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17 March 2017
Gainesville Man Sentenced to Federal Prison for Robbing the Habersham Federal Credit UnionRead the Press Release
GAINESVILLE, Ga. - Mitchell Logan Reeves has been sentenced to eight years and eight months in federal prison for robbing the Homer, Georgia, branch of the Habersham Federal Credit Union on July 30, 2015.
“Reeves pointed a fully loaded firearm at the face of a credit union teller and demanded all the money that was in her teller drawer,” said U. S. Attorney John Horn. “Outstanding deputies from the Banks County Sheriff’s Office and the Georgia Bureau of Investigation quickly apprehended Reeves and recovered the money that he stole. We hope this sentence restores the sense of safety to the bank employees and members of the community”
“The FBI commends the prompt actions of the responding deputies of the Banks County Sheriff’s Department that set in motion the quick and safe capture of this armed robber. The sentencing of Mr. Reeves to federal prison will afford him time to not only reflect on his extremely poor choices leading up to and including his actions involving the July, 2015 armed robbery of the Habersham Federal Credit Union, but also the significant emotional trauma that he inflicted on the victim teller that day,” said David J. LeValley, Special Agent in Charge, FBI Atlanta Field Office
“This conviction illustrates the great work of law enforcement in investigating and prosecuting armed robberies in Georgia. The Georgia Bureau of Investigation remains committed to working with our local and federal partners to pursue these vicious crimes,” said Vernon Keenan, Director, Georgia Bureau of Investigation.
“This case is an excellent example of just how critical it is to have an unrestricted line of communication between agencies in order to produce an efficient and successful conviction. I am exceptionally pleased with the assistance received from all agencies and the amount of professionalism put into each and every step of this investigation and prosecution,” said Sheriff Carlton Speed, Banks County Sheriff’s Department.
According to U.S. Attorney Horn, the charges and other information presented in court: On July 30, 2015, Reeves entered the Homer branch of the Habersham Federal Credit Union wearing a black mask and tan hat. He walked up to the lone teller working in the branch at the time, pointed a firearm directly at her face, and demanded that she give him all the money in her teller drawer. The teller gave Reeves $1,729.00. After receiving the money, Reeves fled.
Witnesses observed Reeves run into a wooded area near the credit union office. Banks County Sheriff’s Office deputies set up a perimeter around the wooded area and Reeves was arrested within a short time. In the wooded area, law enforcement officers located the black mask, tan hat, and other clothing Reeves wore during the robbery, as well as a fully loaded Smith and Wesson .9 mm handgun and the $1,729.00 taken during the robbery.
Mitchell Logan Reeves, 24, of Gainesville, Georgia, was sentenced to eight years, eight months in prison to be followed by five years of supervised release. Reeves pleaded guilty on March 29, 2016, to charges that he robbed the credit union and that he used a firearm during the commission of a crime of violence.
This case was investigated by the Banks County Sheriff's Office, the Georgia Bureau of Investigation, and the Federal Bureau of Investigation.
Assistant U.S. Attorney William L. McKinnon, Jr. prosecuted the case.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Fresno County Residents Indicted for Synthetic Drug Smuggling SchemeRead the Press Release
FRESNO, Calif. — A federal grand jury returned an eight-count indictment on Thursday against Terry Ford, 37, and Dawn Peters, 35, both of Clovis, charging them with distributing synthetic drugs, conspiracy, and money laundering, U.S. Attorney Phillip A. Talbert announced.
According to court documents, Ford and Peters possessed with intent to distribute Dibutylone HCI, a controlled substance, and Alpha-PHP, an analogue of a controlled substance. The indictment further alleges that Ford and Peters conspired to launder money internationally by wiring money to China to promote the distribution of controlled substances or analogues.
This case is the product of an investigation by the Drug Enforcement Administration, U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI), the Internal Revenue Service-Criminal Investigation, and the U.S. Postal Inspection Service. Assistant U.S. Attorney Vincenza Rabenn is prosecuting the case.
If convicted, the defendants face a maximum statutory penalty of 20 years in prison and a $1 million fine. Any sentence, however, would 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. The charges are only allegations; the defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
This case was part of an Organized Crime Drug Enforcement Task Force (OCDETF). The OCDETF Program was established in 1982 to conduct comprehensive, multilevel attacks on major drug trafficking and money laundering organizations. The principal mission of the OCDETF program is to identify, disrupt, and dismantle the most serious drug trafficking and money laundering organizations and those primarily responsible for the nation’s drug supply.
Four KC Residents Charged with Kidnapping Two Victims at GunpointRead the Press Release
KANSAS CITY, Mo. – Tom Larson, Acting United States Attorney for the Western District of Missouri, announced that four Kansas City, Mo., residents were charged in federal court today with kidnapping a man and woman at gunpoint.
Jeremy M. Dobson, 30, his brother, Joshua A. Dobson, 25, Courtney J. Devero, 25, and Justin D. Watson, 21, all of Kansas City, were charged in a two-count complaint filed in the U.S. District Court in Kansas City, Mo. Joshua Dobson and Devero had their initial court appearance this afternoon and remain in federal custody. Watson, who is also in federal custody, will have an initial court appearance on Monday. Jeremy Dobson remains a fugitive from justice.
Today’s criminal complaint charges each of the four co-defendants in one count of kidnapping and one count of using a firearm during a violent crime.
According to an affidavit filed in support of the complaint, a man and a woman were tied to a pole in the basement of a Kansas City, Mo., residence and held at gunpoint. They were allegedly beaten by the kidnappers, who took the male victim with them as they drove across Kansas, eventually leaving him tied up in a remote field as they drove to Colorado. The female victim was released at a local hospital.
On Friday, March 10, 2017, the two victims were at a residence in the 3200 block of E. 27th Street with Jeremy and Joshua Dobson and Devero, Joshua Dobson’s girlfriend, who was house sitting at the residence, as well as an uncharged juvenile female identified as “H.J.” Jeremy allegedly became upset with the female victim, his ex-girlfriend, and punched her in the face. When the male victim intervened and pushed Jeremy Dobson away, the affidavit says, Jeremy Dobson produced a handgun and pointed it at the two victims. Jeremy Dobson fired the handgun at the female victim’s head, the affidavit says, but missed her. Jeremy Dobson allegedly forced the two victims to give him their cell phones and personal items. Jeremy and Joshua Dobson, Devero and H.J. allegedly forced the two victims into the basement and tied them to a support pole with zip ties, rope and electrical wire.
According to the affidavit, the two victims were held in the basement for several hours while Jeremy and Joshua Dobson, Devero and H.J. took turns watching them while in possession of the handgun. Duct tape was placed over the female victim’s mouth, the affidavit says, and the two victims were punched, slapped, kicked and threatened with death. At one point, the affidavit says, they were forced into the trunk of a car for several hours, then led back into the house.
When Watson arrived at the residence the next morning, the affidavit says, Jeremy Dobson, Watson and H.J. forced the male victim into the victim’s vehicle and they left the house. Joshua Dobson and Devero remained at the house with the female victim. After several hours, the female victim begged to go to the hospital, the affidavit says, and Joshua Dobson and Devero dropped her off at Truman Medical Center on March 11, 2017. Police officers who were called to the hospital documented the presence of ligature marks around the victim’s wrist and ankles, as well as redness about her face.
After leaving the residence, Watson drove west on I-70 headed to Colorado. Near Topeka, Kan., Watson stopped at a gas station/convenience store. Watson and H.J. allegedly used the male victim’s debit card to withdraw $1,200 from an ATM. They continued driving west on I-70, the affidavit says, making an additional stop at a sporting goods store, where Jeremy Dobson and H.J. purchased a pair of Nike Air Jordan shoes. As they continued driving, Jeremy Dobson discussed whether to kill the victim, who was in the front passenger’s seat. Watson exited off the interstate in the area of Russell, Kan. The male victim was forced out of the car, bound and gagged, and left in a field. After the kidnappers left, he was able to remove his bindings and made his way to the Russell Police Department.
The kidnappers stopped at a motel and paid for a room. Jeremy Dobson asked Watson to go to Walmart. Instead, the affidavit says, Watson drove back to Kansas City, leaving Jeremy Dobson and H.J. at the motel.
On March 14, 2017, Kansas City police officers located the victim’s vehicle on E. 9th Street in Kansas City and conducted a car stop. Justin Watson, the driver, was arrested.
On March 16, 2017, law enforcement officers executed a search warrant at the residence where the two victims had been held and arrested Joshua Dobson and Devero.
Larson cautioned that the charges contained in this complaint 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. Attorney Joseph M. Marquez. It was investigated by the FBI and the Kansas City, Mo., Police Department.
Founder of Heroes Academy Sentenced for $1.9 Million FraudRead the Press Release
RICHMOND, Va. – Larry Jay Horsey, 41, of Chesterfield, was sentenced today to 90 months in prison for an investment fraud scheme that caused a loss of $1.9 million to nine investors. Horsey was also sentenced to three years of supervised release, ordered to pay $1,767,065.76 in restitution to his victims, and agreed to forfeit $1,922,427.47 as proceeds of his offense.
Horsey pleaded guilty on Dec. 14, 2016. According to court documents, Horsey, a licensed insurance agent, was the founder and operator of “Heroes Academy,” a business that marketed itself as both a non-profit financial education school and a financial management company. Horsey represented himself to the public as a financial advisor, conducting financial planning seminars in Virginia and North Carolina. Between October 2012 and May 2016, Horsey targeted nine separate individuals, convincing those individuals to open what they believed would be investment or savings vehicles, such as an annuity or a Roth IRA, through Horsey’s Heroes Academy business. Instead of using those individuals’ savings as promised, however, Horsey instead spent the funds on various personal or business expenses. In total, Horsey defrauded those nine investors of a combined $1.9 million, and plead guilty to charges of mail fraud and engaging in monetary transactions derived from specified unlawful activities.
Dana J. Boente, U.S. Attorney for the Eastern District of Virginia; Adam S. Lee, Special Agent in Charge of the FBI’s Richmond Field Office; Thomas Holloman, Acting Special Agent in Charge, Washington, D.C. Field Office, IRS-Criminal Investigation (IRS-CI); and Robert B. Wemyss, Inspector in Charge of the Washington Division of the U.S. Postal Inspection Service, made the announcement after sentencing by U.S. District Judge Henry E. Hudson. Assistant U.S. Attorney Thomas A. Garnett prosecuted the case.
The case was investigated by the Fraud Task Force, including the FBI’s Richmond Field Office, IRS-CI, and USPIS, with assistance from the Virginia State Corporation Commission.
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. 3:16-cr-153.
Former Yuba City Police Officer Sentenced to 18 Months in Prison for Federal Programs BriberyRead the Press Release
SACRAMENTO, Calif. — Harminder Phagura, 37, of Yuba City, was sentenced today by U.S. District Judge Garland E. Burrell Jr. to 18 months in prison for one count of federal programs bribery in connection with a drug trafficking scheme, U.S. Attorney Phillip A. Talbert announced.
According to court documents, Harminder Phagura worked as a police officer for the Yuba City Police Department, which receives grant funds from a Federal program. During the course of his crime, Phagura exchanged sensitive information gained from his official position for money. Co‑defendant Gursharan Phagura transmitted this police-only information to a government source, who was posing as a cocaine trafficker.
On July 29, 2014, federal agents observed Gursharan Phagura meet with Harminder Phagura in a Yuba City Police vehicle. At the same time, Gursharan Phagura and the government source were exchanging text messages regarding the state of police presence in the area. Agents then caused an alert to be transmitted on the Yuba City Police Department’s dispatch system. Within a few minutes, the government source received text messages indicating, in coded language, that law enforcement was in the area.
Over the course of several undercover operations, the government source paid a total of $6,000 for the information.
At sentencing, Judge Burrell characterized Phagura’s conduct as reprehensible and as a breach of the public trust.
U.S. Attorney Talbert said: “When a police officer violates the public trust, the community suffers. My office takes seriously any allegation of official misconduct. We hope that this prosecution makes clear that no one is above the law – especially those who have taken an oath to protect the community.”
Co-defendant Gursharan Phagura is charged with possessing with intent to distribute cocaine. The charges are only allegations; he is presumed innocent until and unless proven guilty beyond a reasonable doubt. His next court date is March 31, 2017.
This case is the product of an investigation by U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) with assistance from the Federal Bureau of Investigation and the Yuba City Police Department. Assistant United States Attorney Paul Hemesath is prosecuting the case.
Former Postal Worker Convicted of Tax FraudRead the Press Release
Contact Person: DeWayne Pearson (803) 929-3000
Columbia, South Carolina ----- United States Attorney Beth Drake announced today that Lawrence Singleton, age 60, of Columbia, pleaded guilty to one count of interfering with the administration of tax laws in violation of Title 26, United States Code Section 7212(a). Facts presented in court indicate that Singleton is a former United States Postal Employee with ties to the “sovereign citizen” movement. “Sovereign citizens” are U.S. citizens who claim not to recognize the authority of federal, state or local governments. Typically, they argue that they do not have an obligation to adhere to the laws, policies or regulations created by the government.
According to facts presented during the hearing, Singleton fraudulently filed an identity theft affidavit with the Internal Revenue Service claiming that his identity had been stolen and that it changed his tax liability. Singleton then attempted to pay a $72,000 tax bill using a fraudulent check. Facts presented in court also showed that Singleton attempted to deposit a fraudulent check purportedly worth hundreds of thousands of dollars’ into a bank account and that he used a similar bogus check in an attempt to purchase an automobile. Sentencing in the case has not yet been scheduled but Singleton faces a possible sentence of 3 years’ imprisonment and a fine of $5,000.
The investigation was conducted by the Federal Bureau of Investigations and the Internal Revenue Service. “The refutation of frivolous arguments through enforcement helps maintain the integrity of the tax laws of this nation by making sure all citizens are treated equally and pay their fair share,” said acting IRS Special Agent in Charge Michael Daniels. This investigation and conviction were pursued in furtherance of the FBI’s national strategy aimed at disrupting the criminal activity of individuals claiming to be sovereign citizens and was prosecuted by Assistant United States Attorney T. DeWayne Pearson of the Columbia office.
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Former Jackson County Loan Officer Sentenced to 18 Months in Prison for Bank FraudRead the Press Release
PANAMA CITY, FLORIDA – Kevin R. Griffin, 44, of Alford, Florida, was sentenced to 18 months in federal prison yesterday and ordered to pay $480,785.06 in restitution to First Federal Bank of Florida for committing bank fraud. The sentence was announced today by Christopher P. Canova, United States Attorney for the Northern District of Florida.
Griffin was employed by the Bank of Bonifay, which later became the First Federal Bank of Florida. Between 2010 and 2012, Griffin used his position as a loan officer to give customers undocumented loans that were actually funded by embezzling money from other customers’ bank accounts without authorization. Griffin obtained loans for customers using other customers’ bank assets as collateral, without permission, and forging loan documents. Griffin also embezzled money from bank customers for his own personal benefit. After the fraud was discovered, Griffin’s employment with the bank was terminated.
“This defendant had a duty to make truthful transactions on behalf of his company to help ensure a sound banking industry, and he violated that duty,” said U.S. Attorney Canova. “My office is committed to prosecuting unethical financial representatives who abuse their authority for their own gain.”
Federal Reserve Board representatives stated: “Griffin’s false and fraudulent representations in loan applications and loan documents directly impacted the accuracy of the Bank of Bonifay’s Consolidated Reports of Condition and Income (Call Report), which provides quarterly financial data regarding a bank’s financial condition and the results of its operations. The Federal Reserve Board relies on the accurate submission of call report data to effectively regulate and oversee the safety and soundness of the bank’s holding company.”
This case resulted from an investigation by the Florida Department of Law Enforcement, the Federal Bureau of Investigation, and the Office of Inspector General for the Board of Governors of the Federal Reserve System and Consumer Financial Protection Bureau. Assistant United States Attorney Alicia Kim prosecuted the case.
The United States Attorney’s Office for the Northern District of Florida is one of 94 offices that serve as the nation’s principal litigators under the direction of the Attorney General. To access public court documents online, please visit the U.S. District Court for the Northern District of Florida website. For more information about the United States Attorney’s Office, Northern District of Florida, visit http://www.justice.gov/usao/fln/index.html.
For more information, contact: Amy Alexander, Public Information Officer(850) 216-3854, [email protected]
Former Chairman and Ceo of Credit Union and Operator of Unlawful Bitcoin Exchange Found Guilty in Manhattan Federal Court of Bribery and Fraud SchemeRead the Press Release
Joon H. Kim, the Acting United States Attorney for the Southern District of New York, announced that TREVON GROSS, the former Chairman and CEO of Helping Other People Excel Federal Credit Union (“HOPE FCU”), located in Lakewood, New Jersey, and YURI LEBEDEV, a former member of HOPE FCU’s Board of Directors and a former employee of Coin.mx, an internet-based Bitcoin exchange, were found guilty today in Manhattan federal court, in connection with a bribery scheme to take over control of HOPE FCU and a fraud scheme in furtherance of the operations of Coin.mx. The jury convicted GROSS and LEBEDEV on all counts with which they were charged in the controlling indictment following a four-week trial before U.S. District Judge Alison J. Nathan.
Acting Manhattan U.S. Attorney Joon H. Kim said: “As a unanimous jury found today, Yuri Lebedev and others at Coin.mx, an unlawful Bitcoin exchange, tricked banks into processing millions of dollars in transactions by hiding the true nature of their business. When the banks caught on to their scheme, Lebedev and others bribed Trevon Gross so they could have a captive credit union to process those transactions, undermining the credit union’s safety and solvency. Despite elaborate efforts to hide their schemes, the defendants’ conduct was exposed at trial and found for what they were, federal crimes.”
According to the Indictment, other filings in Manhattan federal court, and evidence admitted at trial:
The Unlawful Bitcoin Exchange
Between 2013 and July 2015, LEBEDEV helped operate Coin.mx, an unlawful internet-based Bitcoin exchange, along with Anthony Murgio, the founder of Coin.mx. LEBEDEV and his co-conspirators engaged in substantial efforts to evade detection of their unlawful Bitcoin exchange by operating through a phony front company called “Collectables Club.” Coin.mx used the “Collectables Club” to open financial accounts in order to trick financial institutions into believing the unlawful Bitcoin exchange was simply a members-only association of individuals who discussed, bought, and sold collectible items and memorabilia. LEBEDEV and his co-conspirators deceived financial institutions by deliberately misidentifying and miscoding Coin.mx customers’ credit and debit card transactions, in violation of bank and credit card company rules and regulations. Through the illegal Coin.mx scheme, LEBEDEV and his co-conspirators caused more than $10 million in Bitcoin-related transactions to be processed illegally through financial institutions.
The Federal Credit Union Scheme
In 2014, in an effort further to evade scrutiny from financial institutions about the nature of the business engaged in by Coin.mx, LEBEDEV, Murgio, and their co-conspirators gained control of HOPE FCU, a federal credit union in New Jersey with primarily low-income members. After making more than $150,000 in illegal bribes at GROSS’s direction to bank accounts in the name of a church where GROSS served as the pastor, Murgio, LEBEDEV, and their co-conspirators took control of HOPE FCU. With GROSS’s assistance, Murgio installed LEBEDEV and various co-conspirators on HOPE FCU’s Board of Directors and transferred Coin.mx’s banking operations to HOPE FCU. GROSS also ceded operational control of the credit union to the board members installed by Murgio, including LEBEDEV. Thereafter, GROSS, LEBEDEV, and others worked to run tens of millions of dollars of ACH (Automated Clearing House) transactions through the credit union without adequate controls, thus putting its financial condition at risk.
GROSS, LEBEDEV, Murgio, and their co-conspirators also obstructed an examination of HOPE FCU by the National Credit Union Administration (“NCUA”) and made false statements to the NCUA in order to perpetuate LEBEDEV and Murgio’s control of the credit union. These included deliberately failing to disclose the bribe payments; misrepresenting the location of Coin.mx-affiliated businesses, including the “Collectables Club,” so as to claim that they were eligible to be members of the credit union and to serve as Board members; and manipulating the accounting at HOPE FCU so as to hide its true financial condition and the fact that it was processing tens of millions of dollars of transactions without adequate controls. HOPE FCU was operated as a captive bank by MURGIO and his co-conspirators until the end of 2014.
In October 2015, the NCUA placed HOPE FCU into conservatorship, and subsequently liquidation.
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LEBEDEV, 39, of St. John’s, Florida, and GROSS, 52, of Jackson, New Jersey, were found guilty of one count of making corrupt payments to an officer of a financial institution and one count of receipt of corrupt payments by an officer of a financial institution, respectively, each of which carries a maximum sentence of 30 years in prison. LEBEDEV and GROSS also were each found guilty of participation in a conspiracy to make and receive corrupt payments, as well as to obstruct the examination of the NCUA and make false statements to the NCUA, which carries a maximum sentence of five years in prison. LEBEDEV was also found guilty of one count of wire fraud, one count of bank fraud, and one count of conspiracy to commit wire and bank fraud, each of which carries a maximum sentence of 30 years in prison. Their sentencings are set for July 20, 2017, before the Honorable Alison J. Nathan.
All four of LEBEDEV and GROSS’s co-defendants, including Anthony Murgio, have pled guilty and are awaiting sentence.
The maximum potential sentences are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendants will be determined by the judge.
Mr. Kim praised the outstanding investigative work of the FBI and the Secret Service. He also thanked the NCUA for its assistance with the investigation and prosecution.
The case is being prosecuted by the Office’s Complex Frauds and Cybercrime Unit. Assistant U.S. Attorneys Eun Young Choi, Daniel S. Noble, and Won S. Shin are in charge of the prosecution.
First Nurse Practitioner Sentenced in the Dr. Ruan & Dr. Couch Pill Mill CaseRead the Press Release
Acting United States Attorney Steve Butler of the Southern District of Alabama announces that Bridgette Parker has been sentenced to 20 months in federal prison for her role in the operation of the massive pill mill run by Dr. Xiulu Ruan and Dr. John Patrick Couch.
After years of experience as an operating room nurse, Bridgette Parker went back to school and earned a Master’s degree in nursing. Upon completion, Parker was hired as a nurse practitioner by Physicians Pain Specialists of Alabama ¬— the pain clinic co-owned and operated by Dr. Ruan and Dr. Couch. Parker initially worked under Dr. Ruan until she was fired in December 2012. That same day, Dr. Couch rehired her as a nurse practitioner under him. While working for both doctors, Parker knowingly and intentionally conspired to prescribe various Controlled Substances outside the usual course of professional practice and not for a legitimate medical purpose. This included the prescribing of Subsys and Abstral — both of which are brand name forms of instant release fentanyl, a Schedule II Controlled Substance.
During the recent trial of Dr. Ruan and Dr. Couch, Parker testified that she regularly saw patients on her own without oversight from either doctor. Parker further admitted that she often went to fellow nurse practitioner and co-defendant Justin Palmer and requested that he forge Dr. Couch’s signatures on prescriptions for Controlled Substances. In addition, Parker admitted, and other evidence corroborated, that she was abusing drugs in the office and was frequently impaired while seeing patients.Based on her substantial assistance, including her testimony in the trial against Dr. Ruan and Dr. Couch, Parker received a 50% sentence reduction recommendation from the United States. The Court accepted this recommendation, and then sentenced Parker to serve 20 months in federal prison for her criminal actions.
Following the sentencing hearing, Acting U.S. Attorney Steve Butler stated, “The United States appreciates Ms. Parker’s substantial assistance in the prosecution of Dr. Ruan and Dr. Couch. Had she not assisted as she did, Ms. Parker would undoubtedly be spending more than 20 months in federal prison. Dr. Ruan and Dr. Couch could not have operated their criminal enterprise to the degree they did without the active assistance of Ms. Parker.”
The Drug Enforcement Agency echoed this sentiment: “It is disheartening when trusted professionals like nurse practitioners are engaged in the diversion of controlled substances,” said DEA Assistant Special Agent in Charge Bret Hamilton. “All DEA Registrants have an obligation to ensure that medications are getting into the hands of legitimate patients. Any registrant who violates or blatantly ignores their obligations will be held accountable. The conviction and sentence of Bridgette Parker is a result of DEA’s continued commitment to hold accountable those who participate in illegally dispensing controlled substances in our communities.”
In addition, Robert Laskey, Special Agent in Charge of the Federal Bureau of Investigation, Mobile Division, noted that, “Today’s sentence is a reflection of the FBI’s commitment to ensure that our nation’s healthcare system provides safe and effective care to the community that it serves.”
This matter was jointly investigated by the DEA-Mobile and FBI-Mobile, and was prosecuted by Assistant U.S. Attorneys Christopher Bodnar and Deborah Griffin.
Federal Jury Convicts Two Businessmen on Fraud Charges for Falsifying Loan Documents on Ten-Acre Parcel of Land in AuroraRead the Press Release
CHICAGO — Two businessmen have been convicted on bank fraud charges for falsifying loan documents to prevent foreclosure on a nearly $2 million parcel of land in Aurora. The fraud left one couple out of $450,000, and an elderly couple out of $300,000.
KEVIN LEBEAU, 55, of Aurora, was found guilty of three counts of bank fraud and four counts of making false statements to a federally insured bank. BRIAN BODIE, 66, of Chicago, was convicted on three counts of bank fraud and three counts of making false statements to a federally insured bank. Each count carries a maximum sentence of 30 years in prison.
The jury returned the verdicts on Thursday after an eight-day trial in federal court in Chicago. U.S. District Judge Robert W. Gettleman has not yet scheduled sentencing hearings.
The convictions were announced by Joel R. Levin, Acting United States Attorney for the Northern District of Illinois; and Michael J. Anderson, Special Agent in Charge of the Chicago Office of the Federal Bureau of Investigation.
Evidence at trial revealed that LeBeau and Bodie orchestrated a fraud scheme involving a $1.9 million loan from Amcore Bank. The bank in 2004 mortgaged a 10.4-acre property in Aurora to LeBeau and Bodie after the pair executed a full personal guarantee for the loan. By the fall of 2005 LeBeau and Bodie had failed to make the required loan payments, and foreclosure became imminent. In an effort to delay foreclosure, LeBeau and Bodie submitted fraudulent and fabricated information about the progress of efforts to develop the property.
Eventually the foreclosure occurred, and the property was sold in 2010 at a significant loss to the bank and several individual investors who had pledged their own money into the project. LeBeau and Bodie told the individual investors that their money would be used to develop a mixed-use development on the property. The individual victims included a couple that lost $450,000, and an elderly couple who lost $300,000. LeBeau and Bodie used some of the elderly couple’s money for business expenses and to make payments to the bank.
The government is represented by Assistant U.S. Attorneys Kartik K. Raman and Amarjeet S. Bhachu.
Federal Jury Convicts Three Florida Residents in Staged Automobile Accident Fraud Conspiracy in MichiganRead the Press Release
The Fraud Ring Operated Three Therapy Clinics in Michigan from 2012 to 2015
GRAND RAPIDS, MICHIGAN —Belkis Soca-Fernandez, 47, and David Sosa-Baladron, 41, of Tampa, Florida, and Antonio Ramon Martinez-Lopez, 35, of Port Richey, Florida, were convicted in federal court after a seven-day jury trial of conspiracy to commit mail fraud related to a staged automobile accident ring that operated in West Michigan from 2012 to 2015. The defendants face up to 20 years’ imprisonment and will be ordered to pay restitution to the automobile insurance companies that were defrauded. These defendants are the latest of eight individuals convicted related to the conspiracy. Previously convicted were: Gustavo Acuna-Rosa, 29, and, Eduardo Pardo-Oiz, 34, formerly from Lansing; Dolis Rojas-Lopez, 31, of Wyoming; Yosvany Gonzalez-Duran, 41, of Lansing and Yoisler Herrera-Enriquez, age 31, a massage therapist from Wyoming, Michigan.
"This staged automobile accident ring operated a sophisticated fraud over several years in our community," stated Acting U.S. Attorney Andrew Birge. "The evidence at trial established that Soca-Fernandez and Sosa-Baladron led the conspiracy from Florida using Martinez-Lopez and others as their managers here in Michigan. Martinez-Lopez used others to recruit individuals to stage accidents and falsely claim that they were receiving therapy treatment. Soca-Fernandez and Sosa-Baladron made frequent trips to Michigan form Florida to make sure that fraudulent insurance claims were prepared and sent to the automobile insurance companies, to deposit insurance checks, and to withdraw in cash the proceeds from the fraud. Fortunately, West Michigan is not a safe haven for scam artists. My office vigorously pursues and prosecutes those who cheat our financial and insurance programs."
The staged automobile accident ring operated three therapy clinics, Revive Therapy Center and HH Rehab Center, in Wyoming, Michigan, and Renue Therapy Center in Lansing, Michigan, from April 2012 to May 2015. The ring recruited and paid cash to individuals to stage automobile accidents and obtain police reports so that insurance claims could be made with their automobile insurance companies. The managers of the clinics and others working with them then told the accident participants what symptoms to present to a physician affiliated with the ring so that she would sign a prescription for physical therapy. The accident participants would then seek unnecessary therapy treatment at the clinics. Typically, after a few therapy sessions, the accident participants would sign blank therapy treatment forms that would be signed by massage therapists to make it appear as if the accident participants were obtaining treatment when they truly were not. The therapy clinics then used the treatment forms to send false insurance claims through the United States mail to automobile insurance companies for therapy treatment that was either not necessary or not actually provided.
"Criminal groups often believe they are employing ingenious techniques to cheat the system," explained Steve Francis, Acting Special Agent in Charge of Homeland Security Investigations, Detroit Field Office. "Sadly, we all suffer the consequences when higher rates get passed on to the consumers due to the increased costs of business. HSI will continue to aggressively target these schemes."
"Health care fraud results in economic consequences that impact every American", said David P. Gelios, Special Agent in Charge, Detroit Division of the FBI. "These convictions reinforce the resolve of the FBI, the U.S. Department of Homeland Security-HIS Investigations, and the U.S. Attorney’s Office, Western District of Michigan to bring criminals, like those convicted in this case, to justice for their crimes."
Belkis Soca-Fernandez, David Sosa-Baladron, and Antonio Ramon Martinez-Lopez, will be sentenced by U.S. District Court Judge Paul L. Maloney at a sentencing hearing yet to be scheduled. The investigation of the case was handled by the Department of Homeland Security, Homeland Security Investigations, and the Federal Bureau of Investigation, in Grand Rapids, Michigan. Assistant U.S. Attorneys Ronald M. Stella and Timothy VerHey handled the trial of this case.
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Drug Counselor Under Contract with U.S. Probation and Pretrial Services and Supervisee Indicted for Conspiring to Obstruct JusticeRead the Press Release
Baltimore, Maryland – A federal grand jury has indicted licensed drug counselor Jennifer Hamersky, a/k/a Jennifer Maroney and Jennifer Hurt, age 33, of Severn, Maryland, and Anthony Evans Owings Seen, a/k/a Tony, age 31, of Glen Burnie, Maryland, for conspiring to conceal alleged violations of pretrial release by one of Hamersky’s clients. The indictment was returned on March 16, 2017.
The indictment was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Gordon B. Johnson of the Federal Bureau of Investigation, Baltimore Field Office; William F. Henry, Chief, U.S. Probation and Pretrial Services Office, District of Maryland; and Assistant Special Agent in Charge Don A. Hibbert of the Drug Enforcement Administration, Baltimore District Office.
According to the seven-count indictment, Hamersky is a licensed Clinical Professional Addictions Counselor in Maryland. Hamersky’s employer is contracted to provide mental health and substance abuse assessments and counseling, and urinalysis testing, for pretrial offenders and supervised release defendants under the supervision of the United States Probation and Pretrial Services Office (USPO) in Maryland. Seen, who is on supervised release under the supervision of USPO, met Hamersky in August 2015, when she conducted Seen’s initial substance abuse diagnostic assessment for USPO.
Hamersky served as Person A’s pretrial release substance abuse and mental health counselor from September 2015 through February 2016, and again from August 2016 through February 2017, with a break due to Person A’s incarceration. Hamersky was responsible for communicating Person A’s compliance with pretrial release conditions of counseling and urinalysis testing to USPO.
The indictment alleges that Hamersky and Seen conspired to, and obstructed justice in an effort to conceal from USPO officers and U.S. Magistrate and District Court Judges, Person A’s violations of his conditions of release. The violations alleged in the indictment include: use of narcotic drugs or other controlled substances; failure to appear for urinalysis testing; and failure to appear for counseling sessions.
Specifically, the indictment alleges that Hamersky included false information and material omissions in Person A’s monthly treatment reports which were submitted to USPO, and that she provided false information to Person A’s attorney and USPO regarding Person A’s compliance with conditions of release. Hamersky allegedly forged or caused to be forged the initials of the company urinalysis collector on reports in order to make it appear that Person A had participated in urinalysis testing, when in fact, he had not. In addition, the indictment alleges that Hamersky falsely represented to the company urinalysis collector that Person A’s USPO officer had authorized Person A’s removal from the urinalysis testing list, and had authorized Hamersky to collect urinalysis samples from Person A. According to the indictment, Seen also obtained Person A’s signature on reports to make it appear that Person A had attended urinalysis testing and counseling sessions, when in fact, Person A had not attended the testing or sessions.
According to the indictment, from October 2015 through at least February 2016, while Person A was under Hamersky’s supervision, Hamersky and Person A engaged in repeated sexual encounters, and used narcotic drugs or other controlled substances together. While Person A was incarcerated, Hamersky allegedly purchased, and delivered to the detention facility electronics, clothing, and other items for Person A’s benefit. The indictment alleges that Hamersky also paid for and caused money orders to be sent for the purchase of narcotic drugs or other controlled substances used by Person A while he was incarcerated. After Person A’s release from detention in May 2016, Hamersky and Person A allegedly ceased their sexual encounters, although Hamersky continued to counsel Person A as part of his conditions of pretrial release. The indictment also alleges that from September 2016 through February 2017, Hamersky and Seen had a sexual relationship.
Hamersky and Seen each face a maximum sentence of five years in prison for the conspiracy; a maximum of 20 years in prison for each count of obstruction of justice; and a maximum of five years in prison for each count of making a false document. Hamersky also faces a maximum of five years in prison for making a false statement. The defendants each had an initial appearance this afternoon in U.S. District Court in Baltimore.
An indictment is not a finding of guilt. An individual charged by indictment is presumed innocent unless and until proven guilty at some later criminal proceedings.
United States Attorney Rod J. Rosenstein commended the FBI, USPO, and DEA for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorneys Philip A. Selden and Rachel Miller Yasser, who are prosecuting the case.
Doctor Sentenced to Seven Years in Prison for Health Care FraudRead the Press Release
SAN JUAN, P.R. – Doctor Juan José Tull-Abreu was sentenced to serve 63 months of imprisonment for health care fraud, and a consecutive term of 24 months for aggravated identity theft, for a total term of imprisonment of 87 months, announced United States Attorney for the District of Puerto Rico, Rosa Emilia Rodríguez-Vélez.
Doctor Tull-Abreu was arrested on July 17, 2014, on charges of defrauding Medicare by submitting claims to Medicare Advantage health insurance plans for medical services never rendered. The evidence presented at trial showed that Tull-Abreu submitted thousands of false and fraudulent claims for services allegedly performed by the defendant at his Arecibo and Utuado, Puerto Rico, offices, which were, in fact, never performed. As explained by the witnesses from Medicare and the insurance carriers, Tull-Abreu submitted invoices for face-to-face office visits and face-to-face home visits on days when his office remained closed to the public or the defendant was travelling out of the country. The defendant was convicted on April 15, 2016, after a fourteen-day jury trial.
The evidence presented at trial demonstrated that Tull-Abreu caused a loss of over $1,200,000.00 to Medicare. Consequently, at sentencing, U.S. District Judge Jay García-Gregory ordered the defendant to pay a total of $509,775.20 in restitution to the six Medicare Advantage insurance carriers affected by the fraudulent scheme.
“We are pleased with the sentence imposed by the Court in this case,” said United States Attorney, Rosa Emilia Rodríguez-Vélez. “This prosecution and sentence should serve as clear message to those few dishonest members of the medical community in Puerto Rico of the stern consequences they will face for defrauding the Medicare program. We will not sit idly and allow doctors to illegally enrich themselves by engaging in fraudulent schemes that deplete the Medicare program of funds destined to assist and protect the elderly.”
The Department of Health and Human Services, Office of Inspector General was in charge of the investigation with the collaboration of the DEA. The case was prosecuted by Assistant U.S. Attorney Dennise N. Longo Quiñones.
District Man Sentenced to Thirteen Years in Prison for Leading Narcotics ConspiracyRead the Press Release
WASHINGTON – Demetrius Muschetta, 33, of Washington, D.C., was sentenced today to a prison term of thirteen years stemming from his leadership role in a narcotics conspiracy that operated in the District of Columbia and Maryland. He is among 16 people to plead guilty following an investigation that led to the seizure of kilograms of narcotics, firearms, and cash.
The sentence 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), Henry P. Stawinski III, Chief of the Prince George’s County, Md. Police Department; Robert D. MacLean, Chief of the United States Park Police, and Robert Turner, Acting U.S. Marshal for the U.S. District Court for the District of Columbia.
Muschetta pled guilty in November 2016, in the U.S. District Court for the District of Columbia, to a charge of conspiracy to distribute and possess with the intent to distribute a kilogram of heroin, 500 grams of cocaine, and 280 grams of cocaine base, and a charge of possession with the intent to distribute a kilogram of heroin. The plea, which was contingent upon the Court’s approval, called for a prison sentence of 11 to 13 years on each charge, with the sentences to run concurrently. The Honorable Chief Judge Beryl A. Howell accepted the plea today and sentenced the defendant accordingly. Following his prison term, Muschetta will be placed on five years of supervised release. He also must pay a forfeiture judgment of $237,336.
The Government’s evidence established that in January 2015, the FBI/MPD Safe Streets Task Force began a long-term investigation of a narcotics enterprise involving Muschetta and Myron Williams that primarily focused in the Barnaby Terrace area of Southeast Washington, and extended into Maryland. The investigation revealed that Muschetta and Williams were partners in a drug business and purchased kilogram amounts of cocaine and heroin from multiple sources, including Ricco Johnson and William Winter, and then in turn supplied it to other co-defendants for eventual distribution. According to the government’s evidence, Muschetta exercised decision-making authority by determining the price of the narcotics and controlled the supply of the drugs to other co-conspirators.
In addition to numerous recorded telephone calls and text messages that revealed the role of the narcotics enterprise, law enforcement seized large amounts of narcotics, firearms, and U.S. currency, especially from Muschetta. On May 6, 2015, law enforcement stopped Muschetta in District Heights, Md., and recovered from his vehicle three kilograms of heroin. Later that evening, law enforcement executed a search warrant at Muschetta’s residence in Washington, D.C. and recovered additional kilograms of narcotics, including crack cocaine drying on the windowsill, and three separate firearms in an area where small children resided. During subsequent search warrants of the co-defendants’ residences, law enforcement recovered additional quantities of narcotics, firearms, narcotics paraphernalia, and large amounts of cash.
Over the past 18 months, Chief Judge Howell has also accepted felony pleas from 15 others charged in the case. They include Myron Williams, 40, of Oxon Hill, Md.; Ricco Johnson, 40, of Brandywine, Md., and William Winter, 39, of Suitland, Md. Williams earlier was sentenced to a nine-year prison term for his role in the conspiracy. Johnson and Winter earlier were sentenced to five-year prison terms.
The others who have pled guilty include: Chaka Al-Fatah, 37, of Washington, D.C.; Andre Arrington, 34, of Washington, D.C.; Tijuan Arrington, 40, of Washington, D.C.; Donovan Bostick, 32, of Washington, D.C.; Tamara Davies-Henry, 28, of Oxon Hill, Md.; Donnell Ennels, 41, of Washington, D.C.; Earica Hamilton, 34, of Washington, D.C.; Rodney Jones, 22, of Washington, D.C.; Kyree Mitchell, 20, of Washington, D.C.; Kevin Morris, 43, of Washington, D.C.; Jonathan Taylor, 33, of Washington, D.C., and Don Whitaker, 22, of Washington, D.C.
The 16 defendants were arrested after months of investigation by the FBI/MPD Safe Streets Task Force, which is comprised of agents from the FBI, the Metropolitan Police Department, the Prince George’s County Police Department, the United States Park Police, and the United States Marshals Service. The Department of Justice’s Organized Crime Drug Enforcement Task Force sponsored and supported this complex investigation
In announcing the conclusion of the government’s prosecution, U.S. Attorney Phillips, U.S. Attorney Rosenstein, Assistant Director in Charge Vale, Acting Chief Newsham, Chief Stawinski, Chief MacLean, and Acting Marshal Turner commended the work of the D.C. Safe Streets Task Force. They also acknowledged the efforts of those who worked on the case from the U.S. Attorney’s Office for the District of Columbia, including Assistant U.S. Attorneys Anthony Scarpelli and Christopher Macchiaroli of the Violent Crimes and Narcotics Trafficking Section; Assistant U.S. Attorney Zia Faruqui and Special Assistant U.S. Attorney Kyle Bateman of the Asset Forfeiture and Money Laundering Section; former Assistant U.S. Attorneys John Han and Todd Gee; Paralegal Specialists Candace Battle, Mary Downing, Teesha Tobias, Catherine O’Neal, and Toni Anne Donato, and Legal Assistants Brendan Coyne, Diane Brashears, and Latoya Wade. They also commended those who worked on the case from the U.S. Attorney’s Office for the District of Maryland including Assistant U.S. Attorney Matthew Sullivan, who prosecuted the Maryland portion of Muschetta’s narcotics seizure prior to the charges being transferred to Washington, D.C. for resolution before Chief Judge Howell.
District Man Sentenced to 14 Years in Prison for Sexually Assaulting His Two Daughters and Threatening Special Police OfficersRead the Press Release
WASHINGTON – A 34-year-old man, of Washington, D.C., was sentenced today to 14 years in prison after earlier pleading guilty to first-degree child sexual abuse of his 14-year-old daughter and attempted first-degree child sexual abuse of his 12-year-old daughter, as well as attempted possession of a prohibited weapon and threats charges against two Special Police Officers, U.S. Attorney Channing D. Phillips announced.
The man, who is not identified here to protect the privacy of the victims in the sexual assault case, pled guilty in January 2017 in the Superior Court of the District of Columbia. The plea, which was contingent upon the Court’s approval, called for a sentence of 14 years in prison. The Honorable José M. Lopez accepted the plea today and sentenced the defendant accordingly. Following his prison term, the man will be placed on 10 years of supervised release. He also must register as a sex offender for the rest of his life.
According to the government’s investigation in the sexual assault case, the defendant had sexually abused his older daughter several times in the past year, while he had been sexually abusing his younger daughter since she was approximately eight years old. On one occasion that took place on or around Sept. 1, 2016, the defendant penetrated his older daughter’s vagina with his penis while they were at her mother’s home. On another occasion, which took place on or about Oct. 2, 2016, the defendant was at their mother’s home when he had his younger daughter perform oral sex on him. The defendant asked his younger daughter if she “liked” performing oral sex, to which she responded, “No.” The defendant then met with both daughters and apologized to them for his actions. It was then that the girls learned they were both victims of the defendant’s sexual abuse. The girls then decided to disclose the incidents to their aunt, ultimately leading to the defendant’s arrest.
In the defendant’s other case, the government’s investigation revealed that the defendant had been barred from a homeless shelter in Northeast Washington on April. 29, 2016. The defendant entered the shelter on Aug. 29, 2016, and was immediately told by two Special Police Officers to leave the facility. The defendant left but returned moments later, at which point he pulled out a knife and threatened to fight and stab the Special Police Officers. After the Special Police Officers ordered the defendant several times to put down the knife, the defendant walked up the street, at which point an officer from the Metropolitan Police Department (MPD) stopped the defendant and placed him under arrest.
In announcing the sentence, U.S. Attorney Phillips praised the work of detectives from the Metropolitan Police Department’s Youth Investigations Division, which investigated the sexual-assault case, and members of the MPD’s Fifth District who were involved in the threats case. He acknowledged the efforts of those who worked on the case from the U.S. Attorney’s Office, including Paralegal Specialist Angelina Slagle and Victim/Witness Advocate Lezlie Richardson. Finally, he commended Assistant U.S. Attorneys Danny Nguyen and Maryam Adeyola, who investigated and prosecuted this case.
Director of Hercules Medical Office Pleads Guilty to Tax EvasionRead the Press Release
SAN FRANCISCO – Christine Hill pleaded guilty today to tax evasion announced United States Attorney Brian J. Stretch and Internal Revenue Service, Criminal Investigation, Special Agent in Charge Michael T. Batdorf. The plea agreement was accepted by the Hon. Richard Seeborg, U.S. District Judge, following the filing of an information in which Hill was charged with tax evasion.
Hill, 54, of Vallejo, pleaded guilty to knowingly and willingly filing a fraudulent 2010 U.S. Individual Income Tax Return, Form 1040. According to the plea agreement, Hill is the Director of Operations at John Compagno, MD, Inc., with offices in Hercules, Calif. She is responsible for the payroll including collecting time sheets and processing paychecks. Hill acknowledged she knew that bonus payments are subject to federal income tax withholding and that she processed numerous bonus checks for herself and other employees in which federal taxes were withheld and bonus payments were reported on IRS Forms W-2. Nevertheless, Hill also admitted she received additional year-end bonus payments from at least 2003 through 2011. These bonus payment checks were paid to Hill directly and not processed through the payroll account. Because the extra bonus payments were not processed through the payroll account, they were not reported on IRS Forms W-2 and therefore not reported to the IRS.
In addition, Hill’s spouse received payments from John Compagno, MD, Inc. for repairs, maintenance, and construction work he did for the company for the period of 2004 through 2011. John Compagno, MD, Inc. did not issue Forms 1099 for those services. For the period of 2003 through 2011, Hill omitted income from additional bonuses and payments to her spouse in the amount of $122,391. This resulted in additional tax due of $35,566.
On March 1, 2017, Hill was charged with tax evasion, in violation of 26 U.S.C. § 7201. Pursuant to the plea agreement, Hill pleaded guilty to the charge in the one-count information. Judge Seeborg scheduled a hearing for sentencing on June 20, 2017. The maximum sentence for a violation of 26 U.S.C. § 7201 is five years in prison and a fine of $250,000. However, any sentence following conviction would be imposed by the court only after consideration of the U.S. Sentencing Guidelines and the federal statute governing the imposition of a sentence, 18 U.S.C. § 3553.
Assistant U.S. Attorney Thomas Moore is prosecuting the case. The prosecution is the result of an investigation by the Internal Revenue Service, Criminal Investigation.
Dayton Man Sentenced for Cocaine PossessionRead the Press Release
DAYTON – Keon Rutledge, 35, of Dayton, was sentenced in U.S. District Court to 90 months in prison for possession with the intent to distribute more than 500 grams of cocaine.
Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, Steve Francis, Acting Special Agent in Charge, U.S. Department of Homeland Security Investigations (HSI), Montgomery County Sheriff Phil Plummer and other members of the Sheriff’s RANGE Task Force, Clinton County Sheriff Ralph D. Fizer, Jr. and members of the Miami Valley Bulk Cash Smuggling Task Force announced the sentence handed down today by U.S. District Judge Thomas M. Rose.
According to the Statement of Facts in this case, on May 4, 2016, Rutledge received nearly 2,000 grams of cocaine at a business located on Salem Avenue in Dayton, and that was within 1,000 feet of a private middle school. A second search warrant was executed at Rutledge’s home on Riverview Terrace, where a bulletproof vest, an additional amount of cocaine and firearms were recovered. These items were forfeited, along with $2,300 in cash.
Rutledge pleaded guilty on December 7, 2016 to one count of possession with intent to distribute 500 grams or more of cocaine.
U.S. Attorney Glassman commended the cooperative investigation by law enforcement, as well as Assistant United States Attorney Andrew J. Hunt who is representing the United States in this case.
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Davenport Man Sentenced to 188 Months in Prison for Crack Cocaine DistributionRead the Press Release
DAVENPORT, IA - On March 17, 2017, Corey Anthony Jones, heather Jean Reekr28, of Davenport, Iowa, was sentenced by Chief United States District Court Judge John A. Jarvey to 188 months in prison for possession with the intent to distribute 28 grams or more of a mixture or substance containing cocaine base, announced United States Attorney Kevin E. VanderSchel. Jones was ordered to serve a four-year term of supervised release following his imprisonment and to pay $100 towards the Crime Victims’ Fund.
Between May 2, 2016, and May 9, 2016, Jones distributed crack cocaine on three separate occasions. On May 9, 2016, law enforcement officers found and seized approximately 66 grams of crack cocaine from a vehicle driven by Jones. That same day, officers obtained a search warrant for Jones’ Davenport residence and seized approximately 38 grams of powder cocaine and items consistent with the manufacture of crack cocaine. On October 19, 2016, Jones pleaded guilty and admitted he knowingly possessed the crack cocaine found on May 9, 2016, in the vehicle and intended to distribute some or all of the crack cocaine to others.
This matter was investigated by the Davenport Police Department’s Tactical Operations Bureau, the Davenport Police Department, and the Iowa Division of Narcotics Enforcement. The case was prosecuted by the United States Attorney’s Office for the Southern District of Iowa.
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Learn more about this release by either calling Rachel J. Scherle at 515-473-9300, or by emailing her at [email protected]
D.C. Man Sentenced for Purchase of Illegal FirearmsRead the Press Release
ALEXANDRIA, Va. – Anthony Darnell McCutchen, 27, of Washington, D.C., was sentenced today to 12 months in prison for his role in the illegal purchase of two firearms.
McCutchen pleaded guilty on Dec. 9, 2016. According to court documents, on Oct. 1, 2016, McCutchen met an individual, who he recruited to purchase two firearms on his behalf, at a Virginia gunshow. McCutchen aided and abetted this individual’s false statements to a firearms dealer by, among other things, accompanying the individual to the firearms dealer to help select the firearms for purchase, providing the purchaser with the money to purchase the firearms, and directing the purchaser how to behave when purchasing the firearms. Law enforcement observed McCutchen’s activity in the gun show and, after learning of McCutchen’s prior conviction for armed robbery in Washington, D.C., executed a traffic stop shortly after McCutchen left the gun show. Law enforcement recovered the two firearms from McCutchen’s possession.
Dana J. Boente, U.S. Attorney for the Eastern District of Virginia; and Michael B. Boxler, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms and Explosives’ (ATF) Washington Field Division, made the announcement after sentencing by Senior U.S. District Judge T.S. Ellis, III. Assistant U.S. Attorney Carina A. Cuellar 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. 1:16-cr-248.
Correctional Officer Charged with Violating an Inmate's Civil RightsRead the Press Release
PANAMA CITY, FLORIDA – Willie L. Walker, 57, of Lynn Haven, Florida, has been arraigned in the U.S. District Court in Panama City after a federal grand jury returned an indictment charging him with depriving an inmate at the Gulf Correctional Institution of constitutional rights. The indictment was announced by Christopher P. Canova, United States Attorney for the Northern District of Florida.
The indictment alleges that, in March 2015, Walker, while acting as a correctional officer of the State of Florida, assaulted an inmate, resulting in bodily injury.
The trial is scheduled for May 15, 2017, at 8:15 a.m. at the United States Courthouse in Panama City.
An indictment is merely an allegation by a grand jury that a defendant has committed a violation of federal criminal law and is not evidence of guilt. All defendants are presumed innocent and entitled to a fair trial, during which it will be the government’s burden to prove guilt beyond a reasonable doubt in a court of law.
The case is being investigated by the Federal Bureau of Investigation and the Florida Department of Corrections – Office of Inspector General. The case is being prosecuted by Assistant United States Attorney Aine Ahmed.
The United States Attorney's Office for the Northern District of Florida is one of 94 offices that serve as the nation’s principal litigators under the direction of the Attorney General. To access public court documents online, please visit the U.S. District Court for the Northern District of Florida website. For more information about the United States Attorney’s Office, Northern District of Florida, visit http://www.justice.gov/usao/fln/index.html.
For more information, contact:
Amy Alexander, Public Information Officer
(850) 216-3854, [email protected]
Coachella Valley-Based Day Trader Sentenced to 5 Years in Prison for Bilking Investors in Multi-Million Dollar Fraud SchemeRead the Press Release
LOS ANGELES – A former Coachella Valley resident has been sentenced to 60 months in federal prison for soliciting investments in his money-losing day-trading operation that cost victims millions of dollars in losses.
Robert Charles Butler, 50, was sentenced on Monday by United States District Judge Virginia A. Phillips. Butler currently lives in Las Vegas, Nevada, but was residing in La Quinta when he ran the investment scam.
Butler solicited victims by falsely claiming to be a successful day trader with a proprietary trading program who had created private investment funds. Even though he had actually lost millions of dollars trading stocks, Butler told victims to expect up to a 10 percent return on their investments. After taking at least $7 million from victims and continuing to suffer substantial losses as a result of his trading, Butler produced fake account statements claiming substantial profits and sent them to victims. In addition to the trading losses, Butler used some of the victims’ money to pay personal expenses, including gambling losses.
When he pleaded guilty, Butler specifically admitted that he caused more than $2.5 million in losses. The exact loss figure will be determined by Judge Phillips during a restitution hearing scheduled for March 27.
Butler defrauded at least one family member and friends of the relative who lived in Indio. Many of the investors withdrew funds from their retirement accounts after meetings at Butler’s lavish home office containing seven to eight computer screens showing stock activity.
The investigation in this case was conducted by the Federal Bureau of Investigation.
The case was prosecuted by Assistant United States Attorney Sean D. Peterson of the Riverside Branch Office.
Buffalo Man Sentenced on Cocaine ChargesRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051BUFFALO, N.Y.-Acting U.S. Attorney James P. Kennedy, Jr. announced today that Alexis Javier Centeno-Baez, 22, of Buffalo, NY, who was convicted following a jury trial of conspiracy to possess with intent to distribute, and to distribute, 500 grams or more of cocaine, and attempt to possess with intent to distribute 500 grams or more of cocaine, was sentenced to 63 months in prison by U.S. District Judge Richard J. Arcara.
Assistant U.S. Attorneys Wei Xiang and Brendan T. Cullinane, who handled the case, stated that on August 25, 2015, the U.S. Postal Inspection Service intercepted a package shipped from Puerto Rico to an address in Buffalo. A search warrant was executed and revealed two individually wrapped kilograms of cocaine stuffed inside a LEGO box. During a controlled delivery, Centeno Baez went to the address and retrieved the package. When Drug Enforcement Administration Agents approached to arrest him, the defendant left the package in his car and fled on foot. Agents pursued Centeno Baez and apprehended him about three blocks away.
The sentencing is the result of an investigation by the Drug Enforcement Administration, under the direction of Special Agent-in-Charge James J. Hunt, New York Field Division, and the United States Postal Service Inspection Service, under the direction of Inspector-in-Charge Shelly Binkowski.
Boylston Man Charged with Distributing Child PornographyRead the Press Release
BOSTON – A Boylston man was arrested and charged yesterday in U.S. District Court in Worcester for distributing child pornography.
Randy Alan Chaplis, 32, was charged in a criminal complaint with distributing child pornography. Chaplis was arrested on Thursday, March 16, 2017, and was detained pending a hearing scheduled for March 20, 2017.
According to the complaint, on Feb. 9, 2017, Chaplis sent an email to an undercover law enforcement officer that included multiple images of child pornography. During other email communications with this undercover officer, Chaplis stated that he likes 3-to-10 year olds and that he has “fun” with his girlfriend’s five-year-old daughter when her mother is not home. Chaplis emailed graphic descriptions of sexual acts he had purportedly performed with this child and asked whether the undercover officer intended to have sexual intercourse with an infant daughter once she turned three or four. The complaint also alleges that Chaplis bragged to another internet user about having sexual intercourse with a four-year-old-girl.
On March 15, 2017, law enforcement agents executed a search warrant at Chaplis’s residence and located an external hard drive and a desktop computer that included multiple images of child pornography.
The charging statute provides a mandatory minimum sentence of five years and no greater than 20 years in prison, a minimum of five years and up to a lifetime of supervised release and a fine of $250,000. 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 Matthew Etre, Special Agent in Charge of Homeland Security Investigations in Boston, made the announcement today. Assistant U.S. Attorney William F. Abely of Weinreb’s Worcester Branch Office is prosecuting the case.
The details contained in the charging documents are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
The case is brought as part of Project Safe Childhood. In 2006, the Department of Justice created Project Safe Childhood, a nationwide initiative designed to protect children from exploitation and abuse. Led by the U.S. Attorneys’ Offices and the DOJ’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend, and prosecute individuals who exploit children, as well as identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov/.
Binghamton Man Pleads Guilty to Twelve Counts of Distributing Child PornographyRead the Press Release
BINGHAMTOM, NEW YORK - Jared Flanders, 34, of Johnson City, New York, pled guilty today in federal court in Binghamton, New York, to twelve (12) counts of distributing child pornography videos and images via the internet, announced United States Attorney Richard S. Hartunian and Special Agent in Charge James Spero, Department of Homeland Security, Homeland Security Investigations (HSI). Flanders will be sentenced on July 19, 2017 and remains in the custody of the U.S. Marshal’s Service.
Flanders faces a minimum sentence of five (5) years and up to twenty (20) years in prison, a fine of up to $250,000, and a term of supervised release of at least 5 years and up to life. 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 the Department of Homeland Security, Homeland Security Investigations (HSI), and is being prosecuted by Assistant U.S. Attorney Miroslav Lovric.
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.
Bettendorf City Employee Sentenced to Prison for BriberyRead the Press Release
DAVENPORT, IA - On March 16, 2017, Robert W. Webster, heather Jean Reekr66, of Davenport, Iowa, was sentenced by Chief United States District Court Judge John A. Jarvey to 12 months and one day in prison for conspiracy to bribe a public official, 12 months and one day on each of two counts of bribery of a public official, the sentences to run concurrently, announced United States Attorney Kevin E. VanderSchel. Webster was fined $50,000 and will be required to serve a three-year term of supervised release following his imprisonment. Chief Judge Jarvey ordered Webster to pay $300 in assessments.
On July 22, 2016, Webster pleaded guilty to one count of conspiracy to commit bribery from as early as 2004 until July of 2010 concerning programs receiving federal funds, and two additional counts charging bribery on March 27, 2009, and September 18, 2009, concerning programs receiving federal funds.
As part of a written plea agreement, Webster admitted he was the Bettendorf City Electrician and for several years he received payments from Brown Traffic Products (BTP), Inc., and its subsidiary Traffic Systems Solution Company. Payments included travel, meals, drinks, entertainment and other expenses – such as tickets to NASCAR events in Las Vegas and Chicago and trips to business conferences, to reward and influence him to conduct business with BTP. Webster admitted on March 27, 2009, his wife received a check for $2,700 for a trip funded by BTP. Webster also admitted on September 18, 2009, he received golfing fees in Gilbert, Arizona, from an employee of BTP to reward and influence him.
During the sentencing hearing, Chief District Judge Jarvey found Webster had obstructed the due administration of justice and had not accepted responsibility for his crimes.
The investigation was conducted by the Federal Bureau of Investigation with the complete cooperation of the City of Bettendorf. This case was prosecuted by the United States Attorney’s Office for the Southern District of Iowa.
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Learn more about this release by either calling Rachel J. Scherle at 515-473-9300, or by emailing her at [email protected]
Bethlehem Man Sentenced to 87 Months’ Imprisonment for Cocaine Trafficking and Firearms OffensesRead the Press Release
SCRANTON. The United States Attorney’s Office for the Middle District of Pennsylvania announced today that on March 16, 2017, United States District Judge Malachy E. Mannion sentenced Clyford Francois, age 38, of Bethlehem, Pennsylvania, to 87 months’ imprisonment for possessing with the intent to distribute cocaine, and for possessing two firearms in furtherance of his narcotics trafficking activities.
According to United States Attorney Bruce D. Brandler, Francois was arrested with over 12 grams of cocaine and two loaded firearms, a Smith and Wesson 9mm and a Titan .25 caliber, during a routine traffic stop. Law enforcement officials also recovered $612. Francois admitted that he intended to sell the cocaine and that some of the money was from prior cocaine sales.
Francois was indicted by a grand jury on December 15, 2015, and pleaded guilty pursuant to a plea agreement on September 6, 2016. He has been in custody since his arrest.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, and by the Hanover Township Police Department. Assistant United States Attorney Phillip J. Caraballo prosecuted 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.
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Baltimore Career Offender Sentenced to 13 Years in Federal Prison for Drug and Gun ChargesRead the Press Release
Baltimore, Maryland – U.S. District Judge Ellen L. Hollander sentenced Edward Leon Samuel, Jr., age 50, of Baltimore, Maryland , on March 16, 2017, to 13 years in prison, followed by five years of supervised release, for possession with intent to distribute heroin and cocaine, and for possession of a firearm in furtherance of a drug trafficking crime.
The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Assistant Special Agent in Charge Don A. Hibbert of the Drug Enforcement Administration, Baltimore District Office; and Commissioner Kevin Davis of the Baltimore Police Department.
According to his plea agreement, Samuel distributed heroin and cocaine in Baltimore City. On February 2, 2016, members of the DEA and Baltimore City Police Department executed a search warrant at Samuel’s residence and recovered 171 grams of heroin and 25.8 grams of cocaine, which Samuel admits he intended to distribute to his customers. Law enforcement also recovered three loaded firearms, including a .40 caliber handgun, a 9mm handgun with no serial number, and a 454 revolver with no serial number. Samuel admits that he possessed the firearms to further his drug trafficking activities.
United States Attorney Rod J. Rosenstein praised the DEA and Baltimore Police Department for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorneys Derek E. Hines and Christopher J. Romano, who prosecuted the case.
Ball man sentenced to 21 months in prison for stealing more than $100,000 in Veterans Affairs benefitsRead the Press Release
ALEXANDRIA, La. – Acting U.S. Attorney Alexander C. Van Hook announced that a Ball man was sentenced Thursday to 21 months in prison for stealing more than $100,000 in Veterans Affairs benefits from a deceased woman’s bank account.
Tracy Marler, 51, of Ball, La., was sentenced by U.S. District Judge Dee D. Drell for one count of theft of government property. He was also sentenced to two years of supervised release and ordered to pay $101,250.10 restitution. The defendant was found guilty on December 13, 2016 after a two-day trial. Evidence admitted at trial revealed that from February 25, 2008 until April 30, 2014, Marler withdrew $101,250.10 from a deceased woman’s account. The woman was receiving the benefits on behalf of her deceased husband who had served in the U.S. armed forces. Marler had a joint bank account with the woman. After she died in February of 2008, he continued to receive her Veterans Affairs benefit payments to which he was not entitled.
The Veterans Affairs-Office of Inspector General conducted the investigation. Assistant U.S. Attorney Brandon B. Brown prosecuted the case.
Anesthesiologist and Forest Park Medical Center Founder Pleads Guilty to $40 Million Kickback SchemeRead the Press Release
DALLAS — Richard Ferdinand Toussaint, Jr., 58, of Dallas appeared today before U.S. District Judge Sidney A. Fitzwater and pleaded guilty to one count of conspiracy to pay health care bribes and kickbacks and one count of offering or paying illegal remuneration and aiding and abetting under the Travel Act announced U.S. Attorney John Parker of the Northern District of Texas.
Toussaint faces a maximum statutory penalty of five years in federal prison and a $250,000 fine for each count. Sentencing will be scheduled at a later date.
Co-defendants Andrea Kay Smith, 37, of Rockwall, Kelly Wade Loter, 48, of Dallas, and Israel Ortiz, 49, also of Dallas previously pleaded guilty to their role in the conspiracy. The remaining 17 defendants are awaiting trial scheduled for July 10, 2017.
According to plea documents filed in the case, Toussaint, an anesthesiologist, met co-defendant Barker in approximately 2003 and began providing anesthesia services for his cases around 2005. Around 2008, Toussaint and Barker decided to start their own physician-owned hospital, Forest Park Medical Center (FPMC). All the surgeries at FPMC were to be elective in nature. FPMC targeted bariatric and spinal surgeons because their surgeries generated the most money. The original plan was for FPMC to go in-network with the major insurance carriers when possible. Instead, FPMC attempted to negotiate better reimbursement rates and remained out-of-network so it could collect more in reimbursements.
All of the founders at FPMC, including Toussaint and co-defendants Beauchamp, Burt, Barker, and the other founders knew that FPMC would pay surgeons marketing checks in exchange for bringing surgeries, especially lucrative out-of-network surgeries, to FPMC as opposed to other facilities. Beauchamp discussed the details of the payments with each doctor, and he kept tabs on how many surgeries they brought to FPMC. Beauchamp used a metric to calculate the payments based on the surgeons anticipated case volumes at FPMC. The payments quickly grew from $300,000 a month to $1.2 million a month. Beauchamp would update Toussaint and Barker on the bribe payments. Toussaint would often be copied on emails where Barker would ask Beauchamp how much certain doctors were being paid.
To induce patients with both in-network and out-of-network benefits to come to FPMC, and to facilitate the bribe and kickback payments, FPMC systematically waived coinsurance or reduced it to in-network levels. According to Toussaint, this practice was concealed or misrepresented to insurance carriers so they would not refuse to reimburse the hospital. Everyone associated with FPMC, including Beauchamp, Burt, Toussaint, Barker, and the surgeons receiving bribe and kickback payments, knew that FPMC guaranteed patients prior to surgery that they would not pay or would pay only the equivalent of in-network patient-responsibility payments.
Toussaint and Barker owned a commercial real estate company that was working on the continued development of FPMC. Beauchamp used the company to funnel bribe and kickback payments in exchange for patient referrals.
FPMC also made bribe and kickback payments to chiropractors to induce them to send their patients that needed surgery to FPMC as opposed to other facilities. Toussaint would often meet with chiropractors for these discussions and there was a clear quid-pro-quo, that is, the chiropractors were paid to refer their patients to FPMC.
In addition to paying surgeons bribes and kickbacks for cases being performed at FPMC in the form of marketing money, FPMC also used the opportunity to invest in FPMC, and the number of investment units a surgeon could purchase, to induce surgeons to bring their patients to FPMC. The more surgeries a surgeon could bring to FPMC, the more they were allowed to invest and profit from the hospital’s billings. Beauchamp, Barker, and Toussaint often decided how many shares a surgeon should be able to purchase based on the number of surgical cases the surgeon could steer to FPMC. Surgeon-investors who did not bring enough surgical cases to FPMC were divested or their shares were cut.
The case was investigated by the FBI, the U.S. Department of Labor Office of Inspector General, the U.S. Department of Labor Employee Benefits Security Administration, the U.S. Department of Defense - Defense Criminal Investigative Service, the U.S. Office of Personnel Management Office of Inspector General, and Internal Revenue Service Criminal Investigation, with assistance from the Food and Drug Administration and the U.S. Postal Inspection Service.
Assistant U.S. Attorneys Andrew Wirmani, Kate Pfeifle and Mark Tindall are prosecuting the case.
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"Bad Santa" Sentenced for Stealing Packages from US MailRead the Press Release
On March 17, 2017, Cody J. Alexander, 26, of Coffeen, Illinois, was sentenced to federal prison for Theft of United States Mail, Donald S. Boyce, United States Attorney for the Southern District of Illinois, announced today.
Alexander who pled guilty on December 23, 2016, to one count of Theft of United States Mail, was sentenced to 10 months of imprisonment, followed by 3 months of home detention and 3 years of supervised release. He as was also ordered to pay restitution to those whose mail parcels and packages were stolen. Alexander took the packages while employed with a contracting company hired by the postal service to deliver holiday packages in December of 2015. Alexander admitted taking packages, opening them, and then pawning or attempting to sell at least some of the items at a pawnshop.
At sentencing, the court considered Alexander’s personal history, the circumstances of the offense, and the fact that after his arrest, Alexander was released on bond and failed to appear for a court hearing set for December 15, 2016. On that date, the court issued an arrest warrant for his failure to appear. Ironically, the man charged with stealing holiday packages was arrested while dressed as Santa Clause on December 19, 2016, in Waterloo, Illinois. He has remained in jail since his arrest.
The United States Postal Inspection Service conducted the investigation. The Monroe County Sheriff’s Department and the United States Marshal Service assisted in the failure to appear arrest. Assistant United States Attorney Ranley R. Killian prosecuted the case.
16 March 2017
Worcester Sex Offender Sentenced to 17 Years on Child Pornography ChargesRead the Press Release
BOSTON – Neil Sweeney, 51, was sentenced on Monday, March 13, 2017, by U.S. District Court Judge Timothy S. Hillman to 17 years in prison and 10 years of supervised release. In October 2016, Sweeney was convicted by a federal jury of possessing and distributing child pornography.
The charges arose from a federal online operation. In April 2015, an individual, later determined to be Sweeney, used Gigatribe, an internet file sharing program, to distribute dozens of videos and images of minors engaging in sexually explicit conduct to an undercover federal agent in Newark, NJ. The investigators established through subscriber records, email records and other internet social networking activity that Sweeney was the user of the Gigatribe account. The investigation further revealed that Sweeney resided in Worcester, and in May 2015, law enforcement agents arrested Sweeney.
In 1995, Sweeney was convicted in Worcester Superior Court for the indecent assault and battery on two boys, both under the age of 14. As a result of those convictions, Sweeney was required to register as a Level 3 sex offender.
Acting United States Attorney William D. Weinreb; Harold Shaw, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; and Worcester Police Chief Steven Sargent, made the announcement today. Homeland Security Investigations and the Massachusetts State Police assisted with the investigation. Assistant U.S. Attorneys Greg A. Friedholm and Karin M. Bell of Weinreb’s Worcester Branch Office prosecuted the case.
Woman Sentenced to Five Years in Prison in Connection with Cocaine Smuggling ConspiracyRead the Press Release
St. Thomas, USVI - Dellana Magner, 23, of St. Thomas, was sentenced in federal court to five years in prison on March 16, 2017, followed by five years of supervised release for her conviction for cocaine possession, Acting United States Attorney Joycelyn Hewlett announced. District Judge Curtis V. Gomez also ordered Magner to pay a $100 special assessment, and perform 400 hours of community service.
On January 26, 2017, Magner pleaded guilty to possession with intent to distribute not less than 3.5 and not more than 5 kilograms of cocaine in connection with a drug smuggling ring operated by Nilda Morton who utilized airline employees at the Cyril E. King Airport and female couriers to smuggle cocaine to the U.S. mainland. On three occasions between June and July 2016, airport security surveillance footage captured Magner and other drug couriers in the public restroom located in the Spirit Airlines lounge exchanging vacuum-sealed packages of cocaine before boarding their flights. The investigation culminated on July 1, 2016, with the arrest of Magner after she smuggled three kilograms of cocaine onboard an American Airlines flight destined for Miami, Florida.
This case is the result of a joint investigation by the Federal Bureau of Investigation in Pittsburgh, New York, Cleveland, Detroit, and St. Thomas. It was prosecuted by Assistant United States Attorney Delia L. Smith.
Washington D.C. Man Exiled to 11 Years in Federal Prison for Armed RobberiesRead the Press Release
Greenbelt, Maryland – U.S. District Judge Roger W. Titus sentenced Rondell McLeod, age 23, of Washington, D.C., on March 15, 2017, to 11 years in prison, followed by five years of supervised release, for two armed commercial robberies and for using and brandishing a firearm during a crime a violence. Judge Titus also ordered McLeod to pay restitution of $10,568.
The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Gordon B. Johnson of the Federal Bureau of Investigation, Baltimore Field Office; and Chief Hank Stawinski of the Prince George’s County Police Department; and Acting Chief Peter Newsham of the Metropolitan Police Department.
According to his plea agreement, between March 28 and April 1, 2016, McLeod conspired with Tyrell Bailey and Steven Mosby to rob cellular phone stores in Bethesda and Forestville, Maryland. In both the March 28 and April 1 robberies, McLeod entered the store to commit the robbery and brandished a firearm at store employees, while Mosby was the get-away driver. Bailey participated in the April 1st robbery, entering the store with McLeod to commit the robbery. McLeod and his co-conspirators stole cash, cellular phones and other high-end electronics, with a total value of approximately $30,658.
After the second robbery on April 1, 2016, a witness who saw the robbers drive away from the store called 911 and provided a description of the car. The witness followed the vehicle for some distance before losing sight of the vehicle. A Prince George’s County Police plain clothes officer in an unmarked car saw the getaway vehicle a short time later speeding, driving on the shoulder of the road, and driving through a red light. A marked Prince George’s County Police vehicle was able to start following the getaway car. Prince George’s County Police officers were also conducting aerial surveillance of the pursuit and saw McLeod and his co-conspirators flee from the vehicle. The aerial officers noticed that McLeod was gripping his waistband consistent with someone who was concealing a firearm. The aerial officers directed pursuing foot officers to the rear delivery door of a business that McLeod had entered, and McLeod was arrested. Officers found a loaded .40 caliber handgun on the ground where McLeod had been laying and recovered a cellular telephone from McLeod.
Tyrell Bailey, age 20, and Steven Walter Mosby, age 26, both of Washington, D.C., were also arrested after the chase on April 1, 2016. On December 13, 2016, Bailey pleaded guilty to robbery, and to using, carrying and brandishing a firearm during a crime of violence. Bailey and the government have agreed that if the Court accepts the plea agreement Bailey will be sentenced to seven years and one day in prison. Judge Titus has scheduled sentencing for Bailey on March 21, 2017 at 10:00 a.m. On December 15, 2016, Mosby pleaded guilty to a robbery conspiracy and is scheduled to be sentenced on May 10, 2017 at 9:00 a.m.
United States Attorney Rod J. Rosenstein commended the FBI, Prince George’s County Police Department, and the Metropolitan Police Department for their work in the investigation. Mr. Rosenstein thanked Assistant United States Attorneys Thomas M. Sullivan and Michael T. Packard, who prosecuted the case.
Virginia Man Indicted on Child Pornography and Sex Tourism ChargesRead the Press Release
A Virginia man was indicted today and charged with multiple crimes involving travel with intent to engage in illicit sexual conduct with minors and child pornography.
Acting Assistant Attorney General Kenneth A. Blanco of the Justice Department’s Criminal Division, U.S. Attorney Dana J. Boente of the Eastern District of Virginia and Assistant Director in Charge Andrew W. Vale of the FBI’s Washington Field Office made the announcement.
Carl Sara, 63, of Springfield, Virginia, was indicted by a federal grand jury today with one count each of attempted sex trafficking of children, attempted enticement of a minor to engage in sex, traveling with the intent to engage in illicit sexual conduct with minors, and transportation and possession of child pornography.
According to the indictment, beginning in approximately May 2013, Sara allegedly used the internet to communicate with sellers of child pornography, and others, in the Philippines in order to obtain child pornography. Additionally, the indictment alleges that Sara traveled to the Philippines on one occasion to engage in illicit sexual conduct with a minor. Further, the indictment also alleges that Sara transported child pornography across state lines.
The charges and allegations contained in an indictment are merely accusations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
The FBI’s Washington Field Office is investigating the case. Trial Attorney James E. Burke IV of the Criminal Division’s Child Exploitation and Obscenity Section (CEOS) and Assistant U.S. Attorney Nathaniel Smith are 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 CEOS and the U.S. Attorneys’ Offices, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Valdosta Dentist Sentenced to Twenty-Seven (27) Months in Prison for Healthcare FraudRead the Press Release
United States Attorney G. F. “Pete” Peterman, III, announces that Dr. Stanley B. Marable, DDS, age 55, a dentist from Valdosta, Georgia, was sentenced March 16, 2017 to serve twenty-seven (27) months in Federal prison for Healthcare Fraud followed by two (2) years of supervised release. In addition, Dr. Marable was ordered to pay a fine of $5,000.00 and a $100.00 mandatory assessment fee. The sentence was handed down by United States District Court Judge Hugh Lawson in Valdosta, Georgia.
Dr. Marable entered a plea of guilty on October 13, 2016. Facts admitted showed that he was a general practice dentist in Valdosta who was reimbursed through Medicaid payments from the State of Georgia. In 2012, at the request of the Georgia Department of Community Health, Division of Medical Assistance (DCH), an audit was performed by the Georgia Department of Audits and Accounts (DOOA). Several billing irregularities were discovered. Further investigation by the Georgia Medicaid Fraud Control Unit revealed that from January 2011 through September 30, 2013, Dr. Marable was paid for 3,145 claims for the extraction of teeth and received Medicaid payments for these extractions totaling more than $789,000.00. The investigation of the claims revealed that Dr. Marable had not actually extracted the teeth from many of the patients for whom claims of reimbursement had been submitted. Several patients had never had any teeth extracted, including one individual who did not even know Dr. Marable was a dentist.
As part of his plea agreement, Dr. Marable agreed to pay a total of $789,841.00 in restitution to the Georgia Medicaid Program. The full amount of restitution was paid prior to sentencing.
The case was investigated by the Georgia Medicaid Fraud Control Unit and Georgia Department of Community Health – Office of Inspector General. The case was prosecuted by Assistant United States Attorneys Sonja Profit and Tamara Jarrett and Georgia Assistant Attorney General James Mooney.
“The Office of the Attorney General applauds the court’s sentence in the case of Dr. Stanley Marable for Healthcare Fraud,” said Attorney General Chris Carr. “I am especially proud of our Medicaid Fraud Control Unit for working with the Georgia Department of Community Health and the Georgia Department of Audits to develop crucial evidence for the inception of this case and provide vital support throughout the prosecution. Our team was led by Assistant Attorney General Jim Mooney, Investigator Kevin White, Investigative Auditor Denise Colson, Intelligence Analyst Kirste Young and former Investigative Auditor Kenyetta Smith. I congratulate our partners in the U.S. Attorney’s Office of the Middle District of Georgia for a successful prosecution, and we look forward to continuing to work with them to prevent truly bad actors from defrauding our systems in Georgia.”
Said United States Attorney Peterman, “Dr. Marable’s conduct in this case was egregious. In many cases he claimed to have pulled twenty or more teeth from a single patient. In one case he claimed to have extracted 31 of the patient’s 32 teeth. He fully deserves the sentence imposed upon him today.”
Questions concerning this case should be directed to Brittney Kish Lightsey, United States Attorney’s Office, at (478) 752-3511.
VSP detectives continue investigation of Rooker death; Wayne Oddo charged with a federal firearms offenseRead the Press Release
The Office of the United States Attorney for the District of Vermont and the Vermont State Police stated:
On March 15, 2017, Wayne Oddo (53), of Poultney, Vermont, was arrested and charged by criminal complaint in the United States District Court for the District of Vermont with being a user of a controlled substance in possession of a firearm, in violation of 18 U.S.C. §922(g)(3). Law enforcement became aware of Oddo during the on-going investigation into the death of Alexandra Rooker. Preliminary investigation revealed that Rooker was reported missing on March 8, 2017 by family members who had not heard from her since March 2, 2017. Rooker was reportedly last seen by friends on March 3, when she was dropped off by a friend at the residence of Wayne Oddo, located at 1953 Morse Hollow Road in Poultney. Detectives interviewed Oddo during the past week in an attempt to locate Rooker. Oddo told detectives that Rooker had been at his residence but was no longer there. Investigation further revealed that both Rooker and Oddo are heroin users.
As part of an ongoing drug investigation, Vermont Drug Task Force detectives working closely with the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) and the Federal Bureau of Investigation (FBI) obtained a search warrant for Oddo’s residence. On Wednesday, 3/15/17, Vermont State Police troopers, detectives and FBI agents executed the federal search warrant and discovered the body of Alexandra Rooker.
An autopsy was performed this morning at the Office of the Chief Medical Examiner in Burlington. Preliminary autopsy results revealed no signs of trauma; determination of cause and manner of death is pending. Time and date of death is unknown and currently under investigation. This death is being treated as suspicious at this time and possibly related to a drug overdose.
Oddo had an initial appearance before United States Magistrate Judge John M. Conroy on March 16, 2017. He was detained pending a further hearing on March 24, 2017. At that hearing, Judge Conroy is expected to rule on the government’s motion seeking detention of Oddo pending trial.
The criminal complaint charging Oddo with being a drug user in possession of a firearm is an accusation only; he is presumed innocent unless and until proven guilty. If convicted on the firearms charge, he faces up to 10 years in prison. The actual sentence, in the event of conviction, will be determined by the Court with reference to the advisory Federal Sentencing Guidelines and other statutory sentencing factors.
Detectives with the Crime Scene Search Team continue to process the scene at 1953 Morse Hollow Road in Poultney this afternoon. This investigation is ongoing and anyone with information is asked to contact the Vermont State Police at 802-773-9101. This investigation is a collaborative effort of the Vermont State Police, ATF, and FBI.
Vietnam Government Officials Visit Interpol WashingtonRead the Press Release
INTERPOL WashingtonOn Wednesday, March 15, 2017, officials from the Government of Vietnam visited INTERPOL Washington—the U.S. National Central Bureau (USNCB)—to learn about the agency’s mission, role, and functions in the United States and internationally. They also discussed police cooperation between the United States and Vietnam in efforts to combat transnational crime and enhance border security. The six-member group is in the United States participating in the Strategic Leadership Development for Senior Vietnamese Government Officials (S-LEAD) program. Established in 2016, the program is supported by the Central Committee of the Communist Party of Vietnam, the Vietnam Initiative at Indiana University, and the U.S. Department of State.
S-LEAD provides executive-level training to select senior officials slated for promotion to vice-ministerial positions in Vietnam. Each year, two groups of Vietnamese officials spend two months in the United States participating in research and training. The activities include taking graduate courses and conducting research at Indiana University, visiting and studying different U.S. federal and state government agencies, and participating in an executive leadership program at Harvard University.
In addition to listening to the INTERPOL Washington mission overview, the Vietnamese visitors toured the INTERPOL Operations and Command Center, which operates 24 hours per day, 7 days a week, 365 days per year.
A component of the U.S. Department of Justice, INTERPOL Washington is co-managed by the U.S. Department of Homeland Security. As the designated representative to the International Criminal Police Organization on behalf of the Attorney General, INTERPOL Washington serves as the national point of contact for all INTERPOL matters, coordinating international investigative efforts among member countries and the more than 18,000 federal, state, local, and tribal law enforcement agencies in the United States.
United States Attorney’s Office and IMPD announce art project unveilingRead the Press Release
Self-esteem project at Daniel Webster Elementary School becomes legacy mural at the Indianapolis Metropolitan Police Southwest District
PRESS RELEASE
Indianapolis – United States Attorney Josh Minkler and IMPD Chief Brian Roach together announced a legacy art project that will adorn the gymnasium walls of the IMPD Southwest Police District for many years to come.
“I am pleased to see our community working together to honor the brave officers of the Indianapolis Metropolitan Police Department with the one word that always comes to mind when we think of law enforcement: COURAGE,” said Minkler. “Rather than the conflict narrative we hear about so often, this project represents a legacy created by our youth working with our police department to build something that will benefit our city in the future. This project is symbolic of 5th and 6th grade girls from Daniel Webster, serving a cause much greater than themselves; building community trust. For these girls, that took courage.”
“This mural is a testament to the talents of our richest treasure – our youth,” said Chief Roach. “Our community is encouraged, inspired, filled with a sense of zeal, that when provided with the needed resources and given the appropriate opportunities our youth can achieve amazing and lasting accomplishments.”
U.S. Attorney employees and officers from the IMPD Southwest District partnered for over eight weeks with 23 young 5th and 6th grade girls from IPS Daniel Webster Elementary (DWES) School on an after-school project intended to address issues of self-worth, confidence and self-esteem. Both offices invested time and mentoring partners to encourage the girls to follow their dreams and see themselves as beautiful.
The self-portraits created by the students will be featured in a large mural permanently displayed in the IMPD Southwest District Roll Call site, 551 N. King Avenue, not far from DWES. The after-school workshops encouraged the girls to reject inappropriate labels, increase their self-respect and their respect for others., The mural entitled COURAGE, will serve as a legacy to remind participants and everyone entering the building the important lessons learned during the eight-week project.
The US Attorney’s Office and IMPD collaborated with Holly and Dave Combs, co-founders of the Department of Public Words and Art with A Heart to facilitate the program.
"It was an honor for Dave and I to be a part of the most loving, dynamic, and diverse collection of people in our classroom ever,” said Holly Combs. “Every person that came to class should know that they are stars and they're beautiful."
“Our middle school girls have benefitted immensely from the partnership with our friends at the US Attorney’s Office and IMPD,” said Daniel Webster Principal Karen E. Linn. “When we began with our initial orientation meeting, there were stares and polite grins all around, and we weren’t quite sure how we would connect. Now our girls run and hug their mentors and every time we get together, it’s like reuniting with family. The Art with A Heart program has taught our girls to stand taller, speak positively about their futures, and envision themselves as future professional women with choices and the confidence to define their own destinies. Thank you, dear friends, for the gift of you!”
The Mural was unveiled today at the IMPD Southwest District annual community-policing luncheon.
Torrance County Man Pleads Guilty to Federal Charges Arising Out of Seizure of 45 Pounds of MethamphetamineRead the Press Release
ALBUQUERQUE – David Krowner, 42, of Estancia, N.M., pled guilty today in federal court in Albuquerque, N.M., to federal methamphetamine trafficking and firearms charges arising out of a seizure of 20.7 kilograms (45.54 pounds) of methamphetamine and firearms. Under the terms of the plea agreement, Krowner will be sentenced to 12 years in prison followed by a term of supervised release to be determined by the court. The guilty plea was announced by Acting U.S. Attorney James D. Tierney, Special Agent in Charge Waldemar Rodriguez of Homeland Security Investigations (HSI) in El Paso, and Chief Gorden E. Eden, Jr., of the Albuquerque Police Department (APD).
Krowner was arrested in June 2016, on a criminal complaint charging him with possession of methamphetamine and heroin with intent to distribute and using and carrying firearms in relation to drug trafficking crimes. According to the criminal complaint, the investigation into Krowner began on June 1, 2016, when HSI received information that Krowner was transporting large quantities of illegal drugs into the Albuquerque area. HSI agents and APD officers arrested Krowner in Albuquerque on June 17, 2016, after searching his vehicle and discovering a large bin containing 20.7 kilograms of methamphetamine, 1.8 kilograms of heroin, two bags of unidentified pills, seven packages of steroids, two handguns, a shotgun and hundreds of rounds of ammunition. They also seized approximately $21,750.00 from the vehicle and another $4,500.00 from a pocket of Krowner’s pants.
Krowner was indicted on June 30, 2016. The four-count indictment charged him with possessing methamphetamine and heroin with intent to distribute, being a felon in possession of firearms and ammunition, and using and carrying firearms in relation to drug trafficking crimes. The indictment charged Krowner with committing these crimes on June 17, 2016, in Bernalillo County, N.M., and included forfeiture provisions requiring Krowner to forfeit $26,250 to the United States.
During today’s proceedings, Krowner pled guilty to a felony information charging him with possessing methamphetamine with intent to distribute, and possessing a firearm in furtherance of a drug trafficking crime. In entering the guilty plea, Krowner admitted that on June 17, 2016, HSI and APD found approximately 20.7 kilograms of methamphetamine, eight firearms, and multiple rounds of ammunition in the Krowner’s vehicle during a traffic stop. In his plea agreement, Krowner admitted that he was a convicted felon at the time of the traffic stop, having previously been convicted of a drug trafficking offense and armed robbery.
Krowner remains in custody federal pending a sentencing hearing, which has yet to be scheduled.
The case was investigated by HSI’s Border Enforcement and Security Taskforce, which includes APD officers, and APD’s Central Narcotics Unit. Assistant U.S. Attorney George Kraehe is prosecuting the case as part of a federal anti-violence initiative that targets “the worst of the worst” offenders for federal prosecution. Under this initiative, the U.S. Attorney’s Office and federal law enforcement agencies work with New Mexico’s District Attorneys and state, local and tribal law enforcement agencies to target violent or repeat offenders primarily based on their prior convictions for federal prosecution with the goal of removing repeat offenders from communities in New Mexico for as long as possible.
Topeka Man Pleads Guilty to Bank RobberyRead the Press Release
KANSAS CITY, Mo. – Tom Larson, Acting United States Attorney for the Western District of Missouri, announced that a Topeka, Kan., man pleaded guilty in federal court today to robbing a bank in Excelsior Springs, Mo.
Kishahn Lewis, 20, of Topeka, pleaded guilty before U.S. Chief District Judge Greg Kays to the charge contained in a Sept. 20, 2016, federal indictment.
By pleading guilty today, Lewis admitted that he stole $150 from the National Bank of Kansas City, located in Excelsior Springs, on Sept. 12, 2016. Lewis handed a note to a bank teller that demanded money and claimed he had a weapon. The teller complied with the demand by giving Lewis three $50 bills.
According to court documents, a witness saw Lewis run from the bank and through a parking lot before getting into a gray Volvo. Lewis then drove south to 69 Highway. An Excelsior Springs police officer spotted the Volvo as it entered southbound Interstate 35 from 69 Highway and pulled his patrol car alongside Lewis’s vehicle. When Lewis saw the police officer, he immediately exited onto 291 Highway, and then exited that highway. The police officer located the Volvo parked at the intersection of A Highway and 291 Highway but did not see anyone inside the car. The officer passed the Volvo and radioed to other units that the car was abandoned. However, when the officer circled back, the car was gone. A few minutes later, Pleasant Valley police officers located the Volvo and stopped the car at a Quik Trip at Interstate 35 and Pleasant Valley Road.
Lewis was arrested with the demand note and the three $50 bills in his possession.
Under federal statutes, Lewis is subject to a sentence of up to 20 years in federal prison without parole. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes, as the sentencing of the defendant will be determined by the court based on the advisory sentencing guidelines and other statutory factors. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
This case is being prosecuted by Assistant U.S. Attorney David Raskin. It was investigated by the FBI, the Excelsior Springs, Mo., Police Department and the Pleasant Valley, Mo., Police Department.
Three Charged with Alleged ID Theft of Jail InmatesRead the Press Release
NEWPORT NEWS, Va. – Delanio Vick, 31, and Teresa Gallop, 49, of Norfolk, and Jessie Davis, 20, of Portsmouth, were indicted by a federal grand jury on charges of conspiracy, mail fraud, wire fraud, bank fraud, making false statements in an application to a federally insured institution, and aggravated identity theft.
According to the indictment, these individuals conspired to obtain the personal property and identifying information of inmates housed in local jails. Conspirators inside the jails recruited inmates to retain the services of a fictitious legal services company, FamUnited, also known as Famm United or FamilyTranzitions. Other conspirators posed as paralegals during recorded jail calls with these inmates. During these calls, conspirators falsely promised to help the inmates obtain bonds in exchange for the release of their personal property from the jails’ custody. Some inmates agreed to release their property as instructed. For those who did not, conspirators submitted forged property release forms to the jail authorizing the release of inmate property to other conspirators. After obtaining inmate property, including wallets and cell phones, conspirators accessed and opened bank accounts in the inmates’ names. In some cases, conspirators created forged durable powers of attorney that purported to authorize them to act on the inmates’ behalf. Conspirators used these documents to add themselves as authorized users to the inmates’ existing bank accounts. Conspirators then used the compromised and newly created bank accounts to conduct fraudulent transactions, including worthless deposits and unauthorized withdrawals, through which they obtained money, goods, and services.
Persons who believe they may have information regarding this case are encouraged to contact the U.S. Postal Inspection Service at 804-418-6104.
The defendants were initially indicted by a federal grand jury on Nov. 16, 2016. The superseding indictment returned yesterday includes additional charges. The defendants each face a mandatory minimum penalty of two years in prison to run consecutive to a maximum possibly penalty of 30 years in prison. The minimum and maximum statutory sentences are prescribed by Congress and 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; Robert B. Wemyss, Inspector in Charge of the Washington Division of the U.S. Postal Inspection Service; Michael Goldsmith, Chief of Norfolk Police; and Richard W. Myers, Chief of Newport News Police, made the announcement. Assistant U.S. Attorney Kaitlin C. Gratton is prosecuting 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. 4:16-cr-88.
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.
Ten Arrested in Multi-State Oxycodone and Heroin Trafficking RingRead the Press Release
BOSTON –Ten men were arrested today in connection with an oxycodone, heroin, and fentanyl trafficking and money laundering operation operating between Massachusetts, Maine and Florida.
Each of the ten men were charged in a superseding indictment unsealed today, with offenses including conspiracy to distribute and to possess with intent to distribute heroin, fentanyl, and oxycodone, and conspiracy to launder monetary instruments:
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Jesus Gonzalez, 22, of Haverhill, Mass.;
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Jenssi Astacio, 30, of Miami, Fla.;
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Gorky Gonzalez, 24, of Biddeford, Maine;
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Craig Drummond, 25, of Miami, Fla.;
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Darren Infante, 26, of Miami, Fla.;
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Moses Rodriguez, 29, of Lawrence, Mass.;
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George Noukas, 27, of Manchester, NH;
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Juan Reyes, 29, of Lawrence, Mass.;
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Johnny Urena, 29, of Lawrence, Mass.; and
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Jeffrey Brathwaite, 32, of Lawrence, Mass.
The superseding indictment, which was the result of a three-year investigation, alleges that beginning in at least 2014, Jesus Gonzalez, Astacio, Gorky Gonzalez, Drummond, Infante, Reyes, Urena, and others, participated in a conspiracy to transport sizeable quantities of oxycodone from Miami, Fla., to Massachusetts, where it was distributed in the greater Boston area. Proceeds from the sale of the drug were then transported and/or transferred back to Florida and laundered in various ways. It is further alleged that beginning in at least 2014, Jesus Gonzalez, Rodriguez, Noukas, Urena, and Brathwaite participated in a conspiracy to distribute sizeable quantities of heroin and fentanyl in the greater Boston area.
The charges of conspiracy to distribute and possess with the intent to distribute 100 grams or more of heroin or 40 grams or more of fentanyl provide for a minimum mandatory sentence of five years and up to 40 years in prison, a lifetime of supervised release and a fine of $5 million. The charges of conspiracy to distribute and possess with the intent to distribute oxycodone provides for a sentence of no greater than 20 years in prison, a lifetime of supervised release, and a fine of $1 million. The charge of conspiracy to launder monetary instruments provides for a sentence of no greater than 20 years in prison, three years of supervised release, and a fine of $500,000 or twice the value of the funds involved, whichever is greater. 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; Michael J. Ferguson, Special Agent in Charge of the Drug Enforcement Administration, Boston Field Division; Joel P. Garland, Special Agent in Charge of the Internal Revenue Service’s Criminal Investigations in Boston; Shelly Binkowski, Inspector in Charge of the U.S. Postal Inspection Service; John Gibbons, U.S. Marshal of the District of Massachusetts; and Mickey D. Leadingham, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms & Explosives, Boston Field Division, made the announcement today. The Massachusetts State Police; Lawrence, Methuen, Natick, Stoughton, Millis, Manchester (New Hampshire), Biddeford (Maine), Haverhill, Framingham, and Waltham Police Departments assisted with the investigation. Assistant U.S. Attorney Karen Beausey of Weinreb’s Narcotics and Money Laundering Unit is prosecuting the case.
The details contained in the superseding indictment are allegations. The defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
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Spokane Area Cardiologist, Dr. Romeo Pavlic, to Pay $300,000 Resolving Alleged False Health Care ClaimsRead the Press Release
Spokane, WA – Today, the United States Attorney’s Office (USAO) for the Eastern District of Washington announced a settlement agreement with Dr. Romeo Pavlic and various companies he owns. The settlement resolves allegations that for years Dr. Pavlic, a Spokane-area cardiologist, falsely billed Medicare and Medicaid by repeatedly and falsely claiming to have provided services and tests to vulnerable patients when in fact he had not.
The settlement agreement, which was entered into with both the United States as well as the State of Washington, calls for Dr. Pavlic to pay a total of $300,000 within 5 days- $279,190 to the United States and $20,810.00 to the State of Washington for its portion of the Medicaid payments that Dr. Pavlic allegedly took through his knowingly false billing.
According to the settlement agreement, between January 1, 2010, and December 31, 2013, Dr. Pavlic was ostensibly providing medical services and tests to the vulnerable adult residents of Lakeland Village in Medical Lake. Lakeland Village is a State operated facility that provides training, education, and healthcare for about 250 individuals with developmental disabilities. People who receive services at Lakeland Village have profound physical and mental disabilities.
The United States alleges that Dr. Pavlic would conduct “cardiac clinics” at Lakeland Village approximately once per month. These “cardiac clinics” would run two to three hours, during which time Dr. Pavlic would see approximately 20-35 residents, scheduled at five to ten minute intervals; at times seeing as many as 40-55 residents, according to allegations.
It was during those “cardiac clinics” that Dr. Pavlic allegedly billed for services not provided and tests not conducted. Specifically, Dr. Pavlic would routinely bill Medicare and Medicaid for a longer and more detailed patient evaluation than he actually provided, according to the allegations in the settlement agreement. In addition, Dr. Pavlic would routinely bill Medicare and Medicaid for a complete echocardiogram when in fact he was only providing a limited echocardiogram, according to the allegations in the settlement agreement. The United States also alleges that, at least as to providing supposedly full echocardiograms Dr. Pavlic was warned in writing in December of 2012 that while other cardiologists in his area billed for full echocardiograms on approximately 12% of their Medicare/Medicaid patients, Dr. Pavlic was claiming to have done so on over 90% of his Medicare/Medicaid patients. Despite this clear warning that his billing practices were suspect, Dr. Pavlic continued to bill for the full tests which were not provided, according to the United States’ allegations.
Joseph H. Harrington, Acting United States Attorney for the Eastern District of Washington, said: “This settlement agreement resolves some very serious allegations very favorably for the tax payers.” Harrington went on to state that, “doctors, especially those providing services to our most vulnerable citizens, must not violate their duty to the tax payers who are funding those needed services. If doctors do violate that duty they can expect, at a minimum, to pay back the tax payers much more than they took.”
“When doctors exploit vulnerable patients and bill for procedures that were never performed, they violate the basic trust that patients and taxpayers extend to healthcare providers,” said Special Agent in Charge Steven J. Ryan of the U.S. Department of Health and Human Services Office of Inspector General. “We will continue to aggressively pursue those who engage in health care fraud.”
This case was investigated by the United States Attorney’s Office’s Health Care Fraud Investigator, the Office of Inspector General for the U.S. Department of Health and Human Services, and the Medicaid Fraud Control Unit of the Washington Office of the Attorney General.
A copy of the settlement agreement is attached.
South Korean Businessman Convicted on Fraud Charges in Scheme to Deceive U.S. Municipalities out of Federal Stimulus FundsRead the Press Release
CHICAGO — A jury has convicted a South Korean businessman on multiple fraud charges for deceiving U.S. municipalities into spending federal stimulus money on his company’s foreign-made products.
HEON SEOK LEE, Chief Executive Officer and President of KTURBO and KTURBO USA, secured contracts to supply numerous municipalities across the United States with wastewater-treatment aeration blowers that Lee falsely represented had been manufactured in the United States. The false representations entitled Lee’s companies to win contracts funded through the stimulus package that the federal government provided to municipalities under the American Recovery and Reinvestment Act of 2009. In reality, Lee knew that KTURBO fully assembled its aeration blowers in South Korea and shipped them in final form to the United States, with the intention of obtaining in excess of $1.3 million from the fraudulently obtained contracts.
After an eight-day trial in federal court in Chicago, the jury on Wednesday found Lee, 50, of Seoul, South Korea, guilty of five counts of wire fraud and three counts of fraudulent importation of goods into the United States. Each count is punishable by up to 20 years in prison.
U.S. District Judge Sharon Johnson Coleman has not yet scheduled sentencing.
The conviction was announced by Joel R. Levin, Acting United States Attorney for the Northern District of Illinois; James M. Gibbons, Special Agent-in-Charge of the Chicago Office of the U.S. Immigration and Customs Enforcement’s Homeland Security Investigations; and Joseph Gonzales, Special Agent-in-Charge of the U.S. Environmental Protection Agency Office of Inspector General. The U.S. Department of Health and Human Services Office of Inspector General also provided assistance.
Congress passed ARRA to combat the Great Recession of 2008. Billions of dollars in stimulus funds went into the U.S. economy, including funds provided to municipalities and other local governments for the construction and renovation of wastewater treatment facilities. In order to receive ARRA funding, municipalities had their general contractors and engineering firms confirm that the contractors, subcontractors and vendors provided manufactured goods that complied with the “Buy American” provision in ARRA, which required that manufactured goods be “substantially transformed” in the United States.
Evidence at trial revealed that South Korea-based KTURBO, under Lee’s leadership and direction, in 2010 placed phony placards on its equipment stating that it was “Assembled in USA.” The fully assembled equipment – with placards – was then shipped from South Korea to the United States, for distribution to several municipalities across the country.
Law enforcement in 2011 searched KTURBO’s local facility in suburban Batavia, seizing blowers that had been fully manufactured in South Korea, as well as other relevant evidence. Lee was extradited to the United States in 2015.
The government is represented by Assistant U.S. Attorneys Patrick Otlewski and Megan Cunniff Church.
Slidell Woman Pleads Guilty to Possessing Precursor Chemicals Used to Manufacture MethamphetamineRead the Press Release
Acting U.S. Attorney Duane A. Evans announced that CRYSTAL LANGDON, age 35, of Slidell, pled guilty today to buying cold medications with the knowledge that they would be used to manufacture methamphetamine.
According to court documents, LANGDON was engaged in “smurfing,” which involves various individuals going to the same or nearby stores and each making individual purchases of cold medication, which are then grouped together in order to make a batch of methamphetamine. This “smurfing” activity is in response to laws that have been passed in order to combat the domestic production of methamphetamine by restricting the sale of over-the-counter cold medications. These medications often contain pseudoephedrine, which is a precursor chemical that can be processed to create methamphetamine. LANGDON admitted to participating in this “smurfing” activity from May through June of 2015 and to buying over the counter cold medication that she gave to another individual so that he could use it to produce methamphetamine at a house on Swan Street in Slidell.
LANGDON faces a maximum term of imprisonment of four years, a fine of up to $25,000, and 3 years of supervised release following any term of imprisonment. U.S. District Judge Jane Triche Milazzo set sentencing for June 15, 2017.
Acting U.S. Attorney Evans praised the work of the Department of Homeland Security, Homeland Security Investigations and the St. Tammany Parish Sheriff’s Office in investigating this matter. Assistant United States Attorney David Haller is in charge of the prosecution.
Six Robeson County Men Face Narcotics ChargesRead the Press Release
WILMINGTON – The United States Attorney’s Office for the Eastern District of North Carolina announces that six (6) Robeson County men were arrested today in a coordinated law enforcement operation for allegedly engaging in selling narcotics in the Robeson County area.
The following individuals were charged by way of Criminal Complaint:
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Mitchell Locklear, 54 of Maxton, NC
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Torrey Locklear, 37 of Maxton, NC
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Christopher Locklear, 34 of Maxton, NC
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Timmy Lloyd Hunt, 42 of Maxton, NC
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Kevin Clark, 30 of Rowland, NC
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Kevin Dwayne Revels, 35 of Maxton, NC
Mitchell Locklear, Christopher Locklear, and Timmy Lloyd Hunt were charged with conspiracy to distribute and possess with the intent to distribute marijuana and cocaine. Torrey Locklear and Kevin Clark were charged with conspiracy to distribute and possess with the intent to distribute marijuana, cocaine, and oxycodone. Kevin Revels was charged with conspiracy to distribute and possess with the intent to distribute marijuana and cocaine and with possession of firearms by a felon.
In the process of serving the Criminal Complaints, sixty-eight (68) firearms were seized.
The case is being investigated by the Federal Bureau of Investigation (FBI), the Drug Enforcement Administration (DEA), the Bureau of Alcohol, Tobacco, Firearms & Explosives (ATF), the Internal Revenue Service (IRS), and Immigration and Custom Enforcement’s Homeland Security Investigations (HSI). Additional assistance was provided by the Robeson County Sheriff’s Office, the North Carolina State Highway Patrol, the North Carolina State Bureau of Investigation, the North Carolina National Guard, and the United States Department of Agriculture. Assistant United States Attorney Lawrence J. Cameron is prosecuting the case for the government.
The charges and allegations contained in the Criminal Complaints are merely accusations. The defendants are considered innocent unless and until proven guilty in a court of law.
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Six Members and Associates of the Hells Angels Charged in White Plains Federal Court with Racketeering, Narcotics, and Money Laundering OffensesRead the Press Release
Joon H. Kim, the Acting United States Attorney for the Southern District of New York, and William F. Sweeney Jr., Assistant Director-in-Charge of the New York Division of the Federal Bureau of Investigation (“FBI’), announced the unsealing of an Indictment charging six members and associates of the Hells Angels with various racketeering, narcotics, and money laundering offenses, including the assault of a rival gang member with a hammer.
THOMAS SCHMIDT, JOSEPH KAPLAN, JOHN CALVACCHIO, JEFF AMATO, and GARY PAGANELLI were taken into federal custody this morning and were presented before United States Magistrate Judge Judith C. McCarthy. MICHAEL PICCIONE was taken into federal custody this morning near Los Angeles, California, and will be presented later today before a magistrate judge in the Central District of California. The case has been assigned to U.S. District Judge Cathy Seibel.
Acting U.S. Attorney Joon H. Kim said: “As alleged, through the sale of cocaine, oxycodone, and marijuana and their violent conflict with rival gangs, members of the New Roc Hells Angels wreaked havoc on the streets of Westchester, Putnam, and Dutchess counties. Together with our law enforcement partners, we are determined to combat gang and drug violence throughout the Southern District of New York.”
FBI Assistant Director William F. Sweeney Jr. said: “Violent gangs such as the Hells Angels often use violence and intimidation as a means to establish themselves or protect their ‘turf.’ In this case they allegedly used those tactics by attacking a rival gang member with a hammer in the middle of a restaurant and placing innocent people in danger. Regardless of the name these men operate under, the FBI Westchester Safe Streets Gang Task Force works daily to remove these alleged violent members of our society and to create a safer community for everyone.”
As alleged in the Indictment unsealed today in White Plains federal court[1] and in court proceedings:
The New Roc Hells Angels were a criminal enterprise that operated principally in and around Westchester, Putnam, and Dutchess counties, from at least 2008 up to and including August 2014. The New Roc Hells Angels’ objectives included narcotics trafficking, extortion, money laundering, contraband cigarettes, prostitution, and altered motor vehicle parts.
Members and associates of the New Roc Hells Angels engaged in acts of violence against rival gang members. One of these acts was a December 2012 gang assault committed against a rival motorcycle gang – the Diablos – where members and associates of the New Roc Hells Angels beat a member of the Diablos on the head with a hammer at a restaurant in Poughkeepsie, New York, while innocent bystanders were dining. This violent act was to retaliate against the Diablos, who had encroached on the territory controlled by the New Roc Hells Angels, and otherwise to promote the standing and reputation of the New Roc Hells Angels among rival gangs.
Count One of the Indictment charges THOMAS SCHMIDT, the former Vice-President of the New Roc Hells Angels, with participating in a racketeering conspiracy.
Count Two charges SCHMIDT and JOSEPH KAPLAN with assault in aid of racketeering activity in connection with the December 2012 assault of a member of a rival gang.
Count Three charges SCHMIDT, MICHALE PICCIONE, JOHN CALVACCHIO, JEFF AMATO, and GARY PAGANELLI with participating in a narcotics conspiracy, in connection with the distribution of cocaine, oxycodone, and marijuana.
Count Four charges SCHMIDT and PICCIONE with conspiracy to commit money laundering.
Count Five charges PAGANELLI with possessing with intent to distribute and distributing cocaine.
Count Six charges AMATO with possessing with intent to distribute and distributing methamphetamine.
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Charts containing the names, ages, residences, charges, and maximum penalties for the defendants are set forth below. The maximum potential sentences in this case are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendants will be determined by the judge.
Mr. Kim praised the outstanding investigative work of the FBI.
This case is being handled by the Office’s White Plains Division. Assistant United States Attorney John P. Collins Jr. is in charge of the prosecution.
The charges contained in the Indictment are merely accusations, and the defendants are presumed innocent unless and until proven guilty.
COUNT
CHARGE
DEFENDANTS
MAX. PENALTIES
1
Racketeering conspiracy
18 U.S.C. § 1962(d)
THOMAS SCHMIDT
Life in prison
Mandatory minimum of 10 years in prison
2
Assault in aid of racketeering activity
18 U.S.C. §§ 1959(a)(3)
THOMAS SCHMIDT
JOSEPH KAPLAN
20 years in prison
3
Narcotics conspiracy
21 U.S.C. § 846
THOMAS SCHMIDT
MICHAEL PICCIONE
JOHN CALVACCHIO
JEFF AMATO
GARY PAGANELLI
Life in prison
Mandatory minimum of 10 years in prison
4
Money Laundering
Conspiracy
18 U.S.C. § 1956(h)
THOMAS SCHMIDT
MICHAEL PICCIONE
20 years in prison
5
Possessing with Intent to Distribute and Distributing Cocaine
21 U.S.C. § 841(a)(1) & (b)(1)(C)
GARY PAGANELLI
20 years in prison
6
Possessing with Intent to Distribute and Distributing Methamphetamine
21 U.S.C. § 841(a)(1) & (b)(1)(C)
JEFF AMATO
20 years in prison
DEFENDANT
AGE
RESIDENCE
THOMAS SCHMIDT
52
Staten Island, NY
JOSEPH KAPLAN
30
Valhalla, NY
MICHAEL PICCIONE
33
Arieta, CA
JOHN CALVACCHIO, a/k/a “Uncle”
53
Kent, NY
JEFF AMATO
50
Mamaroneck, NY
GARY PAGANELLI
47
Cortlandt Manor, NY
[1] As the introductory phrase signifies, the entirety of the text of the Indictment, and the description of the Indictment set forth herein, constitute only allegations, and every fact described should be treated as an allegation.
Sentencings for March 10 - March 15, 2017Read the Press Release
Jose Esteban Ramirez-Hernandez, 38, of Mexico, was sentenced by Federal District Court Judge Alan B. Johnson on March 15, 2017, for illegal re-entry of a previously deported alien into the United States. Ramirez-Hernandez was arrested in Gillette, Wyoming. He received time served plus 10 days, was ordered to pay a $100.00 special assessment, and is subject to deportation upon release from custody. This case was investigated by the U.S. Department of Homeland Security, Immigration and Customs Enforcement.
Rene Mendez-Mendez, 37, of Mexico, was sentenced by Federal District Court Judge Alan B. Johnson on March 15, 2017, for illegal re-entry of a previously deported alien into the United States. Mendez-Mendez was arrested in Jackson, Wyoming. He received time served plus 10 days, was ordered to pay a $100.00 special assessment, and is subject to deportation upon release from custody. This case was investigated by the U.S. Department of Homeland Security, Immigration and Customs Enforcement.
Chad Cullen Porter, a/k/a Nick Stevens, 46, of Anderson, North Carolina, was sentenced by Federal District Court Judge Alan B. Johnson on March 14, 2017, for wire fraud. Porter was arrested in Cheyenne, Wyoming. He received six months of imprisonment, to be followed by three years of supervised release, and was ordered to pay $32,000.00 in restitution and a $100.00 special assessment. This case was investigated by the Cheyenne Police Department.
Robert Martin Butler, 43, of Bath, Illinois, was sentenced by Federal District Court Judge Alan B. Johnson on March 10, 2017, for conspiracy to distribute less than 50 grams of methamphetamine. Butler received 63 months and 19 days of imprisonment, to be followed by three years supervised release, and was ordered to pay a $100.00 special. This case was investigated by the Cheyenne Police Department.
Hector Reza-Colmenero, 22, of Albin, Wyoming, was sentenced by Federal District Court Judge Alan B. Johnson on March 10, 2017, for unlawful user of a controlled substance and unlawful alien in possession of a firearm. Reza-Colmenero was arrested in Cheyenne, Wyoming. He received 21 months of imprisonment, was ordered to pay a $100.00 special assessment, and is subject to deportation upon release from custody. This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives.
Salem Man Pleads Guilty to Heroin Distribution Charge Related to OverdoseRead the Press Release
Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that LEE HENRICI, 32, of Salem, waived his right to be indicted and pleaded guilty today before U.S. Magistrate Judge Sarah A. L. Merriam in New Haven to one count of possession with intent to distribute, and distribution of, 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 June 22, 2016, Mashantucket Pequot Tribal Police and emergency medical personnel responded to a hotel room at the Foxwoods Resort on the report of a drug overdose involving a female victim. The victim was transported to the hospital and survived. The victim’s boyfriend, who was present in the room, informed officers that the victim used heroin just prior to collapsing on the floor and losing consciousness. Officers seized opened and unopened wax packets of suspected heroin, and a hypodermic needle, from the scene.
The investigation, which included witness statements and analysis of surveillance video and text messages from the victim’s cell phone, revealed that HENRICI drove to the hotel in the morning of June 22, picked up money from the victim, drove to Hartford to purchase heroin from his source, returned to the hotel and delivered heroin to the victim.
HENRICI was arrested on a federal criminal complaint on August 17, 2016.
HENRICI is scheduled to be sentenced by Chief U.S. District Judge Janet C. Hall on June 28, 2017, at which time he faces a maximum term of imprisonment of 20 years. He is released on a $50,000 bond.
This matter is being investigated by the Drug Enforcement Administration’s Tactical Diversion Squad and the Mashantucket Pequot Tribal Police Department. The Tactical Diversion Squad includes participants from the New Haven, Hamden, Greenwich, Shelton, Bristol, Vernon, Wilton, Milford, Monroe, Fairfield and Manchester Police Departments, and the Connecticut State Police.
The case is being prosecuted by Assistant U.S. Attorney Douglas P. Morabito.
Sacramento Woman Sentenced to 5 Years and 11 Months in Prison for Bank Fraud, ID Theft and Possession of Stolen MailRead the Press Release
SACRAMENTO, Calif. — In three separate Sacramento area cases involving the theft of mail for the purpose of committing identity theft, one defendant was sentenced and three pleaded guilty today, U.S. Attorney Phillip A. Talbert announced.
San Francisco Division Inspector in Charge Rafael Nunez of the U.S. Postal Inspection Service stated: “Postal Inspectors worked closely with the U.S. Attorney’s Office and our partners in law enforcement to arrest and prosecute those individuals responsible for thefts of mail and Identity theft crimes committed against the public.”
2:16-cr-045 MCE
U.S. District Judge Morrison C. England Jr. sentenced Michele Reyes Serrano, 35, of Sacramento, to five years and 11 months in prison for bank fraud and attempted bank fraud, aggravated identity theft, and possession of stolen U.S. mail. According to court documents, between June 1, 2015, and January 21, 2016, Serrano and her husband, co-defendant Raleigh Figueras, 35, obtained personal and financial information from stolen U.S. mail and used the stolen bank account numbers, credit cards, and checks to get money, goods, and services at the expense of the banks. Surveillance cameras caught the defendants cashing checks or making purchases at Sacramento-area Target and Wal‑Mart stores.
On January 21, 2016, agents found in the defendants’ residence stolen mail and stolen and counterfeit identification documents with the true identification information of a victim. Serrano admitted to stealing U.S. mail on a regular basis. Figueras pleaded guilty on February 9, 2017, and is scheduled to be sentenced on July 13, 2017.
2:17-cr-037 TLN
Orangevale residents Patricia Ann Anchondo, 38, and Angel Marie Galvin, 27, pleaded guilty today to bank fraud, aggravated identity theft, and possession of stolen U.S. mail. Anchondo additionally pleaded guilty to possession with intent to distribute methamphetamine. Anchondo is scheduled to be sentenced May 25, 2017, and Galvin is scheduled to be sentenced on May 18, 2017.
According to court documents, between March 23, 2016, and November 17, 2016, Anchondo and Galvin stole mail and used the personal and financial information of the mail theft victims to open credit card accounts and to take over existing bank accounts owned by the victims. When a search was conducted at the defendants’ residence, law enforcement agents found stolen U.S. mail, profiles of victims’ information, bank records for a church, and numerous identification documents of a victim. The defendants confessed that they stole mail from the church and used the church’s bank account number to make payments to other victim credit cards to keep the cards’ associated lines of credit active for further unauthorized transactions.
Galvin admitted she drove to various counties and stole U.S. mail in order to take over mail theft victims’ identities. Anchondo and Galvin each stated that they would apply for bank accounts and credit cards online to go shopping and to buy gift cards, which the two would then sell online. Anchondo additionally confessed to law enforcement that she possessed methamphetamine, and evidence found in her home and on her phone indicated that she also sold the drug.
2:17-cr-035 MCE, 2:16-cr-147 MCE
Shellby Moore, 29, of Sacramento, pleaded guilty today to aggravated identity theft and possession of methamphetamine. According to court documents, Moore and co-defendant Trevor Lichnock-Gembe, 28, of Sacramento, obtained stolen mail and used the personal information of victims to open checking and savings accounts and to obtain debit cards. After opening the accounts, the defendants used them to deposit stolen, counterfeit, and altered checks. Surveillance cameras at various locations showed the defendants opening accounts and making phony deposits at banks, making purchases with the fraudulent debit cards, and breaking into mail boxes at apartment complexes.
On April 20, 2016, law enforcement agents conducted a probation search where Moore lived with Lichnock-Gembe. Inside the residence, officers seized stolen property, stolen credit and debit cards, stolen identifications, passports, and stolen U.S. mail. Moore pleaded guilty to possessing methamphetamine on March 1, 2017, while housed as a federal inmate in the Nevada County Jail. Lichnock-Gembe has pleaded guilty to bank fraud, aggravated identity theft, and unlawful possession of five or more identification documents and is scheduled to be sentenced on April 6, 2017. Moore is scheduled to be sentenced on June 8, 2017.
These cases are the product of investigations by the United States Postal Inspection Service with assistance from the Sacramento County Probation Department, the Sacramento County Sheriff’s Office, and the Placer County Sheriff’s Office. The Postal Inspection Service conducted these investigations with assistance of its Narcotic and Economic Crimes Investigations Task Force (NECI). NECI is a partnership between local and federal law enforcement to combat theft and unlawful use of the U.S. Mail. The Placer County District Attorney’s Office and Sutter County Sheriff’s Office have each dedicated law enforcement personnel to the task force.
Assistant U.S. Attorney Michelle Rodriguez prosecuted each of these cases.
The statutory maximum penalties are 30 years in prison and a $1 million fine for bank fraud; two years in prison consecutive to any other sentence and a $250,000 fine for aggravated identity. theft; five years in prison and a $250,000 fine for possession of stolen U.S. mail, five to 40 years in prison and a $2 million fine for possession of methamphetamine with intent to distribute, and one year in prison and a $100,000 fine for possession of methamphetamine. The actual sentences, 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.