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Thursday 23 February 2017
Las Cruces Man Sentenced to Ten Years for Federal Methamphetamine Trafficking ConvictionRead the Press Release
ALBUQUERQUE –Jessie Jesus Marquez, 37, of Las Cruces, N.M., was sentenced last week in federal court to 121 months in prison followed by five years of supervised release for his conviction on narcotics trafficking charges. The sentence was announced by U.S. Attorney Damon P. Martinez, Special Agent in Charge Will R. Glaspy of the DEA’s El Paso Division, El Paso Sector’s Chief Patrol Agent, Jeffrey D. Self of the U.S. Border Patrol, Lt. Bobby Holden, Commander of the HIDTA Regional Interagency Drug Task Force/Metro Narcotics Task Force and Chief Pete N. Kassetas of the New Mexico State Police.
Marquez was one of 18 defendants indicted on Oct. 16, 2013, on methamphetamine trafficking charges. The 43-count indictment charged Marquez and his co-defendants with participating in a tristate drug trafficking organization that obtained methamphetamine from Arizona and Texas and distributed the drugs in Otero and Doña Ana Counties, N.M., between Jan. 2013 and June 12, 2013. Among other charges, the indictment charged Marquez with possessing methamphetamine with intent to distribute on March 16, 2013 and April 17, 2013, and with using a telephone to facilitate drug trafficking crimes on three dates in April 2013 and on June 3, 2013.
The indictment was the result of an eleven-month multi-agency investigation led by the DEA that was designated as part of the Organized Crime Drug Enforcement Task Force (“OCDETF”) program. The OCDETF program is a nationwide Department of Justice program that combines the resources and unique expertise of federal agencies, along with their local counterparts, in a coordinated effort to disrupt and dismantle major drug trafficking organizations. During the course of the investigation, law enforcement officers seized approximately 3.3 kilograms of methamphetamine and $16,000 in cash.
Marquez’s 17 co-defendants entered guilty pleas to various counts of the indictment, and Marquez alone proceeded to trial. Marquez’s trial on the seven counts of the indictment began on Jan. 25, 2016, and concluded on Jan. 27, 2016, when the jury returned a verdict finding Marquez guilty on six of the seven counts against him and acquitting Marquez on one methamphetamine trafficking charge. The evidence at trial showed that pursuant to a Court-authorized wiretap, agents intercepted numerous communications establishing Marquez’s involvement in the conspiracy and in methamphetamine trafficking.
This case was investigated by the Las Cruces office of the DEA, the U.S. Border Patrol, the HIDTA Regional Interagency Drug Task Force/Metro Narcotics Task Force and the New Mexico State Police. Assistant U.S. Attorneys Sarah M. Davenport and Selesia Lee Winston are prosecuting the case.
The HIDTA Regional Interagency Drug Task Force/Metro Narcotics Task Force is comprised of officers from the Las Cruces Police Department, the Doña Ana County Sheriff’s Office, the FBI, HSI and the New Mexico State Police. The High Intensity Drug Trafficking Areas (HIDTA) program was created by Congress with the Anti-Drug Abuse Act of 1988. HIDTA is a program of the White House Office of National Drug Control Policy (ONDCP) which provides assistance to federal, state, local and tribal law enforcement agencies operating in areas determined to be critical drug-trafficking regions of the United States and seeks to reduce drug trafficking and production by facilitating coordinated law enforcement activities and information sharing.
Jacob “Kobi” Alexander Sentenced to 30 Months in Prison for Securities FraudRead the Press Release
BROOKLYN N.Y. – Jacob Alexander, also known as “Kobi Alexander,” an Israeli national, was sentenced earlier today to 30 months in prison after having pleaded guilty to securities fraud for his role in a stock options backdating scheme involving Comverse Technologies Inc. (Comverse). Alexander was a former Chief Executive Officer and Chairman of the Board of Directors of Comverse, which was traded on the NASDAQ stock market. Comverse was a component stock of the S&P 500 and the NASDAQ 100 at the time of the offense. Last year, Alexander was extradited from Namibia after having been indicted in the Eastern District of New York more than ten years ago. Today’s sentence represents the longest term of incarceration imposed by a court in connection with an options backdating scheme.
The sentencing was announced by U.S. Attorney Robert L. Capers of the Eastern District of New York, and William F. Sweeney, Jr., Assistant Director-in-Charge, Federal Bureau of Investigation, New York Field Office (FBI). In addition, Mr. Capers thanked the Securities and Exchange Commission (SEC) and the Department of Justice’s Office of International Affairs (OIA) for their cooperation and assistance in the prosecution.
“Today’s sentence should send a powerful message to high ranking executives that corporate rank is no shield to criminal liability. CEOs and other members of the C-suite who commit crimes will be held to account to the full extent of the law. For more than ten years, law enforcement pursued Kobi Alexander, and now he has finally been punished for his role in a securities fraud scheme,” stated United States Attorney Capers. “We will continue to follow the evidence in all of our cases, wherever it may lead, and protect the investing public.”
“Kobi Alexander thought he could outwit the law, not once, but twice. First by committing the crimes he’s accused of, and a second time by fleeing the country when he became aware his actions had caught up to him. This case serves as a reminder that the FBI's reach is global, and our commitment to seeing justice served doesn't stop at a border—out of sight will never mean out of mind, and we don’t let you get away that easily,” stated FBI Assistant Director-in-Charge Sweeney.
According to documents filed in this case, Comverse was a communications software company with offices in Woodbury, New York. Between 1998 and 2006, the defendant and his coconspirators engaged in a fraudulent backdating scheme using hindsight to select the issuance date of Comverse stock options, which they awarded to themselves and Comverse employees, and then lied about this practice to investors in public filings and elsewhere. In doing so, the defendant and his coconspirators were able to select issuance dates when Comverse stock was trading lower, thereby awarding themselves and Comverse employees “in-the-money” options without properly accounting for these options in Comverse’s financial disclosures to investors. By backdating options, the defendant and his coconspirators violated accounting rules and caused Comverse to overstate its profits. Additionally, the backdated options also violated the terms of Comverse’s stock option plans that were approved by its shareholders. As the top recipient of stock options in every company-wide grant, the defendant gained approximately $30 million in paper profits from the scheme. Ultimately, the defendant agreed to pay $60 million in forfeiture and civil settlements, which was applied as restitution to compensate Comverse and its shareholders.
When the defendant’s conduct came to light, he attempted to obstruct justice by offering to bribe a witness to make false statements to federal investigators. Shortly before being charged in connection with his scheme, and after he was aware of the government’s investigation, the defendant moved to Namibia, where he relocated with his family. The government promptly sought the defendant’s extradition.
Today's proceeding took place before United States District Judge Nicholas G. Garaufis.
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The government’s case is being prosecuted by the Office’s Business and Securities Fraud Section. Assistant United States Attorney James P. Loonam is in charge of the prosecution and led the Office’s efforts to secure Alexander’s extradition from Namibia, with assistance from the Department of Justice’s Office of International Affairs.
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The Defendant:
JACOB ALEXANDER, also known as “Kobi Alexander”
Age: 64
E.D.N.Y. Docket No. 06-CR-628 (NGG)
Husband and Wife Sentenced to Federal Prison for Production of Child PornographyRead the Press Release
In San Antonio yesterday, 27-year-old William Richard Welsh and 23-year-old Ashleigh Nicole Browning Welsh were sentenced to 327 months in federal prison for production of child pornography announced United States Attorney Richard L. Durbin, Jr., and Homeland Security Investigations (HSI) Special Agent in Charge Shane Folden, San Antonio Division.
In addition to the prison term, United States District Judge Xavier Rodriguez ordered the Welshes be placed under supervised release for a period of 20 years after completing their prison term.
According to court records, HSI received information that a New Zealand individual was receiving images and videos depicting children engaged in sexually explicit conduct from a Kik Messenger account with subscriber information indicating the account holder resided in San Antonio. Authorities were able to identify the adults in the videos as the Welshes living in the San Antonio, TX area.
Agents from HSI interviewed the Welshes who admitted to producing the child pornography in their home at that time in Stockdale, TX.
The Welshes have remained in custody since being arrested in December 2015. On October 6, 2016, Ashleigh Welsh pleaded guilty to three counts of production of child pornography and on October 13, 2016, William Welsh pleaded guilty to three counts of production of child pornography.
“The heavy sentence imposed on Mr. and Mrs. Welsh sends a clear message that there are serious consequences for those who exploit children in any way,” said Special Agent in Charge, Shane Folden, HSI San Antonio. “Targeting crimes of this nature is a high priority for HSI. We will continue to dedicate HSI resources worldwide to identify and bring to justice these individuals."
This investigation was conducted under HSI’s Operation Predator, an international initiative to protect children from sexual predators. Since the launch of Operation Predator in 2003, HSI has arrested more than 14,000 individuals for crimes against children, including the production and distribution of online child pornography, traveling overseas for sex with minors, and sex trafficking of children. In fiscal year 2015, nearly 2,400 individuals were arrested by HSI special agents under this initiative and more than 1,000 victims identified or rescued.
HSI encourages the public to report suspected child predators and any suspicious activity through its toll-free Tip Line at 1-866-DHS-2-ICE or by completing its online tip form. Both are staffed around the clock by investigators. From outside the U.S. and Canada, callers should dial 802-872-6199. Hearing impaired users can call TTY 802-872-6196.
Suspected child sexual exploitation or missing children may be reported to the National Center for Missing & Exploited Children, an Operation Predator partner, via its toll-free 24-hour hotline, 1-800-THE-LOST.
For additional information about wanted suspected child predators, download HSI’s Operation Predator smartphone app or visit the online suspect alerts page.
This investigation was conducted by the U. S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) with assistance from the Guadalupe County Sheriff’s Office. Assistant United States Attorney Tracy Thompson prosecuted this case on behalf of the government.
Honduran National Sentenced for Being an Illegal Alien in Possession of a FirearmRead the Press Release
U.S. Attorney Kenneth A. Polite announced that JORGE EDUARDO VALLEJO, age 37, a citizen of Honduras, was sentenced today after previously pleading guilty to a one-count Indictment charging him with violations of the Federal Gun Control Act.
U.S. District Judge Nannette Jolivette Brown sentenced VALLEJO to 10 months imprisonment to be followed by 1 year of supervised release. Following completion of his sentence, VALLEJO will be surrendered to the custody of the U.S. Immigration and Customs Enforcement for removal proceedings.
According to the court records, on or about July 12, 2014, VALLEJO, an alien illegally in the United States, was found in possession of a SCCY Model CPX-2, 9mm semi-automatic pistol.
U.S. Attorney Polite praised the work of the Homeland Security Investigations of the U.S. Department of Homeland Security in investigating this matter. Assistant United States Attorney Spiro G. Latsis was in charge of the prosecution.
Honduran National Pleads Guilty to Illegal ReentryRead the Press Release
U.S. Attorney Kenneth A. Polite announced that WILSON MAURICIO OSORTO-ESTRADA, age 35, pled guilty today to a one-count Indictment for illegal reentry of a removed alien in violation of Title 8, United States Code, Section 1326(a) & (b)(2).
According to the court documents, OSOTRO-ESTRADA reentered the United States after he was previously deported on January 17, 2013.
If convicted, OSOTRO-ESTRADA faces a maximum term of imprisonment of ten years, a maximum fine of $250,000, a maximum term of supervised release of three years, and a mandatory $100 special assessment. U.S. District Judge Carl J. Barbier set sentencing for May 18, 2017.
U.S. Attorney Polite praised the work of the United States Department of Homeland Security in investigating this matter. Assistant U.S. Attorney Spiro G. Latsis is in charge of the prosecution.
Hodgenville, Kentucky, Bookkeeper Sentenced to 12 Months in Prison for Embezzling from Her EmployerRead the Press Release
Ordered to pay $541,224.88 in restitution
LOUISVILLE, Ky. – The former bookkeeper of an Elizabethtown, Kentucky, health provider was sentenced this week to 12 months and one day in prison and ordered to pay $541,224.88 in restitution by Senior Judge Thomas B. Russell, for embezzling funds through wire fraud announced United States Attorney John E. Kuhn, Jr.
Jeanne E. Goodsell, of Hodgenville, Kentucky, was charged in a seven count criminal information, on May 8, 2015 and entered a guilty plea to all charges on June 4, 2015.
According to information presented in court, Goodsell wired payments to vendors for services were not sent to the vendors, rather, the payments were diverted to an account set up by Goodsell for her own personal use.
During a seven-year period, between June of 2005 and August of 2012, Goodsell embezzled approximately $562,000 from her employer Communicare, a community behavioral health center. Communicare found the discrepancies in 2012 following an audit. Communicare identified approximately 127 Communicare vendors who did not receive payments, even though the payments were recorded on Communicare financial transaction history data.
A further investigation revealed that during the same time period, numerous vendors were electronically wired payments ranging from $1,000 to $35,000 for services, however, the wired payments were sent to Goodsell’s personal accounts.
This case was prosecuted by Assistant United States Attorney Lettricea Jefferson-Webb and was investigated by the United States Secret Service.
Hartford Man Charged with Illegally Possessing AmmunitionRead the Press Release
Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that a federal grand jury in Hartford returned an indictment today charging MICHAEL LEDBETTER, 26, of Hartford, with one count of possession of ammunition by a convicted felon.
As alleged in court documents, on November 27, 2016, members of Hartford Police were dispatched to a residence on Nelson Street on a report of a possible domestic assault. LEDBETTER left the residence shortly before police arrived. A short time later, an officer located LEDBETTER in a vehicle on Barbour Street. After LEDBETTER was secured in handcuffs, an officer conducted a pat down of his person and discovered one .40 caliber Hornady live round in LEDBETTER’s right front pocket.
It is further alleged that, on April 9, 2014, LEDBETTER was convicted in Connecticut Superior Court of six counts of accessory to first degree assault.
It is a violation of federal law for a person previously convicted of a felony offense to possess a firearm or ammunition that has moved in interstate or foreign commerce.
The charge of possession of ammunition by a convicted felon carries a maximum term of imprisonment of 10 years.
LEDBETTER has been detained since his arrest on a federal criminal complaint on February 12, 2017.
U.S. Attorney Daly stressed that an indictment is not evidence of guilt. Charges are only allegations, and a defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.
This investigation is being conducted by the Hartford Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives. The case is being prosecuted by Assistant U.S. Attorney Michael J. Gustafson and Assistant State’s Attorney John F. Fahey of the Hartford State’s Attorney’s Office, who has been cross-designated as a Special Assistant U.S. Attorney in this matter.
Harrisburg Man Indicted on Firearms ChargeRead the Press Release
HARRISBURG – The United States Attorney’s Office for the Middle District of Pennsylvania announced today that Yamil Mediavilla-Diaz, age 30, of Harrisburg, Pennsylvania, was indicted on February 22, 2017, by a federal grand jury on a firearms charge.
According to United States Attorney Bruce D. Brandler, the indictment alleges that on August 19, 2016, in Harrisburg, Mediavilla-Diaz unlawfully possessed an AR-15 and ammunition as a previously convicted felon.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Harrisburg City Police Department. Assistant U.S. Attorney Carlo D. Marchioli is prosecuting the case.
This case was brought as part of the Violent Crime Reduction Partnership (“VCRP”), a district wide initiative to combat the spread of violent crime in the Middle District of Pennsylvania. Led by the United States Attorney’s Office, the VCRP consists of federal, state and local law enforcement agencies whose mission is to locate, apprehend, and prosecute individuals who commit violent crimes with firearms.
Indictments are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
The maximum penalty under federal law for this offense is ten years of imprisonment, a term of supervised release following imprisonment, and a fine. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant's educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
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Hammond Man Sentenced to 120 Months ImprisonmentRead the Press Release
HAMMOND- United States Attorney David A. Capp announced that Joshua Herman, 28, of Hammond, Indiana, was sentenced on February 22, 2017 by District Court Judge Rudy Lozano after pleading guilty to possession of a firearm by a felon.
Herman was sentenced to 120 months imprisonment and 2 years of supervised release.
According to Court filings, on May 4, 2016, the Hammond Police Department was dispatched in regards to a shots fired call. Witnesses advised dispatch that the suspects were fleeing in a green vehicle. When officers came upon the vehicle, one of the individuals, later identified as Joshua Herman was observed passing a chain link fence and dropping an object into the grass. Officers searched the area and located a Jimenez Arms .380 caliber handgun. Herman had been previously convicted of Armed Robbery in Cook County Circuit Court on November 30, 2009.
This case was the result of an investigation by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Hammond Police Department. This case was handled by Special Assistant United States Attorney Armando Salinas.
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Gun Store Burglary Defendants SentencedRead the Press Release
SOUTH BEND – United States Attorney for the Northern District of Indiana, David Capp, announced that Brian Keith Jennings, Jr, 19, of South Bend, Indiana was sentenced before South Bend District Court Judge Jon E. DeGuilio following a guilty plea to 2 counts of theft of firearms from a licensed firearm dealer.
Jennings was sentenced to 70 months imprisonment, followed by 2 years supervision and ordered to pay $50, 231.45 in restitution; for a portion of this restitution amount, Jennings is jointly liable with his co-defendants.
According to documents filed in this case, in May of 2016, a firing range and training facility in South Bend, Indiana, was burglarized and one firearm was stolen. Again, in June of 2016, the same facility was burglarized again and multiple firearms were stolen. During both incidents, a vehicle was driven into the front of the facility to smash the door open and provide a point of entry, through which multiple individuals entered the facility, stole firearms, and then re-entered the vehicle which drove away.
D’dre’a Bostic, 19, of South Bend, Indiana and Matthew Bishop, 19, of South Bend, Indiana were sentenced earlier this month each for a single count of theft of firearms from a licensed dealer. Bostic was sentenced to 37 months imprisonment, 2 years supervised release and ordered to pay $28,530.46 in restitution to be paid jointly with the other 2 co-defendants. Bishop was sentenced to 27 months imprisonment, 2 years supervised release and ordered to pay $28,530.46 in restitution to be paid jointly with the other 2 co-defendants.
This case was prosecuted as a result of an investigation by the Bureau of Alcohol, Tobacco, Firearms and Explosives; Mishawaka Police Department; South Bend Police Department and St. Joseph County Police Department. This case was handled by Assistant United States Attorneys Kenneth M. Hays and Molly E. Donnelly.
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Gang Member Sentenced to 10 Years on Stolen Firearm and Ammunition ChargeRead the Press Release
Contact Person: Stacey D. Haynes (803) 929-3000
Columbia, South Carolina ---- United States Attorney Beth Drake stated today that Anthony Leroy Doctor, a/k/a “Amp,” age 26, of Columbia, South Carolina was sentenced to 10 years’ imprisonment today after earlier pleading guilty in federal court to possession of a stolen firearm and ammunition, in violation of Title 18, United States Code, Sections 922(j) and 924(a)(2). United States District Judge Mary Geiger Lewis of Columbia sentenced Doctor to 10 years’ imprisonment, which will be followed by 3 years of supervised release.
Evidence presented in court during the March 2016 guilty plea hearing established that shortly before midnight on June 7, 2015, Doctor and others became involved in a disturbance in the parking lot outside a nightclub located in a strip mall at Broad River Road and Rushmore Road in Columbia. Doctor was armed with a firearm and when confronted by club security, Doctor left the premises and discarded the firearm in some bushes along a parking lot behind a restaurant across from the club. Later, Doctor returned to the bushes and attempted to retrieve the firearm, but was asked to leave the premises by the restaurant security. Doctor continued to return to search the bushes and while Doctor was looking for the firearm in the bushes, a deputy with the Richland County Sheriff’s Department arrived in response to the restaurant’s call about a suspicious person in their parking lot. When asked what he was doing, Doctor, without turning around, replied that he was looking for his gun. Doctor then turned around and noticed that the security guard had been joined by the Richland County deputy. Doctor, who was intoxicated, was placed in investigative detention while deputies searched for the firearm. Deputies called a K-9 to the scene. The K-9 performed an article search and retrieved the firearm from the bushes where Doctor had been searching earlier. Doctor, an admitted gang member, was placed under arrest for state weapon charge and disorderly conduct. The firearm, a Taurus 9mm handgun, was loaded with one round of 9mm ammunition and had been reported stolen in 2014 from a vehicle in Aiken.
The case was referred to federal authorities for prosecution as Doctor, who was on state probation at the time, is prohibited under federal law from possessing firearms and/or ammunition based upon his prior state felony convictions, which include carjacking, assault and battery with intent to kill, strong arm robbery, and possession of a firearm by a person convicted of a violent crime.
The case was investigated by the Richland County Sheriff’s Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), and was prosecuted as part of the joint federal, state and local Project CeaseFire initiative, which aggressively prosecutes firearm cases. Assistant United States Attorney Stacey D. Haynes of the Columbia office handled the case.
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Former Owner of Boston Area Jewelry Chain Arrested in Multi-Million Dollar Fraud SchemeRead the Press Release
BOSTON – The former owner of a well-known Boston-area jewelry chain, Alpha Omega Jewelers, was arrested yesterday in Los Angeles after living abroad for almost 10 years following a scheme to defraud the company’s former lenders.
Raman Handa, 67, formerly of Lexington, Mass., was arrested on Tuesday, Feb 21, 2017, at Los Angeles International Airport as he returned to the United States from India where he had been living for almost 10 years. A 2011 indictment unsealed yesterday charges Handa with 12 counts of wire fraud. Handa is scheduled to appear in U.S. District Court in Los Angeles on Friday, Feb. 24, 2017. His first court date in the U.S. District Court in Boston, where charges were filed, has not yet been scheduled.
According to the indictment, Handa was the owner of Alpha Omega Jewelers, a fine watch and jewelry retailer in the Boston-area. From May 2007 to December 2007, Alpha Omega experienced severe financial troubles, and had difficulty keeping current with loans it had with several banks. As part of the scheme to defraud Alpha Omega’s lenders and in order to obtain additional loans, Handa allegedly fabricated inventory on reports that were submitted to the banks. These reports were used by the banks to calculate the credit limit for Alpha Omega, and included inventory such as luxury watches and high-end items from Indian jewelry vendors, that Alpha Omega never in fact possessed.
On Dec. 15, 2007, Handa and his family abruptly left the United States. After discovering Handa’s departure, Alpha Omega’s lender took control of the company and conducted a detailed review of Alpha Omega’s inventory. According to the indictment, the review revealed over $7 million dollars in missing or unaccounted for inventory.
The charge of wire fraud provides for a sentence of no greater than 20 years in prison, three years supervised release and a fine of $250,000 on each count. Actual sentences for federal crimes are typically less than the maximum penalties. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
Acting United States Attorney William D. Weinreb and Harold H. Shaw, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division, made the announcement today. Assistant U.S. Attorney Jordi de Llano of Weinreb’s Economic Crimes Unit is prosecuting the case.
Former Nurse Rocky Allen Sentenced to Additional 12 Months in Federal Prison for Felony Criminal Contempt of CourtRead the Press Release
DENVER – U.S. District Court Judge Raymond P. Moore sentenced former nurse Rocky Allen to serve 12 months in federal prison for felony criminal contempt of court, to run consecutive to his 78 month previous sentence, Acting U.S. Attorney Bob Troyer announced. Allen drove to Idaho prior to reporting to prison to visit family despite an order from Judge Moore prohibiting him from traveling there. In total, Allen will now serve 90 months in federal prison. Allen, who appeared at today’s hearing in custody, was remanded at the conclusion of the hearing.
Assistant U.S. Attorney Anna Edgar handled the hearing for the U.S. Attorney’s Office, District of Colorado.
Former Investment Advisor Admits Stealing More Than $600K from ClientsRead the Press Release
Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that AARON J. JOHNSON, 36, of Haddam, pleaded guilty today before U.S. District Judge Jeffrey Alker Meyer in New Haven to one count of mail fraud stemming from a scheme to defraud clients of his investment business.
According to court documents and statements made in court, JOHNSON was President and Chief Investment Officer of J. Capital Advisors, and was a registered investment advisor until October 21, 2013, when his and J. Capital Advisors’ registration was revoked by the State of Connecticut
In approximately April 2010, JOHNSON became a registered investment advisor with Trade PMR, a Florida company that provides brokerage and custody services for registered investment advisors. Almost immediately, JOHNSON began skimming excessive and unearned fees from client accounts. JOHNSON would submit a request to Trade PMR for fees for a particular client supposedly earned during a particular time period, and Trade PMR would, in turn, arrange for those fees to be deducted from the client’s account and deposited into a J. Capital Advisors’ sundry account over which JOHNSON maintained exclusive control. By December 2012, when Trade PMR terminated its relationship with JOHNSON, JOHNSON had taken a total of $619,231.09 in excessive fees from 19 victim clients.
JOHNSON also attempted to delay and prevent the discovery of the full scope of his scheme by repaying fees he took from one victim, claiming to the victim and to investigators with the State of Connecticut Department of Banking, Securities and Business Investments Division, that the fees were taken out due to a “glitch” in his billing system.
Judge Meyer scheduled sentencing for May 23, 2017, at which time JOHNSON faces a maximum term of imprisonment of 20 years.
JOHNSON was arrested on February 17, 2016, and is currently released on a $250,000 bond.
This matter has been investigated by the U.S. Postal Inspection Service and the State of Connecticut Department of Banking. The case is being prosecuted by Assistant U.S. Attorney Susan L. Wines.
Former Church Treasurer Sentenced for Theft of Nearly $1.5 Million from Church, Wire Fraud and Tax FraudRead the Press Release
LAS VEGAS, Nev. – A former church treasurer was sentenced on Wednesday to four years in prison for stealing nearly $1.5 million from the church in a wire fraud scheme, and committing more than $500,000 in tax fraud, announced U.S. Attorney Daniel G. Bogden for the District of Nevada and Special Agent in Charge Tara Sullivan of the IRS Las Vegas Field Office.
Gregory J. Olson, 52, formerly of Las Vegas, now living in Ryder, North Dakota, pleaded guilty on May 9, 2016, to one count of wire fraud and four counts of tax fraud. United States District Judge Andrew Gordon presided over the hearing. Olson was charged by an indictment on Sept. 5, 2012.
“The defendant stole from the church and its members to satisfy his greed and he now faces a sentence of imprisonment for his calculated and callous actions,” said U.S. Attorney Bogden. “The U.S. Attorney’s Office and IRS will work together and aggressively pursue financial fraud and tax fraud schemes that ultimately cause harm to innocent victims and the U.S. Treasury.”
“To steal from a church which entrusted its finances to you is not only sad, it’s deplorable,” said Special Agent in Charge Sullivan. “IRS Criminal Investigation and the U.S. Attorney’s Office will continue to pursue those who cause financial harm through embezzlement and fraud.”
According to court documents, Olson stole more than $1,466,292 from the Calvary Lutheran Church also called the Amazing Grace Lutheran Church of Las Vegas between 2006 and 2009. Olson admitted that he defrauded the church through a long-lasting and wide-ranging scheme. Olson made unauthorized cash and check withdrawals from the church’s bank accounts, false claims for reimbursement for church expenses, unauthorized receipt of mortgage loan proceeds, and solicited loans from individual church congregation members. Olson’s fraud scheme bankrupted the church.
Olson also knowingly failed to report as income the money he had stolen from the church in his 2006, 2007, 2008, and 2009 tax returns. The total tax loss was $541,770.
The case was investigated by the IRS-Criminal Investigation and prosecuted by Assistant U.S. Attorneys Gregg Damm and Dan Cowhig.
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Former Baggage Handler at LAX Arrested for Drug Trafficking Conspiracy After Allegedly Using Credentials to Pass Cocaine Through SecurityRead the Press Release
LOS ANGELES – A former baggage handler employed at Los Angeles International Airport was arrested Tuesday for smuggling cocaine by authorities investigating the use of employee credentials to breach airport security.
Alberto H. Botello, 23, of South Gate, was arrested Tuesday evening without incident by law enforcement officers from the Drug Enforcement Administration and the Los Angeles World Airports Police Department.
Botello is charged in a federal indictment with conspiracy to possess with intent to distribute cocaine and to distribute cocaine. His co-defendants, Adrian Ponce, 28, and Alberto Preciado Gutierrez, 27, both of South Gate, were also former baggage handlers and were arrested by law enforcement in the Spring of 2016. Botello made his initial court appearance Wednesday afternoon in United States District Court in Los Angeles.
According to court documents, Ponce, Preciado Gutierrez, and Botello facilitated the ability of third-party couriers to use commercial airlines to smuggle kilogram “samples” of cocaine from Los Angeles to drug customers on the East Coast. At the time of the conspiracy, Preciado Gutierrez was a supervisory baggage handler employed by Swissport International at LAX.
During the investigation, law enforcement seized a kilogram of cocaine in Preciado Gutierrez’s possession on December 16, 2015. According to court documents, the seizure was made in a restroom in Terminal 3 at LAX, where Preciado Gutierrez was delivering the cocaine to a courier who was holding a boarding pass to travel on a JetBlue flight to New York only an hour later. After this incident Preciado Gutierrez was terminated by Swissport.
The following day law enforcement interviewed Ponce, who had been taken into custody while waiting for Preciado Gutierrez outside Terminal 3. According to court documents, Ponce gave a written statement in which he admitted that, “on multiple occasions,” he and Preciado Gutierrez had used Preciado Gutierrez ’s supervisory status as an LAX employee to smuggle drugs to out-of-state drug customers by using third-party couriers who had booked flights from LAX to the East Coast and who were willing to take the drugs on a commercial flight in exchange for payment.
“Airport employees, who by virtue of their jobs have special access to secured areas, play an important role in the security of air travelers and our national security,” said United States Attorney Eileen M. Decker. “Instead of protecting our security, these defendants are charged with abusing their special access for personal profit and exposing unsuspecting air travelers to nationwide drug trafficking.”
In another statement given to law enforcement officials in 2016, Ponce allegedly admitted working with a large-scale drug supplier, and he explained how couriers with travel document would pass through normal airport security and would be provided with kilogram quantities of cocaine by Preciado Gutierrez, who had used his employee credentials to bypass security screening. According to court documents, Ponce told law enforcement that if East Coast customers liked the cocaine “sample,” then large shipments – more than 100 kilograms – would be delivered by driving the narcotics across the country. Ponce allegedly admitted actually driving trucks laden with drugs, also in exchange for payment.
“The national security threat posed by drug trafficking is multi-faceted, and we’re aggressively targeting these sorts of security breaches at our nation’s sea, land, and airports” said DEA Special Agent in Charge Steve Comer.
Ponce previously worked at LAX for a baggage handling service that was recently acquired by Swissport.
An indictment contains allegations that a defendant has committed a crime. Every defendant is presumed to be innocent until and unless proven guilty in court.
If convicted of the charged offenses, Ponce, Preciado Gutierrez, and Botello would face a mandatory minimum sentence of five years in federal prison, and a statutory maximum sentence of 40 years.
This investigation was conducted by the DEA Los Angeles International Airport Narcotics Task Force, an inter-agency task force based at LAX. In addition to the Drug Enforcement Administration, the Task Force is made up of representatives from the Federal Bureau of Investigation, the Los Angeles World Airports Police Department, the Los Angeles Police Department, and the Los Angeles County Sheriff’s Department. The Task Force also works closely with the United States Customs and Border Protection and the Transportation Security Administration.
The DEA Los Angeles International Airport Narcotics Task Force is providing a coordinated law enforcement effort to target airport/airline internal criminal enterprises that use the aviation system to transport large amounts of illicit drugs throughout the United States, and throughout the world. Swissport International cooperated in the investigation. The case is being prosecuted by Assistant United States Attorney Reema M. El-Amamy of the Organized Crime Drug Enforcement Task Force.
Former Bookkeeper for Oil Field Pipeline Supplier Sentenced to Serve 48 Months in Federal Prison for Embezzling over $7 MillionRead the Press Release
Oklahoma City, Oklahoma –RODNEY ALAN HAGER, 38, of Norman, Oklahoma, was sentenced today by United States District Judge David L. Russell to serve 48 months in federal prison for embezzlement over $7 million from his employer, announced Mark A. Yancey, United States Attorney for the Western District of Oklahoma.
According to court records, from 2007 through March of 2014 Hager worked as the bookkeeper of J&B Pipe Supply Co. ("J&B"), an Oklahoma City based oil field pipeline supply company. Included in his responsibilities was the making of wire transfers drawn on J&B’s corporate bank account to pay bills for the company and recording those payments in the company’s accounting software. From December of 2009 to November of 2013, during some of the same time frame that he served as J&B’s bookkeeper, Hager owned Mall Concepts of Oklahoma, Inc. ("Mall Concepts"), which operated mall kiosks in Oklahoma, Texas, Florida, Georgia, and elsewhere.
It was alleged that Hager embezzled from J&B and used three primary methods to defraud the company: (1) Hager wired funds from J&B’s bank account to accounts under his control, including Mall Concepts’ account, and disguised the transfers in J&B’s books as legitimate business expenses; (2) Hagar opened credit cards in the name of a J&B principal, used those cards for personal use, and paid the credit card bills by wiring funds from J&B’s account and disguising them in J&B’s books as legitimate business expenses; and (3) Hagar took blank checks signed by J&B principals given to him to purchase supplies or pay business expenses and used them for his personal benefit.
Hagar was charged by Information on June 3, 2016, with wire fraud and money laundering. He pled guilty on October 11, 2016, to committing wire fraud and money laundering. As part of his plea, he admitted that he would pay restitution to J&B in the amount of $7,138,804.58.
At today’s sentencing, Judge Russell sentenced Hager to serve 48 months in federal prison, followed by three years of supervised release. Hagar was also ordered to pay $7,138,804.58 in restitution to J&B.
This case is a result of an investigation conducted by the Internal Revenue Service and was prosecuted by Assistant U.S. Attorney Jessica L. Perry.
Florida Man Sentenced for Sex Trafficking and Interstate ProstitutionRead the Press Release
U.S. District Judge Carlos E. Mendoza of the Middle District of Florida sentenced Abdhullah Hamidullah, 43, to serve 482 months in prison and a lifetime of supervised release, the Justice Department announced today. Hamidullah pleaded guilty on June 17, 2016, to sex trafficking by force, fraud, and coercion in violation of 18 U.S.C. § 1591, and to enticing individuals to travel in interstate commerce for prostitution and transporting individuals in interstate commerce for prostitution in violation of 18 U.S.C. §§ 2421 and 2422.
According to admissions in connection with his guilty plea, Hamidullah lured a young woman identified as A.W. to travel to Florida on false pretenses, then forced her to engage in commercial sex acts with multiple customers a day, for several months, and provide him the proceeds. Hamidullah isolated her in his apartment, took away her money and phone, and installed an alarm without providing her the code. He also assaulted her, showed her his handgun, and branded her with a tattoo in the course of compelling her to prostitute for his profit. As part of his plea agreement, Hamidullah agreed to pay restitution to six women identified as victims of his sex trafficking scheme.
“This defendant preyed on vulnerable young victims and cruelly exploited them for his profit,” stated Acting Assistant Attorney General Tom Wheeler. “This sentence sends a clear message that the United States will not tolerate modern-day slavery and will work tirelessly to restore the rights and dignity of victims of human trafficking.”
“This defendant used physical abuse and intimidation to force young women to engage in prostitution,” stated U.S. Attorney A. Lee Bentley, III. “This prosecution ends the defendant’s vicious pattern of exploitation and, hopefully, brings a measure of relief and justice to his victims.”
“These women were victims of a brutal criminal organization, who through the use of violence were forced into interstate sex trafficking. U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) continues to investigate these crimes as one of our highest priorities through a coordinated global effort,” said Executive Associate Director Peter T. Edge of the U.S. Immigration and Customs Enforcement’s Homeland Security Investigations. “HSI will continue to investigate and seek prosecution of these criminals, while also ensuring the victims of this terrible crime are rescued and receive the care they need.”
“The Metropolitan Bureau of Investigation works closely with its federal and local partners to investigate and successfully prosecute sex traffickers,” said Director Ron Stucker of the Metropolitan Bureau of Investigation for the 9th Judicial Circuit of Florida. “The evidence in this case demonstrates the ruthlessness of sex traffickers, the urgency to rescue victims and the resolve of law enforcement to bring traffickers to justice.”
Documents filed and evidence presented in connection with the case indicated that Hamidullah began operating his sex trafficking enterprise in 2005, recruiting multiple women and causing them to engage in commercial sex acts for his profit.
This case was investigated by the U.S. Immigration and Customs Enforcement’s Homeland Security Investigations and the Orlando-based Metropolitan Bureau of Investigations, and was prosecuted by Assistant United States Attorney Ilianys Rivera Miranda of the Middle District of Florida, and Trial Attorney William Nolan of the Civil Rights Division’s Human Trafficking Prosecution Unit.
Florida Man Sentenced for Sex Trafficking and Interstate ProstitutionRead the Press Release
Orlando, FL – U.S. District Judge Carlos E. Mendoza sentenced Abdhullah Hamidullah, 43, to serve 40 years and 2 months in prison and a lifetime of supervised release. Hamidullah pleaded guilty on June 17, 2016, to sex trafficking by force, fraud, and coercion and to enticing individuals to travel in interstate commerce for prostitution and transporting individuals in interstate commerce for prostitution.
According to admissions in connection with his guilty plea, Hamidullah lured a young woman identified as A.W. to travel to Florida on false pretenses, then forced her to engage in commercial sex acts with multiple customers a day, for several months, and provide him the proceeds. Hamidullah isolated her in his apartment, took away her money and phone, and installed an alarm without providing her the code. He also assaulted her, showed her his handgun, and branded her with a tattoo in the course of compelling her to prostitute for his profit. As part of his plea agreement, Hamidullah agreed to pay restitution to six women identified as victims of his sex trafficking scheme.
“This defendant used physical abuse and intimidation to force young women to engage in prostitution,” stated U.S. Attorney A. Lee Bentley, III. “This prosecution ends the defendant’s vicious pattern of exploitation and, hopefully, brings a measure of relief and justice to his victims.”
“This defendant preyed on vulnerable young victims and cruelly exploited them for his profit,” stated Acting Assistant Attorney General Tom Wheeler. “This sentence sends a clear message that the United States will not tolerate modern-day slavery and will work tirelessly to restore the rights and dignity of victims of human trafficking.”
“These women were victims of a brutal criminal organization, who through the use of violence were forced into interstate sex trafficking. U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) continues to investigate these crimes as one of our highest priorities through a coordinated global effort,” said Executive Associate Director Peter T. Edge of the Homeland Security Investigations. “HSI will continue to investigate and seek prosecution of these criminals, while also ensuring the victims of this terrible crime are rescued and receive the care they need.”
“The Metropolitan Bureau of Investigation works closely with its federal and local partners to investigate and successfully prosecute sex traffickers,” said Director Ron Stucker of the Metropolitan Bureau of Investigation for the 9th Judicial Circuit of Florida. “The evidence in this case demonstrates the ruthlessness of sex traffickers, the urgency to rescue victims and the resolve of law enforcement to bring traffickers to justice.”
Documents filed and evidence presented in connection with the case indicated that Hamidullah began operating his sex trafficking enterprise in 2005, recruiting multiple women and causing them to engage in commercial sex acts for his profit.
This case was investigated by the Department of Homeland Security’s Homeland Security Investigations and the Orlando-based Metropolitan Bureau of Investigations, and was prosecuted by Assistant United States Attorney Ilianys Rivera Miranda and Trial Attorney William Nolan of the Civil Rights Division’s Human Trafficking Prosecution Unit.
Florida Man Pleads Guilty to Attempting to Gain Unauthorized Access and Cause Damage to the Computer Network of A Global Charitable OrganizationRead the Press Release
Preet Bharara, the United States Attorney for the Southern District of New York, announced today that TIMOTHY SEDLAK pled guilty in Manhattan federal court to attempting to access without authorization the computer network of a global charitable organization based in New York, New York (the “Organization”), and as a result of such conduct, recklessly causing damage to computers of the Organization. He pled guilty before U.S. District Judge Ronnie Abrams.
Manhattan U.S. Attorney Preet Bharara said: “Although ultimately unsuccessful, Timothy Sedlak attempted hundreds of thousands of times to hack into a charitable organization, impairing the organization’s work. Today, Sedlak admitted to his crime and now awaits his sentence.”
According to the Superseding Information, other documents filed in Manhattan federal court, and statements made at various proceedings in this case, including today’s guilty plea:
SEDLAK made hundreds of thousands of attempts to gain access without authorization to the computer network systems of the Organization, and in so doing, impaired the availability of the email accounts and web-based applications of more than 10 employees of the Organization.
From in or about June 2015, up to and including in or about July 2015, computers associated with two particular internet protocol addresses (the “IP Addresses”) made nearly 400,000 attempts to gain unauthorized access to the Organization’s computer network. As a result, numerous Organization employees experienced difficulty accessing their Organization email accounts, and were disrupted in their ability to conduct regular business functions. Both of the IP Addresses were subscribed to SEDLAK at SEDLAK’s residence in Florida (the “Sedlak Residence”).
In particular, between June 22, 2015, and July 8, 2015, from one of the IP Addresses, there were approximately 195,000 attempts to log into approximately 20 email accounts of the Organization. Between July 8, 2015, and July 10, 2015, from the other IP Address, there were an additional approximately 195,000 attempts to log into approximately six email accounts of the Organization. SEDLAK has never been employed by the Organization, and was not authorized to access any email accounts of the Organization.
On or about September 11, 2015, United States Secret Service (“USSS”) agents executed a search warrant at the Sedlak Residence, from which they seized, among other things, (i) approximately 30 computers connected to the same internal network, which enabled each computer to communicate with the others (the “Sedlak Computers”); (ii) notes pertaining to the Organization, an executive of the Organization (“Individual-1”), and an individual who has been publicly affiliated with the Organization (“Individual-2”), including email addresses, registrant information for certain website domain names, and certain IP address information associated with the Organization, Individual-1, and/or Individual-2; and (iii) lists of email addresses and email servers, many of which included the word “jihad.” The Sedlak Computers contained, among other things, a list of certain Organization employees’ email account usernames, and a “brute force” password-cracking tool. Such a tool is designed to launch a relentless barrage of potential passwords at an email account in an attempt to guess the account’s password.
On or about September 11, 2015, USSS agents interviewed SEDLAK, who claimed to be using the Sedlak Computers to conduct “research” into charitable organizations in the course of his work as a private investigator. In particular, SEDLAK claimed to be trying to determine if such organizations are unintentionally financing jihadist groups by sending, to charitable organizations in the Middle East, funds that are then seized by jihadist groups. When asked about notes pertaining to Individual-1 and Individual-2 found at the Sedlak Residence, SEDLAK claimed that he came across such information in his “research” into the financing of jihadist groups. SEDLAK claimed that he hoped to sell the information he found.
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SEDLAK, 43, of Ocoee, Florida, faces a maximum of five years in prison and three years of supervised release. The statutory maximum sentence is prescribed by Congress and is provided here for informational purposes only, as any sentencing of the defendant will be determined by the judge. SEDLAK is scheduled to be sentenced by Judge Abrams on June 6, 2017, at 1:00 p.m.
Mr. Bharara praised the investigative work of the United States Secret Service.
The prosecution of this case is being handled by the Office’s Complex Frauds and Cybercrime Unit. Assistant United States Attorneys Kristy J. Greenberg and Jennifer L. Beidel are in charge of the prosecution.
Felon in Possession of A Firearm Sentenced in Federal CourtRead the Press Release
United States Attorney Kenyen R. Brown of the Southern District of Alabama announced that Derek L. Winston, 39, of Irvington, was sentenced this morning in federal court to a year and a day for being a convicted felon in possession of a firearm. Winston pled guilty to the charge in November of 2016.
United States District Court Judge William H. Steele imposed a sentence of a year and a day. He also ordered that Winston will commence a three-year term of supervised release when he is discharged from incarceration. No fine was imposed.
The case was investigated by the Mobile County Sheriff’s Office and the Bureau of Alcohol, Tobacco, Firearms and Explosives. It was prosecuted in the United States Attorney’s Office by Assistant United States Attorney Gloria Bedwell.
Federal Jury Convicts St. Croix Woman of Participating in a Hobbs Act Robbery ConspiracyRead the Press Release
St. Thomas, USVI – On February 23, 2017, Aracelis N. Ayala a/k/a "Gordita" a/k/a "Fluff," 34, was found guilty by a federal jury of one count of Hobbs Act robbery, one count of conspiracy to commit Hobbs Act robbery, one count of brandishing a firearm during a crime of violence, and one count of robbery in the first degree, United States Attorney Ronald W. Sharpe announced.
Ayala faces up to 20 years on each of the Hobbs Act robbery and local robbery charges and a consecutive mandatory minimum sentence of seven years for the brandishing of a firearm charge. Judge Curtis V. Gomez remanded Ayala into the custody of the U.S. Marshals Service pending her sentencing on June 29, 2017.
According to the evidence presented at trial, Ayala was a member of a robbery crew that conspired to rob Signature Jewelers on August 19, 2015. Ayala conspired with other individuals to rob the store by providing cash and a handgun, renting a vehicle, and securing hotel rooms on St. Thomas. Upon entering the store, Ayala’s cohorts brandished a handgun to threaten the store employees and used duct tape to bind and gag them before fleeing with cash and merchandise.
Other members of the conspiracy, Turrel Thomas, 21, and Raheem Miller a/k/a "Caesar," 24, pleaded guilty to Hobbs Act robbery and related firearm offenses. All defendants were remanded to the custody of the U.S. Marshals Service pending sentencing on June 22, 2017.
This case is a result of an investigation by the Federal Bureau of Investigation and the Virgin Islands Police Department and was prosecuted by Assistant United States Attorneys Anna A. Vlasova and Sigrid Tejo-Sprotte.
Federal Indictments Unsealed: 13 Defendants Arrested on Gun and Drug Charges After Two-Year Undercover Collaborative Law Enforcement EffortRead the Press Release
Contact Person: Andy Moorman (864) 282-2140
Columbia, South Carolina-------United States Attorney Beth Drake, announced today that thirteen individuals have been arrested on federal charges for drug and firearms violations. A 35-count federal indictment was unsealed yesterday charging multiple defendants with federal violations. Thirteen defendants were arraigned on the indictment yesterday.
Beginning in 2014, the FBI Myrtle Beach Resident Agency and the DEA Florence Resident Office, working with several law enforcement partners, began an investigation of a large drug trafficking organization operating in the Myrtle Beach, Florence, and Charleston areas of South Carolina. The investigation targeted members of the Billie East Side Bloods, a set of the United Blood Nation, and others who formed an agreement to distribute heroin, fentanyl, cocaine, and marijuana in South Carolina, and to traffic in and possess firearms for the purpose of advancing the drug conspiracy. During the course of the investigation, agents used surveillance, source information, and other techniques to establish the agreement between coconspirators to sell drugs and to possess and sell firearms.
This operation was a combined law enforcement effort between the FBI, the DEA, the Horry County Sheriff’s Office, the Horry County Police Department, the Myrtle Beach Police Department, the North Myrtle Beach Police Department, the 15th Circuit’s Drug Enforcement Unit, the Coastal Carolina University Police Department, and the Georgetown Police Department. The charges filed against the defendants in this operation are being prosecuted by the U.S. Attorney’s Office in Florence.
U.S. Attorney Beth Drake commended the partnership between the local, state, and federal agencies and credited law enforcement. “This joint operation involving our federal, state, and local law enforcement partners signals our commitment to and emphasis on targeting significant criminal organizations operating in the Myrtle Beach, Charleston, and Florence areas of South Carolina.”The United States Attorney stated that all charges in this indictment are merely accusations and that the defendants are presumed innocent until and unless proven guilty.
#####Fairfield Man Pleads Guilty to Possessing Gun as a FelonRead the Press Release
SACRAMENTO, Calif. — Markell Darrell Davis, 30, of Fairfield, pleaded guilty today to being a felon in possession of a firearm, U.S. Attorney Phillip A. Talbert announced.
According to court documents, on February 17, 2014, Davis was involved in a shooting in a residential neighborhood in Fairfield. Davis, a convicted felon who was prohibited by law from possessing a firearm, possessed and fired a .40-caliber Glock semi-automatic pistol, injuring a bystander.
This case is the product of an investigation by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Fairfield Police Department. Assistant U.S. Attorney Brian A. Fogerty is prosecuting the case.
Davis is scheduled to be sentenced by U.S. District Judge Morrison C. England Jr. on June 29, 2017. Davis faces a maximum statutory penalty of 10 years in prison and a $250,000 fine. The actual sentence, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.
Eighth Member of Taos County-Based Heroin Trafficking and Money Laundering Ring Enters Guilty PleaRead the Press Release
ALBUQUERQUE – Juanita Romero, 35, of Taos County, N.M., entered a guilty plea in federal court in Albuquerque, N.M., to a heroin trafficking charge. Juanita Romero is one of nine defendants charged with heroin trafficking and money laundering offenses as the result of a 15-month DEA-led multi-agency investigation into a heroin trafficking organization led by Ivan Romero, 40.
Juanita Romero is the eighth defendant to enter a guilty plea. Under the terms of her plea agreement, Juanita Romero faces up to 33 months in federal prison followed by a term of supervised release to be determined by the court.
Juanita Romero and seven co-defendants initially were charged with heroin trafficking and money laundering offenses in an eight-count indictment filed in Dec. 2015. The indictment was superseded in Feb. 2016 to add Elena Carabajal, 26, as a ninth defendant and five additional charges. The superseding indictment charged Juanita Romero, Ivan Romero, and seven other defendants with conspiring to distribute heroin from at least June 2012 through Dec. 2015. It also charged Ivan Romero, Ricco Romero, 29, Melissa Romero, 37, and Wilma Romero, 66, with conspiring to launder heroin trafficking proceeds. The superseding indictment also included substantive heroin trafficking charges against specific defendants as well as provisions seeking forfeiture to the United States of any and all assets and property derived, either directly or indirectly, from proceeds obtained from the criminal activities charged.
During today’s proceedings, Juanita Romero pled guilty to a felony information charging her with conspiracy to distribute heroin. In entering the guilty plea, Juanita Romero admitted that in late 2014, she began obtaining heroin from Ivan Romero on a daily basis to sell to others in and around Penasco, N.M. Juanita Romero admitted that Ivan Romero allowed her to keep a small amount of heroin daily for her personal use. Juanita Romero acknowledged distributing between 100 grams and 400 grams of heroin during the period in which she participated in the conspiracy.
Seven of Juanita Romero’s co-defendants previously have entered guilty pleas in the case:
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On Dec. 5, 2016, Ivan Romero pled guilty to Counts 1 and 2 of the superseding indictment, charging him with participating in a heroin trafficking conspiracy and a money laundering conspiracy.
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Ricco Romero also pled guilty on Dec. 5, 2016, to participating in the heroin trafficking conspiracy and the money laundering conspiracy, and to possessing firearms in furtherance of his drug trafficking activities.
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Melissa Romero entered a guilty plea on Dec. 8, 2016, to Count 2 of the superseding indictment, charging her with participating in the money laundering conspiracy.
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Tyler Baker, 45, of Taos County, N.M., entered a guilty plea in October 2016 to participating in the heroin trafficking conspiracy.
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Elena Carabajal entered a guilty plea on Jan. 4, 2017, to possession of heroin with intent to distribute.
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Wilma Romero entered a guilty plea on Jan. 5, 2017, to participating in the money laundering conspiracy and possessing heroin with intent to distribute.
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Nicholas Baca entered a guilty plea on Feb. 7, 2017, to participating in a heroin trafficking conspiracy.
According to the admissions contained in the plea agreements of the defendants who have entered guilty pleas as well as other court filings, Ivan Romero was the leader of a heroin trafficking organization based in Taos County. Ivan Romero and his brother Ricco Romero were responsible for purchasing quantities of heroin from suppliers in Albuquerque and Los Lunas, N.M. Other members of the organization acted as couriers and regularly transported large quantities of heroin to Ivan Romero and Ricco Romero in Taos County. Upon receiving the bulk heroin, Ivan Romero and Ricco Romero prepared the heroin for distribution by mixing or “cutting” it with other substances, repackaged it in smaller portions, and distributed it both directly and through a network of other drug dealers. Juanita Romero was one such dealer who distributed heroin in and around Penasco.
In April 2015, law enforcement officers executed a state search warrant at Ivan Romero’s residence where they seized drug paraphernalia, 461 grams of marijuana, 30 grams of hashish, more than 300 grams of heroin and $64,920 in cash. Ivan Romero was arrested on state charges that day, and Ricco Romero subsequently assumed a greater managerial role in the heroin trafficking organization at that time.
Following Ivan Romero’s arrest on April 2, 2015, a state court set his bond at $90,000. Wilma Romero, Ricco Romero and Melissa Romero conspired to launder $90,000 in heroin proceeds to post that bond and secure Ivan Romero’s release from state custody. Ivan Romero soon violated the conditions of his release, was remanded back to state custody and a second bond was set at $150,000. In May 2015, Wilma Romero, Ricco Romero and Melissa Romero again conspired to launder an additional $150,000 in heroin proceeds to post that bond
On June 29, 2015, law enforcement agents executed a federal search warrant at Wilma Romero’s residence. In the course of that search, agents seized approximately 97.5 grams of heroin, a small amount of marijuana, drug paraphernalia, $73,288 and gold coins.
On Nov. 17, 2015 and Dec. 1, 2015, Ricco Romero distributed heroin to an individual working with law enforcement agents. Thereafter, on Dec. 18, 2015, law enforcement agents obtained and executed a federal search warrant at Ricco Romero and Carabajal’s residence and at another residence as well as at another residence where Ricco Romero and Carabajal maintained a safe. During those searches, agents seized 96.8 grams of heroin, $70,562 in cash, and two firearms.
If the plea agreements are accepted by the court: Ivan Romero will be sentenced to a prison term within the range of 120 to 144 months; Ricco Romero will be sentenced to a 120-month prison term; Carabajal will be sentenced to not more than 30 months in prison; Wilma Romero will be sentenced to not more than 24 months in prison; Melissa Romero will be sentenced to a term of probation; and Baca will be sentenced to not more than 33 months in prison. Pursuant to their plea agreements, the defendants have agreed to forfeit $431,870 in heroin proceeds and firearms to the United States.
The investigation leading to the indictment was conducted by the Albuquerque office of the DEA, the HIDTA Region III Drug Task Force, New Mexico State Police, Taos Police Department, Taos County Sheriff’s Office and the Bureau of Alcohol Tobacco, Firearms and Explosives.
Assistant U.S. Attorney Timothy S. Vasquez is prosecuting the case as part of the New Mexico Heroin and Opioid Prevention and Education (HOPE) Initiative. The HOPE Initiative was launched in January 2015 by the UNM Health Sciences Center and the U.S. Attorney’s Office in response to the national opioid epidemic, which has had a disproportionately devastating impact on New Mexico. Opioid addiction has taken a toll on public safety, public health and the economic viability of our communities. Working in partnership with the DEA, the Bernalillo County Opioid Accountability Initiative, Healing Addiction in our Community (HAC), the Albuquerque Public Schools and other community stakeholders, HOPE’s principal goals are to protect our communities from the dangers associated with heroin and opioid painkillers and reducing the number of opioid-related deaths in New Mexico.
The HOPE Initiative is comprised of five components: (1) prevention and education; (2) treatment; (3) law enforcement; (4) reentry; and (5) strategic planning. HOPE’s law enforcement component is led by the Organized Crime Section of the U.S. Attorney’s Office and the DEA in conjunction with their federal, state, local and tribal law enforcement partners. Targeting members of major heroin and opioid trafficking organizations for investigation and prosecution is a priority of the HOPE Initiative. Learn more about the New Mexico HOPE Initiative at http://www.HopeInitiativeNM.org.
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Eight from Northeast Ohio indicted for conspiracy to distribute crack and powder cocaine on east side of ClevelandRead the Press Release
Eight people from Northeast Ohio were indicted for their roles in a conspiracy to distribute powder and crack cocaine on the East Side of Cleveland, said U.S. Attorney Carole S. Rendon and FBI Special Agent in Charge Stephen D. Anthony.
Named in the 23-count indictment are: Calvin Gore, 34; Ronald Park, 49; Ronnie Townsend, Jr., 41; Million Wheeler, 43; Derrick Rivers, 36; Freddie Love, 45; Terry Gardner, 29, and Laverne Rucker, 56. All the defendants are from Cleveland except Love, who lives in Euclid.
Gore obtained multiple-ounce quantities of cocaine from Parks and Wheeler. Gore then distributed the cocaine to dealers in Cleveland, including Townsend, Rivers, Love, Gardner and Rucker, according to the indictment.
Gore used the residence at 14329 Benwood Avenue in Cleveland to storing and distributing the cocaine, according to the indictment.
Prosecutors are seeking to forfeit $13,308 in cash seized during the investigation, as well as two firearms, ammunition and a 2006 Lexus.
If convicted, the defendants’ sentences will be determined by the Court after review of the factors unique to this case, including the defendants’ prior criminal records, their roles in the offense and the characteristics of the criminal conduct. In all cases, the sentence will not exceed the statutory maximum and in most cases it will be less than the maximum.
This case is being prosecuted by Assistant U.S. Attorneys Vasile C. Katsaros and Phillip J. Tripi following an investigation by the Northern Ohio Law Enforcement Task Force. The NOLETF is a task force comprised of investigators from the Federal Bureau of Investigation, Cleveland Division of Police, Cuyahoga Metropolitan Housing Authority, Drug Enforcement Administration, Internal Revenue Service, Customs and Border Patrol, Cuyahoga County Sheriff’s Office, Ohio Bureau of Criminal Investigation, Ohio Adult Parole Authority and the police departments of Euclid, Lakewood, the Regional Transit Authority, Westlake and Moreland Hills. The NOLETF is also one of the initial Ohio High Intensity Drug Trafficking Area initiatives, which supports and helps coordinate numerous Ohio drug task forces in their efforts to eliminate or reduce drug trafficking in Ohio.
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 the defendant guilty beyond a reasonable doubt.
District Man Sentenced to 22 Years in Prison for Armed Robberies of Commercial Establishments in Washington, D.C. and MarylandRead the Press Release
WASHINGTON – Curtis Fogg, 29, of Washington, D.C., was sentenced today to a total prison term of 22 years on charges stemming from a series of armed robberies that targeted commercial businesses in Washington, D.C. and Maryland during a three-week period in 2014.
The sentencing was announced by Channing D. Phillips, U.S. Attorney for the District of Columbia; Rod J. Rosenstein, U.S. Attorney for the District of Maryland; Andrew Vale, Assistant Director in Charge of the FBI’s Washington Field Office; Peter Newsham, Acting Chief of the Metropolitan Police Department (MPD), and Hank Stawinski, Chief of the Prince George’s County, Md. Police Department.
Fogg pled guilty in September 2016, in the U.S. District Court for the District of Columbia to nine counts of interference with interstate commerce by robbery, one count of using, carrying, and possessing a firearm in furtherance of a crime of violence, and one count of armed robbery. The plea, which was contingent upon the Court’s approval, called for a prison sentence of 20 to 22 ½ years. The Honorable Senior Judge Paul L. Friedman accepted the plea today and sentenced the defendant accordingly. Upon completion of his prison term, Fogg will be placed on five years of supervised release. He also must pay restitution to his victims.
According to the government’s evidence, Fogg brandished a firearm while committing 10 separate armed robberies of commercial businesses in August and September 2014. In many instances, store surveillance video captured Fogg and his distinct tattoos.
The robberies included:
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Aug. 14, 2014, approximately 10:30 p.m.: Fogg stole $250 and phones from two women who were in the New Look Hair Salon, in the 4300 block of Sheriff Road NE.
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Aug. 14, 2014, approximately 11:15 p.m.: Fogg stole about $100 from the register of a Papa John’s pizza restaurant in the 900 block of 11th Street SE.
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Aug. 15, 2014, approximately 9:30 p.m.: Fogg stole about $600 from registers at the Patron Convenience Store in the 3200 block of Pennsylvania Avenue SE.
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Aug. 27, 2014, approximately 2:45 p.m.: Fogg again stole about $100 from the register of the Papa John’s restaurant in the 900 block of 11th Street SE.
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Aug. 28, 2014, approximately 3 p.m.: Fogg stole $513 from a Cricket cellular telephone store in the 5500 block of Georgia Avenue NW.
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Aug. 30, 2014, approximately 5:10 p.m.: Fogg stole $284 from the cash register of a Subway sandwich shop in the 2800 block of Alabama Avenue SE.
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Aug. 31, 2014, approximately 6:30 p.m.: Fogg stole $60 from the register of Mama’s Pizza Kitchen, in the 2000 block of Martin Luther King Avenue SE, while also robbing the store’s owner of $100 in cash.
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Sept. 1, 2014, approximately 7:25 p.m.: Fogg stole $469 from the register of a Metro PCS cellular telephone store in the 4100 block of Wheeler Road SE.
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Sept. 2, 2014, approximately 7:10 p.m.: Fogg stole $500 from the Boost Mobile cellular telephone store in the 6200 block of Oxon Hill Road in Oxon Hill, Md.
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September 3, 2014, approximately 2:10 p.m.: Fogg entered a Metro PCS store in the 5200 block of Indian Head Highway in Oxon Hill, Md. and took about 15 new cellular telephones that were for sale on the counter, $539.75 in cash, and personal items from the individuals inside the store.
Fogg was arrested on Sept. 5, 2014 and has been in custody ever since. At the time of his arrest, he was on supervised release following a 2009 conviction in the Superior Court of the District of Columbia for attempted possession with the intent to distribute cocaine. Fogg also had prior felony convictions for threats and possession with the intent to distribute heroin. He also now faces charges in two separate Superior Court of the District of Columbia matters relating to his conduct while incarcerated, which includes the stabbing of a fellow inmate and the assault of a prison official by hitting the official with his feces.
This case was investigated by the FBI’s Washington Field Office, the Metropolitan Police Department, and the Prince George’s County Police Department. Those working on the case from the U.S. Attorney’s Office for the District of Columbia include Legal Assistants Latoya Wade, Brendan Coyne, and Diane Brashears, Paralegal Specialist Candace Battle, and Assistant U.S. Attorney Christopher Macchiaroli, of the Violent Crimes and Narcotics Trafficking Section, who prosecuted the matter. Those working on the case from the U.S. Attorney’s Office for the District of Maryland include Assistant U.S. Attorney Thomas Sullivan, who prosecuted the Maryland cases prior to them being transferred to Washington, D.C. for resolution before Judge Friedman.
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Cuban National Sentenced for Conspiracy to Commit Access Device Fraud, Aggravated Identity TheftRead the Press Release
U.S. Attorney Kenneth A. Polite announced that LUIS RIVERA GARCIA, age 27, a Cuban national residing in Florida, was sentenced today after previously pleading guilty to one count of conspiracy to commit access device fraud and aggravated identity theft.
U.S. District Judge Nannette Jolivette Brown sentenced RIVERA GARCIA to 57 months imprisonment to be followed by 3 years of supervised release, and $7,873.90 in restitution.
RIVERA GARCIA pled guilty to conspiring with co-defendants to possess fifteen or more unauthorized and counterfeit access devices, as well as producing, possessing, and trafficking device-making equipment. According to court records, the defendants traveled from Florida in late July 2015, and agreed to place card skimming devices on gas pumps in the New Orleans area. They also admitted to, among other things, possessing a card encoding machine, a card embossing machine, and a laptop computer containing stolen credit card information. In April 2016, while on bond in this case, RIVERA GARCIA and co-defendants, JULIET ESTRADA PEREZ and JESUS ENRIQUE GONZALES TORRES, were arrested in the Southern District of Florida on new state charges of committing credit card fraud, after they were found in the Florida Strait between Florida and Cuba by the United States Coast Guard, and have been detained since then as flight risks.
RIVERA GARCIA is the third defendant to be sentenced in this case. In January 2017, PEREZ and TORRES were sentenced to 36 months and 30 months imprisonment respectively. As part of sentencing, U.S. District Judge Nannette Jolivette Brown found that RIVERA GARCIA was an organizer and leader of the conspiracy. She further ordered the RIVERA GARCIA pay restitution of $7,873.90 jointly and severally with his codefendants and a $100 special assessment.
U.S. Attorney Polite praised the work of the Jefferson Parish Sheriff’s Office, the United States Secret Service, and Homeland Security Investigations in investigating this matter. Assistant U.S. Attorney Hayden Brockett was in charge of the prosecution.
Company to Pay $9.5 Million for False Reporting of Safety Inspections and Clean Water Act Violations that Led to Explosion in Gulf of MexicoRead the Press Release
WASHINGTON – Wood Group PSN Inc., a Nevada corporation headquartered in Houston, Texas, was ordered to pay $9.5 million today in two separate cases involving their conduct in the Gulf of Mexico. Specifically, Wood Group PSN was ordered to pay $7 million for falsely reporting over several years that personnel had performed safety inspections on offshore facilities in the Gulf of Mexico in the Western District of Louisiana, and $1.8 million for negligently discharging oil into the Gulf of Mexico in violation of the Clean Water Act after an explosion on an offshore facility in the Eastern District of Louisiana, announced Acting Assistant Attorney General Jeff Wood of the Justice Department’s Environment and Natural Resources Division, U.S. Attorney for the Western District of Louisiana Stephanie A. Finley, and U.S. Attorney for the Eastern District of Louisiana Kenneth A. Polite. Wood Group PSN was also ordered to pay $700,000 in community service to projects in the areas where the criminal conduct took place.
“The events of November 2012 at West Delta 32 were tragic, and since then federal prosecutors have worked diligently to investigate and understand the full scope of criminal conduct,” said Acting Assistant Attorney General Wood. “Today’s plea agreement demonstrates the Department of Justice’s commitment to the integrity of federal safety programs and accountability for those who falsify federal safety inspection reports. In addition, the plea agreement ensures that Wood Group is held responsible for its wrongful pollution of the Gulf of Mexico, and it will bring community service projects to benefit the Gulf of Mexico and Gulf Coast communities.”
“Ensuring that public resources are developed in a professional and responsible manner is among the highest priorities for this department, and the OIG is committed to work with its Federal partners to hold violators accountable when they choose to ignore their professional and legal responsibilities and place the public and environment at risk,” said Ronald Gonzales, Special Agent in Charge of the Department of the Interior OIG’s Energy Investigations Unit stated, “Developing domestic sources of energy is of vital importance to our nation. This development must be done responsibly and safely to protect public health and the environment,” said Christopher R. Brooks, Special Agent in Charge of EPA’s criminal enforcement program in Louisiana. “This case is an example of federal law enforcement partners holding individuals accountable for their illegal conduct, and ensuring that the hard work invested in restoring the Gulf of Mexico is not jeopardized.”
According to the factual basis of the company’s plea agreement in the false reporting case, from April of 2011 to July of 2014, employees at Wood Group PSN’s Cameron, La., office failed to inspect and maintain facilities they had contracts with on the Outer Continental Shelf’s Creole Loop, and also falsely indicated that the facilities had been properly inspected and maintained according to federal safety and environmental regulations. The company operators at the Cameron office had trouble keeping up with inspections and maintenance on facilities they serviced. The office did not have sufficient labor and transportation, and the work was not always completed on time. The employees, from operators to clerks, then falsified reports to the Bureau of Safety and Environmental Enforcement. The company admitted to 87 violations on offshore platforms.
Wood Group PSN’s Clean Water Act conviction stems from an explosion on Black Elk Energy Offshore Operations, L.L.C.’s (BEE) offshore oil production facility located at area West Delta 32 in the Gulf of Mexico. According to court documents, BEE had contracted with Wood Group PSN for individuals to man and conduct production operations at the West Delta 32 facility. Beginning on November 3, 2012 and continuing through November 16, 2012, construction was being conducted at the West Delta 32 facility. Wood Group PSN supported the construction by issuing hot work permits for welding.
However, starting on or about Nov. 10, 2012, the Wood Group PSN Person-in-Charge, Christopher Srubar, stopped issuing hot work permits and conducting all-hands safety meetings, and instead delegated the hot work permitting to a less experienced operator. On Nov. 16, 2012, Grand Isle Shipyards, Inc. (GIS) construction superintendent, Curtis Dantin, assigned workers to perform welding in three different areas of the “E” platform, including sump line piping that had previously contained hydrocarbons but had not been made safe for hot work, or identified in a permit as an area safe for hot work. The sump line piping led to an oil storage tank that contained hydrocarbons contaminated with water, also known as the wet oil tank.
After the construction workers had cut and grinded the sump line piping the morning of Nov. 16, they attempted to weld on the cut piping with an arc welder. At that time, hydrocarbon vapors that had escaped from the wet oil tank ignited. The ignition caused an explosion setting off a series of additional explosions in the three oil tanks on the “E” platform. One of the dry oil tanks and the wet oil tank were blown into the Gulf of Mexico. The other dry oil tank was blown off its base and destroyed the platform crane. Oil spilled into the Gulf of Mexico causing a sheen on the water. Oil rained down to the lower deck of the platform where workers had been performing other construction activity. The fire and explosions that occurred resulted in the deaths of construction workers, Avelino Tajonera, Elroy Corporal, and Jerome Malagapo. Other workers were seriously burned and physically injured.
Wood Group PSN admitted that its employees were negligent in the way they authorized hot work on West Delta 32, and that a lack of communication between personnel on the platform, including Wood Group PSN’s Person-in-Charge, Christopher Srubar, contributed to the events that caused oil to be discharged into the Gulf of Mexico in a harmful quantity.
Co-defendants, BEE and GIS face manslaughter charges, and Curtis Dantin, Christopher Srubar, and Don Moss face criminal violations of the Clean Water Act in the Eastern District of Louisiana before the Honorable Judge Jane Triche Milazzo, in case no. 15-cr-197 “H.” BEE also faces eight felony counts of regulatory violations under the Outer Continental Shelf Lands Act.
Charges against Don Moss, Christopher Srubar, Curtis Dantin, and GIS under the Outer Continental Shelf Lands Act that were dismissed by the district court are pending an interlocutory appeal by the government to the U.S. Fifth Circuit Court of Appeals, case no. 16-30561.
The U.S. Department of the Interior-Office of Inspector General and the U.S. Environmental Protection Agency-CID conducted the investigations. Assistant U.S. Attorneys Myers P. Namie and David D. Joseph prosecuted the case for the Western District of Louisiana, and Assistant U.S. Attorneys Emily Greenfield and Nicholas Moses, and Department of Justice Senior Trial Attorney Ken Nelson prosecuted the case for the Eastern District of Louisiana.
Company to Pay $9.5 Million for False Reporting of Safety Inspections and Clean Water Act Violations That Led to Explosion in Gulf of MexicoRead the Press Release
Wood Group PSN Inc., a Nevada corporation headquartered in Houston, Texas, was ordered to pay $9.5 million today in two separate cases involving their conduct in the Gulf of Mexico. Specifically, Wood Group PSN was ordered to pay $7 million for falsely reporting over several years that personnel had performed safety inspections on offshore facilities in the Gulf of Mexico in the Western District of Louisiana, and $1.8 million for negligently discharging oil into the Gulf of Mexico in violation of the Clean Water Act after an explosion on an offshore facility in the Eastern District of Louisiana, announced Acting Assistant Attorney General Jeff Wood of the Justice Department’s Environment and Natural Resources Division, U.S. Attorney for the Western District of Louisiana Stephanie A. Finley, and U.S. Attorney for the Eastern District of Louisiana Kenneth A. Polite. Wood Group PSN was also ordered to pay $700,000 in community service to projects in the areas where the criminal conduct took place.
“The events of November 2012 at West Delta 32 were tragic, and since then federal prosecutors have worked diligently to investigate and understand the full scope of criminal conduct,” said Acting Assistant Attorney General Wood. “Today’s plea agreement demonstrates the Department of Justice’s commitment to the integrity of federal safety programs and accountability for those who falsify federal safety inspection reports. In addition, the plea agreement ensures that Wood Group is held responsible for its wrongful pollution of the Gulf of Mexico, and it will bring community service projects to benefit the Gulf of Mexico and Gulf Coast communities.”
“Ensuring that public resources are developed in a professional and responsible manner is among the highest priorities for this department, and the OIG is committed to work with its federal partners to hold violators accountable when they choose to ignore their professional and legal responsibilities and place the public and environment at risk,” said Ronald Gonzales, Special Agent in Charge of the Department of the Interior OIG’s Energy Investigations Unit.
“Developing domestic sources of energy is of vital importance to our nation. This development must be done responsibly and safely to protect public health and the environment,” said Christopher R. Brooks, Special Agent in Charge of EPA’s criminal enforcement program in Louisiana. “This case is an example of federal law enforcement partners holding individuals accountable for their illegal conduct, and ensuring that the hard work invested in restoring the Gulf of Mexico is not jeopardized.”
According to the factual basis of the company’s plea agreement in the false reporting case, from April of 2011 to July of 2014, employees at Wood Group PSN’s Cameron, La., office failed to inspect and maintain facilities they had contracts with on the Outer Continental Shelf’s Creole Loop, and also falsely indicated that the facilities had been properly inspected and maintained according to federal safety and environmental regulations. The company operators at the Cameron office had trouble keeping up with inspections and maintenance on facilities they serviced. The office did not have sufficient labor and transportation, and the work was not always completed on time. The employees, from operators to clerks, then falsified reports to the Bureau of Safety and Environmental Enforcement. The company admitted to 87 violations on offshore platforms.
Wood Group PSN’s Clean Water Act conviction stems from an explosion on Black Elk Energy Offshore Operations, L.L.C.’s (BEE) offshore oil production facility located at area West Delta 32 in the Gulf of Mexico. According to court documents, BEE had contracted with Wood Group PSN for individuals to man and conduct production operations at the West Delta 32 facility. Beginning on November 3, 2012 and continuing through November 16, 2012, construction was being conducted at the West Delta 32 facility. Wood Group PSN supported the construction by issuing hot work permits for welding.
However, starting on or about Nov. 10, 2012, the Wood Group PSN Person-in-Charge, Christopher Srubar, stopped issuing hot work permits and conducting all-hands safety meetings, and instead delegated the hot work permitting to a less experienced operator. On Nov. 16, 2012, Grand Isle Shipyards, Inc. (GIS) construction superintendent, Curtis Dantin, assigned workers to perform welding in three different areas of the “E” platform, including sump line piping that had previously contained hydrocarbons but had not been made safe for hot work, or identified in a permit as an area safe for hot work. The sump line piping led to an oil storage tank that contained hydrocarbons contaminated with water, also known as the wet oil tank.
After the construction workers had cut and grinded the sump line piping the morning of Nov. 16, they attempted to weld on the cut piping with an arc welder. At that time, hydrocarbon vapors that had escaped from the wet oil tank ignited. The ignition caused an explosion setting off a series of additional explosions in the three oil tanks on the “E” platform. One of the dry oil tanks and the wet oil tank were blown into the Gulf of Mexico. The other dry oil tank was blown off its base and destroyed the platform crane. Oil spilled into the Gulf of Mexico causing a sheen on the water. Oil rained down to the lower deck of the platform where workers had been performing other construction activity. The fire and explosions that occurred resulted in the deaths of construction workers, Avelino Tajonera, Elroy Corporal, and Jerome Malagapo. Other workers were seriously burned and physically injured.
Wood Group PSN admitted that its employees were negligent in the way they authorized hot work on West Delta 32, and that a lack of communication between personnel on the platform, including Wood Group PSN’s Person-in-Charge, Christopher Srubar, contributed to the events that caused oil to be discharged into the Gulf of Mexico in a harmful quantity.
Co-defendants, BEE and GIS face manslaughter charges, and Curtis Dantin, Christopher Srubar, and Don Moss face criminal violations of the Clean Water Act in the Eastern District of Louisiana before the Honorable Judge Jane Triche Milazzo, in case no. 15-cr-197 “H.” BEE also faces eight felony counts of regulatory violations under the Outer Continental Shelf Lands Act.
Charges against Don Moss, Christopher Srubar, Curtis Dantin, and GIS under the Outer Continental Shelf Lands Act that were dismissed by the district court are pending an interlocutory appeal by the government to the U.S. Fifth Circuit Court of Appeals, case no. 16-30561.
The U.S. Department of the Interior-Office of Inspector General and the U.S. Environmental Protection Agency-CID conducted the investigations. Assistant U.S. Attorneys Myers P. Namie and David D. Joseph prosecuted the case for the Western District of Louisiana, and Assistant U.S. Attorneys Emily Greenfield and Nicholas Moses, and Department of Justice Senior Trial Attorney Ken Nelson prosecuted the case for the Eastern District of Louisiana.
Columbia Man Indicted for Attempting to Aid TerroristsRead the Press Release
KANSAS CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a Columbia, Mo., man was indicted by a federal grand jury today for his role in making preparations to launch a terrorist attack with persons he believed were members of ISIS, but who were actually undercover law enforcement agents.
Robert Lorenzo Hester, Jr., 25, of Columbia, was charged in a two-count indictment returned by a federal grand jury in Kansas City, Mo. Today’s indictment replaces a federal criminal complaint that was signed on Sunday, Feb. 19, 2017, and contains an additional charge of attempting to provide material support or resources to terrorists.
Hester, who was the sole subject of this undercover investigation, remains in federal custody pending a detention hearing on Friday, Feb. 24, 2017. Hester is a U.S. citizen who was born in Missouri. He was enlisted in the U.S. Army for less than a year, receiving a general discharge from service in mid-2013.
Count One of the federal indictment alleges that, from October 2016 to Feb. 17, 2017, Hester attempted to provide material support or resources to be used in preparation for, and in carrying out, the use of weapons of mass destruction.
Count Two of the federal indictment alleges that, from October 2016 to Feb. 17, 2017, Hester attempted to provide material support or resources to a foreign terrorist organization, knowing that ISIS (the Islamic State of Iraq and al-Sham) was a designated foreign terrorist organization that engages in terrorist activity.
According to an affidavit filed in support of the original criminal complaint, FBI agents undertook a review of Hester’s publicly available posts on multiple social media accounts in September 2016. FBI employees using undercover identities communicated with Hester via social media, texting and personal meetings on several occasions. When Hester arrived for a meeting with an undercover FBI employee on Friday, Feb. 17, 2017, he was arrested.
Dickinson cautioned that the charges contained in this indictment are simply accusations, and not evidence of guilt. Evidence supporting the charges must be presented to a federal trial jury, whose duty is to determine guilt or innocence.
This case is being prosecuted by Assistant U.S. Attorneys Brian P. Casey and David Raskin and Trial Attorney Jennifer Levy of the National Security Division’s Counterterrorism Section. It was investigated by the FBI.
Columbia Man Charged with Child Sexual ExploitationRead the Press Release
JEFFERSON CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a Columbia, Mo., man was charged in federal court today with child sexual exploitation.
Sergio Antonio Dominguez-Gonzalez, 23, of Columbia, was charged with the sexual exploitation of a minor in a federal criminal complaint filed in the U.S. District Court in Jefferson City, Mo. Dominguez-Gonzalez, who remains in federal custody, will have an initial court appearance on Friday, Feb. 24, 2017.
According to an affidavit filed in support of the federal criminal complaint, an undercover law enforcement officer posted numerous on-line bulletin messages on social media forums, which were intended to attract individuals with a sexual interest in children. On Tuesday, Feb. 21, 2017, the undercover officer received an e-mail message from Dominguez-Gonzalez.
During the course of their e-mail conversation and subsequent instant messenger chat, the affidavit says, Dominguez-Gonzalez sent the undercover officer images and videos of a prepubescent toddler, including pornographic images and videos. Dominguez-Gonzalez allegedly asked the undercover officer to send him nude pictures of his purported 9-year-old daughter.
Law enforcement officers executed a search warrant at Dominguez-Gonzalez’s residence on Wednesday, Feb. 22, 2017. Among the items seized were five cell phones, a desktop computer and a digital camera with an SD card.
Dickinson cautioned that the charge contained in this complaint is simply an accusation, and not evidence of guilt. Evidence supporting the charge must be presented to a federal trial jury, whose duty is to determine guilt or innocence.
This case is being prosecuted by Assistant U.S. Attorney Ashley Turner. It was investigated by the FBI and the Boone County, Mo., Sheriff’s Department.
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."
Columbia County Man Charged with Drug Distribution Resulting in DeathRead the Press Release
WILLIAMSPORT - The United States Attorney’s Office for the Middle District of Pennsylvania announced today that Jeffrey Scott Jones, age 36, of Orangeville, Columbia County, Pennsylvania, was indicted by a federal grand jury for drug trafficking that resulted in death.
According to United States Attorney Bruce D. Brandler, the indictment alleges that Jones sold a mixture of heroin and fentanyl to the victim on July 28, 2016, and the victim died as a result from the use of the drugs.
The case was investigated by the Scott Township Police Department, the Pennsylvania State Police, and the Federal Bureau of Investigation. Assistant United States Attorney Geoffrey MacArthur is prosecuting the case.
This case was brought as part of a district wide initiative to combat the nationwide epidemic regarding the use and distribution of heroin. Led by the United States Attorney’s Office, the Heroin Initiative targets heroin traffickers operating in the Middle District of Pennsylvania and is part of a coordinated effort among federal, state and local law enforcement agencies to locate, apprehend, and prosecute individuals who commit heroin related offenses
Indictments and Criminal Informations are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
Jones faces a minimum sentence of 20 years’ imprisonment and a maximum penalty under federal law of life imprisonment, a term of three years’ supervised release following imprisonment, and a $1 million dollar fine. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant's educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
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Cohoes Man Indicted for Distributing and Possessing Child PornographyRead the Press Release
ALBANY, NEW YORK – George Muzio, Jr., age 35, of Cohoes, New York, was indicted yesterday for distributing and possessing child pornography.
The announcement was made by United States Attorney Richard S. Hartunian and James C. Spero, Special Agent in Charge of the Buffalo Field Office of Homeland Security Investigations (HSI).
Muzio is charged with 7 counts of distributing child pornography and 1 count of possessing child pornography. As alleged in a complaint filed earlier in the case, Muzio shared child pornography videos over the Internet. Following his arrest on the complaint, a detention hearing was held before United States Magistrate Judge Daniel J. Stewart, who ordered Muzio released and subject to pretrial supervision.
The charges in the indictment are merely accusations. The defendant is presumed innocent until proven guilty.
If convicted on all charges, Muzio faces at least 5 years and up to 20 years in prison, at least 5 years and up to lifetime supervised release, mandatory registration as a sex offender, 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.
This case is being investigated by HSI and is being prosecuted by Assistant U.S. Attorney Solomon B. Shinerock.
This case is prosecuted as a part of Project Safe Childhood. Launched in May 2006 by the Department of Justice, Project Safe Childhood is led by United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS). Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.
Cleveland man pleads guilty to selling fatal dose of fentanylRead the Press Release
A Cleveland man pleaded guilty to distributing fentanyl that killed a woman, U.S. Attorney Carole S. Rendon said.
Robert J. Johnson, 27, pleaded guilty to two counts of distribution of fentanyl. The charges stem from sales of fentanyl that took place on Aug. 25 and 27, 2015. The Aug. 25 sale resulted in the death of a woman, according to court documents.
“Fentanyl abuse has caused on unprecedented wave of overdose deaths in our community,” Rendon said. “The only way we can stem this tide is with a comprehensive approach focused on prevention, treatment, prescribing practices and enforcement. And on the enforcement side, we will continue to aggressively prosecute those who continue to peddle this poison in our community.”
Johnson is scheduled to be sentenced June 1.
This case is being prosecuted by Assistant U.S. Attorney Vasile Katsaros and Matthew J. Cronin following an investigation by the Cleveland Division of Police, with assistance from the Cuyahoga County Medical Examiner’s Office.
Clark Man Sentenced to 15 Years for Meth ConspiracyRead the Press Release
JEFFERSON CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a Clark, Mo., man was sentenced in federal court today for his role in a conspiracy to distribute methamphetamine in Randolph and Boone Counties, Mo.
Miguel Flores-Ramirez, 33, of Clark, was sentenced by U.S. District Judge Stephen R. Bough to 15 years in federal prison without parole.
On June 21, 2016, Flores-Ramirez pleaded guilty to participating in a conspiracy to distribute methamphetamine from May 19 to May 23, 2014.
Law enforcement officers intercepted phone calls between Flores-Ramirez and another individual that indicated a shipment of methamphetamine was to be delivered to him in Columbia, Mo. He arranged for his wife and co-defendant, Kena Marie Flores-Ramirez, 28, and co-defendant Nina Marie Mabrey, 38, of Clark, to pick up a vehicle in which the methamphetamine was hidden and drive the vehicle back to their residence in Clark.
Officers saw Kena Flores-Ramirez leave their residence at 5:21 a.m. on May 23, 2014. She and Mabrey drove to a parking lot on Vandiver Drive in Columbia, where they met a car carrier. Mabrey drove out of the parking lot in a maroon 1999 Toyota Tacoma (with no registration) that had been on the car carrier.
Law enforcement officers made contact with the driver of the car carrier, who stated that he worked for a logistics company from Maryland. He showed the agent a bill of lading for a 1999 Toyota Tacoma that he had just delivered. He stated that he had obtained the vehicle on May 21, 2014, in Denver, Colo., and that it was the last vehicle he picked up before driving to Columbia. He stated that he just delivered the vehicle and was paid a $600 transport fee.
Officers conducted traffic stops of both Kena Flores-Ramirez and Mabry. A narcotics dog alerted to the area of the rear bumper and the passenger side rear wheel well on the exterior of the Toyota Tacoma. They were released, but officers kept the Toyota Tacoma in order to conduct a more thorough search. After they left, officers intercepted a phone call in which Kena Flores-Ramirez called her husband and told him they had been stopped, the truck had been taken, and to clean out the house and dispose of everything. Later that day, officers intercepted a phone call from Miguel Flores-Ramirez to another individual in which he said “they will find something” (the methamphetamine) “if they tear it (the Tacoma) apart.”
Officers searched the Toyota Tacoma and found six large vacuum-sealed bags and four smaller bags of methamphetamine hidden in the gas tank. The large bags weighed approximately one pound each, and the smaller bags approximately a half-pound each, for a total of 3.492 kilograms of pure methamphetamine.
Kena Flores-Ramirez has also pleaded guilty to her role in the drug-trafficking conspiracy and awaits sentencing. Mabrey pleaded guilty and was sentenced on Jan. 26, 2017, to three years of probation.
This case is being prosecuted by Assistant U.S. Attorney Lawrence E. Miller. It was investigated by the Drug Enforcement Administration, the Columbia, Mo., Police Department, the FBI, IRS-Criminal Investigation and the Missouri State Highway Patrol.
Citizen of Yemen Sentenced for Illegal Entry into United StatesRead the Press Release
ALBANY, NEW YORK – Abdulmagid Al Saadi, age 38, a citizen of Yemen, was sentenced today to 10 days in jail following his guilty plea to illegally entering the United States, a misdemeanor.
The announcement was made by United States Attorney Richard S. Hartunian and Chief Patrol Agent John C. Pfeifer, United States Border Patrol, Swanton Sector.
Al Saadi admitted that on February 16, 2017, he walked across the border approximately one-half mile west of Rouses Point, New York, on New York State Route 276, and he continued south on foot until he was stopped and arrested by Border Patrol Agents.
Upon the completion of his sentence, Al Saadi will be transferred to the custody of the Department of Homeland Security and placed into removal proceedings.
This case was investigated by the United States Border Patrol, Champlain Station, and prosecuted by Assistant U.S. Attorney Edward P. Grogan.
Charleston man sentenced to over six years in federal prison for distributing methamphetamineRead the Press Release
CHARLESTON, W.Va. – A Charleston methamphetamine dealer was sentenced today to six and a half years in federal prison for a drug crime, announced United States Attorney Carol Casto. Keary Drake, 48, previously pleaded guilty to distribution of methamphetamine.
Drake admitted that on April 28, 2016, he sold methamphetamine to a confidential informant working with the Sheriff’s Tactical Operations Patrol (STOP Team) of the Kanawha County Sheriff’s Department. Drake also admitted that he sold additional methamphetamine to a confidential informant in June and July of 2016. On July 13, 2016, law enforcement executed a search warrant at Drake’s residence on Bakers Fork Road in Charleston and recovered methamphetamine. After execution of the search warrant, Drake further admitted that had distributed approximately 84 grams of methamphetamine over the previous six months.
The Kanawha County Sheriff’s Department and the Drug Enforcement Administration conducted the investigation. Assistant United States Attorney Erik S. Goes is in charge of the prosecution. United States District Judge Thomas E. Johnston imposed the sentence.
This case is being prosecuted as part of an ongoing effort led by the United States Attorney’s Office for the Southern District of West Virginia to combat the illicit sale and misuse of illegal drugs, including methamphetamine. The U.S. Attorney’s Office, joined by federal, state, and local law enforcement agencies, is committed to aggressively pursuing and shutting down pill trafficking, eliminating open air drug markets, and curtailing the spread of illegal drugs in communities across the Southern District.
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California Man Convicted of Trafficking Methamphetamine to Des Moines AreaRead the Press Release
DES MOINES, IA – On February 22, 2017, a jury in the Southern District of Iowa convicted Jonathan Leroy Homedew, 43, of Hemet, California, on a charge of conspiracy to distribute methamphetamine, announced United States Attorney Kevin E. VanderSchel. Sentencing has been scheduled for July 6, 2017, before Chief United States District Court Judge John A. Jarvey.
From about May 2016 through September 9, 2016, Homedew conspired with other persons to distribute methamphetamine in the Des Moines, Iowa, area. Over the course of this conspiracy, Homedew purchased multi-pound quantities of methamphetamine from sources in Southern California, and then shipped it, including through the United States Mail, to the Des Moines area. On September 7 and 9, 2016, the United States Postal Inspection Service, in concert with the Des Moines Police Department, seized nine parcels shipped from Southern California. The combined parcels contained over 25 pounds of methamphetamine sent by Homedew for redistribution by others in Iowa.
"The cooperation among the law enforcement agencies necessary to achieve this successful prosecution is commended," stated United States Attorney VanderSchel. "Together we are making a difference in keeping our community and mail service safe."
Craig Goldberg, Inspector in Charge of the Denver Division of the United States Postal Inspection Service, which includes Iowa, said, "This conviction reflects the successful teamwork among federal, state, and local law enforcement. We want the public to know that Postal Inspectors will aggressively pursue anyone who attempts to use the Postal Service to facilitate drug trafficking. We do not want the U.S. Mail to be used to commit crimes, and we aim to keep illegal drugs out of the mail for the safety of our employees and customers."
This investigation was conducted by the United States Postal Inspection Service, Des Moines Police Department, and the 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 contacting Rachel J. Scherle at 515-473-9300, or by emailing her at [email protected]
Bullhead Woman Charged with Child AbuseRead the Press Release
United States Attorney Randolph J. Seiler announced that a Bullhead, South Dakota, woman has been indicted by a federal grand jury on four counts of Child Abuse.
Alyssa Oka, age 27, was indicted on February 15, 2017. She appeared before U.S. Magistrate Judge William D. Gerdes on February 21, 2017, and pled not guilty to the Indictment.
The maximum penalty upon conviction is up to 15 years in custody and/or a $250,000 fine, 3 years of supervised release per count, and up to $400 to the Federal Crime Victims Fund. Restitution may also be ordered.
The Indictment alleges that on multiple dates, Oka abused, exposed, tortured, tormented, and cruelly punished four juvenile victims who were all under the age of seven.
The charges are merely accusations and Oka is presumed innocent until and unless proven guilty.
The investigation is being conducted by the Bureau of Indian Affairs, Standing Rock Agency. Assistant U.S. Attorney Troy R. Morley is prosecuting the case.
Oka was remanded to the custody of the U.S. Marshals Service pending trial. A trial date has not been set.
Bullhead Man Charged with First Degree Burglary and Domestic Assault by an Habitual OffenderRead the Press Release
United States Attorney Randolph J. Seiler announced that a Bullhead, South Dakota, man has been indicted by a federal grand jury for one count of First Degree Burglary and two counts of Domestic Assault by an Habitual Offender.
Dana Yellow Earrings, age 44, was indicted on February 15, 2017. He appeared before U.S. Magistrate Judge William D. Gerdes on February 21, 2017, and pled not guilty to the Indictment.
The maximum penalty upon conviction is up to 35 years in custody and/or a $750,000 fine, 9 years of supervised release, and $300 to the Federal Crime Victims Fund. Restitution may also be ordered.
The Indictment alleges that on September 11, 2016, Yellow Earrings unlawfully entered and remained in an occupied structure at night time. The Indictment also alleged that Yellow Earrings, on two separate occasions, committed the offense of domestic assault upon a spouse or partner.
The charges are merely accusations and Yellow Earrings is presumed innocent until and unless proven guilty.
The investigation is being conducted by the Bureau of Indian Affairs, Standing Rock Agency. Assistant U.S. Attorney Troy R. Morley is prosecuting the case.
Yellow Earrings was remanded to the custody of the U.S. Marshals Service pending trial. A trial date has not been set.
Bridgeport Man Sentenced to 46 Months in Federal Prison for Distributing Heroin to Overdose VictimRead the Press Release
Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that JEVAUGHN WATSON, 23, of Bridgeport, was sentenced today by U.S. District Judge Robert N. Chatigny in Hartford to 46 months of imprisonment, followed by three years of supervised release, for distributing heroin.
This prosecution is part of an ongoing statewide initiative targeting narcotics dealers who distribute heroin, fentanyl or opioids that cause death or serious injury to users.
According to court documents and statements made in court, on August 18, 2016, Trumbull Police and emergency medical personnel responded to a residence in Trumbull and found an unresponsive 25-year-old female on the floor of a bedroom. The victim was pronounced deceased shortly thereafter. Investigators searched the victim’s pocketbook and found several empty wax folds and some wax folds that contained suspected heroin. Analysis of text messages contained on the victim’s cellphone revealed that the victim had ordered heroin from WATSON several times over the course of approximately two months prior to the victim’s death.
WATSON has been detained since his arrest on September 7, 2016. On December 1, 2016, he pleaded guilty to one count of possession with intent to distribute, and distribution of, heroin.
This matter was investigated by the Drug Enforcement Administration’s Bridgeport Resident Office, the DEA’s New Haven Tactical Diversion Squad and the Trumbull and Monroe Police Departments, with the assistance of the Bridgeport Police Department.
This case was prosecuted by Assistant U.S. Attorney Douglas P. Morabito.
Bossier City man pleads guilty to possessing child pornographyRead the Press Release
SHREVEPORT, La. – United States Attorney Stephanie A. Finley announced that a Bossier City man pleaded guilty Wednesday to possessing child pornography.
Travis Eugene Henson, 42, of Bossier City, La., pleaded guilty before U.S. District Judge Elizabeth E. Foote to one count of possession of child pornography. According to the guilty plea, law enforcement agents identified Henson as someone who was actively downloading child pornography. His home was searched on April 25, 2016, and child pornography was found on various electronic media within his home. Law enforcement later conducted a forensic analysis of the media that showed the electronic media contained more than a million files with a majority being child pornography.
Henson faces five to 20 years in prison, five years to life of supervised release, mandatory registration as a sex offender, forfeiture of property seized during the investigation and a $250,000 fine. The court set the sentencing date for June 16, 2017.
This case is part of Project Safe Childhood, a U.S. Department of Justice nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood combines federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
The U.S. Department of Homeland Security and U.S. Immigration & Customs Enforcement (ICE) also encourage the public to report suspected child predators and any suspicious activity through its toll-free hotline at (866) 347-2423. Investigators are available at all hours to answer hotline calls. Tips or other information can also be submitted to ICE online by visiting their website at www.ice.gov/exec/forms/hsi-tips/tips.asp or through the Operation Predator smartphone application www.ice.gov/predator/smartphone-app. Tips may be submitted anonymously.
The U.S. Department of Homeland Security, the Louisiana Attorney General’s Office, and the Northwest Louisiana Crimes Against Children Task Force conducted the investigation. Assistant U.S. Attorney Earl M. Campbell is prosecuting the case.
Black P-Stones Gang Member Sentenced to 24 Years in PrisonRead the Press Release
NEWPORT NEWS, Va. – Justin Brown, 25, of Newport News, was sentenced yesterday to 288 months in prison, followed by five years of supervised release, for conspiracy to engage in racketeering as a member of the Black P-Stones gang. The Black P-Stones were involved in the distribution of narcotics, the robbery of multiple individuals and the death of at least three individuals.
Brown pleaded guilty on Dec. 16, 2015. According to court documents, among other criminal events, Brown drove several other Black P-Stones and associates to the home of a local marijuana dealer for the purpose of robbing him. During the course of the robbery, the marijuana dealer was murdered by one of the Black P-Stones. Following the murder, Brown drove the members away and the items taken from the marijuana dealer were divided up.
Dana J. Boente, U.S. Attorney for the Eastern District of Virginia; and Martin Culbreth, Special Agent in Charge of the FBI’s Norfolk Field Office, made the announcement after sentencing by U.S. District Judge Arenda Wright-Allen. Assistant U.S. Attorney Eric M. Hurt and Trial Attorney Marianne Shelvey of the Justice Department’s Organized Crime and Gang Section prosecuted the case.
A copy of this press release may be found on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information may be found on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 4:13-cr-96.
Baltimore Felon Exiled to 10 Years in Federal Prison for Illegal Possession of a Stolen FirearmRead the Press Release
Baltimore, Maryland –U.S. District Judge James K. Bredar sentenced Jerome Harrod, age 36, of Baltimore, Maryland, on February 22, 2017, to 10 years in prison, followed by three years of supervised release, for possession of a stolen firearm.
The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Daniel L. Board Jr. of the Bureau of Alcohol, Tobacco, Firearms and Explosives - Baltimore Field Division; Baltimore Police Commissioner Kevin Davis; and Baltimore City State’s Attorney Marilyn Mosby.
According to his guilty plea, on September 23, 2015, a Baltimore Police detective surveilling the 2900 block of Presbury Street in Baltimore, Maryland, saw Harrod walk up to the front porch of a home, pull a silver revolver from his waistband, and hold it in the air. The detective gave a description of Harrod to two Baltimore Police detectives, who traveled to the residence to investigate.
Harrod noticed the approach of the detectives, reached for the firearm in his waistband, and then hastily turned and ran inside the house. The detectives followed Harrod inside and through the home to the back of the kitchen. Harrod attempted to exit out of a back door, then turned and attempted to draw his firearm on the detectives. One of the detectives realize that Harrod was pulling out a silver gun and yelled “Gun!” The other detective then struck Harrod in the face to prevent him from pulling out the gun.
A search of Harrod recovered a .357 caliber revolver. Investigation revealed that the gun was stolen from its owner in Dekalb County, Georgia on January 23, 2012.
At the time of this arrest, Harrod was on pre-trial release for a separate firearm offense, and on parole for five separate convictions including drug trafficking and three previous armed robbery convictions.
United States Attorney Rod J. Rosenstein commended the ATF, Baltimore Police Department and Baltimore City State’s Attorney’s Office for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorney David Metcalf, who prosecuted the case.
Arvada Man Sent to Federal Prison for Mailing Marijuana and Marijuana ConcentrateRead the Press Release
DENVER – Stephen Paul Anderson, age 27, of Arvada, Colorado, was sentenced yesterday by U.S. District Court Judge Christine M. Arguello to serve one year in federal prison, followed by three years of supervised release for the manufacture of a schedule I controlled substance and the unlawful use of a communications facility, Acting U.S. Attorney Bob Troyer and U.S. Postal Inspector in Charge Craig Goldberg announced. Anderson, who appeared at the sentencing hearing free on bond, was ordered to report to a facility designated by the U.S. Bureau of Prisons.
Anderson was indicted by a federal grand jury in Denver on August 25, 2016. He pled guilty before Judge Arguello on November 30, 2016. The defendant was sentenced on February 22, 2017.
According to court records, beginning in June 2015 through December 2015, Postal Inspectors identified at least 30 parcels that were sent by Anderson via U.S. Mail that were destined for Texas, New York and Maryland. Anderson often used the name, “The Healthnut” along with his Arvada return address in the mailings. During the course of the investigation, federal search warrants were obtained and revealed the parcels contained marijuana, marijuana edibles or other marijuana concentrate products.
In December 2015, Postal Inspectors, with the assistance of the West Metro Drug Task Force, executed another federal search warrant on Anderson’s residence and vehicle. That search revealed that Anderson had a marijuana grow and commercial grade propane and butane and manufacturing equipment used for THC extraction. Seized during the search were numerous marijuana plants in varying states of growth, numerous pounds of processed marijuana, edibles and concentrate as well as U.S. Postal Service mailing products.
Craig Goldberg, Inspector in Charge of the Denver Division of the U.S. Postal Inspection Service, said, “This case highlighted the dangerous methods used by those who attempt to extract oils from marijuana. When Inspectors searched Anderson’s workshop inside a private residence, they discovered multiple tanks of butane and propane, the highly-flammable fuels needed for extraction. These extraction methods create a significant risk for an explosion, potentially causing extensive property damage or injuries to nearby residents. Additionally, we want the public to know that Postal Inspectors will aggressively pursue anyone who attempts to use the Postal Service to facilitate drug trafficking. We do not want the U.S. Mail to be used to commit crimes, and we aim to keep illegal drugs out of the mail for the safety of our employees. The public should also be aware that although it may be legal to possess small amounts of marijuana in Colorado and certain other states, it is still a violation of federal law to ship marijuana via the U.S. Mail.”
This case was investigated by the U.S. Postal Inspection Service with assistance from the West Metro Drug Task Force.
The defendant was prosecuted by Assistant U.S. Attorney James Boma.
Anesthesiologist Sentenced for Illegally Prescribing Oxycodone and Other Prescription PainkillersRead the Press Release
ATLANTA – Dr. Romie Earl Roland has been sentenced to ten years, ten months for conspiring to distribute Schedule II controlled substances by illegally prescribing prescription painkillers for no legitimate medical purpose.
Also indicted and sentenced for their respective roles in the operation of the pain clinic were seven other co-defendants: Anthony Licata, Charlyn Carter, Adrian Singletary, Dante Cummings, Anthony Ferguson, Danny Thompson and Joshua Gadd. Each co-defendant previously pleaded guilty and has been sentenced.
“Physicians, like Roland, take an oath to do no harm, but he ignored his responsibility when he joined with a corrupt clinic owner to make money by selling prescriptions to drug seekers,” said U.S. Attorney John Horn. “Roland only helped to fuel the opiate crisis that plagues our community.”
Daniel R. Salter, the Special Agent in Charge of the DEA Atlanta Field Division, said, “It is a sad commentary when a trusted person in the medical community hides behind the veil of legitimacy to commit criminal acts. In addition, owners and operators of pill mills spin a broad web of deception, reeling in casts of thousands who are addicted to pharmaceutical drugs. Because of unified law enforcement cooperation, these individuals will spend well-deserved time in prison.”
“Persons who operate pill mills in the Northern District of Georgia can expect to be investigated, prosecuted, and sent to prison in the same way as other drug traffickers who push poison in our communities,” stated Veronica Hyman-Pillot, Special Agent in Charge, IRS Criminal Investigation. “The prescriptions obtained from these types of pill mill clinics are most often sold or diverted on the streets, feeding pain pill addictions and ruining families and lives. Our agents will continue to provide their expertise in narcotics cases by investigating money laundering, which was crucial to the prosecution of these defendants.”
According to U.S. Attorney Horn, the charges, and other information presented in court: In late 2012, agents with a special unit within the Drug Enforcement Administration tasked with combating the illegal distribution of prescription drugs, began an investigation into suspicious activity at the Express Health Center clinic in the Buckhead neighborhood of Atlanta. The investigation revealed that Anthony Licata was the principal owner of the clinic and was directly involved in its operation. Licata came to Atlanta for the sole purpose of operating a pill mill. Charlyn Carter was the clinic’s office manager, and would oversee the clinic’s operations when Licata was away. Adrian Singletary was a security guard at the clinic, and he would also assist with patient triage.
While open only two days a week, the clinic serviced an inordinate number of people, most having traveled from out-of-state. Several physicians were associated with this clinic but it was most profitable during Dr. Roland’s tenure. Through the investigation, agents determined that many of Roland’s patients were drug dealers, drug abusers, or both. For at least eight months, Roland prescribed oxycodone, methadone, and Percocet outside the course of professional practice and for no legitimate purpose. Roland failed to fulfill a doctor’s basic obligations to conduct physical examinations of patients and verify patient medical histories.
Dante Cummings, Anthony Ferguson, Danny Thompson, and Joshua Gadd “sponsored” a number of different patients’ visits to the clinic. Specifically, they would contact the clinic and schedule visits for multiple patients. These defendants would supervise the visits, financing the costs of both seeing the doctor as well as filling the prescriptions. The goal of this sponsorship was to procure multiple prescriptions for controlled substances; the prescriptions were then filled, and the narcotics sold for a profit. The majority of the “patients” that were sponsored by these defendants were not actually suffering chronic pain. Instead, these individuals were often addicted to opioids, but received new prescriptions nonetheless.
Over the course of the conspiracy, the clinic moved locations throughout the Atlanta area. Roland was a prescribing physician at each spot: Express Health Center in Buckhead, ATL Pain Institute in Doraville, and Key Pain Center in Lawrenceville. Roland also worked at a separate clinic: Atlanta Pain & Rehabilitation in Southwest Atlanta.
Romie Earl Roland, 57, of Atlanta, Georgia was sentenced by U.S. District Judge Steve C. Jones, to ten years, ten months in federal prison, to be followed by three years of supervised release. All of Roland’s co-defendants entered guilty pleas and were sentenced before Judge Jones for their respective roles, as follows:
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Anthony Bernard Licata II, 31, of Fort Lauderdale, Florida, entered a guilty plea to one count of Conspiracy to Distribute Controlled Substances, one count of Maintaining a Drug-Involved Premises, and one count of Conspiracy to Launder Drug Proceeds. On January 25, 2016, Mr. Licata was sentenced to 11 years in federal prison and a $25,000 fine, to be followed by three years of supervised release.
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Charlyn Elizabeth Carter, 44, Austell, Georgia, entered a guilty plea to one count of Conspiracy to Distribute Controlled Substances, and one count of Conspiracy Launder Drug Proceeds. On January 25, 2016, Carter was sentenced to six years, six months in federal prison, to be followed by three years of supervised release.
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Adrian Ulysses Singletary, 44, of Atlanta, Georgia, entered a guilty plea to one count of Conspiracy to Distribute Controlled Substances. On January 25, 2016, Singletary was sentenced to three years, ten months in federal prison, to be followed by three years of supervised release.
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Dante Craig Cummings, 28, of Ellenwood, Georgia, entered a guilty plea to one count of Conspiracy to Distribute Controlled Substances. On January 25, 2016, Cummings was sentenced to four years, eight months in federal prison, to be followed by three years of supervised release.
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Danny Ray Thompson, 47, of Happy, Kentucky, entered a guilty plea to one count of Conspiracy to Distribute Controlled Substances. On January 25, 2016, Thompson was sentenced to five years, one month in federal prison, to be followed by three years of supervised release.
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Anthony Wayne Ferguson, 48, of Owingsville, Kentucky, entered a guilty plea to one count of Conspiracy to Distribute Controlled Substances. On February 22, 2016, Ferguson was sentenced to seven years, eight months in federal prison, to be followed by three years of supervised release.
- Joshua James Gadd, 40, of Atlanta, Georgia, entered a guilty plea to one count of Conspiracy to Distribute Controlled Substances. On September 13, 2016, Gadd was sentenced to five years, six months in federal prison, to be followed by three years of supervised release.
The investigation and prosecution of this case was a coordinated effort led by the Drug Enforcement Administration and the Internal Revenue Service - Criminal Investigations, through the Organized Crime Drug Enforcement Task Forces (OCDETF) Program, along with assistance from multiple federal, state, and local law enforcement agencies, including: the U.S. Marshal Service, Fayette County Sheriff's Office, Clayton County Police Department, Pike County Sheriff’s Office, Gwinnett County Sheriff’s Office, Georgia Department of Revenue, Georgia Department of Community Supervision, Atlanta Police Department, Jonesboro Police Department, Johns Creek Police Department, Spalding County Sheriff’s Office, Georgia State Patrol, Kentucky State Police, Georgia Drugs and Narcotics, Georgia Composite Medical Board, and Georgia Bureau of Investigation. The U.S. Attorney’s Office for the Southern District of Florida also assisted with the investigation.
Assistant U.S. Attorneys C. Brock Brockington, Cassandra J. Schansman, and Michael J. Brown, prosecuted the case.
The U.S. Attorney’s Office in Atlanta recommends parents and children learn about the dangers of drugs at the following web site: www.justthinktwice.com.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the home page for the U.S. Attorney’s Office for the Northern District of Georgia Atlanta Division is http://www.justice.gov/usao/gan/.
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Andes Woman Sentenced for Defrauding Social Security AdministrationRead the Press Release
BINGHAMTON, NEW YORK – Deborah E. Wagner, aka Deborah E. Cottrell, age 66, of Andes, New York, was sentenced today to serve 2 years of probation and pay $64,196 in restitution for defrauding the Social Security Administration (SSA) and receiving benefits to which she was not entitled.
The announcement was made by U.S. Attorney Richard S. Hartunian and John F. Grasso, Special Agent in Charge of the SSA Office of the Inspector General, New York Field Office.
As part of her August 9, 2016 guilty plea, Wagner admitted that she provided false information to the SSA so that she could continue to receive the Survivors Insurance benefits she collected from 2006 through 2014, purportedly as a widow. In 2014, Wagner told the SSA that she was not married when, in fact, she had been remarried in 2006, a fact that would have made her ineligible to receive benefits.
Senior U.S. District Court Judge Thomas J. McAvoy also ordered Wagner to serve 50 hours of community service.
This case was investigated by the SSA Office of the Inspector General and was prosecuted by Special Assistant U.S. Attorney Jason W. White.
Allentown Man Charged with Illegal Reentry After DeportationRead the Press Release
Manuel Antonio Nunez-Ortega, a/k/a “Julio Ricardo Fratichelli-Hernandez,” of Allentown, PA, was charged today by Indictment with illegal reentry after deportation, announced Acting United States Attorney Louis D. Lappen. The indictment alleges that on or about December 6, 2016, Nunez-Ortega, an alien, and native and citizen of the Dominican Republic, was found in the United States after having been deported from the United States on or about September 20, 2012.
If convicted the defendant faces a maximum possible sentence of twenty years.
The case was investigated by Immigration and Customs Enforcement, Enforcement and Removal Operations (“ERO”), and is being prosecuted by Assistant United States Attorney Sarah T. Damiani.
An Indictment, Information or Criminal Complaint is an accusation. A defendant is presumed innocent unless and until proven guilty.
Alexandria Man Pleads Guilty to Receipt of Child PornographyRead the Press Release
ALEXANDRIA, Va. – Bruno Ivan Gonzales, 39, of Alexandria, pleaded guilty yesterday to charges of receipt of child pornography.
According to the statement of facts filed with the plea agreement, between January and March 2015, Homeland Security Investigations (HSI) identified an Internet Protocol address near Alexandria that was downloading child pornography via a peer-to-peer network. Based on that investigation, law enforcement officers executed a federal search warrant on a home where Gonzales lived. During the search, HSI agents seized several computer devices. Two desktop computers were found to contain child pornography, and forensic analysis of the devices revealed more than one hundred videos of child pornography and data destruction software. The analysis also confirmed that these devices had been used to download child pornography using a peer-to-peer program. When interviewed, Gonzales admitted to using the computers to receive child pornography.
Gonzales waived indictment and pleaded guilty to a criminal information on February 23, 2017. He faces a mandatory minimum of five years’ imprisonment and a maximum penalty of 20 years in prison when sentenced on May 25, 2017. 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.
Dana J. Boente, U.S. Attorney for the Eastern District of Virginia, and Clark E. Settles, Special Agent in Charge of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) Washington, D.C., made the announcement after the plea was accepted by U.S. District Judge James C. Cacheris. Special Assistant U.S. Attorney James E. Burke IV is prosecuting the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and the Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
A copy of this press release may be found on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information may be found on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:17-cr-26.