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17 February 2017
Polish Man Sentenced for Illegal Re-Entry into United StatesRead the Press Release
ALBANY, NEW YORK – Grzegorz Baczewski, age 31, of Ridgewood, New York, was sentenced today to time served (20 days in jail) for illegally re-entering the United States.
The announcement was made by United States Attorney Richard S. Hartunian and Thomas P. Brophy, Acting Field Officer Director of the Buffalo Field Office of Immigration and Customs Enforcement (ICE), Enforcement and Removal Operations (ERO).
As part of his guilty plea, Baczewski admitted that he returned to the United States after he was removed to Poland on September 18, 2013.
Following his sentencing, Baczewski was remanded to the custody of the Department of Homeland Security, which will place Baczewski into removal proceedings.
This case was investigated by ICE-ERO and prosecuted by Assistant United States Attorney Edward P. Grogan.
Niagara Falls Man Pleads Guilty to Drug and Gun ChargesRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051
BUFFALO, N.Y. - Acting U.S. Attorney James P. Kennedy, Jr. announced today that Philip Vincent, 39, of Niagara Falls, NY, pleaded guilty to possession with intent to distribute crack cocaine, and possession of a weapon in furtherance of drug trafficking before Chief U.S. District Judge Frank P. Geraci. Jr. The charges carry a mandatory minimum penalty of five years in prison, a maximum of life, and a $1,000,000 fine.
Assistant U.S. Attorneys Brendan T. Cullinane and George C. Burgasser, who are handling the case, stated that on December 2, 2014, the U.S. Marshals Violent Felony Fugitive Task Force encountered the defendant at his residence in Niagara Falls while looking for a fugitive. Officers searched Vincent’s 20th Street residence and discovered a .38 caliber revolver along with marijuana plants and crack cocaine.
The plea is the result of an investigation by the Bureau of Alcohol, Tobacco, Firearms and Explosives, under the direction of Special Agent-in-Charge Ashan Benedict, New York Field Division, the U.S. Marshals Service, under the direction of Marshal Charles Salina, and the Niagara Falls Police Department, under the direction of Chief Bryan DalPorto.
Sentencing is scheduled for May 11, 2017, at 11:00 a.m. before Judge Geraci.
New Orleans Man Charged with Possession of Stolen FirearmRead the Press Release
U.S. Attorney Kenneth A. Polite announced that TREVOIR JACKSON, age 36, of New Orleans, was charged on February 9, 2017, in a two-count Indictment with being a felon in possession of a firearm, in violation of 18 U.S.C. § 922(g)(1), and possession of a stolen firearm, in violation of 18 U.S.C. § 922(j).
According to the indictment, JACKSON possessed a .45 caliber semi-automatic handgun that had previously been reported stolen. If convicted, JACKSON faces a maximum term of imprisonment of ten years, a maximum fine of $250,000, a maximum term of supervised release of three years, and a mandatory $100 special assessment.
U.S. Attorney Polite reiterated that an Indictment is merely a charge and that the guilt of the defendant must be proven beyond a reasonable doubt.
U.S. Attorney Polite praised the work of the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Jefferson Parish Sheriff’s Office in investigating this matter. Special Assistant U.S. Attorney J. Ryan McLaren and Assistant U.S. Attorney Nolan D. Paige are in charge of the prosecution.
Navajo Man from Arizona Sentenced to Prison for Federal Assault Conviction in New MexicoRead the Press Release
ALBUQUERQUE – Brandon Lee Walker, 22, an enrolled member of the Navajo Nation who resides in Sanders, Ariz., was sentenced today in federal court in Albuquerque, N.M., to 30 months in prison for his assault conviction. Walker will be on supervised release for two years after completing his prison sentence.
Walker was arrested on July 22, 2015, on a criminal complaint charging him with committing an assault, which resulted in serious bodily injury, on the Navajo Indian Reservation in McKinley County, N.M. Court documents indicate that on June 7, 2015, Walker was involved in a high speed car chase that resulted in a crash which seriously injured a passenger in his vehicle. The victim was airlifted from the scene of the collision to University of New Mexico Hospital for injuries to her sternum and arm, which required surgical treatment.
Walker subsequently was indicted on Aug. 11, 2015, and charged with assault resulting in serious bodily injury. During a change of plea hearing on Dec. 22, 2015, Walker pled guilty to the indictment without the benefit of a plea agreement.
This case was investigated by the Crownpoint office of the Navajo Nation Department of Public Safety, the Zuni Tribal Police Department, the McKinley County Sheriff’s Office and the New Mexico State Police. Assistant U.S. Attorney Elaine Ramirez prosecuted the case.
Nashville Man Faces Federal Charges for Sending Threats Targeting Law Enforcement OfficersRead the Press Release
Robert Ellis Waddey, 22, of Nashville, Tenn., was indicted Wednesday by a federal grand jury and charged with communicating a threat by interstate commerce and with being an unlawful user of a controlled substance in possession of firearms, announced Jack Smith, Acting U.S. Attorney for the administration of this case.
According to the indictment, in September 2015, Waddey posted a photograph on Instagram which depicted a handgun pointed at a Tennessee State Trooper vehicle. The posting was captioned, “F*** them non attentive hoes” and a comment read, “Gona die lookin at his computer.”
The indictment alleges that photographs found on Waddey’s phone depicted a uniformed police officer bleeding heavily from the head and captioned “only a dead cop is a good cop.” Another photograph depicts a uniformed police officer who appears to have been shot multiple times in the back and laying in the street, while yet another photograph depicts a screen shot of a video showing another uniformed police officer who appears to have been shot and laying on the ground bleeding. This photo is captioned, “ON TAPE: OFFICER SHOT IN THE HEAD D….”
The indictment further alleges that Waddey sent a video of himself to another individual, which shows him shooting a high-capacity assault rifle in varying positions, as if he were training for combat and a subsequent text that read, “Police won’t even know what to think lolololololololol.” Another photograph shows Waddey sitting in his vehicle at a traffic light in South Nashville with a Glock pistol in his hand, positioned in such a way where the pistol would be viewed in the same frame as a police car on a traffic stop in the distance with the blue lights activated. A comment posted with the photograph contained a slang threat to law enforcement.
The indictment also alleges that various text messages sent by Waddey conveyed threats toward law enforcement and indicate the pleasure he took in the number of targeted cop killings. In one text message, Waddey discusses getting high on “coke” or “molly” and his desire to go “mutder” cops.
Count two of the indictment alleges that Waddey is an unlawful user of a controlled substance and illegally in possession of 18 firearms, including 13 handguns, four assault rifles and a shotgun.
If convicted, Waddey faces up to 5 years in prison for sending threatening communications and up to 10 years in prison for illegally possessing firearms and up to a $250,000 fine on each charge.
This case was investigated by the FBI; the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Metropolitan Nashville Police Department. Assistant U. S. Attorney Courtney Coker is prosecuting the case.
Muscatine Man Sentenced to 130 Months in Prison for Felon in Possession of AmmunitionRead the Press Release
Davenport, IA - On February 16, 2017, Gregory Wayne Wieskampheather Jean Reekr, age 43, of Muscatine, Iowa, was sentenced by Senior United States District Court Judge James E. Gritzner to 130 months in prison for felon in possession of ammunition, announced United States Attorney Kevin E. VanderSchel. Wieskamp was ordered to serve a three-year term of supervised release following his release.
On February 23, 2015, officers were notified of a burglary in Bennett, Iowa, Cedar County; a large gun safe containing approximately 15 firearms and ammunition were reported stolen, among other items. It was discovered that Wieskamp and a co-defendant drove a vehicle with the stolen gun safe to a residence in Moscow, Iowa, where the gun safe was cut open and the guns were divided among the participants, including Wieskamp. On March 3, 2015, officers conducted a search warrant at Wieskamp’s residence and seized a gun clip containing ammunition and a large television that were taken from the Bennett burglary. Wieskamp has a prior felony conviction for burglary third degree in 1995.
This matter was investigated by the Muscatine Police Department, Muscatine County Sheriff’s Department, Muscatine Drug Task Force, Wilton Police Department, Cedar County Sheriff’s Department, Iowa Division of Narcotics Enforcement, Scott County Sheriff’s Department, Whiteside County Sheriff’s Department, and the Bureau of Alcohol, Tobacco, Firearms and Explosives. The case was prosecuted by the United States Attorney’s Office for the Southern District of Iowa as part of the Project Safe Neighborhood initiative.
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Learn more about this release by contacting Rachel J. Scherle at 515-473-9300, or by emailing her at [email protected]
Missouri Brothers Sentenced to Combined 16 Years in Prison for Burlary of Federal Firearms LicenseeRead the Press Release
Fayetteville, Arkansas – Kenneth Elser, United States Attorney for the Western District of Arkansas, announced that Jeremy Rusher, age 39 of Seligman, Missouri and Cory Rusher, age 29 of Jane, Missouri, were sentenced on one count each of Aiding and Abetting the Theft of Firearms from a Federal Firearms Licensee. Jeremy Rusher was sentenced to120 months in federal prison, three years of supervised release and ordered to pay $2,650 fine. Cory Rusher was sentenced to 78 months in federal prison, three years of supervised release and ordered to pay a $2,650 fine. The defendants were ordered to pay $1,250 restitution jointly and severally. The Honorable Timothy L. Brooks presided over the sentencing hearings in the United States District Court in Fayetteville.
According to court records, on July 11, 2016, officers with the Pea Ridge Police Department responded to a reported burglary of a business that is a registered Federal Firearms Licensee. The manager of the business was able to provide surveillance of the break-in to officers who were able to get a clear description of Cory Rusher taking five firearms from the business. The surveillance footage from earlier in the day showed Cory Rusher, Jeremy Rusher and a female walking around and looking in the store for an extended period of time. They pawned an item while in the store, and Cory was seen wearing the same shirt he was wearing during the burglary. On July 13, investigators located Jeremy Rusher inside of a trailer and made contact with him. Officers observed two firearms inside the trailer that matched the description of and were later confirmed to be two of the firearms stolen in the burglary. After being advised of and waiving his Miranda rights, Jeremy Rusher admitted to knowing about the stolen guns. Multiple witnesses, including Cory Rusher confirmed his assistance during the burglary. Cory was also located, and after being advised of and waiving his Miranda rights, admitted to being involved in the burglary and assisted officers in locating the remainder of the stolen guns.
Jeremy and Cory Rusher were each named in a federal indictment in August, 2016, and each pleaded guilty in October, 2016.
This is another case prosecuted as a part of the Department of Justice’s Project Safe Neighborhoods Initiative, which is aimed at reducing gun and gang violence, deterring illegal possession of firearms and improving the safety of residents in the Western District of Arkansas. Participants in the initiative include federal, state and local law enforcement agencies.
This case was investigated by Alcohol, Tobacco, Firearms and Explosives, Pea Ridge Police Department, United States Marshal Service, and the Joplin, Missouri SWAT Team. Assistant United States Attorney’s David Harris and Denis Dean prosecuted the case for the United States.
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Related court documents may be found on the Public Access to Electronic Records website @ www.pacer.gov
Mexican Man Charged with Illegal ReentryRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051
BUFFALO, N.Y.- Acting U.S. Attorney James P. Kennedy, Jr. announced today that Armando Navarrete-Dominguez, 29, of Mexico, was arrested and charged by criminal complaint with illegally reentering the United States after a conviction for an aggravated felony. The charge carries a maximum penalty of 20 years in prison and a $250,000 fine.
Assistant U.S. Attorney Stephanie Lamarque, who is handling the case, stated that according to the complaint, on February 15, 2017, the defendant was taken into custody after a vehicle and traffic stop on Grand Island, NY. The complaint further states that when questioned by a Border Patrol Agent, Dominguez admitted that he is a citizen of Mexico and is illegally present in the United States.
Record checks revealed that the defendant was previously convicted in North Carolina of sexual exploitation of a minor and breaking and entering. Further, Dominguez was deported and removed from the United States to Mexico in 2009 after his convictions in North Carolina.
Dominguez made an initial appearance today before U.S. Magistrate Judge Michael J. Roemer and is being held pending a detention hearing scheduled for February 22, 2017.
The criminal complaint is the result of an investigation by U.S. Border Patrol, under the direction of Patrol Agent-in-Charge Steven Oldman.
The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
Member of the Pagans Outlaw Motorcycle Club Sentenced to 20 Years in Prison for Prescription Pill MillRead the Press Release
PHILADELPHIA – Today, a federal judge sentenced Patrick Treacy, a/k/a “Redneck” to 20 years in prison for his role in a prescription pill mill that trafficked oxycodone and other dangerous and addictive opioids. Treacy was also ordered to serve a concurrent sentence of 10 years in prions for illegally possessing a firearm charged separately. In addition, the Honorable Nitza I. Quiñones Alejandro, United States District Judge, ordered the defendant to serve three years of supervised release upon release from prison, and pay a special assessment of $200, as well as entering a judgment of forfeiture.
On July 14, 2015, a grand jury in Philadelphia charged Treacy, along William O’Brien, a former doctor of osteopathic medicine, and eight codefendants with conspiring to distribute controlled substances. Treacy was a member of the Pagans Motorcycle Club (“Pagans”), an outlaw biker gang known for violence and drug dealing. O’Brien worked together with the Pagans and their associates, to operate a “pill mill” out of his medical offices. O’Brien wrote fraudulent prescriptions for oxycodone and other drugs, while the Pagans and their associates recruited “pseudo-patients” to buy the fraudulent prescriptions. O’Brien charged $250 cash for the first appointment to obtain prescriptions for controlled substances and $200 cash for each subsequent visit. Oxycodone (30 mg) was in high demand by drug dealers who could sell each pill on the street for $25 to $30. O’Brien sold prescriptions for these dangerous and addictive drugs to hundreds of “pseudo-patients.” After filling the prescriptions, the Pagans and their associates resold the pills on the street. The investigation showed that from March 2012 to January 2015, more than 700,000 pills containing oxycodone and other Schedule II controlled substances were distributed by members of the conspiracy.
On October 5, 2016, O’Brien, who was convicted by a jury in summer 2016, was sentenced to 30 years in prison. On October 16, 2016, codefendant Joseph Mitchell, another Pagans’ member, was sentenced to 9 nine years’ imprisonment. Other codefendants await sentencing.
The case was investigated by the Federal Bureau of Investigation, the Food and Drug Administration Office of Criminal Investigations, and the Department of Health and Human Services Office of the Inspector General. It is being prosecuted by Assistant United States Attorneys Mary Beth Leahy and David E. Troyer.
Managing Director of Investment Bank Sentenced to 3 Years in Prison for Insider TradingRead the Press Release
Preet Bharara, the United States Attorney for the Southern District of New York, announced that SEAN STEWART, a former managing director at an investment advisory firm headquartered in Manhattan, was sentenced today to 36 months in prison by U.S. District Judge Laura Taylor Swain for tipping his father and co-defendant Robert Stewart with inside information about five health care company mergers and acquisitions before they were publicly announced. SEAN STEWART was convicted after a jury trial that ended on August 17, 2016.
Manhattan U.S. Attorney Preet Bharara said: “As proven at trial, Sean Stewart used his position as an investment banker to feed confidential inside information about clients to his father so that he could profit illegally from well-timed trades. Despite his various efforts to cover-up his scheme, including claiming he did not recognize his own father’s name on a FINRA list of those who had traded in advance of an acquisition, Stewart has been held to account by a jury and sentenced to three years in federal prison. This case and today’s sentence is a victory for all who believe in a fair securities market.”
According to the allegations contained in the Indictment as well as the evidence presented during trial:
In early 2011, SEAN STEWART, who at the time held the position of Vice President in the Healthcare Investment Banking Group of a global bank headquartered in Manhattan (“Investment Bank A”), began tipping his father, Robert Stewart, with material nonpublic information about upcoming mergers and acquisitions, including with the names of the companies that were acquisition targets, both when the target was an Investment Bank A client and when the bank represented the acquirer, as well as with information that indicated the likely timing of an upcoming deal.
The first of these deals involved the acquisition of Kendle International Inc. by INC Research, LLC, which was announced publicly on May 4, 2011. SEAN STEWART worked on the deal, representing Kendle. Robert Stewart made about $7,900 in profits on purchases of Kendle stock executed in February and March of 2011. When questioned by the Securities and Exchange Commission about his Kendle trades in May 2013, Robert Stewart reported that he used the proceeds of those trades to pay expenses related to SEAN STEWART’s June 2011 wedding.
The second deal about which SEAN STEWART tipped Robert Stewart was the acquisition of Kinetic Concepts, Inc. (“KCI”) by Apax Partners, announced on July 13, 2011. Although Robert Stewart purchased some stock in KCI based on SEAN STEWART’s tip, he sold that stock before the acquisition was announced, around the same time that SEAN STEWART learned the Financial Industry Regulatory Authority (“FINRA”) was conducting an inquiry into Robert Stewart’s Kendle trading.
Also around this time, in the spring of 2011, Robert Stewart expressed a concern to co-conspirator Richard Cunniffe that Robert Stewart was “too close to the source” to be trading in KCI stock his own account, and asked Cunniffe to make purchases of KCI call options for Robert Stewart in Cunniffe’s brokerage account. Cunniffe agreed to do so, and also mirrored for his own benefit the KCI trades that Robert Stewart was directing.
In connection with the FINRA inquiry, FINRA prepared a list of persons and entities that had traded in advance of the Kendle deal. The list included Robert Stewart’s name. When Investment Bank A asked SEAN STEWART whether he knew anyone on the list, he initially denied recognizing the name of his father; later, when confronted by lawyers from Investment Bank A, SEAN STEWART acknowledged that his father was on the list but told a series of lies designed to make it seem as if Robert Stewart had independently decided to invest in Kendle. SEAN STEWART told these lies one day after meeting with his father to apprise his father of the FINRA inquiry and to get their stories straight.
When the KCI/Apax Partners deal was announced, Robert Stewart and Cunniffe reaped profits totaling approximately $107,790. At around this time, Robert Stewart told Cunniffe that the source of the KCI tip and the earlier Kendle tip had been Robert’s son. Later, around the spring of 2012, Robert Stewart clarified for Cunniffe that the son in question was SEAN STEWART, who worked on the “sell side” on Wall Street.
In October 2011, SEAN STEWART left Investment Bank A. A few months later, he joined an investment banking advisory firm headquartered in Manhattan (“Investment Bank B”) as a managing director.
During SEAN STEWART’s tenure with Investment Bank B, based on tips concerning nonpublic acquisition-related information supplied by SEAN STEWART, Robert Stewart had Cunniffe conduct options trading in advance of the public announcements of three more deals: (1) the acquisition of Gen-Probe Inc. by Hologic, Inc., announced on April 30, 2012; (2) the acquisition, by tender offer, of Lincare Holdings Inc. by Linde AG, announced on July 1, 2012; and (3) the acquisition of CareFusion Corp. by Becton, Dickinson & Co. (“Becton”), announced on October 5, 2014. Investment Bank B represented Hologic in connection with its acquisition of Gen-Probe; Linde in connection with its acquisition of Lincare; and CareFusion in connection with its acquisition by Becton. The profits that Robert Stewart and Cunniffe reaped from illegal insider trading in advance of the announcements of these three deals totaled over $1 million.
During the course of the scheme, SEAN STEWART became aware that his father was having financial problems. Rather than loan his father money, SEAN STEWART gave his father stock tips, the proceeds of which Robert Stewart used to benefit himself and his son.
In March and April of 2015, Cunniffe, who was then cooperating with the Government, recorded meetings he had with Robert Stewart. During one such meeting, Robert Stewart accepted a payment of $2,500 cash from Cunniffe, which was the balance of the proceeds owed to Robert Stewart for profitable trading executed in Cunniffe’s account in advance of the CareFusion acquisition announcement. Also during this meeting, Robert Stewart admitted that SEAN STEWART once chastised him for failing to make use of a tip, saying, “I can’t believe I handed you this on a silver platter and you didn’t invest in it.”
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In addition to his prison sentence, SEAN STEWART, 35, of New York, New York, was sentenced to three years of supervised release, which includes one year of home detention. Judge Swain will set a restitution amount at a future proceeding.
Robert Stewart pled guilty on August 12, 2015, to one count of conspiracy to commit securities fraud and fraud in connection with a tender offer and was sentenced to four years’ probation, with the first year to be served in home detention, and $150,000 in forfeiture.
Richard Cunniffe pled guilty on May 12, 2015, to one count of conspiracy to commit securities fraud and fraud in connection with a tender offer, one count of conspiracy to commit wire fraud, three counts of securities fraud, and one count of fraud in connection with a tender offer.
Mr. Bharara praised the investigative work of the FBI and also thanked the Securities and Exchange Commission.
The charges were brought in connection with the President’s Financial Fraud Enforcement Task Force. The task force was established to wage an aggressive, coordinated and proactive effort to investigate and prosecute financial crimes. With more than 20 federal agencies, 94 U.S. attorneys’ offices, and state and local partners, it’s the broadest coalition of law enforcement, investigatory and regulatory agencies ever assembled to combat fraud. Since its formation, the task force has made great strides in facilitating increased investigation and prosecution of financial crimes; enhancing coordination and cooperation among federal, state and local authorities; addressing discrimination in the lending and financial markets; and conducting outreach to the public, victims, financial institutions and other organizations. Since fiscal year 2009, the Justice Department has filed over 18,000 financial fraud cases against more than 25,000 defendants. For more information on the task force, please visit www.StopFraud.gov.
This case is being handled by the Office’s Securities and Commodities Fraud Task Force. Assistant U.S. Attorneys Sarah K. Eddy and Brooke E. Cucinella are in charge of the prosecution.
Man Who Had Pipe Bombs in Downtown Denver Hotel Charged Federally in Colorado and ArrestedRead the Press Release
DENVER – Adam Nauveed Hayat, age 35, Denver, Colorado, was arrested without incident yesterday in a Los Angeles, California hotel, after being charged in U.S. District Court in Denver for possession of pipe bombs not registered with the ATF, Acting U.S. Attorney Bob Troyer, FBI Denver Division Special Agent in Charge Calvin Shivers, ATF Denver Field Division Special Agent in Charge Debora Livingston and Denver Police Department Chief Robert White announced.
Hayat made his initial appearance in U.S. District Court for the Central District of California this afternoon where he was read his rights and advised of the charge pending against him. He was ordered held without bond and ordered removed to Colorado. He will eventually be transferred by the U.S. Marshals Service for further court proceedings.
According to the affidavit in support of the Criminal Complaint, on February 15, 2017, personnel from the Sheraton Hotel located at 1550 Court Place contacted the Denver Police Department to report a suspicious incident. Upon arriving, the Denver Police Department (DPD) went to room 1902 -- and found the word “explosives” written on the closet door mirror. The officer then opened the closet, opened the safe, and found a closed ammunition case. Also found in the hotel room were several metal pipes and empty rifle shell casings. The DPD officer immediately contacted their bomb squad. The DPD Bomb Squad carefully examined the ammunition case – and found pipe bombs. They safely removed the ammunition case from the hotel room and transported it to their bomb range, where they rendered it safe.
It was determined during the course of the investigation that Adam Nauveed Hayat rented room 1902 at the downtown Denver Sheraton Hotel. An arrest warrant was issued first by the Denver Police Department and then later by federal authorities. He was located and arrested at a hotel near the Los Angeles International Airport.
The defendant is charged with one count of possession of firearms not registered with the National Firearms and Registration Transfer Record. The penalty on that charge is not more than 10 years in federal prison, and up to a $250,000 fine.
This case was investigated by the FBI, ATF, and the Denver Police Department. The Los Angeles Police Department, as well as the Los Angeles FBI and ATF were involved in the arrest. His court appearance was handled by the U.S. Attorney’s Office for the Central District of California.
“Cases like this demonstrate the reason that law enforcement advises citizens, ‘if you see something, say something,’” said Denver Police Chief Robert White.
The defendant is being prosecuted by Assistant U.S. Attorney Judith Smith, Chief of the Cybercrime and National Security Section and Assistant U.S. Attorney Julia Martinez both with the Colorado’s U.S. Attorney’s Office.
A Criminal Complaint is a preliminary probable cause charging document. Anyone accused of committing a felony violation of federal law has a Constitutional right to be indicted by a grand jury. The charges in the Complaint are allegations, and the defendant is presumed innocent unless and until proven guilty.
Man Sentenced for Attempting to Provide Material Support to ISILRead the Press Release
ALEXANDRIA, Va. – Haris Qamar, 26, of Burke, was sentenced today to 8 1/2 years in prison for attempting to provide material support and resources to the Islamic State of Iraq and the Levant (ISIL), a designated foreign terrorist organization. Qamar was also sentenced to 20 years of supervised release to be completed after he is released from prison.
Qamar pleaded guilty on Oct. 17, 2016. According to court documents, in May 2016, Qamar and an FBI confidential witness (CW) discussed ISIL’s need for photographs of possible targets in and around Washington, D.C., for use in a video that ISIL purportedly was making to encourage lone-wolf attacks in the Washington, D.C., area. Qamar offered the CW ideas of what to photograph, including the Pentagon and numerous landmarks in Arlington and Washington, D.C., which could be targeted for terrorist attacks. On June 3, a conversation was audio and video recorded when the CW picked up Qamar in a vehicle and drove to area landmarks on the list Qamar previously developed. Qamar said “bye bye DC, stupid ass kufar, kill’em all.” Qamar and the CW met again on June 10 and drove to a location in Arlington to take additional photographs for the purported ISIL video.
According to the statement of facts, during numerous conversations with the CW, Qamar expressed his interest and excitement in the extreme violence associated with ISIL. Qamar said he loved the bodies, blood, and beheadings. Qamar said he recalled watching a video of a Kurdish individual being slaughtered, and he liked the cracking sound made when the individual’s spinal cord was torn. On several occasions, Qamar said he could slaughter someone and described how he would do it. Qamar also stated he admired lone-wolf attackers because they love Islam so much that they are willing to die as martyrs for Islam and, in the same conversation, Qamar and the CW discussed suicide bombings. The CW said the CW did not believe in suicide bombings, but Qamar responded, “I believe in it 100 percent.”
According to the statement of facts, on Sept. 11, 2015, terrorists connected with ISIL posted a “kill list” to the internet containing the names and addresses of U.S. military members. A few days later, Qamar told the CW that the residences of several service members who appeared on the “kill list” were near Qamar’s home, and Qamar observed undercover police cars near those residences. On Sept. 16, 2015, Qamar tweeted his prayer that Allah “give strength to the mujahideen to slaughter every single US military officer.”
Moreover, according to the statement of facts, on Sept. 25, 2015, Qamar told the CW that he tried to join ISIL in 2014, and he purchased a plane ticket from Newark, New Jersey, to Istanbul, Turkey. Qamar, however, did not show up for the flight because his parents prevented him from doing so by taking his passport. Qamar said his parents threatened to notify law enforcement and said he fought with his father and called his father a traitor to Islam. On Nov. 18, 2015, the CW asked Qamar if his father gave him back his passport, would Qamar travel overseas and join ISIL, and, in response, Qamar said if that happened, “I’m done, I leave.”
In a related matter, Soufian Amri, 32, of Falls Church, and Michael Queen, 28, of Woodbridge, acquaintances of Qamar, were arrested on Wednesday and charged with obstructing justice and conspiring to provide material false statements to law enforcement officers who were investigating Qamar.
Dana J. Boente, U.S. Attorney for the Eastern District of Virginia; and Andrew W. Vale, Assistant Director in Charge of the FBI’s Washington Field Division, made the announcement after sentencing by U.S. District Judge Leonie M. Brinkema. Assistant U.S. Attorney Gordon D. Kromberg prosecuted the case with assistance from Trial Attorneys Justin Sher and Andrew Sigler of the National Security Division’s Counterterrorism Section.
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-227 (Qamar) and 1:17-mj-62 (Amri/Queen).
Madison County Man Sentenced to 132 Months for Sex and Drug Trafficking CrimesRead the Press Release
TALLAHASSEE, FLORIDA – Joseph-Michael Elias McFarland, 22, of Madison, Florida, was sentenced yesterday to 132 months for sex trafficking of a minor and distribution of the controlled substance α-Pyrrolidinovalerophenone or "Alpha-PVP." The sentence was announced by Christopher P. Canova, United States Attorney for the Northern District of Florida.
In September 2015, a confidential source met McFarland to purchase drugs. During this meeting, McFarland told the confidential source that he was prostituting a girl. After the confidential source told McFarland about potential clients, McFarland said the victim was either 17 or 18 years old. However, McFarland knew that the victim was only sixteen years old. The narcotics the confidential source bought, as well as additional drugs bought the next day, tested positive for Alpha-PVP. McFarland later contacted the confidential source to discuss prostituting the victim and also sent pictures of the victim.
When law enforcement officers searched the residence where McFarland sold the drugs, the victim was located hiding in a closet. Firearms, ammunition, digital scales, and drug paraphernalia were also discovered. McFarland’s cellular telephone contained messages discussing prostituting the victim and selling narcotics. McFarland pled guilty on May 9, 2016.
"Our role in these investigations is to help parents and caregivers keep children safe in their homes and in the community," said United States Attorney Christopher P. Canova. "These despicable acts ruin lives at an early age and this sentence sends a strong message to child predators that my office and our law enforcement partners are vigilant in our efforts to identify and prosecute them."
"Let this sentencing send a message that HSI special agents, and our law enforcement partners, will expend every resource to investigate and prosecute these heinous crimes," said Susan L. McCormick, special agent in charge of HSI Tampa. "A young victim was rescued and this predator is being held accountable for his crimes."
This case resulted from investigations by the United States Immigration and Customs Enforcement Homeland Security Investigations, the Tallahassee Police Department, and the
Madison County Sheriff’s Office. It was prosecuted by Assistant United States Attorney Michael J. Harwin.
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]Lafayette man sentenced to 21 months in prison for felony possession of firearm, ammunitionRead the Press Release
LAFAYETTE, La. – United States Attorney Stephanie A. Finley announced that a Lafayette man was sentenced Monday to 21 months in prison for illegally possessing a firearm and ammunition after having previously been convicted of two felonies.
Shawn D’Anthony Brown, 21, of Lafayette, was sentenced by U.S. District Judge Donald E. Walter on one count of felon in possession of a firearm. Brown was also sentenced to three years of supervised release. According to the November 8, 2016 guilty plea, Lafayette police stopped a black four-door vehicle not using headlights on September 27, 2015 on Celeste Street. Brown was searched, and a loaded .32 caliber revolver spray-painted gold was found in his front right pocket. After further investigation, law enforcement discovered that he had previously been convicted of two felonies.
This investigation and prosecution is part of Project Safe Neighborhoods, which is a Department of Justice initiative to promote firearm safety and to reduce firearm crimes by preventing the possession and use of firearms by dangerous and persistent felons and others not authorized to possess a firearm.
The ATF and the Lafayette Police Department conducted the investigation. Assistant U.S. Attorney Daniel J. McCoy prosecuted the case.
Jonesboro man sentenced to 24 months in prison for FEMA fraudRead the Press Release
SHREVEPORT, La. – United States Attorney Stephanie A. Finley announced that a Jonesboro man was sentenced Monday to 24 months in prison for obtaining FEMA grants for a fire department so that he could then sell his company’s products to it.
Curtis Roller, 60, of Jonesboro, La., was sentenced by U.S. District Judge S. Maurice Hicks Jr. on one count of wire fraud after illegally obtaining Federal Emergency Management Agency (FEMA) grants and making false statements on worker compensation forms. He also was sentenced to three years of supervised release and was ordered to pay $403,355 restitution. According the guilty plea, Roller submitted false information on a grant application on May 9, 2009 to FEMA so that the Jackson Parish Ward 3 Fire Protection District was eligible to receive federal funds, which could be used to purchase equipment from his company, Louisiana Firefighting Services. It is against FEMA rules and policies for a grant writer to financially benefit from money awarded.
The U.S. Department of Homeland Security, U.S. Postal Service-Office of Inspector General and the U.S. Department of Labor-Office of Inspector General conducted the investigation. Assistant U.S. Attorney Earl M. Campbell prosecuted the case.
Johnson City Man Arrested for Distributing Child PornographyRead the Press Release
BINGHAMTON, NEW YORK - Jared Flanders, 34, of Johnson City, New York, was arrested today on charges contained in a twelve count federal indictment alleging he distributed child pornography via the internet.
The announcement was made by United States Attorney Richard S. Hartunian and Special Agent in Charge James Spero, Department of Homeland Security, Homeland Security Investigations.
Flanders was arraigned today in Binghamton, New York, before United States Magistrate Judge David E. Peebles, and held without bail pending a detention hearing scheduled for next week.
The charges in the indictment carry sentences that require a minimum 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.
The charges in the indictment are merely accusations. The defendant is presumed innocent until proven guilty.
This case is being investigated by the Department of Homeland Security, Homeland Security Investigations, 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.
JetBlue Employee Arrested on Cocaine Distribution ChargesRead the Press Release
BOSTON – A Mattapan man was arrested last evening and charged in U.S. District Court in Boston today in connection with cocaine distribution.
Francisco Torres, 36, was charged in a criminal complaint with possessing cocaine with intent to distribute and distributing cocaine. According to the complaint affidavit, authorities were concerned about the fact that Torres had ready access to secure locations at Logan International Airport, access to aircraft and loading ramps at the airport through his employment at JetBlue Airways. Last evening, Torres was arrested in the South End of Boston following a sting operation, where he was caught allegedly exchanging 850 grams of cocaine for more than $33,000 in cash which was in a paper bag. Immediately after the exchange, officers approached Torres who threw the bag of money over a fence. Officers arrested Torres and recovered the money. Torres was detained following an initial appearance before U.S. District Court Magistrate Judge Page Kelley.
The charging statute provides for a minimum of five years and no greater than 40 years in prison, a minimum of four years and up to a lifetime of supervised release and a fine of $5 million. 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; Matthew Etre, Special Agent in Charge of Homeland Security Investigations in Boston; and William Ferrara, Director of Field Operations of U.S. Customs and Border Protection, made the announcement today. The New Hampshire State Police also assisted with the investigation. Assistant U.S. Attorneys John T. McNeil and Christine Wichers of Weinreb’s Criminal Division are prosecuting the case.
The details contained in the complaint are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Iowa Man Sentenced for Attempted Sex TraffickingRead the Press Release
United States Attorney Randolph J. Seiler announced that a Lester, Iowa, man convicted of Attempted Trafficking in Involuntary Servitude and Forced Labor was sentenced on February 9, 2017, by Chief Judge Jeffrey L. Viken, U.S. District Court.
Aaron Vandekamp, age 23, was sentenced to 30 months of imprisonment and 3 years of supervised release and ordered to pay a $100 special assessment to the Federal Crime Victims Fund.
Vandekamp was one of four men who were arrested and federally indicted as a result of an undercover sex trafficking operation conducted during the 2015 Sturgis Motorcycle Rally, targeting persons willing to pay to have sex with underage girls obtained through the Internet. The conviction stemmed from Vandekamp responding to an online advertisement posted by Division of Criminal Investigation undercover agents, which purported to offer young girls for sex. Following several messages with a person Vandekamp believed to be associated with a 15 year-old girl, but who was in fact an undercover agent, he proceeded to negotiate the time and place they would meet, along with the price he would pay, which was $150.
The undercover operation and arrests were a joint effort between the South Dakota Division of Criminal Investigation, the Department of Homeland Security, the Federal Bureau of Investigation, the Rapid City Police Department, and the Pennington County Sheriff’s office. Assistant U.S. Attorney Sarah Collins prosecuted the case.
Vandekamp was immediately turned over to the custody of the U.S. Marshal's Service.
Indictment Charges Wethersfield Woman with Offenses Stemming from Debt Elimination SchemeRead the Press Release
Deirdre M. Daly, United States Attorney for the District of Connecticut, today announced that a federal grand jury sitting in New Haven has returned a nine-count indictment charging URMILA SRI THAKUR, also known as Urmila Buddhu-Thakur and Indro Buddhu-Thakur, 72, of Wethersfield, with conspiracy, mail fraud and money laundering offenses related to a fraudulent debt elimination scheme.
The indictment was returned on February 15, 2017. THAKUR appeared today before U.S. Magistrate Judge Donna F. Martinez in Hartford, entered a plea of not guilty to the charges, and was released on a $250,000 bond.
According to court documents, from 2009 to June 2012, THAKUR, her former husband, Deowraj “Deo” Buddhu and their daughter, Sunita Buddhu, sold a debt elimination “program” to vulnerable individuals through various businesses, including Paradise Consulting Service, Hema, Inc., and Secured Redemption. In exchange for substantial fees, Deo Buddhu told victims about a little-known government fund that could be used to pay off their mortgages and other debts. In fact, no such fund exists. Buddhu instructed his victims to stop making payments on their mortgages, credit cards and other debts, and to stop paying their property taxes. He also provided his victims with fictitious promissory notes, which he called “bonds,” as well as other frivolous documentation, and advised his victims to use them to pay their debts.
The indictment alleges that THAKUR participated in the scheme by signing documents provided to victims as a witness, taking money from victims in exchange for their participation in the purported program, and managing payroll operations for the various businesses used for the purpose of selling and attempting to sell the program to the victims.
The indictment further alleges that, on June 12, 2012, the day after Deo Buddhu’s arrest, THAKUR withdrew $75,000 from a certificate of deposit account that contained funds from the scheme. THAKUR also obtained several cashier’s checks, including one for $50,000 made payable to THAKUR, which she thereafter negotiated using accounts in the name of SDK SYS Solutions and TRK Consulting Services.
The indictment charges THAKUR with one count of conspiracy to commit mail fraud and wire fraud, one count of mail fraud and seven counts of money laundering. If convicted, she faces a maximum term of imprisonment of 20 years for the conspiracy count, 20 years for the mail fraud count and 10 years on each count of money laundering.
Deo Buddhu and Sunita Buddhu were previously convicted in Hartford federal court.
As to THAKUR, U.S. Attorney Daly stressed that an indictment is not evidence of guilt. Charges are only allegations, and a defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.
This matter is being investigated by the Internal Revenue Service – Criminal Investigation Division and the U.S. Department of Housing and Urban Development – Office of Inspector General. The case is being prosecuted by Assistant U.S. Attorneys John T. Pierpont, Jr. and Liam Brennan.
INFORMATION: Federal Court ArraignmentsRead the Press Release
The United States Attorney’s Office announced that those persons listed below were arraigned before the U.S. Magistrate and the indictments handed down by the Grand Jury unsealed.
Appearing before U.S. Magistrate Johnston in Great Falls on February 16, 2017 and entering pleas of Not Guilty were:
- DANIEL WILLIAM DOBLER, a 34-year-old resident of Lakewood, Washington, appeared on charges of conspiracy to commit interstate transportation of stolen property and interstate transportation of stolen property. If convicted of the most serious charge contained in the indictment, DOBLER faces 10 years in prison, $250,000 in fines and 3 years supervised release. The case was investigated by the Federal Bureau of Investigation, Montana Highway Patrol, Valley County Sheriff’s Office, and Minot North Dakota Police Department. PACER Case Reference. 17-04
Appearing before U.S. Magistrate Lynch in Missoula on February 16, 2017 and entering pleas of Not Guilty were:
- NATHAN SCOTT CROWLEY, a 37-year-old resident of Trout Creek, appeared on charges of felon in possession of a firearm. If convicted of the charge contained in the indictment, CROWLEY faces life in prison, $250,000 in fines and 5 years supervised release. The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, Sanders County Sheriff’s Office, and U.S. Fish and Wildlife Service. PACER Case Reference. 16-46
Appearing before U.S. Magistrate Johnston in Great Falls on February 13, 2017 and entering pleas of Not Guilty were:
- VANESSA DAWN VALLIER, a 33-year-old resident of Great Falls, appeared on charges of theft of mail, wire fraud, aggravated identity theft, and misuse of a passport. If convicted of the most serious charges contained in the indictment, VALLIER faces 20 years in prison, $250,000 in fines and 3 years supervised release. The case was investigated by the U.S. Postal Service and Great Falls Police Department. PACER Case Reference. 17-12
Appearing before U.S. Magistrate Johnston in Great Falls on February 6, 2017 and entering pleas of Not Guilty were:
- RYAN GEORGE BREDESON, a 34-year-old resident of Great Falls, appeared on charges of theft of mail, and wire fraud. If convicted of the most serious charge contained in the indictment, BREDESON faces 20 years in prison, $250,000 in fines and 3 years supervised release. The case was investigated by the U.S. Postal Service and Great Falls Police Department. PACER Case Reference. 17-12
If any of the above cases are of interest to your media organization and the community it serves, we encourage you to monitor the progress of the case regularly through the U.S. District Court calendar and the PACER system so that you stay current and not miss any important developments in the case.
To establish a PACER account, which will allow you to review documents filed in the case, please go to, http://www.pacer.gov/register.html. To access the district court’s calendar, please go to https://ecf.mtd.uscourts.gov/cgi-bin/PublicCalendar.pl.
Houston Man Hammered with 80-Year Prison Sentence for Multiple Counts Involving Child PornographyRead the Press Release
HOUSTON – A 49-year-old man from Houston has received a massive sentence following his convictions of sexual exploitation of a child, distribution and possession of child pornography, announced U.S. Attorney Kenneth Magidson. William Lee Niver pleaded guilty June 14, 2016.
Today, U.S. District Judge Gray Miller handed Niver a sentence of 360 months for the sexual exploitation of a child, otherwise known as production of child pornography. He also received 240 months for each of two distribution charges as well as another 120 months for the possession of child pornography. The sentences will all run consecutively for a total of 960 months in federal prison. There is no parole in the federal system.
During the hearing, the court heard from the victim about how being sexually assaulted, psychologically abused and manipulated into situations to meet Niver’s deviant sexually-perverse needs has impacted her life. She indicated that from the time she was eight years old until the age of 14, the abuse consumed her life. “He touched every inch of my body, both with and without my consent, performed oral sex on me, coerced me into performing oral sex on him, engaged in vaginal and anal intercourse with me and encouraged me to have sex with a good female friend of mine. This man, who had been my hero since the day I was born, gave me innumerable excuses for his behavior, scrambled for proof of his intrinsic morality, told me how beautiful and intelligent I was and how I had to understand that I was impossible to resist.”
The government told the court that instead of receiving Barbie dolls and books, Niver gave the victim vibrators and showed her pornography.
In determining the sentence, Judge Miller noted the substantial harm done to victim and said this was one of the saddest cases ever to come before him.
Niver first came to the attention of law enforcement after he had sent images of child pornography, including the victim who appeared in court, to an undercover agent. Federal agents executed a search warrant at Niver’s residence and performed a forensic examination on his computer which resulted in the discovery of more than 6,000 images and 1,000 videos of young children engaged in sexually explicit conduct. The images included children under the age of 12, bondage and acts of violence. Some of the images are of known victims as identified through the National Center for Missing and Exploited Children.
At the time of the plea, Niver admitted to taking sexually explicit photographs and a video of a minor female relative and emailing them to others.
He will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
Immigration and Customs Enforcement’s Homeland Security Investigations conducted the investigation.
This case, prosecuted by Assistant U.S. Attorneys Kimberly Ann Leo and Carrie A. Wirsing, was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to locate, apprehend and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc. For more information about internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
Harrisburg Woman Pleads Guilty to Bankruptcy FraudRead the Press Release
Rietta M. Miller, 51, of Harrisburg, IL, has pled guilty to a bankruptcy fraud charge pending against her in federal court in Benton, U.S. Attorney Donald S. Boyce for the Southern District of Illinois announced today. Charges were filed against Miller on January 30, 2017, as part of the U.S. Attorney’s Office’s effort to crackdown on those who commit fraud in the U.S. Bankruptcy Court for the Southern District of Illinois.
"Federal bankruptcy laws enable debtors to gain a fresh start in life through a discharge of their debts," Mr. Boyce explained. "In order to get this fresh start, however, the law requires debtors to disclose their assets so that their creditors can be paid back as much as possible before the debts are discharged. Individuals who hide their assets during bankruptcy cases are defrauding their creditors. Our office will continue to prosecute those who engage in this type of conduct."
Miller was charged with concealing assets in her bankruptcy case. In pleading guilty today, Miller admitted that she concealed from the Bankruptcy Court a $47,736.12 worker’s compensation settlement she received approximately one month before she filed bankruptcy. Miller acknowledged that she attempted to conceal this money from the Bankruptcy Court by moving the funds in and out of her bank accounts. Miller also admitted that she lied on the bankruptcy petition and schedules she filed with the Bankruptcy Court, and again when she was
asked questions under oath at a Meeting of Creditors held in her bankruptcy case. Miller’s chapter 7 bankruptcy case was filed and litigated in the United States Bankruptcy Court in Benton, Illinois.
"This case is an example of the collaborative efforts of the Bankruptcy Fraud Working Group and other law enforcement partners to combat fraud and abuse in our nation’s bankruptcy system," stated Nancy J. Gargula, U.S. Trustee for Southern Illinois, Central Illinois and Indiana (Region 10). "I am grateful to U.S. Attorney Boyce and our law enforcement partners for their strong commitment to combating fraud and abuse in bankruptcy cases."
Miller’s sentencing hearing is scheduled for May 18, 2017, at 10:30 a.m., at the federal courthouse in Benton, Illinois. The crime of concealing assets in a bankruptcy case is punishable by up to 5 years of imprisonment, and/or a $250,000 fine, not more than three years of supervised release, and restitution.
The charges resulted from a referral by the U.S. Trustee for Indiana and Southern and Central Illinois (Region 10) to the U.S. Attorney for the Southern District of Illinois. The investigation was conducted by agents from the Springfield Division, Fairview Heights Resident Agency, of the Federal Bureau of Investigation ("FBI"), in collaboration with the Southern Illinois Bankruptcy Fraud Working Group coordinated by the U.S. Trustee. The case is being prosecuted by Assistant United States Attorney Scott A. Verseman.
Greeneville Resident Sentenced to Twenty Years in Federal Prison for Crack Cocaine ConspiracyRead the Press Release
GREENEVILLE, Tenn. – On Feb.14, 2017, Braun Tarone Evans Dabbs, 33, of Greeneville, Tenn., was sentenced by the Honorable J. Ronnie Greer, U.S. District Court Judge, to serve 210 months in federal prison following a conviction for his role in a conspiracy to distribute large quantities of cocaine consecutive base “crack” in east Tennessee. Additionally, since Dabbs was on federal supervised release for a prior conviction during the time he engaged in this crack cocaine conspiracy, he received a 30-month sentence, for a total of 240 months.
Dabbs was initially convicted on federal crack cocaine conspiracy charges in 2009 and received a prison sentence of 42 months. Due to a change in the law, this sentence was subsequently reduced to 34 months. Upon his release from prison, he was placed on terms of supervised release, during which time he re-engaged in the sale of crack cocaine. On two separate occasions in June 2015, Dabbs sold crack cocaine in the amounts of 52 grams and 69.88 grams, to individuals working on behalf of law enforcement.
According to his plea agreement on file with U.S. District Court, Dabbs admitted that he was accountable for approximately 4,500 grams (4.5 kilograms) of crack cocaine from October 1, 2013 through July 21, 2015, all while on supervised release following his release from prison on his initial federal crack cocaine conviction.
Law enforcement agencies participating in the investigation included the Federal Bureau of Investigation, Johnson City Police Department and Third District Judicial Drug Task Force. Assistant U.S. Attorneys Nick Regalia, Wayne Taylor and Christian Lampe represented the United States.
This case was a result of the Department of Justice’s Organized Crime and Drug Enforcement Task Force (OCDETF) program, the centerpiece of the Department of Justice’s drug supply reduction strategy. OCDETF was established in 1982 to conduct comprehensive, multi-level attacks on major drug trafficking and money laundering organizations. Today, OCDETF combines the resources and expertise of its member federal agencies in cooperation with state and local law enforcement. 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.
Former Office Manager Sentenced to Prison Term for Theft of Nearly $280,000 from D.C. Architecture FirmRead the Press Release
WASHINGTON – Jill Murray, a former office manager and bookkeeper for a Washington-based architecture firm, was sentenced today to six months in prison on a federal charge involving the embezzlement of nearly $280,000 from her employer, U.S. Attorney Channing D. Phillips announced.
Murray, 50, of North Charleston, S.C., pled guilty in November 2016, in the U.S. District Court for the District of Columbia, to one count of wire fraud. She was sentenced by the Honorable Randolph D. Moss. Upon completion of her prison term, she will be placed on three years of supervised release. She also was ordered to pay $279,611 in restitution and an identical amount in a forfeiture money judgment.
According to the government’s evidence, Murray was authorized to make supply purchases for the architecture firm’s business operations and was responsible for maintaining bookkeeping records for all expenses that were paid out to vendors and contractors. Murray was also authorized to pay her employer’s credit card bills.
Between December 2005 and March 2014, Murray made approximately $112,630 in unauthorized personal purchases of items from retailers including Amazon, Best Buy, Staples, Bed Bath and Beyond, Target, Whole Foods, Office Depot, Crate & Barrel, and the District of Columbia Parking Enforcement Agency. From about January 2007, through about March 2014, Murray, using the company’s credit cards, purchased gift cards in her own name from Staples in the amount of $83,511 and from Office Depot in the amount of $83,469. Murray was able to conceal her theft scheme by manipulating the architecture firm’s books.
In announcing the sentence, U.S. Attorney Phillips commended the work of those who investigated the case from the Metropolitan Police Department’s Financial Crimes Unit. He also expressed appreciation for the efforts of those who worked on the matter for the U.S. Attorney’s Office, including Assistant U.S. Attorney Thomas Swanton, who handled forfeiture issues, Paralegal Specialists Krishawn Graham and Angela Lawrence, and Assistant U.S. Attorney Mervin A. Bourne, Jr., who prosecuted the case.
Former North Carolina State Senator Pleads GuiltyRead the Press Release
Winston-Salem, N.C. – A former North Carolina State Senator pled guilty to federal fraud and tax charges today, announced Acting United States Attorney Sandra Hairston.
Fletcher Lee Hartsell, Jr., who represented parts of Cabarrus and Union Counties as a State Senator from 1991 until 2016, pled guilty today before United States District Judge Thomas D. Schroeder to one count of mail fraud and two counts of filing false tax returns. According to court documents, Hartsell engaged in a scheme to defraud and to obtain money through false pretenses by soliciting funds through the mail for the Hartsell for NC State Senator Committee, using those funds for personal goods and services not authorized under state campaign finance laws, and then misrepresenting such expenditures on filed campaign disclosure reports. Hartsell further made knowing and willful false statements in federal income tax returns filed both in his personal capacity and on behalf of a corporation he co-managed.
“Transparency, honesty, and integrity on the part of elected officials allow citizens to make informed decisions about their campaign contributions and at the ballot box. This case should serve as a reminder that those occupying positions of public trust will be held accountable under the same criminal laws as their constituents,” said Acting United States Attorney Hairston.
“By authorizing and directing campaign funds to pay for personal items and services, Hartsell caused false partnership and individual income tax returns to be filed,” said Michael C. Daniels, IRS-CI’s Acting Special Agent in Charge. “IRS-CI helps ensure that everyone, including public officials, comply with the same tax obligations as the citizens they serve.”
“Senator Fletcher Hartsell degraded our country's democratic process by spending campaign money as if it were from his own personal piggy bank. Hartsell paid for basic expenses including haircuts and lawn care with money that belonged to the American people. The FBI will work tirelessly to ensure any elected official who abuses their power is held accountable for their wrongdoing,” said John Strong, Special Agent-in-Charge of the FBI in North Carolina.
Hartsell faces a maximum penalty of 20 years confinement and a fine of up to $250,000.00. Sentencing is scheduled for May 16, 2017 in Winston-Salem.
The investigation is being handled by the Federal Bureau of Investigation and Internal Revenue Service-Criminal Investigations with assistance from the North Carolina State Bureau of Investigation, and is being prosecuted by Assistant U.S. Attorney JoAnna G. McFadden.
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Former New Jersey Attorney and Father Indicted in Connection with $13 Million Ponzi SchemeRead the Press Release
CAMDEN, N.J. – A former New Jersey attorney and his father have been indicted for their respective roles in a $13 million Ponzi scheme, U.S. Attorney Paul J. Fishman announced today.
Michael W. Kwasnik, 47, of North Miami Beach, Florida, and William M. Kwasnik, 68, of Marlton, New Jersey, were indicted Feb. 16, 2017, by a federal grand jury on three counts of wire fraud, two counts of mail fraud, one count of conspiracy to commit money laundering, and seven counts of money laundering. Michael Kwasnik was also charged with eight additional counts of transacting in criminal proceeds. The defendants are both scheduled to appear Feb. 21, 2017, before U.S. Magistrate Judge Karen M. Williams in Camden federal court.
Michael Kwasnik previously owned and operated a law firm, Kwasnik, Rodio, Kanowitz and Buckley P.C. – and its successor firm, Kwasnik, Kanowitz and Associates P.C. – with offices in Cherry Hill, New Jersey, and Philadelphia, Pennsylvania. William Kwasnik owned and operated an insurance company, Abby Grant, in Lakewood and Cherry Hill, New Jersey.
According to documents filed in this case and statements made in court:
From October 2008 to November 2011, Michael and William Kwasnik controlled a number of entities, including Liberty State Financial Holdings Corp. and its subsidiaries (Liberty State Benefits of Pennsylvania; Liberty State Benefits of Delaware; Liberty State Insurance Services; Liberty State Wealth Management; and Liberty State Credit) and Oxbridge Investors Fund; OPIS Management Fund; and Capital Management of Delaware.
The Kwasniks allegedly carried out a scheme to defraud clients of the Kwasnik law firm by diverting funds from their trust accounts to themselves and the entities they controlled. Michael Kwasnik and others induced clients to establish various types of trusts based on misrepresentations and false pretenses. Michael Kwasnik named himself as the clients’ trustee and directed clients to transfer their money, property and other assets into their trust accounts. Michael Kwasnik then transferred the money out of the clients’ trust accounts and into accounts which he and his father controlled. More than $13 million was collected from more than 40 clients over the three-year period. The Kwasniks laundered the funds through the entities they controlled and Abby Grant before ultimately using the stolen funds to pay for legal and operational expenses of the entities they controlled, the law firm, and personal expenses.
Each count of wire fraud, mail fraud and money laundering carries a maximum penalty of 20 years in prison and a $250,000 fine, or twice the gross gain or loss from the offense. Each count of transacting in criminal proceeds carries a maximum penalty of 10 years in prison and a $250,000 fine, or twice the gross gain or loss from the offense.
U.S. Attorney Fishman credited special agents of the FBI, under the direction of Special Agent in Charge Michael T. Harpster, Philadelphia Division, and special agents of IRS Criminal Investigation, under the direction of Special Agent in Charge Jonathan D. Larsen, Newark Division, with the investigation leading to the indictment.
The government is represented by Assistant U.S. Attorney Sarah Wolfe of the U.S. Attorney’s Office in Trenton.
The charges and allegations in the indictment are merely accusations, and the defendants are considered innocent unless and until proven guilty.
Former Federal Contract Employee Sentenced for Falsifying Timesheets at Two AgenciesRead the Press Release
WASHINGTON – Daniel J. Glauber, who worked as a federal contract employee, was sentenced today to pay more than $70,000 in restitution and perform 360 hours of community service for falsifying timesheets while working at two separate federal agencies.
The sentencing was announced by U.S. Attorney Channing D. Phillips, Norbert E. Vint, Acting Inspector General for the Office of Personnel Management (OPM), and Russell Decker, Acting Inspector General of the National Security Agency (NSA).
Glauber, 44, who now resides in Fort Worth, Texas, pled guilty in November 2016, in the U.S. District Court for the District of Columbia, to a charge of making false statements. The Honorable Richard J. Leon sentenced Glauber to five years of probation. During that time, he will be placed on GPS monitoring for 90 days, must perform the community service, and must pay a total of $70,646 in restitution.
According to the government’s evidence, Glauber was hired in April 2012, under contract, as a systems administrator at OPM. He was required to perform his duties on-site and work a standard 40-hour work week. Additionally, and unbeknownst to OPM, in May of 2012, he was hired as a subcontractor to work at NSA on computer systems. Here, too, his duties called for him to work a standard 40-hour work week and on-site.
From May through August of 2012, Glauber worked at both OPM and NSA, but neither agency was aware that he was working for the other. OPM’s Office of the Inspector General reviewed building access reports and confirmed that Glauber billed 323.75 hours for the time period ranging from May through August 2012 in which he was not actually present at his work site. He was paid $43,706 for these hours, and subsequently was terminated by OPM. However, it was only after his termination that OPM learned of the other employment at NSA.
NSA investigators later reviewed building records and uncovered a discrepancy of 269.5 hours in which Glauber had submitted timesheets for hours in which he did not work on-site. He was paid $26,940 for these hours.
In announcing the sentence, U.S. Attorney Phillips, Acting Inspector General Vint, and Acting Inspector General Decker commended the work of Special Agent Christopher Sulhoff, OPM, Office of the Inspector General, and the investigators who worked on the case from the National Security Agency, Office of the Inspector General. They also acknowledged the efforts of those who worked on the case from the U.S. Attorney’s Office, including Paralegal Specialists Kaitlyn Krueger, Christopher Toms, and Jessica Mundi, and former Assistant U.S. Attorney Teresa A. Howie and Assistant U.S. Attorney Adrienne C. Dedjinou, who prosecuted the case.
Foreign National Charged with Illegal Possession of A Firearm and Ammunition and Falsely Claiming to Be A Lawful Permanent ResidentRead the Press Release
Indictment also alleges misuse of social security number and possession of multiple fraudulent documents.
GRAND RAPIDS, MICHIGAN - Diego Hernandez-Cortes, a/k/a "Javier De La Cruz" 33, a citizen and national of Mexico who overstayed his work visa, was arrested on February 15, 2017, by U.S. Immigration and Customs Enforcement (ICE) and Bureau of Alcohol Tobacco Firearms and Explosives (ATF), after being indicted on felony charges of being an illegal alien in possession of a firearm and ammunition, falsely claiming lawful Permanent Resident status, misusing a Social Security number and possession of false identification documents.
The indictment, which was returned by a grand jury for the Western District of Michigan, alleges that Hernandez-Cortes knowingly possessed a DPMS Inc., Panther .223 caliber semiautomatic rifle, and 15 rounds of Remington .223 caliber ammunition, contained within a magazine. The indictment further alleges that Hernandez-Cortes possessed two Social Security cards and three Permanent Resident cards knowing them to be forged counterfeited, altered, falsely made, procured by means of any false claim or statement, or to have been otherwise procured by fraud or unlawfully obtained.
In addition, the indictment alleges that on two occasions, in Kent County and Oceana County, Hernandez-Cortes falsely claimed to two separate employers to be a lawful permanent resident of the United States with a duly-assigned alien registration number when he knew this was not true. Furthermore, the grand jury charged that with respect to one of those employers, Hernandez-Cortes falsely represented a Social Security account number as his own that had not been assigned to him.
The matter was a joint investigation by the U.S. Immigration and Customs Enforcement (ICE) Enforcement and Removal Operations, Bureau of Alcohol Tobacco Firearms and Explosives (ATF) and the Sparta Police Department.
If convicted, Hernandez-Cortes faces up to 10 years in federal prison. Conviction would also result in deportation back to Mexico. The charges in an indictment are merely accusations, and a defendant is presumed innocent until and unless proven guilty in a court of law.
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Florida Man Pleads Guilty in Wire Fraud Case Related to Falsified Water Testing in Dale County, AlabamaRead the Press Release
Montgomery, Ala. – On Thursday, February 16, 2017, Darin Lewis, 46, of Crestview, Florida, pleaded guilty to one count of conspiring to commit wire fraud, announced United States Attorney George L. Beck, Jr. Lewis’s conviction stemmed from his involvement in a scheme to falsify water samples during the testing of new water lines installed in Dale County, Alabama.
According to court documents, in 2014, the Dale County Water Authority hired a Florida company, Roberson Excavation, Inc. (Roberson Excavation), to replace water lines in the Marley Mill area of Dale County. Lewis’s co-defendant, Billy Ray Roberson, was the owner and president of Roberson Excavation. Lewis began working on the project around February of 2015. By that time, Roberson Excavation was three months behind schedule on the job and paying penalties of $500 for each day that the project went incomplete. At that time, Roberson instructed his site supervisor, Lewis, to falsify the testing required before the lines went into operation. Among the tests falsified were the tests used to determine whether harmful bacteria were present in the water.
A sentencing hearing will be scheduled in the upcoming months where Lewis will face a maximum sentence of 5 years’ imprisonment. The other defendants charged in the case, Billy Ray Roberson and Roberson Excavation, will proceed to trial on June 5, 2017 in Dothan, Alabama.
This case was investigated by the Environmental Protection Agency’s Criminal Investigations Division and Office of Inspector General. Assistant United States Attorney Jonathan S. Ross is prosecuting the case.
Fairfield Doctor Who Illegally Prescribed Oxycodone is SentencedRead the Press Release
Deirdre M. Daly, United States Attorney for the District of Connecticut, today announced that PAUL BELLOFIORE, M.D., 56, of Trumbull, was sentenced today by U.S. District Judge Alvin W. Thompson in Hartford to two years of probation for illegally prescribing oxycodone. Judge Thompson also ordered BELLOFIORE to perform 200 hours of community service, and prohibited him from writing prescriptions for controlled substances until October 13, 2017.
According to court documents and statements made in court, BELLOFIORE is a physician who practiced out of an office in Fairfield. Two of BELLOFIORE’s longtime patients were a married couple who lived in Connecticut until approximately 2011, when they relocated to Florida.
BELLOFIORE knew that, prior to moving to Florida, the couple had unlawfully obtained forged prescriptions for opioid medications from BELLOFIORE’s former medical assistant and, as a result, he should have been aware of the possibility that the couple was abusing or diverting their medications.
After moving to Florida, the couple traveled to Connecticut approximately twice per year, during which visits they scheduled medical appointments with BELLOFIORE. At the conclusion of each appointment, BELLOFIORE provided the couple with approximately six months of predated prescriptions, including prescriptions for Oxycodone, to last until their next appointment.
At times, the couple was unable to travel to Connecticut to see BELLOFIORE and obtain their prescriptions in person, in which case BELLOFIORE left the predated prescriptions for a friend or relative of the couple to pick up from BELLOFIORE’s office. It was BELLOFIORE’s understanding that the friend or relative would fill the prescriptions each month at a pharmacy in Connecticut and mail the medications to the couple in Florida.
In approximately February 2016, BELLOFIORE provided a stack of prescriptions to a friend of the married couple. The prescriptions, which were improperly dated to make it appear that they were issued at monthly intervals after February 2016, authorized the couple to receive thousands of pills of oxycodone and Percocet, a medication containing oxycodone. BELLOFIORE also failed to include on the prescriptions the couple’s address in Florida, which might have alerted a pharmacist filling the prescriptions in Connecticut to the possibility that the medications were being abused or diverted.
The couple subsequently diverted a significant amount of their medications for profit by arranging through a middleman for street-level resale of the pills in and around Waterbury.
The Controlled Substances Act prohibits physicians from dispensing any Schedule II controlled substance, including oxycodone, without a valid written prescription. The prescription must be “dated as of, and signed on, the day when issued” and “bear the full name and address of the patient.” A practitioner also may not issue multiple prescriptions at any single time authorizing a patient to receive more than a 90-day supply of a Schedule II controlled substance.
On October 13, 2016, BELLOFIORE pleaded guilty to one count of issuing unlawful prescriptions for oxycodone. He has been prohibited from writing prescriptions for controlled substances since that time.
This investigation is being conducted by the DEA’s New Haven Tactical Diversion Squad, which includes officers from the Bristol, Greenwich, Hamden, Milford, New Haven, Shelton, Vernon and Wilton Police Departments. The case is being prosecuted by Assistant U.S. Attorney Avi M. Perry.
Everett Man Charged with Scheme to Defraud the Massachusetts Department of Unemployment AssistanceRead the Press Release
BOSTON – An Everett man was charged today in U.S. District Court in Boston in connection with a scheme to defraud the Department of Unemployment Assistance of more than $1.8 million.
Edison Delarosa, 52, was arrested and charged by complaint with one count of mail fraud and one count of wire fraud. He was released on conditions following an appearance before U.S. District Court Magistrate Judge Page M. Kelley.
From approximately January 5 through November 24, 2016, Delarosa engaged in a scheme to defraud the Commonwealth of Massachusetts by exploiting the Department of Unemployment Assistance’s (DUA) online system, which allows claimants to manage their unemployment insurance accounts over the internet. On multiple occasions, Delarosa, who did not actually owe DUA any money, submitted bogus “repayments” online, which triggered the release of “refund” checks payable to him in varying amounts. During the course of the scheme, Delarosa submitted a total of 136 fraudulent “repayments,” amounting to $1,813,170, for which DUA issued him 15 paper “refund” checks, totaling $1,251,283. DUA uncovered the scheme after six of those checks, totaling $27,227, were mailed to Delarosa and deposited into his account.
The charges of wire fraud and mail fraud provide for a sentence of no greater than 20 years in prison, three years 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; Michael Mikulka, Special Agent in Charge of the U.S. Department of Labor, Office of Inspector General, Office of Investigations, New York Region; Mattew Etre, Special Agent in Charge of Homeland Security Investigations in Boston; and Shelly Binkowski, Inspector in Charge of the U.S. Postal Inspection Service, made the announcement today. The Commonwealth of Massachusetts’ Department of Unemployment Assistance cooperated with the investigation. Assistant United States Attorney Anne Paruti of Weinreb’s Major Crimes Unit is prosecuting the case.
Eight Individuals Face Fraud, Identity Theft Charges Involving Possession of Names, Information of More Than 143,000 IndividualsRead the Press Release
SALT LAKE CITY – A 56-count federal indictment returned by a Utah grand jury charges eight individuals in connection with what the indictment alleges was a scheme to use fraudulently created identification documents and fraudulently obtained bank account information to open store credit accounts. The defendants then used the newly-obtained credit to make purchases at various merchants in Salt Lake County.
The indictment alleges the defendants possessed the names of more than 143,000 individuals – nearly one in 20 Utahns – most of whom either live in Utah or lived in the state at some point. In addition to the names, the defendants had corresponding personal identifying information of these individuals. The source of the information is not known, but the format of the database suggests it may have come from a medical insurance provider or a business who provided services to a medical insurance provider more than five years ago.
Charged in the indictment are Danny Lechtenberg, age 36, Jesse Ryan Bell, age 30, Christopher Wayne Cummings, age 33, Jody Ray Bledsoe, age 44, and Christopher Winterton, age 35, all of Taylorsville; Carolina Cueller Morton, age 53, and Donald Leslie Peck, age 51, both of Salt Lake City; and Tina Marie Schilling, age 57, of West Valley City.
A sealed indictment was returned by a federal grand jury Feb. 1, 2017. It was unsealed Feb. 3, 2017.
According to the indictment, the defendants obtained the names and personal identifying information of individuals primarily living in Utah, created false and fraudulent identification documents using the individuals’ personal identifying information; opened credit accounts at retail merchants; and made fraudulent purchases using the names and credit account numbers taken out in the names of the individuals knowing that financial institutions, which secured the credit cards for the merchants, would rely on the fraudulent information provided to open and secure these credit accounts.
Each defendant is charged with conspiracy to commit bank fraud in the first count of the indictment. Lechtenberg is also charged with bank fraud, possession with intent to use or transfer five or more documents; using an unauthorized access device; aggravated identity theft; and unlawful manufacture of a controlled substance – marijuana. In addition to the conspiracy to commit bank fraud count, the other defendants face bank fraud, using an unauthorized access device, and aggravated identity theft counts. (See the chart at the end of the press release for more specific information on the individual charges.)
Lechtenberg, Bell, Cummings, Morton, and Winterton were arrested on federal warrants and had initial appearances in federal court Feb. 3, 2017. Lechtenberg, Winterton and Cummings are in custody. Lechtenberg has a detention hearing Friday at 2:30 p.m. before U.S. Magistrate Judge Evelyn J. Furse. Magistrate Judge Furse found that Morton and Bell pose a risk of non-appearance and are a danger to the safety of others and the community, but found those risks are manageable under a combination of conditions. Bledsoe, Peck, and Schilling are scheduled for initial appearances on the charges Feb. 28, 2017, at 2:30 p.m. These three were issued summons to appear in court.
While more than 143,000 people were included in the database, the evidence suggests that only a small number of people had their identity used for a fraudulent purpose. Those individuals who have been identified as suffering a direct impact have been notified that they are victims of the charged crimes.
The case is being investigated by the Unified Police Department, the U.S. Postal Inspection Service, and member agencies of the Utah Identity Theft Task Force. It is being prosecuted by the U.S. Attorney’s Office in Salt Lake City.
Breakdown of charges
1. Danny Lechtenberg
Counts Charges
1 - Conspiracy to commit bank fraud
2-7 - Bank fraud
33 - Possession with intent to use or transfer five or more documents
34-36 - Identity theft
39, 41, 44, 46, 48, 50, 52, 54 - Using an unauthorized access device
37, 38, 40, 42, 43, 45, 47, 49, 41, 53, 55 - Aggravated identity theft
56 - Manufacture of a controlled substance/marijuana
2. Jesse Ryan Bell
Counts Charges
1 - Conspiracy to commit bank fraud
8-9 - Bank fraud
39 - Using an unauthorized access device
40 - Aggravated identity theft
3. Christopher Wayne Cummings
Counts Charges
1 - Conspiracy to commit bank fraud
10-14 - Bank fraud
41 - Using an unauthorized access device
42-43 - Aggravated identity theft
4. Jody Ray Bledsoe
Counts Charges
1 - Conspiracy to commit bank fraud
15-17 - Bank fraud
44 - Using an unauthorized access device
45 - Aggravated identity theft
5. Carolina Cuellar Morton
Counts Charges
1 - Conspiracy to commit bank fraud
18-23 - Bank fraud
46 - Using an unauthorized access device
49 - Aggravated identity theft
6. Christopher Winterton
Counts Charges
1 - Conspiracy to commit bank fraud
24-26 - Bank fraud
50 - Using an unauthorized access device
51 - Aggravated identity theft
7. Donald Leslie Peck
Counts Charges
1 - Conspiracy to commit bank fraud
27-28 - Bank fraud
52 - Using an unauthorized access device
53 - Aggravated identity theft
8. Tina Marie Schilling
Counts Charges
1 - Conspiracy to commit bank fraud
29-32 - Bank fraud
54 - Using an unauthorized access device
55 - Aggravated identity theft
To determine if your personal information was included in the compromised database, please contact the Department of Justice’s Mega-Victim Case Assistance Program at 1-844-527-5299 or [email protected]. If there was evidence to suggest that your information was used for a fraudulent purpose, you should have already received a personal letter from the Victim Notification System. Even if you are not among the identified victims, however, it is possible that your information may have been used on third party websites to check credit scores or obtain unauthorized credit accounts. We encourage you to monitor your credit and notify investigators if you suspect fraudulent activity.
East Bay Chemical Company and Owner Indicted for Illegal Transportation and Smuggling of Hazardous MaterialsRead the Press Release
OAKLAND – A Union City man and the corporation he owns were charged with conspiracy to defraud the United States, smuggling, and multiple violations of the Toxic Substances Control Act and the Hazardous Materials Transportation Act, announced U.S. Attorney Brian J. Stretch; Environmental Protection Agency Criminal Investigation Division Special Agent in Charge Jay Green; U.S. Department of Transportation Office of the Inspector General Regional Special Agent in Charge William Swallow; and U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) Special Agent in Charge Ryan Spradlin. The indictment alleges that Peiwen Zhou and his company, AK Scientific, conspired to defraud the United States, smuggled materials into the United States, and illegally transported chemicals within the United States by mislabeling and improperly packaging hazardous chemicals.
According to the indictment, Zhou, 53, of Palo Alto, was the founder, owner, and chief executive officer of AK Scientific. Zhou and AK Scientific were in the business of purchasing and then selling research and specialty chemicals to customers that included universities, research laboratories, and other entities. AK Scientific purchased chemicals from chemical supply companies in, among other places, South Korea, Poland, India, and New Zealand.
The indictment alleges the defendants defrauded the United States and smuggled hazardous chemicals into the United States by mislabeling the contents of containers. Further, defendants allegedly transported chemicals in violation of the Toxic Substances Control Act (TSCA) by failing to complete required import certifications and by failing to properly label packages containing hazardous materials. In addition, according to the indictment, the defendants also arranged to transport hazardous materials on several occasions without labeling the packages as required by the Hazardous Materials Transportation Act (HMTA).
Defendants are charged with one count of conspiracy to defraud the United States, in violation of 18 U.S.C. § 371; one count of smuggling, in violation of 18 U.S.C. § 545; two counts of violating the TSCA, in violation of 15 U.S.C. § 2611(b) and 40 C.F.R. §§ 721.20 and 721.4880; and seven counts of violating 49 C.F.R. § 172.400 of the HMTA, in violation of 49 U.S.C. § 5124(a) and 18 U.S.C. § 2. For defendant Zhou, if convicted, the maximum statutory penalties are as follows:
Conspiracy- 5 years in prison term and a $250,000 fine
Smuggling- 20 years in prison and a $250,000 fine
Each count of violating the TSCA- 1 year in prison term and a $50,000 fine
Each count of violating the HMTA- 5 years in prison term and a $250,000 fine
For defendant AK Scientific, if convicted, the corporation faces the following maximum statutory penalties:
Conspiracy- 5 years of probation and a $500,000 fine
Smuggling- 5 years of probation and a $500,000 fine
Each count of violating the TSCA- 5 years of probation and a $200,000 fine
Each count of violating the HMTA- 5 years of probation and a $500,000 fine
Further, additional special assessments may be imposed on either defendant and Zhou may be subject to additional terms of supervised release. However, any sentence following conviction would be imposed by the court after consideration of the U.S. Sentencing Guidelines and the federal statute governing the imposition of a sentence, 18 U.S.C. § 3553.
Zhou and a representative for AK Scientific are scheduled to appear on Tuesday, February 21, 2017, at 9:30 am before United States Magistrate Judge Donna Ryu for an initial appearance.
The case is being prosecuted by the Special Prosecutions and National Security Unit of the United States Attorney’s office in San Francisco. The prosecution is the result of an investigation by the U.S. Environmental Protection Agency’s Criminal Investigation Division, the U.S. Department of Transportation’s Office of Inspector General, and the U.S. Department of Homeland Security’s Homeland Security Investigations.
Dupree Man Sentenced for Assault Resulting in Serious Bodily Injury and Aiding and AbettingRead the Press Release
United States Attorney Randolph J. Seiler announced that a Dupree, South Dakota, man convicted of Assault Resulting in Serious Bodily Injury and Aiding and Abetting was sentenced on February 13, 2017, by U.S. District Judge Roberto A. Lange.
Charles Hollow Horn, age 21, was sentenced to 24 months in custody, 2 years of supervised release, and a special assessment to the Federal Crime Victims Fund in the amount of $100. Restitution has been postponed for 60 days.
Hollow Horn was indicted by a federal grand jury on April 13, 2016. He pled guilty on November 22, 2016.
The conviction stems from an incident on December 8, 2015, when Hollow Horn and his girlfriend were staying at another friend’s residence in Dupree. On the day of the assault, the home owner was out of town. Hollow Horn and his girlfriend were drinking throughout the day. Later in the afternoon, the victim showed up looking for the home owner. The victim had alcohol, so Hollow Horn invited him in. After they ran out of alcohol, they went to get more. While making the alcohol run, they ran into another friend of Hollow Horn’s – Bradley Spekker – and invited him over. They then returned to the residence to continue to drink and socialize.
Horn and Spekker became angry with the victim and they began to assault him. The victim was punched and kicked several times, as well as being struck repeatedly with elbows and knees during the course of the assault. Horn was wearing boots while he was kicking the victim. The victim was rendered unconscious. The victim suffered significant swelling to his whole head, nasal fractures and diffuse cerebral swelling. His nose was obviously deformed. There was a laceration to the top left of his head and another on his chin. There was a large hole in the wall with blood splatter around it.
This case was investigated by the Cheyenne River Sioux Tribe Law Enforcement Services. Assistant U.S. Attorney Jay Miller prosecuted the case.
Hollow Horn was immediately turned over to the custody of the U.S. Marshals Service.
Dual Jamaican-U.S. Citizen Sentenced in Connection with Lottery Fraud Scheme Based in JamaicaRead the Press Release
A dual Jamaican and U.S. citizen charged in connection with the operation of a Jamaican-based fraudulent lottery scheme was sentenced in Charlotte, North Carolina, the Department of Justice announced today.
Felecia Roxanne Lindo, 33, was sentenced to serve 24 months in prison and three years’ supervised release by U.S. District Court Judge Robert J. Conrad Jr. in Charlotte. Lindo was also ordered to pay $292,900 in restitution.
Lindo pleaded guilty on Sept. 28, 2016, to one count of conspiracy to commit wire fraud, in the Western District of North Carolina. As part of her guilty plea, Lindo acknowledged that from in or about 2011 through at least in or about September 2012, she was a member of a lottery fraud conspiracy that targeted victims in the United States.
“Lottery scammers tied to Jamaica continue to prey on victims in the United States, promising large winnings in a lottery when in fact the victims are duped into sending the money to a member of the scheme,” said Acting Assistant Attorney General Chad A. Readler of the Justice Department’s Civil Division. “The Department of Justice is committed to prosecuting those who participate in international lottery schemes, which often target elderly Americans.”
Lindo was charged on Sept. 20, 2016, with one count of conspiracy to commit wire fraud. As part of her guilty plea, Lindo acknowledged that victims of the scheme received a telephone call stating that they had won money in a sweepstakes or lottery. Victims were instructed to send money for fees or other expenses in order to release their purported lottery winnings. The victims of the scheme sent hundreds of thousands of dollars to Lindo, who then forwarded a portion of the money to Jamaica. Lindo acknowledged there was no lottery, that there were no winnings, and that she kept some the victims’ money for her own benefit.
“The prison sentence demonstrates the serious consequences of engaging in fraud designed to steal from Americans,” said U.S. Attorney Jill Westmoreland Rose of the Western District of North Carolina. “We appreciate the work of the Justice Department’s Consumer Protection Branch in investigating and prosecuting international lottery scams operating in the Western District.”
“The Postal Inspection Service seeks to end fraud on American citizens, many of whom are older, by those engaged in international lottery schemes,” said Inspector in Charge David W. Bosch of the U.S. Postal Inspection Service’s Philadelphia, Pennsylvania Division. “Today’s sentencing demonstrates there are no safe havens for those who participate in these types of fraud schemes.”
This prosecution is part of the Department of Justice’s effort to work with federal and local law enforcement to combat fraudulent lottery schemes in Jamaica that prey on U.S. citizens.
Acting Assistant Attorney General Readler and U.S. Attorney Rose commended the investigative efforts of the U.S. Postal Inspection Service and the Internal Revenue Service Criminal Investigation. The case was prosecuted by Trial Attorney Raquel Toledo of the Civil Division’s Consumer Protection Branch with the assistance of Assistant U.S. Attorney Kelli H. Ferry of the Western District of North Carolina.
For more information about the Consumer Protection Branch and its enforcement efforts, visit its website at http://www.justice.gov/civil/consumer-protection-branch. For more information about the U.S. Attorney’s Office for the Western District of North Carolina, visit its website at https://www.justice.gov/usao-wdnc.
Department of Justice and EPA Announce $15 Million Settlement to Clean up Contamination at Sauget Area 1 SitesRead the Press Release
The Department of Justice and the U.S. Environmental Protection Agency (EPA) today announced that Pharmacia LLC (formerly known as Monsanto), Solutia Inc., ExxonMobil Oil Corp. and Cerro Flow Products have agreed, as responsible parties, to clean up six former waste disposal sites that comprise the Sauget Area 1 Superfund Site in Sauget, St. Clair County, Illinois.
The settlement requires the companies to spend an estimated $14.8 million to conduct removal of areas of groundwater contamination source material at four former disposal areas, cap sites to prevent further movement of contaminants, continued operation and maintenance of a containment cell created to hold hazardous wastes, and installation of a monitoring well network. EPA will oversee the work to be conducted by these four responsible parties, which will implement the cleanup remedy required by the agency’s 2013 Record of Decision for Sauget Area 1. In addition, the companies will reimburse EPA $475,000 incurred in its past cleanup actions at the site. The companies will also reimburse EPA for costs incurred in overseeing the work required by the settlement, except for the first $2 million.
Situated in the American Bottoms region across the Mississippi River from St. Louis, Missouri, Sauget Area 1 has been heavily industrialized since the early 1900s. Sauget Area 1 consists of three closed landfills, two former surface impoundments, two borrow pits filled with debris, and Dead Creek, all of which received industrial wastes from as early as 1931 and until 1988. EPA and Illinois have been investigating the Sauget Area 1 Sites since the early-1980s. In the fall of 1995, EPA completed a CERCLA Removal Action at Site G. On January 21, 1999, EPA issued an Administrative Order on Consent to Solutia and Pharmacia requiring them to conduct an Engineering Evaluation and Cost Analysis for the Sauget Area 1 contaminated source areas and Dead Creek, and to conduct a Remedial Investigation and Feasibility Study for Sauget Area 1 groundwater. Also in 1999, EPA issued a Unilateral Administrative Order (UAO) requiring Monsanto Company and Solutia Inc., to replace culverts on Dead Creek to eliminate potential risks associated with flooding and associated adverse ecological impacts. In 2001, EPA modified the UAO to address contamination in Dead Creek, including requirements for sediment removal above risk levels, disposal of the dredged sediments in an adjacent dedicated RCRA Subtitle C-compliant containment cell, and measures to protect Dead Creek from recontamination from adjacent landfills. In all, pursuant to the UAO the responsible parties dredged and disposed of in the cell approximately 64,000 cubic yards of sediments.
Pursuant to these earlier orders and agreements, responsible parties have completed or paid for removal actions within Sauget Area 1, conducted investigations of remaining contamination and reimbursed nearly all of the United States’ past costs related thereto. Taking into account the settlement being lodged today and the work previously performed at the site, over $50 million is being devoted to cleaning up the contamination at this site.
The settlement was lodged with the U.S. District Court for the Southern District of Illinois and is subject to a 30-day public comment period and final court approval. It can be viewed at www.justice.gov/enrd/Consent_Decrees.html.
For more information on the site, please visit: https://cumulis.epa.gov/supercpad/cursites/csitinfo.cfm?id=0500753
Davenport Man Sentenced to 33 Months in Prison for Felon in Possession of a FirearmRead the Press Release
Davenport, IA - On February 17, 2017, DeAries Napoleon Jonesheather Jean Reekr, age 28, of Davenport, Iowa, was sentenced by Senior United States District Court Judge James E. Gritzner to 33 months in prison for two counts of felon in possession of a firearm, announced United States Attorney Kevin E. VanderSchel. Jones was ordered to serve a three-year term of supervised release following his release.
On March 7, 2016, Davenport Police Department (DPD) received a shots-fired call. Upon investigation, they found a vehicle, belonging to Jones, that was possibly involved. Officers obtained a search warrant for Jones’ vehicle. Three spent-shell casings were found in the vehicle. Upon search of Jones’ residence, a Ruger P95 9mm handgun was recovered, along with 48 rounds of ammunition and marijuana.
On July 11, 2016, DPD initiated an unrelated investigation. Jones was located and a loaded Smith and Wesson M&P 9 mm handgun was found in Jones’ waistband.
This matter was investigated by the DPD and the Bureau of Alcohol, Tobacco, Firearms and Explosives. The case was prosecuted by the United States Attorney’s Office for the Southern District of Iowa as part of the Project Safe Neighborhood initiative.
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Learn more about this release by contacting Rachel J. Scherle at 515-473-9300, or by emailing her at [email protected]
Dallas Man Sentenced to 188 Months in Federal Prison on Federal Child Pornography ConvictionRead the Press Release
DALLAS — A 31-year-old Dallas, Texas, man, Rafael Almeida Zapata, who pleaded guilty in August 2016 to one count of transporting and shipping child pornography, was sentenced this morning by U.S. District Judge Sidney A. Fitzwater to 188 months in federal prison, announced U.S. Attorney John Parker of the Northern District of Texas.
According to documents filed in the case, in June 2015, Dallas Police Department executed a search warrant at the residence of Zapata in Dallas, Texas. Officers showed Zapata still images of a child pornography video downloaded from an IP address through the ARES peer-to-peer file sharing program. The IP address was linked to Zapata and he admitted that he recognized the still images from a child pornography video he downloaded through ARES. Zapata also admits to possessing more than 600 images of child pornography, some of the images depicted sadistic and masochistic content involving children.
The case was brought as part of Project Safe Childhood, a nationwide initiative, which was launched in May 2006 by the Department of Justice, to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorney’s Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals, who sexually exploit children, and identify and rescue victims. For more information about Project Safe Childhood, please visit http://www.justice.gov/psc/. For more information about internet safety education, please visit http://www.justice.gov/psc/ and click on the tab “resources.”
The Federal Bureau of Investigation and Dallas Police Department investigated. Assistant U.S. Attorney Camille Sparks prosecuted.
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D.C. Man Sentenced for Real Estate Investment Fraud SchemeRead the Press Release
ALEXANDRIA, Va. – Homayoon Daneshvar, 63, a resident of Washington, D.C., was sentenced today to 18 months in prison for charges related to a $1.9 million investment fraud scheme.
Danshevar was also ordered to serve three years of supervised release, forfeit $1.945 million, and pay $926,020 in restitution.
Daneshvar pleaded guilty on Oct. 24, 2016. According to court documents, from in or about April 2009 to January 2013, Daneshvar lied and made false promises to eight victim investors to persuade them to give him approximately $1.9 million. Daneshvar told the victim investors the money would be used for bridge financing to purchase foreclosed property that would be “flipped,” or quickly resold for profit. Daneshvar promised a monthly return on their investments, but in reality Daneshvar used the money to invest in the stock market, pay “returns” on the investments back to the investors, and to pay for his own personal expenses.
Dana J. Boente, U.S. Attorney for the Eastern District of Virginia; and Andrew W. Vale, Assistant Director in Charge of the FBI’s Washington Field Office, made the announcement after sentencing by Senior U.S. District Judge Claude M. Hilton. Assistant U.S. Attorney Grace L. Hill 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-231.
College Park Men Sentenced for String of Drug Store Robberies in Cobb CountyRead the Press Release
ATLANTA - Dave Montonio Sturgis, Jr., has been sentenced to 32 years in federal prison for robbing three drug stores in Cobb County, Georgia, in June 2015. Sturgis’ co-defendant and robbery partner Lloyd Nathaniel Joyner, a/k/a Zulu, a/k/a Zu, was sentenced on January 12, 2017, to 40 years in prison for the three robberies he committed with Sturgis and three other robberies he committed in May and early June 2015 in Atlanta and Cobb County.
“This crew had had little regard for the lives of the employees they robbed, and no fear of being caught,” said U.S. Attorney John Horn. “Thankfully, one alert Lawrenceville Police Department officer quickly identified similarities in the robberies, and started putting the team together to catch them before they harmed anyone. Local law enforcement agencies teamed with the FBI to stop this violent robbery crew, and we are grateful for their hard work in this case.”
“The sentencing of Dave Sturgis, Jr. highlights the intensive joint investigation addressing a string of violent commercial robberies within the metro Atlanta area. The removal of Sturgis and his partner, Lloyd Joyner, from our streets will indeed have a positive impact on our community crime wise and we have many dedicated detectives, investigators, agents and prosecutors to thank for making this happen. The FBI’s Atlanta Field Office will continue to work with its many law enforcement partners in aggressively addressing violent crime in Atlanta and throughout Georgia as a whole,” 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.
“I am pleased with the efforts of several law enforcement agencies working together to bring violent criminals to justice,” said Randy Johnson, Chief of the Lawrenceville Police Department. “We emphasize the need for agencies to work together and share information in order to stop violent crime. Criminals do not recognize jurisdictional limits, nor do they confine their activities to a single jurisdiction. Lawrenceville Police detective Justin Hipps, who recognized the similarity in crimes occurring across metro-Atlanta, did a great job to bring agencies together to share information. We are proud of his tenacious efforts in investigating these crimes.”
According to U.S. Attorney Horn, the charges and other information presented in court: Joyner and Joseph Stowers—who pleaded guilty before Joyner and Sturgis’ trial—robbed CVS and Walgreens drug stores in Marietta, Smyrna, and Atlanta, in May and June 2015. They followed a pattern by dressing in black hooded sweatshirts, their faces masked, and brandishing semiautomatic pistols when they burst into the stores near closing time or, in the case of 24-hour stores, after midnight, when the stores were empty of customers. They terrorized employees by rounding them up and taking them to the store office, where they demanded that the manager open the safe, while the other employees were forced to lay face-down on the floor. In some instances, the robbers were limited to taking cash from cash registers. They also took the wallets and cell phones of several employees during the robberies, and then fled.
A detective from the Lawrenceville Police Department was the first to identify these crimes were a related series of robberies, and put together the task force that established that these robberies were related. Part of the evidence produced at trial were videos of the three defendants with large stacks of cash and guns after the robberies occurred.
After six days of trial in September 2016, in federal court in Atlanta, the jury convicted Joyner of robbing a CVS in Marietta, on May 27, 2015; a CVS in Atlanta, on June 4, 2015; and a CVS in Smyrna, also on June 4, 2015.
Sturgis joined the robbery crew in mid-June 2015, as the driver. He also entered the stores prior to the robberies to scout the targets. Joyner and Sturgis were convicted by a jury of robbing a Walgreens in Smyrna, on June 16, 2015; a Walgreens in Marietta, on June 18, 2015; and a CVS in Marietta, on June 19, 2015. The jury also convicted Joyner and Sturgis of aiding and abetting each other in the brandishing of firearms in the robberies on June 16, 18, and 19. FBI agents and task force officers arrested Joyner and Sturgis outside of a CVS in Marietta on June 24, 2015.
Dave Montonio Sturgis, Jr., 25, of College Park, Georgia, was sentenced to 32 years, to be followed by three years of supervised release, and to pay restitution of $7,130 to Walgreens and CVS.Lloyd Nathaniel Joyner, a/k/a Zulu, a/k/a Zu, 25, of College Park, was sentenced to prison for 40 years, to be followed by five years of supervised release.
Stowers is scheduled to be sentenced March 23, 2017.
This case was investigated by the Federal Bureau of Investigation, the Georgia Bureau of Investigation, and the Lawrenceville Police Department.
Assistant United States Attorneys Mary Webb and William Traynor 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.
Chicago Woman Allegedly Attempted to Smuggle Heroin and Marijuana through LAX after Grammy Weekend in Los AngelesRead the Press Release
LOS ANGELES – A Chicago woman is facing a federal drug trafficking charge for allegedly trying to smuggle at least a kilogram of heroin and four kilograms of marijuana on a plane leaving Los Angeles International Airport.
Beige White, 34, was arrested Wednesday at LAX by special agents with the Drug Enforcement Administration. White made her initial court appearance yesterday afternoon, at which time she was ordered held without bond and was directed to appear for an arraignment on March 24, 2017.
A criminal complaint filed Wednesday in United States District Court specifically alleges that White attempted to smuggle approximately 2.28 pounds of heroin and 9 pounds of marijuana through a security checkpoint at LAX on Monday.
The narcotics were discovered in White’s luggage after she had checked in for a Southwest Airlines flight to Chicago. After seeing something suspicious in one of the bags during an image scan, the Transportation Security Administration inspected the bag and discovered a clear plastic bag containing a substance later determined to be heroin, as well as multiple sealed plastic bags containing marijuana. Another piece of checked luggage in White’s name also allegedly contained marijuana.
Los Angeles Airport Police responded to the scene, located White on her Southwest flight, and escorted her off the airplane. During a subsequent interview, White admitted to personnel with the Los Angeles Airport Police and the DEA that the bags containing the heroin and marijuana were hers, and that she and a friend had traveled from Chicago to attend events related to the Grammy Awards. According to White’s statement recounted in the affidavit in support of the complaint, her friend had purchased her airline ticket and offered to pay White $1,500 if she agreed to transport marijuana back to Chicago on her return flight. During the interview, White denied knowledge of the heroin that was in the same checked luggage as some of the marijuana, according to the affidavit.
Following the interview on Monday, White was released pending further federal investigation. Federal prosecutors filed the criminal complaint on Wednesday, and White was taken into custody before she boarded another flight to return home.
“The Department of Justice protects our nation’s critical infrastructure, of which airports and airlines are an important part,” said United States Attorney Eileen M. Decker. “Air travelers should not have to worry about drug smugglers attempting to use planes as vehicles to commit crimes.”
The complaint charges White with possession with the intent to distribute a controlled substance. If she were to be convicted of that charge, she would face a statutory maximum sentence of 20 years in federal prison.
A criminal complaint contains allegations that a defendant has committed a crime. Every defendant is presumed to be innocent until and unless proven guilty in court.
The DEA Los Angeles International Airport Narcotics Task Force, an inter-agency task force based at LAX, is conducting this investigation. The Task Force is charged with providing a coordinated law enforcement effort to target criminal enterprises that use the aviation system to transport large amounts of illicit drugs and drug proceeds throughout the United States.
In addition to the Drug Enforcement Administration, the Task Force is made up of representatives from the Federal Bureau of Investigation, the Los Angeles Airport Police, the Los Angeles Police Department and the Los Angeles County Sheriff’s Department. The Task Force also works closely with the United States Customs and Border Protection and the Transportation Security Administration.
The case against White is being prosecuted by Assistant United States Attorney Reema M. El-Amamy of the Organized Crime Drug Enforcement Task Force.
Cherry Creek Man Sentenced for Failure to Register as a Sex OffenderRead the Press Release
United States Attorney Randolph J. Seiler announced that a Cherry Creek, South Dakota, man convicted of Failure to Register as a Sex Offender was sentenced on February 13, 2017, by U.S. District Judge Roberto A. Lange.
Dewey Marrowbone, age 48, was sentenced to 15 months in custody, 5 years of supervised release, and a special assessment to the Federal Crime Victims Fund in the amount of $100.
Marrowbone was indicted by a federal grand jury on October 12, 2016. He pled guilty on December 12, 2016.
Marrowbone had previously been convicted of a sex offense in federal court which requires him to register as a sex offender for the rest of his life. He was previously convicted for failing to register as a sex offender. Marrowbone was released from custody in Florence, Colorado, on August 10, 2016. He was to report to the Community Alternatives of the Black Hills the following day. He did not do so. He was on absconder status until August 25, 2016. The conviction stems from the fact that Marrowbone failed to register as a sex offender, as required by federal law, between August 13, 2016, and August 25, 2016.
This case was investigated by the U.S. Marshals Service. Assistant U.S. Attorney Jay Miller prosecuted the case.
Marrowbone was immediately turned over to the custody of the U.S. Marshals Service.
California Meth Distributor Sentenced to 10 Years in PrisonRead the Press Release
ALEXANDRIA, Va. – David John Russell, 38, of Fallbrook, California, was sentenced today to 10 years in prison for distribution of 50 grams or more of methamphetamine.
Russell pleaded guilty on Nov. 4, 2016. According to court documents, a methamphetamine distributor operating in the Washington, D.C. metropolitan area traveled to California to obtain large quantities of methamphetamine. Russell met with this methamphetamine distributor and agreed to provide the distributor with methamphetamine. Then, on two separate occasions, Russell used the U.S. Postal Service to send approximately one pound of methamphetamine. Law enforcement successfully seized both packages.
The case was investigated by the DEA and U.S. Postal Service as part of the Organized Crime Drug Enforcement Task Forces (OCDETF), Ring of Ice. The OCDETF program is a federal multi-agency, multi-jurisdictional task force that supplies supplemental federal funding to federal and state agencies involved in the identification, investigation, and prosecution of major drug trafficking organizations. The principal mission of the OCDETF program is to identify, disrupt and dismantle the most serious drug trafficking, weapons trafficking and money laundering organizations, and those primarily responsible for the nation’s illegal drug supply.
Dana J. Boente, U.S. Attorney for the Eastern District of Virginia; Karl C. Colder, Special Agent in Charge for the Drug Enforcement Administration’s (DEA) Washington Field Division; and Joseph W. Cronin, Acting Inspector in Charge of the Washington Division of the U.S. Postal Inspection Service (USPIS), 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-202.
California Man Sentenced to 7 Years in Prison for Drug TraffickingRead the Press Release
Fayetteville, Arkansas - Kenneth Elser, United States Attorney for the Western District of Arkansas, announced that Metin Metlu Sado, age 48, of Encinitas, California, was sentenced today to 87 months in federal prison followed by three years of supervised release and ordered to pay a $9,900.00 fine on one count of Conspiracy to Distribute Methamphetamine. The Honorable Timothy L. Brooks presided over the sentencing hearing in the United States District Court in Fayetteville.
According to court records, on March 11, 2016, the Kansas City Interdiction Task Force along with the Drug Enforcement Administration in Kansas City, discovered approximately 8 ½ pounds of methamphetamine that was destined for Rogers, Arkansas at the Greyhound Bus Lines in Kansas City, Missouri. The investigation revealed that the methamphetamine belonged to Bryanna Almanza, a co-defendant in this case. On the same day, officers and agents maintained surveillance on Almanza as she was picked up by Metin Sado and driven to a hotel in Rogers. When the two arrived in the hotel parking lot, they were arrested. Upon a search of Sado’s vehicle, officers found the methamphetamine in the back seat. The suspected substance was sent to the DEA South Central Lab where it was determined to contain 2,966.7 grams of actual methamphetamine.
Both Sado and Almanza were named in a federal indictment in March, 2016. Sado pleaded guilty in October, 2016. Almanza pleaded guilty in June, 2016. She was sentenced in November, 2016 to 38 months in federal prison followed by three years of supervised release.
“Methamphetamine brings turmoil into the lives of those who are addicted to or live around it,” stated Matthew Barden, Assistant Special Agent in Charge of DEA’s Little Rock District Office. “The sentence imposed in this case should be a warning to anyone thinking of polluting our communities with this addictive substance. DEA, along with our law enforcement partners are committed to investigating the smuggling and distribution of methamphetamine and other illegal and dangerous narcotics.”
This case was investigated by the Drug Enforcement Administration of Fayetteville and Kansas City, Missouri, Kansas City Police Department, Benton County Sheriff’s Office, Fayetteville Police Department and Rogers Police Department. Assistant United States Attorney Brice White prosecuted the case for the United States.
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Related court documents may be found on the Public Access to Electronic Records website @ www.pacer.gov
Buffalo Man Arrested on Child Pornography ChargesRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051
BUFFALO, N.Y. – Acting U.S. Attorney James P. Kennedy, Jr. announced today that Michael Secchiaroli, 31, of Buffalo, NY, was arrested and charged by criminal complaint with distribution and possession of child pornography. The charges carry a mandatory minimum penalty of five years in prison, a maximum of 20 years, and a $250,000 fine.
Assistant U.S. Attorney Aaron J. Mango, who is handling the case, stated that on December 28, 2015, an undercover law enforcement officer discovered 14 image files of child pornography online that depicted naked images of pre-pubescent girls. The files were traced to an internet address connected to the defendant.
On March 29, 2016, officers executed a search warrant at Secchiaroli’s residence and seized multiple electronic devices including two laptops and an external hard drive. A forensic examination uncovered 40 image files containing child pornography.
The defendant made an initial appearance before U.S. Magistrate Judge Michael J. Roemer and was released on electronic monitoring.
The complaint is the result of an investigation by the Federal Bureau of Investigation, under the direction on the part of Special Agent-in-Charge Adam S. Cohen.
The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
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Brunswick couple charged with conspiracy to obstruct justice, tax violationsRead the Press Release
A nine-count indictment was filed charging a Brunswick couple with failing to make payments to support the pension and benefits fund of its employees and then obstructing the subsequent investigation, said Carole S. Rendon, U.S. Attorney for the Northern District of Ohio.
Eric Dentz and Rebecca Dentz, both 39, are charged with conspiracy to obstruct justice, tampering with evidence, making false statements to federal agents, and failure to file taxes.
The Dentzs are former owners of Dentz Painting Incorporated (DPI), a company engaged in a collective bargaining agreement with the International Union of Painters and Allied Trades. Through that agreement, DPI was obligated to hire union laborers and to pay over contributions to the union’s pension and benefits funds for the benefit of their employees, according to the indictment.
Audits conducted by the union found that DPI failed to pay over $148,000 in contributions to the union’s funds. Eric and Rebecca Dentz, and their company DPI, agreed in 2010 to make the delinquent contributions to the union’s funds. However, instead of honoring their commitment, they discontinued working through DPI and started a new company, Global Contracting Service (Global), according to the indictment.
Despite this name change, Eric and Rebecca Dentz were still bound by the terms of the CBA. As a result of their failure to make required payments to the union’s funds, agents and investigators with the Department of Labor, Office of Inspector General and the Employee Benefits Security Administration, began an investigation into Eric and Rebecca Dentz, DPI and Global. This investigation was later joined by the Internal Revenue Service, Criminal Investigation Division.
Eric and Rebecca Dentz repeatedly obstructed the investigation. In particular, after agents attempted to serve subpoenas and obtain documents relevant to the investigation, Eric Dentz threatened them with physical violence. Additionally, Rebecca Dentz repeatedly lied to agents about her and Eric Dentz’s involvement with Global and the location of records responsive to the subpoena, according to the indictment.
During proceedings held before United States District Chief Judge Solomon Oliver, Jr., Eric and Rebecca Dentz continued to obstruct justice by lying about the status and condition of the records. Specifically, the Dentzs lied by stating that the records sought by the grand jury were destroyed in a flood and later supplied agents and the court with a fake cleaning invoice in an attempt to support their false claims. Further investigation revealed that the invoice had been fabricated at Eric and Rebecca Dentz’s request. The Dentzs also obstructed and delayed the investigation by falsely stating that third parties possessed the records sought by the grand jury when those individuals in fact had no such records, according to the indictment.
The indictment further alleges that Eric and Rebecca Dentz also repeatedly failed to file income tax returns with the IRS over several years.
“These defendants tried time and again to dodge their obligations to their employees,” Rendon said. “When confronted with this, they didn’t own up to their failures, but instead tried to obstruct the investigation.”
“As tax filing season is upon us, those Americans who file accurate, honest and timely returns can be assured that the government will hold accountable those who don't," said Troy Stemen, Acting Special Agent in Charge IRS-Criminal Investigation, Cincinnati Field Office.
If convicted, the defendants’ sentences will be determined by the Court after review of the factors unique to this case, including the defendants’ prior criminal records, their roles in the offense and the characteristics of the criminal conduct. In all cases, the sentence will not exceed the statutory maximum and in most cases it will be less than the maximum.
This case is being prosecuted by Assistant U.S. Attorney Om Kakani, following an investigation by the Department of Labor, Employee Benefits Security Administration, the Department of Labor, Office of Inspector General, and the Internal Revenue Service, Criminal Investigation Division.
An indictment is only a charge and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government’s burden to prove the defendant guilty beyond a reasonable doubt.
Brevard County Resident Sentenced to Thirty Years in Prison for Production of Child PornographyRead the Press Release
Orlando, Florida– U.S. District Judge Carlos E. Mendoza has sentenced Jerry Hall (49, Palm Bay) to 30 years in federal prison for producing child pornography. The Court also ordered him to forfeit electronic equipment that had been used during the offense.
Hall pleaded guilty on December 1, 2016.
According to court documents, in June 2015, the Florida Department of Law Enforcement (FDLE) began investigating Hall for downloading child pornography using file sharing software. During the investigation, FDLE came into possession of a memory card that contained images of sexually explicit conduct of a minor taken by Hall on his cellphone in June 2014. At the time the images were taken, the minor was under the age of 10.
FDLE also recovered a custom built computer belonging to Hall and a laptop previously used by him. A forensic examination of those computers revealed numerous images and video files depicting child pornography, some of which contained young children.
“Child pornography is an atrocious crime because each movie or photograph represents a child who has been sexually abused,” said FDLE Special Agent in Charge Danny Banks. “FDLE will continue to aggressively investigate anyone who preys on our children.”
“This child predator’s crimes will never be erased in the minds of the children that he victimized,” said Susan L. McCormick, special agent in charge of HSI Tampa. “This long prison sentence serves as a warning to child predators that these crimes will be discovered, will be prosecuted and will be punished severely.”
This case was investigated by U.S. Department of Homeland Security, Homeland Security Investigations and the Florida Department of Law Enforcement. It is being prosecuted by Assistant United States Attorney Sean P. Shecter.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Bookkeeper Pleads Guilty to 13 Counts of Wire Fraud in Scheme to Defraud Two Maui Business OwnersRead the Press Release
HONOLULU – A professional bookkeeper has plead guilty to 13 counts of wire fraud in a scheme to defraud two local Maui business owners. Felicidad Rivera, age 51, of Maui, plead guilty in the United States District Court for the District of Hawaii to wire fraud in connection with a scheme to defraud two Maui business operators of more than $373,682 in funds from their business banking accounts. Rivera faces a maximum penalty of five years imprisonment and a fine of $250,000 for each of the 13 counts to which she plead guilty when she is sentenced on June 5, 2017.
Florence T. Nakakuni, United States Attorney for the District of Hawaii, said that according to court documents and information presented in court, Rivera became the bookkeeper for two Maui businesses operated by a mother and her son. As their bookkeeper, Rivera had access to the bank accounts of each business. After earning the confidence of the business owners, Rivera would falsely represent to them that business funds were required to pay legitimate business expenses. In truth, the funds were not required for business expenses but were intended by Rivera to be deposited into her personal checking account and fraudulently converted to her own use. From December 2008 through August 2015, Rivera fraudulently, and without authorization, wrote 193 checks to herself totaling approximately $334,450. Rivera also caused the victim’s business accounts to pay her personal monthly credit card debts. Information presented in Court showed that over the course of 87 monthly transactions Rivera stole another $75,488 from the victim’s bank accounts without their knowledge or consent. To conceal her activity Rivera falsified the accounting books of each business and presented fraudulently altered business financial records to the tax accountant preparing the taxes for the victims.
The case was investigated by the Federal Bureau of Investigation. The case was prosecuted by Assistant U.S. Attorney Ken Sorenson.
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Berea Pharmacist Found Guilty of Illegally Dispensing Hundreds of Thousands of Prescription Pills and Thousands of Boxes of Pseudoephedrine and Money LaunderingRead the Press Release
LEXINGTON, Ky. – A Berea pharmacist, Lonnie Hubbard, age 41, has been convicted by a federal jury of 71 counts, including fifty-six drug counts, involving the illegal dispensing of controlled substances without a legitimate medical purpose and dispensing pseudoephedrine knowing it would be used to manufacture methamphetamine; maintaining a drug involved premises; twelve counts of money laundering; and two conspiracy charges.
The jury returned the guilty verdict after approximately three hours of deliberation, following eight days of trial.
“This case sends a strong message to medical professionals who dispense controlled substances: failure to exercise reasonable professional judgment, by consistently ignoring suspicious behavior, will not be tolerated,” said Acting U.S. Attorney Carlton S. Shier, IV. “Mr. Hubbard failed to exercise his professional responsibility and the result was an enormous amount of prescription pain pills and methamphetamine precursors being made available for illicit purposes. The great work of our law enforcement partners in this case is critical to our fight against the drug epidemic.”
According to evidence presented at trial, from 2010 until 2015, Hubbard, who owned RX Discount Pharmacy in Berea, sold prescription pain pills, without a legitimate medical purpose, and sold pseudoephedrine, knowing or having reason to believe that it was being used to manufacture methamphetamine. Many of the people Hubbard sold to were addicts and drug traffickers from Madison, Rockcastle, Laurel, Clay and other counties in central and eastern Kentucky.
The evidence further established that many of Hubbard’s customers visited pain clinics in Florida, Ohio, Tennessee, and Georgia, to obtain illegitimate prescriptions from irreputable clinics. Hubbard would charge $600 to $1,000 to fill a cocktail of prescriptions, which included excessive amounts of oxycodone. According to trial testimony Hubbard also sold multiple boxes of pseudoephedrine at a time, at excessive prices, to drug addicts and traffickers. From 2013 to 2015, Hubbard’s pharmacy was the number one independent pharmacy retailer of Pseudoephedrine in Kentucky.
Those who obtained drugs at Hubbard’s pharmacy testified that RX Discount was one of the only places in Kentucky that would fill their out of state prescriptions for pain medication.
More than twenty doctors from Florida, Georgia, and Tennessee, who wrote the illegal prescriptions related to this case, have either surrendered their medical license, been indicted, or are currently under investigation.
The evidence also revealed that Hubbard made approximately $2.2 million in cash from the illegal drug sales and used that money to buy three residences, a boat, and several luxury vehicles.
Hubbard’s wife, Meggan, was sentenced earlier this month for her involvement in purchases of property that came from the unlawful sales of the prescription drugs and pseudoephedrine; she received a sentence of five months’ imprisonment, to be followed by five months’ home detention. Three other co-defendants have pleaded guilty and been sentenced.
Hubbard is scheduled to be sentenced on June 6th. He faces a maximum of twenty years on the conspiracy offenses; twenty years on the charges of unlawful distribution of pseudoephedrine; twenty years on the unlawful distribution of controlled substances counts, except Count 15; and 10 years on the individual money laundering counts.
Acting U.S. Attorney Shier; Timothy J. Plancon, Special Agent in Charge, Drug Enforcement Administration; and Tracey D. Montaño, Special Agent in Charge, IRS, Criminal Investigation Division jointly announced the conviction.
The investigation was conducted by the DEA, IRS, USDA, Kentucky Board of Pharmacy, Inspector General for the Cabinet of Health and Family Services, Berea Police Department, Mt. Vernon Police Department, Madison County Sheriff’s Office, and the Appalachian HIDTA. The case was prosecuted by Assistant U.S. Attorneys Ron Walker, Katherine Crytzer, and Lauren Bradley.
Belmont County, Ohio man pleads guilty to oxycodone distributionRead the Press Release
WHEELING, WEST VIRGINIA – Brent M. Gorshe, 27, of Martins Ferry, Ohio, was convicted of distributing oxycodone, Acting United States Attorney Betsy Steinfeld Jividen, announced.
Gorshe pled guilty to one count of “Conspiracy to distribute and to possess with the intent to distribute oxycodone.” The crime took place in Ohio County and elsewhere from 2013 to 2016. He faces up to twenty years in prison and a fine of up to $1,000,000. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant U.S. Attorney Robert H. McWilliams, Jr. prosecuted the case on behalf of the government. The Ohio Valley Drug & Violent Crime Task Force, a HIDTA-funded initiative, investigated.
U.S. Magistrate Judge James E. Seibert presided.