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18 May 2017
Tampa Man Pleads Guilty to Theft and Identity Theft for Selling Stolen Tax Refund ChecksRead the Press Release
Tampa, FL – Acting United States Attorney W. Stephen Muldrow announces that Giday Kidane (34, Tampa) has pleaded guilty to theft of government property and aggravated identity theft. He faces a maximum penalty of 10 years in federal prison for the theft count and a mandatory consecutive term of two years in federal prison for the aggravated identity theft count.
According to the
plea agreement , between November 2016 and January 2017, Kidane, posing as “Anwar,” sold and offered to sell stolen U.S. Treasury checks to a Confidential Informant (CI) in exchange for half of the face value in cash. On one occasion, Kidane presented the CI with two stolen U.S. Treasury checks for sale: one for $4,583, and a second check for $20,679. The pair agreed that the CI would pay Kidane $7,200 for both checks, plus an additional amount after the larger check had been successfully deposited.This case was investigated by the Internal Revenue Service - Criminal Investigation. It is being prosecuted by Assistant United States Attorneys Mandy Riedel and Eric Gerard.
Tad Cummins Indicted by Federal Grand JuryRead the Press Release
A federal grand jury sitting in Nashville, Tenn. today, returned a two- count indictment charging Tad Cummins, 50, of Columbia, Tenn., with transporting a minor across state lines for the purpose of engaging in criminal sexual conduct and obstruction of justice, announced Acting U.S. Attorney Jack Smith of the Middle District of Tennessee
Cummins was initially charged in a criminal complaint on April 20, 2017, after being located in Cecilville, Calif. with the 15-year-old female victim. As alleged in the complaint, Cummins and the 15-year old had been the subject of a nationwide search by law enforcement, after leaving the Columbia, Tenn. area on March 13, 2017.
Cummins was served with an arrest warrant by FBI agents on Friday, April 21, 2017, while in the custody of the Siskiyou County, Calif. Sheriff. He appeared before a U.S. Magistrate in Sacramento, Calif. on April 24, 2017, and waived a detention hearing and was ordered transferred to the Middle District of Tennessee for further proceedings.
Cummins was returned to the Middle District of Tennessee on May 9, 2017, and appeared for a preliminary and detention hearing before U.S. Magistrate Judge Barbara Holmes on May 12, 2017. Cummins was ordered to be held in custody to await action by the grand jury.
If convicted, Cummins faces a mandatory minimum sentence of 10 years in prison, up to life.
This case was investigated by the FBI and the Tennessee Bureau of Investigation. The case is being prosecuted by Assistant U.S. Attorneys Phillip Wehby and Sara Beth Myers.
An indictment merely an accusation. The defendant is presumed innocent unless and until proven guilty in a court of law.
Surgical Practice Office Manager Sentenced to 3 ½ Years in Prison for $1 million Theft from EmployerRead the Press Release
BIRMINGHAM – A federal judge on Wednesday sentenced the office manager of a Birmingham surgical practice to more than three years in prison for stealing from her employer and ordered her to repay nearly $1 million. Acting U.S. Attorney Robert O. Posey, FBI Special Agent in Charge Roger C. Stanton and Internal Revenue Service, Criminal Investigation, Acting Special Agent in Charge James E. Dorsey.
U.S. District Court Judge Karon O. Bowdre sentenced ANNTWINE MOSS, 51, of Bessemer, to three years and five months in prison on five counts of wire fraud and four counts of tax evasion for stealing from Thoracic and Cardiovascular Surgery of Alabama between 2006 and 2013. Moss pleaded guilty to the charges early last year.
Judge Bowdre ordered Moss to pay $987,375 in restitution to the practice and to forfeit the same amount to the government as proceeds of illegal activity.
“Businesses necessarily depend on their management and accounting personnel to act honestly and safeguard the financial health of the company,” Posey said. “Moss violated this trust and helped herself to $1 million that should have supported the surgical practice.”
“Anntwine Moss’ actions can be appropriately described as deceitful and motivated by greed,” Dorsey said. “She compromised her integrity and enriched herself at the expense of her employers. Moss chose the life of theft and fraud and now she has to face her punishment.”
“Ms. Moss misused her trusted position of authority to steal from her employer and enrich herself, and now she pays the price for her greed,” Stanton said.
Moss’ boyfriend at the time, ANTHONY T. MICHAEL, 43, of Jackson, Miss., pleaded guilty in March to conspiracy, bank fraud and aggravated identity theft charges in the case. According to his plea agreement, he is to pay about $1.2 million in restitution and forfeit that same amount. Michael’s sentencing is scheduled July 12 before U.S. District Court Judge Madeline H. Haikala.
- to court documents, Moss stole from the surgical practice by using her authority as office manager to write unauthorized checks to herself and to Michael, make unauthorized direct deposits into her account, and use the company's credit cards for unauthorized personal purchases. Moss had authority over several key functions at the surgical practice including payroll, accounting, bookkeeping and managing the office's budget. She falsified her personal tax returns for several years by failing to report to the IRS the illicit income she stole from the practice.
The FBI and IRS investigated the case, which Assistant U.S. Attorney Xavier O. Carter Sr. is prosecuting.
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Superseding Indictment Handed Down in Alternatives Living, Inc. for Conspiracy and Theft of Federal FundsRead the Press Release
Acting U.S. Attorney Duane A. Evans announced that RICKEY ROBERSON, age 47, and ADA CRAIGE-ROBERSON, age 43, both of New Orleans, were indicted today in a twelve-count Superseding Indictment for conspiracy and theft of federal funds.
According to the Superseding Indictment, from at least 2009 to the present, ROBERSON and CRAIGE-ROBERSON operated Alternatives Living, Inc., a non-profit that received federal funds from the United States Department of Housing and Urban Development (HUD) in the form of Community Development Block Grants (CDBG). Alternatives Living provided affordable housing to the elderly, families who were homeless, and individuals suffering from mental disabilities. As a condition to receiving federal funds, Alternatives Living agreed to comply with applicable rules and regulations governing the manner and use of the CDBG funds. Applicable program rules, including OMB Circular No. A-122, prohibited the use of CDBG funds for entertainment purposes (i.e., social activities and tickets to shows and sporting events), fundraising, personal tuition costs, and costs of goods or services for personal use. Rules allowed reimbursement for travel costs and conferences only if those costs were related to the mission of the organization and consistent with those costs normally allowed.
Count 1 of the Superseding Indictment alleges that beginning at a time unknown, but prior to in or around January 2009 and continuing through July 2015, in the Eastern District of Louisiana and elsewhere, ROBERSON and CRAIGE-ROBERSON, and others did knowingly and willfully combine, conspire, confederate, and agree to embezzle, steal or knowingly convert to their own use or the use of another, any money or thing of value of the United States or of any department or agency thereof in excess of $1,000. Some of the conduct charged in Count 1 includes allegations that ROBERSON and CRAIGE-ROBERSON conspired to use federal funds to pay their children’s cellular phone charges, personal travel, satellite radio, concert tickets, medical bills for their children, cruise tickets, repairs to a personal Cadillac Escalade and Audi TT, and pet expenses. The Superseding Indictment alleges that the defendants stole more than $110,000.00 in federal funds directed to Alternatives Living, Inc.
Count 2 charges ROBERSON with using federal funds to purchase a 2011 New Orleans Saints season ticket package totaling more than $1,000.
Counts 3 through 12 allege that ROBERSON and CRAIGE-ROBERSON used federal funds for specific personal expenses including:
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2012 Carnival Cruise costs, totaling $1,395;
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their daughter’s Sprint cellular phone bill, totaling $5,735;
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a 2012 New Orleans Hornets season ticket package, totaling $4,554.80;
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a 2012 New Orleans Saints season ticket package, totaling $3,804;
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expenses related to a 2012 fundraiser aboard the Creole Queen totaling $12,430;
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repairs to their personal vehicle, an Audi TT, totaling $1,914;
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repairs to their personal vehicle, a Cadillac Escalade, totaling $3,300;
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a 2013 New Orleans Saints season ticket package, totaling $3,804;
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a 2013 New Orleans Pelicans season ticket package, totaling, $1,560; and
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expenses related to a 2013 fundraiser aboard the Creole Queen, totaling $1,560.
If convicted of the conspiracy to steal federal funds alleged in Count 1 of the Superseding Indictment, ROBERSON and CRAIGE-ROBERSON face a maximum penalty of 5 years imprisonment, a maximum fine of $250,000 and a special assessment of $100.00. ROBERSON, who is charged with theft of federal funds in Count 2, faces a maximum penalty of 10 years imprisonment, a maximum fine of $250,000 and a special assessment of $100.00. ROBERSON and CRAIG-ROBERSON, are charged with theft of federal funds in Counts 3 through 12, each face a maximum penalty of 10 years imprisonment, a maximum fine of $250,000 and a special assessment of $100.00 as to each count.
Acting U.S. Attorney Evans reiterated that the Superseding Indictment is merely a charge and that the guilt of the defendants must be proven beyond a reasonable doubt. U.S. District Judge Kurt D. Engelhardt set trial for August 28, 2017.
Acting U.S. Attorney Evans praised the work of the Federal Bureau of Investigation, the United States Department of Housing and Urban Development, Office of Inspector General, and the Office of State Inspector General for investigating this matter and thanked the Louisiana Legislative Auditor’s Office for its assistance. Assistant U. S. Attorneys Sharan E. Lieberman and Brian M. Klebba, both of the Fraud Section, are in charge of the prosecution.
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Stockton Woman Sentenced to over 3 Years in Prison in Credit Card Fraud and Identity Theft SchemeRead the Press Release
SACRAMENTO, Calif. — Sequoia Valverde, 33, of Stockton, was sentenced today by U.S. District Judge Troy L. Nunley to three years and one month in prison for conspiracy to commit credit card fraud in connection with a scheme aimed at Target REDcard account holders across the United States, U.S. Attorney Phillip A. Talbert announced.
According to court documents, between March 2014 and September 2014, Valverde and eight co-conspirators operated a scheme to make and use unauthorized access devices, primarily Target department store’s REDcard. Valverde and others stole victims’ personal identification information through various methods and used that information to create REDcard accounts and manufacture credit cards with magnetic strips. They used the credit cards to buy large amounts of electronics, prepaid gift cards, and other goods at Target locations throughout the Sacramento area, Northern California, and elsewhere. During the conspiracy, Valverde personally conducted at least 69 fraudulent transactions using the account information of at least 32 victims.
In all, more than 300 counterfeit and unauthorized access devices were created and over 1,000 victims have been identified to date as having had their identities compromised as a result of the conspiracy. The conspiracy resulted in more than $248,000 in losses. Six of Valverde’s eight co-defendants have pleaded guilty and await sentencing.
This case is the product of an investigation by the United States Postal Inspection Service and the Stockton Police Department. Assistant United States Attorneys André M. Espinosa and Rosanne L. Rust are prosecuting the case.
Springfield Man Sentenced to 50 Years for Producing Child PornographyRead the Press Release
SPRINGFIELD, Mo. – Tom Larson, Acting United States Attorney for the Western District of Missouri, announced that a Springfield, Mo., man was sentenced in federal court today for producing and distributing child pornography.
Christopher Peck, 40, of Springfield, was sentenced by U.S. District Judge M. Douglas Harpool to 50 years in federal prison without parole. Peck was sentenced to 30 years for producing child pornography, which is the statutory maximum penalty, and to a consecutive 20 years for receiving and distributing child pornography, which is also the statutory maximum penalty. The court also sentenced Peck to a term of supervised release for the rest of his life following incarceration.
Peck, who pleaded guilty on Nov. 17, 2016, admitted that he used two minors, identified in court documents as Jane Doe #1 and John Doe #1, to produce child pornography between Nov. 1, 2014, and Jan. 8, 2016. Peck also admitted that he received and distributed child pornography during that time.
Co-defendant Tracy Ann Smith, 42, of Springfield, was sentenced to 50 years in federal prison without parole on Dec. 20, 2016.
Smith pleaded guilty on May 10, 2016, to one count of the sexual exploitation of a child and one count of receiving and distributing child pornography. Smith admitted that she used a minor, identified in court documents as Jane Doe #1, to produce child pornography between Nov. 1, 2014, and Jan. 8, 2016. Smith also admitted that she received and distributed child pornography during that time.
This case was prosecuted by Assistant U.S. Attorney James J. Kelleher. It was investigated by the Springfield, Mo., Police Department and the FBI.
Project Safe Childhood
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc . For more information about Internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
Springfield Man Sentenced for Meth ConspiracyRead the Press Release
SPRINGFIELD, Mo. – Tom Larson, Acting United States Attorney for the Western District of Missouri, announced that a Springfield, Mo., man was sentenced in federal court today for his role in a conspiracy to distribute large quantities of methamphetamine.
Jeffrey L. Hatch, 47, of Springfield, was sentenced by U.S. District Judge M. Douglas Harpool to 12 years in federal prison without parole.
On Oct. 18, 2016, Hatch pleaded guilty to participating in the drug-trafficking conspiracy that lasted from June 1, 2013, to Nov. 29, 2014. Hatch also pleaded guilty to possessing a firearm in furtherance of a drug-trafficking crime.
Beginning in 2012, the Drug Enforcement Administration, assisted by other agencies, investigated a large-scale methamphetamine distribution network in southwest Missouri involving several sources of supply. The investigation resulted in the indictment of 28 co-defendants.
Law enforcement officers executed a search warrant at Hatch’s residence on April 24, 2014, following two drug transactions between Hatch and a confidential source. Officers found approximately 131 grams of methamphetamine in the residence and $1,000 in Hatch’s wallet. Officers also found a Springfield Armory semi-automatic 9mm handgun in a safe, along with drug paraphernalia.
Hatch admitted that he purchased methamphetamine from Daniel Harmon, who was indicted in the Eastern District of Missouri and pleaded guilty to possessing methamphetamine with the intent to distribute and to being a felon in possession of a firearm. After Daniel Harmon’s arrest, Hatch purchased methamphetamine from his co-defendant and Harmon’s wife, Kenna Harmon, who has pleaded guilty to being a leader in the drug-trafficking conspiracy as well as a money-laundering conspiracy and to being a felon in possession of a firearm.
On May 22, 2014, another undercover drug transaction was made by a confidential source who purchased 27 grams of methamphetamine from Hatch for $1,300.
On May 28, 2014, Hatch was arrested during a traffic stop in the parking lot of a Springfield hotel. He was carrying a ziplock bag containing methamphetamine and $1,390. Officers also searched his hotel room and found additional baggies of methamphetamine and drug paraphernalia. In total, officers seized 18 grams of methamphetamine from Hatch that day.
In total, the Harmon drug-trafficking organization was responsible for the distribution of over 45 kilograms of methamphetamine. According to court documents, Hatch purchased ¼ to ½ pounds of methamphetamine per day from the Harmon drug-trafficking organization and during the course of the conspiracy, approximately 150 grams of methamphetamine were seized from him.
This case is being prosecuted by Assistant U.S. Attorneys Randall D. Eggert, Nhan D. Nguyen and Cynthia J. Hyde. It was investigated by the Drug Enforcement Administration, IRS-Criminal Investigation, the Missouri State Highway Patrol, the Springfield, Mo., Police Department and Immigration and Customs Enforcement's (ICE) Homeland Security Investigations (HSI).
Sex Trafficker ConvictedRead the Press Release
BATON ROUGE, LA – Acting United States Attorney Corey R. Amundson announced that UDRAKA ROBERTS-BEY, age 26, of New Orleans, Louisiana, pled guilty yesterday before U.S. District Judge Shelly D. Dick to conspiring to engage in sex trafficking of a minor, in violation of Title 18, United States Code, Section 1594(c).
During yesterday’s guilty plea hearing, ROBERTS-BEY admitted that, in June 2016, he conspired with others to knowingly provide, maintain, and solicit a 15-year-old to engage in commercial sex acts. He specifically admitted to having arranged on multiple occasions for the minor victim to engage in commercial sex acts with individuals who offered to pay for the sex acts. He also admitted to transporting the minor victim from Baton Rouge to New Orleans and then back to Baton Rouge to make the minor victim available to engage in commercial sex acts.
A federal grand jury indicted ROBERTS-BEY in July 2016. The indictment resulted from a coordinated federal, state, and local law enforcement operation involving representatives of the Middle District of Louisiana Human Trafficking Task Force who had identified ROBERTS-BEY’s prostitution enterprise and successfully rescued the victim from a Baton Rouge hotel.
Acting U.S. Attorney Amundson stated, “Human trafficking serves as a reminder of the evil and dangers that exist in our world. Predators who engage in such activity in this district should count on facing the unrelenting and aggressive attention of my office, state prosecutors, the FBI, the U.S. Department of Homeland Security, and our other federal, state, and local law enforcement partners. Through the Middle District of Louisiana Human Trafficking Task Force, our coordinated efforts will continue to focus on rescuing victims and ensuring that justice is done in whatever venue – federal or state – will ensure the most appropriate outcome.”
FBI Special Agent-in-Charge Jeff Sallet stated, “Human trafficking, particularly involving juveniles, is a heinous crime targeting the most vulnerable among us. The FBI will continue to work with our federal, state and local partners to identify, target and stop those engaged in exploiting children.”
This matter is being handled by the U.S. Attorney’s Office for the Middle District of Louisiana, the FBI New Orleans Division, East Baton Rouge Sheriff’s Office, and Louisiana State Police, with assistance from the East Baton Rouge District Attorney’s Office and U.S. Department of Homeland Security – Homeland Security Investigations. This case is being prosecuted by Assistant United States Attorney Paul L. Pugliese.
Sacramento Man Sentenced to Nearly 3 Years in Prison for Failing to Register as a Sex OffenderRead the Press Release
SACRAMENTO, Calif. — Timothy Donald Fialdini, 52, of Sacramento, was sentenced today by U.S. District Judge Morrison C. England Jr. to two years and 11 months in prison, followed by three years of supervised release, for failure to register as a sex offender, U.S. Attorney Phillip A. Talbert announced.
According to court documents, in August 2015, Fialdini moved to Sacramento from the state of Nevada and intentionally did not register as a sex offender under the Sex Offender Registration and Notification Act (SORNA) as was required based on his multiple convictions in Nevada for open and gross lewdness. Among the convictions, in 2009, Fialdini was convicted of committing sexual battery upon a female victim and an intentional sex act in public.
On November 30, 2015, Fialdini indecently exposed himself to an adult female in Sacramento. On March 8, 2016, Fialdini was arrested in a Sacramento County park by deputy U.S. Marshals with the assistance of state and local law enforcement.
This case was the product of an investigation by the U.S. Marshals Service and the Sacramento County Sheriff’s Sex Assault Felony Enforcement (SAFE) Team. The SAFE Team is a multi-agency task force operating in Northern California that monitors sex offenders and conducts investigations regarding sex offender registration violations. Assistant U.S. Attorney Michelle Rodriguez prosecuted the case.
Roman Sentenced to Life Plus 80 Years in Prison Following Conviction for Killing Local Law Enforcement Officer Engaged in Performance of Official DutiesRead the Press Release
SALT LAKE CITY – Roberto Miramontes Roman, 44, an armed drug dealer who boasted he would kill a law enforcement officer to stay out of jail, will serve life plus 80 years in federal prison for killing a deputy sheriff in Millard County during a traffic stop in 2010 . U.S. District Chief Judge David Nuffer imposed the sentence Thursday morning in Salt Lake City. Roman was in the country illegally. He reentered the country illegally after having been previously convicted of felony drug offenses and deported.
“Deputy Sheriff Fox sacrificed her life trying to keep our country safe, and we must never forget that. I am grateful to the investigators and prosecutors who brought her killer to justice no matter how long it took. This case also demonstrates that we must enforce the rule of law along our southwest border, and confront the scourge of drug trafficking,” said Attorney General Jeff Sessions. “During this National Police Week, and every day of the year, we must continue to stand behind our brave law enforcement officers, who do a dangerous job day in and day out.”
“An illegal-alien drug dealer, who killed a deputy sheriff to avoid prosecution for federal offenses, is a threat to our communities that cannot be overstated,” U.S. Attorney John W. Huber said. “The United States Attorney’s Office will use every resource at our disposal to protect and deliver justice for those who honorably serve as law enforcement officers in our state. These crimes clearly merit the lifetime of imprisonment imposed by Chief Judge Nuffer today, and will ensure this defendant will never again have the opportunity to victimize our communities. Deputy Josie Greathouse Fox faithfully and bravely performed her law enforcement duties. During this National Police Week and always, may we remember her and others like her who have offered the ultimate sacrifice on our behalf.”
“Several organizations worked tirelessly to achieve justice for Deputy Fox. It is immensely satisfying to know that ATF could help put her killer behind bars for the remainder of his life,” said ATF Special Agent in Charge Debora Livingston. “Although today’s sentence cannot possibly fill the hole left by Deputy Josie Fox’s senseless death, I sincerely wish her family, friends, and colleague can find peace and resolution going forward.”
“The sentencing today of Roberto Roman for the murder of Josie Greathouse Fox and related crimes comes at the end of a taxing seven-year journey. Throughout all of these years, our thoughts have never turned from her, her family, or her community. None of us will ever be completely the same,” Millard County Sheriff Robert Dekker said. “First and foremost, we recognize this justice as justice served for Josie. We are extremely grateful to the United States Attorney’s Office and the federal prosecution team that so diligently chose to task themselves with this labor of respect and professionalism. The long-sought closing of this chapter now provides for more peaceful recollections of our time together with Josie. She will never be forgotten.”
Millard County Deputy Sheriff Josie Greathouse Fox stopped Roman on a rural road in Millard County for suspicion of drug trafficking on Jan. 5, 2010. He had just sold methamphetamine and was armed with a handgun and a semi-automatic rifle. To avoid apprehension, Roman shot and killed Deputy Fox. She is the first female law enforcement officer in Utah to be killed in the line of duty.
A federal grand jury returned an 11-count indictment in September 2013 charging Roman with three drug trafficking crimes, intentionally killing a local law enforcement officer to avoid apprehension for a felony drug crime, one count of possession of a firearm in furtherance of a drug trafficking offense, two counts of carrying a firearm during and in relation to a drug trafficking offense, and one count of use, carry and discharge of a firearm during and in relation to a crime of violence. Roman was also charged with possession of firearms by a restricted person, possession of firearms by a person unlawfully in the United States and illegally reentering the country after a previous deportation.
Prior to trial, Roman elected to plead guilty to possession of firearms by a restricted person, possession of firearms by a person unlawfully in the United States and illegally reentering the country after a previous deportation. A jury found him guilty of the remaining eight counts following a trial earlier this year.
Roman faced a guideline range of life imprisonment for intentionally killing a local law enforcement officer engaged in the performance of her official duties. He also faced consecutive mandatory minimum sentences totaling 80 years for the four charges involving possession of or carrying a firearm in furtherance of a drug trafficking offense and use, carry, and discharge of a firearm during and in relation to a crime of violence. Based on the aggravating circumstances of this case, federal prosecutors recommended Chief Judge Nuffer impose the maximum sentence authorized by law.
Federal prosecutors in the U.S. Attorney’s Office in Salt Lake City prosecuted the case. The case was investigated by the Utah County Sheriff’s Office and special agents of the ATF. The Millard County Sheriff’s Office also contributed to the investigation.
Resident Alien Sentenced to Federal Prison for Iowa-Minnesota Meth ConspiracyRead the Press Release
A man was sentenced May 17, 2017, to more than five years in federal prison for conspiracy to distribute methamphetamine.
Daniel Perez-Heredia, 29, from Worthington, MN received the prison term after a guilty plea on February 15, 2017, to conspiracy to distribute methamphetamine.
At his guilty plea hearing, Perez-Heredia admitted his involvement in a conspiracy that distributed at least 500 grams of mixed methamphetamine which contained at least 150 grams of actual (pure) methamphetamine from 2015 through September 2016 in Minnesota and Iowa. In 2015 and 2016, Perez-Heredia: (1) purchased up to one-ounce quantities of methamphetamine from Rogelio Garcia Jimenez for redistribution; (2) traded marijuana for methamphetamine for redistribution on multiple occasions; (3) sent money (about $1,000 one time) by wire transfer to sources of supply; and (4) often “middled” (distributed) methamphetamine received from another individual to customers.
Perez-Heredia was sentenced in Sioux City by United States District Court Chief Judge Leonard T. Strand. Perez-Heredia was sentenced to 67 months’ imprisonment. A special assessment of $100 was imposed. He must also serve a 4-year term of supervised release after the prison term. Perez-Heredia is being held in the United States Marshal’s custody until he can be transported to a federal prison.
The case was prosecuted by Assistant United States Attorney Shawn S. Wehde and was investigated as part of the Organized Crime Drug Enforcement Task Force (OCDETF) program of the United States Department of Justice through a cooperative effort of the Drug Enforcement Administration; Iowa Department of Narcotics Enforcement; Minnesota Bureau of Criminal Apprehension; South Dakota Division of Criminal Investigation; Buffalo Ridge Task Force; and Internal Revenue Service.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 17-4084. Follow us on Twitter @USAO_NDIA.
Red Lake Man Sentenced to 41 Months in Prison for Violent AssaultRead the Press Release
Acting United States Attorney Gregory G. Brooker announced the sentencing of DREW WILLIAM GRAVES, 29, to 41 months in federal prison for a violent assault committed on the Red Lake Indian Reservation. GRAVES, who pleaded guilty on December 29, 2016, was sentenced on May 17, 2017, before Senior Judge Paul A. Magnuson in U.S. District Court in
St. Paul, Minn.
According to the defendant’s guilty plea and documents filed in court, on March 25, 2016, GRAVES violently assaulted a female victim within the exterior boundaries of the Red Lake Indian Reservation. GRAVES broke the victim’s arm by slamming a car door on it, threw her to the ground and kicked her several times.
To learn more about the Justice Department’s Tribal Safety program, visit http://www.justice.gov/tribal/.
This case resulted from an investigation conducted by the Red Lake Tribal Police Department and the FBI Headwaters Safe Trails Task Force.
The case was prosecuted by Assistant U.S. Attorney Clifford B. Wardlaw.
Defendant Information:
DREW WILLIAM GRAVES, 29
Red Lake, Minn.
Convicted:
- Assault resulting in serious bodily injury, 1 count
Sentenced:
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41 months in prison
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Three years of supervised release
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United States Attorney’s Office, District of Minnesota: (612) 664-5600
Queens Man Pleads Guilty to Stealing from the GovnermentRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051ROCHESTER, N.Y.- Acting U.S. Attorney James P. Kennedy, Jr. announced today that Charles Novak, 29, of Queens, NY, pleaded guilty to theft of government money before U.S. District Judge Elizabeth Wolford. The charge carries a maximum penalty of 10 years in prison and a $250,000 fine.
Assistant U.S. Attorney Kyle Rossi, who is handling the case, stated that Novak conspired with others to cash multiple, forged U.S. Postal money orders in the Rochester and Syracuse, NY areas in 2016. The money orders had been altered and fraudulently raised in value from $1.51 to $1,000 each. During the scheme, Novak and others stole more than $48,000 from the United States Postal Service.
The defendant was identified when he presented a forged money order to a clerk at the Jefferson Road Post Office in Henrietta, NY. When a Postal Inspector approached Novak, he fled from the scene. During the ensuing chase, the defendant dropped a cell phone, which Postal Inspectors recovered and searched. The phone was logged on to the defendant’s Facebook account and Postal Inspectors retrieved his name and photograph. Novak was taken into custody in New York City in August 2016.
The plea is the result of an investigation by the United States Postal Inspection Service, under the direction of Inspector-in-Charge Shelly Binkowski of the Boston Division; and the Monroe County Sheriff’s Office, under the direction of Patrick O’Flynn.
Sentencing is scheduled for August 18, 2017, before Judge Wolford.
Pottawattamie County Man Sentenced to 180 Months in Prison for Receipt and Possession of Child PornographyRead the Press Release
COUNCIL BLUFFS, IA - On May 17, 2017heather Jean Reekr, Kevin Timothy Morrissey, a 60 year-old resident of Oakland, Iowa, was sentenced by Chief United States District Court Judge John A. Jarvey to 180 months in prison following his convictions on receipt and possession of child pornography, announced United States Attorney Kevin E. VanderSchel. Morrissey was ordered to serve 10 years of supervised release following his imprisonment and to pay a $15,000 fine.
A jury convicted Morrissey on December 21, 2016, finding him guilty of both counts of receipt and possession of child pornography. In January of 2016, law enforcement discovered, during a routine home visit, Morrissey was accessing the internet in violation of his parole supervision conditions. Subsequent examination of electronic devices seized from Morrissey’s Oakland residence revealed numerous images and one video of child pornography.
The Federal Bureau of Investigation’s Child Exploitation Task Force, Iowa Division of Criminal Investigation - Iowa Internet Crimes Against Children Task Force, Iowa Probation and Parole Office for the 4th Judicial District, and Pottawattamie County Sheriff’s Office conducted the investigation. This case was prosecuted by the United States Attorney’s Office for the Southern District of Iowa.
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Learn more about this release by calling Rachel J. Scherle at 515-473-9300, or by emailing her at [email protected].
Port St. Lucie Resident Sentenced to 30 Months in Prison for Running Fraudulent Tax Preparation BusinessRead the Press Release
A Port St. Lucie resident was sentenced to 30 months in prison, to be followed by one year of supervised release, after pleading guilty to assisting in the preparation of false tax returns and filing false tax returns, in violation of Title 26, United States Code, Sections 7206(2) and (1).
Benjamin G. Greenberg, Acting United States Attorney for the Southern District of Florida, and Kelly R. Jackson, Special Agent in Charge, Internal Revenue Service, Criminal Investigation (IRS-CI), made the announcement.
Dianne Mowatt, 39, of Port St. Lucie, was charged in a fifty-two count indictment with running a fraudulent tax preparation business in order to file fraudulent tax returns on behalf of her clients and for filing false individual returns on her own behalf. She had pleaded guilty to five of the counts on March 6, 2017.
According to the indictment and factual proffer in support of the guilty plea, from tax years 2011 through 2014, Mowatt owned, operated, or otherwise provided services to Mowatt Financial Services and Proven Tax Services, both being tax return preparation businesses located in Port Saint Lucie and Miami, Florida. Mowatt prepared and submitted individual tax returns (Forms 1040), with accompanying schedules, to the IRS on behalf of taxpayers claiming false deductions and credits for tax years 2011 through 2014. Mowatt also filed false individual returns for herself for the tax years 2010 and 2011 by falsely claiming five different people as her dependents.
Mr. Greenberg commended the investigative efforts of IRS-CI. The case was prosecuted by Assistant U.S. Attorney Marton Gyires.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.
Philadelphia Man Charged with Receipt, Distribution and Possession of Child PornographyRead the Press Release
Grant Shea, 30, of Philadelphia, Pennsylvania was charged today by Indictment with receipt, distribution, and possession of child pornography announced Acting United States Attorney Louis D. Lappen. Shea is currently pending trial for the same exact charges which were the result of an earlier Indictment filed on July 14, 2016.
The May 18, 2017 Indictment alleges that on certain dates in the month of January 2017, Shea received and distributed child pornography over the Internet. The Indictment further alleges that on January 30, 2017, Shea possessed child pornography. The alleged criminal activity took place while Shea was on pretrial release.
If convicted the defendant faces a maximum possible sentence 60 years imprisonment, a mandatory minimum term of 5 years, a minimum 5 year term up to lifetime of supervised release, a $750,000 dollar fine, mandatory restitution, and a $300 special assessment, and a Justice for Trafficking Victims additional assessment of $15,000.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
The case was investigated by the Federal Bureau of Investigations. The case is being prosecuted by Assistant United States Attorney Priya T. De Souza.
Passaic County, New Jersey, Man Admits Robbing BankRead the Press Release
NEWARK, N.J. – A Passaic County, New Jersey, man today admitted robbing a TD Bank in Hawthorne, New Jersey, in February 2016, Acting U.S. Attorney William E. Fitzpatrick announced.
Robert Somers, 45, of Little Falls, New Jersey, pleaded guilty before U.S. District Judge Susan D. Wigenton in Newark federal court to an information charging him with one count of bank robbery.
According to documents filed in this case and statements made in court:
On Feb.17, 2016, Somers robbed the TD Bank in Hawthorne, New Jersey, by handing a teller a note that read: “this is a hold up,” and demanding cash. The teller handed Somers cash. Somers demanded more money, and a second teller handed him additional cash. Somers fled the bank in a car driven by another individual.
The bank robbery charge carries a maximum penalty of 20 years in prison and a $250,000 fine or twice the gain to the defendant or loss to any victims. Sentencing is scheduled for Sept. 5, 2017.
Acting U.S. Attorney Fitzpatrick credited special agents of the FBI, under the direction of Special Agent in Charge Timothy Gallagher in Newark; the Hawthorne Police Department, under the direction of Chief Richard McAuliffe; the Pennsylvania State Police, under the direction of Col. Tyree C. Blocker; and the Passaic County Prosecutor’s Office, under the direction of Prosecutor Camelia M. Valdes, with the investigation leading to the charges.
The government is represented by Assistant U.S. Attorneys Jihee G. Suh and Karen D. Stringer of the U.S. Attorney’s Office Criminal Division in Newark.
Defense counsel: Gary Cutler Esq., Newark
Oregon Woman Charged with Embezzling Approximately $300,000 from a Tribal Organization in AlaskaRead the Press Release
Anchorage, Alaska – Acting U.S. Attorney Bryan Schroder announced today that an Oregon woman has been charged with four counts of embezzlement.
Delia Commander, 63, of Oregon, is charged in a four-count indictment with embezzling approximately $300,000 from the Skagway Traditional Council, which is a federally recognized tribal organization.
According to Assistant U.S. Attorney Aunnie Steward, who presented the case against Delia Commander to the grand jury, from at least 2010 to 2014, the defendant embezzled approximately $300,000 from the Skagway Traditional Council. During that time, Commander was the Tribal Administrator. Commander embezzled the money by using the tribal credit card to make unauthorized cash advances at casinos and other locations, and by making unauthorized purchases with tribal funds. The purchases included paying for personal travel, online university courses, personal vehicle maintenance, and personal shopping, among other things.
The law provides for a maximum sentence of 10 years in prison and a $250,000 fine or both. Under federal sentencing statutes, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
The Department of Interior Office of Inspector General, assisted by the FBI, conducted the investigation leading to the indictment in the case.
An indictment is only a charge and is not evidence of guilt. A defendant is presumed innocent and is entitled to a fair trial at which the government must prove guilty beyond a reasonable doubt.
New York Man Charged with Buying Bald Eagle PartsRead the Press Release
HARRISBURG – The United States Attorney’s Office for the Middle District of Pennsylvania announced today that Daniel E. Strachan, age 60, of Depew, New York, was charged in a one-count criminal information with illegal possession of wildlife.
According to United States Attorney Bruce D. Brandler, the information alleges that Strachan received several items of illegally transported wildlife through the mail. It is alleged that Strachan bartered for and bought various eagle parts and a bald eagle carcass in violation of the Lacey Act, which prohibits the sale and receipt of wildlife taken in violation of the Bald and Golden Eagle Protection Act.
The United States also filed a plea agreement, which is subject to the approval of the Court, wherein it is indicated that Strachan intends to plead guilty to the charges when he appears in federal court.
The case was investigated by the U.S. Fish and Wildlife Service and the Pennsylvania Game Commission. Assistant U.S. Attorney James T. Clancy is prosecuting the case.
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 for this offense is five years in prison, 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 Doctor Pleads Guilty in Connection with Test-Referral Scheme with New Jersey Clinical LabRead the Press Release
NEWARK, N.J. – An internal medicine doctor practicing in Yonkers, New York, today admitted taking bribes in connection with a long-running and elaborate test referral scheme operated by Biodiagnostic Laboratory Services LLC (BLS), of Parsippany, New Jersey, its president and numerous associates, Acting U.S. Attorney William E. Fitzpatrick announced.
Ricky J. Sayegh, 44, of Scarsdale, New York, pleaded guilty before U.S. District Judge Stanley R. Chesler in Newark federal court to an information charging him with accepting cash bribes in violation of the Federal Travel Act.
According to documents filed in this case and statements made in court:
Sayegh admitted accepting cash bribes in return for referring blood specimens to BLS. From February 2010 through April 2013, Sayegh received bribes totaling approximately $400,000 from BLS employees and associates. Sayegh’s referrals generated more than $1.4 million in lab business for BLS.
The investigation has thus far resulted in 45 convictions – 31 of them doctors – in connection with the bribery scheme, which its organizers have admitted involved millions of dollars in bribes and resulted in more than $100 million in payments to BLS from Medicare and various private insurance companies. It is believed to be the largest number of medical professionals ever prosecuted in a bribery case.
The investigation has to date recovered more than $12 million through forfeiture. On June 28, 2016, BLS, which is no longer operational, pleaded guilty and was required to forfeit all of its assets.
The charge to which Sayegh pleaded guilty is punishable by a maximum potential penalty of five years in prison and a $250,000 fine, or twice the gross gain or loss from the offense. Sayegh’s sentencing is scheduled for Sept. 6, 2017.
Acting U.S. Attorney Fitzpatrick credited special agents of the FBI, under the direction of Special Agent in Charge Timothy Gallagher in Newark; inspectors of the U.S. Postal Inspection Service, under the direction of Inspector in Charge James V. Buthorn; IRS–Criminal Investigation, under the direction of Special Agent in Charge Jonathan D. Larsen; and the U.S. Department of Health and Human Services, Office of Inspector General, under the direction of Special Agent in Charge Scott J. Lampert, with the ongoing investigation.
The government is represented by Assistant U.S. Attorneys Joseph N. Minish, Danielle Alfonzo Walsman, and Jacob T. Elberg, Chief of the U.S. Attorney’s Office Health Care and Government Fraud Unit in Newark, as well as Assistant U.S. Attorney Barbara Ward, Acting Chief of the office’s Asset Forfeiture and Money Laundering Unit.
The New Jersey U.S. Attorney’s Office reorganized its health care fraud practice in 2010 and created a stand-alone Health Care and Government Fraud Unit to handle both criminal and civil investigations and prosecutions of health care fraud offenses. Since that time, the office has recovered more than $1.32 billion in health care fraud and government fraud settlements, judgments, fines, restitution and forfeiture under the False Claims Act, the Food, Drug and Cosmetic Act and other statutes.
Defense counsel: Michael Bachner Esq., New York
New Jersey Attorney Charged in Securities Fraud SchemeRead the Press Release
SAN FRANCISCO – Gregg Jaclin, an attorney and resident of New Jersey, was indicted today for his role in an alleged securities fraud scheme, announced United States Attorney Brian J. Stretch and Federal Bureau of Investigation Special Agent in Charge John F. Bennett. According to the indictment, Jaclin, through the law firms at which he worked, conspired with another individual in a scheme to create and sell public shell companies with no ongoing business but which, in on their Securities and Exchange Commission (SEC) filings, were represented to be owned and controlled by various individuals and were legitimate businesses. In reality, they were shell companies created by one individual and meant for one purpose—selling them to others, who in some cases used them as vehicles for securities market manipulation schemes. Jaclin and the other individual also allegedly obstructed multiple SEC investigations into their conduct.
According to the indictment filed today, since at least March of 2008, Jaclin, 47, of Princeton Junction, New Jersey, was a licensed attorney who specialized in creating and taking public small companies. After helping companies through what the indictment alleges was referred to as his “self-filing process” to take companies public, Jaclin would frequently facilitate the sale of the companies that he and his co-conspirator created, in a “reverse merger” with a privately traded company owned by others. According to the indictment, Jaclin conspired to misuse this process in a way that violated federal law. Specifically, with Jaclin’s knowledge, his co-conspirator allegedly found individuals who would serve as sham nominee chief executive officers (CEOs) of the companies. These nominee CEOs, on paper, served as majority shareholders and sole directors of the companies. Nevertheless, in reality they did little more than receive payment for signing documents. The nominee CEOs exerted no control over the companies and took directions from Jaclin’s co-conspirator. Similarly, Jaclin’s co-conspirator allegedly recruited sham minority shareholders as part of the scheme. With Jaclin’s knowledge, money was fronted to these shareholders to purchase the securities of the companies, and fraudulent business plans were drafted for the companies, purporting to demonstrate the companies had real plans to engage in business and grow. In actuality, the companies were created and maintained for the sole purpose of being sold as a shell to purchasers who, either individually or as a group, wished to control all of the shares of the company. The companies were then, in most cases, used as a vehicle for a reverse merger, and the stock of the resulting companies was, in some instances, subject to market manipulation.
To assist in the scheme, Jaclin allegedly prepared and directed the filing of numerous fraudulent documents to create the companies, register their shares for public sale, and sell the companies in a reverse-merger transaction. According to the indictment, the documents that Jaclin and his co-conspirator filed with the SEC contained misrepresentations, promises, and omissions that allowed the shares of the companies to become publicly tradable. Following the reverse mergers, later investors who looked at the SEC filings would be misled into believing that the companies had legitimate histories of actual business and numerous shareholders when, in reality, the original company was a shell with only one person controlling all the stock. Jaclin is also accused of corruptly obstructing and impeding the proceedings on the SEC with respect to two separate companies.
In sum, Jaclin was charged with conspiracy, in violation of 18 U.S.C. § 371; securities fraud, in violation of 15 U.S.C. §§ 78j(b), 78ff and 17 C.F.R. § 240.10b-5; false filing under the Securities Exchange Act of 1933, in violation of 15 U.S.C. §§ 78j(b) and 78ff; false filing under the Securities Act of 1933, in violation of 15 U.S.C. §§ 77q(a) and 77x; scheme to conceal a material fact from a government agency, in violation of 18 U.S.C. § 1001(a)(1); false writings to a government agency, in violation of 18 U.S.C. § 101(a)(3); and two counts of obstruction of the proceedings of the SEC, in violation of 18 U.S.C. § 1505.
An indictment merely alleges that crimes have been committed, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt. If convicted, the maximum penalty for conspiracy is five years’ imprisonment and a $250,000 fine, the maximum penalty for securities fraud and false filing under the Exchange Act of 1934 is 20 years’ imprisonment and a $5,000,000 fine; the maximum penalty for false filing under the Securities Act of 1933 is five years’ imprisonment and a $10,000 fine; the maximum penalty for scheme to conceal a material fact from a government agency, false writings to a government agency, and each count of obstruction of proceedings before the Securities and Exchange Commission is five years of imprisonment and a $250,000 fine. Any sentence following conviction would be imposed by the court only after consideration of the U.S. Sentencing Guidelines and the federal statute governing the imposition of a sentence, 18 U.S.C. § 3553.
Jaclin is scheduled to appear on June 8, 2017, at 9:30 a.m., before U.S. Magistrate Judge Laurel Beeler for arraignment.
Assistant U.S. Attorney Benjamin Kinglsey is prosecuting the case with the assistance of Claudia Hyslop, Denise Oki, and Bridget Kilkenny. The prosecution is the result of an investigation by the Federal Bureau of Investigation.
New Haven Man Pleads Guilty to Illegally Possessing Gun, NarcoticsRead the Press Release
Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that ANTRUM COSTON, 34, of New Haven, pleaded guilty today before U.S. District Judge Stefan R. Underhill in Bridgeport to one count of possession of a firearm by a felon and one count of possession with intent to distribute cocaine and cocaine base (“crack”).
According to court documents and statements made in court, on January 11, 2016, New Haven Police stopped a vehicle COSTON was driving. A search of the vehicle revealed a loaded Jimenez Arms 9 millimeter pistol, and a search of COSTON’s person revealed 13 baggies of cocaine and also a quantity of crack cocaine. The firearm had been previously reported stolen.
Prior to January 2016, COSTON had sustained multiple felony convictions, including a federal conviction in 2004 for possession of a firearm by a felon. COSTON was sentenced to 37 months of imprisonment on that prior federal conviction and, in June 2007, an additional 18 months of imprisonment for violating the conditions of his supervised release.
Judge Underhill scheduled sentencing for August 10, 2017, at which time COSTON faces a maximum term of imprisonment of 30 years.
This matter is being investigated by the Federal Bureau of Investigations and the New Haven Police Department. This case is being prosecuted by Assistant U.S. Attorneys Jennifer R. Laraia and Michael E. Runowicz.
Multiple Defendants Plead Guilty to Drug Conspiracy Charges in Federal Gang ProsecutionRead the Press Release
Columbia, South Carolina --- United States Attorney Beth Drake announced today that Deshawn Earl Chestnut, age 24, Matthew DeWitt, age 27, and Stacy Cambas, age 30, pled guilty on Tuesday, May 16, 2017, to participating in a drug conspiracy that operated in the Florence, Charleston, and Myrtle Beach areas of South Carolina. Timothy Singletary, age 22, also pled guilty on May 4, 2017, to participating in this drug conspiracy. Their respective convictions subject them to up to 20 years imprisonment.
Assistant U.S. Attorney Andy Moorman, lead Organized Crime and Drug Enforcement Task Force (OCDETF) Attorney for the District of South Carolina, noted that the prosecution is another OCDETF effort advanced in concert with local, state, and federal law enforcement. OCDETF is a program administered by the Department of Justice that targets large scale, multi-state drug trafficking organizations.
Moorman told the Court during proceedings that these Defendants, working with other co-defendants, distributed heroin, cocaine, and/or marijuana to customers in Florence and Myrtle Beach.
The investigation has targeted members of the Billie East Side Bloods, a set of the United Blood Nation, and others who formed an agreement to distribute heroin, fentanyl, cocaine, and marijuana in South Carolina, and to traffic in and possess firearms for the purpose of advancing the drug conspiracy.
The investigation is being conducted by the FBI, the DEA, the Horry County Sheriff’s Office, the Horry County Police Department, the Myrtle Beach Police Department, the North Myrtle Beach Police Department, the 15th Circuit’s Drug Enforcement Unit, and the Georgetown Police Department. The charges filed against the defendants in this operation are being prosecuted by Assistant US Attorneys Andy Moorman and Lauren Hummel.
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Missouri Hospitals Agree to Pay United States $34 Million to Settle Alleged False Claims Act Violations Arising from Improper Payments to OncologistsRead the Press Release
Two Southwest Missouri health care providers have agreed to pay the United States $34,000,000 to settle allegations that they violated the False Claims Act by engaging in improper financial relationships with referring physicians, the Justice Department announced today. The two Defendants are Mercy Hospital Springfield f/k/a St. John’s Regional Health Center, and its affiliate, Mercy Clinic Springfield Communities f/k/a St. John’s Clinic. Among other health care facilities, the Defendants operate a hospital, clinic, and infusion center in Springfield, Missouri.
The settlement announced today resolved allegations that the Defendants submitted false claims to the Medicare Program for chemotherapy services rendered to patients referred by oncologists whose compensation was based in part on a formula that improperly took into account the value of their referrals of patients to the infusion center operated by the Defendants. Federal law restricts the financial relationships that hospitals and clinics may have with doctors who refer patients to them.
“When physicians are rewarded financially for referring patients to hospitals or other health care providers, it can affect their medical judgment, resulting in overutilization of services that drives up health care costs for everyone,” said Acting Assistant Attorney General Chad A. Readler of the Justice Department’s Civil Division. “In addition to yielding a recovery for taxpayers, this settlement should deter similar conduct in the future and help make health care more affordable.”
The allegations settled today arose from a lawsuit filed by a whistleblower, Dr. Viran Roger Holden, a physician who was employed by one of the Defendants, under the qui tam provisions of the False Claims Act. Under the act, private citizens can bring suit on behalf of the government for false claims and share in any recovery. Dr. Holden will receive $5,440,000 from the recovery.
“This settlement protects patients and the public by enforcing the federal protections against profit incentives for physicians,” said Acting U.S. Attorney Thomas M. Larson for the Western District of Missouri. “Patients deserve assurances that they are receiving appropriate medical care, unbiased by hidden incentives. And taxpayers deserve assurances that the cost of public health care programs is not inflated by unnecessary procedures and services.”
“When physician compensation improperly accounts for referrals, patients are left to wonder whether their doctor’s judgment has been tainted and motivated by financial interests,” said Special Agent in Charge Steven Hanson for the Department of Health and Human Services Office of the Inspector General. “Illegal financial reward has no place in health care. Today’s settlement should send a message that, together with our law enforcement partners, we will pursue these cases.”
The government’s intervention/complaint in this matter illustrates the government’s emphasis on combating health care fraud. One of the most powerful tools in this effort is the False Claims Act. Tips from all sources about potential fraud, waste, abuse, and mismanagement can be reported to the Department of Health and Human Services, at 800-HHS-TIPS (800-447-8477).
The case, United States ex rel. Holden v. Mercy Hospital Springfield, et al., Case No. 15-cv-3283 (W.D. Mo.), was handled by the Civil Division’s Commercial Litigation Branch, the U.S. Attorney’s Office for the Western District of Missouri, and the U.S. Department of Health and Human Services’ Office of Inspector General. The claims settled by this agreement are allegations only, and there has been no determination of liability.
Mexican Citizen Removed Four Times from U.S. is Sentenced for Illegally Re-entering AgainRead the Press Release
PITTSBURGH - An illegal alien found in Pittsburgh, Pennsylvania, pleaded guilty and has been sentenced in federal court to time served on his conviction of Illegal Re-Entry After Deportation, Acting United States Attorney Soo C. Song announced today.
United States District Judge Cathy Bissoon imposed the sentence on Enrique Carmona-Bernardo, age 37, of Mexico.
According to the information presented to the court, Enrique Carmona-Bernardo, an illegal alien, was formally removed from the United States by United States Immigration and Customs Enforcement on November 5, 2009, December 7, 2012, January 17, 2013 and March 3, 2013. Enrique Carmona-Bernardo was found to be illegally present in Pittsburgh, Pennsylvania, on March 17, 2017, when he was arrested by City of Pittsburgh Police for driving under the influence under the name Enrique Cardona.
Assistant United States Attorney Gregory C. Melucci prosecuted this case on behalf of the government.
Acting United States Attorney Soo C. Song commended the U.S. Immigration and Customs Enforcement (ICE)/Homeland Security Investigations (HSI) and the University of Pittsburgh Police Department for the investigation leading to the successful prosecution of Enrique Carmona-Bernardo.
Massachusetts Man Sentenced for Attempted Coercion of a Minor, and Distributing, Receiving and Possessing Child PornographyRead the Press Release
ALBANY, NEW YORK – David J. Rancourt, age 62, of Palmer, Massachusetts, was sentenced today to 188 months in prison for attempted coercion and enticement of a minor for prohibited sexual activity, and distribution, receipt and possession of child pornography.
The announcement was made by United States Attorney Richard S. Hartunian and Vadim D. Thomas, Special Agent in Charge of the Albany Field Office of the Federal Bureau of Investigation.
On November 23, 2016, Rancourt pled to all 12 counts of an indictment charging him with the child exploitation crimes before United States District Judge Mae A. D’Agostino. As part of his plea, Rancourt admitted that he posted an online advertisement, “Dad looking for a son,” seeking sexual role-play encounters with a boy. Following email and instant message exchanges with a Colonie Police Department officer acting undercover, Rancourt travelled to Albany to meet a person he believed to be a 14-year-old boy to engage in sexual activities. He also sent and received child pornography using a phone-based instant messaging application and possessed child pornography on his phone.
Judge D’Agostino also imposed a life term of supervised release, which will start after Rancourt is released from prison. As a result of his conviction, Rancourt will also be required to register as a sex offender after leaving prison.
Judge D’Agostino also ordered restitution of $3,000 to several child pornography victims who submitted restitution requests based on Rancourt’s possession of images depicting their abuse.
This case was investigated by the FBI and the Colonie Police Department, and was prosecuted by Assistant U.S. Attorney Solomon B. Shinerock.
This case is prosecuted as part of Project Safe Childhood, a nationwide initiative designed to protect children from online exploitation and abuse. Led by the United States Attorneys’ Offices, Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the Internet, as well as identify and rescue victims. For more information about Project Safe Childhood, please visit http://www.justice.gov/psc/.
Marion County man sentenced for unlawful possession of a firearmRead the Press Release
CLARKSBURG, WEST VIRGINIA – Duane Jabbar Martin, 32, of Rivesville, West Virginia, was sentenced today to 18 months incarceration for unlawful possession of a firearm, Acting United States Attorney Betsy Steinfeld Jividen announced.
Martin, who had previously been convicted of a felony offense in Marion County, is prohibited from possessing a firearm. He admitted to possessing a 9mm semi-automatic handgun in April 2016.
Martin pled guilty to one count of “Unlawful Possession of a Firearm” in January 2017.
Assistant U.S. Attorney Traci M. Cook prosecuted the case on behalf of the government. The Bureau of Alcohol, Tobacco, Firearms, and Explosives and the Marion County Sheriff’s Office investigated.
U.S. District Judge Irene M. Keeley presided.
Manager of Clothing Factory Sentenced to Prison after Offering Bribe to Federal Labor Investigator in Exchange for Closing InvestigationRead the Press Release
LOS ANGELES – The general manager of a La Puente garment factory, who was found guilty of offering to pay bribes to an investigator with the United States Department of Labor in exchange for the investigator closing an investigation into wage violations, has been sentenced to 18 months in federal prison.
Howard Quoc Trinh, 43, of Arcadia, the manager of Seven-Bros. Enterprises, was sentenced yesterday by United States District Judge Christina A. Snyder.
In April 2016, a federal jury, which deliberated for only about one hour, convicted Trinh of two counts of bribery, finding that he offered to pay $10,000 in bribes – and actually paid $3,000 – to a Department of Labor Wage and Hour investigator. As part of the bribery scheme, Trinh promised to pay the balance when the investigation was closed.
The Labor Department investigator was investigating Seven-Bros. for violating the Fair Labor Standards Act (FLSA), which sets standards for minimum wage and overtime pay. The Wage and Hour investigator led a team that conducted an unannounced visit to Seven-Bros on March 10, 2015. The investigation into wage violations covered a period from May 2012 through March 10, 2015 and found that Seven-Bros owed approximately $100,000 to compensate employees for FLSA violations over that period. As part of the investigation, the Labor Department issued a “hot goods” Notice to Restrain the Shipment of Goods, which prevented the company from shipping certain inventory until the back wages were paid to employees.
The investigator returned to Seven-Bros on March 18, at which time Trinh said he did not owe his employees any back wages and that he wanted to “take care” of the investigator. In response to Trinh’s statements, the Labor Department’s Office of Investigator General (OIG) initiated an investigation and outfitted the investigator with recording equipment. On the evening of March 18, during a recorded meeting, Trinh offered the investigator $10,000 to close out the investigation without finding any violations and to lift the hot goods notice. Trinh told the investigator that he wanted a “clean case” with “no violations” and ““I would say to you $10,000…in your pocket.”
The next day, during another recorded meeting, Trinh gave the investigator an initial payment of $3,000 in cash in an unmarked manila envelope. Before he gave the cash to the investigator, Trinh patted the envelope and said “we never met…we never sat at this table…we never had any of this.” On March 20, 2015, Trinh was arrested.
Trinh’s “criminal conduct reflects a complete disregard for the law,” prosecutors wrote in a sentencing memorandum filed with the court. “Rather than pay his employees (most of whom earned minimum wage) the back wages that they were owed for overtime, [the] defendant tried to buy his way out of trouble by bribing” the Labor Department investigator.
Judge Snyder ordered Trinh to begin serving his prison sentence by September 6.
The investigation in this case was conducted by the United States Department of Labor, Office of Investigator General, Office of Labor Racketeering and Fraud Investigations.
This case was prosecuted by Assistant United States Attorney Julian L. André of the Major Frauds Section.
Man sentenced for identity theftRead the Press Release
CLARKSBURG, WEST VIRGINIA – Daniel Aaron Stone, 36, currently incarcerated at Federal Correctional Institution Beckley, was sentenced today to 24 months incarceration for aggravated identity theft, Acting United States Attorney Betsy Steinfeld Jividen announced.
Stone admitted to having social security numbers of people for the intended use of filing false tax returns. Stone pled guilty to two counts of “Aggravated Identity Theft” in March 2017. The sentence is to run consecutively to any previous sentence imposed.
Assistant U.S. Attorney Andrew R. Cogar prosecuted the case on behalf of the government. The Internal Revenue Service and the Special Investigative Services Unit of the Bureau of Prisons investigated.
U.S. District Judge Irene M. Keeley presided.
Man from El Salvador pleads guilty to illegally reentering the United States for the sixth timeRead the Press Release
LAKE CHARLES, La. – Acting U.S. Attorney Alexander C. Van Hook announced today that a man from El Salvador pleaded guilty to reentering the United States without permission for the sixth time.
Daniel Ernesto Viscarra-Lopez, 26, of El Salvador, pleaded guilty before U.S. Magistrate Judge Kathleen Kay to one count of illegal reentry of a removed alien. The plea will become final when accepted by U.S. District Judge Donald E. Walter. According to the guilty plea, Calcasieu Parish Sheriff deputies arrested the defendant on November 12, 2017. He later told U.S. Border Patrol agents that he was a citizen of El Salvador. After further investigation, agents learned that Viscarra-Lopez was previously removed from the United States in June 2006, July 2007, February 2009, June 2009 and December 2009. He entered the country illegally each time without first obtaining permission from the U.S. government.
Viscarra-Lopez faces up to two years in prison, one year of supervised release and up to a $250,000 fine.
United States Border Patrol and the Calcasieu Parish Sheriff’s Office conducted the investigation. Assistant U.S. Attorney Dominic Rossetti is prosecuting the case.
Man Sentenced to 10 Years in Prison for Transporting a Minor with the Intent to Engage in Criminal Sexual ActivityRead the Press Release
***In order to protect the privacy of the child victim in this case, the United States Attorney’s Office is requesting that the media not disclose the victim’s name or display an image of the victim when reporting this story. We are aware that her identity and images were released to the public in the course of the Amber Alert. This is simply a request, and we understand that the decision is ultimately left to your discretion. Please do not hesitate to contact our Public Information Officer below with any questions.***
MISSOULA – Rodney Lee Zahn, 61, formerly of Madison County, Montana, was sentenced today in federal court for transporting a child in interstate commerce with the intent the child engage in criminal sexual activity, namely sexual abuse of a minor in the third degree. Zahn pleaded guilty to the charge on January 30, 2017. Chief U.S. District Court Judge Dana Christensen sentenced Zahn to 120 months in prison. Following his release, Zahn will be placed on supervised release for 10 years. Zahn is also required to pay $ 773.04 in restitution to the victim, and forfeit his Ford pickup truck and camper that was used to transport the minor victim out of Montana.
In an offer of proof filed by Assistant U.S. Attorney Cyndee Peterson, the government stated that in late July 2016, Defendant Rodney Lee Zahn befriended a family in Sheridan, Montana. This included the family’s 16-year old daughter. Due to a diagnosed intellectual disability, the child cannot make sound judgments and is at risk of being manipulated by others. On the night of August 1, 2016, Zahn met the child a few blocks from the family’s residence. Zahn and the child left Sheridan that night in his truck pulling a camper trailer. After discovering she was gone the next morning, the child’s family reported her missing. On August 4, 2016, law enforcement located Zahn and the child in Casper, Wyoming. Zahn was arrested and was interviewed. Zahn admitted that he and the child left Montana, and drove through Idaho into Wyoming. Zahn admitted that he and the child had sexual intercourse twice during the trip. Zahn also stated that he knew the child was 16 years old.
Madison County Sheriff Roger Thompson stated, “It was highly unfortunate that Mr. Zahn decided to make the decision he did that created such a grave concern for the family. Getting the victim back safely was a great outcome. The cooperation and assistance the Federal Bureau of Investigation (FBI) and National Center for Missing and Exploited Children (NCMEC) provided to the Madison County Sheriff’s Office was tremendous and deeply appreciated.”
Federal Bureau of Investigation Ricky Shelbourn stated, “Rodney Zahn took advantage of a family’s trust and generosity, only to manipulate and victimize their daughter. The FBI aims to protect society’s most vulnerable from predators like Zahn. The effort is greatly enhanced because we work closely together with our law enforcement partners. In this case, inter-agency collaboration was integral to our finding the victim within 48 hours from her disappearance.”
The case was prosecuted by Assistant U.S. Attorney Cyndee Peterson and investigated by the Federal Bureau of Investigation, the Madison County Sheriff’s Office, and the Casper Wyoming Police Department.
Man Admits to Stealing Deceased Father’s Social Security Benefits for 16 yearsRead the Press Release
Special Assistant U.S. Attorney Jeffrey D. Hill (619) 546-7924
NEWS RELEASE SUMMARY – May 18, 2017
SAN DIEGO – Abel Jose Perez pleaded guilty in federal court today to theft of public property, admitting that he stole $271,925.60 in Social Security retirement benefits intended for his father, Angel Perez-Barajas, who died in 1997.
During a hearing before U.S. Magistrate Judge Andrew G. Schopler, Perez acknowledged that for more than 16 years, he retained exclusive access to and controlled a bank account belonging to his deceased parents, and all funds deposited therein. Perez, who was not an authorized user of the bank account, also never informed either the bank or the Social Security Administration of his father’s death.
Perez also admitted that he never requested that the Social Security Administration terminate the monthly direct deposit of his father’s retirement benefits, which continued each month from August 1997 until February 2014. Indeed, Perez admitted that he knew his father’s Social Security retirement benefits should have terminated upon his death, but he nonetheless converted all $271,925.60 to his own use, with no intention of ever returning it to the United States of America.
“The only difference between this and armed robbery is the gun,” said Acting U.S. Attorney Alana W. Robinson. “This defendant stole hundreds of thousands of dollars, and the ultimate victims are those who pay into Social Security expecting to receive benefits down the road. We won’t let thieves get away with these crimes, even if they have untraditional methods.”
“The Social Security Administration’s Office of the Inspector General is committed to pursuing those who defraud SSA and its benefit programs, which are a lifeline for so many Americans and their families,” said Robb Stickley, the Special Agent in Charge of the San Francisco Field Division, which is responsible for Southern California. “We will continue to assist the U.S. Attorney’s Office in bringing violators to justice."
As a part of his plea agreement, Perez agreed to pay full restitution to the Social Security Administration for all of the money he gained by his crime. Perez faces up to 10 years in federal prison and a fine of up to twice his gross gains from this crime at his sentencing on August 7, 2017 before U.S. District Court Judge William Q. Hayes.
DEFENDANT Case Number 17-cr-01259-WQH
Abel Jose Perez San Diego, CA
SUMMARY OF CHARGES
Theft of Public Property – Title 18, U.S.C., Section 641
Maximum penalty: 10 years’ imprisonment, $543,851.20 fine, restitution
AGENCY
Social Security Administration’s Office of the Inspector General
Jury Convicts Schenectady Felon of Drug ConspiracyRead the Press Release
ALBANY, NEW YORK – A jury voted today to convict William “True” Hilts, age 52, of Schenectady, New York, of conspiracy to distribute crack cocaine and heroin, and distribution of crack cocaine and heroin, following a four-day jury trial.
The announcement was made by United States Attorney Richard S. Hartunian and Special Agent in Charge James J. Hunt, New York Division, U.S. Drug Enforcement Administration (DEA).
Hilts, who has several felony convictions for drug trafficking, faces at least 10 years and up to life in prison, as well as a term of post-imprisonment supervised release of between 8 years and life, when he is sentenced on September 11, 2017 by Senior United States District Judge Thomas J. McAvoy.
The evidence at trial showed that, from October 2015 through February 2016, Hilts conspired with his nephew, Elijah Jones, to distribute crack cocaine and heroin from their shared residence on Paige Street, next to a children’s daycare. Law enforcement officers recovered more than 80 grams of crack cocaine and more than 600 bags of heroin during the investigation. Jones pled guilty on May 10 to a conspiracy charge and faces at least 5 years and up to 40 years in prison.
This case was investigated by the DEA and the Schenectady County Sheriff’s Department, and is being prosecuted by Assistant United States Attorneys Wayne A. Myers and Joseph A. Giovannetti.
Jury Convicts California Man of Large-Scale PCP ConspiracyRead the Press Release
KANSAS CITY, Mo. – Tom Larson, Acting United States Attorney for the Western District of Missouri, announced that a California man was convicted in federal court today of his role in a conspiracy to distribute large quantities of PCP in the Kansas City area.
Ladronal S. Hamilton, also known as “Black,” 45, of Hawthorne, Calif., was found guilty of participating in a conspiracy to distribute PCP in Jackson County, Mo., and elsewhere from Jan. 1, 2011, to March 12, 2015.
Evidence introduced during the trial indicated that Hamilton supplied numerous associates in Kansas City with kilogram quantities of PCP, which was transported from California through the mail.
Operation Dirty Glass
Operation Dirty Glass was an investigation of a large-scale PCP and crack cocaine drug trafficking organization. More than 20 defendants were indicted and convicted as a result of the investigation, including the primary target, Gerald W. Jones, 45, of Kansas City, Mo., who received PCP from Hamilton. In a separate but related, case, Jones was convicted and sentenced to 20 years in federal prison without parole.
Investigators seized a total of approximately 14 kilograms of PCP in a series of Express Mail shipments made by Hamilton to Kansas City, Mo. On Oct. 17, 2014, a postal inspector identified an Express Mail package that had been sent by Hamilton from the La Tiejera, Calif., post office to a Kansas City, Mo., address. The parcel contained three metal canisters, each of which contained approximately two kilograms of PCP. On Nov. 10, 2014, a postal inspector identified two more Express Mail packages that had been sent by Hamilton from California to Kansas City, Mo., addresses. Inside each package, investigators found a metal canister containing approximately two kilograms of PCP.
Hamilton made frequent trips to the Kansas City area. Prior to the discovery of the PCP shipments, the U.S. Postal Inspection Service interdicted two Express Mail envelopes on Oct. 16, 2013, that Hamilton, while visiting Kansas City, had sent back to California. One envelope contained $4,000 and the other contained $7,000, of drug proceeds.
Operation Water Park
Hamilton was also implicated in a separate investigation, Operation Water Park, which resulted in the indictment and convictions of 11 defendants. In early 2015, Hamilton began supplying PCP to Leelon Williams, 40, of Kansas City, Mo. Williams pleaded guilty to conspiracy to distribute PCP and was sentenced to 20 years in federal prison without parole.
Williams was arrested on March 12, 2015, when Kansas City, Mo., police officers were dispatched to the area of 26th Street and College to investigate a shooting. Williams was found hiding inside his van, which was parked in an alleyway near the scene of the shooting. (Williams was not involved in the shooting.) Investigators searched the van and found two glass orange juice bottles that contained a total of approximately 1.2 kilograms of PCP, which Hamilton had shipped to Williams from California.
Under federal statutes, Hamilton is subject to a mandatory minimum sentence of 20 years in federal prison without parole, up to a sentence of life in federal prison without parole. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes, as the sentencing of the defendant will be determined by the court based on the advisory sentencing guidelines and other statutory factors. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
Following the presentation of evidence, the jury in the U.S. District Court in Kansas City, Mo., deliberated for about 3 hours before returning the guilty verdicts to U.S. District Judge Gary A. Fenner, ending a trial that began Monday, May 15, 2017.
This case is being prosecuted by Assistant U.S. Attorneys Brent Venneman and Emily A. Orsinger. It was investigated by the Kansas City, Mo., Police Department, the U.S. Postal Inspection Service and Immigration and Customs Enforcement's (ICE) Homeland Security Investigations (HSI).
Johnsonville Man Charged with Receiving and Possessing Child PornographyRead the Press Release
ALBANY, NEW YORK – Keith J. Bleau, age 51, of Johnsonville, New York, was arrested on Tuesday on charges of receiving and possessing child pornography. Today, Bleau appeared before United States Magistrate Judge Daniel J. Stewart and was detained pending trial.
The announcement was made by United States Attorney Richard S. Hartunian and Vadim D. Thomas, Special Agent in Charge of the Albany Field Office of the Federal Bureau of Investigation.
The criminal complaint alleges that between May 16, 2012 and May 16, 2017, Bleau used a peer-to-peer file sharing program and the Internet to download multiple child pornography movies. The charges in the complaint are merely accusations. The defendant is presumed innocent until proven guilty.
If convicted of all charges, Bleau faces at least 5 years and up to 20 years in prison, post-imprisonment supervised release of at least 5 years and up to life, and a maximum $250,000 fine, Sentences are imposed by a judge based on the particular statute the defendant is charged with violating, the United States Sentencing Guidelines and other factors.
This case is being investigated by the FBI and the New York State Police, and is being prosecuted by Assistant U.S. Attorney Rick Belliss.
Indiana Man Indicted for Running Fraudulent Return Preparation Business and Obstructing the Internal Revenue LawsRead the Press Release
An Indiana man was indicted today by a federal grand jury in Hammond, Indiana for conspiracy to defraud the United States, attempting to interfere with the administration of the internal revenue laws, and aiding and assisting in the preparation and presentation of false tax returns, 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.
According to the indictment, John Newlin owned and operated Quick Sam Tax Service in Gary, Indiana. The indictment alleges that from approximately August 2008 through January 2012, Newlin trained, coached, and encouraged his employees to prepare and file with the Internal Revenue Service (IRS) fraudulent tax returns for taxpayer clients. Those returns allegedly contained false business income and expenses and false claims for the Earned Income Tax Credit, thereby generating IRS refunds to which the clients were not entitled. The indictment further charges that after the IRS suspended his electronic filing privileges, Newlin contracted with another individual in Georgia to transmit and file returns for Quick Sam using that individual’s tax preparer number.
An indictment merely alleges that crimes have been committed. Defendants are presumed innocent until proven guilty beyond a reasonable doubt.
If convicted, Newlin face a statutory maximum sentence of five years in prison for the conspiracy count, three years in prison for attempting to interfere with the administration of the internal revenue laws and three years in prison for each count of aiding and assisting in the preparation of false tax returns. Newlin also faces a period 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 Man Indicted for Running Fraudulent Return Preparation Business and Obstructing the Internal Revenue LawsRead the Press Release
WASHINGTON – An Indiana man was indicted today by a federal grand jury in Hammond, Indiana for conspiracy to defraud the United States, attempting to interfere with the administration of the internal revenue laws, and aiding and assisting in the preparation and presentation of false tax returns, 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.
According to the indictment, John Newlin owned and operated Quick Sam Tax Service in Gary, Indiana. The indictment alleges that from approximately August 2008 through January 2012, Newlin trained, coached, and encouraged his employees to prepare and file with the Internal Revenue Service (IRS) fraudulent tax returns for taxpayer clients. Those returns allegedly contained false business income and expenses and false claims for the Earned Income Tax Credit, thereby generating IRS refunds to which the clients were not entitled. The indictment further charges that after the IRS suspended his electronic filing privileges, Newlin contracted with another individual in Georgia to transmit and file returns for Quick Sam using that individual’s tax preparer number.
An indictment merely alleges that crimes have been committed. Defendants are presumed innocent until proven guilty beyond a reasonable doubt.
If convicted, Newlin face a statutory maximum sentence of five years in prison for the conspiracy count, three years in prison for attempting to interfere with the administration of the internal revenue laws and three years in prison for each count of aiding and assisting in the preparation of false tax returns. Newlin also faces a period 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.
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17-544
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Indian River County Resident Sentenced to 30 Years in Prison for Producing Child PornographyRead the Press Release
Matthew Vaughn Hawks, 29, of Vero Beach, Florida, was sentenced on May 16, 2017, by United States District Judge Donald M. Middlebrooks to 360 months in prison, to be followed by a lifetime of supervised release, after previously pleading guilty to three counts of producing child pornography and one count of possessing child pornography.
Benjamin G. Greenberg, Acting United States Attorney for the Southern District of Florida, Mark Selby, Special Agent in Charge, U.S. Immigration and Customs Enforcement, Homeland Security Investigations (ICE-HSI), Deryl Loar, Sheriff, Indian River County Sheriff’s Office, and James Stuart, Sheriff, Anoka County, Minnesota, Sheriff’s Office, made the announcement.
According to the court record, Hawks was on probation for making a false bomb threat in Indian River County, Florida, when he began communicating over the internet with multiple female children. Over a period of three months, Hawks cultivated an increasingly personal online relationship with the children. He began soliciting sexually explicit photographs from the minors and sent them sexually explicit images of himself. Hawks then requested increasingly explicit photographs. When some of the children resisted, Hawks threatened to post images of them on the internet if they did not comply with his demands. Hawks’ victims were located in Minnesota, Michigan, Massachusetts, Texas, and Florida.
Mr. Greenberg commended the investigative efforts of ICE-HSI, the Indian River County Sheriff’s Office, and the Anoka County Sheriff’s Office. The case was prosecuted by Special Assistant U.S. Attorney Ryan Butler and Assistant U.S. Attorney Daniel Funk.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.
INTERPOL Washington Helps Countries Build Information Sharing CapacityRead the Press Release
INTERPOL Washington photograph. INTERPOL member countries Singapore, Malaysia, and the United States celebrate the successful conclusion of capacity building training.During the first week of May 2017, Steve Somerville (left), INTERPOL Washington Development and Operations Team member, participated in a training event for INTERPOL member countries Singapore and Malaysia. The training, hosted by Singapore, gave INTERPOL Washington an opportunity to refine and troubleshoot the integration of I-24/7 services. The training was part of the Asian Regional Capacity Building Initiative designed to integrate the full suite of INTERPOL tools and services into each country’s existing national information technology infrastructure. Other participating countries are Indonesia, Thailand, and the Philippines.
The Asian Capacity Building Project initiative helps countries to:
Develop or enhance their ability to contribute stolen or lost travel document (SLTD) data to INTERPOL’s SLTD database;
Enhance border and immigration screening capabilities by integrating INTERPOL’s I-24/7 network; and
Use INTERPOL Washington expertise to help member countries develop the information technology infrastructure needed to connect to INTERPOL information.
This initiative helps member countries to meet their United Nations Security Council obligations to “… prevent the movement of terrorists and terrorist groups by effective border controls … and to “… improve international, regional, and sub-regional cooperation through increased sharing of information.”
INTERPOL Washington is committed to providing global technical assistance to increase the capacity and long-term sustainability to interdict the illicit international travel of Foreign Terrorist Fighters and other transnational criminals through the strategic application and utilization of INTERPOL information sharing tools.
A component of the U.S. Department of Justice, INTERPOL Washington—the U.S. National Central Bureau—is co-managed by the U.S. Department of Homeland Security. As the designated representative to INTERPOL on behalf of the Attorney General, INTERPOL Washington serves as the national point of contact for all INTERPOL matters, coordinating international investigative efforts among member countries and the more than 18,000 local, state, federal, and tribal law enforcement agencies in the United States.
Houston Man Sentenced to 120 Months in Federal Prison for His Role in Tilak Jewelers RobberyRead the Press Release
DALLAS — Dominique Pearson, 25, of Houston, Texas was sentenced yesterday by U.S. District Judge Ed Kinkeade to serve a total of 120 months in federal prison, following his guilty plea in October 2016 to his role in the conspiracy to rob Tilak Jewelers in Irving, announced U.S. Attorney John Parker of the Northern District of Texas.
Pearson pleaded guilty to one count of conspiracy to interfere with commerce by robbery and one count of using, carrying, and brandishing a firearm during and in relation to, and possessing and brandishing a firearm in furtherance of, a crime of violence. Pearson has been in custody since his arrest in December 2015.
Pearson was charged along with eleven other individuals in an indictment in February 2016. Afraybeom Traverom Jackson, 27, Joshua Deunte Caldwell, 26, Hilton Murdock Aitch, 56, Irving Tyrone Flanagan, 47, Larry Solomon, 42, Terrence Lynn Thompson, 53, Anthony Ray Turner, Jr, 25, Treveon Dominique Anderson, 26, Michael Cornelious, 27, Xavier Rashad Ross, 25, and Vanlisa Scott, 47, were each charged with one count of one count of conspiracy to interfere with commerce by robbery and one count of using, carrying, and brandishing a firearm during and in relation to, and possessing and brandishing a firearm in furtherance of, a crime of violence. Out of the twelve, nine have pleaded guilty, two are set for trial in January 2018, and one has not made an appearance in the Northern District of Texas.
According to plea documents filed in the case, in the early morning hours on November 17, 2013, Aitch, Jackson, Caldwell, Pearson, Flanagan, Solomon, Aitch, Thompson, Turner, Anderson, Cornelious, and Ross, traveled from Houston, Texas, to the Dallas, Texas, area with the specific intent to rob the Tilak Jewelers store located at 8300 North MacArthur Boulevard, Suite 100, Irving, Texas. They stole a cargo van and a minivan after they arrived in the Dallas, Texas, area in order to avoid detection and apprehension by law enforcement.
Jackson, Caldwell, Pearson, Turner, Anderson, and Ross drove together in the stolen cargo van to the Tilak Jewelers store, with the specific intent to commit the robbery. Aitch, Flanagan, and Thompson participated in planning the robbery and positioned themselves outside the Tilak Jewelers store, but maintained communications with Jackson for the purpose of monitoring the robbery and alerting the participants of the presence of law enforcement.
Prior to entering the Tilak Jewelers store, Jackson, Caldwell, Pearson, Turner, Anderson, and Ross disguised their identities by wearing longsleeved clothing, long pants, gloves, and items covering their faces. Jackson and the others entered the jewelry store by smashing the locked glass door with a hammer. After gaining entry into the store, they restrained the owners of the jewelry store with zip-ties, smashed jewelry display cases, and took jewelry from the owners and employees of Tilak Jewelers.
After securing the jewelry, Jackson, Caldwell, Pearson, Turner, Anderson, and Ross fled from the robbery using the stolen cargo van. They abandoned the cargo van at a predetermined location, where Solomon was waiting in the stolen minivan. Solomon then drove them to a second predetermined location, where Cornelious was waiting in a switch vehicle. Cornelious then used the switch vehicle to further facilitate their flight from the robbery and avoid detection and apprehension by law enforcement. Scott, who had traveled from Houston, met Pearson and the other coconspirators at a different location and took possession of the stolen jewelry for the purpose of safely transporting it to Houston, Texas.
The Irving Police Department, Houston Police Department, and the Federal Bureau of Investigation investigated the case. Assistant U.S. Attorney Keith Robinson was in charge of the prosecution.
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Hornell Money Mule Pleads to Wire FraudRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051ROCHESTER, N.Y.- Acting U.S. Attorney James P. Kennedy, Jr. announced today that Helen Jackson, 50, of Hornell, NY, pleaded guilty to wire fraud before U.S. District Judge Charles J. Siragusa. The charge carries a maximum penalty of 20 years in prison and a $250,000 fine.
Assistant U.S. Attorney John J. Field, who is handling the case, stated that Jackson agreed to receive money, which had been obtained by others through fraud, into her bank account and then forward the money to various individuals in Nigeria. When interviewed by a Special Agent with the Federal Bureau of Investigation regarding these transactions, the defendant claimed that she was not aware and that she was involved in a fraud. The FBI explained that she was participating in fraudulent activity, and directed her to cease accepting and forwarding any further money and Jackson agreed to stop. However, a few months later, the defendant resumed sending money to individuals in Nigeria. In total, Jackson forwarded at least $30,000 obtained by fraud from a victim.
The plea is the result of an investigation by Special Agents of the Federal Bureau of Investigation, under the direction of Special Agent-in-Charge Adam S. Cohen.
Sentencing is scheduled for August 15, 2017, at 9:15 a.m., before Judge Siragusa.
Honduran Man Sentenced for Illegal Re-EntryRead the Press Release
Acting U.S. Attorney Duane A. Evans announced that LUIS GABRIEL RODRIGUEZ-RUIZ, age 33, a citizen of Honduras, was sentenced today after previously pleading guilty to a one-count Indictment charging him with illegal re-entry of a removed alien.
U.S. District Judge Nannette Jolivette Brown sentenced RODRIGUEZ-RUIZ to time served (approximately 5 months’ imprisonment). RODRIGUEZ-RUIZ will be surrendered to the custody of U.S. Immigration and Customs Enforcement for removal proceedings.
According to court documents, on December 13, 2016, RODRIGUEZ-RUIZ was found in the United States after having been deported previously on February 14, 2013.
Acting U.S. Attorney Evans praised the work of the Immigration and Customs Enforcement in investigating this matter. Assistant U.S. Attorney Emily K. Greenfield was in charge of the prosecution.
Harrison County woman sentenced for cocaine distributionRead the Press Release
CLARKSBURG, WEST VIRGINIA – Jennifer Y. Lucas, 37, of Clarksburg, West Virginia, was sentenced today to 10 months incarceration for cocaine distribution, Acting United States Attorney Betsy Steinfeld Jividen announced.
Lucas pled guilty to one count of “Distribution of Cocaine Base” in January 2017. She sold cocaine in Harrison County in March of 2016.
Assistant U.S. Attorney Traci M. Cook prosecuted the case on behalf of the government. The Greater Harrison County Drug and Violent Crime Task Force, A HIDTA-funded initiative, investigated.
U.S. District Judge Irene M. Keeley presided.
Hampshire County woman convicted of heroin distributionRead the Press Release
MARTINSBURG, WEST VIRGINIA – Bonnie Bishop of Bloomery, West Virginia, was convicted today of heroin distribution, Acting United States Attorney Betsy Steinfeld Jividen, announced.
Bishop, age 31, pled guilty to one count of “Conspiracy to Distribute a Controlled Substance.” Bishop admitted to conspiring with others to distribute heroin in Hampshire County in July 2015.
Bishop faces up to 20 years incarceration and a fine of up to $1,000,000. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendants.
Assistant U.S. Attorney Anna Z. Krasinski prosecuted the case on behalf of the government. The Eastern Panhandle Drug & Violent Crime Task Force, a HIDTA-funded initiative, investigated.
An indictment is merely an accusation. A defendant is presumed innocent unless and until proven guilty.
Guatemalan Man Pleads Guilty to Illegal Re-EntryRead the Press Release
Acting U.S. Attorney Duane A. Evans announced that HECTOR BARRIOS-PATINO, age 37, a citizen of Guatemala, pled guilty to a one-count Indictment for illegal re-entry of removed alien.
According to court documents, on February 5, 2017, BARRIOS-PATINO, was found in the United States after having been deported previously on July 31, 2009. faces a maximum term of imprisonment of ten years and a fine of $250,000, or the greater of twice the gross gain to the defendant, three years supervised release after imprisonment, and a $100 special assessment. U.S. District Judge Nannette Jolivette Brown set sentencing for June 29, 2017.
BARRIOS-PATINO faces a maximum term of imprisonment of ten years and a fine of $250,000, or the greater of twice the gross gain to the defendant, three years supervised release after imprisonment, and a $100 special assessment. U.S. District Judge Nannette Jolivette Brown set sentencing for June 29, 2017.
Acting U.S. Attorney Duane A. Evans praised the work of the U.S. Immigration and Customs Enforcement in investigating this matter. Assistant U.S. Attorney Emily K. Greenfield is in charge of the prosecution.
Fredericksburg Gas Station Owner Pleads Guilty to Cigarette TraffickingRead the Press Release
RICHMOND, Va. – A Fredericksburg man pleaded guilty today to participating in a conspiracy to traffic contraband cigarettes.
According to the statement of facts filed with the plea agreement, Bernard Ekelemu, 60, directed another individual to purchase a Gulf gas station in Fredericksburg in November of 2013. Ekelemu then registered a Virginia corporation to operate that gas station, and obtained a “Certificate of Registration for the Collection of Virginia Sales and Use Tax” that exempted Ekelemu from paying the Virginia sales and use tax when making business purchases. Ekelemu opened business memberships at various wholesale clubs and with wholesale cigarette distributors in Virginia, and subsequently used those business memberships to make sales-tax-free purchases of more than $7.1 million worth of Virginia-stamped cigarettes between March 2014 and November 2016. Ekelemu stored those cigarettes at several locations in Virginia, to include storage units in Fredericksburg and Springfield, where Ekelemu would sell those cigarettes to cigarette traffickers. The traffickers thereafter smuggled those Virginia cigarettes north to New York State (among other locations), where they were sold as contraband cigarettes on the black market.
Ekelemu faces a maximum sentence of five years in prison when sentenced on August 16. 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; Michael B. Boxler, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms and Explosives’ (ATF) Washington Field Division, made the announcement after U.S. District Judge M. Hannah Lauck accepted the plea. Assistant U.S. Attorney Thomas A. Garnett 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. 3:17-cr-46.
Fourth Defendant Pleads Guilty for Role in Multimillion Dollar India-Based Call Center Scam Targeting U.S. VictimsRead the Press Release
An Alabama woman pleaded guilty today to one count of conspiracy to commit money laundering for her role in liquidating and laundering victim payments generated through various telephone fraud and money laundering schemes via India-based call centers.
Acting Assistant Attorney General Kenneth A. Blanco of the Justice Department’s Criminal Division, Acting U.S. Attorney Abe Martinez of the Southern District of Texas, Executive Associate Director Peter T. Edge of U.S. Immigration and Customs Enforcement’s Homeland Security Investigations (HSI), Inspector General J. Russell George of the U.S. Treasury Inspector General for Tax Administration (TIGTA) and Inspector General John Roth of the U.S. Department of Homeland Security Office of Inspector General (DHS-OIG) made the announcement.
Nilam Parikh, 46, a resident of Pelham, Alabama, pleaded guilty before U.S. District Court Judge David Hittner of the Southern District of Texas. Sentencing is scheduled for Aug. 11, 2017.
According to admissions made in connection with the plea, Parikh and her co-conspirators perpetrated a complex scheme in which individuals from call centers located in Ahmedabad, India, impersonated officials from the IRS or U.S. Citizenship and Immigration Services (USCIS) in a ruse designed to defraud victims located throughout the United States. Using information obtained from data brokers and other sources, call center operators targeted U.S. victims who were threatened with arrest, imprisonment, fines or deportation if they did not pay alleged monies owed to the government. Victims who agreed to pay the scammers were instructed how to provide payment, including by purchasing stored value cards or wiring money. Upon payment, the call centers would immediately turn to a network of "runners" based in the U.S. to liquidate and launder the fraudulently-obtained funds.
Since around December 2013, Parikh worked as a runner operating in Alabama. In connection with her plea, Parikh admitted that, at the direction of an India-based co-conspirator, often via electronic WhatsApp text communications, Parikh purchased reloadable cards registered with misappropriated personal identifying information of U.S. citizens. Once victim scam proceeds were loaded onto those cards, Parikh admitted that she liquidated the proceeds on the cards and transferred the funds into money orders for deposit into various bank accounts, while keeping part of the victim funds for herself as payment. Parikh also admitted to sending and receiving scam proceeds to and from her co-conspirators via Federal Express.
To date, Parikh, 55 other individuals and five India-based call centers have been charged for their roles in the fraud and money laundering scheme in an indictment returned by a federal grand jury in the Southern District of Texas on Oct. 19, 2016. Parikh is the fourth defendant thus far to plead guilty in this case. Co-defendants Bharatkumar Patel, Ashvinbhai Chaudhari and Harsh Patel pleaded guilty on April 13, 2017, April 26, 2017 and May 11, 2017, respectively.
The remaining defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
HSI, DHS-OIG and TIGTA led the investigation of this case. Also providing significant support were: the Criminal Division’s Office of International Affairs; Ft. Bend County, Texas, Sheriff’s Office; police departments in Hoffman Estates and Naperville, Illinois, and Leonia, New Jersey; San Diego County District Attorney’s Office Family Protection and Elder Abuse Unit; U.S. Secret Service; U.S. Small Business Administration, Office of Inspector General; IOC-2; INTERPOL Washington; USCIS; U.S. State Department’s Diplomatic Security Service; and U.S. Attorneys’ Offices in Northern District of Alabama, District of Arizona, Central District of California, Northern District of California, District of Colorado, Northern District of Florida, Middle District of Florida, Northern District of Illinois, Northern District of Indiana, District of Nevada and District of New Jersey. The Federal Communications Commission’s Enforcement Bureau also provided assistance in TIGTA’s investigation.
Senior Trial Attorney Michael Sheckels and Trial Attorney Mona Sahaf of the Criminal Division’s Human Rights and Special Prosecutions Section, Trial Attorney Robert Stapleton of the Criminal Division’s Money Laundering and Asset Recovery Section and Assistant U.S. Attorneys S. Mark McIntyre and Craig M. Feazel of the Southern District of Texas are prosecuting the case.
A Department of Justice website has been established to provide information about the case to already identified and potential victims and the public. Anyone who believes they may be a victim of fraud or identity theft in relation to this investigation or other telefraud scam phone calls may contact the Federal Trade Commission (FTC) via this website.
Anyone who wants additional information about telefraud scams generally, or preventing identity theft or fraudulent use of their identity information, may obtain helpful information on the IRS tax scams website, the FTC phone scam website and the FTC identity theft website.
Fourth Defendant Pleads Guilty for Role in Multimillion Dollar India-Based Call Center Scam Targeting U.S. VictimsRead the Press Release
HOUSTON – An Alabama woman pleaded guilty today to one count of conspiracy to commit money laundering for her role in liquidating and laundering victim payments generated through various telephone fraud and money laundering schemes via India-based call centers.
Acting U.S. Attorney Abe Martinez of the Southern District of Texas, Acting Assistant Attorney General Kenneth A. Blanco of the Justice Department’s Criminal Division, Executive Associate Director Peter T. Edge of U.S. Immigration and Customs Enforcement’s Homeland Security Investigations (HSI), Inspector General J. Russell George of the U.S. Treasury Inspector General for Tax Administration (TIGTA) and Inspector General John Roth of the U.S. Department of Homeland Security Office of Inspector General (DHS-OIG) made the announcement.
Nilam Parikh, 46, a resident of Pelham, Alabama, pleaded guilty before U.S. District Court Judge David Hittner of the Southern District of Texas. Sentencing is set for Aug. 11, 2017.
According to admissions made in connection with the plea, Parikh and her co-conspirators perpetrated a complex scheme in which individuals from call centers located in Ahmedabad, India, impersonated officials from the IRS or U.S. Citizenship and Immigration Services (USCIS) in a ruse designed to defraud victims located throughout the United States. Using information obtained from data brokers and other sources, call center operators targeted U.S. victims who were threatened with arrest, imprisonment, fines or deportation if they did not pay alleged monies owed to the government. Victims who agreed to pay the scammers were instructed how to provide payment, including by purchasing stored value cards or wiring money. Upon payment, the call centers would immediately turn to a network of “runners” based in the U.S. to liquidate and launder the fraudulently-obtained funds.
Since around December 2013, Parikh worked as a runner operating in Alabama. In connection with her plea, Parikh admitted that, at the direction of an India-based co-conspirator, often via electronic WhatsApp text communications, Parikh purchased reloadable cards registered with misappropriated personal identifying information of U.S. citizens. Once victim scam proceeds were loaded onto those cards, Parikh admitted that she liquidated the proceeds on the cards and transferred the funds into money orders for deposit into various bank accounts, while keeping part of the victim funds for herself as payment. Parikh also admitted to sending and receiving scam proceeds to and from her co-conspirators via Federal Express.
To date, Parikh, 55 other individuals and five India-based call centers have been charged for their roles in the fraud and money laundering scheme in an indictment returned by a federal grand jury in the Southern District of Texas on Oct. 19, 2016. Parikh is the fourth defendant thus far to plead guilty in this case. Co-defendants Bharatkumar Patel, Ashvinbhai Chaudhari and Harsh Patel pleaded guilty on April 13, 2017, April 26, 2017 and May 11, 2017, respectively.
The remaining defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
HSI, DHS-OIG and TIGTA led the investigation of this case. Also providing significant support were: the Criminal Division’s Office of International Affairs; Ft. Bend County Sheriff’s Office; police departments in Hoffman Estates and Naperville, Illinois, and Leonia, New Jersey; San Diego County District Attorney’s Office Family Protection and Elder Abuse Unit; U.S. Secret Service; U.S. Small Business Administration, Office of Inspector General; IOC-2; INTERPOL Washington; USCIS; U.S. State Department’s Diplomatic Security Service; and U.S. Attorneys’ Offices in Northern District of Alabama, District of Arizona, Central District of California, Northern District of California, District of Colorado, Northern District of Florida, Middle District of Florida, Northern District of Illinois, Northern District of Indiana, District of Nevada and District of New Jersey. The Federal Communications Commission’s Enforcement Bureau also provided assistance in TIGTA’s investigation.
Assistant U.S. Attorneys S. Mark McIntyre and Craig M. Feazel of the Southern District of Texas, Senior Trial Attorney Michael Sheckels and Trial Attorney Mona Sahaf of the Criminal Division’s Human Rights and Special Prosecutions Section and Trial Attorney Robert Stapleton of the Criminal Division’s Money Laundering and Asset Recovery Section are prosecuting the case.
A Department of Justice website has been established to provide information about the case to already identified and potential victims and the public. Anyone who believes they may be a victim of fraud or identity theft in relation to this investigation or other telefraud scam phone calls may contact the Federal Trade Commission (FTC) via this website.
Anyone who wants additional information about telefraud scams generally, or preventing identity theft or fraudulent use of their identity information, may obtain helpful information on the IRS tax scams website, the FTC phone scam website and the FTC identity theft website.
Former business manager at Catholic Charities of Cleveland sentenced to more than five years in prison for stealing $2 million from the organizationRead the Press Release
The former business manager and comptroller for Cleveland Catholic Charities was sentenced to more than five years in prison for embezzling $2 million from the organization, said Acting U.S. Attorney David A. Sierleja and Stephen D. Anthony, Special Agent in Charge of the FBI’s Cleveland Office.
Michelle Medrick, 58, of North Royalton, previously pleaded guilty to bank fraud. U.S. District Judge Christopher Boyko sentenced Medrick to 62 months in federal prison and ordered her to pay $2.4 million in restitution.
Medrick embezzled $2 million from Catholic Charities of the Diocese of Cleveland beginning in at least 2008 through last year.
She was employed as the comptroller and the business manager for Catholic Charities at Parmadale, a facility that provides a variety of services. She was responsible for payroll, accounts payable, accounts receivable and other financial transcations.
Medrick converted proceeds of client-agency and donor checks to cash, which she then put in her own bank accounty, according to court documents.
She wrote more than 1,400 checks payable to cash and misrepresented herself as the agency’s chief financial officer so she could withdraw cash from Catholic Charities bank accounts, according to court documents and statements.
“This defendant stole millions of dollars from the vulnerable men, women and children who are supported by the good works of Catholic Charities,” Sierleja said. “The Diocese uncovered the fraud, came forward to federal authorities and cooperated fully,”
The case is being prosecuted by Assistant U.S. Attorneys Adam Hollingsworth and Alex Rokakis following an investigation by the Federal Bureau of Investigation.
Former U.S. Secret Service Officer Sentenced to 20 Years in Prison for Enticement of a Minor and Attempting to Send Obscene Images to a MinorRead the Press Release
A Church Hill, Maryland, resident was sentenced today to 20 years in prison to be followed by a lifetime term of supervised release for enticement of a minor to engage in sexual activity and attempting to transfer obscene materials to a minor, announced Acting Assistant Attorney General Kenneth A. Blanco of the Justice Department’s Criminal Division and Acting U.S. Attorney Benjamin G. Greenberg of the Southern District of Florida.
Lee Robert Moore, 38, pleaded guilty March 1, 2017, before U.S. District Judge Daniel T. K. Hurley of the Southern District of Florida. Moore was employed by the U.S. Secret Service-Uniformed Division and was assigned to the White House at the time of his arrest on Nov. 9, 2015, and has remained in custody since that time. Moore has since been terminated from his Secret Service position.
According to admissions made in connection with his plea, Moore maintained a profile on the social media application “Meet24,” which provides a mobile-based platform for exchanging digital images, as well as voice and text messages. Delaware State Police Detectives with the Delaware Child Predator Task Force created a profile on this site, posing as a 14-year-old girl, with whom Moore engaged in a number of online chat sessions, via the “Meet24” and “Kik” mobile apps over a two-month period, including while Moore was at work. A number of the online chats between Moore and the undercover officers posing as a female minor were sexual in nature and, on several occasions, Moore sent pictures of himself, including one sexually explicit image.
According to the plea documents, after his arrest, law enforcement discovered that Moore had communicated with a minor in Florida. Moore admitted that in those communications, he sent sexually explicit images of himself and enticed the minor to send sexually explicit photos of herself as well. Moore engaged in the same type of behavior with a 14-year-old girl in Texas and another 17-year-old girl in Missouri. Moore requested that his federal charges in Delaware be transferred to the Southern District of Florida so that he could plead guilty to both charges at one time.
U.S. Immigration and Customs Enforcement’s Homeland Security Investigations and the Delaware Child Predator Task Force investigated the case. Trial Attorney Austin M. Berry of the Criminal Division’s Child Exploitation and Obscenity Section (CEOS) and Assistant U.S. Attorney Corey Steinberg of the Southern District of Florida prosecuted the case, with assistance from the U.S. Attorney’s Office for the District of Delaware.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse, launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and CEOS, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit http://www.justice.gov/psc.