 12, 2017, Boehle was in possession of three firearms, namely semi-automatic pistols, while being an unlawful user of a controlled substance.
According to court records, last month, FBI Joint Terrorism Task Force (JTTF) agents received information that an individual, subsequently identified as the defendant, was planning to conduct a mass shooting.
On April 12, 2017, a State search warrant stemming from a narcotics investigation was executed at the Boehle’s residence. At that time, authorities seized the three firearms and over one thousand rounds of ammunition.
A federal search warrant was executed on April 14, 2017, at a storage unit in Austin that was leased by Boehle. Agents recovered ten long guns (rifles and shotguns) during the execution of that search warrant.
Boehle faces up to ten years in federal prison upon conviction. Yesterday, a federal magistrate judge in Austin set bond at $10,000 for Boehle. Boehle remains in custody while the U.S. District Court reviews the release order. The case has been assigned to U.S. District Judge Sam Sparks. No hearings have been scheduled at this time.
The FBI JTTF conducted this investigation with assistance from the Austin Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives. Assistant United States Attorney Gregg N. Sofer is prosecuting this case on behalf of the Government.
It is important to note that an indictment is merely a charge and should not be considered as evidence of guilt. The defendant is presumed innocent until proven guilty in a court of law.
Albuquerque Man Pleads Guilty to Federal Methamphetamine Trafficking ChargeRead the Press Release
ALBUQUERQUE – Dwayne Cunningham, 49, of Albuquerque, N.M., pled guilty today in federal court to a methamphetamine trafficking charge. Cunningham’s plea agreement includes a recommendation that he be sentenced to 60 months of imprisonment followed by a term of supervised release to be determined by the court.
Cunningham and co-defendants Devell Devoual, 35, and Cedric Laneham, 39, were arrested during an ATF-led investigation that resulted in the filing of 59 federal indictments and a federal criminal complaint charging 104 Bernalillo County residents with federal firearms and narcotics trafficking offenses. The investigation began in mid-April 2016, when ATF personnel from throughout the country joined forces with federal, state, county and local law enforcement agencies in New Mexico to combat the high rate of violent crime in the Albuquerque metropolitan area. The investigators utilized a number of investigative techniques, including undercover operations, historical investigation and targeting of multi-convicted felons in possession of firearms.
The investigation was undertaken in support of a federal anti-violence initiative that targets “the worst of the worst” offenders for federal prosecution. Under this initiative, the U.S. Attorney’s Office and federal law enforcement agencies collaborate with New Mexico’s District Attorneys and state, local and tribal law enforcement agencies to target violent or repeat offenders for federal prosecution primarily based on their prior criminal convictions with the goal of removing repeat offenders from communities in New Mexico for as long as possible.
Cunningham and his co-defendants were arrested in July 2016, on an indictment charging them with conspiring to distribute methamphetamine between May 16, 2016 and June 2, 2016; Devoual and Laneham with distributing methamphetamine on May 17, 2016; and Devoual and Cunningham with possessing methamphetamine with intent to distribute on June 2, 2016. According to the indictment, the defendants committed the offenses in Bernalillo County, N.M.
During today’s proceedings, Cunningham pled guilty to distributing more than 50 grams of methamphetamine on May 17, 2016. Cunningham remains in custody pending a sentencing hearing, which has yet to be scheduled.
To date, 46 of the 104 defendants including Lucero have entered guilty pleas, and 18 have been sentenced. The remaining defendants, including Devoual and Laneham, have entered not guilty pleas. Charges in indictments are merely accusations and defendants are presumed innocent unless found guilty in a court of law.
These cases were investigated by the Albuquerque office of ATF. This case was prosecuted by Assistant U.S. Attorneys David M. Walsh and Norman Cairns.
Monday 1 May 2017
York County Man Indicted for Robbery and Firearms OffensesRead the Press Release
HARRISBURG – The United States Attorney’s Office for the Middle District of Pennsylvania announced today that Anthony Johnson, age 49, a resident of York, Pennsylvania, was indicted on April 19, 2017, by a federal grand jury on robbery and federal firearms charges. The indictment was unsealed today.
According to U.S. Attorney Bruce D. Brandler, Johnson and his co-conspirator robbed and shot a victim on Girard Avenue, York, on January 9, 2016. During the investigation, the U.S. Marshals Task Force and York City officers recovered a stolen Smith and Wesson 9mm caliber semiautomatic pistol and three Luger cartridges from Johnson’s co-conspirator during her arrest.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the York City Police Department. Assistant United States Attorney Meredith A. Taylor is prosecuting the case.
This case was brought as part of the Violent Crime Reduction Partnership (“VCRP”), a district wide initiative to combat the spread of violent crime in the Middle District of Pennsylvania. Led by the United States Attorney’s Office, the VCRP consists of federal, state and local law enforcement agencies whose mission is to locate, apprehend, and prosecute individuals who commit violent crimes with firearms.
Indictments and Criminal Informations 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 lifetime 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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York County Man Indicted for Drug Trafficking and Firearms OffensesRead the Press Release
HARRISBURG – The United States Attorney’s Office for the Middle District of Pennsylvania announced today that Anthony Corsa, age 31, of York, Pennsylvania, was indicted on April 19, 2017, by a federal grand jury on drug trafficking and firearms charges. The indictment was unsealed on April 28, 2017.
According to United States Attorney Bruce D. Brandler, the indictment alleges that in October 2016, Corsa was in possession of an Iver Johnson .32 caliber revolver, acrylfentanyl, and drug packaging materials with intent to distribute. The drugs seized in this case tested positive for acrylfentanyl, which is a potent and dangerous derivative of fentanyl, and has already been responsible for several deaths in Pennsylvania. The indictment also alleges that Corsa is a convicted felon, making it illegal for him to possess a firearm.
The case was investigated by the Alcohol, Tobacco, Firearms and Explosives, and the York County Police Department. Assistant U.S. Attorney Meredith A. Taylor is prosecuting the case.
This case was brought as part of the Violent Crime Reduction Partnership (“VCRP”), a district wide initiative to combat the spread of violent crime in the Middle District of Pennsylvania. Led by the United States Attorney’s Office, the VCRP consists of federal, state and local law enforcement agencies whose mission is to locate, apprehend, and prosecute individuals who commit violent crimes with firearms.
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 lifetime 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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Woodbury Man Pleads Guilty to Stealing Deceased Relatives' IdentitiesRead the Press Release
George Ronzell Fyke, 40, of Woodbury, Tennessee, pleaded guilty today to aggravated identity theft and theft of government funds, announced Jack Smith, Acting U.S. Attorney for the Middle District of Tennessee.
According to the plea agreement, Fyke stole names and social security numbers of deceased relatives and from fellow inmates at the Montgomery County, Tenn. Jail and used them to file false income tax returns. Fyke had the tax refund checks sent to addresses under his control and after being released from jail, he forged the signatures of the stolen identities and deposited the refund checks and into his bank accounts. Fyke caused the Department of Treasury to release over $56,000 in unlawful tax refunds.
As part of his plea agreement, Fyke has agreed to a sentence of 48 months in prison and to pay restitution to the IRS. Fyke also faces a period of supervised release and other monetary penalties.
Sentencing is scheduled for August 14, 2017.
This case was investigated by the IRS-Criminal Investigation and is being prosecuted by Assistant U.S. Attorney Ryan Raybould.
Warrensburg Man Sentenced for Child PornographyRead the Press Release
KANSAS CITY, Mo. – Tom Larson, Acting United States Attorney for the Western District of Missouri, announced that a Warrensburg, Mo., man who amassed a large collection of child pornography was sentenced in federal court today.
Timothy K. Jokubeit, 36, of Warrensburg, was sentenced by U.S. District Judge Gary A. Fenner to eight years and one month in federal prison without parole.
On May 24, 2016, Jokubeit pleaded guilty to one count of receiving child pornography over the Internet and one count of possessing child pornography.
Law enforcement officers executed a search warrant at Jokubeit’s residence on May 28, 2015, and seized a laptop computer, an external hard drive and two SD cards. Those devices contained more than 2,200 images of child pornography and more than 300 videos of child pornography, including images and video of children depicted in acts of bondage and adult/toddler rape scenes. According to court documents, the majority of the images and videos of child pornography depicted children under the age of 12.
Jokubeit told investigators he had been downloading child pornography for over 20 years.
This case was prosecuted by Assistant U.S. Attorney David Barnes. It was investigated by the Dent County, Mo., Sheriff’s Department and the Missouri State Highway Patrol.
Project Safe Childhood
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc . For more information about Internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
U.S. Attorney Parker Hosts Bi-Annual Community Council MeetingRead the Press Release
DALLAS —U.S. Attorney John Parker of the Northern District of Texas hosted a bi-annual meeting of the U.S. Attorney’s Community Council in Dallas last week. A group of community leaders which include law enforcement, civil rights, faith-based groups, and other organizations throughout north Texas convened to foster understanding and communication among people with varied perspectives, but with common interests.
“This council gathers in recognition of the fact that we have much more in common than divides us,” said U.S. Attorney Parker. “We have different experiences and perspectives, the respectful sharing of which is important in building trust and stronger communities.”
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Two District Men Indicted on Federal Charges for Series of Armed Robberies of Convenience StoresRead the Press Release
WASHINGTON – Darrell Blackwell, 24, and Michael Kemp, 27, both of Washington, D.C., have been indicted on federal charges alleging that they conspired to commit a series of armed robberies of 7-Eleven convenience stores in the District of Columbia and Maryland.
The indictment was announced today by U.S. Attorney Channing D. Phillips and Peter Newsham, Acting Chief of the Metropolitan Police Department (MPD).
Blackwell was arrested on April 28, 2017 in the District of Columbia and made his first appearance today in the U.S. District Court for the District of Columbia. He was ordered held pending a detention hearing set for May 4, 2017. Also, a status hearing in his case is set for May 9, 2017, before the Honorable Amy Berman Jackson.
Kemp will be presented at a future date. He will be brought to the District of Columbia, by writ, from Maryland where is serving a sentence on unrelated charges.
The indictment, filed last month, charges Blackwell with one count of conspiracy to interfere with commerce by robbery; two counts of interference with interstate commerce by robbery; two counts of armed robbery; two counts of unauthorized use of a vehicle in a crime of violence, and 12 federal firearms offenses.
The indictment charges Kemp with one count of conspiracy to interfere with commerce by robbery; two counts of interference with interstate commerce by robbery; two counts of armed robbery; two counts of unauthorized use of a vehicle during a crime of violence, and five federal firearms offenses.
The indictment also includes a forfeiture allegation seeking all proceeds that can be traced to the firearms offenses.
According to the indictment, Blackwell and Kemp conspired to and executed the armed robberies of six 7-Eleven convenience stores, and individual patrons of those stores, in the District of Columbia and Maryland between January and June 2013. As alleged in the indictment, from January through June 2013, Blackwell, Kemp and others, engaged in a conspiracy to commit a series of armed robberies of 7-Eleven convenience stores, businesses engaged in and affecting interstate commerce, obtaining cash and lottery tickets for their own benefit. According to the indictment, Blackwell, Kemp, and others, used firearms in the commission of these offenses and robbed individual patrons, present at some of the robberies. Lastly, the indictment alleges that Blackwell and Kemp used, without authorization, cars belonging to others in the execution of the armed robberies.
The robberies took place on the following dates and times:
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Jan. 5, 2013, approximately 5:20 a.m.: 4100 block of Kenilworth Avenue, Bladensburg, Md.
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Jan. 25, 2013, approximately 4:30 a.m.: 1900 block of Rhode Island Avenue NE.
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Jan. 27, 2013, approximately 8:10 p.m.: 7900 block of Georgia Avenue, Silver Spring, Md.
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Jan. 31, 2013, approximately 11:40 p.m. 7400 block of Georgia Avenue NW.
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Feb. 16, 2013, approximately 3:05 p.m.: 8200 block of Georgia Avenue, Silver Spring, Md.
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June 12, 2013, approximately 2:50 p.m.: 2500 block of Benning Road NE.
An indictment is merely a formal charge that a defendant has committed a violation of criminal laws and every defendant is presumed innocent until, and unless, proven guilty.
In announcing the charges, U.S. Attorney Phillips and Acting Chief Newsham expressed appreciation for the work performed by detectives and officers of the Metropolitan Police Department. They also expressed appreciation for the assistance provided by the Montgomery County, Md. Police Department and the City of Bladensburg, Md. Police Department. They acknowledged the efforts of those who worked on the case from the U.S. Attorney’s Office, including, Paralegal Specialist Teesha Tobias, and Legal Assistants Peter Gaboton and Kate Abrey. Finally, they commended the work of Assistant U.S. Attorneys Jennifer Kerkhoff and Kacie Weston, who are prosecuting the case.
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Tonawanda Man Sentenced to 20 Years on Child Pornography 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 David Barraclough, 32, of Tonawanda, NY, who was convicted of possession of child pornography, was sentenced to 240 months in prison and lifetime supervised release by U.S. District Judge Lawrence J. Vilardo.
Assistant U.S. Attorney Mary Catherine Baumgarten, who handling the case, stated that on November 12, 2014, the defendant was charged with endangering the welfare of a child in violation of New York State law. While in custody related on that arrest, two individuals began cleaning out Barraclough’s apartment so that it could be rented to another tenant. The two individuals discovered a thumb drive above a door jamb in the defendant’s bedroom and contacted the Tonawanda Police Department. Officers took possession of the thumb drive along with an Android tablet belonging to Barraclough. A forensic analysis uncovered 238 images and five videos containing child pornography.
The Android tablet also contained multiple sexual conversations that occurred via “Kik” and “ooVoo” applications between the defendant, using the screen name “lordxavior,” and a young girl (the Minor Victim). The Minor Victim was 14-years old at the time Barraclough communicated with her. During the conversations, the defendant described performing oral sex and having intercourse with the Minor Victim and sent the Minor Victim a sexual photograph. The Minor Victim also sent pictures and videos of herself to the defendant.
On March 4, 2010, the defendant was convicted in NYS Supreme Court of possessing a sexual performance by a child and endangering the welfare of a child and sentenced to time served and 10 years probation.On December 1, 2010, the defendant was convicted in NYS Supreme Court for failing to register as a sex offender and sexual misconduct. Barraclough was sentenced to 12 months in jail.
The sentencing is the culmination of an investigation by the Federal Bureau of Investigation, under the direction of Special Agent-in-Charge Adam S. Cohen; the Town of Tonawanda Police Department, under the direction of Chief Jerome C. Uschold III; and the City of Tonawanda Police Department, under the direction of Chief William Strassburg.
Texan Sentenced in Designer Drug Case in KansasRead the Press Release
TOPEKA, KAN. - A Texas man was sentenced Monday to time served (two years) for selling designer drugs manufactured in Kansas, U.S. Attorney Tom Beall said.
Michael Myers, 37, Montgomery, Texas, pleaded guilty to one count of conspiracy to possess with intent to distribute controlled substances and one count of conspiracy to commit mail fraud.
Myers was indicted in April 2014 along with co-defendants Tracy Picanso and Roy Ehrett, the owners of an Olathe-based business that produced and sold dangerous controlled substances and controlled substance analogs of THC (the active ingredient in marijuana) and methcathinones (stimulants). Picanso and Ehrett are awaiting sentencing.
Picanso and Ehrett sold products to distributors under names including Pump It, Head Trip, Black Arts, Grave Digger, Voodoo Doll and Lights Out. Some of the counterfeit drugs were manufactured in buckets with drill-powered immersion mixers and tried out on “testers” who helped tweak the recipes.
Myers and co-defendant Michelle Reulet lived together in Houston, Texas, and owned and operated Bully Wholesale, an independent wholesaler and distributor of products purchased from Picanso and Ehrett.
Ehrett routinely traveled from Kansas City to Houston to pick up cash from Reulet and Myers. On at least two occasions Myers met Ehrett in Oklahoma to transfer in excess of $100,000 cash to him. Investigators collected emails and text messages exchanged among the defendants. In an October 2011 email, for instance, Myers claimed the fake weed he was selling would not show up on a drug test. In a January 2012 email to Ehrett, Myers says he and Reulet were buying $600,000 to $900,000 worth of products each month from Ehrett and Picanso.
Beall commended the Drug Enforcement Administration, the Food and Drug Administration – Office of Criminal Investigations, the Department of Homeland Security, Homeland Security Investigations, Customs and Border Protection, the FBI, the Overland Park Police Department, the Johnson County Sheriff’s Office, the Olathe Police Department, the St. Joseph Police Department and the Buchanan County Drug Strike Force, Assistant U.S. Attorney Tanya Treadway, Michael Varrone, associate chief counsel at the Food and Drug Administration, and Assistant U.S. Attorney Tony Mattivi for their work on the case.
Tax Cheat Sentenced to Prison for 15 MonthsRead the Press Release
MDOC Inmate Timothy Lofton, Jr., executed a tax fraud scheme while incarcerated.
GRAND RAPIDS, MICHIGAN — Acting U.S. Attorney Andrew Birge announced today that Timothy Lofton, Jr., age 34, received a sentence of 15 months in prison for his role in a tax fraud scheme that Lofton led while in jail. The Hon. Robert Jonker also ordered restitution in the amount of $2,319.
In 2011, Lofton was a prisoner in the Michigan Department of Corrections (MDOC). While there, he obtained some of his fellow inmates’ personal identification information, such as name, social security number and date of birth. Lofton shared the identification information with associates in the Benton Harbor, Michigan area. The associates then caused false federal tax returns to be filed based on the inmate identification information, without the inmates’ knowledge or permission. The federal tax returns requested tax refunds for each inmate, despite the fact that the listed income amounts were false and the inmates would never get the refunds. Although the scheme was pervasive and the IRS had initially paid out hundreds of thousands of dollars, the IRS was able to uncover the scheme in time and recover all but about $3,000.
Acting U.S. Attorney Birge pledged his office’s resources to prosecuting tax offenses. “Tax cheats steal from our federal budget and increase the burden on the honest and responsible citizens. Tax cheats will be held accountable and we will do everything we can to get every cent back-- including asking courts to order offenders to repay what we haven’t yet recovered.”
“The IRS aggressively pursues those who hijack others’ identities in order to file false returns”, said IRS-Criminal Investigation Special Agent in Charge Manny Muriel. “As demonstrated in this case, during this tax season, the IRS collaborated with our partners to further prevent, detect and resolve identity theft cases.”
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Tallulah woman sentenced to 8 months in prison for stealing from customer accountsRead the Press Release
SHREVEPORT, La. – Acting U.S. Attorney Alexander C. Van Hook announced today that an assistant bank manager in Tallulah was sentenced to eight months in prison for stealing more than $24,000 from customer accounts.
Lois Love, 49, of Tallulah, La., was sentenced by U.S. District Judge S. Maurice Hicks Jr. on one count of theft or embezzlement by a bank employee or officer. She was also sentenced to five years of supervised release and ordered to pay $24,430.82 restitution. According to the December 20, 2016 guilty plea, Love worked as the assistant branch manager for a Tallulah bank from 1994 until 2014. Love was also the treasurer of the Madison Parish Economic and Development District (MPEDD). Love used her position as assistant branch manager to steal $24,430.82 from individual bank accounts and from the MPEDD from 2011 to 2014.
The FBI conducted the investigation. Assistant U.S. Attorney Mike O’Mara prosecuted the case.
Squirrel Hill Man Pleads Guilty to Defrauding InvestorsRead the Press Release
PITTSBURGH – A resident of Allegheny County, Pennsylvania has pleaded guilty to one count of wire fraud, Acting United States Attorney Soo C. Song announced today.
Golan Barak, 49, of Pittsburgh, PA, pleaded guilty to one count of 18 U.S.C. Section 1343 before the Senior U.S. District Judge Donetta W. Ambrose.
According to the information presented to the court, between 2013 and 2016, Barak falsely induced foreign nationals, mostly of Israeli descent, to invest with him in real estate in Pittsburgh, Pennsylvania, but fraudulently dissipated investors’ money for personal and business expenses, or to buy other properties, or to pay other investors. In particular, Barak admitted to defrauding one investor out of approximately $1,400,000 connected with the purchase of 12 pieces of real estate throughout the Pittsburgh area. The purchase money was used instead to buy other properties, or for Barak’s expenses in his management company, Ergo Management.
Judge Ambrose scheduled sentencing for August 21, 2017. The law provides for a total sentence of 20 years in prison, a fine of $250,000, or both at each count. Under the Federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offenses and the criminal history, if any, of the defendant.
Assistant United States Attorney Gregory C. Melucci is prosecuting this case on behalf of the government.
The FBI conducted the investigation leading to the conviction in this case.
Sampson County Drug Trafficker Sentenced for Cocaine, Methamphetamine, and Marijuana Conspiracy and Money Laundering Conspiracy; Texas Man Sentenced for Money Laundering ConspiracyRead the Press Release
RALEIGH – The United States Attorney’s Office for the Eastern District of North Carolina announced that in federal court on April 26, 2017, United States District Judge Terrence W. Boyle sentenced MARTIN ACOSTA, from Sampson County, North Carolina, to 420 months in prison and 5 years of supervised release for conspiracy to distribute and possess with the intent to distribute five kilograms or more of cocaine, five hundred grams or more of methamphetamine, and one hundred kilograms or more of marijuana, as well as conspiracy to launder monetary instruments. ACOSTA pled guilty to these charges on August 1, 2016.
Judge Boyle also sentenced codefendant NOE BARREIRO, from McAllen, Texas, to 84 months in prison for conspiracy to launder monetary instruments. BARREIRO pled guilty to this charge on August 1, 2016.
In 2009, the Drug Enforcement Administration (DEA), Wilmington, North Carolina, identified a drug trafficking organization (DTO) led by brothers Manual Acosta and MARTIN ACOSTA. Investigators determined that the DTO would hide narcotics in shipments of fruits and vegetables, including tomatoes. The DTO would ship the narcotics from Mexico into Texas, and then to various locations in the United States.
Within the Eastern District of North Carolina, the DTO primarily distributed cocaine and marijuana in Sampson County. The DTO also distributed narcotics (including methamphetamine and cocaine) from Texas to Illinois and from Florida to Georgia.
In total, investigators determined that the DTO was responsible for distributing more than 50,000 kilograms of cocaine.
Furthermore, DTO members concealed the proceeds of the criminal enterprise through multiple cash deposits. Drug proceeds were deposited into multiple bank accounts controlled by the defendants at various banks from North Carolina to Georgia. DTO members then made withdrawals of cash in Texas or sent international transfers of money to Mexico. The group was responsible for laundering more than $3,000,000 in DTO proceeds.
The case was investigated by the DEA Atlanta Strike Force, the DEA Ft. Meyers Resident Office, the DEA McAllen Field Office, the DEA Houston Resident Office, the DEA Wilmington Field Office, the Vance County Sheriff’s Office, the Sampson County Sheriff’s Office, the Internal Revenue Service – Criminal Investigations, and the Bureau of Alcohol, Tobacco, Firearms, & Explosives (ATF). The federal prosecution was handled by Assistant United States Attorneys Edward D. Gray and Scott Lemmon.
Richmond County Defendants Plead Guilty to Federal Methamphetamine ChargesRead the Press Release
GREENSBORO, N.C. – Four Richmond County defendants pleaded guilty today to methamphetamine-related offenses, announced Sandra J. Hairston, Acting United States Attorney for the Middle District of North Carolina.
Robert Ray Brayboy and Gina Marie Chavis each pleaded guilty to conspiracy to possess pseudoephedrine, a List I chemical, knowing or having reasonable cause to believe it would be used to manufacture methamphetamine, in violation of Title 21, United States Code, Sections 846 and 841(c)(2). Brayboy and Chavis each face up to 20 years imprisonment for this offense, up to a $250,000 fine, a term of supervised release of up to three years, and a $100 special assessment. Sentencing is scheduled for August 2, 2017, at 2:00 p.m. in Greensboro, Courtroom #1.
Andrew Jennings Roscoe, II, pleaded guilty to manufacturing methamphetamine, in violation of Title 21, United States Code, Section 841(a)(1), and manufacturing methamphetamine on premises where children are present or reside, in violation of Title 21, United States Code, Section 860a. Dorothy Ann Joyner also pleaded guilty to manufacturing methamphetamine on premises where children are present or reside, in violation of Title 21, United States Code, Section 860a. Roscoe faces up to 20 years imprisonment for the manufacturing methamphetamine offense, and a consecutive sentence of up to 20 years for the manufacturing methamphetamine offense related to children. Joyner faces up to 20 years for the manufacturing methamphetamine offense related to children. Roscoe is subject to a fine of up to $1 million and Joyner is subject to a fine of up to $250,000. Each is also subject to a term of supervised release of up to three years, and a $100 special assessment as to each count of conviction. Sentencing is scheduled for August 2, 2017, at 9:30 a.m. in Greensboro Courtroom #1.
These cases were jointly investigated by the North Carolina State Bureau of Investigation, the Rockingham Police Department, and the Richmond County Sheriff’s Office.
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Poplar Healthcare to Pay Nearly $900,000 to Resolve A False Claims Act AllegationsRead the Press Release
PROVIDENCE, RI – Acting United States Attorney Stephen G. Dambruch and Philip Coyne, Special Agent-in-Charge of the Boston Office of Inspector General for the Department of Health and Human Services (HHS-OIG), today announced that Poplar Healthcare PLLC, and Poplar Healthcare Management, LLC (“Poplar”), of Memphis, TN, have entered into a civil settlement agreement with the United States, under which Poplar will pay $897,640 to resolve allegations under the federal False Claims Act. The government alleges that Poplar, directly and through a subsidiary known as GI Pathology, promoted and billed the government for diagnostic tests that the government contends were not medically necessary.
An investigation by the HHS-OIG and the United States Attorney’s Office for the District of Rhode Island determined that these tests, known as immunohistochemical mast cell tryptase stains, were the subject of an extensive, multi-year promotional campaign designed to promote the use of the stain, claiming that Poplar could use the test to definitively diagnose a condition known as “mast cell enterocolitis.” The Government alleged that Poplar’s promotion of the test was not consistent with FDA approval requirements, and not supported by adequate scientific evidence.
“Federal funding for diagnostic tests and procedures is predicated on the principle that those tests are ordered because they are medically necessary and in the best interest of patients, and not on other, inappropriate factors.” said Acting U.S. Attorney Stephen G. Dambruch. “We will continue to take aggressive action to address situations where profit, rather than the best interests of patients, drives the decision to conduct and bill for medical tests.”
“Our agency will continue to aggressively investigate health care providers that bill Medicare for unnecessary services just to boost profits,” said Special Agent in Charge Phillip Coyne, U.S. Department of Health and Human Services Office of Inspector General. "And we will not tolerate abuse of the system for personal gain, which can undermine medical decision-making and the public's trust in the health profession."
The investigation that led to the settlement began after Gordon Wang, M.D., a pathologist formerly employed by Poplar, filed a complaint against the company on behalf of the United States in the U.S. District Court for the District of Rhode Island. Under the federal False Claims Act, a private individual who has uncovered fraud against the federal government may file a suit in federal court on behalf of the United States. If the United States is successful in resolving those claims, the individual who filed the complaint may receive a share of the recovery. Dr. Wang will receive $205,841 from the proceeds of the settlement.
The government’s case was handled by Assistant U.S. Attorneys Zachary A. Cunha and Bethany N. Wong, with the assistance of Trial Attorney Michael E. Shaheen of the Department of Justice’s Civil Division.
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Contact:
Jim Martin (401) 709-5357
email: [email protected]
on Twitter @USAO_RI
Ohio drug dealing couple pleads guilty to methamphetamine traffickingRead the Press Release
HUNTINGTON, W.Va. – An Ohio couple pleaded guilty today to federal drug charges, announced United States Attorney Carol Casto. Charley G. Myers, 37, and Tracie M. Reed, 39, both of Proctorville, entered guilty pleas to distributing methamphetamine.
Between February and September of 2016, Myers and Reed travelled on several occasions to Texas and returned to the Tri-State area with at least a kilogram of methamphetamine on each trip. The pair would then sell the methamphetamine to customers in Putnam and Kanawha counties in West Virginia, as well as to customers in the Proctorville area. Laboratory results indicated that the methamphetamine seized from the couple was close to 100% pure.
Myers and Reed each face a minimum of five years and up to 40 years in federal prison when they are sentenced on August 7, 2017.
The investigation was conducted by the Metropolitan Drug Enforcement Network Team and Homeland Security Investigations. Assistant United States Attorney R. Gregory McVey is responsible for these prosecutions. Chief United States District Judge Robert C. Chambers presided over the plea hearings.
These cases are being prosecuted as part of an ongoing effort led by the United States Attorney’s Office for the Southern District of West Virginia to combat the illicit sale and misuse of illegal drugs, including methamphetamine. The U.S. Attorney’s Office, joined by federal, state and local law enforcement agencies, is committed to aggressively pursuing and shutting down pill trafficking, eliminating open air drug markets, and curtailing the spread of illegal drugs in communities across the Southern District.
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Morris Woman Indicted for Fraudulently Taking SSA Survivor Benefits for Husband She KilledRead the Press Release
BIRMINGHAM – A federal grand jury last week indicted a Morris woman for fraudulently claiming nearly $168,000 in Social Security widow’s benefits on the death of a husband she killed, announced Acting U.S. Attorney Robert O. Posey and Social Security Administration, Office of Inspector General, Special Agent in Charge Margaret Moore-Jackson.
A six-count indictment filed in U.S. District Court charges OPAL ELAINE TILLMAN, 71, of Morris, with five counts of wire fraud for causing the SSA to wire benefit payments, which Tillman was not entitled to receive, to her account at Regions Bank in Jefferson County between May 2012 and September 2016. Count Six of the indictment charges Tillman with theft of government property for stealing more than $100,000 from the SSA. The indictment seeks to have Tillman forfeit $167,830 to the government as proceeds of illegal activity.
According to the indictment, Tillman was convicted in Alabama in June 1988 for killing her husband, Walter R. Tillman, on March 1, 1987. The month he died, Opal Tillman applied for Social Security Title II benefits on her husband’s work record. Title II benefits encompass old age, survivor and disability insurance payments. In her application Tillman wrote a statement acknowledging that she understood that “if I am convicted of felonious homicide any social security monies I receive on Mr. Tillman’s Social security record will constitute an overpayment and I will be liable to repay this money,” according to the indictment. She then requested monthly benefits for her and her children to begin as soon as possible.
While Opal Tillman was in prison in November 1988, the SSA notified her of an overpayment of benefits and explained: “A person who has been convicted of the felonious and intentional homicide of a wage earner cannot be entitled to monthly benefits, underpayments, or the lump-sum death payment on the earnings record of that wage earner,” according to the indictment.
Opal Tillman was released from prison into the Jefferson County Community Corrections Program in December 1996.
In October 2009, she applied by telephone to the SSA for widow’s benefits on the work record of Walter Roderick Tillman, according to the indictment. Opal Tillman provided her deceased husband’s Social Security number, dates of birth and death, and verification of their marriage for the application, the indictment charges.
Opal Tillman began receiving benefits Nov. 9, 2009, on the work record of the man she killed, according to the indictment. The monthly benefits continued until Sept. 14, 2016.
The maximum penalty for wire fraud is 20 years in prison and a $250,000 fine. The maximum penalty for theft of government property is 10 years in prison and a $250,000 fine.
The SSA-OIG investigated the case, which Assistant U.S. Attorney Tamarra Matthews Johnson is prosecuting.
An indictment contains only charges. A defendant is presumed innocent unless and until proven guilty.
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Modesto Man Pleads Guilty to Assaulting Fresno Social Security GuardRead the Press Release
FRESNO, Calif. — Matthew Faron Blair, 33, of Modesto, pleaded guilty today to forcibly assaulting a federal contract security guard assigned to protect the Social Security Administration office in downtown Fresno, U.S. Attorney Phillip A. Talbert announced.
According to court documents, on October 14, 2014, Blair went to the Social Security Administration office in Fresno to attempt to collect Supplemental Security Income (SSI) benefits. When advised that his benefits had stopped but could be renewed by completing additional paperwork, Blair became agitated and a security guard was called to escort him out of the office. As he was being escorted out of the office, Blair physically assaulted the guard. As a result of the assault, the guard suffered injury to the head and mouth, which required medical treatment.
This case is the product of an investigation by the Federal Protective Services with assistance from the Social Security Administration, Office of the Inspector General; the California Department of Corrections and Rehabilitation, Division of Adult Parole Operations; and the Stockton Police Department. Assistant U.S. Attorney Karen A. Escobar is prosecuting the case.
Blair is scheduled for sentencing before Chief U.S. District Judge Lawrence J. O’Neill on June 5, 2017. Blair faces a maximum sentence of 20 years in prison, a $250,000 fine, and restitution. Any sentence, however, would be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.
Misdemeanor Immigration Prosecutions – April 2017Read the Press Release
Mexican Citizen Sentenced For Illegal Entry into United States
Luis Alejandro Lopez-Lopez, age 35, a citizen of Mexico, was sentenced on April 13, 2017 to time served (6 days in jail) following his guilty plea to illegally entering the United States. Lopez-Lopez admitted that on April 7, 2017, he walked across the border approximately one-quarter mile east of the Champlain Port of Entry, Champlain, New York, along Interstate 87, and he continued south on foot until he was stopped and arrested by Border Patrol Agents.
Italian Citizen Sentenced For Illegal Entry into United States
Salvatore Pisani, age 25, a citizen of Italy, was sentenced on April 27, 2017 to time served (17 days in jail) following his guilty plea to illegally entering the United States. Pisani admitted that on April 10, 2017, he walked across the border approximately five miles west of the Champlain Port of Entry, Champlain, New York, where he was stopped and arrested by Border Patrol Agents.
Jordanian Citizen Sentenced For Illegal Entry into United States
Abdalrahman M. Alnabriss, age 22, of Jordan, was sentenced on April 27, 2017 to 21 days in jail following his guilty plea to illegally entering the United States. Alnabriss admitted that on April 18, 2017, he walked across the border from Dundee, Quebec into Westville, New York, where he was stopped and arrested by Border Patrol Agents.
Man Charged with Fatally Shooting MPD Officer Pleads Guilty to Separate Federal ChargesRead the Press Release
Memphis, TN – A man charged with fatally shootingMemphis Police Department Officer Sean Bolton has pled guilty to federal charges of armed carjacking and being a convicted felon in possession of ammunition. The defendant, Tremaine Wilbourn, 31, has pending state charges for capital murder. Lawrence J. Laurenzi, Acting U.S. Attorney announced the guilty plea today.
On August 1, 2015, Wilbourn, was in the passenger seat of a vehicle parked on a street in East Memphis when Officer Bolton approached the vehicle. Officer Bolton attempted to detain Wilbourn before the defendant pulled a 9mm pistol and shot Bolton several times.
Facts from the hearing outline that shortly after the shooting, Wilbourn used a firearm to carjack a man of a 2002 Honda Accord.
Wilbourn faces a mandatory 25-years of imprisonment and a fine of up to $250,000. There is no parole in the federal system. The defendant is scheduled to be sentenced on July 28, 2017, by U.S. District Judge Sheryl H. Lipman.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives in conjunction with the Memphis Police Department. The U.S. Attorney’s Office is prosecuting this case on the government’s behalf.
Lowell Wholesaler Pleads Guilty to Tobacco Tax FraudRead the Press Release
BOSTON – A Lowell man pleaded guilty today in federal court in Boston in connection with defrauding the Commonwealth of Massachusetts of tobacco excise taxes between 2012 and 2014.
Neetal Shah, 41, pleaded guilty to one count of wire fraud. U.S. District Court Judge Allison D. Burroughs scheduled sentencing for July 21, 2017.
Between approximately April 2012 and November 2014, Shah operated a wholesale business in Lowell that sold tobacco products, including cigars, smoking tobacco and smokeless tobacco (such as snuff and chewing tobacco), as well as other non-tobacco items, to convenience stores, gas stations and other retail businesses.
Under state law, smokeless tobacco wholesalers must file an excise tax form monthly and pay a 210% excise tax on smokeless tobacco brought into Massachusetts. Cigar wholesalers must file an excise tax form quarterly and must pay a 40% excise tax on cigars brought into Massachusetts.
In order to evade tobacco taxes, Shah made regular purchases of loose smoking tobacco and smokeless tobacco for his business from two distributors in Pennsylvania, where these tobacco products are not taxed. Knowing the products were subject to Massachusetts state excise taxes, Shah either drove the tobacco products or had them shipped to Massachusetts, where he resold them through his wholesale business without paying the requisite taxes.
The charging statute provides for a sentence of no greater than 20 years in prison, three years of supervised release and a fine of $250,000. Actual sentences for federal crimes are typically less than the maximum penalties. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
Acting United States Attorney William D. Weinreb and Joel P. Garland, Special Agent in Charge of the Internal Revenue Service’s Criminal Investigation in Boston, made the announcement today. Valuable assistance was also provided by the Massachusetts Department of Revenue. Assistant U.S. Attorney Stephen Heymann of Weinreb’s Economic Crimes Unit is prosecuting the case.
Las Cruces Man Sentenced to Prison for Federal Meth Trafficking ConvictionRead the Press Release
ALBUQUERQUE – Mariano Ponce, Jr., 46, of Las Cruces, N.M., was sentenced today in federal court to 41 months in prison followed by three years of supervised release for his methamphetamine trafficking conviction.
Ponce was arrested on Aug. 2, 2016, on an indictment charging him with methamphetamine trafficking offenses. The indictment charged Ponce with distributing methamphetamine on Sept. 16, 2015, Oct. 14, 2015, and Oct. 23, 2015, and with possessing methamphetamine with intent to distribute on Dec. 7, 2015. According to the indictment, Ponce committed the crimes in Dona Ana County, N.M.
On Nov. 8, 2016, Ponce pled guilty to a felony information charging him with three counts of distributing methamphetamine and one count of possessing methamphetamine with intent to distribute. In entering the guilty plea, Ponce admitted that on Sept. 15, 2015, Oct. 14, 2015 and Oct. 23, 2015, he sold methamphetamine to an undercover law enforcement agent. Ponce further admitted that on Dec. 7, 2015, law enforcement officers discovered a bag of methamphetamine in his vehicle, which he intended to distribute to others.
This case was investigated by the HIDTA Regional Interagency Drug Task Force/Metro Narcotics Task Force and was prosecuted by Assistant U.S. Attorney Clara Cobos of the U.S. Attorney’s Las Cruces Branch Office.
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.
Keene Man Pleads Guilty to Possessing Child PornographyRead the Press Release
CONCORD, N.H. – Acting United States Attorney John J. Farley announced today that Andrew Beezub, 33, of Keene, pleaded guilty in the United States District Court to one count of possessing child pornography. A sentencing hearing has been scheduled for August 14, 2017. Beezub was placed in the custody of the U.S. Marshal pending sentencing.
According to documents filed in the case and statements made during the change of plea hearing, the national Center for Missing and Exploited Children became aware in February 2016 that images and videos of suspected child pornography had been uploaded to a Dropbox account. Additional investigation by the Keene Police Department determined that the account was associated with the defendant. A search warrant in April 2016 resulted in the seizure of the defendant’s computer and telephone. A forensic analysis of the telephone established its link to the Dropbox account where videos of child pornography were stored.
In February 2006, the Department of Justice introduced Project Safe Childhood, a nationwide initiative designed to protect children from online exploitation and abuse. Led by the United States Attorney’s Offices, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend, and prosecute individuals who exploit children via the Internet, as well as identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
The Keene Police Department and the Department of Homeland Security, Homeland Security Investigations, were involved in the investigation of this case. The case is being prosecuted by Assistant United States Attorney Helen White Fitzgibbon and Assistant United States Attorney Don Feith.
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Kansas Chiropractor to Pay $1 Million-plus to Settle False Claim AllegationsRead the Press Release
KANSAS CITY, KAN. – A Kansas City area chiropractor has agreed to pay more than $1 million to settle allegations his offices submitted false claims to Medicare for treating patients with peripheral neuropathy, U.S. Attorney Tom Beall said today.
Brian Schnitta and his clinic, Natural Way Chiropractic Center, P.A., have agreed to pay the U.S. government $1,038,903 to settle allegations that they violated the federal False Claims Act. Schnitta owns and operates chiropractic offices in Overland Park and Lenexa, Kan., and in Lee’s Summit, Mo.
The United States alleged that from July 1, 2011 through May 31, 2013, Schnitta and the clinic claimed they provided treatments for peripheral neuropathy and charged Medicare for several procedures that were not medically necessary or not otherwise covered by the program. The claimed procedures included nerve conduction tests, nerve block injections, and ultrasound needle guidance. Peripheral neuropathy affects nerves in the hands and feet and includes symptoms such loss of sensation and/or a burning sensation.
“Medicare is designed to ensure that this country’s elderly have access to vital health care services,” Beall said. “This office will continue efforts to protect the program and beneficiaries from providers that submit false claims for personal gain.”
“The investigation of Natural Way Chiropractic Center and its owner Brian Schnitta, D.C. reflects the seriousness with which our office views any allegations involving fraud, waste and abuse within our Federal health care programs,” said Special Agent in Charge Steven Hanson of the Kansas City Regional Office of Investigations for the Department of Health and Human Services.”
During the investigation, Medicare suspended payments to the clinic for the suspect services. Under the terms of the settlement, Schnitta and Natural agreed to forego those payments and to make additional payments to the government.
According to the agreement, Schnitta and Natural Way deny any wrongdoing.
The U.S. Department of Health and Human Services – Office of the Inspector General (HHS-OIG) and the United States Attorney’s Office for the District of Kansas investigated. Assistant United States Attorney Jon Fleenor represented the government.
KC Woman Sentenced for Marriage FraudRead the Press Release
KANSAS CITY, Mo. – Tom Larson, Acting United States Attorney for the Western District of Missouri, announced that a Kansas City, Mo., woman was sentenced in federal court today for her role in a marriage fraud conspiracy.
Traci R. Porter, 44, of Kansas City, was sentenced by U.S. District Judge Gary A. Fenner to two years in federal prison without parole.
On Jan. 19, 2017, Porter pleaded guilty to participating in a conspiracy to assist African nationals in circumventing immigration laws by arranging fraudulent marriages. Co-defendants Delmar Dixon, 49, Kakeland Barnes, 37, Shakeisha Harrison, 37, Stephanie Harris, 22, and Tierra Ofield, 24, all of Kansas City, Mo., also have pleaded guilty to their roles in the marriage fraud conspiracy and await sentencing. In addition to the conspiracy, Dixon pleaded guilty to falsely swearing in an immigration matter.
Dixon, the leader of the conspiracy, admitted that he arranged 30 to 40 fraudulent marriages, including his own. Dixon charged the African nationals $1,000 upfront for his services, which included providing them U.S. citizen spouses. The African nationals were additionally required to pay $500 to the spouse at the time of the wedding, and an additional $500 immediately after completion of the wedding. They were required to pay their spouses $250 each month after the weddings until the immigration process was complete. The African nationals were coached by Dixon on how to make their marriages appear legitimate.
Porter, who participated in the conspiracy for eight years, admitted that she was involved in the marriage fraud scheme through her own marriage and her involvement in other fraudulent marriages. In June 2008, Porter married a Kenyan national who had entered the United States as a B2 visitor. He was granted conditional lawful permanent resident status; Porter also filed petitions for an alien relative for her step-daughter and step-son. However, the U.S. Embassy in Nairobi denied the children immigrant visas because Porter and her spouse failed to establish they had a bona fide ongoing marriage, and there was a suspicion (later confirmed) that he was not legally divorced from a prior marriage. To remedy this, Porter filed for divorce and her spouse divorced his wife in Kenya, then they remarried and he was granted permanent resident status.
Porter also advised others in the conspiracy, including an undercover federal agent whom she believed to be a foreign national.
This case is being prosecuted by Assistant U.S. Attorney Kim Moore. It was investigated by Immigration and Customs Enforcement's (ICE) Homeland Security Investigations (HSI) and U.S. Citizenship and Immigration Services, Fraud Detection and National Security.
Jamestown Brothers Indicted on Drug ChargesRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051BUFFALO, N.Y.- Acting U.S. Attorney James P. Kennedy, Jr. announced today that a federal grand jury has returned a three count indictment charging Matthew S. Jones, 30, and Beau K.C. Jones, 32, both of Jamestown, NY, with narcotics conspiracy, possession with intent to distribute more than 50 grams of methamphetamine, and maintaining a drug-involved premises. The charges carry a minimum penalty of 10 years in prison and a fine of $10,000,000.
Assistant U.S. Attorney Laura Higgins, who is handling the case, stated that according to the indictment, the defendants, who are brothers, were arrested on December 1, 2016, after a shipment of more than 360 grams of methamphetamine was delivered, via the U.S. mail, to Beau K.C. Jones’ residence at 70 Colfax in Jamestown. Shortly after the delivery, Beau K.C. Jones was arrested during a car stop by police and the parcel containing the methamphetamine was discovered in the backseat of his vehicle. Matthew S. Jones was arrested later that day during a separate car stop. A safe was found in the trunk of his car containing an additional quantity of approximately 80 grams of methamphetamine.
The defendants were arraigned this afternoon before U.S. Magistrate Judge H. Kenneth Schroeder and are being held without bail.
The indictment is the result of an investigation by the Drug Enforcement Administration, under the direction of James J. Hunt, Special Agent-in-Charge, New York Field Division; and the Jamestown Police Department, under the direction of Chief Harry Snellings.
The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
Indictments Unsealed Against Arapahoe Man and Tennessee Man Charging Felon in Possession of a Firearm and Misprision of FelonyRead the Press Release
Acting United States Attorney Robert C. Stuart announced that an indictment has been unsealed charging Anthony Todd Weverka, age 54 of Arapahoe, Nebraska, with Misprision of Felony. The charge alleges Weverka knew of the existence of felony offenses, specifically Solicitation to Commit a Crime of Violence and Attempted Kidnapping, and did not disclose them to authorities, and concealed those offenses through affirmative acts. The charge carries a possible penalty of up 3 years imprisonment, a $250,000 fine, or both. Weverka was taken into custody by agents of the Federal Bureau of Investigation on Monday, May 1, 2017, in Arapahoe. His initial appearance before Magistrate Judge Cheryl Zwart is scheduled for May 2, 2017, at 2:00 p.m. at the federal courthouse in Lincoln, Nebraska.
According to the indictment, Weverka served as the President of the Arapahoe Airport Board. In that capacity, he met an individual, referred to in the indictment as “M.P.”, who flew a plane to the airport and asked to spend the night on the premises. The man was a fugitive from justice after having failed to appear for trial on charges of being a felon in possession of a firearm in Tipton County, Tennessee. The indictment also alleges the man represented himself to be an ambassador and associate chief justice of the Chilcotin Nation in British Columbia, Canada. The man was arrested at the airport by federal, state and local law enforcement authorities.
Following his arrest, M.P. was transported to the Furnas County Jail in Beaver City, Nebraska, where he was held pending extradition to the State of Tennessee. The indictment alleges that another individual, referred to as “S.H.” in the indictment, and holding herself out as the Chief Justice of the Universal Supreme Court of the Tshilhqot’in Nation, (USCTN), a self-proclaimed body purporting to represent the “country” of Chilcotin, issued orders demanding the release of M.P.. When her court “orders” were ignored, the indictment alleges she contacted a bounty hunter in New Orleans, Louisiana, and offered to pay to have the bounty hunter break M.P. out of jail, arrest the Sheriff of Furnas County and the presiding Judge in Tipton County, Tennessee, and transport all of them to Canada where the Sheriff and Judge would face purported criminal charges.
The indictment alleges Weverka learned of the plot to take the Sheriff of Furnas County into custody and did not immediately disclose the same to law enforcement authorities. It further alleges Weverka spoke repeatedly with the woman in Canada holding herself out as the Chief Justice of the USCTN and, further, that he supplied the home address of the Sheriff to her. After learning of the plot, it is alleged Weverka warned the Sheriff that his life might be in danger but did not disclose his full knowledge of the planned abduction. The indictment alleges Weverka committed the crime of Misprision of Felony by concealing the crime through false statements, omissions of material facts and continuing to provide assistance to those whom he believed were involved in the plot.
In a separate indictment, Michael Wayne Parsons, age 55 of Arlington, Tennessee, is charged with being a felon in possession of a firearm. Specifically, it alleges Parsons, after conviction of the felony offense of aggravated assault on November 23, 2009, in the Circuit Court of Tipton County, Tennessee, was located in Nebraska on January 11, 2017, while in possession of a Rock River 5.56 LAR-15 assault rifle and 637 rounds of ammunition. The charge carries a possible penalty of up to 10 years’ imprisonment, a $250,000 fine or both. Parsons is currently in custody in the State of Tennessee awaiting trial of other charges.
This matter was investigated by the Federal Bureau of Investigation, the Furnas County Sheriff’s Office, the United States Postal Inspection Service, the Nebraska State Patrol and the Royal Canadian Mounted Police.
Indictments are charging documents that contain one or more individual counts that are merely accusations, and every defendant is presumed innocent unless and until proven guilty.