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1 December 2016
District Man Sentenced to 19 Years in Prison for Series of Robberies and Home InvasionsRead the Press Release
WASHINGTON - Robert Williams, 23, of Washington, D.C., has been sentenced to a 19-year prison term on charges stemming from a series of robberies and home invasions that he carried out in Northeast Washington, U.S. Attorney Channing D. Phillips announced today.
Williams was sentenced on Nov. 30, 2016, in the Superior Court of the District of Columbia, by the Honorable Zoe Bush. Upon completion of his prison term, he will be placed on 13 years of supervised release.
According to the government’s evidence, on Dec. 19, 2014, at approximately 5:45 p.m., Williams and a second individual carried out a home invasion in the 1500 block of Oates Street NE. The victim, a 70-year-old man, was home alone at the time. During the ordeal, the victim was gagged, bound and placed in a closet. Williams and his accomplice took over $700, the victim’s car, and two flat-screen televisions. Williams pled guilty in October 2016 to a charge of second-degree burglary in this incident. No one else has been charged in this case.
The second incident took place on April 28, 2015, at approximately 12:50 p.m. According to the government’s evidence, Williams entered an apartment in the 1700 block of Benning Road NE as the two victims were in the process of moving out. Masked, he approached the first victim and, when he learned that she did not have any money, struck her in the face with his handgun, causing a significant wound to her forehead. He then robbed the second victim of approximately $150. Surveillance video captured Williams entering and running out of the apartment building. When apprehended hours later, Williams was wearing the same clothing that he wore when he committed the crime and on video. Williams was found guilty by a jury in July 2016 of armed robbery, first-degree burglary, assault with intent to rob, and various firearms offenses for the crimes committed that day.
The third incident occurred on Nov. 25, 2015, at approximately 9 a.m. Williams robbed a restaurant manager at gunpoint outside the establishment in the 1500 block of Maryland Avenue NE. He took about $200 in cash and the victim’s cellphone. Williams pled guilty in October 2016 to a charge of armed robbery for this attack.
In announcing the sentence, U.S. Attorney Phillips commended the work of those who investigated the case from the Metropolitan Police Department. He also expressed appreciation for the work of those who handled the case from the U.S. Attorney’s Office, including Assistant U.S. Attorney Damien Diggs, who secured the indictment, and Litigation Technology Assistant Aneela Bhatia. Finally, he commended the efforts of Assistant U.S. Attorney Kamil E. Shields, who prosecuted the case at trial and obtained the guilty pleas.
Dent County Woman Sentenced on Federal Fraud ChargesRead the Press Release
St. Louis, MO – Demea Loyd, Salem, MO, was sentenced to three months in prison, plus six months of home confinement, on wire fraud charges involving her embezzlement from Sears. Additionally, she was ordered to pay restitution of $358,805.
According to court documents, Loyd owned two stores in Washington and Rolla, Missouri. She entered into a contract with Sears Authorized Hometown Stores, LLC to exclusively distribute Sears merchandise from these two stores. The contract called for Loyd to distribute Sears merchandise on a consignment basis. In exchange, Loyd was paid a commission based on the amount of sales. Loyd was to deposit all proceeds from the sale of the merchandise at each store into a “holding” account until they could be transferred to Sears. From April 2013 to December 2014, Loyd embezzled $358,805 from Sears, by making unauthorized withdrawals from the holding account and falsifying the monthly statements to hide the missing funds.
Loyd pled guilty in May to one count of wire fraud and appeared today for sentencing before United States District Judge John Ross.
This case was investigated by the Federal Bureau of Investigation and the Rolla and Washington, Missouri, Police Departments. Assistant United States Attorney John Ware handled the case for the U.S. Attorney’s Office.
Daly City Resident Sentenced to 35 Months of Prison for Starting A Fire at the Chinese ConsulateRead the Press Release
SAN FRANCISCO– Yan Feng was sentenced to 35 months of prison and three years of supervised release, announced United States Attorney Brian J. Stretch, Federal Bureau of Investigation (FBI) Special Agent in Charge John F. Bennett, and U.S. Department of State Diplomatic Security Service Special Agent in Charge David Zebley. The sentence, handed down yesterday by the Honorable Maxine Chesney, United States District Judge, follows a guilty plea entered earlier this year.
Feng, 42, of Daly City, was charged in an Information with a single count of what is commonly known as “offering violence to a foreign official,” in violation of 18 U.S.C. § 112(a). Feng pleaded guilty to this felony charge on September 14, 2016.
According to the plea agreement and court records, Feng admitted that on New Year’s Day 2014, he started a fire at the Chinese Consulate located on Geary Boulevard in San Francisco, Calif. Feng was arrested by FBI and DSS Special Agents within 48 hours of starting the fire, on January 3, 2014, and has remained in federal custody ever since.
The prosecution is the result of an investigation by the FBI’s Joint Terrorism Task Force, the U.S. Department of State’s Diplomatic Security Service, and the San Francisco Police and Fire Departments.
Convicted Felon Pleads Guilty to Possession of FirearmRead the Press Release
Gulfport, Miss – Damon Derrall Pittman, 36, of Poplarville, entered a guilty plea today, before Chief District Judge Louis Guirola, to possession of a firearm by a convicted felon, announced U. S. Attorney Gregory K. Davis.
Pittman will be sentenced on March 1, 2017 and faces a maximum penalty of 10 years in prison and a $250,000 fine.
This case involved the sale of a sawed off rifle to an ATF informant. It was investigated by the Bureau of ATF and is being prosecuted by Assistant United States Attorney Annette Williams.
Convicted Felon Caught Hunting on National Park Service Land is SentencedRead the Press Release
Deirdre M. Daly, United States Attorney for the District of Connecticut, today announced that MICHAEL A. PETRO, 44, of Watertown, was sentenced yesterday by U.S. District Judge Vanessa L. Bryant in Hartford to approximately 11 months of imprisonment, time served, and two years of supervised release, for illegally possessing a firearm and ammunition.
According to court documents and statements made in court, on the morning of December 10, 2015, a law enforcement officer was patrolling part of the Appalachian Trail in Kent, Conn. Posted signs in the area state that the land is National Parks Service property and is closed to hunting. The officer observed PETRO in camouflage gear holding a Savage Arms/Stevens Model 311, 12 gauge shotgun, which was breached open and unloaded. After the officer asked PETRO where the shotgun shells were and PETRO denied having any, the officer and her canine located two 12 gauge shotgun shells under fallen leaves approximately 20 yards away from where PETRO was standing. A subsequent search of PETRO’s jacket revealed two additional shotgun shells.
PETRO’s criminal history includes a felony conviction for assault. It is a violation of federal law for a person previously convicted of a felony offense to possess a firearm or ammunition that has moved in interstate or foreign commerce.
PETRO has been detained in state custody since December 15, 2015. He has multiple unrelated state charges pending.
On June 13, 2016, he pleaded guilty to one count of unlawful possession of a firearm and ammunition by a convicted felon.
Judge Bryant ordered that PETRO must perform 200 hours of community service during his term of supervised release.
This matter was investigated by the U.S. Fish and Wildlife Service and the Environmental Conservation Police of the Connecticut Department of Energy and Environmental Protection, with the assistance of the Bureau of Alcohol, Tobacco, Firearms and Explosives. The case was prosecuted by Assistant U.S. Attorney Hal Chen.
Company President Embezzled Money from Employee Pension FundRead the Press Release
NORFOLK, Va. – Harry Paul, Jr., 65, of Grandy, North Carolina, pleaded guilty today to charges of embezzling funds from an employee pension fund.
According to the statement of facts filed with the plea agreement, Paul is the owner and president of Freedom Mechanical, Inc., located in Virginia Beach. The company maintained an employee benefit retirement account plan known as the Freedom Mechanical Simple IRA Plan. The Plan was funded by employees who elected to contribute to the plan, as well as mandated matching contributions made by the employer. Between approximately April 2013 and June 2016, Paul, assisted by the company’s vice-president who acted at the Paul’s direction, embezzled and unlawfully converted the monetary contributions to the Plan made by nine employees, in the amount of $47,056. During that period, W-3 Wage and Tax Statements transmitted by the company to the IRS included an amount for “deferred compensation” that falsely represented that employee contributions to the company had been made. Also during that period, the defendant failed to make the employer contributions owed to the Plan. The contributions embezzled and unlawfully converted were used to cover the company’s operating costs during a period when the company experienced severe economic difficulties.
Paul waived indictment by a federal grand jury and pleaded guilty to a criminal information. Paul faces a maximum penalty of five years in prison when sentenced on March 7, 2017. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes, as the sentencing of the defendant will be determined by the court based on the advisory Sentencing Guidelines and other statutory factors.
Dana J. Boente, U.S. Attorney for the Eastern District of Virginia; and Robin Blake, Special Agent in Charge of the Washington, D.C. Regional Office, U.S. Department of Labor, Office of Inspector General, made the announcement after the plea was accepted by U.S. District Judge Mark S. Davis. Assistant U.S. Attorney Alan M. Salsbury is prosecuting the case.
A copy of this press release may be found on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information may be found on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 2:16-cr-150.
Cincinnati Man Sentenced to 300 Months for Distributing Fentanyl Resulting in Serious Bodily InjuryRead the Press Release
COVINGTON, Ky. — A Cincinnati, Ohio man has been sentenced to 300 months in federal prison for selling fentanyl that resulted in a near-fatal overdose.
Today, U.S. District Judge Amul Thapar sentenced Antoine Dudley, 32, for distribution of fentanyl causing serious bodily injury. Dudley must serve at least 85 percent of his prison sentence and will be on supervised release for fifteen years after he completes his prison sentence.
Dudley pleaded guilty on October 27, 2016 in the middle of his trial. According to testimony at trial, Dudley regularly sold both heroin and fentanyl to multiple customers throughout Northern Kentucky, between September 1, 2014 and his arrest on May 8, 2015. Evidence also showed that he distributed fentanyl, on November 21, 2014 in Covington, that caused the user to overdose and stop breathing.
Paramedics of the Covington Fire Department responded to the call and were able to revive the victim of the overdose through repeated administration of naloxone (Narcan®). The victim has made a full recovery, but evidence showed that she would have died if not for the actions of the responding paramedics.
Kerry B. Harvey, United States Attorney for the Eastern District of Kentucky, and Amy Hess, Special Agent in Charge, Federal Bureau of Investigation, jointly announced the sentence.
The investigation was conducted by the FBI Safe Streets Task Force. Assistant U.S. Attorney Tony Bracke prosecuted this case on behalf of the federal government.
Cincinnati Man Sentenced to 26 Years for Distributing Fentanyl Resulting in Overdose DeathRead the Press Release
COVINGTON, Ky. — A Cincinnati, Ohio man has been sentenced to 26 years in federal prison for providing drugs to someone who died of an overdose in the Kenton County jail.
Today, U.S. District Judge Amul Thapar sentenced Michael Howard, 42, for conspiracy to distribute fentanyl and morphine that resulted in an overdose death. Three of Howard’s co-defendants, Kimberly Mullins, Lisa Lattimore and Lynette Ball, received sentences of 244, 160, and 144 months, respectively, for their roles in the drug conspiracy. All four defendants must serve at least 85 percent of their sentences.
Howard pleaded guilty in June 2016 and admitted that he had been supplying heroin to Jamie Green for several months while Green was in custody in Campbell and Kenton Counties. Mullins arranged for the substances to be delivered to her daughter, Jamie Green, through other inmates on work release. Howard admitted supplying a substance that contained fentanyl and morphine to Mullins on September 4, 2014 for delivery to Green. Mullins delivered the substance to Green in the Kenton County Jail through the assistance of co-defendants Ball and Lattimore. Green used the substance and died of an overdose shortly thereafter on September 5, 2014.
A federal grand jury in Covington returned an indictment on November 12, 2015 charging Howard, Mullins, Lattimore, and Ball with conspiracy to distribute controlled substances resulting in death. Mullins, Lattimore, and Ball pleaded guilty on March 29, 2016 to this offense.
Kerry B. Harvey, United States Attorney for the Eastern District of Kentucky, and Timothy J. Plancon, Special Agent in Charge, Drug Enforcement Administration, jointly announced the sentence. The investigation was conducted by the Drug Enforcement Administration and the Kenton County Police Department. Assistant U.S. Attorney Tony Bracke represented the federal government in this matter.
Cibola County Man Sentenced to Prison for Federal Bank Robbery ConvictionRead the Press Release
ALBUQUERQUE – Daniel Albert Chavez, 53, of Acoma, N.M., was sentenced today in federal court in Albuquerque, N.M., to 33 months in prison for robbing a Wells Fargo Bank branch in Grants, N.M. Chavez will be on supervised release for two years following his prison sentence.
Chavez was arrested on March 29, 2016, on an indictment charging him with robbing two banks in Cibola County, N.M. According to the indictment, Chavez robbed the Bank of New Mexico branch located at 824 West Santa Fe Ave. in Grants on Feb. 20, 2015, and the Wells Fargo Bank branch located at 201 North First St. in Grants on Oct. 20, 2015.
On Aug. 2, 2016, Chavez pled guilty to one bank robbery charge, and admitted robbing the Wells Fargo Bank located at 201 North First St. in Grants, on Oct. 20, 2015.
This case was investigated by the Gallup office of the FBI and the Grants Police Department. Assistant U.S. Attorney Edward Han prosecuted the case.
Charleston woman pleads guilty to obtaining pain pills by fraudRead the Press Release
CHARLESTON, W.Va. – A Charleston woman pleaded guilty today to obtaining oxycodone and Xanax by fraud, announced United States Attorney Carol Casto. Greer Elizabeth Ramsey, 32, entered her guilty plea to obtaining controlled substances by misrepresentation, fraud, forgery, deception, and subterfuge.
Ramsey admitted that on April 14, 2015, she obtained oxycodone and Xanax by presenting a prescription that she knew to be fraudulent to the Kroger pharmacy in Dunbar. Ramsey further admitted that she knew the prescription was not valid because she had never been a patient of the doctor whose name was on the preprinted prescription pad.
Ramsey faces up to four years in federal prison when she is sentenced on March 9, 2017.
The Dunbar Police Department, the South Charleston Police Department, and the Drug Enforcement Administration conducted the investigation. Assistant United States Attorney Timothy D. Boggess is in charge of the prosecution. The plea hearing was held before United States District Judge Thomas E. Johnston.
This case was prosecuted as part of an ongoing effort led by the United States Attorney’s Office for the Southern District of West Virginia to combat the illicit sale and misuse of prescription drugs and heroin. The U.S. Attorney’s Office, joined by federal, state and local law enforcement agencies, is committed to aggressively pursuing and shutting down illegal pill trafficking, eliminating open air drug markets, and curtailing the spread of opiate painkillers and heroin in communities across the Southern District.
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Cedar Rapids Man Sentenced to 11 Years for Enticement of MinorsRead the Press Release
A former school bus attendant who enticed three minors was sentenced today to 11 years in federal prison.
Tyler Konigsmark, age 20, of Cedar Rapids, Iowa, received the sentence after a September 1, 2016 guilty plea to one count of enticement of minors. At the plea hearing and in a plea agreement, Konigsmark admitted that, between April and May of this year, he used Snapchat and his iPhone to request sexually explicit images from three girls, ages 12, 13, and 14, who rode on school buses where he was an attendant. He also admitted that he had sexual intercourse with the 12-year-old girl on two occasions after he used Snapchat and his cell phone to arrange meetings with her.
Konigsmark was sentenced in Cedar Rapids by United States District Court Judge Mark W. Bennett. Konigsmark was sentenced to 132 months’ imprisonment. A special assessment of $5,100 was imposed, and he must also serve a 10-year term of supervised release. He must comply with all sex offender registration and public notification requirements.
This case was prosecuted by Assistant United States Attorney Mark Tremmel and was investigated by the Iowa Division of Criminal Investigation, the Hiawatha Police Department, and the Cedar Rapids Police Department.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc. For more information about Internet safety education, please visit www.usdoj.gov/psc and click on the tab “resources.”
Court file information is available at https://ecf.iand.uscourts.gov/cgi-bin/login.pl. The case file number is CR 16-57.
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Carlsbad Felon Sentenced to Ten Years for Federal Methamphetamine Trafficking ConvictionRead the Press Release
ALBUQUERQUE – Eddie Leo Wyatt, 55, of Carlsbad, N.M., was sentenced today in federal court in Las Cruces, N.M., to 120 months in prison followed by five years of supervised release for his methamphetamine trafficking conviction.
Wyatt, whose criminal history includes four prior felony convictions for drug related offenses, was prosecuted as part of a federal anti-violence initiative that targets “the worst of the worst” offenders for federal prosecution. Under this initiative, the U.S. Attorney’s Office and federal law enforcement agencies work with New Mexico’s District Attorneys and state, local and tribal law enforcement agencies to target violent or repeat offenders for federal prosecution with the goal of removing repeat offenders from communities in New Mexico for as long as possible.
Wyatt was arrested on Oct. 22, 2014, on a criminal complaint charging him with distributing methamphetamine in Chaves County, N.M. According to the complaint, Wyatt sold an aggregate of 213 grams of pure methamphetamine to undercover law enforcement agents during five transactions taking place between March 20, 2013 and June 13, 2013.
Wyatt was subsequently charged in a five-count indictment on Jan. 14, 2015, with distributing methamphetamine on March 26, 2013, April 2, 2013, April 9, 2013, April 23, 2013, and June 13, 2013. According to the indictment, Wyatt committed the five crimes in Chaves County.
On Sept. 11, 2015, Wyatt pled guilty to one count of distribution of methamphetamine. In entering the guilty plea, Wyatt admitted selling 58.9 grams of methamphetamine on April 9, 2013.
This case was investigated by the Las Cruces office of the FBI and the New Mexico State Police. Assistant U.S. Attorney Marisa A. Ong of the U.S. Attorney’s Las Cruces Branch Office prosecuted the case.
Career Criminal Sentenced to 15 Years in Federal PrisonRead the Press Release
Tampa, Florida – U.S. District Judge Mary S. Scriven today sentenced Derrick Bernard Farmer (41, Tampa) to 15 years in federal prison for possessing with the intent to distribute crack cocaine and possessing a firearm as a convicted felon. He pleaded guilty on July 6, 2016.
According to court documents, during January 2016, Farmer served as the crack cocaine source for two individuals who then sold the drugs to an undercover detective. On February 3, 2016, law enforcement officers executed a search warrant at Farmer’s apartment in Tampa and found crack cocaine, drug paraphernalia, and three firearms. Farmer had multiple prior felony drug convictions and therefore was prohibited from possessing a firearm or ammunition under federal law.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Hillsborough County Sheriff’s Office. It was prosecuted by Assistant United States Attorney Taylor G. Stout.
This is another case prosecuted as a part of the Department of Justice’s “Project Safe Neighborhoods” Program - a nationwide, gun-violence reduction strategy. United States Attorney A. Lee Bentley, III, along with Daryl R. McCrary, Special Agent in Charge, ATF, is coordinating the Project Safe Neighborhoods effort here in the Middle District of Florida in cooperation with federal, state, and local law enforcement officials. It is also part of the PSN Comprehensive Anti-Gang Initiative (CAGI). CAGI’s objective is to reduce criminal gangs, violent crime, and illegal drugs and guns through swift, thorough enforcement and prosecution, along with prevention and re-entry efforts.
Cape Man Pleads Guilty to Killing Protected Red Tailed HawkRead the Press Release
BOSTON – A Brewster man pleaded guilty and was sentenced yesterday in U.S. District Court in Boston in connection with killing a red tailed hawk, a protected migratory bird.
Richard Warburton, 75, pleaded guilty to one count of killing a red tailed hawk and was sentenced by U.S. District Court Magistrate Judge Marianne B. Bowler to pay a fine of $200 and restitution of $266.
Warburton admitted that on Feb.17, 2016, he shot a red tailed hawk near Airline Road in Brewster, Mass. The bird, a protected species under the Migratory Bird Treaty Act, had to be euthanized following the shooting. Warburton also admitted that the shooting was not an isolated incident.
“One of our many responsibilities is to enforce laws that protect New England’s unique wildlife,” said United States Attorney Carmen M. Ortiz. “We will continue to collaborate with our law enforcement partners to safeguard the precious wildlife and ecosystems of our state for future generations.”
“This case is yet another example of the cooperative investigative efforts of the Massachusetts Environmental Police and the U.S. Fish & Wildlife Service,” said David Sykes, New England Resident Agent in Charge of the U.S. Fish and Wildlife Service, Office of Law Enforcement. “These majestic birds of prey are an important link in our ecosystem and today’s plea is a success in our collective efforts to conserve and protect them.”
United States Attorney Carmen M. Ortiz and David Sykes, Resident Agent in Charge of U.S. Fish and Wildlife Service, Office of Law Enforcement, New England Field Office, made the announcement. Assistant U.S. Attorney Lori J. Holik, Chief of Ortiz’s Major Crimes Unit, prosecuted the case.
Buffalo Woman Pleads Guilty to Drug ChargeRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051BUFFALO, N.Y.-Acting U.S. Attorney James P. Kennedy, Jr. announced today that Johanna Sanchez Rodriquez, 40, of Buffalo, NY, pleaded guilty to conspiracy to distribute and obtain through fraud controlled substances, before U.S. District Judge Richard J. Arcara. The charge carries a maximum penalty of four years in prison and a $250,000 fine.
Assistant U.S. Attorney Michael J. Adler, who is handling the case, stated that between December 2013 and April 2015, co-defendant Brandon Coburn, a licensed nurse practitioner who is legally authorized to prescribe controlled substances, provided fraudulent Fentanyl prescriptions to Sanchez Rodriquez and nine other co-defendants. Those prescriptions, however, were not used for a legitimate medical purposes and instead were filled by Sanchez Rodriquez and others and sold on the street in the Buffalo area. Sanchez Rodriquez filled a total of 31 prescriptions including oxycodone and fentanyl.
Sanchez Rodriquez is the first of the 11 defendants charged in this investigation to be convicted. 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 result of an investigation by the Drug Enforcement Administration, under the direction of James J. Hunt, Special Agent-in-Charge, New York Field Division.
Sentencing is scheduled for March 23, 2017, at 1:00 p.m. before Judge Arcara.
Bronx Man Pleads Guilty to Sex Trafficking of Minors, Possession of Child Pornography, and Gun PossessionRead the Press Release
Preet Bharara, the United States Attorney for the Southern District of New York, announced today that DAVID HOPE, a/k/a “Capo,” pled guilty before U.S. District Judge Sidney H. Stein to his involvement in the sex trafficking of minor girls, possession of child pornography, and possession of a firearm as a convicted felon.
U.S. Attorney Preet Bharara said: “For years, David Hope manipulated and exploited vulnerable minor girls in the cruelest of ways, selling them for sex for his own profit. With David Hope’s guilty plea today, we seek to deliver justice to the victims, as well as a measure of real hope. Protecting girls and young women from sex traffickers like Hope remains a top law enforcement priority for us and the FBI.”
According to the Indictment, Complaint, and other documents filed in the case, as well as statements made during HOPE’s plea proceedings:
Since at least 2013, HOPE directed and conducted a criminal sex trafficking and prostitution enterprise (the “Enterprise”) that recruited and exploited minor girls and young women, and then prostituted them using an online classified ad website for his own profit. HOPE, who was wheelchair-bound, operated the Enterprise at his apartment in the Bronx, New York (the “Hope Apartment”), Connecticut, and elsewhere.
HOPE recruited minors who looked up to him to participate in the Enterprise and other criminal activity. HOPE, who was known to carry a firearm, employed myriad tactics – including manipulation, intimidation, coercion, threats, and violence – to recruit and maintain the girls and young women he sold for sex. At least four minor victims were involved in the Enterprise.
In or about November 2015, when he was arrested, HOPE also possessed on his cellphone a sexually explicit video of one of the minor girls he trafficked.
In or about January 2015, HOPE possessed a defaced firearm (the “Firearm”) after he had been previously convicted of a felony crime. Specifically, on January 16, 2015, when New York City Police Department (“NYPD”) officers were executing a search warrant at the Hope apartment, HOPE instructed a minor female to throw the loaded Firearm out of the rear window of the Hope Apartment. Before it was thrown out the window, the Firearm was in the bed where Hope was sleeping.
* * *
HOPE, 29, of the Bronx, New York, was arrested on November 19, 2015, in the Bronx, New York, and has been in federal custody since. HOPE pled guilty today to one count of sex trafficking of a minor, which carries a mandatory minimum sentence of 10 years in prison and a maximum sentence of life in prison; one count of conspiracy to commit sex trafficking, which carries a maximum sentence of life in prison; one count of possession of child pornography, which carries a maximum sentence of 10 years in prison; and one count of being a felon in possession of a firearm and ammunition, which carries a maximum sentence of 10 years in prison. The maximum potential sentences in this case are prescribed by Congress and are provided here for informational purposes only, as the defendant’s sentence will be determined by the judge. HOPE is scheduled to be sentenced by Judge Stein on March 1st, 2017, at 2:30 p.m.
Mr. Bharara praised the extraordinary investigative work of the FBI. He thanked the NYPD for its assistance throughout the investigation, and the United States Attorney’s Office for the District of Connecticut and the Connecticut Child Exploitation Task Force for its assistance with investigating HOPE’s operations in Connecticut. Mr. Bharara also thanked the U.S. Bureau of Alcohol, Tobacco, Firearms and Explosives (“ATF”) and the ATF/NYPD Joint Robbery Task Force (SPARTA) for its assistance in the early stages of the investigation.
Any individuals who believe they have information concerning the exploitation of children may contact the Federal Bureau of Investigation at 1-212-384-1000 or https://tips.fbi.gov/.
This case is being handled by the Office’s Violent and Organized Crime Unit. Assistant United States Attorneys Sagar K. Ravi and Christopher J. DiMase are in charge of the prosecution.
Bridgeport Man Pleads Guilty to Heroin Distribution Charge Stemming from Overdose Death in TrumbullRead the Press Release
Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that JEVAUGHN WATSON, 23, of Bridgeport, waived his right to be indicted and pleaded guilty today in Hartford federal court to one count of possession with intent to distribute, and distribution of, heroin. This prosecution is part of an ongoing statewide initiative targeting narcotics dealers who distribute heroin, fentanyl or opioids that cause death or serious injury to users.
According to court documents and statements made in court, on August 18, 2016, Trumbull Police and emergency medical personnel responded to a residence in Trumbull and found an unresponsive 25-year-old female on the floor of a bedroom. The victim was pronounced deceased shortly thereafter. Investigators searched the victim’s pocketbook and found several empty wax folds and some wax folds that contained suspected heroin. Analysis of text messages contained on the victim’s cellphone revealed that the victim had ordered heroin from WATSON several times over the course of approximately two months prior to the victim’s death.
WATSON has been detained since his arrest on September 7, 2016.
The charge of possession with intent to distribute, and distribution of heroin, carries a maximum term of imprisonment of 20 years. WATSON is scheduled to be sentenced by U.S. District Judge Robert N. Chatigny on February 23, 2017.
This matter is being investigated by the Drug Enforcement Administration’s Bridgeport Resident Office, the DEA’s New Haven Tactical Diversion Squad and the Trumbull and Monroe Police Departments, with the assistance of the Bridgeport Police Department.
This case is being prosecuted by Assistant U.S. Attorney Douglas P. Morabito.
Bailey Boys Gang Members Sentenced in Connection with ShootingsRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051BUFFALO, N.Y.—Acting U.S. Attorney James P. Kennedy, Jr. announced today that Quintin Thompson, 26, and Montell Jones, 28, both of Buffalo, NY, were sentenced in connection with two shootings by Senior U.S. District Judge William M. Skretny.
According to Assistant U.S. Attorneys Michael P. Felicetta and Meghan A. Tokash, who are handling the prosecution of this case, Thompson and Jones were members of the Bailey Boys Gang, a violent criminal gang which operates in an area of Buffalo bounded by Winspear Avenue, the Kensington Expressway, Eggert Road, and Main Street.Thompson was sentenced to 42 months in prison for his role in the October 24, 2011, shooting outside of a rental car business located at 2655 Main Street. Thompson spotted a group of rival gang members and opened fire on the group. Although he missed all of the targets, Thompson shot an 18-year-old female in the leg who was an innocent bystander. Thompson is currently serving a New York state sentence for a 2008 armed robbery and assault of a 14-year-old boy.
Jones was sentenced to time served (52 months) for his role as the driver in a drive-by shooting at 211 Shirley in Buffalo on June 28, 2011. Jones drove the vehicle that was occupied by two shooters who fired upon rival gang members at the Shirley Avenue residence. One person, an 18-year-old male, was shot in the back during that crime and the victim spent approximately three months in the hospital recovering from his injuries.
Jones was also sentenced to time served for his role in the February 6, 2015, assault of a guard at the Steuben Correctional Facility where he was being detained. Jones struck the guard in his face while being transported to his cell.
The sentencing is the result of an ongoing investigation on the part of the United States Attorney’s Office in close cooperation with the Erie County District Attorney’s Office, under the direction of Acting District Attorney Michael Flaherty, the Buffalo Police Department, under direction of Police Commissioner Daniel Derenda, the Federal Bureau of Investigation’s Safe Streets Task Force, under the Direction of Special Agent-in-Charge Adam S. Cohen, the Erie County Sheriff’s Office, under the direction of Sheriff Timothy B. Howard, the Drug Enforcement Administration, under the direction of Special Agent in Charge James J. Hunt, New York Field Division, and the Bureau of Alcohol, Tobacco, Firearms and Explosives, under the direction of Special Agent-in-Charge Ashan Benedict, New York Field Division.Arizona Man Sentenced to 23 Years for Meth Conspiracy in SpringfieldRead the Press Release
SPRINGFIELD, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that an Avondale, Ariz., man was sentenced in federal court today for his role in a conspiracy to distribute methamphetamine in the Springfield area.
Michael P. Ayala, 38, of Avondale, Ariz., was sentenced by U.S. District Judge M. Douglas Harpool to 23 years in federal prison without parole.
On July 5, 2016, Ayala pleaded guilty to participating in a conspiracy to distribute methamphetamine, to possessing a firearm in furtherance of a drug-trafficking crime, and to participating in a money-laundering conspiracy.
Ayala is among seven co-defendants who have pleaded guilty and been sentenced, including Ronda L. Easton, 53, Steven A. Easton, 49, James M. Parker, 46, Robert M. Cardenas, Jr., 28, and Cody D. Keller, 34, all of Springfield, and Michael D. Thompson, 58, of Goodyear, Ariz.
David M. Climer, 37, of Springfield, has pleaded guilty and awaits sentencing.
Ayala admitted that he supplied methamphetamine to Steven Easton for distribution in the Springfield area until his wife, Ronda Easton, was released from state prison and took over the methamphetamine distribution operation in Springfield. The methamphetamine arrived by mail and was transported by vehicles from Arizona. Ronda Easton sold pound quantities to Parker, Keller, and Climer. Thompson and Cardenas delivered the methamphetamine by vehicle from Arizona to Missouri.
Ronda Easton admitted that she had been distributing large amounts of methamphetamine that she purchased from Ayala. She paid Ayala $9,000 per pound of methamphetamine and sold it for $12,000 per pound. She stated that she received methamphetamine from Ayala every seven to 10 days and referred to one recent shipment of 10 pounds of methamphetamine.
On April 15, 2015, law enforcement officers in New Mexico stopped a Jeep Commander driven by Cardenas, with Thompson as a passenger, and seized approximately 14.5 pounds of methamphetamine hidden inside a compartment near the back of the vehicle. They also seized a bundle that contained 2,228 grams of methamphetamine inside a luggage bag. Cardenas told investigators that Ayala had paid him $1,700 to drive the vehicle from Arizona to Springfield.
The next day, a controlled delivery of methamphetamine was made to Ayala in Springfield. Ayala was arrested in a traffic stop and officers found a Springfield Armory 9mm semi-automatic pistol in the vehicle, as well as ammunition, syringes, and $19,231. Ayala must forfeit the Jeep Commander, the firearm and ammunition, and the cash to the government.
On Jan. 5, 2015, law enforcement officers executed a search warrant at a residence shared by Ayala and Ronda Easton. They seized four large Tupperware containers containing a total of approximately 1.5 kilograms of pure methamphetamine, a black brief case containing baggies of methamphetamine and $1,520, a Taurus .410-caliber shotgun, a Cobra .380-caliber semi-automatic pistol, a loaded Quality Firearms .38-caliber revolver, a loaded Springfield Armory 9mm pistol, a Smith and Wesson .40-caliber pistol, and $14,779 in a purse.
Ayala and Ronda Easton admitted that they used the proceeds from distributing methamphetamine to buy assets, which also concealed the source of their proceeds, including a residential property and a 2012 Ford Mustang that must be forfeited to the government.
This case is being prosecuted by Assistant U.S. Attorney Nhan D. Nguyen. It was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, IRS-Criminal Investigation, the Springfield, Mo., Police Department, Immigration and Customs Enforcement's (ICE) Homeland Security Investigations (HSI), the Missouri State Highway Patrol, the Yavapai County, Ariz., Sheriff’s Department, the Bernalillo County, N.M., Sheriff’s Department, and the Franklin County, Mo., Sheriff’s Department.
Albuquerque Man Sentenced to Ten Years for Discharging Firearm During Armed Robbery of Convenience StoreRead the Press Release
ALBUQUERQUE – Reynaldo Marquez, 26, of Albuquerque, N.M., was sentenced today in federal court to 120 months in prison followed by three years of supervised release for discharging a firearm during a crime of violence.
Marquez was charged in a seven-count superseding indictment that was filed on May 28, 2015. The superseding indictment added Marquez as a new defendant and two new counts to a five-count indictment previously filed on Jan. 21, 2015. The original indictment charged six Albuquerque residents – Raymond Castillo, 27, Daniel Maestas, 36, Johnny Ramirez, 33, Frank Gallegos, 31, Reyes Lujan, 27, and Henry Lujan, 23, with conspiracy, commercial armed robbery and firearms offenses.
The superseding indictment charged the original six defendants with conspiring to interfere with interstate commerce by robbing a Wal-Mart Store located in Bernalillo County, N.M., on Oct. 29, 2014. It also charged Castillo with discharging a firearm during the robbery of the Wal-Mart store; Maestas with using and carrying a firearm during the robbery; and Ramirez, Gallegos, Reyes Lujan and Henry Lujan with aiding and abetting the use of firearms during the robbery. The two new charges in the superseding indictment charged Marquez and Castillo with interfering with interstate commerce by robbing a 7-11 convenience store located in Bernalillo County, N.M., on Dec. 7, 2014, and Marquez with discharging a firearm during that robbery.
On Sept. 1, 2016, Marquez pled guilty to Count 7 of the superseding indictment charging him with discharging a firearm during a crime of violence. In entering the guilty plea, Marquez admitted discharging a firearm during a robbery that occurred on Dec. 7, 2014.
Marquez’s six co-defendants previously have entered guilty pleas. Reyes Lujan was sentenced on March 8, 2016, to 71 months in prison followed by three years of supervised release, Gallegos was sentenced on Sept. 8, 2016, to 71 months in prison followed by three years of supervised release, and Ramirez was sentenced on Oct. 6, 2016, to 71 months in prison followed by three years of supervised release. The three remaining co-defendants are in custody pending their sentencing hearings.
This case was investigated by the Albuquerque office of the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Albuquerque Police Department. Assistant U.S. Attorneys Norman Cairns and Samuel A. Hurtado are prosecuting this case.
This case is being prosecuted as part of a federal anti-violence initiative that targets “the worst of the worst” offenders for federal prosecution. Under this initiative, the U.S. Attorney’s Office and federal law enforcement agencies work with New Mexico’s District Attorneys and state, local and tribal law enforcement agencies to target violent or repeat offenders for federal prosecution with the goal of removing repeat offenders from communities in New Mexico for as long as possible. In recognition that New Mexico’s violent crime rates, on a per capita basis, are amongst the highest in the nation, New Mexico’s law enforcement community has come together to is collaborating the initiative is significantly exceed the national average.
Albuquerque Man Pleads Guilty to Failing to Update his Sex Offender RegistrationRead the Press Release
ALBUQUERQUE – Douglas Humilestewa, 52, of Albuquerque, N.M., pled guilty today in federal court to violating the Sex Offender Registration and Notification Act (SORNA).
SORNA, also known as the Adam Walsh Protection and Safety Act, requires that a convicted sex offender register in each jurisdiction where the offender resides, where the offender is employed, or where the offender is a student, and that the sex offender maintain current registrations.
Humilestewa was charged by indictment on Feb. 9, 2016, with violating SORNA by failing to update his sex offender registration on Nov. 15, 2015 or thereafter. According to the indictment, Humilestewa was required to maintain an updated sex offender registration in Bernalillo County, N.M.
During today’s proceedings, Humilestewa pled guilty to the indictment. At sentencing, Humilestewa faces a maximum penalty of ten years in federal prison. He will be required to register as a sex offender after completing his prison sentence.
This case was investigated by the U.S. Marshals Service and is being prosecuted by Assistant U.S. Attorney David M. Walsh.
30 November 2016
Wise County Man Sentenced to Prison Term for Illegal LoggingRead the Press Release
ABINGDON, VIRGINIA – A Wise County man, who illegally removed timber from United State Forrest Service land for profit, was sentenced today in the United States District Court for the Western District of Virginia, United States Attorney John P. Fishwick Jr. announced.
Justin Alexander Stanley, 21, of Pound, Va., previously pled guilty to one count of illegally removing timber from public lands and one count of illegally cutting or injuring timber on public lands. Today in U.S. District Court, Stanley was sentenced to three months in federal prison and ordered to pay $20,457 in restitution.
“Protecting our public lands is paramount to ensuring future generations have natural resources to enjoy,” United States Attorney Fishwick said today. “When individuals like Mr. Stanley destroy these resources for profit, law enforcement will hold them accountable.”
According to information presented at previous hearings by Assistant United States Attorney Zachary T. Lee, Stanley purchased a tract of land in Wise County in 2015 that bordered landed owned by the U.S. Forest Service. Stanley had purchased the property to log it in order to make some money. However, despite the property being surveyed and properly marked, Stanley cut down approximately 42 trees from the United States Forest Service property, some of which were large and very valuable. In addition, to facilitate his illegal logging activity, Stanley used a bulldozer to cut four separate “roads” into the property. The value of the timber cut and/or damaged on U.S. Forest Service land was $14,272 and it is estimated it will cost $6,177 to perform erosion control on the roads Stanley cut.
The investigation of the case was conducted by the United States Forest Service and the Virginia Department of Forestry. Assistant United States Attorney Zachary T. Lee prosecuted the case for the United States.
Winter Haven Man Sentenced to Seven Years for Stealing Tax Refunds and Personal Identity InformationRead the Press Release
Tampa, Florida – U.S. District Judge Steven D. Merryday has sentenced Daniel White to seven years in federal prison for his role in a stolen identity refund fraud scheme. As part of his sentence, the Court also entered a money judgment in the amount of $320,703.84, which are the losses to the United States Treasury.
White was found guilty in August 2012, but before he could be sentenced, he absconded. In July 2016, law enforcement officers located White in Polk County, where he was found hiding in an air conditioning return duct at a home. He was arrested without incident.
According to court documents, from May 2011 until October 2011, White used stolen personal identity information (“PII”) from at least 39 victims to prepare and file tax returns without their knowledge or consent. At least 24 of those victims were deceased when White made these fraudulent submissions. White then directed the Internal Revenue Service to electronically deposit the fraudulent refunds into a bank account that he controlled. The total intended losses in this case were approximately $737,588.
This case was investigated by the Internal Revenue Service – Criminal Investigation and the United States Postal Inspection Service. It was prosecuted by Assistant United States Attorneys Kristen A. Fiore and Amanda Kaiser.
Winter Haven Man Sentenced for Making False Statements in Mortgage LoanRead the Press Release
Tampa, Florida – U.S. District Judge Charlene E. Honeywell has sentenced Stevie McDonald (42, Winter Haven) to 15 months in federal prison for bank fraud related to his role in a mortgage fraud conspiracy. As part of his sentence, the Court ordered him to pay restitution to J.P. Morgan Chase Bank in the amount of $74,868.
According to court records, on November 10, 2007, McDonald entered into a contract to purchase a home in Port Richey. He then applied for a mortgage loan from Washington Mutual Bank. In the loan documents that he signed and submitted to the bank, McDonald made false statements about his income and employment. In December 2007, during the course of closing on the property purchase, Washington Mutual paid more than $35,000 to a woman McDonald knew and later married. This payment was purportedly a satisfaction of an existing lien on the sale property. Subsequent investigation revealed that no such lien existed. Washington Mutual Bank suffered a financial loss as a consequence of McDonald’s default on the loan.
This case was investigated by the Federal Bureau of Investigation. It was prosecuted by Assistant United States Attorney Jay L. Hoffer.
White House Legal Aid Interagency Roundtable Issues First Annual Report to the PresidentRead the Press Release
The Justice Department today issued the first annual report of the White House Legal Aid Interagency Roundtable (WH-LAIR) to President Obama. The report, entitled “Expanding Access to Justice, Strengthening Federal Programs,” documents the significant steps that the 22 federal agency members of WH-LAIR have taken to integrate civil legal aid into programs designed to serve low-income and vulnerable people. The Attorney General and the Director of the White House Domestic Policy Council (DPC) co-chair WH-LAIR.
“Ensuring equal access to justice is an essential part of our work to empower the most vulnerable members of our society,” said Attorney General Loretta E. Lynch. “Many vital efforts -- from preventing human trafficking to improving access to health benefits – depend on citizens’ ability to receive meaningful legal aid. The White House Legal Aid Interagency Roundtable was established to help close the justice gap and provide legal assistance to Americans in need. It is a privilege to send this report to President Obama. It describes the progress we have made, and it lays out a vision for this critical work in the years to come.”
“The White House Legal Aid Interagency Roundtable has become indispensable in helping the federal government establish partnerships with legal aid providers that push federal programming forward and ensure that essential services reach the communities that need them most,” said Cecilia Muñoz, White House DPC Director and WH-LAIR Co-Chair.
Civil legal aid is free legal assistance to low-income and underserved people with often life-altering legal problems, including domestic violence, child support, foreclosure, eviction, unemployment and debt, among other issues. Legal aid also helps people access basic necessities such as health care, housing, government benefits, employment and educational services. Civil legal aid is particularly vital because unlike criminal cases where there is typically a constitutional right to counsel, there is no right to a lawyer in most civil cases, leaving many low- and moderate-income Americans without any legal assistance.
Recognizing the power of legal aid to both increase the availability of meaningful access to justice and improve outcomes in many federal programs, WH-LAIR agencies have been working together since 2012 to integrate legal aid into their programs, policies and initiatives. Staffed by the DOJ Office for Access to Justice (ATJ), WH-LAIR has engaged federal grantees, legal aid providers and federal agency staff to raise awareness about how legal aid advances federal priorities. As set out in the report, accomplishments include dozens of federal grants that have now been clarified to ensure that legal aid can be included in the range of services provided to people in areas like health care, domestic violence, homelessness and prisoner reentry; new training and technical assistance to grantees and legal aid providers; and research about the impact of civil legal aid. WH-LAIR also created the WH-LAIR website and Toolkit, online resources that provide information about civil legal aid and how it helps advance a broad array of federal objectives as well as available federal funding opportunities and other resources.
In the 2015 Presidential Memorandum that formally established the interagency collaboration as a White House initiative, President Obama said, “equal access to justice…advances the missions of an array of federal programs, particularly those designed to lift Americans out of poverty or to keep them securely in the middle class.” The memorandum called on WH-LAIR to report annually on its successes.
The report addresses key federal priorities where civil legal aid improves program outcomes: accessing health services and improving health, expanding access to housing and preventing homelessness, strengthening families and keeping children in school, keeping Americans working and getting jobs, enhancing public safety and helping crime victims, and combatting fraud and protecting consumers. It also describes agencies’ efforts to partner with legal aid organizations to meet the needs of special populations, including veterans and servicemembers, tribes and tribal members, people with disabilities, people with criminal records, immigrants and disaster survivors. The report includes research and data on the efficacy of legal aid and provides numerous examples of how WH-LAIR agencies’ work has touched millions of Americans.
The report can be found at www.justice.gov/lair/annualreport.
Two federal inmates sentenced for crimes committed while serving time in prisonRead the Press Release
BECKLEY, W.Va. – Two inmates were sentenced today for crimes they committed while serving time in federal prison, announced United States Attorney Carol Casto.
Larry Antoine Smith, 49, who possessed a weapon at the Federal Correctional Institution at Beckley, was sentenced today to a year and nine months in federal prison, to be served consecutively to his current sentence for violating his federal supervised release. He previously pleaded guilty to possession of a weapon by an inmate of the institution. Smith admitted that on September 28, 2015, he possessed a combination lock attached to a belt. The weapon was discovered when a prison staff member observed Smith swinging the belt. Smith further admitted that he attached the lock to the belt with the intention of using it as a weapon.
In a separate prosecution, Christina Kimble, 33, who escaped from the Federal Prison Camp at Alderson, was sentenced today to a year in prison, to be served consecutively to her current sentence for a federal drug charge. She previously pleaded guilty to escape, admitting that on November 17, 2015, she left the Federal Prison Camp at Alderson without authorization. Kimble was apprehended several hours later by the Alderson Police Department.
The Smith case was investigated by the Federal Bureau of Prisons. The Federal Bureau of Prisons and the Alderson Police Department conducted the investigation of Kimble. Assistant United States Attorney John File is in charge of the prosecutions. United States District Judge Irene C. Berger imposed the sentences.
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Two West Virginia men sentenced for unlawful possession of a firearm, drug chargesRead the Press Release
WHEELING, WEST VIRGINIA – Two men from the Northern Panhandle of West Virginia were sentenced in federal court for unlawfully possessing firearms and possessing pseudoephedrine, United States Attorney William J. Ihlenfeld, II, announced.
Patrick Hauck, 34, of Wellsburg, West Virginia, was sentenced to 71 months in prison for unlawfully possessing a 7.62 caliber rifle in Brooke County, West Virginia and possessing pseudoephedrine that was to be used to make methamphetamine. He pled guilty to one count of “Felon in Possession of a Firearm” and one count of “Possession of Pseudoephedrine.”
David L. Smith, 41, of Wheeling, West Virginia, was sentenced to 33 months in prison for unlawfully possessing a .45 caliber pistol in Ohio County, West Virginia. He pled guilty to one count of “Felon in Possession of a Firearm.”
Hauck and Smith were both previously convicted of multiple felony offenses in West Virginia and as a result of those convictions, they are both prohibited from possessing firearms.
Assistant U.S. Attorney David J. Perri prosecuted the cases on behalf of the government. The Bureau of Alcohol, Tobacco, Firearms, and Explosives investigated both cases. The West Virginia State Police and the Follansbee Police Department assisted in the Hauck investigation.
U.S. District Judge John Preston Bailey presided.
Tuscaloosa Man Indicted for Trafficking Cocaine and Using FedEx to Promote Drug-trafficking ActivitiesRead the Press Release
BIRMINGHAM – A federal grand jury today indicted a Tuscaloosa man as part of a conspiracy to traffic cocaine in Tuscaloosa County, and with using an express delivery service to illegally distribute drugs, announced U.S. Attorney Joyce White Vance and Federal Bureau of Alcohol, Tobacco, Firearms and Explosives Special Agent in Charge Steven Gerido.
A four-count indictment filed in U.S. District Court charges THOMAS BLANKS II, 39, with conspiracy to distribute cocaine from March through May of this year in Tuscaloosa County. The indictment further charges Blanks with distributing 500 grams or more of cocaine on May 17 in Tuscaloosa County, being a twice-convicted felon in possession of a .390-caliber pistol and 9mm ammunition on May 18, and with using FedEx, a corporation involved in interstate commerce, to promote illegal distribution of the drugs on May 17.
According to the indictment, Blanks was convicted in Tuscaloosa County Circuit Court in March 2015 for unlawful possession of marijuana, first degree, and was convicted in federal court in the Northern District of Alabama in January 2009 for unlawful receipt of firearms.
The minimum penalty for conspiracy to distribute cocaine and for distributing 500 grams or more of cocaine is five years in prison. The maximum penalty for conspiracy to distribute cocaine and for distributing 500 grams or more of cocaine is 40 years in prison and a $5 million fine. The maximum penalty for being a convicted felon in possession of firearms is 10 years in prison and a $250,000 fine, and the maximum penalty for using a facility in interstate commerce to facilitate an unlawful activity is five years in prison and a $250,000 fine.
Today’s indictment supersedes an August indictment that charged Blanks with conspiracy to possess with intent to distribute cocaine, possession with intent to distribute cocaine and being a convicted felon in possession of a firearm.
ATF and the West Alabama Narcotics Task Force investigated the case, which the U.S. Attorney’s Office for the Northern District of Alabama is prosecuting.
An indictment contains only charges. A defendant is presumed innocent unless and until proven guilty.
Treyton Thomas Charged in Multi-Million Dollar Investment Fraud SchemeRead the Press Release
RALEIGH – The United States Attorney’s Office for the Eastern District of North Carolina announces that TREYTON LEE THOMAS, age 60, appeared today before a federal magistrate judge, in Charlottesville, Virginia, and was advised that he had been charged in an Indictment, returned by a grand jury in the Eastern District of North Carolina, with wire fraud, bank fraud and money laundering. When federal law enforcement agents and the Albemarle County police officers went to arrest him, THOMAS was armed and attempted to flee. The government has moved for pretrial detention. THOMAS elected to challenge the government’s detention motion in Charlottesville. The hearing is scheduled for Monday, December 5, 2016, in Charlottesville.
The Indictment alleges that THOMAS, who represented himself as a successful Harvard educated investment advisor, defrauded his father’s business, NC&VA Warranty of Roxboro, North Carolina, and several of its customers of millions of dollars by promising to invest their money in United States Treasury Bills. NC&VA sold warranties through used car dealerships and administered warranties sold by others, including Auto Protection Plus of Whiteville and Matthews Motors of Clayton. The money THOMAS promised to conservatively invest was set aside to cover all warranty claims if the premiums were insufficient. THOMAS, contrary to his promises and representations, either lost the money in risky trading in commodities, futures and foreign exchange markets or funded his extravagant lifestyle in Naples, Florida. THOMAS’s wife and father-in-law also invested with him, believing they were purchasing T-Bills. According to the Indictment, their money was similarly lost in risky trading or spent by THOMAS.
The on-line brokerage firms THOMAS used to conduct the trades were opened in the name of a Cayman Island corporation, Marbury Advisors. To assure his investors that the money was invested in T-Bills, THOMAS provided them and the banks that were monitoring the investments, US Bank and Fidelity Bank of Fuquay-Varina, with false information, misleading documents and fabricated statements.
THOMAS was also charged with three counts of bank fraud and one count of making a false statement to a financial institution relating to nearly 1.5 million dollars fraudulently obtained in loans from Wachovia and Southern Bank and Trust. Three additional counts of the Indictment charge THOMAS with money laundering, conducting financial transactions in excess of $10,000 with proceeds of the wire fraud scheme.
According to the Indictment, THOMAS lost more than $4,500,000 and spent more than $1,600,000 of the fraud proceeds to pay personal expenses.
Each wire and bank fraud count carries a maximum penalty of 30 years’ incarceration and a $1,000,000 fine. The money laundering counts carry a maximum penalty of 10 years’ imprisonment and a $250,000 fine. The Indictment also contained a notice that the government intends to seek the forfeiture of approximately $7.2 million from THOMAS upon conviction.
The charges and allegations contained in the Indictment are merely accusations. The defendant is considered innocent unless and until proven guilty in a court of law.
The case is being investigated by the Federal Deposit and Insurance Corporation, the Internal Revenue Service and the United States Secret Service.
Texas Man Faces Multiple Charges for Stealing from Dead Man’s Retirement FundRead the Press Release
BIRMINGHAM – A federal grand jury today indicted a Texas man in connection to a scheme to steal more than $545,000 from a retirement account after the account owner and his designated beneficiary both died, announced U.S. Attorney Joyce White Vance and FBI Special Agent in Charge Roger C. Stanton.
An 11-count indictment filed in U.S. District Court charges DWAYNE ELLIS BAPTISTE, 43, with four counts of wire fraud, one count of mail fraud, four counts of money laundering and one count of aggravated identity theft.
According to the indictment, Baptiste lived in Huntsville in 2011 and was acquainted with Ralph Swinehart, who along with his father, Ronald Swinehart, also lived in Huntsville. Ronald Swinehart was a retired employee of Lockheed Martin Corporation and had a retirement savings account through the company. The retirement account was held at ING Institutional Plan Services.
In September 2011, Ronald Swinehart signed and executed a durable power of attorney naming his son Ralph Swinehart as his agent. Ronald Swinehart died on Oct. 11, 2011. His son died on Oct. 23, 2011.
Baptiste filed a fraudulent power of attorney in Madison County Probate Court in October appointing himself as Ronald Swinehart’s agent, according to the indictment. In December 2011, Baptiste opened two commercial accounts, which he controlled, in the name of Swinehart Investment Solutions at BBVA Compass Bank. Baptiste also changed the beneficiary designation on Ronald Swinehart’s retirement account from Ralph Swinehart to himself, according to the indictment.
Baptiste then changed the bank account information on Ronald Swinehart’s retirement account, directing any distributions to be made to one of the BBVA accounts.
Baptiste committed four counts of wire fraud when he directed four transfers, totaling $545,669, from the retirement account to a BBVA account, the indictment charges.
Baptiste committed aggravated identity theft when he used Ronald Swinehart’s name, Social Security number and address, to conduct the wire fraud and mail fraud, according to the indictment.
Baptiste committed mail fraud when, on Dec. 9, 2011, he mailed to ING a package containing a fraudulent “spousal consent form,” required for making withdrawals from the ING retirement account, the indictment charges. The form purported to bear Ronald Swinehart’s signature and noted that his wife, Rosalie Swinehart, was deceased.
According to the indictment, Baptiste laundered money as follows:
On Dec. 28, 2011, he withdrew $496,085 from the BBVA account he had directed the retirement funds into, then deposited $375,000 into a new account he opened at BBVA in the name of Baptiste Inc. On Jan. 27, 2012, Baptiste drew a $225,000 check to “cash” on the new BBVA account, and three days later opened a “Baptiste Inc.” account at Regions Bank and deposited into it a $225,000 BBVA cashier’s check.
On Feb. 7, 2012, according to the indictment, Baptiste withdrew $225,000 from the Regions account.
The maximum penalty for wire fraud and mail fraud is 20 years in prison and a $1 million fine. The maximum penalty for money laundering is 30 years in prison and a $1 million fine. The penalty for aggravated identity theft is two years in prison, which must be served after completion of any other sentence imposed for an associated crime.
The FBI investigated the case, which Assistant U.S. Attorney’s Manu Balachandran and John B. Ward are prosecutingAn indictment contains only charges. A defendant is presumed innocent unless and until proven guilty.
Tahlequah Woman Pleads Guilty to Drug ConspiracyRead the Press Release
MUSKOGEE, OKLAHOMA – The United States Attorney’s Office for the Eastern District of Oklahoma announced that SHEENA CHANDEL MEIKLE, age 27, of Tahlequah, Oklahoma, pled guilty to DRUG CONSPIRACY, in violation of Title 21, United States Code, Sections 846, 841(a)(1), and 841(b)(1)(A), punishable by not less than 10 years or more than life imprisonment, and up to a $10,000,000.00 fine or both.
The Superseding Indictment alleged that in or about the end of 2013, the exact date being unknown, and continuing until on or about January 27, 2016, the Defendant, did willfully and knowingly combine, conspire, confederate and agree together, and with other persons known and unknown, to Possess with Intent to Distribute and to Distribute 500 grams or more of a mixture or substance containing a detectable amount of Methamphetamine, a Schedule II Controlled Substance.
The charges arose from a joint investigation by the Oklahoma Bureau of Narcotics, the Tahlequah Police Department, the Muskogee Police Department, the Oklahoma Department of Corrections, the Bureau of Indian Affairs and the Drug Enforcement Administration. The investigation was coordinated by the Organized Crime Drug Enforcement Task Force (OCDETF) of the Eastern District of Oklahoma. OCDETF is an initiative led and coordinated by the Office of the United States Attorney.
The Honorable Kimberly E. West, Magistrate Judge in the United States District Court for the Eastern District of Oklahoma, in Muskogee, accepted the plea and ordered the completion of a presentence investigation report. The defendant will remain in custody pending a sentencing hearing.
Assistant United States Attorney Shannon Henson represented the United States.
St. Thomas Man Sentenced to 30Months in Prison for Possession of Firearmby Convicted FelonRead the Press Release
St. Thomas, USVI – District Court Judge Curtis V. Gomez sentenced Anthony Williams, Sr., 48, to 30 months’ imprisonment and three years of supervised release for possession of a firearm by a convicted felon, United States Attorney Ronald W. Sharpe announced. Judge Gomez ordered Williams to pay a $100 special assessment and to perform 300 hours of community service.
On June 23, 2016, Williams pleaded guilty to possession of a firearm by a convicted felon. According to the plea agreement filed with the court, on September 16, 2015, Williams was found in possession of a 9mm caliber Taurus pistol while he was on the University of the Virgin Islands, St. Thomas campus grounds.Williams was previously convicted in the United States District Court for the Middle District of North Carolina for conspiracy to possess with intent to distribute marijuana, possession of a firearm during a drug trafficking offense, and possession of a stolen firearm.
This case was investigated by the Virgin Islands Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives. It was prosecuted by Assistant United States Attorney Meredith Edwards.
St. Thomas Man Pleads Guilty to Being an Unlawful Drug User in Possession of a FirearmRead the Press Release
St. Thomas, USVI – Teshawn Nisbett, 22, of St. Thomas, Virgin Islands, pleaded guilty on November 30, 2016, in federal court to possession of a firearm by an unlawful drug user,United States Attorney Ronald W. Sharpe announced. Sentencing is scheduled for April 6, 2017.
According to the plea agreement filed with the court, on August 4, 2016, special agents with the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) recovered a Glock pistol from Nisbett, who was a daily user of marijuana, and had been such an unlawful drug user for the past five years.
The case was investigated by the ATF and is being prosecuted by Assistant U.S. Attorney Meredith Edwards.
Springfield Woman Sentenced to 21 Years for Meth ConspiracyRead the Press Release
SPRINGFIELD, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a Springfield, Mo., woman was sentenced in federal court today for her role in a conspiracy to distribute methamphetamine in the Springfield area.
Ronda L. Easton, 53, of Springfield, was sentenced by U.S. District Judge M. Douglas Harpool to 21 years in federal prison without parole.
On June 29, 2016, Ronda Easton pleaded guilty to participating in a conspiracy to distribute methamphetamine, to possessing a firearm in furtherance of a drug-trafficking crime and to participating in a money-laundering conspiracy.
Ronda Easton is among eight co-defendants who have pleaded guilty, including Michael P. Ayala, 38, Steven A. Easton, 49, James M. Parker, 46, Robert M. Cardenas, Jr., 28, Cody D. Keller, 34, and David M. Climer, 37, all of Springfield, and Michael D. Thompson, 58, of Goodyear, Ariz.
Ronda Easton admitted that she had been distributing large amounts of methamphetamine that she purchased from Ayala. She paid Ayala $9,000 per pound of methamphetamine and sold it for $12,000 per pound. She stated that she received methamphetamine from Ayala every seven to 10 days and referred to one recent shipment of 10 pounds of methamphetamine.
Ayala admitted that he supplied methamphetamine to Steven Easton for distribution in the Springfield area until his wife, Ronda Easton, was released from state prison and took over the methamphetamine distribution operation in Springfield. The methamphetamine arrived by mail and was transported by vehicles from Arizona. Ronda Easton sold pound quantities to Parker, Keller, and Climer. Thompson and Cardenas delivered the methamphetamine by vehicle from Arizona to Missouri.
On April 15, 2015, law enforcement officers in New Mexico stopped a Jeep Commander driven by Cardenas, with Thompson as a passenger, and seized approximately 14.5 pounds of methamphetamine hidden inside a compartment near the back of the vehicle. They also seized a bundle that contained 2,228 grams of methamphetamine inside a luggage bag. Cardenas told investigators that Ayala had paid him $1,700 to drive the vehicle from Arizona to Springfield.
The next day, a controlled delivery of methamphetamine was made to Ayala in Springfield. Ayala was arrested in a traffic stop and officers found a Springfield Armory 9mm semi-automatic pistol in the vehicle, as well as ammunition, syringes, and $19,231. Ayala must forfeit the Jeep Commander, the firearm and ammunition, and the cash to the government.
On Jan. 5, 2015, law enforcement officers executed a search warrant at a residence shared by Ayala and Ronda Easton. They seized four large Tupperware containers containing a total of approximately 1.5 kilograms of pure methamphetamine, a black brief case containing baggies of methamphetamine and $1,520, a Taurus .410-caliber shotgun, a Cobra .380-caliber semi-automatic pistol, a loaded Quality Firearms .38-caliber revolver, a loaded Springfield Armory 9mm pistol, a Smith and Wesson .40-caliber pistol, and $14,779 in a purse.
Ayala and Ronda Easton admitted that they used the proceeds from distributing methamphetamine to buy assets, which also concealed the source of their proceeds, including a residential property and a 2012 Ford Mustang that must be forfeited to the government.
This case is being prosecuted by Assistant U.S. Attorney Nhan D. Nguyen. It was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, IRS-Criminal Investigation, the Springfield, Mo., Police Department, Immigration and Customs Enforcement's (ICE) Homeland Security Investigations (HSI), the Missouri State Highway Patrol, the Yavapai County, Ariz., Sheriff’s Department, the Bernalillo County, N.M., Sheriff’s Department, and the Franklin County, Mo., Sheriff’s Department.
South Bay Man Sentenced to over 7 Years in Federal Prison for Receiving Child Pornography and Compiling Large CollectionRead the Press Release
LOS ANGELES – A Torrance man has been sentenced to 87 months in federal prison for amassing a collection of more than 20,000 images and videos of child pornography that he made available to others via the BitTorrent peer-to-peer file-sharing system.
Jace Jeanes, 39, was sentenced on Monday by United States District Judge Michael W. Fitzgerald. Following the completion of his prison term, Jeanes will be on supervised released for the rest of his life.
Jeanes pleaded guilty in July to one count of receiving child pornography. In a plea agreement filed with the court, Jeanes admitted possessing approximately 19,885 images and approximately 243 videos of child pornography.
In relation to the charge of receiving child pornography, Jeanes admitted receiving child pornography on his laptop computer in March 2014, specifically two videos depicting graphic images of child molestation. Days after receiving the child pornography, an undercover law enforcement officer used BitTorrent to download more than 2,800 images and videos of child pornography from Jeanes’ computer and two hard drives.
“Every act of child molestation is a heinous offense, and the victimization of the child continues when the act is recorded and the recording is shared or possessed,” said United States Attorney Eileen M. Decker. “These images and videos are a permanent record of the initial crime, and my office is committed to prosecuting participants of the underground market of visual depictions of that crime.”
Following his release from prison, Jeanes will be required to register as a sex offender and to avoid places where children are present.
The investigation into Jeanes was conducted by the Federal Bureau of Investigation. The case was prosecuted by Assistant United States Attorney Christina T. Shay of the Violent and Organized Crime Section.
Slidell Man Sentenced for Operating a National Ponzi SchemeRead the Press Release
U.S. Attorney Kenneth A. Polite announced that JOHN SPOSATO, age 64, of Slidell, was sentenced today after previously pleading guilty to wire fraud for his role in promoting and operating a national Ponzi scheme.
U.S. District Judge Susie Morgan sentenced SPOSATO to 84 months imprisonment to be followed by 3 years of supervised release. Additionally, SPOSATO was ordered to pay $2,559,725 in restitution.
According to court documents, since approximately 2010, SPOSATO was affiliated with, owned, or operated numerous different companies, including Pegasus Investment & Development Corporation, LLC; Pegasus Investments; Oil Eaters, LLC; Organic Miracle Incorporation; S&J Corporate Properties, LLC; Pegasus Demolition & Debris Removal Service, LLC; and Pegasus Truck Lines, Inc. SPOSATO represented to potential investors that the companies were all investment entities that offered participants the chance to invest in various low-risk, high-reward investment vehicles, including international bank instruments, cutting edge oil remediation and recovery products, and real estate transactions. SPOSATO primarily relied upon word-of-mouth and e-mail correspondence, in which he fraudulently represented that he had knowledge and expertise in financial investing, to attract new investors. SPOSATO told investors that the alleged investments were safe, secure, and never at risk.
In fact, SPOSATO did not actually invest the money in any legitimate investment vehicle, instead using it to make retail purchases for himself and his friends for various goods and services, including luxury items such as a new Chevrolet Camaro for one girlfriend and breast augmentation surgery for another girlfriend. In total, between about January 2010, and April 2014, approximately forty-eight (48) individuals invested approximately $811,305 with SPOSATO and his companies.
To perpetuate his scheme, SPOSATO guaranteed extraordinarily high rates of return – rates much higher than market rates – for so called “guaranteed” investments to potential investors, such as a $25,000 investment in “oil-clean remediation work” in the Gulf of Mexico and another $25,000 investment in the purchase of “1,000,000 gallons of EP 55 Bio Fertile” fertilizer. SPOSATO promised that the first investment would result in a profit of $25,000 within approximately two weeks and the second investment would result in a profit of up to $3,000,000 within one year. SPOSATO provided prospective investors false or fraudulent documents to make the investments appear legitimate and to conceal the true nature of the Ponzi scheme. When investors became impatient, SPOSATO used new investor money to make lulling payments to other investors, which he characterized as partial payments for investments with an overdue return, in an effort to give investors a false sense of security, to deceive investors into believing their money was invested legitimately, and to conceal the true nature of the Ponzi scheme.
U.S. Attorney Polite praised the work of the Federal Bureau of Investigation in investigating this matter. Assistant United States Attorney Jordan Ginsberg was in charge of the prosecution.
San Antonio Texas Mexican Mafia Member Sentenced to Life in Federal Prison for Role in Multiple MurdersRead the Press Release
In San Antonio this morning, 38-year-old Texas Mexican Mafia (TMM) “Lieutenant of Lieutenants” Ruben Reyes (aka “Menace”) was sentenced to five consecutive life-in-federal-prison terms for the murders of four TMM members and Balcones Heights Police Officer Julian Pesina announced United States Attorney Richard L. Durbin, Jr., and Federal Bureau of Investigation Special Agent in Charge Christopher Combs, San Antonio Division.
In addition, Senior U.S. District Judge David A. Ezra recommended that Reyes serve his prison term at the Federal Bureau of Prisons Administrative Maximum Facility (ADX) “Supermax” facility in Florence, CO.
On July 28, 2016, Reyes pleaded guilty to five counts of aiding and abetting the using and discharging of a firearm during and in relation to a crime of violence; and, five counts of violent crime (murder) in aid of racketeering (VICAR).
By pleading guilty, Reyes admitted to killing TMM member Ulysses Farias in front of his family in San Antonio on October 12, 2013, in order to improve standing in the TMM. According to court records, Reyes and TMM member Jerry Moreno carried out the execution based on concerns by TMM leadership that Farias was purportedly talking to federal authorities; and, despite being warned not to because it violated TMM rules, Farias took his wife with him on “dime” collection runs. The “dime” is a 10 percent tax imposed by the TMM on individuals who sell narcotics in their territory for assistance in collecting drug debts as well as a degree of protection from robbery and competing drug dealers.
Reyes also admitted to shooting and killing TMM “Captain” Mark Anthony Bernal (aka “Lefty”), TMM “General” Carlos Chapa (aka “Worm”), and TMM “Lieutenant of Lieutenants” Johnny Solis (aka “Smiley”) in San Antonio on January 13, 2014, for their alleged mishandling of approximately $60,000 and making poor decisions in regards to the TMM daily operations. Reyes subsequently transported and buried the bodies of Bernal, Chapa and Solis in Pearsall, TX.
Reyes also admitted responsibility for ordering the murder of Balcones Heights Police Officer Julian Pesina outside his “Notorious Ink Tattoo and Piercing Studio” on May 4, 2014. Court records state that although he was a police officer, Pesina was simultaneously claiming membership in the TMM, had tattoos consistent with such membership, and was selling drugs to TMM members. Reyes, under orders from TMM leadership, ordered a TMM member, a TMM prospect, and another TMM member, who was not in good standing, to carry out the murder of Pesina. The firearms used to kill Pesina were subsequently given to Reyes.
“Reyes was aptly nicknamed. The outstanding efforts of the investigators from the cooperating law enforcement agencies have removed this ‘menace’ from the streets and made San Antonio safer,” stated United States Attorney Richard L. Durbin, Jr.
This investigation was conducted by the FBI together with the San Antonio Police Department, Texas Department of Public Safety Criminal Investigations Division, Bexar County Sheriff’s Department, Frio County Sheriff’s Department, and the Texas Department of Criminal Justice.
Retired OPSO Colonel Sentenced for Fraudulent Employment SchemeRead the Press Release
U.S. Attorney Kenneth A. Polite announced that ROY AUSTIN, age 69, of St. Tammany Parish and a retired Colonel of the Orleans Parish Sheriff’s Office (“OPSO”), was sentenced today after previously pleading guilty to conspiracy to commit wire fraud.
U.S. District Judge Kurt D. Engelhardt sentenced AUSTIN to six months imprisonment followed by six months of home confinement, all to be followed by three years of supervised release. In addition, AUSTIN was ordered to pay $83,914 in restitution and perform 200 hours of community service.
According to court documents, AUSTIN admitted that in his role as a Colonel in OPSO he arranged for security details through a private company (Austin Sales and Service) for local entities and events, including Mardi Gras Krewes, music and food festivals, and sporting events, and engaged in a scheme to defraud those local entities and events by padding the billing documents with names of individuals who did not in fact provide any security services (“Ghost Employees”).
Additionally, AUSTIN admitted that after submitting the fraudulently inflated invoices via interstate wires, AUSTIN kept a portion of the overbilled amount in the Austin Sales and Service corporate bank account for his own personal use. In some instances, AUSTIN drafted Austin Sales and Service corporate checks made payable to the Ghost Employees who did not work and then fraudulently endorsed those checks and deposited them into his personal bank account for his own personal use. AUSTIN also admitted drafting checks made payable to other OPSO employee(s)’ family members under the fraudulent guise of payments for detail work that in fact did not take place as those employee(s)’ share of the fraudulently collected funds.
U.S. Attorney Polite praised the work of the Federal Bureau of Investigation in investigating this matter and would also like to acknowledge the assistance provided by the Louisiana Legislative Auditors. Assistant U.S. Attorney Sean Toomey was in charge of the prosecution.
Rehoboth Woman Convicted of Social Security FraudRead the Press Release
BOSTON – A Rehoboth woman was convicted today by a federal jury in U.S. District Court in Boston in connection with illegally collecting more than $29,000 in Social Security benefits.
Joanna Boyer, 44, was convicted following a three-day jury trial of one count of Social Security Fraud, two counts of making false statements and one count of theft of public money. U.S. District Judge Denise J. Casper scheduled sentencing for March 8, 2017.
From 2010 to 2015, Boyer collected Supplemental Security Income (SSI) benefits, which are only available to people with limited financial means. While collecting these need-based benefits, Boyer concealed the fact that she owned a condominium in Fall River, Mass. On two occasions, when directly asked by Social Security personnel about her property ownership, she denied owning any real estate other than her house in Rehoboth. As a result, she collected more than $29,000 in benefits that she was ineligible to receive.
The charges of Social Security fraud and making false statements each provide for a sentence of no greater than five years in prison, three years of supervised release, and a fine of $250,000 or twice the gross gain or loss, whichever is greater. The charge of theft of public money provides for a sentence of no greater than 10 years in prison, three years of supervised release, and a fine of $250,000 or twice the gross gain or loss, whichever is greater. Actual sentences for federal crimes are typically less than the maximum penalties. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Carmen M. Ortiz and Scott Antolik, Special Agent in Charge of the Social Security Administration, Office of the Inspector General, Office of Investigations, Boston Field Division made the announcement today. Special Assistant U.S. Attorney Timothy Landry and Assistant U.S. Attorney Anne Paruti of Ortiz’s Major Crimes Unit are prosecuting the case.
Portland Man Sentenced to 16½ Years for Armed Bank RobberiesRead the Press Release
Contact: Michael J. Conley
Assistant United States Attorney
Tel: (207) 780-3257Portland, Maine: United States Attorney Thomas E. Delahanty II announced that Neil West, Sr., 65, of Portland, was sentenced today in U.S. District Court by Chief Judge Nancy Torresen to 14½ years in prison and five years of supervised release for armed bank robbery and conspiracy to commit bank robbery. The charges arose out of the September 2015 robberies of University Credit Union (UCU) in Portland and TD Bank (TDB) in Lewiston. West was found guilty on July 28, 2016 following a jury trial. West was also ordered to serve a consecutive two-year sentence for violating conditions of supervised release.
According to court records, on September 4, 2015, co-conspirators Joseph Richards and Crystal Default robbed UCU. On September 12, 2015, Richards robbed TDB. West served as the getaway driver for both robberies. The TDB robbery resulted in a high-speed chase which culminated in Saco. Following the chase, West and Richards were arrested.
At the time of the robberies, West was on federal supervised release for being an Accessory After the Fact (to Bank Robbery) and for which he received a 41-month prison sentence in June 2013. His conditions of release prohibited him from committing another federal offense.
On September 14, 2016, Richards was sentenced to 15 years in prison. On October 4, 2016, Dufault was sentenced to three years in prison.
In sentencing West, Chief Judge Torresen noted that bank robberies cause “great emotional harm to tellers and customers and put people at risk.” She also noted that West’s lengthy criminal history and his “extremely reckless driving through residential neighborhoods at high rates of speed” while absconding were both aggravating factors warranting the stiff sentence.
The joint investigation was conducted by the Franklin (New Hampshire), Manchester (New Hampshire), Freeport, Portland, Lewiston, Old Orchard Beach and Saco (Maine) Police Departments; the Maine State Police; and the Southern Maine Gang Task Force comprised of agents and officers from the Federal Bureau of Investigation; the Bureau of Alcohol, Tobacco, Firearms and Explosives; the U.S. Drug Enforcement Administration; U.S. Immigration and Customs Enforcement’s Homeland Security Investigations; and the Portland, South Portland, Lewiston and Biddeford Police Departments.
U.S. Attorney Delahanty praised the cooperation among these law enforcement agencies noting that “these armed bank robberies were quickly solved because local, state, and federal law enforcement agencies across two states worked closely together.”
Pine Ridge Man Found Guilty for Assaulting a Federal OfficerRead the Press Release
United States Attorney Randolph J. Seiler announced that Franklin Long Black Cat, age 23, of Pine Ridge, South Dakota, was found guilty of Assaulting a Federal Officer as a result of a federal bench trial in Rapid City, South Dakota.
The charge carries a maximum penalty of 8 years in custody and/or a $250,000 fine, 3 years of supervised release, and a $100 special assessment to the Federal Crime Victims Fund.
The charge relates to Long Black Cat assaulting a federal law enforcement officer by spitting on, and physically resisting, a deputy U.S. Marshal on July 1, 2016, at Rapid City.
This case was investigated by the U.S. Marshals Service. Assistant U.S. Attorney Megan Poppen prosecuted the case.
A sentencing date will be set. Long Black Cat was remanded to the custody of the U.S. Marshals Service.
Philadelphia Bar Owner and Former Investment Advisor Sentenced to 78 Months and Ordered to Pay 429,000 Restitution for Defrauding Clients in Order to Purchase A South Street BarRead the Press Release
William Joseph Boyle, 47, of Bala Cynwyd, Pennsylvania, was sentenced today to 78 months and ordered to pay $429,000 in restitution, 3 years supervised release, $1000 special assessment, and forfeiture of $415,000. following his convictions on five counts of mail fraud, three counts of wire fraud, one count of securities fraud, and one count of investment adviser fraud, announced United States Attorney Zane David Memeger.
Boyle had previously pled guilty and admitted that he continued to hold himself out as a stock broker and investment adviser even after his licenses were suspended and after he was permanently barred by FINRA from working as a stock broker or otherwise associating with a firm that sold securities to the public. Boyle also admitted that he failed to disclosing to his clients that he had been barred and his licenses suspended, and also that he defrauded clients, most of whom were elderly, out of over $400,000, convincing them to invest with him and utilize his services as a financial adviser and promising to invest their money in stocks, Pennsylvania municipal bonds, interest bearing investments, and real estate, while in reality Boyle spent almost all of their money on himself, including giving client money to his wife and ex-wife, paying his children’s Catholic school tuition, and purchasing, renovating, and operating a bar called “The Blarney South Bar and Grille,” located on South Street in Philadelphia (which Boyle renamed “The Boyler Room,” after himself).
At the sentencing hearing, several of Boyle’s victims spoke about the economic and emotional harm they suffered as a result of Boyle’s fraud.
The case was investigated by the Department of Homeland Security Investigations, and is being prosecuted by Assistant United States Attorney Michael S. Lowe.
Palm Beach Resident Pleads Guilty in Stolen Identity Tax Fraud SchemeRead the Press Release
A Palm Beach resident pled guilty for his participation in a stolen identity tax fraud scheme.
Wifredo A. Ferrer, U.S. Attorney for the Southern District of Florida, and Kelly R. Jackson, Special Agent in Charge, Internal Revenue Service, Criminal Investigation (IRS-CI), made the announcement.
Raphael Oswald, a/k/a Mackenson R. Olibrice,37 Rivera Beach, Florida, pled guilty to one count of wire fraud, in violation of Title 18, United States Code, Section 1343, one count of theft of public money, in violation of Title 18, United States Code, Section 641, and one count of aggravated identity theft, in violation of Title 18, United States Code, Section 1028A.
According to court documents, in August 2013, law enforcement began investigating Oswald for identity theft charges related to his use of the stolen identity of a woman to purchase and finance a 2006 Porsche and BMW X-5 in New York. Specifically, the defendant walked into two separate car dealerships and presented a fraudulent passport and fraudulent Florida driver’s license in the name of the woman but bearing Oswald’s photo.
During the course of the initial identity theft investigation, a separate tax refund fraud scheme involving Oswald was discovered. Oswald possessed and used stolen personal identifying information of numerous individuals, and used the information to file fraudulent tax returns and collect tax refunds in the name of those individuals. More than one hundred fraudulent federal tax returns were filed, and the fraudulent refunds totaling $139,308 were directed into bank accounts in the name of Oswald’s company. Oswald then made a series of cash withdrawals and made several purchases for personal items from the bank accounts.
Oswald is scheduled to be sentenced on February 7, 2017 before United States District Judge Cecilia M. Altonaga. At sentencing, the defendant faces up to twenty years in prison for the wire fraud charge, up to ten years in prison for the theft of public money charge, and two years’ imprisonment, consecutive to any other prison term, for the aggravated identity theft charge.
Mr. Ferrer commended the investigative efforts of IRS-CI. This case is being prosecuted by Assistant U.S. Attorney Cynthia R. Wood.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.
Owner of Nevada Dry Cleaner Pleads Guilty to Obstructing the Administration of the Internal Revenue LawsRead the Press Release
A Las Vegas, Nevada woman pleaded guilty today to corruptly endeavoring to obstruct the due administration of the internal revenue laws, announced Principal Deputy Assistant Attorney General Caroline D. Ciraolo, head of the Justice Department’s Tax Division, and U.S. Attorney Daniel G. Bogden of the District of Nevada.
According to the plea agreement, from at least 2005 through 2009, Judith Woodward, then known as Judith Atwell, 58, was the 99 percent owner and joint operator of a Las Vegas dry cleaning business, Canyon Gate Cleaners, which she held under an entity named Canyon Enterprises LLC.
Woodward admitted that she filed false 2005 through 2009 U.S. Returns of Partnership Income (Forms 1065), which underreported the gross receipts for Canyon Enterprises LLC. Woodward concealed the true gross receipts by failing to deposit certain cash receipts into any bank account, and depositing hundreds of thousands of dollars of other cash receipts into personal bank accounts that she controlled. Woodward provided her return preparer with false information regarding business deductions, and only provided the business bank account records, which omitted the cash receipts. Woodward used the unreported cash receipts to pay for personal expenses, including vehicles and personal credit card payments.
Woodward also admitted to filing false 2005 through 2009 U.S. Individual Income Tax Returns (Forms 1040), on which she underreported partnership income received from Canyon Enterprises LLC.
In 2010, Woodward made false and misleading statements to an Internal Revenue Service (IRS) special agent that all cash business receipts were deposited into the Canyon Enterprises LLC business bank accounts, that she assumed all income from all sources was reported on her filed tax returns, and that the maximum amount of cash she had on hand between 2004 and 2009 was $100,000. Woodward admitted to causing a loss to the IRS of approximately $212,000.
Sentencing is scheduled for March 9, 2017. Woodward faces a statutory maximum sentence of three years in prison, as well as a period of supervised release, restitution and monetary penalties.
Principal Deputy Assistant Attorney General Ciraolo and U.S. Attorney Bogden thanked special agents of the IRS-Criminal Investigation, who conducted the investigation, and Trial Attorneys Christopher S. Strauss and Eric C. Schmale of the Tax Division, who are prosecuting the case.
Additional information about the Tax Division and its enforcement efforts may be found on the division’s website.
Owner of Las Vegas Dry Cleaner Pleads Guilty to Obstructing the Administration of the Internal Revenue LawsRead the Press Release
LAS VEGAS, Nev. – A Las Vegas woman pleaded guilty today to corruptly endeavoring to obstruct the due administration of the internal revenue laws, announced Principal Deputy Assistant Attorney General Caroline D. Ciraolo, head of the Justice Department’s Tax Division, and U.S. Attorney Daniel G. Bogden of the District of Nevada.
According to the plea agreement, from at least 2005 through 2009, Judith Woodward, then known as Judith Atwell, 58, was the 99 percent owner and joint operator of a Las Vegas dry cleaning business, Canyon Gate Cleaners, which she held under an entity named Canyon Enterprises LLC.
Woodward admitted that she filed false 2005 through 2009 U.S. Returns of Partnership Income (Forms 1065), which underreported the gross receipts for Canyon Enterprises LLC. Woodward concealed the true gross receipts by failing to deposit certain cash receipts into any bank account, and depositing hundreds of thousands of dollars of other cash receipts into personal bank accounts that she controlled. Woodward provided her return preparer with false information regarding business deductions, and only provided the business bank account records, which omitted the cash receipts. Woodward used the unreported cash receipts to pay for personal expenses, including vehicles and personal credit card payments.
Woodward also admitted to filing false 2005 through 2009 U.S. Individual Income Tax Returns (Forms 1040), on which she underreported partnership income received from Canyon Enterprises LLC.
In 2010, Woodward made false and misleading statements to an Internal Revenue Service (IRS) special agent that all cash business receipts were deposited into the Canyon Enterprises LLC business bank accounts, that she assumed all income from all sources was reported on her filed tax returns, and that the maximum amount of cash she had on hand between 2004 and 2009 was $100,000. Woodward admitted to causing a loss to the IRS of approximately $212,000.
Sentencing is scheduled for March 9, 2017. Woodward faces a statutory maximum sentence of three years in prison, as well as a period of supervised release, restitution and monetary penalties.
Principal Deputy Assistant Attorney General Ciraolo and U.S. Attorney Bogden thanked special agents of the IRS-Criminal Investigation, who conducted the investigation, and Trial Attorneys Christopher S. Strauss and Eric C. Schmale of the Tax Division, who are prosecuting the case.
Additional information about the Tax Division and its enforcement efforts may be found on the division’s website.
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Owner of Chesapeake Barber College Pleads Guilty to $4.5 Million GI Bill FraudRead the Press Release
NORFOLK, Va. – William E. Grobes, IV, 45, of Chesapeake, pleaded guilty today to charges of conspiring to commit wire fraud and money laundering.
According to the statement of facts filed with the plea agreement, Grobes owns the College of Beauty and Barber Culture (CBBC), located in Chesapeake. CBBC was purportedly a barber and cosmetology school approved by the Department of Veterans Affairs to provide education and training to military veterans, including veterans who received tuition assistance under the Post-9/11 GI Bill. Grobes represented to the VA that CBBC provided full-time schooling to hundreds of veteran students beginning in October 2011. In reality, the school was a sham. Most veterans enrolled in CBBC courses received few, if any, hours of instruction from CBBC employees, and there were no tests, exams, or practical exercises given. Rather, students were directed to simply sign in and out of the school each day so that Grobes could report to the VA that they were enrolled and attending. In exchange, CBBC received Post-9/11 GI Bill tuition payments for each veteran from the VA. Based on Grobes’ provision of false information to the VA concerning the number of hours of instruction and the manner and quality of the instruction provided to veteran students, CBBC received over $4.5 million in Post-9/11 GI Bill tuition payments between October 2011 and September 2016.
Grobes was charged by criminal information on November 16, and faces a maximum penalty of 20 years in prison when sentenced on March 8, 2017. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes, as the sentencing of the defendant will be determined by the court based on the advisory Sentencing Guidelines and other statutory factors.
Dana J. Boente, U.S. Attorney for the Eastern District of Virginia; Michael J. Missal, Inspector General, U.S. Department of Veterans Affairs; Andrew L. Traver, Director of the Naval Criminal Investigative Service (NCIS); and Thomas Jankowski, Special Agent in Charge, Washington, D.C. Field Office, IRS-Criminal Investigation (IRS-CI), made the announcement after the plea was accepted by U.S. Magistrate Judge Lawrence R. Leonard. Assistant U.S. Attorney V. Kathleen Dougherty is prosecuting the case.
A copy of this press release may be found on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information may be found on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 2:16-cr-154.
Nicaraguan Man Pleads Guilty to Kidnapping ChargeRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051BUFFALO, N.Y.- Acting U.S. Attorney James P. Kennedy, Jr. announced today that Timothy Miller, 40, of Managua, Nicaragua, pleaded guilty to conspiracy to commit international parental kidnapping before U.S. District Judge Richard J. Arcara. The charge carries a maximum penalty of five years in prison and a $250,000 fine.
Assistant U.S. Attorneys Michael DiGiacomo and Paul Van de Graff, who are handling the case, stated that in 2009, the defendant conspired with co-defendants Kenneth Miller and Lisa Miller to assist Lisa Miller and her daughter in fleeing the United States to Nicaragua. Lisa Miller fled the country in order to prevent her partner Janet Jenkins from visiting her daughter. The two women both had parental rights with the child.
Timothy Miller purchased a one-way plane ticket for Lisa Miller and her daughter to travel from Toronto, Ontario to Nicaragua. Upon their arrival in Nicaragua, Timothy Miller assisted Lisa Miller and her daughter with shelter and financial assistance.
Kenneth Miller was convicted and sentenced. Charges are pending against Lisa Miller whose current whereabouts are unknown as well as those of her daughter. 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 verdict is the culmination of an investigation by the Vermont Office of the United States Marshal’s Service, under the direction of David Damag, and the Vermont Office of the Federal Bureau of Investigation, under the direction of Andrew Vale, Special Agent in Charge.
Sentencing is scheduled for March 23, 2017 at 12:30 before Judge Arcara.
Nebraska City Man Sentenced for Possession of Child PornographyRead the Press Release
United States Attorney Deborah R. Gilg announced that Damian Thompson, 37, formerly of Cedar Creek, Nebraska., was sentenced today in Lincoln, Nebraska, to 70 months in prison by United States Senior District Judge Richard G. Kopf, for possession of child pornography. After his release from prison, Thompson will be required to register as a sex offender and serve a term of five years on supervised release.
In April, 2015, the Nebraska City Police Department executed a search warrant at a Nebraska City address. The search warrant was aimed at locating drugs and evidence of drug dealing at that address. During the execution of that search warrant various items were found on the property, including numerous computers and phones. An officer was attempting to shut off one particular computer and, as he did so, an image of child erotica refreshed on the screen. An initial review of the computer uncovered images and videos of child pornography.
In May, 2015, the investigators obtained another search warrant for the computer equipment found at the property, including the items found at the trailer Thompson advised that he resided in. The items were further examined by the Nebraska State Patrol and approximately 6,000 images and videos were found on the numerous devices, including images of prepubescent minors engaged in sexually explicit conduct. Additionally, evidence was found that Thompson accessed the internet to acquire images of child pornography found on the computer items.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by United States Attorneys’ Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
This case was investigated by the Nebraska City Police Department and the Nebraska State Patrol.
Morgantown man sentenced for synthetic marijuana distribution, money launderingRead the Press Release
CLARKSBURG, WEST VIRGINIA – Randolph Kocan, 61, of Morgantown, West Virginia, was sentenced in federal court today to 87 months in prison for synthetic marijuana distribution and money laundering charges, United States Attorney William J. Ihlenfeld, II, announced.
Kocan was the manager of Mid Nite Adult in Morgantown, West Virginia where he sold synthetic cannabinoids, commonly referred to as “spice”, “K2”, “incense”, or “fake weed” for nearly two years. Synthetic cannabinoids are designer drugs that resemble a controlled substance in molecular structure and actual or intended physiological effect.
He pled guilty in July 2016 to one count of “Conspiracy to Distribute Synthetic Cannabinoids and Schedule I Controlled Substance Analogue,” and one count of “Engaging in a Monetary Transaction with Cash Derived from Specified Unlawful Activity.”
Assistant U.S. Attorney Zelda E. Wesley prosecuted the case on behalf of the government. The Mon Metro Drug and Violent Crime Task Force, a HIDTA-funded initiative, and the Three Rivers Drug Task Force investigated.
U.S. District Judge John Preston Bailey presided.
Minnesota Man Pleads Guilty to Hate Crime for Mailing Threatening Letter to Islamic CenterRead the Press Release
Daniel George Fisher, 57, of Minneapolis, pleaded guilty today to a federal hate crime for writing and mailing a threatening letter to an Islamic Center. Fisher was charged with obstructing, by threat of force, the free exercise of religious beliefs.
The plea was announced by Principal Deputy Assistant Attorney General Vanita Gupta, head of the Justice Department’s Civil Rights Division; U.S. Attorney Andrew M. Luger of the District of Minnesota; and Special Agent in Charge Richard T. Thornton of the FBI’s Minneapolis Division.
According to his guilty plea, in September 2015, Fisher wrote and mailed an anonymous letter to the Tawfiq Islamic Center (TIC), located in Minneapolis. In the letter, the defendant threatened to “blow up your building with all you immigrants in it.” The letter also included statements demonstrating strong anti-Muslim animus. Fisher subsequently admitted to the FBI that he wrote the letter to scare and intimidate the TIC’s Muslim members.
“America protects the free exercise of religion for all people in every community,” said Principal Deputy Assistant Attorney General Gupta. “Threats of violence that target religious communities violate federal law; corrode the ideals of our democracy; and threaten the foundation of an inclusive, free and open society. The Justice Department will continue to vigorously prosecute hate crimes that target people because of where they worship.”
“Threatening to blow up a mosque is simply un-American,” said U.S. Attorney Luger. “It is a bedrock principle of our country, enshrined in the First Amendment to the Constitution, that all people are free to practice their religion of choice. Tens of thousands of law-abiding Muslims do so in Minnesota. The U.S. Attorney's Office and FBI will not allow any resident of our state to have that most basic freedom jeopardized by the threat of violence.”
“Today’s guilty plea affirms that hate crimes directed at our communities based on their religion will not be tolerated,” said Special Agent in Charge Thornton. “We will continue to aggressively investigate and bring to justice those who threaten violence against our citizens who choose to exercise their religious freedom as protected by our Constitution.”
U.S. District Judge Wilhelmina M. Wright of the District of Minnesota accepted Fisher’s plea. Fisher faces up to 20 years in prison and a $250,000 fine.
The FBI’s Minneapolis Division investigated the matter. Assistant U.S. Attorney Angela Munoz-Kaphing of the District of Minnesota and Trial Attorney Olimpia Michel of the Civil Rights Division’s Criminal Section are prosecuting the case.
Fisher Plea Agreement