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12 April 2017
District Man Pleads Guilty to Federal Charges in Bank Fraud SchemeRead the Press Release
WASHINGTON – David Tyrone Johnson, 48, of Washington, D.C., pled guilty today to federal charges of bank fraud and making false statements, arising from a real estate scheme involving a forged mortgage satisfaction document, announced U.S. Attorney Channing D. Phillips and Andrew Vale, Assistant Director in Charge of the FBI’s Washington Field Office.
Johnson pled guilty in the U.S. District Court for the District of Columbia. Under federal sentencing guidelines, Johnson faces an estimated range of 24 to 30 months in prison as well as a fine of up to $95,000. Under the plea agreement, Johnson also must pay more than $337,000 in restitution to SunTrust Mortgage, Inc. He also is subject to a forfeiture money judgment of $170,688. The Honorable Ketanji Brown Jackson scheduled sentencing for July 13, 2017.
According to a statement of offense, signed by the defendant as well as the government, signed by the defendant as well as the government, SunTrust Mortgage, Inc. loaned a friend of Johnson’s approximately $470,000 in 2008 to purchase residential real estate in the 100 block of 57th Street SE. By 2009, the friend had failed to repay the mortgage loans, and in 2010, SunTrust Mortgage filed a notice of foreclosure with the District of Columbia’s Recorder of Deeds. In April 2013, SunTrust Mortgage began the process of foreclosing on the mortgage and taking possession of the property, due to the friend’s failure to make good and timely payments on the mortgage loans.
Sometime before Oct. 2, 2013, Johnson caused the creation of two phony and forged certificates of satisfaction, which falsely represented that the SunTrust Mortgage loans at the property on 57th Street SE had been paid and that his friend owned the property “free and clear.” According to the statement of offense, on Oct. 2, 2013, Johnson filed these two phony certificates of satisfaction with the Recorder of Deeds.
In or about December 2013, after the fake certificates of satisfaction allowed the friend to sell the property without paying the outstanding mortgages, the title and escrow company wired out the sales proceeds of $337,105, of which approximately $170,688 was obtained by Johnson.
In addition, in 2015, Johnson was required to submit a financial disclosure form to his government agency employer; however, on that form, Johnson failed to disclose the money he obtained from the sales proceeds of the property, knowing that he had obtained the money. This failure to inform his government agency employer was material or important to his employer, and one that resulted in a false statement on his financial disclosure form.
Johnson was indicted in August 2016 and had been due to stand trial next month.
In announcing the guilty plea, U.S. Attorney Phillips and Assistant Director in Charge Vale expressed appreciation for the work performed by those who investigated the case and assisted in preparing it for trial from the FBI, including the Washington Field Office and the FBI Laboratory. They also acknowledged the efforts of those working on the case from the U.S. Attorney’s Office, including Paralegal Specialist Christopher Toms; former Paralegal Specialists Corinne Kleinman and Kaitlyn Krueger; Litigation Tech Specialist Ron Royal, and Assistant U.S. Attorney Thomas Swanton, who is assisting with forfeiture issues. Finally, they commended the work of Assistant U.S. Attorney Virginia Cheatham who is prosecuting the case.
Dickson City Couple Agree to Pay $34,495.50 to Settle Federal False Claims Act ViolationsRead the Press Release
SCRANTON – The United States Attorney’s Office for the Middle District of Pennsylvania announced today that the United States reached a civil settlement on April 10, 2017, with Peter Novajosky, age 68, and Kathy Novajosky, age 67, doing business as P&K Realty, of Dickson City, PA. The agreement resolves civil claims under the False Claims Act that the Novajoskys made false statements to obtain federal funds through the United States Department of Housing and Urban Development (HUD) housing assistance program. To resolve the government’s civil claims against them, the Novajoskys have agreed to pay the United States $34,495.50 pursuant to the settlement agreement.
According to United States Attorney Bruce D. Brandler, this settlement agreement resolves allegations that the Novajoskys submitted a form to the Lackawanna County Housing Authority for an approval of tenancy. The housing authority administered federal funds for HUD’s Housing Assistance Payments (HAP) program. Based on the representations made by the Novajoskys, the housing authority approved monthly HAP payments from October 1, 2008 through June 30, 2014. HUD requirements contained in the HAP contract entered into by the Novajoskys expressly precluded renting to a child of a landlord/owner. The Novajoskys did not disclose to the Lackawanna County Housing Authority or to HUD that the tenant was their daughter.
The case was investigated by the U.S. Department of Housing and Urban Development Office of Inspector General. Assistant United States Attorney Timothy Judge handled the case.
The claims resolved by the settlement are allegations only, and there has been no determination of liability.
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Department of Justice and Federal Trade Commission Support Reform of Alaska Laws that Limit Competition in the Health Care SectorRead the Press Release
The Department of Justice’s Antitrust Division (DOJ) and the Federal Trade Commission (FTC) have recommended that Alaska repeal its certificate-of-need (CON) laws, which require healthcare providers to obtain state approval before expanding, establishing new facilities or services, or making certain large capital expenditures.
In response to a request by Senator David Wilson for views on Alaska Senate Bill 62, which would repeal Alaska’s CON laws, the joint statement suggests the state consider whether its CON program best serves the needs of its citizens.
“Alaska lawmakers have the opportunity to bring lower costs and greater options to health care consumers,” said Acting Assistant Attorney General Andrew Finch of the Antitrust Division. “CON laws can increase the costs of investing in new health care services and can shield incumbents from competition. Repeal of Alaska’s CON laws could invigorate competition in this critical sector, to the benefit of patients, employers, and other health care consumers.”
“CON laws raise considerable competitive concerns and generally do not achieve their alleged benefits for health care consumers,” said Acting Chairman Maureen K. Ohlhausen of the Federal Trade Commission. “CON laws can restrict entry and expansion, limit consumer choice, and stifle innovation. Additionally, the CON process can be exploited by incumbent firms to thwart or delay entry by new competitors, as well as potentially obstruct efforts to restore competition lost to an anticompetitive merger, harming free markets and consumers.”
According to the joint statement, the DOJ and FTC historically have urged states to consider repeal or reform of their CON laws because they can prevent the efficient functioning of health care markets and harm consumers. CON laws can create barriers to entry and expansion, limit consumer choice, deny consumers the benefit of an effective remedy for antitrust violations, facilitate anticompetitive agreements, and stifle innovation.
Defendants Plead Guilty to Conspiring to Steal from Indian TribeRead the Press Release
Acting United States Attorney Steve Butler of the Southern District of Alabama announced today that Jasmine Hansell and her mother, Gunilla Marshall, pleaded guilty before Senior U.S. District Judge Callie V. S. Granade to one count of conspiring to embezzle funds from the Poarch Band of Creek Indians in Atmore, Alabama. Sentencing is scheduled for July 12, 2017.
Hansell previously worked as a game attendant for the Wind Creek Casino in Atmore. In this capacity, she had access to the casino's internal computer system, which managed and tracked player accounts. A compliance audit revealed that Hansell, without the tribe’s authorization, accessed over $250,000 in “free play” credits belong to the tribe and transferred credits to her mother's player account. According to video surveillance and computer reports, Hansell and Marshall used and benefited from free play credits at the casino.
In March 2017, the United States Attorney charged the defendants with one count of conspiring to embezzle and steal from an Indian tribal organization in violation of 18 U.S.C. § 371. The crime is punishable by up to five years imprisonment, a fine up to $250,000, three years of supervised release, a $100 mandatory special assessment, and restitution.
The Federal Bureau of Investigation investigated the case. Assistant United States Attorney Sinan Kalayoglu is prosecuting the case.
Defendant Sentenced to Prison for Aggravated Assault of Federal AgentsRead the Press Release
Acting United States Attorney Steve Butler of the Southern District of Alabama announces that Mario Devon Norris, 40, of Mobile, was sentenced today by Senior United States District Judge Callie V.S. Granade to 41 months in prison for the aggravated assault of five federal law enforcement agents. Following his release from prison, Norris will be subject to supervision by the United States Probation Office for three years.
Norris pled guilty in December to a one-count indictment charging him with assaulting, resisting, and impeding federal law enforcement agents. The charge stemmed from an incident in October in Prichard, when five law enforcement agents attempted to speak with Norris about an investigation. Three of the agents were FBI Special Agents, one was an agent with the Alabama Law Enforcement Agency, and one was an officer with the Mobile Police Department. The court record shows that Norris was located in a car at a fast-food restaurant, where the agents attempted to block his car with their cars, after activating their emergency blue lights and announcing themselves as police officers. Norris struck both of the agents’ cars in an attempt to flee, and revved the vehicle into reverse, jumped a curb, and nearly drove into oncoming traffic on Highway 45 in another attempt to flee. The agents surrounded the car Norris was driving, with their weapons drawn, wearing clearly marked police or FBI attire, vehicle blue lights flashing, and yelling “police.” Norris again revved the engine of the BMW and attempted to place the vehicle in drive, despite agents being in front of and along the driver side of the vehicle. Ultimately, Norris submitted without further escalation of the situation.
Acting U.S. Attorney Butler said, “Every day and every night, law enforcement agents risk their own safety in the service of their communities. Our office will aggressively investigate and prosecute anyone who deliberately endangers these men and women, and undermines the safety of everyone in the Southern District of Alabama.” Robert Lasky, Special Agent in Charge of the Mobile Division of the FBI, said, “The safety and well-being of our agents and task force officers must be a priority for the Federal Bureau of Investigation. We can only hope this sentencing will send a clear and concise message that this behavior will not be taken lightly.”
The case was investigated by the FBI and prosecuted by Assistant United States Attorney Sean P. Costello.
Davenport Man Sentenced to 160 Months in Prison for Crack Cocaine DistributionRead the Press Release
DAVENPORT, IA - On April 11, 2017, Sultan Tippu Bismillah, heather Jean Reekr38, of Coralville, Iowa, was sentenced by United States District Court Judge Rebecca Goodgame Ebinger to 160 months in prison for conspiracy to distribute a mixture or substance containing cocaine base, announced United States Attorney Kevin E. VanderSchel. Bismillah was ordered to serve three years of supervised release following his imprisonment and to pay $100 to the Crime Victims’ Fund.
Between December 2013 and December 4, 2015, Bismillah was a member of a conspiracy that distributed crack cocaine throughout Iowa City and Coralville. During that time period, law enforcement conducted several controlled transactions with these conspiracy members, and the members identified Bismillah as a crack cocaine supplier. On October 17, 2016, Bismillah pled guilty and admitted that he knowingly entered into an agreement to distribute cocaine base in Iowa City and Coralville, and in furtherance of the conspiracy, he obtained, purchased, and distributed cocaine base.
This investigation was conducted by the Johnson County Inter Agency Drug Task Force and the Iowa Division of Narcotics Enforcement. 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 calling Rachel J. Scherle at 515-473-9300, or by emailing her at [email protected].
Davenport Man Sentenced to 140 Months in Prison for Conspiracy to Distribute Methamphetamine and Possessing a FirearmRead the Press Release
DAVENPORT, IA - On April 11, 2017, Gary Eric Arnold, age 50, of Davenport, Iowa, was sentenced by United States District Court Judge Rebecca Goodgame Ebinger to 140 months in prison on the charge of conspiracy to distribute methamphetamine and to 120 months for the charge of felon in possession of a firearm, announced United States Attorney Kevin E. VanderSchel. The two sentences will run concurrently. Arnold was also ordered to serve five years of supervised release following his imprisonment and to pay $200 to the Crime Victims’ Fund.
On October 11, 2016, Arnold pleaded guilty to both offenses, admitting he had distributed over 500 grams of methamphetamine and possessed a firearm on January 22, 2016. The charges resulted from a drug trafficking investigation that occurred in Davenport, Iowa.
This investigation was conducted by the Quad City Metropolitan Enforcement Group and the United States Drug Enforcement Administration. 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 calling Rachel J. Scherle at 515-473-9300, or by emailing her at [email protected].
Convicted Felon Sentenced to 17 Years in Prison for Violating Federal Drug Trafficking LawsRead the Press Release
BOWLING GREEN, KY – A Warren County, Kentucky, convicted felon was sentenced in United States District Court by District Judge Greg N. Stivers to 17 years in prison followed by a ten year period of supervised release for his role in a conspiracy to distribute crystal methamphetamine announced United States Attorney John E. Kuhn, Jr. There is no parole in the federal system.
“This defendant has a long criminal history in the Bowling Green, Kentucky area,” stated U.S. Attorney John Kuhn. “This seventeen-year sentence will remove a large supplier of illicit and dangerous drugs from the community. The federal and local law enforcement partnership working to remove dangerous criminals from Warren County is very effective, and I thank the ATF and the Warren County Drug Task Force for their efforts.”
“This armed drug trafficker has plagued the Bowling Green area for years, as evidenced by his statements and criminal history in four surrounding Kentucky counties,” stated Stuart Lowrey, Special Agent in Charge of the ATF’s Louisville Field Division. “We applaud the efforts of the law enforcement agencies participating in the Warren County Drug Task Force and this significant investigation, which will impact violent crime.”
Jason Borden, age 47, conspired with Joshua Preston Moore, Charles Henry Ickes and others, to distribute more than 50 grams of methamphetamine between December of 2014, and February of 2015, in Bowling Green, Kentucky, including during post-arrest, in March of 2015, when Borden made calls from jail. During those calls, Borden directed Moore to collect money owed to him from the sale of methamphetamine and directed Moore to recover more than 50 grams of methamphetamine from where Borden had hidden the drugs, and directed Moore to distribute the recovered methamphetamine.
Further, the conspiracy involved the shipment of one and a half pounds of crystal methamphetamine from Santa Rosa, California, to an address in Bowling Green for further distribution. According to the plea agreement, on February 13, 2015, members of the Bowling Green/Warren County Drug Task Force conducted a controlled delivery of the crystal methamphetamine to the Bowling Green address. A cooperating co-conspirator, who was the intended recipient of the shipped methamphetamine, agreed to deliver the crystal methamphetamine to the next intended recipient, Borden. At the time of the delivery, Borden was arrested. Agents recovered the package of crystal methamphetamine, approximately $3,600 in United States currency, digital scales and a loaded H&R Inc., Model 732, .32 caliber revolver loaded with six rounds of .32 caliber ammunition from Borden at the time of his arrest. Laboratory analysis of the crystal methamphetamine revealed that it was 100% pure.
At the time of his arrest, Borden relayed to law enforcement that he was affiliated with Outlaws, a motorcycle gang, and that he had previously sold pounds of meth.
Borden is a felon with prior felony convictions in Warren County Circuit Court, Barren County Circuit Court, Christian County Circuit Court, and Logan County Circuit Court.
Co-defendant Moore pleaded guilty to three counts of a superseding indictment on March 14, 2016 and faces a minimum 15-year prison sentence. Co-defendant Charles Henry Ickes is scheduled for trial in Bowling Green before Judge Stivers on June 13, 2017.
Assistant United States Attorney Jo E. Lawless is prosecuting this case. The Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF), Bowling Green/Warren County Drug Task Force, and United States Postal Inspection Service conducted the investigation.
Connecticut Man Sentenced to 8 Years in Federal Prison for Fraud SchemesRead the Press Release
Deirdre M. Daly, United States Attorney for the District of Connecticut, today announced that MARC ANTHONY ALEXANDER, 37, formerly of Stratford and Oxford, was sentenced yesterday by U.S. District Judge Janet Bond Arterton in New Haven to 96 months of imprisonment, followed by three years of supervised release, for operating two separate fraud schemes.
According to court documents and statements made in court, the first scheme involved the theft of postal money orders. MARC ALEXANDER and others conspired to steal blocks of blank postal money orders from the U.S. Post Office in Old Greenwich. MARC ALEXANDER, his wife Rachael Alexander, and others then imprinted the money orders with various denominations using a computer font designed to make them appear to be authentic. MARC ALEXANDER, Rachael Alexander, Bernard Harris and others then deposited the fraudulently imprinted postal money orders into numerous bank accounts, either at an ATM or at a teller window. Members of the conspiracy then withdrew and used the funds. At times, members of the conspiracy also used the fraudulently imprinted postal money orders to make payments to other individuals.
The loss from this scheme was $313,570.
The second scheme involved the fraudulent sale of financed vehicles. MARC ALEXANDER and Rachael Alexander took straw buyers to various car dealerships and had them fill out financing paperwork to buy high-end cars. Typically, the Alexanders would take the car and the straw buyers would sign a power of attorney form to allow them to obtain a new title for it. The Alexanders would then contact the Connecticut Department of Motor Vehicles and claim that the title had been lost and they needed a replacement title. At the DMV, they would present a fake letter from the car financing company stating that the loan had been paid off in full. After they received a new title, the Alexanders would sell the car to another dealer. The original car loans were not paid and went into default.
The straw buyers financed more than $1 million in fraudulent car loans during the course of this scheme.
ALEXANDER has been detained since his arrest on April 26, 2016. On January 17, 2017, he pleaded guilty to one count of conspiracy to commit wire fraud stemming from the postal money order scheme, and one count of conspiracy to commit mail and wire fraud stemming from the vehicle scheme.
ALEXANDER’s criminal history includes a 2004 conviction in California for stealing the identity of an NFL athlete and using the identity to purchase a townhouse and cars, including a $245,000 Bentley. He was sentenced to 16 months in prison for that offense. In 2006, again pretending to be affiliated with the NFL, ALEXANDER defrauded two individuals he met at the gym where he worked. For that offense, he was sentenced in New London superior court to 12 years of incarceration, with seven years to serve, and five years of probation. He was on state probation while engaged in the criminal activity that resulted in these federal charges.
Rachael Alexander, also known as Rachael Vierling, and Bernard Harris have pleaded guilty and await sentencing.
This investigation has been conducted by the Connecticut Financial Crimes Task Force¸ U.S. Postal Service Office of Inspector General, U.S. Postal Inspection Service, U.S. Secret Service, Federal Bureau of Investigation, Westport Police Department and Greenwich Police Department. The case is being prosecuted by Assistant U.S. Attorney Ray Miller.
Colorado Man Pleads Guilty to Conspiracy to File Fraudulent Tax Refund ClaimsRead the Press Release
WASHINGTON – A Loveland, Colorado businessman, who owned a delicatessen franchise in Fort Collins, pleaded guilty today to conspiring to file fraudulent claims for tax refunds, announced Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division and Bob Troyer, Acting U.S. Attorney for the District of Colorado.
According to documents filed with the court, Daryl Brent Giesking, conspired with his return preparer, Teresa Marty, the owner of Advanced Financial Services (AFS), a Placerville, California tax return preparation business, to claim fraudulent refunds. With Marty’s help, Giesking filed three individual tax returns claiming more than $1 million in refunds based on falsely reported income tax withholdings. As a result, the Internal Revenue Service (IRS) paid out a $350,765 fraudulent refund to Giesking. Within months of receiving the refund, Giesking spent the funds on precious metals and coins, a truck, jewelry, luxury travel and sporting equipment. After discovering the refund should not have been paid, the IRS levied Giesking’s bank accounts and recovered approximately $40,503. Following the IRS’s levies, Giesking took steps to liquidate a number of his assets to include selling the truck he bought with the fraudulent proceeds and withdrawing all of the funds in his retirement account. He then relocated to Ecuador, where he was arrested in June 2016, on a warrant issued in this case.
Sentencing is scheduled for July 13. Giesking faces a statutory maximum sentence of 10 years in prison, a period of supervised release, restitution and monetary penalties.
Other AFS clients and employees have been prosecuted in Arizona, California, Colorado, Florida, Georgia, Missouri, Oregon and Washington for filing false claims for refunds. Marty was indicted in June 2013 and is scheduled to be sentenced in the Eastern District of California on April 26.
Acting Deputy Assistant Attorney General Goldberg and Acting U.S. Attorney Troyer commended special agents of IRS–Criminal Investigation, who conducted the investigation, and Trial Attorney Erin S. Mellen and Assistant U.S. Attorney Kenneth M. Harmon, who are prosecuting the case.
Additional information about the Tax Division and its enforcement efforts may be found on the division’s website.
Colorado Man Pleads Guilty to Conspiracy to File Fraudulent Tax Refund ClaimsRead the Press Release
A Loveland, Colorado businessman, who owned a delicatessen franchise in Fort Collins, pleaded guilty today to conspiring to file fraudulent claims for tax refunds, announced Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division and Bob Troyer, Acting U.S. Attorney for the District of Colorado.
According to documents filed with the court, Daryl Brent Giesking, conspired with his return preparer, Teresa Marty, the owner of Advanced Financial Services (AFS), a Placerville, California tax return preparation business, to claim fraudulent refunds. With Marty’s help, Giesking filed three individual tax returns claiming more than $1 million in refunds based on falsely reported income tax withholdings. As a result, the Internal Revenue Service (IRS) paid out a $350,765 fraudulent refund to Giesking. Within months of receiving the refund, Giesking spent the funds on precious metals and coins, a truck, jewelry, luxury travel and sporting equipment. After discovering the refund should not have been paid, the IRS levied Giesking’s bank accounts and recovered approximately $40,503. Following the IRS’s levies, Giesking took steps to liquidate a number of his assets to include selling the truck he bought with the fraudulent proceeds and withdrawing all of the funds in his retirement account. He then relocated to Ecuador, where he was arrested in June 2016, on a warrant issued in this case.
Sentencing is scheduled for July 13. Giesking faces a statutory maximum sentence of 10 years in prison, a period of supervised release, restitution and monetary penalties.
Other AFS clients and employees have been prosecuted in Arizona, California, Colorado, Florida, Georgia, Missouri, Oregon and Washington for filing false claims for refunds. Marty was indicted in June 2013 and is scheduled to be sentenced in the Eastern District of California on April 26.
Acting Deputy Assistant Attorney General Goldberg and Acting U.S. Attorney Troyer commended special agents of IRS–Criminal Investigation, who conducted the investigation, and Trial Attorney Erin S. Mellen and Assistant U.S. Attorney Kenneth M. Harmon, who are prosecuting the case.
Additional information about the Tax Division and its enforcement efforts may be found on the division’s website.
Cleveland women indicted for fraudulently claiming $313,000 in tax refundsRead the Press Release
Two Cleveland women were indicted on charges of conspiracy to make false claims for fraudulently claiming false tax refunds for more than $300,000, said David A. Sierleja, Acting U.S. Attorney for the Northern District of Ohio, and Frank S. Turner II, Acting Special Agent in Charge, IRS Criminal Investigation, Cincinnati Field Office.
Janice Parks, 57, and Helen Wynder, 56, filed a series of false tax returns during 2011, and 2012 to claim inflated refunds. Parks held herself out of a tax preparer. She, Wynder and others falsely claimed tax credits on behalf of people who were not entitled to the credits, according to the indictment.
In some instances, Parks requested that portions of the refunds be directed to various bank accounts and that Parks and Wynder converted the funds for their own use, according to the indictment.
"As we draw near the end of this year’s income tax filing season, we want everyone who files a tax return to take advantage of the deductions and credits to which they are entitled by law; however, no one is entitled to defraud the government," Turner said.
If convicted, the defendants’ sentences will be determined by the court after review of factors unique to this case, including the defendants’ prior criminal record, if any, the defendants’ roles in the offense, and the characteristics of the violation. In all cases, the sentences will not exceed the statutory maximum and in most cases they will be less than the maximum.
The case is being prosecuted by Assistant U.S. Attorney Carmen E. Henderson following an investigation by the Internal Revenue Service.
An indictment is only 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.
Charleston Man Sentenced to 90 Months in Federal Prison for Child PornographyRead the Press Release
Fort Smith, Arkansas – Kenneth Elser, United States Attorney for the Western District of Arkansas, announced that Danny Paul Cummings, age 47, of Charleston, was sentenced today to 90 months in federal prison followed by ten years of supervised release on one count of Distribution of Child Pornography. The Honorable Chief Judge P. K. Holmes, III presided over the sentencing hearing in the United States District Court in Fort Smith.
According to court records, in April of 2016, the Fort Smith Arkansas Crimes Against Children Taskforce identified a Twitter user who was using a computer with a known I.P. address to upload images and videos depicting child pornography to the internet. A subsequent subpoena return from the suspect’s internet provider returned to the residence of Danny Paul Cummings. On or about April 28, 2016, law enforcement executed a search warrant at Cummings residence at which time he admitted to using his computer to distribute, trade, and download images and videos depicting child pornography through Twitter and a KIK account. Agents seized an I-Phone, cell phone, laptop computer, and a hard drive from the residence. A subsequent forensic examination of the devices yielded 565 pictures and 131 videos depicting child pornography. One of the videos depicted an adult male having vaginal sex with a female child approximately four-to-six years of age. The video was over a minute long, and records obtained reflect the video was distributed to others through the internet using Cumming’s KIK account.
“Protecting our nation remains a top priority for Homeland Security Investigations,” said Assistant Special Agent in Charge Nicholas C. Nelson. “In this case, we worked jointly with our partners at the Greenwood Police Department and Ozark Police Department to successfully remove a violator from our local community.” Nelson is the Assistant Special Agent in Charge for Homeland Security Investigations with responsibility for Arkansas.
Cummings was named in a federal indictment in August of 2016 and pleaded guilty in November of 2016.
This case was investigated by Homeland Security Investigations, Greenwood Police Department and Ozark Police Department. Assistant United States Attorney Denis Dean prosecuted the case for the United States.
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Related court documents may be found on the Public Access to Electronic Records website @ www.pacer.gov
California Man Sentenced to 300 Months in Prison for Conspiracy to Distribute MethamphetamineRead the Press Release
DAVENPORT, IA - On April 10, 2017, Derrick Christopher Johnson, age 50, of Lakeview Terrace, California, was sentenced by United States District Court Judge Rebecca Goodgame Ebinger to 300 months in prison for conspiracy to distribute methamphetamine, announced United States Attorney Kevin E. VanderSchel. Johnson was also ordered to serve seven years of supervised release following his imprisonment and to pay $100 to the Crime Victims’ Fund.
The charge resulted from an investigation showing Johnson regularly drove quantities of methamphetamine from California to Iowa. At the sentencing hearing, the District Court found Johnson distributed over 4.5 kilograms of methamphetamine.
This investigation was conducted by the Quad City Metropolitan Enforcement Group and the United States Drug Enforcement Administration. 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 calling Rachel J. Scherle at 515-473-9300, or by emailing her at [email protected].
California Man Enters Guilty Plea to Identity Theft, Conspiracy as Part of Scheme to File False Income Tax ReturnsRead the Press Release
Anchorage, Alaska – Acting U.S. Attorney Bryan Schroder announced today that a California man pleaded guilty in federal court in Anchorage to one count of conspiracy to commit wire fraud and one count of aggravated identity theft based upon a scheme to use the illegally obtained personal identity information of others to prepare false W-2’s and then file false individual income tax returns in order to get refunds due to others.
Demetrick Ruffin, 41, from Los Angeles, CA, pleaded guilty before Chief U.S. District Court Judge Timothy M. Burgess.
In connection with the guilty plea, Assistant U.S. Attorney Retta Randall advised the court that between January 2009 through March 2010, Ruffin conspired with others to obtain identity information, such as names, dates of birth, and social security numbers, which were then used to prepare false IRS W-2 Forms that contained fabricated wage and withholding amounts. The co-conspirators then took the identity information and falsified documents to tax return preparation services in Anchorage, Eagle River, and Palmer, Alaska, as well as in Los Angeles and Orange County, California, to have tax returns prepared and electronically submitted to the IRS.
The false returns requested refunds totaling between $1,400 and $8,600. In some instances, Ruffin and his co-conspirators used the stolen identity information to claim that the “taxpayers” had dependent children that they did not, in fact, have. By claiming additional dependents, the co-conspirators were able to increase the amount of refunds that the returns generated. In many cases, the defendants applied for refund anticipation loans and had the fraudulently obtained tax refunds loaded onto stored value cards allowing them instant access to the money even if the IRS later rejected the falsely filed returns.
Judge Burgess scheduled Ruffin’s sentencing for July 10, 2017, at 10:00 a.m. The law provides for a total of 20 years in prison, a fine of $250,000, or both, on the conspiracy charge. Under the Federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offense and the criminal history, if any of the defendant. The crime of aggravated identity theft provides for a mandatory two-year sentence to be imposed consecutively to the sentence imposed on the conspiracy charge.
Ruffin is detained pending sentencing. A fugitive for three years, Ruffin was arrested in July 2016 by the U.S. Marshals.
By that time, Ruffin’s co-conspirators had been sentenced by Chief Judge Burgess. Jameane Bolton-Williams was sentenced to 82 months in prison and ordered to pay restitution in the amount of $91,927.65. Joe Douglas was sentenced to 57 months in prison and ordered to pay restitution in the amount of $43,043.55. Lucille Stansberry was sentenced to 36 months and one day in prison and ordered to pay restitution in the amount of $48,619.95.
“Identify theft related tax refund fraud is a top priority for the IRS. Together with the US Attorney’s Office, we are committed to fighting this growing epidemic,” said Special Agent in Charge Darrell Waldon of IRS Criminal Investigation. “As damaging as it is to the government and our tax system when this type of crime is committed, we know identity theft is emotionally devastating to those victimized by this scourge. This plea today is a victory for every honest taxpaying American, but especially so for those directly impacted by this nefarious crime. During the closing days of this filing season, we warn everyone to be ever vigilant in safe-guarding their personal information.”
Acting U.S. Attorney Schroder commends the IRS Criminal Investigation for the investigation of this case.
Buffalo Man Charged with Mail FraudRead the Press Release
BUFFALO, N.Y. - Acting U.S. Attorney James P. Kennedy, Jr. announced today that Emmanuel R. Bao, 50, of Buffalo, NY, was arrested and charged by criminal complaint with mail fraud. The charge carries a maximum penalty of 20 years in prison and a $250,000 fine.
Special Assistant U.S. Attorney Brian J. Counihan, who is handling the case, stated that according to the complaint, the defendant is a French and Swahili interpreter. Bao interpreted the New York State Department of Motor Vehicles driver permit written test for multiple out-of-state individuals, usually individuals with refugee status who are most recently from the Massachusetts area.
The defendant is accused of creating a scheme to defraud New York State by not interpreting the written tests. Rather, Bao provided answers to the questions for the applicants. The defendant then listed his own address on the permit application rather than the address of the applicant, which resulted in the Department of Motor Vehicles mailing the official driver’s permit to Bao’s address. The defendant would then mail the permit to the applicant’s actual address. Massachusetts has reciprocity with the New York Department of Motor Vehicles and multiple test takers had failed the Massachusetts written driver’s permit test before making arrangements with the defendant.
The defendant made an initial appearance before U.S. Magistrate Judge Michael J. Roemer, and was released.
The criminal complaint is the result of an investigation by Immigration and Customs Enforcement, Homeland Security Investigations, under the direction of Special Agent-in-Charge James C. Spero, and the New York State Department of Motor Vehicles, under the direction of Executive Deputy Commissioner Theresa Egan.
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.Bristol, Virginia Man Pleads Guilty to Conspiracy to Commit Healthcare FraudRead the Press Release
Abingdon, VIRGINIA – A Bristol man, who along with his wife and another woman, was accused of healthcare fraud charges, has pled guilty to related federal charges, Acting United States Attorney Rick A. Mountcastle, Virginia Attorney General Mark R. Herring and Nick DiGiulio, Special Agent in Charge, Philadelphia Regional Office for U.S. Health and Human Services - Office of Inspector General announced today.
Bryan Harr Sr., 41, of Bristol, Va., pled guilty yesterday in the United States District Court for the Western District of Virginia in Abingdon to one count of conspiracy to commit healthcare fraud. Melissa Harr previously pled guilty to one count conspiracy to commit healthcare fraud. Deborah Branch, 64, is also charged as part of the conspiracy.
Bryan Harr Sr. admitted yesterday that he and his wife, Melissa Harr, hired Branch to work with one of their children, who suffers from intellectual and physical disabilities and who qualifies for services paid for by Virginia Medicaid, including personal assistance, respite and residential support services. These services are available to qualified individuals pursuant to Virginia Medicaid’s Intellectual Disability (ID) waiver program. The ID waiver program is designed to provide critical services that enable a recipient to remain at home instead of being placed in an institution. Recipients or their guardians are permitted to hire workers of their own choosing to provide these services which are paid for by Virginia Medicaid. Branch was paid through two different Virginia Medicaid contractors: Public Partnerships, LLC and ResCare (formerly known as Creative Family Solutions).
From January 2010 until September 2015, Branch, with the knowledge of Melissa Harr and Bryan Harr Sr., submitted time sheets claiming Branch was providing services for Harr’s disabled son when she was not. In exchange for assisting Branch in getting paid for work she did not do, Branch paid the Harrs approximately $200 every two weeks. Virginia Medicaid’s Department of Medical Assistance Services (DMAS) paid out $350,641.02 to the contractors based on these time sheets, of which $207,854.43 was paid to Branch. More importantly, the Harr’s disabled son did not receive the services he legitimately needed pursuant to the ID waiver program.
The investigation of the case was conducted by the Medicaid Fraud Control Unit of the Virginia Attorney General’s Office, the U.S. Department of Health and Human Services Office of Inspector General, and the Bristol Virginia Police Department. Special Assistant United States Attorney Janine M. Myatt, a Virginia Assistant Attorney General, is prosecuting the case for the United States.
Bethlehem Man Charged with Tax EvasionRead the Press Release
Robert McAndrew, Jr., 51, of Bethlehem, PA was charged today by Information with numerous counts of tax evasion, announced Acting United States Attorney Louis D. Lappen. The Information charges that the defendant operated a company called NEPA Payroll Services, and that numerous businesses retained NEPA to handle the processing of the payroll and payroll taxes for their employees. It further alleges that these NEPA clients remitted to the defendant’s company the amounts necessary to pay the payroll taxes, but the defendant did not pay all of those funds over the IRS, and instead filed false paperwork with the IRS and used some of the clients’ money – including over $3.7 million from one client -- for his own purposes.
If convicted the defendant faces a maximum possible sentence of 105 years imprisonment and fines totaling over $5 million.
The case was investigated by the Internal Revenue Service and is being prosecuted by Assistant United States Attorney Bea L. Witzleben.
Austintown man indicted for two bank robberiesRead the Press Release
Jarrett N. Dragic, 22, of Austintown, was indicted on two counts of bank robbery, said David A. Sierleja, Acting U.S. Attorney for the Northern District of Ohio, and Stephen D. Anthony, FBI Special Agent in Charge.
Drajic robbed a Farmers National Bank in East Liverpool on Feb. 10. He robbed a Farmers National Bank in Canfield on Feb. 17, according to the indictment.
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.
The investigation preceding the indictment was conducted by the Federal Bureau of Investigation, the East Liverpool Police Department, the Columbiana Police Department and the Canfield Police Department. The matter is being prosecuted by Assistant United States Attorney Jason M. Katz.
An indictment is only 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.
Appeals Court Upholds 70-Month Prison Sentence for Bath Salts DistributorRead the Press Release
The United States Attorney’s Office for the Middle District of Pennsylvania announced that the Third Circuit Court of Appeals today affirmed the 70-month prison sentence imposed by U.S. District Court Judge Malachy E. Mannion on Treiu Thuy Duong, age 38, who supplied approximately 10 kilograms of alpha-pvp—commonly known as “bath salts”—to customers in northeastern Pennsylvania and elsewhere during 2013-2014.
According to United States Attorney Bruce D. Brandler, Duong, who resided in Texas at the time of the offense and later moved to Florida, claimed on appeal that her 70-month prison sentence was unreasonable.
Duong previously pleaded guilty to conspiring with others from Luzerne County and elsewhere, to distribute alpha-pvp. Duong in her plea acknowledged distributing approximately 10 kilograms of bath salts. Some of Duong’s customers and sub-distributors resided in Luzerne County.
In upholding the sentence, the appeals court reasoned that Judge Mannion appropriately considered the defendant’s personal circumstances and engaged in a “thorough analysis” of all other relevant factors in imposing the sentence.
As part of her sentence, the defendant forfeited to the government her interest in a residence in Texas valued at approximately $300,000, coins valued at more than $260,000, four bank accounts containing over $200,000, two vehicles, over $7,000 in cash, more than $17,000 in uncashed money orders, and two firearms.
More than 12 persons connected to the bath salts distribution operation have pleaded guilty and been sentenced to federal prison.
The case was investigated by the Homeland Security Investigations, the Drug Enforcement Administration, the United States Postal Inspection Service, the Pennsylvania State Police, and the West Pittston Police. Assistant United States Attorney Francis P. Sempa prosecuted the case and handled the appeal.
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Albuquerque Man Sentenced to 115 Months for Unlawfully Possessing a Firearm and Ammunition in McKinley CountyRead the Press Release
ALBUQUERQUE – Cowey Edsitty, 32, of Albuquerque, N.M., was sentenced today in federal court to 115 months in prison followed by three years of supervised release for being a felon in possession of a firearm.
Edsitty was arrested in July 2016, on an indictment charging him with being a felon in possession of a firearm and ammunition on May 3, 2016, in McKinley County, N.M. According to court documents, Edsitty was prohibited from possessing firearms or ammunition because of his prior felony convictions for residential burglary, assault with intent to commit a violent felony, aggravated battery, and aggravated fleeing from a law enforcement officer.
On Dec. 15, 2016, Edsitty pled guilty to the indictment without the benefit of a plea agreement.
This case was investigated by the Gallup office of the FBI and the McKinley County Sheriff’s Office. Assistant U.S. Attorney Elaine Y. Ramirez prosecuted the case.
Albany Woman Pleads Guilty to Unlawful Possession of a FirearmRead the Press Release
ALBANY, NEW YORK – Stacey E. Mendoza, age 40, of Albany, pled guilty today to being a felon in possession of a firearm.
The announcement was made by United States Attorney Richard S. Hartunian and Ashan M. Benedict, Special Agent in Charge of the New York Field Office of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF).
As part of her guilty plea, Mendoza admitted that on the evening of June 21, 2016, she fired a 12-gauge shotgun out of the window of a third-story apartment on Clinton Avenue, during a dispute with a neighbor. As a convicted felon, Mendoza could not legally possess the Winchester Model 1300 pump-action shotgun.
Mendoza, who has been in custody since December 12, 2016, is scheduled to be sentenced on August 9, 2017 by United States District Judge Mae A. D’Agostino. She faces up to 10 years in prison and up to 3 years of post-imprisonment supervised release, and a maximum $250,000 fine. A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines, and other factors.
The case was investigated by ATF and the Albany Police Department, and is being prosecuted by Assistant U.S. Attorney Joseph A. Giovannetti.
Acting U.S. Attorney Weinreb Closes Federal Investigation of Islamic Cemetery Proposal in Town of DudleyRead the Press Release
BOSTON – Acting United States Attorney William D. Weinreb announced today that, due to the recent approval of the settlement between the Town of Dudley and the Islamic Society of Greater Worcester, his office is closing the investigation into whether the Town of Dudley violated a federal civil rights law that protects against religious discrimination.
“We are pleased that the town of Dudley and the Islamic Society of Greater Worcester reached an agreement,” said Acting U.S. Attorney Weinreb. “Our role is to ensure that cities and towns do not discriminate on the basis of religion, and the agreement affirms the commitment by both parties to abide by federal law.”
In August 2016, the U.S. Attorney’s Office launched an investigation to determine whether the Town of Dudley had infringed on the Islamic Society of Greater Worcester’s right to religious exercise, by placing unreasonable barriers to, and previously denying, their request for a permit to establish an Islamic cemetery. Although the parties signed a settlement agreement in December 2016, the U.S. Attorney’s Office kept its investigation open, pending final approvals from the Town of Dudley.
The U.S. Attorney’s Office is authorized to investigate allegations of discriminatory treatment under the Religious Land Use and Institutionalized Persons Act, which, among other things, prohibits discrimination against any assembly or institution on the basis of religion.
The Civil Rights Unit of the U.S. Attorney’s Office was established in 2015 with the mission of enhancing federal civil rights enforcement. For more information on the Office’s civil rights efforts, please visit www.justice.gov/usao-ma/civil-rights.
11 April 2017
“Family Ties” ring leader found guilty in federal courtRead the Press Release
Indianapolis – United States Attorney Josh J. Minkler announced today that an Indianapolis man was convicted of drug distribution, money laundering and bankruptcy fraud charges in federal court. Geraldo Colon, 48, was found guilty after a six-day jury trial before U.S District Judge Jane Magnus-Stinson.
“The goal of this office is to make the Southern District of Indiana the worst place in America to sell drugs,” said Minkler. “That is accomplished by investigations like this which arrest drug dealers, detain them without bond, convict them at trial and request lengthy mandatory minimum sentences in federal prison.”
In May 2014, law enforcement officials learned that large quantities of narcotics were being shipped to the Indianapolis area from Phoenix, Arizona. The drugs were being shipped to a location on Bomar Lane in Greenwood, Indiana. From there, the drugs were being moved to the Muebleria Luz Furniture Store on the Northwest side of Indianapolis, where Colon then distributed them to various Indianapolis-based drug traffickers.
Law enforcement soon learned that Colon was the ringleader of this drug trafficking organization, which brought hundreds of pounds of heroin, cocaine and methamphetamine to the Indianapolis area. Various search warrants were served during the investigation netting: 24 firearms, over $4.5 million in cash proceeds, along with 9.5 kilograms of heroin, over 21 kilograms of cocaine and 22 kilograms of methamphetamine.
was one of 20 federal defendants charged as part of Operation Family Ties that targeted a well-armed and heavily funded drug trafficking organization. A large portion of the drugs were being distributed in the Northwest side of Indianapolis as well as the Butler-Tarkington Neighborhood. Two other primary distributors in the “Family Ties” investigation have been sentenced. Daniel Stewart was sentenced to life without parole in November 2016 and Wade Havvard was sentenced to 31 years in May 2016.
“The negative impact this organization had on the lives and families of Indianapolis is un-measureable, yet devastating,” said IMPD Chief Bryan Roach. “I am thankful for the good work and passion all the detectives working in collaboration with our federal partners who continue to pursue these types of crimes and criminals to change lives and make Indianapolis a safer place.”
“This conviction is the culmination of exemplary interagency cooperation and commitment to keep our communities safe,” said James M. Gibbons, special agent in charge of HSI Chicago. “Through our collaborative efforts we succeeded in striking a significant blow against a large-scale and dangerous drug-trafficking network.”
IRS Criminal Investigation Special Agent in Charge, James Robnett stated, “Working together with our law enforcement partners, IRS Criminal Investigation has done what it does best….we follow the money! We follow the money trail to financially disrupt and dismantle significant narcotics trafficking organizations victimizing our taxpayers. Our actions demonstrate our collective efforts to continue to enforce the law and ensure our communities and neighborhoods are safe.
“I am grateful to U.S. Attorney Minkler and our law enforcement partners for their strong commitment to combating fraud and abuse in bankruptcy cases”, stated Nancy J. Gargula, U.S. Trustee for Indiana, Central Illinois and Southern Illinois (Region 10). The U.S. Trustee Program is the component of the Justice Department that protects the integrity of the bankruptcy system by overseeing case administration and litigating to enforce the bankruptcy laws. Region 10 is headquartered in Indianapolis, with additional offices in South Bend, Ind., and Peoria, Ill.
case was investigated by the Indianapolis Metropolitan Police Department, Drug Enforcement Administration, Department of Homeland Security Investigations, Internal Revenue Service Criminal Investigation and the U.S. Trustee’s Office.
According to Assistant U.S. Michelle P. Brady who prosecuted this case for the government, Colon faces a maximum sentence of life in prison. No sentencing date has been set.
Woman Charged with Filing False Income Tax ReturnsRead the Press Release
PITTSBURGH - A resident of western Pennsylvania, has been indicted by a federal grand jury in Pittsburgh on charges of filing false income tax returns, Acting United States Attorney Soo C. Song announced today.
The two-count indictment named Tina Gordon as the sole defendant.
According to the indictment, for the calendar years 2010 and 2011, Gordon failed to report “other income” of more than $195,000.
At each of the two counts, defendant faces a maximum penalty of three years imprisonment, a $250,000 fine, and one year of supervised release. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
The Internal Revenue Service, Criminal Investigation conducted the investigation leading to the indictment in this case.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Winterville Man Sentenced to 25 Years for Heroin Distribution and Possession of Ammunition by a Convicted FelonRead the Press Release
GREENVILLE – The United States Attorney’s Office announced that today in Federal court, Senior United States District Judge Malcolm J. Howard sentenced MAURICE EUGENE MOORE, JR., 27, of Winterville, North Carolina to 300 months imprisonment, followed by 5 years of supervised release.
MOORE was named in a three-count Indictment filed on April 20, 2016, and pled guilty to Conspiracy to Distribute and Possess With the Intent to Distribute 100 Grams or More of Heroin and Possession of Ammunition by a Felon on December 5, 2016.
The Naval Criminal Investigative Service (NCIS) initiated an investigation in 2013 in Jacksonville, North Carolina, after they received information that identified MOORE as a local heroin distributor and a pimp. The information revealed that MOORE was promoting prostitution at the nearby U.S. Marine Corps bases.
The investigation revealed that MOORE purchased heroin from an individual in New York and used women as drug mules to bring the narcotics back to North Carolina. Multiple witness statements revealed that MOORE was frequently seen with firearms; and that he was in possession of both assault rifles and heroin in the hotel rooms and other locations he used to stash his drugs. The investigation further revealed that MOORE got the prostitutes he was pimping addicted to heroin to facilitate the distribution of the drug.
This case was investigated by the NCIS, the Craven County Sheriff’s Office, the Pitt County Sheriff’s Office, the Pamlico County Sheriff’s Office, the Havelock Police Department, and the Jacksonville Police Department. Assistant U.S. Attorney Scott Lemmon is prosecuting the case on behalf of the government.
Webster County Man Pleads Guilty to Meth ConspiracyRead the Press Release
A man who conspired to distribute methamphetamine pled guilty on April 7, 2017, in federal court in Sioux City.
Andrew Smith, 32, from Fort Dodge, Iowa, was convicted of conspiracy to distribute methamphetamine.
At the plea hearing, Smith admitted his involvement in a conspiracy that distributed at least 5 kilograms of methamphetamine mixture from 2012 through November 2016. On two occasions in 2015, Smith was found in possession of over 27 grams of actual (pure) methamphetamine. Smith admitted he planned to distribute some or all of the methamphetamine to another person or persons.
Sentencing before United States District Court Judge Mark W. Bennett will be set after a presentence report is prepared. Smith remains in custody of the United States Marshal pending sentencing. Smith faces a mandatory minimum sentence of 10 years’ imprisonment and a possible maximum sentence of life imprisonment, a $10,000,000 fine, a $100 special assessment, and at least five years of supervised release following any imprisonment.
The case is being prosecuted by Assistant United States Attorney Shawn S. Wehde and Special Assistant United States Attorney Ajay Alexander and was investigated by the Iowa Division of Narcotics Enforcement, Webster County Sheriff’s Office, Iowa Division of Criminal Investigation, and the Fort Dodge Police Department.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 16-3048.
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Vice Lords Leader Sentenced for Gang-Related Shooting of Family of FourRead the Press Release
A leader of the Vice Lords street gang was sentenced today to 162 months in prison for his role in the May 7, 2015, shooting of four members of a family with an AK-47 in Detroit.
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 Robin Shoemaker of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) Detroit Field Division, Special Agent in Charge David P. Gelios of the FBI’s Detroit Division and Chief James Craig of the Detroit Police Department made the announcement.
“Everett controlled the Vice Lords by ordering violent retribution against anyone who crossed him, his revenge had no limits,” said Acting Assistant Attorney General Blanco. “I am proud of the unified efforts of our prosecutors and law enforcement partners, including the Detroit One partners, who successfully brought Everett and other Vice Lord members to justice. The Justice Department will continue to work closely and jointly with all of our Federal, state and local law enforcement partners to investigate, prosecute and dismantle violent gangs, like the Vice Lords, wherever they may be present.”
“This conviction and sentence is particularly important since Mr. Everett was a leader of the gang and directed this violence to occur. This lengthy sentence underscores that one does not have to be physically present at a shooting to bear the full brunt of criminal responsibility and punishment,” said Acting U.S. Attorney Lemisch. “We hope Mr. Everett’s sentence sends a strong message of deterrence to those who may want to pursue the gang lifestyle.”
“This sentence is the culmination of countless hours of dedicated work by ATF agents and our law enforcement partners,” said Special Agent in Charge Shoemaker. “ATF will continue to aggressively target and dismantle criminal enterprises threatening the safety of Detroit’s citizens.”
“While gang violence continues to plague the safety and security of our neighborhoods, today’s sentence reflects the continuing impact the Detroit One Initiative is having on the ability of gang members to terrorize our communities,” said Special Agent in Charge Gelios. “Prior to today, defendants in this shooting incident had been sentenced to approximately 80 years collectively in prison. With today’s additional sentence, the message should be clear this collaboration of federal, state and local law enforcement partners is committed to restoring our streets to the law-abiding citizens of Detroit.”
Burney Everett, aka Tank, 27, of Detroit, pleaded guilty on Oct. 25, 2016, before U.S. District Judge David M. Lawson of the Eastern District of Michigan to two counts of assault with a dangerous weapon in aid of racketeering and one count of use and carry of a firearm during and in relation to a crime of violence.
According to admissions made in connection with Everett’s plea, the Vice Lords is a national gang engaged in a variety of crimes and the gang’s leaders are located in both Chicago and Detroit. The gang is broken down into various “sets,” “decks,” or “branches,” including the Detroit-based Traveling Vice Lords (TVL). The Vice Lords have often targeted members who sought to leave the gang for physical beatings or murder.
Everett admitted that in May 2015, he directed other members of the TVL to search for two brothers who had left or attempted to leave the gang in order to harm them. Everett further admitted that on May 7, 2015, at his direction, members of the TVL traveled in multiple cars to the intended victims’ house. After a brief confrontation with the brothers’ family members, Vice Lords member Antonio Clark admitted in connection with his own plea that he fired an AK-47 23 times, hitting the brothers, their mother and a 15-year-old sister. All of the victims survived the shooting.
All defendants charged for the shooting pleaded to charges related to the shooting. In addition to Everett, eight members and leaders of the TVL, all of Detroit, have pleaded guilty to charges related to the shooting, seven of whom have been sentenced: Antonio Clark, 27, was sentenced to 240 months in prison; Aramis Wilson, 26, was sentenced to 150 months in prison; Dion Robinson, 39, was sentenced to 121 months in prison; Jonathan Kinchen, 24, was sentenced to 120 months in prison; Tyrone Price, 27, sentenced to 140 months in prison; Kojuan Lee, 20, was sentenced to 97 months in prison; and Kirshean Nelson, 20, was sentenced to 36 months in prison. Kenneth Smith, 35, pleaded guilty on Jan. 28, 2016, and awaits sentencing, which has not yet been set. On Jan. 18, 2017, a co-defendant of Everett, Vice Lords associate Jamerio Clark, was sentenced to 48 months in prison for witness tampering by obtaining and disclosing the private health information of the May 7, 2015 shooting victims and victims’ family members to a member of the gang.
The convictions related to the May 7, 2015, shooting are just one component of the federal government’s prosecution of the Vice Lords street gang, which has led to the arrests and convictions of dozens of Vice Lords leaders and members over the last few years. In two trials during March and May 2015, juries convicted eight leaders and members of the Phantom Outlaw Motorcycle Club, many of whom were also leaders and members of the Vice Lords, for various crimes, including a mass-murder plot against a rival organization and the shooting of a member of another rival organization.
The arrests and convictions in this case are, in part, the result of the Detroit One Initiative, a collaborative effort between law enforcement and the community to reduce homicide and other violent crime in Detroit. Through the lead efforts of the Comprehensive Violence Reduction Partnership Task Force, which consists of representatives of the ATF, Detroit Police Department, Michigan State Police, Michigan Department of Corrections and FBI, law enforcement authorities linked various acts of violence in Detroit to the Vice Lords street gang, and identified the leaders and key members of the gang, who now have been held accountable.
The ATF, FBI and Detroit Police Department investigated the case. Assistant U.S. Attorneys Christopher Graveline and Mark Bilkovic of the Eastern District of Michigan and Trial Attorney Joseph Wheatley of the Criminal Division’s Organized Crime and Gang Section prosecuted the case.
Upshur County man guilty of role in methamphetamine distribution ringRead the Press Release
ELKINS, WEST VIRGINIA – A Buckhannon, West Virginia man was convicted today of a methamphetamine distribution, Acting United States Attorney Betsy Steinfeld Jividen, announced.
Allen White, 38, pled guilty to one count of “Possession with the Intent to Distribute Methamphetamine.” White admitted to having the drug in Lewis County in August 2015.
White faces up to twenty years in prison and a fine of up to $1,000,000. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant U.S. Attorney Stephen D. Warner is prosecuting the case on behalf of the government.
The Mountain Region Drug and Violent Crime Task Force investigated.
U.S. Magistrate Judge Michael John Aloi presided.
Upshur County Man Sentenced for Federal ConspiracyRead the Press Release
TYLER, Texas - A 41-year-old Gilmer, Texas man has been sentenced to federal prison following a lengthy investigation into a synthetic drug operation in the Eastern District of Texas, announced Acting U.S. Attorney Brit Featherston today.
Jeremy Chad Tidwell pleaded guilty on Nov. 17, 2016, to conspiracy to commit offenses against the United States and was sentenced to 60 months in federal prison today by U.S. District Judge Ron Clark. Assets to be forfeited by the defendant included U.S. currency and bank accounts totaling over $1.2 million, real property, precious metals, two airplanes, 6 automobiles, other vehicles, and firearms.
On Dec. 3, 2014, a combined task force of federal, state and local law enforcement executed federal arrest warrants and search warrants in Longview, Texas as a result of an investigation by the Drug Enforcement Administration (DEA) Tyler Task Force. In April 2014, law enforcement agencies, initiated an Organized Crime Drug Enforcement Task Force (OCDETF) investigation into a synthetic drug trafficking organization based in the Gregg County, Texas area. This investigation involved extensive surveillance and controlled purchases of controlled substances, controlled substance analogues, and drug paraphernalia.
The operation resulted in the arrest of Tidwell, his wife, Shanna Peek Tidwell, 38, of Gilmer, and Tidwell's brother, Brian Tidwell, 45, of Arlington, Texas. Four retail stores, all located in Longview, were searched as part of the law enforcement operation. Over $1.2 million, including in excess of $450,000 in U.S. currency, multiple vehicles, and large quantities of synthetic drugs were seized.
The defendants were indicted in a superseding indictment by a federal grand jury on Feb. 19, 2015. Charges included conspiracy to distribute and possess with intent to distribute Schedule I controlled substances and controlled substance analogues, conspiracy to commit offenses against the United States, conspiracy to sell and offer for sale drug paraphernalia, conspiracy to commit money laundering, and maintaining a place for the distribution of a controlled substance or controlled substance analogue.
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.
The DEA Task Force in Tyler includes officers from the Gregg County Sheriff’s Office, Henderson County Sheriff’s Office, Van Zandt County Sheriff's Office, Kilgore Police Department, Smith County Sheriff’s Office, and Upshur County Sheriff’s Office, as well as DEA Special Agents.
Other agencies assisting in the joint investigative effort included the U.S. Attorney’s Office - Eastern District of Texas, DEA Tyler Task Force, Gregg County Sheriff’s Office, Gregg County Organized Drug Enforcement Unit (CODE), Longview Police Department, Upshur County Sheriff’s Office, Kilgore Police Department, Lakeport Police Department, Gladewater Police Department, Arkansas Attorney General’s Office, and the U.S. Marshals Service.
This case was prosecuted by Assistant U.S. Attorneys Mary Ann Cozby.
Unionville Man Sentenced to 18 Years for Child PornRead the Press Release
KANSAS CITY, Mo. – Tom Larson, Acting United States Attorney for the Western District of Missouri, announced that a Unionville, Mo., man was sentenced in federal court today for possessing child pornography.
Joel R. Bremer, 51, of Unionville, was sentenced by U.S. District Judge Roseann Ketchmark to 18 years in federal prison without parole. The court also sentenced Bremer to supervised release for the rest of his life following incarceration.
On June 10, 2016, Bremer pleaded guilty to possessing child pornography. The investigation began in February 2013 when the Putnam County Sheriff’s Department received a report from a 19-year-old female (identified in court documents as “Jane Doe”) that she had been sexually abused by Bremer for a period of time when she was a child. She also stated that Bremer had taken nude photographs of her when she was a minor and that she had recently seen those pictures on his laptop computer, which he kept in his home.
According to court documents, Jane Doe alleges that Bremer engaged in sexual intercourse with her over 100 times and made her perform oral sex at least 20 times. A second victim, identified in court documents as “Jane Doe 2,” alleges that Bremer also committed sexual offenses against her, including engaging in sexual intercourse several years ago before she was 16 years of age. Bremer has been charged under state law for these alleged offenses against both victims.
Investigators with the Putnam County Sheriff’s Department and the Kirksville Regional Computer Crimes Unit executed a search warrant at Bremer’s residence on Feb. 11, 2013, and seized a laptop computer and several CD/DVDs. A forensic analysis was conducted at the Kirksville Regional Computer Crime Laboratory. No pornographic images of Jane Doe were located; however, the analysis located approximately 1,472 photos and 40 videos which contained child pornography that appeared to have been obtained via the Internet. The content of the numerous images and video files include depictions of adults engaging in sexual conduct with prepubescent children, including toddlers.
According to court documents, Bremer continued to download child pornography after he was indicted in this case and while he was under pretrial supervision. Bremer borrowed a laptop computer from a friend, according to court documents, who discovered evidence of child pornography on the computer when it was returned at the time of his guilty plea. Investigators located 211 images of apparent child pornography under the profile name “Joel Bremer.”
This case was prosecuted by Assistant U.S. Attorney David Luna. It was investigated by the Putnam County, Mo., Sheriff’s Department, the Kirksville, Mo., Police Department and the Kirksville Regional Computer Crimes Unit.
Project Safe Childhood
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc . For more information about Internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
Ukrainian National Sentenced for Contraband CigarettesRead the Press Release
KANSAS CITY, Mo. – Tom Larson, Acting United States Attorney for the Western District of Missouri, announced that a Ukrainian national was sentenced in federal court today for transporting thousands of cartons of cigarettes from Missouri to Chicago, Ill., in order to avoid paying nearly $165,000 in excise taxes.
Yevhen Sychikov, 32, a citizen of Ukraine residing in Chicago, was sentenced by U.S. District Judge Dean Whipple to one year in federal prison without parole. The court also ordered Sychikov to pay $164,890 in restitution.
On Oct. 20, 2016, Sychikov pleaded guilty to the interstate transportation of contraband cigarettes. Sychikov admitted that he purchased large quantities of cigarettes at convenience stores in northwest Missouri then transported them back to Chicago, which has a much higher excise tax on cigarettes. According to court documents, Sychikov was part of a larger smuggling operation trafficking in contraband cigarettes.
Sychikov, who made at least a dozen trips from Chicago to Missouri, purchased cigarettes from Trex Mart in Lathrop, Mo.; Discount Smoke and Liquor Store in Riverside, Mo.; and Tipsy Liquor in Smithville, Mo. On May 10, 2014, Sychikov purchased 20 cases (1,200 cartons) of cigarettes and transported them back to Chicago. On June 14 and 15, 2014, Sychikov purchased 1,395 cartons of cigarettes and transported them back to Chicago.
Missouri taxes cigarettes at a rate of 17 cents per pack. The combined state, county and city taxes from Illinois, Cook County and Chicago are $6.16 per pack. Therefore, the price differential on a carton of cigarettes (10 packs) is almost $60 per carton. Sychikov transported more than 26,000 packs of cigarettes, resulting in a tax loss of $164,890.
This case was prosecuted by Assistant U.S. Attorney Paul S. Becker. It was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives NITRO Task Force.
Two Sentenced in Gang Child Sex Trafficking ConspiracyRead the Press Release
FORT WORTH, Texas — Diwone Nobles, a/k/a “Pooh,” 32 and Katelyn Michelle Ward, a/k/a “KD,” 24, have been sentenced for their roles in a child sex trafficking conspiracy, announced U.S. Attorney John Parker of the Northern District of Texas.
Noble appeared before U.S. District Judge Reed C. O’Connor yesterday and was sentenced to 360 months in federal prison. He pleaded guilty to one count of sex trafficking of children in November 2016.
Ward also appeared before U.S. District Judge Reed C. O’Connor yesterday and was sentenced to 72 months in federal prison. She pleaded guilty to one count of use of a facility of interstate commerce in aid of a racketeering enterprise in November 2016.
A total of nine defendants were charged in the case, pleaded guilty to their role in the child sex trafficking conspiracy and have been sentenced to the following prison sentences.
Chad Johnson, a/k/a “Ocho Hood Fame,” 24, 300 months
Audry Lane, a/k/a “Spud,” 29, 280 months
Deon Bonner, a/k/a “Spanish Fly,” 26, 360 months
Stanley Johnson, a/k/a “Pee Wee,” 24, 168 months
Alvin Lane, a/k/a “Spank,” 32, 166 months
Jessica Arnold, 23, 5 years probation
Serrah Arnold, 28, 5 years probation
According to documents filed in the case, in November 2015, U.S. Immigration and Customs Enforcement (ICE) Homeland Security Investigations (HSI) learned that a 16-year-old runaway, Jane Doe 1, was being trafficked by a group of people in Fort Worth, Texas; that group included the defendants. The investigation revealed that from approximately October 1, 2013, through April 16, 2016, the members of this group facilitated the commercial sex acts of several minor and adult females.
Nobles, Bonner, Chad Johnson, Stanley Johnson, Audry Lane, Ward and Alvin Lane acted as pimps for the girls and women they trafficked. They instructed them on how much to charge and they kept proceeds from transactions. They also provided the girls and women with condoms, cellular phones and hotel rooms. Some of the member of the group bought and sold the girls and women they were trafficking amongst themselves.
To locate commercial sex customers, Nobles, Bonner, Chad Johnson, Stanley Johnson, Ward, Audry Lane and Alvin Lane facilitated the placement of advertisements on various commercial websites, including Backpage.com. In many instances, rather than placing the Backpage.com advertisement themselves, sisters Serrah and Jessica Arnold, who acted as “bottom girls,” were told to post the advertisements using Backpage.com accounts belonging to the Arnolds.
On approximately June 1, 2013, 17-year-old Jane Doe 4 was introduced to Audry Lane, Serrah and Jessica Arnold, and Alvin Lane by a family friend of the Arnolds, defendant Ward. Ward asked the Lanes and Arnolds to teach Jane Doe 4 how to engage in commercial sex acts. Serrah and Jessica Arnold explained to Jane Doe 4 about Backpage.com and how to talk to commercial sex customers. Ward, along with Audry Lane, and later Alvin Lane, acted as Jane Doe 4’s pimp at various times between 2013 and 2015. All three pimps knew she was 17 when they began facilitating her commercial sex acts, and they kept the proceeds she earned. Various members of the group posted Jane Doe 4 on Backpage.com and facilitated her commercial sex acts.
On approximately October 10, 2015, friends Bonner and Stanley Johnson met 17-year-old Jane Doe 2 and her 16-year-old friend Jane Doe 1 in Fort Worth. They took the girls to a motel on Meacham Street in Fort Worth. Shortly thereafter, Stanley Johnson told Jane Doe 2 that he wanted her to engage in commercial sex acts, and he sought help from Audry Lane and Alvin Lane to post commercial sex ads for her on Backpage.com. Stanley Johnson told Jane Doe 2 how much to charge and he bought condoms for her; he also kept the money she made from engaging in commercial sex acts.
While Stanley Johnson was causing Jane Doe 2 to engage in commercial sex acts at a Fort Worth motel, Bonner was causing Jane Doe 1 to engage in commercial sex acts in another nearby room. After several days, Bonner left the hotel, and then Chad Johnson caused Jane Doe 1 to engage in commercial sex acts. Next, Nobles began causing Jane Doe 1 to engage in commercial sex acts. Stanley Johnson and Nobles eventually took both Jane Doe 1 and Jane Doe 2 to another hotel in Fort Worth where Stanley Johnson continued to cause Jane Doe 2 to engage in commercial sex acts.
According to documents filed in the case, one adult female victim engaged in commercial sex acts at the direction of Nobles, Chad Johnson, Audry Lane, Alvin Lane, and Serrah Arnold during 2014. Nobles frequently assaulted her when she made him angry or did not follow his instructions; he also raped her. Nobles kept the money she earned and the contact phone number used in the Backpage.com ad for her services was used by Nobles. In one trip to Austin, this adult female victim made enough money for Nobles to buy a Chevy sedan that he painted bright orange – “Poly Orange” in reference to their neighborhood Polytechnic Heights – that he still owns.
When an adult female victim engaged in commercial sex acts at Chad Johnson’s direction, he physically assaulted her if she did not follow his instructions. On one occasion, Chad Johnson punched her in the ear hard enough to cause her eardrum to burst and bleed. Chad Johnson also raped her, and when he believed she had attempted to “renegade,” he had several friends gang rape her as punishment. “Renegade” is a term used to describe attempting to engage in commercial sex acts for money outside the knowledge or control of a pimp.
When an adult female victim engaged in commercial sex acts at Audry Lane’s direction, he would have Serrah Arnold, his “bottom girl,” supervise the victim and take the money she received.
A minor female victim, 16 year-old Jane Doe 5, engaged in commercial sex acts at the direction of Audry Lane, Alvin Lane, Serrah Arnold and Jessica Arnold. Alvin Lane would have his girlfriend/bottom girl, Jessica Arnold post photos of her in ads that she placed on Backpage.com. The minor female victim would give all the money she earned to Jessica or Serrah Arnold, who would then give the money to Audry Lane or Alvin Lane.
Some of the pimp’s Facebook pages contained online posts, visible to the public, that reference making a lot of money through criminal activity, namely “pimping.” Chad Johnson’s Facebook page contained photos of him posing with large sums of cash while referencing commercial sex. Several of Chad Johnson’s Facebook friends were females observed in Backpage.com ads for commercial sex. Likewise, Diwone Nobles posted numerous videos and photos on Facebook instructing others on how to pimp, and showing him counting money with various sex trafficking victims.
Nobles, Bonner, Chad Johnson, Stanley Johnson, and Audry Lane had several photos on their Facebook pages in which they can be observed flashing gang signs referencing the “Polywood Crips” street gang.
The Bureau of Alcohol, Tobacco, Firearms and Explosives, U.S. Immigration and Customs Enforcement Homeland Security Investigations and the Fort Worth Police Department investigated. Assistant U.S. Attorney Cara Foos Pierce prosecuted.
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Two Kankakee Felons Sentenced for Firearms PossessionRead the Press Release
URBANA, Ill. - Two Kankakee men with prior felony convictions have been sentenced in federal court for illegal possession of guns. William D. Roper, 35, was sentenced on April 10, to 7 ½ years in federal prison. On April 7, Andre Davis, 33, was ordered to serve seven years in prison. The men have been in the custody of the U.S. Marshals Service since their respective arrests in separate cases in May 2016.
On Oct. 11, 2016, Roper, of the 600 block of S. Poplar Ave., pled guilty to possession of a .32 caliber semi-automatic pistol. At the time Roper possessed the gun, in April 2016, he had prior felony convictions in Kankakee County.
On Oct. 5, 2016, Davis, of the 300 block of N. Harrison, pled guilty to possession of firearms on three occasions. Davis admitted that at the time he possessed the guns, a .38 caliber revolver on Mar. 17, 2015; a .22 caliber pistol on Mar. 24, 2015; and a .45 caliber pistol on May 21, 2015, he had prior felony convictions that barred him from possession of a firearm.
The cases are the result of ongoing investigations related to gun violence in the Kankakee area by the Kankakee Area Project Safe Neighborhoods Task Force, the Bureau of Alcohol, Tobacco, Firearms, and Explosives, and the Kankakee Police Department. Supervisory Assistant U.S. Attorney Eugene L. Miller represented the government in the prosecution of Roper; Assistant U.S. Attorney Katherine V. Boyle prosecuted the case against Davis.
Three Members of Large Lebanon County Drug Trafficking Operation Convicted After Six-Day TrialRead the Press Release
HARRISBURG – The United States Attorney’s Office for the Middle District of Pennsylvania announced today that Julio Aviles, Sr., age 48, Michael Millan-Miranda, age 30, both from Lebanon, Pennsylvania, and Israel Nazario, age 61 of Philadelphia, Pennsylvania, all members of a Lebanon County Drug Trafficking Organization, were convicted today of various drug trafficking and firearms offenses. All three defendants were convicted of conspiracy to distribute and possess with intent to distribute one kilogram and more of heroin. Julio Aviles Sr. was also convicted of conspiracy to distribute and possess with intent to distribute cocaine base, also known as crack cocaine and cocaine powder, possession with intent to distribute 100 grams and more of heroin, 28 grams and more of crack cocaine and a quantity of cocaine hydrochloride, three counts of distribution of heroin, distribution of crack and cocaine powder, possession of a firearm in furtherance of drug trafficking, being a convicted felon in possession of firearms and maintaining a premise for the purpose of drug trafficking. Michael Millan-Miranda was also convicted of possession with the intent to distribute heroin and the distribution of heroin. Israel Nazario was also convicted of simple possession of heroin. The six-day trial was held in federal court in Harrisburg before United States District Judge John E. Jones, III. Prior to today, nine other individuals associated with this drug operation were charged and are awaiting sentencing for their roles in the drug trafficking operation.
According to United States Attorney Bruce D. Brandler, the two-year investigation by the Drug Enforcement Administration and the Lebanon County Drug Task Force culminated with the execution of search warrants at 513 Arnold Street and 443 North 6th Street, in Lebanon, Pennsylvania, on May 14, 2015. During the search at 513 Arnold Street, law enforcement agents discovered a “heroin mill” where kilogram amounts of heroin were being processed on a weekly basis. The evidence at trial revealed that Julio Aviles, Sr., a previously convicted drug dealer, owned and operated the heroin mill and employed a network of sellers, packagers, brokers and testers to conduct this illegal enterprise. Packagers were paid approximately $500 a week like factory workers to process and package the heroin for later distribution. The testers operated as quality assurance inspectors to ensure the heroin was of sufficient quality. At the time of the searches, law enforcement agents found over 400 grams of heroin, over 85 grams of cocaine powder, and over 71 grams of crack cocaine. A kilogram of heroin, which weighs approximately 2.2 pounds is equivalent to approximately 40,000 to 50,000 individual doses of heroin, any one of which can be fatal depending on its purity and the nature of its other ingredients. In this case the evidence established that the drug trafficking organization was mixing the heroin with Fentanyl, morphine, oxycodone and Lidocaine. Law enforcement agents estimated that this drug operation was distributing heroin, crack cocaine, and cocaine for a two-year period and during the last few months was distributing kilogram quantities of heroin, crack cocaine and cocaine powder. The value of the drugs distributed has a conservative street value of between $3 million and $5 million.
Located in the processing room were over 52,000 small Ziploc style bags, 37,000 small glassine bags and over 28,000 rubber bands that are used to package controlled substances. Each rubber band was used to package ten individual bags of heroin, called a bundle.
Law enforcement also located three handguns, ten rifles, six shotguns and paraphernalia consistent with a large-scale drug trafficking operation. During the search at 443 North 6th Street, law enforcement officers located additional quantities of heroin, cocaine powder, and crack cocaine along with drug packaging materials.
Thirteen individuals, all together were charged and are pending sentencing as part of this operation:
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Julio Aviles, Sr., age 48;
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Michael Millan-Miranda, age 30;
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Isrrael Nazario, age 61;
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Julio Aviles, Jr., age 23;
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Leandro Nazario, age 29;
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Carlos Nazario, age 70;
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Suheidy Soto-Concepcion, age 34;
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Eliezer Soto-Concepcion, age 35;
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Brenda Soto, age 34;
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Geidy Arroyo, age 36;
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Kengie Millan-Miranda, age 26;
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Brittany Rivera, age 23;
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Brent Moyer, age 21.
Julio Aviles, Jr., age 23, Brittany Rivera, age 23, Brent Moyer, age 21, Carlos Nazario, Brenda Soto and Geidy Arroyo all pled guilty to conspiracy to distribute and possess with intent to distribute 1,000 grams and more of heroin. On the day of trial, Leandro Nazario, Eliezer Soto-Concepcion and Suheidy Soto-Concepcion all pled guilty to conspiracy to distribute and possess with intent to distribute 1,000 grams and more of heroin, 280 grams and more of cocaine base, or crack cocaine and an unspecified quantity of cocaine hydrochloride or powder cocaine. One charged individual, Kengie Millan-Miranda, remains a fugitive. If you have any information on the whereabouts of Kengie Millan-Miranda, please contact Crime Stoppers at 717-270-9800.
District Attorney David Arnold stated, “I’d like to congratulate the United States Attorney’s Office, First Assistant District Attorney Nichole Eisenhart, DEA, Lebanon County Drug Task Force and all law enforcement for their outstanding work in prosecuting all of these defendants who distributed heroin in Lebanon County. Their efforts to stop the spread of this poison that continues to kill our citizens have been outstanding and I look forward to the continued interagency cooperation to combat drug dealers.”
“No one ever wants a massive, well-structured drug distribution organization in your City. Heroin is killing too many people in Pennsylvania and across this nation. However, I know having a dedicated team from so many law enforcement bodies working together with one common goal, is huge in the effort to combat this crisis. I want to congratulate all those involved in this investigation. This is a good day for law enforcement and a win in the battle against Heroin,” said Chief Todd H. Breiner, Lebanon City Police Department.
“The joint investigation, prosecution, and subsequent conviction of these individuals involved in high-level drug trafficking underscores the importance of cooperative efforts among the law enforcement agencies involved in the case,” said Chief Bruce D. Harris, Cornwall Borough Police Department.
“The dismantling of the Aviles poly-drug trafficking organization was the result of an enormously successful, jointly-conducted criminal investigation and prosecution that once again illuminated the great work being done together by local and federal officials on behalf of the citizens of Central Pennsylvania,” said Jeffrey A. Bielski, Resident Agent in Charge, Drug Enforcement Administration.
The investigation was conducted by the Drug Enforcement Administration, Lebanon County Drug Task Force, Lebanon County Detective Bureau, Lebanon City Police Department, Cornwall Borough Police Department, and assisted by the Lebanon County Probation Department. Special Assistant United States Attorney Nichole Eisenhart who also serves as the First Assistant District Attorney in Lebanon County, Pennsylvania and Assistant United States Attorney Daryl F. Bloom, Chief of the Organized Crime and Drug Enforcement Task Force prosecuted the case.
A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
Julio Aviles, Sr. is subject to an enhanced penalty due to his prior drug trafficking conviction and is subject to a mandatory sentence of life imprisonment. The maximum penalty under federal law for the remaining defendants is life imprisonment, a term of supervised release following imprisonment and a fine. The conspiracy count also requires a mandatory term of imprisonment of ten years and the possession with intent to distribute count carries a mandatory term of imprisonment of five years. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant's educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
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The United States Attorney’s Office Announces the Completion of the Settlement Agreement in the Civil Division’s Case Against Guam’s Department of CorrectionsRead the Press Release
SHAWN N. ANDERSON, Acting United States Attorney for the Districts of Guam and the Northern Mariana Islands, announced that the U.S. Department of Justice and the Territory of Guam today jointly filed a motion to dismiss in the U.S. District Court, to terminate a 1991 Settlement Agreement for the civil reform of conditions in Guam’s jail and prison facilities.
“The completion of this civil Settlement Agreement demonstrates the U.S. Department of Justice’s continuing commitment to ensure that all men and women who are detained or serving prison sentences receive the protections guaranteed by the Constitution,” said Acting United States Attorney Shawn N. Anderson. “Guam’s compliance with the terms of the Settlement Agreement means inmates and detainees are more likely to be housed in cleaner and safer conditions, and that they will have adequate access to vital health care services.”
The United States Attorney’s Office continues to pursue other cases and matters involving federal criminal violations connected with the Guam Department of Corrections.
The Settlement Agreement resolved the United States’ allegations of a pattern or practice of constitutional violations in Guam’s correctional facilities related to fire safety, sanitation, and access to health care. The case was brought under the Civil Rights of Institutionalized Persons Act (42 U.S.C. § 1997), which protects the federal rights of people in state and locally operated institutions, including nursing homes, hospitals, and correctional facilities. To comply with the Settlement Agreement and remedy the constitutional violations, the United States Attorney’s Office and the Office of the Attorney General of Guam participated in a series of hearings before the U.S. District Court of Guam. The Office of the Attorney General of Guam partnered with national experts and recruited specialists within the Government of Guam, resulting in improvements to the fire safety and sanitation systems throughout its facilities. The Attorney General of Guam completely overhauled the Department of Correction’s health care practices by transferring control of its clinic to staff at Guam Memorial Hospital.
The case was handled by attorneys from the U.S. Department of Justice’s Civil Rights Division, Special Litigation Section, in Washington, D.C. and the U.S. Attorney’s Office for the Districts of Guam and the Northern Mariana Islands.
United States of America v. Territory of Guam, et al., Case No. 91-CV-00020 (D. Guam), Joint Motion for Dismissal and Memorandum in Support attached.
United States of America v. Territory of Guam, et al., Case No. 91-CV-00020 (D. Guam), 1991 Settlement Agreement attached as Exhibit A.The U.S. Attorney’s Office Announces Settlement Agreement to Resolve Americans with Disabilities Act ViolationsRead the Press Release
The Fill Building Associates, L.L.C., d/b/a Fill Building East, owner of a professional office building located at 27301 Dequindre Rd. in Madison Heights, Michigan, has agreed to make a number of structural changes to the building to resolve allegations that it was inaccessible to individuals with mobility disabilities in violations of the Americans with Disabilities Act (ADA), announced Daniel L. Lemisch, acting United States Attorney.
The settlement agreement resolves an investigation following a complaint filed by a person with a disability who was unable to access her physician’s office due to architectural barriers present at the building. Under the terms of the settlement agreement, the building owners agreed to make renovations to the facility so that parking, office space, restrooms, elevators and other public areas are accessible to people with disabilities.
“When a building is inaccessible, it is essentially a proclamation to people with disabilities that they are not welcomed or valued there,” said Daniel L. Lemisch, acting U.S. Attorney. “This is why it’s so important for owners of existing buildings to understand that they are obligated under the ADA to remove all architectural barriers where readily achievable to do so and why the US Attorney’s Office will continue its vigorous ADA enforcement efforts.”
Today’s agreement was reached under Title III of the ADA, which prohibits discrimination against individuals with disabilities by businesses that serve the public. The United States Attorney’s Office for the Eastern District of Michigan will monitor compliance with the agreement until all required actions are completed.
More information about this settlement and the ADA is available at the Justice Department's toll free ADA Information line at (800) 514 0301 or (800) 514 0383 (TTY) and on the ADA website at www.ada.gov. ADA complaints may be emailed to [email protected] or by contacting the U.S. Attorney's Office’s civil rights hotline at (313) 226-9151.
Suspended New Jersey Attorney Admits to Failing to Pay TaxesRead the Press Release
NEWARK, N.J. B A suspended Essex County, New Jersey, lawyer today admitted he failed to pay personal and employment payroll taxes, Acting U.S. Attorney William E. Fitzpatrick announced.
Richard Roberts, 79, of Bloomfield, New Jersey, pleaded guilty before U.S. District Judge U.S. District Judge Esther Salas in Newark federal Court to an information charging him with one count of failing to pay payroll taxes and one count of failing to pay personal income taxes.
According to documents filed in the case and statements made in Court:
Roberts was the sole owner of legal practice he operated out of a law office in Newark. He maintained at least one employee, besides himself, and managed all aspects of the law office. Roberts was required to deduct and withhold federal income and insurance taxes from his employees’ wages. He was required to prepare and file quarterly forms that reported to the IRS the total amount of wages paid by an employer to all employees (Forms 941). Roberts was required to pay the employer’s portion of the payroll tax to the IRS. For the 12 quarters of the tax years 2009 through 2011, Roberts failed to make any payroll tax payment to the IRS. In each quarter, Roberts either failed to file a Form 941 or failed to pay the payroll tax reflected on the form.
Roberts has not paid personal income taxes since at least 2000. On June 24, 2012, Roberts filed a tax return for the tax years 2007 through 2010, listing the amount of tax due on each return. For example, on the 2010 tax return, Roberts listed a tax due of $20,361, but he has to date failed to pay the tax for tax years 2007 through 2010.
The count of failure to pay payroll taxes carries a maximum potential penalty of five years in prison and a fine of the greater of $250,000, twice the gross profits to Roberts or twice the gross loss to the victim. The count of failure to pay income taxes carries a maximum potential penalty of one year in prison and a fine of the greater of $100,000, twice the gross profits to Roberts or twice the gross loss to the victim. Sentencing is scheduled for Aug. 1, 2017.
Acting U.S. Attorney Fitzpatrick credited special agents of IRS-Criminal Investigation, under the direction of Special Agent in Charge Jonathan D. Larsen, and investigators of the U.S. Attorney’s Office with the investigation leading to today’s guilty plea.
The government is represented by Assistant U.S. Attorney Andrew Kogan of the U.S. Attorney’s Office Economic Crimes Unit.
Defense counsel: Lisa Mack Esq., Assistant Federal Public Defender, Newark
Sterling Mail Carrier Tayson Hidalgo Sentenced for Delay and Destruction of MailRead the Press Release
DENVER – Tayson Adam Hidalgo, age 23, of Sterling, Colorado, was sentenced today by U.S. District Court Judge R. Brooke Jackson to serve 2 years’ probation during which he is to spend 200 hours doing community service for delay or destruction of the mail. Hidalgo was also ordered to pay restitution of $1,506.76 to the victims of his crime. The sentence was handed down today, Tuesday, April 11, 2017.
According to court records, between October 3, 2014 and April 21, 2016, the defendant, a U.S. Postal Service officer and employee did unlawfully secret, destroy, detain, delay and open letters, post cards, packages, bags and mail entrusted to him and which came into his possession with the intention that he or any carrier deliver the mail to intended recipients.
During the course of this case, the United States Attorney’s Office, working closely with the U.S. Postal Service and the U.S. Postal Inspector, returned over 26,000 pieces of undelivered mail that was located during this investigation. The recovered mail was addressed to residents within the city limits of Sterling, Colorado and several local postal routes in Fort Morgan, Colorado.
This case was investigated by the U.S. Postal Service Office of the Inspector General and the Sterling Police Department. The defendant was prosecuted by Assistant U.S. Attorney Jason St. Julien.
State Senator Indicted on Conspiracy and Theft ChargesRead the Press Release
Today a federal grand jury returned an indictment charging a state senator with conspiracy and theft crimes, announced Acting United States Attorney Daniel L. 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 Manny Muriel, Special Agent in Charge of the Internal Revenue Service-Criminal Investigation.
Charged was Bertram Johnson, Jr., 43, of Highland Park, Michigan
The two-count indictment charges that from approximately March 2014 through January 2015, Johnson, Jr., a Senator for the State of Michigan, conspired to commit theft, and did commit theft, of monies under the care, custody, and control of the State of Michigan.
According to the indictment, Johnson borrowed thousands of dollars in cash from an unnamed co-conspirator, and later placed that co-conspirator on the public payroll as a member of his staff, knowing that the co-conspirator was a “ghost employee” who contributed no work on behalf of Johnson’s staff. The indictment alleges that Johnson placed this “ghost employee” on the public payroll solely to pay off Johnson’s personal loan debt, and that the ghost employee was paid over $23,000 in taxpayer money.
“Theft of taxpayer’s money by elected public officials, as these charges allege, is disheartening and will not be tolerated" Lemisch said.
"Today’s indictment is an unfortunate reminder that public officials sometimes squander the public’s trust in exchange for personal gain", said David P. Gelios, Special Agent in Charge, Detroit Division of the FBI. “Rooting out public corruption at all levels of government is an investigative priority of the FBI.”
“Senator Johnson’s alleged actions abused the trust of his constituents and amounted to simple theft,” said IRS-Criminal Investigation Special Agent in Charge Manny Muriel of the Detroit Field Office. “It is in these cases that the IRS takes particular interest in individuals, allegedly abusing the power they have been entrusted with – for their own personal benefit. This investigation exemplifies interagency collaboration and the United States’ commitment to combat the abuse of power and to elevate transparency and accountability
This case was investigated by agents of the FBI and IRS-CI. This case is being prosecuted by Assistant United States Attorneys J. Michael Buckley and Frances Carlson.
If convicted on all charges, Johnson faces a statutory maximum penalty of ten years in prison.
An indictment is only 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.
Shelby County Resident Sentenced to Prison for Reciept and Possession of Child PornographyRead the Press Release
COUNCIL BLUFFS, IA - On April 11, 2017heather Jean Reekr, Matthew E. Gross, a 40 year-old resident of Westphalia, Iowa, was sentenced by Chief United States District Court Judge John A. Jarvey to 60 months in prison, and five years of supervised release to follow his imprisonment, for receipt and possession of child pornography, announced United States Attorney Kevin E. VanderSchel.
On November 3, 2016, the defendant pled guilty to a two-count indictment, charging him with possession and receipt of child pornography. The defendant received child pornography images from at least as early as February of 2014 and up to August of 2014. In addition, the defendant was found in possession of child pornography images on or about September 25, 2014, in his Westphalia residence.
This investigation was conducted by the Iowa Department of Public Safety, Division of Criminal Investigation, the Iowa Internet Crimes Against Children Task Force, and the Shelby County Sheriff’s Office. 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 calling Rachel J. Scherle at 515-473-9300, or by emailing her at [email protected].
Second Joplin Man Pleads Guilty to Attempted Armed Bank Robbery Foiled by CustomerRead the Press Release
SPRINGFIELD, Mo. – Tom Larson, Acting United States Attorney for the Western District of Missouri, announced that a Joplin, Mo., man pleaded guilty in federal court today to the attempted armed robbery of Pinnacle Bank in Joplin.
Jimmy Eisenhour, 36, of Joplin, pleaded guilty before U.S. Magistrate Judge David P. Rush to the charges contained in a Jan. 18, 2017, superseding indictment.
By pleading guilty today, Eisenhour admitted that he aided and abetted in the robbery of Pinnacle Bank, 1316 E. 32nd Street, Joplin, on Nov. 14, 2016. Eisenhour also pleaded guilty to aiding and abetting the use of a firearm during a crime of violence.
Co-defendant Sean LaDue, 29, of Joplin, pleaded guilty to the same charges on March 22, 2017.
Eisenhour and LaDue entered the bank at approximately 3:50 p.m. and announced, “This is a robbery, get down!” Eisenhour went behind the bank counter while LaDue stayed near the front of the bank. The sole customer of the bank struggled with LaDue in the bank lobby. During the struggle, LaDue produced a firearm and fired three shots. Both robbers then fled from the bank without taking any money.
Police officers located and arrested both Eisenhour and LaDue two days later, on Nov. 16, 2016.
Under federal statutes, Eisenhour and LaDue are each subject to a mandatory minimum sentence of 10 years in federal prison without parole, up to a sentence of life in federal prison without parole. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes, as the sentencing of the defendant will be determined by the court based on the advisory sentencing guidelines and other statutory factors. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
This case is being prosecuted by Assistant U.S. Attorney James J. Kelleher. It was investigated by the Joplin, Mo., Police Department and the FBI.
San Juan County Felon Pleads Guilty to Violating Federal Firearms LawsRead the Press Release
ALBUQUERQUE – Justin Krantz, 32, of Aztec, N.M., pled guilty today in federal court in Albuquerque, N.M., to being a felon in possession of a firearm and ammunition. Under the terms of his plea agreement, Krantz will be sentenced to 57 months in prison followed by a term of supervised release to be determined by the court.
Krantz arrested in Nov. 2016, on an indictment charging him with being a felon in possession of a firearm and ammunition on May 4, 2016, in San Juan County, N.M. According to the indictment, Krantz was prohibited from possessing firearms or ammunition because of his prior conviction on drug trafficking charges.
During today’s proceedings, Krantz pled guilty to the indictment and admitted that on May 4, 2016, he was in possession of a firearm and ammunition. Krantz further admitted that he was prohibited from being in possession of firearms or ammunition because of his prior felony convictions. Krantz remains in custody pending a sentencing hearing, which has yet to be scheduled.
This case was investigated by the Albuquerque office of the Bureau of Alcohol, Tobacco, Firearms and Explosives and the San Juan County Sheriff’s Office. Assistant U.S. Attorney Eva Fontanez is prosecuting the case.
Rocky Mount Man Sentenced on Enticement ChargesRead the Press Release
Roanoke, VIRGINIA – A Rocky Mount man, who contacted at least two local teenagers via social media and exchanged explicit sexual messages with them and attempted to coerce them into meeting with him to engage in sex acts, was sentenced today in the United States District Court for the Western District of Virginia in Roanoke, Acting United States Attorney Rick A. Mountcastle announced.
David Lee Fox, 63, of Rocky Mount, Va., previously pled guilty to two counts of coercion and enticement of a juvenile. Today in District Court, Fox was sentenced to 10 years in federal prison and 20 years of supervised release upon his release.
According to evidence presented at previous hearings by Assistant United States Attorney Ronald M. Huber, in August 2015 Fox initiated contact with a 14-year-old female, Victim A, via Facebook. Victim A initially ignored the defendant, who over numerous days continued to attempt to engage her in conversation.
On September 30, Victim A responded to Fox’s attempts at conversation and Fox told Victim A she was pretty. The conversation quickly turned sexual, with Fox asking if Victim A had a picture of herself in a bar or bikini and if she could take one and send it to him. Fox told Victim A to promise not to tell anybody about their conversation. Victim A told her parents about the exchanges with Fox. On that same day, Victim A’s parents contacted the ICAC/Franklin County Sheriff Office about the exchanges and gave law enforcement permission to assume control of Victim A’s Facebook account. All messages from Victim A’s Facebook account after that date were controlled by law enforcement.
Between October 2 and October 22, Fox initiated contact with Victim A’s Facebook account multiple times. On October 21, Fox asked Victim A is she knew Victim B.
On October 22 Fox expressed concern about Victim A’s family discovering their conversation, but Victim A reassured him. Fox then went on to discuss his penis size and asked Victim A about her breasts as well as her sexual experiences. Fox asked if Victim A would meet him and continued to describe sexual acts he would like to do to Victim A. Victim A agreed to meet Fox at the Franklin County Baptist Church around 4 p.m. on the afternoon of October 22.
On the afternoon of October 22, an investigator with the Franklin County Sheriff’s Office, the Virginia State Police and the Rocky Mount Police waited at the church for Fox to arrive. When law enforcement observed a man fitting Fox’s description arrive in the church’s parking lot to meet who he thought was Victim A, he was arrested and charged with solicitation of a minor to perform sex acts.
Prior to his arrest, Fox was also simultaneously being investigated for his online interactions with another minor female. On October 2, 2015, a Roanoke County Police detective contacted the Franklin County Sheriff’s Office regarding Victim B, another juvenile female, who had received a suspicious message from Fox’s Facebook account. The parents of Victim B gave law enforcement permission to assume control of their daughter’s Facebook account.
As with Victim A, Fox again engaged in sexual conversations with Victim B, asking her to send him pictures of herself in her bra and bikini and stressed to not let anyone know what the two of them were talking about. Unlike with Victim A, with Victim B, Fox initially lied about his age, at first saying he was a teenager himself before later admitting he was much older.
Throughout multiple conversations, Fox repeatedly described sex acts he wanted to perform on Victim B, sent her images of himself and images sexual in nature and, on multiple occasions attempted to make plans to meet her in person. The night Fox and Victim B planned to meet in person, Fox cancelled, telling Victim B he had to go out of town, however, he was in fact going to meet Victim A, where he was ultimately arrested.
The investigation of the case was conducted by Franklin County Sheriff’s Office, the Southern Virginia Internet Crimes Against Children Task Force, the Franklin County Commonwealth’s Attorney, United States Immigration and Customs Enforcement Homeland Security Investigations, the Virginia State Police and the Rocky Mount Police Department. Assistant United States Attorney Ronald M. Huber prosecuted the case for the United States.
Ponzi Scheme Manager Sentenced to over 4 Years in Prison for Scheme That Stole over $1.5M from Victims in Visalia and ElsewhereRead the Press Release
FRESNO, Calif. — Bonnie Lynn Recinos, 56, of Mesa, Arizona, was sentenced Monday by United States District Judge Dale A. Drozd to four years and seven months in prison and was ordered to pay over $1.5 million in restitution for conspiracy to commit mail and wire fraud in connection with an investment fraud scheme, U.S. Attorney Phillip A. Talbert announced.
According to court documents, between April 2006 and August 2009, Recinos, who was doing business as Farr and Associates and Farr Financial Group, conspired with others to defraud investors of money. In most instances, Recinos offered individuals an opportunity to purportedly invest in a real estate project. Recinos told investors that the company was an investment group for business and real estate in Arizona, that their investment was secured by Farr assets, and that they would typically earn 3 –5 percent interest per month. As a result of Recinos’ false representations, investors gave money to invest in the purported real estate projects. However, instead of investing the money, Recinos used it for her own business and personal expenses.
As part of the conspiracy, Recinos would periodically have statements sent to the investors showing the purported progress of their investments and the interest earned to date. Recinos would also use investors’ money to pay interest amounts owed to other investors. Both the statements and the periodic payments lulled the investors into believing that their investments were legitimate, brought in new investors, and helped to avoid detection by law enforcement. Investors lost more than $1.5 million as a result of the fraud scheme.
This case was the product of an investigation by the Federal Bureau of Investigation. Assistant U.S. Attorney Henry Z. Carbajal III and Megan A. S. Richards prosecuted the case.
Pocahontas County man guilty of illegal possession of a firearmRead the Press Release
MARTINSBURG, WEST VIRGINIA – Archie Ray Arbogast, of Dunmore, West Virginia, was convicted for illegally possessing a firearm, Acting United States Attorney Betsy Steinfeld Jividen announced.
Arbogast, 40, having previously been convicted of the felony offense “Possession of Material Use in the Manufacture of Methamphetamine” in federal court in the Northern District of West Virginia, admitted to possession of a .22 caliber rifle, in Pendleton County, West Virginia in May 2016.
Arbogast pled guilty to one count of “Unlawful Possession of Firearm.” He faces up to ten years in prison and a fine up to $250,000 for each count. 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 Stephen D. Warner is handling the case on behalf of the government. The Bureau of Alcohol, Tobacco, Firearms, and Explosives, the United States Marshals Service, and the West Virginia State Police is investigating.
U.S. District Judge John Preston Bailey presided.
Pittsburgh Man Admits Defrauding Pittsburgh-area BanksRead the Press Release
PITTSBURGH, PA – A resident of Allegheny County, PA, has pleaded guilty in federal court on a charge of fraud conspiracy, Acting United States Attorney Soo C. Song announced today.
Maleake Clark, 26 of Pittsburgh, PA, pleaded guilty to one count before United States District Judge David S. Cercone.
According to the indictment, Maleake and others agreed to defraud Pittsburgh-area banks by depositing counterfeit checks by remote mobile deposit, and then making a series of withdrawals against funds credited from the deposited checks.
Judge Cercone scheduled the sentence for sentencing for August 21, 2017 at 10 a.m. The law provides for a maximum total sentence of not more than 30 years in prison, a fine of $1,000,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Gregory C. Melucci is prosecuting this case on behalf of the government.
The Western Pennsylvania Financial Crimes Task Force (WPFCTF) conducted the investigation that led to the successful prosecution of the defendant. The WPFCTF was established as a collaborative, multi-agency effort to effectively combat financial crimes, including identity fraud, in Western Pennsylvania. Partnering in this effort are the United States Attorney's Office for the Western District of Pennsylvania, the United States Secret Service, the United States Postal Inspection Service, the Department of Homeland Security, the Allegheny County District Attorney's Office, the Allegheny County Police Department, the City of Pittsburgh Bureau of Police and the Pennsylvania State Police.
Physician Charged with Willfully Failing to File Income Tax ReturnsRead the Press Release
PITTSBURGH – A medical doctor has been charged by Information in federal court in Pittsburgh with three counts of Willfully Failing to File Income Tax Returns, Acting United States Attorney Soo C. Song announced today.
According to the Information filed yesterday, Rodney J. Williams of Washington County failed to file tax returns from 2009 to 2011. During those three years he had gross income of $790,385.
The law provides for a maximum total sentence of not more than three years in prison, a fine of $300,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Nelson P. Cohen is prosecuting this case on behalf of the government.
The Internal Revenue Service-Criminal Investigations conducted the investigation leading to the filing of an Information in this case.
An Information is an accusation. A defendant is presumed innocent unless and until proven guilty.
Philadelphia Felon Charged with Possession of A Firearm in Furtherance of Drug TraffickingRead the Press Release
Anthony Tyson, a/k/a “Anthony Moore,” a/k/a “Anthony Johnson,” a/k/a “Basil Moore,” 40, of Philadelphia, was charged today by Indictment with by indictment with one count of possession of a firearm by a convicted felon, one count of possession with intent to distribute controlled substances, and one count of possession of a firearm in furtherance of drug trafficking, announced Acting United States Attorney Louis D. Lappen. According to the Indictment[1], the defendant was found on December 30, 2016 in Philadelphia illegally possessing a Colt revolver, as well as cocaine base (“crack”).
If convicted, the defendant faces up to 35 years of incarceration, of which 5 years is a mandatory sentence, a 3‑year period of supervised release, a $750,000 fine, and a $300 special assessment.
The case was investigated by the Bureau of Alcohol, Tobacco, and Firearms and the Philadelphia Police Department, and is being prosecuted by Assistant United States Attorney Amanda R. Reinitz.
[1] An Indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Philadelphia Couple Charged with Criminal Tax OffensesRead the Press Release
Edward W. Millstein, 54, and Susan P. Halpern, 58, of Philadelphia, Pennsylvania, were charged today by Indictment1 with criminal tax offenses announced Acting United States Attorney Louis D. Lappen. Millstein and Halpern, who were a married couple, allegedly owe $444,225.53 for the taxable years 2007 through 2011. Millstein was charged with one count of willful attempts to evade tax and two counts of failure to pay taxes, while Halpern was charged with two counts of failure to pay taxes. If convicted, Millstein faces up to seven years in jail, three years of supervised release, $450,000 in fines, and a $300 special assessment. Halpern faces up to two years in jail, one year of supervised release, $200,000 in fines, and $200 special assessment.
The case was investigated by the Internal Revenue Service, Criminal Investigation Division and is being prosecuted by Assistant United States Attorney Jason P. Bologna.