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Monday 31 October 2016
Heroin Dealer Connected to the Overdose Death of a Young Woman in Farmers Branch, Texas, is Arrested on Federal Drug ChargeRead the Press Release
DALLAS — Nancy Pineda, 27, of Farmers Branch, Texas, remains in federal custody today following her arrest late Friday evening by investigators with the Farmers Branch Police Department and special agents with the Drug Enforcement Administration on a federal criminal complaint stemming from her selling the heroin that caused a young woman’s overdose death at a McDonald’s restaurant in Farmers Branch in June 2016. The announcement was made today by U.S. Attorney John Parker of the Northern District of Texas.
“This is yet another tragic example of a young life cut short by heroin,” said U.S. Attorney Parker. “You have my word that every time someone dies from a drug overdose in this district, my office will do everything in our power, working with our law enforcement partners, to identify and prosecute those who sold the drugs. We’re going to hit this problem, and we’re going to hit it hard.”
Specifically, the complaint charges Pineda with conspiracy to distribute heroin. Pineda made her initial appearance in federal court this afternoon before U.S. Magistrate Judge Irma C. Ramirez, who ordered that she remain in custody pending a detention hearing set for Thursday, November 3, 2016, at 2:00 p.m.
According to the affidavit filed with the complaint, on June 8, 2016, at approximately 9:43 p.m., a female victim was found dead in the bathroom of a McDonald’s restaurant located on Valley View Lane in Farmers Branch. Based on observations of the scene, law enforcement suspected the victim’s death was the result of a heroin overdose. This was confirmed by the Office of the Medical Investigator that determined the victim’s cause of death was due to the toxic effects of heroin and ethanol.
The investigation revealed that on June 8, 2016, at 7:00 p.m., the victim negotiated, in text messages, to buy a “dub” and a “point” from an individual, later identified as “A.J.” A “dub” is slang for .20 grams of narcotics, and a “point” is slang for a syringe. The text conversation concluded at 7:45 p.m. when the victim texted, “we down the street.”
A search warrant of A.J.’s cell phone revealed text conversations between A.J. and an individual listed in his phone as “Nina,” who was later identified as defendant Nancy Pineda, a known heroin dealer with whom law enforcement was familiar because of previous narcotics investigations.
The text conversations between Pineda and A.J. began on June 8, 2016, at 7:08 p.m. and concluded at 7:25 p.m. During the text conversation, A.J. negotiated with Pineda to obtain a “piece” at Taqueria El Paisano on Lombardy Drive in Dallas. “Piece” is slang for narcotics. A.J. then used the victim’s phone to text Pineda at 7:59 p.m. to advise her they were almost at Paisano’s.
The investigation further revealed that A.J. and the victim drove together to Paisano’s to meet Pineda. Surveillance video showed A.J. exiting the car and talking on the phone. A.J. then handed the telephone to the victim and ran to a nearby Sonic restaurant. At approximately 8:13 p.m., A.J. walked up to a silver Ford sedan parked at the Sonic restaurant and made a hand-to-hand transaction with the front seat passenger, Pineda, and then walked away. A few minutes later, A.J. returned to the car at Paisano’s, and he and the victim departed. A.J. purchased the heroin directly from Pineda at the Sonic restaurant and gave it to the victim immediately afterwards.
Law enforcement confirmed that Pineda knew the victim and had sold heroin to her on a regular basis in the past.
A federal complaint is a written statement of the essential facts of the offense charged, and must be made under oath before a magistrate judge. A defendant is entitled to the presumption of innocence until proven guilty. The U.S. Attorney’s office has 30 days to present the matter to a federal grand jury for indictment. The statutory maximum penalty for the charged offense is 20 years in federal prison and a $1 million fine.
The Farmers Branch Police Department and the Drug Enforcement Administration are investigating the case. Assistant U.S. Attorney Myria Boehm is in charge of the prosecution.
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Haymarket Woman Arrested for Alleged Identity Theft and Financial FraudRead the Press Release
ALEXANDRIA, Va. – Karen Holtz, 50, of Haymarket, was arrested today on charges related to her role in a financial fraud and identity theft scheme while working for JMS Ventures, Inc.
Holtz, who was indicted on October 26, is charged with wire fraud, aggravated identity theft, and filing false tax returns. The indictment was unsealed this morning after Holtz was arrested.
According to court documents and court proceedings, Holtz worked for JMS Ventures, Inc. (JMS), which does business as the Kenyan Collection, is a small business that imports and distributes handmade Kenyan goods. Between 2008 and 2013, Holtz allegedly fraudulently diverted funds from JMS, by writing herself unauthorized checks from the JMS bank account and using PayPal to transfer customer payments directly to her personal bank account. The indictment further alleges that Holtz defrauded JMS’s customers by using their personal identifying information, including names and credit card numbers, to make fraudulent charges to their credit cards. Holtz is alleged to have obtained at least $350,000 from the fraud scheme. Holtz is alleged to have filed false federal individual income tax returns for tax years 2010 through 2013, which failed to report all the income that Holtz received in those years. In an attempt to conceal the fraud, Holtz also allegedly altered and destroyed records, including evidence of the fraud.
Holtz faces a maximum penalty of 20 years in prison for each count of wire fraud, three years in prison for each count of filing false returns and a mandatory sentence of two years in prison for each count of aggravated identity theft, if convicted. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes, as the sentencing of the defendant will be determined by the court based on the advisory Sentencing Guidelines and other statutory factors.
Dana J. Boente, U.S. Attorney for the Eastern District of Virginia; Caroline D. Ciraolo, Principal Deputy Assistant Attorney General, head of the Justice Department’s Tax Division; Michael L. Chapman, Loudoun County Sheriff; Brian J. Ebert, Special Agent in Charge of the U.S. Secret Service’s Washington Field Office; and Thomas Jankowski, Special Agent in Charge, Washington, D.C. Field Office, IRS-Criminal Investigation (IRS-CI), made the announcement after Holtz’s initial appearance before U.S. District Judge Anthony J. Trenga. Assistant U.S. Attorney Katherine L. Wong and Trial Attorney Kimberly G. Ang of the Tax Division are prosecuting the case.
A copy of this press release may be found on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information may be found on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 16-cr-244.
An indictment contains allegations that a defendant has committed a crime. Every defendant is presumed to be innocent until and unless proven guilty in court.
Georgia Man Facing Federal Drug Trafficking Charge in New Mexico Following Seizure of Ten Pounds of MethRead the Press Release
ALBUQUERQUE – This morning a U.S. Magistrate Judge sitting in Las Cruces, N.M., found probable cause to support a criminal complaint charging Timothy Wayne McGahee, 21, of Flowery Branch, Ga., with a methamphetamine trafficking offense. McGahee was released pending trial under pretrial supervision and other conditions of release.
McGahee was arrested on Oct. 23, 2016, on a criminal complaint alleging that he possessed approximately ten pounds of methamphetamine in Dona Ana County, N.M. According to the complaint, McGahee was arrested on Oct. 23, 2016, after U.S. Border Patrol agents at the U.S. Border Patrol checkpoint west of Alamogordo, N.M., allegedly seized the methamphetamine from McGahee’s vehicle.
If convicted of the charge in the criminal complaint, McGahee faces a statutory minimum of ten years and a maximum of life in prison. Charges in criminal complaints are merely accusations and criminal defendants are presumed innocent unless found guilty beyond a reasonable doubt.
This case was investigated by the U.S. Border Patrol and the Las Cruces office of the DEA. Assistant U.S. Attorney Clara Nevarez Cobos of the U.S. Attorney’s Las Cruces Branch Office is prosecuting the case.
Former director of Ohio County Schools Credit Union pleads guilty to embezzlementRead the Press Release
WHEELING, WEST VIRGINIA – Kathleen Gramlich, 65, of Valley Grove, West Virginia, pled guilty in federal court today to embezzlement, United States Attorney William J. Ihlenfeld, II, announced.
Gramlich was the executive director of the Ohio County Schools Public Credit Union when she stole more than $156,000 from the Credit Union and used the funds to pay personal debts. She pled guilty to one count of “Theft from a Credit Union.”
Gramlich faces up to thirty years in prison. 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 Jarod J. Douglas prosecuted the case on behalf of the government. The Federal Bureau of Investigation and the West Virginia State Police investigated.
U.S. Magistrate Judge James E. Seibert presided.
Former Amherst Woman Pleads Guilty for Her Role in Plot to Murder Ex-Husband; Co-Defendant Also Pleads GuiltyRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051BUFFALO, N.Y.-Acting U.S. Attorney James P. Kennedy, Jr. announced today that Debra Arno, 57, formerly of Amherst, NY, pleaded guilty to solicitation of interstate murder for hire before U.S. District Judge Richard J. Arcara. The charge carries a maximum penalty of five years in prison and a $125,000 fine. In addition, Lauren Frye, 57, of Buffalo, NY, pleaded guilty to being a felon-in-possession of a firearm which carries a maximum penalty of 10 years in prison and a $250,000.
Assistant U.S. Attorney Joseph M. Tripi, who is handling the case, stated that on May 26, 2015, the Kenmore Police Department received a tip about a murder for hire plan. On May 27, 2015, Kenmore Police, with the assistance of the East Aurora Police Department, identified the victims, who included Arno’s ex-husband and his current wife, and made them aware of the potential murder-for-hire plot.
On May 28, 2015, a search warrant was executed at the residence of co-defendant Lauren Frye, the person solicited by Arno to carry out the murders. Officers seized a number of items including multiple letters from Arno to Frye, photos of the intended victims, a diagram of their residence and a schedule of their activities. In one letter written by Arno to Frye, Arno stated “I am enclosing $6000. I will give you an additional $14,000 upon completion. A total of $20,000. A man, his description and address enclosed, is to be eliminated or hurt. He lives with 2 other people. Both expendable (if there is an accident).”
During the search of Frye’s residence, officers also seized two cellular telephones and three shotguns. The cellular telephones revealed extensive text messaging between Arno and Frye. Arno repeatedly implored Frye to get the murder done. In a series of text messages exchanged on May 24, 2015, Arno, using cryptic texts, inquired as to when Frye’s “friends” were going to commit the murder. Frye responded: “There suppose to get a hold of me today I want it done no bullshit.” Arno, using the nickname “Chickie,” responded: “Last day before everything changes! I need it done or else I am going to talk to them myself.” Frye responded: “That’s fine I told them today was the deadline or its gonna get harder.” Arno responded: “What is the big deal! 8 MONTHS! Today! Do it yourself I don’t give a (expletive).”
The pleas are the result of an investigation by the Village of Kenmore Police Department, under the direction of Chief Peter Breitnauer, the East Aurora Police Department, under the direction of Chief Ronald Krowka, and the Federal Bureau of Investigation Safe Streets Task Force, under the direction of Special Agent in Charge Adam S. Cohen.
Arno is scheduled to be sentenced on March 8, 2017, at 1:00 p.m. before Judge Arcara. Frye will be sentenced on March 9, 2017, at 12:30 p.m., also before Judge Arcara.
First of Five Sentenced to Federal Prison in Large Fraud SchemeRead the Press Release
HOUSTON – The first of five people from three different states has been ordered to federal prison following their convictions related to a $23 million nonexistent commercial accounts receivable scheme, announced U.S. Attorney Kenneth Magidson along with Special Agent in Charge Rick Goss of IRS-Criminal Investigation (CI).
Stefano Guido Vitale, 40, of Scottsdale, Arizona, pleaded guilty March 21, 2016, while Alan Leschyshyn, 53, of Cave Creek, Arizona; Bree Ann Davis, 40, of Lakewood, Colorado, and Tammie Roth Hanania, 59, and Edward Peter Hanania, 64, both of Folsom, California, all had previously entered their respective pleas. All were convicted of conspiring to engage a scheme to defraud and conspiracy to commit money laundering. Vitale and Leschyshyn were also convicted of eight additional counts of wire fraud.
Today, U.S. District Judge Vanessa Gilmore ordered Leschyshyn to serve a total of 235 months in federal prison to be followed by five years of supervised release. He was also ordered to pay restitution in the amount of $6,477,451.85.
Tammie and Edward Hanania are set for sentencing later this month, while Davis and Vitale will be sentenced in January 2017.
“Today’s sentencing of Leschyshyn for his role in a $6 million fraud scheme is well deserved,” said Goss. “Leschyshyn abused his training and expertise by creating convincing false documents and information to support this massive fraud. The jail time handed down to Leschyshyn attests that no matter how sophisticated the fraud is, IRS-CI Agents will uncover the crimes and pursue those responsible.”
The scheme produced approximately $6.4 million in fraudulently obtained proceeds which the defendants agreed to launder through various bank accounts. They executed the scheme to defraud by using and establishing various business entities to sell, at a discount, nonexistent commercial accounts receivable. The defendants would approach factoring companies as sellers of customized gaming vault bundles and present fabricated invoices as evidence the defendants were owed a certain amount of money for goods provided to another one of their business entities. To establish creditworthiness of these companies and to convince the factoring company the credit risk was minimal, the defendants fabricated and/or altered documents and provided them to the factoring company.
The fraud conspiracy also proved that Vitale and Leschyshyn defrauded BOKF, NA, doing business as Bank of Arizona, when they applied for and received a $1 million line of credit secured by the Export Import Bank of the United States.
Leschyshyn was previously released on bond but ordered into custody following the hearing today. Vitale has been and remains in custody, while the remaining defendants are on bond pending their sentencing hearings.
The investigation leading to the charges was conducted by IRS - CI. Assistant U.S. Attorney Melissa Annis is prosecuting the case.
Federal Grand Jury Adds Conspiracy Charge in Guatemala-To-Vermont Heroin Distribution CaseRead the Press Release
The Office of the United States Attorney for the District of Vermont stated that last week the Grand Jury in Rutland returned a Second Superseding Indictment adding a charge of conspiracy against Marco Antonio Lam Peralta and Diego Walther Anibal Mejia Paredes. The Second Superseding Indictment re-alleged the two previous counts from the First Superseding Indictment, which charged Lam Peralta and Mejia Paredes with possession with intent to distribute more than a kilogram of heroin, and Lam Peralta with harboring an illegal alien. The new conspiracy count alleges that Lam Peralta and Mejia Paredes conspired from July to October 2015 to distribute more than a kilogram of heroin.
If convicted on either heroin-related count, the defendants would face a minimum sentence of 10 years in prison, and a maximum sentence of life in prison. The Second Superseding Indictment is an accusation only; the defendants are presumed innocent until and unless proven guilty.
Court records show that this case arose from an October 2015 shipment from Guatemala destined for the address of a Mexican restaurant in Manchester Center, Vermont. Customs officials determined the shipment contained a large quantity of heroin (more than 40 kilograms, or 88 pounds) hidden in Guatemalan nutritional supplement packaging. Agents from the Department of Homeland Security, working with the Drug Enforcement Administration and the Vermont State Police, arranged for a controlled delivery of this package to the restaurant, where Mejia Paredes was waiting to take delivery.
Court filings indicate that while Mejia Paredes waited for the shipment to be delivered, he was in telephone contact with Lam Peralta, and that while Mejia Paredes waited at the restaurant Lam Peralta contacted the shipping company twice. Additional investigation identified seven previous shipments, similar in size, weight, and customs declarations to the heroin-containing intercepted package, that were sent to addresses associated with Lam Peralta in the Manchester area from Guatemala in the three months preceding the October 2015 arrest. Upon his arrest Mejia Paredes possessed a cell phone which appears to contain messages between him and Lam Peralta discussing one of the earlier shipments, as well as to where the intercepted-package should be addressed.
No trial date has been set. Both Mejia Paredes and Lam Peralta have been ordered detained in the custody of the United States Marshal pending trial. Last week Lam Peralta filed motions with the United States District Court for the District of Vermont, seeking to sever his case from Mejia Paredes’ and the suppression of his post-arrest statements to law enforcement. He also filed a motion asking the Court to reconsider its previous decision that he be detained.
AUSA Michael Drescher is handling the prosecution. Lam Peralta is represented by Ernest M. Allen, III, of Burlington, and Mejia Paredes is represented by Steven Barth, of Burlington.
Farmington Man Receives Enhanced Sentence of 90 Months for Federal Heroin Trafficking ConvictionRead the Press Release
ALBUQUERQUE – Allen Goossen, 30, of Farmington, N.M., was sentenced today in federal court in Albuquerque, N.M., to 90 months in prison for his conviction on heroin trafficking charges. Goossen will be on supervised release for three years following his prison sentence.
Goossen, whose crimes of conviction in this case involved only 12 grams of heroin, received an enhanced sentence based on judicial findings that a significant sentence was required to protect the public from Goossen and to promote deterrence. During sentencing proceedings, the court found clear and convincing evidence that Goossen caused the death of a 26-old-man by injecting him with heroin in Nov. 2013, that the victim’s death was a reasonably foreseeable effect of Goossen’s actions, and that Goossen continued to distribute heroin thereafter. Goossen has entered a not guilty plea to related state charges arising out of this event, and he is presumed innocent of those charges unless found guilty beyond a reasonable doubt.
Goossen was arrested in Feb. 2016, on a criminal complaint charging him with trafficking heroin in San Juan County, N.M. According to the complaint, Goossen sold approximately 6.03 grams of heroin to an undercover agent of the HIDTA Region II Narcotics Taskforce on Dec. 17, 2014. The complaint further alleges that on Jan. 5, 2015, Goossen was in possession of 5.95 grams of heroin packaged in six-single gram packages when he was arrested on a felony arrest warrant.
Goossen was subsequently indicted on March 8, 2016, and charged with distribution of heroin on Dec. 17, 2014, and possession of heroin with intent to distribute on Jan. 5, 2015. On April 15, 2016, Goossen pled guilty to both counts of the indictment without the benefit of a plea agreement.
The case was investigated by the Albuquerque office of Homeland Security Investigations and the HIDTA Region II Task Force. The HIDTA Region II Narcotics Task Force is comprised of officers and investigators from the Farmington Police Department, San Juan County Sheriff’s Office, Bloomfield Police Department and Aztec Police Department, and is part of the High Intensity Drug Trafficking Area (HIDTA) program that was created by Congress with the Anti-Drug Abuse Act of 1988. HIDTA is a program of the White House Office of National Drug Control Policy (ONDCP) which provides assistance to federal, state, local and tribal law enforcement agencies operating in areas determined to be critical drug-trafficking regions of the United States and seeks to reduce drug trafficking and production by facilitating coordinated law enforcement activities and information sharing.
The case is being prosecuted by Assistant U.S. Attorney Alexander M. Uballez as part of the New Mexico Heroin and Opioid Prevention and Education (HOPE) Initiative. The HOPE Initiative was launched in January 2015 by the UNM Health Sciences Center and the U.S. Attorney’s Office in response to the national opioid epidemic, which has had a disproportionately devastating impact on New Mexico. Opioid addiction has taken a toll on public safety, public health and the economic viability of our communities. Working in partnership with the DEA, the Bernalillo County Opioid Accountability Initiative, Healing Addiction in our Community (HAC), the Albuquerque Public Schools and other community stakeholders, HOPE’s principal goals are to protect our communities from the dangers associated with heroin and opioid painkillers and reducing the number of opioid-related deaths in New Mexico.
The HOPE Initiative is comprised of five components: (1) prevention and education; (2) treatment; (3) law enforcement; (4) reentry; and (5) strategic planning. HOPE’s law enforcement component is led by the Organized Crime Section of the U.S. Attorney’s Office and the DEA in conjunction with their federal, state, local and tribal law enforcement partners. Targeting members of major heroin and opioid trafficking organizations for investigation and prosecution is a priority of the HOPE Initiative. Learn more about the New Mexico HOPE Initiative at http://www.HopeInitiativeNM.org.
Dunbar heroin dealer sentenced to federal prison for drug crimeRead the Press Release
CHARLESTON, W.Va. – A Dunbar drug dealer was sentenced to two years and nine months in federal prison for a heroin crime, announced United States Attorney Carol Casto. Jamario Dobbs, 36, previously pleaded guilty to distribution of heroin.
Dobbs admitted that on three occasions in February and March of 2016, he sold heroin to a confidential informant cooperating with law enforcement. On April 27, 2016, law enforcement executed a search warrant on the residence where Dobbs was staying and seized a handgun, over $7,000 in cash, and approximately 48 grams of crack. Dobbs was arrested immediately prior to the search and he informed officers that he had swallowed several bags of heroin. Officers took Dobbs to the hospital for treatment and recovered over two grams of heroin.
The Metropolitan Drug Enforcement Network Team conducted the investigation. Assistant United States Attorney Monica D. Coleman is handling the prosecution. United States District Judge Thomas E. Johnston imposed the sentence.
This prosecution is 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 pills and heroin in communities across the Southern District.
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Department of Justice Election Day ProgramRead the Press Release
WHEELING, WEST VIRGINIA – United States Attorney William J. Ihlenfeld, II announced today that Assistant United States Attorney (AUSA) Stephen Warner will lead the efforts of his office in connection with the Justice Department’s nationwide Election Day Program for the upcoming November 8, 2016, general elections. AUSA Warner has been appointed to serve as the District Election Officer (DEO) for the Northern District of West Virginia, and in that capacity is responsible for overseeing the District’s handling of complaints of election fraud and voting rights abuses in consultation with Justice Department Headquarters in Washington.
According to Ihlenfeld, the Department of Justice plays an important role in deterring election fraud and discrimination at the polls, and combating these violations whenever and wherever they occur. The Department’s long-standing Election Day Program furthers these goals, and also seeks to ensure public confidence in the integrity of the election process by providing local points of contact within the Department for the public to report possible election fraud and voting rights violations while the polls are open on election day.
Federal law protects against such crimes as intimidating or bribing voters, buying and selling votes, impersonating voters, altering vote tallies, stuffing ballot boxes, and marking ballots for voters against their wishes or without their input. It also contains special protections for the rights of voters and provides that they can vote free from acts that intimidate or harass them. Further, federal law protects the right of voters to mark their own ballot or to be assisted by a person of their choice.
Complaints about federal election law violations can be made by calling the FBI at (412) 432-4000. The FBI will have extra personnel available to receive election day complaints, and FBI Special Agents will be available in every field office in West Virginia. AUSA Warner will be available while the polls are open to work with the FBI regarding complaints that affect the Northern District of West Virginia.
United States Attorney Ihlenfeld encourages anyone with specific information about discrimination or election fraud to share the information immediately with the U.S. Attorney's Office or to the FBI.Cuba Man Sentenced on Marijuana ChargeRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051BUFFALO, N.Y.-Acting U.S. Attorney James P. Kennedy, Jr. announced today that Randy Wade Kenyon, 58, of Cuba, NY, who was convicted of manufacturing 50 or more marijuana plants, was sentenced to 24 months in prison by U.S. District Judge Richard J. Arcara.
Assistant U.S. Attorney Thomas S. Duszkiewicz, who handled the case, stated that on August 4, 2015, during an aerial operation, the Southern Tier Regional Drug Task Force observed what appeared to be multiple marijuana plants. A ground search determined that the defendant was cultivating a total of 677 plants on his property at the time on Five Mile Road in Ischua, NY.
The sentencing is the result of an investigation by the Southern Tier Regional Drug Task Force, under the direction of Cattaraugus County Sheriff Timothy Whitcomb and the Drug Enforcement Administration, under the direction of Special Agent in Charge James J. Hunt, New York Field Division. Additional assistance was provided by the National Guard Aviation unit.
Criminal Division’s Computer Crime and Intellectual Property Section Celebrates 20 YearsRead the Press Release
This October marks the 20th year for the Criminal Division’s Computer Crime and Intellectual Property Section (CCIPS), which is responsible for implementing the Justice Department’s national strategies in combating computer and intellectual property crimes worldwide.
“CCIPS is the cornerstone of the department’s anti-cybercrime efforts, and has been involved in one capacity or another in practically every significant cybercrime and intellectual property case that has been in the public eye,” said Assistant Attorney General Leslie R. Caldwell of the Justice Department’s Criminal Division. “And CCIPS has been performing that role for 20 years, long before terms like ‘data breach’ or the ‘darknet’ became common references.”
CCIPS was established on Oct. 13, 1996, from an earlier five-attorney “Computer Crime Unit” formed in 1991 within the division’s General Litigation and Legal Advice Section. In 20 years, CCIPS’s membership has grown to more than 40 attorneys, in addition to nine digital investigative analysts who comprise the CCIPS Cybercrime Lab. Section attorneys regularly run complex investigations; resolve unique legal and investigative issues raised by emerging computer and telecommunications technologies; litigate cases; provide litigation support to other prosecutors; train federal, state and local law enforcement personnel; comment on and propose legislation; promote cybersecurity; and initiate and participate in international efforts to combat computer and intellectual property crime.
Since 1996, the section has prosecuted cases involving hundreds of millions of pieces of stolen information, including credit card and debit card numbers, email addresses, social security numbers and other personally identifying information; hundreds of millions of dollars of trade secrets, including highly sensitive technologies and agricultural products; tens of millions of counterfeit products and copyrighted works, ranging from pharmaceutical products and military supplies to digital media; and millions of compromised computers victimized by botnets and ransomware.
CCIPS’s litigation accomplishments, in partnership with prosecutors in U.S. Attorneys’ Offices across the country, include prosecutions of sophisticated hackers, such as the conviction of hacker Albert Gonzalez who, along with co-conspirators, infiltrated the computer networks of major retailers around the country and stole in excess of 40 million credit/debit card numbers; the disruption of the Gameover Zeus botnet and Cryptolocker ransomware scheme in connection with the indictment of Russian alleged cybercriminal Evgeniy Bogachev; and the takedown of Megaupload.com and indictment of its operator, Kim Dotcom, for allegedly running the largest worldwide online digital piracy conspiracy in history. In cooperation with U.S. Attorneys’ Offices and international partners, the section has played a central role in cutting-edge international operations against “dark market” websites hosted on the Tor network.
CCIPS has also worked to protect the privacy of Americans by prosecuting privacy invasions by criminals such as hackers, cyberstalkers, sextortionists and purveyors of mobile spyware. In addition, CCIPS works diligently to assure the fair and appropriate use of law enforcement investigative authorities. CCIPS has regularly updated its search and seizure manual to educate investigators and prosecutors about the legal issues surrounding search and seizure of computers and gathering of electronic evidence. Over the years, CCIPS has contributed to Department of Justice policies promoting the effective and responsible use of evolving technologies, such as cell site simulators and drones.
Over its 20 years, CCIPS has played a transformative role in addressing the increasingly international nature of computer crime and digital evidence. In 1997, the section helped form the G8 24/7 High Tech Crime Network, which created formal points of contact in participating countries for urgent assistance with international investigations involving electronic evidence. CCIPS has served as the 24/7 Network point of contact for the United States since that time, assisting in emergency responses to criminal and terrorist incidents abroad. From 1999 to 2001, CCIPS was part of the team that negotiated the Convention on Cybercrime, also known as the Budapest Convention, the world’s first international treaty governing cross-border cybercrime and electronic evidence, which now boasts 50 member countries.
CCIPS also acts as a focal point for national and global networks of trained computer and intellectual property crime prosecutors. The section coordinates the nationwide Computer Hacking and Intellectual Property prosecutor network, which is made up of dedicated computer and IP crime prosecutors in every U.S Attorney’s Office. In cooperation with the Office of Overseas Prosecutorial Development and Training, CCIPS also manages regional Intellectual Property Law Enforcement Coordinator placements around the world.
New initiatives like the Cybersecurity Unit represent CCIPS’s continued dedication to its role as a central hub for expert advice and legal guidance in a variety of areas, including best practices for victim response and reporting of cyber incidents, analysis of the implications of emerging technological changes like the Internet of Things, and white papers on topics such as information sharing and reports on active defense.
“The section has shown a truly remarkable ability to respond to emerging threats and rapid technological change,” said Assistant Attorney General Caldwell. “In the next 20 years, I expect that CCIPS will continue to be a leader for the department.”
Clay County Man Who Buried His Mother in Her Yard Pleads Guilty to Stealing Government Property and Aggravated Identity TheftRead the Press Release
Jacksonville, Florida – United States Attorney A. Lee Bentley, III announces that Brian Lee Adams (56, Green Cove Springs) today pleaded guilty to theft of government property and aggravated identity theft. He faces a maximum penalty of 12 years in federal prison, including a mandatory two-year sentence for aggravated identity theft. A sentencing date has not yet been set.
According to the plea agreement, Adams admitted to authorities that his mother had died of natural causes in July 2014 and, instead of notifying anyone, Adams buried her in the backyard of her home. Adams confessed to investigators that he had buried his mother after she died in order to continue collecting both her Social Security payments and a pension payment that she received monthly. As part of the theft, Adams used his mother’s name on checks that he would write to transfer money between her accounts. He would then use the funds on himself. The total amount Adams stole was $35,345.
This case was investigated by the Clay County Sheriff’s Office, the Florida Department of Law Enforcement, the Social Security Administration - Office of Inspector General, and the United States Secret Service. It is being prosecuted by Assistant United States Attorney Mac D. Heavener, III.
California Man Charged with Possessing with Intent to Distribute 27 Kilograms of MethamphetamineRead the Press Release
NEWARK, N.J. – A South Gate, California, man appeared in federal court today to face a drug distribution charge after he was arrested and found with 27 kilograms of methamphetamine hidden in a tractor trailer he was driving, U.S. Attorney Paul J. Fishman announced.
Tomas Lopez Beltran, 45, is charged by complaint with one count of possession with intent to distribute 500 grams or more of methamphetamine. He appeared before U.S. Magistrate Judge Joseph A. Dickson in Newark federal court and was detained. He was arrested Oct. 28, 2016 by agents of the Drug Enforcement Administration (DEA).
According to the complaint:
On Oct. 28, 2016, law enforcement performed a traffic stop of a tractor trailer in Woodbridge, New Jersey. The tractor trailer was driven by Beltran. During a lawful search, law enforcement recovered approximately 27 kilograms of methamphetamine from a concealed compartment inside the cab of the trailer.
The possession with intent to distribute charge carries a minimum penalty of 10 years in prison, a maximum potential penalty of life in prison and a $10 million fine.
U.S. Attorney Fishman credited special agents of the DEA, under the direction of Special Agent in Charge Carl J. Kotowski in Newark, with the investigation leading to the charges.
The government is represented by Assistant U.S. Attorney Karen D. Stringer and Mary Toscano, Chief of the General Crimes Unit of the U.S. Attorney’s Office in Newark.
Defense counsel: David Holman Esq., Assistant Federal Public Defender, Newar
Bulgarian National Pleads Guilty to Possession of a Device to Make Fraudulent Credit and Debit CardsRead the Press Release
Baltimore, Maryland – Martin Aleksandrov Enev, age 27, a Bulgarian national residing in Randallstown, Maryland, pleaded guilty today to possession of device-making equipment with the intent to defraud.
The guilty plea was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Brian Murphy of the United States Secret Service - Baltimore Field Office; and Chief James W. Johnson of the Baltimore County Police Department.
According to his plea agreement, on July 20, 2016, Bulgarian Customs Officers contacted U.S. Secret Service agents after they identified what they believed to be an illegal “ATM skimming device” concealed within a black and green nylon pouch, which is capable of reading the encrypted information contained in the magnetic strip on the back of a credit or debit card. The pouch had been discovered during a routine screening of international shipments scheduled to depart from the airport. The pouch was enclosed inside a shipper’s plastic delivery envelope with a packing slip attached addressed to “Marin Penev” at an address in Randallstown. Bulgarian authorities sent photographs of the device and envelope to the Secret Service.
On July 21, 2016, members of the USSS Maryland Electronic Crimes Task Force arranged a controlled delivery of the envelope and its contents once it arrived in the United States. On July 26, 2016, Enev picked up the package, providing a Maryland driver’s license in his name as identification. Special Agents of the USSS and Baltimore County Detectives followed Enev to a residence in Randallstown. The owner of the residence advised agents that Enev rented a room on the first floor of the residence and provided agents with Enev’s telephone number. A Secret Service agent called the phone number and spoke to Enev who agreed to exit the residence. Enev came out of the house and was taken into custody.
Search warrants were executed at Enev’s residence and his vehicle. From the vehicle, law enforcement recovered the opened shipping envelope, which was empty; one box containing 15 pre-paid gift and credit cards capable of being recoded with fraudulently obtained financial proceeds, along with various business cards; and three paper receipts indicating the reloading of a pre-paid gift card in the amount of $270. The search of Enev’s living area recovered: the black and green nylon pouch containing an ATM skimming, which matched the photographs of the device sent by Bulgarian authorities; two other ATM skimming devices inside the hall closet, along with a magnetic card re-encoder and 40 blank white credit cards; a desktop computer and cellular phone; and prepaid credit cards found in a desk and in Enev’s wallet. Also located in the wallet was a Maryland driver’s license bearing his name and photograph, and a Bulgarian identification card bearing Enev’s photograph. His Republic of Bulgaria driver’s license and European Union identification card were also seized during search.
A preliminary review of the prepaid gift cards and credit cards seized during the search revealed that some of them had been recoded with other people’s personal identifying information (PII), including their names and financial account numbers, creating a counterfeit access device capable of accessing those persons’ bank accounts and/or credit card balances through an ATM machine. The USSS confirmed that money had already been withdrawn from some of those financial accounts. PII contained on some of the other cards in Enev’s possession was obtained from financial accounts or credit cards created and issued in Europe. The government believes that Enev played a key role in an ongoing identity theft ring with ties to a criminal association based in Europe.
Enev and the government have agreed that if the Court accepts the plea agreement Enev will be sentenced to 33 months in prison. U.S. District Judge Richard D. Bennett has scheduled sentencing for January 9, 2017 at 3:00 p.m. Enev remains detained.
United States Attorney Rod J. Rosenstein commended the U.S. Secret Service and Baltimore County Police Department for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorney Martin J. Clarke, who is prosecuting the case.
Buffalo Man Pleads Guilty to Being A Felon in Possession of A GunRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051BUFFALO, N.Y. – Acting U.S. Attorney James P. Kennedy, Jr. announced today that Casidus Carr, 31, of Buffalo, NY, pleaded guilty to being a felon-in-possession of a gun before U.S. District Judge Richard J. Arcara. The charge carries a maximum penalty of 10 years in prison and a $250,000 fine.
Assistant U.S. Attorney Michael J. Adler, who is handling the case, stated that during the execution of a search warrant on January 16, 2015, at Carr’s residence on Dunlop Avenue in Buffalo, law enforcement officers discovered a loaded firearm and ammunition. The defendant was previously convicted in 2005 on a New York State charge of Manslaughter 1st preventing him from legally possessing a firearm.
The plea is the result of an investigation on the part of law enforcement officers of the Federal Bureau of Investigation Safe Street Task Force, under the direction of Special Agent in Charge Adam S. Cohen and the Erie County Sheriff’s Office, under the direction of Sheriff Timothy Howard.
Sentencing is scheduled for March 8, 2017, at 12:30 p.m. before Judge Arcara.
Bismarck Man Sentenced for Felon in Possession of a Firearm and AmmunitionRead the Press Release
BISMARCK - US Attorney Christopher C. Myers announced that on October 31, 2016, Travis Gene Clark Jr. 27, Bismarck ND, was sentenced before US District Judge Daniel L Hovland to serve eight (8) years in prison. Judge Hovland also ordered the sentence to run consecutively to Clark’s five (5) year state sentence, followed by three (3) years of supervised release and to pay a $100 special assessment to the Crime Victim’s Fund.
On January 31, 2016, Bismarck patrol officers were looking for Clark to serve him with a warrant for violation of a protection order. Law enforcement had received a tip that Clark was seen in the area of University Drive and saw him walk out of a mobile home and ordered him to stop and get on the ground. As he was trying to enter a vehicle, law enforcement interpreted his movements as reaching for a pistol. After Clark was arrested, law enforcement identified a pistol within plain sight of the incident.
This case was investigated by the Bureau of Alcohol Tobacco Firearms and Explosives and North Dakota BCI.
Special Assistant US Attorney Dawn Deitz prosecuted the case.
Bangor Residents Sentenced for Maintaining a Drug Involved PremisesRead the Press Release
Contact: Joel B. Casey
Assistant United States Attorney
Tel: (207) 945-0373Bangor, Maine: United States Attorney Thomas E. Delahanty II announced that Daniel Lyons, 42, and Laura Lyons, 31, of Bangor were sentenced today in U.S. District Court by Chief Judge Nancy Torresen. Daniel was sentenced to three years in prison, Laura was sentenced to two years in prison, and both were ordered to serve three years of supervised release for maintaining a drug involved premises. Daniel pleaded guilty on March 28, 2016; Laura pleaded guilty on April 12, 2016.
According to Court records, between January and December 2014, the defendants maintained a residence on Essex Street in Bangor and allowed drug dealers to use it to store heroin and to sell heroin to area customers. The defendants were compensated with heroin.
The case was investigated by the U.S Drug Enforcement Administration and the Maine Drug Enforcement Agency.
Bangor Resident Pleads Guilty to Heroin Conspiracy ChargeRead the Press Release
Contact: Joel B. Casey
Assistant United States Attorney
Tel: (207) 945-0373Bangor, Maine: United States Attorney Thomas E. Delahanty II announced that Mario Lee, a/k/a “Moe”, 33, of Bangor, and formerly of the Bronx, New York, pleaded guilty today in U.S. District Court to conspiracy to possess with intent to distribute and to distribute 100 grams or more of heroin.
According to court records, between August 2013 and September 2015, Lee conspired with others to distribute heroin in the Bangor area and elsewhere. Lee supplied heroin to dealers in the Bangor area and surrounding communities. Co-conspirators introduced customers to Lee, drove him to heroin transactions and allowed him to use their residences to distribute heroin. Lee paid them with heroin.
As a result of a prior drug trafficking conviction in New York, Lee faces enhanced penalties of between ten years and life in prison, up to eight years of supervised release and an $8,000,000 fine.
The case was investigated by the Maine Drug Enforcement Agency and the U.S. Drug Enforcement Administration.
Bakersfield Man Indicted for Receiving and Possessing Child PornographyRead the Press Release
FRESNO, Calif. — Colin Lovette Bosby, 49, of Bakersfield, was arraigned today on a three-count indictment charging him with receipt and distribution of child pornography and possession of child pornography, Acting U.S. Attorney Phillip A. Talbert announced.
According to court documents, Bosby used a computer to receive and distribute child pornography using a peer-to-peer file-sharing program. In addition, he possessed child pornography on two thumb drives. This case is the product of an investigation by the U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI). Assistant United States Attorney Megan A. S. Richards is prosecuting the case.
If convicted, Bosby faces a mandatory minimum sentence of 15 years in prison and a statutory maximum of 40 years, and a $250,000 fine for receipt and distribution of child pornography. He also faces a minimum 10-year and maximum 20-year sentence for each count of possession of child pornography. Any sentence, however, would be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables. The charges are only allegations; the defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
This case was 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 those who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc. Click on the “resources” tab for information about internet safety education.
Australian Man Who Traveled to U.S. to Have Sex with 6-Year-Old Boy Sentenced to 12 Years in Federal PrisonRead the Press Release
LOS ANGELES – An Australian geneticist who pleaded guilty to a federal charge of traveling to Los Angeles to engage in criminal sexual conduct with a 6-year-old boy was sentenced today to 144 months in prison.
Michael Quinn, 33, of Melbourne, was sentenced today by United States District Judge John F. Walter.
“This defendant appeared to be a successful, well-liked professional – but he had a secret, online life in which he made clear his sexual interest in children,” said United States Attorney Eileen M. Decker. “This defendant thought he had arranged to rape a young child, but the vigilance of law enforcement spared any potential victims from being sexual abused.”
Quinn was arrested on May 21 by special agents with U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) when he arrived at a Los Angeles-area hotel to buy a 6-year-old boy for sex.
According to documents filed in the case, the investigation began in May 2016 after undercover agents observed Quinn on a social networking site that caters to individuals with a sexual interest in children. Quinn admitted that he told undercover agents he was traveling to Los Angeles and wanted to “meet up with a dad who shares his young ones.” Specifically, Quinn told the agents, whom he believed were like-minded people, that he was hoping to meet “other pervs” in the U.S.
Quinn ultimately agreed to pay a human trafficker $250 to provide him with a young boy with whom he could engage in illicit sex. Once Quinn arrived in Los Angeles, he was arrested after paying another undercover agent $260. According to the plea agreement filed in this case, “a dominant purpose of his travel was to anally sodomize someone he knew was a 6-year-old boy.”
“This sentence should serve as a powerful deterrent to online child predators who mistakenly believe the internet and a plane ticket will enable them to act on their dark desires with impunity,” said Joseph Macias, special agent in charge of HSI Los Angeles. “Pedophiles should be on notice, HSI and its law enforcement partners are using all of the resources at our disposal to combat this reprehensible behavior and hold the perpetrators responsible for their crimes.”
This case is a product of Project Safe Childhood, a Department of Justice initiative launched in 2006 to combat the growing epidemic of child sexual exploitation and abuse, and HSI’s Operation Predator, an international initiative to protect children from sexual predators.
The case against Quinn is being prosecuted by Assistant United States Attorney Joey Blanch of the Violent and Organized Crime Section.
Arizona Man Sentenced for Heroin Trafficking Conviction Arising Out of Four-Pound Heroin Seizure in New MexicoRead the Press Release
ALBUQUERQUE –Sergio Marin Ambriz, 21, of Phoenix, Ariz., was sentenced today in federal court in Albuquerque, N.M., to 46 months in prison followed by three years of supervised release for his conviction on a heroin trafficking charge arising out of a DEA seizure of more than four pounds of heroin in Jan. 2016.
Ambriz was arrested on Jan. 20, 2016, and was charged in a criminal complaint with a heroin trafficking offense after the DEA seized approximately 1.90 kilograms (4.18 pounds) of heroin from him during an interdiction investigation at the Greyhound Bus Station in Albuquerque. The heroin was contained in three bundles that were concealed inside a pair of jeans in Ambriz’s luggage.
Ambriz was subsequently indicted on Feb. 9, 2016, and charged with possession of heroin with intent to distribute on Jan. 20, 2016, in Bernalillo County, N.M.
On May 13, 2016, Ambriz pled guilty to a felony information charging him with possession of heroin with intent to distribute. In entering the guilty plea, Ambriz admitted transporting heroin from Phoenix, Ariz., to New Mexico on a Greyhound bus by concealing the heroin in his luggage. Ambriz further admitted that he had intended to deliver the heroin to Tulsa, Okla.
This case was investigated by the Albuquerque office of the DEA. Assistant U.S. Attorney Paul H. Spiers prosecuted this case as part of the New Mexico Heroin and Opioid Prevention and Education (HOPE) Initiative. The HOPE Initiative was launched in January 2015 by the UNM Health Sciences Center and the U.S. Attorney’s Office in response to the national opioid epidemic, which has had a disproportionately devastating impact on New Mexico. Opioid addiction has taken a toll on public safety, public health and the economic viability of our communities. Working in partnership with the DEA, the Bernalillo County Opioid Accountability Initiative, Healing Addiction in our Community (HAC), the Albuquerque Public Schools and other community stakeholders, HOPE’s principal goals are to protect our communities from the dangers associated with heroin and opioid painkillers and reducing the number of opioid-related deaths in New Mexico.
The HOPE Initiative is comprised of five components: (1) prevention and education; (2) treatment; (3) law enforcement; (4) reentry; and (5) strategic planning. HOPE’s law enforcement component is led by the Organized Crime Section of the U.S. Attorney’s Office and the DEA in conjunction with their federal, state, local and tribal law enforcement partners. Targeting members of major heroin and opioid trafficking organizations for investigation and prosecution is a priority of the HOPE Initiative. Learn more about the New Mexico HOPE Initiative at http://www.HopeInitiativeNM.org.
Albany Man Pleads Guilty to Synthetic Cannabinoid ChargesRead the Press Release
ALBANY, NEW YORK – Shukri Abdullah, age 44, of Albany, New York, pled guilty today to possessing synthetic cannabinoids with the intent to distribute them.
The announcement was made by U.S. Attorney Richard S. Hartunian and Special Agent in Charge James J. Hunt, New York Division, U.S. Drug Enforcement Administration (DEA).
As part of his guilty plea, Abdullah, a proprietor of the Grand Deli in Albany, New York, admitted that he possessed two garbage bags filled with hundreds of packets of synthetic cannabinoids, also known as “Spice” or “K2,” and that he sold the packets to customers of the Grand Deli so they could smoke the contents, which mimic the effects of marijuana. Abdullah also admitted that he routinely purchased large quantities of the substances from a New York City supplier, paying between $7,000 and $9,000 in cash for each shipment.
Abdullah faces up to 20 years in prison and 3 years of post-imprisonment supervised release when he is sentenced on February 13, 2017 by Senior U.S. District Judge Thomas J. McAvoy. A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines, and other factors.
The case was investigated by the DEA and is being prosecuted by Assistant United States Attorney Wayne A. Myers.
Akron man sentenced to nearly 10 years in prison for extortion plotRead the Press Release
An Akron man was sentenced to nearly 10 years in prison threatening a man with death unless he was given money or introduced to a source with drugs, said Carole S. Rendon, U.S. Attorney for the Northern District of Ohio, and Stephen D. Anthony, Special Agent in Charge of the FBI’s Cleveland office.
Franklin D. Conley, 28, was convicted earlier this year of one count of violating the Hobbs Act, three counts of use of a communication facility to facilitate a drug offense and one count of interstate communication with intent to extort. He was sentenced to 115 months in prison.
Conley and Patrick Griffin repeatedly threatened the victim and his family, beginning in February 2015, with serious physical harm or death if they were not given money or introduced to a source of illegal drugs, according to court documents and trial testimony.
Griffin, 29, also of Akron, has pleaded guilty to his role in the crime.
The investigation preceding the indictment was conducted by the Federal Bureau of Investigation. The matter was prosecuted by Assistant United States Attorneys Teresa Riley and Robert Bulford.
Friday 28 October 2016
Vestal Man Arrested for Possession and Distribution of Child PornographyRead the Press Release
BINGHAMTON, NEW YORK – Nathan E. Boguhn, 50, of Vestal, New York, was arrested today in connection with a criminal complaint charging him with possession and distribution of child pornography, announced United States Attorney Richard S. Hartunian. The criminal complaint unsealed today in federal court alleges that the execution of a search warrant and other information showed that Boguhn used a personal computer in his residence to possess and distribute child pornography videos.
If convicted, Nathan E. Boguhn faces a mandatory minimum sentence of five (5) years and a maximum sentence of twenty (20) years imprisonment, as well as a term of supervised release of at least five (5) years and up to life, and registration as a sex offender. A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines and other factors. The charges in the complaint are merely accusations. The defendant is presumed innocent until proven guilty.
The Defendant appeared today before United States Magistrate Judge David E. Peebles and was ordered detained pending a bail hearing scheduled for November 2, 2016 in Syracuse.
This case is being investigated by the Federal Bureau of Investigation (FBI), the New York State Police and the Town of Vestal Police Department, and is being prosecuted by Assistant U.S. Attorney Miroslav Lovric, as a part of Project Safe Childhood. Launched in May 2006 by the Department of Justice, Project Safe Childhood is led by United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS). Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.
United States Attorney's Office Establishes Election Day HotlineRead the Press Release
CONCORD, N.H. –United States Attorney Emily Gray Rice announces the establishment of an Election Day hotline in coordination with the U.S. Justice Department’s nationwide Election Day program for the general election on November 8, 2016. The hotline number is (603) 230-2503.
United States Attorney Rice said: “The freedom to vote without interference, discrimination, or hindrance is a fundamental civil right enjoyed by United States citizens. The Department of Justice will act promptly and aggressively to protect the integrity of the election process and to ensure that every vote is counted and that no vote is stolen by fraud.”
United States Attorney Rice has appointed Assistant United States Attorney Mark S. Zuckerman to serve as the District Election Officer for the District of New Hampshire. In that capacity, AUSA Zuckerman is responsible for overseeing the District’s handling of complaints of election fraud and voting rights abuses in consultation with Justice Department Headquarters in Washington. He is also responsible for monitoring the Election Day hotline, which may be reached by calling (603) 230-2503.
The Department of Justice has an important role in deterring election fraud and discrimination at the polls, and combating these violations whenever and wherever they occur. The Department’s long-standing Election Day Program furthers these goals, and also seeks to ensure public confidence in the integrity of the election process by providing local points of contact within the Department for the public to report possible election fraud and voting rights violations while the polls are open on Election Day.
Federal law protects against such crimes as intimidating or bribing voters, buying and selling votes, altering vote tallies, stuffing ballot boxes, and marking ballots for voters against their wishes or without their input. It also contains special protections for the rights of voters and provides that they can vote free from acts that intimidate or harass them. For example, actions of persons designed to interrupt or intimidate voters at polling places by questioning or challenging them, or by photographing or videotaping them, under the pretext that these are actions to uncover illegal voting may violate federal voting rights law. Further, federal law protects the right of voters to mark their own ballot or to be assisted by a person of their choice.
The franchise is the cornerstone of our American democracy. We all must ensure that those who are entitled to the franchise exercise it if they choose, and that those who seek to corrupt it are brought to justice. In order to respond to complaints of election fraud or voting rights abuses regarding the November 8, 2016 general election, and to ensure that such complaints are directed to the appropriate authorities, AUSA Zuckerman will be on duty in this District while the polls are open. He can be reached by the public at the following dedicated Election Day hotline: (603) 230-2503.
In addition, the FBI will have Special Agents available in each Field Office and Resident Agency throughout the country to receive allegations of election fraud and other election abuses on Election Day. The FBI can be reached by the public at (603) 472-2224.
Complaints about possible violations of the federal voting rights laws can also be made directly to the Civil Rights Division’s Voting Section in Washington, DC by phone at 1-800-253-3931 or (202) 307-2767, by fax at (202) 307-3961, by email to [email protected], or by complaint form at http://www.justice.gov/crt/complaint/votintake/index.php.
United States Attorney Rice said, “Ensuring free and fair elections depends in large part on the cooperation of the American electorate. It is imperative that those who have specific information about discrimination or election fraud make that information available immediately to my Office, the FBI, or the Civil Rights Division.”
A Federal Election Fraud Fact Sheet that explains what triggers federal criminal jurisdiction in connection with elections and voting rights is posted on the United States Attorney’s website: www.usdoj.gov/usao/nh.
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Two St. Lawrence County Residents Charged with the Sexual Exploitation of ChildrenRead the Press Release
SYRACUSE, NEW YORK – Stacey J. LaPorte, Jr, 26, and Mackenzie Bailey, 20, both of Massena, New York, appeared today in federal court following their arrest on an Indictment alleging they conspired to, and did engage in the sexual exploitation of minors, announced United States Attorney Richard S. Hartunian. The Indictment unsealed today charges Bailey and LaPorte with conspiracy to sexually exploit a minor child born in 2014, and two counts of sexually exploiting that child on two specific dates in 2016. In addition, LaPorte is charged with a fourth count relating to his exploitation of two children, one born in 2003, the other in 1999, on a specific date in 2016.
Each of the charges filed against LaPorte and Bailey carries a mandatory minimum sentence of 15 years, a maximum sentence of 30 years in prison, a fine of up to $250,000, and a term of supervised release of at least 5 years and up to life, and registration as a sex offender. A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines and other factors.
The charges in the indictment are merely accusations. The defendant is presumed innocent until proven guilty
The defendants were arraigned today in Syracuse, New York, before United States Magistrate Judge David E. Peebles. Stacey J. LaPorte was ordered detained. Mackenzie Bailey was ordered detained pending a detention hearing, scheduled for Wednesday November 2, 2016.
This case is being investigated by the New York State Police, the Massena Police Department, and Department of Homeland Security, Homeland Security Investigations, and is being prosecuted by Assistant U.S. Attorneys Lisa M. Fletcher and Sahar Amandolare, as a part of Project Safe Childhood. Launched in May 2006 by the Department of Justice, Project Safe Childhood is led by United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS). Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.
Two Plead Guilty to Methamphetamine Manufacturing ConspiracyRead the Press Release
CONCORD, N.H. – Samantha Renehan, 29, of Lebanon, New Hampshire and Jamie Smith, 28, of Raleigh, North Carolina pleaded guilty in United States District Court for the District of New Hampshire to possession of materials to manufacture methamphetamine and conspiracy to manufacture methamphetamine, announced United States Attorney Emily Gray Rice.
According to court documents and statements made in court, on or about January 29, 2016, Renehan and other individuals picked up Jamie Smith from a bus station in Vermont. During the drive from Vermont to Lebanon, New Hampshire, Smith and Renehan made various stops to purchase ingredients used for making methamphetamine. Surveillance videos and pharmacy records indicate that defendant Renehan used her driver’s license to purchase pseudoephedrine at one pharmacy. After purchasing the necessary ingredients, the defendants returned to a residence in Lebanon, New Hampshire where Smith began the process of making methamphetamine. A search warrant executed at the residence uncovered materials that a New Hampshire State police forensic laboratory chemist determined are collectively consistent with methamphetamine manufacturing. The chemist also determined that two samples taken from the apartment indicated the presence of methamphetamine.
Smith will be sentenced on January 24, 2017. Renehan will be sentenced on February 2, 2017.
The case was investigated by the Drug Enforcement Administration and the Lebanon, New Hampshire Police Department and is being prosecuted by Assistant United States Attorney Georgiana L. Konesky.
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Two Los Angeles-Area Men Among Those Charged in Scheme to Smuggle $3 Million in Military Aircraft Parts and Defense Items to IranRead the Press Release
LOS ANGELES – Two Los Angeles-area men have been arrested on federal charges for their alleged role in a scheme to smuggle military aircraft parts and other potential defense items to Iran in violation of the International Emergency Economic Powers Act (IEEPA) and the Iranian Transactions and Sanctions Regulations (ITSR).
Zavik Zargarian, 52, of Glendale, and Vache Nayirian, 57, of Lakeview Terrace, were taken into custody Wednesday morning by special agents with U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI). The men are among five defendants charged in a nine-count federal indictment unsealed Wednesday that details a conspiracy to purchase and ship jet fighter aircraft parts worth more than $3 million to Iran.
Additionally, several of the defendants are accused of buying and illegally exporting fluorocarbon rubber O-rings to Iran. The O-rings in question have a variety of possible military applications including use in aircraft hydraulic systems and landing gear.
Also named in the indictment are Zargarian’s Glendale-based company, ZNC Engineering, and two Iranian nationals, Hanri Terminassian, 55, and Hormoz Nowrouz, 56, both of whom are believed to be in Iran.
The charges stem from a lengthy undercover probe spearheaded by HSI, with substantial assistance provided by the Defense Criminal Investigative Service (DCIS) and U.S. Customs and Border Protection (CBP).
“The crimes charged in this indictment are very serious threats to our national security,” said United States Attorney Eileen M. Decker. “As a nation it is vital that we protect our military technology and prevent it from getting into the hands of other countries without proper authorization.”
“Our commitment to prosecuting individuals who engage in the unlawful proliferation and export of items with military applications remains steadfast,” said Acting Assistant Attorney General for National Security Mary B. McCord. “The actions announced today are part of our ongoing effort to enforce export laws that continue to play a critical role in maintaining and protecting U.S. national security.”
According to the indictment, Terminassian originally contacted Zargarian from Iran for assistance with obtaining military aircraft parts from U.S.-based suppliers. Subsequently, Zargarian negotiated on Terminassian’s behalf to purchase the desired items from an undercover HSI special agent who was posing as a parts supplier. The items included parts used in F-14, F-15, F-16 and F-18 fighter jets. Eventually, Terminassian traveled to the U.S. to meet with Zargarian and the undercover special agent to discuss the transaction. The indictment alleges the two men sought to purchase between 10 and 30 units of each item, with the total cost potentially exceeding $3.6 million.
“One of HSI’s top enforcement priorities is preventing sensitive articles like those in this case from falling into the hands of individuals or nations that might seek to harm America or its interests,” said Joseph Macias, special agent in charge for HSI Los Angeles. “The illicit trade of these kinds of items to countries that have repeatedly violated our export laws must be controlled. Given what’s at stake, HSI will continue to work closely with our law enforcement partners to combat this threat and hold the perpetrators accountable for putting the U.S. at risk.”
The indictment also accuses Zargarian and Nayirian of conspiring with Terminassian and Nowrouz to export fluorocarbon rubber O-rings to Iran. The indictment alleges Terminassian contacted Nayirian and Zargarian on behalf of Nowrouz and sought their help to obtain the parts. Terminassian transferred funds for the purchase to Nayirian, who later provided the money to Zargarian. Through his company ZNC Engineering, Zargarian bought the O-rings from a California vendor and provided them to Nayirian. Nayirian then exported the O-rings to addresses in the United Arab Emirates and Kuwait provided by Terminassian, who subsequently arranged for them to be transshipped to Iran. According to the indictment, the defendants exported more than 7,000 O-rings to Iran over the course of the conspiracy.
To reduce the likelihood of detection, the defendants falsely claimed on shipping documents that the O-rings were destined for countries other than Iran and substantially undervalued them to avoid having to file export forms that might prompt further inspection by CBP. As part of the investigation, authorities obtained evidence that the O-rings were delivered to the Iranian Air Force.
Zargarian and Nayirian were arraigned on the indictment in federal court on Wednesday afternoon. Both men entered not guilty pleas and were freed on bond. A trial in this case was set for December 20 before United States District Judge S. James Otero.
If convicted of the charges in the indictment, Zargarian would face a statutory maximum sentence of 115 years in federal prison and a $4,770,000 fine. Nayirian, if he is found guilty of all counts, would face a statutory maximum sentence of 95 years in federal prison and a $3,770,000 fine.
An indictment contains allegations that a defendant has committed a crime. Every defendant is presumed to be innocent until and unless proven guilty in court.
The U.S. embargo on Iran, which is enforced through the IEEPA and the ITSR, prohibits the export of goods, technology and services to Iran with very limited exceptions.
The prosecution is being handled by Assistant United States Attorney Mark Takla of the Terrorism and Export Crimes Section and DOJ Trial Attorney Christian Ford from the Counterintelligence and Export Control Section of the National Security Division.
Two Individuals to Federal Prison for Meth ConspiracyRead the Press Release
A man and woman who conspired to distribute methamphetamine were each sentenced to 10 years in federal prison.
Beatriz Roman-Luna, 33, from Paulina, Iowa, received the prison term after a June 22, 2016, guilty plea. Jose Gomez-Trujillo, 30, from Mexico, received the prison term after a July 6, 2016, guilty plea. Both pled guilty to one count of conspiracy to distribute 50 grams or more of actual (pure) methamphetamine and two counts of distribution and aiding and abetting another in the distribution of 5 grams or more of actual (pure) methamphetamine. Gomez-Trujillo also pled guilty to illegally being in the United States.
At the guilty pleas, Roman-Luna and Gomez-Trujillo admitted that from the beginning of 2016 through February 2016, they conspired together to distribute methamphetamine to others in Iowa. On two occasions in February 2016, they distributed approximately ¾ of a pound of methamphetamine to individuals cooperating with law enforcement.
Both were sentenced in Sioux City by United States District Court Judge Leonard T. Strand. Each were sentenced to 120 months’ imprisonment. Special assessments of $300 were imposed for Roman-Luna and $400 for Gomez-Trujillo. They must each also serve a 5-year term of supervised release after the prison term. There is no parole in the federal system. Each are being held in the United States Marshal’s custody until they can be transported to a federal prison.
The case was prosecuted by Assistant United States Attorney Shawn S. Wehde and investigated by the Tri-State Drug Task Force based in Sioux City, Iowa, that consists of law enforcement personnel from the Drug Enforcement Administration; Sioux City, Iowa, Police Department; Homeland Security Investigations; Woodbury County Sheriff’s Office; South Sioux City, Nebraska, Police Department; Nebraska State Patrol; Iowa National Guard; Iowa Division of Narcotics Enforcement; United States Marshals Service; South Dakota Division of Criminal Investigation; and Woodbury County Attorney’s Office.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 16-4036.
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Two California Men Among Those Charged in Scheme to Smuggle Military Aircraft Parts and Defense Items to IranRead the Press Release
Zavik Zargarian, 52, of Glendale, California, and Vache Nayirian, 57, of Lakeview Terrace, California, were arrested Wednesday morning on federal charges for their alleged role in a scheme to smuggle millions of dollars’ worth of military aircraft parts and other potential defense items to Iran in violation of the International Emergency Economic Powers Act (IEEPA) and the Iranian Transactions and Sanctions Regulations (ITSR).
Acting Assistant Attorney General for National Security Mary B. McCord, U.S. Attorney Eileen M. Decker for the Central District of California and Special Agent in Charge Joseph Macias for Homeland Security Investigations (HSI) in Los Angeles made the announcement
The defendants were taken into custody by special agents of U.S. Immigration and Customs Enforcement’s HSI. The men are among five defendants charged in a nine-count federal indictment unsealed Wednesday that alleges a conspiracy to purchase and ship more than $3 million dollars’ worth of jet fighter aircraft parts to Iran. Additionally, several of the defendants are accused of buying and illegally exporting fluorocarbon rubber O-rings to Iran. The O-rings in question have a variety of possible military applications, including use in aircraft hydraulic systems and landing gear. Also named in the indictment are Zargarian’s Glendale-based company, ZNC Engineering, and two Iranian nationals, Hanri Terminassian, 55, and Hormoz Nowrouz, 56, both of whom are believed to be in Iran.
The charges stem from a lengthy undercover probe spearheaded by HSI, with substantial assistance provided by the Defense Criminal Investigative Service and U.S. Customs and Border Protection (CBP).
“Our commitment to prosecuting individuals who engage in the unlawful proliferation and export of items with military applications remains steadfast,” said Acting Assistant Attorney General McCord. “The actions announced today are part of our ongoing effort to enforce export laws that continue to play a critical role in maintaining and protecting U.S. national security.”
"The crimes charged in this indictment are very serious threats to our national security," said U.S. Attorney Decker. "As a nation it is vital that we protect our military technology and prevent it from getting into the hands of other countries without proper authorization."
According to the indictment, Terminassian originally contacted Zargarian from Iran for assistance with obtaining military aircraft parts from U.S.-based suppliers. Subsequently, Zargarian negotiated on Terminassian’s behalf to purchase the desired items from an undercover HSI special agent who was posing as a parts supplier. The items included parts used in F-14, F-15, F-16 and F-18 fighter jets. Eventually, Terminassian traveled to the U.S. to meet with Zargarian and the undercover special agent to discuss the transaction. The indictment alleges the two men sought to purchase between 10 and 30 units of each item, with the total cost potentially exceeding $3.6 million.
“One of HSI’s top enforcement priorities is preventing sensitive articles like those in this case from falling into the hands of individuals or nations that might seek to harm America or its interests,” said Special Agent in Charge Macias. “The illicit trade of these kinds of items to countries that have repeatedly violated our export laws must be controlled. Given what’s at stake, HSI will continue to work closely with our law enforcement partners to combat this threat and hold the perpetrators accountable for putting the U.S. at risk.”
The indictment also accuses Zargarian and Nayirian of conspiring with Terminassian and Nowrouz to export fluorocarbon rubber O-rings to Iran. The indictment alleges Terminassian contacted Nayirian and Zargarian on behalf of Nowrouz and sought their help to obtain the parts. Terminassian transferred funds for the purchase to Nayirian, who later provided the money to Zargarian. Through his company ZNC Engineering, Zargarian bought the O-rings from a California vendor and provided them to Nayirian. Nayirian then exported the O-rings to addresses in the United Arab Emirates and Kuwait provided by Terminassian, who subsequently arranged for them to be transshipped to Iran. According to the indictment, the defendants exported more than 7,000 O-rings to Iran over the course of the conspiracy.
To reduce the likelihood of detection, the defendants falsely claimed on shipping documents that the O-rings were destined for countries other than Iran and substantially undervalued them to avoid having to file export forms that might prompt further inspection by CBP. As part of their probe, investigators obtained evidence that the O-rings were intended for the Iranian Air Force.
Zargarian and Nayirian were arraigned on the indictment in federal court on Wednesday afternoon. Both men entered not guilty pleas, and a trial was set for December 20 before U.S. District Judge S. James Otero.
Defendant Zargarian faces a statutory maximum sentence of 115 years in federal prison and a $4,770,000 fine. Defendant Nayirian faces a statutory maximum sentence of 95 years in federal prison and a $3,770,000 fine. The statutory maximum sentence is prescribed by Congress and is provided here for informational purposes, as the sentencing of a defendant will be determined by the court based on the advisory Sentencing Guidelines and other statutory factors. An indictment contains allegations that a defendant has committed a crime. Every defendant is presumed to be innocent until and unless proven guilty in court.
The U.S. embargo on Iran, which is enforced through the IEEPA and the ITSR, prohibits the export of goods, technology, and services to Iran with very limited exceptions.
The prosecution is being handled by Assistant U.S. Attorney Mark Takla for the Central District of California and Trial Attorney Christian Ford of the National Security Division’s Counterintelligence and Export Control Section.
Tumwater, Washington Man Sentenced to 4 Years in Prison for Dealing Drugs on Dark WebRead the Press Release
A 22-year-old Tumwater, Washington man was sentenced today in U.S. District Court in Seattle to four years in prison for his scheme to distribute drugs via the dark web, announced U.S. Attorney Annette L. Hayes. TRISTAN SIMPSON BRENNAND was arrested in December 2015, following an investigation that revealed he was distributing ecstasy on hidden websites such as “Agora” and “Evolution.” Those websites were modeled after the Silk Road website which was a marketplace for illegal substances. U. S. District Judge Robert S. Lasnik imposed three years of supervised release to follow the prison term.
“The dark web provides drug dealers and other criminals with the 21st century equivalent of hidden corners and back alleys,” said U.S. Attorney Annette L. Hayes. “Drug dealers think they can use the dark web to hide their tracks and make a living off the misery of others. What this case demonstrates is that the dark net isn’t really “dark” to law enforcement. I commend the federal and state agencies involved in this investigation for developing the evidence that resulted in this defendant being held to account for his crimes.”
According to records filed in the case, BRENNAND came to the attention of law enforcement in January 2015 with reports he was dealing drugs on various websites. In March 2015, law enforcement executed a court authorized search warrant on BRENNAND’s residence and seized MDMA (Ecstasy), more than $33,000 in cash, scales and other drug dealing paraphernalia. Law enforcement also recovered various electronic devices which contained evidence of BRENNAND’s online drug dealing.
Following BRENNAND’s arrest in December 2015, he admitted ongoing drug use and was referred for treatment. When BRENNAND reported to the treatment facility he had Xanax MDMA, and Suboxone strips that he apparently planned to sell to others seeking treatment at the facility. Even after BRENNAND was removed from the treatment facility and taken to the Federal Detention Center at SeaTac, he continued to direct a woman outside the prison to collect his drug debts and attempt to smuggle illegal drugs into the facility.
The case was investigated by the U.S. Postal Inspection Service (USPIS), U.S. Immigration and Customs Enforcement’s Homeland Security Investigations (HSI), the Drug Enforcement Administration (DEA) and the Washington State Patrol.
The case was prosecuted by Assistant United States Attorney Thomas Woods.
Three Warner Chilcott District Managers Sentenced for Healthcare FraudRead the Press Release
BOSTON –Three former district managers of pharmaceutical giant Warner Chilcott have been sentenced in connection with committing health care fraud and violating HIPAA in order to increase sales of Warner Chilcott osteoporosis drugs.
Landon Eckles, 30, of Huntersville, N.C., was sentenced yesterday by U.S. District Court Judge George A. O’Toole, Jr. to one year of probation and a fine of $10,000. In November 2015, he pleaded guilty to wrongful disclosure of protected health information, in violation of the criminal provisions of the Health Insurance Portability and Accountability Act (HIPAA).
From 2007 to 2012, Eckles served as a Warner Chilcott district manager in the company’s osteoporosis division in a mid-Atlantic district. In 2011, Atelvia®, an osteoporosis drug, was launched, but it was not covered by many insurance companies primarily because a generic alternative was available. Therefore, insurance companies required physician approval, known as a prior authorization, before covering Atelvia®. In order to drive sales, Eckles directed certain sales representatives to fill out Atelvia® prior authorizations even if physicians refused to do so. In doing so, Eckles and his sales representatives accessed patients’ protected health information.
In addition, following directions from his supervisors, Eckles encouraged his sales representatives to ensure that patient medical charts in physicians’ offices were “flagged” with Atelvia® brochures, so that physicians would be reminded to prescribe Atelvia® for their patients. Eckles bragged about this tactic, stating, “I guarantee you that this is going to drive business,” and encouraged his sales representatives to follow suit. In part, as a result of his scheme, Eckles received a bonus of approximately $60,000 in 2011.
Timothy Garcia, 35, of Los Gatos, Calif., was sentenced by U.S. District Court Chief Judge Patti B. Saris on Sept. 27, 2016 to eight months of home confinement and ordered to forfeit $21,500. In October 2016, he pleaded guilty to conspiracy to commit health care fraud.
From 2008 to 2011, Garcia served as a Warner Chilcott district manager in the company’s osteoporosis division managing approximately 12 sales representatives in the San Francisco Bay area. Recognizing that many physicians were hesitant to submit prior authorizations for Atelvia®, Garcia aggressively pushed his sales representatives to prepare prior authorizations themselves. Furthermore, Garcia stressed the importance of concealing the misconduct of his sales representatives.
In 2011, Garcia received a bonus of more than $60,000, and was promoted to senior district manager in Warner Chilcott’s most prestigious sales division. As a result of the scheme, insurance companies, including Medicare, paid Warner Chilcott at least $100,000 for Atelvia® based on prior authorizations that were manipulated by Garcia’s sales representatives.
Jeff Podolsky, 49, of East Meadow, N.Y., was sentenced by Chief Judge Saris on Oct. 11, 2016, to eight months of home confinement and ordered to forfeit $28,237 and pay a fine $10,000. In July 2015, he pleaded guilty to conspiracy to commit health care fraud.
In 2010 and 2011, Podolsky served as a Warner Chilcott district manager in New York City and Long Island, during which time Atelvia®, as well as its predecessor drug, Actonel®, had poor insurance coverage. Podolsky directed the sales representatives in his district to fill out prior authorizations for physicians who prescribed Actonel® and Atelvia®, by using false clinical justifications as to why the patient needed the drugs, and then submit them to health insurance companies.
As a result of the scheme, Podolsky’s district was the top-grossing district in Warner Chilcott’s osteoporosis division. In 2011, Podolsky received a bonus of more than $100,000 and was promoted to senior district manager in a more prestigious sales division. Insurance companies and Medicare paid at least $200,000 for Actonel® and Atelvia® prescriptions that were based on prior authorizations that were manipulated by Podolsky’s sales representatives.
United States Attorney Carmen M. Ortiz; Harold H. Shaw, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; Phillip M. Coyne, Special Agent in Charge of the Department of Health and Human Services Office of Inspector General; Leigh-Alistair Barzey, Assistant Special Agent in Charge of the Department of Defense’s Defense, Office of Inspector General, Defense Criminal Investigative Service, Northeast Field Office; Derek Roy, Resident Agent in Charge of the U.S. Food and Drug Administration’s Office of Criminal Investigations; Donna L. Neves, Special Agent in Charge of the Department of Veterans Affairs, Office of Inspector General; and Scott Rezendes, Special Agent in Charge of the Office of Personnel Management’s Office of Inspector General. Assistant U.S. Attorney David Schumacher and Miranda Hooker of Ortiz’s Health Care Fraud Unit prosecuted the case.
Three Plead Guilty to Drug Trafficking in Southeastern Mass.Read the Press Release
BOSTON – Three Bristol County based drug-dealers pleaded guilty in U.S. District Court in Boston this week in connection with operating a drug trafficking ring in southeastern Massachusetts.
Luis Lopez, a/k/a “Juan Gonzalez,” 42, of Tiverton, RI and Fall River, Mass. pleaded guilty on Tuesday, Oct. 25, 2016, to conspiracy to distribute five kilograms or more of cocaine, conspiracy to distribute heroin and fentanyl, possession of fentanyl and acetylfentanyl with the intent to distribute and laundering of monetary instruments. U.S. District Court Senior Judge Rya W. Zobel took the plea under advisement until sentencing, set for Jan. 31, 2017.
From 2014 to 2016, Lopez imported, at a minimum, 50 to100 kilograms of cocaine from Puerto Rico to Massachusetts, and distributed it in New Bedford and Fall River with co-conspirators Chindy Diaz, Israel Santiago, and others. Lopez also conspired with others to distribute heroin, fentanyl and acetylfentanyl. Lopez admitted that a kilogram of a fentanyl/acetylfentanyl mix that was found at a drug stash house in June belonged to him. Lopez also laundered drug proceeds through Hillside Auto, a used car business he purchased in Fall River in the name of a relative.
If the Court accepts the plea agreement, Lopez will be sentenced to 15 years in prison, five years of supervised release, and ordered to pay a money judgement of $2 million and forfeit three properties valued at approximately $1.2 million and numerous vehicles and motorcycles owned by Lopez and Hillside Auto.
Israel Santiago, a/k/a “Reysito,” 39, of Fall River also pleaded guilty on Tuesday, Oct. 25, 2016, to conspiracy to distribute cocaine. Judge Zobel took the plea under advisement and scheduled sentencing for Jan. 31, 2017.
In June 2016, Santiago attempted to ship a package containing one kilogram of cocaine to 24/7 Fitness in New Bedford. Once the package arrived, Santiago was to provide the cocaine to Lopez; however, unbeknownst to Lopez and Santiago, the package had been seized and opened by investigators, who discovered the cocaine. Due to the ongoing investigation, Santiago and Lopez were not arrested at that time, but were arrested a few weeks later.
Chindy Diaz, 38, of New Bedford, pleaded guilty yesterday to conspiracy to distribute and possess with the intent to distribute five kilograms or more of cocaine. Judge Zobel took the plea under advisement and scheduled sentencing for Jan. 26, 2017.
Diaz helped Lopez obtain packages of cocaine from Puerto Rico. Specifically, Diaz had cocaine shipped to her home, as well as the homes of her associates. When the cocaine arrived in the mail from Puerto Rico, Diaz would bring it to Lopez at his residence in Fall River. In addition, Diaz helped coordinate the shipment of drug proceeds back to Puerto Rico.
The charge of conspiracy to distribute cocaine provides for a sentence of no greater than 20 years in prison, three years to life of supervised release and a fine of up to $1 million. The charge of conspiracy to distribute and possess with the intent to distribute five kilograms or more of cocaine provides a sentence of no greater than life in prison, five years to life of supervised release and a fine of $100,000. Actual sentences for federal crimes are typically less than the maximum penalties. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Carmen M. Ortiz; Bristol County District Thomas M. Quinn; Michael J. Ferguson, Special Agent in Charge of the Drug Enforcement Administration, Boston Field Division; Joel P. Garland, Special Agent in Charge of the Internal Revenue Service’s Criminal Investigation in Boston; Shelly Binkowski, Inspector in Charge of the U.S. Postal Inspection Service; Fall River Police Acting Chief Albert Dupere; New Bedford Police Chief Joseph C. Cordeiro; Fairhaven Police Chief Michael Myers; and Bristol County Sheriff Thomas M. Hodgson, made the announcement today. Assistant U.S. Attorney Eric Rosen of Ortiz’s Narcotics and Money Laundering Unit is prosecuting the cases.
Texas Man Sentenced to Prison for Filing False Tax Returns and Corruptly Endeavoring to Impede the Internal Revenue LawsRead the Press Release
An Austin, Texas businessman was sentenced today to 72 months in prison following his conviction on filing false tax returns and corruptly endeavoring to impede the due administration of the internal revenue laws, announced Principal Deputy Assistant Attorney General Caroline D. Ciraolo, head of the Justice Department’s Tax Division.
Victor Antolik, 57, owned and operated a commercial janitorial business with locations in Austin, San Antonio and Houston, Texas, under a variety of business names, including Diversified Building Services Inc., DBS Services Inc., Partners in Cleaning, PIC Building Services and BSI Industries. Antolik also earned income as a real estate agent, real estate broker and property manager. Antolik earned a portion of his real estate income through his companies SGN Realty Inc. and Signature Realty Services. Antolik submitted to the Internal Revenue Service (IRS) false individual income tax returns on which he underreported his income for tax years 2004, 2007 and 2008. In addition, between 1998 and 2014, Antolik attempted to obstruct the due administration of the internal revenue laws by, among other things, attaching altered Forms W-2 and 1099 to his tax returns, providing false information to his accountants that was used to prepare corporate and individual income tax returns on his behalf, and using nominees to conceal income and assets.
In addition to the prison term imposed, Antolik was also ordered to serve one year of supervised release and to pay restitution to the IRS in the amount of $916,358.
Principal Deputy Assistant Attorney General Ciraolo thanked agents of IRS-Criminal Investigation, who conducted the investigation, and Tax Division Trial Attorneys Robert A. Kemins and David Zisserson, who prosecuted the case. Principal Deputy Assistant Attorney General Ciraolo also thanked the U.S. Attorney’s Office for the Western District of Texas for their substantial assistance.
Additional information about the Tax Division and its enforcement efforts may be found on the division’s website.
Serial Bank Robber Sentenced to 84 Months in Federal PrisonRead the Press Release
DALLAS — A Garland, Texas, man, Brian Dwayne Glass, 35, was sentenced this afternoon by Chief U.S. District Judge Barbara M. G. Lynn to 84 months in federal prison, following his guilty pleas in February 2016 to six counts of bank robbery.
Glass admitted robbing six banks, entering each of the banks with the intent to commit bank robbery. He acted similarly in each robbery, entering the bank during the late morning or early afternoon hours and verbally demanding from a teller, in an intimidating manner, that they give him all of their money. In one instance, Glass also grabbed approximately $5,000 cash that was laid out on the counter by a bank customer who was in the process of depositing the cash.
Glass committed the following bank robberies:
July 25, 2014 Chase Bank
4430 Lavon Drive
Garland, Texas
August 14, 2014 Chase Bank
5525 North Garland Avenue
Garland, Texas
September 29, 2014 Chase Bank
1000 South Beltline Road
Coppell, Texas
November 4, 2014 Bank of America
5610 Broadway Boulevard
Garland, Texas
November 10, 2014 Chase Bank
4430 Lavon Drive
Garland, Texas
January 27, 2015 Chase Bank
18220 Midway Road
DallasThe FBI and the Coppell, Dallas and Garland Police Departments investigated. Assistant U.S. Attorney Keith Robinson prosecuted.
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Rochester Physician Assistant Sentenced for Dispensing Oxycodone Outside the Scope of Professional PracticeRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051ROCHESTER, N.Y.-U.S. Attorney William J. Hochul Jr. announced today that Jeffrey C. Leathersich, 51, of Lima, NY, who was convicted of dispensing a controlled substance outside the scope of professional practice was sentenced to three years probation to include six months of home detention and 100 hours of community service by U.S. District Judge Elizabeth A. Wolford.
Assistant U.S. Attorney Frank H. Sherman, who handled the case, stated that between October 2013 and March 2016, the defendant was licensed as a Registered Physician Assistant under the laws of the State of New York and had a Drug Enforcement Administration Certificate of Registration. This authorized Leathersich to prescribe Schedule II controlled substances in connection with his practice located at New Genesis Center for Medical Weight Loss and Cosmetic Medicine on Monroe Avenue in Rochester. The defendant became a Physician Assistant in 1995, practiced cosmetic medicine since 2004 and, in 2010, also began practicing bariatric medicine.
Between October 2013 and December 2015, Leathersich maintained a social relationship with an individual identified as Patient A. During that time period, the defendant provided Patient A with 16 prescriptions for oxycodone, totaling approximately 30 grams, outside the scope of his professional practice and not for a legitimate medical purpose. Between July 2015 and March 2016, the defendant maintained a social relationship with a second individual identified as Patient B. During that time period, Leathersich provided Patient B with nine prescriptions for oxycodone, totaling approximately 26 grams, outside the scope of his professional practice and not for a legitimate medical purpose. Oxycodone is an opioid pain medication. As a narcotic with a high potential for abuse that may lead to severe psychological or physical dependence, oxycodone is listed by the Attorney General as a Schedule II controlled substance.The sentencing is the culmination of an investigation on the part of the Drug Enforcement Administration, under the direction of Special Agent in Charge James J. Hunt, New York Field Division.
Rochester Man Sentenced to 20 Years in Drug Distribution Causing Death CaseRead the Press Release
CONCORD, N.H. – United States Attorney, Emily Gray Rice announced today that Mark Ross, 42, of Gonic, New Hampshire was sentenced to 20 years in prison after pleading guilty to distributing a controlled substance that caused the death of Evangelique Tarmey.
According to documents that were filed in United States District Court, Mark Ross was living with Tarmey and Tarmey’s mother at the Riviera Motel in Rochester, New Hampshire in October of 2015. On October 16, 2015, Ross traveled with Tarmey and another person to Lawrence, Massachusetts in order to obtain a quantity of heroin. Ross returned to the Riviera Motel with the drugs. After using a portion of the drugs, Ross provided a quantity of the drugs to Tarmey. The following morning, Tarmey was found dead in the motel room. The New Hampshire Medical Examiner later found that Ms. Tarmey died of acute fentanyl intoxication.
New Hampshire has the third-highest rate of per capita drug overdose deaths in the United States. More than half of the drug overdose deaths in New Hampshire in 2015 were the result of fentanyl, either alone or in combination with other drugs.
United States Attorney Rice said, “I want to thank the Rochester Police Department and the Drug Enforcement Administration for their work on this case. Fighting the opioid epidemic is a multi-pronged, team effort. One facet of our attack is to prosecute those who are criminally responsible for causing drug overdoses. We will continue to work with law enforcement agencies to identify and prosecute the individuals who distribute drugs that cause overdose deaths. Any drug distribution has the potential to be deadly, regardless of the quantity of drugs involved. When a drug distribution causes an overdose death, my office will seek to hold the distributor accountable.”
In April 2016, the United States Attorney’s Office and the New Hampshire Attorney General’s Office announced the formation of an inter-office team of prosecutors who will work together to prosecute individuals who cause opiate overdoses in New Hampshire. This prosecution, initiated before the creation of the joint team, is an example of the type of case that will be generated by the team.
The case was investigated by the Rochester Police Department and the Drug Enforcement Administration assisted in the investigation. The case was prosecuted by Assistant U.S. Attorney Donald Feith.
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Reno Geothermal Power Plant Operator Enters into $5.5 Million Settlement with DOJ over Grant Fraud AllegationsRead the Press Release
LAS VEGAS, Nev. – Several Reno companies that operate geothermal power plants in Nevada, California, Hawaii and elsewhere, have agreed to pay the United States $5.5 million to resolve civil fraud allegations that they unlawfully applied for and received millions in federal clean energy grants, announced U.S. Attorney Daniel G. Bogden for the District of Nevada.
Ormat Technologies, Inc., Ormat Nevada, Inc., Puna Geothermal Venture II, L.P., ORNI 18, LLC, and Puna Geothermal Venture, G.P. (hereinafter referred to as Ormat), and the United States entered into the agreement to avoid the delay and uncertainty and expense of protracted litigation. The agreement states that it is neither an admission of liability by the defendants nor a concession by the United States that its claims are not well founded.
“The False Claims Act is an effective civil tool to ferret out fraud in federal taxpayer-funded programs,” said U.S. Attorney Bogden. “The settlement monies announced today will be deposited into a federal fund used to help crime victims and for a variety of other law enforcement purposes.”
The settlement agreement, effective this week, arises out of a civil lawsuit filed on Feb. 4, 2013 by Tina Calilung and Jamie Kell against Ormat alleging that they violated the civil False Claims Act by submitting false applications for federal clean energy grants to which they were not entitled. The defendant companies are based in Reno, Nev. Calilung and Kell are former employees of Ormat Technologies.
The lawsuit alleged that the federal government had claims against the defendant arising from the submission of applications for and receipt of grants under the American Recovery and Reinvestment Tax Act of 2009, related to the 8MW Puna Geothermal Power Plant and Puna KS-14 Well, both on the island of Hawaii, and the North Brawley Geothermal Power Plant in Imperial County, Calif.
Since January 2009 and through the end of federal fiscal year 2015, the Justice Department has recovered a total of more than $26.4 billion from cases involving fraud and false claims against the government. The False Claims Act is the government’s primary civil remedy to redress false claims for government funds and property under government contracts, including national security and defense contracts, as well as under government programs as varied as Medicare, veterans’ benefits, federally insured loans and mortgages, highway funds, research grants, agricultural supports, school lunches, and disaster assistance. In 1986, Congress strengthened the Act by amending it to increase incentives for whistleblowers to file lawsuits on behalf of the government.
Most false claims actions are filed under the Act’s whistleblower, or qui tam, provisions that allow individuals to file lawsuits alleging false claims on behalf of the government. If the government prevails in the action, the whistleblower, also known as the relator, receives up to 30 percent of the recovery. Whistleblowers filed 638 qui tam suits in fiscal year 2015 and the department recovered $2.8 billion in these and earlier filed suits this past year. Whistleblower awards during the same period totaled $597 million. https://www.justice.gov/opa/pr/justice-department-recovers-over-35-billion-false-claims-act-cases-fiscal-year-2015.
Assistant United States Attorney Roger Wenthe handled the case on behalf of the U.S. Attorney’s Office for the District of Nevada.
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Press Conference on Forfeiture of Drug Properties in RutlandRead the Press Release
The United States Attorney’s Office will hold a press conference in Rutland on Monday, October 31, 2016 at 11:00 a.m. to discuss the completion of an agreement to forfeit three Rutland residences on Park Avenue and convert them to owner-occupied housing. These properties were forfeited based on significant narcotic drug distribution activity occurring at these addresses. Under the terms of the agreement, the properties have been transferred to NeighborWorks of Western Vermont. NeighborWorks of Western Vermont will renovate them and sell them on the condition that the purchaser maintain them as owner-occupied single-family residences, duplexes or condominium residential units. A separate press release will be issued at the time of the press conference explaining the agreement and its significance in more detail.
Present at the press conference will be representatives from participating federal, state and local law enforcement agencies, the City of Rutland, NeighborWorks of Western Vermont, and Project Vision. Those attending include: United States Attorney Eric Miller, Mayor Christopher Louras, United States Marshal David Demag, Rutland City Police Department Chief, Brian Kilcullen, Lieutenant Paul Favreau, Vermont State Police (Narcotics Investigation Unit), Ludy Biddle, Executive Director, NeighborWorks of Western Vermont, and Joe Kraus, Chairman of Project Vision.
Please contact Laura Harvey at the United States Attorney’s Office, telephone 802-951-6725, if you have any questions.
Owner of Real Estate Investment Firm Sentenced in Manhattan Federal Court to 10 Years in Prison for $17 Million Securities FraudRead the Press Release
Preet Bharara, the United States Attorney for the Southern District of New York, announced that CARLTON P. CABOT, the former owner and chief executive officer of Cabot Investment Properties LLC (“CIP”), was sentenced today in Manhattan federal court to 10 years in prison for defrauding hundreds of elderly investors in numerous CIP-sponsored real estate investments. As part of the fraud, CABOT and his co-defendant misappropriated approximately $17 million of investor funds to pay for personal and business expenses, and concealed the fraud from the investors with manipulated financial statements. CABOT pled guilty to one count of securities fraud on May 31, 2016, before U.S. District Judge Jesse M. Furman who imposed today’s sentence.
U.S. Attorney Preet Bharara said: “Carlton Cabot took $17 million from vulnerable investors and spent it lavishly on himself, and then lied to cover it up. The victims, many of whom were in their 70s and 80s, were simply looking for a steady income stream to sustain them in their retirement. Now, instead of economic safety and security, they are faced with financial ruin. Cabot has rightfully been held to account for his selfish and criminal acts.”
According to the allegations contained in the criminal complaint against CABOT, the indictment to which CABOT pled guilty and Cabot’s admissions during his plea allocution, and the statements made by the victims of CABOT’s fraud:
From 2003 through 2012, CIP – which was controlled by CABOT – sponsored and oversaw approximately 18 so-called tenants-in-common (“TIC”) securities offerings to investors located all over the United States (collectively, the “TIC Investments” and the “TIC Investors”). A TIC investment is a real estate investment in which investors collectively own a piece of commercial real estate and are entitled to receive a portion of the rental income from the property.
From 2008 through 2012, CABOT engaged in a scheme to defraud the TIC Investors by misappropriating funds belonging to the TIC Investments and concealing his misappropriations by knowingly providing false and misleading financial reports and other information to the TIC Investors.
According to the representations in the offering prospectuses for the TIC Investments, CIP was allowed to collect only “excess” rental income from the TIC Investments – i.e., any additional money left over after the TIC Investments had paid the operating expenses for the properties and the disbursements due to the TIC Investors. Despite these representations, CABOT repeatedly transferred money out of bank accounts belonging to the TIC Investments and into CIP bank accounts that he controlled (the “CIP Operating Accounts”) before these funds could be used to pay for operating expenses and disbursements to the TIC Investors.
CABOT then used these funds to pay for unauthorized purposes without the knowledge or authorization of the TIC Investors, including: (1) to cover the operating expenses and investor distributions of other TIC Investments that had no available funds; (2) to pay for millions of dollars of personal expenses, including expensive cars, rental apartments, and private school tuition; and (3) to pay for CIP business expenses, including an approximately $1,125,651 civil settlement to certain TIC Investors who had sued CABOT and others.
To conceal the misappropriation of TIC Investment funds from the TIC Investors, CABOT and his co-defendant, Timothy J. Kroll, CIP’s chief operating officer, provided false and misleading financial reports to the TIC Investors that intentionally hid the fact that CIP owed large sums of money to the TIC Investments.
By the end of 2012, when CIP ceased its day-to-day operations, CIP and its principals, CABOT and Kroll, owed approximately $17 million to the TIC Investments, which has never been repaid.
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In addition to his prison sentence, CABOT, 54, of Stamford, Connecticut, was sentenced to three years of supervised release and ordered to pay $17 million in restitution and forfeiture.
On October 7, 2015, Kroll pled guilty before Judge Furman for his role in the scheme.
Mr. Bharara praised the outstanding efforts of the U.S. Postal Inspection Service and Internal Revenue Service’s Criminal Investigation Division. He also thanked the Office of the Secretary, William F. Galvin, Massachusetts Securities Division, for its assistance with the investigation of this case.
The prosecution of this case is being overseen by the Office’s Complex Frauds and Cybercrime Unit. Assistant U.S. Attorneys Christian R. Everdell and Edward A. Imperatore are in charge of the prosecution.
Orlando Disability Benefits Recipient Convicted of Defrauding Social Security AdministrationRead the Press Release
Orlando, FL – United States Attorney A. Lee Bentley, III announces that a federal jury yesterday found Craig DeMange (62, Oviedo) guilty of one count of knowingly and willfully making a false statement to a federal agency. He faces a maximum penalty of five years in federal prison. His sentencing hearing is scheduled for January 23, 2017.
DeMange was indicted on June 15, 2016.
According to evidence presented at trial, DeMange received Social Security disability benefits for nearly two decades, beginning in 1995. In July 2013, the Social Security Administration requested information about his work and earnings history to assess his continued eligibility for disability benefits. At that time, DeMange knowingly and willfully provided false and fraudulent information about his current work status. Specifically, DeMange stated that he had not worked since 1996, when in fact he had been running a business since 2010 or 2011.
This case was investigated by the Social Security Administration - Office of the Inspector General. It is being prosecuted by Assistant United States Attorney Emily C. L. Chang.
Nine People Indicted on Fraud Charges Related to Telemarketing EnterpriseRead the Press Release
St. Louis, MO – Nine people living in the Phoenix, Arizona, area have been charged in federal court in a multi-count indictment arising from their participation in a fraudulent telemarketing enterprise. The enterprise generated in excess of $10,000,000 in sales from individuals across the United States and Canada and specifically targeted persons over the age of 55.
According to the indictment, which was unsealed earlier this week, beginning sometime prior to 2013 and continuing until July 2015, the defendants operated a telemarketing enterprise selling false and fictitious “business opportunities.” The Phoenix, Arizona, based telemarketing enterprise operated under multiple business names and utilized multiple business entities over the course of the scheme, including Smart Business Pros, LLC of Warson Woods, Missouri.
The charges include conspiracy to commit mail, wire and bank fraud; wire fraud; mail fraud and money laundering.
If convicted of wire fraud or mail fraud in connection with telemarketing, the defendants face up to 30 years in prison, a fine of $250,000 or both. In determining the actual sentences, a judge is required to consider the U.S. Sentencing Guidelines, which provide recommended sentencing ranges.
This case is being investigated by the Office of the Arizona Attorney General, United States Postal Inspection Service, IRS Criminal Investigation and the Federal Bureau of Investigation. Assistant United States Attorney Charles Birmingham is handling the case for the U.S. Attorney's Office.
As is always the case, charges set forth in an indictment are merely accusations and do not constitute proof of guilt. Every defendant is presumed to be innocent unless and until proven guilty.
New Haven Man Sentenced to 40 Months in Federal Prison for Role in Heroin RingRead the Press Release
Deirdre M. Daly, United States Attorney for the District of Connecticut, today announced that TODD BEILBY, 55, of New Haven, was sentenced yesterday by U.S. District Judge Victor A. Bolden in Bridgeport to 40 months of imprisonment, followed by five years of supervised release, for his role in a heroin distribution ring.
This matter stems from a joint investigation headed by the DEA New Haven Task Force, FBI and New Haven Police Department into the distribution of heroin in New Haven. The investigation, which included the use of court-authorized wiretaps, physical surveillance and controlled purchases of heroin, revealed that Wilson Vasquez, also known as “Pancho,” obtained bulk quantities of heroin, processed and packaged the drug with several co-conspirators, and then distributed the drug through a network of street-level distributors operating in the area of Ferry Street, Grand Avenue and Blatchley Avenue in New Haven’s Fair Haven neighborhood.
For approximately one year until he was arrested on July 15, 2015, BEILBY was responsible for bagging almost all of the heroin Vasquez and his associates sold.
During the investigation, law enforcement seized approximately 500 grams of raw heroin, three handguns and five vehicles. In addition, bank accounts containing more than $300,000 have been frozen.
BEILBY has been detained since his arrest. On April 1, 2016, he pleaded guilty to one count of conspiracy to possess with intent to distribute heroin.
Seventeen individuals were charged as a result of this investigation. All 17 pleaded guilty. Vasquez awaits sentencing.
The DEA New Haven Task Force includes participants from the New Haven, Hamden, West Haven, North Haven, East Haven, Branford, Ansonia, Meriden and Derby Police Departments, and the U.S. Marshals Service.
This case is being prosecuted by Assistant U.S. Attorneys H. Gordon Hall and Patrick Caruso.
New Hampshire Man Indicted on Federal Charges in Connection with Multiple Incidents in March - April 2016Read the Press Release
Concord, New Hampshire—United States Attorney Emily Gray Rice today announced that a federal grand jury in Concord returned a three-count indictment charging MICHAEL MUNROE, a/k/a Michael Monroe, 33, previously of Raymond, New Hampshire, with one count of carjacking and two counts of bank robbery. The indictment was returned on October 19, 2016, and MUNROE was arraigned today in front of U.S. Magistrate Judge Daniel J. Lynch, where he entered a plea of not guilty.
According to the indictment and other statements made in court, MUNROE was arrested earlier this year after a well-publicized alleged two-state multi-week crime spree in March and April 2016. The new federal charges focus on three specific alleged incidents: (1) that MUNROE forcibly took a 2004 Honda Pilot from a victim while she sat in the vehicle in Manchester, N.H., on March 27, 2016; (2) that MUNROE robbed a Northway Bank branch location in Ossipee, New Hampshire on March 28, 2016; and (3) that MUNROE robbed a Granite State Credit Union branch location in Seabrook, New Hampshire on April 1, 2016. He has remained in custody since his arrest by Hancock Police on April 2, 2016.
Trial has been scheduled to take place in the two-week period between December 13-27, 2016, in front of Senior U.S. District Judge Steven McAuliffe. If convicted, MUNROE faces a maximum term of imprisonment of 15 years for the carjacking offense, and a maximum term of imprisonment of 20 years for each bank robbery offense.
An indictment is not evidence of guilt. Charges are only allegations, and the defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.
This matter is being investigated by the Federal Bureau of Investigation, the Manchester Police Department, the Ossipee Police Department, the Seabrook Police Department, the Hancock Police Department, and County Attorney’s Offices for Hillsborough, Carroll, and Rockingham counties. The case is being prosecuted by Assistant U.S. Attorney Charles L. Rombeau.
Nancy Stallard Harr Sworn in as U.S. Attorney for the Eastern District of TennesseeRead the Press Release
GREENEVILLE, Tenn. - Nancy Stallard Harr was administered the oath of office as U.S. Attorney for the Eastern District of Tennessee by Chief Judge Thomas Varlan on Friday, Oct. 28, 2016 at the James H. Quillen Federal Courthouse in Greeneville, Tenn. Harr had served as the Interim U.S. Attorney by appointment of the Attorney General of the United States, Loretta Lynch. Pursuant to their statutory authority, the federal district judges selected Harr to serve until the nomination and confirmation of a Presidentially appointed, Senate confirmed successor.
Harr is a native of Bristol, Va., and former prosecutor with the Second Judicial District Attorney’s office in Blountville. She joined the U.S. Attorney’s Office in 1995 in Knoxville, and returned to northeast Tennessee as supervisor of the Greeneville branch office in 2001. In 2011 she was named First Assistant U.S. Attorney, and later became the Acting United States Attorney upon the retirement of William C. Killian in 2015. Her husband, Paul A. Harr is an attorney in private practice in Blountville, Tenn.
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Morgantown, WV man sentenced for interstate heroin distributionRead the Press Release
CLARKSBURG, WEST VIRGINIA – Justin Donald Myers, 37, of Morgantown, West Virginia, was sentenced to twelve months and one day in prison for distributing heroin near West Virginia University, United States Attorney William J. Ihlenfeld, II, announced.
Myers sold heroin in January 2016 in Monongalia County that was transported into the region from Michigan. He pled guilty in June 2016 to one count of “Aiding and Abetting Distribution of Heroin within 1,000 feet of a Protected Location.”
Assistant U.S. Attorney Zelda Wesley prosecuted the case on behalf of the government. The Mon Metro Drug and Violent Crime Task Force investigated.
U.S. District Judge Irene M. Keeley presided.
Miller County Sheriff ArrestedRead the Press Release
United States Attorney G. F. “Pete” Peterman, III, of the Middle District of Georgia announces that on October 28, 2016, Miller County Sheriff Shane Rathel, aged 42, was arrested by Federal Bureau of Investigation agents at the Albany FBI office on charges of selling two stolen firearms.
Copies of the complaint and supporting affidavit are attached. The complaint is only an allegation of criminal conduct. Sheriff Rathel is presumed innocent until and unless proven guilty in a court of law. If convicted, Sheriff Rathel faces a potential maximum penalty of 10 years’ imprisonment, a $250,000 fine, or both, on each count.
This case is being prosecuted by Assistant United States Attorney Alan Dasher. The case was investigated by the Albany office of the Federal Bureau of Investigation and the Georgia Bureau of Investigation.
Inquiries regarding this case should be directed to Pamela Lightsey, Public Information Officer, United States Attorney’s Office at (478) 621-2603.
Marietta Man Charged with Robbing Six Area Banks at GunpointRead the Press Release
ATLANTA - Kevin Ray Williamson, has been arraigned on federal armed bank robbery charges relating to a series of bank robberies that began on February 4, 2016, and continued until September 8, 2016. Williamson was indicted by a federal grand jury on October 25, 2016.
“Williamson is alleged to have committed a series of armed bank robberies that kept bank employees and citizens on edge for over eight months,” said U. S. Attorney John Horn. “The arrest and indictment in this case put an end to an active, eight-month crime spree, and hopefully returned a sense of safety to the community in Marietta, where most of the robberies occurred.”
“The FBI is proud of the outstanding work of its many agents, task force officers, and analytical personnel in getting the person believed to be responsible for these armed serial bank robberies identified and safely apprehended. These robberies were particularly egregious in that many of the victim tellers had to endure having a handgun pointed directly at them. The FBI will continue to make those who bring this type of violent crime into our communities a priority matter,” said George Crouch, Acting Special Agent in Charge, FBI Atlanta Field Office.
According to U.S. Attorney Horn, the charges, and other information presented in court: On February 4, 2016, Williamson entered a Fifth Third Bank located in Marietta, Georgia. Williamson is alleged to have pointed a handgun at a bank teller and demanded money from her cash drawer. Bank surveillance video captured the robbery and showed Williamson carrying a messenger/computer type bag in which the demanded U.S. currency was placed.
- On April 1, 2016, Williamson is alleged to have entered a Regions Bank in Marietta, Georgia, while armed with a handgun. Williamson approached the bank’s counter and pointed his handgun at the teller, opened his messenger bag and demanded cash. The teller complied with Williamson’s demands and handed cash to him.
- The surveillance photographs from the bank security system show that the person who robbed the Regions Bank was the same person who robbed the Fifth Third Bank in February, 2016.
- On May 25, 2016, Williamson is alleged to have entered a BB&T Bank in Marietta, Georgia. Williamson approached a bank teller, displayed a black handgun, and demanded cash. The teller complied with the robber’s demands and gave cash to Williamson. This robbery was also captured on surveillance video.
- On July 13, 2016, Williamson is alleged to have entered a PNC Bank in Marietta, Georgia. Bank surveillance images show that as in the other robberies, Williamson was carrying a messenger/computer type bag and approached a bank teller, opened the bag and pointed a black handgun. The teller complied with Williamson’s demands and gave him cash.
- On August 22, 2016, Williamson is alleged to have entered Fidelity Bank located in Atlanta, Georgia. Inside the bank, the robber pointed a gun at a teller, stated that he was robbing the bank and demanded money. The teller complied and gave Williamson cash.
- On September 8, 2016, Williamson is alleged to have entered Renasant Bank located in Johns Creek, Georgia. He displayed a handgun and demanded money from several drawers.
Kevin Ray Williamson, 51, of Marietta, Georgia, was arraigned before U.S. Magistrate Judge Janet F. King on October 26, 2016. Williamson was indicted by a federal grand jury on October 25, 2016.
Members of the public are reminded that the indictment only contains charges. The defendant is presumed innocent of the charges and it will be the government’s burden to prove the defendant’s guilt beyond a reasonable doubt at trial.
This case is being investigated by the Federal Bureau of Investigation.
Assistant United States Attorney Suzette A. Smikle is prosecuting the case.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Macclenny Man Sentenced to Seven Years in Federal Prison on Drug and Firearms ChargesRead the Press Release
Jacksonville, Florida – U.S. District Judge Brian J. Davis yesterday sentenced Kevin Allen Rose (30, Macclenny) to seven years in federal prison for selling marijuana and possessing a firearm as a convicted felon. He pleaded guilty to all charges on July 13, 2016.
According to court documents, on multiple occasions, Rose sold marijuana at his home in Macclenny, Florida to a confidential informant. During the sales, he bragged about his ownership of firearms. During one sale, Rose directed a child in the home to assist him. When law enforcement officers executed a search warrant at the residence, they discovered a loaded semi-automatic handgun and over 100 rounds of ammunition. Rose is prohibited from possessing a firearm or ammunition under federal law because of his multiple, prior felony convictions.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives, and the Baker County Sheriff’s Office. It was prosecuted by Assistant United States Attorney Michael J. Coolican.
This is another case prosecuted as a part of the Department of Justice’s “Project Safe Neighborhoods” Program - a nationwide, gun-violence reduction strategy. United States Attorney A. Lee Bentley, III, along with Daryl R. McCrary, Special Agent in Charge, ATF, is coordinating the Project Safe Neighborhoods effort here in the Middle District of Florida in cooperation with federal, state, and local law enforcement officials.