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Wednesday 16 November 2016
Harrisburg Man Sentenced for Firearm ChargesRead the Press Release
HARRISBURG – The United States Attorney’s Office for the Middle District of Pennsylvania announced that Christopher Fleisher, age 36, of Harrisburg, Pennsylvania, was sentenced today by United States District Court Judge William W. Caldwell in Harrisburg to 46 months’ imprisonment for firearm charges.
According to United States Attorney Bruce D. Brandler, Fleisher pled guilty to being a felon in possession of a firearm. The charge stems from an incident that occurred on June 4, 2015 in Harrisburg and involved a stolen .38 caliber Smith and Wesson handgun.
The case was investigated by the Harrisburg Office of the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Harrisburg Police Department and the Commonwealth of Pennsylvania’s Office of Probation and Parole. Prosecution of the case was assigned to Assistant United States Attorney William A. Behe.
This case was brought as part of the Violent Crime Reduction Partnership (“VCRP”), a district wide initiative to combat the spread of violent crime in the Middle District of Pennsylvania. Led by the United States Attorney’s Office, the VCRP consists of federal, state and local law enforcement agencies whose mission is to locate, apprehend, and prosecute individuals who commit violent crimes with firearms.
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Georgia Postal Employee Indicted for His Role in a Stolen Identity Refund Fraud SchemeRead the Press Release
A federal grand jury sitting in Macon, Georgia returned an indictment against a resident of Columbus, Georgia on Nov. 9, which was unsealed today, for his role in a stolen identity refund fraud conspiracy, announced Principal Deputy Assistant Attorney General Caroline D. Ciraolo, head of the Justice Department’s Tax Division, and U.S. Attorney G.F. Peterman III for the Middle District of Georgia.
According to the indictment, Harold Coley worked as a mail carrier for the U.S. Postal Service and his postal route was in Columbus, Georgia. In 2012, Coley became involved in a stolen identity tax refund conspiracy. Coley’s co-conspirators, including Keshia Lanier, obtained stolen personal identification information from several sources, including from an Alabama state database and then prepared and filed false federal income tax returns for tax years 2011 and 2012. Coley provided his co-conspirators with addresses on his postal route to which the fraudulently obtained tax refund checks could be mailed. Several of these addresses did not exist or were for vacant homes. Coley was paid a fee to divert and provide these checks to his co-conspirators.
If convicted, Coley faces a statutory maximum sentence of 10 years in prison for the conspiracy count, 20 years in prison for each mail fraud count, five years in prison for each theft of mail count, and a mandatory minimum sentence of two years in prison for aggravated identity theft. In addition to the charges, Coley faces a forfeiture claim of approximately $924,000, a period of supervised release, and monetary penalties.
An indictment merely alleges that crimes have been committed. All defendants are presumed innocent until proven guilty beyond a reasonable doubt.
Principal Deputy Assistant Attorney General Ciraolo and U.S. Attorney Peterman commended special agents of Internal Revenue Service-Criminal Investigation, the U.S. Secret Service, and the U.S. Postal Service Office of Inspector General, who conducted the investigation, and Trial Attorney Michael C. Boteler of the Tax Division and Assistant U.S. Attorney Crawford L. Seals of the Middle District of Georgia, who are prosecuting the case.
Additional information about the Tax Division and its enforcement efforts may be found on the division’s website.
Georgia Postal Employee Indicted for His Role in A Stolen Identity Refund Fraud SchemeRead the Press Release
WASHINGTON – A federal grand jury sitting in Macon, Georgia returned an indictment against a resident of Columbus, Georgia on Nov. 9, which was unsealed today, for his role in a stolen identity refund fraud conspiracy, announced Principal Deputy Assistant Attorney General Caroline D. Ciraolo, head of the Justice Department’s Tax Division, and U.S. Attorney G.F. Peterman III for the Middle District of Georgia.
According to the indictment, Harold Coley worked as a mail carrier for the U.S. Postal Service and his postal route was in Columbus, Georgia. In 2012, Coley became involved in a stolen identity tax refund conspiracy. Coley’s co-conspirators, including Keshia Lanier, obtained stolen personal identification information from several sources, including from an Alabama state database and then prepared and filed false federal income tax returns for tax years 2011 and 2012. Coley provided his co-conspirators with addresses on his postal route to which the fraudulently obtained tax refund checks could be mailed. Several of these addresses did not exist or were for vacant homes. Coley was paid a fee to divert and provide these checks to his co-conspirators.
If convicted, Coley faces a statutory maximum sentence of 10 years in prison for the conspiracy count, 20 years in prison for each mail fraud count, five years in prison for each theft of mail count, and a mandatory minimum sentence of two years in prison for aggravated identity theft. In addition to the charges, Coley faces a forfeiture claim of approximately $924,000, a period of supervised release, and monetary penalties.
An indictment merely alleges that crimes have been committed. All defendants are presumed innocent until proven guilty beyond a reasonable doubt.
Principal Deputy Assistant Attorney General Ciraolo and U.S. Attorney Peterman commended special agents of Internal Revenue Service-Criminal Investigation, the U.S. Secret Service, and the U.S. Postal Service Office of Inspector General, who conducted the investigation, and Trial Attorney Michael C. Boteler of the Tax Division and Assistant U.S. Attorney Crawford L. Seals of the Middle District of Georgia, who are prosecuting the case.
Additional information about the Tax Division and its enforcement efforts may be found on the division’s website.
Fourth Defendant Convicted in Scheme that Defrauded Software Company of More Than $16 Million Worth of Virtual CurrencyRead the Press Release
FORT WORTH, Texas – A Whittier, California, man was convicted today of wire fraud in connection with his involvement in a scheme to defraud a software company of more than $16 million, announced U.S. Attorney John Parker of the Northern District of Texas and Assistant Attorney General for the Criminal Division Leslie R. Caldwell.
Anthony Clark, 24, was convicted, following a three-day jury trial before U.S. District Judge Reed C. O’Connor, on an indictment charging one count of conspiracy to commit wire fraud. He faces a maximum statutory penalty of 20 years in federal prison, a $250,000 fine and restitution. Sentencing has been scheduled for February 27, 2017.
Evidence presented at trial showed that Clark and three co-conspirators defrauded software company Electronic Arts (EA). EA is the publisher of a video game called FIFA Football, in which players can earn “FIFA coins,” a virtual in-game currency generally earned based on the time users spend playing FIFA Football. Due to the popularity of FIFA Football, a secondary market has developed whereby FIFA coins can be exchanged for U.S. currency. Clark and his co-conspirators circumvented multiple security mechanisms created by EA in order to fraudulently obtain FIFA coins worth over $16 million. Specifically, Clark and his co-conspirators created software that fraudulently logged thousands of FIFA Football matches within a matter of seconds, and as a result, EA computers credited Clark and his co-conspirators with improperly earned FIFA coins. Clark and his co-conspirators subsequently exchanged their FIFA coins on the secondary market for over $16 million.
Co-conspirators Nick Castellucci, 24, of, New Jersey; Ricky Miller, 24, of Arlington, Texas; and Eaton Zveare, 24, of Lancaster, Virginia, previously pleaded guilty and await sentencing.
The FBI and Internal Revenue Service Criminal Investigation investigated the case. Assistant U.S. Attorneys Brian Poe and C. Heath of the Northern District of Texas and Senior Counsel Ryan Dickey of the Criminal Division’s Computer Crime and Intellectual Property Section are in charge of the prosecution.
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Fourth Defendant Convicted in Scheme That Defrauded Software Company of over $16 Million Worth of Virtual CurrencyRead the Press Release
A Whittier, California man was convicted today of wire fraud in connection with his involvement in a scheme to defraud a software company of over $16 million, announced Assistant Attorney General for the Criminal Division Leslie R. Caldwell and U.S. Attorney John R. Parker of the Northern District of Texas.
Anthony Clark, 24, was convicted by a jury sitting in Fort Worth, Texas, of one count of conspiracy to commit wire fraud. Sentencing has been scheduled for February 27, 2017.
Evidence presented at trial showed that Clark and three co-conspirators defrauded software company Electronic Arts (EA). EA is the publisher of a video game called FIFA Football, in which players can earn “FIFA coins,” a virtual in-game currency generally earned based on the time users spend playing FIFA Football. Due to the popularity of FIFA Football, a secondary market has developed whereby FIFA coins can be exchanged for U.S. currency. Clark and his co-conspirators circumvented multiple security mechanisms created by EA in order to fraudulently obtain FIFA coins worth over $16 million. Specifically, Clark and his co-conspirators created software that fraudulently logged thousands of FIFA Football matches within a matter of seconds, and as a result, EA computers credited Clark and his co-conspirators with improperly earned FIFA coins. Clark and his co-conspirators subsequently exchanged their FIFA coins on the secondary market for over $16 million.
Co-conspirators Nick Castellucci, 24, of New Jersey; Ricky Miller, 24, of Arlington, Texas; and Eaton Zveare, 24, of Lancaster, Virginia, previously pleaded guilty and await sentencing.
The FBI and the Internal Revenue Service investigated the case. Senior Counsel Ryan Dickey of the Criminal Division’s Computer Crime and Intellectual Property Section and Assistant U.S. Attorneys Brian Poe and Candina Heath of the Northern District of Texas are prosecuting the case.
Four Gang Members Charged with Armed Robbery of New Jersey Bar, Violent Kidnapping of Taxi DriverRead the Press Release
NEWARK, N.J. – Four 18th Street gang members from Bergen County, New Jersey, and Rockland County, New York, were charged today with various offenses arising from their armed robbery of a Hawthorne, New Jersey, bar and the violent carjacking of a taxi that took place shortly afterwards, U.S. Attorney Paul J. Fishman announced.
Wilbur Jonathan Barahona, 20, of Ridgewood, New Jersey, Guillermo Carillo-Iraheta, 19, of Suffern New York, Juan Chiliseo-Vega, 19, of Suffern, and Jostin Reyes, 21, of Waldwick, New Jersey, were charged by complaint with conspiracy to commit Hobbs Act Robbery, carjacking, use of a firearm during a crime of violence, and kidnapping. All four appeared this afternoon before U.S. Magistrate Judge Cathy L. Waldor in Newark federal court.
Balmore Carillo-Iraheta, 19, of Suffern, and Oscar Avalos-Cortez, 22, of New City, New York, are also charged in the same complaint with conspiracy to commit Hobbs Act robbery. They had their initial appearances before U.S. Magistrate Judge Mark Falk on Nov. 1, 2016 and U.S. Magistrate Judge James B. Clark on Nov. 10, 2016, respectively. All six defendants, with the exception of Avalos-Cortez, have been detained. Avalos-Cortez was released on a $150,000 unsecured bond.
According to the complaint:
On Dec. 25, 2016, Barahona, Guillermo Carillo-Iraheta, Chiliseo-Vega, Reyes, Balmore Carillo-Iraheta, and Avalos-Cortez robbed a bar at gunpoint in Hawthorne, New Jersey, while Avalos-Cortez operated the getaway vehicle.
Later that evening, Barahona, Guillermo Carillo-Iraheta, Chiliseo-Vega, and Reyes robbed a taxicab driver at gunpoint, hit the taxicab driver in the head with a beer bottle, and sliced his throat with a knife before leaving him on the side of the New York State Thruway near Woodbury, New York. The taxicab driver survived.
The kidnapping charge carries a maximum potential penalty of life imprisonment. The carjacking charge carries a maximum potential penalty of 25 years in prison. The conspiracy charge carries a maximum potential penalty of up to 20 years in prison. The charge of brandishing a weapon in connection with the carjacking offense carries a mandatory penalty of seven years in prison.
U.S. Attorney Fishman credited special agents of the FBI, under the direction of Special Agent in Charge Timothy Gallagher in Newark, as well as the Ridgewood and Hawthorne Police Departments, with the investigation leading to the charges.
The government is represented by Assistant U.S. Attorney Karen D. Stringer of the U.S. Attorney’s Office General Crimes Unit in Newark.
The charges and allegations contained in the complaint are merely accusations, and the defendants are considered innocent unless and until proven guilty.
Four Defendants in North Idaho Drug Trafficking Organization Plead GuiltyRead the Press Release
COEUR D'ALENE – Jessica Nadine Frederick, 26, of Spokane, Washington, Sean Lee Jackson, 27, of Las Vegas, Nevada, Steven Wayne Jackson, 30, of Las Vegas, Nevada and Kristin Rene Wilson, 28, of Riverside, California pled guilty in federal court to conspiracy to distribute controlled substances, U.S. Attorney Wendy J. Olson announced. Frederick, Sean Jackson and Steven Jackson pled guilty on November 15, 2016. Wilson pled guilty this morning. In addition to pleading guilty to the drug charge, Wilson and Sean Jackson pled guilty to conspiracy to launder money. The defendants were indicted by a federal grand jury in Coeur d'Alene, Idaho, on January 20, 2016. In total, 11 defendants were indicted in the case and to date seven have pled guilty.
During the plea hearings, each defendant admitted to being part of the Loren Toelle Drug Trafficking Organization (DTO). Each defendant admitted to helping sell and transport heroin and oxycodone pills which traveled through Nevada, Washington, Idaho, Montana and North Dakota. Specifically, the defendants admitted the DTO operated from at least 2009 and continued until February 4, 2016. Each defendant also admitted to making sure the profits went back to the DTO and agreed to forfeit any interest in real property, jewelry or cash held by them or conspirators as outlined in the indictment. Wilson and Sean Jackson admitted to helping launder proceeds for the DTO by depositing drug proceeds into bank accounts, Money Tree or MoneyGram accounts in an attempt to hide the money or try to make it appear as if it was from a legitimate source.
Frederick and Steven Jackson each face up to 20 years in prison, at least 3 years supervised release, a maximum fine of $1,000,000, and a $100 special assessment.
Wilson and Sean Jackson each face at least 5 years and up to 40 years in prison, at least 4 years of supervised release, a maximum fine of $4,000,000 and a $100 special assessment.
Sentencing is set for March 7 and 8, 2017, before Chief U.S. District Judge B. Lynn Winmill at the federal courthouse in Coeur d'Alene.
The case was investigated by CDA Police, Drug Enforcement Administration (DEA) Federal Bureau of Investigation (FBI), Internal Revenue Service, Criminal Investigations (IRS-CI), Kootenai County Sheriff, North Idaho Violent Crimes Task Force (NIVCTF), and U.S. Customs and Border Protection.
The indictments are the result of a joint investigation of the Organized Crime and Drug Enforcement Task Force (OCDETF), which included the cooperative law enforcement efforts of the Federal Bureau of Investigation, Drug Enforcement Administration, Internal Revenue Service-Criminal Investigation, U. S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI), and U.S. Marshals Service and the North Idaho Violent Crime Task Force.
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.
Former Orange County Resident Pleads Guilty to Fleeing United States to Avoid Prosecution in Health Care Fraud CaseRead the Press Release
LOS ANGELES – A medical doctor who was facing charges in a federal health care fraud case when he fled the United States 14 years ago and faked his own death in Russia has pleaded guilty to federal charges related to his flight from justice.
Tigran Svadjian, 58, a naturalized U.S. citizen originally from Armenia who was residing in Newport Beach prior to fleeing the country in September 2002, pleaded guilty yesterday before United States District Judge Michael W. Fitzgerald.
Svadjian pleaded guilty to unlawful flight to avoid prosecution, the sole count in an indictment that was returned by a federal grand jury on September 2, 2016.
In a case filed in 2002 in Sacramento, Svadjian was charged in a scheme to defraud Medi-Cal by submitting bills for tests that had not been performed, in many cases because the “patients” were dead. After being ordered to appear in federal court in the Eastern District of California for an arraignment in that case, he went to Russia, leaving behind his wife and children.
On October 24, 2002, the United States Embassy in Moscow received notification that Svadjian had died of pneumonia and that his body had been cremated. The Embassy issued a report documenting the death, and Svadjian’s defense counsel submitted that report to federal prosecutors. In January 2013 after lengthy and unsuccessful attempts to locate Svadjian or to obtain further confirmation of his death, prosecutors in the Eastern District of California dismissed the health care fraud case.
During his change of plea hearing yesterday, Svadjian admitted that he paid a Russian police officer in 2002 to fake his death and submit an official report about his death to the United States Embassy. Soon after, Svadjian relocated to Hurghada, Egypt, where he occasionally worked as a scuba instructor.
Svadjian was taken into custody by Egyptian authorities on August 1 – nearly 14 years after he fled the United States. Svadjian had been deported to Egypt by Ukrainian authorities after they determined he was travelling on a fraudulent Lithuanian passport. Egyptian authorities discovered in his residence an old United States passport with his true name.
“Although this defendant’s attempted flight from justice delayed his prosecution, he could not escape it,” said United States Attorney Eileen M. Decker. “This defendant developed an elaborate hoax to avoid prosecution, a scheme that involved faking his death and assuming a false identity. But he seriously underestimated the dedication of the Department of Justice, and he now faces the prospect of a lengthy stay in federal prison.”
“Mr. Svadjian’s luck in deceiving authorities in the U.S. and abroad for many years ultimately ran out,” said Deirdre Fike, the Assistant Director in Charge of the FBI’s Los Angeles Field Office. “FBI Agents around the world took part in bringing Mr. Svadjian back to face the consequences of his actions. This case demonstrates not only the global reach of the FBI, but our commitment to holding accountable individuals who flee from justice, regardless of how far they run or how much time has passed.”
Judge Fitzgerald is scheduled to sentence Svadjian on February 9, at which time the defendant faces a statutory maximum sentence of five years in federal prison.
This case was investigated by the Federal Bureau of Investigation.
This case is being prosecuted by Assistant United States Attorney Bryant Y. Yang of the General Crimes Section.
Former Employee of Albuquerque Halfway House Sentenced to Prison for Sexually Abusing Female InmatesRead the Press Release
ALBUQUERQUE – U.S. Attorney Damon P. Martinez and Special Agent in Charge Monte A. Cason of the Department of Justice Office of the Inspector General, Dallas Field Office, announced that a former employee of a halfway house in Albuquerque, N.M., was sentenced this morning to 100 months in federal prison followed by five years of supervised release for sexually abusing six female inmates who were under his custodial authority.
Eric Trujillo, 36, of Albuquerque, N.M., was arrested in Nov. 2015, on a seven-count indictment charging him with aggravated sexual abuse and sexual abuse of persons in official detention. The indictment charged Trujillo with sexually abusing four women who were living at a halfway house in Bernalillo County, N.M., that provided lodging and other services for federal inmates under a contract with the U.S. Bureau of Prisons. According to the indictment, Trujillo committed the crimes between June 2012 and March 2014, while he was employed as a resident monitor by the halfway house.
The indictment was superseded on March 23, 2016, to add two more sexual abuse charges. The new charges alleged that between May 2012 and Sept. 7, 2012, Trujillo sexually assaulted two more women who were residing at the halfway house.
Trujillo pled guilty in federal court on May 23, 2016, to a six-count felony information charging him with sexually abusing persons in official detention. In entering the guilty plea, Trujillo admitted that between May 2012 and March 2014, he engaged in sexual acts with six female inmates who were living at the halfway house pursuant to a contract with the U.S. Bureau of Prisons. Trujillo acknowledged that at the time, he was employed as a resident monitor and guard by the halfway house and that the victims were in official detention and under his custodial, supervisory and disciplinary authority.
This case was investigated by the Dallas Field Office of the Department of Justice Office of the Inspector General with assistance from the Albuquerque Police Department, and was prosecuted by Assistant U.S. Attorneys Novaline D. Wilson and Sarah J. Mease.
Former Correctional Officer, Two Others Indicted for Smuggling Oxycodone into Shelby County JailRead the Press Release
Memphis, TN –A Shelby County Correctional Officer and two other individuals have been indicted for their roles in a scheme to smuggle prescription opioids and other contraband inside the Shelby County Correctional Center. Edward L. Stanton III, U.S. Attorney for the Western District of Tennessee; Michael T. Gavin, Special Agent in Charge of the Federal Bureau of Investigation’s Memphis Division; and Bill Gupton, Director of the Shelby County Division of Corrections, announced the indictments today.
"Committing criminal acts like those alleged threatens the reputation of the many correctional officers who perform their jobs with honor and integrity every day," said U.S. Attorney Stanton. "This indictment should serve as a reminder that no one is excluded from criminal prosecution."
According to the indictments, Kevin Thomas, 38; Kalon Jennings, 29; and Aaron Travonta Wallace, 26; all of Memphis, Tennessee; attempted to smuggle oxycodone and other contraband into the Shelby County Correctional Center. The defendants’ criminal behavior was revealed during an undercover investigation law enforcement conducted between April 2015 and August 2016.
In addition to the smuggling of oxycodone, the investigation revealed that Jennings, a correctional officer, sold numerous inmates’ social security numbers in exchange for cash on two separate occasions.
"These indictments represent the successful cooperative efforts of the FBI and its partners to target those who would attempt to smuggle contraband into a Correctional Center and the corrupt Correctional Officers who assist them," said Gavin. "The FBI will continue to aggressively pursue those who choose to break the law, no matter where that may occur."
"Once we discovered the scheme, our staff immediately reported these actions to area law enforcement agencies," said Gupton. "This multi-agency investigation led to the arrests. It should send a clear message to our staff at the corrections center that the net is always out there. If policy violations or criminal actions occur, there will be swift consequences."
Thomas and Wallace are each being charged with one count of attempting to unlawfully possess with the intent to distribute and distribute oxycodone. If convicted, they face up to 20 years in federal prison and a fine of up to $1 million.
Jennings is being charged with two counts of attempting to unlawfully possess with the intent to distribute and distribute oxycodone. If convicted, he faces up to 20 years in federal prison and a fine of up to $1 million per count.
Jennings is also being charged with two counts of unlawfully possessing and using the social security numbers of numerous inmates during the commission of a felony violation. If convicted, he faces a mandatory sentence of two years in federal prison, which is consecutive to any other term of imprisonment. He also faces a fine of up to $250,000.
This case is being investigated by the FBI’s Tarnished Badge Task Force and the Shelby County Correctional Center.
Assistant U.S. Attorney Kevin Whitmore is prosecuting this case on the government’s behalf.
The charges and allegations in the indictment are merely accusations, and the defendants are presumed innocent unless and until proven guilty.
Former Bank Vice President Sentenced for EmbezzlingRead the Press Release
BOSTON – A former vice president of Lenox National Bank was sentenced yesterday in U.S. District Court in Springfield for embezzling more than $150,000 from the bank.
Joseph E. Leskovitz, 53, of Lenox, Mass., was sentenced by U.S. District Court Judge Mark G. Mastroianni to 22 months in prison, three years of supervised release and ordered to pay $154,783 in restitution. In July 2016, he pleaded guilty to three counts of embezzlement of bank funds and one count of money laundering.
Between approximately 2009 and February 2014, Leskovitz was the vice president of Lenox National Bank, which was acquired in 2015 by Adams Community Bank. Leskovitz stole money from certificates of deposits he was entrusted to manage for family members and clients. In addition, Leskovitz opened a loan in the name of a family member without the family member’s knowledge and stole the loan proceeds.
United States Attorney Carmen M. Ortiz and Harold H. Shaw, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division made the announcement. Assistant U.S. Attorney Karen L. Goodwin of Ortiz’s Springfield Branch Office prosecuted the case.
Former AFLAC Employee Convicted in Scheme to Defraud Insurance Company out of $4 Million through Bogus Disability ClaimsRead the Press Release
SANTA ANA, California – A former sales representative for AFLAC has been found guilty of federal fraud charges stemming from a scheme that bilked the insurance company out of $4 million with fake disability claims.
Patricia Diane Smith Sledge, 60, of Redlands, was convicted late Tuesday in the scheme involving fictitious employers and “employees” who falsely claimed to have suffered injuries that prevented them from working.
At the conclusion of a two-week trial, the jury convicted Sledge of six counts of mail fraud. The jury also found that Sledge committed two counts of witness tampering while on bond in this case.
United States District Judge James V. Selna, who presided over the trial, ordered Sledge to return to court for a sentencing hearing on March 20, 2017, at which time the defendant will face a statutory maximum sentence of 160 years in federal prison.
The evidence presented at trial showed that Sledge, who was residing in Irvine while working for the company formally known as American Family Life Assurance Company, sold disability insurance policies to bogus companies and people who supposedly worked for those companies. Sledge then orchestrated the filing of fraudulent disability claims and directed the purported employees to doctors that would sign off on the fake injury claims.
As a result of the false claims, AFLAC suffered losses of approximately $4 million.
Sledge made money both from the commissions related to the sale of the fraudulent insurance policies and from kickbacks she received from the supposedly injured “employees.”
“Using knowledge she gained as a company insider, this defendant was able to game the system, causing her employer to suffer millions of dollars in losses,” said United States Attorney Eileen M. Decker. “While her scheme went unnoticed for a period of time, her employer was able to uncover the conduct and referred the matter to federal authorities. This cooperation from the victim and a thorough investigation by law enforcement has resulted in this successful prosecution.”
Sledge was also found guilty of witness tampering for encouraging potential witnesses to lie to federal investigators and discouraging them from cooperating in the investigation. Both counts related to conduct after Sledge became aware of the federal investigation, and one count stemmed from conduct after she was indicted in this case and freed on bond in 2012.
“Defendant Sledge illegally misused the authority granted to her as a licensed insurance agent in California for her own personal gain, at the expense of her trusted employer,” said Deirdre Fike, the Assistant Director in Charge of the FBI's Los Angeles Field Office. “In addition, the defendant's brazen attempt of witness tampering to tilt the justice system in her favor further demonstrates her lack of respect for the rule of law. The lengthy prison sentence the defendant faces should serve as a warning to anyone contemplating insurance fraud.”
Two others have been prosecuted for acting as fake employers and fake employees in this scheme.
The case against Sledge and the others involved in the scheme is the result of an investigation by United States Department of Labor - Officer of Inspector General, the Federal Bureau of Investigation, and California’s Department of Insurance.
This case is being prosecuted by Assistant United States Attorney Vibhav Mittal of the Santa Ana Branch Office and Assistant United States Attorney Joshua O. Mausner of the General Crimes Section.
Floridian Charged with Defrauding First Commonwealth BankRead the Press Release
PITTSBURGH - A resident of Bal Harbour, Florida, has been indicted by a federal grand jury in Pittsburgh on charges of bank fraud, United States Attorney David J. Hickton announced today.
The three-count indictment named Edmund M. Abramson, 81, is the sole defendant.
According to the indictment, Abramson lied about his assets and falsified financial statements in order to obtain loans from First Commonwealth Bank.
The law provides for a maximum total sentence of 70 years in prison, a fine of $1,500,000 or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Robert S. Cessar is prosecuting this case on behalf of the government.
The Federal Bureau of Investigation conducted the investigation leading to the indictment in this case.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Federal charges filed in W.Va. Division of Highways pay-to-play schemeRead the Press Release
WHEELING, WEST VIRGINIA – Four individuals and a corporation are facing federal charges for conspiring to steer West Virginia Division of Highways projects to a South Carolina business in exchange for bribes and kickbacks, United States Attorney William J. Ihlenfeld, II, announced.
Bruce E. Kenney, III, Andrew P. Nichols, James Travis Miller, and Mark R. Whitt have been charged in a scheme which caused $1.5 million worth of highway work to be routed to the Dennis Corporation, a Columbia, South Carolina engineering consulting firm. Bayliss and Ramey, Inc., a Putnam County highway electrical contractor, has also been charged.
Kenney, age 60, of Norfolk, Virginia, is alleged to have used his position in the Traffic Engineering Division of the Division of Highways to bypass normal state procedures and funnel structure inspection work to the Dennis Corporation in exchange for covert payments totaling nearly $200,000. Kenney was charged by Information today with honest services wire fraud conspiracy and conspiracy to impede the Internal Revenue Service.
Nichols, age 38, of Lesage, West Virginia, formerly served as the manager of the West Virginia Division of the Dennis Corporation while also working as an engineering professor. He is alleged to have managed the financial relationships of his co-conspirators, to have ensured that payments were made, and to have lied to federal agents about his involvement in the scheme. Nichols was indicted earlier this month on charges of conspiracy to commit honest services wire fraud and money laundering, along with obstructing justice and making false statements. The indictment was unsealed this morning.
Miller, age 40, of Hurricane, West Virginia, also worked for the Division of Highways before leaving to work for the Dennis Corporation. He is alleged to have delivered covert payments to Kenney in exchange for official actions that were done in favor of Dennis Corporation. Miller was charged by Information today with money laundering conspiracy.
Whitt, 52, of Winfield, West Virginia, was the president and owner of Bayliss and Ramey, Inc., which was awarded the statewide signal maintenance contract in 2009. Whitt allegedly used the
contract to funnel construction work to Dennis Corporation. He benefitted financially for helping to conceal the illegal flow of funds from the Division of Highways to Dennis Corporation. Whitt was charged by Information today with wire fraud conspiracy.
Bayliss and Ramey, Inc. submitted invoices with a twenty percent mark-up to ensure that it would be compensated for its role in the scheme. This mark-up by Bayliss and Ramey caused the State of West Virginia to pay a higher price than it should have for engineering services. The corporation was charged by Information today with wire fraud conspiracy.The criminal conduct in this matter occurred from 2008 until 2014. The investigation began in September 2015 when information about the scheme was provided to the U.S. Attorney’s Office.
Each individual defendant faces the possibility of incarceration. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offense and the criminal history, if any, of each defendant. Each defendant is presumed innocent unless and until proven guilty.
Assistant U.S. Attorneys Jarod J. Douglas and Sarah W. Montoro are prosecuting the case on behalf of the government. The case is being investigated by the U.S. Attorney’s Public Corruption Unit, which includes the Federal Bureau of Investigation, the West Virginia Commission on Special Investigations, IRS-Criminal Investigation, and the West Virginia State Police. The investigation is ongoing.
Ihlenfeld commended the efforts of all of the investigators, and encouraged citizens with information regarding public corruption in their community to call the West Virginia Public Corruption Hotline at 855-WVA-FEDS (855-982-3337), or to send an email to [email protected].Federal Jury Convicts San Angelo Man for Role in Conspiracy to Distribute MethamphetamineRead the Press Release
LUBBOCK, Texas — Late yesterday, following a one-day trial before Senior U.S. District Judge Sam R. Cummings, a federal jury convicted Richard Jasso, 39, of San Angelo, Texas, on one count of distribution and possession with intent to distribute 50 grams of more of methamphetamine and aiding and abetting, announced U.S. Attorney John Parker of the Northern District of Texas.
The government filed a notice of enhancement because Jasso has two previous “felony drug offenses.” If the Court finds those convictions are final and valid, then, by statute, the Court must impose a life sentence, without parole. A sentencing date was not set.
Jasso has been in custody since his arrest on July 13, 2016, when numerous defendants, most from the San Angelo area, were arrested in a joint Organized Crime Drug Enforcement Task Force (OCDETF) operation led by the Drug Enforcement Administration (DEA), the Texas Department of Public Safety, and the San Angelo Police Department. Twelve defendants, including the drug trafficking organization’s leader, Rudolfo Ledesma Castaneda, Jr., 31, were charged in an indictment with various felony offenses stemming from their respective roles in a methamphetamine distribution conspiracy that operated in San Angelo.
The government presented evidence at trial that Jasso delivered 54 net grams of pure methamphetamine to an individual working at the direction of the Drug Enforcement Administration. The buy took place in San Angelo.
With Jasso’s conviction, all 12 defendants charged in the indictment have been convicted and await sentencing. One defendant, Jesse Huerra, 31, was convicted at trial in San Angelo in September 2016 on methamphetamine distribution and firearm charges. He faces a mandatory life sentence.
The DEA, Bureau of Alcohol, Tobacco, Firearms and Explosives, Texas Department of Public Safety and the San Angelo Police Department investigated the case.
Assistant U.S. Attorney Jeffrey Haag is in charge of the prosecution.
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Federal Indictment: Topeka Man Fired Gun During RobberyRead the Press Release
TOPEKA, KAN. – A federal grand jury returned an indictment Wednesday charging a Topeka man with a robbery in which he is alleged to have fired a gun, U.S. Attorney Tom Beall said.
Audley M. Crable, 28, Topeka, Kan., is charged with one count of commercial robbery and one count of discharging a firearm in furtherance of the robbery. The indictment alleges that on Nov. 19, 2011, Crable discharged a gun while he robbed Mo’s Express at 810 Southeast 15th in Topeka, severely injuring two employees.
If convicted, he faces up to 20 years and a fine up to $250,000 on the robbery charge, and a consecutive sentence of not less than 10 years on the firearms charge, and a fine up to $250,000 on both charges. The FBI and the Topeka Police Department investigated. Assistant U.S. Attorney Jared Maag is prosecuting.
OTHER GRAND JURY INDICTMENTS
Luis Antonio Aguilera Martinez, 22, who is in custody, is charged with unlawfully re-entering the United States after being deported. He was found Nov. 1, 2016, in Coffey County, Kan.
If convicted, he faces up 10 years in federal prison and a fine up to $250,000. Homeland Security Investigations investigated. Assistant U.S. Attorney Duston Slinkard is prosecuting.
Kevin Martin, 35, who is in custody at the Wyandotte County Detention Center, is charged with one count of unlawful possession of a firearm following a felony conviction. The crime is alleged to have occurred Nov. 5, 2016, in Wyandotte County, Kan.
If convicted, he faces up to 10 years in federal prison and a fine up to $250,000. The Bureau of Alcohol, Tobacco, Firearms and Explosives investigated. Assistant U.S. Attorney Leon Patton is prosecuting.
In all cases, defendants are presumed innocent until and unless proven guilty. The indictments merely contain allegations of criminal conduct.
Federal Court in Florida Bars Former LBS Tax Services Franchisor from Owning Tax Return Preparation Businesses and Preparing Tax Returns for OthersRead the Press Release
Courts also Order Defendants to Disgorge Ill-Gotten Gains totaling $10.5 Million
Today, a federal district court in Orlando, Florida barred the former LBS Tax Services franchisor, Walner Gachette, from preparing tax returns and entered a $5 million judgment against him. According the government’s complaint, Gachette was responsible for growing LBS Tax Services from a single store in Orlando in 2008 to 239 stores in 2013 located in Alabama, Florida, Georgia, Mississippi, North Carolina, South Carolina, Tennessee, and Texas, with a stated goal of 1,000 stores by 2016. Since September 2014, the United States filed 11 lawsuits in Orlando, Miami and Tampa, Florida against Gachette and 14 former LBS franchisees and managers to bar each from owning or operating a tax return preparation business and preparing tax returns for others.
The former LBS Tax Services franchisees and managers sued by the government include Douglas Mesadieu of Orlando, Florida; Jean Demesmin of Mt. Dora, Florida; Tonya Chambers of Winter Garden, Florida; Kerny Pierre-Louis of Windermere, Florida; Jehoakim Victor of Orlando, Florida; Lauri Rodriguez of Tampa, Florida; Demetrius Scott of Orlando, Florida; Jason Stinson of Longwood, Florida; Wilfred Antoine of Lake Worth, Florida; Milot Odne of Tampa, Florida; Alexander Baraz of Spring Hill, Florida; Patrick Clarke of Hallandale Beach, Florida; Ruby Rodriguez of Orlando, Florida; and Christopher Lawrence of Coral Springs, Florida. The government alleged that many of these former LBS franchisees and managers initially operated their tax returns preparation stores as “LBS Tax Services,” but later changed their stores’ names. The United States also sued Kenneth Aikens of Brooklyn, New York, who worked for Lawrence as a tax preparer and manager before Aikens assumed ownership of several tax return preparation stores in the Miami area, according to the government’s complaint.
According to the United States’ complaints, at least 239 tax preparation stores were affiliated with LBS Tax Services in 2013. These 239 stores – 192 of which were owned by the defendants – prepared more than 55,000 federal income tax returns, according to the government’s complaints. The United States alleged that the defendants targeted primarily low-income customers with deceptive and misleading advertisements (one such advertisement frequently used by the defendants’ stores suggests that potential customers will receive a tax refund of more than $3,000 “per child”), prepared and filed false tax returns that unlawfully increased their customers’ refunds, and profited by charging excessive preparation fees – all at the expense of their customers and the U.S. Treasury.
According to the complaints, fraudulent schemes and practices occurred at the defendants’ stores which overstated customers’ federal income tax refund by:
- Falsely claiming the Earned Income Tax Credit by inflating or decreasing a customer’s income or deductions;
- Claiming improper filing statuses that increase the amount of the standard deduction (e.g. claim the head of household status for married customers who are ineligible to do so);
- Fabricating self-employment businesses and related business income and expenses;
- Fabricating deductions such as charitable contributions and unreimbursed employee business expenses, including improperly deducting business mileage based on customers’ nondeductible commuting mileage; and
- Falsely claiming education credits.
In addition to these fraudulent schemes and practices, the defendants charged excessive fees for each additional tax form attached to the tax return, according to the government’s complaints. After preparing and filing the returns based on the unlawful practices detailed above, the defendants allegedly subtracted fees directly from the refunds. According to the complaints, the defendants’ customers were often unaware of the fees that the defendants reaped. In an attempt to increase their profits, the defendants’ stores allegedly implemented “$999 charge weeks,” during which the stores would charge as many customers as possible $999 for the preparation of a tax return, according to the government’s complaints.
Through the case against Gachette and the other lawsuits, federal courts in Orlando and Miami, permanently barred Gachette, Mesadieu, Demesmin, Chambers, Pierre-Louis, Scott, Antoine, Lawrence, Aikens, Victor, and Rodriguez from owning tax preparation businesses and preparing tax returns. In addition, these courts have also ordered many of the defendants to disgorge to the United States the proceeds that they received through their tax preparation businesses. Judgments were entered in favor of the United States and against Gachette in the amount of $5 million, against Lawrence in the amount of $1.4 million, against Demesmin, Pierre-Louis, and Scott in the amount of $1 million each, against Aikens and Chambers in the amount of $500,000 each, and against Antoine in the amount of $100,000.
In addition to these final judgments and permanent injunctions, courts have entered preliminary injunctions in cases still pending against Stinson, Odne and Baraz. Odne and Baraz consented to these preliminary injunctions; however, Stinson did not. The Eleventh Circuit Court of Appeals upheld the preliminary injunction against Stinson issued by a federal court in Orlando, Florida. The preliminary injunctions bar these individuals from owning and operating tax preparations businesses and preparing tax returns while the lawsuits against them are pending.
Return preparer fraud is one of the IRS's Dirty Dozen Tax Scams for 2016. The IRS has some tips on their website for choosing a tax preparer. In the past decade, the Tax Division has obtained injunctions against hundreds of unscrupulous tax preparers. Information about these cases is available on the Justice Department’s website. An alphabetical listing of persons enjoined from preparing returns and promoting tax schemes can be found on this page. If you believe that one of the enjoined persons or businesses may be violating an injunction, please contact the Tax Division with details.
Elkhart Man Sentenced to 151 Months’ ImprisonmentRead the Press Release
SOUTH BEND – United States Attorney for the Northern District of Indiana, David Capp, announced that Omar Loza, 33, of Elkhart, Indiana was sentenced before South Bend District Court Judge Jon. E. DeGuilio for possessing with intent to distribute and distribution of cocaine.
Loza was sentenced to 151 months’ imprisonment and 3 years supervised release.
According to documents filed in this case, Loza was involved in a group that shipped cocaine from Texas to Elkhart, Indiana. Loza then arranged for shipments to be transported to Columbus, Ohio.
This case was investigated by the Drug Enforcement Administration and the Internal Revenue Service Criminal Investigation Division. The case was handled by Assistant United States Attorney Frank E. Schaffer.
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Eight Charged in Federal Drug Trafficking ConspiracyRead the Press Release
GALVESTON, Texas – A total of eight people are set to appear in federal court today in relation to a drug trafficking conspiracy involving cocaine and methamphetamine, announced U.S. Attorney Kenneth Magidson
Those charged include Agusto Lazo-Aguirre, 39, Marco Antonio Duran-Millan, 29, Rafael Ortuno Carreno, 36, and Gabriel Santiago-Ochoa, 30, all of Houston; Tony Perez, 23, of Dickinson; and Carlos Chayane Morales, 26, Francisco Solano-Huerta, 58, and Juana Guadalupe Joya, 47, all of Galveston.
They are all set for a detention hearing today at 1:00 p.m. before U.S. Magistrate Judge John Froeschner in Galveston.
Authorities arrested Perez, Solano, Joya and Duran during an enforcement action late last week. The other four had already been in custody.
The eight-count indictment charges all of defendants with conspiring from July 1, 2015, to Feb. 22, 2016, to possess with intent to distribute more than 50 grams of methamphetamine or more than 500 grams of a mixture or substance containing methamphetamine and more than five kilograms of cocaine.
Carreno, Lazo-Aguirre and Duran-Millan are also charged as illegal aliens who unlawfully possessed one or more firearms.
In addition, Morales is charged with three counts of possession with intent to distribute methamphetamine, while Lazo-Aguirre, Perez and Ochoa are each charged with one of these substantive counts.
If convicted of the drug conspiracy offense, the eight defendants face a minimum of 10 years and up to life in prison and a possible $10 million fine. Those charged in the substantive possession count face the dame penalties, while the illegal aliens in possession of firearms charges carry a possible 10-year-term of imprisonment.
The Drug Enforcement Administration; the Bureau of Alcohol, Tobacco, Firearms and Explosives; FBI; Galveston Police Department; and the Galveston County Sheriff’s Office conducted the investigation. Assistant U.S. Attorney Kenneth Cusick is prosecuting the case.
An indictment is a formal accusation of criminal conduct, not evidence.
A defendant is presumed innocent unless and until convicted through due process of law.
Drug Arrests Lead to Recovery of 119 Pounds of Cocaine and Stacks of CashRead the Press Release
NEWPORT NEWS, Va. – Four men were indicted here this morning for their involvement in a large-scale cocaine trafficking conspiracy. When the men were arrested law enforcement officers seized approximately 54 kilograms (119 pounds) of cocaine and 100 bundles of shrink wrapped cash containing $5,000 to $10,000 each.
Marvin O’Neal Carter, Sr., 49, of Newport News; Michael Stephen Kuna, 42, of Canada; Daniel Rodriguez, 49, and Hilario Rodriguez, 50, both of California; were charged with conspiracy to distribute and possess with intent to distribute five kilograms or more of cocaine. Carter was also charged with possession with intent to distribute 500 grams or more of cocaine, possession with intent to distribute heroin, possession of a firearm during a drug trafficking crime and maintaining a drug involved premises. In addition to the conspiracy charge, Daniel and Hilario Rodriguez were charged with interstate travel in aid of racketeering.
According to court documents, agents observed the arrival of a tractor trailer at a garage leased by Carter. The tractor trailer eventually off-loaded the trailer next to the garage, and agents observed Michael Kuna, and Daniel and Hilario Rodriguez arrive and park in Carter’s garage parking lot. The four men then allegedly worked together to unload cocaine from hidden compartments located underneath the trailer. A short time later, Kuna was observed loading two large duffel bags with green straps into a vehicle before leaving the area. Law enforcement agents conducted a traffic stop on Kuna and located the two duffle bags which emanated with the odor of wet currency.
According to court documents, as Kuna was being detained, agents executed two federal search warrants on the garage and trailer. During the search, approximately 54 kilograms of cocaine and 100 bundles of cash in $5,000 to $10,000 stacks were recovered. The search of the garage also led to the recovery of a firearm and a quantity of heroin, in addition to approximately $42,000 in cash from a safe.
Each defendant faces a mandatory minimum sentence of 10 years in prison and a maximum sentence of life in prison, if convicted. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes, as the sentencing of the defendant will be determined by the court based on the advisory Sentencing Guidelines and other statutory factors.
Dana J. Boente, U.S. Attorney for the Eastern District of Virginia; Karl C. Colder, Special Agent in Charge for the Drug Enforcement Administration’s (DEA) Washington Field Division; Jonathan F. Trimble, Acting Special Agent in Charge of the FBI’s Norfolk Field Office; Richard W. Myers, Chief of Newport News Police; and Terry L. Sult, Chief of Hampton Police Division, made the announcement after the indictment was filed. Assistant U.S. Attorney Howard J. Zlotnick and Special Assistant U.S. Attorney Amy E. Cross are prosecuting the case.
A copy of this press release may be found on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information may be found on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 4:16-cr-76.
An indictment contains allegations that a defendant has committed a crime. Every defendant is presumed to be innocent until and unless proven guilty in court.
Dracut Attorney Pleads Guilty to Filing False Tax ReturnsRead the Press Release
BOSTON – A Dracut attorney pleaded guilty in U.S. District Court in Boston yesterday to filing false federal tax returns.
John F. Paczkowski, 73, pleaded guilty to two counts of filing false personal tax returns for 2009 and 2010. U.S. District Judge George A. O’Toole scheduled sentencing for Feb. 16, 2017.
Paczkowski operated a legal office in Dracut as a sole practitioner. In this capacity, he was required by the Massachusetts Board of Bar Overseers and the Rules of Professional Conduct to hold client funds in a trust separate from his own funds. However, Paczkowski embezzled and misappropriated funds from the trust account and used clients’ funds for his own uses. Paczkowski failed to report to the IRS more than $630,000 he took from clients and failed to pay more than $192,000 in federal taxes.
The charging statute provides for a sentence of no greater than three years in prison, one year 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 the federal district judge based on the U.S. Sentencing Guidelines and other sentencing factors.
United States Attorney Carmen M. Ortiz and Joel P. Garland, Special Agent in Charge of the Internal Revenue Service’s Criminal Investigation in Boston, made the announcement. Assistant U.S. Attorney Victor A. Wild of Ortiz’s Economic Crimes Unit prosecuted the case.
Derek Fields Found Guilty by Jury TrialRead the Press Release
SOUTH BEND – United States Attorney for the Northern District of Indiana, David Capp, announced that Derek Fields, 30, of South Bend, Indiana was found guilty, after a 3-day jury trial, of kidnapping, transmitting a ransom demand, discharging a weapon during a crime of violence and felon in possession of a firearm. He is the last of three co-defendants to be tried in this matter. Ivan Brazier was convicted on July 13, 2016 of kidnapping and extortion and is scheduled to be sentenced on December 14, 2016. Lindani Mzembe was convicted on August 24, 2016 of kidnapping, extortion, felon in possession, and use of a firearm in a crime of violence, and is scheduled to be sentenced on December 1, 2016.
According to documents filed in this case, Fields and his codefendants possessed firearms as felons to unlawfully confine or kidnap an individual against their will and demanded a ransom for that individual. A firearm was discharged, hitting the victim, during the kidnapping.
This case was prosecuted as a result of an investigation by the Bureau of Alcohol, Tobacco, Firearms and Explosives; Federal Bureau of Investigation; South Bend Police Department and the St. Joseph County Metro Homicide. This case was prosecuted by Assistant United States Attorneys John M. Maciejczyk and Joel Gabrielse.
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Cosby Resident Sentenced to Serve Ten Years in Prison for Possession of Marijuana for Distribution and Violation of Supervised ReleaseRead the Press Release
GREENEVILLE, Tenn. –George Mooneyham, 57, of Cosby, Tenn., was sentenced on Nov. 16, 2016, by the Honorable J. Ronnie Greer, U.S. District Court Judge, to serve 120 months in federal prison.
In July 2016, Mooneyham pleaded guilty to possession with the intent to distribute marijuana. At the time of the investigation into his distribution of marijuana, Mooneyham was already under the supervision of a federal probation officer, following service of a prison sentence for his 2004 conviction for distribution of cocaine in the U.S. District Court for the Eastern District of Tennessee. Mooneyham’s participation in new criminal activity was a violation of the terms of his supervised release. The court sentenced Mooneyham to 60 months for the marijuana distribution conviction and to a consecutive 60 months for violation of the terms of his supervised release for a net effective sentence of 120 months.
Agencies involved in this investigation included the Cocke County Sheriff’s Office, Drug Enforcement Administration, U.S. Marshal Service, and U.S. Probation. Assistant U.S. Attorney, J. Gregory Bowman, represented the United States.
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Congressional Staffer Pleads Guilty to Failure to File Income Tax ReturnsRead the Press Release
ALEXANDRIA, Va. – Isaac Lanier Avant, of Arlington, a congressional staffer employed by the U.S. House of Representatives since 2000, pleaded guilty today to willfully failing to file an individual income tax return.
According to the statement of facts filed with the plea agreement, despite earning more than $165,000 each year from 2008 through 2013, Avant failed to timely file personal income tax returns for any of those years. Avant filed returns for tax years 2006 and 2007, but those returns each contained false deductions. In May 2005, Avant caused a form to be filed with his employer that falsely claimed he was exempt from federal income taxes. Avant did not have any federal tax withheld from his paycheck until the IRS mandated that his employer begin withholding in January 2013.
As part of his plea agreement, Avant agreed to pay restitution in the amount of $153,522 to the IRS, and faces a maximum penalty of one year in prison, a term of supervised release, and monetary penalties when sentenced on Jan. 17, 2017. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes, as the sentencing of the defendant will be determined by the court based on the advisory Sentencing Guidelines and other statutory factors.
Dana J. Boente, U.S. Attorney for the Eastern District of Virginia; and Caroline D. Ciraolo, Principal Deputy Assistant Attorney General of the Justice Department’s Tax Division, made the announcement after the plea was accepted by Magistrate Judge Theresa C. Buchanan. Assistant U.S. Attorney Jack Hanly and Assistant Chief Todd Ellinwood of the Tax Division are prosecuting the case.
A copy of this press release may be found on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information may be found on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:16-mj-385.
Congressional Staffer Pleads Guilty to Failure to File Income Tax ReturnRead the Press Release
A congressional staffer pleaded guilty today to willfully failing to file an individual income tax return, announced Principal Deputy Assistant Attorney General Caroline D. Ciraolo, head of the Justice Department’s Tax Division, and U.S. Attorney Dana J. Boente for the Eastern District of Virginia.
According to court filed documents, Issac Lanier Avant, a resident of Arlington, Virginia, is a staff member who has been employed by the U.S. House of Representatives since approximately 2000. Despite earning more than $165,000 each year from 2008 through 2013, Avant failed to timely file personal income tax returns for any of those years. Avant filed returns for tax years 2006 and 2007, but those returns each contained false deductions.
In May 2005, Avant caused a form to be filed with his employer that falsely claimed he was exempt from federal income taxes. Avant did not have any federal tax withheld from his paycheck until the Internal Revenue Service (IRS) mandated that his employer begin withholding in January 2013.
Sentencing is scheduled for Jan. 17, 2017. Avant faces a statutory maximum sentence of one year in prison, a term of supervised release and monetary penalties. As part of his plea agreement, Avant agreed to pay restitution in the amount of $153,522 to the IRS.
Principal Deputy Assistant Attorney General Ciraolo and U.S. Attorney Boente thanked special agents of IRS-Criminal Investigation and the FBI, who conducted the investigation, and Assistant U.S. Attorney Jack Hanly and Assistant Chief Todd Ellinwood of the Tax Division, who are prosecuting the case.
Additional information about the Tax Division and its enforcement efforts may be found on the division’s website.
Clinton Man Sentenced to Almost Six Years for Pharmacy RobberyRead the Press Release
Contact: F. Todd Lowell
Assistant United States Attorney
Tel: (207) 945-0373Bangor, Maine: United States Attorney Thomas E. Delahanty II announced that James J. Senior, 40, of Clinton, Maine was sentenced today in U.S. District Court by Judge John A. Woodcock, Jr. to 71 months in prison and three years of supervised release for pharmacy robbery. He was also ordered to pay restitution. Senior pleaded guilty on June 11, 2015.
Court records show that on March 31, 2015, Senior entered the Rite Aid Pharmacy in Newport, Maine, approached the pharmacy counter, presented a note that demanded oxycodone and threatened that employees would be harmed if they did not comply. While Senior waited, he told the employees to “hurry up” and “get moving.” He absconded with three bottles of oxycodone and hydrocodone-ibuprofen pills.
Law enforcement officers released a video of the robbery. After receiving a tip, they confirmed that Senior was the robber by comparing the video footage to a known photograph of Senior. Officers also recovered the three pill bottles that Senior had discarded a short distance from the pharmacy. The next day, Senior surrendered to the Waterville Police Department and admitted that he was the robber.
In imposing sentencing, Judge Woodcock noted the defendant’s “horrendous” criminal history involving 17 convictions -- including felony drug trafficking and felony assault and battery convictions -- and the “chilling” nature of the robbery.
The investigation was conducted by the Newport Police Department, the Maine State Police, the Waterville Police Department, and the Federal Bureau of Investigation.
Central Oregon Man Indicted for Carjacking, Kidnapping, and Firearms OffensesRead the Press Release
EUGENE, Ore. – On Wednesday, November 16, 2016, Edwin Enoc Lara, 31, of Redmond, Oregon was indicted by a federal grand jury in Eugene, Oregon for carjacking, kidnapping, and two counts of brandishing a firearm. The defendant’s federal charges are related to an alleged July 2016 carjacking and kidnapping of a female victim in Salem, Oregon and taking her to California.
Lara is currently in custody in Deschutes County, Oregon where he is facing state charges for aggravated murder in connection with the death of Kaylee Sawyer. Lara is also facing separate state charges in Siskiyou County, California including attempted murder and assault.
An indictment is only an accusation of a crime, and a defendant should be presumed innocent unless and until proven guilty. If convicted of the federal charges, Lara faces a mandatory minimum sentence of seven years and up to life in prison on the firearm charges, a maximum sentence of fifteen years for carjacking and twenty years for kidnapping.
This case is being investigated by the FBI in collaboration with the Redmond Police Department, Bend Police Department, Deschutes County Sheriff’s Office, Oregon State Police, and other local law enforcement agencies in California. Nathan J. Lichvarcik, Assistant United States Attorney for the District of Oregon, is prosecuting the case.
California Woman Sentenced to Two Years in Prison for Drug Trafficking Crimes in KodiakRead the Press Release
Anchorage, Alaska – U.S. Attorney Karen L. Loeffler announced today that Priscilla Ramirez, 27, of Stockton, California, was sentenced yesterday by Chief U.S. District Judge Timothy M. Burgess to serve two years in prison for possession of heroin, methamphetamine, and cocaine with intent to distribute, followed by three years of supervised release. Judge Burgess also ordered the forfeiture of $4,500 in drug proceeds found in Ramirez’s possession.
In June 2016, in Kodiak, Alaska, Ramirez was contacted by the Kodiak Police, and a bag she had in her possession was searched. Inside the bag, police officers found 117 grams of heroin, 27 grams of methamphetamine, 6.9 grams of cocaine, and $4,500 in drug proceeds. Ramirez’s phone was also searched by law enforcement and there were several messages to and from Ramirez where she discussed quantities, types, and prices of illegal drugs for sale.
Prior to imposing sentence, Judge Burgess noted the seriousness of the crime given the type and quantity of illegal narcotics that were found in her possession for distribution.
U.S. Attorney Loeffler commends the Kodiak Police, the Kodiak Coast Guard Investigative Service, and the DEA for the successful investigation and prosecution of this case.
Buffalo Man Indicted for Distributing Fentanyl Which Resulted in DeathRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051BUFFALO, N.Y.-Acting U.S. Attorney James P. Kennedy, Jr. announced today that a federal grand jury has returned an indictment charging Carlique DeBerry, 38, of Buffalo, NY, with distribution of fentanyl causing death and possession with intent to distribute fentanyl. The charges carry a mandatory minimum penalty of 20 years in prison, a maximum of life and a $1,000,000 fine.
Assistant U.S. Attorney Wei Xiang, who is handling the case, stated that according to the indictment, on February 25, 2016, the defendant distributed a quantity of fentanyl that was used by an individual identified as R.G. which resulted in R.G.’s death.
Details of the charges were not immediately available as a detention hearing— during which prosecutor’s typically set forth the facts underlying the charges contained in the indictment—which had been scheduled for this afternoon before U.S. Magistrate Judge Michael J. Roemer was cancelled. Instead, DeBerry agreed to be detained pending the resolution of the charge against him.
The indictment is the result of an investigation by the Drug Enforcement Administration, under the direction of Special Agent-in-Charge James J. Hunt, New York Field Division and the Hamburg Police Department, under the direction of Chief Gregory Wickett.
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.
The indictment is the result of an investigation by the U.S. Department of Labor, Office of Inspector General, Office of Labor Racketeering and Fraud Investigations, under the direction of Michael C. Mikulka, Special Agent-in-Charge of the New York Region, the Federal Bureau of Investigation, under the direction of Special Agent in Charge Adam S. Cohen, and the Department of Health and Human Services, Office of Inspector General, Office of Investigations under the direction of Special Agent in Charge Scott Lampert.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.
Bowie Man Pleads Guilty to Misusing a Social Security Number to Fraudulently Obtain a Medical LicenseRead the Press Release
Greenbelt, Maryland – Oluwafemi Charles Igberase, a/k/a Charles John Nosa Akoda, age 54, of Bowie, Maryland, pleaded guilty on November 15, 2016, to misusing a Social Security Account number to fraudulently obtain a medical license in Maryland.
The guilty plea was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Andre R. Watson of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI); Special Agent in Charge Michael McGill of the Social Security Administration - Office of Inspector General, Philadelphia Field Division; Special Agent in Charge Nicholas DiGiulio, Office of Investigations, Office of Inspector General of the Department of Health and Human Services; Special Agent in Charge Drew Grimm of the U.S. Office of Personnel Management - Office of Inspector General; Special Agent in Charge Gordon B. Johnson of the Federal Bureau of Investigation, Baltimore Field Office; and Chief Hank Stawinski of the Prince George’s County Police Department.
According to his plea agreement, Igberase entered the United States in October 1991 on a nonimmigrant visa. In November 1991, January 1995, and September 1998, Igberase obtained fraudulent social security numbers using other names and false identifying information. Between 1992 and 1998, Igberase obtained three certifications from the Educational Commission for Foreign Medical Graduates (ECFMG) under different names, dates of birth and fraudulent social security numbers, in order to practice medicine and get into a residency program in the United States. The ECFMG Committee on Medical Education Credential subsequently revoked or suspended two certifications in December 1995, after learning that they were fraudulently obtained. In 1998, after receiving his third ECFMG certification in the name Charles John Nosa Akoda, Igberase was admitted to a residency program in New Jersey. Igberase was dismissed from the program two years later after officials learned that the social security number he used did not belong to him.
In 2011, Igberase also used the third social security number to fraudulently apply for federal education loans for his children. That same year, using a fourth fraudulent social security number that belonged to another individual, and other fraudulent documents in the name Charles John Nosa Akoda, Igbergase obtained a medical license in Maryland, after completing a U.S. residency program. He went on to practice obstetrics and gynecology and obtained medical privileges at a hospital in Prince George’s County.
In 2012, Igberase, using the Akoda identity, submitted a Medicare Enrollment Application, which was denied based in part on their determination that Igberase did not provide an accurate social security number.
A search warrant executed at Igberase’s residence recovered a false social security card in the Akoda name, a false Nigerian passport for Akoda, a false U.S. visa in the Akoda name, and fraudulent or altered documents related to immigration, medical diplomas, medical transcripts, letters of recommendation and birth certificates.
Igberase and the government have agreed that if the Court accepts the plea agreement Igberase will be sentenced to six months in prison, followed by six months of home detention as part of three years of supervised release. U.S. District Judge Paul W. Grimm has scheduled sentencing for February 27, 2017 at 1:00 p.m.
United States Attorney Rod J. Rosenstein commended HSI Baltimore, the Offices of Inspector General for the Social Security Administration, Department of Health and Human Services and Office of Personnel Management, the FBI, and Prince George’s County Police Department for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorneys Kelly O’Connell Hayes and Michael T. Packard, who are prosecuting the case.
Boise Man Sentenced to 48 Months in Prison for Possession of Child PornographyRead the Press Release
BOISE – Allan Ebel, 63, of Boise, Idaho was sentenced today in United States District Court to 48 months in prison followed by five years of supervised release, and a $5,000 fine, for possession of child pornography, U.S. Attorney Wendy J. Olson announced. Ebel pleaded guilty on August 10, 2016.
According to the plea agreement, an electronic device at Ebel’s residence downloaded images of child pornography from a website based in Switzerland on at least six occasions in August of 2014. In July of 2015, agents with the Department of Homeland Security, with assistance from the Boise Police Department and the Ada County Sheriff’s Office, executed a search warrant at Ebel’s residence in Boise, Idaho, seizing numerous computers and electronic storage devices. Agents with the Department of Homeland Security conducted a forensic examination of the devices, and discovered images of child pornography saved in folders on a desktop computer and an external hard drive, and evidence that the devices were owned and used by Ebel. In the plea agreement, Ebel admitted possessing 4,688 images and 31 videos containing child pornography on the desktop computer and external hard drive.
Senior U.S. District Judge Edward J. Lodge also ordered Ebel to forfeit a computer and an external hard drive used in the commission of the charged offenses. As a result of his conviction, Ebel will be required to register as a sex offender.
The case was investigated by the Department of Homeland Security, Homeland Security Investigations, with assistance from the Boise Police Department and the Ada County Sheriff's Office, and 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.”
Baltimore Man Exiled to 10 Years in Federal Prison for Illegal Possession of a Firearm by a Previously Convicted FelonRead the Press Release
Baltimore, Maryland – U.S. District Judge J. Frederick Motz sentenced James Kingsborough, age 26, of Baltimore, Maryland, today to 10 years in federal prison, followed by three years of supervised release, for being a felon in possession of a firearm. Kingsborough was convicted by a federal jury on June 22, 2016.
The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Daniel L. Board Jr. of the Bureau of Alcohol, Tobacco, Firearms and Explosives - Baltimore Field Division; Baltimore Police Commissioner Kevin Davis; and Baltimore City State’s Attorney Marilyn Mosby.
According to the evidence presented at the two-day trial, on June 17, 2015, at approximately 11:25 a.m., Baltimore Police officers saw Kingsborough bent over at the waist appearing to be injured. The officers approached Kingsborough inquiring if he was “OK.” Kingsborough responded he was “on the box,” meaning he had on an electronic monitoring device. Kingsborough departed abruptly and walked across the intersection of North Franklintown Road and West Franklin Street. As he walked, the officers saw him adjusting his waistband and altering his gait in a manner suggesting he had a firearm. Kingsborough went into a nearby barber shop and an officer followed him inside. Kingsborough turned around, grabbed his right midsection, and walked towards the officer. The officer instructed Kingsborough to show his hands, but Kingsborough refused. The officer attempted to grab Kingsborough, who shifted out of the officer’s grasp, but the officer was able to grab the back of Kingsborough’s shirt as he squirmed past the officer. Kingsborough and officer struggled through the shop’s front door and the second officer approached them. A firearm dropped from Kingsborough’s waistband onto the ground and Kingsborough and the second officer began struggling. The first officer, fearing for the safety of his fellow officer, deployed his Taser. The officers arrested Kingsborough and recovered the firearm, a .380 caliber handgun, loaded with .380 hollow point rounds.
Kingsborough is prohibited from possessing a firearm or ammunition as a result of four previous felony convictions, including a conviction for attempted second degree murder. This offense occurred less than five months after Kingsborough’s release from prison on that conviction.
United States Attorney Rod J. Rosenstein commended the ATF, Baltimore Police Department and Baltimore City State’s Attorney’s Office for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorneys David Metcalf and John W. Sippel, Jr. who prosecuted the case.
Ballard County Judge Executive and Former Ballard County Treasurer Charged with Bank Fraud, Wire Fraud, and Making False Statements on A Loan ApplicationRead the Press Release
PADUCAH, Ky. – United States Attorney John E. Kuhn, Jr., joined by Kentucky Attorney General Andy Beshear, and FBI Special Agent in Charge Amy S. Hess, announced charges today against the current Ballard County Judge-Executive and former Ballard County Treasurer for executing a scheme that involved obtaining approximately $450,000 in bank loans using a $500,000 Ballard County Certificate of Deposit as collateral for the loans, all without authorization from the Ballard County Fiscal Court. Viniard and Foster obtained the loans and pledged the collateral in order to secretly procure operating funds for Ballard County, Kentucky.
Vickie Louise Viniard, 60, the current Judge-Executive and Belinda Janean Foster, 50, the former Ballard County Treasurer, were charged by grand jury indictment on November 15, 2016, with counts of bank fraud, wire fraud, and making false statements on a loan application. Foster was arraigned this morning, in United States District Court in Paducah, before Magistrate Judge Lanny King. Viniard will make first appearance at a later date.
According to the indictment, between April 2014 and October 2015, defendants Viniard and Foster executed a scheme by misrepresenting to First Community Bank that Viniard had the authority to apply for two loans and had the authority to pledge a Ballard County asset (certificate of deposit) as collateral for these loans.
On April 17, 2014, on behalf of the Ballard County Fiscal Court, Viniard applied for and was granted a $300,000 loan from First Community Bank in Wickliffe, Kentucky. As collateral for the loan, Viniard pledged a $504,038.54 Certificate of Deposit belonging to the Ballard County Fiscal Court that was also held by First Community Bank. Upon approval of the loan, $300,000 was deposited into the Ballard County Fiscal Court’s account with First Community Bank. On June 12, 2014, on behalf of the Ballard County Fiscal Court, Viniard and Foster applied for and were granted a $150,000 loan from First Community Bank in Wickliffe. As collateral for the Loan, Viniard and foster pledged the same CD which had also been used as collateral for the $300,000 loan. Upon approval of the $150,000 loan, $50,000 was deposited into the Ballard County Fiscal Court’s account with First Community Bank and $100,000 was wired to Huntington National Bank in Columbus, Ohio as partial satisfaction of a Ballard County bond obligation.
On April 17, 2014, Viniard allegedly executed documents, authorizing herself, as County Judge-Executive, to borrow money. The Ballard County Fiscal Court gave Viniard no such authorization and was unaware of the loans or the County’s CD being used as collateral for the loans because Viniard withheld this information.
Further, Viniard allegedly directed Foster to intentionally conceal the loan proceeds, which Foster did by labeling the loans as “payroll tax” receipts instead of income from loan proceeds. Foster also did not account for the $100,000 that was wired to Huntington National Bank in Columbus, Ohio.
Additionally, Foster was authorized to write checks for medical reimbursement payments to Ballard County employees, including herself, and, using this authority, allegedly obtained at least $27,000 in fraudulent medical reimbursement payments.
If convicted at trial, bank fraud and making false statements on a loan application carry a sentence of no more than 30 years in prison per count, and wire fraud carries a sentence of no more than 20 years in prison for each count. Also, the defendants could be fined up to $2,000,000 for fraud charges and $250,000 for each count of wire fraud. The judge could further impose a period of supervised release.
This case is being prosecuted by Assistant United States Attorney Nute Bonner and is being investigated by the Kentucky Attorney General’s Office and the Federal Bureau of Investigation (FBI).
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The indictment of a person by a Grand Jury is an accusation only and that person is presumed innocent until and unless proven guilty
Amherst Man Indicted on Multiple Charges of Fraud, Identity Theft and Theft of Government MoneyRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051BUFFALO, N.Y.- Acting U.S. Attorney James P. Kennedy, Jr. announced today that a grand jury has returned a 48 count indictment charging Umar Adeyola 46, of Amherst, NY, with health care fraud, conspiracy to commit health care fraud, aggravated identity theft, making false statements in a health care matter, wire fraud, and theft of government money. The charges carry a maximum penalty of 22 years in prison and a $250,000 fine.
Assistant U.S. Attorney Maura K. O’Donnell, who is handling the case, stated that according to the indictment, the defendant founded, organized, and managed the HEART Foundation, a not-for-profit organization intended to assist area youths, and Heart Community Alliance (“HCA”), a related for-profit organization, intended to provide clinical services, such as counseling and psychotherapy, to youths. Through his role with those organizations, Adeyola is accused of engaging in two major fraud schemes.
The first scheme involved attempts by the defendant, on behalf of HCA, to defraud private insurance companies Blue Cross Blue Shield, Independent Health, and Univera. Adeyola arranged for the submission of false and fraudulent bills for office visits using the names and/or provider numbers of healthcare providers who had not actually rendered the services claimed. The bills falsely represented that the services had been rendered by properly licensed and credentialed social workers when, in fact, the services had actually been provided by other individuals, including interns. The scheme included the submission to the same insurance companies of bills for services which purported to have been rendered by a social worker who was actually hospitalized and/or deceased on the dates of service claimed.
In addition, Adeyola is accused of falsifying documents in response to an audit of HCA by Independent Health. During the course of the audit, the defendant allegedly made materially false statements to representatives of Independent Health, with respect to the deceased social worker who he claimed had rendered services at HCA.
The second scheme involved Adeyola’s theft of government funds in the form a federally funded grant received by the Heart Foundation. Specifically, in April 2013, the Heart Foundation was selected to be a recipient of a Department of Labor grant, administered by the Latino Coalition, an entity in California. Adeyola submitted in excess of 30 false and fraudulent reimbursement requests for grant funds, resulting in payment of approximately $135,000 to the Heart Foundation.
The defendant was arraigned this morning before U.S. Magistrate Judge Michael J. Roemer and released.
The indictment is the result of an investigation by the U.S. Department of Labor, Office of Inspector General, Office of Labor Racketeering and Fraud Investigations, under the direction of Michael C. Mikulka, Special Agent-in-Charge of the New York Region, the Federal Bureau of Investigation, under the direction of Special Agent in Charge Adam S. Cohen, and the Department of Health and Human Services, Office of Inspector General, Office of Investigations under the direction of Special Agent in Charge Scott Lampert.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.
Algiers Man Pleads Guilty to Multiple Narcotics and Firearms ChargesRead the Press Release
U.S. Attorney Kenneth A. Polite announced that TARAY BUTLER, age 21, of Algiers, pled guilty today to multiple counts of violating federal firearm and narcotics laws.
BUTLER pled guilty to illegally being a felon in possession of a firearm on October 14, 2014. Members of the New Orleans Police Department (NOPD) arrested BUTLER while he was trespassing on Housing Authority of New Orleans (HANO) property in the Fischer development, and found him to be in possession of a stolen Glock .40 caliber pistol with an extended magazine.
BUTLER also pled guilty to possession with the intent to distribute heroin. BUTLER was observed by members of the NOPD’s MAG unit committing traffic violations and attempted to stop BUTLER, who fled. BUTLER’s vehicle was ultimately recovered and NOPD officers located a quantity of heroin pre-packaged for sale on the floor of the vehicle.
Additionally, BUTLER pled guilty to illegally being a felon in possession of a firearm, possession with the intent to distribute heroin, and possession of a firearm in furtherance of drug trafficking. These charges arise from a search warrant executed at BUTLER’s residence on May 6, 2016, when law enforcement officers located six firearms and a quantity of heroin.
BUTLER faces a minimum sentence of five years up to life imprisonment, a $1,000,000 fine, and five years of supervised release. U.S. District Judge Sarah S. Vance set sentencing for February 22, 2017, at 9:30 a.m.
U.S. Attorney Polite praised the work of the Bureau of Alcohol, Tobacco and Firearms (ATF), New Orleans Police Department, and the United States Marshals Service in investigating this matter. Assistant United States Attorney Myles Ranier is in charge of the prosecution.
Ahmad Khan Rahimi Indicted in Manhattan Federal Court for Executing Bombing and Attempted Bombing in New York CityRead the Press Release
Rahimi Allegedly Detonated and Attempted to Detonate Bombs on Public Streets in the Chelsea Neighborhood of Manhattan
Ahmad Khan Rahimi aka Ahmad Rahami, 28, of Elizabeth, New Jersey, was charged today in Manhattan federal court in an eight-count indictment for offenses related to his alleged execution and attempted execution of bombings in New York City on Sept. 17, announced Acting Assistant Attorney General for the National Security Division Mary B. McCord and U.S. Attorney Preet Bharara for the Southern District of New York. The case is assigned to U.S. District Judge Richard M. Berman for the Southern District of New York.
“Ahmad Khan Rahimi has been indicted in New York and separately charged in New Jersey for allegedly planting and detonating bombs that resulted in numerous injuries,” said, Acting Assistant Attorney General McCord. “It was through world class investigative work that the defendant was identified and arrested before he could do any more harm. Pursuing those who seek to conduct attacks on our homeland will always remain the highest priority of the National Security Division.”
“Two months ago, Ahmad Khan Rahimi allegedly planted bombs in the heart of Manhattan and in New Jersey,” said U.S. Attorney Bharara. “The bomb that exploded in Chelsea shattered windows hundreds of yards away and propelled a 100-pound dumpster over 120 feet, injuring over 30 people. Now indicted by a grand jury, Rahimi will face justice in a federal court for his alleged violent acts of terrorism.”
As alleged in the criminal complaint that was filed on Sept. 20 and the indictment that was filed today:
On Sept. 17, Rahimi transported two improvised explosive devices from New Jersey to New York. Rahimi placed one of the devices in the vicinity of 135 West 23rd Street in the Chelsea neighborhood of New York (the 23rd Street Bomb) and the other in the vicinity of 131 West 27th Street in the Chelsea neighborhood (the 27th Street Bomb).
At approximately 8:30 p.m., the 23rd Street Bomb – consisting of a high explosive main charge – detonated, causing injuries to over 30 people and multiple millions of dollars of property damage across a 650-foot crime scene. The injuries included, among other things, lacerations to the face, abdomen, legs and arms caused by flying glass; metal shrapnel and fragmentation embedded in skin and bone and various head injuries. The explosive components appear to have been placed inside a pressure cooker and left in a dumpster. The explosion propelled the more than 100-pound dumpster more than 120 feet. The blast shattered windows as far as approximately 400 feet from the blast site and, vertically, more than three stories high.
Shortly after the 23rd Street Bomb detonated, the 27th Street Bomb was located by law enforcement. The 27th Street Bomb, which failed to detonate, consisted of, among other things, a pressure cooker connected with wires to a cellular telephone, likely to function as a timer, and packaged with an explosive main charge, ball bearings and steel nuts.
Earlier that day, at approximately 9:35 a.m., another improvised explosive device, which also was planted by Rahimi, detonated in the vicinity of Seaside Park, New Jersey, along the route for the Seaside Semper Five Marine Corps Charity 5K race. The start of the race – which was scheduled to begin at 9:00 a.m. – was delayed on account of other law enforcement activity.
On Sept. 18, at approximately 8:40 p.m., additional improvised explosive devices that Rahimi also planted were found inside a backpack located at the entrance to the New Jersey Transit station in Elizabeth. One of these devices detonated as law enforcement used a robot to attempt to defuse it.
On Sept. 19, at approximately 9:30 a.m., Rahimi was arrested by police in Linden, New Jersey. Rahimi fired multiple shots at police, striking and injuring multiple police officers before he was himself shot, subdued and placed under arrest. In the course of Rahimi’s arrest, a handwritten journal was recovered from Rahimi’s person. Written in the journal were, among other things, mentions of explosive devices and laudatory references to Usama Bin Laden, the former leader of al Qaeda, Anwar al-Awlaki, a former senior leader of al Qaeda in the Arabian Peninsula and Nidal Hasan, who shot and killed 13 people in Foot Hood, Texas.
* * *
Rahimi is charged in the indictment with one count of using a weapon of mass destruction, one count of attempting to use a weapon of mass destruction, one count of bombing a place of public use, one count of destroying property by means of fire or explosive, one count of attempting to destroy property by means of fire or explosive, one count of interstate transportation and receipt of explosives and two counts of using of a destructive device in furtherance of a crime of violence, namely, the use and attempted use of weapons of mass destruction.
The statutory maximum penalties are prescribed by Congress and are provided here for informational purposes only, as any sentencings of the defendant will be determined by the judge.
In addition to the pending charges in Manhattan federal court, Rahimi also has been charged in the federal court for the District of New Jersey in a complaint with offenses in connection with his alleged efforts to detonate explosives in Seaside Park and Elizabeth and in New Jersey state court for attempted homicide of police officers during his arrest.
U.S. Attorney Bharara praised the outstanding efforts of the FBI’s New York Joint Terrorism Task Force. U.S. Attorney Bharara also thanked the Counterterrorism Section of the Department of Justice’s National Security Division for its assistance.
The prosecution of this case is being handled by the Office’s Terrorism and International Narcotics Unit. Assistant U.S. Attorneys Nicholas J. Lewin, Emil J. Bove III, Andrew J. DeFilippis and Shawn G. Crowley are in charge of the prosecution, with assistance from Trial Attorney Brian K. Morgan of the National Security Division’s Counterterrorism Section.
The charges contained in the complaint and the indictment are merely accusations and the defendant is presumed innocent unless and until proven guilty.
Ahmad Khan Rahimi Indicted in Manhattan Federal Court on Terrorism ChargesRead the Press Release
Preet Bharara, the United States Attorney for the Southern District of New York, and Mary B. McCord, Acting Assistant Attorney General for the National Security Division, announced that AHMAD KHAN RAHIMI, a/k/a “Ahmad Rahami,” was charged today in Manhattan federal court in an eight-count Indictment for offenses related to his alleged execution and attempted execution of bombings in New York City on September 17, 2016. The case is assigned to U.S. District Judge Richard M. Berman. Rahimi will be arraigned before Judge Berman tomorrow at 1:00 p.m.
Manhattan U.S. Attorney Preet Bharara said: “Two months ago, Ahmad Khan Rahimi allegedly planted bombs in the heart of Manhattan and in New Jersey. The bomb that exploded in Chelsea shattered windows hundreds of yards away and propelled a 100-pound dumpster over 120 feet, injuring over 30 people. Now indicted by a grand jury, Rahimi will face justice in a federal court for his alleged violent acts of terrorism.”
Acting Assistant Attorney General Mary B. McCord said: “Ahmad Khan Rahimi has been indicted in New York and separately charged in New Jersey for allegedly planting and detonating bombs that resulted in numerous injuries. It was through world class investigative work that the defendant was identified and arrested before he could do any more harm. Pursuing those who seek to conduct attacks on our homeland will always remain the highest priority of the National Security Division.”
As alleged in the criminal Complaint that was filed on September 20, 2016, and the Indictment that was filed today[1]:
On September 17, 2016, RAHIMI transported two improvised explosive devices from New Jersey to New York, New York. RAHIMI placed one of the devices in the vicinity of 135 West 23rd Street in the Chelsea neighborhood of New York, New York (the “23rd Street Bomb”) and the other in the vicinity of 131 West 27th Street in the Chelsea neighborhood of New York, New York (the “27th Street Bomb”).
At approximately 8:30 p.m., the 23rd Street Bomb – consisting of a high explosive main charge – detonated, causing injuries to over 30 people and multiple millions of dollars of property damage across a 650-foot crime scene. The injuries included, among other things, lacerations to the face, abdomen, legs, and arms caused by flying glass, metal shrapnel and fragmentation embedded in skin and bone, and various head injuries. The explosive components appear to have been placed inside a pressure cooker and left in a dumpster. The explosion propelled the more than 100-pound dumpster more than 120 feet. The blast shattered windows as far as approximately 400 feet from the blast site and, vertically, more than three stories high.
Shortly after the 23rd Street Bomb detonated, the 27th Street Bomb was located by law enforcement. The 27th Street Bomb, which failed to detonate, consisted of, among other things, a pressure cooker connected with wires to a cellular telephone (likely to function as a timer) and packaged with an explosive main charge, ball bearings, and steel nuts.
Earlier that day, at approximately 9:35 a.m. on September 17, 2016, another improvised explosive device, which also was planted by RAHIMI, detonated in the vicinity of Seaside Park, New Jersey, along the route for the Seaside Semper Five Marine Corps Charity 5K race. The start of the race – which was scheduled to begin at 9:00 a.m. – was delayed on account of other law enforcement activity.
On September 18, 2016, at approximately 8:40 p.m., additional improvised explosive devices that RAHIMI also planted were found inside a backpack located at the entrance to the New Jersey Transit station in Elizabeth, New Jersey. One of these devices detonated as law enforcement used a robot to attempt to defuse it.
On September 19, 2016, at approximately 9:30 a.m., RAHIMI was arrested by police in Linden, New Jersey. RAHIMI fired multiple shots at police, striking and injuring multiple police officers before he was himself shot, subdued, and placed under arrest. In the course of RAHIMI’s arrest, a handwritten journal was recovered from RAHIMI’s person. Written in the journal were, among other things, mentions of explosive devices and laudatory references to Usama Bin Laden, the former leader of al Qaeda, Anwar al-Awlaki, a former senior leader of al Qaeda in the Arabian Peninsula, and Nidal Hasan, who shot and killed 13 people in Foot Hood, Texas.
* * *
RAHIMI, 28, of Elizabeth, New Jersey, is charged in the Indictment with one count of using a weapon of mass destruction, in violation of 18 U.S.C. § 2332a, which carries a maximum sentence of life in prison; one count of attempting to use a weapon of mass destruction, in violation of 18 U.S.C. § 2332a, which carries a maximum sentence of life in prison; one count of bombing a place of public use, in violation of 18 U.S.C. § 2332f, which carries a maximum sentence of life in prison; one count of destroying property by means of fire or explosive, in violation of 18 U.S.C. § 844(i), which carries a maximum sentence of 20 years in prison; one count of attempting to destroy property by means of fire or explosive, in violation of 18 U.S.C. § 844(i), which carries a maximum sentence of 20 years in prison; one count of interstate transportation and receipt of explosives, in violation of 18 U.S.C. § 844(d), which carries a maximum sentence of 20 years in prison; and two counts of using of a destructive device in furtherance of a crime of violence, namely, the use and attempted use of weapons of mass destruction, in violation of 18 U.S.C. § 924(c), each of which count carries a mandatory minimum consecutive sentence of 30 years in prison and, if convicted of both counts, a mandatory sentence of life in prison.
The statutory maximum penalties are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendant will be determined by the judge.
In addition to the pending charges in Manhattan federal court, RAHIMI also has been charged in the District of New Jersey in a Complaint with offenses in connection with his alleged efforts to detonate explosives in Seaside Park, New Jersey, and Elizabeth, New Jersey.
Mr. Bharara praised the outstanding efforts of the Federal Bureau of Investigation’s New York Joint Terrorism Task Force, which principally consists of special agents from the Federal Bureau of Investigation and detectives from the New York City Police Department. Mr. Bharara also thanked the Counterterrorism Section of the Department of Justice’s National Security Division for its assistance.
The prosecution of this case is being handled by the Office’s Terrorism and International Narcotics Unit. Assistant U.S. Attorneys Nicholas J. Lewin, Emil J. Bove III, Andrew J. DeFilippis, and Shawn G. Crowley are in charge of the prosecution, with assistance from Trial Attorney Brian Morgan of the National Security Division’s Counterterrorism Section.
The charges contained in the Complaint and the Indictment are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
US v. Ahmad Khan Rahimi indictment.pdf
[1] As the introductory phrase signifies, the entirety of the text of the Complaint and the Indictment, and the description of the Complaint and Indictment set forth herein, constitute only allegations and every fact described should be treated as an allegation.
Tuesday 15 November 2016
Wounded Knee Man Sentenced for Breaking into HomeRead the Press Release
United States Attorney Randolph J. Seiler announced that a Wounded Knee, South Dakota, man convicted of First Degree Burglary was sentenced on November 9, 2016, by Chief Judge Jeffrey L. Viken, U.S. District Court.
Gary Rowland Jr., age 32, was sentenced to 18 months of imprisonment, followed by 2 years of supervised release, and ordered to pay a $100 special assessment to the Federal Crime Victims Fund and restitution in an amount to be determined.
Rowland pleaded guilty on August 5, 2016. The conviction stems from Rowland breaking into a residence and stealing a DVD player, DVDs, and a pair of headphones, and pouring gasoline in the entryway and starting the trailer on fire.
This case was investigated by the Bureau of Indian Affairs Office of Justice Services and the Oglala Sioux Tribe Department of Public Safety. Assistant U.S. Attorney Ben Patterson prosecuted the case.
Rowland was immediately turned over to the custody of the U.S. Marshals Service.
Walton County Residents Arrested on A Twenty-Nine Count IndictmentRead the Press Release
Eight members of a drug conspiracy were arrested today on a twenty- nine count drug indictment filed in the Middle District of Georgia, Athens Division, announced United States Attorney G.F. “Pete” Peterman, III.
Michael Deshawn Johnson, 39, wife, Sandra Johnson, 51, daughter Felisha Smith, 31, Rodricus Devoe, 27, Robert Mayweather, 28, William Orlando Randolph, 41, Shapharrier Harper, 25, and Annie R. Malcom, 56, all of Monroe, Georgia, were indicted on November 10, 2016 by a Middle District of Georgia grand jury in a twenty-nine count indictment charging them with drug conspiracy and distribution charges in Monroe, Walton County, Georgia.
According to allegations in the indictment, the defendants conspired to distribute cocaine base, also known as crack cocaine and marijuana for over three years in Monroe, Georgia. Conviction of participation in this conspiracy carries a maximum sentence of a mandatory minimum of ten years to life imprisonment, a fine of up to $10,000,000 and up to five years of supervised release. A copy of the indictment is attached.
All of the defendants were arrested on November 15, 2016 and are expected to have their initial appearance on November 16, 2016 in Macon, Georgia. They are all in custody.
The charges contained in an indictment are merely accusations, and a defendant is presumed innocent unless and until proven guilty.
The case is being investigated by the FBI and the Monroe Police Department. Assistant U.S. Attorney Tamara Jarrett is prosecuting the case for the Government.
Questions concerning this case should be directed to Pamela Lightsey, Public Information Officer, United States Attorney’s Office, at (478) 621-2603.
Two Members of New Haven Drug Ring SentencedRead the Press Release
Deirdre M. Daly, United States Attorney for the District of Connecticut, today announced that JEFFREY HARRISON, also known as “Biscuit,” 36, and CHRISTOPHER HILTON, also known as “C.J.,” 34, both of New Haven, have been sentenced by U.S. District Judge Robert Chatigny in Hartford for their involvement in a New Haven cocaine trafficking organization. HARRISON was sentenced yesterday to 30 months of imprisonment, followed by three years of supervised release, and HILTON was sentenced today to 36 months of probation.
According to court documents and statements made in court, in the fall of 2015, the DEA New Haven Task Force initiated an investigation into a cocaine trafficking organization headed by Halby Lopez and Omar Polanco. The investigation revealed that Lopez and Polanco were obtaining bulk quantities of cocaine from multiple suppliers and redistributing the cocaine to a network of New Haven-area street-level dealers, including HARRISON and HILTON. The investigation included court-authorized wiretaps, controlled purchases of drugs and the seizure of multiple kilograms of cocaine
On March 24, 2016, a grand jury in New Haven returned a 13-count indictment charging Lopez, Polanco, HARRISON, HILTON and six other individuals with various narcotics offenses. All of the defendants pleaded guilty. Lopez and Polanco await sentencing.
The DEA New Haven Task Force includes participants from the New Haven, Hamden, West Haven, North Haven, East Haven, Branford, Ansonia, Meriden and Derby Police Departments, and the U.S. Marshals Service.
This matter is being prosecuted by Assistant U.S. Attorneys Patrick Caruso and Jennifer R. Laraia.
Two Charleston men sentenced to federal prison for gun crimesRead the Press Release
CHARLESTON, W.Va. – Two Charleston men were sentenced today to federal prison for gun crimes, announced United States Attorney Carol Casto.
Joseph Sampson, 36, was sentenced to two years in federal prison for being a felon in possession of a firearm. He was also sentenced to an additional six months in prison for violating his federal supervised release. The sentences will be served consecutively. Sampson admitted that on May 8, 2016, he was found in possession of a New England Arms 12 gauge short-barreled shotgun. The firearm was discovered during a traffic stop in Charleston. Sampson was prohibited from possessing any firearm under federal law because of a 2003 felony drug conviction in federal court in the Southern District of West Virginia.
In a separate prosecution, Michael Brooks Burgess, 46, was sentenced to a year and a day in federal prison and ordered to pay a $5,000 fine for possession of a firearm by an unlawful user of a controlled substance. On February 8, 2016, Burgess was stopped for speeding and a suspected DUI in Sissonville. During the stop, officers found a vial of methamphetamine in his pocket and over 30 grams of methamphetamine under the driver’s seat. The officers searched the vehicle and found a loaded .45 caliber handgun, three high capacity magazines for a MAC-10 firearm, approximately 50 rounds of ammunition, and over an ounce of marijuana in the trunk of the vehicle. Burgess admitted that he was a habitual, unlawful user of methamphetamine at the time he possessed the gun.
The Charleston Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives conducted the investigation of Sampson. Assistant United States Attorney John J. Frail is responsible for the Sampson prosecution. The investigation of Burgess was conducted by the FBI, the United States Postal Inspection Service, and the Kanawha County Sheriff’s Department, with the assistance of the Bureau of Alcohol, Tobacco, Firearms and Explosives. Assistant United States Attorney Haley Bunn is in charge of the Burgess prosecution. United States District Judge John T. Copenhaver, Jr., imposed the sentences.
These cases were brought as part of Project Safe Neighborhoods. Project Safe Neighborhoods is a nationwide commitment to reduce gun crime in the United States by networking existing local programs targeting gun crime.
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Tulsa Probate Attorney Pleads Guilty to Embezzling $587,000 from Multiple Estate AccountsRead the Press Release
U.S. Attorney Danny C. Williams, Sr., announced today that Christopher Ivor Mansfield, 38 of Tulsa, a disbarred Tulsa County probate attorney, pleaded guilty before Chief United States District Judge Gregory K. Frizzell to bank fraud and money laundering charges. Mansfield embezzled $587,000 from probate estate accounts according to an information filed on September 29, 2016.
At his change of plea hearing, Mansfield admitted that, from August 2012 to October 2015, he used fraudulent pretense to obtain money entrusted to the Bank of Oklahoma by diverting assets from probate estate accounts using: unauthorized checks made payable to himself; unauthorized transfers of funds from the probate estates; and the unauthorized depositing of checks into his business and personal accounts. Mansfield admitted he used the stolen money on personal expenses, mainly American Express credit card purchases and to support his drug habit
“Mr. Mansfield chose to violate and abuse his position of trust as a probate attorney. As a result, he embezzled $587,030 from eleven probate estates or guardianships,” said U.S. Attorney Williams.
At the time of the alleged crimes, Mansfield was a licensed attorney in the State of Oklahoma who was court-appointed in probate cases. He served as a personal representative in probate cases and was responsible for overseeing the financial affairs of multiple probate estates.
Mansfield will face a maximum penalty of 30 years in prison and a $1,000,000 fine for the bank fraud charges and a maximum penalty for 10 years in prison and a $250,000 fine for the unlawful monetary transaction charge. In addition, the Court could enter a restitution order and a criminal forfeiture money judgment, each in the amount of $587,030.
The case is being investigated by the Internal Revenue Service-Criminal Investigation and the Federal Bureau of Investigation; and prosecuted by Assistant United States Attorneys Charles McLoughlin and Catherine Depew.
Three Treasure Valley Methamphetamine Dealers Sentenced to Federal PrisonRead the Press Release
BOISE – Deanna Renee Moon, 61, of Boise, Idaho; Clark Douglas Fullmer, 50, of Boise, Idaho; and Lance Edward Chlarson, 32, of Marsing, Idaho were sentenced today for their role in a methamphetamine trafficking conspiracy, announced U.S. Attorney Wendy J. Olson. Moon pleaded guilty to one count of distributing methamphetamine on August 4, 2016, and was sentenced to 24 months in prison to be followed by three years of supervised release. Fullmer pleaded guilty to conspiracy to distribute methamphetamine on July 26, 2016, and was sentenced to 112 months in prison to be followed by five years of supervised release. Chlarson pleaded guilty to one count of conspiracy to distribute methamphetamine and one count of distributing methamphetamine on July 26, 2016, and was sentenced to 140 months imprisonment to be followed by five years of supervised release. All three individuals were also ordered by Senior U.S. District Judge Edward J. Lodge to forfeit $6,940 in cash proceeds.
Moon, Fullmer, and Chlarson each sold between 50 and 150 grams of actual methamphetamine to an undercover officer over a period of ten months, spanning from April 2, 2015 to February 9, 2016. All three have prior felony convictions. Moon had a prior conviction for possession of a controlled substance; Fullmer had prior convictions for grand theft, robbery, and possession of a controlled substance; Chlarson had prior convictions for possession of heroin, burglary, aggravated assault, and possession of a controlled Substance.
At sentencing this morning, Judge Lodge told the defendants, “I can’t tell how you how much hardship and pain we see with individuals before this Court whose lives have been destroyed by their addiction to methamphetamine.”
These cases are the result of an investigation by the Organized Crime and Drug Enforcement Task Force (OCDETF). The Organized Crime and Drug Enforcement Task Force (OCDETF), includes the cooperative law enforcement efforts of the Federal Bureau of Investigation; Drug Enforcement Administration; Bureau of Alcohol, Tobacco, Firearms and Explosives; U. S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI); Internal Revenue Service-Criminal Investigation; and U.S. Marshals Service. 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.
Three More Twin Cities Men Sentenced for Providing Material Support to ISILRead the Press Release
Six of nine defendants expected to be sentenced this week for conspiring to provide material support to ISIL have now been sentenced in U.S. District Court in Minneapolis. HAMZA AHMED, 21, was sentenced today to 15 years in prison. ADNAN FARAH, 20, was sentenced to 10 years in prison. HANAD MUSSE, 21, was sentenced to 10 years in prison.
The announcement was made by United States Attorney for the District of Minnesota Andrew M. Luger, FBI Special Agent in Charge of the Minneapolis Division Richard T. Thornton, and Acting Assistant Attorney General for the National Security Division Mary B. McCord.
“Today's sentences reflect the seriousness of these defendant's crimes,” said USA Luger. “Although all three defendants pleaded guilty before trial, none were willing to cooperate with the United States. ISIL continues to target Minnesota's Somali community. Only by working together will we succeed in ending this threat.”
“The sentences handed down today reflect the true gravity of the defendants' crimes to betray their country, travel overseas, and ultimately join a terrorist organization dedicated to the murder of innocent people,” said FBI Special Agent in Charge for the Minneapolis Division Richard T. Thornton. “We hope these sentences will serve as a strong message that those who support terrorism will face justice. The FBI, through our Joint Terrorism Task Force, remains dedicated to working with our community partners to disrupt threats posed by ISIL and their supporters.”
According to his guilty plea, in May 2014, AHMED applied for and later received federal financial aid, which he claimed would be used to attend Minnesota Community and Technical College. Instead, AHMED used that money to purchase a Greyhound bus ticket from Minneapolis to New York City, and airfare from New York that he thought would enable him to travel to Syria to join ISIL. He was stopped at JFK International Airport by federal agents. AHMED pleaded guilty on April 25, 2016.
According to his guilty plea, A. FARAH participated in the conspiracy throughout 2014 and early 2015 in various capacities, including attempting to obtain a real passport to travel to Syria to join ISIL. When that effort failed, A. FARAH provided money and a photograph in an attempt to obtain a false passport so that he could travel to Syria to join ISIL. A. FARAH also aided MUSSE in his effort to obtain a false passport. A. FARAH pleaded guilty on April 14, 2016.
According to his guilty plea, in November 2014, MUSSE traveled by Greyhound bus from Minneapolis to New York City where he joined three of his co-conspirators at JFK International Airport. While at JFK, MUSSE purchased round-trip airfare to Athens, Greece, with the intention of traveling onward to Syria to join ISIL. He was stopped at JFK International Airport by federal agents. MUSSE pleaded guilty on September 9, 2015.
This case is the result of an investigation conducted by members of the FBI-led Joint Terrorism Task Force (JTTF). The JTTF includes members from the following departments: the United States Marshals Service, Minnesota Bureau of Criminal Apprehension, Bloomington Police Department, St. Paul Police Department, Ramsey County Sheriff’s Office, Hennepin County Sheriff’s Office, Federal Air Marshals Service, Customs and Border Protection, Department of Defense, Immigration and Customs Enforcement, Minneapolis Police Department, Burnsville Police Department, Department of State, the Airport Police, Criminal Investigation Division of the IRS, and the FBI.
This case was prosecuted by Assistant U.S. Attorneys Andrew Winter, John Docherty and Julie Allyn, with assistance from the Department of Justice National Security Division’s Counterterrorism Section.
Defendant Information:
HAMZA NAJ AHMED, 21
Minneapolis, Minn.
Convicted:
- Conspiracy to Provide Material Support to a Designated Foreign Terrorist Organization, 1 count
- Financial aid fraud, 1 count
Sentenced:
- 15 years in prison
- 20 years of supervised release
ADNAN ABDIHAMID FARAH, 20
Minneapolis, Minn.
Convicted:
- Conspiracy to provide material support to a designated foreign terrorist organization, 1 count
Sentenced:
- 10 years in prison
- 20 years of supervised release
HANAD MUSTOFE MUSSE, 21
Minneapolis, Minn.
Convicted:
- Conspiracy to Provide Material Support to a Designated Foreign Terrorist Organization, 1 count
Sentenced:
- 10 years in prison
- 20 years of supervised release
###
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United States Attorney’s Office, District of Minnesota: (612) 664-5600
Three More Minnesota Men Sentenced for Providing Material Support to ISILRead the Press Release
Six of nine defendants expected to be sentenced this week for conspiring to provide material support to the Islamic State of Iraq and the Levant (ISIL), a designated foreign terrorist organization, have now been sentenced in U.S. District Court in Minneapolis. Hamza Naj Ahmed, 21, of Minneapolis, Minnesota, was charged with an additional count of financial aid fraud, and was sentenced today to 15 years in prison and 20 years supervised release. Adnan Abdihamid Farah, 20, of Minneapolis, Minnesota, was sentenced to 10 years in prison and 20 years supervised release. Hanad Mustofe Musse, 21, of Minneapolis, Minnesota, was sentenced to 10 years in prison and 20 years supervised release.
The announcement was made by Acting Assistant Attorney General for the National Security Division Mary B. McCord, U.S. Attorney Andrew M. Luger for the District of Minnesota and Special Agent in Charge Richard T. Thornton of the FBI’s Minneapolis Division.
"Today's sentences reflect the seriousness of these defendants’ crimes," said U.S Attorney Luger. "Although all three defendants pleaded guilty before trial, none were willing to cooperate with the United States. ISIL continues to target Minnesota's Somali community. Only by working together will we succeed in ending this threat."
“The sentences handed down today reflect the true gravity of the defendants’ crimes to betray their country, travel overseas, and ultimately join a terrorist organization dedicated to the murder of innocent people,” said Special Agent in Charge Thornton. “We hope these sentences will serve as a strong message that those who support terrorism will face justice. The FBI, through our Joint Terrorism Task Force, remains dedicated to working with our community partners to disrupt threats posed by ISIL and their supporters."
According to his guilty plea in May 2014, Ahmed applied for and later received federal financial aid, which he claimed would be used to attend Minnesota Community and Technical College. Instead, Ahmed used that money to purchase a Greyhound bus ticket from Minneapolis to New York City, New York, and airfare from New York that he thought would enable him to travel to Syria to join ISIL. He was stopped at JFK International Airport in New York by federal agents. Ahmed pleaded guilty on April 25.
According to his guilty plea, A. Farah participated in the conspiracy throughout 2014 and early 2015 in various capacities, including attempting to obtain a real passport to travel to Syria to join ISIL. When that effort failed, A. Farah provided money and a photograph in an attempt to obtain a false passport so that he could travel to Syria to join ISIL. A. Farah also aided Musse in his effort to obtain a false passport. A. Farah pleaded guilty on April 14.
According to his guilty plea, in November 2014, Musse traveled by Greyhound bus from Minneapolis to New York City where he joined three of his co-conspirators at JFK. While at JFK, Musse purchased round-trip airfare to Athens, Greece, with the intention of traveling onward to Syria to join ISIL. He was stopped at JFK by federal agents. Musse pleaded guilty on Sept. 9, 2015.
This case is the result of an investigation conducted by members of the FBI-led Joint Terrorism Task Force (JTTF). The JTTF includes members from the following departments: the U.S. Marshals Service, Minnesota Bureau of Criminal Apprehension, Bloomington Police Department in Minnesota, St. Paul Police Department in Minnesota, Ramsey County Sheriff’s Office in Minnesota, Hennepin County Sheriff’s Office in Minnesota, Federal Air Marshals Service, Customs and Border Protection, Department of Defense, Immigration and Customs Enforcement, Minneapolis Police Department, Burnsville Police Department in Minnesota, Department of State, the Airport Police, IRS Criminal Investigation Division and the FBI.
This case was prosecuted by Assistant U.S. Attorneys Andrew Winter, John Docherty and Julie Allyn of the District of Minnesota, with assistance from the National Security Division’s Counterterrorism Section.
Three Eagle Butte Residents Indicted for Forgery and LarcenyRead the Press Release
United States Attorney Randolph J. Seiler announced that three Eagle Butte, South Dakota, residents have been indicted by a federal grand jury for sixteen counts of Forgery and one count of Larceny.
Gillis Bear Stops, Jr., age 40, Chelsea White Eyes, a/k/a Chelsea Elk Eagle, age 40, and Daryl Eagle Horse, a/k/a Daryl Hawk Eagle, age 29, were indicted on October 12, 2016. They appeared before U.S. Magistrate Judge Mark Moreno and pled not guilty to the Indictment.
The maximum penalty upon conviction is up to 5 years in custody and/or a $250,000 fine, 3 years of supervised release, and $100 to the Federal Crime Victims Fund. Restitution may also be ordered.
The Indictment alleges that between May 29, 2016, and August 27, 2016, in Eagle Butte, the three defendants falsely made, completed, altered, or passed a total of 16 checks, with an intent to defraud the victim. They received over $1,000.00 in cash.
The charges are merely an accusation and each of the three defendants is presumed innocent until and unless proven guilty.
The investigation is being conducted by the Cheyenne River Sioux Tribe Law Enforcement Services. Assistant U.S. Attorney Jay Miller is prosecuting the case.
Each of the three defendants were released on conditions pending trial. A trial has been scheduled for December 31, 2016.
Third Defendant Sentenced in Child Sex Trafficking CaseRead the Press Release
TALLAHASSEE, FLORIDA – Derek Lamar Reddick, 28, of Boynton Beach, Florida, was sentenced to 235 months in prison yesterday afternoon for sex trafficking of a minor and conspiracy to transport a minor for prostitution. After incarceration, Reddick will serve a 20-year term of supervised release and be required to register as a sex offender. In July 2015, Reddick’s co-conspirator Christine Thurman, 30, of Thomasville, Georgia, was sentenced to 126 months in prison for conspiracy and sex trafficking of a minor. In October 2016, co-conspirator Timothy Gosier, 28, of Thomasville, was sentenced to 36 months in prison for conspiracy and coercion to engage in prostitution. The sentences were announced by Christopher P. Canova, United States Attorney for the Northern District of Florida.
In January 2014, an undercover investigator arranged to meet a girl featured in an online sex trafficking advertisement posted by the defendants. At the motel where the meeting was to take place, investigators observed Reddick and Thurman leave a room adjacent to the motel room where the girl had arranged to meet the undercover officer. A search of both rooms revealed evidence of prostitution; documentation that the rooms were registered to Reddick and Thurman; and personal belongings of the victim, Reddick, and Thurman. Investigators were later able to establish that Reddick was connected to prepaid debit cards that had been used to pay for the online advertisements and vehicle rentals to transport the victim for prostitution. Gosier was involved in transporting this victim on several occasions.
In May 2014, investigators discovered an online advertisement featuring another underage girl, which led them to the same motel where the previous victim had been found. Reddick was observed dropping off the victim at a motel room. Directly afterwards, a customer who had arranged to meet the victim entered the motel room. Investigators immediately went to the room and arrested the man. Reddick was arrested a short distance away.
The case was investigated by the U.S. Immigration and Customs Enforcement Homeland Security Investigations, the Federal Bureau of Investigation, and the Tallahassee Police Department, whose joint investigation led to the charges in this case. It was prosecuted by Assistant United States Attorney Eric K. Mountin.
“This case is an example of the positive impact local and federal law enforcement officers have when they join efforts to protect children from predators who would exploit them for personal, financial gain,” said United States Attorney Canova. “My office and the Department of Justice will continue to prioritize these cases, both in the investigative phase and during prosecution, as they are so profoundly important.”
“This is a horrific example that child sex trafficking exists even in the best of communities,” said Susan L. McCormick, special agent in charge of HSI Tampa. “This sentencing will stop this predator from harming any more young girls and will serve as a warning that HSI special agents will aggressively investigate crimes against our children.”
“Trafficking minors for sexual exploitation is a horrific crime, and one that the FBI remains dedicated to fighting,” said Charles P. Spencer, Special Agent in Charge of the FBI Jacksonville Division. “Offenders like the perpetrators in this investigation must know that the FBI and our law enforcement partners will stop at nothing, and use every resource available, to fight for the interests of our young people and bring justice to bear upon those seeking to exploit their vulnerabilities.”
The United States Attorney's Office for the Northern District of Florida is one of 94 offices that serve as the nation’s principal litigators under the direction of the Attorney General. To access available public court documents online, please visit the U.S. District Court for the Northern District of Florida website. For more information about the United States Attorney’s Office, Northern District of Florida, visit http://www.justice.gov/usao/fln/index.html.
For more information, contact:
Amy Alexander, Public Information Officer
(850) 216-3854, [email protected]Ten Arrested Following Two Year Investigation of South Sound Drug Trafficking RingRead the Press Release
A Drug Enforcement Administration led task force conducted raids at 14 locations across King and Pierce Counties, as well as locations in Oregon, following a two-year investigation of drug trafficking, announced U.S. Attorney Annette L. Hayes. Law enforcement searched residential and business locations in Maple Valley, Enumclaw, Ravensdale, Auburn, Kent, Federal Way, Graham, Tacoma, Puyallup, and Bellevue. Additional searches and arrests occurred in Springfield, Oregon. The defendants will appear in U.S. District Court in Tacoma today and tomorrow during the 2:30 PM initial appearance calendar.
In addition to searches at various properties, thirteen vehicles associated with the drug trafficking organization are also being searched. Members of the group allegedly transported drugs and money in hidden compartments of various vehicles. The businesses searched include a landscaping business, an auto wrecking yard, a motorsports/boat business and a pawn shop.
Over the course of the investigation, and with today’s searches, law enforcement has seized more than $350,000 in cash, more than thirty pounds of methamphetamine, cocaine and firearms.
Those arrested on the indictment today include: BERNABE NAVA AMBRIZ, 37, of Maple Valley; VINCENT PHILLIP CORSALETTI, 51, of Springfield, Oregon; SERAFIN MENDOZA CABRERA, 37, of Federal Way; SAUL MENDOZA CABRERA, 35, of Kent; ADAN GUTIERREZ RASO, 22, of Kent; JESSICA CARVER, 46, of Puyallup; and THOMAS RADFORD, 34, of Graham. Three additional defendants were arrested on criminal complaints: CLINTON BJORNSON, 34, of Bellevue; QUINN HINKLE, 45, of Tacoma; and JOEL CHAVEZ, 21, of Maple Valley.
The charges contained in the indictment and criminal complaints are only allegations. A person is presumed innocent unless and until he or she is proven guilty beyond a reasonable doubt in a court of law.
This was an Organized Crime and Drug Enforcement Task Force (OCDETF) investigation, providing supplemental federal funding to the federal and state agencies involved.
The case was investigated by the Drug Enforcement Administration in Tacoma and Eugene, Oregon, with assistance from the West Sound Narcotics Enforcement Task Force (WESTNET), Pierce County Sheriff’s Office, Portland (Oregon) Police Bureau, and Springfield (Oregon) Police Department. The case is being prosecuted by Assistant United States Attorneys Marci Ellsworth and Amy Jaquette.
TSA Officer and Seven Others Arrested on Drug Conspiracy ChargesRead the Press Release
CHARLOTTE, N.C. – United States Attorney Jill Westmoreland Rose announced that eight individuals were arrested on Wednesday, November 9, 2016, on federal drug conspiracy charges for their involvement in a drug trafficking network operating in Charlotte and Greensboro, N.C. The criminal complaint was unsealed today following the defendants’ court appearances in federal court.
John A. Strong, Special Agent in Charge of the Federal Bureau of Investigation in North Carolina and Harold Scott, Jr., Special Agent in Charge, Office of Inspection - Washington Field Office of the Department of Homeland Security’s Transportation Security Administration (TSA) join U.S. Attorney Rose in making today’s announcement.
The eight defendants named in the criminal complaint were arrested on charges of conspiracy and attempt to distribute and to possess with intent to distribute Schedule I and Schedule II controlled substances; and distribution of controlled substances and possession with intent to distribute Schedule I and Schedule II controlled substances. They are:
- Jamie Blunder, 48, of Charlotte.
- David Pate, 44, of High Point, N.C.
- Alafia Fowlkes, 42, of Jamestown, N.C.
- Samuel Little, 58, of Greensboro.
- Irvin Lampley, 56, of Greensboro.
- Aaron Dixon, 40, of Greenville, N.C.
- Cameron Roberts, 29, of Greensboro.
- Dennis Harrington, 47, of Greensboro.
A ninth defendant named in the charging document, Willie Nevius, 48, of Greensboro, has not been arrested yet.
According to allegations contained in the criminal complaint, beginning in at least December 2015, the defendants operated as a drug conspiracy responsible for trafficking cocaine, marijuana and other controlled substances in Charlotte and Greensboro. The criminal complaint alleges that Blunder, a TSA officer, was the leader of the conspiracy and used a network of co-conspirators to transport and distribute the narcotics to and from Greensboro and elsewhere. According to the affidavit filed with the criminal complaint, the investigation to date indicates that while Blunder did not utilize the Charlotte Douglas Airport to traffic narcotics, he may have relied on his TSA position to avoid law enforcement detection while travelling to, within, and back from the Jamestown, High Point, and Greensboro areas.
In addition to last week’s arrest of the eight defendants, law enforcement executed multiple search warrants and recovered eight firearms, at least two kilograms of cocaine and more than $150,000 in cash. Over the course of the investigation, law enforcement also recovered drug paraphernalia and packaging material consistent with kilogram-quantity cocaine wrapping and packaging.
The charges contained in the complaint are allegations. The defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
U.S. Attorney Rose thanked the FBI for leading the investigation and TSA for their invaluable assistance with this case.
Assistant U.S. Attorneys Corey Ellis and Lambert Guinn of the U.S. Attorney’s Office in Charlotte is prosecuting the case.
Springfield Man Sentenced for Child PornRead the Press Release
SPRINGFIELD, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a Springfield, Mo., man was sentenced in federal court today for receiving and distributing child pornography over the Internet.
David D. Lerssen, Jr., 34, of Springfield, was sentenced by U.S. District Judge Beth Phillips to eight years in federal prison without parole.
On June 28, 2016, Lerssen pleaded guilty to receiving and distributing child pornography. Lerssen was arrested following an investigation into the use of a peer-to-peer file-sharing network to distribute child pornography. Lerssen’s computer was identified as distributing child pornography and law enforcement officers executed a search warrant at his residence.
According to court documents, Lerssen had more than 876 files containing child pornography, with victims ranging in age from toddlers to 17 years old, including prepubescent children engaged in bondage or sadistic conduct. Lerssen had a large amount of child pornography on multiple devices. He used multiple mediums and Web sites to not only view child pornography, but to receive and distribute it. Lerssen admitted to viewing child pornography for the past five years.
This case was prosecuted by Assistant U.S. Attorney Ami Harshad Miller. It was investigated by the Southwest Missouri Cyber Crimes Task Force, the Missouri State Highway Patrol and the FBI.
Project Safe Childhood
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc . For more information about Internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."