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Tuesday 1 November 2016
Two Federal Inmates Sentenced to 70 Months in Prison for Assaulting Another InmateRead the Press Release
SCRANTON – The United States Attorney’s Office for the Middle District of Pennsylvania announced today that United States District Judge Malachy Mannion sentenced Reuben Blajos, age 42, and Manuel Vasquez-Perez, age 40, for assaulting another inmate while incarcerated at the United States Penitentiary Canaan (USP Canaan) in Waymart, Pennsylvania. Both inmates received a 70 month term of imprisonment.
According to United States Attorney Bruce D. Brandler, Blajos and Vasquez-Perez previously pleaded guilty to the assault, and admitted they beat another inmate with modified flails fashioned from padlocks affixed to socks, and repeatedly kicked their victim while he was on the ground. The victim suffered serious, but not life-threatening brain injuries, and numerous cuts and abrasions throughout his body.
At the time of the assault, Blajos was serving a sentence at USP Canaan pursuant to a 2010 federal conviction for racketeering and narcotics trafficking conspiracies. Judge Mannion ordered that his new sentence run consecutive to his undischarged term of imprisonment.
Vasquez-Perez, a citizen of Mexico, was serving a sentence at USP Canaan pursuant to a 2012 federal conviction for entering the United States illegally after having previously been deported. That sentence for entering the United States illegally expired during the course of the prosecution for the assault offense.
The case was investigated by the Federal Bureau of Investigation and officers from USP Canaan. Assistant United States Attorney Phillip J. Caraballo prosecuted the case.
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Twin Falls Man Sentenced to 25 Years in Prison for Transportation and Possession of Child PornographyRead the Press Release
BOISE – Stephen Roy Walker, 43, of Twin Falls, Idaho was sentenced today in United States District Court to 300 months in prison followed by 25 years supervised release, for transportation and possession of child pornography, U.S. Attorney Wendy J. Olson announced. Walker pleaded guilty on August 5, 2016.
According to the plea agreement, agents with the Department of Homeland Security served a search warrant at the Old Towne Lodge in Twin Falls, where Walker was living with three minor children, in February of 2014. Agents seized computers and electronic devices pursuant to the warrant, and a subsequent forensic examination of the devices revealed images of child pornography on the devices. In his plea agreement, Walker admitted that he transported 462 digital images and 42 digital videos containing child pornography from Texas to Idaho, and that he possessed the images while living in Idaho. The images included child victims from 46 known child pornography series, and depicted prepubescent minors and images of sadistic and masochistic abuse.
Walker also admitted that 78 of the images, and 4 of the videos, depicted himself engaged in sexually explicit conduct with one of the children who was living with him at the Old Towne Lodge. Walker further admitted that he took these images while living in Texas, and transported them to Idaho.
Chief U.S. District Judge B. Lynn Winmill also ordered Walker to forfeit two laptop computers, an external hard drive, and a digital camera used in the commission of the charged offenses. As a result of his conviction, Walker will be required to register as a sex offender.
“Three innocent children were rescued from a life of certain continued victimization thanks to the swift action of our special agents and partners involved in investigating this case,” said Steve Cagen, acting special agent in charge of HSI Seattle. “No child should be subject to this type of cruel punishment. Together, HSI and local law enforcement strive to assist traumatized youth by holding all child predators accountable for their deeds.”
“The U.S. Attorney's Office will aggressively work with our local, state, and federal partners to stop the sexual exploitation of children,” said Olson. “Those who continue to victimize children will be targeted and prosecuted. Mr. Walker is being severely and appropriately punished for his criminal conduct.”
The case was investigated by the Department of Homeland Security, Homeland Security Investigations and the Twin Falls Police Department, with assistance from the Buhl Police Department, the Idaho State Police, and the Twin Falls County Prosecuting Attorney’s Office.
The 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.”
Three More Indicted Related to Conspiracy to Lure Robbery Victims with Online AdsRead the Press Release
KANSAS CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced today that three more defendants have been indicted by a federal grand jury in relation to a conspiracy to use online ads to lure robbery victims.
Kenneth W. Sexson, 32, and Nicole L. Covey, also known as Nicole Waguespack and Nicole Preston, 33, both of Sugar Creek, Mo.; Sage E. Harrison, 35, Devon Davis-Aumua, 21, and Serina Campos, 23, all of Independence, Mo.; and Ray Mahurin, 34, of Blue Springs, Mo., were charged in an 11-count indictment returned by a federal grand jury in Kansas City. Today’s superseding indictment replaces a June 29, 2016, federal indictment and includes Davis-Aumua, Campos and Mahurin as additional defendants as well as additional charges against Sexson, Covey and Harrison.
Today’s indictment alleges that Sexson, Covey, Harrison and Davis-Aumua participated in a conspiracy to commit armed robbery from April 1, 2015, to June 7, 2016. They allegedly used several websites (including craigslist.org, backpage.com and skout.com) to make connections with their victims and arrange meetings at local hotels, residences and apartments. When customers arrived for the meetings, the indictment says, conspirators would be lying in wait, armed with firearms, and rob the customers.
The indictment specifically refers to six armed robberies that occurred in October 2015 at various locations in Kansas City, Mo., Independence, Mo., and North Kansas City, Mo.
In addition to the conspiracy, Sexson and Covey are charged together in two counts of aiding and abetting an armed robbery. Sexson, Covey and Harrison are also charged together in two counts of aiding and abetting armed robbery. Sexson, Covey and Davis-Aumua are also charged together in one count of aiding and abetting an armed robbery and one count of aiding and abetting the brandishing of a firearm in furtherance of a crime of violence.
Sexson is also charged with one count of armed robbery and one count of being a felon in possession of firearms and ammunition. The indictment alleges that Sexson was in possession of a Mossberg 12-gauge shotgun, a Marlin 30-30-caliber rifle, a Glock 9mm pistol, a Springfield 9mm pistol, and various rounds of ammunition on June 7, 2016. Under federal law, it is illegal for anyone who has been convicted of a felony to be in possession of any firearm or ammunition. Sexson has three prior felony convictions for assault and prior felony convictions for being a felon in possession of a firearm, possession of a controlled substance and leaving the scene of an accident.
Davis-Aumua is also charged with one count of being an unlawful drug user in possession of a firearm. The indictment alleges that Davis-Aumua was in possession of a Springfield .45-caliber pistol on Oct. 10, 2015.
Sexson, Mahurin, Covey and Campos are also charged together in one count of being unlawful drug users in possession of firearms and ammunition.
Dickinson cautioned that the charges contained in this indictment are simply accusations, and not evidence of guilt. Evidence supporting the charges must be presented to a federal trial jury, whose duty is to determine guilt or innocence.
This case is being prosecuted by Assistant U.S. Attorney Matthew P. Wolesky. It was investigated by the FBI, and the Independence, Mo., Police Department, with assistance from the Kansas City, Mo., Police Department, the North Kansas City, Mo., Police Department and the Blue Springs, Mo., Police Department.
Texas man pleads guilty to methamphetamine distribution conspiracyRead the Press Release
SHREVEPORT, La. – United States Attorney Stephanie A. Finley announced that a man from Texas pleaded guilty last week to conspiring to sell methamphetamine in the Shreveport area with another Texas man.
Delton Williams Jr., 29, of Deberry, Texas, pleaded guilty Tuesday before U.S. Magistrate Judge Mark L. Hornsby to one count of conspiracy to distribute methamphetamine. The plea will become final when accepted by U.S. District Judge S. Maurice Hicks Jr. According to the guilty plea, law enforcement agents learned that co-defendant Tares Terrell Hearn, 37, of Carthage, Texas, had organized a transaction to sell methamphetamine on May 10, 2016 at a Greenwood, La., gas station. Williams had arrived earlier in a Cadillac Escalade. Hearn was then seen entering the Escalade and exiting the vehicle with a package tucked under his arm. While Hearn was being arrested, Williams was followed to an adjacent business where he was also arrested. Hearn and Williams were found with large sums of money. Hearn was found with a large amount of methamphetamine not intended for personal use. It was later learned that Williams transported methamphetamine from Texas to Greenwood for Hearn who intended to distribute it
Williams and Hearn face up to 20 years in prison, at least three years of supervised release and a $1 million fine. A sentencing date of February 1, 2017 was set. Hearn pleaded guilty on September 9, 2016 to the conspiracy count. Sentencing for Hearn is set for January 12, 2017.
The DEA and Caddo Parish Sheriff’s Office conducted the investigation. Assistant U.S. Attorney Brandon B. Brown is prosecuting the case.
Taylor County man charged with illegal possession of a firearmRead the Press Release
CLARKSBURG, WEST VIRGINIA – A federal grand jury sitting in Clarksburg, West Virginia, returned an indictment today charging Rollie C. Poynter, Jr., 50, of Grafton, West Virginia, with illegal possession of a firearm, United States Attorney William J. Ihlenfeld, II, announced.
Poynter, who had previously been convicted of felony offenses in West Virginia, Ohio, and Kentucky, was allegedly found in possession of a .38 caliber revolver in Taylor County, West Virginia.
Poynter was charged with one count of “Unlawful Possession of a Firearm.” He faces up to ten years in prison and a fine up to $250,000. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant U.S. Attorney Traci M. Cook is handling the case on behalf of the government. The Bureau of Alcohol, Tobacco, Firearms, and Explosives, the Taylor County Sheriff’s Office, and Grafton City Police Department are investigating.
An indictment is merely an accusation. A defendant is presumed innocent unless and until proven guilty.State Prisoner Sentenced to 14 Months in Prison for Mailing Threatening Communications to Lancaster County JudgeRead the Press Release
SCRANTON - The United States Attorney’s Office for the Middle District of Pennsylvania announced that Joshua Keziah, age 28, an inmate incarcerated at the State Correctional Institution in Frackville, Pennsylvania was sentenced today by United States District Court Judge Malachy E. Mannion in federal court, in Scranton, to 14 months’ imprisonment. Additionally, Keziah receieved two years of post-release supervision that requires the defendant to spend 90 days in a halfway house.
According to United States Attorney Bruce D. Brandler, in August 2016, the defendant pleaded guilty to sending a threathening letter to President Judge Joseph Mandespacher of Lancaster County, Pennsylvania.
The case was investigated by the United States Postal Inspection Service and the Lancaster County Police Department. Assistant United States Attorney Evan Gotlob prosecuted the case.
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St. Albans woman pleads guilty to obtaining pain pills by fraudRead the Press Release
CHARLESTON, W.Va. – A St. Albans woman pleaded guilty today to federal crimes involving obtaining oxycodone and Xanax by fraud, announced United States Attorney Carol Casto. Virginia Scarberry, 52, entered her guilty plea to one count of conspiracy to obtain controlled substances by fraud and one count of obtaining controlled substances by fraud.
Scarberry admitted that on April 14, 2015, she obtained oxycodone and Xanax by presenting a prescription that she knew to be fraudulent to the Kroger pharmacy in St. Albans. Scarberry further admitted that she was paid $250 to get the fraudulent prescription filled and that she also knew the prescription was not valid because she had never been a patient of the doctor whose name was on the preprinted prescription pad.
Scarberry faces up to four years in federal prison for each count, for a total of up to eight years, when she is sentenced on February 1, 2017.
The Dunbar Police Department, the South Charleston Police Department, and the Drug Enforcement Administration conducted the investigation. Assistant United States Attorney Timothy D. Boggess is in charge of the prosecution. The plea hearing was held before United States District Judge Thomas E. Johnston.
This case was prosecuted as part of an ongoing effort led by the United States Attorney’s Office for the Southern District of West Virginia to combat the illicit sale and misuse of prescription drugs and heroin. The U.S. Attorney’s Office, joined by federal, state and local law enforcement agencies, is committed to aggressively pursuing and shutting down illegal pill trafficking, eliminating open air drug markets, and curtailing the spread of opiate painkillers and heroin in communities across the Southern District.
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Springdale Man Sentenced to 5 Years in Federal Prison for Drug TraffickingRead the Press Release
Fayetteville, Arkansas - Kenneth Elser, United States Attorney for the Western District of Arkansas, announced that Carlos Rios, age 38, of Springdale, was sentenced today to 60 months in federal prison followed by three years of supervised release on one count of Distribution of Methamphetamine. The Honorable Timothy L. Brooks presided over the sentencing hearing in the United States District Court in Fayetteville.
According to court records, on or about April 18, 2016 law enforcement conducted a controlled purchase of $1,360 worth of methamphetamine from Rios outside a business in Elm Springs. The suspected substance was sent to the Drug Enforcement Administration Lab for testing and was determined to contain 26.3 grams of actual methamphetamine. Rios was indicted by a federal grand jury in May, 2016 and pleaded guilty in July, 2016.
This case was investigated by the Drug Enforcement Administration, and the Springdale Police Department. Assistant United States Attorney Sydney Butler prosecuted the case for the United States.
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Related court documents may be found on the Public Access to Electronic Records website @ www.pacer.gov
Sedalia Man Pleads Guilty to Meth, Illegal FirearmRead the Press Release
JEFFERSON CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a Sedalia, Mo., man pleaded guilty in federal court today to possessing methamphetamine with the intent to distribute and to illegally possessing a firearm.
Justin Ray Shelledy, 38, of Sedalia, pleaded guilty before U.S. Magistrate Judge William A. Knox to the charges contained in a March 17, 2016, federal indictment.
Shelledy admitted that he was in possession of 50 grams or more of methamphetamine, with the intent to distribute, on March 4, 2016.
Shelledy also admitted that he was in possession of a Ruger 9mm handgun and ammunition on March 4, 2016. Under federal law, it is illegal for anyone who has been convicted of a felony to be in possession of any firearm or ammunition. Shelledy has prior felony convictions for unlawful use of a weapon and domestic assault.
According to court documents, Shelledy was arrested on an outstanding Pettis County warrant after getting out of his vehicle at his residence on March 4, 2016. Sedalia police officers found a black sunglasses case in his left jeans pocket. Inside the case was a plastic baggie that contained approximately 6.9 grams of methamphetamine, approximately 1.5 grams of marijuana and five prescription pills. Officers then searched Shelledy’s vehicle and located two cell phones and a loaded magazine for the Ruger 9mm handgun. Officers found the handgun inside the house in a bedroom closet along with another loaded magazine. In the same bedroom, officers found a box that contained three baggies with a total of 57.7 grams of methamphetamine.
Under federal statutes, Shelledy is subject to a mandatory minimum sentence of five years in federal prison without parole, up to a sentence of 50 years in federal prison without parole. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
This case is being prosecuted by Assistant U.S. Attorney Lawrence E. Miller. It was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Sedalia, Mo., Police Department and the Pettis County, Mo., Sheriff’s Department.
Robert David Liles Sentenced Following Guilty Plea to A Federal Charge of Possession of Stolen FirearmsRead the Press Release
United States Attorney Kenyen R. Brown of the Southern District of Alabama announces that Robert David Liles of Elberta, Alabama, was sentenced to 27 months imprisonment following a July 2016 guilty plea to a charge of possession of stolen firearms.
On February 13, 2016, an Investigator with the Elberta Police Department went to Liles’ residence in an effort to locate stolen items from a recently burglarized residence. The Investigator spoke to Liles about the stolen firearms, and Liles took the investigator inside the residence where he recovered four (4) rifles, two (2) shotguns, a pistol, along with a bag that contained ammunition and other firearm accessories, and a large damaged safe which had contained the firearms.
During a subsequent interview with law enforcement Liles said he believed the firearms were stolen, but did not ask any details about where they came from. Liles said he knew the individuals who brought the firearms to his residence were not supposed to have the firearms, and he was not supposed to have them either.
Possession of stolen firearms is a violation of Title 18, United States Code Section 922(j). Liles’ term of imprisonment will be followed by a 3-year term of federal supervised release.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms & Explosives. The case was prosecuted by the United States Attorney’s Office for the Southern District of Alabama.
Rindge Man Ordered to Pay More Than $22.8 Million in Restitution to Ponzi Scheme VictimsRead the Press Release
CONCORD, N.H. – Aaron E. Olson, 42, of Rindge, New Hampshire, was ordered to pay $22,811,405.26 to the victims of a Ponzi scheme he operated from 2007 through 2012, reported United States Attorney Emily Gray Rice.
Olson was sentenced to 60 months in prison last April for evading taxes from 2007 through 2010 for failing to report illicit income from the Ponzi scheme. From 2007 through 2010, Olson was the sole proprietor of an investment business known as AEO Associates (AEO). In December of 2010, Olson formed KMO Associates LLC (KMO), an investment business that was registered in Massachusetts. Olson ran both operations from an office in Jaffrey, New Hampshire. Olson used AEO and later KMO to obtain approximately $27.8 million from individuals and organizations ostensibly to invest on their behalf. Olson was not licensed as an investment broker in New Hampshire or in any other jurisdiction and he did not register AEO and KMO with the State of New Hampshire as investment businesses.
Olson used approximately $2.6 million of the investors’ money for his personal benefit and used some of the investors’ money to make fraudulent “earnings” payments to other investors. To conceal this conduct, Olson sent investors fictitious earnings statements that falsely showed significant earnings in their accounts.
The collapse of Olson’s fraudulent scheme in about March or April of 2012 left 81 victims with collective losses totaling more than $22.8 million. Under the terms of a plea agreement, Olson was required to pay restitution to the victims in an amount determined by the court. At a hearing yesterday, Olson argued that he only owed about $17.1 million in restitution. The United States Attorney’s Office argued that he owed the entire amount each victim lost. After considering both arguments, United States District Judge Landya B. McCafferty ruled that Olson owed the full amount the victims lost and ordered Olson to pay $22,811,405.26 in restitution immediately.
This case was investigated by the office of Criminal Investigations for the Internal Revenue Service in conjunction with the New Hampshire Bureau of Securities Regulation and was prosecuted by Assistant United States Attorney Mark S. Zuckerman.
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Pittsburgh man charged with heroin distribution, firearm chargesRead the Press Release
CLARKSBURG, WEST VIRGINIA – A federal grand jury sitting in Clarksburg, West Virginia, returned an indictment today charging Nyzhon N. Bell, 19, of Pittsburgh, Pennsylvania, with distributing heroin and illegally possessing a firearm, United States Attorney William J. Ihlenfeld, II, announced.
In May 2016, Bell allegedly distributed heroin in Harrison County, West Virginia. He was also in possession of a semi-automatic pistol that he used in furtherance of his heroin distribution operation.
Bell was charged with one count of “Possession with Intent to Distribute Heroin” and one count of “Possession of Firearm in Furtherance of Drug Trafficking Crime.” He faces up to twenty years in prison and a fine up to $1,000,000 for the distribution of heroin count and up to five years in prison and a fine up to $250,000 for the use of a firearm count. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant U.S. Attorney Traci M. Cook is handling the case on behalf of the government. The Bureau of Alcohol, Tobacco, Firearms, and Explosives and the Greater Harrison County Drug and Violent Crime Task Force, a HIDTA-funded initiative, is investigating.
An indictment is merely an accusation. A defendant is presumed innocent unless and until proven guilty.Peosta Warehouse Supervisor Sentenced to 78 Months in Federal Prison for Stealing over $400,000 from his Employer and Lying to a Credit UnionRead the Press Release
A Dubuque-area man, who stole and sold over $400,000 worth of his employer’s goods on the Internet, was sentenced today to 78 months’ imprisonment.
Chad Michael Saeugling, 40, from Asbury, Iowa, received the prison term after his pleas of guilty on June 8, 2016 to one count of Mail Fraud and two counts of Making a False Statement to a Financial Institution.
At his plea hearing and in a written plea agreement, Saeugling admitted he was employed as a supervisor at a Peosta, Iowa, warehouse between 2004 and 2014. From 2009 through August 2014, Saeugling defrauded his employer by selling his employer’s goods on the Internet. Specifically, Saeugling advertised goods found in his employer’s warehouse on eBay, an Internet marketplace. Once an eBay shopper paid defendant for an item, Saeugling placed his own UPS or FedEx shipping label on the item and put the item on a UPS or FedEx truck, hiding the item among items his employer was shipping. Saeugling then used his access to a computerized inventory system to falsely adjust the stolen item out of his employer’s inventory to avoid detection.
Shortly after Saeugling’s mail fraud scheme was discovered, Saeugling agreed to purchase a house from his father. In order to secure a home mortgage loan for the property in late 2014, Saeugling made a false statement concerning his income to a federally insured credit union. Saeugling also falsely told the credit union that his father had gifted him $22,000 to purchase the home when, in truth, Saeugling had previously supplied his father with the $22,000, in cash, which his father then routed through two different bank accounts before providing the $22,000 in two $11,000 checks to Saeugling at the time of closing on the home.
At sentencing, Chief Judge Linda R. Reade of the United States District Court for the Northern District of Iowa found defendant “spit in his employer’s eye” and led his own father in criminal activity. The judge rejected Saeugling’s claim that a bank official had told him to route funds through his father in two different accounts. The judge found Saeugling had “no credibility” and “no conscience,” and his criminal activity would have continued were it not for the courage of one of his coworkers at the warehouse. Further, the judge found Saeugling had violated the terms of his release pending sentencing by possessing firearms and ammunition, which he was selling to his coworkers at his workplace. The judge concluded Saeugling was at an “extremely high risk to reoffend.”
Saeugling was sentenced in Cedar Rapids and sentenced to 78 months’ imprisonment. A special assessment of $300 was imposed, and he was ordered to make $423,025.52 in restitution his employer’s insurer. He must also serve a five-year term of supervised release after the prison term. There is no parole in the federal system.
Saeugling is being held in the United States Marshal’s custody until he can be transported to a federal prison.
The case was prosecuted by Assistant United States Attorney Tim Vavricek and investigated by the Dubuque County Sheriff’s Office.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 16-CR-1023-LRR.
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Owner and CEO of Debt Collection Company Pleads Guilty in $31 Million Fraudulent Debt Collection SchemeRead the Press Release
Preet Bharara, the United States Attorney for the Southern District of New York, announced that TRAVELL THOMAS, the owner, chief executive officer (“CEO”), and president of a Buffalo, New York-based debt collection company (the “Company”), pled guilty today before Judge Katherine Polk Failla to orchestrating a scheme to coerce thousands of victims across the country, through false threats and representations, into paying a total of more than $31 million to the Company to resolve debts these victims purportedly owed. To date, 11 individuals associated with the Company have pled guilty to participating in the scheme.
U.S. Attorney Preet Bharara said: “As he admitted today, Travell Thomas ran a massive, fraudulent debt collection scheme through which he and his cohorts stole over $31 million from his vulnerable victims. Thomas instructed his debt collectors to threaten, intimidate, and lie to their victims by overstating their debts and making false claims about what would happen to if they didn’t pay up. Today’s plea is the eleventh in this landmark consumer fraud case that victimized thousands of people across the country.”
According to the allegations contained in the Indictment to which THOMAS pled guilty and statements made during his plea proceeding and other court proceedings:
Between 2010 and February 2015, THOMAS was the co-owner, CEO, and president of the Company. In that capacity, Thomas oversaw four debt collection offices operated by the Company in Buffalo and a team of managers and debt collectors. As part of the scheme, THOMAS falsely inflated the balances of debts owed by consumers in the Company’s debt collection software so that THOMAS’s debt collectors could collect more money from the victims than the victims actually owed, a practice known within the Company as “juicing” balances. THOMAS also placed purported debts with more than one of his offices so that multiple collectors from within the Company could solicit and coerce a particular victim to repay a debt more than once.
As owner and president of the Company, THOMAS drafted, approved, and disseminated collection scripts that contained a variety of misrepresentations and instructed his collectors to make those misrepresentations to consumers over the telephone. At THOMAS’s direction and under his supervision, the Company’s debt collectors, using a variety of aliases, attempted to trick and coerce thousands of victims throughout the United States into paying millions of dollars in consumer debts through a variety of false statements and false threats, including that: (1) the Company was affiliated with local government and law enforcement agencies, including the “county” and the district attorney’s office; (2) the consumers had committed criminal acts, such as “wire fraud” or “check fraud,” and if they did not pay the debt immediately, warrants or other process would be issued, at which point they would be arrested or hauled into court; (3) the victims would have their driver’s licenses suspended if they did not pay their debts immediately; (4) the Company was a law firm or mediation firm and that the Company’s employees were working with lawyers, a law firm, mediators, or arbitrators; and (5) a civil lawsuit would be filed, or was pending, against the victims for failing to pay their debts.
In total, from about January 2010 through November 2014, the Company collected over $31 million from thousands of victims across the United States. Of the money that the Company took in from victims, approximately $1.5 million was paid in cash to THOMAS and his co-owner and co-defendant, Maurice Sessum, approximately $1.4 million was cashed from banks and ATMs, and tens of thousands of dollars were used to pay for THOMAS’s gambling expenses, tickets for professional sports games, THOMAS’s wedding reception, and jewelry, among other expenses.
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THOMAS, 38, of Orchard Park, New York, pled guilty to one count of conspiracy to commit wire fraud and one count of wire fraud, each of which carries a maximum sentence of 20 years in prison and three years of supervised release. The maximum potential sentence in this case is prescribed by Congress and provided here for informational purposes only, as any sentencing of the defendant will be determined by the judge.
THOMAS is scheduled to be sentenced by Judge Failla on February 10, 2017.
In total, 11 individuals associated with the Company have pled guilty to defrauding consumers as part of this debt collection scheme. In addition to THOMAS’s guilty plea, former Company mangers Tacoby Thomas, Heather Gasta, Mark Lavin, and John Salatino, and debt collectors Jessica Mann, Charles Starks, William Clark, Columbus Simmons, Michael Calandra, and Jennifer Sherk, each pled guilty to conspiracy to commit wire fraud and wire fraud for their roles in the scheme. The other defendants who have not pled guilty are presumed innocent unless and until proven guilty.
Starks, Clark, Calandra, and Mann were sentenced by Judge Failla to prison terms of 37 months, 30 months, 15 months, and one year and one day, respectively. The sentencing of the other defendants who have pled guilty is pending.
Mr. Bharara praised the efforts of the Office’s Criminal Investigators. He also thanked the Federal Trade Commission, which referred the case to the Office.
The prosecution of this case is being overseen by the Office’s Complex Frauds and Cybercrime Unit. Assistant U.S. Attorneys Edward A. Imperatore, Jennifer L. Beidel, and Jordan L. Estes are in charge of the prosecution.
Omaha Woman Sentenced for Wrongfully Obtaining Health InformationRead the Press Release
On October 31, 2016, Carrie Case, age 42, was sentenced by Honorable Chief District Court Judge Laurie Smith Camp following her conviction for wrongfully obtaining individually identifiable health information. Chief Judge Smith Camp sentenced Case to three years of probation.
During the period February 8, 2015 through April 8, 2015, Case, working as a clerk in a physicians’ clinic in Omaha and on four occasions she unlawfully accessed and obtained electronic and hard copy medical records of an individual that was maintained within the UNMC and CHIH health systems here in Omaha. Case accessed and obtained these patient records and then provided them to a third party for no legitimate reason and without the permission or consent of the individual whose records were accessed.
This case was investigated by the Federal Bureau of Investigation.
Ohio man charged with heroin, crack cocaine, firearm chargesRead the Press Release
CLARKSBURG, WEST VIRGINIA – A federal grand jury sitting in Clarksburg, West Virginia, returned an indictment today charging Johnny D. Floyd, Sr., 42, of Cincinnati, Ohio, with distributing heroin and crack cocaine and illegal possession of a firearm, United States Attorney William J. Ihlenfeld, II, announced.
Floyd allegedly distributed heroin and crack cocaine in Marion County, West Virginia. He was also in possession of a .40 caliber handgun that he used in furtherance of his drug distribution operation.
Floyd was charged with one count of “Possession with Intent to Distribute Cocaine Base and Heroin,” one count of “Maintaining Drug Involved Premises,” and one count of “Possession of a Firearm in Furtherance of a Drug Trafficking Crime.” He faces up to twenty years in prison and a fine up to $1,000,000 for possession of drugs charge; up to twenty years in prison and a fine of up to $500,000 for the maintaining a drug involved premises charge; and up to five years in prison and a fine of up to $250,000. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant U.S. Attorney Andrew R. Cogar is handling the case on behalf of the government. The Marion County Sheriff’s Office is investigating.
An indictment is merely an accusation. A defendant is presumed innocent unless and until proven guilty.New York Attorney Pleads Guilty in Manhattan Federal Court to Preparing Fraudulent Tax Returns for ClientsRead the Press Release
An attorney who operated a tax preparation business in the Bronx, New York, pleaded guilty today in Manhattan federal court to charges related to his participation in filing fraudulent tax returns and falsely claiming more than $6 million in bogus deductions, announced Principal Deputy Assistant Attorney General Caroline D. Ciraolo, head of the Justice Department’s Tax Division, and U.S. Attorney Preet Bharara for the Southern District of New York.
William Doonan, 69, of Bronx, New York, pleaded guilty today before U.S. Magistrate Judge Andrew J. Peck to one count of aiding and assisting in the preparation of a false tax return, and one count of obstructing and impeding the due administration of the internal revenue laws.
“William Doonan used his law practice to prepare thousands of false tax returns each year with phony deductions, costing the U.S. treasury more than $1.5 million,” said Principal Deputy Assistant Attorney General Ciraolo. “His conviction sends a clear message – we will fully prosecute crooked tax preparers – whether they be lawyers and tax professionals or temporary storefront operators.”
“William Doonan used his law degree and tax preparation business to fleece the IRS of millions of dollars in fraudulent tax deductions,” said U.S. Attorney Bharara. “As he admitted today, Doonan claimed numerous false deductions for thousands of clients, defrauding the IRS and unlawfully depriving the public of tax revenue.”
According to the allegations contained in the Information filed in the Southern District of New York and statements made during the plea proceeding:
Since at least 2009, Doonan has been in the business of preparing federal tax returns for clients in exchange for fees. Doonan, a New York licensed attorney since 1982, carried out his tax preparation business in the Bronx using the firm name “William Doonan, Esq.” Doonan prepared and filed more than 3,000 federal tax returns with the Internal Revenue Service (IRS) each year and regularly prepared and filed client returns that were false and fraudulent. For example, on some of his clients’ returns, Doonan added false medical and dental expenses, state and local taxes, home mortgage interest, gifts to charity, job expenses and certain miscellaneous deductions. Doonan also attached Schedules C to his clients’ returns that reported “Consulting” businesses that the relevant clients did not own, operate, and materially participate in, and business losses that the relevant clients did not incur. Between tax year 2009 through tax year 2012, Doonan included in excess of $6 million in these fabricated and inflated items on his clients’ federal tax returns.
Sentencing is scheduled for Feb. 10, 2017 before U.S. District Judge Vernon S. Broderick. Doonan faces a statutory maximum sentence of three years in prison on the aiding and assisting in the preparation of a false return count and three years in prison on the obstruction of the internal revenue laws count, as well as a period of supervised release and monetary penalties.
Principal Deputy Assistant Attorney General Ciraolo and U.S. Attorney Bharara commended agents of IRS-Criminal Investigation, who conducted the investigation. This case is being prosecuted by the U.S. Attorney’s Office for the Southern District of New York ’s Complex Frauds and Cybercrime Unit. Special Assistant U.S. Attorney Jorge Almonte of the Tax Division is in charge of the prosecution.
Additional information about the Tax Division and its enforcement efforts may be found on the division’s website.
New Hampshire to Receive Federal Grant Money to Combat Human TraffickingRead the Press Release
CONCORD, N.H.: Today, United States Attorney Emily Gray Rice confirmed the formation of a Human Trafficking Task Force, which will receive federal grant funding to combat human trafficking in the state of New Hampshire. The grant funding is part of a nationwide effort by the Department of Justice to fight the mounting threat posed by human traffickers, who prey upon the most vulnerable of victims to support their criminal schemes. In total, DOJ has awarded more than $49 million to 25 states with the goal of providing comprehensive and specialized services for human trafficking victims, investigating and prosecuting human trafficking cases, and supporting research designed to improve understanding of the nature of human trafficking crimes and develop best practices to prevent and respond to such crimes.
Since 2013, there have been at least 23 recorded investigations involving forced labor or sex trafficking in New Hampshire, resulting in several prosecutions and convictions. That number – which continues to grow – is fueled in part by the influx of opioids into the state. Victims of the sex trafficking trade are often addicted to opiates or other drugs. They are sometimes forced or coerced into sexual servitude based, in part, on their fear of losing a steady supply of drugs and the prospect of experiencing withdrawal symptoms as a result of that lost drug supply.
In May 2016, the U.S. Attorney’s Office, Manchester Police Department, Child and Family Services of New Hampshire, Department of Homeland Security (Homeland Security Investigations), and Give Way to Freedom submitted a joint Letter of Intent to the Department of Justice, seeking grant money to support the New Hampshire Human Trafficking Task Force, whose members have pledged their continued partnership to implement a coordinated, collaborative, victim-centered and trauma-informed multi-disciplinary response to human trafficking in New Hampshire by (1) identifying victims of all forms of human trafficking and addressing individualized service needs of those victims, and (2) investigating and prosecuting all human trafficking offenses within the boundaries of New Hampshire. The grant was approved in late September. However, additional steps must be undertaken before the funds are disbursed.
U.S. Attorney Rice praised the tremendous work done by those who prepared and obtained the grant, including the submission’s primary author, Erin Albright of Give Way to Freedom, and discussed the project’s importance in tackling this growing threat: “Human trafficking is often associated with larger metropolitan areas like New York, Los Angeles, and Boston – but it happens in New Hampshire, and with increasing frequency,” Rice stated. “Human trafficking is a heinous crime that preys on the most defenseless victims, many of whom are minors or individuals with severe substance abuse issues. With the assistance of this grant funding, our prosecutors are committed to collaborating with our law enforcement partners and incredible NGOs to provide services for human trafficking victims, and hold accountable those who are profiting from these terrible crimes.” U.S. Attorney Rice further noted that additional details will be released in December, when the project is officially launched.
Other members of the New Hampshire Human Trafficking Task Force include: the New Hampshire Department of Justice; the Hillsborough County Attorney’s Office; the Police Departments of Nashua, Portsmouth, Hampton, and Salem; the New Hampshire State Police; the Merrimack County Sheriff’s Office; the New Hampshire Internet Crimes Against Children Task Force; the U.S. Department of Labor, Wage, and Hour Division; the U.S. Department of Labor (Office of the Solicitor); the Department of Children, Youth, and Families; the Granite State Children’s Alliance; the Merrimack County Advocacy Center; the Crisis Center of Central New Hampshire; the YWCA of Manchester, New Hampshire; the International Institute of New England; the New Hampshire Coalition Against Domestic and Sexual Violence; New Hampshire Legal Assistance; Plymouth State University; the New Hampshire Restaurant and Lodging Association; the Episcopal Church of New Hampshire; Real Life Giving; and Freedom Café.
For further information about the Department of Justice’s nationwide initiative to combat human trafficking, please go to https://www.justice.gov/opa/pr/department-justice-awards-more-49-million-combat-human-trafficking.
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New Hampshire to Receive Federal Grant Money to Combat Human TraffickingRead the Press Release
CONCORD, N.H.: Today, United States Attorney Emily Gray Rice confirmed the formation of a Human Trafficking Task Force, which will receive federal grant funding to combat human trafficking in the state of New Hampshire. The grant funding is part of a nationwide effort by the Department of Justice to fight the mounting threat posed by human traffickers, who prey upon the most vulnerable of victims to support their criminal schemes. In total, DOJ has awarded more than $49 million to 25 states with the goal of providing comprehensive and specialized services for human trafficking victims, investigating and prosecuting human trafficking cases, and supporting research designed to improve understanding of the nature of human trafficking crimes and develop best practices to prevent and respond to such crimes.
Since 2013, there have been at least 23 recorded investigations involving forced labor or sex trafficking in New Hampshire, resulting in several prosecutions and convictions. That number – which continues to grow – is fueled in part by the influx of opioids into the state. Victims of the sex trafficking trade are often addicted to opiates or other drugs. They are sometimes forced or coerced into sexual servitude based, in part, on their fear of losing a steady supply of drugs and the prospect of experiencing withdrawal symptoms as a result of that lost drug supply.
In May 2016, the U.S. Attorney’s Office, Manchester Police Department, Child and Family Services of New Hampshire, Department of Homeland Security (Homeland Security Investigations), and Give Way to Freedom submitted a joint Letter of Intent to the Department of Justice, seeking grant money to support the New Hampshire Human Trafficking Task Force, whose members have pledged their continued partnership to implement a coordinated, collaborative, victim-centered and trauma-informed multi-disciplinary response to human trafficking in New Hampshire by (1) identifying victims of all forms of human trafficking and addressing individualized service needs of those victims, and (2) investigating and prosecuting all human trafficking offenses within the boundaries of New Hampshire. The grant was approved in late September. However, additional steps must be undertaken before the funds are disbursed.
U.S. Attorney Rice praised the tremendous work done by those who prepared and obtained the grant, including the submission’s primary author, Erin Albright of Give Way to Freedom, and discussed the project’s importance in tackling this growing threat: “Human trafficking is often associated with larger metropolitan areas like New York, Los Angeles, and Boston – but it happens in New Hampshire, and with increasing frequency,” Rice stated. “Human trafficking is a heinous crime that preys on the most defenseless victims, many of whom are minors or individuals with severe substance abuse issues. With the assistance of this grant funding, our prosecutors are committed to collaborating with our law enforcement partners and incredible NGOs to provide services for human trafficking victims, and hold accountable those who are profiting from these terrible crimes.” U.S. Attorney Rice further noted that additional details will be released in December, when the project is officially launched.
Other members of the New Hampshire Human Trafficking Task Force include: the New Hampshire Department of Justice; the Hillsborough County Attorney’s Office; the Police Departments of Nashua, Portsmouth, Hampton, and Salem; the New Hampshire State Police; the Merrimack County Sheriff’s Office; the New Hampshire Internet Crimes Against Children Task Force; the U.S. Department of Labor, Wage, and Hour Division; the U.S. Department of Labor (Office of the Solicitor); the Department of Children, Youth, and Families; the Granite State Children’s Alliance; the Merrimack County Advocacy Center; the Crisis Center of Central New Hampshire; the YWCA of Manchester, New Hampshire; the International Institute of New England; the New Hampshire Coalition Against Domestic and Sexual Violence; New Hampshire Legal Assistance; Plymouth State University; the New Hampshire Restaurant and Lodging Association; the Episcopal Church of New Hampshire; Real Life Giving; and Freedom Café.
For further information about the Department of Justice’s nationwide initiative to combat human trafficking, please go to https://www.justice.gov/opa/pr/department-justice-awards-more-49-million-combat-human-trafficking.
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Navajo Man Sentenced to Prison for Federal Assault ConvictionRead the Press Release
ALBUQUERQUE – Gregory Secatero, 33, an enrolled member of the Navajo Nation who resides in Albuquerque, N.M., was sentenced this morning in federal court to 41 months in prison followed by three years of supervised release for his conviction on federal assault charges.
Secatero was arrested on Feb. 12, 2015, on a criminal complaint charging him with assault resulting in serious bodily injury and child abuse in Indian Country. Court documents indicate that on Jan. 17, 2015, Secatero was involved in a car crash that seriously injured two passengers, a woman and a child, who were in Secatero’s vehicle. Both victims were ejected from the vehicle; the woman suffered a punctured left lung and seven left rib fractures and the child suffered a small subdural hematoma and left femur spiral fracture. Two other children who were in the vehicle were not seriously injured. Secatero was intoxicated at the time of the crash.
Secatero was indicted on March 10, 2015, and charged with two counts of assault resulting in serious bodily injury and one count of child abuse for endangering the lives of three children. According to the indictment, Secatero committed the crimes on the Navajo Indian Reservation in Bernalillo County, N.M.
On Jan. 21, 2016, Secatero pled guilty to two counts of assault resulting in serious bodily injury. In entering his guilty plea, Secatero admitted assaulting the victims, causing them to sustain serious bodily injuries, while driving under the influence of alcohol.
This case was investigated by the Crownpoint office of the Navajo Nation Division of Public Safety and was prosecuted by Assistant U.S. Attorney Shammara Henderson.
Minneapolis Man Pleads Guilty to Human Trafficking of a MinorRead the Press Release
FARGO - US Attorney Christopher C. Myers announced that on October 31, 2016, Steven Edward Meierding, 50, Minneapolis, Minn., pled guilty before U.S. District Judge Ralph R. Erickson to One Count of Sex Trafficking of a Child.
This case came to the attention of law enforcement after the Fargo Police Department encountered a 17-year-old runaway during a traffic stop. Further investigation by Department of Homeland Security Investigators and a Fargo Police Department Detective revealed that Meierding transported the 17-year-old girl from Minneapolis, MN, to Fargo, ND, for the purpose of prostitution. Specifically, Meierding met the 17-year-old girl at a gas station in Minneapolis and subsequently took her to his residence where he took photos of her that were later used in Backpage.com advertisements for commercial sex. Sometime between May 2015 and June 15, 2015, Meierding then transported the underage girl to Fargo where he dropped her off at a residence where his co-defendant, Brenda Godoy, was residing. Meierding returned to Minneapolis, but before he could return to Fargo to pick up the underage girl, she was recovered by the Fargo Police Department during the above-mentioned traffic stop. Electronic evidence recovered during the investigation further revealed that Meierding and his co-defendant received a portion of the proceeds that the underage girl obtained as a result of engaging in commercial sex acts.
Judge Erickson has set sentencing for January 24, 2017, at the US District Court in Fargo ND.
This case was investigated by the Department of Homeland Security-Homeland Security Investigations, Fargo Police Department, and the North Dakota Bureau of Criminal Investigation.
Assistant US Attorney Jennifer Puhl is prosecuting the case.
This case was prosecuted with the assistance of the North Dakota Human Trafficking Task Force (NDHTTF), which includes regional response teams that consist of federal, state, and local law enforcement and victim service providers working together to identify and rescue human trafficking victims as well as investigate and prosecute human trafficking cases. Led by the U.S. Attorney’s Office, BCI, and the North Dakota Counsel on Abused Women Services (CAWS), the NDHTTF is dedicated to addressing the individualized needs of human trafficking victims and the apprehension, investigation, and prosecution of the perpetrators of human trafficking.
Mexican National Sentenced to Six Years for Federal Methamphetamine Trafficking ConvictionRead the Press Release
ALBUQUERQUE – Juan Carlos Nieblas-Ruelas, 28, a Mexican national illegally residing in the United States, was sentenced today in federal court in Albuquerque, N.M., to 72 months in prison for his methamphetamine trafficking conviction. Nieblas-Ruelas will be deported after he completes his prison sentence.
Nieblas-Ruelas and co-defendant Massiel Segoviano-Fierro, 25, also a Mexican national illegally residing in the United States, were arrested in Nov. 2015, and were charged by criminal complaint with conspiracy and possession of methamphetamine with intent to distribute on Nov. 23, 2015, in Bernalillo Country N.M. The two men were arrested after the two men attempted to sell approximately ten pounds of methamphetamine to an undercover law enforcement agent.
On Jan. 22, 2016, Nieblas-Ruelas pled guilty to a felony information charging him with possession of methamphetamine with intent to distribute. In entering the guilty plea, Nieblas-Ruelas admitted that on Nov. 23, 2015, he provided methamphetamine to Segoviano-Fierro knowing that Segoviano-Fierro intended to sell it to another person.
On Feb. 22, 2016, Segoviano-Fierro pled guilty to a similar felony information and admitted that on Nov. 23, 2015, in Bernalillo County, he attempted to sell methamphetamine to an individual who unbeknownst to him was an undercover law enforcement agent. Segoviano-Fierro further admitted that he collaborated with Nieblas-Ruelas to obtain approximately ten pounds of methamphetamine to sell and distribute in Albuquerque.
At sentencing, Segoviano-Fierro faces a maximum penalty of 20 years in federal prison and will be deported following his term of incarceration. Segoviano-Fierro remains in custody pending a sentencing hearing.
This case was investigated by the Albuquerque office of Homeland Security Investigations and the New Mexico State Police and is being prosecuted by Assistant U.S. Attorney David M. Walsh.
Member of Computer Hacking Group “NullCrew” Sentenced to Nearly Four Years for Launching Cyber-Attacks on Corporations and UniversitiesRead the Press Release
CHICAGO — A Tennessee man was sentenced today to nearly four years in federal prison for launching cyber-attacks on corporations, universities and governmental entities throughout the world.
As a member of the hacking group “NullCrew,” TIMOTHY JUSTEN FRENCH exploited computer vulnerabilities to obtain unauthorized access and steal confidential information, including encrypted personal data of thousands of individuals. French’s cyber-attacks caused at least $792,000 in monetary loss to victim companies, universities and governmental bodies.
U.S. District Judge Gary Feinerman imposed the 45-month sentence today in federal court in Chicago.
“The defendant played a central role in an extensive, deliberate, and destructive hacking campaign that inflicted widespread and serious harm to businesses, governments, non-profits, and thousands of individuals,” Assistant U.S. Attorney William Ridgway argued in the government’s sentencing memorandum. “He disseminated online the usernames, email accounts, and passwords for thousands of individuals, which not only violated their privacy and sense of online security, it exposed them to financial fraud and identity theft.”
French, 22, of Morristown, Tenn., pleaded guilty last year to one count of intentionally damaging a protected computer without authorization.
NullCrew is a group of computer hackers who carried out a series of cyber-attacks in the United States and throughout the world. To publicize their intrusions, French and other members of NullCrew maintained Twitter accounts, including @NullCrew_FTS and @OfficialNull, which they used to announce their cyber-attacks and ridicule their victims by publicly disclosing the confidential information they had stolen, according to French's plea declaration. French hid his true identity by using Internet aliases, including “Orbit,” “@Orbit_g1rl,” “crysis,” “rootcrysis,” and “c0rps3.”
French participated in at least seven cyber-attacks while a member of NullCrew from 2012 to 2014. One of the attacks was carried out against a large Canadian telecommunications company, while another attack targeted a U.S. state, according to the plea declaration.
The sentencing was announced by Zachary T. Fardon, United States Attorney for the Northern District of Illinois; and Michael J. Anderson, Special Agent-in-Charge of the Chicago Office of the Federal Bureau of Investigation.
The government is represented by Mr. Ridgway.
Maryland Man Exiled to 10 Years in Federal Prison for Possession of a Stolen FirearmRead the Press Release
Baltimore, Maryland –U.S. District Judge James K. Bredar sentenced Daniel Hill, age 44, of Baltimore, Maryland, today to 10 years in prison, followed by three years of supervised release, for possession of a stolen gun.
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 Hill’s guilty plea, on October 14, 2014, three Baltimore Police Department officers were on patrol in a marked police vehicle on S. Pulaski Street in Baltimore City. As the officers approached the 2100 block of Booth Street, they saw a woman and man standing in the block. The woman appeared scared and the officers approached to investigate. When the man, later identified as Daniel Hill, spotted the police officers, he ran away. Police pursued Hill through an alleyway and Hill was quickly apprehended.
The woman told police that Hill had brandished a black handgun and demanded money from her. The woman gave Hill three $20 bills. She also told police that Hill had thrown the gun into the back yard of a residence and police recovered a .44 caliber handgun from the yard. After his arrest, Hill was searched and officers recovered three $20 bills from his left side pocket. At a subsequent interview, after waiving his rights, Hill admitted that he was in possession of the gun. Investigation showed that the gun was reported stolen in Ohio prior to its recovery in Maryland.
United States Attorney Rod J. Rosenstein commended the ATF, Baltimore Police Department and Baltimore City State’s Attorney’s Office for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorney John W. Sippel, Jr., who prosecuted the case.
Marshall County man charged with marijuana distributionRead the Press Release
WHEELING, WEST VIRGINIA – A federal grand jury sitting in Clarksburg, West Virginia, returned an indictment today charging Christopher M. Delauder, 27, of Moundsville, West Virginia, with distributing marijuana, United States Attorney William J. Ihlenfeld, II, announced.
In April 2016, Delauder allegedly distributed a significant amount of marijuana in Marshall County, West Virginia.
Delauder was charged with one count of “Conspiracy to Possess with Intent to Distribute and to Distribute Marijuana” and one count of “Possession with Intent to Distribute Marijuana.” He faces up to five years in prison and a fine up to $1,000,000 for each count. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant U.S. Attorney Stephen L. Vogrin is handling the case on behalf of the government. The Marshall County Drug and Violent Crime Task Force, a HIDTA-funded initiative, is investigating.
An indictment is merely an accusation. A defendant is presumed innocent unless and until proven guilty.Leaders of Violent Bloods Street Gang Admit Racketeering ConspiracyRead the Press Release
NEWARK, N.J. – Two leaders of the Sex Money Murder set of the Bloods street gang today admitted their respective roles in a racketeering conspiracy that involved murder, attempted murder, conspiracy to commit murder, and conspiracy to distribute heroin, U.S. Attorney Paul J. Fishman announced.
Narik Wilson, a/k/a “Spaz,” 32, and Emil Rutledge, a/k/a “Diddy,” 27, both of Newark, New Jersey, pleaded guilty before U.S. District Judge Susan D. Wigenton in Newark federal court to Count Two of a 14-count superseding indictment charging them with racketeering conspiracy.
According to documents filed in this case and statements made in court:
The Bloods street gang is organized into subgroups that operate in specific geographic locations. Sex Money Murder is the subgroup that operates primarily in Essex County, New Jersey.
Wilson and Rutledge, high-ranking members in Sex Money Murder, admitted that from 2007 to 2011 they committed a series of violent crimes to advance the gang’s objectives. Wilson, the leader, or “O.G.,” of Sex Money Murder, admitted that he directed the murder and attempted murder of eight rival gang members in and around Newark. Rutledge, a “captain,” or “shot-caller,” of Sex Money Murder, admitted that he and others carried out a number of the shootings ordered by Wilson, causing series injuries to others and the death of a victim.
Wilson admitted that he conspired with and directed other members of Sex Money Murder to murder the following individuals described in the indictment:
- Feb. 4, 2007, attempted murder of a rival gang member, (Victim 1);
- Feb. 16, 2007, attempted murder of a rival gang member (Victim 2);
- Oct. 29, 2010, attempted murder of a rival gang member (Victim 3);
- June 16, 2011, attempted murder of rival gang members (Victims 4-7);
- July 14, 2011, murder of a rival gang member (Victim 8);
- Aug. 3, 2011, attempted murder of a rival gang member (Victim 6).
Rutledge admitted that, acting at Wilson’s direction, he and others carried out drive-by shootings of Victims 3 through 7 on the above-described dates. Rutledge also admitted that he and others killed Victim 8 in a drive-by shooting. Wilson and Rutledge admitted conspiring to distribute more than one kilogram of heroin in and around Newark.
The plea agreements require both Wilson and Rutledge to be sentenced to 30 years in prison, minus time served in jail on related cases, and five years of supervised release. Sentencing is scheduled for Feb. 15, 2017.
U.S. Attorney Fishman credited special agents of the FBI and the FBI’s Safe Streets Task Force, under the direction of Special Agent in Charge Timothy Gallagher in Newark; the Essex County Prosecutor’s Office, under the direction of Acting Essex County Prosecutor Carolyn A. Murray; the Essex County Sheriff’s Office, under the direction of Sheriff Armando V. Fontoura; and the Newark Department of Public Safety, under the direction of Anthony F. Ambrose, with the investigation leading to today’s guilty pleas. He also thanked special agents of the Drug Enforcement Administration (DEA), under the direction of Special Agent in Charge Carl J. Kotowski; and special agents of the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF), under the direction of Special Agent in Charge George P. Belsky, for their roles in the investigation.
The government is represented by Assistant U.S. Attorney Anthony Mahajan of the U.S. Attorney’s Office Criminal Division in Newark.
Defense counsel:
Wilson: Michael N. Pedicini Esq., Chatham, New Jersey
Rutledge: Timothy R. Anderson Esq., Red Bank, New Jersey
Laveen Man Sentenced to 65 Months in Prison for Aggravated AssaultRead the Press Release
PHOENIX – On Oct. 31, 2016, Verland Anthony Sabori, 35, of Laveen, Ariz., an enrolled member of the Gila River Indian Community, was sentenced by Judge Douglas L. Rayes to 65 months in federal prison, followed by a term of three years of supervised release. Sabori had previously pleaded guilty to assault with a dangerous weapon.
On Dec. 15, 2016, Sabori, a three-time felon, shot the victim, who is also a tribal member, in the back, causing life-threatening bodily injury. The incident occurred within the boundaries of the Gila River Indian Community.
The investigation in this case was conducted by the Gila River Police Department. The prosecution was handled by Christina Covault, Assistant U.S. Attorney, District of Arizona, Phoenix.
CASE NUMBER: CR-16-269-DLR
RELEASE NUMBER: 2016-095_Sabori
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For more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Follow the U.S. Attorney’s Office, District of Arizona, on Twitter @USAO_AZ for the latest news.
Last of six defendants in cocaine distribution conspiracy sentencedRead the Press Release
SHREVEPORT, La. – United States Attorney Stephanie A. Finley announced that a Shreveport man was sentenced last week to 80 months in prison for his role in a cocaine distribution conspiracy that stretched from Dallas to Shreveport.
Sanchez Latson, 41, of Shreveport, was sentenced Monday by U.S. District Judge Elizabeth E. Foote on one count of conspiracy to distribute powder cocaine. He was also sentenced to three years of supervised release. Latson is the last to be sentenced of six defendants from Texas and Shreveport who pleaded guilty to various cocaine distribution related charges. According to the guilty pleas, Latson conspired with other defendants to possess with intent to distribute powder cocaine from April 2015 to November 2015. The drugs were purchased in Dallas and then transported to Shreveport. They were also recorded planning sales and trips to deliver the drugs.
The other defendants previously sentenced in the conspiracy are:
Keimond De Andri Graham, 33, of Arlington, Texas, was sentenced on August 11, 2016 to 70 months in prison and four years of supervised release for one count of conspiracy to possess with intent to distribute cocaine and one count of possession with intent to distribute cocaine.
Jermaine Cassie Steadman, 31, of Shreveport, was sentenced on August 18, 2016 to 62 months in prison and three years of supervised release for one count of conspiracy to distribute powder cocaine and one count of distribution of powder cocaine.
Alonzo B. Morris, 37, of Shreveport, was sentenced on August 11, 2016 to 42 months in prison and three years of supervised release for one count of conspiracy to distribute powder cocaine and one count of distribution of powder cocaine.
Ravion Delshon Shelley, 38, of Shreveport, was sentenced on September 13, 2016 to 80 months in prison and three years of supervised release for one count of conspiracy to distribute powder cocaine.
Cedric Ray Alford, 25, of Shreveport, was sentenced on August 11, 2016 to eight months in prison and three years of supervised release for one count of conspiracy to distribute powder cocaine.
This investigation is part of an Organized Crime Drug Enforcement Task Force (OCDETF) Operation. The DEA, Louisiana State Police and Smith County Texas Sheriff’s Office participated in the investigation. The OCDETF program is a joint federal, state and local cooperative approach to combat drug trafficking and is the nation’s primary tool for targeting national and regional level drug trafficking organizations, coordinating the necessary law enforcement entities and resources to disrupt and dismantle the targeted criminal organization, and to seize its assets.
Assistant U.S. Attorney Allison D. Bushnell prosecuted the case.
Kenneth Fells, Jr. Sentenced Following Guilty Plea to A Federal Drug Charge of Distribution of Methamphetamine "Ice"Read the Press Release
United States Attorney Kenyen R. Brown of the Southern District of Alabama announces that Kenneth Fells, Jr. of Citronelle, Alabama, was sentenced to 57 months imprisonment following a July 2016 guilty plea to a charge of possession with intent to distribute a controlled substance.
During June 2015, Fells conducted sales of multiple gram quantities of methamphetamine “Ice and crack cocaine to confidential informants working with the Bureau of Alcohol, Tobacco, Firearms & Explosives. Fells sold a total of approximately 12 grams of methamphetamine “Ice” and 5 grams of crack cocaine.
Possession with intent to distribute a controlled substance is a violation of Title 21, United States Code Section 841(a)(1). As recommended in the plea agreement between Fells and the United States, Senior United States District Court Judge Callie V.S. Granade sentenced Fells at the low-end of the advisory sentencing guideline range. The guideline range was based upon the Fells’ criminal history and the quantity of drugs involved in his criminal activity. Fells imprisonment will be followed by a 3-year term of federal supervised release.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms & Explosives. The case was prosecuted by the United States Attorney’s Office for the Southern District of Alabama.
Kenai Man Sentenced for Unlawful Production of False Identification Documents, Aggravated Identity Theft, and Felon in Possession of FirearmsRead the Press Release
Anchorage, Alaska – U.S. Attorney Karen L. Loeffler announced that David Wayne Henry was sentenced yesterday in federal court by Chief U.S. District Judge Timothy M. Burgess for unlawful production of false identification documents, aggravated identity theft, and for being a felon in possession of firearms.
David Henry, 42, of Kenai, Alaska, was sentenced to 61 months in prison, followed by three years of supervised release. On May 19, 2016, Henry pled guilty to illegally obtaining and using the names, social security numbers, and dates of birth of other individuals to manufacture numerous different types of U.S. law enforcement, intelligence, and military identification documents and government credentials. Henry also pled guilty to possessing an AR-15 assault rifle and three semi-automatic pistols after having previously been convicted of felony crimes.
According to court documents, Henry illegally produced numerous false identification documents which appeared to be issued by federal agencies. The fake IDs reflected Henry’s photo, but the names and personal identifiers of other individuals. Some of the fake IDs were also in Henry’s own name. They consisted of ID cards for the FBI, the CIA, the Department of Defense, the U.S. Marine Corps, and the Department of Veterans Affairs. When Henry was arrested, he was also in possession of multiple firearms, even though he was prohibited from possessing firearms due to his four prior felony convictions.
At the sentencing hearing, the court noted the extremely serious nature of the offense. The court stated that identity theft has become an epidemic and has real serious consequences for victims. The court also noted the need to deter the defendant from committing future crimes and the need to protect the public from further crimes of the defendant. Henry was sentenced by Chief U.S. District judge
U.S. Attorney Loeffler commended the FBI, the ATF, the Alaska State Troopers, the Air Force Office of Special Investigations, the Kenai Police Department, and the State of Alaska Probation Office for the investigation of this case.
Justice Department reaches settlement with Louisiana Tech University and Louisiana state education agencies to desegregate A.E. Phillips Laboratory SchoolRead the Press Release
WASHINGTON – The Justice Department announced that it has reached a settlement agreement with Louisiana Tech University to ensure that black students have access to the high-quality education programs at the A.E. Phillips Laboratory School, a K-8 public school operated by Louisiana Tech on its campus in Lincoln Parish. The U.S. District Court for the Western District of Louisiana today approved the court-ordered agreement, which will reduce barriers to enrollment for black students and further desegregate A.E. Phillips’ faculty, staff and facilities.
A.E. Phillips, which opened in approximately 1910 as a segregated school serving only white students, was first ordered to desegregate in 1984. Following an investigation the Justice Department concluded, and Louisiana Tech agreed, that more work is needed to open up A.E. Phillips’ quality educational program to all students of Lincoln Parish. As a laboratory school, A.E. Phillips is known for its strong academic programs and teaching, and serves as a resource for Louisiana Tech’s College of Education to train future teachers and apply innovative education techniques.
The University of Louisiana System, the Louisiana Board of Regents, the Louisiana Board of Elementary and Secondary Education and the Louisiana State Superintendent of Education are also parties to the settlement agreement. Under the consent order, Louisiana Tech and A.E. Phillips will do the following:
- increase the percentage of black student enrollment so that the percentage of black students enrolled at A.E. Phillips reflects the percentage of black students in grades K-8 enrolled in Lincoln Parish School Board’s schools by the 2020 through 2021 school year;
- take steps to expand A.E. Phillips’ existing facilities to two classrooms per grade level to accommodate additional black student enrollment;
- develop a comprehensive plan to recruit black students for incoming kindergarten classes and for available vacancies in other grade levels;
- offer full and partial tuition scholarships to admitted black students who are eligible for free and reduced price student meals under the federal guidelines;
- offer free and reduced price meals to admitted black students who meet the federal requirements for assistance; and
- take affirmative measures to recruit black candidates for administrator, teacher, certified staff and other staff vacancies at the school.
“We commend the Louisiana Tech community for its firm commitment to make the promise of equal access to education a reality for all children, regardless of the color of their skin,” said Principal Deputy Assistant Attorney General Vanita Gupta, head of the Justice Department’s Civil Rights Division. “Our consent order establishes long overdue protections critical to increasing the enrollment of – and support for – black students at A.E. Phillips.”
“All students should have a quality education and should not be barred from any school that provides them that education,” said U.S. Attorney Stephanie A. Finley of the Western District of Louisiana. “This consent order will have an important and lasting impact for all the students in the Lincoln Parish community. The children of Louisiana should always be the focus. We look forward to continuing to work with Louisiana Tech, A.E. Phillips and the state education agencies to ensure that the order is successfully implemented.”
The order dismisses the court’s supervision of the desegregation of A.E. Phillips in the areas of transportation and extracurricular activities. Upon full implementation of the consent order, Louisiana Tech and the state education agencies may seek the court’s approval to dismiss the desegregation case against A.E. Phillips.
Promoting school desegregation and enforcing Title IV of the Civil Rights Act of 1964 is a top priority of the Justice Department’s Civil Rights Division. Additional information about the Civil Rights Division is available on its website at www.justice.gov/crt.
Justice Department and Federal Trade Commission Seek Public Comment on Proposed Updates to International Antitrust GuidelinesRead the Press Release
The Department of Justice’s Antitrust Division and the Federal Trade Commission seek public comment on proposed Antitrust Guidelines for International Enforcement and Cooperation. The proposed guidelines update the 1995 Antitrust Enforcement Guidelines for International Operations and provide guidance to businesses engaged in international activities on questions that concern the agencies’ international enforcement policy as well as the agencies’ related investigative tools and cooperation with foreign authorities.
The proposed guidelines reflect the growing importance of antitrust enforcement in a globalized economy and the agencies’ commitment to cooperating with foreign authorities on both policy and investigative matters.
“The Antitrust Enforcement Guidelines for International Operations have long been an important reflection of the department’s application of the antitrust laws to businesses engaged in international operations,” said Acting Assistant Attorney General Renata Hesse, in charge of the Department of Justice’s Antitrust Division. “Since the Guidelines were last updated in 1995, globalization has increased dramatically, as has international antitrust enforcement and the level of cooperation between the department and international counterparts. Because of this evolution in practice and developments in the law over the intervening 21 years, this update is long overdue.”
“With the continued expansion of cross-border commerce around the world, the agencies’ international antitrust enforcement policies and practices are becoming more and more important in protecting U.S. consumers and businesses,” said Chairwoman Edith Ramirez of the Federal Trade Commission. “The revisions we are proposing are designed to ensure that the guidelines are up-to-date and transparent.”
The proposed revisions restructure the previous guidelines in order to make the guidelines more useful and accessible by focusing on the questions of greatest significance to users. The proposed revisions also describe the current practices and methods of analysis the agencies employ when determining whether to initiate and how to conduct investigations of, or enforcement actions against, conduct with an international dimension.
In particular, the revisions:
- Add a chapter on international cooperation, which addresses the agencies’ investigative tools, confidentiality safeguards, the legal basis for cooperation, types of information exchanged and waivers of confidentiality, remedies and special considerations in criminal investigations;
- Update the discussion of the application of U.S. antitrust law to conduct involving foreign commerce, the Foreign Trade Antitrust Improvements Act, foreign sovereign immunity, foreign sovereign compulsion, the act of state doctrine and petitioning of sovereigns, in light of developments in both the law and the agencies’ practice; and
- Provide revised illustrative examples focused on the types of issues most commonly encountered.
The commission vote approving issuance of the proposed updated Antitrust Guidelines for International Enforcement and Cooperation for public comment was 3-0.
The agencies are interested in receiving comments on the proposed update from interested parties, including attorneys, economists, academics, consumer groups and the business community. Interested parties may submit public comments electronically to [email protected] until Thursday, Dec. 1. Submitted comments will be made publicly available on the agencies’ websites.
Justice Department Reaches Settlement with Louisiana Tech University and Louisiana State Education Agencies to Desegregate A.E. Phillips Laboratory SchoolRead the Press Release
The Justice Department announced that it has reached a settlement agreement with Louisiana Tech University to ensure that black students have access to the high-quality education programs at the A.E. Phillips Laboratory School, a K-8 public school operated by Louisiana Tech on its campus in Lincoln Parish, Louisiana. The U.S. District Court for the Western District of Louisiana today approved the court-ordered agreement, which will reduce barriers to enrollment for black students and further desegregate A.E. Phillips’ faculty, staff and facilities.
A.E. Phillips, which opened in approximately 1910 as a segregated school serving only white students, was first ordered to desegregate in 1984. Following an investigation the Justice Department concluded, and Louisiana Tech agreed, that more work is needed to open up A.E. Phillips’ quality educational program to all students of Lincoln Parish. As a laboratory school, A.E. Phillips is known for its strong academic programs and teaching, and serves as a resource for Louisiana Tech’s College of Education to train future teachers and apply innovative education techniques.
The University of Louisiana System, the Louisiana Board of Regents, the Louisiana Board of Elementary and Secondary Education and the Louisiana State Superintendent of Education are also parties to the settlement agreement. Under the consent order, Louisiana Tech and A.E. Phillips will:
- increase the percentage of black student enrollment so that the percentage of black students enrolled at A.E. Phillips reflects the percentage of black students in grades K-8 enrolled in Lincoln Parish School Board’s schools by the 2020 through 2021 school year;
- take steps to expand A.E. Phillips’ existing facilities to two classrooms per grade level to accommodate additional black student enrollment;
- develop a comprehensive plan to recruit black students for incoming kindergarten classes and for available vacancies in other grade levels;
- offer full and partial tuition scholarships to admitted black students who are eligible for free and reduced price student meals under the federal guidelines;
- offer free and reduced price meals to admitted black students who meet the federal requirements for assistance; and
- take affirmative measures to recruit black candidates for administrator, teacher, certified staff and other staff vacancies at the school.
“We commend the Louisiana Tech community for its firm commitment to make the promise of equal access to education a reality for all children, regardless of the color of their skin,” said Principal Deputy Assistant Attorney General Vanita Gupta, head of the Justice Department’s Civil Rights Division. “Our consent order establishes long overdue protections critical to increasing the enrollment of – and support for – black students at A.E. Phillips.”
“All students should have a quality education and should not be barred from any school that provides them that education,” said U.S. Attorney Stephanie A. Finley of the Western District of Louisiana. “This consent order will have an important and lasting impact for all the students in the Lincoln Parish community. The children of Louisiana should always be the focus. We look forward to continuing to work with Louisiana Tech, A.E. Phillips and the state education agencies to ensure that the order is successfully implemented.”The order dismisses the court’s supervision of the desegregation of A.E. Phillips in the areas of transportation and extracurricular activities. Upon full implementation of the consent order, Louisiana Tech and the state education agencies may seek the court’s approval to dismiss the desegregation case against A.E. Phillips.
Promoting school desegregation and enforcing Title IV of the Civil Rights Act of 1964 is a top priority of the Justice Department’s Civil Rights Division. Additional information about the Civil Rights Division is available on its website at www.justice.gov/crt.
Louisiana Tech University Consent OrderJustice Department Announces Investigation into Conditions at Boyd County Detention CenterRead the Press Release
The Justice Department announced today that it has opened an investigation into the conditions at the Boyd County Detention Center in Catlettsburg, Kentucky. The investigation will focus on whether prisoners are adequately protected from the use of excessive force, whether prisoners are subject to an invasion of their bodily privacy and whether the jail indiscriminately uses restrictive housing without due process.
“Our Constitution protects prisoners against excessive force, violations of their bodily privacy and improper use of restrictive housing,” said Principal Deputy Assistant Attorney General Vanita Gupta, head of the Justice Department’s Civil Rights Division. “We will conduct a thorough, comprehensive investigation guided by the facts and the law.”
The department has not reached any conclusions regarding the allegations in this matter. The investigation will be conducted under the Civil Rights of Institutionalized Persons Act (CRIPA). Under CRIPA, the department has the authority to investigate violations of prisoners’ constitutional rights that result from a “pattern or practice of resistance to the full enjoyment of such rights.” The department has conducted CRIPA investigations of many correctional systems, and where violations have been found, the resulting settlement agreements have led to important reforms.
The Civil Rights Division’s Special Litigation Section is conducting this investigation. Individuals with relevant information are encouraged to contact the department via phone at 844-491-4947 (starting on Nov. 9, 2016) or by email at [email protected].
Indianapolis Man Sentenced to 30 Months ImprisonmentRead the Press Release
HAMMOND- United States Attorney David A. Capp announced that Mohamed Fadiga, 43, of Indianapolis, Indiana was sentenced before Chief Judge Philip Simon for possession of counterfeit or unauthorized access devices. Fadiga was found guilty by a jury after a 2-day trial.
Fadiga was sentenced to 30 months’ imprisonment and 1 year supervised release.
According to documents in this case, Fadiga possessed more than 15 counterfeit and fraudulent debit and credit cards which had been re-encoded with the personal information of victims from different jurisdictions but bearing his name.
This case was the result of an investigation by the Hobart Police Department and the United States Department of Homeland Security Investigations. The case was prosecuted by Assistant United States Attorneys Toi D. Houston and Maria N. Lerner.
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Holts Summit Man Pleads Guilty to Meth ConspiracyRead the Press Release
JEFFERSON CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a Holts Summit, Mo., man pleaded guilty in federal court today to his role in a conspiracy to distribute methamphetamine.
Justin Raul Sanchez, 48, of Holts Summit, pleaded guilty before U.S. Magistrate Judge William A. Knox to the charge contained in a May 21, 2014, federal indictment. Sanchez remains in federal custody.
According to today’s plea agreement, Sanchez and his co-conspirator had made three trips to Georgia in March and April 2014 to obtain large quantities of methamphetamine. The supplier in Georgia sold them approximately one kilogram of methamphetamine, in a sealed silver coffee can, which they brought back to Holts Summit to distribute.
Sanchez’s co-conspirator was stopped by state troopers on U.S. Highway 63 in Taos, Mo., on April 21, 2014, while returning from the third trip to Georgia, according to the plea agreement. The trooper located a large silver coffee can that contained 27 small baggies of methamphetamine (totaling .85 kilograms) underneath the third row of seats in the vehicle. The trooper also found a loaded Taurus .380-caliber handgun inside a glove on the front passenger floorboard.
On April 24, 2014, law enforcement officers executed a search warrant at Sanchez’s residence. Officers seized two baggies containing methamphetamine, drug paraphernalia, $7,817 and a drug ledger. Sanchez was arrested and admitted to officers that he had been distributing methamphetamine from his residence.
Today’s plea agreement also cites two controlled purchases of methamphetamine by a confidential informant at Sanchez’s residence in April 2014. In each instance, the confidential informant agreed to pay $1,300 for 28 grams of methamphetamine.
Under federal statutes, Sanchez is subject to a mandatory minimum sentence of five years in federal prison without parole, up to a sentence of 40 years in federal prison without parole. Under the terms of today’s plea agreement, Sanchez must forfeit to the government $7,817, which was proceeds from the conspiracy and was seized by law enforcement officers. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
This case is being prosecuted by Assistant U.S. Attorney Lawrence E. Miller. It was investigated by the Drug Enforcement Administration, LANEG (Lake Area Narcotics Enforcement Group), the Missouri State Highway Patrol, the Jefferson City, Mo., Police Department and the MUSTANG Drug Task Force.
Haverhill Resident Pleads Guilty to Drug Conspiracy ChargeRead the Press Release
CONCORD, N.H. – United States Attorney Emily Gray Rice announced that Jorge Medina, 25, of Haverhill, Massachusetts, pleaded guilty today to conspiracy to distribute, and possess with intent to distribute, oxycodone and cocaine. Medina appeared before United States District Court Judge Steven J. McAuliffe to enter his guilty plea.
According to documents that were filed in court and statements in the plea proceeding, Medina admitted that he and others participated in the distribution of cocaine and oxycodone pills in Massachusetts and New Hampshire. During a court-authorized wiretap investigation, law enforcement officers intercepted calls in which Medina sought to obtain drugs for distribution. On one occasion, law enforcement officers arrested one of Medina’s customers and recovered approximately 100 oxycodone pills. The customer later admitted that he had obtained hundreds of pills from Medina.
A sentencing hearing has been scheduled for March 8, 2017.
Medina is one of six individuals indicted by a federal grand jury on September 23, 2015, and charged with conspiracy to distribute, and possess with intent to distribute, controlled substances. The other defendants are: Mara Morillo, 41, of Haverhill, Massachusetts; Franklyn Morillo, 41, of Haverhill, Massachusetts; Juan Rojas, 32, of Haverhill, Massachusetts; Justin Bartimus, 35, formerly of Methuen, Massachusetts; and Michael Lally, 28, of Salem, New Hampshire.
Rojas also was charged with possession of a firearm in furtherance of a drug trafficking crime. He is further charged in a separate indictment with conspiracy to possess a firearm in furtherance of a crime of violence. Rojas is awaiting trial, which has been scheduled for January 18, 2017. All of the other defendants have pleaded guilty and are awaiting sentencing.
This case was supported by the Organized Crime Drug Enforcement Task Force (OCDETF). The OCDETF program is a federal multi-agency, multi-jurisdictional task force that supplies supplemental federal funding to federal and state agencies involved in the identification, investigation, and prosecution of major drug trafficking organizations. The Drug Enforcement Administration’s Tactical Diversion Squad led the investigation with assistance from the Haverhill, Massachusetts Police Department, the Methuen, Massachusetts Police Department, and the Massachusetts State Police. It is being prosecuted by Assistant United States Attorney John J. Farley.
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Hartford Man Sentenced to Life in Prison for Offenses Related to 2010 Murder, Planning of Second MurderRead the Press Release
Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that DOMINIQUE MACK, also known as “Lil Sweets,” 26, of Hartford, was sentenced today by U.S. District Judge Michael P. Shea in Hartford to life imprisonment. On April 27, 2016, a jury found MACK guilty of conspiring to commit witness tampering by murdering one individual and planning to murder a second individual.
“Dominique Mack’s malevolent and unrelenting actions to thwart justice have now come to an end,” said U.S. Attorney Daly. “In order to prevent his own apprehension, he orchestrated the murder of Ian Francis. After being charged with Francis’ murder, Mack then plotted to kill another witness who he believed was going to testify against him in the Francis murder trial. He was highly dangerous and a menace to our community. This was an extremely difficult investigation and prosecution. The prosecutors who led this team, together with our partners from the FBI, the Northern Connecticut Violent Crimes Task Force and the Hartford Police Department’s Major Crimes Division deserve enormous credit for their excellent work in this case. We will continue to work together to prosecute those individuals most responsible for violence in Hartford and Connecticut’s other cities.”
According to the evidence at trial, on December 21, 2010, Ian Francis was shot multiple times while sitting in his vehicle on Sigourney Street in Hartford. Francis succumbed to his injuries on January 15, 2011. At the time, MACK, who had been charged as part of a multi-defendant federal drug conspiracy, was hiding out in an attempt to evade arrest. On June 15, 2011, law enforcement arrested MACK at an apartment on Vine Street in Hartford. A search of the apartment revealed a Ruger 9 millimeter semi-automatic pistol, which was subsequently determined to be the firearm that was used to murder Francis.
The investigation revealed that MACK conspired with Keronn Miller and others to murder Francis to prevent Francis from providing information to law enforcement about MACK’s whereabouts. Miller had lured Francis to the location on Sigourney Street knowing that the plan was to murder Francis when he arrived there.
On December 4, 2014, Miller, also known as “Fresh,” of Hartford, pleaded guilty to aiding and abetting in the murder of Francis. Shortly after Miller’s guilty plea, the government received information about a plot to kill a witness for MACK’s upcoming trial. Tyquan Lucien, also known as “TQ” and “Frogger,” who had been arrested as part of this investigation and was incarcerated with MACK at a detention facility in Rhode Island, had told another inmate about a plan by Lucien and MACK to kill an individual who had been identified as a government witness in the case against Miller. On February 13, 2015, an undercover officer who was posing as someone who might be able to commit the murder met with Lucien in the visiting area of the detention facility. During the meeting, Lucien ordered the killing of the potential government witness and others, making throat-slashing motions to make his intent clear. Three days later, Lucien met with MACK and relayed to him the facts of the visit.
The jury found MACK guilty of two counts of conspiracy to commit witness tampering by committing first degree murder, an offense that carries a mandatory lifetime term of imprisonment. The jury also found MACK guilty of two counts of possession of a firearm by a previously convicted felon, and not guilty of two counts of tampering with a witness.
On August 2, 2016, Keronn Miller was sentenced by Judge Shea to 210 months of imprisonment.
On August 24, 2015, Lucien pleaded guilty to conspiracy to commit witness tampering by first degree murder. He awaits sentencing.
This matter has been investigated by the Federal Bureau of Investigation’s Northern Connecticut Violent Crimes and Gang Task Force and the Hartford Police Department’s Major Crimes Division. The case is being prosecuted by Assistant U.S. Attorneys Brian Leaming and Jennifer Laraia.
Hamden Man Sentenced to More Than 7 Years in Federal Prison for Distributing Heroin and CrackRead the Press Release
Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that SHAWN MILLER, also known as “White Boy Shawn,” 32, of Hamden, was sentenced today by U.S. District Judge Jeffrey Alker Meyer in New Haven to 90 months of imprisonment, followed by five years of supervised release, for distributing heroin and crack cocaine. Judge Meyer also ordered MILLER to pay a $2,000 fine.
According to court documents and statements made in court, MILLER and Paul Colon, also known as “Paul Cane,” operated a New Haven area narcotics distribution ring. The investigation revealed that members of the ring took orders over a cellphone from drug customers in several shoreline communities for quantities of heroin and crack cocaine, and then delivered the drugs by car.
MILLER was arrested on October 21, 2015. On June 29, 2016, he pleaded guilty to one count of conspiracy to possess with intent to distribute, and to distribute, heroin and cocaine base (“crack cocaine”).
Colon has pleaded guilty and awaits sentencing.
This matter has been investigated by the FBI’s New Haven Safe Streets Task Force in cooperation with the Drug Enforcement Administration and the New Haven, West Haven, Milford, Hamden and other local police departments, and the Connecticut Department of Correction. The case is being prosecuted by Assistant U.S. Attorneys H. Gordon Hall and Jennifer R. Laraia.
Guyana citizen pleads guilty to falsifying an application for a U.S. passportRead the Press Release
ELKINS, WEST VIRGINIA – Joseph Fedrick, 42, of Guyana pled guilty to falsifying an application for a U.S. passport in federal court today, United States Attorney William J. Ihlenfeld, II, announced.
Fedrick executed an application for a United States passport in Berkeley County, West Virginia. Within the application, Fedrick attempted to use a false social security number with the intent to secure the passport fraudulently.
He pled guilty to one count of “False Statement in Application for Passport. He faces up to ten years in prison and a fine of up to $250,000. Under the Federal Sentencing Guidelines, that actual sentenced imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant U.S. Attorney Shawn M. Adkins prosecuted the case on behalf of the government. The Department of the State Diplomatic Security Service and the United States Department of Homeland Security investigated.
U.S. Magistrate Judge Robert W. Trumble presided.
Former South Florida Resident Pleads Guilty in $13 Million Money Laundering Conspiracy Involving 2 Million Doses of OxycodoneRead the Press Release
A former South Florida resident pled guilty, yesterday, for his participation in a $13 million money laundering conspiracy involving more than 2 million dosage units of oxycodone.
Wifredo A. Ferrer, U.S. Attorney for the Southern District of Florida, Kelly R. Jackson, Special Agent in Charge, Internal Revenue Service, Criminal Investigation (IRS-CI), Adolphus P. Wright, Special Agent in Charge, Drug Enforcement Administration (DEA), Ric L. Bradshaw, Sheriff, Palm Beach Sheriff’s Office, Albert Arenal, Chief, Coconut Creek Police Department, and Daniel C. Alexander, Chief, Boca Raton Police Department, made the announcement.
Pasquale Gervasio pled guilty to one count of conspiracy to commit money laundering involving criminally derived property valued greater than $10,000, in violation of Title 18, United States Code, Sections 1956(h) and 1957. At sentencing, Gervasio faces up to ten years in prison. A sentencing date has not yet been scheduled.
According to court documents, between March 2010 and June 2011, Gervasio and his co-conspirators operated six pain clinics in Broward and Palm Beach counties with the purpose of unlawfully dispensing oxycodone that had not been prescribed for a legitimate medical purpose. Approximately 2,007,695 oxycodone 30 mg pills were dispensed and distributed through the pain clinics before they were closed following the execution of search warrants in June 2011. Gervasio and his co-conspirators operated the clinics to ensure that the maximum amount of Oxycodone would be prescribed without regard to a legitimate medical need, and purely for the sake of profit. The pain clinics failed to comply with Florida standards for the use of controlled substances. The pain clinics generated approximately $13,466,598 from the unlawful prescribing and dispensing of oxycodone.
This case is the result of the ongoing efforts by the Organized Crime Drug Enforcement Task Force (OCDETF) a partnership that brings together the combined expertise and unique abilities of federal, state and local law enforcement agencies. The principal mission of the OCDETF program is to identify, disrupt, dismantle and prosecute high level members of drug trafficking, weapons trafficking and money laundering organizations and enterprises.
Mr. Ferrer commended the investigative efforts of IRS-CI, the DEA, Boca Raton Police Department. PBSO and Coconut Creek Police Department. Mr. Ferrer also recognized the South East Regional Task Force (SERTF) and the Palm Beach Sheriff's Office Multi-Agency Diversion Task Force (PBSO MAADTF). SERTF is headed by the DEA and includes representatives from the Fort Lauderdale Police Department, Pembroke Pines Police Department, Hallandale Beach Police Department, Lauderhill Police Department, Margate Police Department, and Coconut Creek Police Department. PBSO MAADTF is headed by the Palm Beach County Sheriff's Office and includes representatives from the Boca Raton Police Department, Boynton Beach Police Department, DEA, Delray Beach Police Department, Florida Department of Health, Greenacres Police Department, IRS-CI, Jupiter Police Department, Riviera Beach Police Department, Palm Beach County State Attorney’s Office, PBSO, Palm Beach Gardens Police Department and West Palm Beach Police Department. This case is being prosecuted by Assistant U.S. Attorney Donald F. Chase, II.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.
Former Department of Defense Civilian Employee Pleads Guilty in Health Care Fraud CaseRead the Press Release
WASHINGTON – A Florida man pled guilty today to a federal charge of health care fraud for submitting more than 1,300 false claims, seeking about $152,000, to a federal health insurance plan, announced U.S. Attorney Channing D. Phillips and Norbert E. Vint, Deputy Inspector General for the Office of Personnel Management (OPM).
Jensen Moors, 41, currently of Lauderdale Lakes, Fla., pled guilty in the U.S. District Court for the District of Columbia. He is to be sentenced on Feb. 3, 2017, by the Honorable James E. Boasberg. Under the advisory federal sentencing guidelines, he faces a possible sentence of 12 to 18 months. Moors also agreed to pay restitution in an amount of $143,111, and a forfeiture money judgment in the same amount.
According to a statement of the offense, signed by the defendant, Moors was a civilian Department of Defense employee, who was entitled to participate in the Federal Employees Health Benefits Program, which is administered by OPM. U.S. government employees living overseas, such as Moors at the time of the offense, have the option to choose the Foreign Service Benefit Plan (FSBP) as their health care benefit program. Generally, those enrolled in FSBP pay out-of-pocket for any health care benefits, items, or services they receive overseas, and then submit claims for reimbursement for money already paid, to a location in the District of Columbia. An OPM contractor then processes the reimbursements and pays the employee directly.
Between about October 2007 and April 2014, Moors submitted to FSBP approximately 66 fake invoices with 1,387 claims totaling approximately €119,541 (euros, which translates to approximately $152,000), falsely claiming that he received and paid for physical therapy services from a German physical therapist. These claims were false in that Moors did not receive the therapy on the dates as claimed, the amounts were in excess of the prices charged by the physical therapist, and the duration of treatment was longer and more frequent than the treatment actually provided by the physical therapist.
As a result of these false claims, the OPM contractor paid Moors $143,111 on 63 invoices and denied the claims on the other three invoices, having discovered that the services were not provided.
In announcing the plea, U.S. Attorney Phillips and Deputy Inspector General Vint expressed appreciation for the work performed by Special Agents and analysts from both OPM’s Office of Inspector General and the Defense Criminal Investigative Service of the Department of Defense. They also acknowledged the efforts of those who are working on the case from the U.S. Attorney’s Office, including Paralegal Specialist Kaitlyn Krueger, Assistant U.S. Attorney Julia Jarrett, who is assisting with forfeiture issues, and Assistant U.S. Attorney Virginia Cheatham, who is prosecuting the case.
Former Business Manager Pleads Guilty to Stealing $1.7 Million from Labor Union, Unlawful Labor Payments, Fraud and Money LaunderingRead the Press Release
A former business manager of Local 657 of the Laborers International Union of North America (LIUNA) pleaded guilty today to stealing $1.7 million from Local 657 and related offenses.
Assistant Attorney General Leslie R. Caldwell of the Justice Department’s Criminal Division, Assistant Director in Charge Paul M. Abbate of the FBI’s Washington, D.C., Field Office, Special Agent in Charge Robin Blake of the Department of Labor Office of Inspector General Washington, D.C., Regional Office and District Director Mark Wheeler of the Department of Labor’s Office of Labor-Management Standards Washington, D.C., District Office made the announcement.
Anthony Wendel Frederick Sr., 50, of Upper Marlboro, Maryland, was charged with one count of conspiracy to commit theft from a labor organization, one count of conspiracy to receive unlawful labor payments, one count of conspiracy to commit wire fraud and one count of money laundering, as part of a 45-count indictment against Frederick and two co-defendants. Frederick pleaded guilty before U.S. District Judge Amit P. Mehta of the District of Columbia.
LIUNA’s Local 657 is a labor organization that represents construction laborers in Washington, D.C., and five adjacent counties. Frederick served as the business manager for Local 657 for approximately 10 years until June 2014.
In pleading guilty, Frederick admitted that from May 2013 to June 2014, he directed more than $1.7 million in Local 657 funds to STS Contracting of Greenbelt, Maryland, without the knowledge or authorization of the Local 657 Executive Board or LIUNA International officials. Frederick also admitted that officials in STS General Contracting made a number of financial payments to Frederick with the funds stolen from Local 657, including a down payment of $225,000 on a home that Frederick purchased and construction of a three-car garage on the property, and directed more than $600,000 to a corporation owned in part by Frederick’s wife.
The FBI and the Department of Labor investigated the case. Trial Attorneys Vincent Falvo and David Karpel of the Criminal Division’s Organized Crime and Gang Section are prosecuting the case.
Florida Man Sentenced to 57 Months in Prison for Role in Multistate Burglary SpreeRead the Press Release
Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that YOANDRYS CUE, 31, a citizen of Cuba last residing in Florida, was sentenced today by U.S. District Judge Robert N. Chatigny in Hartford to 57 months of imprisonment, followed by three years of supervised release, for participating in a multi-state burglary spree.
According to court documents and statements made in court, on August 2, 2013, CUE, Alionis Perez, and others traveled from New Jersey to Connecticut. The next day, they broke into the Fossil store located in Clinton, Connecticut, disabled the alarm system and stole watches valued at approximately of $250,000. Following the burglary, they returned to New Jersey with the stolen merchandise.
On August 18, 2013, CUE, Perez and others attempted to break into the Movado store located in Kittery, Maine.
On September 19, 2013, CUE, Perez and others broke into the Fossil store located in Miramar Beach, Fla., and stole watches valued at approximately $170,000.
On October 4, 2013, CUE, Perez and others broke into the Fossil store located in Hagerstown, Md., and stole watches valued at approximately $750,000.
On October 24, 2013, CUE, Perez and others broke into the Fossil store located in Grove City, Penn., and stole watches valued at approximately $195,000.
On November 22, 2013, CUE, Perez and others traveled from New Jersey to Massachusetts and stole a van. The next day, they broke into the Michael Kors store in Lee, Mass., disabled the alarm system and stole watches and bag valued at approximately $500,000. The conspirators then traveled from Massachusetts, disposed of the stolen van in Staten Island, New York, and returned to New Jersey with the stolen merchandise.
On May 20, 2016, CUE pleaded guilty to one count of conspiracy to engage in the interstate transportation of stolen property. He is currently incarcerated in New Jersey on an unrelated burglary conviction.
On May 23, 2016, Perez pleaded guilty to two counts of conspiracy to engage in the interstate transportation of stolen property stemming from the 2013 burglaries and two additional burglaries in Kansas and Tennessee in August 2014. On August 18, 2016, he was sentenced to 60 months of imprisonment.
Judge Chatigny ordered CUE and Perez to pay restitution in the amount of $1.865 million.
This investigation was conducted by the Federal Bureau of Investigation, Clinton (Conn.) Police Department, Kittery (Maine) Police Department, Walton County (Fla.) Sheriff’s Office, Washington County (Md.) Sheriff’s Office, Pennsylvania State Police, Lee (Mass.) Police Department, Berkshire County (Mass.) Sheriff’s Office, Franklin (Tenn.) Police Department and Nashville (Tenn.) Police Department. The case was prosecuted by Assistant U.S. Attorneys Anthony E. Kaplan and Heather Cherry in the District of Connecticut, and Assistant U.S. Attorney Lee Deneke in the Middle District of Tennessee.
Fitzgerald Physician Pleads Guilty to Drug ChargesRead the Press Release
United States Attorney G.F. “Pete” Peterman, III announces that Dr. Edd Colbert Jones, III, from Fitzgerald, Georgia, has pled guilty to conspiring to distribute and dispense controlled substances including Oxycodone, Alprazolam and Diazepam. Dr. Jones was indicted on April 12, 2016.
In entering his plea, Dr. Jones admitted that he was a licensed physician operating a general practice in Fitzgerald, Georgia. He and co-conspirator Shannon Benedict devised a scheme whereby Ms. Benedict would receive prescriptions in her name and the names of others. The pills received as a result of the prescriptions were sold by Ms. Benedict in the Fitzgerald area. Dr. Jones never conducted any medical examination of Ms. Benedict or any of the persons in whose names he wrote prescriptions at her direction. These prescriptions were provided by him unlawfully and outside the scope of his professional practice.
These charges arose from the execution of a search warrant on April 22, 2015, at Ms. Benedict’s Ben Hill County residence. Inside the residence agents located four (4) prescriptions written by Dr. Jones to persons other than Ms. Benedict - two (2) for Oxycodone and two (2) for Xanax. A second search warrant executed at Dr. Jones’ Ben Hill County office produced no medical files associated with the prescriptions found at Ms. Benedict’s residence. Dr. Jones admitted that he should be held accountable for between 2500 and 5000 units of Schedule III narcotics. Upon entering his plea of guilty, Dr. Jones agreed to forfeit his medical license.
Sentencing in the case will be set in about sixty (60) days following a pre-sentence investigation. Dr. Jones faces a potential maximum penalty of twenty (20) years imprisonment, a $1 million fine, or both. Dr. Jones was taken into custody at the end of the hearing.
The case was investigated by the Drug Enforcement Administration and the Ben Hill County Sheriff’s Office. Assistant United States Attorney Leah E. McEwen is prosecuting the case for the government.
“The actions of Dr. Jones in distributing these highly dangerous and extremely addictive drugs violated not only the law but also his oath as a physician by bringing harm instead of healing and suffering instead of relief to those in his community. It is truly a shame to see the privilege of practicing medicine perverted in such a way,” said United States Attorney Peterman.
Daniel R. Salter, Special Agent in Charge of the DEA Atlanta Field Division said, “It is a sad commentary when a trusted person in the medical community attempts to hide behind the veil of legitimacy to commit criminal acts. The reckless distribution of pharmaceuticals results in addiction and death. Many thanks to the hard-working law enforcement partners who worked this case.”
For additional information, contact Pamela Lightsey, Public Information Officer, at 478-621-2603 or [email protected].
Farmington Man Sentenced to 7 Years in Federal Prison for Child PornographyRead the Press Release
Fayetteville, Arkansas - Kenneth Elser, United States Attorney for the Western District of Arkansas, announced that Jedediah Waugh, age 43, of Farmington, was sentenced to 84 months in federal prison and ten (10) years of supervised release on one count of Receipt of Child Pornography. The sentencing hearing took place before the Honorable Timothy L. Brooks in the United States District Court in Fayetteville.
According to the Plea Agreement, in December, 2015, Immigration and Homeland Security Investigations (HSI) and the Northwest Arkansas Internet Crimes Against Children Taskforce initiated an investigation into the illegal trade and distribution of child pornography over publically available peer to peer online computer networks. During this time, law enforcement identified a specific computer that appeared to contain images of child pornography. A subpoena return from the suspect’s internet provider returned to the residence of Jedediah Waugh. Law enforcement executed a search warrant of Waugh’s residence and he admitted to downloading and receiving images of child pornography on his computer. A subsequent forensic examination Waugh’s hard drive revealed multiple images of child pornography depicting female children as young as eight (8) to nine (9) years of age engaging in sexually explicit conduct with an adult male. Waugh was indicted by a federal grand jury in May, 2016 and pleaded guilty to the charge in July, 2016.
The investigation was led by Homeland Security Investigations and the Internet Crimes Against Children Taskforce. Assistant United States Attorney Denis Dean prosecuted the case for the United States.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and their Criminal Division Child Exploitation and Obscenity Sections (CEOS), Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
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Related court documents may be found on Public Access to Electronic Records Website @www.Pacer.gov
Evansville man indicted in bomb threat incidentRead the Press Release
INDIANAPOLIS B United States Attorney Josh J. Minkler today announced the indictment of an Evansville man who is alleged to have sent a simulated bomb in a mail package along with a threatening letter to the Diamond Valley Postal Station. Kevin K. McCaffery, 21, was charged with one count of conveying false and misleading information and two counts of mailing threatening communications.
“Threatening the lives of federal employees and the responding public safety officials is a serious matter,” said Minkler. “Law enforcement is a dangerous occupation, one made even more difficult by the reckless behavior of Mr. McCaffery.”
McCaffery is alleged to have mailed a letter to the Postmaster at the Diamond Valley Postal Station located on Cross Valley Circle on Evansville’s Northside. Inside the package was a letter stating “death to all infidels” and a simulated explosive device using wires and parts of an e-cigarette. On May 17, 2016 a postal employee opened the package and discovered the contents.
The package was destroyed by the Evansville Police Department Bomb Squad but no actual bomb was found and no employees were injured.
According to Assistant United States Attorney Todd Shellenbarger who is prosecuting this case for the government, McCaffery faces up to five years imprisonment and a $250,000 fine if convicted.
An indictment is only a charge and not evidence of guilt. All parties are presumed innocent until proven otherwise in federal court.
Essex County, New Jersey, Man Charged with Defrauding Victim Invester Out of Hundreds of Thousands of DollarsRead the Press Release
NEWARK, N.J. – A North Caldwell, New Jersey, man was arrested this morning by FBI agents for fraudulently using funds that he solicited for bulk medical supply and consumer goods transactions, U.S. Attorney Paul Fishman announced.
Michael Esposito, 45, is charged by complaint with one count of wire fraud. He appeared this afternoon before U.S. Magistrate Judge Mark Falk in Newark federal court and was released on bail.
According to the complaint:
Esposito was the president of three companies that purported to be in the business of purchasing consumer products in bulk from manufacturers for resale to wholesalers and retailers.
In August 2013 Esposito told an individual referred to in the complaint as “Victim 1,” that Esposito had a customer that backed out of the purchase of medical supplies. Victim 1 was able to locate a buyer to whom Victim 1 could sell the goods for profit. However, after Victim 1 wired Esposito funds for the medical supplies, Esposito allegedly used the funds for unrelated expenses, including payments to apparent victim investors from prior transactions, restaurant bills, and salary for himself and others. Esposito also sent Victim 1 numerous fraudulent communications that the delivery of the medical supplies was imminent. Esposito never delivered the medical supplies to Victim 1.
During that time, Esposito also sent Victim 1 numerous emails detailing a series of investment opportunities in which Esposito would purchase consumer goods in bulk at substantial discounts. Esposito offered to give Victim 1 a significant profit from these deals in return for Victim 1’s investment. Again, Esposito used the funds for his own benefit instead of making the purported investments. He also sent Victim 1 emails and text messages falsely stating that certain deals were in progress or that problems with Esposito’s bank were preventing him from wiring funds to Victim 1.
Altogether, Victim 1 had more than $1 million wired to Esposito for the medical supplies and consumer goods transactions. During this time, Esposito caused approximately $517,000 to be sent by wire transfer to Victim 1, falsely representing that these funds were the return of principal and profits from successful deals. He converted the rest of the funds for his own use. Since January 2014, Esposito has ceased communicating with Victim 1.
The charge of wire fraud is punishable by a maximum potential penalty of 20 years in prison and a $250,000 fine, or twice the gross gain or loss from the offense.
The charge and allegations contained in the complaint are merely accusations, and the defendant is considered innocent unless and until proven guilty.
U.S. Attorney Fishman credited special agents with the FBI, under the direction of Special Agent in Charge Timothy Gallagher in Newark, with the investigation leading to the charges.
The government is represented by Assistant U.S. Attorney Andrew Kogan of the U.S. Attorney’s Office Economic Crimes Unit in Newark.
Defense counsel: Brooke M. Barnett Esq., Newark
District Woman Indicted on Murder and Other Charges in Death of Infant SonRead the Press Release
WASHINGTON – Lillian Alvarado, 24, of Washington, D.C., was indicted today by a grand jury in the Superior Court of the District of Columbia on murder and other charges in the 2013 death of her infant son, U.S. Attorney Channing D. Phillips announced.
The grand jury indicted Alvarado on charges of first-degree (premeditated) murder while armed, with aggravating circumstances; first-degree felony murder while armed, also with aggravating circumstances, and first-degree cruelty to children. The aggravating circumstances allege that the crime was especially heinous, atrocious or cruel and that the victim was especially vulnerable. The charges carry a potential sentence of life in prison with no possibility of release. Alvarado is to be arraigned on Nov. 4, 2016, by the Honorable Milton C. Lee.
No trial date has been scheduled. Alvarado, who was arrested in this case in January 2014 by the Metropolitan Police Department, remains held without bond.
According to the government’s evidence, on Thanksgiving Day, Nov. 28, 2013, Alvarado delivered her infant in the bathtub of her family’s apartment in the 6000 block of 14th Street NW. She had not told her family that she was pregnant. The baby boy was born alive; however, Alvarado allegedly strangled the baby, tried to drown the infant, and cut off his legs. The District of Columbia’s Office of the Chief Medical Examiner determined the infant died from asphyxiation and dismemberment. Alvarado allegedly tried to conceal the crime.
The baby’s death was discovered when bloody water leaked from Alvarado’s bathroom through to the apartment below. Law enforcement officers responded, believing they were searching for a water leak. With the assistance of Alvarado’s family, officers gained entrance to the bathroom, where they found the infant in the bathtub.
An indictment is merely a formal charge that a defendant has committed a violation of criminal laws and every defendant is presumed innocent until, and unless, proven guilty.
In announcing the indictment, U.S. Attorney Phillips expressed appreciation for the work of those investigating the case from the Metropolitan Police Department. He also acknowledged the efforts of those who have assisted with the case from the U.S. Attorney’s Office, including Assistant U.S. Attorneys Nicholas Coleman, Colleen Kennedy, Cynthia Walicki-Chan, and Michael Tomaselli; Victim/Witness Specialist Marcia Rinker, and Paralegal Specialists Kelly Blakeney and Cynthia Mohammed. Finally, he expressed appreciation for the work of Assistant U.S. Attorney Cynthia G. Wright, who is investigating and prosecuting the case.
District Man Sentenced to 18 Months in Prison for Attacking Deputy U.S. Marshal in Superior Court CellblockRead the Press Release
WASHINGTON - Vincent Wilson, 24, of Washington, D.C., was sentenced today to 18 months in prison for assaulting a Deputy United States Marshal during an incident at a courthouse earlier this year, announced U.S. Attorney Channing D. Phillips and Michael Hughes, U.S. Marshal for the Superior Court of the District of Columbia.
Wilson pled guilty in August 2016, in the U.S. District Court for the District of Columbia, to a charge of assaulting, resisting or impeding a federal law enforcement officer. He was sentenced by the Honorable Rudolph Contreras. Upon completion of his prison term, Wilson will be placed on three years of supervised release.
According to the government’s evidence, the chain of events took place on Jan. 5, 2016, while Wilson was at the Superior Court of the District of Columbia in an unrelated case. The incident began as a deputy marshal was escorting Wilson to a single cell in the main cell block at the courthouse. At this time, Wilson began yelling loudly at the deputy marshal and attempted to move toward him. The deputy marshal maintained control of Wilson with a hand on Wilson’s arm and a hand on Wilson’s head to prevent any potential spitting or other assaultive behavior until Wilson was in the cell. While inside the holding cell, Wilson turned and faced the deputy marshal, and from approximately five feet away, spit an amount of spit in his direction. A portion of Wilson’s saliva struck the deputy marshal under the left eye.
Thereafter, the deputy marshal entered the holding cell to control Wilson’s head in order to place a spit mask on Wilson to prevent any further spitting on other security officials. While the deputy marshal was trying to maintain control of Wilson’s head, Wilson continuously tried to rotate his body and head toward him. Aided by other officers, the deputy marshal moved Wilson to the floor of the cell. While still in handcuffs, Wilson reached up toward him and dug his fingernails into the deputy marshal’s left and right forearm, causing great pain and several large lacerations. Wilson then began to claw down on the forearms with his fingernails and dug further into the skin. The deputy marshal let up his control of Wilson’s head due to the pain. At that moment, Wilson was able to turn his head toward the deputy marshal and once again spit saliva, making contact with the deputy marshals’ skin, eyes, and mouth.
In announcing today’s sentence, U.S. Attorney Phillips and Marshal Hughes commended the actions of all the Deputy United States Marshals who protect the court system and judicial process. They also expressed appreciation for the work of those who handled the case at the U.S. Attorney’s Office, including Paralegal Specialists Jeannette Litz and Teesha Tobias, Legal Assistant Peter Gaboton, and Assistant U.S. Attorney Emory V. Cole, who investigated and prosecuted the case.