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Friday 31 March 2017
Seventeen Charged for Allegedly Running Mexico-to-Ohio Heroin, Meth RingRead the Press Release
COLUMBUS, Ohio – A federal grand jury has charged 17 individuals with conspiracy to possess with intent to distribute heroin and/or methamphetamine in a superseding indictment returned here.
Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, Timothy J. Plancon, Special Agent in Charge, Drug Enforcement Agency (DEA), Frank S. Turner II, Acting Special Agent in Charge, IRS Criminal Investigation, Cincinnati Field Office, Ohio State Highway Patrol Colonel Paul A. Pride, Columbus Police Chief Kim Jacobs, Westerville Police Chief Joseph Morbitzer and Pickerington Police Chief Mike Taylor announced the superseding indictment returned yesterday and unsealed today.
The superseding indictment alleges that defendants conspired to bring the drugs from Mexico to the Southern District of Ohio from at least December 2015. One defendant, Jose Hernandez, was also charged with allegedly possessing a firearm in furtherance of a drug trafficking crime in October 2016.
Fourteen of the defendants are Mexican citizens and three are American citizens.
The individuals charged include:
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Guillermo Polanco-Contreras
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the individual known as “Chacorta”
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Hiram Hernandez-Sarabia
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Enrique Carrilo-Garcia
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Karla Aguayo-Camarena
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Hugo Carrilo
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Miguel Guardado-Hernandez
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Carlos Justo-Landa
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Erick Pablo-Reyes
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Hailey Johnson
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Crescencio Hernandez
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Jose Hernandez
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Alvaro Hernandez, aka “Alvaro Dejesus-Hernandez”
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Rene Casillas-Mojica
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Noe Zepeda-Yerena
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Ignacio Ortega-Meza
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Jose Del Real-Ortega
Conspiracy to possess with intent to distribute heroin or methamphetamine are each crimes punishable by up to life in prison. Using a firearm in furtherance of the illegal drug trafficking carries a potential maximum sentence of 40 years in prison.
Ten of the defendants have been arrested and are in custody, and the United States will be seeking the extradition of four defendants from Mexico.
U.S. Attorney Glassman commended the investigation of this case by federal, state and local law enforcement, as well as Deputy Criminal Chief Michael J. Hunter who is prosecuting the case.
An indictment merely contains allegations, and the defendant is presumed innocent unless proven guilty in a court of law.
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Second Detroit-Area Physician Pleads Guilty in $17.1 Million Health Care Fraud SchemeRead the Press Release
A second Detroit-area physician pleaded guilty today for his role in a $17.1 million Medicare fraud scheme involving medically unnecessary physician visits and drug prescriptions.
Acting Assistant Attorney General Kenneth A. Blanco of the Justice Department’s Criminal Division, Acting U.S. Attorney Daniel L. Lemisch of the Eastern District of Michigan, Special Agent in Charge David P. Gelios of the FBI’s Detroit Division and Special Agent in Charge Lamont Pugh III of the U.S. Department of Health and Human Services Office of Inspector General’s (HHS-OIG) Chicago Regional Office made the announcement.
Leonard Van Gelder, 69, of Caledonia, Michigan, pleaded guilty to one count of conspiracy to commit health care fraud before U.S. District Judge Avern Cohn of the Eastern District of Michigan. Sentencing will be set at a later date.
Van Gelder was a physician for Lake Michigan Mobile Doctors, a Chicago-based home physician service with an office in Southfield, Michigan, from November 2011 to August 2013. As part of his guilty plea, Van Gelder admitted that he saw patients who did not qualify for his services and whose visits were billed to Medicare at the highest billing codes. Van Gelder also admitted that he prescribed to patients medically unnecessary narcotics, such as Vicodin, in exchange for the ability to bill Medicare for the patients’ visits. According to court documents, Mobile Doctors billed Medicare approximately $17.1 million as a result of the scheme.
In December 2016, Van Gelder’s co-conspirator, Stephen Mason, 46, of Zionsville, Indiana, pleaded guilty to one count of conspiracy to commit health care fraud. One additional doctor, Gerald Daneshvar, 41, of West Bloomfield, Michigan, is awaiting trial. All defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
The FBI and HHS-OIG investigated the case, which was brought as part of the Medicare Fraud Strike Force under the supervision of the Criminal Division’s Fraud Section and the U.S. Attorney’s Office of the Eastern District of Michigan. Fraud Section Trial Attorney Amy Markopoulos is prosecuting the case.
The Fraud Section leads the Medicare Fraud Strike Force. Since its inception in March 2007, the Medicare Fraud Strike Force, now operating in nine cities across the country, has charged nearly 3,000 defendants who have collectively billed the Medicare program for more than $11 billion. In addition, the HHS Centers for Medicare & Medicaid Services, working in conjunction with the HHS-OIG, are taking steps to increase accountability and decrease the presence of fraudulent providers.
Randolph County man pleads guilty to possessing child pornographyRead the Press Release
ELKINS, WEST VIRGINIA – William Kerr, Jr., of Elkins, West Virginia, was convicted today for possessing child pornography, Acting United States Attorney Betsy Steinfeld Jividen, announced.
Kerr, age 74, pled guilty to one count of “Possession of Child Pornography.” Kerr admitted to having a computer disk and other materials delivered to him through interstate commerce depicting images of prepubescent minors and minors under the age of 12.
Kerr faces up to twenty years and a fine of up to $250,000. 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 defendant.
Assistant U.S. Attorney Zelda E. Wesley is prosecuting the case on behalf of the government. The Federal Bureau of Investigation investigated.
U.S. Magistrate Judge Michael John Aloi presided.
Provider of Behavioral Therapy for Children with Autism Spectrum Disorder Agrees to Settle False Claims Act AllegationsRead the Press Release
Exemplary Behavior, LLC, based in Hendersonville, Tenn., and its principal, Andre Anderson, BCBA, have agreed to pay $20,000 to settle allegations that they violated the False Claims Act, announced Jack Smith, Acting United States Attorney for the Middle District of Tennessee. Exemplary Behavior also operates an office in Clarksville, Tenn.
The alleged conduct involved the submission of false claims for payment to the Defense Health Agency’s TRICARE program for the provision of therapy services, including Applied Behavior Analysis (“ABA”) to children with Autism Spectrum Disorder (“ASD”). Anderson has also agreed to a three-year exclusion from the TRICARE program.
“The TRICARE program covers ABA therapy while most forms of insurance do not, in order to help some of our most deserving yet vulnerable citizens - children who live with and persevere through ASD,” said Acting U.S. Attorney Jack Smith. “This office and its agency partners will diligently pursue both monetary and administrative relief for any violations of federal law that could result in an adverse impact on these children or on the program that funds their treatment.”
Specifically, the settlement resolves allegations by the United States that Exemplary Behavior, through the knowing actions of Mr. Anderson, submitted false claims to TRICARE as a result of their (1) double billing for services rendered; (2) billing for services not rendered by the billing provider; (3) providing group therapy while billing for individual therapy; and (4) billing for services, including ABA therapy, that were not actually provided. The alleged conduct occurred between July 1, 2009, and March 31, 2013.
“This settlement highlights another success demonstrating the continuing commitment of the Defense Criminal Investigative Service (DCIS) to protect the integrity of TRICARE, the Department of Defense health care program,” said Special Agent in Charge of the Southeast Field Office, John F. Khin. “To protect DOD’s limited resources and budgets, DCIS must aggressively investigate fraud, waste, and abuse in our most vulnerable programs to ensure that funds are used properly for our Warfighters, their family members, and military retirees.”
This matter was investigated by the Department of Defense Office of Inspector General, the Federal Bureau of Investigation, and the United States Attorney’s Office for the Middle District of Tennessee. The United States is represented by Assistant U.S. Attorney Christopher C. Sabis.
Pottawattamie County Resident Sentenced to Prison for Scheme to Defraud Former EmployerRead the Press Release
COUNCIL BLUFFS, IA - On March 31, 2017, Bradley R. Cornelsen, age 40, of Council Bluffs, Iowa, was sentenced by United States District Court Judge Stephanie M. Rose to 48 months’ imprisonment following his convictions on five counts of wire fraud. Additionally, he was ordered to serve three years of supervised release to follow the term of imprisonment, and was ordered to pay $1,400,320 in restitution to the victim of his scheme to defraud, announced United States Attorney Kevin E. VanderSchel.
A jury convicted Cornelsen at trial on November 1, 2016, finding him guilty of five counts of wire fraud. This case was the result of an investigation by law enforcement of Cornelsen’s scheme to defraud his former employer, MV Transportation, where he was employed as Chief Financial Officer. The scheme involved paying himself large monetary bonuses that were unauthorized, totaling $297,985. Additionally, in furtherance of the scheme, Cornelsen used his company credit card and company manual checks for multiple personal expenses, including Rolex watches, collector baseball cards, Louis Vuitton luggage, and furniture for his personal residences in Council Bluffs and Okoboji, Iowa. The estimated loss to MV Transportation arising from this fraudulent conduct was determined to be approximately $1.4 million dollars.
The investigation was conducted by the Federal Bureau of Investigation and the 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 either calling Rachel J. Scherle at 515-473-9300, or by emailing her at [email protected]
Police and Prosecutors Join Students for a Day of LearningRead the Press Release
BLAST (Building Lasting Relationships Between Police and Community) Program
Brings Law Enforcement and Communities Together
TALLAHASSEE, FLORIDA – The United States Attorney’s Office for the Northern District of Florida, together with the Madison County Sheriff’s Office and Madison County High School, will present a BLAST Program event on Monday to approximately 50 students.
Event:
BLAST ProgramLocation:
Madison County High School2649 US 90 West
Madison, FL 32340Date: Monday, April 3, 2017
Time: 9:00 a.m. – 1:00 p.m. EST
Press: Please RSVP to Amy Alexander at [email protected] if you plan to attend.United States Attorney Christopher P. Canova said: “The BLAST initiative was created by the U.S. Attorney’s Office to provide a forum to exchange information about officer risks and citizen viewpoints. Sharing these perspectives encourages safe interactions between citizens and officers to improve our community.”
Madison County Sheriff Benjamin Stewart said: “The Madison County Sheriff’s Office is committed to building relationships with other law enforcement agencies and with citizens to protect and serve our community. I commend the continued hard work of our law enforcement professionals in accomplishing this mission.”
Dr. Karen Pickles, Madison County Superintendent of Schools, said: “I am excited to welcome the various federal, state, and local agencies participating in the BLAST event at Madison County High School. Our law enforcement play a crucial part in our society today. It is important to showcase their skills, provide an understanding, and promote awareness to youth and the community. This event is only a small step in addressing safety in a variety of situations students may experience and a way to promote law enforcement officers in a positive manner and as a safe haven.”
The BLAST Program offers students an opportunity to meet representatives of the criminal justice community and ask them questions, share their perceptions of law enforcement, and interact with officers in a familiar setting. Officers also provide students with their perspective on responding to dangerous or uncertain circumstances and the importance of remaining calm and following the officers’ directions in these situations.
The schedule will include the following discussion sessions, during which students will have a chance to participate in role play with law enforcement officers.
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Criminal Justice Overview: Students will learn about each phase of a federal criminal case, including investigation, prosecution, and sentencing.
This session is open to the media and public, and videography and photography is permitted.
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Domestic Violence: Students will participate in a scenario in which police respond to a domestic disturbance. Discussion includes the challenges officers face, rights of witnesses and suspects, and benefits of providing information to the police.
This session is open to the media and public, and videography and photography is permitted.
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Traffic Stop Simulation: Participants and officers alternate playing the roles of civilians and officers in a traffic stop. Discussion includes de-escalation and the uncertainty officers and vehicle occupants face during a traffic stop.
This session is open to the media and public, and videography and photography is permitted.
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Use of Force: Facilitators and students will discuss when law enforcement officers may use force and an officer’s reaction time when confronted with a life-threatening situation.
This session is closed to the media and public. Reporters may try the simulator equipment after the event ends.
Participating agencies include:
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United States Attorney’s Office, Northern District of Florida
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Madison County Sheriff’s Office
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Madison County High School
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Federal Bureau of Investigation
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Bureau of Alcohol, Tobacco, Firearms and Explosives
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Drug Enforcement Administration
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FAMU Police Department
The United States Attorney's Office for the Northern District of Florida is one of 94 offices that serve as the nation’s principal litigators under the direction of the Attorney General. To access available public court documents online, please visit the U.S. District Court for the Northern District of Florida website. For more information about the United States Attorney’s Office, Northern District of Florida, visit http://www.justice.gov/usao/fln/index.html.
For more information, contact:
Amy Alexander, Public Information Officer(850) 216-3854, [email protected]
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Philadelphia Man Charged with Child PornographyRead the Press Release
Adrian Abonce, 46, of Philadelphia, Pennsylvania, was charged today by Indictment with production, distribution, and possession of child pornography, announced Acting United States Attorney Louis D. Lappen.
The Indictment alleges that on or about each of four separate dates (October 30, 2012, April 2, 2013, April 10, 2013 and December 6, 2014), Abonce produced child pornography. The Indictment further alleges that Abonce distributed child pornography on October 15, 2015 and November 3, 2015, and possessed child pornography on June 2, 2016.
If convicted as charged, the defendant faces a maximum possible sentence of 180 years’ imprisonment, a mandatory minimum term of 15 years’ imprisonment, supervised release for a minimum term of five years and a lifetime maximum term, a $1,750,000 dollar fine, mandatory restitution, and a $700 special assessment.
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 Investigation and the Philadelphia Police Department’s Special Victims Unit. The case is being prosecuted by Assistant United States Attorney Seth Schlessinger.
Owner of Trash Company Charged with FraudRead the Press Release
BOSTON – The owner of a trash company was charged today in federal court in Boston in connection with defrauding the operator of the Fall River Landfill out of approximately $473,000 in disposal fees.
Stephen P. Aguiar, Jr., 47, of Westport, was charged with three counts of mail fraud. Aguiar was one of the owners and operators of Cleanway Disposal & Recycling, Inc., a trash removal and recycling company, and JS Aguiar Enterprises, Inc., a construction and equipment rental company, which were both located in Westport.
It is alleged that Aguiar contracted with the company operating the Fall River Landfill to dispose of trash collected from his private clients in Fall River for one rate, and to dispose of trash collected from his private clients outside of Fall River for a higher rate. Aguiar also contracted with the City of Fall River to collect trash from the Fall River Housing Authority (FRHA) and dispose of the trash at the landfill. The company operating the landfill allowed the City of Fall River to dispose of trash collected from FRHA properties at no charge. Between 2009 and 2014, Aguiar allegedly misrepresented the origin of a significant portion of the trash he disposed at the landfill. Aguiar claimed he was disposing trash from the FRHA, when in fact he was disposing trash collected from his private clients, thereby defrauding Fall River Landfill of approximately $473,000 in revenue.
The maximum sentence under the statute is 20 years in prison, three years of supervised release, a fine of $250,000, restitution and forfeiture. Actual sentences for federal crimes are typically less than the maximum penalties. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
Acting United States Attorney William D. Weinreb; Harold H. Shaw, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; Massachusetts Inspector General Glenn A. Cunha; and Christina Scaringi, Special Agent in Charge of the U.S. Department of Housing and Urban Development, Office of the Inspector General, Northeast Regional Office, made the announcement today. Assistant U.S. Attorney Kristina E. Barclay of Weinreb’s Public Corruption Unit is prosecuting the case.
The details contained in the charging document are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
North Ridgeville man charged with attempting to possess fentanyl analogue ordered from ChinaRead the Press Release
Daniel Rogerson-Wise, 33, of North Ridgeville, was charged in federal court with attempting to possess with intent to distribute a fentanyl analogue, law enforcement officials said.
HSI special agents were informed by U.S. Customs and Border Protection that a parcel containing fentanyl was in route to the United States from China. HSI special agents examined the package on March 13 at the North Ridgeville Post Office, according to an affidavit filed in the case.
The package contained a white crystalized substance. It was addressed to a home on Grant Drive in North Ridgeville and had a return address in Hong Kong, according to the affidavit.
The substance was tested and was found to be nearly 10 grams of FluoroIsoButyryl fentanyl, a synthetic opioid, according to the affidavit.
On March 20, HSI agents were again informed that a parcel containing fentanyl was again in route from China to the United States, again addressed to the home on Grant Drive and with a return address in Hong Kong, according to the affidavit.
The parcel was intercepted and the contents tested. It was found to contain more than 10 grams of FluoroIsoButyryl fentanyl, according to the affidavit.
A law enforcement official posing as a postal employee contacted Rogerson-Wise on March 29. Rogerson-Wise confirmed he was expecting the packages. Law enforcement officials then replaced the contents of the parcel and made a controlled delivery to the Grant Drive home, according to the affidavit.
Rogerson-Wise approached the home and later admitted opening the parcel. Rogerson-Wise told investigators that he was ordering an opioid that he thought was legal, referring to it as a research chemical called fib F. He admitted to having approximately 30 grams of fib F shipped from China, according to the affidavit.
Investigators then searched an apartment on Ignatius Avenue in Cleveland where Rogerson-Wise that was a possible residence for him. Investigators searched a bedroom where Rogerson-Wise slept and found his birth certificate, a loaded Smith & Wesson revolver and two notebooks, according to the affidavit.
If convicted, the defendant’s sentence will be determined by the court after review of factors unique to this case, including the defendant’s prior criminal record, if any, the defendant’s role in the offense and the characteristics of the violations. In all cases, the sentence will not exceed the statutory maximum and, in most cases, it will be less than the maximum.
This case is being prosecuted by Assistant U.S. Attorney Matthew J. Cronin following an investigation by the Department of Immigration and Customs Enforcement – Homeland Security Investigations, the U.S. Postal Inspection Service, U.S. Customs and Border Protection and the North Ridgeville Police Department.
A charge and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
Nine People Sentenced in $172,000,000 Insurance Fraud SchemeRead the Press Release
Nine defendants were sentenced in federal court for participating in a massive insurance fraud scheme.
Benjamin G. Greenberg, Acting United States Attorney for the Southern District of Florida, Adolphus P. Wright, Special Agent in Charge, Drug Enforcement Administration (DEA), Miami Field Office, Kelly R. Jackson, Special Agent in Charge, Internal Revenue Service, Criminal Investigation (IRS-CI), and Michael J. Satz, Broward State Attorney, announced the sentencing of nine of sixteen defendants who were previously charged in a five-count Information.
The criminal Information charged sixteen defendants with their participation in a complex fraud scheme regarding the manufacture and distribution of compounded medications. The fraud involved material misrepresentations to health insurance providers and illegal payments to coconspirators and medical professionals, including physicians. The fraud generated in excess of $172,000,000 in criminal proceeds for the members of the criminal enterprise.
United States District Judge Daniel T. K. Hurley imposed the following sentences: Clifford Carroll, 36, of Boca Raton, 180 months’ imprisonment; Todd Stephens, 52, of West Palm Beach, 120 months’ imprisonment; Joel McDermott, 41, of Boca Raton, 72 months’ imprisonment; Michael Kenna, 30, of Delray Beach, 60 months’ imprisonment; Todd Hanson, 47, of Zephyr Cove, NV, 96 months’ imprisonment; Christopher Mucha, 30, of Davie, 30 months’ imprisonment; Ian Flaster, 34, of Delray Beach, 36 months’ imprisonment; William Earl, 73, of Boca Raton, 24 months’ imprisonment; and Dr. Peter Williams, 56, of New Port Richey, 60 months’ imprisonment. In addition, the defendants forfeited over $30 million in assets. Hearings will be held at a later date to determine the amount of restitution owed to the government by each of the defendants. All sixteen defendants charged in this case have pled guilty, and the remaining defendants will be sentenced in May.
According to the Information, the defendants participated in a two-year conspiracy, which used various business entities, including Numed Care, LLC, ClinicalCorp, LLC, RX of Boca, and American Custom Compound Pharmacy, to perpetrate a complex fraud on numerous health care insurance providers. The defendants prepared medications in bulk quantities, which they alleged to be compounded medications for specific individualized patient needs. The defendants falsely represented to the health insurance providers that these medications were prepared in limited quantities for individual patients and were exempt from FDA inspection.
The health insurance providers compensated the defendants for the alleged costs of the ingredients for such medications. The defendants concealed from the health insurance providers that the defendants paid illegal kickbacks to physicians for the issuance of the compounded medications. defendants unlawfully provided the physicians with pre-printed prescription pads. In order to facilitate the fraudulent scheme, the defendants used mass-marketing techniques and call centers, which made material misrepresentations in order to solicit potential patients. defendants induced owners of failing pharmacies throughout the United States to participate in the scheme in order to perpetuate the fraud.
Mr. Greenberg commended the investigative efforts of the DEA, IRS-CI, and the Broward State Attorney’s Office in connection with the investigation of this matter. The case is being prosecuted by Assistant U.S. Attorneys Paul F. Schwartz and Jeffrey N. Kaplan.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.
Navarre Man Pleads Guilty to Stealing Money from the Government by Falsifying Travel Expense ClaimsRead the Press Release
PENSACOLA, FLORIDA – Timothy James Nelson, 36, of Navarre, Florida, has pled guilty to theft of government funds. The guilty plea was announced by Christopher P. Canova, United States Attorney for the Northern District of Florida.
Documents introduced at the time of the guilty plea reflect that, between July 1, 2015, and April 1, 2016, Nelson submitted false travel expense claims for hotel stays to steal $29,650 from the U.S. Department of State. Nelson did so while working as a contractor in Jerusalem for a security company installing and repairing communication equipment in vehicles operated by employees of the U.S. Department of State.
Nelson faces a maximum of 10 years in prison. The sentencing hearing is scheduled for June 16 at 1:00 p.m. at the United States Courthouse in Pensacola.
The case was investigated by special agents from the United States Department of State’s Office of Inspector General (DOS-OIG), Steve A. Linick inspector general. It was prosecuted by Assistant United States Attorney J. Ryan Love.
The United States Attorney's Office for the Northern District of Florida is one of 94 offices that serve as the nation’s principal litigators under the direction of the Attorney General. To access public court documents online, please visit the U.S. District Court for the Northern District of Florida website. For more information about the United States Attorney’s Office, Northern District of Florida, visit http://www.justice.gov/usao/fln/index.html.
For more information, contact:
Amy Alexander, Public Information Officer
(850) 216-3854, [email protected]
Navajo Man from Churchrock Pleads Guilty to Federal Child Sexual Abuse ChargeRead the Press Release
ALBUQUERQUE – Adrian Tom, 38, an enrolled member of the Navajo Nation who resides in Church Rock, N.M., pled guilty earlier this week in federal court in Albuquerque, N.M., to an abusive sexual contact charge. Under the terms of his plea agreement, Tom will be sentenced within the range of 37 to 63 months in prison followed by not less than five years of supervised release. Tom will also be required to register as a sex offender when he completes his prison sentence.
On March 29, 2017, Tom pled guilty to a felony information charging him with abusive sexual contact with a child under the age of 12 years on the Navajo Indian Reservation in McKinley County, N.M. In entering his guilty plea, Tom admitted that in March 2010, he engaged in sexual contact with an eight-year-old Indian child while on the Navajo Indian Reservation. Tom remains in federal custody pending a sentencing hearing, which has yet to be scheduled.
This case was investigated by the Gallup office of the FBI and is being prosecuted by Assistant U.S. Attorney Sarah Mease as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice (DOJ) to combat the growing epidemic of child sexual exploitation and abuse. Led by United States Attorneys’ Offices and DOJ’s Criminal Division’s Child Exploitation and Obscenity Section, 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/.
Nashville Woman Pleads Guilty to Bribery and Witness TamperingRead the Press Release
Ivy C. Starks, 50, of Nashville, Tenn., pleaded guilty yesterday in U.S. District Court, to bribery and witness tampering, announced Jack Smith, Acting U.S. Attorney for the Middle District of Tennessee.
According to facts contained in the plea agreement, Joshua Woods a/k/a J-Looney was shot on October 16, 2014 by Darryl Starks and Calvin Starks near the J.C. Napier public housing development in Nashville, as a result of a prior dispute between Starks and another individual. Both Starks’ were later arrested and charged with attempted murder, based on Wood’s statement to police.
Ivy Starks, the mother of Darryl Starks and the aunt of Calvin Starks, was aware of the shooting and the fact that Woods was to testify against her son and nephew at future court proceedings. Starks unlawfully offered Woods a bribe in the form of cash and a used Chevrolet Monte Carlo, to keep him from providing truthful testimony in court.
After agreeing to accept the bribe, Woods showed up at the Davidson County Courthouse in November 2016, in order to testify at the preliminary hearing for Darryl Starks. Ivy Starks approached him and told him that if he testified, she would not be able to guarantee his safety. Woods considered this a veiled threat and left the courthouse without testifying. Ivy Starks later gave Woods the Monte Carlo and promised cash if he provided false testimony at proceedings against Calvin Starks as well.
Woods was later arrested as a material witness and brought to court to testify in the case against Calvin Starks in December 2014. Woods provided false testimony at the hearing and subsequently was untruthful to federal agents and a federal grand jury investigating violations of federal firearms laws. As a result of this conduct, Woods was charged with lying to the grand jury and being a convicted felon in possession of firearms. His case is pending before the court.
Darryl Starks and Calvin Starks, both of Nashville, were subsequently charged with federal firearm offenses and their cases are also pending.
All defendants are presumed innocent unless and until proven guilty in a court of law.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives and the Metropolitan Nashville Police Department Gang Unit. Assistant United States Attorney Sunny A.M. Koshy is prosecuting the case.
Memphis Man Indicted for Armed Robbery of Two United States Postal Letter CarriersRead the Press Release
Memphis, TN –A federal grand jury has indicted a Memphis man for robbing two United States Letter Carriers at gunpoint. Lawrence J. Laurenzi, Acting U.S. Attorney for the Western District of Tennessee, announced the indictment today.
According to the federal complaint, on November 21, 2016, at approximately 12:35 p.m., the U.S. Postal Inspection Service (USPIS) was notified of an armed robbery in the area of 890 Baltic Street. Jamal Cherry, 20, approached U.S. Postal Service Letter Carrier Shalottie Reynolds with a semi-automatic handgun as she placed the mail satchel in her postal truck. Cherry asked the victim for cash or checks from the vehicle, and he then took an unknown number of soft envelope packages.
After canvassing the area, USPIS Inspectors located a nearby home surveillance video camera capturing the defendant fleeing the scene in a blue 2005 Toyota Matrix.
The investigation led law enforcement to Cherry’s residence at 4528 Sugar Creek Road in Memphis where Cherry was located. After Cherry left the residence, he was taken into custody. Law enforcement observed a red Toyota Matrix in the drive-way. Pursuant to a search warrant, law enforcement inspected the car and observed blue paint on the door frame, indicating the car had been repainted.
According to the indictment, the defendant has also been charged with committing another armed robbery of a U.S. Postal Letter Carrier, on December 2, 2016. After waiving his Miranda rights, Cherry admitted to the robbery of the U.S. Postal Letter Carriers on November 21, 2016 and December 2, 2016. He admitted to possessing a handgun during the robberies, taking packages from both robberies and having the Toyota Matrix painted red.
Cherry has been charged in counts one and three of the indictment with robbery of a postal employee. He faces up to 10 years in federal prison, $250,000 fine and three year’s supervised release on each count. For counts two and four of the indictment, the maximum penalty is life imprisonment for use of a firearm during and in relation to the robberies.
The case is being investigated by the United States Postal Inspection Service. Assistant U.S. Attorney Marques Young is prosecuting this case on the government’s behalf.
The charges and allegations in the indictment are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
McAllen Area Durable Medical Equipment Company Owner Convicted of Health Care FraudRead the Press Release
McALLEN, Texas ‐ The owner of a durable medical equipment company has entered a guilty plea to defrauding Medicaid of more than $3 million, announced Acting U.S. Attorney Abe Martinez.
Anna Ramirez-Ambriz, 55, of McAllen, owned Compassionate Medical Supply located in Edinburg. As part of her plea today, she admitted she submitted false and fraudulent claims to Texas Medicaid in relation to incontinence supplies. Between 2007 and 2013, Ramirez-Ambriz billed Texas Medicaid for higher quantities and more costly incontinence products than were actually delivered to Texas Medicaid recipients.
As a result of her scheme, Medicaid suffered a loss of $3,143,149.41.
U.S. District Judge Randy Crane accepted the plea today and has set sentencing for June 13, 2017. At that time, Ramirez-Ambriz faces up to 10 years in federal prison and a possible $250,000 maximum fine. She will remain in custody pending that hearing.
The Texas Attorney General’s Medicaid Fraud Control Unit, FBI and the Department of Health and Human Services‐Office of Inspector General conducted the investigation. Assistant U.S. Attorneys Andrew Swartz and Michael Day are prosecuting the case.
Massillon woman charged with defrauding banks out of $2 millionRead the Press Release
A Massillon woman was charged with defrauding financial institutions out of more than $2 million by having escrow funds on home purchases deposited into her personal account, Acting U.S. Attorney David A. Sierleja said.
Kimberlee E. Himmell, 62, was charged with 18 counts of bank fraud and one count of theft of government funds.
Himmell owned and operated Netwide Title Agency, Inc., located at 3711 Lincoln Way East in Massillon. General Title Insurance Company, located in Cleveland, was Netwide’s underwriter and responsible for auditing Netwide, according to the information.
Netwide, at the direction of Himmell, began in 2007 instructing all lenders doing business with Netwide as a title agency and utilizing its escrow services to wire all incoming lending proceeds to Himmell’s personal account, instead of Netwide’s corporate account, according to the criminal information filed in the case.
Himmell then used the deposited funds for her own personal use and for Netwide’s operational expenses withouth disclosing to lenders that she was not holding the funds in escrow, as she represented she would, according to the information.
Himmell closed at least 19 real estate transactions in 2013 and 2014 wherein Netwide received escrow funds and failed to pay or release the funds to the prior owner’s pre-existing mortgage. This causes financial losses to lenders and/or sellers of homes in Richmond Heights, North Canton, Willowick, Concord, Strongsville, Newbury, Brunswick, Wadsworth, Medina, Painesville, Parma, Akron, Twinsburg, Brecksville and Millersburg, according to the information.
Netwide’s underwriter, General Title, was contractually obligated to make lenders whole. The loss to General Title as a result of Himmell’s conduct was at least $2,111,014, according to the information.
If convicted, the defendant’s sentence will be determined by the court after review of factors unique to this case, including the defendant’s prior criminal record, if any, the defendant’s role in the offense and the characteristics of the violations. In all cases, the sentence will not exceed the statutory maximum and, in most cases, it will be less than the maximum.
This case is being prosecuted by Assistant U.S. Attorney Mark S. Bennett following an investigation by the U.S. Department of Housing and Urban Development – Office of Inspector General, the Federal Housing Finance Agency – Office of Inspector General and the Federal Bureau of Investigation.
An information is a charge and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
Manteca Man Sentenced to over 8 Years in Prison for Possession of MDMA with Intent to DistributeRead the Press Release
SACRAMENTO, Calif. — Catalin Kifan, 26, of Manteca, was sentenced today to eight years and one month in prison by U.S. District Judge Garland E. Burrell Jr., United States Attorney Phillip A. Talbert announced today. On August 26, 2016, Kifan pleaded guilty to possession of MDMA with intent to distribute.
According to the plea agreement, on April 21, 2015, federal agents searched Kifan’s residence in Manteca and found a variety of drugs, including 1.7 kilograms of cocaine, 608 grams of MDMA and lesser amounts of marijuana, bath salts, steroids, methamphetamine, adrenaline, and prescription pills. In March and April 2015, law enforcement seized two packages of MDMA destined for the Manteca residence, as well as one package of MDMA sent to his co-defendant’s residence in Las Vegas. A search of the Las Vegas residence resulted in the seizure of additional quantities of drugs, including MDMA and steroids.
This case was the product of an investigation by U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI), the Southern Nevada Heroin Task Force (SNHTF), and the Manteca Police Department. Assistant U.S. Attorney Kevin Khasigian prosecuted the case.
Co-defendant Jason Matecki, 42, pleaded guilty on April 8, 2016, and is scheduled to be sentenced on April 14, 2017.
The investigation is part of the Organized Crime Drug Enforcement Task Force (OCDETF) that was established in 1982 to conduct comprehensive, multilevel attacks on major drug trafficking and money laundering organizations.
Man Sentenced to Prison for Using Facebook to Lure Minor VictimRead the Press Release
ALEXANDRIA, Va. – A man who used an elaborate ruse to meet minor girls over Facebook and attempt to coerce them into unlawful sexual activity was sentenced today to 10 years in prison.
Juan Torres-Hernandez, 23, of Triangle, pleaded guilty to transporting a minor across state lines with intent to engage in criminal sexual activity. According to court documents, Torres-Hernandez created a Facebook account using a false name, age, and photograph. Using this account, Torres-Hernandez contacted multiple minor girls and attempted to convince them to meet him for sex. Torres-Hernandez eventually convinced a 15-year old victim to send him nude photographs and to meet in person. When Torres-Hernandez met the victim, he pretended to be a friend of the person on Facebook to whom the victim had been speaking. Torres-Hernandez then drove the victim to his home in Triangle and engaged in criminal sexual activity.
Dana J. Boente, U.S. Attorney for the Eastern District of Virginia; Patrick J. Lechleitner, Special Agent in Charge of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) Washington, D.C.; and Stephan M. Hudson, Prince William County Chief of Police, made the announcement after sentencing by Senior U.S. District Judge Claude M. Hilton. Assistant U.S. Attorney Kellen S. Dwyer prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information is located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:16-cr-283.
Man Pleads Guilty to Providing Contraband in PrisonRead the Press Release
St. Croix, USVI B Scott Bass, 43, pleaded guilty today in federal court on St. Croix to providing contraband in prison, Acting United States Attorney Joycelyn Hewlett announced.
According to the plea agreement filed with the court, on May 18, 2016, Bass went to the Golden Grove Adult Correctional Facility to deliver items to detainee Robert James. Bass brought two small containers of Africa’s Best Super Gro Hair and Scalp Conditioner. A corrections officer told Bass the detainee could only have one container of hair conditioner, so Bass delivered one container and left with the second one. After Bass departed, a corrections officer searched the container and found marijuana, hashish and tobacco in a secret compartment. Bass was directed to return to the facility and was detained. Corrections officers recovered the second container and it contained marijuana and bamboo wrapping paper.
Bass faces a maximum sentence of five years in prison and a fine of $250,000. A sentencing date has been set for August 2, 2017.
This case was investigated by the Virgin Islands Bureau of Corrections, the Virgin Islands Police Department and the U.S. Drug Enforcement Administration. It was prosecuted by Assistant United States Attorney Rhonda Williams-Henry.
Lubbock, Texas, Woman Sentenced to 60 Months in Federal Prison for Role in Methamphetamine Distribution ConspiracyRead the Press Release
LUBBOCK —Julia Ann Puentes, 33, was sentenced today by Senior U.S. District Judge Sam R. Cummings to 60 months in federal prison, following her guilty plea in December 2016 to her role in a methamphetamine distribution conspiracy, announced U.S. Attorney John Parker of the Northern District of Texas.
Puentes pleaded guilty to one count of use of the mail in aid of racketeering. She has been on pretrial release, with conditions, since her arrest in November 2016.
According to plea documents in the case, on June 19, 2015, law enforcement executed a search warrant at 2309 Birch Avenue, Lubbock, Texas after receiving information that the Sinaloa Cartel sent three people to Lubbock to distribute methamphetamine for the cartel. Those three individuals were identified as Juan Carlos Pinales, Ramon Osvaldo Escobar-Robles, and Jesus Mario Moreno-Perez. Pinales, Escobar-Robles and Moreno-Perez were charged in a separate indictment and were sentenced in January 2016 to sentences ranging from 78-151 months in federal prison.
Puentes according to a drug ledger seized from 2309 Birch Avenue, had received about 82 ounces of methamphetamine from Pinales, Escobar-Robles, and Moreno-Perez. Puentes was also in contact with a methamphetamine distributor for the Sinaloa Cartel who resided in Mexico. Puentes communicated with the distributor 78 times from January 28, 2016, to June 10, 2016. During this time frame, Puentes received one pound of methamphetamine through the mail. After receiving that package with one pound of methamphetamine, Puentes distributed that methamphetamine to others.
The Federal Bureau of Investigation and Lubbock Police Department investigated the case. Assistant U.S. Attorney Jeffrey Haag prosecuted.
# # #
Leader of Violent Gang Sentenced to 50 Years in Prison for Racketeering and Other CrimesRead the Press Release
Harvey Christian was sentenced today to 50 years in prison by United States District Judge Eric N. Vitaliano at the federal courthouse in Brooklyn. Christian was convicted at trial in October 2014 on charges of racketeering -- including two murder conspiracies, firearms possession and trafficking in crack cocaine. The charges arose out of Christian’s long-time dominance of a drug crew that operated in the Park Hill housing complex in the Clifton neighborhood of Staten Island.
The sentence was announced by Bridget M. Rohde, Acting United States Attorney for the Eastern District of New York, and William F. Sweeney, Jr., Assistant Director-in-Charge, Federal Bureau of Investigation, New York Field Office (FBI).
As proven at trial, Harvey Christian, also known as “Black,” and his brother Anthony Christian, also known as “Nitty,” led a violent narcotics distribution ring in Park Hill from 1991 to 2011. In the mid-1990s, the Christian brothers and their associates – including co-defendant Jason Quinn – sought to take control of more drug territory within Park Hill. To achieve this, they engaged in massive gun battles for months. Beginning in approximately 1994, the enterprise sought to expand its drug distribution operations into a neighboring apartment building, 260 Park Hill, which was controlled by a rival drug crew. This protracted conflict was known by its participants as the “260 Wars.” During one of the battles, in May 1995, law enforcement recovered 77 shell casings inside a residential building, outside on the street, and on a rooftop. One of the Christian brothers’ associates was murdered in that battle. All three trial defendants – Harvey Christian, Anthony Christian and Quinn – were convicted on all counts at trial. Judge Vitaliano previously sentenced Anthony Christian to life in prison and Quinn to 40 years in prison.
Leading up to the arrests of the Christian brothers and Quinn in 2011, multiple search warrants and arrests related to members of the enterprise and their associates were executed in and around Park Hill and elsewhere in New York. These searches and arrests resulted in the seizure of firearms and ammunition, including a Mac-11 pistol, as well as large quantities of crack and powder cocaine. During a search of the Christian brothers’ apartment in the Park Hill housing complex in February 2010, the New York City Police Department (NYPD) recovered multiple bullet-proof vests, crack cocaine and marijuana. When Quinn was arrested in 2011, a search of his home recovered crack cocaine and a firearm.
Ms. Rohde extended her grateful appreciation to the FBI, the NYPD, and the Richmond County District Attorney’s Office.
The government’s case is being prosecuted by Assistant United States Attorneys Allon Lifshitz and Richard M. Tucker.
The Defendant:
HARVEY CHRISTIAN
Age: 44
Staten Island, New York
E.D.N.Y. Docket No. 11 CR 425 (ENV)
Law Enforcement, Schools, Substance Abuse Coalition Come Together to Talk Opioid SolutionsRead the Press Release
WINCHESTER, VIRGINIA – Leaders from the Northern Shenandoah Valley Substance Abuse Coalition, area schools, the Drug Enforcement Administration, the United States Attorney’s Office, and other law enforcement agencies, got together this week at James Wood Middle School to discuss the role of prevention education in combatting opioid abuse. The “Building a Barrier: Community Partnerships in Preventing Opioid Abuse” program hopes to expand the region’s collaboration in reaching children at risk for drug abuse.
Wednesday night’s meeting included a viewing of the film Chasing the Dragon, a documentary that looks at the life of an opiate addict. Following the film was a brief presentation by the Drug Enforcement Administration about “Operation Prevention,” a collection of classroom resources and parent toolkits designed to educate students about the dangers of drug abuse. Finally, the program ended with a panel discussion on the intersections of drug abuse and risk factors in our communities, and what each of us can do to prevent children from becoming addicted to opiates as they confront the challenges of young adulthood.
The panel discussion featured Lauren Cummings of the Northern Shenandoah Valley Substance Abuse Coalition, Judge Beth Kellas from Winchester/Frederick Juvenile and Domestic Relations Court, Leslie Stewart of CLEAN, Tim May of Northwestern Community Services Board and Judy McKiernan of Winchester City Schools.
“Addiction to opioids knows no boundaries – it attacks all genders, races, socioeconomic groups, neighborhoods, and communities,” Acting United States Attorney Rick A. Mountcastle said today. “Meetings like this have nothing to do with identifying an opioid problem in a particular community-the fact of the matter is that opioids and opioid abuse are everywhere, it’s a nationwide problem. The purpose of these types of meetings is to determine the best way to give our children the true facts about opioid addiction so that they can make life-saving decisions when they inevitably encounter opioids at school, work, and play as adults. We want to make sure everyone has accurate information so school leaders, parents and students can make informed decisions using facts, not misinformation picked up on the street.”
“Our communities have been significantly impacted by addiction and along with developing programs to help those in the throes of addiction, we must focus on prevention. Education and outreach are key in helping people understand the possible risks of substance use. Teachers, parents, health care providers, and community members have crucial roles in educating young people to prevent drug use and addiction,” said NSVSAC Executive Director Lauren Cummings.
“Sadly, the Northern Shenandoah Valley joins a growing numbers of regions across the nation suffering from the current Heroin and Opioid pandemic. We cannot overemphasize the importance of combining state, local and federal resources to mitigate damaged lives, neighborhoods and communities such as the Northern Shenandoah Valley region.” Said DEA Special Agent in Charge, Karl C. Colder. “In response, the DEA and its partners have established an Initiative called the 360 Strategy. One of the main components of this campaign focuses on the importance of education for children, educators and indeed, all first responders. The heroin and opioid crisis has taught us all...it kills everywhere and executes with deadly instantaneous force.”
Lake Charles man pleads guilty to transporting explosivesRead the Press Release
SHREVEPORT, La. – Acting U.S. Attorney Alexander C. Van Hook announced today that a Lake Charles man pleaded guilty to transporting explosives.
Cory Duane Smith, 47, of Lake Charles, La., but who previously lived in Bossier City, La., pleaded guilty before U.S. District Judge Donald E. Walter to one count of transportation of explosives. According to the guilty plea, Smith transported two spools of detonating cord, one box of boosters and two boxes of detonators from Shreveport to Bossier City between mid-April 2014 and May 31, 2014. Smith’s former roommate discovered the explosives in his garage at his Bossier City home more than a year after the explosives had been transported there. The roommate notified law enforcement agents of the presence of the explosives in his garage. Law enforcement subsequently interviewed Smith, who admitted to transporting the explosives from a residence in Shreveport to the roommate’s residence in Bossier City.
Smith faces up to 10 years in prison, one to three years of supervised release and a $250,000 fine. A sentencing date of July 14, 2017 was set.
The ATF and the Bossier City Police Department conducted the investigation. Assistant U.S. Attorney Jonathan S. Drucker is prosecuting the case.
Jasper County Man Sentenced for Drug Trafficking ViolationsRead the Press Release
BEAUMONT, Texas - A 35-year-old Kirbyville, Texas man has been sentenced to federal prison for drug trafficking violations in the Eastern District of Texas, announced Acting U.S. Attorney Brit Featherston today.
McGee Lamar Falcon pleaded guilty on Oct. 16, 2016, to conspiracy to distribute and possess methamphetamine and was sentenced to 204 months in federal prison today by U.S. District Judge Marcia A. Crone.
According to information presented in court, beginning in 2009, Falcon and his co-conspirators operated a drug trafficking organization which acquired large multi-kilogram quantities of methamphetamine and crack cocaine from suppliers in Mexico for distribution to customers in the United States, including the Eastern District of Texas and Western District of Louisiana. Falcon and nine others were indicted by a federal grand jury on Sep. 2, 2015.
- enforcement agencies became aware of the organization’s activities in September 2013. From that time forward, the investigation led to controlled purchases from members of the organization and the seizure of money, drugs, and firearms. Falcon and his distributors typically arranged customer meetings in rural locations around Kirbyville and Bon Weir, Texas.
This case is the result of an extensive joint investigation by the Organized Crime Drug Enforcement Task Force (OCDETF). The principal mission of the OCDETF program is to identify, disrupt and dismantle the most serious drug trafficking, weapons trafficking and money laundering organizations, and those primarily responsible for the nation’s illegal drug supply.
This case was investigated by the Drug Enforcement Administration, Homeland Security Investigations, Bureau of Alcohol, Tobacco, Firearms, and Explosives, U.S. Marshals Service, Beaumont Police Department, Jefferson County Sheriff’s Office, Jasper County Sheriff’s Office, Jasper Police Department, and Newton County Sheriff’s Office and prosecuted by Assistant U.S. Attorneys John B. Ross, Michelle Englade and John Craft.
Indiana Man Sentenced to Two Years for Bringing Guns into Illinois and Illegally Selling Them on the Streets of ChicagoRead the Press Release
CHICAGO — An Indiana man has been sentenced to two years in federal prison for unlawfully dealing firearms on the West Side of Chicago.
In the fall of 2013 WILLIE LEE BILES JR. made multiple trips on a Megabus to Chicago from his home in Indianapolis, each time bringing handguns with him. Biles had legally purchased at least 29 firearms from licensed dealers in Indiana. Once in Chicago, Biles sold the firearms to individuals on the West Side for more than two times the price that Biles had paid for them.
Biles never asked any of the individuals for identification, and he failed to verify whether they could legally possess firearms. At least one of the individuals to whom Biles sold four firearms was a convicted felon who could not legally possess a firearm. Twelve of the firearms Biles sold were later recovered by law enforcement.
A jury last year convicted Biles, 44, of willfully dealing firearms without a license. U.S. District Judge Sara L. Ellis imposed the 24-month sentence Thursday in federal court in Chicago.
The sentence was announced by Joel R. Levin, Acting United States Attorney for the Northern District of Illinois; and Celinez Nunez, Special Agent in Charge of the Chicago Field Division of the U.S. Bureau of Alcohol, Tobacco, Firearms and Explosives.
“The defendant conducted no background checks on his ‘customers,’ required no waiting period, and kept no records,” Assistant U.S. Attorneys Christopher V. Parente and Elizabeth R. Pozolo argued in the government’s sentencing memorandum. “These firearms have been used in attempted murders, recovered from documented gang members, convicted felons, and hidden inside drug stash houses.”
The convicted felon to whom Biles sold guns was previously sentenced in the case. OTTO LEWELLEN, of Bellwood, pleaded guilty in 2015 to being a felon in possession of a firearm. Lewellen stated in a plea agreement that he met Biles on multiple occasions in Chicago and Bellwood in the fall of 2013. During these meetings, Lewellen observed Biles holding a bag of firearms and selling the weapons to various individuals, according to Lewellen’s plea agreement. Lewellen admitted that he purchased four firearms from Biles. Authorities recovered two of them, but Lewellen said he sold the other two to a man he knew as “Red.” Officials have not been able to locate Red or the two guns. Judge Ellis in 2015 sentenced Lewellen to 18 months in prison.
The investigation was conducted with the Chicago High Intensity Drug Trafficking Task Force (HIDTA). Substantial assistance was provided by the Illinois State Police, Chicago Police Department, Bellwood Police Department and ATF Indianapolis Field Office.
Illinois Man Sentenced to Federal Prison for Being a Felon in Possession of a FirearmRead the Press Release
Randal L. Mamino, 49, of Collinsville, Illinois, was sentenced to 96 months in federal prison for possession of a firearm by a convicted felon, Donald S. Boyce, United States Attorney for the Southern District of Illinois, announced today. Mamino pled guilty to this offense on December 12, 2016.
Records filed in court established that in April 2016, Mamino removed a 12-gauge shotgun from his mother’s residence in Collinsville. This shotgun belonged to Mamino’s brother, who was storing it at their mother’s residence. After removing the shotgun, Mamino transported it to a pawnshop in Collinsville and sold it for approximately $90. When Mamino was later arrested, he admitted to knowingly taking the firearm from his mother’s residence and selling it to a pawn shop. Mamino further acknowledged that he was convicted of a felony offense prior to these actions and knew he was not permitted to possess a firearm.
The investigation was conducted by agents from the Bureau of Alcohol, Tobacco, Firearms, and Explosives. The case was prosecuted by Assistant United States Attorney Daniel T. Kapsak.
Heroin and Fentanyl Traffickers Sentenced to 66 Years in PrisonRead the Press Release
NORFOLK, Va. – Five members of a Portsmouth based heroin and fentanyl trafficking organization have been sentenced to approximately 66 years in prison.
The final member to face sentencing, Nathaniel Powell, 34, of Portsmouth, was sentenced today to 25 years in prison. Detuan Gordon, 26, Ernest Cross, 38, Valerie Wilson, 56, and Marque Wilson, 34, all of Portsmouth, were all previously sentenced for their respective roles in the conspiracy. See table below for details.
According to court documents, from March 2012 through July 2016, members of this organization conspired to manufacture and distribute heroin in excess of 1,000 grams. The group’s primary source of supply for heroin and fentanyl came from Baltimore. The narcotics were then transported to Hampton Roads and repackaged using a hydraulic press machine and gel capsules for retail sales. This organization further disseminated their drugs and served as a source of supply for other individuals in the Outer Banks of North Carolina.
According to court documents, on Dec. 22, 2015, police executed a search warrant on Gordon’s residence and recovered opiates, scales, drug paraphernalia, and firearms. During the conspiracy Gordon, a convicted felon, possessed an AK-47-style rifle as well as a Taurus handgun. When Gordon was arrested police recovered nearly $50,000 in cash, a firearm, heroin, and fentanyl. Valerie Wilson was arrested in Moyock, North Carolina, after selling five grams of heroin. Wilson also had a minor in her vehicle when she distributed the heroin.
Two members of the group led police on two separate vehicle pursuits. Marque Wilson, who was in possession of heroin and cocaine, was arrested on June 10, 2016, after attempting to elude police. On May 26, 2016, Powell led police on a high-speed chase past a school and through residential neighborhoods of Portsmouth before he crashed into another driver, who was subsequently hospitalized. Powell, who is a paraplegic, used a cane to drive during the pursuit. Police recovered seven grams of fentanyl, some marijuana, and approximately $3,600 cash from Powell. After Powell’s state arrest, he threatened to kill an individual he believed was working with police. He was then arrested on federal charges, and after pleading guilty on Oct. 20, 2016, made more threats to a co-conspirator through the use of notes that were sent between cell blocks at Western Tidewater Regional Jail.
Name
Date of Guilty Plea
Date of Sentencing
Sentence
Nathaniel Powell
Oct. 20, 2016
Today
300 months
Detuan Gordon
Sept. 20, 2016
Jan. 26, 2017
295 months
Ernest Cross
Sept. 23, 2016
Jan. 20, 2017
70 months
Valerie Wilson
Sept. 16, 2016
Jan. 20, 2017
60 months
Marque Wilson
Oct. 18, 2016
Jan. 27, 2017
72 months
Dana J. Boente, U.S. Attorney for the Eastern District of Virginia; Mark R. Herring, Attorney General of Virginia; Karl C. Colder, Special Agent in Charge for the Drug Enforcement Administration’s (DEA) Washington Field Division; Tonya D. Chapman, Chief of the Portsmouth Police Department; and Kelvin L. Wright, Chief of the Chesapeake Police Department made the announcement after sentencing by U.S. District Judge Arenda Wright Allen. Special Assistant U.S. Attorney John F. Butler, and Assistant U.S. Attorneys Joseph E. DePadilla and Andrew C. Bosse prosecuted the case.
A copy of this press release may be found on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information may be found on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 2:16-cr-97.
Guilty Plea in Scheme to Defraud the State of California of $2.5 MillionRead the Press Release
SACRAMENTO, Calif. — Kyn K. Naope, 41, of Sherman Oaks, pleaded guilty today to conspiracy to commit mail fraud for a scheme that submitted fraudulent unemployment benefit claim forms to the California Employment Development Department (EDD) via the U.S. mail, United States Attorney Phillip A. Talbert announced.
According to court documents, between March 2008 and February 2011, Naope and others involved in the scheme registered fictitious employers, such as “Peco Media,” “Sona Entertainment,” and “Money Alley,” with the EDD and then recruited other individuals to pose as laid-off employees of those companies. These fake employees would then file for and collect unemployment insurance benefits based on the wages reported to EDD by the fictitious employers.
This case is the product of an investigation by the U.S. Department of Labor, Office of Inspector General and the California Employment Development Department-Criminal Investigations. Assistant U.S. Attorneys Jared C. Dolan and Matthew M. Yelovich are prosecuting the case.
The total amount of unemployment benefit checks cashed as a result of this scheme was at least $2.5 million. Naope is the seventh individual to be convicted for participating in this fraud scheme, which was charged across three separate cases. Andre Walters of Long Beach was convicted following a jury trial in August 2016 and is scheduled to be sentenced on May 4, 2017. Kenneth Kim Parks of Pomona and Long Beach was sentenced to five years in prison. Donye Marcell Mitchell Sr., of Los Angeles, was sentenced to four years in prison. Gregory Bart Martin of Lakewood was sentenced to 18 months of probation. Michael Ray Taylor Sr., of Fontana, was sentenced to three years in prison, and Michael Ray Taylor Jr., of El Monte, is scheduled to be sentenced on May 11, 2017.
Naope is scheduled to be sentenced by U.S. District Judge Garland E. Burrell Jr. on June 16, 2017. Naope faces a maximum statutory penalty of five years in prison and a $250,000 fine. The actual sentence, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.
Four Norfolk Men Sentenced for AT&T Store RobberiesRead the Press Release
NORFOLK, Va. – Four Norfolk men have been sentenced to a combined 37 years in prison for their respective roles in several Tidewater AT&T Store robberies in early 2016.
The final defendant to face sentencing, Corey Holmes, 27, of Norfolk, was sentenced to 121 months in prison today. Kendrick Perry, 23, Brice Keeling, 24, and Breon Berry, 25, all of Norfolk, all have pleaded guilty and been sentenced. See the table below for additional details.
According to the statement of facts filed with the plea agreement, the men conspired with one another to rob the stores of cellphones, tablets and cash. The men entered the stores wearing masks and brandished what appeared to be firearms at the employees. They would subsequently demand money and access to the unsold electronic devices, including cellphones and tablets. They then would make the employees get down on the floor, zip tied their hands and feet, and took the employees personal phones and some form of identification, telling the employees that they now know where the employees live. In total, the men took approximately $370,000 worth of electronic devices and approximately $3,432 in cash during the robberies. Keeling and Holmes conducted two of the robberies, while Keeling and Perry conducted the remaining robbery. Berry was the get-away driver for all three robberies. Their robbery spree ended when a construction worker took down the license plate of their fleeing vehicle during their last robbery. The plates came back to Berry who confessed to the robberies and named his co-conspirators. Keeling and Perry were arrested in Columbia, South Carolina, attempting to sell the electronic devices from the last robbery to a third party.
Name
Date of Guilty Plea
Date of Sentencing
Sentence
Corey Holmes
Oct. 7, 2016
Today
121 months
Kendrick Perry
Sept. 27, 2016
January 11
121 months
Brice Keeling
Oct. 11, 2016
January 26
125 months
Breon Berry
Sept. 27, 2016
February 6
84 months
Dana J. Boente, U.S. Attorney for the Eastern District of Virginia; and Martin Culbreth, Special Agent in Charge of the FBI’s Norfolk Field Office, made the announcement after sentencing by U.S. District Judge Mark S. Davis. Assistant U.S. Attorney William D. Muhr prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information is located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 2:16-cr-94.
Former U.S. Army Sergeant Sentenced on Tax ChargesRead the Press Release
SYRACUSE, NEW YORK - Bobby Lemon, 36, of McRae, Georgia, was sentenced yesterday to serve a term of imprisonment of 12 months and one day in connection with his plea of guilty to aiding and assisting in the preparation of a false and fraudulent tax return and filing a false income tax return, announced United States Attorney Richard S. Hartunian and Kathy A. Enstrom, Acting Special Agent-in-Charge, the Internal Revenue Service, Criminal Investigation (IRS-CI), New York Field Office. Lemon was also ordered to pay $115,391 in restitution and will serve a one–year term of supervised release following his release from prison.
On March 25, 2016, Lemon, a 17-year veteran of the U.S. Army, pled guilty and admitted to preparing false tax returns for soldiers while deployed to Afghanistan and while stationed at Fort Drum, New York. The defendant used false information, such as filing status and dependents, to generate fraudulent refunds, a portion of which was deposited in his personal bank account. Lemon prepared 30 false income tax returns for the 2011 and 2012 tax years and did not disclose the fraudulent refund payments he received on his own income tax return.
This case was investigated by the Internal Revenue Service, Criminal Investigation (IRS-CI), New York Field Office and was prosecuted by Assistant U.S. Attorney Tamara Thomson.
Former Tampa Police Detective Pleads Guilty to Receipt of Stolen Government PropertyRead the Press Release
Tampa, FL – Acting United States Attorney W. Stephen Muldrow announces that Eric Houston (56, Riverview) today pleaded guilty to receipt of stolen government property. He faces a maximum penalty of 10 years in federal prison.
According to the
plea agreement , while working as a detective with the Tampa Police Department, Houston allowed a co-conspirator, Rita Girven, to pay off more than $5,000 in credit card debt that he and his wife, LaJoyce Houston, had accrued on their Home Depot credit card, knowing that the payoff funds had been obtained from fraudulent federal income tax refunds.In a related case, on March 16, 2015, Girven pleaded guilty to conspiracy to commit wire fraud and aggravated identity theft. On November 20, 2015, she was sentenced to 12 years in federal prison.
LaJoyce Houston’s case is pending trial for her alleged role in the conspiracy.
This case was investigated by the Internal Revenue Service Criminal Investigation and the Tampa Police Department. It is being prosecuted by Assistant United States Attorneys Mandy Riedel and Megan Kistler.
Former Monroe Prison Guard Sentenced for Smuggling Contraband into FacilityRead the Press Release
A former Washington State Correctional Officer from the Monroe Correctional Complex was sentenced today in U.S. District Court in Seattle to 18 months in prison for his scheme to smuggle contraband into the prison, announced U.S. Attorney Annette L. Hayes. MICHAEL W. BOWDEN, 31, of Everett, Washington pleaded guilty January 9, 2017, to extortion under color of official right. At the sentencing hearing today U.S. District Judge Richard A. Jones told BOWDEN, “you were in a position of trust and power and it was abused. You compromised the safety of everyone in the facility.”
“We rely on correctional officers to do their difficult jobs with the utmost in integrity,” said U. S. Attorney Annette L. Hayes. “When this defendant allowed contraband into the Twin Rivers Unit of the Monroe correctional facility, he breached the public’s trust in ways that harmed Twin Rivers staff and prisoners alike. The fact is that in 2016, the Twin Rivers Unit where this defendant worked saw a 600% increase in inmates testing positive for drugs. We simply can’t have prison staff be a part of that problem, and are committed to holding those who are to account.”
According to records in the case, the Department of Corrections Intelligence and Investigations Unit asked the FBI to become involved in the investigation of contraband smuggling in December 2015. Using confidential sources inside and outside the Monroe Correctional Complex, agents determined BOWDEN was accepting bribes of up to $1,000 to smuggle contraband into the prison. On three different occasions between July and September 2016, BOWDEN smuggled tobacco, a SIM card, and what he believed was methamphetamine into an inmate at the prison. In each of those three instances, the inmate turned the contraband over to investigators.
“The Washington Department of Corrections appreciates the efforts and expediency of the U.S. Attorney’s office in prosecuting former Officer Bowden,” said Assistant Secretary Stephen Sinclair of the Washington Department of Corrections. “Our correctional system prides itself on the safety and security of our officers, staff, and incarcerated population. We have no tolerance for misdeeds committed by the few, and appreciate the hard, dutiful work of the thousands of uniformed and non-uniformed staff in our facilities.”
In a letter to the court, the head of the Monroe Correctional Complex described how contraband puts people at risk. He noted that shortly before BOWDEN smuggled sham methamphetamine into the prison, an inmate had died of a meth overdose at the facility, when he tried to hide his stash of the drug. That incident was well known to BOWDEN even as he made arrangements to smuggle more meth into the facility. “Any contraband inside a prison is a serious issue, however, the specific presence of methamphetamine inside the prison endangers inmates and staff to additional risk as trades are made and debts are accrued, which often leads to increased violence,” Michael Obenland, Superintendent of the Monroe Correctional Complex wrote to the court.
The case was investigated by the FBI in partnership with the Washington State Department of Corrections Intelligence and Investigations Unit.
The case is being prosecuted by Assistant United States Attorney Justin Arnold.
Former Hotel Clerk Indicted for Fraud and Identity TheftRead the Press Release
BIRMINGHAM – A federal grand jury today indicted a former hotel desk clerk on fraud and identity theft charges for unauthorized use of a customer’s bankcard, announced Acting U.S. Attorney Robert O. Posey and U.S. Secret Service Special Agent in Charge Michael Williams.
A four-count indictment filed in U.S. District Court charges TIFFIANY LASHAWN HALL, 40, of Birmingham, with three counts of wire fraud and one count of aggravated identity theft. The indictment also includes notice that the government will seek a longer sentence, of up to 10 years, if Hall is convicted because the criminal acts occurred while she was on supervised release after serving time on a 2007 conviction in federal court.
Hall worked as a front desk clerk at a hotel on Pelham Parkway in Pelham in October 2013. While at work on Oct. 11, 2013, Hall obtained a Regions Bank card belonging to a hotel customer identified in the indictment as P.T. Without authorization, Hall used the card for purchases at Walmart, Piggly Wiggly and Beauty Masters, according to the indictment. She also used the card to withdraw funds from P.T.’s Regions account. The multiple transactions totaled more than $3,000.
The indictment charges Hall with three wire fraud counts for separate bankcard purchases made at Walmart on Montclair Road in Birmingham. The indictment charges Hall with aggravated identity theft for using the bankcard, a means of identification of P.T., in relation to the wire fraud.
The maximum penalty for wire fraud is 30 years in prison and a $1 million fine. The penalty for aggravated identity theft is a minimum of two years in prison, which must be served after completion of any other sentence imposed for an associated crime, and a maximum $250,000 fine.
U.S. Secret Service investigated the case, which Assistant U.S. Attorney Tamarra Matthews Johnson is prosecuting.
An indictment includes only charges. A defendant is presumed innocent unless and until proven guilty.
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Former Hotel Clerk Indicted for Fraud and Identity TheftRead the Press Release
BIRMINGHAM – A federal grand jury today indicted a former hotel desk clerk on fraud and identity theft charges for unauthorized use of a customer’s bankcard, announced Acting U.S. Attorney Robert O. Posey and U.S. Secret Service Special Agent in Charge Michael Williams.
A four-count indictment filed in U.S. District Court charges TIFFIANY LASHAWN HALL, 40, of Birmingham, with three counts of wire fraud and one count of aggravated identity theft. The indictment also includes notice that the government will seek a longer sentence, of up to 10 years, if Hall is convicted because the criminal acts occurred while she was on supervised release after serving time on a 2007 conviction in federal court.
Hall worked as a front desk clerk at a hotel on Pelham Parkway in Pelham in October 2013. While at work on Oct. 11, 2013, Hall obtained a Regions Bank card belonging to a hotel customer identified in the indictment as P.T. Without authorization, Hall used the card for purchases at Walmart, Piggly Wiggly and Beauty Masters, according to the indictment. She also used the card to withdraw funds from P.T.’s Regions account. The multiple transactions totaled more than $3,000.
The indictment charges Hall with three wire fraud counts for separate bankcard purchases made at Walmart on Montclair Road in Birmingham. The indictment charges Hall with aggravated identity theft for using the bankcard, a means of identification of P.T., in relation to the wire fraud.
The maximum penalty for wire fraud is 30 years in prison and a $1 million fine. The penalty for aggravated identity theft is a minimum of two years in prison, which must be served after completion of any other sentence imposed for an associated crime, and a maximum $250,000 fine.
U.S. Secret Service investigated the case, which Assistant U.S. Attorney Tamarra Matthews Johnson is prosecuting.
An indictment includes only charges. A defendant is presumed innocent unless and until proven guilty.
Former Detroit Public Schools Director of Grant Development Sentenced on Fraud ChargesRead the Press Release
The former Detroit Public Schools Director of Grant Development was sentenced today to 18 months in prison and an additional 4 months in a community corrections center upon her release, as a condition of supervised release, after having pleaded guilty to federal program fraud, announced Acting U.S. Attorney Daniel Lemisch.
Joining Lemisch in the announcement were David P. Gelios, Special Agent in Charge of the Detroit Field Office of the Federal Bureau of Investigation and Bernadette Kakooza, Inspector General of the Detroit Public Schools.
Carolyn StarkeyDarden, 72, of Detroit, was sentenced by United States District Judge Stephen J. Murphy, III.
According to court records between 2005 and 2012, Carolyn StarkeyDarden, as president and/or agent of companies she established to provide supplemental educational services to eligible students in Michigan, obtained at least $1,275,000 from DPS through a scheme in which she submitted fraudulent invoices for payment to DPS for tutorial services that were never rendered to DPS students.
This case was investigated by agents of the FBI and the Office of Inspector General for Detroit Public Schools. This case was prosecuted by Assistant United States Attorney Dawn N. Ison.
The FBI Detroit Area Corruption Task Force (DACTF) is led by the FBI Detroit Field Office, and consists of Special Agents and law enforcement officers with the FBI Detroit; the Detroit Police Department; the Michigan State Police; the Michigan Attorney General’s Office; the Internal Revenue Service – Criminal Investigation Division; the U.S. Department of Housing and Urban Development–Office of Inspector General; the U.S. Environmental Protection Agency–Office of Inspector General; the U.S. Department of Transportation–Office of Inspector General; the U.S. Department of Homeland Security–Office of Inspector General; the U.S. Department of Education–Office of Inspector General; and the U.S. Department of Labor–Office of Inspector General, Office of Labor Racketeering and Fraud Investigations.
Florida Asset Manager Pleads Guilty to Investment Fraud ConspiracyRead the Press Release
Tampa, Florida – Acting United States Attorney W. Stephen Muldrow announces that Steven Zoernack (55, Sarasota) today pleaded guilty to conspiring to commit wire fraud. He faces a maximum penalty of five years in federal prison, a $250,000 fine, and mandatory restitution to his victims in the amount of $2,890,518.54.
According to the
plea agreement , Zoernack owned and operated an investment advisory firm, EquityStar Capital Management LLC (“EquityStar”), through which he formed and managed multiple hedge funds, including the Petroleum Black Energy Fund, the Global Partners Fund, and the Momentum Growth Fund. Beginning in August 2012, Zoernack and his co-conspirators marketed these funds to accredited investors across the United States and Canada from offices in Sarasota and Newport Beach, California. They raised more than $6 million through their solicitations.In marketing the funds, Zoernack failed to disclose numerous material facts about his background and the funds he was managing. Specifically, he failed to disclose that he had been convicted on federal wire fraud charges in 2007; had previously filed for bankruptcy; had a history of tax liens and adverse money judgments; and still owed hundreds of thousands of dollars in restitution to past fraud victims. In fact, Zoernack actively sought to conceal his past by misappropriating fund assets to pay an online reputation manager to manipulate Internet search engine results about him to prevent potential investors from learning of his past. He also routinely lied about his educational background, his expertise as an investment manager, and his experience in the financial industry. Similarly, Zoernack lied about the educational backgrounds and professional experience of his employees, as well as the size of the firm’s staff. He repeatedly impersonated former EquityStar employees and corresponded with investors online using fictitious names and phony email accounts. In addition, he lied to potential investors about his portfolio’s ratings, profits, market returns, and losses.
After obtaining investor contributions, Zoernack begin misappropriating fund assets for his personal use. Specifically, he made monthly withdrawals of unauthorized “salaries” and “bonuses” in amounts ranging from $12,000 to $25,000 and used these and other fund assets to pay for personal and non-business related expenses, none of which were disclosed to investors. In total, through a combination of trading losses and the misappropriation of fund assets, Zoernack lost millions of dollars of investors’ money.
This case was investigated by the Federal Bureau of Investigation, alongside a parallel civil enforcement action brought by the Securities and Exchange Commission. It is being prosecuted by Assistant United States Attorney Eric K. Gerard.
Five Indicted for Possessing Cell Phones in Federal PrisonRead the Press Release
WILMINGTON – John Stuart Bruce, United States Attorney for the Eastern District of North Carolina, announces that a federal grand jury in Wilmington has returned indictments in five unrelated cases charging JAMES BOSTIC, age 45, MAURICE KNIGHT, age 38, MICHAEL MARSHALL, age 40, KAVIN DATRON WILLIAMS, age 35, and JURHON LEE ROBINSON, age 44, with possession of a prohibited cell phone in federal prison. All are currently serving federal sentences for previous convictions at Butner Correctional Institute in Butner, North Carolina.
If convicted each would face not more than one year imprisonment, not more than $100,000 fine and not more than one year supervised release following any term of imprisonment.
U.S. Attorney Bruce commented, “The possession of cell phones by prisoners is a threat to public safety, endangering correctional officers as well as the general public. Any such cases will be prosecuted vigorously.”
The charges and allegations contained in the indictments are merely accusations. The defendants are presumed innocent unless and until proven guilty in a court of law.
The cases are being investigated by the Bureau of Prisons and prosecuted by the U.S. Attorney’s Office for the Eastern District of North Carolina.
Federal Jury Finds Santa Fe Engineer Guilty of Obstructing IRS and Filing False Tax ReturnsRead the Press Release
ALBUQUERQUE – Acting U.S. Attorney James D. Tierney and Ismael Nevarez Jr., Special Agent in Charge of the Phoenix Field Office of IRS Criminal Investigation announced that a federal jury sitting in Albuquerque, N.M., returned a verdict yesterday afternoon finding Darryl J. Gutierrez of Santa Fe, N.M., guilty of violating the federal tax laws. Gutierrez, 61, was found guilty of obstructing and impeding the administration of the internal revenue laws and filing false tax returns.
Gutierrez was indicted on Nov. 5, 2015, and charged with one count of obstructing and impeding the due administration of the internal revenue laws and ten counts of making and subscribing false tax returns.
The trial of Gutierrez on the eleven-count indictment began on March 27, 2017, and concluded yesterday afternoon when the jury returned a guilty verdict on all eleven counts of the indictment. During the trial, the jury learned that Gutierrez was an electrical engineer who worked at Los Alamos National Laboratory for almost 30 years, earning an annual salary ranging from $80,000.00 to $115,000.00 in tax years 2000 to 2009. The evidence at trial also established that Gutierrez, after years of regularly filing timely income tax returns with the IRS, stopped complying with the federal tax laws and began engaging in a pattern of obstructive conduct to prevent the IRS from assessing and collecting his taxes.
The evidence at trial showed that Gutierrez’s obstructive tactics included sending frivolous correspondence to the IRS, and, submitting, under penalty of perjury, false tax information to his employer and to the IRS. For instance, the evidence showed that Gutierrez submitted, under penalty of perjury, false withholdings information (Forms W-4) to his employer and false statements of his wages on his personal income tax returns (Forms 1040) filed with the IRS. The evidence further showed that between Nov. 2010 and Jan. 2011, Gutierrez filed ten false federal income tax returns for tax years 2000 to 2009 seeking a refund when in fact Gutierrez owed the IRS approximately $125,000.
“Our tax system depends on each one of us truthfully reporting our income to the IRS. Anybody can make an honest mistake, but deliberate lies on an income tax return are a crime. As we go into tax filing season, honest taxpayers should take some comfort in knowing that everybody has to follow the same rules, and that those who don’t are facing criminal prosecution and imprisonment,” said Acting U.S. Attorney James D. Tierney. “Taxpayers should also know that the IRS makes every effort to work with taxpayers who are trying in good faith to meet their tax obligations.”
“This verdict should send a clear message that citizens have a duty to comply with the tax laws in our country,” said IRS-Criminal Investigation Special Agent in Charge Ismael Nevarez, Jr. “I also hope it deters others who might consider relying on frivolous anti-tax arguments.”
Gutierrez faces a statutory maximum penalty of three years of imprisonment on each of the eleven charges on which he was convicted. Gutierrez was ordered to post a $200,000 bond pending sentencing. A sentencing date has yet to be scheduled.
This case was investigated by the Albuquerque office of IRS Criminal Investigation, and is being prosecuted by Assistant U.S. Attorneys Margaret Vierbuchen and Holland S. Kastrin.
Federal Inmate Sentenced for Possession of ShankRead the Press Release
BEAUMONT, Texas - A 25-year-old federal inmate has been sentenced for federal violations in the Eastern District of Texas, announced Acting U.S. Attorney Brit Featherston today.
Armando Rodriguez, Jr., pleaded guilty on Mar. 6, 2017, to possession of a prohibited object and was sentenced to 12 months in federal prison today by U.S. District Judge Marcia A. Crone.
According to information presented in court, on Sep. 11, 2016, Rodriguez, a federal inmate housed in the Federal Correctional Complex in Beaumont, was found to be in possession of a homemade knife. The knife, commonly referred to as a shank, was discovered by a corrections officer during a routine pat-down. The shank was a piece of metal that had been sharpened to a point and was designed to be used as a weapon. Such objects are prohibited in the Bureau of Prisons. Rodriguez had previously been convicted of a federal drug violation and was scheduled to complete his sentence on April 3, 2017.
This case was investigated by the Bureau of Prisons and prosecuted by Assistant U.S. Attorney John B. Ross.
Federal Grand Jury Indicts Two Credit Card Cases Investigated by Jefferson County Regional Financial Fraud Task ForceRead the Press Release
BIRMINGHAM – A federal grand jury on Wednesday returned two separate indictments charging individuals from outside of Alabama with traveling to the state to commit access device fraud, announced Acting U.S. Attorney Robert O. Posey, and U.S. Secret Service Special Agent in Charge Michael Williams.
“The two unrelated cases indicted this week are prime examples of financial crime frequently committed through the creation and use of fraudulent debit, credit and gift cards,” Posey said. “We are fortunate in the Birmingham Metro Area to have the Jefferson County Regional Financial Crimes Task Force, which brings local law enforcement in the county together with the U.S. Secret Service to quickly respond to and investigate these type of crimes.”
“Technology has forever changed the way we do business, making every day financial transactions a prime target for fraud,” Williams said. “The Secret Service, in conjunction with the Jefferson County Regional Financial Crimes Task Force, continues to successfully combat financial crimes in the metro area by adapting our investigative methodologies, and educating the general public.”
A two-count indictment filed in U.S. District Court charges ALEXANDER ACOSTA, 27, and YESTER LUIS RODRIGUEZ DUQUE, 34, both of Florida, with conspiracy to use, possess and traffic in counterfeit and unauthorized access devices, and with possessing 15 or more of the fraudulent cards.
The indictment charges that Acosta and Duque traveled to Alabama in March in order to use counterfeit cards to obtain money, goods and services, and that Acosta used at least one of these cards at a Walmart in Vestavia Hills on March 15. The indictment likewise charges that the defendants were in possession of 15 or more counterfeit or unauthorized access devices on March 15.
The grand jury returned a separate two-count indictment charging CHARLES ANTONIO RICE, 27, and HERMES CHIMAERA-EL, 35, both of North Carolina, with conspiracy to commit access device fraud in March. The indictment also charges RICE with possessing device-making equipment on March 21.
According to the indictment, Rice and Chimaera-El obtained counterfeit access devices encoded with their own names, but with account numbers belonging to residents in the Northern District of Alabama. The duo came to north Alabama in order to use the fraudulent cards to obtain money, goods and services. Rice possessed an MSRX6 Bluetooth card encoder, the indictment charges.
The maximum penalty for conspiracy to use, possess or traffic in unauthorized or counterfeit access devices is five years in prison and a $250,000 fine. The maximum penalty for possessing 15 or more unauthorized or counterfeit access devices is 10 years in prison and a $250,000 fine, and the maximum penalty for possessing device-making equipment is 15 years in prison and a $250,000 fine.
The U.S. Secret Service investigated both cases in conjunction with its financial service investigator and state and local law enforcement partners on the Jefferson County Regional Financial Fraud Task Force. Assistant U.S. Attorneys Robin Beardsley Mark and Erica Williamson Barnes are prosecuting the cases.
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Eight Defendants Plead Guilty to Drug Trafficking Charges, Agree to over $360,000 in ForfeituresRead the Press Release
Eight defendants have pled guilty to drug trafficking charges in federal court in Cedar Rapids.
Kyle Chyma, age 28, Edgar Hernandez, age 30, Kelbie Struve, age 24, Kailyn Struve, age 25, and Marlene Hernandez, age 24, all of Toledo, Iowa, Scott Steuhm, age 24, and Tyler Walz, age 22, both of Tama, Iowa, and Alejandra Castillo-Hernandez, age 45, of Marshalltown, Iowa, pled guilty to taking part in a drug trafficking conspiracy.
In September 2016, all eight defendants were charged in an indictment with conspiracy to distribute controlled substances. At plea hearings this month, Chyma, Edgar Hernandez, Steuhm, Kelbie Struve, Kailyn Struve, Marlene Hernandez, and Alejandra Castillo-Hernandez admitted to trafficking in methamphetamine. Chyma, Kailyn Struve, and Walz admitted to trafficking in cocaine. Chyma also admitted to engaging in a money laundering conspiracy.
The indictment also contained a forfeiture allegation. As part of their guilty pleas, the eight defendants agreed to forfeit up to $360,027.19 in drug proceeds.
Chyma, Edgar Hernandez, and Steuhm face a mandatory minimum sentence of 10 years’ imprisonment and a maximum term of life imprisonment. Kelbie Struve, Kailyn Struve, Marlene Hernandez, and Alejandra Castillo-Hernandez face a mandatory minimum sentence of 5 years’ imprisonment and a maximum term of 40 years’ imprisonment. Walz faces a maximum term of 20 years’ imprisonment.
Sentencing hearings before Chief United States District Court Judge Leonard T. Strand will be set after presentence reports are prepared. All eight defendants are being held in the custody of the United States Marshal pending sentencing.
The case is being prosecuted by Assistant United States Attorney Ravi T. Narayan and investigated by the Drug Enforcement Administration, with support from the Marshalltown Police Department, Marshall County Sheriff’s Office, Tama County Sheriff’s Office, Cedar Rapids Police Department, Marion Police Department, Linn County Sheriff’s Office, Iowa City Police Department, Johnson County Drug Task Force, and the Iowa Division of Narcotics Enforcement.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 16-CR-76.
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Drug Trafficker Sentenced to 87 Months ImprisonmentRead the Press Release
SHAWN N. ANDERSON, Acting United States Attorney for the Districts of Guam and the Northern Mariana Islands (NMI), announced that ALVIN SANTOS PADUA, age 38, was sentenced in U.S. District Court today by Senior Judge Alex R. Munson, to 87 months imprisonment for attempted possession of 245 grams of methamphetamine with intent to distribute, three years supervised release, and ordered to pay a $100 special assessment fee.
On September 16, 2013, PADUA met one of his associates at the parking lot of Hotel Mai’ana in Tamuning for the specific purpose of picking up a package containing approximately 250 grams of methamphetamine. PADUA picked up a DVD player box which he expected would contain methamphetamine. The defendant had previously agreed with his associates in the Philippines to sell the drugs, and cause to send $100,000 drug proceeds to the Philippines. He was unaware that the box concealed a sham product that law enforcement agents placed inside the box. The defendant was arrested shortly after he received the package.
Defendant PADUA pled guilty on December 5, 2013.
The case was investigated by special agents from the U.S. Department of Homeland Security, Homeland Security Investigations and was prosecuted by Assistant U.S. Attorney Marivic David.
District Man Sentenced to Five Years in Prison for Broad Daylight Attack of Woman in Southeast WashingtonRead the Press Release
WASHINGTON – Christopher Galloway, 49, of Washington, D.C., has been sentenced to five years in prison for attacking a woman last year in Southeast Washington, U.S. Attorney Channing D. Phillips announced. The assault was stopped by officers with the Metropolitan Police Department (MPD), who were driving by the scene and heard the victim’s screams.
Galloway was found guilty by a jury in December 2016 of a charge of assault with intent to commit robbery while armed. The verdict followed a trial in the Superior Court of the District of Columbia. He was sentenced on March 30, 2017, by the Honorable Neal E. Kravitz. Upon completion of his prison term, he will be placed on five years of supervised release.
According to the government’s evidence, on March 23, 2016, at approximately 9:40 a.m., two MPD Officers were driving along the 1900 block of Martin Luther King Jr. Avenue SE, on truancy duty, with the windows of their van cracked. They heard a woman’s cries for help and spotted, in the space between two nearby buildings, a man standing over a woman who was on the ground, on her back.
The officers stopped the van and ran to the woman’s assistance, interrupting Galloway as he stood with a knife in his hand over the victim. The knife was recovered on the scene.
In announcing the sentence, U.S. Attorney Phillips commended the work of the Metropolitan Police Department. He also acknowledged the efforts of those who worked on the case from the U.S. Attorney’s Office, including Assistant U.S. Attorney Laura R. Bach; Victim/Witness Advocate James Brennan; Paralegal Specialist Richard Cheatham, and the staff of the U.S. Attorney’s Office Litigation Technology Department. Finally, he expressed appreciation for the work of Assistant U.S. Attorneys William E. Schurmann and John B. Timmer, who investigated and prosecuted the case.
District Man Pleads Guilty to Sexual Assault in Court CellblockRead the Press Release
WASHINGTON – Jerome M. Holliway, 37, of Washington, D.C., pled guilty today to a charge of first-degree sexual abuse for attacking another defendant last fall while they were in a courthouse cellblock, U.S. Attorney Channing D. Phillips announced.
Hollliway pled guilty in the Superior Court of the District of Columbia. The plea, which is contingent upon the Court’s approval, calls for an agreed-upon sentence of 17 ½ years in prison. The Honorable José M. Lopez set a hearing for June 9, 2017 to determine whether to accept the plea and sentence. Holliway remains in custody pending his sentencing.
According to the government’s evidence, on Nov. 11, 2016, Holliway and the victim were held in the same cellblock at the Superior Court of the District of Columbia. Both had finished their court hearings and were awaiting transport back to the District of Columbia Jail. At approximately 11:35 a.m., Holliway began attacking the victim -- beating, biting, kicking, and sexually assaulting him, mostly in the toilet area behind a metal divider.
After the attack, Holliway pulled the naked victim up by his chains and stated, “Don’t tell anyone that I did this, tell them a ghost did it or the devil did it or something.”
In a separate matter, Holliway pled guilty today to a charge of attempted threats stemming from another incident that took place last fall. The plea agreement calls for the sentence imposed in this case to run concurrently with the 17 ½ years for the sexual assault. In this matter, Holliway admitted calling his estranged wife’s telephone and leaving a voicemail on Oct. 5, 2016, in which he threatened to beat her and kill anyone she loved.
In announcing the pleas, U.S. Attorney Phillips commended the work of those who investigated the cases from the U.S. Marshals Service and the Metropolitan Police Department. He also expressed appreciation for the efforts of those who worked on the case from the U.S. Attorney’s Office, including Paralegal Specialist D'Yvonne Key and Victim/Witness Advocate Shawn Slade. Finally, he commended the work of Assistant U.S. Attorney Elana Suttenberg, who investigated and prosecuted the sexual assault, and Assistant U.S. Attorney Jeffrey Poulin, who investigated and prosecuted the threats matter.
Dallas County School Teacher Charged with Federal Child Pornography Offense Sentenced to 121 Months in Federal PrisonRead the Press Release
FORT WORTH, Texas — Mark Stutheit, 59, was sentenced today by U.S. District Judge John McBryde to 121 months in federal prison, following his guilty plea in October 2016 to one count of receipt of a visual depiction of a minor engaged in sexually explicit conduct, announced U.S. Attorney John Parker of the Northern District of Texas.
Stutheit who was a teacher at Reinhardt Elementary School in Dallas at the time of the offense has been in custody since his arrest in June 2016.
According to documents filed in the case, in June 2016, an undercover officer with the Queensland Police Service (Brisbane, Queensland, Australia) and Stutheit exchanged emails about the sexual exploitation of children.
On June 23, 2016, special agents with U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) executed a search warrant at Stutheit’s residence in Saginaw, Texas. A forensic evaluation of evidence seized revealed numerous files containing child pornography on Stutheit’s computer and mobile devices.
The case was brought as part of Project Safe Childhood, a nationwide initiative, which was launched in May 2006 by the Department of Justice, to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorney’s Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals, who sexually exploit children, and identify and rescue victims. For more information about Project Safe Childhood, please visit http://www.justice.gov/psc/. For more information about internet safety education, please visit http://www.justice.gov/psc/ and click on the tab “resources.”
ICE HSI investigated. Assistant U.S. Attorney A. Saleem prosecuted.
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Conspirator Admits Scheme to Defraud Movie Finance CompanyRead the Press Release
Baltimore, Maryland – David Odom, age 53, of Chicago, Illinois pleaded guilty today to a wire fraud conspiracy arising from a scheme to defraud lenders from February to August 2011 in order to obtain financing for a movie. Co-conspirator Darryl Wesley Clements, age 50, of Detroit, Michigan, previously pleaded guilty to wire fraud conspiracy. Rodney Patrick Dunn, age 40, of Elkridge, Maryland, pleaded guilty to receipt of a bribe by a bank official.
The guilty pleas were announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Gordon B. Johnson of the Federal Bureau of Investigation, Baltimore Field Office; and Christy Goldsmith Romero, Special Inspector General for the Troubled Asset Relief Program (SIGTARP); and Eric M. Thorson, Inspector General for the Department of the Treasury.
According to the plea agreements for the defendants, Rodney Dunn was a vice president and a bank loan officer. In 2009, Dunn met Clements. Dunn believed that Clements was a broker for cash lenders and attempted to raise loan funds through Clements and other loan brokers for an athletic complex in the Newport News area of Virginia. Dunn subsequently agreed that if he received a telephone message where he did not recognize the caller’s name, he would text or telephone Clements with the caller’s information and permit Clements to return the telephone call posing as “Rodney Dunn, bank officer.” Dunn believed he would obtain from Clements valuable contacts with professional athletes that would catapult his career change into sports agency. Clements also promised to pay Dunn for his assistance.
David Odom owned CityScope Productions, LLC, and was seeking financing to produce the movie “Season Tickets.” Odom met Clements through an attorney in New York. Clements created documents falsely stating that CityScope had permanent financing of $13 million for the movie from Bridge Capital and The Shah Group, and that the funds were held in escrow at a bank in Baltimore, where Dunn was employed. In fact, there was no such financing, and there were no escrow funds held at the bank. The false documents further stated that CityScope needed a $2.5 million bridge loan to complete the financing for the movie.
In order to carry out the fraud scheme, Clements created email accounts which appeared to belong to Dunn and The Shah Group, but which Clements actually controlled. February 2011, Dunn purchased five cashiers’ checks from his employer bank, each for $20 and made payable to Clements. Clements then altered the checks so that they totaled $4 million, the payees were individuals and entities affiliated with the movie, and “The Shah Group,” was the remitter. Clements provided the altered checks to Odom/CityScope. Odom knew that the checks were fraudulent since no one had been paid. Clements also fraudulently placed Dunn’s forged signature on escrow agreements and proof of funds statements, which Clements emailed to Odom, so that he could furnish those fraudulent documents to prospective lenders.
Dunn communicated by telephone with Clements when a prospective lender called Dunn at the bank to verify the funds in the escrow accounts, so that Clements could return the telephone call, pose as Dunn, and verify the existence of the escrow accounts and their balances. Odom sought financing from multiple lenders including an unsuccessful attempt thwarted by the prospective lender’s local counsel in Baltimore. Among other things, Clements created a fictitious bank statement for a purported escrow account which Odom admitted he sent to a prospective lender.
In a telephone call on May 9, 2011, Clements posed as Dunn and fraudulently verified the account numbers and balances of the phony escrow accounts to an official of a California company which specialized in providing bridge financing for movies (California finance company). On the same day, the California finance company loaned $2.5 million to CityScope and transmitted the funds by wire, specifying that the funds were to be used solely for movie expenses.
In early 2011, Odom’s house was sold in a foreclosure proceeding to the mortgage lender and Odom was faced with moving or eviction. Odom admitted that he used the bridge loan funds to spend $821,000 to purchase his home back from the lender, approximately $60,000 to buy two cars, approximately $6,000 to take his family on "Exotic Western Caribbean Cruise" by Carnival Cruise, approximately $90,000 in transfers to family members, and another approximately $75,000 in personal expenses. Odom also paid some pre-production movie expenses.
Odom did not repay the loan. The California finance company prepared to have the bank repay the loan from the purported escrow account, leaving messages for Dunn at the bank, which he then passed on to Clements. Clements, posing as Dunn, falsely told the company that the loan repayment had been sent to CityScope. When the California finance company did not receive the funds from CityScope, it brought lawsuits to recover its loan. Because of the allegations contained in the civil law suits, Odom believed that criminal charges would be brought against Clements, and he told Clements his fears. Clements was engaged in another loan fraud and received proceeds of $4 million. In August 2011, Clements transferred $2 million to CityScope, which Odom used to settle the California finance company’s lawsuit.
Odom and Clements face a maximum sentence of 20 years in prison at their sentencings, which U.S. District Judge George L. Russell III has scheduled for July 27, 2017 at 11:30 a.m. and April 28, 2017 at 9:30 a.m., respectively. Rodney Dunn faces a maximum sentence of 30 years in prison at his sentencing, which Judge Russell has scheduled for June 9, 2017, at 9:30 a.m.
Today’s announcement is part of the efforts undertaken in connection with the Financial Fraud Enforcement Task Force. The task force was established to wage an aggressive, coordinated and proactive effort to investigate and prosecute financial crimes. With more than 20 federal agencies, 94 U.S. attorneys’ offices, and state and local partners, it’s the broadest coalition of law enforcement, investigatory and regulatory agencies ever assembled to combat fraud. Since its formation, the task force has made great strides in facilitating increased investigation and prosecution of financial crimes; enhancing coordination and cooperation among federal, state and local authorities; addressing discrimination in the lending and financial markets; and conducting outreach to the public, victims, financial institutions and other organizations. Since fiscal year 2009, the Justice Department has filed over 18,000 financial fraud cases against more than 25,000 defendants. For more information on the task force, please visit www.StopFraud.gov.
United States Attorney Rod J. Rosenstein commended the FBI, SIGTARP, and the Treasury Inspector General for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorneys Joyce K. McDonald and Rachel M. Yasser, who are prosecuting the case.
Colorado Man Sentenced to Ten Years for Transporting Child PornographyRead the Press Release
Contact: Craig M. Wolff
Assistant United States Attorney
Tel: (207) 780-3257Portland, Maine: Acting United States Attorney Richard W. Murphy announced that Anthony Derrico, 36, of Grand Junction, Colorado, was sentenced today in U.S. District Court by Judge George Z. Singal to 10 years in prison to be followed by 10 years of supervised release for transporting child pornography. He was also ordered to pay a total of $10,000 in restitution to children who were depicted in child pornography images he possessed. He pleaded guilty on November 21, 2016.
According to court records, in May 2016, a federal agent in Maine investigating the online exchange of child pornography saw that an individual, later identified as Derrico, posted child pornography images to an online chat group. In a later private chat session with the agent, Derrico expressed an interest in child pornography, and sent the agent three child pornography images. The agent learned that Derrico, who was a truck driver, was driving from Idaho to Texas. Derrico was found in Laredo, Texas and arrested in his truck. Memory cards seized at the time of his arrest contained numerous child pornography images.
The case was investigated by U.S. Immigration and Customs Enforcement’s Homeland Security Investigations.
Caribbean Defendants Convicted of International Drug TraffickingRead the Press Release
Two defendants were convicted today after a 12 day jury trial for their roles in an international drug trafficking conspiracy that aimed to transport more than 2,400 kilograms of cocaine aboard U.S. registered aircraft, announced Acting Assistant Attorney General Kenneth A. Blanco of the Justice Department’s Criminal Division and Acting Administrator Chuck Rosenberg of the U.S. Drug Enforcement Administration (DEA).
Dwight Knowles, a Bahamian national also known as “Arizona,” and Oral George Thompson, a Jamaican national also known as “Chad,” were convicted of conspiracy to distribute, and possess with intent to distribute, five kilograms or more of cocaine on board a U.S. registered aircraft. Thompson is set to be sentenced on June 21, 2017, and Knowles is set to be sentenced on June 23, 2017. U.S. District Court Judge Amy Berman Jackson of the District of Columbia presided over the trial and will impose sentence.
According to the evidence introduced at trial, Knowles and Thompson sought to acquire U.S. registered aircraft to transport large quantities of cocaine from Colombia and Venezuela. Thompson moved to Colombia by 1997 and Knowles followed by 2010. From their base in Colombia, the defendants were better able to connect with sources of cocaine who were seeking aircraft, mostly from the United States, to transport their cocaine from Colombia and Venezuela to Central America and the Caribbean, for eventual distribution elsewhere.The evidence introduced at trial also revealed that from 2011 through May 2012, Knowles and Thompson sought to acquire a U.S. registered aircraft to transport at least three loads of cocaine from Venezuela to Honduras. The evidence showed that a total of at least 2,400 kilograms of cocaine could have been transported in the three loads. The plan was to acquire a U.S. registered Beechcraft 1900 aircraft in The Bahamas, fly the plane to Haiti to refuel and pick up a second pilot, fly to Venezuela where the cocaine would be loaded on the plane, and then fly to Honduras to deliver the cocaine. In May 2012, Knowles and Thompson arranged for a Bahamian pilot to fly the Beechcraft 1900 aircraft to Haiti; however, upon arriving in Haiti, the pilot and two other men on the plane were arrested and the plane was confiscated by Haitian authorities.
The DEA’s Orlando (Florida) office, Bogotá and Cartagena, Colombia Country Offices, and Special Operations Division investigated the case. The government of Colombia provided invaluable assistance through the investigation of this case, with specific assistance provided by the Colombian National Police. Invaluable assistance was also provided by The Royal Bahamas Police Force, Drug Enforcement Unit; the Ministry of Traffic, Transportation and Urban Planning, Curacao Civil Aviation Authority; and, the National Police of Haiti, Anti-Drug Traffic Office. The United States Federal Aviation Administration (FAA) also played a pivotal role in the investigation and prosecution of the case.
This case was prosecuted by Trial Attorneys Adrian Rosales, Charles Miracle and Erin Cox of the Criminal Division’s Narcotic and Dangerous Drug Section (NDDS), with significant assistance provided by the NDDS Judicial Attachés in Bogotá, Colombia; the Criminal Division’s Office of International Affairs; and the Prosecutor General’s Office of the Republic of Colombia (Fiscalía).
Canandaigua Man Pleads Guilty to Threatening Mass Shooting at Albany VARead the Press Release
ALBANY, NEW YORK – Robert J. Seifert, age 58, of Canandaigua, New York, pled guilty today to threatening to commit a mass shooting at the Stratton VA Medical Center in Albany.
The announcement was made by United States Attorney Richard S. Hartunian and Special Agent in Charge Donna L. Neves of the U.S. Department of Veterans Affairs (VA) Office of Inspector General, Northeast Field Office.
Seifert pled guilty to a charge of making an interstate threat to injure another. He admitted that on June 15, 2016, he made a phone call to a Veterans Crisis Line operator in Portland, Oregon, in which he stated “I got an Uzi and I wanna kill everybody at the Albany VA,” “Watch what happens when I get to the Albany VA with my Uzi and I start shooting people up,” and “I’m going to [expletive] kill everybody there.”
Seifert has been in custody since July 14, 2016. As part of the plea agreement, the government and Seifert’s attorney asked the Court to impose a sentence of time served at the time of sentencing, as well as 3 years of post-imprisonment supervised release. Sentencing is scheduled for July 28, 2017 before United States District Judge Mae A. D’Agostino.
This case was investigated by the U.S. Department of Veterans Affairs Office of Inspector General and is being prosecuted by Assistant U.S. Attorney Michael Barnett.
California Man Arrested on Enticement ChargeRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051BUFFALO, N.Y. - Acting U.S. Attorney James P. Kennedy, Jr. announced today that Loren Glen Warner, 27, of Fresno, CA, was arrested and charged by criminal complaint with enticement of a minor. The charge carries a minimum of 10 years and a maximum penalty of life and a $250,000 fine.
Assistant U.S. Attorney Mary Catherine Baumgarten, who is handling the case, stated that according to the complaint, in early January, 2017, the defendant met the 14 year-old victim at her family’s church in Cattaraugus County, NY, and the two began communicating via Facebook and Snapchat. During those communications, Warner, who knew the victim was 14 years-old, began making sexual references and statements, and sent sexually explicit images of himself to the victim. The defendant also asked for and received nude photographs of the victim. In the early morning hours of January 23, 2017, Warner drove to the victim’s residence. The victim got into the car and the two had sexual intercourse.
The investigation was initiated by the New York State Police who received a report from the legal guardian of the victim. The legal guardian reported that she woke up early on January 23, 2017, and saw the victim walking towards the house and the defendant in his car at the end of the driveway. She also reported that later in the day, the victim told her that Warner had sexual intercourse with her.
On March 27, 2017, the defendant pleaded guilty to Rape in the Second Degree and Endangering the Welfare of a Minor in Cattaraugus County Court and is scheduled to be sentenced on those charges on June 12, 2107.
The defendant made an initial appearance today before U.S. Magistrate Judge H. Kenneth Schroeder, Jr., and is being held.
The criminal complaint is the result of an investigation by Immigration and Customs Enforcement, Homeland Security Investigations, under the direction of Acting Special Agent-in-Charge Kevin Kelly; the New York State Police, under the direction of Major Steven Nigrelli; and the Cattaraugus County District Attorney’s Office, under the direction of Lori Rieman.
The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.