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Friday 28 April 2017
Prescription Drug Take Back to be Held Saturday, April 29, 2017Read the Press Release
Montgomery, Alabama - On April 29, 2017 from 10 a.m. to 2 p.m., local law enforcement and the Drug Enforcement Administration (DEA) will give the public its thirteenth opportunity in six years to prevent pill abuse and theft by ridding their homes of potentially dangerous expired, unused, and unwanted prescription drugs. The common methods for disposing of unused medicines - flushing them down the toilet or throwing them in the trash - pose potential safety and health hazards. Therefore, citizens are encouraged to bring their prescription drugs to a disposal site in their area. Participants should note that the DEA can only take tablets, pills, patches, or other solid dosage forms. They cannot accept liquids, needles, or “sharps.” The service is free and anonymous and there will be no questions asked. To locate a disposal site near you, go to the link below or call the DEA at 1-800-882-9539.
https://www.deadiversion.usdoj.gov/drug_disposal/takeback
Last October, Alabama citizens turned in 3,545 pounds of prescription drugs at 69 sites around the state that were operated by DEA and its state and local law enforcement partners. There are more than 80 sites around Alabama available for drug turn in this Saturday. Since the first Take Back event in 2010, over 47,000 pounds of prescription drugs have been collected in Alabama. The drugs collected will be destroyed by DEA at EPA-approved incinerators.
This initiative addresses a vital public safety and public health issue. Medicines that languish in home cabinets are highly susceptible to diversion, misuse, and abuse. Rates of prescription drug abuse in the U.S. are alarmingly high, as are the number of accidental poisonings and overdoses due to these drugs. There were over 52,000 deaths in 2015 due to drug overdoses, or nearly 91 per day.
Studies show that a majority of abused prescription drugs are obtained from family and friends, including from the home medicine cabinet. The abuse of opioid prescription pain medications has exploded nationwide as those drugs are being prescribed more frequently. In fact, the U. S. consumes 80% of the world’s pain medication while only having 5% of the world’s population. Unfortunately, the overwhelming abuse of prescription opioids in the U.S. has resulted in an increase in new heroin users.
“This Take Back day is one way that citizens can help combat the growing threat of prescription drugs,” stated Acting U.S. Attorney Clark Morris. “We ask all of our citizens to use this day to help make their homes a safer place for their family and friends.”
Postal Service Employee Pleads Guilty After Faking Cancer in Order to Work from Home and Claim Hundreds of Hours of Sick LeaveRead the Press Release
DENVER – Caroline Zarate Boyle, age 59, of Highlands Ranch, Colorado, a U.S. Postal Service employee, pled guilty today to presenting a forged writing to the United States with the intent to defraud after fabricating to her employer that she had cancer in order to work from home and claim hundreds of hours of sick leave. The guilty plea occurred before U.S. District Court Judge Raymond P. Moore, Acting U.S. Attorney Bob Troyer and U.S. Postal Service Office of Inspector General Special Agent in Charge (USPS OIG) Scott Pierce announced.
Boyle was first charged by Criminal Complaint on March 3, 2017. She was indicted by a federal grand jury in Denver on March 16, 2017. She pled guilty today, April 28, 2017. Boyle is scheduled to be sentenced by Judge Moore on July 25, 2017 at 9:00 a.m.
According to the Factual Basis for the Change of Plea, Boyle, a U.S. Postal Service employee, decided to take some time off of work after she was not selected for a promotion she had sought. To take the time off she told her supervisor that she was recently diagnosed with non-Hodgkins lymphoma, when in fact she did not have any type of cancer. She then began to take substantial amounts of sick leave.
Boyle continued the ruse until she was interviewed by an agent of the Postal Service’s Office of the Inspector General. It was determined in the approximate 20 months that the defendant’s fraud lasted, she used her non-existent cancer treatment to support both unwarranted sick leave and unwarranted accommodations allowing her to work part-time or work from home five days a week. The defendant intended to continue using the fake illness until her scheduled retirement in April 2017. Despite claiming the cancer treatment had her too sick to work a regular schedule or come into the office, Boyle was planning a post-retirement cruise in Hawaii.
In support of her ruse, Boyle emailed her supervisor notes from two different doctors (at least four notes total), indicating that she was receiving cancer treatment. However, the notes were created by the defendant herself. Investigators learned that she was not a patient of either doctor.
The charge Boyle pled guilty to carries a penalty of up to 10 years in federal prison and up to a $250,000 fine.
This case is being investigated by the U.S. Postal Service’s Office of the Inspector General and is being prosecuted by Special Assistant U.S. Attorney Dan Burrows.
Portsmouth Drug Dealer Convicted at TrialRead the Press Release
NORFOLK, Va. – Benitez Auguarius Moody, 34, of Portsmouth, was convicted today by a federal jury on charges of drug distribution and possession of multiple firearms.
According to court records and evidence presented at trial, Moody distributed crack cocaine, heroin, and fentanyl in Portsmouth from the summer of 2015 through March 2016. Moody was arrested on August 10, 2016, after the Portsmouth Police Department conducted a series of controlled buys of heroin with Moody and executed a search warrant at his residence. During the search, law enforcement recovered 97 grams of crack cocaine, two grams of heroin and fentanyl mixture, four firearms (two special revolvers and two semi-automatic pistols), and $4,000 in cash.
The jury found Moody guilty of possession with intent to distribute cocaine base, heroin, and fentanyl; possession of a firearm in furtherance of drug trafficking; and possession of a firearm by a convicted felon.
Moody faces a mandatory minimum sentence of fifteen years in prison, with a maximum of life in prison, when he is sentenced on Sept. 20, 2017. 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; Karl C. Colder, Special Agent in Charge for the Drug Enforcement Administration’s (DEA) Washington Field Division; and Tonya D. Chapman, Chief of Portsmouth Police Department, made the announcement after Senior U.S. District Judge Henry Coke Morgan, Jr. accepted the verdict. Assistant U.S. Attorney Sherrie Capotosto is prosecuting the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information is located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 2:16-cr-124.
Palmer Couple Sentenced for Drug Trafficking ConspiracyRead the Press Release
Anchorage, Alaska – Acting U.S. Attorney Bryan Schroder announced that a Palmer couple, who were engaged in an extensive conspiracy to bring narcotics from the lower 48 and distribute them in the Mat-Su Valley, was sentenced to prison yesterday for drug trafficking.
U.S. District Judge Sharon L. Gleason sentenced Tod James Rodolph, 41, to serve 12 years in prison and Jessica Elizabeth Hopkins, 36, to serve 78 months in prison. It was also ordered that Rodolph pay a $30,000 fine. Rodolph previously pled guilty to one count of conspiracy to distribute, possess with intent to distribute, and one count of possession of firearms in furtherance of drug trafficking crimes. Hopkins previously pled guilty to one count of conspiracy to distribute, possess with intent to distribute.
According to court documents, an investigation was launched by the Drug Enforcement Administration (DEA) and the Alaska State Troopers (AST) on Jan. 10, 2016, when a 17-year-old male, identified as A.F., died of a methamphetamine overdose while consuming narcotics at the home of Rodolph and Hopkins. The investigation revealed that, on Jan. 9, 2016, a group of teenagers and young adults were consuming narcotics in the couple’s garage when A.F. began getting sick and displaying symptoms of an overdose. After being woken up by the teens, Rodolph did not make any efforts to call for medical help nor did he drive A.F. to the hospital due to unwanted police contact. By the time A.F. arrived to the hospital, he was already deceased.
Law enforcement then began investigating Rodolph and Hopkins under suspicion they were distributing narcotics out of their residence. While evidence did not indicate that Rodolph or Hopkins supplied the methamphetamine that ultimately lead to A.F.’s death, Rodolph was eventually found with large amounts of heroin and methamphetamine and admitted to taking numerous flights to Washington state to buy narcotics and bring them back to Alaska. Rodolph admitted that he had taken approximately 20 trips to Seattle and would return with 2-5 ounces of heroin each time. He further admitted to selling the drugs from his residence and that he kept firearms in order to protect himself from being robbed. Hopkins admitted to having full knowledge of the drug trafficking and stated she helped facilitate drug transactions.
Over the course of the conspiracy between January 2015 and March 24, 2016, Rodolph brought in at least 2,080 grams of heroin valued at $624,000.
A search warrant of the residence revealed numerous items of drug paraphernalia, heroin, methamphetamine, scales, and firearms – all which were in plain view and accessible to their 15-year-old daughter.
Acting U.S. Attorney Schroder commended the DEA and AST for the investigation leading to the successful prosecution of this case.
Ohkay Owingeh Man Facing Federal Assault and Firearms Charges Arising Out of Assault on Tribal Police OfficerRead the Press Release
ALBUQUERQUE – Ronald J. Martinez, 43, a member and resident of Ohkay Owingeh Pueblo, N.M., made his initial appearance this morning in federal court in Albuquerque, N.M., on assault and firearms charges. Martinez remains in federal custody pending a preliminary hearing and a detention hearing, both of which are scheduled for May 1, 2017.
Martinez is charged in a criminal complaint with assault with a dangerous weapon and being a felon in possession of a firearm on April 20, 2017, on the Ohkay Owingeh Indian Reservation in Rio Arriba County, N.M. According to the complaint, an Ohkay Owingeh Tribal Police Officer responded to a call at a residence on the Ohkay Owingeh Indian Reservation regarding an alleged fight between and a woman over a firearm. When the officer arrived, allegedly assaulted the Ohkay Owingeh Tribal Police Officer with a stick while the officer was attempting to arrest Martinez.
The complaint alleges that officers recovered a loaded firearm at the scene, leading to the firearms charge against Martinez, who is prohibited from possessing firearms or ammunition because of his prior felony convictions for assault resulting in serious bodily injury and discharging a firearm during and in relation to a violent crime.
If convicted on the charges in the criminal complaint, Martinez faces a maximum penalty of ten years in prison on the assault charge and the firearms charge. Charges in criminal complaints are merely accusations, and defendants are presumed innocent unless found guilty beyond a reasonable doubt.
This case was investigated by Northern Pueblos Agency of the BIA’s Office of Justice Services and the Ohkay Owingeh Tribal Police Department and is being prosecuted by Assistant U.S. Attorney Elisa Dimas.
Nine Indicted for Firearms Trafficking in York County in “Operation Gun Grabber”Read the Press Release
HARRISBURG – The United States Attorney’s Office for the Middle District of Pennsylvania announced today that as a result of a joint ATF-York County Drug Task Force operation in York, Pennsylvania, nine individuals engaging in illegal firearms and drug trafficking have been federally indicted separately and detained since March 29, 2017. The final arraignment hearing occurred on April 25, 2017, before Chief United States Magistrate Judge Susan E. Schwab and these cases have now been unsealed. The indicted defendants are:
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Edward Harris, age 58, a resident of Uniontown, Pennsylvania was indicted by a grand jury in Harrisburg, Pennsylvania on March 29, 2017, and charged with possessing:
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an UZI submachine gun with a partially obliterated serial number;
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a magazine with thirty-one (31) Winchester 9mm cartridges;
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fifty (50) PMC 9mm caliber full metal jacket ammunition;
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forty-four (44) .38 caliber ammunition and
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thirty-two (32) Winchester 9mm cartridges.
Chief Magistrate Judge Susan E. Schwab arraigned Harris on April 4, 2017, and determined he should be detained pending trial. The Honorable John E. Jones, III will preside over Harris’ case, and he has scheduled jury selection and trial for June 5, 2017.
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Ernest Crosby, age 25, a resident of Manchester, Pennsylvania was indicted by a grand jury in Harrisburg, Pennsylvania on March 29, 2017, and charged with possessing:
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a .357 magnum Revolver, loaded with six .357 magnum Winchester caliber cartridges.
Chief Magistrate Judge Susan E. Schwab arraigned Crosby on April 4, 2017, and determined he should be detained pending trial. The Honorable John E. Jones, III will preside over Crosby’s case, and he has scheduled jury selection and trial for June 2, 2017.
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Jeremiah Ashford age 25, a resident of York, Pennsylvania was indicted by a grand jury in Harrisburg, Pennsylvania on March 29, 2017, and charged with possessing:
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a .22 caliber Ruger Revolver, and four .22 caliber cartridges.
Chief Magistrate Judge Susan E. Schwab arraigned Ashford on April 4, 2017, and determined he should be detained pending trial. Chief Judge Conner will preside over Ashford’s case, and he has scheduled jury selection and trial for June 5, 2017.
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Lykeem Bethune, age 20, a resident of York, Pennsylvania was indicted by a grand jury in Harrisburg, Pennsylvania on March 29, 2017, and on April 19, 2017 and charged with the sale and possession of:
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a stolen Intratec 9mm pistol with twenty-two 9mm caliber cartridges loaded in the magazine and
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a stolen Springfield Armory .40 caliber pistol with nine .40 caliber Winchester Full Metal Jacket cartridges loaded in the magazine.
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Chief Magistrate Judge Susan E. Schwab arraigned Bethune on April 4, 2017 and then on April 25, 2017, and determined that Bethune should be detained pending trial. Judge Jones will preside over Bethune’s cases, and he has scheduled jury selection and trial for June 5, 2017.
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Derek Jones, age 23, a resident of York, Pennsylvania was indicted by a grand jury in Harrisburg, Pennsylvania on March 29, 2017, and charged with possessing:
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a stolen Intratec 9mm pistol and twenty-two 9mm caliber cartridges loaded in the magazine.
Chief Magistrate Judge Susan E. Schwab arraigned Jones on April 4, 2017, and determined that Jones should be detained pending trial. Judge Jones will preside over Derek Jones’ cases, and he has scheduled jury selection and trial for June 5, 2017.
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Edward Lee McDowell, III, age 20, a resident of York, Pennsylvania was indicted by a grand jury in Harrisburg on March 29, 2017, and charged with possessing:
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a Springfield Armory .40 caliber pistol and nine .40 caliber Winchester Full Metal Jacket cartridges loaded in the magazine; and
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a Ruger .22 caliber semi-automatic pistol with an integrated suppressor, and a 9mm Hi-Point rifle with five 9mm cartridges.
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McDowell also faces felony heroin trafficking violations.
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Chief Magistrate Judge Susan E. Schwab arraigned McDowell on April 4, 2017, and determined he should be detained pending trial. The Honorable Yvette Kane will preside over McDowell’s case, and she has scheduled jury selection and trial for June 5, 2017.
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Quran Smallwood, age 22, a resident of York, Pennsylvania was indicted by a grand jury in Harrisburg on March 29, 2017, and charged with possessing:
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a 9mm Glock loaded with twenty 9mm caliber cartridges.
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Smallwood also faces felony heroin, crack cocaine and marijuana trafficking violations.
Chief Magistrate Judge Susan E. Schwab arraigned McDowell on April 4, 2017, and determined he should be detained pending trial. The Honorable Yvette Kane will preside over McDowell’s case, and she has scheduled jury selection and trial for June 5, 2017.
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Fred Crowder, III, age 32, a resident of York, Pennsylvania was indicted by a grand jury in Harrisburg on March 29, 2017, and charged with possessing:
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a .12 gauge Mossberg shotgun and two 12 gauge Remington Peters shotgun shells.
Chief Magistrate Judge Susan E. Schwab arraigned Crowder on April 18, 2017, and determined he should be detained pending trial. Chief Judge Christopher C. Conner will preside over Crowder’s case, and he has scheduled jury selection and trial for June 5, 2017.
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Kenge Lewis, III, age 23, a resident of York, Pennsylvania was indicted by a grand jury in Harrisburg on March 29, 2017, and charged with possessing:
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a .22 caliber I.J.A. & C.WKS revolver and eight Winchester .22 caliber Super X cartridges.
Chief Magistrate Judge Susan E. Schwab arraigned Lewis on April 18, 2017, and determined he should be detained pending trial. The Honorable Sylvia H. Rambo will preside over Lewis’ case, and she has scheduled jury selection and trial for June 5, 2017.
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U.S. Attorney Bruce D. Brandler stated, “President Trump and Attorney General Sessions have both made clear that reducing violent crime in our inner cities is a high priority for the U.S. Department of Justice. The illegal sale and use of firearms by criminals, particularly in drug transactions, fuels violent crimes and this effort taking guns out of the hands of criminals is part of our effort to reduce violent crimes in York.”
The guns seized in this case ranged from semiautomatic pistols to machine guns and assault-style rifles. Many of the firearms had high-capacity magazines, lasers and one was equipped with a silencer. A number of these firearms were stolen, straw-purchased or had obliterated serial numbers.
“This indictment is a result of the collaborative efforts between ATF and the York County Drug Task Force,” said ATF Special Agent in Charge Sam Rabadi. “ATF is dedicated to investigating and pursuing violent criminals who pollute our communities with drugs and gun violence.”
“Unfortunately, we know all too well the devastation which often occurs due to the illegal trafficking of firearms,” said Chief Deputy Assistant District Attorney Dave Sunday. “Thanks to the collaborative efforts of the York County Drug Task Force, United States Attorney’s Office, and ATF, we have not only removed eleven firearms off the streets of York but have taken nine individuals off those same streets who desire to illegally traffic firearms in our neighborhoods which place our citizens and law enforcement officers in potentially deadly situations. Our community is safer today because of these efforts and I applaud all involved.”
These cases are being investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, the York County Drug Task Force, the York City Police Department, York County Adult Probation Department and the York County District Attorney’s Office. Assistant United States Attorney Meredith A. Taylor is prosecuting the cases.
These cases were 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 varies depending on the offense, and includes 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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New York-Winooski Man Charged with Five Counts of Sex TraffickingRead the Press Release
The Office of the United States Attorney for the District of Vermont announced that yesterday, April 27, 2017, a federal grand jury returned a superseding indictment charging Brian Folks, 42, of New York City and Winooski, Vermont, with four counts of Sex Trafficking by Force, Fraud, and Coercion, and one count of Sex Trafficking of a Minor.
Folks and two co-defendants were indicted federally on July 14, 2016, on charges of Conspiracy to Distribute 28 Grams or More of Cocaine Base and 100 Grams or More of Heroin and related crimes in Vermont. Yesterday, a federal grand jury in Burlington returned a superseding indictment, adding the new charges related to human trafficking. Specifically, Folks is accused of trafficking four individuals referred to in the indictment as “Victim A,” “Victim B,” “Victim C,” and “Victim D,” and using force, threats of force, fraud, and coercion to cause the victims to engage in commercial sex acts between June 2012 and February 2016. Folks is further accused of trafficking “Minor Victim E” for commercial sex in May 2013. Neither of Folks’ co-defendants named in the initial indictment is charged with human trafficking.
According to an affidavit in support of a search warrant application submitted on January 24, 2017 and unsealed today, law enforcement received information that Folks was sex trafficking multiple women – at least one as young as seventeen or eighteen – out of local motels, residences, and other locations. Folks preyed upon the drug addictions of his victims, withholding drugs from them until they were in withdrawal so severe that they complied with his demands that they perform commercial sex acts for his profit.
According to the affidavit, Folks typically photographed the women in sexually suggestive poses and various states of undress and posted them on “Backpage,” an Internet forum known for so-called adult and escort services, for purposes of selling the women for sex. According to the affidavit, Folks also blackmailed the women he coerced into sex trafficking by threatening to post to the Internet humiliating sexual photographs that revealed their identities. According to the same affidavit, law enforcement discovered a homemade video on Folks’ Facebook account that showed Folks narrating a disparaging and demeaning story about a woman who allegedly stole narcotics from him, interspersed with still photographs of her in sexual poses. Law enforcement also discovered an apparently homemade video advertising commercial sex posted to YouTube under the name “Moet Hart,” an alias for Folks. Finally, one victim referred to in the affidavit reported the use of physical violence and rape in order to secure her ongoing submission and his control.
If convicted, Folks faces a mandatory minimum of fifteen years of imprisonment and up to a maximum of life imprisonment for Sex Trafficking by Force, Fraud, and Coercion. Folks also faces a mandatory minimum of ten years of imprisonment and up to a maximum of life imprisonment for Sex Trafficking of a Minor, and a mandatory minimum of five years and up to a maximum of forty years of imprisonment on the original drug conspiracy charge. The actual sentence, however, would be determined by the Court with guidance from the advisory Federal Sentencing Guidelines.
The United States Attorney emphasizes that the charges in the superseding indictment are merely accusations and that the defendants are presumed innocent unless and until they are proven guilty.
Acting United States Attorney Eugenia A.P. Cowles commended the investigative efforts of the Drug Enforcement Administration; the Federal Bureau of Investigation; and the Burlington, South Burlington, and Essex Police Departments.
Cowles also stated, “Commercial sex trafficking is a rapidly rising problem in Vermont, a direct offshoot of the continuing opiate crisis, and an increasingly lucrative criminal enterprise. The United States Attorney’s Office is committed to working with our law enforcement partners to prosecute individuals who prey upon the most vulnerable among us to exploit addiction for financial gain. As part of that effort, we continue to support the education and outreach efforts of Vermont’s Human Trafficking Task Force to assist individuals who have been coerced into commercial sex.”
In Vermont, victims of commercial sex trafficking can find immediate help by dialing 2-1-1.
The United States is represented in this matter by Assistant U.S. Attorneys Abigail Averbach, Timothy Doherty, Jr., and Wendy Fuller. Brian Folks is represented by William E. Kraham, Esq.
New York Tax Return Preparer Sentenced to Prison for Filing False Tax ReturnsRead the Press Release
A Queens, New York tax return preparer was sentenced to serve 24 months in prison today for filing false tax returns, announced Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division.
Williesteina Jacobs was convicted in July 2016 by a federal jury in the U.S. District Court for the Eastern District of New York. According to documents filed with the court and evidence presented at trial, Jacobs operated International Professional Business Services, a tax preparation business located in South Richmond Hill, New York, and Jamaica, New York. From 2007 through 2010, Jacobs filed false individual income tax returns with the Internal Revenue Service (IRS) on behalf of her clients and claimed refunds to which they were not entitled. These tax returns claimed false business losses and reported grossly inflated or fictitious deductions for, among other things, charitable donations.
In addition to the term of prison imposed, Jacobs was also ordered to serve one year of supervised release and to pay restitution to the IRS in the amount of $31,188.
Acting Deputy Assistant Attorney General Goldberg commended agents of IRS–Criminal Investigation, who conducted the investigation, and Tax Division Trial Attorneys Yael T. Epstein and Andrew J. Kameros, who prosecuted the case.
Additional information about the Tax Division and its enforcement efforts may be found on the division’s website.
New York Man Sentenced to 29 Years’ Imprisonment for Distribution of Heroin Resulting in DeathRead the Press Release
HARRISBURG – The United States Attorney’s Office for the Middle District of Pennsylvania announced today that Dameon Lattimore, age 40, of New York, was sentenced to 29 years’ imprisonment by U.S. District Court Judge John E. Jones, III, for distributing heroin and crack cocaine that led to the death of a York City man.
According to United States Attorney Bruce D. Brandler, Lattimore was charged by a grand jury in Harrisburg in December 2015, with codefendants Yushonda Durant, age 41, of New York, and Frederick Gladfelter, age 47, of York.
Gladfelter pleaded guilty in December 2016, to allowing his home to be used as a site for the distribution of heroin and crack cocaine. He is awaiting sentencing. Durant remains a fugitive.
The investigation was conducted by the Drug Enforcement Administration, the York City Police Department and the York County District Attorney’s Office. Assistant U.S. Attorney William A. Behe prosecuted the case.
This case was brought as part of a district wide initiative to combat the nationwide epidemic regarding the use and distribution of heroin. Led by the United States Attorney’s Office, the heroin initiative targets heroin traffickers operating in the Middle District of Pennsylvania and is part of a coordinated effort among federal, state and local law enforcement agencies.
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National Prescription Drug Take Back Day TomorrowRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051BUFFALO, NY – The Drug Enforcement Administration holds its 13th National Prescription Drug Take Back Day tomorrow, Saturday April 29, 2017 between 10 a.m. and 2 p.m. The public can dispose of their unused, unwanted prescription medications at one of more than 5,000 collection sites nationwide, operated by 3,800 local law enforcement agencies and other community partners. The service is free of charge, no questions asked.
America is experiencing an epidemic of addiction, overdose, and death due to abuse of prescription drugs, particularly opioid painkillers. 6.4 million Americans age 12 and over—2.4 percent of the population—abuse prescription drugs, according to the 2015 National Survey on Drug Use and Health released last fall, more than abuse cocaine, heroin, hallucinogens, and methamphetamine combined. Drug overdoses are now the leading cause of injury-related death in the United States, eclipsing deaths from motor vehicle crashes or firearms. The majority of prescription drug abusers report that they obtain their drugs from friends and family, including from the home medicine cabinet.
Last October, Americans turned in 366 tons (over 730,000 pounds) of prescription drugs at sites operated by the DEA and more than 4,000 of its state and local law enforcement partners. Overall, in its 12 previous Take Back events, the DEA and its partners have taken in over 7.1 million pounds—more than 3,500 tons—of pills.
Only pills and other solids, like patches, can be brought to the collection sites—liquids and needles or other sharps will not be accepted. For a list of local drop off sites, go to DEA.gov.Nambe Pueblo Man Sentenced for Assaulting Intimate PartnerRead the Press Release
ALBUQUERQUE – Anthony Nieto, 29, an enrolled member of Nambe Pueblo who resides in Zuni, N.M., was sentenced today in federal court in Albuquerque, N.M., to 18 months in prison followed by three years of supervised release for his conviction on an assault charge.
Nieto was arrested on June 21, 2016, on an indictment charging him with assaulting his intimate partner and causing her to suffer serious bodily injury. According to the indictment, Nieto committed the crime on Aug. 16, 2015, in Nambe Pueblo in Santa Fe County, N.M.
On Nov. 16, 2016, Nieto pled guilty to the indictment and admitted assaulting the victim on Aug. 16, 2015, by striking and kicking her, and causing her to suffer serious bodily injury. More specifically, Nieto admitted that the victim sustained bruising on her face, arms and lower extremities as a result of the assault.
This case was investigated by the FBI office in Santa Fe and the Northern Pueblos Agency of the BIA’s Office of Justice Services and was prosecuted by Assistant U.S. Attorney Kyle T. Nayback.
This case was brought as part of the Tribal Special Assistant U.S. Attorney (Tribal SAUSA) Pilot Project in the District of New Mexico, which is sponsored by the Justice Department’s Office on Violence Against Women under a grant administered by the Pueblo of Laguna. The Tribal SAUSA Pilot Project seeks to train tribal prosecutors in federal law, procedure and investigative techniques to increase the likelihood that every viable violent offense against Native American women is prosecuted in either federal court or tribal court, or both. The Tribal SAUSA Pilot Project was largely driven by input gathered from annual tribal consultations on violence against women, and is another step in the Justice Department's on-going efforts to increase engagement, coordination and action on public safety in tribal communities.
Mexican National Sentenced to 135 Months in Federal Prison for Coordinating over 20 Kilograms of Methamphetamine in Drug ConspiracyRead the Press Release
Ernesto Vizcarra-Aguilar, 58, a Mexican national, was sentenced today by United States Chief District Judge Michael J. Reagan to 135 months in federal prison for one count of conspiring to distribute and possess with the intent to distribute methamphetamine, Donald S. Boyce, United States Attorney for the Southern District of Illinois, announced today. In addition to the term of imprisonment, Vizcarra-Aguilar will be subject to five years of supervised release to follow the imprisonment, a $300 fine, and a $100 special assessment fee.
Facts revealed in open court at the sentencing revealed that Vizcarra coordinated the distribution of over 20 kilograms of methamphetamine to California, Colorado, Nevada, and Kansas from either October or November 2014 through March 2015. Vizcarra also provided cash to a courier on two occasions to cover travel expenses. At sentencing, Chief Judge Reagan commented that the offense involved a "staggering" amount of methamphetamine: anywhere from over 41,000 to over 207,000 individual doses depending on the dosage weight. Chief Judge Reagan indicated that the sentence punishes Vizcarra, reflects the seriousness of the offense, promotes respect for the law and deters others from committing similar crimes.
Evidence in support of this prosecution was obtained in an investigation conducted under the auspices of the Organized Crime Drug Enforcement Task Force (OCDETF). The OCDETF
initiative is designed to bring federal, state, and local law enforcement agencies and resources together to identify, target and dismantle large national and international drug trafficking organizations. Agencies participating in this case include the Drug Enforcement Administration, the Internal Revenue Service, Criminal Investigations, the Illinois State Police, and Fontana, California Police Department. Assistant United States Attorney Monica A. Stump prosecuted this case.
Mexican Man Indicted on Illegal Reentry and Firearm ChargesRead the Press Release
BIRMINGHAM – A federal grand jury today indicted a Mexican man for being in the country illegally and illegally possessing a firearm, announced Acting U.S. Attorney Robert O. Posey and U.S. Immigration and Customs Enforcement Special Agent in Charge Ray Parmer.
A two-count indictment filed in U.S. District Court charges MARIO PEREZ-VELASQUEZ, 41, also known as Julian Perez-Bravo, Mario Perez-Velazquez and Julian Perez-Brabo, with one count of possessing a firearm and being prohibited to do so because he was in the United States illegally. The indictment also charges Perez-Velasquez with illegally re-entering the United States after previously being deported.
According to the indictment, Perez-Velasquez possessed an EIG derringer .22-caliber pistol on Jan. 25, 2015, in Talladega County. On April 10 this year, Perez-Velasquez was found to be voluntarily in the U.S. after having been removed to Mexico in March 2004, January 2006 and May 2012.
The grand jury also indicted two other Mexican nationals for being in the U.S. illegally after previously being deported. In separate indictments, the grand jury charged JESUS GOMEZ-GONZALEZ, 35, also known as Jesus Gomez and Jesus Gomez Olvera, and MIGUEL ANGEL GONZALEZ-JIMENEZ, also known as Miguel Angel Gonzalez.
According to the indictments, Gonzalez-Jimenez was found in St. Clair County on March 23 after having been removed from the U.S. in July 2014, and Gomez-Gonzalez was found in Morgan County on April 7 after being removed from the country in November 2004.
None of the defendants obtained consent from the U.S. attorney general or the secretary of homeland security to re-apply for admission into the United States, according to the charges.
The maximum penalty for illegal re-entry after deportation is two years in prison and a $250,000 fine. The maximum sentence for possession of a firearm by a prohibited person is 10 years in prison and a $250,000 fine.
The Department of Homeland Security investigated the cases, which the U.S. Attorney’s Office for the Northern District of Alabama is prosecuting.
An indictment contains only charges. A defendant is presumed innocent unless and until proven guilty.
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Member of Trenton Drug Trafficking Organization Pleads GuiltyRead the Press Release
TRENTON, N.J. – A Trenton, New Jersey, man today admitted his role in a drug trafficking organization that allegedly distributed hundreds of grams of heroin in Trenton and the surrounding area, Acting U.S. Attorney William E. Fitzpatrick announced.
Bernadino Guervil, a/k/a “BG,” 29, pleaded guilty today before U.S. District Judge Freda L. Wolfson in Trenton federal court to an information charging him with conspiracy to distribute and possess with intent to distribute heroin.
In December 2016, Guervil and nine other members of a drug trafficking organization operating in Trenton were charged by criminal complaint with conspiracy to distribute heroin. The complaint referred to the drug trafficking organization as the “Abdullah DTO,” after its leader, Ishmael Abdullah. Guervil is the fourth defendant to plead guilty.
According to documents filed in this case and statements made in court:
From June 2015 through December 2016, Guervil and others participated in a drug trafficking organization that operated in the area of Spring and Passaic Streets in Trenton.
Through the authorized interception of telephone calls and text messages, controlled purchases of heroin, the use of confidential sources of information, and other investigative means, law enforcement learned that Ishmael Abdullah was a leader of the Abdullah DTO, and was responsible for obtaining significant quantities of heroin from multiple suppliers, including Jose Joaquin Torres-Mezquita and Ileana Sanchez. Ishmael Abdullah and Keith Hunter coordinated the organization’s distribution of heroin through themselves and other conspirators, including Guervil. Members of the Abdullah DTO used temporary prepaid phones, stash houses and cars, and spoke in code to avoid detection by law enforcement.
The conspiracy charge to which Guervil pleaded guilty carries a maximum potential penalty of 20 years in prison and a $1 million fine. Sentencing is scheduled for July 27, 2017.
Acting U.S. Attorney Fitzpatrick credited agents and officers with the Greater Trenton Safe Streets Task Force, including special agents of the FBI, Newark Division, Trenton Resident Agency, under the direction of Special Agent in Charge Timothy Gallagher; special agents of the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF), Newark Division, Trenton Field Office, under the direction of Acting Special Agent in Charge Scott C. Curley; officers of the Trenton Police Department, under the direction of Director Ernest Parrey Jr.; officers of the Princeton Police Department, under the direction of Chief of Police Nicholas Sutter; officers of the Ewing Police Department, under the direction of Chief of Police John P. Stemler III; and detectives of the Mercer County Prosecutor’s Office, under the direction of Mercer County Prosecutor Angelo J. Onofri, with the investigation.
He also thanked special agents of the FBI’s Philadelphia Field Office, under the direction of Special Agent in Charge Michael Harpster; special agents of Homeland Security Investigations, under the direction of Acting Special Agent in Charge Brian A. Michael; officers of the New Jersey State Police, under the direction of Superintendent Col. Joseph R. Fuentes; and officers of the Mercer County Sheriff’s Office, under the direction of Sheriff John A. Kemler, for their assistance in the case.
The government is represented by Assistant U.S. Attorney J. Brendan Day of the U.S. Attorney’s Office’s Criminal Division in Trenton.
The charges and allegations against the remaining defendants are merely accusations, and those defendants are presumed innocent unless and until proven guilty.
Defense counsel: Anthony G. Simonetti Esq., Hightstown, New Jersey
Man Who Defrauded Dozens of Distressed Connecticut Homeowners Sentenced to 9 Years in Federal PrisonRead the Press Release
Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that TIMOTHY W. BURKE, also known as “Bill Burke,” “William Burke,” “Kerry Saunders,” “Pat Riley,” “Jim Caldwell,” “Jim Saunders,” “Tom Morrisey,” “Jimmy,” “Phil Burke,” “Phil,” “Burt,” “James Burke,” and “M. Soler,” 65, formerly of Easton, was sentenced today by U.S. District Judge Michael P. Shea in Hartford to 108 months of imprisonment, followed by three years of supervised release, for defrauding distressed homeowners, and tax evasion.
According to court documents and statements made in court, between approximately 2010 and November 2015, BURKE engaged in a scheme to defraud individuals, mortgage lenders and the U.S. Department of Housing and Urban Development (HUD) by falsely representing to homeowners who were in, or facing, foreclosure on their homes that he would purchase their homes and pay off their mortgages. The distressed homeowners agreed to sign various documents, including quitclaim deeds, indemnification agreements, management agreements and third party authorization letters, which BURKE presented to them on the understanding that, by signing the documents, they would be able to walk away from their homes without the burdens of their mortgage or other costs associated with home ownership. BURKE also told homeowners that the process of negotiating with the lenders can take time and that, in the meantime, to ignore any notices regarding foreclosure. After he gained control of these houses, BURKE rented out the properties to tenants by advertising the properties on craigslist.com and other means and falsely representing to tenants that BURKE owned the property.
BURKE or one of his agents then collected rent from tenants, in person, and BURKE used the funds for his own benefit. BURKE failed to negotiate with the homeowners’ mortgage lender or pay expenses associated with the home, including the homeowner’s mortgages and property taxes, and he failed to pay any rental income he was collecting to the homeowners. Many of the properties BURKE purportedly purchased were ultimately foreclosed upon by the mortgage lender.
BURKE undertook extensive efforts to disguise his true identity, and hide his criminal past, from his victims through the use of multiple aliases and business entities, and to conceal the sources of and expenditures from his criminal proceeds. BURKE has been associated with multiple entities, including Quality Asset Management Services, LLC; Birmingham Investments, LLC; the Birmingham Group of Companies; Saunders Associates; New Haven Investments; Realty Partners Group; Preston Associates II; Landlord Maintenance Services, LLC; Turnkey Construction Services LLC; The Complete Handyman, LLC; and Woodbridge Associates.
Dozens of distressed homeowners, property renters and mortgage lenders were victimized during this scheme. Judge Shea will determine the amount that BURKE will be ordered to pay in restitution after further court proceedings.
In addition, between 1994 and 2012, BURKE evaded paying approximately $403,726 in federal taxes. He now owes the Internal Revenue Service more than $1 million in back taxes, interest and penalties.
BURKE has been detained since his arrest on November 19, 2015. On January 24, 2017, he pleaded guilty to one count of mail fraud and one count of tax evasion.
In 2002, BURKE was indicted by a federal grand jury in New Jersey on charges of conspiracy, mail fraud, and equity skimming. BURKE subsequently pleaded guilty to conspiracy to commit both equity skimming and mail fraud, and he was sentenced to 60 months in prison, followed by three years of supervised release. BURKE was released from federal custody in approximately August 2007 and began his federal supervised release at that time. One of the special conditions of BURKE’s supervised release was that he refrain from employment in the real estate business or mortgage industry. Based on his motion for early termination of his supervised release, the New Jersey federal court terminated his supervised release approximately one year early in August 2009.
Bradford Barneys, a Bridgeport-based attorney who assisted BURKE in this scheme, previously pleaded guilty to one count of conspiracy to commit mail and wire fraud. In pleading guilty, Barneys admitted that participated in numerous meetings with BURKE and homeowners during which BURKE represented to homeowners that he would purchase their properties. Barneys represented that these were legitimate transactions even though he knew that BURKE had no intention of buying the properties and paying the outstanding mortgages on the properties, and that BURKE was renting the properties to tenants. Barneys also represented BURKE and his companies in eviction proceedings against tenants.
Barneys awaits sentencing.
This matter has been investigated by Internal Revenue Service – Criminal Investigation Division, the U.S. Department of Housing and Urban Development – Office of Inspector General, and U.S. Postal Inspection Service, with the critical assistance of the Middletown, Plainville, Easton and Coventry Police Departments, the Connecticut State Police and the Bureau of Alcohol, Tobacco, Firearms and Explosives.
This case is being prosecuted by Assistant U.S. Attorneys David T. Huang and Sarah P. Karwan.
MEDIA ADVISORY-- Federal and State Law Enforcement Officials to Hold Press Conference to Announce Results of Significant DEA-Led, Multi-Agency Law Enforcement InvestigationRead the Press Release
ALBUQUERQUE – Acting U.S. Attorney James D. Tierney and Special Agent in Charge Will R. Glaspy of the El Paso Division of the DEA, will hold a press conference at 2:00 p.m., FRIDAY, APRIL 28, 2017, to announce the results of a DEA-led, multi-agency law enforcement investigation that culminated today with a major arrest operation. They will be joined by representatives of the law enforcement agencies that participated in the investigation and today’s operation.
WHO:
Acting U.S. Attorney James D. Tierney
Special Agent in Charge Will R. Glaspy, DEA, El Paso Division
Acting Deputy Chief Patrol Agent Jason E. Schneider, U.S. Border Patrol
Assistant Special Agent in Charge Jeffery Mayfield, Homeland Security Investigations
New Mexico State Police Captain Troy Weesler
Dona Ana County Sheriff Enrique Vigil
Chief Jaime Montoya, Las Cruces Police Department
Chief Javier Guerra, Sunland Park Police Department
WHEN:
FRIDAY, APRIL 28, 2017, 2:00 P.M.
WHERE:
DEA Las Cruces Resident Office
2290 East Griggs Avenue
Las Cruces, NM 88001
OPEN PRESS
NOTE: All media must present government-issued photo I.D. (i.e., driver’s license) and valid media credentials. Media may begin to arrive at 1:30 p.m. Inquiries regarding logistics should be directed to Alyssa Ferda at 505-224-1480 or [email protected].
Local Resident Gets Significant Sentence for Meth TraffickingRead the Press Release
HOUSTON – A 37-year-old Mexican national who resided in Huntsville has been ordered to federal prison for more than 17 years following his conviction of possessing with the intent to distribute methamphetamine, announced Acting U.S. Attorney Abe Martinez. Rando Saavedra-Ramirez pleaded guilty Sept. 12, 2016.
Today, U.S. District Judge Melinda Harmon sentenced Saavedra-Ramirez to 210 months in federal prison. Not a U.S. citizen, he is expected to face deportation proceedings following his release.
Law enforcement discovered Saavedra-Ramirez would be delivering several kilograms of methamphetamine on July 14, 2015. They set up surveillance at his home and followed him as he drove away in a 2005 BMW. He arrived at a storage unit and picked up a package.
Authorities conducted a traffic stop, but Saavedra-Ramirez restarted his car and fled the scene. A high speed chase ensued with Saavedra-Ramirez travelling at speeds in excess of 150 miles per hour. He then began swerving in and out of different lanes and exited the highway.
Determining it was not safe to follow him, law enforcement continued surveillance via helicopter as Saavedra-Ramirez exited the highway, stopped at shopping plaza, took the package out and placed it on the bed of a nearby truck. He then tried to enter into a nearby business.
He was arrested before he could flee. Authorities soon discovered 2.79 kilograms of methamphetamine in the package.
Saavedra-Ramirez has been and will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
The Montgomery County Sheriff’s Office and the Drug Enforcement Administration conducted the joint investigation. Assistant U.S. Attorney Sharad S. Khandelwal is prosecuting the case.
Livingston Man Sentenced to 25 Years Imprisonment for Distribution of Child PornographyRead the Press Release
BATON ROUGE, LA – Acting United States Attorney Corey Amundson announced today that U.S. District Court Judge John W. DeGravelles sentenced ANTHONY T. KURTZ, age 42, of Livingston, Louisiana, to 300 months in federal prison as a result of his conviction for distribution of child pornography. The Court further sentenced KURTZ to ten years of supervised release following his term of imprisonment, and to pay restitution to his victims in the amount of $19,500.
On February 18, 2016, KURTZ pled guilty to one count of distribution of child pornography, in violation of Title 18, United States Code, Section 2252A(a)(2)(A). At yesterday’s sentencing, the Court noted that KURTZ had previously been convicted of sexual assault and indecent assault in another state and therefore determined that a statutory sentencing enhancement applied in this case. The Court also ordered the defendant to pay restitution to the victims identified as among the children portrayed in the child pornography in KURTZ’s possession.
Acting United States Attorney Corey Amundson stated, “Childhood is a period of dependence and vulnerability. Those who exploit the helplessness of young children by distributing images of them being sexually abused reveal the depths of human depravity. The defendant was already a convicted felon and child sex offender when he began distributing these images. He earned every bit of the severe sentence he received yesterday. Protecting children is among the most solemn of a society’s responsibilities, and it remains a top priority of this office.”
ICE-HSI Special Agent-in-Charge Raymond R. Parmer, Jr. stated, “Child pornography is one of the most heinous crimes HSI investigates due to the irrevocable harm it inflicts physically and emotionally upon innocent children. This crime is an outrage in all cases; however, in this instance especially, the depravity of these illegal images was so extreme that the public should breathe a sigh of relief that this subject is now safely behind bars due to the incredible partnership between HSI and our federal, state and local law enforcement partners across Louisiana.”
This matter is being handled by the U.S. Attorney’s Office for the Middle District of Louisiana, the U.S. Department of Homeland Security, Homeland Security Investigations, the Louisiana Attorney General’s Office – Cyber Crime Unit, and the Livingston Parish Sheriff’s Office.
This matter is being prosecuted by Assistant U.S. Attorney Ryan R. Crosswell.
Kisano Opisbo aka Enrickson Fredrick SentencedRead the Press Release
Today, SHAWN N. ANDERSON, Acting United States Attorney for the Districts of Guam and the Northern Mariana Islands, announced that defendant KISANO OPISBO aka ENRICKSON FREDRICK, age 43, a citizen of the Federated States of Micronesia (FSM), was sentenced on April 27, 2017, in District Court, to five months and 18 days imprisonment. The Court also ordered a three-year term of supervised release following OPISBO’S release, in addition to the payment of a mandatory $100 assessment fee.
On December 13, 2016, OPISBO was charged by Indictment with Illegal Reentry of Removed Alien, in violation of 8 U.S.C. § 1326(a) and (b)(2). On January 27, 2017, OPISBO entered a guilty plea to the charge. OPISBO was previously deported to the FSM in December 2002. His deportation followed a conviction on Guam for Burglary, Fourth Degree Criminal Sexual Conduct, and Indecent Exposure. OPISBO had no permission to return to the United States. He later changed his name and obtained a new passport, which enabled his travel to Hawaii and then South Carolina. On November 11, 2016, while traveling to Pohnpei via Guam, federal immigration authorities arrested OPISBO after determining his true identity through biometric data.
Acting United States Attorney Anderson stated, “The enforcement of federal immigration laws is a high priority for the Department of Justice. Our office will continue to hold criminal aliens accountable for unlawfully entering the United States.”
The investigation was conducted by the U.S. Department of Homeland Security, Homeland Security Investigations. The case was prosecuted by Rosetta San Nicolas, Assistant United States Attorney for the District of Guam.
KC Man Charged with Illegal Firearm after Jimmy John's RobberyRead the Press Release
KANSAS CITY, Mo. – Tom Larson, Acting United States Attorney for the Western District of Missouri, announced that a Kansas City, Mo., man was charged in federal court today with illegally possessing a firearm following the armed robbery of a Jimmy John’s restaurant in Kansas City.
Terry K. Rayford, 54, of Kansas City, was charged with being a felon in possession of a firearm in a criminal complaint filed in the U.S. District Court in Kansas City, Mo.
Today’s criminal complaint alleges that Rayford was in possession of a Witness-P .45-caliber semi-automatic handgun and a Jimenez 9mm semi-automatic handgun on Thursday, April 27, 2017.
According to an affidavit filed in support of the complaint, the firearms were found in Rayford’s vehicle after he was stopped by Independence, Mo., police officers at approximately 7:30 p.m. Officers received information about a person matching the description of the suspect in an armed robbery at a Jimmy John’s restaurant the day before. A retired major with the Kansas City, Mo., Police Department had seen video of the robbery broadcast on the news and saw Rayford – who appeared to be the robbery suspect – driving in the area of 40 Highway and Crysler in Independence.
Independence police officers responded to the area and stopped Rayford’s vehicle. When they ordered him to get out of his vehicle, officers found the Witness-P .45-caliber semi-automatic handgun lying on the driver’s side floorboard. Rayford was arrested and his vehicle towed. During an inventory of the vehicle, the Jimenez 9mm semi-automatic handgun was found in the back pouch of the front passenger seat.
Rayford told investigators he had stolen both of the handguns from his source of supply for crack cocaine, to whom he owed money.
Under federal law, it is illegal for anyone who has been convicted of a felony to be in possession of any firearm or ammunition. Rayford has numerous felony convictions for first degree armed robbery and he was on parole at the time of the alleged offense.
Larson cautioned that the charge contained in this complaint is simply an accusation, and not evidence of guilt.
This case is being prosecuted by Assistant U.S. Attorney Trey Alford. It was investigated by the Kansas City, Mo., Police Department, the Independence, Mo., Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives.
Jury Convicts Four Former Georgia Department of Corrections Officers of Bribery and Drug TraffickingRead the Press Release
NEWNAN, Ga. - Jeremy Fluellen, Chelsey Mayweather, Tramaine Tucker, and Christopher Williams have been convicted by a federal jury after a week-long trial, on fifteen counts of cocaine and methamphetamine distribution, and seven counts of extortion under color of official right. Prior to trial, 44 other corrections officers pleaded guilty in a series of cases related to this investigation at Georgia Department of Corrections institutions across the state.
“It’s troubling that so many officers from state correctional institutions across Georgia were willing to sell their badges for personal payoffs from purported drug dealers,” said U. S. Attorney John Horn. “They not only betrayed the institutions they were sworn to protect, but they also betrayed the ideals that honest, hard-working correctional officers uphold every day. They directly contributed to the hurtful criminal activity both inside and outside the prisons they served.”
“The federal convictions of these four State of Georgia corrections officers, brought about as part of a larger FBI investigation sends a much needed message that there is a cost if you sell your badge. These guards abdicated their responsibilities within the Georgia Department of Corrections at a time when corrections facilities in Georgia and elsewhere across the nation are being inundated with smuggled contraband smart phones that end up posing a larger problem to the public as well as the correction facility itself. Because of the vast harm that it creates in terms of public safety and the public’s trust of law enforcement, the FBI will continue to make public corruption its number one criminal program across the board, to include those that begin within the confines of a prison,” said David J. LeValley, Special Agent in Charge, FBI Atlanta Field Office.
“We are pleased to see that justice has been served on these individuals for their role in jeopardizing the safe and secure operations of our facilities,” said GDC Commissioner Gregory C. Dozier. “Ridding our prisons of corrupt staff and shedding light on those who choose a path of dishonor continues to be one of our top priorities.”
According to U.S. Attorney Horn, the charges, and other information presented in court: The Georgia Department of Corrections (“GA DOC”) is the agency responsible for overseeing the operations of the Georgia state prison system and its more than 50,000 inmates. During a federal investigation of GA DOC employees and inmates, the FBI uncovered that correctional officers were smuggling contraband (including controlled substances and cellular telephones) into state prisons. Inmates used many of those contraband cell phones to commit wire fraud, money laundering, identity theft, and drug trafficking.
The operation also revealed that numerous GA DOC officers were willing to use their law enforcement uniforms and credentials to protect what they believed were drug deals involving multiple kilograms of methamphetamine and cocaine. In a series of undercover operations, more than 45 correctional officers used their law enforcement status to protect drug deals in exchange for thousands of dollars in cash bribe payments. During the undercover deals, the correctional officers generally wore their GA DOC uniforms or had their GA DOC badges in an effort to avoid law enforcement scrutiny.
After a weeklong trial, a federal jury returned the following guilty verdicts against defendants on all counts charged against them:
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Jeremy Fluellen, 28, of Sparta, Georgia, formerly a Correctional Officer at Hancock State Prison and on the GA DOC tactical unit (also known as the COBRA Squad), was convicted of two counts of attempted distribution of cocaine, and two counts of extortion under color of official right;
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Chelsey Mayweather, 25, of Milledgeville, Georgia, formerly a Correctional Officer at Baldwin State Prison, was convicted of two counts of attempting to distribute cocaine and/or methamphetamine, and two counts of extortion under color of official right;
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Tramaine Tucker, 28, of Sparta, Georgia, formerly a Correctional Officer at Hancock State Prison and Riverbend Correctional Facility, was convicted of two counts of attempting to distribute cocaine and/or methamphetamine, and one count of extortion under color of official right; and
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Christopher Williams, 26, of Sparta, Georgia, formerly a Correctional Officer at Hancock State Prison, was convicted of nine counts of attempting to distribute cocaine and/or methamphetamine, and two counts of extortion under color of official right.
Previously, numerous others were also charged as part of the overall investigation of the GA DOC. In total, this extensive operation has resulted in charges against approximately 130 prison employees, inmates, and non-incarcerated co-conspirators.
Sentencings for Jeremy Fluellen, Chelsey Mayweather, Tramaine Tucker, and Christopher Williams will occur July 25, 2017, at 9:30 a.m., before U.S. District Judge Timothy C. Batten, Sr.
These cases are being investigated by the Federal Bureau of Investigation, the Georgia Bureau of Investigation, and the Georgia Department of Corrections Office of Professional Standards.
Assistant U.S. Attorneys John S. Ghose and Vivek Kothari are prosecuting the case.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
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Information: Federal Court ArraignmentsRead the Press Release
The United States Attorney’s Office announced that those persons listed below were arraigned before the U.S. Magistrate and the indictments handed down by the Grand Jury unsealed.
Appearing before U.S. Magistrate Cavan in Billings on April 27, 2017 and entering pleas of Not Guilty were:
- MARK STEVEN ELK SHOULDER, a 50-year-old resident of Billings, appeared on charges of failure to register. If convicted of the charge contained in the indictment, ELK SHOULDER faces 10 years in prison, $250,000 in fines and lifetime supervised release. The case was investigated by the U.S. Marshals Service. PACER Case Reference. 17-40
- CHRISTOPHER RAY METZGER, a 41-year-old resident of Billings, appeared on charges of concealing a person from arrest. If convicted of the charge contained in the indictment, METZGER faces 5 years in prison, $250,000 in fines and lifetime supervised release. The case was investigated by the FBI Task Force. PACER Case Reference. 17-46
Appearing before U.S. Magistrate Cavan in Billings on April 26, 2017 and entering pleas of Not Guilty were:
- FRANCISCO CALDERON, a 47-year-old resident of San Jose, California, appeared on charges of felon in possession of a firearm. If convicted of the charge contained in the indictment, CALDERON faces 10 years in prison, $250,000 in fines and 3 years supervised release. The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives. PACER Case Reference. 17-36
- LUIS JAVIER GASPAR, a 19-year-old resident of San Jose, California, appeared on charges of felon in possession of a firearm. If convicted of the charge contained in the indictment, GASPAR faces 10 years in prison, $250,000 in fines and 3 years supervised release. The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives. PACER Case Reference. 17-36
Appearing before U.S. Magistrate Cavan in Billings on April 25, 2017 and entering pleas of Not Guilty were:
- WILLIAM THOMAS HAYNES, a 43-year-old resident of St. Xavier, appeared on charges of felon in possession of a firearm. If convicted of the charge contained in the indictment, HAYNES faces 10 years in prison, $250,000 in fines and 3 years supervised release. The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, and the Golden Valley County Sheriff’s Office. PACER Case Reference. 17-42
Appearing before U.S. Magistrate Cavan in Billings on April 24, 2017 and entering pleas of Not Guilty were:
- LOYAL JUDE HOGAN, a 32-year-old resident of Lodge Grass, appeared on charges of abusive sexual contact with a minor. If convicted of the most serious charge contained in the indictment, HOGAN faces 2 years in prison, $250,000 in fines and lifetime supervised release. The case was investigated by the Federal Bureau of Investigation. PACER Case Reference. 17-14
Appearing before U.S. Magistrate Johnston in Great Falls on April 18, 2017 and entering pleas of Not Guilty were:
- BRANDEN CONRAD MIESMER, a 27-year-old resident of Great Falls, appeared on charges of carjacking. If convicted of the charge contained in the indictment, MIESMER faces 15 years in prison, $250,000 in fines and 3 years supervised release. The case was investigated by the Federal Bureau of Investigation. PACER Case Reference. 17-02
If any of the above cases are of interest to your media organization and the community it serves, we encourage you to monitor the progress of the case regularly through the U.S. District Court calendar and the PACER system so that you stay current and not miss any important developments in the case.
To establish a PACER account, which will allow you to review documents filed in the case, please go to, http://www.pacer.gov/register.html. To access the district court’s calendar, please go to https://ecf.mtd.uscourts.gov/cgi-bin/PublicCalendar.pl.
Indiana Mother and Son Indicted for Filing Fraudulent Tax Refund ClaimsRead the Press Release
An indictment against an Indiana mother and son charging them with conspiracy and filing fraudulent tax refund claims was unsealed today, announced Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division and Acting U.S. Attorney Clifford D. Johnson for the Northern District of Indiana. A federal grand jury sitting in Hammond, Indiana returned the indictment on April 21.
According to the indictment, from approximately 2010 through 2014, Tracie Lynne Ellis and Terrell Sir William Franklin conspired to defraud the United States by filing fraudulent refund claims with the Internal Revenue Service (IRS). The indictment charges that Ellis and Franklin created the Tracie Lynne Ellis Trust and the Terrell Sir Williams Franklin Trust, neither of which had a business purpose. Ellis and Franklin allegedly filed fraudulent returns with the IRS in the names of these trusts and sought refunds to which they were not entitled. The indictment alleges that the IRS paid out one of the fraudulent refund claims totaling approximately $156,248. to the indictment, Ellis and Franklin deposited this money into a bank account and withdrew the funds over a seven-month period.
An indictment merely alleges that crimes have been committed. Defendants are presumed innocent until proven guilty beyond a reasonable doubt.
If convicted, Ellis and Franklin face a statutory maximum sentence of 10 years in prison for the conspiracy count and five years in prison for each of the false claim counts. Ellis and Franklin also face periods of supervised release, restitution and monetary penalties.
Acting Deputy Assistant Attorney General Goldberg and Acting U.S. Attorney Johnson commended special agents of IRS–Criminal Investigation, who conducted the investigation, and Assistant U.S. Attorney Gary Bell and John Mulcahy of the Tax Division, who are prosecuting the case.
Additional information about the Tax Division and its enforcement efforts may be found on the division’s website.
Indiana Mother and Son Indicted for Filing Fraudulent Tax Refund ClaimsRead the Press Release
WASHINGTON – An indictment against an Indiana mother and son charging them with conspiracy and filing fraudulent tax refund claims was unsealed today, announced Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division and Acting U.S. Attorney Clifford D. Johnson for the Northern District of Indiana. A federal grand jury sitting in Hammond, Indiana returned the indictment on April 21.
According to the indictment, from approximately 2010 through 2014, Tracie Lynne Ellis and Terrell Sir William Franklin conspired to defraud the United States by filing fraudulent refund claims with the Internal Revenue Service (IRS). The indictment charges that Ellis and Franklin created the Tracie Lynne Ellis Trust and the Terrell Sir Williams Franklin Trust, neither of which had a business purpose. Ellis and Franklin allegedly filed fraudulent returns with the IRS in the names of these trusts and sought refunds to which they were not entitled. The indictment alleges that the IRS paid out one of the fraudulent refund claims totaling approximately $156,248. to the indictment, Ellis and Franklin deposited this money into a bank account and withdrew the funds over a seven-month period.
An indictment merely alleges that crimes have been committed. Defendants are presumed innocent until proven guilty beyond a reasonable doubt.
If convicted, Ellis and Franklin face a statutory maximum sentence of 10 years in prison for the conspiracy count and five years in prison for each of the false claim counts. Ellis and Franklin also face periods of supervised release, restitution and monetary penalties.
Acting Deputy Assistant Attorney General Goldberg and Acting U.S. Attorney Johnson commended special agents of IRS–Criminal Investigation, who conducted the investigation, and Assistant U.S. Attorney Gary Bell and John Mulcahy of the Tax Division, who are prosecuting the case.
Additional information about the Tax Division and its enforcement efforts may be found on the division’s website.
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DO NOT REPLY TO THIS MESSAGE. IF YOU HAVE QUESTIONS, PLEASE USE THE CONTACTS IN THE MESSAGE OR CALL THE OFFICE OF PUBLIC AFFAIRS AT 202-514-2007.
Identity Thief sentenced for using a new form of fraud “Synthetic Identities”Read the Press Release
ATLANTA – Creating “synthetic identities” from phony Social Security numbers is one of the fastest growing forms of identity theft in the United States, and the U.S. Attorney’s Office for the Northern District of Georgia is prosecuting increased numbers of these cases to stay in front of this trend.
One recent case involves Kelvin Lyles, who has been sentenced to three years and ten months in federal prison for wire fraud. Lyles used so-called “synthetic identities,” which are fake identities created by establishing a credit history for false Social Security numbers with the credit reporting agencies. Using this method, Lyles defrauded credit card companies out of over $350,000.
“Synthetic identity theft is an unfortunate new form of criminal fraud,” said U. S. Attorney John Horn. “Identity thieves continue to invent new methods, and this is one more avenue of approach in their attempt to take what is not theirs. We will keep current with these latest trends and do all we can to keep our citizens safe from identity thieves.”
“As synthetic identity theft continues to become one of the fastest-growing consumer fraud schemes, the US Postal Inspection Service will remain steadfast to investigate emerging criminal trends to bring these offenders to justice,” said David M. McGinnis, U.S. Postal Inspector in Charge of the Charlotte Division. “Postal Inspectors will continue to go after those who utilize the U.S. mail for fraudulent financial gain.”
According to U.S. Attorney Horn, the charges and other information presented in court: From January 2013 until December 2015, Lyles obtained and created synthetic identities to obtain credit cards in the names of fictional individuals. Lyles then used online credit card processing services to charge transactions to the credit cards, directing all the stolen funds obtained to himself.
In December 2015, law enforcement executed a search warrant at Lyles’s residence and discovered information for over 300 synthetic identities, fake driver’s licenses, a fake social security card, and numerous credit cards held in the names of individuals other than Lyles. In total, Lyles attempted $435,862.10 in fraudulent credit card transactions and succeeded in obtaining approximately $350,000.
In recent months, the U.S. Attorney’s Office has prosecuted other defendants committing similar kinds of synthetic identity fraud:
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On January 5, 2017, Robert F. Dixon, Jr., of Chamblee, Georgia, was sentenced by U.S. District Judge Leigh Martin May to two years, ten months in federal prison to be followed by three years of supervised release for wire fraud conspiracy, wire fraud, and misuse of a Social Security number. Dixon was ordered to pay restitution in the amount of $403,734.55.
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On November 17, 2016, Karen A. Bradley, of Lithonia, Georgia, was sentenced by U.S. District Judge Leigh Martin May to one year, six months in federal prison to be followed by three years of supervised release for wire fraud conspiracy and misuse of a Social Security number. Bradley was ordered to pay restitution in the amount of $244,232.31.
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On September 1, 2016, Landerick C. Mitchell, of North Charleston, South Carolina, was sentenced by U.S. District Judge Leigh Martin May to six months in federal prison to be followed by three years of supervised release for wire fraud conspiracy and misuse of a Social Security number. Mitchell was ordered to pay restitution in the amount of $23,328.86.
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On January 10, 2017, Maurice R. Lambert, of Atlanta, Georgia, pleaded guilty to access device fraud and misuse of a Social Security number. He is scheduled to be sentenced by U.S. District Judge Eleanor L. Ross on May 25, 2017.
While these cases pertain to criminals using synthetic identities, law-abiding citizens also risk being tricked into purchasing a synthetic identity, primarily in the form of a so-called “Consumer Profile Number” or “CPN.” A CPN is a nine-digit number that some credit repair agencies claim can be used as a replacement for a Social Security number in credit and loan applications. Falsely stating in a credit or loan application that a CPN is a Social Security number risks violating federal law. Citizens should be extremely skeptical of any claims from credit repair services that ask them to use a CPN in place of their actual social security number when applying for credit or loans.
Kelvin Lyles, 43, of Atlanta, Georgia, was sentenced by U.S. District Judge Mark H. Cohen to three years, ten months in prison to be followed by three years of supervised release, and ordered to pay restitution in the amount of $353,937.23. Lyles pleaded guilty pursuant to a plea agreement on January 18, 2017.
This case was investigated by the U.S. Postal Inspection Service.
Special Assistant United States Attorney Diane Schulman and Assistant United States Attorney Samir Kaushal prosecuted the case.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
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Hot Springs Woman Sentenced to over 12 Years in Federal Prison for Drug TraffickingRead the Press Release
Hot Springs, Arkansas - Kenneth Elser, United States Attorney for the Western District of Arkansas, announced that Keri Burroughs, age 39, of Hot Springs, was sentenced this week to 151 months in federal prison followed by three years of supervised release on one count of Possession With Intent to Distribute Methamphetamine. The Honorable Susan O. Hickey presided over the sentencing hearing in the United States District Court in Hot Springs.
According to court records, on January 28, 2016, investigators with Homeland Security Investigations and the 18th Judicial Drug Task Force obtained an arrest warrant for Keri Burroughs for a narcotics offense. On February 1, 2016, an Arkansas State Trooper conducted a traffic stop on her vehicle for several traffic violations. After a narcotics canine gave a positive alert for the presence of drugs, Burroughs granted consent for a search of her vehicle where the trooper found and seized eight bags of a crystalline substance totaling over 218 grams, a 9mm handgun with two loaded magazines, one of which was inserted in the firearm, a digital scale, and two meth pipes. One of the bags, weighing over 27 grams was tested by the Arkansas State Crime Lab and was determined to be 100% pure methamphetamine. After being advised of and waiving her Miranda rights, she admitted the methamphetamine was hers and that she intended to distribute it. Burroughs was indicted by a federal jury in March, 2016 and pleaded guilty in May, 2016.
Homeland Security Investigations, the 18th Judicial Drug Task Force and the Arkansas State Police assisted in the investigation. Assistant United States Attorney Amy Driver prosecuted the case for the United States.
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Related court documents may be found on the Public Access to Electronic Records website @ www.pacer.gov
Hot Springs Man Sentenced to Nine Years in Federal Prison for Drug TraffickingRead the Press Release
Hot Springs, Arkansas - Kenneth Elser, United States Attorney for the Western District of Arkansas, announced that Mark A. Hudson, age 43 of Hot Springs, was sentenced this week to 110 months in federal prison followed by three years of supervised release on each count of Conspiracy to Distribute Methamphetamine and Distribution of Methamphetamine. The sentences are to run concurrent with each other. The Honorable Susan O. Hickey presided over the sentencing hearing in the United States District Court in Hot Springs.
According to court records, in August 2014, law enforcement began investigating Mark Hudson for the distribution of heroin. Agents used a confidential source to arrange for and conduct at least six controlled purchases of heroin from Hudson in Hot Springs exchanging funds for the purchase of the heroin. In November 2014, the confidential source exchanged $200 for a quarter of an ounce of methamphetamine from Hudson. The suspected substance sent to the Drug Enforcement Administration South Central Laboratory and was determined to be 4.2 grams of actual methamphetamine. Hudson was indicted by a federal jury in July 2015 and pleaded guilty in February 2016.
Hudson’s co-defendant, Titus D. Denton, age 33, of Benton, was sentenced on July 29, 2016 to 60 months in federal prison and three years of supervised release on one count of Conspiracy to Distribute Heroin.
“We will continue to attack the scourge of methamphetamine and heroin distribution in Arkansas and beyond,” said DEA Assistant Special Agent in Charge Matthew Barden. “The sentencing of Mark Hudson should send a message to those who want to sell drugs. We are going to catch you and put you in federal prison if you distribute this poison in our communities. ”
The Drug Enforcement Administration, 18th Judicial Drug Task Force, and Hot Springs Police Department assisted in the investigation. Assistant United States Attorney Candace Taylor prosecuted the case for the United States.
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Related court documents may be found on the Public Access to Electronic Records website @ www.pacer.gov
Greeneville Resident Sentenced to Twenty Years in Federal Prison for Methamphetamine ConspiracyRead the Press Release
GREENEVILLE, Tenn. – On April 27, 2017, Jeffery Brian Wills, a.k.a. “Fro”, 27, of Greeneville, Tennessee, was sentenced by the Honorable R. Leon Jordan, Senior U.S. District Court Judge, to serve 240 months in federal prison following a conviction for his role in a conspiracy to distribute methamphetamine in east Tennessee.
According to his plea agreement on file with U.S. District Court, Wills admitted that he was responsible for at least 1.5 kilograms but less than 4.5 kilograms of actual methamphetamine. He sold varying quantities of methamphetamine in June and December 2015 to an individual cooperating on behalf of law enforcement. In October 2015, law enforcement officers searched a motel room in Morristown, Tennessee, occupied by Wills and a co-conspirator, and found approximately 12 grams of methamphetamine, approximately $4,000 and miscellaneous narcotic pills. A bag containing a portion of the methamphetamine and Wills’ keys had “CHM” lettering on it. “CHM” stands for the Chicken Head Mafia. Wills and co-defendants Rick Munsey, 48, of Del Rio, Tennessee, and Joel Hosea Beasley, 37, of Mooresburg, Tennessee, were part of the “CHM” crew.
Wills further admitted that another individual began purchasing one ounce of methamphetamine per week from him in March 2015. By the end of May 2015, this individual was purchasing one to two ounces of methamphetamine from Wills per day.
In April 2016, co-defendant Christopher Williams, 47, of Hamblen County, Tennessee, was arrested in Knox County, Tennessee, carrying a suitcase with over 700 grams of methamphetamine inside. Wills and Munsey, among others, were awaiting Williams’ arrival to obtain their share of the methamphetamine obtained from Georgia when Williams was arrested making a delivery to another customer.
Law enforcement agencies participating in the investigation included the Federal Bureau of Investigation, Hamblen County Sheriff’s Office, Morristown Police Department and Third and Fourth District Judicial Drug Task Forces. Assistant U.S. Attorney Wayne Taylor represented the United States.
This case was a result of the Department of Justice’s Organized Crime and Drug Enforcement Task Force (OCDETF) program, the centerpiece of the Department of Justice’s drug supply reduction strategy. OCDETF was established in 1982 to conduct comprehensive, multi-level attacks on major drug trafficking and money laundering organizations. Today, OCDETF combines the resources and expertise of its member federal agencies in cooperation with state and local law enforcement. The principal mission of the OCDETF program is to identify, disrupt, and dismantle the most serious drug trafficking and money laundering organizations and those primarily responsible for the nation’s drug supply.
Grand Jury Returns Indictment Charging Woman with Attempt to Commit MurderRead the Press Release
SALT LAKE CITY – A federal grand jury in Salt Lake City returned a two-count indictment Wednesday charging Shawna Marie Chapman, age 30, with attempt to commit murder and assault resulting in serious bodily injury. The indictment was unsealed Friday afternoon following Chapman’s arrest and initial court appearance. Chapman was residing with her husband, a member of the U.S. Armed Forces, at Hill Air Force Base.
United States Attorney for Utah John W. Huber, Acting Assistant Attorney General Kenneth A. Blanco of the Justice Department’s Criminal Division, Special Agent in Charge Eric K. Barnhart of the FBI’s Salt Lake City Field Office, Assistant Director in Charge Andrew Vale of the FBI’s Washington Field Office, and Colonel Shan B. Nuckols of the Air Force Office of Special Investigations, 5th Field Investigations Region, Ramstein Air Base, Germany, announced the indictment Friday.
The indictment alleges that on Feb. 10, 2016, Chapman attempted to murder an 11-month-old child by stabbing her in the abdomen and arm with a knife. The indictment alleges the assault resulted in serious bodily injury to the child. The indictment further alleges that Chapman committed the offense while accompanying a U.S. military service member in Spain. The conduct alleged in the indictment falls within the venue of the United States District Court for the District of Utah since the last known residence for the defendant is Hill Air Force Base, Utah, according to the indictment.
Chapman entered a plea of not guilty to both counts in the indictment at the initial appearance Friday afternoon before U.S. Magistrate Judge Paul M. Warner. Magistrate Warner appointed attorneys from the Federal Public Defenders Office to represent her. A five-day jury trial will begin June 26, 2017, in U.S. District Judge David Sam’s courtroom. Federal prosecutors sought detention for Chapman pending trial. After hearing argument on the issue, Magistrate Warner released Chapman from custody with standard and special conditions of release, including reporting to pretrial services as ordered, maintaining base housing with notification to pretrial services if housing arrangements change, travel restrictions, surrendering her passport, and complying with pretrial services on mental health and other health care issues. Magistrate Warner also put in place conditions for supervised visits the defendant may make with the child, including a requirement that they be supervised by a third-party not related to the defendant. The defendant also cannot stay at the home where the child is living.
Chapman faces up to life in prison if convicted of the charges in the indictment with a mandatory minimum of 10 years.
Indictments are not findings of guilt. Individuals charged in an indictment are presumed innocent unless and until proven guilty beyond a reasonable doubt in court.
The FBI and Air Force Office of Special Investigations are investigating the case. Trial Attorney Christine Duey of the Criminal Division’s Human Rights and Special Prosecutions Section and Assistant U.S. Attorneys Drew Yeates and Andrea Martinez of the District of Utah are prosecuting the case.
Fort Worth Man Convicted by Federal Jury of Being a Felon in Possession of a FirearmRead the Press Release
FORT WORTH — Following a two-day trial before U.S. District Judge Reed C. O’Connor, a federal jury convicted Terry Dixon, 42, of Arlington, earlier this week of one count of felon in possession of a firearm and ammunition, announced U.S. Attorney John Parker of the Northern District of Texas.
The possession count carries a maximum statutory penalty of 10 years in federal prison. Dixon has been in custody since his arrest in September 2016. Sentencing is set for August 14, 2017.
According to evidence presented at trial, on September 15, 2016, Arlington Officers were dispatched to an East Abram Street bar where Dixon was causing a disturbance in the parking lot with a firearm. As Officers arrived, they saw Dixon sitting in a white four-door Cadillac in the bar’s parking lot. Officers ordered Dixon to get out of his car multiple times. Dixon got out of his car and began walking in the parking lot with one hand in his pocket. Officers lost sight of him for a few seconds before regaining sight of him and ordered Dixon to get his hand out of his pocket. Dixon refused. The Officers warned Dixon that if he continued to disobey their commands, they would deploy a Taser to gain compliance. Due to Dixon’s continued non-compliance and the potential firearm threat, Officers deployed a Taser, which allowed them to subdue Dixon and safely detain him.
While detained, Dixon told the Officers he had .357 Magnum gun in his car and claimed to have a permit for it. Unable to find a gun in his car, the Officers searched the area where they had lost sight of Dixon, and observed a bar stool behind a gate and fence. A Taurus, .357 caliber revolver, loaded with five (5) rounds of .357 magnum ammunition was located on the roof of the building. The Officers checked Dixon’s background and learned he was a convicted felon. They placed Dixon under arrest for unlawful firearm possession and a search uncovered thirteen rounds of Armscorp .357 magnum ammunition in his pocket, which matched the ammunition in the revolver.
The Bureau of Alcohol, Tobacco, Firearms, and Explosives investigated. Assistant U.S. Attorneys Frank Gatto and Shawn Smith prosecuted.
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Former Seattle Resident Arrested for Use of ‘Molotov Cocktail’ at May Day 2016 ProtestRead the Press Release
A former Seattle resident was arrested in Wisconsin this morning in connection with an attack on Seattle Police at the May Day protest in 2016, announced U.S. Attorney Annette L. Hayes. WIL CASEY FLOYD, 32, will appear in U.S. District Court in Milwaukee, Wisconsin this afternoon. FLOYD was identified in a lengthy investigation as the member of the so-called ‘Black Bloc’ of protestors who threw unlit incendiary devices at police. FLOYD is charged by criminal complaint with unlawful possession of a destructive device -- a felony punishable by up to ten years in prison.
“This case demonstrates our commitment to protecting our cherished First Amendment rights while holding those who abuse those rights to account,” said U.S. Attorney Annette L. Hayes. “I join city leaders in emphasizing that violence at May Day protests will not be tolerated, and commend Seattle Police and FBI’s dogged pursuit of this defendant who threw a Molotov cocktail at an SPD officer at last year’s May Day protests. His so-called “black bloc” disguise was useless in his effort to evade responsibility for his actions.”
“The FBI and Seattle Police Department worked tirelessly to uncover the faces under the black masks who chose to turn a peaceful protest into a violent confrontation,” said Special Agent in Charge Jay S. Tabb, Jr. “Our priority is keeping the people of this city safe, and we hope this arrest and prosecution will deter those who think they can stay anonymous while causing injury and destruction on the streets of Seattle.”
“The actions of the accused put peaceful demonstrators and police officers at extreme risk. In this case and similar cases, we will continue to work relentlessly with the FBI and the U.S. Attorney’s Office to bring suspects to justice. I commend the exceptional work of our SPD detectives and our federal partners,” said Seattle Police Chief Kathleen O’Toole.
According to the criminal complaint in the case, on the evening of May 1, 2016, one of the Molotov cocktails thrown at police shattered at the feet of an officer and ignited his trousers when a flash-bang grenade went off. The officer suffered burns to his leg. Law enforcement gathered a variety of evidence at the scene on 4th Avenue South and South Seattle Boulevard, including other remains of bottles and a satchel with one unexploded incendiary device. The devices were all the same in construction: beer bottles with flammable liquid and a home-made stopper and cotton cloth. Law enforcement reviewed a variety of videos from the scene and ultimately identified FLOYD as a suspect. Law enforcement obtained a court authorized search warrant to collect evidence to determine whether FLOYD was linked to the satchel and the incendiary devices. Just last week law enforcement tracked FLOYD to a flight from San Diego, California to Wisconsin with a change of planes in Denver. Members of the Joint Terrorism Task Force intercepted FLOYD as he changed planes. FLOYD agreed to speak with investigators. FLOYD was arrested without incident this morning at his mother’s home in Elkhart Lake, Wisconsin.
Unlawful possession of destructive devices is punishable by up to ten years in prison and a $250,000 fine. This is the maximum penalty allowed by law. The actual sentence imposed in any case will reflect the specific facts of the crime, including the impact on any victims and the defendant.
The charges contained in the complaint are only allegations. A person is presumed innocent unless and until he or she is proven guilty beyond a reasonable doubt in a court of law.
The case is being investigated by the FBI’s Joint Terrorism Task Force and the Seattle Police Department, both through its membership on the JTTF and with additional investigative groups. Today’s arrest was made with assistance from the FBI’s Milwaukee Field Office and the Elkhart Lake Police Department.
The case is being prosecuted by Assistant United States Attorney Todd Greenberg in consultation with the King County Prosecuting Attorney’s Office.
Former Real Estate Attorney, Mortgage Loan Originator Sentenced in Mortgage Fraud, Identity Theft SchemeRead the Press Release
PROVIDENCE – Former Real Estate Attorney Louis Marandola, 42, of Providence and Brian R. McCaffrey, 38, of Warwick, a former licensed loan originator, have been sentenced to federal prison for their participation in a scheme to obtain money they were not entitled to from financial institutions and individuals through mortgage loans, residential property sales and fees.
On Thursday, Louis Marandola was sentenced to 48 months in federal prison to be followed by 3 years supervised release. On January 13, 2017, Marandola pleaded guilty to conspiracy to commit bank fraud and aggravated identity theft.
Today, Brian R. McCaffrey was sentenced to 18 months in federal prison, to be followed by 3 years supervised release. McCaffrey pleaded guilty on January 27, 2017, to conspiracy to commit bank fraud and bank fraud.
The sentences, imposed by U.S. District Court Judge John J. McConnell, Jr., are announced by Acting United States Attorney Stephen G. Dambruch; Christina D. Scaringi, Special Agent in Charge of the Northeast Region of the U.S. Department of Housing and Urban Development Office of Inspector General (HUD-OIG); Brian Deck, Resident Agent in Charge of the Providence Office of the U.S. Secret Service; and Colonel Ann C. Assumpico, Superintendent of the Rhode Island State Police.
Two co-defendants in this matter, Raffaele M. Marziale, 41, of Bristol, a former loan officer who pleaded guilty on February 29, 2016, to conspiracy to commit bank fraud, bank fraud, and aggravated identity theft; and Edwin Rodriguez, 35, of Pawtucket, a real estate investor who pleaded guilty on June 1, 2016, to conspiracy to commit bank fraud, bank fraud, aggravated identity theft and tampering with a witness, are awaiting sentencing.
Gina Ronci Mohamed, 46, of Lincoln, was sentenced on April 25, 2017, to two years probation. Ms. Ronci pleaded guilty on April 22, 2016, to making a false statement to HUD; and Lauren Sienko, 35, of Rehoboth, Mass., was sentenced on April 3, 2017, to two years probation. Ms. Sienko pleaded guilty on January 6, 2017, to making a false statement to HUD.
According to court documents and information presented to the court, an investigation by the United States Attorney’s Office, HUD-OIG, U.S. Secret Service and Rhode Island State Police determined that between 2007 and 2014, the defendants conspired to execute a scheme which caused prospective homebuyers to obtain mortgages from financial institutions based upon materially false loan applications and fraudulent supporting documentation. As part of the conspiracy, false representations were made in order to obtain fees to which the defendants were not entitled or to make a profit selling property in which they had an ownership interest. In some instances, thousands of dollars were fraudulently obtained by misrepresenting on a HUD form the amount of funds due or to be paid to one of the parties involved in a transaction.
In numerous instances, the defendants concealed their involvement in the scheme by conducting business under the names of several different entities and individuals. At times, the defendants used stolen identities to further the fraud and to conceal their connection to the real estate transactions.
The cases are being prosecuted by Assistant U.S. Attorneys Sandra R. Hebert and William J. Ferland.
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Contact:
Jim Martin (401) 709-5357
email: [email protected]
on Twitter @USAO_RI
Former Owner of Internet Sports Memorabilia Businesses Sentenced to 60 Months’ Imprisonment for $2.5 Million Fraud SchemeRead the Press Release
HARRISBURG - The United States Attorney’s Office for the Middle District of Pennsylvania announced today that Joshua Aaron Shores, age 44, of Bel Air, Maryland and also of Ocean City, Maryland, was sentenced on April 27, 2017, by United States District Court Judge John E. Jones, III, to 60 months’ imprisonment for a $2.5 million dollar fraud scheme.
According to United States Attorney Bruce D. Brandler, between 2008 and 2013, Shores obtained money and property by dealing in counterfeit and fraudulent sports memorabilia. Shores created, owned, and operated internet businesses under the names of Dealakhan, LLC, Stadium Authentics, Autograph Showcase, Sunset Beach, End Game Sports, Authenticgraph, and others with facilities in York County, Pennsylvania and in Maryland, and used the businesses to traffic in counterfeit and fraudulent sports memorabilia.
In order to carry out his scheme to defraud, Shores used various mailbox receiving services as business addresses, created and registered dozens of PayPal and Amazon.com accounts in his name and in the names of others to receive payments from customers, purchased counterfeit sports jerseys in bulk from China and affixed fraudulent autographs to them representing them to be authentic autographs of well-known athletes and sports figures, and also using fake certificates of authenticity. He opened and maintained more than 80 different bank accounts in five different financial institutions, in his name and in the name of others without their knowledge.
The court also ordered Shores to pay restitution in the amount of $500,000, a fine of $5,000, and immediate forfeiture of assets including U.S. currency in the approximate amount of $140,000. His prison term will be followed by a 2-year term of supervised release.
The investigation was conducted by the Federal Bureau of Investigation and Homeland Security Investigations. Assistant United States Attorney Michelle Olshefski prosecuted the case.
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Former Investment Advisor Who Stole Client’s Retirement Savings Guilty on All Counts of Wire Fraud and Investment Advisor FraudRead the Press Release
TRENTON, N.J. – A former financial advisor entrusted with advising clients on investments was convicted by a federal jury today for defrauding his client, a former factory worker, out of his retirement savings and using the funds for his own benefit, Acting U.S. Attorney William E. Fitzpatrick announced.
Jesse Holovacko, 39, of Sayreville, New Jersey, was convicted on all counts of an indictment charging him with six counts of wire fraud and one count of investment advisor fraud following a five-day trial before U.S. District Judge Michael A. Shipp in Trenton federal court. The jury deliberated for approximately one hour before returning the guilty verdicts.
According to documents filed in this case and the evidence at trial:
Holovacko was an investment advisor at a financial institution located in New Jersey. In 2012, Holovacko went to the factory where the victim worked, met with the victim and some of his co-workers, and signed the victim on as a client, transferring the victim’s pension savings into an Individual Retirement Account (IRA). The victim entrusted Holovacko with managing the victim’s retirement savings.
From December 2013 through August 2014, Holovacko falsely told the victim that he would use retirement account funds to purchase bonds for him and advised the victim to transfer the retirement money to the victim’s bank account and then provide cashier’s checks made out directly to the financial advisor, telling the victim it would make it easier to purchase the bonds. Based on these false representations, Holovacko obtained 18 cashier’s checks totaling approximately $255,000.
Holovacko deposited all of the cashier’s checks into his own personal bank account and spent it for his car loan and mortgage payments, dining out, concerts and clubs, baseball game tickets, as well as taking out approximately $150,000 in cash. In order to continue deceiving the victim, Holovacko promised the victim documentation of the purported investments in bonds.
The wire fraud charges on which Holovacko was convicted each carry a maximum potential penalty of 20 years in prison and a $250,000 fine, or twice the gross gain or loss from the offense. The investment advisor fraud charge carries a maximum potential penalty of five years in prison and a maximum fine of $10,000. Sentencing is set for Aug. 8, 2017.
Acting U.S. Attorney Fitzpatrick credited postal inspectors with the U.S. Postal Inspection Service, under the direction of Inspector in Charge James V. Buthorn in Newark, and agents with the U.S. Secret Service, under the direction of Special Agent in Charge Mark McKevitt, with the investigation leading to today’s verdict. He also thanked the Financial Industry Regulatory Authority (FINRA) and the N.J. Bureau of Securities of the New Jersey Attorney General’s Office for their assistance.
The government is represented by Assistant U.S. Attorneys Jihee G. Suh and Zach Intrater of the U.S. Attorney’s Office Criminal Division in Newark.
Defense counsel: Paul Condon, Jersey City, New Jersey
Former Chief Executive of Chicago Public Schools Sentenced to More Than Four Years in Prison in Connection with Bribery and Kickback SchemeRead the Press Release
CHICAGO — BARBARA BYRD-BENNETT was sentenced today to more than four years in federal prison for using her position in charge of the Chicago Public Schools to guide lucrative no-bid contracts to her former employer in exchange for bribes and kickbacks.
While serving as the Chief Executive Officer of CPS, Byrd-Bennett steered no-bid contracts worth more than $23 million to two education-consulting firms, THE SUPES ACADEMY LLC and SYNESI ASSOCIATES LLC. In exchange, Byrd-Bennett expected to receive cash kickbacks from the companies, as well as a consulting job at SUPES upon her retirement from CPS. Byrd-Bennett admitted in a plea agreement that the kickbacks were to be paid to her in the form of a “signing bonus” on the first day of her new employment.
Byrd-Bennett, 67, of Solon, Ohio, pleaded guilty in 2015 to one count of wire fraud. In addition to the 54-month prison sentence, U.S. District Judge Edmond E. Chang also fined Byrd-Bennett $15,000 and ordered that she and her co-defendants jointly share in a $254,000 restitution payment to CPS. Byrd-Bennett was ordered to report to prison no later than Aug. 28, 2017.
The sentence was announced by Joel R. Levin, Acting United States Attorney for the Northern District of Illinois; Michael J. Anderson, Special Agent-in-Charge of the Chicago office of the Federal Bureau of Investigation; and Nicholas J. Schuler, Inspector General for CPS.
“Byrd-Bennett agreed to cheat and deceive CPS from the get-go, to eliminate any opposition to her efforts to expand contracts for the SUPES entities within CPS, and to line her pockets with money obtained from a cash-strapped school district through her fraud,” Assistant U.S. Attorneys Megan Cunniff Church and Lindsay C. Jenkins argued in the government’s sentencing memorandum. “She corrupted the process entirely.”
Byrd-Bennett had previously worked as a consultant for SUPES and Synesi before moving to CPS in May 2012. In addition to the expected kickback from the contracts, Byrd-Bennett admitted in her plea agreement that the companies provided her with numerous other benefits while she was CEO, including meals and tickets to sporting events. She resigned as CEO on June 1, 2015.
All five defendants charged in the case have now been convicted and sentenced. The Wilmette-based SUPES and the Evanston-based Synesi, as well as their former owners, GARY SOLOMON, 49, of Wilmette, and THOMAS VRANAS, 36, of Glenview, pleaded guilty to federal criminal charges last year. Solomon admitted that he maintained a line item within the companies’ internal financial statements to set aside Byrd-Bennett’s kickback money, which would be paid in the form of a one-time signing bonus on her first day back. Solomon told Byrd-Bennett in a 2012 email, “If you only join for the day, you will be the highest paid person on the planet for that day. Regardless, it will be paid out on day one.”
Judge Chang today sentenced Vranas to 18 months in prison. Solomon was sentenced last month to seven years in prison.
Florida Man Sentenced to 30 Years in Federal Prison for Child Enticement, Possession of Child PornographyRead the Press Release
Tampa, FL – U.S. District Judge Richard A. Lazzara today sentenced Michael Joseph Armano (43, Pinellas County) to 30 years in federal prison for child enticement and possession of child pornography. As part of his sentence, the Court also ordered him to pay $72,415 in restitution.
Armano pleaded guilty on January 12, 2017.
According to court documents, Armano used fake social media accounts to pretend to be a child online. Through those accounts, he targeted at least 60 children on social media and convinced them to produce lewd and sexually explicit images of themselves and Livestream those images to him over the Internet. Additionally, according to testimony at sentencing, Armano possessed over 100,000 images of child pornography.
“Today’s sentencing ensures this criminal will never again be in a position of trust,” said Susan L. McCormick, special agent in charge of HSI Tampa. “This predator has abused children in ways that will affect them for their entire lives, but we hope this significant sentence can provide the innocent victims some amount of closure, while also serving as a grave warning to parents to be vigilant about their children’s online activities.”
This case was investigated by U.S. Immigration and Customs Enforcement’s Homeland Security Investigations. It was prosecuted by Assistant United States Attorneys Gregory T. Nolan and Amanda Kaiser.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Florida Man Pleads Guilty to Felony Charges for Activities in Inauguration Day RiotingRead the Press Release
WASHINGTON - Dane Powell, 31, of Tampa, Fla., pled guilty today to charges of felony rioting and felony assault on a police officer for his role in the violence and destruction that took place in downtown Washington on Inauguration Day, announced U.S. Attorney Channing D. Phillips and Peter Newsham, Acting Chief of the Metropolitan Police Department (MPD).
Powell was among more than 230 people arrested in the aftermath of various incidents on January 20, 2017; he was arrested the following day. He was among 212 defendants named in a superseding indictment returned on April 27, 2017, by a grand jury in the Superior Court of the District of Columbia. Powell is the first to plead guilty to felony charges.
In his guilty plea, Powell admitted to breaking windows and throwing a brick, large rock, or piece of concrete at uniformed law enforcement officers. He admitted being part of a group of rioters who moved approximately 16 blocks over a period of more than 30 minutes.
The charge of inciting or urging a riot (felony rioting) carries a statutory maximum of 10 years in prison and a $25,000 fine, or both. The charge of assaulting a police officer also carries a statutory maximum of 10 years in prison and a $25,000 fine, or both. Under the District of Columbia’s voluntary sentencing guidelines, Powell faces an estimated range of 12 to 36 months in prison on each of the two charges. Powell, who remains free on personal recognizance, is to be sentenced on July 7, 2017 by the Honorable Lynn Leibovitz.
According to a factual proffer signed by the defendant, on January 20, 2017, Powell joined together with more than 200 other people in and around Logan Circle in Washington, D.C. The group formed a “black bloc” in which individual defendants wore black or dark colored clothing, gloves, scarves, sunglasses, ski masks, gas masks, goggles, helmets, hoodies, and other face-concealing and face-protecting items to conceal their identities in an effort to prevent law enforcement from being able to identify the individual perpetrators of violence or property damage. Some of the members of the black bloc were armed with hammers, crowbars, wooden sticks, and other weapons. Powell was among those dressed in black, and had in his possession a gas mask. Powell also attempted to conceal his face with a mask. Powell was in possession of a hammer, and a heavy wooden stick with a flag attached to it.
At or about 10:19 a.m., according to the proffer, Powell and others in the black bloc moved south from Logan Circle on 13th Street NW. He marched with the group and saw that, within minutes of leaving Logan Circle, individuals participating in the black bloc began to vandalize and damage public and private property.
At approximately 10:35 a.m., Powell and other participants -- who armed themselves with hammers, crowbars, wooden sticks, and other weapons -- broke the windows of a Starbucks coffee shop in the 1200 block of I Street NW, the proffer states. He continued to move with the black bloc for several blocks when, at approximately 10:40 a.m., he broke the windows of a McDonalds restaurant near the intersection of New York Avenue NW and 13th Street NW, Washington, D.C. He then continued to move with the black bloc for multiple blocks.
At approximately 10:50 a.m., according to the proffer, Powell and more than 200 participants in the black bloc observed law enforcement forming a police line consisting of less than two dozen officers at the intersection of 12th and L Streets NW. At approximately 10:52 a.m., he and the other participants formed their own line, counted down, and charged the officers who formed the police line. Powell was one of approximately 50 or more individuals in the black bloc who broke the police line and was able to escape. Law enforcement was ultimately able to detain and to arrest more than 200 participants in the black bloc, and those individuals were held at the intersection of 12th and L Streets until they could be processed for arrest.
After Powell broke the police line and while law enforcement was detaining the more than 200 participants in the black bloc at the intersection of 12th and L Streets NW, he and others continued to engage in violence, the proffer states. Law enforcement formed another police line at 12th and K Streets NW. On at least three separate occasions, Powell threw a brick, large rock, or piece of concrete at uniformed law enforcement officers who had formed a line, the proffer states. Others also threw bricks, rocks, or pieces of concrete at uniformed law enforcement officers in the area. Multiple officers were transported to the hospital after being hit with bricks, rocks, or pieces of concrete, to include one officer who was knocked unconscious on the scene.
The investigation is continuing, and three defendants were added to the case in the superseding indictment returned on April 27. The U.S. Attorney’s Office has dismissed cases against 19 of the 230 individuals arrested on Inauguration Day. Two other defendants have pled guilty to a misdemeanor rioting charge.
This case is being investigated by the Metropolitan Police Department and the U.S. Attorney’s Office for the District of Columbia. It is being prosecuted by Assistant U.S. Attorneys Jennifer A. Kerkhoff and John W. Borchert.
Five Men Associated with the Aryan Brotherhood Indicted for Illegal Possession and Transfer of Firearms and Conspiracy to Distribute MethamphetamineRead the Press Release
HARRISBURG- The United States Attorney’s Office for the Middle District of Pennsylvania announced today that five men were indicted on April 27, 2017, by a federal grand for illegal possession and transfer of machine gun parts and firearms, interstate travel in aid of racketeering activities, and conspiracy to distribute methamphetamine and conduct money laundering transactions. The indictment was partially unsealed on April 27, 2017.
According to United States Attorney Bruce D. Brandler, the redacted indictment alleges that the defendants conspired to transport methamphetamine, firearms, and machine gun parts to generate money to fund the activities of the Aryan Strike Force, including the acquisition of firearms. As stated in the indictment, in its on-line mission statement, the Aryan Strike Force describes itself as a “white nationalist organization” with the “goal to protect the honour of our women, children, and the future of our race and nation” using violence as a necessary tool to achieve its goals to the. The individuals charged in the indictment include:
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Joshua Michael Steever, Phillipsburg, NJ, age 37;
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Jacob Mark Robards, Bethlehem, PA, age 40;
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Henry Lambert Baird, Allentown, PA, age 40;
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Connor Drew Dykes, Silver Spring, MD, age 20;
- Justin Daniel Lough, Waynesboro, VA, age 26.
The indictment charges criminal violations involving the transfer of firearms to a convicted felon, possession of firearms by convicted felons, transfer of unregistered machine gun parts, distribution of methamphetamine, money laundering of drug proceeds, and conspiracy and interstate travel to facilitate drug distribution and money laundering.
On April 27, 2017, defendants Steever, Robards, Lough, and Dykes appeared in Williamsport for arraignment on the indictment before Magistrate Judge Martin C. Carlson, and they entered not guilty pleas. Trial and jury selection have been scheduled for July 10, 2017 before U.S. District Judge Matthew W. Brann in Williamsport. Magistrate Judge Carlson ordered that Steever, Lough, and Robards be detained pending trial and released Dykes on the condition of home confinement with electronic monitoring. Baird’s arraignment and a detention hearing are scheduled for May 4, 2017, in Williamsport.
The case was investigated by the Federal Bureau of Investigation, with the assistance of the Pennsylvania State Police, the Virginia State Police, Phillipsburg (New Jersey) Police Department, New York State Police, Waynesboro (Virginia) Police Department, and the Montgomery County (Maryland) Police Department . Assistant U.S. Attorney George J. Rocktashel 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 included 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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Federal Grand Jury Indicts Birmingham Man in Tuscaloosa Gun Store BurglaryRead the Press Release
BIRMINGHAM – A federal grand jury on Thursday indicted a Birmingham man on stolen firearms charges related to the July 2016 burglary at a Tuscaloosa gun shop, announced Acting U.S. Attorney Robert O. Posey and Bureau of Alcohol, Tobacco, Firearms and Explosives Special Agent in Charge Steven L. Gerido.
A two-count indictment filed in U.S. District Court charges MARTAVES LABRON “Moo Moo” BROWN, 23, with one count of stealing firearms from a licensed firearms business, the Guns & Ammo store in Tuscaloosa, on July 12, 2016. The indictment also charges Brown with one count of possessing the more than 40 stolen firearms.
Taken in the store break-in were: two Taurus .380-caliber pistols, two SCCY 9mm pistols, two Jimenez Arms 9mm pistols, a Phoenix Arms .22-caliber pistol, an Anderson 5.56mm rifle, a GSG .22-caliber rifle, a KEL-TEC 9mm pistol, a Glock .380-caliber pistol, 11 Glock 9mm pistols, an Armalite 0.308-caliber rifle, a Bushmaster 5.56mm rifle, a Century Arms 7.62x39-caliber pistol, a Diamondback 5.56mm rifle, a Mossberg .22-caliber rifle, a Bersa .380-caliber pistol, a Masterpiece Arms 9mm pistol, two Hi-Point .40 S&W caliber rifles, an Armalite 5.56mm rifle, a Hi-Point .40 S&W caliber rifle, a Century Arms 7.62x39-caliber rifle, a Hi-Point 9mm pistol, a Walther .22-caliber pistol, a KEL-TEC 9mm pistol, a Smith & Wesson 5.56mm rifle, a Taurus 9mm pistol, a KEL-TEC .22-caliber pistol, a Walther .22-caliber rifle, a KEL-TEC 12-gauge shotgun, two Hi-Point .380-caliber rifles, and a JC Higgins 12-gauge shotgun.
In separate and unrelated cases, the grand jury indicted two other men with illegal possession of firearms or explosives.
A one-count indictment charges JARVIS MONTREZ KEY, 24, of Hoover, with being a convicted felon in possession of a Glock 9mm pistol and a Sig Sauer .380-caliber rifle on Aug. 20, 2016, in Jefferson County. Key was convicted of second-degree robbery in Shelby County Circuit Court in March 2013, according to the indictment.
A one-count indictment charges JEFFERY CUNNINGHAM, 47, of Cullman, with being a convicted felon in possession of an electrically initiated explosive detonator on March 23, 2016 in Cullman County. Cunningham previously was convicted in Cullman County Circuit Court of first-degree property theft in May 2001, second-degree receiving stolen property in August 2001, and unlawful possession of a controlled substance in November 2001, according to the indictment.
The maximum penalty for stealing a firearm from a licensed gun dealer and for possession a stolen firearm is 10 years in prison and a $250,000 fine. The maximum penalty for being a convicted felon in possession of firearms or explosives is 10 years in prison and a $250,000 fine.
ATF investigated the cases, which the U.S. Attorney’s Office for the Northern District of Alabama is prosecuting.
An indictment contains only charges. A defendant is presumed innocent unless and until proven guilty.
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Federal Authorities Announce Criminal Charges in Tax CasesRead the Press Release
CHICAGO — Federal authorities today announced criminal charges against three Chicago-area defendants for a variety of alleged tax frauds. Although Tax Day has recently come and gone, the prosecutions serve as a warning for citizens to comply with their tax obligations.
Two Chicago-area tax preparers were charged with assisting clients in obtaining thousands of dollars in fraudulent refunds. The preparers fraudulently reduced their clients’ tax liabilities by misrepresenting their eligibility to claim tax credits, such as dependent exemptions, education expenses, real estate and child credits.
In addition, an Illinois attorney was charged with filing fraudulent individual income tax returns that willfully omitted more than $637,000 in income he received from his law firm.
“It is imperative to remind the public that criminal tax prosecutions occur throughout the year,” said Joel R. Levin, Acting United States Attorney for the Northern District of Illinois. “Tax preparers and individuals who willfully file false returns will be held accountable.”
“The IRS Criminal Investigation Division is committed to ensuring that all taxpayers pay their fair share,” said Gabriel L. Grchan, Special Agent-in-Charge of the IRS Criminal Investigation Division in Chicago. “We are aggressively serving the American people by investigating criminal violations of the Internal Revenue Code. Tax fraud does not know a season – IRS special agents pursue criminals year round, not only at tax time.”
In addition to criminal penalties, including incarceration, fines and the costs of prosecution, tax evaders remain responsible for all taxes and interest due, as well as civil penalties, the officials noted. Individuals making false claims against the government may be required to pay restitution and could be sued civilly for an amount greater than the fraudulent claims.
In an indictment returned earlier this month, LAURIE HELFER, 55, was charged with preparing and filing false and fraudulent income tax returns. Helfer, a professional tax preparer who owned Northlake-based “The Tax Lady Laurie,” filed the returns on behalf of clients for the tax years 2008 through 2010, according to the indictment. The returns claimed false credits for earned income, education and child care expenses, the indictment states. The government in Helfer’s case is represented by Assistant U.S. Attorneys Rick D. Young and Carol A. Bell.
Another professional tax preparer, LONNIE BLAKNEY, who owned Chicago-based “Blakney Tax Associates,” was charged earlier this month with preparing and filing individual income tax returns that he knew contained false and fraudulent information. Blakney, 63, of Normal, Ill., filed the returns on behalf of various taxpayers for the tax years 2010 and 2011, according to the indictment. The false information included invalid credits for real estate taxes, charitable donations, child and dependent care costs, and education expenses, according to the indictment. The government in Blakney’s case is represented by Assistant U.S. Attorney John D. Mitchell.
The attorney, TIMOTHY K. LIOU, was charged earlier this month with filing fraudulent individual income tax returns for the tax years 2010, 2011 and 2012. Liou, 50, of Wheaton, willfully omitted approximately $637,380 in gross income he had received from his firm, “The Liou Law Firm,” according to the indictment. Assistant U.S. Attorney Brian Netols represents the government in Liou’s case.
The public is reminded that charges are not evidence of guilt. The defendants are presumed innocent and are entitled to a fair trial at which the government has the burden of proving guilt beyond a reasonable doubt. If convicted, the Court must impose reasonable sentences under federal statutes and the advisory U.S. Sentencing Guidelines.
For tips and guidelines to assist taxpayers in choosing a reputable tax professional or preparing their own taxes, visit the official IRS website: https://www.irs.gov/help-resources.
Everett Man Convicted of Armed Bank RobberyRead the Press Release
BOSTON – An Everett man was convicted by a federal jury yesterday of armed bank robbery, using a firearm during the commission of a crime of violence, and being a previously convicted felon in possession of a firearm and ammunition.
Joseph G. Rachal, 65, was convicted following a four-day trial and is scheduled to be sentenced by U.S. District Court Judge Nathaniel M. Gorton on July 27, 2017.
On Nov. 19, 2015, an individual wearing a blue hat, brown facemask, tan jacket, tan pants, and carrying a black nylon bag, entered a branch of the TD Bank in Brighton. As the individual entered the bank, he removed a black semi-automatic handgun, pointed it at the tellers, and ordered them to turn over cash from the drawers. The individual took the money and exited the bank. A post-robbery audit revealed that the individual took $2,397.
The Boston Police arrived within minutes of the robbery and observed an individual hiding behind a parked SUV one block from the bank. When the officers approached the vehicle and identified themselves as police, the individual got up and began running away while carrying a black nylon bag.
The officers caught the individual, later identified as Rachal. An active scanner, which was tuned to a Boston Police radio frequency, was found on Rachal. The bag Rachal was carrying was searched and found to contain a 9mm Glock semi-automatic pistol with one chambered round and a magazine containing 14 additional rounds, along with an additional magazine containing 15 rounds of 9mm ammunition, a brown facemask, gloves, a tan jacket, blue baseball hat and $2,397.
Bank surveillance cameras captured images of the robbery, and the items recovered from the bag Rachal was carrying were consistent with the items observed on the video.
The charge of armed bank robbery provides for a sentence of no greater than 25 years in prison, five years of supervised release, and a fine of up to $250,000. The charge of being a felon in possession provides for a sentence of no greater than 10 years in prison, three years of supervised release, and a fine of up to $250,000. The charge of carrying a firearm during the commission of a crime of violence provides for a mandatory sentence of seven years to be served consecutive to the other charges. 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; Harold H. Shaw, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; and Boston Police Commissioner William Evans made the announcement today. The investigation was conducted with the assistance of the FBI’s Violent Crime Task Force. Assistant U.S. Attorney Kenneth G. Shine of Weinreb’s Major Crimes Unit is prosecuting the case.
Edinburg Man Gets More Than 24 Years for Three Child Pornography ChargesRead the Press Release
McALLEN, Texas – A 29-year-old Edinburg man has been ordered to federal prison following his convictions of production, receipt and distribution of child pornography, announced Acting U.S. Attorney Abe Martinez. Carlos Benjamin Martinez pleaded guilty Dec. 2, 2016.
Today, U.S. District Judge Randy Crane handed Martinez a total sentence of 292 months in federal prison. At the hearing, the court heard testimony from that Martinez had made several inquiries with adoption agencies expressing an interest in adopting children. He had also responded to a Craigslist posting, offering his services as a babysitter. In handing down the sentence, Judge Crane expressed his concerns regarding these inquiries. Martinez will serve the rest of his life on supervised release following completion of his prison term, during which time he will have to comply with numerous requirements designed to restrict his access to children and the Internet. He will also be ordered to register as a sex offender and undergo sex offender treatment.
As part of his plea, Martinez admitted to downloading and receiving child pornography and to sending emails which contained child pornography. He also admitted to performing a sexual act on a minor child while recording the incident with his cellular phone.
In March 2015, authorities were investigating an individual suspected of possessing child pornography in Massachusetts. During that time, authorities discovered Martinez had emailed several images of child pornography to that suspect. The FBI executed a federal search warrant at the Martinez residence in September 2015 and seized various electronic devices. A search warrant was also executed on an email account belonging to Martinez. A forensic analysis on those devices and email account led to the discovery of thousands of images and multiple videos of child pornography involving children who were clearly young engaged in sexually explicit conduct.
A subsequent search of his cell phone revealed a video of Martinez performing sexual intercourse on a minor child approximately 12 years of age.
He will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
The FBI conducted the investigation.
This case, prosecuted by Assistant U.S. Attorneys Alex Benavides and Kimberly Ann Leo, 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."
East Hartford Man Sentenced to More Than 6 Years in Federal Prison for Distributing Crack CocaineRead the Press Release
Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that JOHN THOMAS MINTER, also known as “Louch” and “Louch Ramsey,” 29, of East Hartford, was sentenced today by U.S. District Judge Victor A. Bolden in Bridgeport to 80 months of imprisonment, followed by four years of supervised release, for distributing crack cocaine.
This matter stems from a long-term investigation being conducted by the FBI’s Northern Connecticut Violent Crimes Task Force and Hartford Police Department into narcotics trafficking by members and associates of the Westhell and Team Grease groups and group-related violent activity.
According to court documents and statements made in court, MINTER was a member of Team Grease, which was originally called “Wall Street.” In April 2015, investigators conducted two controlled purchases of crack cocaine from MINTER. On April 14, MINTER sold approximately 105 grams of crack in exchange for $2,600 and, on April 24, he sold approximately 248 grams of crack in exchange for $5,200.
MINTER was arrested on April 30, 2015. On that date, a search of MINTER’s East Hartford residence revealed approximately 62 grams of crack cocaine, approximately 93 grams of powder cocaine, items used to process and package narcotics for street sale, and $16,021 in cash.
MINTER has been detained since his arrest. On October 12, 2016, he pleaded guilty to one count of possession with intent to distribute, and distribution of, 28 grams or more of cocaine base (“crack cocaine”).
MINTER’s criminal history includes multiple felony narcotics convictions, and a conviction for risk of injury.
This matter was investigated by the Federal Bureau of Investigation’s Northern Connecticut Violent Crimes Task Force, Drug Enforcement Administration, U.S. Marshals Service, Internal Revenue Service – Criminal Investigation Division and Hartford Police Department. The FBI Task Force includes members of the Hartford Police Department, East Hartford Police Department, Connecticut State Police and Connecticut Department of Correction. The Hartford Police Department’s Vice and Narcotics Division, Major Crimes Unit and Shooting Task Force, and the Capitol Region Emergency Response Team (CREST) have provided valuable assistance to the investigation.
This case was prosecuted by Assistant U.S. Attorneys John H. Durham and Peter S. Jongbloed.
District Man Sentenced to Seven-Year Prison Term on Federal Firearms ChargeRead the Press Release
WASHINGTON – Chaka Al-Fatah, 37, of Washington, D.C., was sentenced today to seven years in prison for a federal firearms charge related to a narcotics conspiracy that operated in the District of Columbia and Maryland. He was among 16 people to plead guilty following an investigation that led to the seizure of kilograms of narcotics, firearms, and cash.
The announcement was made by Channing D. Phillips, U.S. Attorney for the District of Columbia; Stephen M. Schenning, Acting U.S. Attorney for the District of Maryland; Andrew Vale, Assistant Director in Charge of the FBI’s Washington Field Office; Peter Newsham, Acting Chief of the Metropolitan Police Department (MPD), Henry P. Stawinski III, Chief of the Prince George’s County, Md. Police Department; Robert D. MacLean, Chief of the United States Park Police, and Robert Turner, Acting U.S. Marshal for the U.S. District Court for the District of Columbia.
Al-Fatah pled guilty in February 2017, in the U.S. District Court for the District of Columbia, to possession of a firearm in furtherance of a narcotics trafficking offense. The plea agreement, which was contingent upon the Court’s approval, called for a sentence of five to eight years in prison. The Honorable Chief Judge Beryl A. Howell accepted the plea agreement today and sentenced Al-Fatah accordingly. Following his prison term, Al-Fatah will be placed on five years of supervised release. He also must pay a forfeiture money judgment of $5,290.
Over the past 20 months, Chief Judge Howell has also accepted felony pleas from 15 others charged in the case. In March, she sentenced a leader of the conspiracy, Demetrius Muschetta, 33, of Washington, D.C., to a 13-year prison term. Last November, another leader of the group, Myron Williams, 40, of Oxon Hill, Md., was sentenced to a nine-year prison term.
As established through the defendants’ guilty pleas, in January 2015, the FBI/MPD Safe Streets Task Force began a long-term investigation into a narcotics enterprise involving Muschetta and Williams, that primarily focused in the Barnaby Terrace area of Southeast Washington and extended into Maryland.
The investigation revealed that Williams and Muschetta were partners in a drug business and purchased kilogram amounts of cocaine and heroin from multiple sources, and then in turn supplied it to other co-defendants for eventual distribution. According to the government’s evidence, Al-Fatah had narcotics dealings with Muschetta and Williams, which included the selling of narcotics to customers referred to him by Muschetta. He also engaged in phone calls regarding the acquisition of firearms. At the time of his arrest, in June 2015, law enforcement recovered a firearm and narcotics at Al-Fatah’s residence.
The 16 defendants were arrested after months of investigation by the FBI/MPD Safe Streets Task Force, which is comprised of agents from the FBI, the Metropolitan Police Department, the Prince George’s County Police Department, the United States Park Police, and the United States Marshals Service. The Department of Justice’s Organized Crime Drug Enforcement Task Force sponsored and supported this complex investigation
In announcing the sentence, U.S. Attorney Phillips, Acting U.S. Attorney Schenning, Assistant Director in Charge Vale, Acting Chief Newsham, Chief Stawinski, Chief MacLean, and Acting Marshal Turner commended the work of the D.C. Safe Streets Task Force.
They also acknowledged the efforts of those who worked on the case from the U.S. Attorney’s Office for the District of Columbia, including Assistant U.S. Attorneys Anthony Scarpelli and Christopher Macchiaroli of the Violent Crimes and Narcotics Trafficking Section; Assistant U.S. Attorney Zia Faruqui and Special Assistant U.S. Attorney Kyle Bateman of the Asset Forfeiture and Money Laundering Section; former Assistant U.S. Attorneys John Han and Todd Gee; Paralegal Specialists Candace Battle, Mary Downing, Teesha Tobias, Catherine O’Neal, and Toni Anne Donato, and Legal Assistants Brendan Coyne, Diane Brashears, and Latoya Wade. They also commended those who worked on the case from the U.S. Attorney’s Office for the District of Maryland including Assistant U.S. Attorney Matthew Sullivan, who prosecuted the Maryland portion of Muschetta’s narcotics seizure prior to the charges being transferred to Washington, D.C. for resolution before Chief Judge Howell.
District Man Sentenced to Prison Term for Sexually Assaulting Nieces and StepdaughterRead the Press Release
WASHINGTON – A 45-year-old man, of Washington, D.C., was sentenced today to a 30-month prison term for sexually assaulting two nieces and a stepdaughter, U.S. Attorney Channing D. Phillips announced.
The man, who is not identified here to protect the privacy of the victims, pled guilty in February 2017, in the Superior Court of the District of Columbia, to one count of second-degree child sexual abuse and two counts of misdemeanor sexual abuse of a child. The plea, which was contingent upon the Court’s approval, called for an agreed-upon sentence of 30 months in prison. The Honorable Hiram E. Puig-Lugo accepted the plea today and sentenced the defendant accordingly. Following his prison term, the man is to be placed on three years of supervised release. He also will be required to register as a sex offender for the rest of his life.
At his plea hearing, the man admitted that, on one occasion between Dec. 1 and Dec. 22, 2016, he sexually fondled two of his nieces, then aged eight and nine, on the same evening, while visiting their home in Northwest Washington. The girls told their mother – the man’s sister – who notified the Metropolitan Police Department (MPD).
Further investigation by the police revealed that the man had been fondling his 15-year-old stepdaughter on various occasions throughout 2016. The man admitted his guilt at almost his earliest opportunity in the court proceedings.
In announcing the sentence, U.S. Attorney Phillips praised the work of officers from MPD’s Sexual Assault Unit. He also expressed appreciation for the work of personnel from Safe Shores, who conducted forensic interviews of the three victims. He also acknowledged the efforts of those who worked on the case from the U.S. Attorney’s Office, including Paralegal Specialist Brenda C. Williams and Victim/Witness Advocate Elsa Maltese. Finally, U.S. Attorney Phillips commended the work of Assistant U.S. Attorneys Peter V. Taylor and Caroline Burrell, who investigated and prosecuted this case.
District Man Sentenced to 14 Years in Prison for Robbing and Assaulting Elderly Couple as They Were Walking in Northwest WashingtonRead the Press Release
WASHINGTON – Milton Hood, 52, of Washington, D.C., was sentenced today to 14 years in prison on charges of robbing and assaulting a senior citizen couple in Northwest Washington, announced U.S. Attorney Channing D. Phillips and Peter Newsham, Acting Chief of the Metropolitan Police Department (MPD).
Hood was found guilty by a jury in January 2017 of one count of robbery of a senior citizen, and one count of assault with intent to commit robbery of a senior citizen. The verdict followed a two-week trial in the Superior Court of the District of Columbia. He was sentenced by the Honorable Kimberley S. Knowles. Upon completion of his prison term, Hood will be placed on three years of supervised release.
According to the government’s evidence at trial, at about 11:15 a.m. on May 29, 2015, a 75-year-old woman and her 81-year-old husband were walking south on 23rd Street NW, between Q and P Streets. Hood attacked the husband, knocking him to the ground, and forcibly removed his wallet from his back pocket. The female victim, afraid for her husband’s life, began striking Hood with her cane, hitting him repeatedly on the head and neck. Hood turned on her, striking back and knocking her head to the ground. Hood tried to grab her purse, but the female victim, bleeding from her head and her knees, did not let go. People in two cars driving by stopped to help the victims, and the defendant ran off. Based on descriptions provided by the victims and eyewitnesses, Hood was spotted by the Metropolitan Police Department (MPD) two hours later wearing the exact same clothing as he was at the time of the attack. The victim’s cane was swabbed for DNA, and subsequent testing revealed the presence of Hood’s DNA on it.
In announcing the sentence, U.S. Attorney Phillips and Acting Chief Newsham commended the work of those who investigated the case from the Metropolitan Police Department. They also expressed appreciation for the assistance provided by the Forensic Science Laboratory and Crime Scene Sciences Division of the District of Columbia Department of Forensic Sciences, as well as Bode Cellmark Forensics.
They also acknowledged the efforts of those who worked on the case from the U.S. Attorney’s Office, including Michael Ambrosino, Special Counsel for DNA and Forensic Evidence Litigation; Assistant U.S. Attorneys Sharon Donovan, Michael Spence, Chrisellen Kolb, and Stephen Rickard ; Paralegal Specialists Crystal Waddy, Stephanie Siegerist, Stephanie Gilbert, Donville Drummond, Lynda Randolph, Debra McPherson, and Benjamin Kagan-Guthrie; Litigation Technology Specialists Claudia Gutierrez, Jeanie Latimore-Brown, and Paul Howell, and Jennifer Clark, Katina Adams-Washington and LaJune Thames, of the Victim Witness Assistance Unit. Finally, they commended the work of Assistant U.S. Attorneys Gilead Light, Michael Romano, and Allessandra Stewart, who investigated and prosecuted the case.
Des Moines Man Pleads Guilty to 2016 String of Robberies of Git-N-Go, Kum & Go, Hy-Vee, and U.S. BankRead the Press Release
DES MOINES, IA - On April 27, 2017, Alexander Hamilton, age 26, heather Jean Reekrof Des Moines, Iowa, appeared before Chief United States Magistrate Judge Helen C. Adams and entered pleas to interference with commerce by robbery and conspiracy to distribute hydromorphone, an opioid. Hamilton admitted to committing the following robberies, charged in the November 21, 2016, indictment against him:
Date
Count
Business
Location
3/21/16
3
Git-N-Go
4224 NW 2nd Avenue, Des Moines, IA
3/22/16
4
Git-N-Go
100 Watrous, Des Moines, IA
3/23/16
6
Kum & Go
4506 Lincoln Way, Ames, IA
3/23/16
7
Git-N-Go
816 E Euclid Avenue, Des Moines, IA
3/24/16
8
Git-N-Go
2601 SW 9th Street, Des Moines, IA
3/29/16
10
Kum & Go
4506 Lincoln Way, Ames, IA
3/30/16
11
Kum & Go
5830 SE 14th Street, Des Moines, IA
3/30/16
12
Git-N-Go
890 County Line Road, Des Moines, IA
3/31/16
13
Git-N-Go
2601 SW 9th Street, Des Moines, IA
4/03/16
14
Git-N-Go
4224 NW 2nd Avenue, Des Moines, IA
4/05/16
15
Git-N-Go
2911 Douglas Avenue, Des Moines, IA
4/06/16
16
Hy-Vee
2540 E Euclid Avenue, Des Moines, IA
4/08/16
17
Hy-Vee
2540 E Euclid Avenue, Des Moines, IA
4/11/16
18
Git-N-Go
865 42nd Street, Des Moines, IA
4/12/16
19
Git-N-Go
2911 Douglas Avenue, Des Moines, IA
4/13/16
20
U.S. Bank
2500 E Euclid Avenue, Des Moines, IA
4/17/16
23
Hy-Vee
1107 E Army Post Road, Des Moines, IA
Hamilton admitted he obtained hydromorphone (Dilaudid) from co-defendant Luke Martin, Jr., and distributed it to others, including co-defendants Sarah Coe, Shelly Avery, and Christ Avery. Hamilton admitted these robberies helped fund the hydromorphone distribution conspiracy.
Co-defendant Luke Martin, Jr., previously pleaded guilty to conspiracy to distribute hydromorphone. Co-defendants Chris Avery and Shelly Avery each previously pleaded guilty to interference with commerce by robbery. Co-defendant Sarah Coe previously pleaded guilty to bank robbery.
Defendants face potential maximum penalties under the statute of up to 20 years in prison on each of the plea counts.
Sentencings are presently scheduled as follows before Chief United States District Judge John A. Jarvey:
Luke Martin, Jr. June 8, 2017, 10:30 a.m.
Chris Avery July 6, 2017, 10:30 a.m.
Shelly Avery July 25, 2017, 9:00 a.m.
Sarah Coe July 25, 2017, 9:30 a.m.
Alexander Hamilton September 12, 2017, 1:30 p.m.
The investigation was conducted by the Des Moines Police Department, Polk County Sheriff's Office, Ames Police Department, and the Bureau of Alcohol, Tobacco, Firearms and Explosives. This case is being prosecuted by the United States Attorney’s Office for the Southern District of Iowa.
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Learn more about this release by calling Rachel J. Scherle at 515-473-9300, or by emailing her at [email protected]
Defense Contractor Sentenced to 5 Years in Federal Prison for $53 Million Procurement Fraud and Illegal Gratuities SchemeRead the Press Release
Baltimore, Maryland – On April 27, 2017, U.S. District Judge Marvin J. Garbis sentenced John Wilkerson, age 51, of Moultrie, Georgia to five years in prison, followed by three years of supervised release, for a wire fraud conspiracy and for paying illegal gratuities to a government official, in connection with the award of more than $53 million in federal government contracts. Judge Garbis also ordered Wilkerson to pay forfeiture and restitution in the amount of $9,441,340.11.
The sentence was announced by Acting United States Attorney for the District of Maryland Stephen M. Schenning; Commander of the Air Force Office of Special Investigations (OSI); Special Agent in Charge Robert Craig, Defense Criminal Investigative Service (DCIS), Mid-Atlantic Field Office; and U.S. Small Business Administration Acting Inspector General Mike Ware.
According to his plea agreement, Wilkerson was a Department of Defense Account Manager for Iron Bow Technologies, LLC (Iron Bow), which provided IT consulting and other services to government and industry customers. Wilkerson was also part owner and operated an information technology company, Superior Communications Solutions, Inc. (SCSI).
Andrew Bennett, who was separately charged and has pled guilty, was a program manager for an information technology company, Advanced C4 Solutions, or AC4S, from 2005 until 2011. In 2011, Bennett left AC4S and went to work for Wilkerson at SCSI.
James T. Shank, who was separately charged and has pled guilty, was a Program Manager at the United States Navy’s Space and Naval Warfare (SPAWAR) Systems Center
From September 2009 through August 2012 Wilkerson, Bennett and Shank conspired to steer government contracts at Joint Base Andrews to companies affiliated with Wilkerson and Bennett. After the award of the contracts, Wilkerson offered, and Shank accepted, employment with SCSI while Shank was still a government employee and while he was taking official actions that benefited Wilkerson. In addition, Wilkerson paid Shank $86,000 in the year after Shank retired from government service, funneling the payment through two other companies in order to conceal the source of the funds. Wilkerson also hired Bennett and paid him a $500,000 bonus using proceeds from the fraud scheme.
For example, Shank, Wilkerson, and Bennett developed a request for proposal (RFP) for DO27, a contract to supply labor services for an Air Force technology project, including for overall project management services, so that AC4S would win the contract. On June 10, 2010, DO27 was awarded to AC4S in the amount of $18,332,738.10. Wilkerson provided Bennett with a quote for labor on behalf of SCSI that was less than the quote he had previously submitted on behalf of Iron Bow as their sales representative. After SCSI was selected as a subcontractor on DO27, it subcontracted with Iron Bow to provide most of the labor SCSI was supposed to provide under DO27. Wilkerson was able to earn income from the work Iron Bow employees were doing by having SCSI act as a middleman and charging a mark-up on Iron Bow’s work. Wilkerson and Bennett also directed an SCSI employee to create false invoices supposedly documenting the hours SCSI employees spent working on DO27, which were submitted to AC4S and paid by the United States government. SCSI received $6,794,432.98 on DO27 out of the $18 million AC4S received for providing labor for the project.
Shank also initiated the procurement process on more than 11 delivery orders that purchased telecommunications equipment and furniture as part of the Air Force project. Those delivery orders were issued to Iron Bow in 2010 and 2011. Wilkerson took multiple items of commercially available furniture, bundled them together and assigned them an SCSI specific number and a price that included a significant mark up over what SCSI paid the furniture manufacturer for the items. Shank then submitted to SPAWAR contracting officers a purchase order asking for authority to buy the bundle of furniture that bore the SCSI specific part number. SCSI received approximately $33 million of the $35 million paid to Iron Bow under the various furniture and equipment delivery orders. Wilkerson charged the United States a 25 percent markup on furniture purchased under these two purchase orders, resulting in a profit to him of more than $6 million.
In addition, from 2010 until his retirement in June 2011, Shank falsely certified that the United States government received more than $1 million worth of goods under the W91QUZ-07-D-0010 contract that the government did not in fact receive.
In late 2010 or early 2011, Wilkerson offered Shank employment. Shank did not disclose that fact to anyone at SPAWAR and did not recuse himself from any of the contracts that benefited Wilkerson. In February 2011, Bennett left AC4S and went to work for Wilkerson at SCSI. Bennett received a $500,000 bonus when he joined SCSI, which was paid for by profit Wilkerson had earned on the furniture contracts.
Shank accepted employment with SCSI in May 2011, but was still working for SPAWAR when he approved more than $1.1 million worth of invoices that benefitted SCSI and Wilkerson.
Between July 2011 until August 2012, Wilkerson paid Shank approximately $86,000. The funds that Wilkerson paid Shank were funneled through T&M Communications, LLC, a company owned by T.R., a senior executive at SCSI, who ultimately paid out the funds to Shank. Further, in some instances funds paid to Shank were also funneled through Decision Point Technologies, LLC, another company owned by Wilkerson. Shank did no work for Decision Point Technologies or T&M Communications in that time period.
The National Procurement Fraud Task Force was formed in October 2006 to promote the early detection, identification, prevention and prosecution of procurement fraud associated with the increase in government contracting activity for national security and other government programs. The Procurement Fraud Task Force includes the United States Attorneys’ Offices, the FBI, the U.S. Inspectors General community and a number of other federal law enforcement agencies. This case, as well as other cases brought by members of the Task Force, demonstrate the Department of Justice’s commitment to helping ensure the integrity of the government procurement process.
Acting United States Attorney Stephen M. Schenning thanked Air Force OSI, DCIS, and the U.S. Small Business Administration Office of Inspector General for their work in the investigation. Mr. Schenning commended Assistant U.S. Attorneys Leo J. Wise and Philip A. Selden, who are prosecuting the case.
Decatur Man Loses U. S. Citizenship and Faces Deportation after being Convicted of making False Statements in order to obtain His CitizenshipRead the Press Release
ATLANTA - Ismail Ali Khan has been sentenced to five years, seven months in federal prison after being convicted of conspiring to import illegally and distribute male enhancement pills that contained the drug found in Viagra. Khan was also convicted and sentenced for falsely stating on his application to become a naturalized U.S. citizen that he had never committed a crime for which he had not been arrested.
“This defendant endangered the health of countless individuals by illegally importing and distributing drugs that can be obtained in the United States only with a prescription written by a licensed, medical professional,” said U. S. Attorney John Horn. “What’s more, this defendant became a naturalized U.S. citizen by giving a false statement to the government about his criminal history, while he was engaged in this illicit drug scheme. Khan’s willful criminal pursuit earned him more than a prison sentence. It cost him his citizenship and deportation after prison.”
“American consumers are put at serious risk when they are unknowingly exposed to undeclared active pharmaceutical ingredients in products falsely labeled as natural dietary supplements,” said Justin Green, Special Agent in Charge, FDA Office of Criminal Investigations, Miami Field Office. “FDA remains committed to pursuing those who endanger the U.S. public health by distributing fraudulent and potentially dangerous products.”
According to U.S. Attorney Horn, the charges and other information presented in court: The defendant and others imported from China male enhancement pills with names such as, “Maxman,” “Herb Viagra,” “Rock Hard Weekend,” “Stiff Nights,” “Happy Passengers,” “Hard Ten Days” “Zhen Gongfu,” and they distributed the pills throughout the United States. These pills contained the same drug that is the active ingredient in Viagra. If the pills had been properly labeled, the Food and Drug Administration (FDA) and U.S. Customs and Border Protection would have stopped them from entering the U.S. because Viagra is available in this country only when prescribed by a licensed physician and dispensed by a pharmacist.
In order to evade import restrictions, the defendant and his co-conspirators directed their suppliers to mislabel the boxes containing the pills to make it appear that the boxes contained items that can be legally imported into the U.S., such as beauty products, pottery, coffee, and tea.
The defendant and his co-conspirators received the illegally imported pills at multiple addresses in the Atlanta, Georgia, area. They rented storage units at different locations where they repackaged the pills for distribution to wholesale and retail locations in the Atlanta area and throughout the U.S. In order to evade detection by law enforcement authorities, they moved their illegal operations regularly, used aliases, false addresses, and fake business names, and misrepresented the nature of their business when renting storage units and mailboxes.
Over the course of a conspiracy that lasted from early 2011 until May 2014, Khan and his co-conspirators illegally imported and distributed more than $1.5 million worth of illegal drugs that came from China.
On August 12, 2013, while this drug conspiracy was ongoing, Khan submitted an application to Citizenship and Immigration Services to become a naturalized United States citizen. The application included the following question: “Have you ever committed a crime for which you have not been arrested?” Khan falsely answered, “No.” On January 6, 2014, and again on March 14, 2014, Khan was interviewed by a representative of Citizenship and Immigration Services. Both times the representative asked Khan whether he had ever committed a crime for which he had not been arrested. On both occasions, Khan falsely stated that he had not. Khan became a naturalized United States citizen on March 14, 2014.
Ismail Ali Khan, 29, of Decatur, Georgia, was sentenced to five years and seven months in prison, to be followed by three years of supervised release. At the sentencing hearing, Judge Steve C. Jones ordered that Khan’s status as a naturalized U.S. citizen be revoked and Khan’s certificate of naturalization was declared void. Judge Jones also ordered that Khan be immediately deported to India, Khan’s native country, once he completes his prison term. At that time, supervised release will not be enforced. Khan was found guilty by a jury on February 13, 2017.
This case was investigated by the Office of Criminal Investigations, Food and Drug Administration and Homeland Security Investigations.
Assistant U.S. Attorneys William L. McKinnon, Jr. and Trevor Wilmot prosecuted the case.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
DEA Prepares for Prescription Drug Takeback DayRead the Press Release
DALLAS - U.S. Attorney John Parker wants to encourage the public to participate in the Drug Enforcement Administration’s National Prescription Drug Take-Back Day on Saturday, April 29, 2017.
On October 22, 2016, the public turned in 731,269 pounds—almost 366 tons—of medication to DEA and more than 4,000 of its community partners at almost 5,200 collection sites nationwide. Over the life of the program, 7.1 million pounds (more than 3,500 tons) of prescription drugs have been removed from medicine cabinets, kitchen drawers, and nightstands by citizens around the country.
Unused medicines in the home are a problem because the majority of the 6.4 million Americans who abused CPDs in 2015, including the almost 4 million who abused prescription painkillers, say they obtained those drugs from friends and family, including from a home medicine cabinet, according to the National Survey on Drug Use and Health released last month. Some painkiller abusers move on to heroin: Four out of five new heroin users started with painkillers. Almost 30,000 people—78 a day—died from overdosing on these painkillers or heroin in 2014, according to the Centers for Disease Control and Prevention.
This initiative addresses a vital public safety and public health issue. Medicines that languish in home cabinets are highly susceptible to diversion, misuse, and abuse. Rates of prescription drug abuse in the U.S. are alarmingly high, as are the number of accidental poisonings and overdoses due to these drugs. Studies show that a majority of abused prescription drugs are obtained from family and friends, including from the home medicine cabinet. In addition, Americans are now advised that their usual methods for disposing of unused medicines—flushing them down the toilet or throwing them in the trash—both pose potential safety and health hazards.
Collection sites will be set up throughout communities nationwide. To locate a collection site near you, go the DEA Office of Diversion Control web site at https://www.deadiversion.usdoj.gov/drug_disposal/takeback where you can search by zip code, city, or state. The service is free and anonymous.
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