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Monday 26 September 2016
Four Chinese Nationals and China-Based Company Charged with Using Front Companies to Evade U.S. Sanctions Targeting North Korea’s Nuclear Weapons and Ballistic Missile ProgramsRead the Press Release
Four Chinese nationals and a trading company based in Dandong, China, were charged by criminal complaint unsealed today with conspiring to evade U.S. economic sanctions and violating the Weapons of Mass Destruction Proliferators Sanctions Regulations (WMDPSR) through front companies by facilitating prohibited U.S. dollar transactions through the United States on behalf of a sanctioned entity in the Democratic People’s Republic of Korea (North Korea) and to launder the proceeds of that criminal conduct through U.S. financial institutions.
Assistant Attorney General Leslie R. Caldwell of the Justice Department’s Criminal Division, Assistant Attorney General for National Security John P. Carlin, U.S. Attorney Paul J. Fishman of the District of New Jersey and Assistant Director E.W. Priestap of the FBI’s Counterintelligence Division made the announcement.
On Aug. 3, 2016, a U.S. Magistrate Judge Joseph A. Dickson of the District of New Jersey signed a criminal complaint charging Ma Xiaohong (Ma) and her company, Dandong Hongxiang Industrial Development Co. Ltd. (DHID), and three of DHID’s top executives, general manager Zhou Jianshu (Zhou), deputy general manager Hong Jinhua (Hong) and financial manager Luo Chuanxu (Luo), with conspiracy to violate the International Emergency Economic Powers Act (IEEPA) and to defraud the United States; violating IEEPA; and conspiracy to launder monetary instruments.
Today, the U.S. Department of the Treasury’s Office of Foreign Assets Control (OFAC) also imposed sanctions on DHID, Ma, Zhou, Hong and Luo for their ties to the government of North Korea’s weapons of mass destruction proliferation efforts.
In addition, the department filed a civil forfeiture action for all funds contained in 25 Chinese bank accounts that allegedly belong to DHID and its front companies. The department has also requested tha the federal court in the District of New Jersey issue a restraining order for all of the funds named in the civil forfeiture action, based upon the allegation that the funds represent property involved in money laundering, which makes them forfeitable to the United States. There are no allegations of wrongdoing by the U.S. correspondent banks or foreign banks that maintain these accounts.
“The charges and forfeiture action announced today allege that defendants in China established and used shell companies around the world, surreptitiously moved money through the United States and violated the sanctions imposed on North Korea in response to, among other things, its nuclear weapons program,” said Assistant Attorney General Caldwell. “The actions reflect our efforts to protect the integrity of the U.S. banking system and hold accountable those who seek to evade U.S. sanctions laws.”
“The charges unsealed today reflect our nation’s commitment to using all tools to deter and disrupt weapons of mass destruction proliferators,” said Assistant Attorney General Carlin. “One of the strengths of our sanctions programs is that they prevent sanctioned wrongdoers from engaging in U.S. dollar transactions. Denying the use of the U.S. financial system can greatly curtail illegal activities and disrupt efforts to provide weapons of mass destruction to terrorists and rogue nations. Those who seek to evade our financial sanctions will be fully prosecuted, and we will be unflagging in our efforts to bring them to justice.”
“The FBI takes violations of these laws extremely seriously and will not hesitate to use our full investigative resources to stop this type of illegal activity,” said Assistant Director Priestap. “In this case agents, analysts and forensic accountants from field offices in Phoenix and Newark, as well as FBI Headquarters, all contributed to a successful investigation.”
According to criminal and civil complaints, DHID is primarily owned by Ma and is located near the North Korean border. DHID allegedly openly worked with North Korea-based Korea Kwangson Banking Corporation (KKBC) prior to Aug. 11, 2009, when the OFAC designated KKBC as a Specially Designated National (SDN) for providing U.S. dollar financial services for two other North Korean entities, Tanchon Commercial Bank (Tanchon) and Korea Hyoksin Trading Corporation (Hyoksin). President Bush identified Tanchon as a weapons of mass destruction proliferator in June 2005, and OFAC designated Hyoksin as an SDN under the WMDPSR in July 2009. Tanchon and Hyoksin were so identified and designated because of their ties to Korea Mining Development Trading Company (KOMID), which OFAC has described as North Korea’s premier arms dealer and main exporter of goods and equipment related to ballistic missiles and conventional weapons. The United Nations (UN) placed KOMID, Tanchon and Hyoksin on the UN Sanctions List in 2006. In March 2016, KKBC was added to the UN Sanctions List.
In August 2009, Ma allegedly conspired with Zhou, Hong and Luo to create or acquire numerous front companies to conduct U.S. dollar transactions designed to evade U.S. sanctions. The complaints allege that from August 2009 to September 2015, DHID used these front companies, established in offshore jurisdictions such as the British Virgin Islands, the Seychelles and Hong Kong, and opened Chinese bank accounts to conduct U.S. dollar financial transactions through the U.S. banking system when completing sales to North Korea. These sales transactions were allegedly financed or guaranteed by KKBC. These front companies facilitated the financial transactions to hide KKBC’s presence from correspondent banks in the United States, according to the allegations in the complaints.
As a result of the defendants’ alleged scheme, KKBC was able to cause financial transactions in U.S. dollars to transit through the U.S. correspondent banks without being detected by the banks and, thus, were not blocked under the WMDPSR program.
A complaint is merely an allegation and the defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
The FBI is investigating the case. Trial Attorneys Jennifer Wallis and Michael Parker of the Criminal Division’s Asset Forfeiture and Money Laundering Section, Trial Attorney Christian Ford of the National Security Division’s Counterintelligence and Export Control Section and Chief Barbara Ward and Assistant U.S. Attorneys Joyce Malliet and Sarah Devlin of the District of New Jersey are prosecuting the case. The Criminal Division’s Office of International Affairs provided valuable assistance in this matter.
Fort Thompson Man Sentenced for Failure to Register as a Sex OffenderRead the Press Release
United States Attorney Randolph J. Seiler announced that a Fort Thompson, South Dakota, man convicted of Failure to Register as a Sex Offender was sentenced on September 26, 2016, by U.S. District Judge Roberto A. Lange.
Stuart Dion, age 32, was sentenced to 30 months in custody, 5 years of Supervised Release, and a special assessment to the Federal Crime Victims Fund in the amount of $100.
Dion was indicted by a federal grand jury on December 8, 2015. He pled guilty on July 13, 2016.
The conviction stemmed from Dion failing to register as a sex offender between October 1, 2015 and December 8, 2015. This is Dion’s second federal conviction for failing to register. This sentence will run concurrent with Dion’s Assaulting, Resisting, and Impeding a Federal Officer conviction.
This case was investigated by the U.S. Marshals Service. Assistant U.S. Attorney Meghan N. Dilges prosecuted the case.
Dion was immediately turned over to the custody of the U.S. Marshals Service.
Fort Thompson Man Sentenced for Assaulting, Resisting, and Impeding a Federal OfficerRead the Press Release
United States Attorney Randolph J. Seiler announced that a Fort Thompson, South Dakota, man convicted of Assaulting, Resisting, and Impeding a Federal Officer was sentenced on September 26, 2016, by U.S. District Judge Roberto A. Lange.
Stuart Dion, age 32, was sentenced to 30 months in custody and a special assessment to the Federal Crime Victims Fund in the amount of $100. This sentence will run concurrent to Dion’s federal conviction for Failure to Register as a Sex Offender.
Dion was indicted by a federal grand jury on May 17, 2016. He pled guilty on July 13, 2016.
The conviction stemmed from an incident on April 16, 2016, when an officer with the Bureau of Indian Affairs was dispatched to the Community Building in Fort Thompson, South Dakota about Dion being drunk and trying to fight. Dion was riding a horse and causing a disturbance during a sobriety walk.
The officer responded to the call and attempted to approach Dion.
The officer began driving his patrol vehicle behind the horse and honked his horn and turned on his emergency lights. Dion looked back over his shoulder and the horse began running. The horse began to buck and Dion then fell off the horse. Dion then stood to his feet and attempted to get back on the horse. The officer approached Dion and told him to get on the ground. Dion resisted arrest. During his arrest, he kicked the officer in the stomach and threatened harm to the officer.
This case was investigated by the Bureau of Indian Affairs, Crow Creek Agency. Assistant U.S. Attorney Meghan N. Dilges prosecuted the case.
Dion was immediately turned over to the custody of the U.S. Marshals Service.
Former Town of Cary Employee Pleads Guilty to Falsifying Drinking Water Sampling ResultsRead the Press Release
WILMINGTON – The United States Attorney’s Office announced that today in federal court, CHRISTOPHER DALE MILLER, 41, of Cary, North Carolina, waived indictment and pleaded guilty to making material false statements in connection with sampling required under the Safe Drinking Water Act.
According to the Criminal Information and information in the public record, MILLER was employed by the Town of Cary as a state certified distribution technician. MILLER was responsible for, among other things, collecting water samples for testing from the drinking water system and testing for residual chlorine in the field. MILLER was further responsible for collecting samples from various locations; packaging and placing the samples in a cooler; and delivering them to the Town of Cary’s lab where they were tested for total coliform and bacteria. MILLER, however, failed to do so. The investigation revealed that MILLER made false statements by certifying to the Town of Cary that he obtained water samples from the required locations when, in reality, he only took samples from a few locations. The certified sample locations were submitted along with the lab results to North Carolina Department of Environmental Quality (“NCDEQ”) (formerly known as the North Carolina Department of Environment and Natural Resources). The samples and associated documentation are required as part of the NC DENR’s drinking water monitoring program. By sending falsified samples and documents to NC DENR, MILLER inhibited NC DENR from carrying out its mission to protect public water supplies and thereby public health.
Between August 27, 2014 and December 2014, MILLER falsified documentation for at least 278 samples.
The Town of Cary discovered the falsified sampling in late December 2014 and conducted an internal investigation. MILLER initially lied to his supervisors, and then later, admitted to collecting multiple samples from the same site and falsifying chain of custody documents. MILLER knew that his conduct impacted 225,000 consumers of the public water system.
The Town of Cary terminated MILLER, promptly reported the matter to state officials, and fully cooperated in the federal investigation.
MILLER is scheduled to be sentenced on December 12, 2016.
Investigation of this case was conducted by the United States Environment Protection Agency – Criminal Investigation Division and the North Carolina State Bureau of Investigation – Drug Diversion and Environmental Crimes Unit. Assistant United States Attorney Banumathi Rangarajan handled the prosecution on behalf to the Eastern District of North Carolina with the assistance of EPA Region IV – Regional Criminal Enforcement Counsel/Special Assistant United States Attorney Jennifer M. Lewis.
Florida Woman Sentenced to Prison for Acting as an Illegal Agent of a Foreign Government and Conspiring to Commit Money LaunderingRead the Press Release
WASHINGTON – Amin Yu, 55, of Orlando, Florida, was sentenced to 21 months in federal prison for acting in the U.S. as an illegal agent of a foreign government without prior notification to the Attorney General and for conspiring to commit international money laundering.
Assistant Attorney General for National Security John P. Carlin and U.S. Attorney A. Lee Bentley, III for the Middle District of Florida made the announcement after Yu was sentenced by U.S. District Judge Roy B. Dalton, Jr.
According to the plea agreement, from at least 2002 to February 2014, at the direction of co-conspirators working for Harbin Engineering University (HEU, a PRC-controlled entity) in the People’s Republic of China (PRC), Yu obtained systems and components for marine submersible vehicles from companies in the U.S. She then illegally exported those items to the PRC for use by her co-conspirators in the development of marine submersible vehicles including unmanned underwater vehicles, remotely operated vehicles and autonomous underwater vehicles for HEU and other state-controlled entities. Yu illegally exported items by failing to file Electronic Export Information (EEI), as required by U.S. law and by also filing false EEI. Yu completed and caused the completion of export-related documents in which she significantly undervalued the items that she had exported and provided false end user information for those items.
This case was investigated by the FBI, U.S. Immigration and Customs Enforcement’s Homeland Security Investigations, the IRS Criminal Investigation Division, and the NCIS. It was prosecuted by Assistant U.S. Attorney Daniel C. Irick of the Middle District of Florida and Trial Attorneys David C. Recker and Thea D. R. Kendler of the National Security Division, Counterintelligence and Export Control Section.
Florida Woman Sentenced to Prison for Acting as an Illegal Agent of A Foreign Government and Conspiring to Commit Money LaunderingRead the Press Release
Orlando, FL – Amin Yu, 55, of Orlando, Florida, was sentenced to 21 months in federal prison for acting in the U.S. as an illegal agent of a foreign government without prior notification to the Attorney General and for conspiring to commit international money laundering.
U.S. Attorney A. Lee Bentley, III and Assistant Attorney General for National Security John P. Carlin made the announcement after Yu was sentenced by U.S. District Judge Roy B. Dalton, Jr.
According to the plea agreement, from at least 2002 to February 2014, at the direction of co-conspirators working for Harbin Engineering University (HEU, a PRC-controlled entity) in the People’s Republic of China (PRC), Yu obtained systems and components for marine submersible vehicles from companies in the U.S. She then illegally exported those items to the PRC for use by her co-conspirators in the development of marine submersible vehicles including unmanned underwater vehicles, remotely operated vehicles and autonomous underwater vehicles for HEU and other state-controlled entities. Yu illegally exported items by failing to file Electronic Export Information (EEI), as required by U.S. law and by also filing false EEI. Yu completed and caused the completion of export-related documents in which she significantly undervalued the items that she had exported and provided false end user information for those items.
This case was investigated by the FBI, U.S. Immigration and Customs Enforcement’s Homeland Security Investigations, the IRS Criminal Investigation Division, and the NCIS. It was prosecuted by Assistant U.S. Attorney Daniel C. Irick and Trial Attorneys David C. Recker and Thea D. R. Kendler of the National Security Division, Counterintelligence and Export Control Section.
Final Defendant in FedEx Shipping Theft Scheme Pleads GuiltyRead the Press Release
Memphis, TN – The fifth and final defendant in an interstate shipping theft scheme that defrauded FedEx and wireless carriers of more than $500,000 has pleaded guilty to wire fraud. Edward L. Stanton III, U.S. Attorney for the Western District of Tennessee, announced the guilty plea today.
According to information presented in court, Christopher T. Crawford, 31, of Memphis, Tennessee, is a former FedEx material handler. In 2013, he established a fraudulent FedEx corporate shipping meter account when he called FedEx via a stolen telephone and provided false information to a customer services representative in Arizona to access and utilize a corporate account. Shipping labels were created from the shipping meter account Crawford established.
The account was used by Crawford and known and unknown co-conspirators during their scheme. These individuals used fraudulent FedEx corporate shipping labels to over-label boxes of wireless devices. The boxes were diverted to other known and unknown co-conspirators in New York City and other locations through interstate commerce. Each box of merchandise contained thousands of dollars worth of Verizon and/or AT&T wireless mobile telephones.
Ultimately, this scheme defrauded FedEx and the wireless carriers of between $550,000 and $1.5 million.
In March and July of 2016, Crawford’s co-defendants Akeem Gowdy, 23; and Tavaris Mickens, 23; both of Memphis, Tennessee; Jordan West, 27; and Juan Royal, 24; both of New York City, New York; pleaded guilty to conspiracy and interstate shipping theft charges respectively.
On Monday, September 26, 2016, Crawford pleaded guilty beforeU.S. District Judge John T. Fowlkes Jr. to one count of wire fraud.
He is scheduled to be sentenced on December 15, 2016. Crawford faces up to 20 years in federal prison and a fine of up to $250,000.
The case is being investigated by the United States Secret Service, Federal Bureau of Investigations, and Memphis Cargo Theft Task Force.
Assistant U.S. Attorneys Damon K. Griffin and Tony Arvin are prosecuting this case on the government’s behalf.
Federal Law Enforcement Leaders to Hold Community Open House September 27 at Coeur d’Alene Public LibraryRead the Press Release
COEUR D’ALENE – U.S. Marshal Brian Underwood, FBI Supervisory Special Agent Richard Collodi and U.S. Attorney Wendy Olson will hold a community open house meeting Tuesday, September 27, at the Coeur d’Alene Public Library, 702 East Front Street. Underwood, Collodi and Olson will be in the public meeting room from 3 p.m. to 4:30 p.m. to meet and visit with persons interested in learning more about federal law enforcement in Idaho.
“We will be available for any question, concern or issue community members would like to talk about,” said Olson. “Frankly, we simply want members of the public, whom we serve, to have a chance to personally visit with their federal law enforcement leaders in Idaho. We recognize that it is not always practical for people to come to our offices.”
“Confidence in government and the enforcement of law is achieved by providing true justice and being sincere in our working relationships with all people,” said Underwood. “In Idaho, the work of our local law enforcement is really amazing to see – and we are proud to work with such great professionals and police leadership. Like our local law enforcement partners, we want to ensure that we are doing our part in community policing and relationship building.”
“We are honored to be part of a strong and dedicated law enforcement community serving northern Idaho,” said Collodi. “It is important to take every opportunity to maintain lasting relationships with the community in which we serve.”
Underwood and Olson were both appointed to their positions in 2010 by the President. They serve the entire state of Idaho, which is a single federal judicial district. Collodi supervises the FBI’s Coeur d’Alene office. He has been with the FBI since 2002, and has served in three offices.
Executive Office for Immigration Review Swears in 15 Immigration JudgesRead the Press Release
FALLS CHURCH, VA – The Executive Office for Immigration Review (EOIR) today announced the investiture of 15 new immigration judges. Acting Chief Immigration Judge Michael C. McGoings presided over the investiture during a ceremony held Sept. 23, 2016, in the ceremonial courtroom of the E. Barrett Prettyman U.S. Courthouse, in Washington, D.C.
After a thorough application process, Attorney General Loretta E. Lynch appointed Valerie A. Burch, Timothy M. Cole, Molly S. Frazer, Ivan Gardzelewski, Njeri B. Maldonado, Nancy J. Paul, Robin Kandell Paulino, Jennifer I. Peyton, G. William Riggs, Walter Hammele Ruehle, Ian Robert Simons, Mario J. Sturla, P. Michael Truman, Elizabeth L. Young, and Richard Zanfardino to their new positions.
“We welcome these 15 appointees to the immigration judge corps,” said McGoings. “With these appointments, EOIR now has 291 immigration judges, setting a new all-time high for our immigration judge corps and further strengthening our efforts to address the agency’s pending caseload of more than 500,000.”
Biographical information follows.
Valerie A. Burch, Immigration Judge, San Francisco Immigration Court
Attorney General Loretta E. Lynch appointed Valerie A. Burch to begin hearing cases in September 2016. Judge Burch earned a Bachelor of Arts degree in 2000 from the University of Rochester and a Juris Doctor in 2004 from the Penn State Dickinson School of Law. From 2012 to September 2016, she was an attorney for The Shagin Law Group, in Harrisburg, Pa. From 2007 through 2012, she was a staff attorney for the American Civil Liberties Union of Pennsylvania, in Harrisburg, Pa. From 2004 through 2007, she was a managing attorney for the Pennsylvania Immigration Resource Center, in York, Pa. Judge Burch is a member of the Pennsylvania Bar.
Timothy M. Cole, Immigration Judge, Miami Immigration Court
Attorney General Loretta E. Lynch appointed Timothy M. Cole to begin hearing cases in September 2016. Judge Cole earned both a Bachelor of Arts degree and a Bachelor of Business Administration degree in 2002 from the University of Texas at Austin, and a Juris Doctor in 2007 from the George Mason University School of Law. From April 2014 to September 2016, and previously from 2008 through 2012, he served as an assistant chief counsel for the Office of the Chief Counsel, Immigration and Customs Enforcement, Department of Homeland Security, in Miami. From 2012 through 2014, he served as a special assistant U.S. attorney for the U.S. Attorney’s Office, Southern District of Florida, Department of Justice (DOJ). From 2007 through 2008, he served as a judicial law clerk for the Miami Immigration Court, Executive Office for Immigration Review, DOJ. From 2003 through 2004, he was a volunteer for the AmeriCorps National Civilian Community Corps. Judge Cole is a member of the Virginia State Bar.
Molly S. Frazer, Immigration Judge, Florence Immigration Court
Attorney General Loretta E. Lynch appointed Molly S. Frazer to begin hearing cases in September 2016. Judge Frazer earned a Bachelor of Arts degree in 1983 from the University of Iowa and a Juris Doctor in 1986 from the Drake University Law School. From 2004 to September 2016, she served as a senior attorney for Customs and Border Protection, Department of Homeland Security (DHS), in Tucson, Ariz. From 2000 through 2004 she served as an assistant chief counsel for the former Immigration and Naturalization Service (INS), Department of Justice (DOJ), and Immigration and Customs Enforcement, DHS. From 1996 through 2000, she served as a sector counsel for the U.S. Border Patrol, INS, DOJ. From 1990 through 1996, she was an assistant county attorney for Story County, Iowa. From 1988 through 1990, she was an assistant city attorney for the City of Waterloo, Iowa. From 1986 through 1987, she was an assistant county attorney for Black Hawk County, Iowa. Judge Frazer is a member of the Iowa State Bar and the State Bar of Texas.
Ivan Gardzelewski, Immigration Judge, Denver Immigration Court
Attorney General Loretta E. Lynch appointed Ivan Gardzelewski to begin hearing cases in September 2016. Judge Gardzelewski earned a Bachelor of Arts degree in 2000 from Augustana College and a Juris Doctor in 2004 from the University of Oregon School of Law. From 2007 to September 2016, he served as an assistant chief counsel for the Office of the Chief Counsel, Immigration and Customs Enforcement, Department of Homeland Security, in Denver. From 2009 through 2010, he served as a special assistant U.S. attorney for the U.S. Attorney’s Office, District of Colorado, Department of Justice, in Denver. In 2007, he served as a deputy district attorney for the Colorado Fifth Judicial District Attorney’s Office, in Breckenridge, Colo. From 2004 through 2007, he served as a municipal prosecutor for the Lakewood City Attorney’s Office, in Lakewood, Colo. Judge Gardzelewski is a member of Colorado Bar.
Njeri B. Maldonado, Immigration Judge, Stewart Immigration Court
Attorney General Loretta E. Lynch appointed Njeri B. Maldonado to begin hearing cases in September 2016. Judge Maldonado earned a Bachelor of Arts degree in 2001 from Xavier University of Louisiana and a Juris Doctor in 2005 from the Loyola University School of Law. From 2009 to September 2016, Judge Maldonado served as an assistant chief counsel for the Office of the Chief Counsel, Immigration and Customs Enforcement, Department of Homeland Security, in Atlanta. From 2012 through 2013, she served as a special assistant U.S. attorney for the U.S. Attorney’s Office, Northern District of Georgia, Department of Justice, in Atlanta. From 2005 through 2008, she served an associate attorney for Blue Williams LLP, in Metairie, La. Judge Maldonado is a member of the Louisiana State Bar.
Nancy J. Paul, Immigration Judge, Omaha Immigration Court
Attorney General Loretta E. Lynch appointed Nancy J. Paul to begin hearing cases in September 2016. Judge Paul earned a Bachelor of Science degree in 1985 from the University of Nebraska and a Juris Doctor in 1988 from the Creighton University School of Law. From 2010 to September 2016, she served as a board member and treasurer for the Great Plains Colon Cancer Task Force, in Omaha, Neb. From 2008 through 2010, she served as a military commission judge for the Office of the Military Commissions, in Guantanamo Bay, Cuba. From 2003 through 2010, she served as a military judge for the U.S. Air Force (USAF), at Offutt Air Force Base, Neb., and Travis Air Base, Calif. From 2003 through 2010, she also served as an adjunct instructor for the Air Force Judge Advocate General’s School. From 2000 through 2003, she served as the chief of Operations and International Law, USAF, at Davis-Monthan Air Force Base, Ariz. From 1997 through 2000, she served as a deputy and acting staff judge advocate for the USAF at Hurlburt Field, Fla. From 1994 through 1997, she served as the chief of the Adverse Actions Division, USAF, at Hickam Air Force Base, Hawaii. From 1993 through 1994, she served as a deputy staff judge advocate for the USAF, at Plattsburgh Air Force Base, N.Y. From 1992 through 1993, she served as area defense counsel for the USAF, at Offutt Air Force Base. From 1988 through 1992, she served as the chief of Military Justice and General Law at Offutt Air Force Base. Judge Paul is a member of the Nebraska State Bar.
Robin Kandell Paulino, Immigration Judge, San Francisco Immigration Court
Attorney General Loretta E. Lynch appointed Robin Kandell Paulino to begin hearing cases in September 2016. Judge Paulino earned a Bachelor of Arts degree in 1991 from the University of Arizona and a Juris Doctor in 1995 from the University of San Diego School of Law. From 2007 to September 2016, she served as a senior attorney and assistant general counsel for Legal & Corporate Affairs, Microsoft Corporation. From 1998 through 2007, she served as a senior associate and managing attorney for Fragomen, Del Rey, Bernsen & Loewy, in Santa Clara, Calif. From 1996 through 1998, she served as an associate attorney for Korenberg, Abramowitz & Feldun, in Calif. Previously, she served as an associate attorney for Swanson & Swanson, in Los Angeles. Judge Paulino is a member of the State Bar of California.
Jennifer I. Peyton, Immigration Judge, Chicago Immigration Court
Attorney General Loretta E. Lynch appointed Jennifer I. Peyton to begin hearing cases in September 2016. Judge Peyton earned a Bachelor of Arts degree in 1994 from Trinity College and a Juris Doctor in 1998 from the Case Western Reserve University School of Law. From April 2016 to September 2016, she was in private practice as a partner at Brown LLC. From 2003 to April 2016, she was in private practice as managing partner of Jennifer I. Peyton, Attorney at Law LLC, in Cleveland. In 2013, she joined the faculty of the Cleveland State University Cleveland-Marshall College of Law, where she served as an adjunct clinical professor, and in 2006 she joined the faculty of the Case Western University School of Law, where she served as an adjunct professor. Judge Peyton is a member of the Ohio State Bar.
G. William Riggs, Immigration Judge, Miami Immigration Court
Attorney General Loretta E. Lynch appointed G. William Riggs to begin hearing cases in September 2016. Judge Riggs earned a Bachelor of Applied Arts degree in 1985 from Florida Atlantic University, a Juris Doctor in 1990 from Nova Southeastern University, and a Master of Laws degree in 2002 from the U.S. Army Judge Advocate General’s School. From 2008 to September 2016, he served in various capacities for the U.S. Marine Corps (USMC) at Camp Lejeune, N.C., including as deputy assistant chief of staff for Force Preservation, staff judge advocate, and circuit military judge for the Eastern Judicial Circuit. From 2008 through 2009, he served as a senior rule of law advisor and deputy rule of law team leader for the Provincial Reconstruction Team, USMC, at Camp Ramadi, Iraq. From 2004 through 2008, he served as a staff judge advocate for the USMC Forces Central Command, at MacDill Air Force Base, Fla. From 2002 through 2004, he served as the head of the Operational Law Branch, Navy International and Operational Law, Department of the Navy, at the Pentagon. Prior to 2002, he served in various legal positions for the USMC, including as a staff judge advocate, deputy staff judge advocate, assistant staff judge advocate, prosecutor, defense counsel, and legal assistance attorney. From 1994 through 1996, he was in private practice at G. William Riggs PA, in West Palm Beach, Fla. Judge Riggs is a member of the Florida Bar.
Walter Hammele Ruehle, Immigration Judge, Buffalo Immigration Court
Attorney General Loretta E. Lynch appointed Walter Hammele Ruehle to begin hearing cases in September 2016. Judge Ruehle earned a Bachelor of Arts degree in 1976 from the State University of New York at Oneonta and a Juris Doctor in 1979 from the Union University Albany Law School. From 1993 to September 2016, he served in various capacities for the Legal Aid Society, including as an attorney, director of the Immigration Program, and director of the Upstate New York Immigration Law Project. From 1991 through 1993, he served as an associate attorney for the Law Offices of James J. Piampino, in Rochester, N.Y. From 1990 through 1991, he served as a staff and directing attorney for the Neighborhood Legal Services, in Hartford, Conn. From 1979 through 1990, he served in various capacities for the Farmworker Legal Services of N.Y., including as a staff attorney, supervising and managing attorney, litigation director, and legal consultant. In 2012 and 2013, he also served as an adjunct professor at the Cornell Law School. Judge Ruehle is a member of the Connecticut Bar and the New York State Bar.
Ian Robert Simons, Immigration Judge, Adelanto Immigration Court
Attorney General Loretta E. Lynch appointed Ian Robert Simons to begin hearing cases in September 2016. Judge Simons earned a Bachelor of Arts degree in 1998 from Michigan State University and a Juris Doctor in 2001 from the Michigan State University College of Law. From 2009 to September 2016, he served as an assistant chief counsel for the Office of the Chief Counsel, Immigration and Customs Enforcement, Department of Homeland Security, in Detroit. From 2011 through 2013, he served as a special assistant U.S. attorney for the U.S. Attorney’s Office, District of Arizona, Department of Justice, in Phoenix. From 2001 through 2009, he served as an assistant prosecutor for the Oakland County Prosecutor’s Office, in Pontiac, Mich. Judge Simons is a member of the State Bar of Michigan.
Mario J. Sturla, Immigration Judge, Boston Immigration Court
Attorney General Loretta E. Lynch appointed Mario J. Sturla to begin hearing cases in September 2016. Judge Sturla earned a Bachelor of Arts degree in 2003 from Brown University and Juris Doctor in 2006 from the Yeshiva University Benjamin N. Cardozo School of Law. From 2015 to September 2016, he served as a deputy chief counsel, and previously from 2008 through 2015 as an assistant chief counsel, for the Office of the Chief Counsel, Immigration and Customs Enforcement, Department of Homeland Security, in Boston. From 2007 through 2008, he served as a staff attorney for the Office of Legal Affairs, U.S. Court of Appeals for the Second Circuit, in New York City. From 2006 through 2007, he served as a judicial law clerk for the New York City Immigration Court, Executive Office for Immigration Review, Department of Justice, entering on duty through the Attorney General’s Honors Program. Judge Sturla is a member of the Massachusetts Bar.
P. Michael Truman, Immigration Judge, Salt Lake City Immigration Court
Attorney General Loretta E. Lynch appointed P. Michael Truman to begin hearing cases in September 2016. Judge Truman earned a Bachelor of Arts degree in 2001 from Brigham Young University and a Juris Doctor in 2004 from the S.J. Quinney College of Law, University of Utah. From 2011 to September 2016, he served as an assistant chief counsel for the Office of the Chief Counsel, Immigration and Customs Enforcement, Department of Homeland Security, in Denver. From 2005 through 2011, he served as a trial attorney for the Office of Immigration Litigation, Department of Justice. From 2004 through 2005, he served as a law clerk for Justice Michael J. Wilkins, Utah Supreme Court. Judge Truman is a member of the Utah State Bar.
Elizabeth L. Young, Immigration Judge, San Francisco Immigration Court
Attorney General Loretta E. Lynch appointed Elizabeth L. Young to begin hearing cases in September 2016. Judge Young earned a Bachelor of Arts degree in 1999 from Hendrix College and a Juris Doctor in 2004 from The George Washington University School of Law. From 2011 to September 2016, she served as an associate professor of law, and previously from 2008 through 2011 as an assistant professor of law, for the University of Arkansas School of Law. From 2007 through 2008, she served as a visiting professor at The George Washington University School of Law. From 2004 through 2007, she served as an attorney advisor for the San Francisco Immigration Court, Executive Office for Immigration Review, Department of Justice. Judge Young is a member of the Arkansas Bar, the State Bar of California, and the Virginia State Bar.
Richard Zanfardino, Immigration Judge, Portland Immigration Court
Attorney General Loretta E. Lynch appointed Richard Zanfardino to begin hearing cases in September 2016. Judge Zanfardino earned both a Bachelor of Arts degree in 1989 and a Bachelor of Arts degree in 1990 from North Carolina State University, and a Juris Doctor in 1996 from the Columbus School of Law, Catholic University of America. From 2006 to September 2016, he served as a trial attorney for the Office of Immigration Litigation, Department of Justice (DOJ). From 1997 through 2006, he served as an attorney advisor for the Board of Immigration Appeals, Executive Office for Immigration Review, DOJ. From 2003 through 2004, he served as a special assistant U.S. attorney for the U.S. Attorney’s Office, DOJ, in Washington, D.C. Judge Zanfardino is a member of the District of Columbia Bar.
Eagle Butte Man Indicted for Assaulting Intimate PartnerRead the Press Release
United States Attorney Randolph J. Seiler announced that an Eagle Butte, South Dakota, man has been indicted by a federal grand jury for Assault with a Dangerous Weapon, Assault by Strangulation and Suffocation, and Assault Resulting in Substantial Bodily Injury to an Intimate Partner.
Delano White Eagle, age 46, was indicted on September 20, 2016. He appeared before U.S. Magistrate Judge Mark Moreno on September 22, 2016, and pled not guilty to the Indictment.
The maximum penalty upon conviction is up to 10 years in custody and/or a $250,000 fine, 3 years of supervised release, and $100 to the Federal Crime Victims Fund. Restitution may also be ordered.
The indictment alleges that on August 24, 2016, near Dupree, South Dakota, White Eagle unlawfully assaulted the victim, his intimate partner and dating partner, with a knife, resulting in substantial bodily injury. The Indictment further alleges that on that same date, White Eagle unlawfully attempted to strangle or suffocate the victim.
The charges are merely an accusation and White Eagle is presumed innocent until and unless proven guilty.
The investigation is being conducted by the Cheyenne River Sioux Tribe Law Enforcement Services. Assistant U.S. Attorney Jay Miller is prosecuting the case.
White Eagle was remanded to the custody of the U.S. Marshals Service pending trial. A trial date has not been set.
Department of Justice Awards over $20 Million to Law Enforcement Body-Worn Camera ProgramsRead the Press Release
Attorney General Loretta E. Lynch today announced awards totaling over $20 million to 106 state, city, tribal and municipal law enforcement agencies to establish and enhance law enforcement body-worn camera programs across the United States.
The awards, funded under the Office of Justice Programs’ Bureau of Justice Assistance’s (BJA) Fiscal Year 2016 Body-Worn Camera Policy and Implementation Program, will help law enforcement organizations implement body-worn camera policies, practices and evaluation methods to make a positive impact on the quality of policing in individual communities. Under this grant announcement, BJA awarded more than $16 million to state, local, and tribal law enforcement agencies, as well as a $3 million supplemental award to continue support for body-worn camera training and technical assistance. An additional $474,000 was awarded earlier this year under the 2016 Small Agency Body-Worn Camera Policy and Implementation Program.
“As we strive to support local leaders and law enforcement officials in their work to protect their communities, we are mindful that effective public safety requires more than arrests and prosecutions,” said Attorney General Lynch. “It also requires winning – and keeping – the trust and confidence of the citizens we serve. These grants will help more than 100 law enforcement agencies promote transparency and ensure accountability, clearing the way for the closer cooperation between residents and officers that is so vital to public safety.”
BJA expects award recipients to create programs that will be integrated as part of individual jurisdictions’ holistic problem-solving and community-engagement strategies.
The Body Worn Camera program was launched last year in response to a recommendation by the President’s Task Force on 21st Century Policing that law enforcement agencies use technology to strengthen relations with communities. BJA convened a Body-Worn Camera Expert Panel that identified issues and considerations confronting communities considering adoption of body camera technology. Initial research has shown that law enforcement use of body-worn camera programs improve law enforcement’s interaction with the public.
Today’s awardees include law enforcement agencies located in the following 32 states and Puerto Rico: Alabama, Arkansas, Arizona, Florida, California, Colorado, Delaware, Georgia, Illinois, Indiana, Iowa, Kansas, Kentucky, Maryland, Michigan, Minnesota, Montana, New Jersey, New York, Nevada, North Carolina, Ohio, Oklahoma, Oregon, Pennsylvania, Rhode Island, South Carolina, Tennessee, Texas, Virginia, Wisconsin, and Wyoming. Tribal awardees include: Pokagon Band of Potawatomi Indians, the Little Traverse Bay Bands of Odawa Indians and the Nottawaseppi Huron Band of the Potawatomi.
For additional information about this grant program, visit http://go.usa.gov/xKpJH.
Department of Justice Awards over $20 Million to Law Enforcement Body-Worn Camera ProgramsRead the Press Release
NEWARK, N.J. – New Jersey U.S. Attorney Paul J. Fishman and Attorney General Loretta E. Lynch today announced awards totaling over $20 million to 106 state, city, tribal and municipal law enforcement agencies to establish and enhance law enforcement body-worn camera programs across the United States. Four New Jersey municipalities – Newark, Camden, Haledon and Evesham – and the N.J. State Police are among the recipients.
The awards, funded under the Office of Justice Programs’ Bureau of Justice Assistance’s (BJA) Fiscal Year 2016 Body-Worn Camera Policy and Implementation Program, will help law enforcement organizations implement body-worn camera policies, practices and evaluation methods to make a positive impact on the quality of policing in individual communities. Under this grant announcement, BJA awarded more than $16 million to state, local, and tribal law enforcement agencies, as well as a $3 million supplemental award to continue support for body-worn camera training and technical assistance. An additional $474,000 was awarded earlier this year under the 2016 Small Agency Body-Worn Camera Policy and Implementation Program.
“These federal grants will enable Newark, Camden, Haledon, Evesham and the New Jersey State Police to provide body-worn cameras for their officers and develop comprehensive policies for their use,” U.S Attorney Fishman said. “The information these cameras capture will be a valuable new resource for more effective policing that also respects the rights of citizens.”
“As we strive to support local leaders and law enforcement officials in their work to protect their communities, we are mindful that effective public safety requires more than arrests and prosecutions,” Attorney General Lynch said. “It also requires winning – and keeping – the trust and confidence of the citizens we serve. These grants will help more than 100 law enforcement agencies promote transparency and ensure accountability, clearing the way for the closer cooperation between residents and officers that is so vital to public safety.”
BJA expects award recipients to create programs that will be integrated as part of individual jurisdictions’ holistic problem-solving and community-engagement strategies.
The Body Worn Camera program was launched last year in response to a recommendation by the President’s Task Force on 21st Century Policing that law enforcement agencies use technology to strengthen relations with communities. BJA convened a Body-Worn Camera Expert Panel that identified issues and considerations confronting communities considering adoption of body camera technology. Initial research has shown that law enforcement use of body-worn camera programs improve law enforcement’s interaction with the public.
The New Jersey awards are as follows:
- N.J. State Police – $575,361
- Newark Police Department – $372,500
- Camden County Police Department– $118,500
- Evesham Township Police Department – $144,000
- Borough of Haledon Police Department – $17,920
In addition to the New Jersey recipients, today’s awardees include law enforcement agencies located in the following 31 states and Puerto Rico: Alabama, Arkansas, Arizona, Florida, California, Colorado, Delaware, Georgia, Illinois, Indiana, Iowa, Kansas, Kentucky, Maryland, Michigan, Minnesota, Montana, New York, Nevada, North Carolina, Ohio, Oklahoma, Oregon, Pennsylvania, Rhode Island, South Carolina, Tennessee, Texas, Virginia, Wisconsin, and Wyoming. Tribal awardees include: Pokagon Band of Potawatomi Indians, the Little Traverse Bay Bands of Odawa Indians and the Nottawaseppi Huron Band of the Potawatomi.
For additional information about this grant program, visit: http://go.usa.gov/xKpJH
Corpus Christi Man Heads to Federal Prison After Kidnapping ChildRead the Press Release
CORPUS CHRISTI, Texas – A 21-year-old local man has been ordered to federal prison for kidnapping a six-year-old girl from her Corpus Christi home and planning to take her to Arizona, announced U.S. Attorney Kenneth Magidson. Austin Carlin, of Corpus Christi, pleaded guilty June 9, 2016.
Today, U.S. District Judge Nelva Gonzales Ramos handed Carlin a 262-month-term of imprisonment to be immediately followed by 10 years of supervised release. The court took into consideration a victim letter read in court by the mother of the girl Carlin kidnapped, in which she described the impact the crime has had on the child. Carlin will also be required to register as a sex offender.
Carlin abducted the young child from her residence in the early morning hours of Feb. 22, 2015. Carlin stole a vehicle and drove out of Corpus Christi with the child. The Corpus Christi Police Department (CCPD) immediately disseminated an Amber Alert in pursuit of Carlin and the child. As part of the alert, a Child Abduction Response Team was deployed with the assistance of FBI.
State troopers pulled Carlin over as he drove on Interstate 10 approximately 350 miles west of San Antonio. He was arrested and authorities were able to successfully recover the child and return her to her family. Carlin admitted that his destination was Arizona.
Carlin has been and will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
The charges are the result of the investigative efforts of the FBI, CCPD and the Texas Department of Public Safety. Assistant U.S. Attorney Hugo R. Martinez and Brittany Jensen are prosecuting the case.
Cleveland man sentenced to 14 years in prison for trafficking three teen girlsRead the Press Release
A Cleveland man was sentenced to 14 years in prison for trafficking three teenaged girls, said Carole S. Rendon, U.S. Attorney for the Northern District of Ohio, and Stephen D. Anthony, Special Agent in Charge of the FBI’s Cleveland Office.
Ronnie Pratt, 22, trafficked three underage girls. He did this by taking photos of his girls and posting the photos on www.backpage.com. Pratt handled all text communications with potential customers and transported the girls to “dates.” He usually kept about half the money they were paid for commercial sex acts, according to court documents.
One of the girls was 13 when she began working for Pratt. He had a gun that he used to intimidate at least one of the girls, according to court documents.
The conduct took place between July and November 2015.
“This defendant made his living taking advantage of runaways,” Rendon said. “He pushed girls as young as 13 into events that will take them a lifetime to overcome. His sentence, at the highest end of the applicable sentencing guidelines range, appropriately reflects the incredible damage he has done and the just punishment for his crimes.”
"While Mr. Pratt will serve 14 years for his crimes, his young victims will be affected for a lifetime," Anthony said. "Law enforcement will continue to assist victims of human trafficking in obtaining the support they need and ensuring individuals like Pratt are brought to justice."
This case is being prosecuted by Assistant U.S. Attorneys Bridget M. Brennan and Carmen Henderson following an investigation by the Federal Bureau of Investigation.
Cleveland man sentenced for cocaine distributionRead the Press Release
WHEELING, WEST VIRGINIA – Donny Deshawn Parker, 25, of Cleveland, Ohio, was sentenced in federal court today to 27 months in prison for selling crack cocaine in Moundsville, West Virginia, United States Attorney William J. Ihlenfeld, II, announced.
Parker distributed cocaine HCL in April 2014 in Marshall County, West Virginia. He pled guilty in July 2016 to one count of “Distribution of Cocaine Base.”
Assistant U.S. Attorney Stephen L. Vogrin prosecuted the case on behalf of the government. The Marshall County Drug and Violent Crime Task Force investigated.
Senior U.S. District Judge Frederick P. Stamp, Jr. presided.
California Man Sentenced to 30 Years for Conspiring to Join ISIL and Engaging in FraudRead the Press Release
WASHINGTON – Nader Elhuzayel, 25, of Anaheim, California, was sentenced to 30 years in prison with a lifetime of supervised release for conspiring and attempting to provide material support to the Islamic State of Iraq and the Levant (ISIL), a designated foreign terrorist organization, and other federal offenses.
Assistant Attorney General John P. Carlin and U.S. Attorney Eileen M. Decker for the Central District of California made the announcement after Elhuzayel was sentenced by U.S. District Judge David O. Carter.
“Nader Elhuzayel was arrested while attempting to travel overseas to join ISIL. With this sentence, he is being held accountable for conspiring and attempting to provide material support to the designated terrorist organization, and other federal offenses,” said Assistant Attorney General Carlin. “The National Security Division’s highest priority is countering terrorist threats, and we will continue to work to stem the flow of foreign fighters abroad and bring to justice those who attempt to provide material support to designated foreign terrorist organizations.”
On June 21, 2016, a federal jury convicted Elhuzayel and co-defendant Muhanad Badawi, 24, also of Anaheim, of conspiring to provide material support to ISIL. Elhuzayel was also found guilty of attempting to provide material support and Badawi was found guilty of aiding and abetting the attempt to provide material support to ISIL. In addition to the terrorism-related counts, Elhuzayel was found guilty of 26 counts of bank fraud and Badawi was found guilty of one count of federal financial aid fraud. Judge Carter is scheduled to sentence defendant Badawi on October 17.
“Today’s sentence reflects the gravity of the defendant’s plan to betray his country and join a terrorist organization dedicated to the murder of innocent individuals,” said United States Attorney Eileen M. Decker. “As this case shows, the ability of individuals with the desire to support ISIL to use the Internet and social media to conspire with each other poses a grave threat to our national security. So-called ‘foreign fighters’ like this defendant pose a serious danger both overseas and here at home. There can be no doubt that law enforcement’s disruption of their plans saved lives, both in the United States and abroad.”
The evidence at trial showed Badawi and Elhuzayel used social media to discuss ISIL and terrorist attacks, expressed a desire to die as martyrs, and made arrangements for Elhuzayel to travel abroad to join ISIL. In recorded conversations, Badawi and Elhuzayel discussed how “it would be a blessing to fight for the cause of Allah, and to die in the battlefield,” and they referred to ISIL as “we.”
Badawi also had a Facebook account where he made posts that supported ISIL and violence aimed at non-Muslims, and indicated that he intended to join the terrorist organization. Elhuzayel used social media to communicate with ISIL supporters and operatives, to disseminate pro-ISIL information and to assist ISIL supporters by distributing social media information to those whose accounts had been suspended. Elhuzayel also maintained a Facebook account with the ISIL flag as his profile picture. He used the account to ask Allah to grant him martyrdom and success in leaving U.S. to fight for his cause and to ask Allah to “destroy your enemies and give the Islamic state victory.”
According to the trial exhibits, on Oct. 21, 2014, Badawi made a video of Elhuzayel swearing allegiance to the leader of ISIL, Abu Bakr al-Baghdadi. In the video, Elhuzayel pledged to travel to join ISIL to be a fighter for the terrorist organization.
Evidence at trial also showed that on May 3, 2015, the day of the attack in Garland, Texas, Elhuzayel received social media communications from Elton Simpson, one of the perpetrators of the attack, and that Elhuzayel wrote to Simpson “I love you for the sake of Allah brother may Allah grant you Jannat al ferdaus [the highest level of Paradise reserved for martyrs].”
In addition, Elhuzayel received and disseminated social media communications from ISIL operative Abu Hussain al Britani, also known as Junaid Hussain, including communications trumpeting the Garland, Texas, shootings. On May 7, 2015, four days after the Garland shootings, Elhuzayel and Badawi made travel arrangements and purchased Elhuzayel’s plane ticket to join ISIL.
Both Elhuzayel and Badawi were arrested on May 21, 2015, as Elhuzayel attempted to board a plane at Los Angeles International Airport to travel to Turkey to join ISIL. Badawi had purchased a one-way ticket on Turkish Airlines for Elhuzayel to travel to Israel, with a layover in Istanbul. In an interview with the FBI, Elhuzayel admitted that he intended to deplane in Turkey and seek contacts to facilitate joining ISIL.
Elhuzayel was also convicted of obtaining cash through a scheme to defraud three different banks by depositing stolen checks into his personal checking accounts and then withdrawing cash at branch offices and ATMs in Orange County. The money generated from the bank fraud was intended to finance his travel to Syria to join ISIL. Both men have been held in federal custody without bond since their arrests.
Badawi is scheduled to be sentenced on October 17 at which time he will face a statutory maximum sentence of 35 years in federal prison.
The investigation in this case was conducted by the FBI’s Joint Terrorism Task Force in Orange County, which includes the following agencies: the Anaheim Police Department, the California Highway Patrol, the Orange County Sheriff’s Department, the Orange County Intelligence Assessment Center, U.S. Immigration and Customs Enforcement’s Homeland Security Investigations, the U.S. Secret Service, IRS – Criminal Investigation, the City of Orange Police Department, the Irvine Police Department, the Naval Criminal Investigative Service, the Orange County Regional Computer Forensics Laboratory, the U.S Attorney’s Office, and the FBI. The Department of Education’s Office of Inspector General provided significant assistance in the investigation and at trial.
The case was prosecuted by Assistant U.S. Attorneys Judith A. Heinz, Deirdre Z. Eliot and Julius J. Nam of the Central District of California, with substantial assistance from Trial Attorney Michael Dittoe of the National Security Division’s Counterterrorism Section.
Bronx Tax Preparer Found Guilty of Participation in Scheme to Steal Millions Using Fraudulent Tax ReturnsRead the Press Release
Preet Bharara, the United States Attorney for the Southern District of New York, and Shantelle P. Kitchen, the Special Agent in Charge of the New York Field Office of the Internal Revenue Service, Criminal Investigation (“IRS-CI”), announced that ELIANA SARMIENTO, a former tax preparer at K&S Tax Solution, Inc. (“K&S”), was found guilty last Friday of multiple charges in connection with her participation in schemes to file fraudulent tax returns, in order to receive tax refunds in the form of checks and wire transfers. Together with her co-workers at K&S, SARMIENTO stole more than $19 million in tax refunds by submitting false tax returns using stolen identities, largely stolen from residents of Puerto Rico. To date, 14 employees and associates of K&S, in addition to SARMIENTO, have been convicted in connection with this scheme. SARMIENTO was convicted after a two-week jury trial before U.S. District Judge Kimba Wood.
According to the allegations contained in the Indictment as well as the evidence presented during trial:
Since January 2010, SARMIENTO, along with her co-conspirators, perpetrated a large-scale scheme to defraud the Internal Revenue Service (“IRS”) through the filing of fraudulent tax returns, so as to receive tax refunds in the form of checks and wire transfers. Specifically, SARMIENTO obtained stolen identities in part through one co-conspirator, based in Puerto Rico, who stole the identities of patients of a medical clinic in Ponce, Puerto Rico. She then obtained electronic filing identification numbers (“EFINs”), which are used for the purpose of filing hundreds of electronic tax returns, under the names of the victims of the defendants’ identity theft scheme. SARMIENTO and her co-conspirators used those EFINs to file tax returns bearing the names and Social Security Numbers (“SSNs) of additional identity theft victims. Additionally, SARMIENTO and other employees of K&S used the stolen identities of children as false “dependents” on the tax returns of certain K&S clients.
In these ways, SARMIENTO and others at K&S obtained millions of dollars from the U.S. Treasury. To date, and based on a subset of EFINs associated with SARMIENTO and her co-conspirators at K&S, the IRS has identified $281,348,627 in attempted fraudulent returns and $19,799,175 in Treasury funds successfully stolen by SARMIENTO and her criminal associates.
* * *
SARMIENTO, 32, of Passaic, New Jersey, was found guilty of two counts of theft of public funds, each carrying a maximum sentence of 10 years in prison; two counts of conspiring to steal public funds, each carrying a maximum sentence of five years in prison; and two counts of aggravated identity theft, each carrying a mandatory sentence of two years in prison. The statutory maximum and minimum penalties are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendant will be determined by the judge.
Mr. Bharara praised the IRS-CI for its work in the investigation and expressed his appreciation to the United States Secret Service for its assistance.
This case is being handled by the Office’s General Crimes Unit. Assistant United States Attorneys Eun Young Choi and Andrew C. Adams are in charge of the prosecution.
Bronx Man Pleads Guilty to Sexual Exploitation of A ChildRead the Press Release
Preet Bharara, the United States Attorney for the Southern District of New York, announced that KELVIN ACOSTA pled guilty today to one count of sexual exploitation of a child. ACOSTA, who was arrested on March 29, 2016, entered his plea before United States District Judge Paul A. Crotty, and was remanded into federal custody.
U.S. Attorney Preet Bharara said: “Kelvin Acosta preyed on vulnerable teenagers in a cruel way, contacting them on Facebook, hacking into their accounts and threatening to publish sensitive images and videos of them unless they created and sent to him child pornography. He has now pled guilty and will face a substantial term of imprisonment. Together with our partners at the FBI and the NYPD, we are committed to protecting children from those, like Acosta, who seek to exploit, extort, or entice them.”
According to the Complaint, Indictment, and other documents filed in the case, as well as statements made during the plea proceedings:
From December 2013 through November 2015, KELVIN ACOSTA committed “sextortion” by hacking into email accounts belonging to teenage girls and extorting them into producing child pornography for him. ACOSTA did so by messaging the girls on Facebook and tricking them into revealing personal information that he then exploited to hack their email accounts. ACOSTA then told his minor victims that he had hacked their email accounts and found compromising material (sex videos and/or nude photographs), which he threatened to send their families, friends, and schools – unless they created child pornography for him via video chat and/or paid him money.
ACOSTA, 27, of the Bronx, New York, pled guilty to one count of sexual exploitation of a child, which carries a mandatory minimum sentence of 15 years in prison and a maximum sentence of 30 years in prison. The maximum potential sentence in this case is prescribed by Congress and is provided here for informational purposes only, as the defendant’s sentence will be determined by the judge. ACOSTA is scheduled to be sentenced by Judge Crotty on January 10, 2017, at 11 a.m.
Any individuals who believe they have information concerning exploitation of children may contact the Federal Bureau of Investigation at 1-212-384-1000 or https://tips.fbi.gov/.
Mr. Bharara praised the investigative work of the FBI and the NYPD, and thanked the Brooklyn District Attorney’s Office for its valuable cooperation in this matter.
This case is being handled by the Office’s General Crimes Unit. Assistant United States Attorney Michael D. Neff is in charge of the prosecution.
Bradenton Pastor Sentenced to Three Years for Wire Fraud in Connection with Three Lee County Fraudulent MortgagesRead the Press Release
Fort Myers, Florida – U.S. District Judge Sheri Polster Chappell today sentenced Nelson Cristiano Machado, Jr. (50, Bradenton) to three years in federal prison for wire fraud. A federal jury found him guilty on June 24, 2016.
According to evidence presented at trial, Machado knowingly participated in a scheme to defraud mortgage lenders. He entered into a sales contract for the purchase of two residences in Cape Coral, one for $509,900, and another for $249,900. In his loan applications, Machado falsely represented his employment, the balance of his bank account, and that each of the homes would be his primary residence. He also failed to disclose to his second mortgage lender that he had already obtained a first mortgage in the amount of $343,000 and a second mortgage in the amount of $147,000. Machado also failed to disclose the purchase of another residence located in Fort Myers for which he had obtained a mortgage in the amount of $189,050. Relying upon Machado’s false representations, the mortgage lenders approved his loan applications and wired the funds to the designated title agencies for closings.
This case was investigated by the Federal Bureau of Investigation and the Florida Department of Law Enforcement. It was prosecuted by Assistant United States Attorney Yolande G. Viacava.
Attorney General Loretta E. Lynch and Secretary of the Interior Sally Jewell Announce Settlements of Tribal Trust Accounting and Management LawsuitsRead the Press Release
Attorney General Loretta E. Lynch and Secretary of the Interior Sally Jewell today announced that, as a result of an initiative begun in the summer of this year, the United States has reached settlement with 17 additional tribal governments who alleged that the Department of the Interior and the Department of the Treasury had mismanaged monetary assets and natural resources held in trust by the United States for the benefit of the tribes. With these resolutions, the Obama Administration will have settled the vast majority of the outstanding claims, some dating back more than a century, with more than 100 tribes and totaling over $3.3 billion.
“These historical grievances were a barrier to our shared progress toward a brighter future,” said Attorney General Lynch. “With today’s announcement, those barriers have been removed and decades of contention have been ended honorably and fairly. These settlements reflect the shared vision, the mutual respect and the enduring partnership that we hope to achieve between tribes and the federal government and I look forward to all that we will achieve together in the days to come.”
“Settling these long-standing disputes reflects the Obama Administration’s continued commitment to reconciliation and empowerment for Indian Country,” said Secretary Jewell. “As we turn the page on past challenges in our government-to-government relationship with tribes, we’re moving forward with tribal governments to ensure proper management of tribal trust assets. I commend the Department of Justice, our Interior Solicitors, tribal leaders and other key officials for recognizing the importance of communication and mutual respect, opening a new era of trust between the United States Government and tribal governments.”
In April 2012, the Justice and Interior Departments announced more than $1 billion in settlements with 41 federally-recognized tribes for similar claims, the result of nearly two years of negotiations, between 2009 and the 2012 announcement, the Departments of Justice and of the Interior had settled with six other tribes. Since April 2012, the United States has reached settlement for claims of 57 additional tribes – including 17 reached after negotiations this summer and early fall - for an additional $1.9 billion, following through on its commitment to bring to an end, honorably and fairly, this protracted litigation that has burdened both the plaintiffs and the United States.
Ending these long-running disputes about the United States’ management of trust funds and non-monetary trust resources will allow the United States and the tribes to move beyond the distrust exacerbated by years of litigation. These settlement agreements represent a significant milestone in the improvement of the United States’ relationship with Indian tribes.
The Department of the Interior manages almost 56 million acres of trust lands for federally-recognized tribes and more than 100,000 leases on those lands for various uses, including housing, timber harvesting, farming, grazing, oil and gas extraction, business leasing, rights-of-way and easements. Interior also manages about 2,500 tribal trust accounts for more than 250 tribes.
Under the negotiated settlement agreements, litigation will end regarding the Department of the Interior’s accounting and management of the tribes’ trust accounts, trust lands and other natural resources. With monies from the congressionally-appropriated Judgment Fund, which is used to pay settlements or final judgments against the government, the United States will compensate the tribes for their breach of trust claims and the tribes will waive, release and dismiss their claims with prejudice. The parties have agreed to information-sharing procedures that will strengthen the management of trust assets and improve communications between the settling tribes and the Department of the Interior. The settlement agreements also include dispute resolution provisions to reduce the likelihood of future litigation.
Attorney General Loretta E. Lynch Announces More Than $107 Million to Improve Public Safety, Victim Services for American Indians and Alaska NativesRead the Press Release
The Department of Justice today announced more than $107 million in grants to American Indian and Alaska Native communities to improve public safety help victims and strengthen tribal institutions. The announcement was made at the Eighth Annual White House Tribal Nations Conference, taking place today and tomorrow. This amount includes 236 grants under the department’s Coordinated Tribal Assistance Solicitation (CTAS), totaling more than $102 million, to 131 American Indian tribes, Alaska Native villages, tribal consortia and tribal designees. In addition, the Office on Violence Against Women (OVW) announced seven awards worth more than $2 million to help tribes develop plans for implementing changes in their criminal justice systems necessary to exercise their jurisdiction over domestic violence crimes as outlined in the Violence Against Women Reauthorization Act of 2013.
Also included in the awards announced today are six awards totaling more than $3 million in juvenile justice grants to support the American Indian/Alaska Native Defending Childhood Policy Initiative and a National Institute of Justice grant to study sex trafficking in Indian country.
“These vital grants support everything from hiring law enforcement officers to empowering native youth, giving tribes the resources they need to meet the particular challenges facing their communities,” said Attorney General Loretta E. Lynch. “We are also proud to continue support for those tribes exercising greater authority over crimes of domestic violence under the VAWA 2013 tribal provisions, the direct result of a proposal by this Justice Department and written into law by Congress that is today making communities safer and stronger.”
CTAS provides a single application for tribal-specific grant programs. The department developed CTAS to streamline support provided through its Office of Community Oriented Policing Services, Office of Justice Programs and OVW and awarded the first round of consolidated grants in September 2010.
Since then, under CTAS, more than 1,600 grants totaling more than $726 million have been provided to enhance law enforcement practices, victim services and sustain crime prevention and intervention efforts in nine purpose areas: public safety and community policing; justice systems planning; alcohol and substance abuse; corrections and correctional alternatives; children’s justice act partnerships; services for victims of crime; violence against women; juvenile justice; and tribal youth programs.
American Indians and Alaska Natives experience disproportionate rates of violence and victimization and often encounter significant obstacles to accessing culturally relevant services. CTAS funding helps tribes to develop and strengthen tribal justice systems’ response to crime, while significantly increasing programs and services available to them.
A listing of today’s CTAS awards can be found here. A fact sheet on CTAS is available at www.justice.gov/tribal/grants.
Today’s announcement is part of the Justice Department’s ongoing initiative to increase engagement, coordination and action on public safety in American Indian and Alaska Native communities.
Read more about the special domestic violence jurisdiction provisions in VAWA 2013: www.justice.gov/tribal/violence-against-women-act-vawa-reauthorization-2013-0
Anchorage Insurance Sales Woman Arrested on Charges of Bank Fraud and Aggravated Identity TheftRead the Press Release
Anchorage, Alaska – U.S. Attorney Karen L. Loeffler announced that an Anchorage woman has been taken into custody today on charges of two counts of Bank Fraud and two counts of Aggravated Identity Theft.
Kara Hayden, Jr., 50, of Anchorage, is charged in a four-count indictment with a scheme to obtain money from banks through fraudulent pretenses using personal information of former insurance clients to obtain credit cards.
According to Assistant U.S. Attorney Aunnie Steward, who presented the case against Kara Hayden to the grand jury, from at least October 2014 to December 2015, Hayden applied for seventeen credit cards using the names, social security numbers, and dates of birth of nine different victims without their knowledge or authorization. Hayden successfully obtained two credit cards before the investigation of this case interrupted her scheme. The two credit cards were obtained using the personal identifying information of three of her former insurance clients. Hayden obtained approximately $14,500 in cash and retail goods prior to the discovery of her scheme.
The law provides for a maximum sentence of 30 years’ incarceration and a $1 million fine or both.
Under federal sentencing statutes, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
“Postal Inspectors worked closely with the U.S. Attorney’s Office and the Alaska State Troopers on this investigation,” said Seattle Division Inspector in Charge Anthony Galetti of the U.S. Postal Inspection Service. “We take identity theft and the violation of customers’ trust very seriously and will continue to vigorously protect the U.S. Mail and customers against all forms of criminal attack and misuse.”
The U.S. Postal Inspection Service, assisted by the Alaska State Troopers, conducted the investigation leading to the indictment in the case.
An indictment is only a charge and is not evidence of guilt. A defendant is presumed innocent and is entitled to a fair trial at which the government must prove guilty beyond a reasonable doubt.
Alien Smuggler who Crashed into Kingsville NAS Ordered to PrisonRead the Press Release
CORPUS CHRISTI, Texas – An alien smuggler has been sentenced for his involvement in a single vehicle accident that occurred in Kleberg County, announced U.S. Attorney Kenneth Magidson. Mario Rodriguez-Gomez, 25, a Mexican National who was illegally residing in Houston, pleaded guilty June 14, 2016, to conspiracy to transport illegal aliens causing serious bodily injury.
Today, U.S. District Judge Nelva Gonzalez Ramos ordered Rodriguez-Gomez to serve 46 months imprisonment. As a Mexican National, he is expected to face deportation proceedings following his release from prison.
The conviction stems from a May 14, 2016, single vehicle accident in Kleberg County that resulted in numerous injuries, including a passenger being ejected from the vehicle. All of the vehicle’s occupants were determined to be undocumented aliens from Mexico, Honduras, El Salvador and Guatemala.
On that date, Rodriguez-Gomez attempted to flee from law enforcement officers at a high rate of speed. His vehicle hit the activated security barrier gate at the entrance to Naval Air Station – Kingsville. After the collision, Rodriguez-Gomez attempted to abscond into the Naval Base. A total of 15 individuals were apprehended.
In federal custody since his arrest, Rodriguez-Gomez will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
Immigration and Customs Enforcement’s - Homeland Security Investigations conducted the investigation along with Border Patrol and U.S. Navy Military Police.
Assistant U.S. Attorney Lance Watt prosecuted the case.
Albuquerque Man Pleads Guilty to Federal Drug Trafficking ChargesRead the Press Release
Defendant was One of the 104 Individuals Federally Charged as a Result of ATF-Led Investigation Pursued In Support of Federal “Worst of the Worst” Anti-Violence Initiative
ALBUQUERQUE – Timothy Dilley, 34, of Albuquerque, N.M., pled guilty today in federal court to heroin and methamphetamine trafficking charges.
Dilley was arrested during of an ATF-led investigation that resulted in the filing of 58 federal indictments and one federal criminal complaint charging 104 Bernalillo County residents with federal firearms and narcotics trafficking offenses. The investigation began in mid-April 2016, when ATF personnel from throughout the country joined forces with federal, state, county and local law enforcement agencies in New Mexico to combat the high rate of violent crime in the Albuquerque metropolitan area. The investigators utilized a number of investigative techniques, including undercover operations, historical investigation and targeting of multi-convicted felons in possession of firearms.
The investigation was undertaken in support 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 collaborate with New Mexico’s District Attorneys and state, local and tribal law enforcement agencies to target violent or repeat offenders for federal prosecution primarily based on their prior criminal convictions with the goal of removing repeat offenders from communities in New Mexico for as long as possible.
Dilley and his co-defendant, Jonathan Aragon, 37, also of Albuquerque were arrested in July 2016, based on an indictment alleging that they participated in a drug trafficking conspiracy, and distributed methamphetamine and distribution of heroin in June 2016, in Bernalillo County, N.M. The indictment included forfeiture provisions requiring Dilley and Aragon to pay $1,400 to the United States.
During today’s change of plea hearing, Dilley pled guilty to distributing heroin and methamphetamine on June 15, 2016. In entering the guilty plea, Dilley admitted selling heroin and methamphetamine to an undercover ATF agent.
At sentencing, Dilley faces a maximum penalty of 20 years in federal prison. Dilley remains in federal custody pending a sentencing hearing, which has yet to be scheduled.
To date, three of the 104 defendants charges as a result of the ATF investigation have entered guilty pleas. The remaining defendants, including Dilley’s co-defendant, have entered not guilty pleas. Charges in indictments are merely accusations and defendants are presumed innocent unless found guilty in a court of law.
The case against Dilley was investigated by the Albuquerque offices of ATF and DEA and is being prosecuted by Assistant U.S. Attorney Paul H. Spiers.
In addition to being prosecuted under the federal “worst of the worst” initiative, this case also is being prosecuted as part of the New Mexico Heroin and Opioid Prevention and Education (HOPE) Initiative. The HOPE Initiative was launched in January 2015 by the UNM Health Sciences Center and the U.S. Attorney’s Office in response to the national opioid epidemic, which has had a disproportionately devastating impact on New Mexico. Opioid addiction has taken a toll on public safety, public health and the economic viability of our communities. Working in partnership with the DEA, the Bernalillo County Opioid Accountability Initiative, Healing Addiction in our Community (HAC), the Albuquerque Public Schools and other community stakeholders, HOPE’s principal goals are to protect our communities from the dangers associated with heroin and opioid painkillers and reducing the number of opioid-related deaths in New Mexico.
The HOPE Initiative is comprised of five components: (1) prevention and education; (2) treatment; (3) law enforcement; (4) reentry; and (5) strategic planning. HOPE’s law enforcement component is led by the Organized Crime Section of the U.S. Attorney’s Office and the DEA in conjunction with their federal, state, local and tribal law enforcement partners. Targeting members of major heroin and opioid trafficking organizations for investigation and prosecution is a priority of the HOPE Initiative. Learn more about the New Mexico HOPE Initiative at http://www.HopeInitiativeNM.org.
Sunday 25 September 2016
McLaughlin Man Sentenced for Simple AssaultRead the Press Release
United States Attorney Randolph J. Seiler announced that a McLaughlin, South Dakota, man convicted of Simple Assault was sentenced on September 20, 2016, by U.S. Magistrate Judge William D. Gerdes.
Sheldon Crow Ghost, age 34, was sentenced to 6 months in custody, and a $10 special assessment to the Federal Crime Victims Fund.
Crow Ghost pled guilty to a Superseding Information, filed on August 10, 2016.
The conviction stemmed from an incident on the morning of November 12, 2015, when the Bureau of Indian Affairs Law Enforcement responded to a reported domestic assault.
The officer was met at the door by the female victim who stated her boyfriend, Crow Ghost, had earlier in the morning repeatedly put up his fist in a manner which indicated he was going to strike her, but did not. The victim informed the officer that the previous night, Crow Ghost had also slapped her several times and had attempted to punch her in the face, but she had managed to get her forearm up and block his punches. The officer was able to observe a slight redness to her face.
This case was investigated by the Bureau of Indian Affairs Standing Rock Agency. Assistant U.S. Attorney Troy R. Morley prosecuted the case.
Crow Ghost is to self-report to the custody of the U.S. Marshals Service on or before October 4, 2016.
Saturday 24 September 2016
Utah Business Owner Convicted of Dealing in Firearms without a License and Filing False Tax ReturnsRead the Press Release
SALT LAKE CITY – A Salt Lake County, Utah, man was convicted Friday by a federal jury of one count of dealing in firearms without a license and five counts of filing false tax returns, announced Principal Deputy Assistant Attorney General Caroline D. Ciraolo, head of the Justice Department’s Tax Division, and U.S. Attorney John W. Huber for the District of Utah.
“Individuals such as Mr. Webber, who view themselves above the law and engage in criminal conduct to line their own pockets with funds that belong to the U.S. Treasury, will be held to account for their crimes and face severe consequences, including prosecution and incarceration,” said Principal Deputy Assistant Attorney General Ciraolo. “The Tax Division thanks its colleagues in the District of Utah and other federal agencies for their continued efforts to ensure that everyone pays their fair share.”
“This defendant repeatedly purchased firearms for resale without a federal firearms license and substantially under reported the gross receipts of the sales on his taxes,” said U.S. Attorney Huber. “Around 2,000 firearms were involved in this conduct. Evidence at trial showed that Mr. Webber claimed a mere fraction of his gross receipts on his tax forms over a four-year period.”
Pursuant to an agreement reached with the United States in 2007, Adam Michael Webber, was barred from applying for a federal firearms license or engaging in the business of dealing firearms. According to the evidence presented at trial, between 2007 and 2008, Webber was the sole owner of HK Parts, an Internet gun parts business that operated originally as a sole proprietorship and later as an S corporation. In 2008, Webber added firearms to his product line and primarily sold them on the Internet at hkparts.net. He also sold firearms and firearm parts out of the basement of his residence. Webber never held a federal firearms license and, from 2009 through May 2012, illegally sold firearms under the auspices of a company owned by another Utah resident. Webber also sold firearms to undercover Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) agents on two separate occasions, including selling one firearm for cash in a parking lot. In May 2012, approximately $180,000 in cash, a 70-pound silver bar, silver coins and firearms were found at Webber’s residence during the execution of a search warrant.
From 2007 through 2010, Webber earned more than $10 million in gross receipts from his illegal firearms business. For those years, he reported only a total of $183,397 in gross receipts, underreporting his earnings on his 2007, 2008 and 2009 individual income tax returns and underreporting gross receipts on his 2009 and 2010 corporate tax returns. In 2010, Webber paid $670,000 in cash for a new home in Salt Lake County.
Sentencing is set for Dec. 1. Webber faces a statutory maximum sentence of up to five years in prison for dealing in firearms without a license and up to three years in prison for each count of filing a false tax return, as well as a period of supervised release and monetary penalties.
“The laws regulating the buying and selling of firearms exist to prevent criminals and other prohibited people from illegally accessing firearms,” said Ken Croke, Special Agent in Charge of the ATF’s Denver Field Office. “By circumventing these laws, Webber knowingly and intentionally put people’s lives at risk.”
“Mr. Webber's crimes were not victimless,” said Special Agent in Charge Tara Sullivan of the Internal Revenue Service-Criminal Investigation (IRS-CI) Field Office in Las Vegas, Nevada. “Reporting inaccurate information on your taxes cheats the government and is unfair to honest taxpayers. Mr. Webber decided that he was above the law and IRS CI holds all offenders accountable.”
“Illegal firearms dealers can create public safety and national security vulnerabilities by potentially arming criminals and terrorists without a traceable paper trail, while also hurting the image and business reputation of licensed law-abiding firearms dealers,” said Special Agent in Charge David A. Thompson of U.S. Immigration and Customs Enforcement’s Homeland Security Investigations’ (HSI) Denver office. “Frequently, such successful criminal cases are identified, investigated and presented for prosecution by combining the law enforcement resources and authorities of multiple agencies. Our HSI special agents routinely work cooperatively with other law enforcement partners to shut down these criminal operations that pose a public safety risk to our communities.”
Principal Deputy Assistant Attorney General Ciraolo and U.S. Attorney Huber commended the special agents of ATF, IRS-CI and HSI, who conducted the investigation and Assistant U.S. Attorneys Cy H. Castle and J. Drew Yeates and Paralegal Heather Nielson of the U.S. Attorney’s Office in the District of Utah and Trial Attorney Kathleen M. Barry of the Tax Division, who prosecuted the case.
Department of Justice Releases Strategy Memo to Address Prescription Opioid and Heroin EpidemicRead the Press Release
Attorney General Lynch Announces Support, Calls on Governors to Strengthen PDMP Efforts
As part of the Obama Administration’s commitment to address the rising public health challenges caused by the national prescription opioids and heroin epidemic, Attorney General Loretta E. Lynch issued a memo this week announcing the department’s three-part prevention, enforcement and treatment strategy. The memo lays out action items, institutionalizes best practices, and builds on existing efforts by U.S. Attorney’s Offices, the Drug Enforcement Administration and other Department of Justice components.
Additionally, Attorney General Lynch sent a letter to Governors calling on them to strengthen the effectiveness of Prescription Drug Monitoring Programs (PDMPs) and to improve data sharing of vital information from doctors and pharmacists about patient prescriptions—both within states and among neighboring states. To further this effort, the department also announced an $8.8 million grant to 20 states to help reduce prescription drug abuse, misuse and diversion. The awards, funded under the Bureau of Justice Assistance (BJA)’s Harold Rogers Prescription Drug Monitoring Program FY 2016 Competitive Grant Program, enable awardees to create, implement and enhance PDMPs.
A fact sheet of the strategy memo is outlined below.
FACT SHEET ON THE DEPARTMENT OF JUSTICE STRATEGY MEMO TO ADDRESS PRESCRIPTION OPIOID ABUSE AND HEROIN EPIDEMIC THROUGH PREVENTION, ENFORCEMENT, AND TREATMENT
The heroin and prescription opioid epidemic is one of the most urgent law enforcement and public health challenges facing our country. The Department of Health and Human Services recently announced that 3.8 million people ages 12 and older are currently misusing prescription pain relievers in our country. In 2014, more than sixty percent of the 47,000 drug overdose deaths in America involved opioids, reflecting a dramatic increase over the past two decades.
The Department of Justice memo to federal prosecutors identifies some of the key action items that the department is taking now or will take in the near future to combat the prescription opioid and heroin epidemic as part of the Obama Administration’s overall strategy to address the opioid epidemic. While the epidemic is a national problem, the department has and will continue to tailor efforts to the needs of each region, implemented by those who know their communities best.
PREVENTION
Action Items: Strengthen Prescription Drug Monitoring Programs (PDMPs)
- The Bureau of Justice Assistance (BJA) will prioritize requests for Harold Rogers PDMP Grant Program funding that involve the development and implementation of information exchanges between state PDMPs (or between PDMPs and other data sharing partners).
- BJA will develop and promote the use of “report cards” and other reports to alert prescribers about potentially inappropriate prescribing practices and encourage use of the PDMP.
- The Office of Justice Programs (OJP) will study the need for the creation of new grant programs or the modification of existing programs to promote formulation of timely, cleaned, de-identified PDMP information and other public data sets that are fully accessible by public health and law enforcement officials.
Action Items: Ensure Safe Drug Disposal
- The Drug Enforcement Administration (DEA) will expand efforts to develop community coalitions to help prevent the diversion of unused prescription opioids from homes.
- The DEA will work with federal, state, local and tribal law enforcement and public health officials to develop “mobile” pick-up programs, which will be designed to make take-back options available to rural and underserved communities through coordinated regional efforts.
- The DEA will expand efforts to engage retail pharmacies seeking to establish permanent collection receptacles.
Action Items: Prevent Overdose Deaths with Naloxone
- BJA will promote the use of its “Law Enforcement Naloxone Toolkit” by all state, local and tribal law enforcement agencies throughout the country that do not already have a naloxone program.
- OJP will develop plans for continuing to expand access to naloxone and for enhancing information sharing regarding the effectiveness of naloxone programs.
ENFORCEMENT
Action Items: Investigate and Prosecute High-Impact Cases
- Directing the department’s resources towards the greatest threats, including but not limited to individuals and institutions responsible for the trafficking of heroin and fentanyl, those who improperly prescribe or divert opioids and those who use violence to further drug-trafficking activities.
Action Items: Enhance Regulatory Enforcement
- The DEA will develop metrics for measuring the effectiveness of its expanded regulatory efforts and use these metrics to refine its regulatory efforts.
- The DEA will expand engagement with the registrant community, especially manufacturers, doctors and pharmacists who handle opioid analgesics.
Action Items: Encourage Information Sharing
- The DEA and the Organized Crime Drug Enforcement Task Force (OCDETF) will partner with federal, state, local and tribal law enforcement and public health partners to better facilitate information sharing through the use of investigative de-confliction tools, including the DEA Analysis and Response Tracking System (DARTS) and the De-confliction and Information Coordination Effort (DICE), as well as other information coordination systems, in coordination with DEA’s Special Operations Division, the OCDETF Fusion Center and the El Paso Intelligence Center (EPIC), with the goal of sharing de-identified, real-time data between public health and public safety, when feasible, to reach maximum harm reduction in communities.
- The Community Oriented Policing Services (COPS) Office will require its grant recipients to share with the OCDETF Fusion Center relevant law enforcement information collected as a result of such funding.
- The DEA will expand its Drug/Heroin Data Capture project, a three-part data collection and sharing initiative, based at EPIC.
- The DEA will convene pathologist, toxicologists, medical examiners and state officials to better understand the challenges faced by overburdened state systems as those resource capabilities inform investigative and prosecutorial resource decisions and to assist those systems when possible.
Fund Enforcement-Related Research
- The National Institute of Justice (NIJ) will expand its study of the forensic analysis of evidence from medico-legal death investigations and law enforcement seizures, to develop profiles for fentanyl and other controlled substances to inform trend analysis and provide tactical intelligence.
- NIJ will conduct research on drug intelligence and community surveillance, which are crucial to understanding drug markets and use trends, identifying drug deterrent and interdiction opportunities and pursuing organized crime targets.
TREATMENT
Share Best Practices for Early Intervention
- BJA and COPS will highlight and promote successful models where law enforcement is assisting individuals who have overdosed by directing them to treatment programs, as well as connecting individuals who voluntarily seek help from law enforcement to treatment.
Support Medication-Assisted Treatment (MAT)
- In the near term, subject to funding, the department will support medication-assisted treatment by taking the following step: the Bureau of Prison (BOP) will commit to implementing a nationwide plan to expand medication-assisted treatment to all Residential Reentry Centers.
Promote Treatment Options Throughout the Criminal Justice System
In the near term, the department will support criminal justice system treatment models by taking the following steps:
- The National Institute of Corrections will draft and release a document for state, local and tribal correctional agencies compiling research and best practices for residential substance abuse treatment programs.
- BJA will draft and publicly release a document that highlights promising initiatives in communities throughout the United States that address the treatment needs of individuals with opioid use disorders who enter the criminal justice system.
To combat the opioid epidemic, the department’s components must work together and with other federal, state, local and tribal agencies to seek a comprehensive solution. The strategy outlined in the U.S. Attorney memo, expressed in the Attorney General’s letter to Governors and made possible through grants like BJA’s Harold Rogers Prescription Drug Monitoring Program FY 2016 Competitive Grant Program, embraces an approach that focuses on prevention, enforcement and treatment, and identifies next steps that are immediately actionable.
For more on opioid week, please visit: https://www.justice.gov/opioidawareness/heroin-opioid-awareness-week.
Friday 23 September 2016
“YGz” Gang Member Pleads Guilty to Bronx Murder and Other Crimes in Connection with Racketeering ConspiracyRead the Press Release
Preet Bharara, the United States Attorney for the Southern District of New York, announced that ANTHONY SCOTT, a/k/a “Tyson,” pled guilty today to involvement in a racketeering conspiracy in connection with his membership in the “Young Gunnaz” (“YGz”), a violent street gang that operated in and around several housing developments in the New York City Police Department’s 40th Precinct in the South Bronx. As part of his guilty plea, SCOTT admitted to his participation in two acts of violence in the 40th Precinct: (a) the murder of Darrel Ledgister on or about June 27, 2009, in which SCOTT shot and killed Ledgister during the course of an attempted robbery, and (b) aiding and abetting the aggravated assault of a rival gang associate on or about June 22, 2014, by helping another YGz member shoot the rival gang associate in the foot. SCOTT faces a maximum term of life in prison, and will be sentenced before United States District Judge Valerie E. Caproni later this year. The Ledgister murder is one of several previously unsolved 40th Precinct murders charged in this case.
U.S. Attorney Preet Bharara said: “Anthony Scott has admitted to his role in the murder of a 21-year-old man and a second gang-related shooting. Gang violence threatens the safety and security of all New Yorkers, and we will continue to work with our law enforcement partners to prevent it and to bring those who commit it to justice.”
According to the Indictment and other documents filed in the case, as well as statements made during the plea proceedings:
SCOTT was a member of the Bronx-based street gang known as the YGz and committed acts of violence with other gang members to further the interests of the gang. From at least 2005 to August 2016, members and associates of the YGz enriched themselves by selling drugs, such as “crack” cocaine, heroin, and marijuana, and committed acts of violence, including murder and attempted murder, against various people, including rival gang members, rival drug traffickers, and innocent bystanders. As part of this enterprise, members and associates of the YGz killed and attempted to kill other individuals.
As part of his involvement in the YGz gang, SCOTT participated in two shootings. First, on or about June 27, 2009, SCOTT attempted to commit a gunpoint robbery of the passenger of a vehicle parked on 140th Street near Willis Avenue in the South Bronx, in the vicinity of YGz-controlled territory in the Mott Haven Houses. During the course of the attempted robbery, SCOTT shot and killed Darrel Ledgister, the 21-year-old driver of the vehicle. Second, on or about June 22, 2014, SCOTT aided and abetted the commission of an aggravated assault of a rival gang associate in which one of SCOTT’s fellow gang members shot the rival gang associate in the foot in the vicinity of the Mott Haven Houses.
SCOTT was arrested in this case as a result of a multi-year investigation by the Bureau of Alcohol, Tobacco, Firearms and Explosives (“ATF”), the Drug Enforcement Administration (“DEA”), and the New York City Police Department (“NYPD”) into gang violence in and around the 40th Precinct. In July 2014, SCOTT was initially arrested in the vicinity of the Mott Haven Houses for possession of a firearm following a felony conviction, and was prosecuted by this Office for that firearm offense, convicted, and sentenced to 30 months in prison. In December 2015, while SCOTT was in federal prison serving that sentence, SCOTT and more than 20 other members and associates of the YGz gang were charged with racketeering conspiracy, and some were charged with murders, attempted murders, narcotics trafficking, and firearms offenses. The racketeering indictment in this case was subsequently superseded twice, in June 2016 and August 2016, to charge more than 10 additional defendants, two additional murders, and other offenses. The controlling Indictment now charges various YGz members with four previously unsolved 40th Precinct murders: the June 27, 2009, murder of Darrel Ledgister; the January 24, 2011, murder of Dykeem Etheridge; the December 22, 2011, murder of Taisheem Ferguson; and the April 16, 2012, murder of Moises Lora.
* * *
Mr. Bharara praised the outstanding work of the ATF, the DEA, and the NYPD in the investigation of this case. He also thanked the Bronx County District Attorney’s Office for their support in this case.
This case is being handled by the Office’s Violent and Organized Crime Unit. Assistant United States Attorneys Samson Enzer, James McDonald, Andrew Adams, and Dina McLeod are in charge of the prosecution.
Utah Business Owner Convicted of Dealing in Firearms without a License and Filing False Tax ReturnsRead the Press Release
Convicted of Illegally Selling Firearms and Underreporting More than $10 Million in Gross Receipts
A Salt Lake County, Utah man was convicted today by a federal jury of one count of dealing in firearms without a license and five counts of filing false tax returns, announced Principal Deputy Assistant Attorney General Caroline D. Ciraolo, head of the Justice Department’s Tax Division, and U.S. Attorney John W. Huber for the District of Utah.
“Individuals such as Mr. Webber, who view themselves above the law and engage in criminal conduct to line their own pockets with funds that belong to the U.S. Treasury, will be held to account for their crimes and face severe consequences, including prosecution and incarceration,” said Principal Deputy Assistant Attorney General Ciraolo. “The Tax Division thanks its colleagues in the District of Utah and other federal agencies for their continued efforts to ensure that everyone pays their fair share.”
Pursuant to an agreement reached with the United States in 2007, Adam Michael Webber, was barred from applying for a federal firearms license or engaging in the business of dealing firearms. According to the evidence presented at trial, between 2007 and 2008, Webber was the sole owner of HK Parts, an Internet gun parts business that operated originally as a sole proprietorship and later as an S corporation. In 2008, Webber added firearms to his product line and primarily sold them on the Internet at hkparts.net. He also sold firearms and firearm parts out of the basement of his residence. Webber never held a federal firearms license and, from 2009 through May 2012, illegally sold firearms under the auspices of a company owned by another Utah resident. Webber also sold firearms to undercover Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) agents on two separate occasions, including selling one firearm for cash in a parking lot. In May 2012, approximately $180,000 in cash, a 70 pound silver bar, silver coins and firearms were found at Webber’s residence during the execution of a search warrant.
From 2007 through 2010, Webber earned more than $10 million in gross receipts from his illegal firearms business. For those years, he reported only a total of $183,397 in gross receipts, underreporting his earnings on his 2007, 2008 and 2009 individual income tax returns and underreporting gross receipts on his 2009 and 2010 corporate tax returns. In 2010, Webber paid $670,000 in cash for a new home in Salt Lake County.
Sentencing is set for Dec. 1. Webber faces a statutory maximum sentence of up to five years in prison for dealing in firearms without a license and up to three years in prison for each count of filing a false tax return, as well as a period of supervised release and monetary penalties.
“This defendant repeatedly purchased firearms for resale without a federal firearms license and substantially under reported the gross receipts of the sales on his taxes,” said U.S. Attorney Huber. “Around 2,000 firearms were involved in this conduct. Evidence at trial showed that Mr. Webber claimed a mere fraction of his gross receipts on his tax forms over a four-year period.”
“The laws regulating the buying and selling of firearms exist to prevent criminals and other prohibited people from illegally accessing firearms,” said ATF Special Agent in Charge Ken Croke. “By circumventing these laws, Webber knowingly and intentionally put people’s lives at risk.”
“Illegal firearms dealers can create public safety and national security vulnerabilities by potentially arming criminals and terrorists without a traceable paper trail, while also hurting the image and business reputation of licensed law-abiding firearms dealers,” said Special Agent in Charge David A. Thompson of U.S. Immigration and Customs Enforcement’s Homeland Security Investigations’ (HSI) Denver office. “Frequently, such successful criminal cases are identified, investigated and presented for prosecution by combining the law enforcement resources and authorities of multiple agencies. Our HSI special agents routinely work cooperatively with other law enforcement partners to shut down these criminal operations that pose a public safety risk to our communities.”
“Mr. Webber's crimes were not victimless,” said Special Agent in Charge Tara Sullivan of the Internal Revenue Service-Criminal Investigation (IRS-CI) Field Office in Las Vegas, Nevada. “Reporting inaccurate information on your taxes cheats the government and is unfair to honest taxpayers. Mr. Webber decided that he was above the law and IRS CI holds all offenders accountable.”
Principal Deputy Assistant Attorney General Ciraolo and U.S. Attorney Huber commended the special agents of ATF, IRS-CI and HSI, who conducted the investigation and Assistant U.S. Attorneys Cy H. Castle and J. Drew Yeates and Paralegal Heather Nielson of the U.S. Attorney’s Office in the District of Utah and Trial Attorney Kathleen M. Barry of the Tax Division, who prosecuted the case.
Additional information about the Tax Division and its enforcement efforts may be found on the division’s website.
Two Men Sentenced to Prison Terms for Broad Daylight Murder in Southeast WashingtonRead the Press Release
WASHINGTON- Markell Alston, 23, and Darryl Malloy, 21, both formerly of Washington, D.C., were sentenced today to prison terms for the broad daylight slaying of a man in Southeast Washington, announced U.S. Attorney Channing D. Phillips and Peter Newsham, Interim Chief of the Metropolitan Police Department (MPD).
Both men pled guilty in June 2016, in the Superior Court of the District of Columbia, to second-degree murder while armed in the death of Kevin Owens. Each also pled guilty in separate cases to assault with a dangerous weapon. They were each sentenced by the Honorable Robert E. Morin to a total of 26 years in prison. Following their prison terms, each man will be placed on five years of supervised release.
According to the government’s evidence, Alston and Malloy were good friends who lived in the Woodland Terrace area of Southeast Washington. Mr. Owens, 22, was from the Congress Park area of Southeast Washington. In December 2014 and January 2015, Alston was angry that Mr. Owens had started dating the mother of two of Alston’s children.
On Jan. 19, 2015, Martin Luther King Jr. Day, at about 2 p.m., Mr. Owens parked his car in the 3400 block of 13th Place SE, in the Congress Park area. While Mr. Owens was sitting in the driver’s seat of his car, Alston and Malloy approached the vehicle from behind. Both defendants were armed, and both fired multiple shots at Mr. Owens. They then ran away. Mr. Owens, who was struck by seven bullets, was found on the street near the driver’s side of his car. The shooting was captured by a high-definition surveillance video camera installed in the area by the Metropolitan Police Department.
In a separate case, Alston pled guilty to assaulting another inmate while he was in custody at the D.C. Jail in a noontime incident on Nov. 18, 2015. According to the government’s evidence, he and another inmate stabbed the victim with sharp objects. A corrections officer ran over and halted the attack. The victim was taken to a hospital and treated for 23 stab wounds, including on his head, neck, back, and arms.
Malloy pled guilty to accosting a contractor who was installing safety lights on the afternoon of Sept. 15, 2014, on the roofs of buildings in the Woodland Terrace area. While the contractor was on a ladder, Malloy approached him, pulled a gun from his waistband, and yelled that he did not want the lights installed.
Alston’s sentence includes 26 years for the murder and three years for the assault, to run concurrently. Malloy’s sentence includes 23 years for the murder and three years for the assault he committed, to run consecutively.
In announcing the sentences, U.S. Attorney Phillips and Interim Chief Newsham commended the work of the Metropolitan Police Department, which investigated the murder case. They also expressed appreciation for the assistance provided by the District of Columbia Department of Corrections, the District of Columbia Department of Forensic Sciences, the FBI, and Bode Cellmark Forensics. They acknowledged the efforts of those who worked on the case from the U.S. Attorney’s Office, including Paralegal Specialist Zekiah Wright, former Paralegal Specialist Karen Hansen, Investigative Analyst Zachary McMenamin, Criminal Investigators John Marsh and Durand Odom, Victim/Witness Advocate Marcia Rinker, Supervisor Security Specialist Michael Hailey, and Victim/Witness Security Specialists M. Laverne Forrest and Tanya Via. Finally, they commended the efforts of Assistant U.S. Attorneys Natalia Medina, Jeffrey Nestler, Lindsey Merikas, and Dineen Baker, who investigated and secured indictments in the various cases.
Two Jackson Residents Sentenced to Prison for Use of a Firearm During a Drug Trafficking OffenseRead the Press Release
Jackson, Miss - Anthony Watson, 26, and Joshua Martin, 25, both of Jackson, were sentenced on September 22, 2016 by U.S. District Judge Carlton Reeves for using a firearm during a drug trafficking offense, announced U.S. Attorney Gregory K. Davis and Special Agent in Charge Constance Hester Davis with the Bureau of Alcohol, Tobacco, Firearms, and Explosives.
Watson was sentenced to 300 months in prison followed by five years of supervised release and Martin was sentenced to 336 months in prison followed by 5 years of supervised release. The defendants were also ordered to $14,438.28 in restitution and a $1,500.00 fine. The two men previously pled guilty to an Information charging them with the use of a firearm during a drug trafficking offense.
Watson and Martin admitted to killing Sharod Vaughn, 22, of Jackson, during the early morning hours of August 13, 2013, at 2034 Wisteria Drive in Jackson, Mississippi. Vaughn died of multiple gunshot wounds from the SKS rifle and .45 caliber pistol used by the defendants. The defendants were meeting with Vaughn to exchange the firearms for marijuana when the shooting occurred.
The investigation was led by Special Agent Ray Connor, Bureau of Alcohol, Tobacco, Firearms, and Explosives with the assistance of the Jackson Police Department. Contributing to the investigation were the Hinds County Sheriff’s Office and the Mississippi Department of Corrections. Assistant United States Attorneys Mary Helen Wall and Pat Lemon prosecuted the case.
Two Defendants Facing Federal Indictments for Aggravated Identity Theft in Connection with Separate SchemesRead the Press Release
Greenbelt, Maryland – Two defendants have been arrested on federal indictments charging them with aggravated identity theft and related counts arising from separate fraud schemes. Michelle Renee Marshall, age 46, of Washington, D.C., was arrested on Monday September 19, 2016, and to had her initial appearance today. She will have a detention hearing in U.S. District Court in Greenbelt at 3:00 p.m. today before U.S. Magistrate Judge Thomas DiGirolamo. Carlton W. Stuart, age 59, of Bowie, Maryland, was arrested and had his initial appearance on Friday, September 16, 2016. Stuart was released under the supervision of U.S. Pretrial Services. The indictments were returned in August and unsealed upon the defendants’ appearance in U.S. District Court in Maryland.
The indictments were announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Thomas Jankowski of the Internal Revenue Service - Criminal Investigation, Washington, D.C. Field Office; and Special Agent in Charge Drew Grimm of the U.S. Office of Personnel Management - Office of Inspector General.
Marshall’s indictment alleges that between April and September 2014, Marshall represented to two victims that she would assist them in preparing and filing their federal income tax returns with the IRS. According to the indictment, Marshall obtained the victims’ PII, which she used to prepare and file their tax returns, with the tax refunds supposedly directed to the victims’ bank accounts. However, the victims never received any tax refunds. The indictment alleges that the tax returns directed the over $17,000 in tax refunds owed to the victims into bank accounts controlled by Marshall, not into the victims’ bank accounts.
According to Stuart’s indictment, he did not notify the U.S. Office of Personnel Management (OPM) of Victim A’s death on June 4, 2012. As a result, between July 2012 and March 2016, OPM continued to make monthly federal retirement and survivor annuity payments to Victim A, totaling $142,490.90. The indictment alleges that Stuart repeatedly forged Victim A’s signature on U.S. Treasury checks mailed to the victim as part of the retirement annuity, depositing the forged checks into the victim’s bank account. Further, the indictment alleges that Stuart repeatedly forged Victim A’s signature on checks drawn from the victim’s bank account and made payable to Stuart.
If convicted, the defendants face a mandatory minimum of two years in prison, consecutive to any other sentence imposed, for aggravated identity theft. In addition, Marshall faces a maximum sentence of 20 years in prison for wire fraud; and Stuart faces a maximum of 10 years in prison for theft of government property.
An indictment is not a finding of guilt. An individual charged by indictment is presumed innocent unless and until proven guilty at some later criminal proceedings.
The Maryland Identity Theft Working Group has been working since 2006 to foster cooperation among local, state, federal, and institutional fraud investigators and to promote effective prosecution of identity theft schemes by both state and federal prosecutors. This case, as well as other cases brought by members of the Working Group, demonstrates the commitment of law enforcement agencies to work with financial institutions and businesses to address identity fraud, identify those who compromise personal identity information, and protect citizens from identity theft.
Today’s announcement is part of the efforts undertaken in connection with the President’s Financial Fraud Enforcement Task Force. The task force was established to wage an aggressive, coordinated and proactive effort to investigate and prosecute financial crimes. With more than 20 federal agencies, 94 U.S. attorneys’ offices, and state and local partners, it’s the broadest coalition of law enforcement, investigatory and regulatory agencies ever assembled to combat fraud. Since its formation, the task force has made great strides in facilitating increased investigation and prosecution of financial crimes; enhancing coordination and cooperation among federal, state and local authorities; addressing discrimination in the lending and financial markets; and conducting outreach to the public, victims, financial institutions and other organizations. Since fiscal year 2009, the Justice Department has filed over 18,000 financial fraud cases against more than 25,000 defendants. For more information on the task force, please visit www.StopFraud.gov.
United States Attorney Rod J. Rosenstein commended OPM – OIG for its investigation of Stuart and IRS-CI for its investigation of Marshall. Mr. Rosenstein thanked Assistant U.S. Attorney Leah J. Bressack, who is prosecuting both cases, and Assistant U.S. Attorney Erin Pulice who is also prosecuting Marshall.
Three Top Corporate Executives Convicted by Federal Jury in Conspiracy to Bribe Dekalb County and Georgia World Congress Center Public OfficialRead the Press Release
ATLANTA - Anthony Lepore, John Rife, and Brian Domalik, the former President, Regional Vice President, and Division Manager for Rite Way Service, Inc., were convicted by a federal jury yesterday on conspiracy, bribery and honest services fraud charges after a nearly two-week jury trial. The charges were brought in connection with a multi-year scheme to bribe a public official who was employed with DeKalb County government and the Georgia World Congress Center Authority.
“This case highlights how public corruption offenses harm our communities —you have greedy company executives who seek an unfair advantage over their competitors, and a crooked public official who is willing to sell their power for personal gain,” said U.S. Attorney John Horn. “The victims are spread throughout the community, from the citizens who often end up paying more for government services provided by the corrupt company and suffer the loss of honest government, as well as other companies that try to make their living ethically. The people of DeKalb County and the State of Georgia deserved better.”
“This case and the resulting convictions of these three corporate executives not only illustrates the problems regarding public corruption, but also law enforcement’s very focused and deliberate efforts in addressing it. The FBI, along with its law enforcement partners and federal prosecutors, will not tolerate those who interfere with or unduly influence the established and proper procedures of our public officials and the offices that they represent. We ask anyone with information regarding public corruption matters to immediately contact their nearest FBI field office,” said George Crouch, Acting Special Agent in Charge, FBI Atlanta Field Office.
According to U.S. Attorney Horn, the charges and other information presented in court: Lepore was the President and CEO of Rite Way Service, Inc., an Alabama-based company that sought to do business with both DeKalb County and the Georgia World Congress Center Authority (GWCCA), a state government entity that manages the Georgia World Congress Center, the Georgia Dome, Atlanta’s Centennial Olympic Park, and other properties. Rife was the Rite Way Regional Vice President who oversaw the company’s Georgia Division, based in Norcross, Georgia. Domalik was the Division Manager in charge of Rite Way’s Georgia Division between 2010 and 2014.
Beginning in the summer of 2005, Lepore, Rife, and Domalik’s predecessor as Division Manager of Rite Way’s Georgia Division, Cecil Clark, conspired to bribe Patrick Jackson, a public official who was simultaneously working full time as a contracting official for DeKalb County and the GWCCA, in connection with janitorial services contracts with those government entities. The government contracts were worth millions of dollars. The bribes amounted to over $100,000 in payments for Jackson’s rent, utilities, and a garage lease for a luxury apartment over a 6-year period in downtown Atlanta, as well as cash payments, over $24,000 in furniture for the apartment, a $5,100 deposit for event space for a party that that Jackson threw at the Waverly Renaissance Hotel, and other benefits. Domalik joined the conspiracy in late 2010, when Clark resigned from Rite Way, and continued the scheme with Lepore and Rife through 2012.
In exchange for the payments and other benefits from Rite Way, Jackson used his official position as a public official to help Rite Way win, maintain and increase profits from multi-year janitorial services contracts with DeKalb County and the GWCCA worth millions of dollars.
Jackson, 55, of Loganville, Georgia, was indicted by a federal grand jury on September 9, 2014 on one count of conspiracy to commit honest services fraud, and nine counts of honest services fraud. Jackson pleaded guilty to one count of conspiracy, and on August 12, 2015, he was sentenced to four years, three months in federal prison, ordered to pay restitution to DeKalb County and GWCCA, and fined $20,000.
Clark, 55, of Jonesboro, Georgia, agreed to waive indictment and pleaded guilty to a Criminal Information charging him with conspiracy to commit bribery on May 26, 2015. Clark was sentenced on September 30, 2015 to serve one year, five months in federal prison, ordered to pay restitution to DeKalb County and GWCCA, and fined $20,000.
Lepore, 64, of Birmingham, Alabama, Rife, 66, of Cumming, Georgia, and Domalik 49, of Kennesaw, Georgia, were each convicted on one count of conspiracy, ten counts of honest services fraud, and five counts of bribery.
A sentencing date has not yet been scheduled.
This case is being investigated by Special Agents of the Federal Bureau of Investigation. Valuable assistance was also provided by Special Agents of the Georgia Bureau of Investigation.
Assistant United States Attorneys Kamal Ghali and David M. Chaiken are prosecuting the case. Former Assistant United States Attorney Jamie L. Mickelson previously prosecuted the case.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Three Charged with Trafficking CocaineRead the Press Release
McALLEN, Texas – Two men have been arrested and authorities are seeking a third for their alleged involvement in a cocaine trafficking conspiracy, announced U.S. Attorney Kenneth Magidson.
A federal grand jury returned a sealed three-count indictment Aug. 16, 2016, against Jesus A. Villarreal, 56, of Sullivan City, Juan Cristobal Hernandez, 37, of Reynosa, Tamaulipas, Mexico, and Rolando Martinez, Jr., 31, of Rio Grande City. The court unsealed the indictment in its entirety just moments ago.
Villarreal and Hernandez were taken into custody yesterday and they are expected to make an initial appearance before U.S. Magistrate Judge Dorina Ramos this morning.
Martinez is considered a fugitive and a warrant remains outstanding for his arrest. Anyone with information about his whereabouts is asked to contact the Drug Enforcement Administration (DEA) at 956-992-8400 or Immigration and Customs Enforcement’s Homeland Security Investigations (ICE-HSI) at 866-347-2423.
The indictment alleges the three conspired to possess with the intent to distribute in excess of five kilograms of cocaine from March 1, 2015, to May 1, 2015. As part of the indictment, Hernandez and Villarreal allegedly possessed with intent to distribute 22 kilograms of cocaine in March 2015 and 108 kilograms in April 2015.
If convicted, each faces a minimum of 10 years and up to life in federal prison and a possible $10 million fine.
The arrests were the result of an investigation dubbed Operation Killing Time that began in 2015 and lead by DEA and HSI with assistance of the Texas Department of Public Safety and task force officers from police departments in San Juan, McAllen, Palmview, Weslaco, Mission and Pharr. Assistant United States Attorney Juan F. Alanis is prosecuting the case.
An indictment is a formal accusation of criminal conduct, not evidence.
A defendant is presumed innocent unless convicted through due process of law.
The Departments of the Army, the Interior and Justice Invite Tribal Leaders to Participate in Formal Government-to-Government Consultations on Infrastructure Decision MakingRead the Press Release
The U.S. Departments of Justice, of the Army, and of the Interior today invited representatives from all 567 federally recognized tribes to participate in formal, government-to-government consultations on how federal decision-making on infrastructure projects can better allow for timely and meaningful tribal input. Starting with a listening session on Oct. 11, formal tribal consultations are scheduled in six regions of the country, from Oct. 25 through Nov. 21. The deadline for written input will be Nov. 30.
The three departments previously announced on Sept. 9, the intention to hold these consultation sessions after important issues were raised by the Standing Rock Sioux Tribe and other tribal nations and their members regarding the Dakota Access pipeline specifically and pipeline-related decision-making more generally.
The consultations will focus on how the federal government can better ensure meaningful tribal input into infrastructure-related decisions and the protection of tribal lands, resources and treaty rights and will also explore with tribes whether new legislation should be proposed to Congress to alter the current statutory framework to promote those goals.
For a copy of the invitation letter that was sent to all tribal leaders today, please click here.
Tampa Area Woman Sentenced to Federal Prison for Theft of Tax Refund ChecksRead the Press Release
Tampa, Florida – U.S. District Judge Elizabeth Kovakevich today sentenced Tiana Lise to 28 months in federal prison for theft of government funds and aggravated identity theft. The Court also entered a forfeiture money judgment in the amount of $8,000, representing the proceeds of the offense.
Lise pleaded guilty on March 2, 2016.
According to court documents, a confidential informant engaged in two undercover transactions with Lise, in which Lise sold the confidential informant stolen tax refund checks totaling over $50,000. In some cases, these checks were fraudulently endorsed and were transferred with social security numbers so that they could be easily cashed. The checks originated from three victims, none of whom gave Lise or any other person authority to take or cash their tax refund checks.
This case was investigated by the Internal Revenue Service - Criminal Investigation. It was prosecuted by Assistant United States Attorney Rachel K. Jones.
Stetson Woman Sentenced to 14 Months for Cocaine and Oxycodone Trafficking ConspiracyRead the Press Release
Contact: Joel B. Casey
Assistant United States Attorney
Tel: (207) 945-0373Portland, Maine: United States Attorney Thomas E. Delahanty II announced that Cynthia “Cindy” Williams, 43, of Stetson, was sentenced today in U.S. District Court by Judge Jon D. Levy to 14 months in prison and three years of supervised release (including six months of community confinement) for conspiring to distribute and to possess with intent to distribute five or more kilograms of cocaine and oxycodone. She pled guilty to the charge on January 25, 2016.
According to court records, between about 2012 and November 2014, the defendant conspired with nine other people to distribute oxycodone and cocaine in the Dexter, Maine area. The drugs were acquired in Rhode Island and were distributed from her Stetson residence.
The case was investigated by the U.S. Drug Enforcement Administration and the Maine Drug Enforcement Agency, with assistance from the Dexter Police Department and the Penobscot and Piscataquis County Sheriff’s Offices.
Stafford Man Sentenced for Attempting to Arrange Sex with 10 Year-OldRead the Press Release
ALEXANDRIA, Va. – Justin Frank Clark, 28, formerly of Stafford, was sentenced today to 10 years in prison for attempting to coerce and entice a minor. Clark was also sentenced to 10 years of supervised release and ordered to register as a sex offender upon release from prison.
Clark pleaded guilty on June 29. According to court documents, from April through May, Clark began communicating with an undercover agent who was purportedly advertising a 10-year-old girl for sex. Through a series of emails and messages, Clark arranged to travel from Stafford to Washington, D.C., to have sex with the minor. While arranging the meeting, Clark also sent multiple videos containing child pornography to the undercover agent.
Dana J. Boente, U.S. Attorney for the Eastern District of Virginia; Paul M. Abbate, Assistant Director in Charge of the FBI’s Washington Field Office; and David P. Decatur, Stafford County Sheriff, made the announcement after sentencing by U.S. District Judge Claude M. Hilton. Assistant U.S. Attorney Whitney Dougherty Russell prosecuted the case.
A copy of this press release may be found on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information may be found on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:16-cr-157.
Shooter in Murder-For-Hire Exiled to 30 Years in Federal PrisonRead the Press Release
Baltimore, Maryland –Chief U.S. District Judge Catherine C. Blake sentenced Davon Sanford, a/k/a “Chronic,” age 33, of Baltimore, to 30 years in prison, followed by five years of supervised release, after Sanford pleaded guilty today to discharging a firearm during a crime of violence, resulting in death.
The plea and sentence were announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Kevin Perkins of the Federal Bureau of Investigation, Baltimore Field Office; Commissioner Kevin Davis of the Baltimore Police Department; and Baltimore City State’s Attorney Marilyn J. Mosby.
According to his guilty plea, in March of 2012 a physical altercation took place in the vicinity of West Patterson Park Avenue and Chase Street in Baltimore, Maryland. One of the participants to this altercation was Gregory Parker. In the days following the altercation, an individual arranged with Tavon Slowe to kill Gregory Parker. The agreed price for the murder was $5,000.
On March 16, 2012, at approximately 2:30 p.m., Slowe drove his silver Honda Accord to meet the individual. Davon Sanford was seated in the front passenger seat. The individual told Slowe where Parker could be found and described Parker as wearing a blue floppy (“Gilligan-style”) hat. Less than 90 minutes later, Gregory Parker was shot multiple times by Davon Sanford with a 9mm semi-automatic pistol in the 2300 block of East Chase Street in Baltimore City. Fourteen shell casings were found at the scene. Parker was wearing a blue floppy “Gilligan” hat when he was shot and killed.
According to witnesses, the “shooter” fled northbound on Bradford Street and got into a silver vehicle. Video surveillance shows Sanford, wearing a green hooded sweatshirt with white lettering across the front, running from the murder scene and getting into the silver Honda Accord driven by Slowe. Law enforcement recovered photographs from the cell phone of an associate that show Davon Sanford wearing the same green hooded sweatshirt with white lettering across the front, as he wore during the murder.
Tavon Slowe, age 24, of Baltimore, previously pleaded guilty to charges related to two murder for hire contracts. If the Court accepts the plea agreement, Slow will be sentenced to between 23 and 27 years in prison. Chief Judge Blake has scheduled Slowe’s sentencing for October 4, 2016 at 10:00 a.m.
United States Attorney Rod J. Rosenstein praised the FBI, Baltimore Police Department, Safe Streets Task Force and Baltimore State’s Attorney’s Office for their work in the investigation. Mr. Rosenstein thanked Assistant United States Attorneys James G. Warwick and Joshua T. Ferrentino, who are prosecuting the case.
Rochester Man Sentenced on Drug and Gun ChargesRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051ROCHESTER, N.Y. -- U.S. Attorney William J. Hochul, Jr. announced today that Edwin Murray, 52 of Rochester, NY, who was convicted of possession with intent to distribute cocaine and possession of a firearm in the furtherance of a drug trafficking crime, was sentenced to 75 months in prison by U.S. District Judge Elizabeth A. Wolford.
Assistant U.S. Attorney Charles E. Moynihan, who handled the case, stated on August 20, 2014, members of Rochester Police Department executed a search warrant in the downstairs apartment at 54 Miller Street in Rochester. During the execution of the search warrant, an investigator encountered Murray, who was the only person in the house at the time, in a bedroom. Under a bed, investigators found a black shoe box. Inside they found a clear plastic bag that contained 84 smaller ziplock baggies. Each baggie contained a white rocky material which was later identified as crack cocaine. Officers also located a wallet which contained $346.00 in United States Currency and marijuana. Officers also found a Ruko-Armscor Model M14 .22 caliber long rifle and a magazine for the rifle, which contained six rounds of .22 caliber ammunition.
The sentencing is the culmination of an investigation on the part of Rochester Police Department, under the direction of Rochester Police Department Chief Michael Ciminelli, and the Bureau of Alcohol, Tobacco, Firearms and Explosives, under the direction of Acting Special Agent in Charge Charlie J. Patterson.
Preston County man pleads guilty to unlawful possession of a firearmRead the Press Release
CLARKSBURG, WEST VIRGINIA – Scott Alan Thomas, 53, of Masontown, West Virginia, pled guilty to unlawfully possessing a firearm, United States Attorney William J. Ihlenfeld, II, announced.
Thomas, who had previously been convicted of felony offenses in Ohio and Florida, was discovered in possession of a .22 caliber revolver in December 2015. He pled guilty to one count of “Felon in Possession of a Firearm.”
He faces up to ten years in prison and a fine of up to $250,000. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant U.S. Attorney Shawn M. Adkins prosecuted the case on behalf of the government. The Bureau of Alcohol, Tobacco, Firearms, and Explosives, the West Virginia State Police, and the Masontown Police Department investigated.
U.S. Magistrate Judge Michael John Aloi presided.
Philadelphia Man Pleads Guilty to Trio of Bank RobberiesRead the Press Release
PHILADELPHIA - Reuben Jackson, 52, of Philadelphia, Pennsylvania, pleaded guilty to three counts of bank robbery, for three bank robberies that occurred in Center City Philadelphia in April and May 2016, announced United States Attorney Zane David Memeger and FBI Special Agent-in-Charge Michael Harpster.
According to the indictment, on April 29, 2016, Jackson robbed the Citizens Bank at 1515 Market Street in Philadelphia; on May 3, 2016, he robbed the Polonia Bank at 2133 Spring Garden Street in Philadelphia; and on May 9, 2016, he robbed the PNC Bank at 400 Market Street in Philadelphia.
Pharmacy Technician from Carlsbad Facing Federal Charge for Stealing Prescription Opioid PainkillersRead the Press Release
ALBUQUERQUE – The DEA has arrested a pharmacy technician on a federal theft of medical products charge arising out of the theft of more than 20,000 prescription opioid tablets from the pharmacy that previously employed the technician, announced U.S. Attorney Damon P. Martinez and Special Agent in Charge Will R. Glaspy of DEA’s El Paso Division.
Amber Otero, 30, of Carlsbad, N.M., was arrested this morning on a criminal complaint charging her with theft of medical products. According to the criminal complaint, the DEA initiated the investigation leading to Otero’s arrest in Aug. 2016, after receiving a report of theft of loss of controlled substances from a pharmacy in Carlsbad. The pharmacy’s report alleged that 20,344 oxycodone tablets of various strengths had been stolen from the pharmacy. Otero, who had been employed as a pharmacy technician by the pharmacy, was identified as the suspected thief.
Otero is scheduled for an initial appearance in federal court in Roswell, N.M., on Sept. 27, 2016.
If convicted on the charge in the criminal complaint, Otero faces a statutory maximum penalty of 20 years in federal prison. Charges in criminal complaints are merely accusations, and criminal defendants are presumed innocent unless proven guilty beyond a reasonable doubt.
The Tactical Diversion Squad of the DEA in El Paso, Texas investigated this case. DEA’s Tactical Diversion Squads combine DEA resources with those of federal, state and local law enforcement agencies in an innovative effort to investigate, disrupt and dismantle those suspected of violating the Controlled Substances Act or other appropriate federal, state or local statutes pertaining to the diversion of licit pharmaceutical controlled substances or listed chemicals.
Assistant U.S. Attorney Matthew Beck is prosecuting the case pursuant to the New Mexico Heroin and Opioid Prevention and Education (HOPE) Initiative. The HOPE Initiative was launched in January 2015 by the UNM Health Sciences Center and the U.S. Attorney’s Office in response to the national opioid epidemic, which has had a disproportionately devastating impact on New Mexico. Opioid addiction has taken a toll on public safety, public health and the economic viability of our communities. Working in partnership with the DEA, the Bernalillo County Opioid Accountability Initiative, Healing Addiction in our Community (HAC), the Albuquerque Public Schools and other community stakeholders, HOPE’s principal goals are to protect our communities from the dangers associated with heroin and opioid painkillers and reducing the number of opioid-related deaths in New Mexico.
The HOPE Initiative is comprised of five components: (1) prevention and education; (2) treatment; (3) law enforcement; (4) reentry; and (5) strategic planning. HOPE’s law enforcement component is led by the Organized Crime Section of the U.S. Attorney’s Office and the DEA in conjunction with their federal, state, local and tribal law enforcement partners. Targeting members of major heroin and opioid trafficking organizations for investigation and prosecution is a priority of the HOPE Initiative. Learn more about the New Mexico HOPE Initiative at http://www.HopeInitiativeNM.org.
Pensacola Man Pleads Guilty to Making False StatementsRead the Press Release
PENSACOLA, FLORIDA – Robert Blake Jackson, 31, of Pensacola, pled guilty today to making materially false statements in a federal investigation. The guilty plea was announced by Christopher P. Canova, United States Attorney for the Northern District of Florida.
In October 2014, Jackson’s Facebook profile contained comments, photos, and videos expressing support for extremist terrorist groups such as the Islamic State of Iraq and the Levant (ISIL, also known as ISIS). In January 2015, a Pensacola telemarketing corporation reported they recently fired Jackson for viewing ISIL-related and other terrorist-related websites and videos on his work computer.
In June 2015, during an interview with the FBI, Jackson stated that he never posted any pro-ISIL or violent content and that he only used the internet at work to search news sites. At his plea hearing, Jackson admitted that these statements were false.
Jackson faces a maximum of five years in prison. Jackson is currently in federal custody at the Santa Rosa County Jail. The sentencing hearing is scheduled for December 12, 2016, at 12:30 p.m. at the United States Courthouse in Pensacola.
This case resulted from an investigation by the Federal Bureau of Investigation, the Internal Revenue Service – Criminal Investigation, the Florida Department of Law Enforcement, and the other members of the FBI Joint Terrorism Task Force. Assistant United States Attorney David L. Goldberg is prosecuting the case, with the assistance of David Cora of the National Security Division.
The United States Attorney's Office for the Northern District of Florida is one of 94 offices that serve as the nation’s principal litigators under the direction of the Attorney General. To access available public court documents online, please visit the U.S. District Court for the Northern District of Florida website. For more information about the United States Attorney’s Office, Northern District of Florida, visit http://www.justice.gov/usao/fln/index.html.
For more information, contact:
Amy Alexander, Public Information Officer
(850) 216-3854, [email protected]Pensacola Attorney/CPA Indicted for Federal Tax CrimesRead the Press Release
PENSACOLA, FLORIDA – James R.J. Scheltema, 56, of Pensacola, made an initial appearance today in the U.S. District Court in Pensacola after a federal grand jury returned an indictment charging him with filing false tax returns and tax evasion. The indictment was announced by Christopher P. Canova, United States Attorney for the Northern District of Florida.
The indictment alleges that Scheltema filed false tax returns, claiming a total tax of $18 for 2011 and $1,369 for 2012, when he knew his total tax exceeded that amount. The indictment further alleges that Scheltema attempted to evade paying tax on his taxable income of $598,291 for the calendar year 2013 by failing to file a timely income tax return and later filing a false tax return. The arraignment is scheduled for September 28, 2016, at 2:00 p.m.
This case resulted from an investigation by the Internal Revenue Service—Criminal Investigation. Assistant United States Attorney David L. Goldberg is prosecuting the case.
An indictment is merely an allegation by a grand jury that a defendant has committed a violation of federal criminal law and is not evidence of guilt. All defendants are presumed innocent and entitled to a fair trial, during which it will be the government’s burden to prove guilt beyond a reasonable doubt at trial.
The U.S. Attorney’s Office for the Northern District of Florida is one of 94 offices that serve as the nation’s principal litigators under the direction of the Attorney General. To access public court documents online, please visit the U.S. District Court for the Northern District of Florida website. For more information about the U.S. Attorney’s Office, Northern District of Florida, visit http://www.justice.gov/usao/fln/index.html.
For more information, contact:
Amy Alexander, Public Information Officer
(850) 216-3854, [email protected]Passenger Remains in Federal Custody on Federal Charge of Interfering with a Flight CrewRead the Press Release
LUBBOCK, Texas — A Las Vegas man, Jerry Ba Nguyen, who was a passenger on American Airlines flight 2542 early yesterday morning in route from Ontario, California, to Dallas/Fort Worth International Airport, which was diverted to Lubbock Preston Smith International Airport, has been charged in a federal criminal complaint with interference with a flight crew, announced U.S Attorney John Parker of the Northern District of Texas.
Nguyen made his initial appearance this morning in the 364th Judicial District Court before the Honorable William R. Eichman, II, in Lubbock and was detained pending a detention hearing to be set by U.S. Magistrate Judge D. Gordon Bryant, Jr.
According to the complaint, Nguyen, 24, knowingly interfered and attempted to interfere with the performance of the duties of a flight crew member and flight attendant, lessening their ability to perform their duties, by assaulting and intimidating the flight attendant and flight crew member by refusing to comply with instructions from flight attendants and attempting to forcibly enter the cockpit.
Nguyen came to the attention of the flight attendants as the plane was leaving the gate in Ontario, appearing agitated and walking toward the front of the aircraft as it prepared to take off. Flight attendants were able to calm him down, and the plane departed. After takeoff, however, Nguyen’s erratic behavior continued; he mumbled that the SIM card had been stolen from his phone and he made suicidal statements. He also stated that the police were not his friends, and the U.S. government was responsible for the September 11, 2001, terrorist attacks.
Nguyen was asked to remain in his seat by the flight crew on multiple occasions, but refused. Flight attendants were so concerned about his behavior that they recruited several passengers to assist with physically restraining Nguyen if it became necessary.
Upon final approach, Nguyen walked to the front of the aircraft and began banging on and kicking the cockpit door. He was subdued by passengers at the request of the flight crew and then restrained with flex cuffs provided by the flight attendants,
The Captain declared an emergency and diverted the flight to Lubbock Preston Smith International Airport, where it landed safely. Nguyen was removed from the plane and taken into custody
A federal complaint is a written statement of the essential facts of the offenses charged and must be made under oath before a magistrate judge. The government has 30 days to present the matter to a grand jury for indictment. A defendant is entitled to the presumption of innocence until proven guilty.
The maximum statutory penalty, however, upon conviction, for the offense of interfering with a flight crew is 20 years in federal prison and a $250,000 fine.
The Federal Bureau of Investigation, the Transportation Security Administration, the Lubbock Police Department and the Lubbock International Airport Police Department are investigating the case. Assistant U.S. Attorney Jeffrey Haag is in charge of the prosecution.
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Out of state men sentenced for distributing heroin, oxycodoneRead the Press Release
CLARKSBURG, WEST VIRGINIA – Two men, one from Philadelphia, Pennsylvania, and one from Detroit, Michigan, were sentenced today for distributing heroin and oxycodone, United States Attorney William J. Ihlenfeld, II, announced.
Keevus Weeks, 33, of Philadelphia, Pennsylvania, was sentenced to 135 months for his role in a drug trafficking operation in which heroin and oxycodone were transported across state lines from Philadelphia to Morgantown, West Virginia for redistribution and sale throughout the region. Weeks was found guilty of one count of “Conspiracy to Distribute Oxycodone and Heroin,” two counts of “Distribution of Oxycodone within 1000 feet of a Protected Location,” and one count of “Distribution of Oxycodone” in June 2016.
Draylon Eric Beecham, 41, of Detroit, Michigan, was sentenced to 46 months for distributing heroin near North Elementary School in Monongalia County, West Virginia. Beecham pled guilty to “Distribution of Heroin within 1000’ of a Protected Location” in May 2016.
Assistant U.S. Attorney Zelda E. Wesley prosecuted the cases on behalf of the government. The Federal Bureau of Investigation, the West Virginia State Police Bureau of Criminal Investigation, and the Mon Metro Drug and Violent Crime Task Force investigated the Weeks case. The Mon Metro Drug and Violent Crime Task Force also investigation the Beecham case.
U.S. District Judge Irene M. Keeley presided.
Ohio man pleads guilty to unlawful possession of a firearmRead the Press Release
WHEELING, WEST VIRGINIA – Donaven J. White, 20, of Coshocton, Ohio, pled guilty to unlawfully possessing a firearm, United States Attorney William J. Ihlenfeld, II, announced.
White, who had previously been convicted of felony offenses in Belmont County, Ohio, was discovered in possession of a .22 caliber revolver in April 2016. He pled guilty to one count of “Prohibited Person in Possession of a Firearm.”
He faces up to ten years in prison and a fine of up to $250,000. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant U.S. Attorney Stephen L. Vogrin prosecuted the case on behalf of the government. The Bureau of Alcohol, Tobacco, Firearms, and Explosives investigated.
Senior U.S. District Judge Frederick P. Stamp, Jr. presided.
Office of Justice Programs Announces Grant Awards of More Than $8.8 Million to Help Reduce Prescription Drug Abuse, Misuse, DiversionRead the Press Release
The Office of Justice Programs’ Bureau of Justice Assistance (BJA) today announced funding of more than $8.8 million in 20 separate awards to 19 state health and pharmacy boards and departments to better track and share prescription drug information to help reduce drug abuse, misuse, and diversion.
The awards, funded under the BJA’s Harold Rogers Prescription Drug Monitoring Program FY 2016 Competitive Grant Program, enable awardees to create, implement, and enhance Prescription Drug Monitoring Programs (PDMPs). PDMPs are state-run databases that collect data about controlled substance prescriptions dispensed by pharmacies and doctors. Authorized users, including prescribers and dispensers, are permitted to monitor dispensing activity through these programs. Checking a PDMP before prescribing helps to improve appropriate pain management care, prevent diversion of drugs, and identify patients who may have an opioid use disorder and need treatment. In certain states, law enforcement officers may also obtain authorization to access PDMP data. Evidence suggests that PDMPs improve patient care while preventing abuse and overdose deaths.
“Misuse of prescription drugs is a national problem, that requires the cooperative efforts of all medical, health, pharmaceutical, law enforcement agencies, and other partners to solve,” said Assistant Attorney General Karol V. Mason of the Office of Justice Programs. “These awards provide a foundation of resources for enabling data collection, sharing, and collaboration to help prevent prescription medication misuse and abuse.”
These awards support collaboration between law enforcement, prosecutors, public health, treatment professionals, pharmacies, and the medical community to promote strategies that inform effective policies, support investigations, and offer treatment intervention and prevention efforts for at-risk individuals and communities. The awards are administered by BJA in coordination with a myriad of partners, including the U.S. Drug Enforcement Administration’s Office of Diversion Control, the Office of National Drug Control Policy, the U.S. Centers for Disease Control and Prevention, the U.S. Food and Drug Administration, and the Substance Abuse and Mental Health Service Administration.
Today’s awardees include:
- Alabama Dept. of Public Health
- Arkansas Dept. of Health
- Arizona State Board of Pharmacy
- Connecticut Dept. of Consumer Protection
- Dept. of Public Health Social Services
- Kentucky Cabinet for Health and Human Services
- Illinois Dept. of Human Services
- City of Lowell, Massachusetts
- Maryland Dept. of Health and Mental Hygiene
- State of Michigan Dept. of Licensing and Regulatory Affairs
- Minnesota Board of Pharmacy
- Mississippi Board of Pharmacy
- Multnomah County Health Dept., Oregon
- Ohio Office of Criminal Justice Services
- Ohio Board of Pharmacy
- South Dakota Dept. of Health
- Tennessee Dept. of Health
- University of Florida
- Utah Dept. of Health
Today’s awards were announced as part of Prescription Opioid and Heroin Epidemic Awareness Week, which President Obama established by proclamation Sept. 16. Departments across the federal government are continuing to use all available tools to combat this epidemic by expanding evidence-based prevention and treatment programs, increasing access to the overdose-reversal medicine naloxone, improving opioid prescribing practices, and supporting targeted enforcement activities.
For additional information about this grant program, visit http://go.usa.gov/xKW3Q.
National Heroin and Opioid Awareness WeekRead the Press Release
Contact Person: Beth Drake (803) 929-3000
The United States is in midst of a prescription opioid and heroin epidemic that threatens our communities, families, and children. Heroin use, and the abuse of prescription opioids, has impacted the smallest as well as largest communities in our country. In 2014, over 27,000 lives were lost due to heroin and opioids, representing over half of the drug-related deaths reported in 2014. Also at issue is the recent rise in deaths caused by fentanyl, which is a synthetic opioid much stronger than heroin. Recognizing the heartbreaking impact that the prescription opioid and heroin epidemic has had on our country, the Attorney General has designated the week of September 19 as National Heroin and Opioid Awareness Week.
The number of heroin-related overdose deaths increased 244% between 2007 and 2013. The increase in new heroin users and overdose deaths is linked to the overwhelming abuse of prescription opioids. Acting U.S. Attorney Beth Drake commented, “When the source of supply dries up, or when the money runs out, in order to feed their addiction, our kids, our cousins and our neighbors are turning from opioid prescription medicines to the cheaper heroin. And quite literally, they are looking death in the face on that first needle or unsourced pill, because increasingly, what is on the streets and available through the internet is laced with the much stronger fentanyl, a drug used to tranquilize zoo animals.” Prescription opioids and heroin are highly addictive and are themselves responsible for the majority of overdose deaths in this country. Four out of five new heroin users previously abused prescription drugs, which is feeding the heroin crisis we are experiencing. Fentanyl, a synthetic opioid that is anywhere from 25 to 50 times more potent than heroin, is here in South Carolina and is responsible for an increasing number of deaths. Fentanyl is so strong that the equivalent of a few grains of sugar can kill someone. Given that it is stronger and more readily accessed because it is synthetic, unscrupulous drug dealers mix fentanyl with heroin or sell it as heroin. Also, these drug dealers are using fentanyl to manufacture counterfeit tablets, pills, and capsules that mimic prescription drugs.
The President has made clear that addressing the prescription opioid and heroin epidemic is a priority for his Administration. The Department of Justice has responded to the growing trend in heroin and prescription opioid abuse with a three-pronged approach consisting of prevention, enforcement, and treatment.
In light of the heroin and opioid crises, the U.S. Attorney’s Office for the District of South Carolina is committed to reducing the illegal supply of these deadly drugs by working closely with our federal, state and local partners to prosecute the dealers up and down the chain of supply, be they street dealers, corrupt doctors or pharmacists, or internet operations. Because of the staggering increase in the abuse and diversion of prescription opioids, the U.S. Drug Enforcement Administration (DEA) has stood up a new enforcement group, called the Tactical Diversion Squad, specifically to investigate and remove illegal pharmaceutical traffickers in the state of South Carolina.
The heroin and opioid health care crisis is national in scope, but it is here South Carolina. The United States Attorney’s Office is diligently working with federal and state law enforcement colleagues in an effort to address the real dangers posed by the significant rise in heroin and prescription opioid abuse. Below are a few illustrative examples of how heroin, prescription opioids, and fentanyl are directly impacting our state and how the United States Attorney’s Office, in a joint effort with law enforcement, is working to disrupt and dismantle the criminal organizations that are putting these opiates on our streets.
- In 2013, the DEA’s Charleston Office began an investigation after a significant increase in heroin overdoses, including three deaths, in the Charleston tri-county area. Edward Singleton was identified as a large-scale heroin distributor in Charleston. The DEA conducted several controlled purchases of heroin from Singleton, and through further investigation, learned that Singleton’s major heroin source of supply was Kenneth Shannon. The investigation ultimately culminated in the execution of a search warrant of Shannon’s residence and the seizure of over 130 grams of heroin. As a result of the investigation, federal charges were brought against eleven individuals for their roles in a large-scale conspiracy to distribute heroin. Singleton pled guilty to multiple counts of conspiring to distribute and distributing heroin. On July 29, 2016, following a three-day jury trial, Shannon was convicted of seven counts of unlawfully distributing heroin. Both Singleton and Shannon are awaiting sentencing.
- On January 19, 2016, the United States Attorney’s Office for the District of South Carolina announced an indictment charging multiple individuals, including Dr. Mackie James Walker, Jr., a podiatrist of Aiken, South Carolina, with their roles in a conspiracy to illegally distribute oxycodone, a powerful opioid based painkiller. The investigation began due to the large amounts of oxycodone being illegally distributed in and around Aiken. Throughout the investigation, agents learned that Dr. Walker was selling prescriptions to addicts and drug traffickers for up to $1,000 per prescription, and that one of the individuals who received a prescription for oxycodone from Dr. Walker died of an overdose. Evidence obtained throughout the investigation showed that Dr. Walker relied upon others to recruit dozens of individuals to come to his practice and purchase prescriptions of oxycodone. After analyzing text messages, prescription data, and statements from Dr. Walker’s coconspirators, agents determined that, from 2013 to 2015, Dr. Walker wrote illegal prescriptions for 51,580 oxycodone pills. In total, thirteen individuals were indicted for conspiring to illegally distribute oxycodone. On August 17, 2016, Dr. Walker pled guilty to federal drug charges and is awaiting sentencing.
- In January 2016, the DEA and FBI, in conjunction with local law enforcement agencies, began investigating the escalation of heroin distribution plaguing Myrtle Beach and surrounding areas following more than twenty heroin overdose deaths. Initial lab results related to the deaths suggested that pure fentanyl had been substituted for, or mixed with, heroin and sold to drug addicts. The investigation led agents to a significant drug trafficking organization that, at times, would conduct up to forty drug transactions in a five hour period. In March 2016, federal and local law enforcement initiated various enforcement actions, including arrest and search warrants on various targets associated with the drug trafficking organization. Agents seized pure fentanyl, heroin, multiple firearms, and approximately $80,000 in cash from storage units associated with the drug trafficking organization. In the weeks and months following the investigation and dismantlement of the drug network operating out of the Myrtle Beach area, the number of heroin-related overdose deaths in the Myrtle Beach area significantly declined. To increase coordination and cooperation between the United States Attorney’s Office and state prosecutors, the United States Attorney’s Office designated two state prosecutors as Special United States Attorneys.
- Federal prosecutors and agents currently are working with state and local law enforcement in Greenville, South Carolina following the significant rise in overdoses and deaths related to heroin and fentanyl users. Field reports reveal that, in 2015, there were a total of forty-one heroin/fentanyl related overdose deaths in Greenville County, compared to eleven homicides.
The Greenville Police Department and the Greenville County Sheriff’s Office solicited the assistance of the DEA in an effort to identify and dismantle organizations associated with the distribution of heroin and fentanyl within Greenville. In response, the DEA has opened multiple different investigations that target mid-level heroin dealers in Greenville.“In order to short-circuit the problem, we are all going to have to work together. Parents, when a physician lawfully prescribes your child an opiate after a football injury or dental surgery, supervise your child’s taking the medicine, and if there are any dosage units remaining, dispose of them at a take-back center. Also, to all parents, youth groups and mentors, review the movie “Chasing the Dragon,” available on the DEA and FBI web sites, to see if it is age-appropriate for your children. The short film is a compelling, true-life rendition of how opiate abuse cuts across the lines of age, race, gender and wealth. Physicians, prescribe the minimum number of opiate pills appropriate in your judgment, even if it means that the patient is going to have to refill. That bathroom medicine cabinet is in many cases the first introduction to abuse of opiates. Pharmacists, if you suspect a prescription is fraudulent, call law enforcement. We as ordinary Americans can make a difference. In the meantime, you can be assured that your Federal and State officials, from the legislator to the agency administrator to the law enforcement officer, are working to tighten the noose on the illegal source of supply and provide greater treatment options for those who have succumbed to the addiction,” said Acting USA Beth Drake.
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- In 2013, the DEA’s Charleston Office began an investigation after a significant increase in heroin overdoses, including three deaths, in the Charleston tri-county area. Edward Singleton was identified as a large-scale heroin distributor in Charleston. The DEA conducted several controlled purchases of heroin from Singleton, and through further investigation, learned that Singleton’s major heroin source of supply was Kenneth Shannon. The investigation ultimately culminated in the execution of a search warrant of Shannon’s residence and the seizure of over 130 grams of heroin. As a result of the investigation, federal charges were brought against eleven individuals for their roles in a large-scale conspiracy to distribute heroin. Singleton pled guilty to multiple counts of conspiring to distribute and distributing heroin. On July 29, 2016, following a three-day jury trial, Shannon was convicted of seven counts of unlawfully distributing heroin. Both Singleton and Shannon are awaiting sentencing.