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Thursday 13 October 2016
Florida Man Pleads Guilty to Transporting an AlienRead the Press Release
ALBANY, NEW YORK – Samar Kassim Amin, age 31, of Deltona, Florida, pled guilty today to transporting an alien unlawfully present in the United States.
The announcement was made by U.S. Attorney Richard S. Hartunian and U.S. Border Patrol Chief Patrol Agent John C. Pfeifer.
Amin admitted that on November 8, 2015, in Champlain, New York, he picked up a Canadian citizen who had just run into the United States from Canada, and drove him until they reached Interstate 87, where Amin was stopped by U.S. Border Patrol agents. Amin admitted that he intended to transport the Canadian citizen, whom he had met at a wedding in Canada the night before, to Florida.
Amin faces up to 5 years in prison, a fine of up to $250,000, and a term of post-imprisonment supervised release of up to 3 years when he is sentenced on February 8, 2016 by Chief U.S. District Judge Glenn T. Suddaby. A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines, and other factors.
This case was investigated by the U.S. Border Patrol and is being prosecuted by Assistant U.S. Attorney Douglas Collyer.
Five Southern Illinois Residents Charged with Methamphetamine OffenseRead the Press Release
Five southern Illinois residents were indicted on October 4, 2016, for a methamphetamine offense, the United States Attorney for the Southern District of Illinois, Donald S. Boyce, announced today.
Amber L. Williams, 23, of Percy, Justin M. Rice, 26, of Willisville, Taylor C. Robertson, 20, of Campbell Hill, Bradley M.D. Miller, 28, of Cutler, Brandon A. Rice-Edwards, a/k/a "Brandon Rice," 22, of Zeigler, and Robert J. Smith, Jr., 48, of Tilden, were charged in a one-count superseding indictment, charging conspiracy to distribute methamphetamine. The superseding indictment alleges that the methamphetamine offense occurred between 2014 and September 2016, in Perry, Randolph, St. Clair, and Franklin Counties. Miller and Smith made their initial appearances in federal court on October 13, 2016. The other co-defendants have previously made court appearances on the federal charge. The co-defendants are currently being held without bond pending a December 12, 2016, jury trial.
An indictment is a formal charge against a defendant. Under the law, a defendant is presumed to be innocent of a charge until proved guilty beyond a reasonable doubt to the satisfaction of a jury.
If convicted, the methamphetamine offense carries a maximum penalty of up to 20 years imprisonment, to be followed by 3 years supervised release, and a $1,000,000 fine.
The ongoing investigation is being conducted by the Randolph County Sheriff’s Office, Jackson County Sheriff’s Office, Perry County Sheriff’s Office, Percy Police Department, Steeleville Police Department, Illinois State Police, Sparta Police Department and Southern Illinois Drug Task Force. The Randolph County States Attorney’s Offices also assisted in the investigation.
Fifteen Charged in White Plains Federal Court with Using Front Music Company to Engage in Cocaine TraffickingRead the Press Release
Preet Bharara, the United States Attorney for the Southern District of New York, William F. Sweeney Jr., Assistant Director-in-Charge of the New York Division of the Federal Bureau of Investigation (“FBI”), George P. Beach II, the Superintendent of the New York State Police (“NYSP”), Adrian H. Anderson, Sheriff of Dutchess County, and Thomas Pape,
Acting Chief of City of Poughkeepsie Police Department, today announced the unsealing of an indictment and a complaint charging 15 defendants with allegedly engaging in the distribution of cocaine throughout southern and central New York. Twelve defendants were taken into custody today, and will be presented in White Plains federal court this afternoon before U.S. Magistrate Judge Paul E. Davison. MALCOLM KINYON was previously arrested on the complaint, and DAVION McADAMS and ANTON MILLER remain at large.
U.S. Attorney Preet Bharara said: “The defendants charged today allegedly used a music company, ‘Outta They League,’ as a front to run their drug trafficking business. These arrests take ‘Outta They League’ out of the business of drugs and violence. We thank the FBI, the New York State Police, the U.S. Attorney’s Office for the Northern District of New York, and our many local law enforcement partners for their extraordinary partnership on this case.”
FBI Assistant Director-in-Charge William F. Sweeney said: “The average drug dealer can’t peddle his wares on the street anymore without someone seeing it, so they’ve found ways to hide their drugs and money using legitimate businesses. The one thing this group of defendants allegedly didn’t take into consideration, bank accounts don’t lie. The bad guys may think they’re being smarter than law enforcement, but our Hudson Valley Safe Streets Task Force is made up of investigators and detectives who are skilled at finding all methods of criminals hiding their crimes.”
NYSP Superintendent George P. Beach II said: “This investigation and the charges brought today against these 15 individuals are evidence of the commitment we share with our law enforcement partners in keeping dangerous drugs off our streets. I commend the members of our Special Investigations Unit, the FBI and the U.S. Attorney’s Office for their outstanding efforts to shut down this dangerous drug trafficking operation.”
Dutchess County Sheriff Adrian H. Anderson said: “Today was a great victory for law enforcement in Dutchess County and elsewhere by the taking of these allegedly dangerous individuals off of our streets. This country faces an ongoing drug epidemic, and being able to contribute towards ending that epidemic by helping remove some of those allegedly responsible is very gratifying. This is a perfect example of what can be achieved when Federal, State, and local law enforcement work together and I look forward to doing so again in the future.”
City of Poughkeepsie Acting Police Chief Thomas Pape said: “We are grateful for the coordinated efforts of our partners in law enforcement in bringing a successful indictment against these individuals. Mr. Bharara has once again shown that criminal activity will not be tolerated and that he will successfully coordinate efforts between federal, State and local law enforcement agencies to arrest and prosecute those responsible for crimes committed in our communities.”
As alleged in the Indictment and Complaint unsealed today in White Plains federal court[1]:
“Outta They League,” or “OTL,” is a registered corporation that has engaged in the production of music, but in recent years has served primarily as a front used by its owner, MALCOLM KINYON, a/k/a “M.A.,” to facilitate wholesale cocaine transactions, and help launder the proceeds of those drug sales.
Those drug sales were made by KINYON and his associates, members of a criminal drug-trafficking organization that also called itself OTL. Each month, OTL distributed multiple kilograms of cocaine in and around Poughkeepsie, New York, and to other locations in southern and central New York. Individual OTL members and associates, including BRIAN BOWMAN, a/k/a “Pony,” AARON HARDY, ANDREW HARDY, NICHOLAS LEYVA, a/k/a “Stay High,” a/k/a “Stay,” DAVION McADAM, a/k/a “Goat,” DANTE McNAIR, a/k/a “Tay,” JAQUAN McNAIR, a/k/a “Quannie,” a/k/a “Drugs,” ANTON MILLER, a/k/a “Anton Singleton,” a/k/a “Nord,” DANIEL SPOTARDS, a/k/a “D,” VAUGHN STOKES, a/k/a “Qua,” and BRYAN WHITTLE, a/k/a “B,” a/k/a “Tall B,” obtained wholesale quantities of this cocaine typically on a consignment basis from OTL’s leader, KINYON. These cocaine distributors would resell the cocaine they obtained from KINYON, and use the bulk of the proceeds from those sales to pay KINYON for the cocaine KINYON provided. KINYON would then reinvest those proceeds in further supplies of cocaine, which he would again provide to the other OTL members and associates.
Despite the negligible amounts of income derived from music, a bank account maintained by OTL received in excess of one million dollars from between in or around June 2013 through in or around January 2016. Most of the funds that passed through that account represented proceeds of narcotics transactions that were ultimately used to facilitate the purchase of additional quantities of cocaine for additional narcotics transactions. Numerous OTL members and associates, including MALCOLM KINYON, a/k/a “M.A.,” ERIC ANTONMARCHI, a/k/a “Powerful,” a/k/a “P,” STAR BERMUDEZ, DERRICK ENSLEY, a/k/a “Dirk,” ANTON MILLER, a/k/a “Anton Singleton,” a/k/a “Nord,” and DANIEL SPOTARDS, a/k/a “D,” have made large cash deposits to the OTL Account.
In addition to trafficking narcotics, the OTL organization maintained discipline through the threatened use of violence. OTL members and associates have been recorded discussing the use of violence, including the use of firearms and physical assaults, to ensure repayment for drug debts and to deter co-conspirators from providing information to law enforcement, among other purposes. OTL’s leader, KINYON, is further charged with trafficking firearms purchased in Virginia and trafficked to New York for resale to OTL members and associates.
* * *
These arrests were coordinated with an investigation in the Northern District of New York, targeting Bloods gang members operating in and around Kingston, New York. As a result of that investigation, 31 defendants were indicted for narcotics and other charges in five indictments also unsealed today in Albany federal court. Many of these defendants were trafficking in cocaine and other drugs obtained from OTL.
A chart containing the names of the defendants who were arrested today, and the charges and maximum penalties they face, is attached.
The statutory maximum sentences are prescribed by Congress and are provided here for informational purposes only, as any sentencings of the defendants will be determined by the Court.
Mr. Bharara praised the outstanding investigative work of the Federal Bureau of Investigation, the New York State Police, the Dutchess County Sheriff’s Office, and the City of Poughkeepsie Police Department. He further thanked the United States Attorney’s Office for the Northern District of New York, the Department of Homeland Security, and the Ulster Regional Gang Enforcement Narcotics Team for their cooperation and assistance in this investigation.
The prosecution is being handled by the Office’s White Plains Division. Assistant U.S. Attorneys Benjamin Allee, Hagan Scotten, and Christopher Clore are in charge of the prosecution.
The charges contained in the Complaint and the Indictment are merely accusations, and the defendants are presumed innocent unless and until proven guilty.
CHARGE(S)
DEFENDANTS
MAXIMUM PENALTIES
Narcotics conspiracy
(Conspiracy to distribute and possess with intent to distribute five kilograms or more of cocaine.)
MALCOLM KINYON
ERIC ANTONMARCHI
STAR BERMUDEZ
BRIAN BOWMAN
DERRICK ENSLEY
AARON HARDY
ANDREW HARDY
NICHOLAS LEYVA
DAVION McADAM
DANTE McNAIR
JAQUAN McNAIR
ANTON MILLER,
DANIEL SPOTARDS
VAUGHN STOKES
BRYAN WHITTLE
Life in prison
Mandatory minimum: 10 years in prison
Conspiracy to Commit Money Laundering
MALCOLM KINYON
ERIC ANTONMARCHI
STAR BERMUDEZ
BRIAN BOWMAN
DERRICK ENSLEY
AARON HARDY
ANDREW HARDY
NICHOLAS LEYVA
DAVION McADAM
DANTE McNAIR
ANTON MILLER
DANIEL SPOTARDS
VAUGHN STOKES
BRYAN WHITTLE
20 years in prison
Firearms Trafficking
MALCOLM KINYON
10 years in prison
[1] As the introductory phrase signifies, the entirety of the text of the Indictment and the Complaint, and the description of the Indictment and the Complaint set forth herein, constitute only allegations, and every fact described should be treated as an allegation.
Euclid man charged with distributing heroinRead the Press Release
A Euclid man was indicted in federal court for distributing heroin, said U.S. Attorney Carole S. Rendon.
Mario Mattox, 38, had more than 123 grams of heroin on Sept. 13, according to the indictment
This case is being prosecuted by Assistant U.S. Attorney Margaret Sweeney following an investigation by the Euclid Police Department.
If convicted, the defendants’ sentences will be determined by the court after a review of the federal sentencing guidelines and factors unique to the case, including the defendant’s prior criminal record (if any), the defendant’s role in the offense and the characteristics of the violation.
An indictment is only a charge and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
Clinton Township Trustee Arrested and Charged for Demanding and Taking BribesRead the Press Release
An elected Trustee of Clinton Township was arrested by the agents of the Federal Bureau of Investigation (FBI) today based on a criminal complaint charging him with demanding and taking bribes in exchange for his vote on municipal contracts, United States Attorney Barbara McQuade announced.
McQuade was joined in the announcement by FBI Special Agent in Charge David P. Gelios and Manny J. Muriel, Special Agent in Charge, Internal Revenue Service-Criminal Investigation, Detroit Field Office.
Dean Reynolds, 49, of Clinton Township, is charged with engaging in a pattern of corrupt activity, including demanding and accepting money and other things of value, in exchange for official acts as a Trustee. Reynolds’ arrest is part of an ongoing and long-running investigation into systemic corruption in multiple municipalities in southeast Michigan, primarily Macomb County. The investigation has employed telephone wiretaps, consensual audio and video recordings by cooperative individuals, undercover operations, physical surveillance, telephone tracking warrants, and subpoenas of financial records and other documents.
The complaint charges that since approximately 2012, Reynolds accepted multiple bribes from the representative of a company that was seeking and that secured a significant contract with Clinton Township. In total, Reynolds accepted between $50,000 to $70,000 in cash from the company’s representative. In addition, Reynolds accepted an additional $17,000 in cash payments from an undercover agent of the FBI, with the payments being video recorded. In exchange for the money from the company representative, Reynolds sold his vote on the Board of Trustees in favor of the company’s contract, and Reynolds provided information about the votes of other Trustees.
“Corruption undermines the very nature of representative government, said U.S. Attorney McQuade. “Law enforcement is committed to seeking out and prosecuting corrupt public officials in all areas of the Eastern District, including suburban communities.”
“Today’s arrest should serve as a reminder to the public of the FBI's longstanding record of successful public corruption investigations in the Detroit Metropolitan area”, said, David P. Gelios, Special Agent in Charge, Federal Bureau of Investigation. “Betrayal of the public trust for personal gain will always be an investigative priority of the FBI and our partners in Michigan”.
This investigation is being conducted by the FBI Detroit Area Corruption Task Force, a multiagency task force led by the FBI Detroit Division and comprised of the Internal Revenue Service – Criminal Investigation Division, Michigan State Police, Michigan Attorney General’s Office, and several other local and federal law enforcement agencies. It is being prosecuted by Assistant United States Attorneys R. Michael Bullotta and David A. Gardey.
Upon conviction for a violation of Title 18, United States Code, Section 666, federal program bribery, Reynolds faces a maximum of ten years in prison and a fine of up to $250,000.
A complaint is only a charge and is not evidence of guilt. Trial cannot be held on felony charges in a complaint. When the investigation is completed a determination will be made whether to seek a felony indictment.
Reynolds will be in federal court this afternoon at 1pm for his initial appearance on the criminal complaint.
The FBI requests that anyone having information regarding public officials accepting bribes is encouraged to contact the Detroit Division of the FBI at 313-965-2222.
Cleveland man faces firearms chargesRead the Press Release
A Cleveland man was indicted for being a felon in possession of two firearms and ammunition, said Carole S. Rendon, United States Attorney for the Northern District of Ohio.
Lenelle Gray, 36, possessed an Imbel, .45 caliber pistol, a Mauser .32 caliber pistol, and ammunition on Sept. 8, after having been previously convicted of three felony drug trafficking offenses in the U.S. District Court, Northern District of Ohio, in 2005, according to the indictment.
The Bureau of Alcohol, Tobacco, Firearms, and Explosives conducted the investigation. The case is being prosecuted by Assistant United States Attorney Ranya Elzein.
If convicted, the court will determine the defendant’s sentence after a review of factors unique to this case, including the defendant’s prior criminal record, if any, the defendant’s role in the offense, and the characteristics of the violation. In all cases, the sentence will not exceed the statutory maximum and, in most cases, it will be less than the maximum.
An indictment is only a charge and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government's burden to prove guilt beyond a reasonable doubt.
Chinese nationals sent to prison for two years for stealing $1.5 million from GoodyearRead the Press Release
Two Chinese nationals were each sentenced to more than two years in prison for defrauding Goodyear Tire & Rubber Company out of $1.5 million, said U.S. Attorney Carole S. Rendon and Stephen D. Anthony, Special Agent in Charge of the FBI's Cleveland office.
Xin Franco Fan and Rex Xu Yu both pleaded guilty earlier this year to conspiracy to commit wire fraud and honest services wire fraud. Both were sentenced to 27 months in prison and ordered to pay $1.5 million in restitution.
Fan and Yu will be deported upon their release.
Both men were employees of Goodyear Orient Company (Private) Limited, or GOCPL, a subsidiary of Goodyear, located in Singapore and with offices in China. GOCPL manages all of the natural rubber purchasing, delivery, financing and quality certifications for Goodyear’s global operations. Goodyear, through GOCPL, spends approximately $1 billion annually to acquire natural rubber for its operations. Fan was Yu’s manager, according to court documents.
Fan, Yu and others incorporated or caused to be incorporated overseas shell companies in which they held a financial interest. Fan, Yu and others caused Goodyear to purchase natural rubber from these shell companies. They also required Goodyear suppliers to use loading companies in which they had a financial interest. This took place between 2013 and 2016, according to court documents
“These two defendants deserve their prison sentences after stealing $1.5 million,” Rendon said. “Goodyear is to be commended for promptly reaching out to law enforcement when they uncovered this scheme. Because of the company’s quick action, these men were brought to justice.”
“The FBI is responsible for protecting the public’s interest in American companies by aggressively pursuing and bringing to justice those who unjustly profit from American ingenuity by stealing secrets,” said Stephen D. Anthony, Special Agent in Charge, FBI, Northern District of Ohio.
As a condition of their employment, Fan and Yu were obligated to act in the best interests of Goodyear when purchasing natural rubber. In 2015, Goodyear received an anonymous tip that Fan and Yu were receiving kickback payments in connection with GOCPL’s raw materials purchases. With the cooperation of Goodyear executives, an investigation into the matter led to Fan and Yu being arrested earlier this year and criminal charges being filed in federal court.
This case was prosecuted by Assistant U.S. Attorneys Rebecca Lutzko, Henry F. DeBaggis and James Morford following an investigation by the FBI.
Charleston felon pleads guilty to federal gun crimeRead the Press Release
CHARLESTON, W.Va. – A Charleston man pleaded guilty today to a federal gun crime, announced United States Attorney Carol Casto. Miguel Quinones, 38, entered his guilty plea to being a felon in possession of a firearm.
On October 19, 2013, law enforcement executed a search warrant at a unit in a storage facility in Dunbar. Quinones admitted that he had rented the storage unit, and that law enforcement discovered a number of his belongings within the storage unit. Quinones also admitted that among the items law enforcement found were two firearms that belonged to him, a Harrington & Richardson 20 gauge shotgun and a Marlin, Model 120 Revelation Western Auto Supply Company .22 caliber rifle. Quinones was prohibited from possessing any firearm under federal law because of a 2000 felony conviction in Fayette County Circuit Court for second degree murder.
Quinones faces up to 10 years in federal prison when he is sentenced on January 5, 2017.
The Kanawha County Sheriff’s Department, the Bureau of Alcohol, Tobacco, Firearms and Explosives, and the United States Marshals Service conducted the investigation. Assistant United States Attorney Jennifer Rada Herrald is handling the prosecution. The plea hearing was held before United States District Judge Joseph R. Goodwin.
This case was brought as part of Project Safe Neighborhoods. Project Safe Neighborhoods is a nationwide commitment to reduce gun crime in the United States by networking existing local programs targeting gun crime.
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Chalmette Man Sentenced to 14 Years in Prison for Heroin DistributionRead the Press Release
U.S. Attorney Kenneth A. Polite announced that DAMIEN WILSON, age 35, of Chalmette, was sentenced today after previously pleading guilty to violations of the Federal Controlled Substances Act.
U.S. District Judge Carl J. Barbier sentenced WILSON to serve 168 months incarceration, to be followed by 10 years of supervised release, and a $ 100 special assessment.
According to court records, WILSON conspired with others known and unknown to possess with the intent to distribute and to distribute one kilogram or more of a mixture or substance containing a detectable amount of heroin, a Schedule I drug controlled substance. WILSON was caught on video during two heroin transactions with a confidential source. The government also developed evidence that WILSON was laundering his drug proceeds by purchasing dilapidated houses, renovating them, and selling them for a profit. The government is seizing the houses and/or proceeds from their sale, as well as two vehicles that contained secret compartments used to transport narcotics.
U.S. Attorney Polite praised the work of the Drug Enforcement Administration in investigating this matter. Assistant United States Attorney David Haller was in charge of the prosecution.
Caroline County Couple Pleads Guilty to Stealing over $265,700 in Social Security Disability BenefitsRead the Press Release
Baltimore, Maryland – Josephine D. Wright, and her husband, James B. Wright, both age 55, of Greensboro, Maryland, pleaded guilty to theft of government property arising from a scheme to steal over $265,700 in social security benefits. Josephine Wright pleaded guilty today and James Wright pleaded guilty on September 13, 2016.
The guilty pleas were announced by United States Attorney for the District of Maryland Rod J. Rosenstein and Special Agent in Charge Michael McGill of the Social Security Administration - Office of Inspector General, Philadelphia Field Division.
According to their guilty pleas, in 1993, James Wright applied for and began receiving Social Security Administration’s (SSA) disability benefits for himself and his children based on his inability to work due to a mental impairment and head injury. Josephine Wright was designated as his representative payee. As the representative payee Josephine Wright was responsible for everything related to benefits that her husband would do for himself, including reporting any changes which could affect his eligibility for benefits. As of 2014, Wright was receiving $1,202 per month, which was direct deposited into a bank account in Josephine Wright’s name. In yearly mailings from SSA the Wrights were notified of the requirement that they report any return to work by James, regardless of the amount of earnings.
No later than January 1998, James Wright began working as a commercial truck driver, hauling freight for various companies. Between January 1998 and October 2014, Wright worked approximately 40 to 60 hours per week, owned his own truck, and maintained a commercial driver’s license. In order to maintain his commercial driver’s license, Wright regularly submitted medical documents verifying that he was in good health and capable of working. The Wrights did not report James Wright’s work to SSA.
In order to prevent SSA from discovering James Wright’s work activity, the Wrights formed a company in Josephine Wright’s name. James Wright’s paychecks were issued to the company and deposited in the company bank account. In 2011, SSA attempted to assess an overpayment to Wright’s record based on the company’s earnings, but Josephine Wright falsely reported that the earnings were not James Wright’s, but were paid solely to the company for other services. On several occasions, including in March 2014, SSA received a work activity report from Wright requesting updated information about his work activity. The form was completed by James Wright, and had hand written across the page “DID NOT FIND A JOB. NOT WORKING AT THIS TIME.” At the bottom of the page, Wright wrote, “NOT ABLE TO WORK!” and “NOT ABLE TO DRIVE, TAKE CARE OF MONEY, COOK, CLEAN, OTHER DAY TO DAY LIFE.” The form was signed by Josephine Wright.
Had SSA been aware of James Wright’s work activity and earnings, he would not have been qualified to receive the $265,746.60, in disability benefits SSA paid to Josephine Wright between January 1998 and October 2014.
As part of their plea agreements, the Wrights have agreed to the entry of a restitution order of $265,746.40.
Josephine Wright faces a maximum sentence of 10 years in prison for theft of government property. U.S. District Judge J. Frederick Motz has scheduled sentencing for December 21, 2016 at 9:30 a.m.
James Wright and the government have agreed that if the Court accepts the plea agreement he will be sentenced to 18 months in prison. Judge Motz has scheduled James Wright’s sentencing for December 2, 2016 at 11:00 a.m.
United States Attorney Rod J. Rosenstein commended the Social Security Administration - Office of Inspector General for its work in the investigation and thanked Special Assistant U.S. Attorney Lauren E. Perry, who is prosecuting the case.
California Man Sentenced for Role in Drug and Money Laundering ConspiracyRead the Press Release
Anchorage, Alaska – U.S. Attorney Karen L. Loeffler announced that Robert Craggs was sentenced yesterday to 57 months in prison, followed by three years of supervised release. Craggs pleaded guilty on May 27, 2016, to conspiracy to distribute methamphetamine and heroin and conspiracy to launder money. Craggs’ co-conspirators were previously sentenced.
According to court documents, Craggs has a long history of violating the laws related to illegal drug possession, trafficking, and money laundering. Sometime between January 2013 and July 2014, Craggs entered into an agreement with Joseph Cecil to distribute methamphetamine and heroin throughout Alaska. Cecil, a long time drug trafficker, orchestrated a system wherein drugs were sent to Alaska from California. Craggs himself then took possession of these drugs with the intent to distribute them in Alaska communities.
Furthermore, Craggs conspired with Cecil to launder the proceeds of the drug sales in an attempt to conceal and disguise the nature, source, ownership, and control of the funds. Craggs and Stacy Johnson laundered money for Cecil knowing that the money represented the proceeds of drug sales. Craggs agreed with Cecil to use a series of bank accounts to move money made from the sale of heroin and methamphetamine. Proceeds were deposited in Alaska and withdrawn in California. In other instances, Cecil instructed Craggs and Johnson to send drug sale proceeds via Western Union and Money Gram wire transfers. This money laundering activity further supported the distribution of heroin and methamphetamine in Alaska.
Documents presented to the court noted, in part, “that methamphetamine and heroin trafficking is the latest form of the scourge that is drug trafficking. Both substances destroy lives. The social and moral condemnation associated with this crime is readily apparent. Drug trafficking has no socially redeeming quality. It is a crime that deserves the most severe form of social condemnation.”
The following co-conspirators have been sentenced as part of these efforts:
- Joseph Cecil, aka “Kevin Dupree,” previously sentenced to 10 years in prison for conspiracy to distribute methamphetamine and heroin, and conspiracy to launder money;
- Stacy Johnson, previously sentenced to 30 months in prison for conspiracy to launder money;
- Paul Robson, previously sentenced to 63 months in prison for distribution of methamphetamine;
- Jennifer Henry, previously sentenced to 60 months in prison for distribution of methamphetamine; and
- Shawn Seaman, previously sentenced to 57 months in prison for being a felon in possession of a firearm.
The case was prosecuted by Assistant U.S. Attorney Stephan Collins, Lead Organized Crime and Drug Enforcement Task Force Attorney for the District of Alaska. The case was investigated by the Organized Crime Drug Enforcement Task Force which includes the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), the Internal Revenue Service Criminal Investigation (IRS-CI), and Homeland Security Investigations (HSI).
California Man Pleads Guilty to Obtaining Prescription Drugs by FraudRead the Press Release
BOISE – Jalin Russell-Halfacre, 22, of Sacramento, California, entered a guilty plea yesterday to the charge of obtaining controlled substances by fraud, U.S. Attorney Wendy J. Olson announced. Russell-Halfacre was indicted by a federal grand jury on April 12, 2016.
According to information presented in court, Russell-Halfacre traveled to Boise, Idaho in February 2015 and used fraudulent prescriptions to illegally obtain Phenergan with codeine, a schedule V controlled substance. Police officers followed Russell-Halfacre and another co-defendant, Breya Green, as they traveled to multiple pharmacies to obtain the controlled substances. When police officers contacted the doctor that purportedly authorized the prescriptions, the doctor confirmed that he did not authorize the prescriptions and they were fraudulent. Officers also found blank prescription paper and communications showing the codeine cough syrup was being sold to others.
The charge of obtaining controlled substances by fraud is punishable by up to four years in prison, a maximum fine of $250,000, and one year of supervised release. Russell-Halfacre is scheduled for sentencing on January 10, 2017, before Chief U.S. District Judge B. Lynn Winmill at the federal courthouse in Boise.
The three other codefendants charged with committing this crime with Russell-Halfacre are set for trial on October 31, 2016: Breya Green, 22, from Sacramento, California, Torrie Garrett, 23, and Jazmine Lockhart, 22, both from Las Vegas, Nevada.
The case was investigated by the Ada County Sheriff’s Office and the Drug Enforcement Administration.
CFO of Berlin, New Hampshire Business Sentenced in Multi-Million Dollar Bank Fraud CaseRead the Press Release
The Office of the United States Attorney for the District of Vermont stated that Steven D. Griffin, 59, of Berlin, New Hampshire, was sentenced by Chief Judge Christina Reiss yesterday based on his conviction for making a false statement to a financial institution. Chief Judge Reiss sentenced Griffin to 24 months of home confinement as part of a five-year term of supervised release. The court also sentenced Griffin to pay $500,000 in restitution.
As part of the sentencing, Griffin admitted to submitting or causing to be submitted inflated figures for assets of Isaacson Structural Steel, Inc., including inventory, to Passumpsic Savings Bank, and other banks participating in loans totaling over $12 million, including a $2 million loan guaranteed by the Small Business Administration in late 2010. Griffin was part owner and Vice President and CFO of ISSI, which before its bankruptcy was one of the largest businesses in the North Country. ISSI fabricated steel used in commercial construction. It entered into construction contracts to provide not only the steel for commercial buildings but also to provide subcontractor services, principally the erection of the steel. ISSI purchased steel and fabricated the various pieces of steel needed for each contract at its Berlin, New Hampshire location and then shipped the steel to building sites. Early last year, ISSI’s CEO Arnold Hanson pleaded guilty to conspiring to submit false financial statements. Sentencing for Hanson is scheduled for November 23, 2016.
According to court records, between August 2007 and April 2011, ISSI officers regularly submitted false and inflated figures to the banks regarding the value of ISSI’s assets. ISSI submitted these false statements about assets in borrowing base certificates and financial statements. ISSI regularly inflated its assets by a million dollars or more. For example, in August 2007, ISSI officers discussed, and then submitted to the bank, inflated figures for the amount of money owed to ISSI for work done in connection with 303 Third St., a construction project in Boston. In early 2011, officers participated in the submission of ISSI’s draft financial statement for the financial year 2010, which contained significant overstatements about ISSI’s inventory. That financial statement had an inventory representation of approximately $12 million dollars. In fact, the value of the inventory was less than $2 million. Inventory was thus inflated by over $10 million. In April 2011, the banks learned about issues with ISSI’s inventory figures. By June 2011, ISSI was in bankruptcy, and its assets were later liquidated. In the end, the banks lost millions of dollars as a result of the fraud.
At the sentencing hearing, Griffin asked the Court to sentence him below the advisory sentencing guideline range of 51 to 63 months in jail in light of his community service and severe physical illnesses. Chief Judge Reiss agreed that in light of a variety of factors, including Griffin’s health, a jail sentence should not be imposed. The Court imposed a limit on Griffin’s freedom by imposing a lengthy period of home confinement.
The United States is represented in this matter by Assistant U.S. Attorneys Paul Van de Graaf and Timothy Doherty. Hanson is represented by George Ostler, Esq. The investigation, which is ongoing, is being conducted by the Federal Bureau of Investigation, the Office of Inspector General for the Federal Deposit Insurance Corp., and the Office of Inspector for the Small Business Administration.
Brothers indicted for selling heroin and fentanyl; sales continued after overdose deathRead the Press Release
Two brothers were indicted for conspiring to bring large amounts of heroin and fentanyl to Northeast Ohio from Connecticut, said U.S. Attorney Carole S. Rendon and Stephen D. Anthony, Special Agent in Charge of the FBI’s Cleveland Office.
The six-count indictment charges Mizraim Vega, 27, of South Euclid, and Abimelec Vega, 25, of Cleveland, with conspiracy to possess with intent to distribute heroin, acetylfentanyl and fentanyl. It charges them with additional substantive counts of distribution of heroin, fentanyl and acetylfentanyl in August and September.
According to court documents, Abimelec Vega identified himself as a member of the Latin Kings gang and could obtain large shipments of heroin and fentanyl from another Latin King member.
According to court documents, the Vegas sold 80 grams of heroin for $8,000 on Aug. 26. Mizraim Vega said: “The one thing I’ll tell is to make sure to cut it (dilute the heroin). That stuff…you can’t send it to the street like that, it’s too strong. That stuff could kill someone, bro!”
On Sept. 3, Abimelec Vega informed a source that he was changing phones because someone had died from heroin or fentanyl he had sold, according to court documents.
This case is being prosecuted by Assistant U.S. Attorney Margaret Sweeney following an investigation by the FBI.
If convicted, the defendants’ sentences will be determined by the court after a review of the federal sentencing guidelines and factors unique to the case, including the defendant’s prior criminal record (if any), the defendant’s role in the offense and the characteristics of the violation.
An indictment is only a charge and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
Brooklyn Man Admits Participation in Stolen Identity Refund Fraud SchemeRead the Press Release
ERIE, Pa. – A resident of Brooklyn, New York pleaded guilty in federal court to a charge of conspiracy to commit wire fraud, United States Attorney David J. Hickton announced today.
Festus Owusu, 44, pleaded guilty to one count before United States District Judge David S. Cercone.
In connection with the guilty plea, the court was advised that Owusu allowed his bank accounts to be used as repositories for fraudulently obtained federal tax refunds. Owusu would then withdraw the refunds in cash, keep a portion for himself and provide the remainder of the funds to his co-conspirators.
Judge Cercone scheduled sentencing for February 6, 2017. The law provides for a maximum total sentence of 20 years in prison, a maximum fine of $250,000 or twice the amount of loss to the victims, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offense and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Christian A. Trabold is prosecuting this case on behalf of the government.
The Federal Bureau of Investigation and the Internal Revenue Service, Criminal Investigation conducted the investigation that led to the prosecution of Owusu.
Breinigsville Man Charged with Transportation and Possession of Child PornographyRead the Press Release
Keith Tostevin, 52, of Breinigsville, Pennslyvania was charged today by Information1 with the transportation and possession of child pornography, announced United States Attorney Zane David Memeger.
If convicted the defendant faces a maximum possible sentence of forty years imprisonment, a mandatory minimum five years imprisonment, a mandatory minimum five years supervised release up to lifetime supervised release, a $500,000 fine, a $200 special assessment, and an additional $5,000 special assessment.
The case was investigated by the Pennsylvania State Police and the Department of Homeland Security, Homeland Security Investigations and is being prosecuted by Assistant United States Attorney Sherri A. Stephan.
1An Indictment, Information or Criminal Complaint is an accusation. A defendant is presumed innocent unless and until proven guilty.
Boise Drug Dealer Sentenced to Federal PrisonRead the Press Release
BOISE – Quentin Craig Padilla, 32, of Boise, Idaho, was sentenced yesterday to 105 months in prison for distributing methamphetamine, U.S. Attorney Wendy J. Olson announced. Padilla’s sentence will run concurrent with a state sentence he is currently serving. Following his prison sentence, Padilla will be placed on five years of supervised release. Padilla was indicted by a federal grand jury on January 12, 2016 and entered his guilty plea on July 6, 2016.
On April 7, 2015, Padilla sold 31.9 grams of actual methamphetamine to a confidential human source. Three days later, Padilla was involved in a high speed chase with officers at speeds estimated at over 100 miles per hour after being pulled over for a traffic violation. Shortly after officers ended the pursuit, members of the public began contacting the police about abandoned firearms and ammunition around the community and in the vicinity of where Padilla had been driving. Several firearms including an AK-47 were recovered.
Padilla has had six prior felony convictions for crimes which include aggravated assault, possession of methamphetamine, eluding officers, and unlawfully possessing a weapon. He is a member of the South Side Clica gang and associated with other Sureno gangs including Brown Magic Clica, East Side Locos and Southside 13.
This case was investigated by the Treasure Valley Metro Violent Crime Task Force, Boise Police Department and Ada County Sheriff’s Office. The Treasure Valley Metro Violent Crime Task Force is comprised of federal, state and local agencies, including the Federal Bureau of Investigation; Bureau of Alcohol, Tobacco, Firearms and Explosives; Boise Police Department; Ada County Sheriff’s Office; Caldwell Police Department; Nampa Police Department; Meridian Police Department; Canyon County Sheriff’s Office; and Idaho Department of Probation and Parole.
The case was prosecuted by the Special Assistant U.S. Attorney hired by the Treasure Valley Partnership and the State of Idaho to address gang crimes. The Treasure Valley Partnership is comprised of a group of elected officials in southwest Idaho dedicated to regional coordination, cooperation, and collaboration on creating coherent regional growth. For more information, visit treasurevalleypartners.org.
Beatrice Woman Sentenced for Conspiracy to Distribute MethamphetamineRead the Press Release
United States Attorney, Deborah R. Gilg, announced that on October 13, 2016, Quirstin Marie Gross, 25, of Beatrice, was sentenced to nine years and two months (110 months) in prison for her role in a conspiracy to distribute and possess with the intent to distribute 50 grams or more of a substance containing methamphetamine between December of 2013 and October of 2015. Information provided to law enforcement indicated that Gross was responsible for the distribution of at least 500 grams (approximately 18 ounces) of methamphetamine during that time-period. Following the prison term, Gross will serve four years on supervised release.
This case was investigated by the Lincoln/Lancaster County Drug Task Force.
Bangor Man Charged with Enticement of A Minor and Related ChargesRead the Press Release
Matthew Simineri, age 21 of Bangor, Pennsylvania, was charged today by Indictment1 with one count of Enticement of a Minor to Engage in Illicit Sexual Conduct, four counts of Manufacturing Child Pornography, four counts of Receipt of Child Pornography, and one count of Transfer of Obscene Material to a Minor, announced United States Attorney Zane David Memeger. The charges arose out of the defendant’s online communications with a 9-year old autistic girl.
If convicted the defendant faces a maximum possible sentence of life imprisonment with a 15-year minimum mandatory term of incarceration, a $2,000,000 fine, 5 years up to a lifetime of supervised release, and a $2,000 special assessment.
The case was investigated by the Spokane County Sheriff’s Department in Washington, the Berks County District Attorney’s Office in Pennsylvania, and the Federal Bureau of Investigation, and is being prosecuted by Assistant United States Attorney Michelle Rotella.
1An Indictment, Information or Criminal Complaint is an accusation. A defendant is presumed innocent unless and until proven guilty.
Austin Man Sentenced to Federal Prison for Role in Fentanyl Related DeathsRead the Press Release
In Austin today, 27-year-old Austin resident Sylvester Orlowski was sentenced to 168 months in federal prison for his role in two deaths resulting from a fentanyl overdose in May of this year announced United States Attorney Richard L. Durbin, Jr., and Austin Police Chief Art Acevedo.
In addition to the prison term, United States District Judge Lee Yeakel ordered that Orlowski pay restitutions to the families of both victims to cover funeral expenses; and, be placed on supervised release for a period of five years after completing his prison term.
On August 10, 2016, Orlowski pleaded guilty to one count of possession with intent to distribute fentanyl causing death. By pleading guilty, Orlowski admitted that in May 2016, he sold Fentanyl in powder form to Zane Paduano. Paduano and Clayton Wimberley, subsequently overdosed after ingesting that Fentanyl. Fentanyl, a Schedule II Controlled Substance, is a narcotic analgesic used for pain control and anesthesia. In large or concentrated doses it suppresses the respiratory system and causes death.
On September 1, 2016, Orlowski’s Fentanyl source and co-defendant, 29–year-old Austin resident Albert C. Picazo, III, pleaded guilty to the same charge and is awaiting sentencing scheduled for 9:00am on November 17, 2016, before Judge Yeakel. Picazo, who has remained in custody since both defendants were arrested on May 18, 2016, faces up to life in federal prison.
This case was investigated by the Organized Crime Unit of the Austin Police Department. Assistant United States Attorney Mark Marshall is prosecuting this case on behalf of the Government.
Arizona Man Sentenced to Prison for Federal Heroin Trafficking Conviction in New MexicoRead the Press Release
ALBUQUERQUE – Rodolfo Rene Ley, 25, of Phoenix, Ariz., was sentenced this afternoon in federal court in Albuquerque, N.M., to 70 months in prison for his heroin trafficking conviction in New Mexico. Ley will be on supervised release for four years after he completes his prison sentence.
Ley was arrested at the Amtrak Train Station in Albuquerque on May 13, 2016, after the DEA found approximately one kilogram of heroin in three clear plastic wrapped bundles under Ley’s clothing during an interdiction investigation.
Ley was subsequently indicted on May 25, 2016, and charged with possession of heroin with intent to distribute on May 13, 2016, in Bernalillo County, N.M. On June 30, 2016, Ley pled guilty to the indictment. In his plea agreement, Ley admitted that he voluntarily consented to have a DEA agent search him at the Amtrak Train Station in Albuquerque on May 13, 2016. During the search, the agent discovered oblong bundles containing heroin in Ley’s jeans.
This case was investigated by the Albuquerque office of the DEA. Assistant U.S. Attorney Eva Fontanez prosecuted the 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.
Another Navy Officer Pleads Guilty in Expanding Bribery and Fraud InvestigationRead the Press Release
Assistant U.S. Attorneys Mark W. Pletcher (619) 546-9714 and Patrick Hovakimian (619) 546-9718
NEWS RELEASE SUMMARY – October 13, 2016
SAN DIEGO – U.S. Navy Lieutenant Commander Gentry Debord pleaded guilty to a bribery charge in federal court today, admitting that he accepted cash, luxury hotels and prostitutes from foreign defense contractor Leonard Glenn Francis in exchange for proprietary Navy information that benefitted Francis’ company, Glenn Defense Marine Asia.
Debord was so happy to receive lavish gifts that GDMA executives described him as “over the moon” and joked that Debord swallowed their bribes, “hook, line and sinker,” according to instant messages quoted in the plea agreement.
Debord also admitted that he instructed GDMA executives to inflate their invoices to the Navy to cover the cost of various illicit gifts provided to him.
“This conduct is a disgrace to the U.S. Navy and an affront to U.S. taxpayers who were left to foot the bill for parties and prostitutes,” said U.S. Attorney Laura Duffy. “We are pressing forward in this investigation until we are certain that all involved have been held accountable.”
The guilty plea was entered before U.S. Magistrate Judge Bernard G. Skomal, who set sentencing for January 13, 2017 at 9 a.m. before U.S. District Judge Janis L. Sammartino.
According to his plea agreement, from November 2007 to January 2013, Debord provided Francis and others with internal, proprietary U.S. Navy information; directed Francis and GDMA to inflate invoices to reflect services not rendered; advocated for the U.S. Navy to procure items from GDMA under its husbanding contracts; and otherwise used his position and influence in the U.S. Navy to advocate for and advance GDMA’s interests, as opportunities arose.
As part of this conspiracy, Debord, Francis and others attempted to conceal the nature and extent of their relationship, by, among other things, using fictitious email accounts to communicate and using coded language and other means designed to obfuscate the true nature of their corrupt relationship, including referring to prostitutes as “cheesecakes” and “bodyguards.”
For example, on or about February 26, 2008, Debord emailed a GDMA executive to ask him to provide the services of prostitutes during the U.S.S. Essex’s upcoming port visit to Manila, Philippines: “[D]ouble checking to see if I will have my security for the 2nd and the 4th. I however do not want anyone to know I have a bodyguard.” The executive responded: “Bodyguards are standing by.”
About eight months later, around October 30, 2008, Debord emailed GDMA executives advising them that the U.S. Navy’s ship husbanding contract in the Philippines was “coming up for renew[al],” and asking that GDMA provide him with an apartment in conjunction with an upcoming port visit by the U.S.S. Essex to Hong Kong. Debord noted that he and another GDMA employee “had fun up [near Clark Air Force Base,] ate lots of cheesecake, even ate some in a group session.”
On or about February 22, 2010, Debord asked a GDMA executive to provide him with three hotel rooms, two cell phones, a van and $2,000 Singapore dollars and instructed the executive to recover the value of these items by inflating the amount that GDMA would invoice the U.S. Navy for potable water and trash removal service for the U.S.S. Essex port visit to Singapore from February 22-25, 2009.
Francis approved the payment to Debord, and as instructed by Debord, GDMA fraudulently inflated its invoice to the U.S. Navy to account for the things of value given to Debord.
So far, a total of 16 named individual defendants have been charged in connection with the GDMA corruption and fraud investigation. Of those, 11 are current or former U.S. Navy officials, including Debord, Admiral Robert Gilbeau, believed to be the first active-duty U.S. Navy flag officer charged in a federal criminal case; Captain (ret.) Michael Brooks; Commander Bobby Pitts; Captain Daniel Dusek; Commander Michael Misiewicz; Lt. Commander Todd Malaki; Commander Jose Luis Sanchez; Petty Officer First Class Daniel Layug; Naval Criminal Investigative Service Supervisory Special Agent John Beliveau; and Paul Simpkins, a former DoD civilian employee, who oversaw contracting in Singapore.
Debord, Gilbeau, Dusek, Misiewicz, Malaki, Beliveau, Sanchez, Layug, and Simpkins have pleaded guilty. On Jan. 21, 2016, Layug was sentenced to 27 months in prison and a $15,000 fine; on Jan. 29, 2016, Malaki was sentenced to 40 months in prison and to pay $15,000 in restitution to the Navy and a $15,000 fine. On March 25, 2016, Dusek was sentenced to 46 months in prison and to pay $30,000 in restitution to the Navy and a $70,000 fine; and on April 29, 2016, Misiewicz was sentenced to 78 months in prison and to pay a fine of $100,000 and to pay $95,000 in restitution to the Navy. Beliveau is scheduled to be sentenced tomorrow; Gilbeau, Sanchez, and Simpkins also await sentencing.
Brooks and Pitts were charged in May 2016 and their cases are pending.
Also charged are five GDMA executives – Francis, Alex Wisidagama, Ed Aruffo and Neil Peterson and Linda Raja. Three have pleaded guilty; Wisidagama was sentenced on March 18, 2016 to 63 months and $34.8 million in restitution to the Navy. Francis and Aruffo await sentencing; Peterson’s and Raja’s cases are pending.
The Defense Criminal Investigative Service, Naval Criminal Investigative Service, and the Defense Contract Audit Agency are investigating. Assistant U.S. Attorneys Mark W. Pletcher and Patrick Hovakimian of the Southern District of California and Assistant Chief Brian R. Young of the Criminal Division’s Fraud Section are prosecuting the case.
Anyone with information relating to fraud or corruption should contact the NCIS anonymous tip line at www.ncis.navy.mil or the DOD Hotline at www.dodig.mil/hotline, or call (800) 424-9098.
DEFENDANT Case Number: 16cr1457
Lieutenant Commander Gentry Debord Age 41 San Diego
SUMMARY OF CHARGES
Conspiracy to Commit Bribery, in violation of 18 U.S.C. § 371
Maximum Penalty: 5 years in prison, a $250,000 fine,
INVESTIGATING AGENCIES
Defense Criminal Investigative Service
Naval Criminal Investigative Service
Defense Contract Audit Agency
Albuquerque Man Pleads Guilty to Federal Fraud and Theft ChargesRead the Press Release
ALBUQUERQUE – Jeremy L. Lara, 36, of Albuquerque, N.M., pled guilty today in federal court to federal fraud and theft charges under a plea agreement with the U.S. Attorney’s Office.
Lara was arrested in May 2016, on a criminal complaint charging him with theft of mail on May 19, 2016, in Sandoval County, N.M., after law enforcement officers allegedly found Lara in the process of stealing mail from a community mail box. According to the complaint, officers recovered a counterfeited USPS arrow key as well as stolen mail from inside Lara’s vehicle.
Lara was subsequently charged in a ten-count indictment on June 14, 2016. Lara was charged with the following: three counts of bank fraud and three counts of aggravated identity theft on Nov. 11, 2015, Nov. 13, 2015, and Nov. 15, 2015; two counts of possession of a counterfeit postal key on Dec. 19, 2015 and May 19, 2016; and three counts of theft or receipt of stolen mail on Dec. 21, 2015 and May 19, 2016. The indictment alleges that the crimes took place in Bernalillo and Sandoval Counties, N.M. The indictment includes forfeiture provisions requiring Lara to forfeit $4,870.28 to the United States.
During today’s proceedings, Lara pled guilty to all counts of the indictment. In entering the guilty plea, Lara admitted that he stole mail by using a counterfeit USPS arrow key that he created. Lara further admitted that he specifically sought out driver’s licenses, bank cards and other personal identifying information to access the bank accounts of legitimate card holders, and impersonated the account holders by using their bank cards and PIN numbers to withdraw cash from ATMs.
At sentencing, Lara faces a statutory maximum penalty of 30 years in prison as well as a mandatory penalty of two years in prison for the aggravated identity theft charge which must be served consecutive to any sentence imposed on the bank fraud charges. A sentencing hearing has yet to be scheduled.
This case was investigated by the U.S. Postal Inspection Service and the Rio Rancho Police Department. Assistant U.S. Attorney Nicholas Jon Ganjei is prosecuting the case.
Akron men indicted for distributing fentanylRead the Press Release
Two Akron men were indicted on charges of possession with intent to distribute fentanyl, said U.S. Attorney Carole S. Rendon.
Indicted are Brian L. Williams, 54, and Terrance L. Ford, 50
Akron Police Department Narcotics Unit Detectives along with Drug Enforcement Administration Task Force Officers executed a state search warrant at Williams and Ford’s residence in Akron on July 27, 2016 and recovered over 100 grams of a substance containing fentanyl along with several fentanyl patches, according to court documents.
The case is being prosecuted by Assistant United States Attorney Aaron P. Howell following an investigation by the Akron Police Department and the Drug Enforcement Administration.
If convicted, the defendants’ sentences will be determined by the court after a review of the federal sentencing guidelines and factors unique to the case, including the defendant’s prior criminal record (if any), the defendant’s role in the offense and the characteristics of the violation.
An indictment is only a charge and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
Akron man indicted for selling fentanyl that caused fatal overdoseRead the Press Release
An Akron man was indicted in federal court for selling fentanyl that caused a fatal overdose earlier this year, law enforcement officials said.
Steven D. Daniels, 31, was indicted on one count each of possession with intent to distribute fentanyl and distribution of fentanyl. The latter carries a sentencing enhancement because Daniels allegedly sold fentanyl that caused the fatal overdose of a person identified in the indictment as T.B. That took place on April 2 in Akron, according to the indictment.
This case is being prosecuted by Assistant U.S. Attorney Henry F. DeBaggis following an investigation by the Akron Police Department and Drug Enforcement Administration.
If convicted, the defendant’s sentence will be determined by the court after a review of the federal sentencing guidelines and factors unique to the case, including the defendant’s prior criminal record (if any), the defendant’s role in the offense and the characteristics of the violation.
An indictment is only a charge and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
Additional Individuals Charged for Their Roles in Operating “Pill Mills” in Knox and Loudon CountiesRead the Press Release
KNOXVILLE, Tenn. – On Oct. 4, 2016, a federal grand jury in Knoxville returned a 13-count superseding indictment against Sylvia Hofstetter, 52, of Knoxville, Tenn.; Richard Larson, 80, of Dandridge, Tenn.; Alan Pecorella, 67, of West Orange, N.J.; Theodore McCrary, 69, of Oak Ridge, Tenn.; Courtney Newman, 41, of Knoxville, Tenn.; and Cynthia Clemons, 44, of Knoxville, Tenn., for their roles in a conspiracy to distribute and dispense oxycodone, oxymorphone, and morphine outside the scope of professional practice and not for a legitimate medical purpose, maintenance of drug-involved premises, distribution of oxycodone resulting in death, and money laundering. Pecorella’s medical license was revoked in 2014 by the Tennessee Department of Health.
The superseding indictment on file with the U.S. District Court details the charges against each of the individuals referenced above. All are accused of being responsible for the distribution of a quantity of oxycodone, oxymorphone, and morphine sufficient to generate clinic revenue of at least $17.5M.
If convicted, those charged in the indictment could be imprisoned from 20 years to life and ordered to pay fines up to $1,000,000.
This superseding indictment is the result of an investigation by the FBI High Intensity Drug Trafficking Area (HIDTA), comprised of investigators assigned to the task force by the Loudon County Sheriff’s Office, Knoxville Police Department, Blount County Sheriff’s Office, Roane County Sheriff’s Office, Harriman Police Department, and Clinton Police Department. The Tennessee Department of Health and the Drug Enforcement Administration’s Knoxville Diversion Group also assisted in the investigation.
Assistant U.S. Attorneys Tracy L. Stone, Caryn Hebets, and Anne-Marie Svolto represent the United States in the prosecution of these cases.
Members of the public are reminded that an indictment constitutes only charges and that every person is presumed innocent until his or her guilt has been proven beyond a reasonable doubt.
The HIDTA program enhances and coordinates drug control efforts among local, state, and federal law enforcement agencies. The program provides agencies with coordination, equipment, technology, and additional resources to combat drug trafficking and its harmful consequences in critical regions of the United States. In the Eastern District of Tennessee, HIDTA funds DEA and FBI led drug task forces in Johnson City, Knoxville, and Chattanooga, as well other initiatives to reduce drug crime in the HIDTA. For more information please visit www.whitehouse.gov/ondcp/high-intensity-drug-trafficking-areas-program .
The investigation is also part of the Department of Justice’s Organized Crime and Drug Enforcement Task Force (OCDETF) program, the centerpiece of the Department of Justice’s drug supply reduction strategy. OCDETF was established in 1982 to conduct comprehensive, multi-level attacks on major drug trafficking and money laundering organizations. Today, OCDETF combines the resources and expertise of its member federal agencies in cooperation with state and local law enforcement. The principal mission of the OCDETF program is to identify, disrupt, and dismantle the most serious drug trafficking and money laundering organizations and those primarily responsible for the nation’s drug supply.
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Wednesday 12 October 2016
Wounded Knee Woman Sentenced for Dispensing Alcohol on the Pine Ridge Indian ReservationRead the Press Release
United States Attorney Randolph J. Seiler announced that a Wounded Knee, South Dakota, woman convicted of Dispensing of Intoxicants in Indian Country was sentenced on October 5, 2016, by Chief Judge Jeffrey L. Viken, U.S. District Court.
Leslie Little Moon-Boltz, age 22, was sentenced to 3 years of probation and ordered to pay a $25 special assessment to the Federal Crime Victims Fund.
Little Moon-Boltz was charged on June 17, 2014, and pleaded guilty on July 29, 2016. The conviction stems from Little Moon-Boltz having whiskey near Manderson on the Pine Ridge Indian Reservation.
This case was investigated by the Bureau of Indian Affairs Office of Justice Services and the Oglala Sioux Tribe Department of Public Safety. Assistant U.S. Attorney Sarah B. Collins prosecuted the case.
Williamson County Man Charged with Methamphetamine OffenseRead the Press Release
Marshall D. Rosenberger, 36, of Marion, was indicted on October 4, 2016, in a one-count indictment charging conspiracy to manufacture and distribute methamphetamine, United States Attorney for the Southern District of Illinois, Donald S. Boyce, announced today.
The indictment alleges that the offense occurred between October 2015 and July 13, 2016, in Jackson and Williamson Counties. Rosenberger made his initial appearance in federal court on October 7, 2016. He was ordered held without bond pending a December 12, 2016, jury trial.
An indictment is a formal charge against a defendant. Under the law, a defendant is presumed to be innocent of a charge until proved guilty beyond a reasonable doubt to the satisfaction of a jury.
The methamphetamine offense carries a maximum penalty of up to 20 years imprisonment, to be followed by 3 years supervised release, and a $1,000,000 fine.
The ongoing investigation is being conducted by the Jackson County Sheriff’s Office. The Carbondale Police Department and Southern Illinois Enforcement Group also assisted in the investigation.
West Haven Woman Sentenced to 6 Years in Prison for Distributing NarcoticsRead the Press Release
Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that DEBORAH MILLER, 60, of West Haven, was sentenced today by U.S. District Judge Vanessa L. Bryant in Hartford to 72 months of imprisonment, followed by five years of supervised release, for distributing narcotics.
According to court documents and statements made in court, at approximately 11:00 a.m. on July 4, 2015, an explosion took place on Wintergreen Avenue in Hamden. Responding law enforcement located a deceased white male, who had been wrapped in plastic garbage bag material and bound by rope material, in a wooded area close to where the explosion had occurred. An explosive-type device and debris were also located in close proximity to the body. The victim, who had also sustained three apparent gunshot wounds, was subsequently identified as Edward Brooks, 39, of West Haven.
After West Haven Police informed investigators that Brooks had been residing at 59 Front Avenue in West Haven, and that the residents of 59 Front Avenue, including MILLER, were subjects of an ongoing narcotics investigation, investigators executed a state narcotics search and seizure warrant at 59 Front Avenue and seized numerous items, including pipe bomb making materials that were consistent with the materials found at the Wintergreen Avenue explosion scene, approximately 16 grams of cocaine base (“crack cocaine), approximately 10.6 grams of methamphetamine and narcotics packaging material. Investigators also seized a surveillance DVR, which captured video surveillance from eight cameras placed around the residence.
The investigation revealed that between September 2014 and July 2015, MILLER and others conspired to distribute at least 1.6 kilograms of crack cocaine.
MILLER has been detained since her arrest on July 13, 2015. On April 25, 2016, she pleaded guilty to one count of conspiracy to distribute and to possess with intent to distribute cocaine base (“crack cocaine”).
This matter is being investigated by the Federal Bureau of Investigation, Drug Enforcement Administration, U.S. Postal Inspection Service, Connecticut State Police and West Haven Police Department. The case is being prosecuted by Assistant U.S. Attorneys Vanessa Richards, Stephen Reynolds and Jacabed Rodriguez-Coss. This investigation and prosecution is being coordinated with the State’s Attorney’s Office for the Judicial District of Ansonia-Milford.
Wellsville Man Pleads Guilty to Meth ChargeRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051Buffalo, N.Y. -- U.S. Attorney William J. Hochul, Jr. announced today that Lionel C. Carter, a/k/a Skip, 60, of Wellsville, NY, pleaded guilty before U.S. District Court Judge Richard J. Arcara to conspiracy to manufacture, possess with intent to distribute, and to distribute, 50 grams or more of a mixture and substance containing methamphetamine. The charge carries a minimum penalty of five years in prison and a maximum penalty of 20 years in prison and a $5,000,000 fine.
Assistant U.S. Attorney Brendan T. Cullinane, who is handling the case, stated that between January of 2011 and October of 2014, the defendant engaged in the practice of “smurfing” (buying small quantities) at local pharmacies to get around restrictions on purchasing products containing pseudoephedrine, an important chemical necessary in the process of manufacturing methamphetamine.
Carter is one of 12 defendants charged in a methamphetamine manufacturing conspiracy in Allegany County. He is the fourth defendant to be convicted. Charges are pending against the remaining eight defendants. The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
The conviction 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, the New York State Police Community Narcotics Enforcement Team (CNET), under the direction of Lieutenant Kevin Reyes and Major David Krause, and the Bureau of Alcohol, Tobacco, Firearms and Explosives, under the direction of Special Agent in Charge Delano A. Reid, New York Division, the Southern Tier Regional Drug Task Force, under the direction of Cattaraugus County Sheriff Timothy Whitcomb, the Wellsville Police Department, under the direction of Chief Timothy O’Grady, U.S. Border Patrol, under the direction of Patrol Agent in Charge Steven Oldman, and the New York State Department of Environmental Conservation, under the direction of Captain Frank Lauricella.
Sentencing is scheduled for February 10, 2016, before Judge Arcara.Washington State CPA Sentenced to Prison for Filing False Tax ReturnsRead the Press Release
Understated Gross Receipts by Approximately $1.8 Million
A Spokane, Washington certified public accountant was sentenced yesterday to 15 months in prison for making and subscribing false corporate income tax returns, announced Principal Deputy Assistant Attorney General Caroline D. Ciraolo, head of the Justice Department’s Tax Division, and U.S. Attorney Michael C. Ormsby for the Eastern District of Washington.
According to documents filed with the court, Roger Stadtmueller owned and operated Stadtmueller & Associates P.S., an accounting firm that offered accounting and consulting services, including income tax preparation, bookkeeping and financial auditing. Stadtmueller also owned Zazz, Inc., the corporate entity under which Stadtmueller & Associates P.S. conducted business. Stadtmueller willfully made and subscribed false and fraudulent corporate income tax returns for Zazz, Inc. for 2006, 2007 and 2008, which understated gross receipts by approximately $1.8 million.
“As a tax professional, Roger Stadtmueller was clearly aware of his legal obligation to honestly and accurately report corporate income, and willfully disregarded this obligation when he filed false corporate income tax returns,” said Principal Deputy Assistant Attorney General Ciraolo. “With yesterday’s sentence, Mr. Stadtmueller pays a substantial price for his criminal conduct. The department, together with its colleagues in the Internal Revenue Service (IRS) and other law enforcement partners, will continue to pursue and prosecute those who violate our nation’s tax laws.”
Stadtmueller pleaded guilty on July 26. In addition to the prison term, Stadtmueller was ordered to serve one year of supervised release and to pay restitution to the IRS in the amount of $400,000.
“It really is inconceivable that a CPA would cheat on his own corporate returns, but that is exactly what Roger Stadtmueller did,” said Special Agent in Charge Darrell Waldon of IRS-Criminal Investigation (CI). “Now the accountant is being held accountable. Accountants are known for their trustworthiness and integrity and IRS-CI exists to ensure that those qualities permeate our tax system. When someone violates those principles, and in so doing breaks the law, they will be brought to justice.”
Principal Deputy Assistant Attorney General Ciraolo and U.S. Attorney Ormsby commended special agents of IRS-CI, who conducted the investigation and Senior Litigation Counsel Corey J. Smith and Trial Attorneys Lisa L. Bellamy and Eric C. Schmale of the Tax Division, who prosecuted the case.
Additional information about the Tax Division and its enforcement efforts may be found on the division’s website.
United States Resolves Dispute with Doylestown Nursing Home over Access to Sign Language InterpretersRead the Press Release
PHILADELPHIA – Briarleaf Nursing and Convalescent, Inc., a skilled nursing facility in Doylestown, Pennsylvania, has entered into a settlement agreement with the United States to resolve an allegation that the facility violated the Americans with Disabilities Act.
The settlement arises out of a complaint that the United States received from the son of a deaf prospective resident who communicated using sign language. The complainant allegedly informed Briarleaf that his mother would need a sign language interpreter 24 hours per day, 7 days per week. The admissions representative allegedly responded that a sign language interpreter was not in the facility’s budget.
According to Briarleaf, a nursing home administrator told the complainant during a subsequent call that Briarleaf did not have the current capability to provide sign language interpreter services, but would research their availability. The complainant’s mother died at a hospital before she transitioned to Briarleaf or any other skilled nursing facility.
To resolve the matter, Briarleaf has agreed to provide residents who are deaf or hard of hearing with appropriate auxiliary aids and services, including qualified interpreters, when necessary to ensure effective communication. In addition, the settlement agreement requires Briarleaf to assess residents’ communications needs during the admission process, maintain records of interpreter requests, contract with a third-party interpreter service, post signs at the facility, provide training to personnel, and publish a policy statement about effective communication. After the United States requested information from Briarleaf during its investigation, Briarleaf voluntarily took steps to train the facility’s personnel, contract with an interpreter service, and establish a communication policy.
The settlement agreement also requires Briarleaf to provide an annual written report to the U.S. Attorney’s office regarding the status of its compliance during the agreement’s two-year term, and to notify the U.S. Attorney’s Office of any complaints that the facility failed to provide auxiliary aids and services to residents or companions who are deaf or hard of hearing. Briarleaf did not admit liability, and the settled civil claims are allegations only.
The U.S. Attorney’s Office for the Eastern District of Pennsylvania is committed to investigating alleged violations of the Americans with Disabilities Act. Those interested in learning more about effective communication obligations under the Americans with Disabilities Act may access www.ada.gov, or call the Department of Justice’s toll-free information line at (800) 514-0301 or (800) 514-0383 (TDD). Information about filing a complaint, including instructions for filing a complaint online, can be found at www.ada.gov/filing_complaint.htm.
The case was handled by Assistant U.S. Attorney Michael S. Macko.
United States Attorney Announces Charges Against Narcotics Trafficker Connected to Heroin Overdose DeathRead the Press Release
Preet Bharara, the United States Attorney for the Southern District of New York, William F. Sweeney Jr., the Assistant Director-in-Charge of the New York Office of the Federal Bureau of Investigation (“FBI”), and Robert M. Noble, Chief the Yorktown Police Department, announced the arrest and filing of charges against ANTHONY DELOSANGLES, a/k/a “Taco,” age 20, for narcotics dealing that resulted in death.
On September 19, 2016, the United States Attorney’s Office secured an indictment against DELOSANGLES, charging DELOSANGELES with conspiracy to distribute heroin. The indictment alleges that heroin distributed by DELOSANGELES resulted in the death of Thomas Cippollaro, age 25, of White Plains, New York, on November 9, 2015. DELOSANGELES is currently detained serving a prison sentence on related state narcotics charges.
DELOSANGELES was presented in federal court in White Plains before U.S. Magistrate Judge Paul E. Davison on October 11, 2016, and detained without bail. The case has been assigned to U.S. District Judge Kenneth M. Karas. DELOSANGELES faces a mandatory minimum term of 20 years in prison.
U.S. Attorney Preet Bharara stated: “The epidemic of opioid abuse is devastating our communities. Charges like those announced today strike at the heart of the problem – dealers who fuel the cycle of addiction and overdose. Anthony Delosangeles allegedly dealt in heroin, including the heroin that killed Thomas Cippollaro, a 25 year-old White Plains man. We thank the FBI and our local law enforcement partners for their extraordinary efforts that led to the charges today.”
FBI Assistant Director William F. Sweeney Jr. stated: “When dealers are out hawking their drugs, they rarely think beyond the easy money. Many times buyers end up in a morgue, and the dealers are on to the next sale. The cavalier attitude is obvious in this case when the defendant allegedly named some of his product ‘ice cream.’ The goal of the FBI and our law enforcement partners is to stop the drug traffickers who hope their clientele will think something named ‘ice cream’ won’t kill them.”
Yorktown Police Chief Robert M. Noble stated: “The Yorktown Police Department is proud to have played an integral role in the arrest of Anthony Delosangeles. This arrest would not have been possible without the assistance of the Westchester County Department of Public Safety, Putnam County Sheriff’s Office, F.B.I. and the United States Attorney’s Office. When agencies combine efforts, and work without agendas, excellence in law enforcement is possible. The residents of Yorktown and Westchester County are all a bit safer today, as an alleged heroin dealer is behind bars. We hope that this arrest will bring a small bit of solace to the family of Thomas Cipollaro.”
As alleged in the Indictment against DELOSANGLES[1]:
From at least in or about May 2015 up to and including in or about February 2016, in the Southern District of New York and elsewhere, ANTHONY DELOSANGELES, a/k/a “Taco,” and others conspired to sell heroin. The use of controlled substances distributed by DELOSANGELES resulted in the death of Thomas Cipollaro on or about November 9, 2015.
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DELOSANGELES is charged with one count of narcotics conspiracy, which carries a maximum of life in prison and a mandatory term of 20 years in prison. The statutory maximum sentences are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendant would be determined by the judge.
The charges contained in the Indictment against DELOSANGELES are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
This matter is being handled by the Office’s White Plains Division. Assistant United States Attorneys Jennifer Burns and Maurene Comey are in charge of the prosecution.
Mr. Bharara praised the outstanding investigative work of the FBI, the DEA, the Yorktown Police Department, and the Westchester County District Attorney’s Office.
[1] As the introductory phrase signifies, the entirety of the text of the Indictment and the description of the Indictment set forth herein constitute only allegations, and every fact described should be treated as an allegation.
U.S. Attorney's Office Partners with Asheville City Schools to Launch Empowerment Initiative for Middle School StudentsRead the Press Release
ASHEVILLE, N.C. – The United States Attorney’s Office has partnered with Asheville City Schools to launch an empowerment initiative for middle school students, announced Jill Westmoreland Rose, U.S. Attorney for the Western District of North Carolina. The one-day youth summit was co-sponsored by the University of North Carolina – Asheville, the Sparc Network and the Grove Park Inn.
Approximately 200 students selected from Asheville Middle School attended the summit, which was held on the campus of UNC-Asheville. The goal of the summit was to encourage middle school students to discuss the culture and climate within their schools, to share their experiences with classmates, and to develop solutions for creating a positive school environment for students.
“All students deserve the opportunity to reach their full potential and to thrive within their schools without fear of harassment, violence or bullying,” said U.S. Attorney Rose. “When students are engaged and learn how to become agents of change, they are empowered to proactively address conflict, solve problems and foster a more positive school experience for all students. The summit is an opportunity for character development and positive growth.”
During the one-day summit, student leaders from Asheville Middle School discussed their concerns about their school’s current environment and developed strategies to address social pressures, including bullying. Over the course of the summit, students participated in student-led discussions, brainstormed on ways to help support all students have a positive school experience and developed action plans to address the needs of their school.
“Our partnership with the U.S. Attorney’s Office and our collaboration with our community partners has been incredible,” said Superintendent Baldwin following today’s summit. “I want to thank everyone who is supporting our efforts in our students’ voice initiative and for supporting important changes for our city and our school district.”
In addition to the interactive workshops, students also heard from Professor Michelle Horton of Wake Forest University and Founder & CEO of YOUniversity; Mr. Reggie Bean, author of Unfinished: 40 Lessons on Purpose, Self, and Becoming a Man; Dr. Pamela White, Superintendent of Asheville City Schools; April Dockery Principal of Asheville Middle School; Chief Tammy Hooper of the Asheville Police Department; and Chancellor Mary Grant of UNC-Asheville.
In making today’s announcement U.S. Attorney Rose thanked UNC-Asheville for hosting the summit and giving the students an opportunity to gather, and the Grove Park Inn and the Sparc Network for their support of this very important initiative.
U.S. Attorney Alicia Limtiaco Invited to Speak at the 21st International Summit on Violence, Abuse & TraumaRead the Press Release
ALICIA A.G. LIMTIACO, U.S. Attorney for the Districts of Guam and the Northern Mariana Islands (NMI), announced that she and several members of the Guam Human Trafficking Task Force (HTTF) and the NMI Human Trafficking Intervention Coalition (HTIC) attended the 21st International Summit on Violence, Abuse & Trauma held on August 28-31, 2016, sponsored by the Institute on Violence Abuse and Trauma (IVAT). U.S. Attorney Limtiaco spoke on the topic of “Community Engagement and Reentry: Preparing Incarcerated Adults and Justice-Involved Youth for Reentry into the Community."
The IVAT strives to be a comprehensive resource, training and research center dealing with all aspects of violence, abuse and trauma. IVAT’s mission is to improve the quality of life for individuals on local, national and international levels by sharing and disseminating vital information, improving collaborations, networking, conducting research and trainings, assisting with direct professional services, providing program evaluations, and consulting to promote violence-free living.
U.S. Attorney Limtiaco and Victim Witness Coordinator Salome Blas shared information at the Pre-Summit on the efforts in the Pacific region of the U.S. Attorney’s Office and its various task forces, and the importance of a Pacific regional response to address violence prevention and enforcement issues.
U.S. Attorney Limtiaco and members of the Guam HTTF and NMI HTIC shared information on the Pacific Regional Response to Combat Human Trafficking Initiative (the “Initiative”), which is a collaborative effort of the U.S. Attorney’s Office for the Districts of Guam and the NMI; the U.S. Department of State, Office to Monitor and Combat Trafficking in Persons; the U.S. Department of Labor; the U.S. Department of Interior, Office of Insular Affairs; the Guam HTTF; the NMI HTIC; and other community partners. U.S. Attorney Limtiaco also elaborated on the intersection and relationship between human trafficking, sexual assault, child abuse and domestic and family violence, and prevention and enforcement efforts in the Pacific region.
The Initiative employs a multidisciplinary model, including participation, coordination, and collaboration among law enforcement, prosecution, victim service providers, social services, medical, mental and public health professionals, faith based organizations, educational institutions, Consulates, and other community stakeholders. The Initiative calls for the establishment and provision of victim services, investigation and prosecution of human trafficking, training opportunities, community outreach/ public awareness and prevention programs, and creation of human trafficking task forces and coalitions in the Pacific region island communities. The Initiative also provides fundamental training in human trafficking, including victimization, investigation and prosecution, prevention efforts, and other related topics to law enforcement, prosecution, victim service providers, social services, medical, mental and public health professionals, faith based organizations, educational institutions, Consulates, and other community stakeholders in our Pacific region island communities, which is critical to effective prevention and enforcement efforts in the region.
Photos below were taken at the Summit.
National Partnership to End Interpersonal Violence’s (NPEIV) Global Peace Action Plan Pre-Summit sessions U.S. Attorney Alicia Limtiaco during her presentation of “Community Engagement and Reentry: Preparing Incarcerated Adults and Justice-Involved Youth for Reentry into the Community" Participants at the IVAT Summit Some of the attendees from Guam, left to right: Rose Mafnas from the Guam Department of Education (GDOE), Salome Blas from the U.S. Attorney’s Office, Audriana Rios from Guam Police Department, U.S. Attorney Alicia Limtiaco, Taylor Amdal-Barela from the Guam Coalition Against Sexual Assault & Family Violence and Maricor Amande from GDOE Participants from Guam: Salome Blas from the U.S. Attorney’s Office, and Rose Mafnas, Maricol Amande and Steve Pangelinan from the GDOETwin Falls Man Pleads Guilty to Possession of Child PornographyRead the Press Release
BOISE – Richard Roy Sexton, 73, of Twin Falls, Idaho pleaded guilty today in United States District Court to possession of child pornography, U.S. Attorney Wendy J. Olson announced.
According to the plea agreement, in August of 2015, agents with the United States Postal Inspectors Service (USPIS) and the Idaho Internet Crimes Against Children Task Force (ICAC) contacted Sexton at his residence in Twin Falls, Idaho. Sexton admitted to downloading images of minors engaged in sexually explicit conduct from the internet, and gave permission for agents to seize and search his computer and an external hard drive which contained the images. In October of 2015, Sexton visited a Verizon Wireless store in Twin Falls seeking assistance with an electronic tablet. An employee of the store observed child pornography on the tablet, and contacted the National Center for Missing and Exploited Children (NCMEC). NCMEC provided the information to the USPIS and ICAC investigators, who again contacted Sexton, and obtained permission to seize the tablet. Agents later obtained a search warrant to search the tablet.
In his plea agreement, Sexton admitted to possessing at least 360 images and 40 videos containing images of minors engaged in sexually explicit conduct on his computer, external hard drive, and tablet. The sexually explicit images included images of prepubescent minors. The electronic devices also contained evidence that Sexton was searching for and accessing images of child pornography via the internet. NCMEC subsequently identified 332 images containing known, identifiable victims from 34 known series of child pornography.
Sentencing is set for January 10, 2017, before Chief U.S. District Judge B. Lynn Winmill.
Possession of child pornography is punishable by up to 20 years imprisonment, a $250,000 fine, a term of supervised release of not less than five years and up to life, and a $5,000 special assessment. As part of his plea, Sexton also agreed to forfeit the computer, external hard drive, and tablet used in the commission of the charged offense.
The case was investigated by the United States Postal Inspectors Service and the Idaho Internet Crimes Against Children Task Force (ICAC), and was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc. For more information about internet safety education, please visit www.usdoj.gov/psc and click on the tab “resources.”
Twenty people indicted in conspiracy that brought large amounts of heroin, cocaine and fentanyl to Northeast OhioRead the Press Release
Twenty people were indicted for their roles in a conspiracy that brought large amounts of fentanyl, heroin and cocaine into Greater Cleveland from Chicago and Yonkers, New York, law enforcement officials said.
Some of these conspirators had significant links to the Sinaloa cartel. As part of the investigation, law enforcement seized 29 kilograms of cocaine, six kilograms of heroin and one kilogram of fentanyl, as well as $400,000 and several firearms.
Named in the 51-count indictment are: Ismael Jacinto Acosta, 37, of Cleveland Heights; Alfonso Rodrigo, 36, of Warrensville Heights; David Urrabazo-Maldonado, Jr., 29, of Madera, Calif; Tennille Bryant, 36, of Yonkers, N.Y.; James Carver, 36, of Yonkers, N.Y.; Van Herron, 34, of Cleveland; Jose Hernandez, 55, of Chicago; Octavio Rodrigo, 60, of Maple Heights; Juan Carlos Solis, 26, of Chicago; Mario Amador-Ramirez, 52, of Cleveland; Roland Francisco Rivera-Erazo, 32, of Honduras; Maurice Walker, 31, of Cleveland; Manuel Maldonado, 37, of Lyndhurst; Reinaldo Hernandez, 27, of Cleveland; Cesar Zambrano-Espinal, 27, of Cleveland; Kelvin Zambrano, 27, of Cleveland; Jonathan Stepp, 32, of Cleveland; Ryan Miller, 33, of Cleveland; Nancy Vargas, 33, of Tolleson, Ariz. and Margaret Fernandez, 35, of Warrensville Heights.
The defendants conspired together from 2010 through 2016 to obtain fentanyl, heroin, cocaine and marijuana from suppliers in Chicago and Yonkers, N.Y. and then sell the drugs in Northeast Ohio.
Acosta obtained heroin from suppliers in Chicago. Jose Hernandez supplied vehicles with after-market trap compartments to transport hidden drugs and drug proceeds, according to the indictment.
Zambrano-Espinal used a home on West 130th Street in Cleveland to store and distribute the drugs and drug money. He supplied heroin and cocaine to others, including Stepp, Miller and Reinaldo Hernandez, who in turn sold the drugs in Northeast Ohio, according to the indictment.
The Rodrigos used a house on Maple Heights Boulevard in Maple Heights to store and distribute drugs and drug money. Maurice Walker, at the direction of Alfonso Rodgrigo, sold drugs and had access to stash houses, according to the indictment.
Jose Hernandez used a commercial bus line to attempt to transport two kilograms of heroin from Chicago to Cleveland, while Bryant transported one kilogram of fentanyl from Yonkers to Cleveland via commercial bus line. Bryant and Carver, working with the Rodrigos and Urrabazo-Maldonado, then transported the kilogram of fentanyl to the Maple Heights Boulevard home, according to the indictment.
Rodrigo and Margaret Fernandez is named in three counts for allegedly using the proceeds of drug sales to purchase several homes through the Cuyahoga County forfeited land sale.
“This organization is responsible for bringing nearly 100 pounds of heroin, cocaine and fentanyl into Northeast Ohio,” U.S. Attorney Carole S. Rendon said. “Sadly, the death toll continues to mount from this epidemic. Daily we mourn as parents bury their children and children bury their parents. In response, we will continue to aggressively target drug traffickers, while working just as aggressively to reduce the demand for drugs and to provide treatment for those already addicted.”
DEA Special Agent in Charge Timothy J. Plancon said: “Attacking the opiate and heroin abuse epidemic in Ohio and across the United States is a top priority for DEA. The indictments announced today reflect the complete disruption of a significant drug trafficking organization, responsible for the distribution of kilogram quantities of heroin, fentanyl, and cocaine in Ohio. In an environment where overdose deaths have become daily news, halting this group’s ability to distribute these very lethal drugs into our community is a victory for all citizens of northern Ohio. The efforts and cooperation of the Ohio State Highway Patrol in this investigation were vital, and deserve recognition.”
“The harm inflicted by these drugs is matched only by the profit potential for those who sell them. Today’s indictment is the culmination of a lengthy effort in which IRS-CI worked with its law enforcement partners to disrupt the flow of money -- the lifeblood that allows these organizations to proliferate,” said Kathy A. Enstrom, Special Agent in Charge, IRS Criminal Investigation, Cincinnati Field Office. “This is an important victory for the citizens of Northern Ohio. These individuals not only fueled the drug problem in Northern Ohio, but they supported addiction in several parts of the country.”
This case is being prosecuted by Assistant U.S. Attorneys Robert F. Corts and Marisa Darden following an investigation by the Drug Enforcement Administration, the Ohio State Highway Patrol and the Internal Revenue Service – Criminal Investigations.
If convicted, the defendants’ sentences will be determined by the court after a review of the federal sentencing guidelines and factors unique to the case, including the defendant’s prior criminal record (if any), the defendant’s role in the offense and the characteristics of the violation.
An indictment is only a charge and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
Tulalip Tribal Member Sentenced to 9 Years in Prison for Assault, Witness Tampering and Illegally Possessing a FirearmRead the Press Release
An enrolled member of the Tulalip Tribes was sentenced October 7, 2016 in U.S. District Court in Seattle to nine years in prison and four years of supervised release for seven charges involving his repeated assault of an intimate partner, announced U.S. Attorney Annette L. Hayes. BRIAN H. JONES, SR., 47, of Tulalip and Marysville, Washington, was convicted of assault by strangulation, assault resulting in serious bodily injury, witness tampering, felon in possession of a firearm, possession of a firearm in furtherance of a crime of violence and two counts of assault with a dangerous weapon following a six-day jury trial. At sentencing U.S. District Judge Richard A. Jones noted the “horrific circumstances” of JONES’ criminal acts and the need to protect others given his continuous history of violence.
“Violence of this kind and attempts to subvert our justice system cannot be tolerated in any of our communities,” said U. S. Attorney Annette L. Hayes. “I commend law enforcement for its diligent investigation in this case. We take seriously our responsibility to address domestic violence in our tribal communities, and will do all that we can to hold defendants to account for the physical and psychological harms they cause.”
According to records filed in the case and testimony at trial, JONES assaulted both his ex-wife and her then husband in December 2014, holding them at gun point. In April 2015, JONES assaulted his ex-wife a second time, strangling her and beating her. Medical records indicate JONES’ ex-wife suffered injuries to her head, arms, legs, and throat trauma. Following his arrest in both assaults, records reveal JONES repeatedly contacted his ex-wife and convinced her to refuse to testify in a tribal court trial, as well as to seek a dismissal of the federal charges or recant in federal court. Prosecutors used evidence including the ex-wife’s prior sworn statements, medical records, and other witness statements to prove JONES’ guilt beyond a reasonable doubt.
JONES is also a felon having been previously convicted of a state felony crime, and is thus prohibited from possessing firearms.
JONES has been in federal custody since his arrest on June 3, 2015.
The case was investigated by the Tulalip Tribal Police and the FBI. The case was prosecuted by Assistant United States Attorneys Ye-Ting Woo and J. Tate London.
Trio Sentenced in Connection to Thefts from Appomattox Gun StoreRead the Press Release
LYNCHBURG, VIRGINIA – Months after 56 guns were stolen from a federally licensed firearms dealer in Appomattox, three of the men who took part in the break-in have been sentenced in federal court on related charges, United States Attorney John P. Fishwick Jr. announced today.
Jaquan Tyree Harris, 21, of Amherst, Virginia, previously pled guilty to one count of stealing firearms from a federally licensed firearms dealer and one count of being a previously convicted felon illegally in possession of a firearm. Yesterday in the United States District Court in Lynchburg, Harris was sentenced to 52 months in federal prison.
Dequan Montez Kelso, 23, and Kwamane Jarrae McCoy, 22, both of Appomattox, Virginia, had each previously pled guilty to one count of stealing firearms from a federally licensed firearms dealer and one count of being a previously convicted felon illegally in possession of a firearm. Yesterday in District Court, Kelso was sentenced to 48 months in federal prison. In a separate hearing, McCoy was sentenced to 60 months in prison. All three defendants were ordered to pay restitution to the gun shop owner for damages stemming from the break-in.
“Keeping illegal guns out of the hands of prohibited users is a priority of the United States Attorney’s Office,” United States Attorney Fishwick said today. “One of the first steps we can take in keeping our communities safe is getting illegal guns off our streets. This case is a prime example of law enforcement working to do just that.”
According to evidence presented at previous hearings by Assistant United States Attorney Andrew Bassford, in January 2016, four masked individuals burglarized TNT Outfitters in Appomattox, Virginia in the middle of the night, stealing 56 firearms. Following a thorough investigation by the ATF, Virginia State Police and the Appomattox County Sheriff’s Office, McCoy and Kelso were identified as being involved in the burglary and were soon located and found to be in possession of some of the stolen firearms. They were subsequently arrested and admitted their involvement in the incident.
Many of the stolen firearms, including a Glock 17, HiPoint C9, Smith and Wesson M&P 9 Pro, Remington Model 700 Shotgun and a Ruger Mini 14 .223 Rifle, remain missing. The Bureau of Alcohol, Tobacco, Firearms and Explosives have offered a $10,000 reward to anyone with knowledge of the whereabouts of these missing firearms. Anyone with information can contact the ATF at 1-800-283-4867.
The investigation of the case was conducted by the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Virginia State Police and the Appomattox Sheriff’s Office. Assistant United States Attorney Andrew Bassford prosecuted the case for the United States.
Texas Man Pleads Guilty to Federal Drug Trafficking Charge Arising Out of Seizure of More Than Ten Pounds of Cocaine in New MexicoRead the Press Release
ALBUQUERQUE – Luis Abelardo Ibarra, 36, of Fort Worth, Texas, pled guilty today in federal court in Las Cruces, N.M., to a cocaine trafficking charge arising out of the seizure of more than ten pounds of cocaine during a U.S. Border Patrol checkpoint inspection. Under the terms of his plea agreement, Ibarra will be sentenced to six years in prison followed by a term of supervised release to be determined by the court. Ibarra also will be required to forfeit $12,878 seized from him and his co-defendant during the checkpoint inspection.
Ibarra and his co-defendant Claudio M. Martinez, Jr., 47, also of Hobbs, were arrested in May 2013, on a criminal complaint alleging that they possessed approximately 4.76 kilograms (10.49 pounds) of cocaine in Luna County, N.M. According to the complaint, Ibarra and Martinez were arrested after U.S. Border Patrol agents at the U.S. Border Patrol station on State Highway in Luna County seized cocaine, cash and drug paraphernalia from the vehicle in which Ibarra and Martinez were traveling.
Ibarra and Martinez were subsequently indicted on Aug. 14, 2013, and charged with conspiracy and possession of cocaine with intent to distribute on May 23, 2013, in Luna County.
During today’s proceedings, Ibarra pled guilty to a felony information charging him with conspiracy to possess cocaine with intent to distribute, and admitted that on May 24, 2013, he and Martinez concealed five bricks of cocaine weighing 4.76 kilograms in a cooler and transported it into New Mexico. Ibarra remains in custody pending his sentencing hearing, which has yet to be scheduled.
Martinez pled guilty to the indictment in June 2014, and was sentenced in Sept. 2014, to six years in prison followed by five years of supervised release.
This case was investigated by the Las Cruces office of the DEA and the U.S. Border Patrol. Assistant U.S. Attorney Marisa A. Ong of the U.S. Attorney’s Las Cruces Branch Office is prosecuting the case.
Tampa-Area Woman Sentenced for Theft of Tax Refund ChecksRead the Press Release
Tampa, Florida – U.S. District Judge James D. Whittemore today sentenced Barbara Barr to 36 months and 1 day in federal prison for theft of government funds and aggravated identity theft. The Court also entered a forfeiture money judgment in the amount of $8,000, representing the proceeds of the offenses. Barr pleaded guilty on July 28, 2016.
According to court documents, Barr and her co-conspirator sold two stolen tax refund checks, totaling over $40,000, to a confidential informant for $8,000.
This case was investigated by the Internal Revenue Service - Criminal Investigation. It was prosecuted by Assistant United States Attorney Rachel K. Jones.
Syracuse Man Sentenced for Drug ConspiracyRead the Press Release
SYRACUSE, NEW YORK – Derrick Wilson, 36, of Syracuse, New York, was sentenced today to serve a 336 month (28 years) term of imprisonment, followed by 10 years of supervised release, announced United States Attorney Richard S. Hartunian and Special Agent in Charge James J. Hunt, New York Division, Drug Enforcement Administration (“DEA”) and Syracuse Police Chief Frank Fowler.
“The sentence imposed today sends a clear message to those who traffick in illegal drugs- especially heroin, in the midst of this region’s opioid drug epidemic, that we will vigorously enforce the law and seek tough sentences for those who would profit from the misery of others,” said U.S. Attorney Hartunian.
“There is only one way illegal drugs end up in the hands of addicts and that is through the hands of drug dealers. Derrick Wilson was found guilty for his role in a heroin and crack cocaine conspiracy earlier this year and today’s sentencing is compensatory to the crimes committed,” said DEA Special Agent in Charge James J. Hunt.
“We will continue to work hard, utilizing every resource available, with the goal of stopping the heroin trade that has plagued our communities. We have all seen first-hand what this terrible drug does, and hope that this case and lengthy prison sentence will make others think twice before getting involved,” said Syracuse Police Chief Frank Fowler.
Wilson was convicted following a week-long trial in January 2016 during which he represented himself with an assigned attorney present to advise him on legal matters. The evidence at trial, some of which was obtained through court ordered wiretaps, showed that Wilson supervised the distribution of crack cocaine and heroin by other members of the conspiracy, whom he directed and employed. At trial it was established that Wilson made arrangements for heroin and cocaine powder from New York City to be transferred to him in Syracuse, where he ordered members of the conspiracy to process the cocaine powder into crack cocaine and package it for sale. Other members of the conspiracy acting at Wilson’s direction also packaged some of the heroin into uniquely marked plastic bags for “branding” purposes and distribution.
Wilson was the last of 13 defendants to be convicted of participating in a conspiracy to distribute heroin and crack cocaine in the Syracuse area from April 2013 to June 18, 2014. Wilson’s co-defendants all pled guilty and were sentenced as follows:
Name
Age
Residence
Sentence
Jeffrey Dowdell
37
Syracuse, NY
120 months
Tashawn Albert
28
Syracuse, NY
66 months
Kyle Dowdell
28
Syracuse, NY
120 months
Quonta Albert
23
Syracuse, NY
60 months
General Davis, Jr.
29
Clay, NY
130 months
Willie Strong, Jr.
37
Liverpool, NY
120 months
Jamall Harris
36
Syracuse, NY
Scheduled for 11/9/2016
James Handford
38
Syracuse, NY
120 months
Zephaneea Dowdell
33
Syracuse, NY
Scheduled for 11/18/2016
Lashandrea Johnson
31
Syracuse, NY
13 months
James Hudson
25
Syracuse, NY
60 months
Darnyl Apgar
28
Syracuse, NY
120 months
This case was investigated by the United States Drug Enforcement Administration (“DEA”) and the Syracuse Police Department, with assistance from the Federal Bureau of Investigation (“FBI”) and is being prosecuted by Assistant U.S. Attorneys Carla Freedman and Nicolas Commandeur.
Springdale Man Sentenced to 65 Months in Federal Prison for Drug TraffickingRead the Press Release
Fayetteville, Arkansas - Kenneth Elser, United States Attorney for the Western District of Arkansas, announced that Jose Maria Calderon, age 48 of Springdale, Arkansas, was sentenced today to 65 months in federal prison followed by three (3) years of supervised release on one count of Possession with Intent to Distribute 50 Grams of More of Methamphetamine. The Honorable Judge Timothy L. Brooks presided over the sentencing hearing in the United States District Court in Fayetteville.
According to the Plea Agreement, on two separate occasions between November, 2015 and March, 2016, investigators with the Drug Enforcement Administration (DEA) and the Springdale Narcotics Unit conducted two controlled buys with an intermediary for Calderon in which over 10 grams was delivered by the intermediary to a confidential source. During the incidents, Calderon would arrive at the public location and make contact with the intermediary but not receive funds nor directly distribute methamphetamine to the confidential source. Subsequently investigators issued a search warrant on Calderon’s address in Springdale. When officers arrived, Calderon was searched and found to have $783 in cash and two cell phones on his person. He was informed of his Miranda rights and agreed to cooperate and led officers to a large quantity of methamphetamine concealed inside a lampshade. He admitted that during the past year he had been receiving methamphetamine each month. In addition to methamphetamine, officers found 1.14 grams of cocaine, $15,699 in U.S. currency, digital scales, packaging materials, a heat sealer, and wire transfer receipts. The suspected methamphetamine was sent to the Arkansas State Crime Lab where it was determined to be 294 grams of actual methamphetamine. The suspected cocaine was also tested and confirmed to be 1.4 grams of a mixture or substance containing cocaine.
Calderon was indicted by a federal grand jury in May, 2016 and pleaded guilty in July, 2016.
“Methamphetamine is a highly addictive drug and one of the most destructive drugs we face today. DEA and our law enforcement partners are working hard to thwart the threat of methamphetamine distribution and abuse here in the Western District of Arkansas,” stated DEA Assistant Special Agent in Charge Matthew Barden. “We have successfully collaborated in order to put this drug dealer in federal prison as a result of his desire to supply the citizens in Springdale with methamphetamine.”
The investigation was led by the Drug Enforcement Administration and the Springdale Narcotics Unit. Assistant United States Attorney Amy Driver prosecuted the case for the United States.
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Related court documents may be found on the Public Access to Electronic Records website @ www.pacer.gov
Southwest Arkansas Man Sentenced to over Seven Years in Federal Prison for Firearms ViolationRead the Press Release
Texarkana, Arkansas – Kenneth Elser, United States Attorney for the Western District of Arkansas, announced that Bobby Joe Hampton, age 29 of Wilton, Arkansas, was sentenced today to 87 months and 23 days in federal prison on one count of Felon in Possession of a Firearm. The sentence is to run concurrent with the remaining undischarged state sentence received in Miller County. Hampton was indicted by a federal grand jury in March, 2014 and was found guilty after a two-day jury trial in July, 2015. The Honorable Judge Susan O. Hickey presided over the sentencing in the United States District Court in Texarkana.
This case was investigated by the Texarkana Police Department. Assistant United States Attorney David Harris prosecuted the case for the United States.
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Related court documents may be found on the Public Access to Electronic Records website @ www.pacer.gov
South Windham Man Convicted of Mailing Cyanide Resulting in Death, Fraud and Witness TamperingRead the Press Release
Contact: Halsey B. Frank
Assistant United States Attorney
Tel: (207) 780-3257Bangor Maine: United States Attorney Thomas E. Delahanty II announced that Sidney P. Kilmartin, 54, of South Windham, Maine, was convicted yesterday following a six-day jury trial in U.S. District Court of mailing injurious articles (cyanide) resulting in death, wire fraud, mail fraud and witness tampering. He was found not guilty of witness retaliation. On December 9, 2015, he was charged with those crimes in a superseding indictment. On October 3, 2015, he pled guilty to related wire and mail fraud charges.
According to court documents, in September 2012, the defendant acquired potassium cyanide and thereafter offered to sell it on a website devoted to suicidal persons. Between September of 2012 and May 2013, he communicated by email with people around the world offering the cyanide, and accepting payments for it through PayPal. To some of those victims, he sent Epsom salts instead of cyanide. When one victim he sent Epsom salts to in England did not die after the victim ingested them, the victim complained to the defendant and law enforcement authorities. Thereafter, the defendant sent him real cyanide that resulted in his death.
Kilmartin faces up to life in prison and a $250,000 fine on the mailing cyanide resulting in death charge, and up to 20 years in prison and a $250,000 fine on the remaining charges. He will be sentenced after the completion of a presentence investigation report by the U.S. Probation Office.
The investigation was conducted by U.S. Postal Inspection Service and the Humberside Police Force (City of Hull, England).
Second Defendant Pleads Guilty in Mortgage Fraud ConspiracyRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051BUFFALO, N.Y.-U.S. Attorney William J. Hochul Jr. announced today that Alagi Samba, 46, of Bronx, NY, pleaded guilty to conspiracy to commit wire fraud affecting a financial institution, before U.S. District Judge Laurence J. Vilardo. The charge carries a maximum penalty of 30 years in prison and a $1,000,000 fine.
Assistant U.S. Attorneys Kathleen A. Lynch and Elizabeth Moellering, who are handling the case, stated that between June 2008 and February 2009, the defendant conspired with other individuals to devise a scheme to commit mortgage fraud which included obtaining seven loans for unqualified borrowers.
As part of the scheme, Samba served as a realtor on behalf of co-conspirator Daniel Badu in the purchase of a property at 814 Faile Street, Bronx, NY. The defendant was aware that Badu was employed as a home health aide and did not have the income or assets to qualify for a mortgage loan in the amount of $574,543 to purchase the property. Samba obtained Badu’s personal identification information and business documents and provided them to another co-conspirator, a mortgage broker, knowing that the documents would be altered or created to falsely indicate that Badu was an ophthalmologist at his company Eagle Eyes. In addition, fraudulent paystubs and tax returns were submitted to support the loan application. Samba knew that these false loan documents were submitted a mortgage bank in order to secure a loan insured by the Federal Housing Administration. Based on that false application and supporting documentation, the loan was approved.
The defendant and his co-conspirators arranged for additional fraudulent loans to be approved, including another loan for Badu, and caused wire communications to be transmitted in interstate commerce for those loans. These fraudulent transactions caused losses of approximately $3,603,830 affecting financial institutions in Buffalo and elsewhere.
Daniel Badu was also convicted of wire fraud affecting a financial institution and is scheduled to be sentenced on November 15, 2016 at 10:00 am before Judge Vilardo.
Charges are pending against defendants Gregory Gibbons, Julio Rodriguez, Laurence Savedoff, and Tina Brown. The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
The plea is the culmination of an investigation by the United States Postal Inspection Service under the direction of Shelly Binkowski, Inspector in Charge, Boston Division, the United States Department of Housing and Urban Development, Office of the Inspector General, under the direction of Special Agent in Charge Brad Geary; and the Federal Bureau of Investigation, under the direction of Special Agent in Charge Adam S. Cohen. Additionally, the New York State Department of Financial Services assisted with the investigation.
Sentencing for defendant Samba is scheduled for March 14, 2017 at 10:00 a.m. also before Judge Vilardo.
San Antonio Duo Sentenced to Federal Prison for Sex Trafficking of a Minor SchemeRead the Press Release
In San Antonio this morning, 26–year-old Valentin Renko was sentenced to 25 years in federal prison followed by 20 years of supervised release for sex trafficking of a minor announced United States Attorney Richard L. Durbin, Jr., and Special Agent in Charge Christopher Combs of the FBI’s San Antonio Division.
In December 2015, Renko pleaded guilty to the charge. By pleading guilty, Renko admitted that on or about July 1, 2015, he provided and smoked methamphetamine with his co-defendant, 30-year-old Karen Lee, and a 12-year-old female. That minor, who Renko made contact with through a social media website, had been reported missing to the Kirby Police Department in the days leading up to July 1, 2015. Renko and Lee also discussed and planned ways of providing the child victim to adult males for commercial sex. Lee, subsequently, took digital photos of Renko engaged in sexually explicit conduct with the minor female. Lee also insisted the minor female make money in order to continue to reside with Lee and encouraged the victim to make dates with males using a social networking website. During those dates, between July 2 and July 6, 2015, the victim engaged in sexual activity in exchange for U.S. currency and/or narcotics.
On April 25, 2015, Lee was sentenced to 20 years in federal prison after pleading guilty to her role in the sex trafficking of a minor scheme.
This case resulted from a South Texas Officers and Prosecutors Human Trafficking Task Force (STOP HTTF) investigation led by the FBI together with the Texas Department of Public Safety and the Kirby Police Department. Assistant United States Attorney Bettina Richardson prosecuted this case on behalf of the Government.
San Antonio Bandidos Member Pleads Guilty to MurderRead the Press Release
Bandidos Outlaw Motorcycle Organization (OMO) member Frederick Cortez (aka “Fast Fred”), age 48, faces life in federal prison after pleading guilty to murder, announced United States Attorney Richard L. Durbin, Jr., Western District of Texas; Drug Enforcement Administration (DEA) Special Agent in Charge Joseph M. Arabit, Houston Division; Federal Bureau of Investigation Special Agent in Charge Christopher Combs, San Antonio Division; Texas Department of Public Safety Director Steve McCraw; and San Antonio Police Chief William McManus.
Cortez pleaded guilty before United States Magistrate Judge Pamela A. Mathy in San Antonio this afternoon to Murder in Aid of Racketeering, stemming from the January 2002 retaliation murder of Robert Lara in Atascosa County for killing one of their own. Javier Negrete, a member of the same Bandidos OMO chapter as Cortez, was killed outside a San Antonio bar in October 2001.
Cortez remains in custody pending sentencing scheduled for January 23, 2017, before Senior United States District Judge David A. Ezra.
Bandidos OMO National President Jeffrey Pike, age 61 of Conroe, TX, and National Vice President John Portillo, age 57 of San Antonio, who are also charged in the same indictment, are currently scheduled for trial on August 7, 2017. Portillo remains in federal custody; Pike, on bond, pending trial.
The superseding indictment accuses Pike and Portillo of directing, sanctioning, approving and permitting other members of the organization to carry out racketeering acts including murder, attempted murder, assault, intimidation, extortion and drug trafficking to protect and enhance the organization’s power, territory, reputation and profits.
This ongoing investigation is being conducted by the FBI, DEA and Texas DPS together with the Internal Revenue Service-Criminal Investigation, U.S. Customs and Border Protection, New Braunfels Police Department, Seguin Police Department, San Antonio Police Department, Bexar County Sheriff’s Department, Atascosa County Sheriff’s Department, and the Bexar County District Attorney’s Office.
It is important to note that an indictment is merely a charge and should not be considered as evidence of guilt. The defendants are considered innocent until proven guilty in a court of law.
Sallisaw Woman Sentenced to 12 Months 1 Day, $574,000 Restitution for Theft of Federal Program FundsRead the Press Release
MUSKOGEE, OKLAHOMA – The United States Attorney’s Office for the Eastern District of Oklahoma announced that JADE LaRAE OBREGON, age 38, of Sallisaw, Oklahoma, was sentenced to 1 year and 1 day of imprisonment for THEFT OF FEDERAL PROGRAM FUNDS, in violation of Title 18, United States Code, Section 1341. OBREGON was also ordered to pay $574,385.94 in restitution.
The Indictment alleged that on or about January 1, 2012, and continuing through December 31, 2013, in the Eastern District of Oklahoma, JADE LaRAE OBREGON, defendant herein, being an agent of Sequoyah Memorial Hospital, said organization receiving in the one year period beginning January 1, 2012, benefits in excess of $10,000 from federal health care programs, embezzled, stole, obtained by fraud, and knowingly converted to the use of a person not the rightful owner, property worth at least $5,000 and owned by such organization, that is diabetic test strips.
The Honorable James H. Payne, District Judge in the United States District Court for the Eastern District of Oklahoma, presided over the hearing.
The charges are a result of an investigation by the Federal Bureau of Investigation. OBREGON was ordered to report to the Bureau of Prisons on January 15, 2017.
Assistant United States Attorney Melody Nelson represented the United States.
Roswell Woman Pleads Guilty to Federal Methamphetamine Trafficking ChargesRead the Press Release
ALBUQUERQUE – Ana Solis, 23, of Roswell, N.M., pled guilty yesterday in federal court in Las Cruces, N.M., to methamphetamine trafficking charges.
Solis is one of 41 individuals charged in Sept. 2015, with drug trafficking offenses as a result of an eight-month multi-agency investigation by the FBI, the DEA, Chaves County Metro Narcotics Task Force, Roswell Police Department, Chaves County Sheriff’s Office and New Mexico State Police. Twenty-one of the defendants were charged with federal offenses and the remaining 20 were charged with state offenses.
The investigation, which was designated as part of the Organized Crime Drug Enforcement Task Forces (OCDETF) program, initially targeted a drug trafficking organization (DTO) allegedly led by Joseph Ray Mendiola, 35, of Roswell, that allegedly distributed methamphetamine in Chaves County. It later expanded to include drug traffickers who allegedly supplied methamphetamine to the Mendiola DTO and other drug traffickers operating in Chaves County. The OCDETF program combines the resources and unique expertise of federal agencies, along with their local counterparts, in a coordinated effort to disrupt and dismantle major drug trafficking organizations.
Solis, Mendiola and 14 other federal defendants were charged in a 24-count indictment filed on Sept. 22, 2015. Count 1 of the Indictment charged 15 of the 16 defendants with conspiracy to distribute methamphetamine between June 2015 and July 2015. Count 2 charged three defendants with conspiracy to distribute cocaine in July 2015. Counts 3, 4, 5, 6 and 7 charged certain defendants with possession of methamphetamine with intent to distribute in July 2015. Counts 8 through 24 charged certain defendants with using communications devices (telephones) to facilitate drug trafficking crimes. All crimes charged in the federal indictment occurred in Chaves County.
During the course of the investigation, law enforcement officers executed 14 federal search warrants for 10 residences in Roswell, one residence in Dexter, N.M., and three vehicles. During the execution of those search warrants, the officers seized approximately 5600 grams of methamphetamine, $35,960.00 in cash, and multiple firearms including two assault rifles.
During yesterday’s proceedings, Solis pled guilty to conspiracy, possession of methamphetamine with intent to distribute, and using a communication device to facilitate drug trafficking crimes. In entering the guilty plea, Solis admitted conspiring with her co-defendants to distribute methamphetamine in Chaves County and using a telephone to further commission that crime from June 2015 through July 31, 2015. Solis also admitted that on July 25, 2015, and July 31, 2015, she and a co-defendant arranged to purchase two pounds of methamphetamine with the intention of distributing it to others.
At sentencing, Solis faces a statutory minimum penalty of ten years and a maximum of life in prison. A sentencing hearing has yet to be scheduled.
To date, seven of Solis’ co-defendants have entered guilty pleas. The remaining defendants have entered not guilty pleas to the indictment. Charges in indictments and criminal complaints are merely accusations and defendants are presumed innocent unless found guilty beyond a reasonable doubt.
The federal cases were investigated by the Roswell office of FBI’s Albuquerque Division, the Las Cruces office of DEA, Roswell Police Department, Chaves County Sheriff’s Office, the Chaves County Metro Narcotics Task Force, the New Mexico State Police and the U.S. Marshals Service. Assistant U.S. Attorneys Randy M. Castellano and John Balla are prosecuting the federal cases.
The HIDTA Chaves County Metro Narcotics Task Force is comprised of investigators from the Roswell Police Department, Bureau of Alcohol, Tobacco, Firearms and Explosives, the FBI and the Chaves County Sherriff’s Office. The High Intensity Drug Trafficking Areas (HIDTA) program 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.